Local Prohibitions on Marijuana: Factors Associated With Bans on Medical and Recreational Businesses

Marijuana legalization in U.S. states has introduced new regulatory processes, which allow for some degree of local authority. A common provision in state laws has provided a local option, which enables municipalities to prohibit commercial cannabis facilities within their borders. This paper examined potential determinants of prohibition decisions, with an emphasis on community and local government characteristics. Using a multivariate logistic regression model, determinants of local decisions to prohibit cannabis businesses in Michigan were analyzed. A unique feature of Michigan’s approach to legalization included separate local options to opt into medical marijuana and opt out of recreational marijuana. The results found that both community and local government characteristics explain variation in prohibitions on marijuana businesses. In general, local governments were more tolerant of marijuana businesses in areas with lower densities of senior citizens and higher densities of Black residents. However, the effects of some determinants varied based on whether the decision was to allow medical or recreational marijuana. Higher income areas were more likely to opt out of recreational marijuana, but they were no different from other areas on the likelihood of opting into medical marijuana. Prohibition decisions also were affected by local government characteristics, such as the number of members on city council, female representation, and having a council-manager form of government.