US (MI): Proposed cannabis caps could hurt consumers and small cities that rely on cannabi

October 24, 2025

After delivering a serious blow to Michigan’s already struggling cannabis industry by imposing a 24% wholesale tax, state lawmakers are now trying to make amends with a set of bills aimed at limiting competition in the oversaturated market.

Democrats who control the state Senate introduced a set of bills on Oct. 2 that would impose limits on new dispensaries and eliminate new large cultivation licenses.

While the legislation would benefit many established businesses, it would hurt consumers and smaller cities like Hazel Park and Ferndale by reducing tax revenue, eliminating cannabis jobs, and paving the way for regional monopolies, according to state analyses obtained by Metro Times.

Senate Bill 597, introduced by state Sens. Sam Singh, D-East Lansing, and Jeremy Moss, D-Southfield, would limit each municipality to one dispensary for every 10,000 residents. If approved, the legislation would prevent the state Cannabis Regulatory Agency (CRA) from approving new dispensary licenses in municipalities that already exceed the limit. Municipalities with fewer than 10,000 residents would be limited to one retail license.

Read more at Detroit Metro Times

 

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