Retail Cannabis Market (SB 542 & SB 543)
Item 491 #1s
Item 491 #1s | First Year - FY2027 | Second Year - FY2028 | |
| Independent Agencies |
| Virginia Cannabis Control Authority | FY2027 $0 | FY2028 ($6,220,439) | GF |
| FY2027 $18,223,509 | FY2028 $22,221,363 | NGF |
Language
Page 557, line 31, strike "$6,220,439" and insert "$24,443,948".
Page 557, line 31, strike "$6,220,439" and insert "$22,221,363".
Page 557, strike lines 36 to 39.
Page 557, after line 35, insert:
"A. The Board of Directors of the Cannabis Control Authority shall transfer $3.2 million each year from net profit amounts derived pursuant to § 4.1-614 of the Code of Virginia to the Alcoholic Beverage Control Authority to support enforcement of laws related to the illegal sale and distribution of marijuana and marijuana products, in anticipation of the establishment of a new joint Alcoholic Beverage and Cannabis Control Authority by January 1, 2028. The Department of Planning and Budget shall authorize such transfer.
B. The Board of Directors of the Cannabis Control Authority shall deposit into the Fund established pursuant to § 2.2-2499.8 of the Code of Virginia any net profit amounts designated for appropriation pursuant to paragraph 2 of subsection B of § 4.1-614 of the Code of Virginia and amounts designated pursuant to enactment clause 13 of Senate Bill 542. The Department of Planning and Budget shall authorize the transfer necessary for such deposit to such Fund.
C. On or before June 30, 2027, the Director, Department of Planning and Budget, shall authorize the reversion to the general fund of $2,192,415 from unexpended balances of this program.
D. Notwithstanding the provisions of § 4-3.02 of this act, the State Comptroller may authorize an interest-free treasury loan of up to $5,000,000, subject to the approval of the Secretary of Finance, for the Cannabis Control Authority to fund costs associated with the creation of a retail cannabis market in the Commonwealth consistent with the provisions of Senate Bill 542 and Senate Bill 543 of the 2026 Session of the General Assembly."
Explanation
(This amendment provides $18.2 million NGF the first year and $22.2 million NGF the second year to support implementation of Senate Bill 542 and Senate Bill 543, which relate to establishing a retail cannabis market and enforcing marijuana laws in the Commonwealth. The amendment also removes $6.2 million GF in the second year, when the Authority indicates it will be able to fully fund operations on nongeneral fund revenue. Language directs the Cannabis Control Authority to transfer $3.2 million each year of net marijuana revenue profits to the Alcoholic Beverage Control Authority so that they may hire 20.0 positions to support enforcement of laws related to the illegal sale and distribution of marijuana and marijuana products, in anticipation of the establishment of a new joint Alcoholic Beverage and Cannabis Control Agency by January 1, 2028. Language also directs the Cannabis Control Authority to deposit the amounts to the Cannabis Equity Business Loan Fund required by Senate Bill 542, including 75.0 percent of marijuana establishment annual licenses fees in FY 2027 and 30.0 percent of marijuana tax revenue.)