Virginia Lawmakers Unveil Proposal to Allow Licensed Cannabis Sales Statewide

Lawmakers created the Joint Commission to Oversee the Transition of the Commonwealth into a Cannabis Retail Market earlier this year to untangle how Virginia should handle retail legalization after repeated vetoes and stalled efforts. At today’s meeting, the commission rolled out draft legislation that would authorize licensed cannabis businesses across the state, creating a pathway for regulated cultivation, processing, and storefront sales for those 21 and older. If the General Assembly adopts the proposal during the 2026 session and sends it to the governor, legal sales could begin as early as late 2026.

Right now, Virginia is one of just 24 legal marijuana states that does not allow licensed adult-use sales. Adults 21 and older may possess up to one ounce, grow up to four plants per household, and purchase medical products from licensed processors, but there is no legal way for residents to buy recreational marijuana from a store.

The bill’s introduction lands at a pivotal moment. Governor-elect Abigail Spanberger, who takes office soon, has expressed clear support for launching a regulated retail market. Her position signals a major shift from outgoing Governor Glenn Youngkin, who previously vetoed sales legislation that was approved by the legislature.

The new proposal gives lawmakers a detailed blueprint outlining how licensing, taxation, social equity, and product testing could work. The panel said the proposal includes a “tiered licensing system” that will “prioritizes small business”. For the first two years, retail licenses will be limited to 100, with cannabis taxed at 12.75% statewide with cities having the option of placing a local tax of up to 3%.

Importantly, the legislation would not allow cities to opt out of allowing cannabis businesses, with the panel saying that allowing cities to opt out of the legal market is the same as allowing them to opt in to the illicit market.

Legislators will now decide whether to advance the measure when they return to Richmond for the next session early next year.