Virginia: Adult-use cannabis sales language included in signed budget

Gov. Abigail Spanberger (D) signed the 2026/27 state budget, which includes language to officially launch Virginia’s adult-use cannabis market! While the governor previously vetoed adult-use cannabis sales bills, lawmakers successfully negotiated the language into the final budget. The compromise between the governor and the General Assembly marks the final step in a legalization journey that citizens of the commonwealth have waited for five years.

The compromise includes some provisions the governor outlined in her heavily-amended version of the legislation passed by the General Assembly earlier this year. You can read an overview of the adopted bill here. The compromise language includes:

• Personal possession amounts will increase from one ounce to two ounces
• Adult-use sales will begin on July 1, 2027
• There will be up to 350 stores across the Commonwealth
• The retail tax will increase from 6% to 8% on July 1, 2029 (in addition to the 5.3% sales tax, and localities may add a 1% to 3.5% tax)
• The Virginia Cannabis Control Authority (VCCA) will regulate all cannabis products, including hemp products
• The VCCA will be governed by a five-member board appointed by the governor

The compromise includes raising the civil fine for public consumption of cannabis products to $250 from the current civil fine of $25. This and other new penalties will go into effect on July 1, 2027, and can be altered in the next legislative session. Possession by those under 21 will remain a $25 civil fine, but will also include mandatory participation in a substance abuse program, education program, or both. This compromise was critical because the governor had wanted misdemeanor criminal charges for those violations.

To the citizens and elected officials of the Old Dominion: congratulations! Once again, Virginia has provided leadership on an issue that matters to millions of Americans.