Vermont Governor Signs Bill To Double Legal Marijuana Possession Limit And Allow Interstate Commerce

Vermont’s governor has signed legislation that will allow adults over the age of 21 to legally possess twice as much marijuana as they could previously, enable interstate cannabis commerce and make other changes to rules for licensed businesses.

Gov. Phil Scott (R) on Friday announced that he approved the large-scale cannabis regulatory reform bill, S. 278, which passed both chambers of the legislature last month.

One of the main impacts of the new law for consumers is that it doubles the prior legal possession limit to up to two ounces of marijuana or 10 grams of hashish.

The legislation, sponsored by Sen. Kesha Ram Hinsdale (D), also allows the governor to enter into compacts with other states for cross-border cannabis trade.

The legislative text notes that there is a “shifting federal posture on regulated cannabis markets” and says it is “the intent of the General Assembly to prepare for the possibility of regional or interstate cannabis markets.”

A provision says that such agreements could only move forward if federal law is amended to allow for interstate transfer of cannabis, if a federal law is enacted that blocks use of agency funds to prevent such transfers, if the U.S. Department of Justice issues a memo allowing or tolerating such activity or if the state attorney general certifies that entering into interstate marijuana commerce agreements “will not result in significant legal risk to this State based on review of federal judicial decisions and administrative action.”

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The bill signed by the governor also creates a pilot program for cannabis events at which businesses could sell products but where cannabis consumption would not be allowed.

The legislation additionally says that housing rental agreements cannot prohibit tenants from “possessing cannabis or cannabis products within the rental premises or using cannabis or cannabis products within a dwelling unit, except that a rental agreement may prohibit the use of lighted cannabis or cannabis products intended for inhalation within the rental premises.”

It also eliminates the vertically integrated license type and reduces licensing fees for cannabis cultivation businesses, among other technical changes to current statute.

Earlier versions of the bill would have altered potency restrictions for cannabis products, reduced taxes and allowed on-site consumption licenses and delivery services, but those provisions were removed during the legislative process prior to final passage.

In 2018, Scott signed a bill to legalize marijuana possession and home cultivation and then allowed subsequent legislation to legalize commercial cannabis sales to take effect without his signature in 2020.

Photo courtesy of Mike Latimer.