Cannabis in the state budget

The 2026 state budget included a 24% tax increase on the marijuana market. The tax will be applied to the retailer’s sales regardless of other taxes already listed in the line of items of any marijuana invoice.

Boldrey, who focuses on cannabis cases at the law firm Dykema, says small businesses will be hit the hardest.

“I think the folks that get the most negatively impacted are the micro businesses, which are the social equity part of the industry, which are people that come in as craft producers. They don’t have any wholesale activity at all because everything is grown, processed and sold in the exact same location.”

Boldrey says these micro businesses can’t make a wholesale purchase or a wholesale sale, but they will have a wholesale tax on their production.

Reviewing the gubernatorial debate

At the Republican gubernatorial debate this week, there was a notable absence from U.S. Representative John James, who said he would not participate in these debates until the field was more settled. As of now, James is perceived as the frontrunner, but there may be risk with his approach.

He’s already upset some GOP delegates mad by skipping a different event organized by the state party. If he does win the primary, he may have to win those delegates back heading into the general election.

Also, campaign finance reports were due this week from all parties. Republican John James, Democrat Jocelyn Benson and Independent Mike Duggan have raised the most from donors in their campaigns so far.