Medical Cannabis Derived Funds in West Virginia Remain Unspent
The West Virginia Treasurer’s Office says it will not spend funds derived from the state’s medical cannabis industry until changes in federal law, Mountain State Spotlight reports. Since the first dispensary opened in the state in 2021, West Virginia has collected about $34 million in taxes, licensing fees, and interest, but the money is being held at a credit union under the control of the Treasurer’s Office.
State Del. Mike Pushkin (D), who helped write the state’s 2019 cannabis banking legislation, told the Spotlight that he was “not aware” that the funds were sitting unspent and that there were no discussions he was involved in during that legislative session, or after, that the funds would not be allocated.
The state’s medical cannabis law included the establishment of a medical cannabis research program; however, state Department of Health spokesperson Gailyn Markham told the Spotlight that the program has not been created because the funds have not been released.
Dr. Matthew Christiansen, former state health officer from 2023 to 2024, said he was unable to get a clear answer on how much money was in the fund, but told the Spotlight it was “a significant amount of money.”
It could be used to help quite a few people or stand up specific programs for a period of years that would make a positive impact for people with addiction. It’s nothing to sneeze at.” — Christiansen to the Spotlight
If the entire fund was distributed today, about $19 million would go back to the Bureau for Public Health within the Department of Health; nearly $8 million to the Fight Substance Abuse Fund overseen by the Department of Health; $6 million would be sent to the Division of Justice and Community Services; and $1.5 million to a special revenue account for law enforcement professional training and professional development programs, the report says.
The state’s medical cannabis law requires the funds to be used to create the medical cannabis research program, provide resources to residents with substance use disorder, and fund law enforcement training.