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Michigan to distribute nearly $100M in marijuana tax revenue: What your city will get

Writer's picture: Jason BeckJason Beck

02-23-2025



Lansing will get $1.4 million in marijuana revenue sharing dollars — the third-most of any city or township in Michigan — when the Michigan Department of Treasury distributes a total of nearly $100 million in marijuana tax revenue among 302 local entities and tribes, the department said Friday.

Each eligible municipality and county will receive a little more than $58,000 for every licensed retail store and microbusiness based on revenue collected from the 10% recreational marijuana excise tax.

That's about the same as what municipalities and counties received last year when 269 municipalities split $87 million in marijuana tax revenue.

Michigan's marijuana industry has seen tremendous growth since legalization, and while California remains the biggest market in dollars, Michigan was recognized last year as selling more marijuana than any other state.

The state sold $240 million worth of recreational marijuana in January 2024 and $246 million in January 2025, a 2.5% increase. But buyers purchased almost 100,000 pounds more in January this year than last year, a 25% increase, showing a continued decrease in prices for marijuana, which experts have said is linked to a maturing state industry.

Detroit received the most tax revenue of any city last year, marking the first time it received tax revenue from marijuana sales after sales of recreational marijuana started in the city in early 2023. Wayne County once again will get the most tax revenue of any county this year at $5 million.

Marijuana billboards near the border keep begging Ohio drivers to come and buy Michigan weed, although Ohio's recreational marijuana sales began in August. The state could eventually compete with Michigan but prices in the newer market remain far higher.

New this year, four federally recognized tribes in Michigan will split more than $930,000 as part of a recent change in state law, the department said.

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"Municipalities, counties and tribes certainly benefit from their local cannabis businesses in many ways, including good-paying jobs, community involvement and increased revenues for important priorities in their budget," Brian Hanna, executive director of Michigan's Cannabis Regulatory Agency, said in a news release. "This portion of the excise tax revenue makes a direct impact in the communities where our licensees work and live."

Aside from the nearly $100 million in disbursements to municipalities, counties and tribes, more than $116 million was sent to the School Aid Fund for K-12 education and another $116 million to the Michigan Transportation Fund.

Here are the 12 municipalities that received the most money.

  1. Detroit: $3.1 million

  2. Grand Rapids and Ann Arbor: $1.5 million

  3. Lansing: $1.4 million

  4. Kalamazoo: $1.1 million

  5. Monroe: $1 million

  6. Battle Creek: $932,000

  7. Traverse City, Ypsilanti, Coldwater, Bay City and Bangor Township: $757,000

Other Lansing area municipalities:

  • Ingham County: $1.8 million, 31 locations

  • East Lansing: $291,000, five locations

  • Eaton County: $175,000, 3 locations

  • Charlotte: $175,000, 3 locations

  • Leslie: $58,228, 1 location

  • Webberville: $58,228, 1 location

  • Clinton County: $52,228, 1 location

  • Bath Township: $58,228, 1 location

For a full list of municipalities, counties and tribes that will receive marijuana tax revenue, go to Michigan.gov/RevenueSharing.


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