LANSING, Mich — Michigan's cannabis industry is booming, growing by over 30% from 2022 to 2023, and that means big bucks for many local cities and counties.
The Michigan Department of Treasury announced over $87 million of marijuana tax revenue to be dispersed between 269 municipalities in the state.
"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."
Over $59,000 will go to each city, village, township and county that allows recreational marijuana sales.
The amount of money depends on the number of marijuana retail stores or marijuana microbusinesses in the municipality. For each license, the municipality will receive $59,086.35.
These are the five Michigan municipalities that received the most from marijuana tax revenue in 2023:
- Wayne County - $3,486,094.65 from 59 licenses
- Washtenaw County - $2,658,885.75 from 45 licenses
- Kent County - $2,245,281.30 from 38 licenses
- Oakland County - $2,186,194.95 from 37 licenses
- City of Detroit - $1,949,849.55 from 33 licenses
The City of Grand Rapids earned $1,358,986.05 from 23 licenses, the 11th largest disbursement of marijuana tax revenue in 2023. Muskegon County earned slightly more than Grand Rapids, ranking 10th with $1,536,245.10 in revenue from 26 licenses.
As a part of the Michigan Regulation and Taxation of Marijuana Act, another $101.6 million was sent to the School Aid Fund for K-12 education and another $101.6 million to the Michigan Transportation Fund.
“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 (CRA) 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.”
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