For perspective, it takes about $1 billion a year to run the city of Sacramento. The New Frontier analysis doesn’t count a mishmash of city, county or cultivation taxes.

Even so, analysts with credit-rating firm Fitch Ratings warn effective tax rates as high as 45% in California are likely to push pot sales back onto the black market and cut legal tax revenue.

Analysts say mainstay revenue such as income, property and sales taxes still dwarf marijuana taxes in local and state government budgets.

However, “every dollar is important,” said Stephen Walsh, a director with the U.S. Public Finance group at Fitch. “It’s very difficult for governments to raise taxes.”