A Growing Business

Marijuana Plant
Photo by Chloe Michaels

There has been much debate over the legalization of medical marijuana. In 2014, however, Detroit, along with thirteen other cities in Michigan, decriminalized the possession of medical marijuana allowing the proliferation of dispensaries within the city. The city of Detroit estimates that there are roughly 150 dispensaries within city limits. Residents are divided on the issue, some complaining that it creates a criminal element in their neighborhood while others are in favor for the economic opportunity the industry creates.

Detroit City Council approved a new regulation, which took effect last month, that will require a 1,000 foot buffer zone. According to Fox News Detroit, the new ordinance requires individual dispensaries to be 1,000 feet from each other as well as schools, churches, city-parks, liquor stores, or bars. The Detroit City Council hopes the new ordinance will address concerns about the possibility of children having illegal access to the drug as well as residents’ concerns about the drop in property value near dispensaries. Council member James Tate said, “I think we had to strike a balance from those who didn’t want us to touch them at all, to those who want to shut each and every one of them down.” Some dispensaries that are already open will have to be closed due to violating the new regulations. Tate said in an interview with Detroit Today, “This is a quality of life issue,” and not one that Tate believes is worth compromising for economic growth. He claims that “The great majority of [dispensaries] are operating outside the scope of the Medical Marijuana Act,” and that the industry itself is becoming more of a retail business instead of a medical one. He assures that the regulations only affect the dispensaries not their clientele.

Several Detroit residents have made complaints. In an article by Sarah Cwiek, Detroiter Pam Weinstein is quoted saying, “I don’t support is what’s going on in our neighborhood right now [in regards to] the number of dispensaries that are popping up literally every day.” Detroit Police Commissioner Reginald Crawford states that he does not support the “dangerous and unnecessary proliferation” of dispensaries within the city. Crawford opposes the oversaturation stating, “We have more marijuana dispensaries in the city of Detroit than there are CVS’s and Rite Aids.” Police Chief James Craig added, “We will respond to community complaints. Sometimes we get complaints that dispensaries are operating, and it’s not for medicinal purposes, people are just simply going in and purchasing marijuana without a marijuana card.”

Despite these complaints many still favor the dispensaries. Attorney and member of the Cannabis Council, Matthew Abel told Detroit Today that “Structured properly, [dispensaries] can provide employment . . . they can bring construction jobs.” Abel also speaks to the supply and demand saying, “Clearly there is a need for medical marijuana and dispensaries; otherwise there wouldn’t be over 100 of them in the city of Detroit.” He argues that the city’s regulations are not keeping up with society and does not allow the city to fully capitalize on the economic benefits of the industry. Abel stated, “most of the dispensaries are likely only providing to people with medical marijuana cards.” He also states that the dispensaries that are selling to individuals without a card are already in violation of state law; therefore, further regulations are not needed.

Because of the criminal element associated with marijuana dispensaries, especially those in Detroit, many customers have taken their business outside the city. One business that the Mirror News reached out to has taken a different approach than that of many of the dispensaries in Detroit. Operating in Ann Arbor, Plymouth and Canton, the owners try to appeal to a more affluent clientele to which they deliver. With a background in entertainment and communications they focus on making their clients feel comfortable, creating more of a professional setting, removing the criminal stigma surrounding the industry. This approach has improved business dramatically. The owners said that their first order of business is keeping everything legal and they consult a lawyer on a regular basis to keep their practices in accordance to local laws.

Voters are likely to see on the 2016 ballot a proposal to legalize recreational marijuana. According to Jake Neher of Michigan Radio, the organization Abrogate Prohibition Michigan 2016 is gathering signatures for a proposal that would fully decriminalize marijuana use for any purpose for people over 18 and want to tax and regulate marijuana for personal use for people over 21. Representatives from the campaign have been on HFC’s campus gathering signatures. Bill Laitner of the Detroit Free Press reports that there are two other campaigns trying to put similar proposals on the ballot.

Laitner goes on to report that a federal task force estimates in Washington State, “200 more recreational marijuana businesses than Starbucks,” since legalizing them in 2015. Within the first year of legalizing both medical and recreational cannabis, the state collected 67.5 million dollars in marijuana-related taxes. In a Federal Budget forecast, Colorado, which also legalized recreational marijuana, is expected to bring in more than 1 billion dollars in marijuana taxes this year. With the budget crisis in Detroit, many are looking to the marijuana business as a way out. Other states are trying to put similar proposals on the ballot, including Arizona, California, and Massachusetts with a proposal already on the ballot in Nevada.

A facet of this contentious issue of the legalization of marijuana is how minority populations will be affected by this change in legislation, especially considering the fact that Detroit is home to a very large African-American population, with 82.7 percent of Detroit’ residents being of African American descent, according to the 2010 U.S. Census. As stated by the American Civil Liberties Union in their report, “The War on Marijuana in Black and White,” although African Americans and Whites use marijuana at roughly the same rate, African Americans are 3.73 times as likely to be arrested for marijuana possession. Also, concerning the aforementioned budget concerns that Detroit is facing due to losing revenue, enforcing marijuana laws costs the U.S. $3.6 billion a year. The American Civil Liberties Union states that the “War on Marijuana” has failed to diminish the use or availability of marijuana, despite spending such a lofty amount of money on the enforcement of these laws.

Studies have shown that the communities that have been most adversely affected by the enforcement of the “War on Drugs” have been minority communities like Latinos and African-Americans.

Reflecting the concerns of African-Americans and other minorities, the NAACP had written a letter to President Obama on April 9, 2013. The letter states, “The greatest victims of the prison industrial complex are our nation’s children. Hundreds of thousands of children have lost a parent to long prison sentences for nonviolent drug offenses, leaving these children to fend for themselves. Many of these children end up in the criminal justice system, which comes as no surprise as studies have shown the link between incarceration and broken families, juvenile delinquency, violence and poverty.” The letter urges President Obama to continue encouraging legislation to reform the laws that target minority communities, especially in the criminal justice system.

Data on the negative effects of the “War on Drugs” and city and state efforts to legalize recreational use of marijuana suggest the social and political landscape of marijuana use in America is changing. Michigan voters may have an opportunity to help shape that landscape this November.