Democrats say the decision prolongs the state’s unregulated marijuana market five years after legalization of possession
Gov. Abigail Spanberger on Tuesday vetoed legislation that would have created Virginia’s long-delayed adult-use cannabis retail market, halting an effort lawmakers spent months negotiating five years after the commonwealth legalized marijuana possession.
The veto came after the General Assembly last month rejected Spanberger’s substitute proposal, which would have substantially rewritten the legislation approved during the 2026 session. Lawmakers instead sent the original bill back to the governor unchanged, setting the stage for her final decision on one of the session’s most closely watched issues.
Spanberger had until May 23 to sign the bill, veto it or allow it to become law without her signature. Tuesday’s action likely pushes any renewed negotiations into the 2027 legislative session.
In a statement released Tuesday afternoon, the governor said she supports creating a legal cannabis market place but argued the state first needs a stronger regulatory framework and enforcement structure before retail sales can begin.
“I share the General Assembly’s goal of establishing a safe, legal, and well-regulated cannabis retail marketplace in the commonwealth,” Spanberger said. “Virginians deserve a system that replaces the illicit cannabis market with one that prioritizes our children’s health and safety, public safety, product integrity, and accountability.”
Spanberger said Virginia should learn from other states that have already launched adult-use cannabis markets and emphasized the need for stronger oversight tools, including enforcement authority, inspections, product testing and resources to combat illegal operators. She said the state must ensure regulators are fully prepared “from day one” before moving forward with legal sales.
She also thanked the bill’s patrons for their work on the legislation and signaled she wants negotiations to continue ahead of next year’s legislative session. Spanberger added she remains committed to working with lawmakers, stakeholders and law enforcement officials to “get this right.”
The legislation, carried by Del. Paul Krizek, D-Fairfax, and Sen. Lashrecse Aird, D-Henrico, would have created a regulated retail marijuana market overseen by the Virginia Cannabis Control Authority. Retail sales would not have begun before January 2027 under the version approved by lawmakers.
Krizek and Aird blasted the veto Tuesday, arguing it leaves Virginia trapped in the same legal and policy limbo that has existed since marijuana possession became legal half a decade ago.
“Once again, Virginia’s efforts to establish a safe, regulated and equitable adult-use cannabis marketplace has been halted despite years of work, public input and broad recognition that the status quo is failing Virginians,” Aird said in a statement.
A legal grey area persists in Virginia
Virginia legalized possession of small amounts of marijuana in 2021 under former Gov. Ralph Northam, becoming the first Southern state to do so.
But lawmakers attached a reenactment clause requiring future legislative approval before retail sales could begin. After Republicans regained control of the House of Delegates later that year, then-Gov. Glenn Youngkin repeatedly blocked efforts to establish a retail market.
As a result, possession and limited home cultivation remain legal in Virginia, while retail sales outside the state’s medical cannabis system remain illegal.
That has left Virginia in an unusual position compared with neighboring states. Maryland launched adult-use retail sales in 2023, while the District of Columbia has long allowed recreational possession under a gray-market system.
Krizek and Aird said the veto allows Virginia’s illicit cannabis market to continue operating unchecked while delaying consumer protections and regulatory oversight that the legislation was designed to establish.
They argued cannabis sales are already happening throughout the commonwealth and said the debate is no longer about whether marijuana is being sold, but whether those sales should occur within a legal, regulated framework.
“Five years ago, Virginia legalized cannabis in recognition that the War on Drugs has caused disproportionate harm to Black families and communities,” Krizek said.
“The question now is whether Virginia will continue allowing an unregulated illegal market to thrive, or finally establish a safe, transparent system that protects consumers, keeps products away from children, and keeps our commitment to ending racially discriminatory marijuana policing in Virginia.”
He said lawmakers attempted to craft what he called a “balanced and thoughtful approach” aimed at protecting consumers while addressing racial disparities tied to past marijuana enforcement.
Lawmakers reject governor’s rewrite
Virginia lawmakers backing legalization also argued the absence of a regulated market allowed illicit sales to continue while costing the state tax revenue and consumer protections.
The legislation approved this year would have created licensing categories for growers, processors, wholesalers and retailers while prioritizing smaller businesses and applicants disproportionately affected by past marijuana enforcement policies.
The bill also included taxation and advertising rules, product testing requirements and penalties for illegal sales outside the regulated system.
But Spanberger proposed sweeping amendments during April’s reconvened session that would have significantly changed the bill.
The governor sought to delay implementation timelines, revise criminal penalties and restructure parts of the retail market, among other changes. Critics argued the substitute weakened social equity provisions and added new criminal enforcement measures lawmakers had intentionally tried to avoid.
Democratic lawmakers ultimately rejected the governor’s proposal during the reconvened session. The Senate voted 21-18 against adopting the substitute, while the House declined to take it up before returning the original bill to Spanberger.
Advocates accuse state of prolonging limbo
Chelsea Higgs Wise, executive director of Marijuana Justice, criticized the veto Tuesday, arguing that Virginia’s current system continues to criminalize communities without providing a legal, regulated marketplace.
“For five years, Virginia has been stuck in a limbo where adults can legally possess, share and grow cannabis, but there is still no regulated way to purchase it,” Wise said in a statement.
“By rejecting the retail bill, the governor has chosen to extend that chaos rather than move us toward a transparent, accountable retail system that centers public health, public safety and justice.”
Wise also said the veto undercuts recent efforts to expand protections for cannabis users and provide relief for people with prior marijuana convictions.
Spanberger signed a bill earlier this month that grants automatic hearings to incarcerated people convicted of marijuana offenses prior to 2021, allowing them to seek sentence reductions.
“As laws have changed in Virginia, it is important to ensure that those who have been previously convicted of offenses under since-changed laws receive fair treatment and sentencing review,” Spanberger said in a statement after the signing.
“For decades, marijuana enforcement disproportionately impacted minority communities and communities of color, contributing to inequities in the criminal justice system that Virginia must no longer ignore.”
Still, Wise warned against proposals that would increase criminal penalities or enforcement tied to cannabis use, saying such approaches would disproportionately impact Black, Latino and working class communities while increasing costs for the criminal justice system.
A joint legislative commission, chaired by Krizek, spent much of the past year holding hearings and developing recommendations aimed at addressing concerns about public safety, youth access, market consolidation and illegal sales.
Lawmakers and industry advocates viewed Spanberger’s election last year as a possible turning point after repeated clashes with the previous administration over cannabis policy.
In an interview with The Mercury in August, Spanberger signaled that she would sign a retail framework proposal.
“I support a legal marketplace for cannabis,” she said at the time. “I want to ensure that it is fully regulated, people know what they’re buying, and revenues go towards education.”
In their joint statement Tuesday, Aird and Krizek also sharply criticized the governor’s decision to reject the bill outright after lawmakers declined to adopt her substitute proposal last month.
“This veto prolongs uncertainty and provides comfort to those profiting from the illicit market,” they said, adding that responsibility for the consequences of the decision “belong to the governor and governor alone.”
This article was republished from the Virginia Mercury under Creative Commons license CC BY-NC-ND 4.0. You can view the original version here.
