Virginia cities, counties and towns will not be allowed to opt out of recreational cannabis sales under budget language approved by the Legislature and expected to be signed by Governor Abigail Spanberger.

The provision, included in the state’s two-year budget bill, would create a regulated adult-use marijuana market after years in which adults 21 and older have been allowed to possess marijuana but have had no legal way to purchase it for recreational use. The proposal would also increase the legal possession limit.

Under the approved language, no county, city or town may adopt an ordinance or resolution that regulates or prohibits the cultivation, processing, possession, sale, distribution, handling, transportation, consumption, use, advertising or dispensing of marijuana or marijuana products. In effect, local governments could not simply ban licensed marijuana businesses from operating within their borders.

Localities would still retain some authority. The budget language preserves the ability of cities, counties and towns to enforce local zoning, land-use and business license requirements. They would also be allowed to set hours during which marijuana and marijuana products may be sold, and each locality would be required to impose an additional local marijuana tax of between 1% and 3.5%.

The no-opt-out structure is notable because many states with legal recreational marijuana allow local governments to ban dispensaries or other cannabis businesses. In some markets, local bans have resulted in large portions of the state having no licensed retailers, even when marijuana sales are legal statewide.

A small number of states have taken an approach similar to Virginia’s proposed system. Maryland and New Mexico, for example, do not allow local governments to completely prohibit licensed cannabis businesses, though they still allow reasonable zoning and time, place and manner restrictions. Minnesota also bars local governments from prohibiting licensed cannabis businesses, while allowing certain local controls.

That makes Virginia’s language relatively rare among adult-use marijuana states, where opt-out provisions have often been included as part of legalization compromises.

The adult-use sales framework was revived through the budget after Spanberger vetoed a standalone marijuana sales bill earlier this year. That earlier bill also did not include a broad local opt-out, but the veto raised questions about whether the compromise budget language would make changes to local authority.

Instead, the final budget language appears to keep the no-opt-out approach intact.

If signed by Spanberger, the budget would put Virginia on track to launch licensed adult-use marijuana sales on July 1, 2027.