HB 5740 Summary

• Amends the Michigan Regulation and Taxation of Marihuana Act to replace references to the "Department of Licensing and Regulatory Affairs" with the "Marijuana Regulatory Agency" created under Executive Reorganization Order No. 2019-2.

• Modifies the definition of "industrial hemp" to clarify that delta-9 tetrahydrocannabinol concentration must be 0.3% or less on a dry-weight basis, and adds language regarding combined percentages of delta-9-tetrahydrocannabinol and tetrahydrocannabinolic acid regardless of moisture content.

• Restructures the marihuana regulation fund expenditure requirements to first fund implementation and enforcement of the act, then allocate $20,000,000 annually until October 1, 2023 (or for at least 3 years, whichever is later) to research projects on treating medical conditions and preventing suicide in public safety officers and Armed Services veterans.

• Allocates unexpended fund balances as follows: 15% to municipalities with marihuana retailers or microbusinesses, 15% to counties with retailers or microbusinesses, 35% to the school aid fund for K-12 education, and 35% to the Michigan transportation fund for road and bridge maintenance.