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Adult-Use (Recreational) Marijuana

Adult-Use (Recreational) Marijuana

Marijuana funds collected under the Michigan Regulation and Taxation of Marihuana Act (Initiated Law 1 of 2018) are distributed, upon appropriation, as follows:

  1. 15% to municipalities and Indian tribes in which a licensed marijuana retail store or microbusiness is located. Distributions are allocated in proportion to the number of licensed marijuana retail stores and microbusinesses located within the municipality or Indian lands to the total of all licensed marijuana retail stores and microbusinesses located in the state.
  2. 15% to counties and Indian tribes in which a licensed marijuana retail store or microbusiness is located. Distributions are allocated in proportion to the number of licensed marijuana retail stores and microbusinesses located within the county or Indian lands to the total of all licensed marijuana retail stores and microbusinesses located in the state.
  3. 35% to the School Aid Fund to be used for K-12 education.
  4. 35% to the Michigan Transportation Fund to be used for the repair and maintenance of roads and bridges.

Note:  Local Governments should account for these funds using chart of account 101-000-439.  (See Numbered Letter 2021-6)