Treasury: Municipalities to receive Marijuana tax revenue this week
Published 11:30 am Thursday, March 2, 2023
SOUTHWEST MICHIGAN — Local municipalities and counties invested in the marijuana industry will soon be receiving the benefits.
The Michigan Department of Treasury announced Tuesday that more than $59.5 million is being distributed among 224 municipalities and counties as a part of the Michigan Regulation and Taxation of Marijuana Act.
Niles, Buchanan, Cassopolis, Edwardsburg, Berrien County and Cass County will be among the 224 municipalities statewide receiving payments from the Marihuana Regulation Fund this week, according to the Michigan Department of Treasury.
“Municipalities and counties will begin seeing these 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.”
For the state of Michigan’s 2022 fiscal year, each eligible municipality and county will receive more than $51,800 for every licensed retail store and microbusiness located within its jurisdiction.
The distribution breakdown for local municipalities and counties is as follows:
- Buchanan: Number of licenses – five; city distributions – $259,206.05
- Cassopolis: Licenses – two; village distributions – $103,682.42
- Edwardsburg: Licenses – two; village distributions – $103,682.42
- Niles: Licenses – four; city distributions – $207,364.84
- Berrien County: Licenses – 15; county distributions – $777,618.15
- Cass County: Licenses – six; county distributions – $311,047.26
Revenue was collected from 574 licensees among the state’s cities, villages and townships during the 2022 fiscal year. Some of these municipalities host more than one licensed retail store and microbusiness.
For the 2022 state fiscal year, there was $198.4 million available for distribution from the Marihuana Regulation Fund.
State law outlines how much is distributed from the Marihuana Regulation Fund.
Aside from the more than $59.5 million in disbursements to municipalities and counties, $69.4 million was sent to the School Aid Fund for K-12 education and another $69.4 million to the Michigan Transportation Fund.
In total, more than $1.8 billion in adult-use marijuana sales was reported for Fiscal Year 2022.
“The team at the CRA does an amazing job and our effective regulatory approach allows our licensees to provide Michigan’s cannabis consumers the safest possible product,” said CRA Executive Director Brian Hanna. “The funding that makes its way to local governments through the excise tax collected by licensed retailers is an important benefit of the regulated cannabis industry and the CRA is committed to doing our part in supporting our law-abiding licensees.”