Cincinnati City Council is set to vote Wednesday, Oct. 28, on a plan to direct roughly $1.8 million a year in marijuana tax revenue toward housing and youth programs.

The council's Budget Committee voted 8-1 on Monday, Oct. 26, to advance the proposal, according to WLWT. If approved Wednesday, the motion would direct city administrators to draft an ordinance formalizing the proposed allocations.

Under the proposal, 25% of cannabis tax revenue would fund home repairs and another 25% would go toward removing lead-paint hazards. Twenty percent would support homeownership assistance. The remaining 30% would be split between children's savings accounts and the city's Youth to Work program, each receiving 15%.

The city has not yet defined which communities would receive priority or established eligibility requirements for the proposed assistance.

The money comes from Ohio's marijuana tax, which began flowing to cities after voters approved Issue Two in 2023 to legalize recreational cannabis. Cincinnati has collected more than $1.5 million so far and council members said the city averages about $1.8 million per year, according to WLWT.

City leaders said they want the funds directed toward communities hit hardest when marijuana was illegal.

"Our homeownership rate is really quite low. It's one of the lowest in the country. So, we need to create wealth and make sure people have the opportunity to do that," Councilmember Mark Jeffreys said, according to WLWT.

Jeffreys said the spending would go "disproportionately" to lower-income neighborhoods where residents need help staying in their homes or buying for the first time.

Previously, the cannabis tax revenue went into Cincinnati's General Fund. The new plan would create a restricted fund, and the Cincinnati Exchange reported that city officials have discussed managing it in partnership with the Greater Cincinnati Foundation. That arrangement could help attract additional private contributions.

Eligibility rules, qualifying repairs and application procedures still need to be established before homeowners can determine whether they qualify, according to the Cincinnati Exchange. Even if council approves the plan Wednesday, it would not take effect until the next fiscal year.

The city would still need to set up administrative procedures and determine how to measure results before any money reaches residents.