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Michigan

CANNABIS DISPENSARY REGULATIONS FOR MICHIGAN

The Cannabis Regulatory Agency (CRA), formerly known as the Marijuana Regulatory Agency (MRA), oversees the operation of Michigan’s cannabis dispensaries, including those offering both medical and recreational marijuana. Dispensaries that solely cater to medical marijuana patients are commonly referred to as “provisioning centers.” The CRA issues six types of licenses in Michigan:

  1. Class A grower license with a 100-plant limit
  2. Marijuana microbusiness license with a 150-plant limit
  3. Designated consumption establishment license
  4. Marijuana event organizer license
  5. Temporary marijuana event license
  6. Marijuana testing facility license

The licensing process for provisioning centers involves two main fees. The first is an application fee of $6,000, required upfront before processing. The second is an annual regulatory assessment, which must be paid prior to the issuance of the license. For a new provisioning center license, this regulatory assessment fee is $44,000. Entering the lucrative but complex Michigan cannabis market requires a substantial investment.

Additionally, Michigan emphasizes compliance with state regulations and encourages practices that support community engagement and responsible business operations.

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CANNABIS LEGALIZATION HISTORY IN MICHIGAN

Michigan has a history of legalizing cannabis for both medical and recreational use. The state first legalized medical marijuana in 2008, allowing patients with qualifying medical conditions to access and use cannabis for medical purposes.

Medical use of cannabis was legalized with the passage of Proposal 1, the Michigan Compassionate Care Initiative in 2008. This made Michigan the 13th state to legalize medical use and the first Midwestern state to do so. In February 2013, the Supreme Court of Michigan ruled that the 2008 initiative did not allow for the operation of medical cannabis dispensaries in the state. An estimated 75 to 100 dispensaries were operating under this legal gray area at the time.

In November 2018, voters approved a ballot initiative to legalize recreational marijuana, making Michigan the first state in the Midwest to do so. Under the law, adults aged 21 and over can possess up to 2.5 ounces of marijuana or its equivalents, and can grow up to 12 plants for personal use.

Retail sales of recreational marijuana began in December 2019, with the state generating significant tax revenue from cannabis sales. Michigan has also implemented social equity provisions in its cannabis regulations, such as prioritizing licenses for those from communities disproportionately affected by the war on drugs. Additionally, the state has taken steps to expunge criminal records for individuals with non-violent cannabis-related offenses. Overall, Michigan has embraced cannabis legalization and regulation, allowing for both medical and recreational use while also promoting social equity in the industry.

LAST UPDATED 9/4/2024 – It’s important to remember that laws can be revised and updated frequently, so please keep this in mind.