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Colorado Leads, a cannabis business alliance of more than 50 Colorado companies, denounced Thursday Gov. John Hickenlooper’s veto of HB18-1011, a bipartisan bill which would have provided greater investment flexibility in marijuana businesses and created a more level playing field for the cannabis industry.

The bill, which overwhelmingly passed the state House and Senate last month, balanced the industry’s need to access capital – like any other legal business – with public safety. Prohibited by law from taking standard tax deductions and hamstrung by steep regulatory operating costs, the capital-starved industry viewed the bill as a critical solution.

“The Governor’s disappointing veto not only jeopardizes tens of thousands of jobs but also shows a true lack of respect for the professionals that worked tirelessly during his term to build the safest and most respected cannabis industry in the country,” said Chuck Smith, Colorado Leads Board President and CEO of Dixie Brands, Inc. “We look forward to working with the next governor who will show true leadership by honoring the will of the voters and keep Colorado at the forefront of this vibrant and growing world-wide industry.”

The governor’s veto puts Colorado cannabis companies in a precarious position. Only two other states in the country with legal cannabis prohibit businesses from accessing legitimate capital. Blocking the cannabis industry from accessing capital not only puts companies at an enormous competitive disadvantage, it renounces Colorado’s role as the nation’s cannabis leader.

“Colorado was uniquely positioned to lead the United States cannabis industry. We have a mature market, the best operators, and world class operations. If HB 1011 was not vetoed, investment would have eagerly poured into Colorado to establish the nation’s headquarters of operations, leading the roll-up of the cannabis industry from around the United States,” said Andy Williams, a Colorado Leads board member and Chief Executive of the Denver-based grower and dispensary Medicine Man.

“The jobs and revenue would have been a tremendous boost to our economy. As it is now, Gov. Hickenlooper has opened the door to other states to take that lead from us​. I will most assuredly be looking to move my headquarters to a state that welcomes our industry.”