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PONDERING POT CANNABIS $5 Acopy Antonio Luck’s next act: Launching $100M global venture fund Page 7 Smaller banks take bigger slices of the OCTOBER 7 - 13, 2019 | crainsdetroit.com pie Page 3 STATE BUDGET CANNABIS Whitmer’s o ce enlists lobbyists to pressure GOP A few hours after Gov. Gretchen Whit- mer ripped the Legislature’s “pork barrel” spending for “lobby- ist-pitched pro- CHAD grams” during a LIVENGOOD press conference Tuesday, her se- LIV opened as a medical nior sta met with Lansing’s lobby marijuana provisioning center corps to enlist their help in xing the in Ferndale at 2625 Hilton Road. budget the Democratic governor had It is among two that have just dissected. opened in the city so far. About 20 private lobbyists repre- KAT HILTON senting special interest groups that PONDERING POT got their line-item appropriations axed by Whitmer in an unprecedent- As application start date looms, cities say yes, no or maybe later to recreational marijuana ed veto spree were summoned to the governor’s o ce for a midafternoon By Annalise Frank passed ordinances or other rules so, as of Sept. 27 — it’s not the same creates programs and advocates for huddle with senior gubernatorial [email protected] opting out of the licensed facilities with recreational. ey will auto- municipalities. aides, according to four lobbyists in At least half of Michigan’s com- portion of the Michigan Regulation matically become legal ground for Many communities consider the attendance. munities have opted to ban recre- and Taxation of Marihuana Act. businesses unless they act and noti- opt-outs temporary for now, and According to those in the room, ational cannabis facilities so far, as Michigan voted in November to fy the state otherwise. are waiting for more clarity sur- the governor’s aides read from pre- Nov. 1 looms — the date the state will legalize recreational use for adults, “ is really has been one of those rounding the law or to see how cit- pared talking points and encouraged start taking business applications. but cities get to decide whether they issues that’s all over the map and ies leading the charge fare. ey them to lobby Republicans who con- Just over 50 percent of Michigan’s want businesses to set up shop. the reactions in communities are may re-evaluate and opt in later, trol the Legislature to introduce a 1,773 cities, townships and other While cities must opt in to set up vastly di erent,” said Christopher while others just don’t want weed supplemental budget bill that could municipalities have noti ed the rules for and allow medical mari- Johnson, general counsel for the sold within their borders. be used to restore the 147 line items state as of Sept. 27 that they have juana businesses — 126 have done Michigan Municipal League, which SEE MARIJUANA , PAGE 29 totaling $947 million that Whitmer wiped out day before. e lobbyists, who spoke on con- HEALTH CARE dition of anonymity, described the strategy as unusual and said the gov- ernor’s aides made no commitment to getting funding restored for their McLaren’s 10-year cancer quest comes to an end clients. By Jay Greene center’s total costs up 25 percent to “ e governor’s o ce thinks [email protected] more than $65 million. somehow we’ve got the magic dust to McLaren Healthcare Corp.’s de- Proton beam therapy, which de- put Republicans at the table and talk cade-long quest to o er its patients livers a narrow beam of radiation to about roads,” said one veteran lobby- cutting-edge proton beam therapy destroy cancerous cells, is an emerg- ist who attended the meeting. for cancer has nally arrived as its ing radiation treatment that is is was the general company line Proton erapy Center since Decem- steadily gaining acceptance among several special-interest groups report- ber has treated 38 patients who have physicians, patients and health in- ed getting from the governor’s o ce trekked to the center in Flint for more surers. last week after Whitmer threw down a than 1,400 visits. Research is showing that proton gauntlet with the GOP-controlled After completing construction of beam radiation is e ective in some Legislature: If you can convince Re- its proton center in 2015, McLaren prostate and pediatric cancers be- publicans to restart budget negotia- ran into a variety of delays, including cause it causes less damage to sur- tions, then there’s a chance you can MCLAREN HEALTHCARE CORP. the bankruptcy of its partner, Tex- rounding tissues while directing high get your piece of the pie back. A proton therapy cancer room where patients are positioned on the treatment as-based ProTom International Inc., doses of radiation at tumors. SEE PRESSURE , PAGE 25 bed that can rotate to position the beam for precise delivery of radiation. that helped push the three-room SEE PROTON , PAGE 28 crainsdetroit.com Vol. 35 No. 40 $5 a copy. $169 a year. © Entire contents copyright 2019 by Crain Communications Inc. All rights reserved EACH WEEK DON’T MISS OUT ON CRAIN’S SPECIAL REPORT! HEALTH CARE, Page 10 BROUGHT TO YOU BY NEWSPAPER DELTA DENTAL OF MICHIGAN 2 CRAIN’S DETROIT BUSINESS // OCTO BER 7, 2019 MICHIGAN BRIEFS INSIDE From sta and wire reports. Find the full stories at crainsdetroit.com CALENDAR 24 CLASSIFIEDS 25 DEALS & DETAILS 24 health ocials say most of those inci- OPINION 8 Michigan vape ban dents revolve around black-market takes eect, marijuana vape products. OTHER VOICES 9 “For too long, companies have got- PEOPLE 24 challenges ten our kids hooked on nicotine by RUMBLINGS 30 marketing candy-avored vaping continue products as safe,” Whitmer said in a WEEK ON THE WEB 30 Gov. Gretchen Whitmer’s ban on statement last month. “at ends to- avored e-cigarettes started last d a y .” nation of indoor waterparks and hotel Wednesday after a pair of judges said Under the rules, selling a avored rooms proved popular with consum- they were not ready to decide wheth- vape product, excluding tobacco a- ers, spurring competition and attract- er to stop it. vor, could result in a misdemeanor ing interest from private equity. Michigan Court of Claims Judge charge, punishable by a $200 ne Centerbridge bought Great Wolf in Cynthia Stephens heard arguments and up to six months in jail. While the 2015 from Apollo Global Manage- Tuesday about an injunction sought ban is only eective for 180 days, it ment Inc. by Houghton tobacco vape retailer can be extended another six months 906 Vapor LLC and its owner Marc under the emergency rules. GREAT WOLF LODGE Grand Ventures Slis. e attorney general’s oce said “Today is the day that a lot of (vape Great Wolf Lodge’s resorts include water parks with a variety of amenties. raises $28 million the hearing will continue Oct. 8. business owners) are packing trucks Grand Ventures LLC has nished e lawsuit claims Whitmer’s of- to move their product out of the “We have a partner in the Chicago Great Wolf’s 18 family-oriented re- raising capital for its $28 million ag- ce lacked the legal authority to en- state,” said Andrea Bitely, spokes- area that is willing to hold our prod- sorts in the U.S. and Canada include ship fund intended to help startups act the emergency rule, which bans woman for the Defend MI Rights Co- uct for resale out of the state so we Great Wolf Lodge water resorts in Tra- based in Michigan and the Midwest. the retail sale and possession with alition, a group of around 12 actors may comply with the emergency verse City and Sandusky, Ohio. e e Grand Rapids-based venture intent to sell by a retailer of a- against the ban in Michigan, includ- rules,” Ames said. “Rather than risk properties include full-service hotels, capital rm announced Tuesday that vored-vape products for 180 days. ing aected businesses and associa- the criminal penalties, we have found indoor waterparks and recreational it made the nal close on its Fund I A separate but related lawsuit is tions. “ere are approximately 700 this is the only viable option for us activities such as bowling alleys and LP, which has invested about $5 mil- pending in federal court in western vape stores in the state ... Each of within the timeline granted.” ropes courses. lion in six companies so far and aims Michigan. Mister E-Liquid, a Grand them is, right now, guring out what It’s the second major resort in to provide capital to 15-20 over the Rapids company that makes liquids is next for them.” Traverse City’s Michigan to come under private equi- life of the fund, according to a news used in e-cigarettes, led suit arguing Joost Vapor, a vaping liquid manu- Great Wolf Lodge ty ownership in the past month. release. the ban violates the U.S. Constitu- facturer and retailer with corporate has new owner Mackinac Island’s Grand Hotel was “We continue to dierentiate our tion’s commerce clause. oces in Wyoming, Mich., packed Blackstone Group Inc. agreed to acquired by KSL Capital Partners from rm by focusing the majority of our Gov. Gretchen Whitmer an- up two 26-foot trucks to transport be- buy a 65 percent controlling interest its longtime owners, the Musser fami- deal-sourcing eorts on the greater nounced the ban on avored e-ciga- tween $2 million and $3 million of its in waterpark operator Great Wolf Re- ly. Midwest with portfolio companies in rettes Sept. 4 to combat growing products out of Michigan before the sorts Inc.
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