Virginia Senate Votes on Party Line to Pass Bill Legalizing Marijuana Sales Despite Veto Threats from the GOP Governor – MEDCAN24

Virginia Senate approved on Friday, along party lines, a bill to license and regulate marijuana retail in the Commonwealth. This would establish a system that stores would be available online from mid-next.

The chamber narrowly passed the measure, SB 970 from Sen. Aaron Rouse (D), on a 21–19 vote. The measure was not supported by a single Republican, nor by a single Democrat.

If the law is passed, adults over 21 could purchase marijuana up to a maximum of 2.5 ounces from state-licensed and regulated retail outlets. The sales would not begin before May 1, 2026. However, the Virginia Cannabis Control Authority may begin granting business licenses as early as September this year.

Taxes on purchases of marijuana for adult use could reach up to 11.625%. Only with voter approval could local governments ban marijuana businesses. In the state, marijuana possession and cultivation at home are already legal.

A companion bill from Del. Paul Krizek’s (D) bill has been passed by the House Committees. It is now awaiting votes in the Chamber.

Use, possession and limited cultivation of cannabis by adults are already legal in Virginia, the result of a Democrat-led proposal approved by lawmakers in 2021. After Republicans gained control over the House of Representatives and the Governor’s Office later in the year, they blocked the required implementation of a retail regulatory framework. Illicit stores have been opened to cater for consumer demands, fueling an illicit market valued at approximately $3 billion.

Rouse, speaking on Friday on the Senate Floor, said, “Unlicensed drug sellers sell billions in untaxed and untested products to Virginians. Often, they are sold to children.” He added that his bill “would ensure products were tested for safety and accurately labelled, that sales took place under strict control, and that kids would not be exposed.”

Sponsor: “SB 970 creates a regulatory structure for adult marijuana use through a structured licensing process.” This bill puts public safety first and creates a well-regulated market that prevents adult products from falling into the hands of children.

Last year the legislature passed a nearly identical legal sales proposal, but it was later vetoed by Gov. Glenn Youngkin (R). Youngkin is widely expected to veto the bill again, even if it passes the Legislature.

Here’s what Virginia’s reintroduced marijuana sales legislation, SB 970 and HB 2485, would do:

• Retail sales can begin on May 1, 2026.
• Adults will be allowed to buy up to 2,5 ounces (or equivalent) of cannabis in one transaction.
• The retail sale of all cannabis products could be taxed up to 11,625%. The state would impose a tax on retail sales and usage of up to 11.625%, in addition to the 8 percent new tax. Local governments can levy a further 2.5 percent.
• Virginia Cannabis Control Authority will oversee the licensing and regulation for this new industry. The board would be able to regulate the possession, testing, transport, distribution and delivery of marijuana.
• Local governments can ban marijuana establishments if the voters agree to an opt-out vote.
• Retail outlets cannot be more than 1,000 feet apart from other marijuana sellers.
• Cannabis cultivation would be limited by the canopy size, which is the amount of space dedicated to cannabis. Both indoor and outdoor marijuana cultivation would be allowed, though only growers in lower tiers—with lower limits on canopy size—could grow plants outside. Plants would have to be grown indoors by larger growers. Indoor cultivation would include secure greenhouses.
• All transactions must be direct and face-toface. Other avenues such as drive-through windows and vending machine, online sales platforms and deliveries services would be prohibited by the legislation.
• Existing providers of medical marijuana who enter the adult use market can open an additional five retail stores, but they must be in close proximity to their licensed premises.
• Each package would contain no more than 10 mg of THC.
• The total number of licenses a person can hold is limited to five, including the transporter licences.
• People who are convicted for felonies and crimes with moral turpitude in the past seven year would not be eligible to apply for a license, nor would police officers or sheriffs if they were responsible for enforcing the criminal, traffic, or motor vehicle laws.
• A microbusiness equity program grants licenses only to those entities owned at least two thirds by their eligible applicants. These include individuals with previous cannabis misdemeanors and convictions, as well family members and military veterans. Other criteria includes individuals that have lived for at least three years of the last five in an “historically economic disadvantaged community,” individuals who went to school there, and individuals with federal Pell grants or students who attend colleges and universities with at least 30% of eligible students.
• The term “historically economic disadvantaged communities” refers to areas where marijuana possession crimes have been recorded at 150 percent or more than the average statewide rate between 2009 and 2019.
• First, the tax revenues from the program are used to pay for the administration and enforcement of the cannabis law in the state. 60 percent of the remaining funds will be used to support the Cannabis Equity Reinvestment Fund. Another 25 percent, for substance use disorder prevention and treatment, and 10 percent, would go towards pre-K and awareness programs.
• The gray market “gifting” (or the sharing of up to 2.5 ounces of marijuana with another adult without monetary compensation) of marijuana in conjunction with another transaction is punishable by a class 2 misdemeanor, and as a class 1 misdemeanor for second or subsequent offenses.
• Other criminal sanctions would also be introduced. For example, knowingly giving or selling marijuana or marijuana-related paraphernalia or cannabis to an under-21 year old would constitute a misdemeanor of Class 1, punishable up to a full year behind bars and a maximum $2,500 in fines, along with knowingly selling marijuana to someone whom you reasonably believe to be intoxicated. A Class 1 misdemeanor would be to promote the sale or distribution of marijuana paraphernalia for people younger than 21.
• A Class 1 misdemeanor would result if you knew that someone younger than 21 was obtaining marijuana for your benefit.
• Under 21s who use or possess marijuana or try to get it would face a $25 civil penalty and be ordered to attend a treatment program for substance abuse disorders.
• The illegal cultivation of marijuana (excluding legal homegrown) would constitute a Class 6-felony punishable with up to 5 years in prison and $2,500.
• Homegrown marijuana could be processed into edible products, but the use of butane or other volatile solvents is punishable by a misdemeanor class 1.

While the current legislation is nearly identical to what Virginia’s legislature sent to the governor last year, Sen. Adam Ebbin (D)—a legalization supporter and a sponsor of the state’s existing cannabis law—noted before Friday’s vote that it differs slightly from past legalization bills, including what lawmakers passed in 2021 and the language originally introduced last session.

He specifically called attention to the reduced funding for programs that provide pre-kindergarten, saying they are desperate and need more help.

Ebbin stated that it will be some time before the bill is passed. “But I hope we do not change the formula,” he said. “We have a great need for early childhood education, which benefits many children in communities at risk.”

He added: “Overall, I ask that we support this bill.”

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MEDCAN24 has been tracking the hundreds of bills relating to cannabis, psychedelics or drug policies that have passed through state legislatures as well as Congress in this past year. Patreon subscribers who donate at least $25/month have access to the interactive maps and charts as well as our hearing calendar.

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Despite the party-line Senate vote on Friday, Krizek told MEDCAN24 last month that it’s possible some Republican lawmakers might challenge Youngkin’s opposition to legal cannabis sales given that the governor’s term ends early next year.

Proponents are hoping that Youngkin’s successor is more receptive to legalized sales.

Jason Blanchette is the president of Virginia Cannabis Association. He told MEDCAN24 this month that he expected Youngkin to again veto a bill allowing legal cannabis sales if they reached his desk during this legislative session. However, despite this, he said that lawmakers should still take the issue up.

He said: “We have one year left of Youngkin. If we get the bill out and on his desk two more times, the Democrats will be able to pass the same legislation.” The feeling is this will set a very strong precedent to the next Governor.

Separately this week, legislative panels in the state advanced proposals that would seal records related to marijuana and begin planning access to psychedelic-assisted therapy for veterans.

A staff member explained that the amendment was made to move the date for the proposal’s enactment to July 1, 2020. This would allow Virginia State Police time to make the necessary changes.

In regards to the Senate Committee’s psychedelics proposals, Sen. Ghazala hashmi approved SB 1101 in its substitute form unanimously. The bill as introduced would have established a fund that would support veterans and FDA-designated breakthrough therapies, including psychedelics like psilocybin and MDMA.

The substitute version of the bill removed references to the fund, leaving only a portion of the proposal that would establish a six-member state advisory council to study and make further recommendations about the therapies, potentially in advance of a broader compassionate use program. By December 1, 2026, the report of the state advisory council will be required to the lawmakers and governor.

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Mike Latimer provided the photo.