HB 642 Virginia House of Delegates · 2026 Regular Session

Cannabis control; establishes framework for creation of retail marijuana market, penalties, report.

Summary
An Act to amend and reenact §§ 2.2-2499.8, 2.2-2818, 2.2-2905, 2.2-3114, 2.2-3711, as it is currently effective and as it shall become effective, 2.2-3802, 2.2-4024, 3.2-4112, 3.2-4113, 3.2-4116, 3.2-4126, 3.2-5145.1, 3.2-5145.2:1, 3.2-5145.4, 4.1-103, 4.1-105, 4.1-352, 4.1-600, 4.1-601, 4.1-603, 4.1-604, 4.1-606, 4.1-607, 4.1-611, 4.1-614, 4.1-621, 4.1-1100, 4.1-1101, 4.1-1121, 4.1-1402, 4.1-1500, 4.1-1501, 4.1-1502, 4.1-1600 through 4.1-1603.2, 4.1-1604, 5.1-13, 9.1-1101, 15.2-912.4, 16.1-69.40:1, 16.1-260, 16.1-273, 16.1-278.9, 18.2-46.1, 18.2-247, 18.2-248, 18.2-248.01, 18.2-251, 18.2-251.03, 18.2-251.1:1, 18.2-251.1:2, 18.2-251.1:3, 18.2-252, 18.2-254, 18.2-255, 18.2-255.1, 18.2-255.2, 18.2-258, 18.2-258.02, 18.2-258.1, 18.2-265.1, 18.2-265.2, 18.2-265.3, 18.2-287.2, 18.2-308.012, 18.2-308.4, 18.2-371.2, 18.2-460, 18.2-474.1, 19.2-66, 19.2-81, 19.2-81.1, 19.2-83.1, 19.2-188.1, 19.2-303.01, 19.2-386.22 through 19.2-386.25, 19.2-389, as it is currently effective and as it shall become effective, 19.2-389.3, 19.2-392.02, 19.2-392.6 and 19.2-392.12:1, as they shall become effective, 22.1-206, 22.1-277.08, 23.1-1301, 46.2-105.2, 46.2-347, 48-17.1, 53.1-231.2, 54.1-2903, 54.1-3401, 54.1-3443, 58.1-301, and 59.1-200 of the Code of Virginia; to amend the Code of Virginia by adding in Subtitle II of Title 2.2 a part labeled D, containing a chapter numbered 61, consisting of a section numbered 2.2-6100, by adding in Chapter 6 of Title 4.1 sections numbered 4.1-629 and 4.1-630, by adding in Title 4.1 chapters numbered 7 through 10, consisting of sections numbered 4.1-700 through 4.1-1010, by adding sections numbered 4.1-1102 through 4.1-1105, 4.1-1106, 4.1-1106.1, 4.1-1113, 4.1-1114, 4.1-1115, 4.1-1117, 4.1-1118, and 4.1-1119, by adding in Title 4.1 a chapter numbered 12, consisting of sections numbered 4.1-1200 through 4.1-1206, by adding in Chapter 13 of Title 4.1 sections numbered 4.1-1300, 4.1-1301, and 4.1-1303 through 4.1-1309, by adding in Chapter 14 of Title 4.1 sections numbered 4.1-1403 through 4.1-1407, by adding a section numbered 4.1-1602.1, by adding in Title 4.1 a chapter numbered 17, consisting of sections numbered 4.1-1700 through 4.1-1705, by adding in Article 2 of Chapter 1 of Title 6.2 a section numbered 6.2-108, and by adding in Chapter 44 of Title 54.1 a section numbered 54.1-4426; and to repeal Article 4 (§§ 3.2-4122 through 3.2-4126) of Chapter 41.1 of Title 3.2 and §§ 3.2-5145.4:1, 4.1-1101.1, 4.1-1105.1, 18.2-248.1, and 18.2-251.1 of the Code of Virginia, relating to cannabis control; retail market; penalties.
Bill status vetoed 4 of 5 stages cleared
Introduction
Jan 2026
Committee Review
Mar 2026
House of Delegates Passage
Mar 2026
Senate Passage
Mar 2026
Vetoed
Apr 2026
Introduced Jan 13, 2026 Vetoed Apr 13, 2026
Maddy AI version diff · 7 comparisons

What changed between versions

Transportation & Public Safety Subcommittee Substitute Rehabilitation and Social Services Substitute · 6 edits
MODERATE
This bill was transferred from the House Appropriations Committee to the Senate Rehabilitation and Social Services Committee, changing the bill's primary focus from general funding allocation to social equity and rehabilitation initiatives. The most significant substantive change is the reduction of the state marijuana sales tax from 6% to 12.875% (a net increase in the tax rate due to the removal of the retail sales tax exemption), alongside a shift in how net profits are distributed to fund early childhood education and the Cannabis Equity Reinvestment Fund. Additionally, the bill adds new powers for the Alcoholic Beverage Control Authority to enforce cannabis laws and expands the operational flexibility for microbusiness licensees.
Scope change
The bill's scope shifted from a House-led financial appropriations focus to a Senate-led social services focus, resulting in the addition of new enforcement duties for the Alcoholic Beverage Control Authority and expanded operational rules for microbusinesses.
FISCAL

The state marijuana sales tax rate was increased from 6% to 12.875%, replacing the previous structure where a portion of the tax was exempt from the general retail sales tax.

The allocation of net profits from the marijuana industry was changed: the share for the Cannabis Equity Reinvestment Fund decreased from 36% to 30%, while the share for early childhood education programs increased from 40% to 40% (with expanded language supporting early childhood care and education).

ENFORCEMENT

New sections were added to grant the Virginia Alcoholic Beverage Control Authority the power to enforce cannabis laws, conduct tip line operations for reporting illicit marijuana activity, and provide training to support these enforcement duties.

REQUIREMENT

Microbusiness licensees were granted the ability to operate up to two separate locations within 10 miles of each other, provided they share common ownership and control, expanding their operational flexibility.

The Board of Directors composition was modified to include five members appointed by the Governor and two members appointed by the Joint Rules Committee, replacing the previous mix of appointments by the Governor, Speaker of the House, and Senate Committee on Rules.

TECHNICAL

Several sections were updated to correct formatting errors, remove redundant text, and ensure consistent legal phrasing regarding application processes and regulatory standards.

Floor votes · Senate Mar 3, 2026 · House of Delegates Feb 17, 2026

How they voted

390
Passed
Total votes 39
Mar 3, 2026
D Democratic20
20 Yea
100% Yea
R Republican19
19 Yea
100% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
62
Key actions
16
Committee
16
Apr 13, 2026
Vetoed
Governor's recommendation received by House
executive
Mar 31, 2026
Lower · Passed
Signed by Speaker
lower
Mar 30, 2026
Upper · Passed
Signed by President
upper
Mar 30, 2026
Lower · Passed
Bill text as passed House and Senate (HB642ER)
lower
Mar 14, 2026
Lower · Passed
Conference report agreed to by House (64-Y 32-N 0-A)
lower
Mar 13, 2026
Upper · Passed
Conference report agreed to by Senate (21-Y 18-N 0-A)
upper
Mar 13, 2026
Legislature · Passed
Conference Report released
legislature
Mar 4, 2026
Committee
Senate requested conference committee
upper
Mar 4, 2026
Upper · Passed
Passed Senate with substitute (21-Y 19-N 0-A)
upper
Mar 3, 2026
Upper · Passed
Passed by for the day (Voice Vote)
upper
Mar 3, 2026
Upper · Passed
Reported from Finance and Appropriations (10-Y 5-N)
upper
Feb 27, 2026
Committee
Rereferred from Courts of Justice to Finance and Appropriations (10-Y 5-N)
upper
Feb 27, 2026
Upper · Passed
Reported from Rehabilitation and Social Services with substitute and rereferred to Courts of Justice (8-Y 7-N)
upper
Feb 27, 2026
Upper · Passed
Senate committee offered
upper
Feb 18, 2026
Committee
Referred to Committee on Rehabilitation and Social Services
upper
Feb 17, 2026
Lower · Passed
Read third time and passed House (65-Y 32-N 0-A)
lower
Feb 11, 2026
Lower · Passed
Reported from Appropriations with substitute (16-Y 6-N)
lower
Feb 11, 2026
Lower · Passed
House subcommittee offered
lower
Jan 27, 2026
Committee
Assigned HAPP sub: Transportation & Public Safety
lower
Jan 27, 2026
Lower · Passed
Reported from General Laws with substitute and referred to Appropriations (19-Y 2-N)
lower
Jan 23, 2026
Lower · Passed
House subcommittee offered
lower
Jan 20, 2026
Committee
Assigned HGL sub: Subcommittee #5
lower
Jan 13, 2026
Committee
Referred to Committee on General Laws
lower
1 primary · 5 co-sponsors

Sponsors