What you need to know about the proposed law is that:
1) the state will license and regulate all steps of the process: from the seed to the retail market including missing inventory (or theft). A tracking system will be developed and used. The estimated annual cost is around $20 million.
2) the proposed law grants each community the right to determine if it will allow retail dispensaries. Local communities are granted authority to regulate, zone, and tax (fee) dispensaries. Local rule.
3) dispensaries (provisioning centers) are allowed and taxed at a rate of 3% on gross income (retail sales minus cost of products). This supersedes a 2013 MI Supreme Court decision that ruled dispensaries were not authorized by the law. The state hopes to generate income of $40 million from the tax, indicating a $1.3 billion legal retail market in Michigan.
4) growers are placed into 3 different classes based on how many plants they grow: up to 500, 500 to 1000, 1000 to 1500. The obvious is that this market is about to change. One has to wonder what’s wrong with individual trying to make a living. Look at what is happening to Colorado’s growers that are flooding the market as to expect in Michigan. Unless of course, if the policy makers want to control (or reward) market price by limiting competition.
5) the definition of medical marijuana is to include ‘edibles.’ By expanding the definition of medical marijuana to include edibles, the legislature overturned an unelected appeals court decision to prosecute those using edibles. The amount of THC in edibles will be limited by the proposed law.
With the passage of the Senate’s bill all that is left is for the House to concur, which could happen this week
Vote clears way for Michigan medical pot dispensaries
Michigan Senate OKs medical marijuana reform bills