Tax revenue from marijuana dispensaries in Michigan have made a significant impact on the economy. Last year, over $42.2 million was paid out to cities, townships, and counties due to the Michigan Regulation and Taxation of Marijuana Act (MRTMA).
Pursuant to MCL 333.27964, the Department of Treasury deposits all money and fees collected into the marijuana regulation fund. Any unexpended balances are subsequently allocated to counties, municipalities, and certain funds. Specifically, fifteen percent is allocated to municipalities and another fifteen percent is allocated to counties. Each county and municipality receives money from the fund in proportion to the number of marijuana retail and microbusinesses located in each respective municipality and county. The remaining funds are split between the school aid fund, which is used for K-12 education, and the Michigan transportation fund, which is used for the repair and maintenance of roads and bridges. Each respective fund receives thirty-five percent.
In West Michigan alone, the four largest counties received a total $4,088,194.24. Calhoun County received $1,185,522.24 due to the 21 retail and microbusiness licenses in the county. Kent County and Kalamazoo County each received $1,072,615.36 due to 19 licenses in each respective county and Muskegon County received $677,441.28 due to having a total of 12 licenses within its borders.
Chelsea Lenard is an associate attorney at Grewal Law PLLC. Her practice focuses primarily on personal injury, cannabis law, family law, criminal law, and employment law.