Virginia Scope
Keeping you informed on state politics
By Molly Manning
Gov. Abigail Spanberger proposed amendments to legislation that would establish a retail marijuana market in Virginia.
The legislation that passed out of the General Assembly would start retail sales on Jan. 1, 2027, but Spanberger is proposing to amend it and delay the start by six months.
The amendment language was not immediately available, but the announcement from Spanberger’s office said the delay would “allow for additional time to implement a legal market safely and curb the illicit market.”
Related: Update on details about the amendments and comments from the governor and bill sponsors.
The legislation that was sent to the governor allows for up to 350 retail stores throughout the state, where residents over 21 will be able to purchase up to two and a half ounces of flower (or the equivalent amount of marijuana products).
Democratic Lawmakers have been working for years to establish a retail market in the state — a bipartisan joint commission has been working since last January to plan and oversee the commonwealth’s transition to a fully legal retail marijuana market.
Legislation that advanced out of the Democratic-controlled General Assembly in recent years was repeatedly vetoed by former Republican Gov. Glenn Youngkin.
The Virginia Cannabis Control Authority — created in 2021 via legislation to legalize the possession of marijuana — will be tasked with overseeing the licensing for growers and vendors.
Democrats, while they have been working for years to create the retail market, differed in their approach. A final conference report brought the House and Senate versions together.
The two passed bills in their respective chambers were House Bill 642, introduced by Del. Paul Krizek, D-Fairfax, and Senate Bill 542, introduced by Sen. Lashrecse Aird, D-Petersburg.
Krizek previously told Virginia Scope his legislation aims to create a “fair and safe and inclusive cannabis market.”
Krizek said they have taken community input into account in the process of drafting legislation for the creation of a “well-regulated multi-billion dollar industry.”
The reconciled legislation that advanced out of the General Assembly includes a 6% statewide tax with additional local taxes, determined by localities, between 1% and 3.5%.
Legislators said lower tax rates were key in drawing consumers to the legal market.
Chelsea Higgs Wise, executive director of Marijuana Justice said that the January start date would be too soon.
“On Jan. 1, the only people that will be ready are the operators that are able to convert and they are all out-of-state operators and large corporations,” Higgs Wise said. “They get many benefits that Virginia independent businesses do not.”
Virginia currently has 36 medical dispensaries — five medical operators are authorized in the state with six dispensaries each. Higgs Wise said these stores would end up monopolizing the market for the next two years, until smaller, independent Virginia businesses have the chance to obtain licenses and establish themselves.
Higgs Wise also said the current medical dispensaries would not be able to handle the demand come Jan. 1 and will most likely run out of cannabis, both recreational and medicinal.
“Rushing to market and revenue is going to provide us long-term detriments to our industry, but it’s also going to keep consumers with a low-quality high-priced product probably for the next two years,” Higgs Wise said.
Legislators will take up the governor’s vetoes and amendments on April 22.
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Virginia Scope
Keeping you informed on state politics
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