Michigan sending $100 million in marijuana tax revenue to cities, townships, and counties

Which cannabis product is right for you?

Bre Teamer sits down with Biyyiah Lee, CEO and President of MidWest Cannanurses to discuss finding the right cannabis products that work for you.

(FOX 2) - Michiganders really do love their marijuana.

Thanks to the state's booming cannabis industry, almost $100 million will be distributed across cities, townships, and villages where dispensaries are based.

Big picture view:

Under the Michigan Regulation and Taxation of Marijuana Act, tax revenue from pot sales is distributed across the state into three different pots: the School Aid Fund, and the Michigan Transportation Fund, and municipalities with at least one business.

Tax revenue from last year's weed sales climbed to $331 million. The school and transportation funds will receive $116 million each, while cities, townships, and counties will get nearly $100 million.

In 2024, there was more than 800 licensed businesses open across hundreds of communities, according to the treasury's marijuana revenue distribution filing.

What they're saying:

The state treasurer said her team would start processing payments to local units of government this week:

"The dollars received from the adult-use marijuana taxes and fees go toward schools, roads and back into Michigan’s neighborhoods. Local entities and tribes can spend these dollars however they deem fit for their needs," state treasurer Rachael Eubanks said.

Meanwhile, the Cannabis Regulatory Agency's executive director praised the benefits of the tax revenue.

"This portion of the excise tax revenue makes a direct impact in the communities where our licensees work and live," said Brian Hanna.

By the numbers:

In the latest dispersal of funds, communities will receive $58,228.66 for each marijuana-based business that is open within its borders.

Cities, villages, and townships will receive more than $49 million, while Michigan counties will also receive $49 million. This year, Indian tribes in Michigan will also get a cut of the pie, receiving more than $931,000 across four different groups.

Here is a breakdown of the money metro Detroit communities will get by each county: