The Michigan Department of Treasury confirmed that it will distribute more than $42.2 million across 163 municipalities and counties, under the Michigan Regulation and Taxation of Marijuana Act. This means, that 62 cities, 15 villages, 33 townships, and 53 counties will receive funds this week from the Marijuana Regulation Fund.
More precisely, every eligible municipality and county will get more than $56,400 for every licensed retail store and micro-business located within its jurisdiction. Some municipalities have more than one cannabis retail store.
"The Michigan Department of Treasury will distribute these dollars as soon as practical to eligible local units of government," State Treasurer Rachael Eubanks stated. "The doubling of this year's payment amounts will have a larger impact on local government budgets."
The Great Lake State hosted 374 licensed cannabis businesses in the 2021 fiscal year, collecting $111 million from the 10% adult-use marijuana excise tax. Accumulatively, around $172 million was available for distribution from the fund.
In addition, $49.2 million was already provided to the School Aid Fund for K-12 education and another $49.3 million to the Michigan Transportation Fund.
For the fiscal year 2021, the state reported $1.1 billion in recreational cannabis sales, while this February adult-use sales improved 92% year-over-year, reaching $128.9 million for the month with 28 days.
"It's rewarding to see that the agency's balanced regulatory approach is effectively protecting consumers while still allowing Michigan businesses to grow and thrive," stated MRA executive director Andrew Brisbo. "The funding provided directly to local governments - and the thousands of jobs created across the state - show that Michigan is leading the way in the cannabis industry."
Cannabis Consumption Lounge, Biggest Marijuana Event
The news comes on the heels of the state’s first consumption lounge about to be open. Namely, Hot Box Social, the licensed consumption lounge confirmed earlier in March, will soon open for private events. Located at 23610 John R in Main Street Hazel Park, Hot Box Social is a relaxed gathering space for meetings and special events where cannabis can be consumed in a safe and supportive environment.
Hot Box noted it has plans to open the doors of its 3,000 square feet indoor lounge to the public as well later this year.
Another confirmation that Michigan’s cannabis industry is blossoming, comes in the form of the largest marijuana event in the state - The Cannabis Cup. This year, the legendary High Times Cannabis Cup returns to Michigan in a People’s Choice competition allowing Michiganders to decide the kings and queens of the cannabis crop.
Last year’s Cup featured 76 brands among the nearly 300 product entries and 290,596 grams of cannabis products. Expect those numbers to be even higher than ever as this year's competition includes the largest pool of judges and most categories in High Times' history.
