A Higher Education: Colorado’s Cannabis Tax Generates College Scholarships for 25 Students

For the first time ever, college scholarships were granted to 25 students in Pueblo, Colorado, from cannabis tax revenue. Pueblo County has appropriated $750,000 from cannabis excise tax for college scholarships for high school seniors.

In addition to county funding, the Colorado Opportunity Scholarship Initiative grant was approved to match tax funds. The total grant was awarded $226,597 in funds.

Pueblo County and the Pueblo Hispanic Education Foundation (PHEF) have teamed up to award funds beginning next year. PHEF screens the students based on “need and merit.” On Wednesday, 25 students were granted $2,000 scholarships. $1,000 of each scholarship comes from cannabis excise tax revenue and it’s matched with $1,000 each from the Colorado Opportunity Scholarship Initiative. The total amount of $50,000 was granted from the first round.

“I’ve always loved kids, and I want to be able to impact their lives and make a difference,” Janet Calzadillas Chavez said. “I would like to be in a school where I can make a difference.” Chavez recently graduated from Pueblo East High School, with honors, and is one of the 25 students to be awarded the scholarship.

Students can use the scholarships at Colorado State University, Pueblo or Pueblo Community College.

Pueblo County’s Sal Pace was behind the scholarship initiative. He believes student loans and other costs burden prospective students. “This was a matching grant that was created by legislature and in the past we didn’t have the opportunity to use it until we had the cannabis scholarships approved by the voters this past November,” said Pace. Taxing cannabis businesses and funding education is killing two birds with one stone.

Sal Pace hopes to help students with student loan debt, which now outnumbers credit card debt. Pace hopes that 400 students will receive scholarships next year.