Michigan dispenses more than $87 million in marijuana money to cities, counties

NOW: Michigan dispenses more than $87 million in marijuana money to cities, counties

LANSING, Mich. -- The State of Michigan announced on Thursday that it will be doling out a total of $87,093,279.90 across 99 cities, 30 villages, 69 townships and 71 of the state's 83 counties.

Berrien County, which has 19 licensed adult-use marijuana retail stores, received a total of $1,122,640.65, or $59,086.35 per license. On top of that, each town, city, or village that is home to a licensed retail store received $59,086.35 per license. 

The City of Buchanan and the City of Niles each have six licensed shops, so they received $354,518.10 each. 

"This week, many Michigan municipalities and counties will begin seeing their share of adult-use marijuana payments appear in their banking accounts," State Treasurer Rachael Eubanks said. "Through a partnership, the dollars received from the adult-use marijuana taxes and fees are distributed to our participating communities. These dollars may be spent how our local units deem fit to their needs."

Also in Berrien County, Benton Harbor got a total of $236,345.40 for its four shops, Three Oaks got the $59,086.35 for its one, and Watervliet got $118,172.70 for its two. 

Cass County received a total of $413,604.45 for the seven dispensaries within its borders. Cassopolis and Edwardsburg each received $118,172.70 for having two shops, while Dowagiac, Marcellus Township, and Marcellus Village each received $59,086,35 for having one each.

In 2022, Berrien County received a total of $777,618 and Cass County got a total of $311,047.

“The tax funding for municipalities and counties that comes from the marijuana excise tax is a very important benefit of the legal cannabis industry in Michigan,” said Cannabis Regulatory Agency Executive Director Brian Hanna. "The CRA is committed to doing our part in supporting our licensees so that they can continue to grow the local economy throughout the state with good-paying jobs and increased revenues for local government budgets.”

During the 2023 state fiscal year, Michigan collected $290.3 million in funds to be distribution from the Marihuana Regulation Fund.

The Michigan Regulation and Taxation of Marihuna Act that became law in 2018 mandates that 15 percent of total collections go to "municipalities in which a marihuana retail store or a marihuana microbusiness is located," 15 percent would go to the counties that are home to the dispensaries, 35 percent would go to the School Aid Fund to be used for K-12 education; and 35 percent would go to the Michigan Transportation Fund to be used for the repair and maintenance of roads and bridges.

Aside from the more than $87 million in funds handed out to municipalities and counties, $101.6 million was sent to the School Aid Fund for K-12 education and another $101.6 million to the Michigan Transportation Fund.

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