Virginia Senate Moves Closer to Legalizing Marijuana Sales, But Governor’s Veto Looms

Virginia’s Senate has inched forward with plans to legalize commercial marijuana sales, giving initial approval to a bill that could establish a regulated market. While the proposal still needs a final Senate vote, history suggests it will likely hit a familiar roadblock—the governor’s desk.

Bill Clears Senate Hurdle, Awaits Final Vote

The bill, SB 970, sponsored by Sen. Aaron Rouse (D), advanced on a voice vote in the Senate on Thursday. It now heads for a third reading and a final vote in the chamber. A parallel bill, HB 2485, introduced by Del. Paul Krizek (D), has already cleared committee in the House of Delegates and awaits a floor vote.

If the legislation becomes law, adults 21 and older would be able to purchase up to 2.5 ounces of marijuana from licensed retailers. Sales wouldn’t start before May 1, 2026, but the Virginia Cannabis Control Authority could begin issuing licenses as early as September this year.

A proposed tax rate of up to 11.625% would apply to retail purchases. Local governments could choose to ban dispensaries—but only if voters approve the measure in a referendum.

A Familiar Political Standoff

Virginia technically legalized marijuana possession and home cultivation in 2021. But a retail market never materialized due to Republican resistance after the party regained control of the House of Delegates and the governor’s office later that year.

In 2023, a similar bill to regulate sales made it through the legislature, only to be vetoed by Gov. Glenn Youngkin (R). Lawmakers expect the same outcome this year if the bill reaches his desk.

Sen. Rouse and other supporters argue that legal sales are necessary to curb the state’s thriving illicit market, which some estimates peg at nearly $3 billion. Illegal dispensaries have flourished, filling the gap left by the lack of licensed retailers.

“This bill does not legalize marijuana,” Rouse told lawmakers earlier this week. “This is a bipartisan effort to limit and mitigate the illicit market and drive it out while providing revenues for our localities in our state.”

What the Bill Would Change

Here’s a breakdown of the key provisions in the proposed legislation:

  • Sales Timeline: Retail sales could begin on May 1, 2026.
  • Purchase Limits: Adults could buy up to 2.5 ounces per transaction.
  • Taxation: A total tax rate of up to 11.625%, including a new 8% marijuana tax, would apply. Local governments could add an extra 2.5%.
  • Regulatory Oversight: The Virginia Cannabis Control Authority would handle licensing and regulation.
  • Local Opt-Out: Cities and counties could ban dispensaries, but only through a voter-approved referendum.
  • Retail Restrictions: Dispensaries would need to be at least 1,000 feet apart. No drive-throughs, vending machines, or delivery services would be allowed.
  • Cultivation Rules: Growers would be regulated by canopy size. Larger cultivators would have to grow indoors, while smaller operations could use outdoor space.
  • License Limits: No one could hold more than five licenses, excluding transport licenses.

One of the more controversial aspects is how the bill handles equity. A microbusiness program would prioritize licenses for those with past cannabis-related offenses, military veterans, and people from historically disadvantaged communities.

Criminal Penalties and Gray Market Crackdowns

Despite the push for a legal market, lawmakers have also included new criminal penalties in the bill.

  • Underage Sales: Selling to anyone under 21 would be a Class 1 misdemeanor, carrying up to a year in jail and a $2,500 fine.
  • Intoxicated Sales: Selling to someone who appears intoxicated would also be a Class 1 misdemeanor.
  • “Gifting” Loophole: Using the loophole where marijuana is given as a “gift” with another purchase would be penalized as a Class 2 misdemeanor for a first offense, and a Class 1 misdemeanor for subsequent violations.
  • Illegal Home Processing: Using butane or volatile solvents to process homegrown cannabis would be a Class 1 misdemeanor.

People under 21 caught possessing marijuana would face a civil penalty of up to $25 and be required to attend a substance use treatment or education program.

What Happens Next?

The Senate is expected to take a final vote soon, after which the bill will move to the House for consideration. The House version, HB 2485, must also clear its floor vote before any final negotiations between the chambers.

Even if the bill survives the legislative process, Youngkin remains the biggest obstacle. Advocates hope that if the governor vetoes the bill again, the precedent of repeated legislative approval will strengthen the case for legal sales under his successor.

“We’ve got one more year of Youngkin, and then if we can get it out, get it on his desk, that’ll be two times the Democrats have gotten the exact same bill through,” said Jason Blanchette, president of the Virginia Cannabis Association. “The feeling is that’ll set some very strong precedent for the next governor.”

Meanwhile, lawmakers are also considering other cannabis-related reforms, including sealing past marijuana records and establishing an advisory council to study psychedelic-assisted therapy for veterans.

For now, Virginia’s legal marijuana market remains in limbo. Whether lawmakers can break the political deadlock remains to be seen.

By Oliver Davies

Oliver Davies is a dedicated marijuana and drugs news writer at CBD Strains Only. With a background in journalism and a passion for staying informed about the latest developments in the marijuana industry, Oliver's articles provide valuable insights and analysis. Through his expert reporting, Oliver aims to keep readers up-to-date on the ever-evolving landscape of marijuana and drug-related news.

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