Overview

• House Bill 4951 would add a 24% tax on wholesale cannabis transactions to raise money for roads, having cleared the House and now awaiting action in the Senate.
• Speaker Matt Hall said the Senate must deliver votes to uphold a budget deal he attributes to Senate leadership’s proposal, warning there will be no stopgap funding if the plan collapses.
• A Senate amendment drafted by Sen. Stephanie Chang would lower the rate to 20% and tie it to new taxes on tobacco and e‑cigarettes, though its prospects remain uncertain.
• Cannabis operators rallied at the Capitol and held a Detroit press conference, arguing the added levy on top of existing 10% excise and 6% sales taxes would push effective burdens near 40% and drive consumers to illicit sellers.
• Democrats Jeff Irwin, Donavan McKinney and Mike McFall criticized the plan, with Irwin opposing the tax outright and McKinney and McFall warning of impacts on local revenue sharing.