How Virginia's legal weed market could look
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Illustration: Brendan Lynch/Axios
For the third time in three years, the Virginia General Assembly approved legislation to create the state's retail marijuana marketplace — just five short years after they legalized possession of it.
Why it matters: With a new governor in the executive mansion, Virginians will likely be able to start legally buying recreational weed within a year. Maybe.
State of play: This week, the House of Delegates and the Senate each passed separate bills that set up the framework for the state's retail cannabis market.
- The proposals establish the tax rates, timeline for rollout, license caps, enforcement, revenue and more.
- The bills are similar to legislation passed in 2024 and 2025, but unlike former Gov. Youngkin, who vetoed the bills both times, Gov. Spanberger has indicated she's likely to sign.
- But first, the House and the Senate have to hammer out differences between their bills, which are broadly alike, but differ in a few key ways.
Zoom in: Here's what you need to know about them.
- Under both bills, adults 21 and older would be able to buy up to 2.5 ounces of marijuana from a state-licensed retail store.
- Legal possession also increases from the current 1 ounce to 2.5 ounces.
- Both bills cap the number of stores in the state at 350.
- Neither allow localities to hold referenda to ban retail marijuana stores, but local governments can control where they go and when they're open.
- The level of THC allowed in products is capped at 10 milligrams per serving or 100 milligrams per package.
- The House would allow sales to start as early as Nov. 1, and the Senate version on Jan. 1.
Follow the money: The Senate bill proposes a 12.9% sales tax on recreational marijuana products and gives localities the option at add a 3% sales tax.
- The House calls for a 6% sales tax and gives localities the option of adding 1% to 3.5%.
- Both call for tax revenue to go toward programs that support early childhood education, behavioral health and community reinvestment.
The intrigue: Neither bill allows for onsite consumption, like a weed cafe or lounge, but they do direct a state commission to study the issue and report its findings by Nov. 1.
Fun fact: Both bills call for the Cannabis Control Authority to oversee the retail program, but the Senate version calls for CAA to merge with Virginia ABC.
- The Senate version also sets a 2028 deadline for the merger to create the Alcoholic Beverage Cannabis Control Authority, making Virginia ABC ABCCA, something no one will call it.
The bottom line: 2026 (or Jan. 1, 2027) might turn out to be the year Virginians can legally buy the weed they've been legally allowed to possess since 2021.
Editor's note: This story has been corrected to say just the Senate version of the retail marijuana marketplace bill calls for the Cannabis Control Authority to merge with Virginia ABC.
