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Lawmakers finally approve Michigan’s 2026 budget, adding a 24% marijuana tax

  • Michigan lawmakers approved the state's 2025-26 budget after two missed deadlines, passing it early Friday morning with bipartisan support.
  • Months of negotiations and partisan stalemate between the Republican-controlled House and Democratic-led Senate delayed the budget passage.
  • The $81 billion spending plan includes the highest-ever per-pupil funding of $10,050, maintains universal free school lunches, and earmarks about $2 billion for road and bridge repairs.
  • A new 24% wholesale tax on marijuana, expected to generate $420 million annually for local road infrastructure, was a key component and passed despite opposition and protests from the cannabis industry.
  • The budget cuts phantom employee positions, trims some agency funding, and signals long-term investments in roads and education while creating jobs and preventing government shutdown.
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Michigan legislature passes $53B budget; Whitmer to sign soon

(The Center Square) – Michigan policymakers came to a bipartisan agreement early Friday morning, successfully passing an omnibus $53 billion budget.

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WJBK broke the news in on Friday, October 3, 2025.
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