Virginia Lawmakers At Impasse: How To Move Legal Cannabis Program Forward And Control Illicit Market?

A new law seeking to legalize recreational marijuana has stalled in Virginia’s GOP-controlled House, reported coastreporter.net on Thursday. Terry Kilgore, the chamber's majority leader, said that he does not expect the House to vote before the Tuesday deadline.
Garren Shipley, a spokesperson for House Speaker Todd Gilbert said their biggest concern is having a regulatory structure in place for retail sales in order to discourage the illicit market.

With adult possession legalized but no way to buy recreational marijuana in Virginia, both Republicans and Democrats have expressed support for moving up the date for retail sales to try to prevent growth in the illicit market. However, the two sides do not agree on how to reinvest tax revenues from marijuana sales.

“Changes could include moving up the start date for retail sales and getting rid of a provision that would give licensing preference to people who have been convicted of marijuana crimes”, reported Associated Press. “Republicans have filed at least eight bills that call for amendments to the 2021 law that legalized adult possession of up to an ounce of marijuana and laid the groundwork for retail sales to begin in 2024.”

Delegate Michael Webert (R) is sponsoring a bill that would redirect the 30% of tax revenues from marijuana sales currently earmarked for a Cannabis Equity Reinvestment Fund to a fund that would be used to rebuild crumbling school buildings in the state. “We are trying to ensure that the money goes to where it’s most needed,” Webert said.

Webert’s bill would reduce taxes on marijuana sales from 21% to 10%, to encourage people to buy from the legal market.

In addition, the bill would eliminate the possibility of including people who have been convicted of marijuana crimes or members of their immediate families as equity license applicants. “I believe that if you commit a crime and serve your time, you should have a seat at the table, but it shouldn’t put you at the front of the line,” Webert added.

“I’m really struck by this attempt to defund equity and reinvestment when we have committed to legalizing in a way to bring some kind of benefit to people impacted by the war on drugs,” Chelsea Higgs Wise, CEO of Marijuana Justice, told AP.

A separate bill filed by Sen. Tommy Norment (R) would funnel 30% of revenues from marijuana sales into the state’s general fund. Senator Adam Ebbin (D), is sponsoring two pieces of marijuana legislation in 2022. One of these bills would allow existing medical marijuana providers to begin selling recreational marijuana to adults a year earlier than Jan. 1, 2024.

Photo By Michael Kmetz On Unsplash. 

Market News and Data brought to you by Benzinga APIs
Posted In: CannabisGovernmentRegulationsPoliticsMarketsGeneralAdam Ebbinlegalization in VirginiaMarijuana Justice VirginiaMichael WebertTerry Kilgore
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

The Benzinga Cannabis Capital Conference is coming to Florida

The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.

Get your tickets now on bzcannabis.com â€“ Prices will increase very soon!


Loading...