Bill > SB970

This bill establishes a comprehensive framework for creating a regulated retail marijuana market in Virginia, set to begin operations on May 1, 2026. The bill creates the Virginia Cannabis Control Authority to oversee marijuana licensing, production, processing, transportation, testing, and retail sales. Key provisions include allowing adults 21 and older to possess up to two and one-half ounces of marijuana, permitting home cultivation of up to four marijuana plants per household, and establishing a tiered licensing system for marijuana businesses. The bill creates a Cannabis Equity Reinvestment Fund to support communities disproportionately impacted by previous marijuana prohibition and introduces a "micro business" category to promote participation by smaller entrepreneurs. The bill provides for the creation of different types of marijuana establishment licenses, including cultivation facilities (with five different tiers based on canopy size), processing facilities, testing facilities, transporters, and retail stores. It sets strict regulatory requirements for licensing, including background checks, strict packaging and labeling standards, and limitations on advertising. The legislation also allows local jurisdictions to conduct referendums to prohibit retail marijuana stores in their areas. Financial provisions include an 8% state tax on marijuana sales, with revenues allocated to pre-kindergarten programs, the Cannabis Equity Reinvestment Fund, substance use disorder prevention and treatment, and public health programs. The bill provides a phased implementation, with license applications beginning September 1, 2025, and giving priority to existing medical cannabis processors and industrial hemp producers. Importantly, the bill includes social equity provisions aimed at supporting individuals and communities historically impacted by marijuana criminalization, with mechanisms to reduce barriers to entry for micro businesses and provide financial and technical support to entrepreneurs from disadvantaged communities.

Budget and Finance, Justice

https://lis.virginia.gov/bill-details/20251/SB970