- Henry Meyers, Fortuo's owner, fears a marijuana tax will raise prices for customers.
- Whitmer’s 3 billion dollar road plan includes a marijuana tax generating $470M for repairs.
- Meyers worries higher prices could drive customers to buy from the black market.
- Michigan needs $4B annually to fix roads as federal funds run out.
Henry Meyers is the owner of the small business FORTUO on Lansing's south side.
“The good thing about us is we’re a local, community-run business,” Meyers said.
Governor Gretchen Whitmer recently unveiled a 3 billion dollar plan to fund road repairs, including a tax on the marijuana industry.
The tax could generate an additional 470 million dollars for the state to address road conditions in neighborhoods across Michigan.
However, Meyers believes that a new marijuana tax would result in higher prices for his customers.
"I don't feel too good about that. Nobody likes the prices to increase," one of his customers added while shopping at Fortuo.
Meyers fears that price hikes could push customers toward the black market.
"We can look at other states around the U.S., and we see it only sounds good on paper. It will surely push the black market to thrive again," Meyers said.
The Michigan Transportation and Infrastructure Association has emphasized the need for new funding to repair the state's roads.
According to the group, Michigan needs 4 billion dollars annually to address road repairs, as federal and borrowed funds are running out.
“We are facing a road funding cliff, as we call it,” Lance Binoniemi said.
This is not the first road funding proposal from Michigan officials.
Last year, the state House GOP proposed a plan to fund road projects using existing gas tax revenues and state budget funds.
“I think it’s absolutely ridiculous to propose any type of tax increases when we’ve had billions in extra dollars. We can tighten the belt like anyone else in Michigan,” said GOP State Representative Sarah Lightner.
Meyers, frustrated by the proposal, expressed concern that the tax would hurt small businesses like his own.
“Is it going to go into the roads, or is it going to make our customers pay more money for their product and really hurt us — hurt the small businesses who are investing in the Lansing community?” Meyers said.
As Whitmer and state lawmakers continue to negotiate the road funding plan and budget, the governor must work with the Republican majority in the state House to finalize the budget by July 1.
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