Cannabis Regulatory Agency

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At 3:00 a.m. on October 3, 2025, Michigan’s Legislature passed a 24% wholesale tax on legal marijuana sales, without hearing a single second of testimony and just eight days after the bill’s language was made public (the tax is the subject of multiple other posts here on the Cannabis Law Blog). Unless blocked by the courts or repealed, the tax will take effect on January 1, 2026.Continue Reading Michigan Cannabis Tax Passes: Numbers

Takeaways

  • CRA’s new disciplinary guidelines reduce fines for about two-thirds of violations, with many cut by 50%.
  • The changes come in response to sustained industry pushback amid ongoing economic struggles in Michigan’s cannabis market.
  • While most fines decreased, penalties have increased for egregious violations like selling illicit cannabis, signaling a shift in enforcement priorities.

During last week’s CRA quarterly public hearing, Executive Director Brian Hanna indicated that the agency would be releasing updated disciplinary guidelines that would reflect a change in agency policy to reduce fines in response to significant industry pushback and criticism. On July 1, 2025, CRA released its updated disciplinary guidelines, which generally provide for reductions in fines for about two-thirds of violations. Most of these reductions are substantial—often amounting to a 50% decrease.Continue Reading CRA’s July 2025 Updated Disciplinary Guidelines: A Much-Needed Lifeline

Takeaways

  • The proposed 32% wholesale tax on cannabis products could significantly raise prices for consumers, making it more challenging for an already struggling industry to maintain profitability.
  • The assessment of a wholesale tax would most likely radically restructure industry business practices.
  • Potential expansion of the Tobacco Products Tax Act (“TPTA”) would force the Marijuana industry to adapt to an entirely new regulatory and enforcement scheme, all while the industry is dealing with a comprehensive rewrite of the rules of the Cannabis Regulatory Agency.

On February 10, 2025, Michigan Governor Gretchen Whitmer released her “Mi Road Ahead” Plan to “fix the damn roads”—echoing her 2018 campaign slogan. To the consternation and fear of the cannabis community, the Mi Road Ahead Plan proposes creating a new 32% wholesale tax on cannabis products.Continue Reading Breaking Down Governor Whitmer’s Game-Changing Proposed New Wholesale Tax on the Michigan Marijuana Industry

With the start of a new year and a January 7 decision of the U.S. Court of Appeals for the Fourth Circuit addressing the interplay between federal and state hemp regulation, it seemed timely to provide an update on the status of hemp-derived cannabinoids in Michigan. This is the first of two posts on this topic.Continue Reading Update Concerning Hemp-Derived Cannabinoids in Michigan, Part 1

Michigan’s Cannabis Regulatory Agency (CRA) is discontinuing its scheduled semi-annual inspections of all licensed marijuana businesses, opting instead for unannounced visits by regulation officers. According to the CRA, this shift is intended to provide more scheduling flexibility and improve efficiency. It is also expected to enhance employees’ knowledge of rules and regulations.Continue Reading A Shift in Oversight: Michigan’s Cannabis Regulatory Agency Moves To Unannounced Inspections