Cannabis-derived funds in Michigan generated about $11.6 million for the state’s School Aid Fund and another $11.6 million for its Transportation Fund, MiBiz reports. Another 100 municipalities across the state – those allowing adult-use cannabis operations – received their piece of nearly $10 million in funds from recreational sales taxes and fees.
Michigan reported more than $341 million in recreational Cannabis Sales during the last fiscal year.
It’s the first time local governments have seen revenue from legalized cannabis sales, which commenced in the state in 2018. In all, 38 cities, seven villages, 21 townships and 38 counties began receiving payments this week for fiscal year 2020 from the state fund. The payments include about $28,000 for each retail store and microbusiness allowed to operate as of Sept. 30, 2020 – the state had issued licenses to 178 retailers and microbusinesses during that time.
State Treasurer Rachel Eubanks said that, for the state’s cities and towns grappling with budget concerns due to the coronavirus pandemic, “every dollar helps right now.”
“The revenue generated from marijuana taxes and fees is important to our local governments. In this extraordinary time, our staff is working to get those payments to impacted municipalities and counties.” – Eubanks, in a statement, via MiBiz
In a statement, Michigan Marijuana Regulatory Agency Executive Director Andrew Brisbo said the funding is “very impactful and shows how strong and successful the industry is becoming.”
About half of the $9.7 million distributed went to counties. Washtenaw County received the most from the fund with slightly more than $616,000. The county has 22 licensed adult-use businesses – the most in the state.
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