VirginiaSB5432026 Regular SessionSenateWALLET

Marijuana and hemp products; enforcement.

Sponsored By: Lashrecse D. Aird (Democratic)

Signed by Governor

Summary

Marijuana and hemp products; enforcement. Amends various provisions of law to increase enforcement and penalties related to the illegal sale of marijuana or marijuana products by persons licensed by the Virginia Department of Agriculture and Consumer Services, the Virginia Alcoholic Beverage Control Authority, and the Virginia Cannabis Control Authority (CCA). The bill also requires the Board of Directors of the CCA to create and require a decal for retail marijuana store licensees to prominently display on the premises of such store that allows consumers to electronically verify the validity of such store's license from the Board. The bill requires such decal to be displayed by licensees, with a civil penalty of $10,000 for each day that such decal is not displayed in the establishment. The bill also creates a $10,000 civil penalty for creating or falsifying such decal. The bill allows the Board to issue a notice of violation and order to cease unlicensed activity to any person who is engaged in the cultivation, processing, distribution, or selling of marijuana or marijuana products in violation of current law, and if the Board issues such notice and order, it may also order the seizure of such marijuana or marijuana products. Any person who intentionally removes such notice and order or sticker without authorization of the Board is subject to a civil penalty prescribed by the Board, not to exceed $5,000. The bill also specifies that the Chief Executive Officer of the Board or investigators appointed by him shall be sworn to enforce the provisions of the Cannabis Control Act and Board regulations and have the authority to investigate violations of the statutes and regulations the CCA is required to enforce. The bill also revises certain provisions related the assessment of civil penalties against manufacturers and sellers of certain industrial hemp extracts and foods containing industrial hemp extracts and makes it a prohibited practice under the Virginia Consumer Protection Act to sell or offer for sale a substance intended for human consumption, orally or by inhalation, that (i) contains more than 0.3 percent total tetrahydrocannabinol or (ii) contains more than two milligrams of total tetrahydrocannabinol per package. Additionally, the bill requires the Secretary of Public Safety and Homeland Security and the Secretary of Health and Human Resources to convene a work group to analyze the current efforts in the Commonwealth to combat the sale of illicit cannabis products and submit a report of its findings and recommendations to the Chairs of the House Committees on Appropriations, on General Laws, and for Courts of Justice and the Senate Committees on Finance and Appropriations, on General Laws and Technology, on Rehabilitation and Social Services, and for Courts of Justice by October 1, 2026.

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Bill Overview

Analyzed Economic Effects

11 provisions identified: 4 benefits, 7 costs, 0 mixed.

Businesses risk licenses over cannabis violations

Virginia’s agriculture commissioner may deny, suspend, or revoke hemp retail registrations for hemp-rule violations or repeated specified marijuana sales, marketing, or labeling violations on-site. Localities must revoke covered business licenses for repeated Cannabis Control Act violations; the law does not define “repeatedly.” After the specified finding of repeated illegal marijuana sales, marketing, or labeling on licensed premises, the alcohol authority must suspend or revoke licenses or impose the applicable brewery penalty. The agriculture commissioner may also deny, suspend, or revoke food permits after a court finds violations of the listed consumer protection rules. That food-permit authority applies to § 59.1-200(A)(69) through (74).

Cannabis businesses face license decal penalties

Covered cannabis sellers, including retail stores, microbusinesses, pharmaceutical processors, and dispensing facilities, must display Board-issued license decals inside and outside. Covered consumer-sale locations include those selling marijuana, marijuana products, paraphernalia, immature plants, or seeds. Each decal must say “LICENSED BY THE VIRGINIA CANNABIS CONTROL AUTHORITY” and include a QR code linking to license or permit verification. Selling marijuana or marketing products as marijuana without the required decal is prohibited; missing decals carry a $10,000-per-day civil penalty. Creating a false decal carries $10,000 per decal; displaying one carries $10,000 per decal per day, and both penalties may apply.

Hemp businesses face steep daily fines

Listed hemp retail and hemp-extract food violations carry civil penalties of up to $10,000 for each day they occur. Violations include missing registrations or permits, retail sales after registration suspension or revocation, required disclosure failures, and specified improper cannabinoid advertising or labels. Applicable limits include 0.3% THC by weight and 2 mg total THC per package, unless total CBD is at least 25 times total THC. The hemp-extract penalty rule excludes products that are both FDA-approved for marketing and scheduled under Virginia’s Drug Control Act. It also excludes products dispensed under the specified prescription-dispensing law.

Repeat hemp violations trigger five-year bans

People who negligently violate Virginia’s industrial hemp rules must follow a correction plan set by the agriculture commissioner. Covered violations include missing registration, insufficient location information, excess THC, and specified production violations. The plan sets a reasonable correction deadline and requires periodic compliance reports for at least two calendar years. Three negligent violations within five years bar a person from growing, handling, or processing industrial hemp for five years. The ban begins on the date of the third violation.

Hemp sellers get labeling penalty relief

For a first violation limited to specified non-potency labeling or packaging rules, Virginia must give written notice and at least 15 business days to fix it. No civil penalty applies if corrected within that period and the product stays within applicable THC limits. For a seller’s first manufacturer-controlled labeling or packaging violation, the state must notify the manufacturer. The seller faces a civil penalty only with actual knowledge and continued sales or offers after written notice. Technical penalties cannot count every item or identical package; different-product packages or inspections may count, but this protection excludes excess THC and missing required child-resistant packaging.

Hemp extract violations carry criminal penalties

Listed violations involving industrial hemp extract or food containing it are Class 1 misdemeanors. These include operating without a required permit, missing required disclosures, and specified unlawful manufacture or sale of cannabinoid-labeled substances. Each day of violation counts as a separate criminal offense.

Safety guidance and reporting for marijuana users

Virginia’s Cannabis Control Authority Board must post safe home-growing guidance, including child protection, legal compliance, and avoiding nuisance practices. It must publish information about responsible marijuana use, health risks, driving and equipment dangers, and possible employment effects. All retail marijuana and marijuana product labels must show that resource’s web address. The Board must also run and advertise a phone and online tip line for anonymous reports of suspected illegal marijuana sales.

Police training covers cannabis and crisis arrests

Virginia’s Department of Criminal Justice Services must set compulsory minimum and in-service marijuana and hemp training standards by January 1, 2027. Standards cover state laws, illicit product identification, enforcement tools, penalties, and agency cooperation. Development must include at least one representative each from the state cannabis, alcohol, and agriculture agencies. Officers employed before July 1, 2026, must finish the in-service training by July 1, 2028. The department must also create arrest-discretion training for agencies, officers, and special conservators of the peace, emphasizing mental health crises, including emergency custody, temporary detention, and involuntary admission orders.

Participation plan supports communities harmed disproportionately

The Cannabis Control Authority must create and carry out a plan encouraging marijuana industry participation by people from disproportionately impacted communities. It must coordinate with the Cannabis Social Equity Liaison and the Director of Diversity, Equity, and Inclusion. The plan must aim to benefit those communities. The provision sets no funding amount or individual benefit.

Marijuana businesses can face permit fees

The Cannabis Control Authority Board may set and collect fees for marijuana permits, including permit applications. The law does not set fee amounts. Applicants and permit holders pay amounts established by the Board.

Stronger enforcement against illegal marijuana activity

The Cannabis Control Authority’s chief executive and investigators may investigate marijuana-law violations and issue summonses for unlicensed cultivation, processing, distribution, or sales. Investigators may seek a criminal warrant when a person refuses to stop unlawful activity or provide a written promise to appear. The Board may order unlawful activity stopped and marijuana or marijuana products seized. Recipients must stop the activities named in the order and allow the order and warning stickers to be posted. Intentional violations of notice or warning-sticker requirements can bring a civil penalty of up to $5,000.

Sponsors & Cosponsors

Sponsor

  • Lashrecse D. Aird

    Democratic • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 394 • No: 189

House vote • 4/22/2026

House concurred in Governor's recommendation

Yes: 65 • No: 33

Senate vote • 4/22/2026

Senate concurred in Governor's recommendation

Yes: 21 • No: 18

Senate vote • 3/14/2026

Conference report agreed to by Senate

Yes: 22 • No: 17

House vote • 3/14/2026

Conference report agreed to by House

Yes: 65 • No: 30

Senate vote • 3/12/2026

Senate acceded to request Block Vote

Yes: 40 • No: 0

Senate vote • 3/10/2026

General Laws Amendment rejected by Senate

Yes: 1 • No: 39

House vote • 3/6/2026

Passed House with amendment

Yes: 66 • No: 32

House vote • 3/3/2026

Subcommittee recommends reporting with amendment(s)

Yes: 8 • No: 1

House vote • 3/3/2026

Reported from General Laws with amendment(s)

Yes: 17 • No: 4

Senate vote • 2/17/2026

Read third time and passed Senate

Yes: 26 • No: 14

Senate vote • 2/16/2026

Finance and Appropriations Substitute agreed to

Yes: 0 • No: 0

Senate vote • 2/13/2026

Constitutional reading dispensed Block Vote (on 1st reading)

Yes: 35 • No: 0

Senate vote • 2/12/2026

Reported from Finance and Appropriations with substitute

Yes: 13 • No: 1 • Other: 1

Senate vote • 1/23/2026

Reported from Rehabilitation and Social Services and rereferred to Finance and Appropriations

Yes: 15 • No: 0

Actions Timeline

  1. House concurred in Governor's recommendation (65-Y 33-N 0-A)

    4/22/2026House
  2. Senate concurred in Governor's recommendation (21-Y 18-N 0-A)

    4/22/2026Senate
  3. Acts of Assembly Chapter text (CHAP1016)

    4/22/2026Governor
  4. Reenrolled bill text (SB543ER2)

    4/22/2026Senate
  5. Reenrolled

    4/22/2026Senate
  6. Approved by Governor-Chapter 1016 (Effective - see bill)

    4/22/2026Governor
  7. Signed by President

    4/22/2026Senate
  8. Signed by Speaker

    4/22/2026House
  9. Governor's recommendation adopted

    4/22/2026Governor
  10. Governor's recommendation received by Senate

    4/13/2026Governor
  11. Fiscal Impact Statement from Department of Planning and Budget (SB543)

    4/3/2026Senate
  12. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/31/2026Governor
  13. Enrolled Bill communicated to Governor on March 31, 2026

    3/31/2026Senate
  14. Signed by Speaker

    3/31/2026House
  15. Bill text as passed Senate and House (SB543ER)

    3/30/2026Senate
  16. Enrolled

    3/30/2026Senate
  17. Signed by President

    3/30/2026Senate
  18. Fiscal Impact Statement from Department of Planning and Budget (SB543)

    3/24/2026Senate
  19. Conference report agreed to by Senate (22-Y 17-N 0-A)

    3/14/2026Senate
  20. Conference report agreed to by House (65-Y 30-N 0-A)

    3/14/2026House
  21. Conference Report released

    3/14/2026
  22. House Conferees: Krizek, Torian, Wiley

    3/12/2026House
  23. Conferees appointed by House

    3/12/2026House
  24. Senate acceded to request Block Vote (40-Y 0-N 0-A)

    3/12/2026Senate
  25. Conferees appointed by Senate

    3/12/2026Senate

Bill Text

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