Legislators have nipped Virginia’s budding cannabis industry, advocates say
Despite commitments from both major parties to improve on and regulate the marijuana industry, cannabis advocates say the General Assembly has left a flourishing industry in the weeds.
Jacob Williamson grows, makes, and sells hemp-based CBD products through his family’s Hens and Hemp farm. He went through the permitting process to be a hemp farmer when it became legal in 2019, but now he is leaving the industry.
“We can’t keep up with the multimillion-dollar cannabis industry coming into the state,” Williamson said. “So, we’re just gonna stop because it’s too much.”
Williamson represents a group of entrepreneurs concerned about the future of the commercial hemp industry in Virginia, because of what they say is the risk and increased regulation of selling these products.
Industrial hemp definition changes
Sen. Emmett Hanger, R-Augusta, introduced Senate Bill 591 which originally focused on the prohibition of cannabis goods that can be easily confused with everyday treats, and that are shaped like a “human, animal, vehicle, or fruit.”
“It would restrict the use of products that appeal to children through gummies,” Hanger said in committee.
The Virginia General Assembly allowed farmers to grow industrial hemp starting in 2019.
Lawmakers passed an amended version of Hanger’s bill, which redefines marijuana as any cannabis product with over .3% THC or .25 milligrams of THC per serving. That includes some non-intoxicating CBD products. The bill, however, excludes industrial hemp that is possessed by a person or company who holds a U.S. Department of Agriculture hemp producer license, as long as the THC level remains under .3%.
It is currently legal to possess, but not sell marijuana in the state of Virginia.
The .3% THC threshold comes from the 2018 Federal Farm bill. Anything over .3% THC is still federally defined as marijuana. In 2018, most marijuana used recreationally contained over 15% THC, according to the National Institute for Drug Abuse.
Hemp advocates are upset because they say the bill will limit product sales of items from edibles to salves.
Hanger told a Roanoke Times reporter recently that lawmakers “kind of stirred a hornet’s nest” but there is time to work on the bill before the legislature reconvenes in late April.
“Delta-8” legal loophole
Legislators want to crack down on the sale of Delta-8-THC, which has a similar chemical structure as the main psychoactive compound, or Delta-9, found in marijuana that gets users high. Delta-8 typically comes from hemp-derived CBD, according to the Food and Drug Administration.
Many Delta-8 products, which are low in THC, are made in a lab because additional chemicals are needed to increase the amount of THC, according to industry website Cannabis Tech.
The products get people buzzed, but still fall into a legal loophole. And a few adverse reactions to Delta-8 products have been reported to the FDA.
“I recognize there are a lot of legitimate businesses with legitimate products out there that shouldn’t be forced out of the market,” Hanger said. “But I think the broader issue right now is public safety.”
The U.S. Hemp Roundtable, a national advocacy group for hemp cultivators, stated in a press release that it supports regulation for public safety, but that new regulations are too broad.
“Advocates for SB591 provided no scientific basis or public safety justifications for these arbitrary restrictions,” the group stated.
The Virginia Hemp Coalition is an industrial hemp education and advocacy group whose goal is to create new agricultural and manufacturing opportunities for hemp farmers. The group has been involved in campaigns to amend SB 591 and shared a petition that has garnered almost 4,000 signatures. The group also wants Congress to expand the THC threshold to 1% in the next Farm Bill.
The Virginia Department of Agriculture and Consumer Service issues hemp permits and tests THC concentrations of hemp plants. The THC levels increase as CBD levels increase in the cannabis plant. Growers run the risk of getting higher THC levels in their cannabis plants in order to get a higher amount of CBD.
Henry Watkins, chief of staff for Sen. Adam Ebbins, D-Alexandria, said hemp growers might see a little more regulatory oversight, more testing and enforcement.
“I think folks who are saying this wasn’t enforced before are really saying ‘no one enforced it on me before,’” Watkins said.
Nipping the budding market
Many stores throughout Virginia since 2019 began selling a variety of CBD-based, low-THC products for a variety of reasons and ailments.
People who want to buy actual, high quantity THC marijuana can easily find it, despite the risk of prosecution. Some sellers offer delivery options and showcase product menus on social media. Many people began operating in those spaces when marijuana possession was decriminalized and in anticipation of the legal recreational market that many thought was greenlit for 2024.
Both parties mostly agreed a legal recreational marijuana market would generate substantial tax revenue for Virginians, but the session ended without lawmakers adopting a framework for sales.
The bill that passed in 2021 needed to be reenacted in the 2022 session, but a House committee continued the bill to the next session next year, effectively killing the reenactment clause and likely the January 2024 start date for recreational sales. The only way marijuana can be obtained legally is if it is grown or gifted, or if an individual has a state-issued medical marijuana card.
David Treccariche sells lab-tested CBD products at his boutique dispensary Skooma in Charlottesville. Hanger’s bill was an “absolute death nail in the coffin” for the industry, he said.
Treccariche said he expected small business owners to be more involved in cannabis policy making.
“They’re [Republicans] theoretically, pro-small business, limited government, limited oversight, limited regulations,” Treccariche said. “He’s a Republican, he should improve small businesses. Why would he shut me down?”
Treccariche’s products have QR codes for consumer protection, with nutrition information and THC concentrations for his products.
Senate President Pro Tempore Louise Lucas, D-Portsmouth, is co-owner of a Norfolk shop that sells legal CBD products. Some products sold at the store were over the threshold for allowed THC, according to a report published by the Virginia Mercury. The dispensary could be affected by Hanger’s legislation.
Lucas, who co-patroned the 2021 legislation that decriminalized simple possession of marijuana, voted for Hanger’s original bill but not the final amendment. She did not respond to repeated phone and email requests for comment on the bill.
Michael J. Massie, an attorney and board member of the Virginia Cannabis Control Authority, said there is no gray area for selling marijuana products.
“There is no provision that allows for the legal sales of marijuana at this juncture,” he said. “You sort of put yourself in a very precarious position where you might be prosecuted.”
Marijuana advocate Dylan Bishop, a lobbyist for the Cannabis Business Association of Virginia, argued in a committee hearing that having a legal market allows consumers to verify a product’s authenticity.
The association doesn’t think limiting the definition of hemp or cracking down on low THC levels in CBD products is the best course. Instead, they suggested stringent testing and labeling requirements, which advise the consumer of any potential psychoactive effect.
The General Assembly will hold its reconvene session on April 27. Hanger said he is open to suggestions about modifying his bill.
“Let’s regulate some stuff for safety,” Williamson said. “I can see that. However, they probably didn’t realize how far a little law could change a lot for a bunch of farms.”
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Sea Suite Cruises RVA is thrilled to announce the launch of its latest cruise experience, Tiki Club RVA (seasuitecruises.com/tiki-club/richmond-va), officially debuting on the James River at Rocketts Landing for the summer and fall season on Saturday, June 3, 2023 — which also happens to be the start of National Fishing and Boating Week across the country. Following the success of the first season of Paddle Club RVA (seasuitecruises.com/paddle-club/richmond-va) in 2022, the team behind Sea Suite Cruises RVA is excited to bring this fun and unique recreational boating experience to residents and visitors of Richmond.
Tiki Club RVA offers a one-of-a-kind “tropical vibes” excursion on the scenic and historic James River. Step aboard the custom-built, 40-foot tiki boat, complete with bamboo trimmings, a thatched roof, and a tiki bar that you can stock with your favorite BYOB drinks and snacks. Available for private charters and public tours, Tiki Club RVA is built for 30 passengers, and accommodates both single-passenger or small group tickets as well as private parties. Similar to Paddle Club RVA, Tiki Club RVA cruises are an hour and 45 minutes in duration.
With music, drinks, and water views of nature and the city skyline, Tiki Club RVA is a memorable way to sight-see along one of Richmond’s biggest attractions – the James River – with friends or family. “With the addition of Tiki Club RVA, along with Paddle Club RVA, we can’t wait to give Richmonders even more fun and relaxing ways to soak up the sun and experience the water,” said Mike Scearce, General Manager of Sea Suite Cruises RVA.
Whether you’re looking for a day out with friends, a unique date idea, a festive way to celebrate a birthday party, an outing idea for a bachelor or bachelorette party or corporate gathering, or just want to get out on the James River, Tiki Club RVA and Paddle Club RVA are where it’s going to be in 2023.
ABOUT SEA SUITE CRUISES: Sea Suite Cruises co-founders Jack Maher and Jack Walten (“The Jacks,” as they are known) were born and raised in Arlington, Va. and have been best friends since they were two years old. The business-side of their journey began in 2018 when the then 24-year-old Jack and Jack launched Potomac Paddle Club, the first pontoon “cycleboat” in Washington, D.C. After adding more boats in Washington, D.C., they built on their success further in 2022 by partnering with local Richmond-based investors to launch Paddle Club RVA and form the parent company, Sea Suite Cruises. Sea Suite Cruises’ mission is to connect exciting people in exciting places around a suite of water-based offerings. After a successful first year in Richmond, the company has now expanded to further locations in the Mid-Atlantic such as The Wharf, Navy Yard, and Alexandria, Va. in the D.C. area, Baltimore’s Inner Harbor, and Annapolis.
CRUISE DETAILS: Group Size: Up to 30 people (available for both single ticket purchases or to rent the entire boat for a private party) Duration: 1 hour and 45 minutes
PRICING*: Monday-Wednesday: $40/Person Thursday: $45/Person Friday-Saturday: $55/Person Sunday: $50/person *Pricing may change for holiday weekends and special events
PICKUP + DROPOFF LOCATION: 4708 Old Main St, Richmond, VA. 23231 | On the dock at Rocketts Landing beneath The Boathouse restaurant and Island Shrimp Co.
MISC: — Bathroom: The vessel comes equipped with a private bathroom on board — Boat is equipped with Bluetooth-speakers, party lighting for night cruises, and built-in coolers + ice — Tiki Boat RVA tours are BYOB (hard liquor not allowed, only beer, wine, seltzer, or canned cocktails) — All cruises are staffed by a licensed master captain and deckhand
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WATCH: Richmond Region Tourism’s new marketing campaign proves Richmond “speaks for itself”
The campaign will run June 1, 2023, through June 2024, and is expected to reach more than 80 million potential travelers through connected TV in selected markets in the East Coast and southern United States, as well as on social media, digital display ads and out-of-home digital billboards in select markets.
Richmond Region Tourism has launched a new, multi-channel $2 million marketing campaign to inspire travel to the destination. “Speaks for Itself” is a first-of-its-kind campaign for the Richmond Region, targeting potential travelers in East Coast and southern U.S. markets through an unconventional, sound-focused video approach centered around the genuine and authentic character of the region. It also marks a historic opportunity for Richmond Region Tourism to invest more than double its normal budget for tourism marketing.
A 60-second video preview was unveiled to the local hospitality community at Richmond Region Tourism’s 2023 Tourism Awards and Annual Meeting on May 11. The campaign video takes inspiration from popular ASMR content on social media to communicate what it’s like for visitors to experience the Richmond Region – a destination marked by an understated authenticity that even locals find hard to define.
“The Richmond Region speaks to every visitor in different ways,” said Jack Berry, President & CEO of Richmond Region Tourism. “Trying to find a pithy slogan to sum up the region simply wouldn’t do it justice, which is why we’re so excited by this campaign—it provides a platform for local voices and experiences to shine and encourages visitors to take in the many diverse sides of the region.”
The campaign also reflects an effort of community collaboration across the Richmond region. Six jurisdictions including the City of Richmond, Chesterfield County, Hanover County, Henrico County, Colonial Heights and the Town of Ashland contributed funds received from the American Rescue Plan Act (ARPA) via Virginia Tourism Corporation, which must be used specifically for tourism recovery efforts.
“It’s the little moments that make a visit to a destination special, and this campaign embraces and celebrates those experiences in a uniquely Richmond way,” said Richmond Region Tourism Board Chair Dan Schmitt. “They could happen at a buzzy restaurant downtown or in a peaceful park in Henrico. This campaign is remarkable in how it can be embraced and adapted across the region’s many jurisdictions.”
Richmond Region Tourism partnered with ChamberRVA and the Greater Richmond Partnership to review a competitive set of proposals from more than a dozen marketing agencies and selected Richmond-based agency Padilla to create and deliver the campaign.
To ensure that the campaign authentically reflected the Richmond Region, Padilla interviewed more than 60 local leaders and community members during campaign concepting including the BLKRVA and OutRVA committees, business owners, government officials, museum staff, college administrators and more. Keeping with the “Speaks for Itself” theme, local influencers also are being tapped to create unique ASMR-style videos that will be promoted in the campaign’s target markets.
The campaign will run June 1, 2023, through June 2024, and is expected to reach more than 80 million potential travelers through connected TV in selected markets in the East Coast and southern United States, as well as on social media, digital display ads and out-of-home digital billboards in select markets.
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New federal tailpipe rules would put stricter limits on Virginia’s heavy truck emissions
As Virginia continues down the road of speeding up the transition from gas-powered passenger vehicles to electric ones, new rules proposed by the federal government could also accelerate electrification of the state’s heavy trucks.
As Virginia continues down the road of speeding up the transition from gas-powered passenger vehicles to electric ones, new rules proposed by the federal government could also accelerate electrification of the state’s heavy trucks.
This April, the Environmental Protection Agency proposed stricter tailpipe emissions limits for passenger vehicles as well as for heavy trucks. The new limits for passenger vehicles will have little impact in Virginia: As a result of 2021 legislation, the state follows stricter standards for light vehicles set by California, which will mandate that 100% of sales of new passenger cars be electric beginning in 2035.
But because the 2021 legislation only applies to vehicles weighing 14,000 pounds or less, Virginia must follow the federal emissions standards for heavy trucks, which if finalized will apply to trucks beginning with model year 2027.
While the EPA would allow manufacturers to choose their own method of meeting the stricter emissions standards, the agency projects up to 50% of vocational vehicles — heavy trucks used for particular industries or occupations — in model year 2032 could use electric batteries and fuel cell technologies.
“By proposing the most ambitious pollution standards ever for cars and trucks, we are delivering on the Biden-Harris Administration’s promise to protect people and the planet, securing critical reductions in dangerous air and climate pollution and ensuring significant economic benefits like lower fuel and maintenance costs for families,” said EPA Administrator Michael S. Regan in a statement.
But Virginia Trucking Association President and CEO Dale Bennett said his group has some concerns about the faster pace the new rules would set for the transition to electric vehicles.
The trucking association expects that under the new rules, fleets will become 100% electric by 2055, given the roughly 30-year lifespan of a heavy truck.
With the trucking association counting about 45,870 heavy truck and tractor-trailer drivers in Virginia in 2021, Bennett said more rapid electrification of the fleet will require significant buildout of the electric grid.
He also voiced concerns about charge times, which can take about two hours to power a truck to travel about 200 miles, compared to about 15 minutes to fill up a truck with diesel to cover 1,200 miles; battery weight; and cost. While a new diesel truck can cost about $180,000, typical electric trucks go for $400,000, he said.
“We need to go at the speed of right, not at the speed of light,” said Bennett.
“EPA’s proposed federal heavy duty vehicle emissions standard will help to clean Virginia’s air — improving our health and our environment,” Pollard said by email.
California has more stringent regulations for heavy trucks, but Virginia hasn’t adopted those, Pollard noted. And while he acknowledged truckers will see an increase in upfront costs for vehicles, he said they can be recouped in three to seven years through savings on gas and maintenance.
If finalized, the rules will be implemented by heavy-truck manufacturers, including Volvo’s New River Valley plant in Dublin, Virginia, and its Mack Trucks facility just outside Roanoke.
Dawn Fenton, vice president of government relations and public affairs at Volvo Group North America, said the company supports the transition to zero-emission vehicles and has committed to 100% of its products being fossil free by 2040. Because the Dublin plant makes both electric and diesel heavy truck engines, the facility will be able to continue producing vehicles while adjusting to a faster transition, Fenton said.
“We see that we’re moving toward a zero-emission vehicle future,” Fenton said. “Our biggest concern is by far the question about the availability of charging infrastructure to be able to enable fleets to be able to adopt them.”
Fenton said “a lot” of Volvo’s current electric truck sales are happening in California, which has stricter heavy-truck emissions regulations and has also created incentives for charging infrastructure buildout and electric vehicle purchases.
In Virginia, House Republicans this past session for the second time killed legislation from Del. Rip Sullivan, D-Arlington, to create a fund that would provide money for rural infrastructure development. The General Assembly has also repeatedly blocked proposals for state rebates for electric vehicle purchases in Virginia, although incentives are available from the federal level through the Inflation Reduction Act.
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