Virginia lawmakers last week approved a bill that sets a Jan. 1, 2027 start date for adult-use cannabis sales.
The legislation, which Democratic Gov. Abigail Spanberger is expected to sign, promises to unlock a massive new marijuana market that’s been on pause since Virginia became the first Southern state to legalize adult-use cannabis in 2021, according to VPM News.
At the time, the Democratic-led General Assembly allowed adults 21 and older to possess small amounts of marijuana and grow up to four plants at home.
But the retail framework was delayed, leaving consumers without any legal retail sales.
The newly passed bill is the result of negotiations between the House of Delegates and the Senate, VPM reported.
Key compromises include:
- A 6% state cannabis tax, with local governments permitted to add up to 3.5%
- Capping retail cannabis licenses at 350
- Increasing personal possession limits from 1 ounce to 2½ ounces
The bill directs 40% of cannabis tax revenue to early childhood care and education and 30% to the Cannabis Equity Reinvestment fund, which supports communities disproportionately affected by drug enforcement policies and awards grants to businesses, according to VPM.
Existing medical operators must pay a $10 million fee to enter the recreational market.
The Virginia Cannabis Control Authority will oversee licensing and regulation, with enforcement transitioning to the Virginia Alcoholic Beverage Control Authority by 2028.
