Tax proceeds distribution difficulties from Illinois Cannabis Tax Act hurts Blacks and Hispanics in Illinois R3 Communities

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Dear Governor Pritzker,

I hope this message finds you well. I’m Marcus Robinson, also known as Coach HYPE, a military veteran, social entrepreneur, and co-founder of Gametime Life Skills, based in Aurora. Our organization is proud to affiliate with MLB’s Nike RBI Program, which fosters youth baseball and softball development. We are deeply committed to reshaping the trajectory of at-risk youth, ensuring positive and lasting outcomes.

I am writing to draw your attention to significant concerns regarding the Illinois Restore, Renew, Reinvest Program (R3), funded by proceeds from cannabis taxes. As an inaugural grantee of the R3 Program, Gametime Life Skills has experienced firsthand the inefficiencies and challenges plaguing the initiative. These issues hinder our organization’s ability to fulfill its mission effectively and impact numerous other R3 Grantees. Despite the program’s noble intentions, the lack of prompt reimbursement for approved expenses and the absence of feedback mechanisms for R3 Grantees have created severe obstacles. Additionally, the Illinois Criminal Information Justice Authority (ICIJA), tasked with overseeing the R3 Program, has faced difficulties managing the distribution of proceeds collected from the Illinois Cannabis Tax Act. As a result, unemployment remains disproportionately high among Black and Hispanic Illinoisans residing in R3 communities, further exacerbating existing inequalities.

Many of us grantees believe that the State needs to act urgently to issue reimbursement payments for invoices submitted. Based on the feedback from our grantee’s group email, there is the feeling that nobody at ICIJA cares to address these concerns because there are no consequences or accountability as the agency’s employees continue to receive their paychecks on time. Furthermore, it’s not good to see that the State is accumulating interest on the money generated from the cannabis taxes. At the same time, R3 Program Grantees cannot receive the resources to pay employees on time, prevent crime, and save our youth. Should Illinois continue to fail to address these issues, it risks becoming a glaring example of unintended injustice within the Country’s most significant social justice initiative, and that would be an absolute travesty for all the voters who supported steep Illinois Cannabis Taxes.

Like many other R3 Grantees, Gametime Life Skills have encountered delays in receiving reimbursement payments for essential operating expenses. Sadly, our organization is worse off than before becoming an R3 Program Grantee. We have received several levy notices from the IRS for failure to pay employment taxes, leading to the revocation of our tax-exempt status due to reimbursement payment delays. These challenges not only jeopardize the success of our organization but also undermine the broader goals of the R3 Program, leaving our community at a disadvantage. It’s disheartening to know that grassroots organizations are dealing with some of the same issues brought on by the previous administration, which ruined lives. I don’t believe the citizens of Illinois who voted to legalize cannabis would be happy to know that the proceeds from the steep cannabis taxes are not reaching the R3 communities promptly. The State must support the R3 Program Grantees to ensure that the program fulfills its intended purpose of helping communities most affected by the war on drugs.

Governor Pritzker, I believe with our collective effort and commitment, we can overcome these challenges and create meaningful change. Hopefully, this letter will inform you of the urgent nature of the concerns I mentioned. We all need you to take decisive action to permanently rectify the inefficiencies within the Illinois R3 Program so those in the trenches can make Illinois a better, stronger, and safer place to live.

Thank you for your attention to this matter. I am fully confident in your ability to address these issues and look forward to your prompt response.

Warmest regards,

Marcus Robinson
Co-founder – Gametime Life Skills, helping youth pursue excellence.

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