City cashes in on pot outlets

By Charles Sercombe
Hamtramck’s marijuana shops continue to be a money pot for the city.
According to the state Treasury Department, the city’s four cannabis dispensaries paid the city $236,345, and change, for operating here.
The revenue includes taxes and special fees that all dispensaries in the state pay. These collected monies are then disbursed back to the cities, by the state, for their general funds.
In all, the state’s 269 communities and counties that allow dispensaries to operate here generated more than $87 million, according to the Treasury Department.
“This week, many Michigan municipalities and counties will begin seeing their share of adult-use marijuana payments appear in their banking accounts,” State Treasurer Rachael Eubanks said in a press release.
“Through a partnership, the dollars received from the adult-use marijuana taxes and fees are distributed to our participating communities. These dollars may be spent how our local units deem fit to their needs.”
Hamtramck had four marijuana outlets operating last year, although one closed down.
In 2023, the outlets contributed $207,364 to Hamtramck’s coffers.
In Hazel Park, which is 2.8 miles large (compared to Hamtramck’s 2.1 square miles), there are 10 dispensaries operating, which contributed more than $590,000 to that city.
Hamtramck still has critics who are opposed to allowing marijuana retailers to operate here, citing concerns over crime, possible effects on young people, and for religious reasons.
So far, the dispensaries have not proven to be crime magnets.
Mayor Amer Ghalib is one of the critics against the dispensaries, and blames the prior administration for allowing them.
“All of these dispensaries are in violation of the state law. They all are within 1,000 feet from a house of worship or school,” Ghalib told The Review.
He continued:
“Now, the previous administration allowed them to open against the will of the community. Elected officials who ignore the concerns of their community get voted out of their office and that is what happened.
“Our budget is on the positive for the third consecutive year, millions of dollars. Do you think this $200,000 would make a big difference if we lose it? I don’t think so.
“We weight the harm versus the benefits of any project that we need to do in our city, and certainly some projects carried out by the former administration bring more harm then good to the community including, marijuana dispensaries, parking meters and bike lanes on Jos. Campau.”
The Review also reached out to all six city councilmembers for comment but they did not respond to an email.
Besides the $87 million in disbursements to municipalities and counties, $101.6 million was sent to the School Aid Fund for K-12 education, and another $101.6 million to the Michigan Transportation Fund.
For more information on dispensary revenue and the state, go online to: Michigan.gov/cra.
March 8, 2024