Virginia Passes Adult-Use Cannabis Sales Compromise Via State Budget
Virginia lawmakers on Monday passed the state budget for next year, which includes language creating a regulated, adult-use cannabis marketplace.
It’s the third piece of cannabis sales legislation that lawmakers have delivered this year to Gov. Abigail Spanberger’s (D) desk — the first time, the governor sent the bill back and requested specific changes. Lawmakers rejected the governor’s proposal over concerns about a delayed start time and other issues, and sent their language back unchanged, which Spanberger vetoed outright. The parties reconvened, however, and agreed to include cannabis sales regulations in the next state budget, which is set to take effect next month.
Under the cannabis sales provisions, the adult-use market will launch in Virginia starting July 1, 2027. The cannabis tax rate will be initially set at 6% and will increase to 8% in 2029, while local governments will be able to set an additional tax of 1% to 3.5%.
The cannabis provisions also double the personal possession limits in the state from one ounce to two ounces, but increase the criminal penalties for public consumption.
“Today, with the passage of the biennium budget, Virginia has formally adopted its adult-use cannabis retail marketplace. Countless leaders paved the way for this moment, and too many Virginians have experienced real consequences because of our delay in establishing this market. Now, that changes. While our framework is not perfect, it protects consumers, supports small businesses, and creates real economic opportunity.” — State Sen. Lashrecse Aird (D), in a statement
“Virginia voters have made clear for years that they want a regulated retail cannabis market,” JM Pedini, NORML’s Development Director and Virginia NORML’s Executive Director, said in a statement. “With this budget agreement, the Commonwealth has taken an important step toward aligning state law with public opinion and replacing an unregulated marketplace with one that better serves consumers, strengthens public safety, and provides clear rules for businesses, regulators, and local communities.”
Lawmakers passed the budget just days before a partial government shutdown.