Michigan House Bill HB5094

Michigan 2025-2026 Regular Session

• Introduced: 10/7/25
• Refer: 10/7/25

Caption

Industrial Hemp: administration; administration of industrial hemp program; modify. Amends sec. 107 of 2020 PA 220 (MCL 333.29107).

Impact

The establishment of the industrial hemp fund is expected to provide necessary financial resources for the state's industrial hemp program. It allows for more structured oversight and management of funds related to hemp agriculture, which could facilitate the growth of the hemp industry in Michigan. The bill mandates the department to administer the fund for auditing purposes and to ensure that funds are properly utilized to establish, operate, and enforce the industrial hemp program. By securing these financial resources, the bill supports agricultural initiatives that may enhance economic opportunities in the state.

Summary

House Bill 5094 is an amendment to the 2020 PA 220, also known as the Industrial Hemp Growers Act, and focuses on the administration of the industrial hemp fund within the state treasury. This bill primarily establishes the industrial hemp fund, detailing how the funds are to be received, managed, and expended by the state treasurer. The amendment emphasizes that any money collected, along with interest from investments, will be credited to the fund and will not lapse to the general fund at the end of the fiscal year. This provision is aimed at ensuring the financial stability of the industrial hemp program.

Contention

A notable point of contention regarding HB 5094 revolves around the future of the industrial hemp fund, which is scheduled to be abolished on October 1, 2026. Critics may argue that this sunset provision could hinder the long-term planning and stability of the hemp program, making it challenging for stakeholders to invest in the industry with a limited timeline for fund availability. Additionally, the transfer of any unencumbered balance at that time to another fund raises concerns over the priorities set for agricultural funding and whether sufficient resources will remain available for hemp growers in the state.