US Virgin Islands Legalizes Recreational Adult-Use Marijuana - Full Implementation Awaits


January 2023

On Wednesday, January 18, the U.S. Virgin Islands (“USVI”) Cannabis Use Law (Act 8680) was signed by USVI Gov. Albert Bryan Jr., legalizing recreational cannabis use by adults aged 21 and over.

Richard Evangelista is Commissioner for the Department of Licensing and Consumer Affairs, which oversees the Office of Cannabis Regulation (granted exclusive authority to create rules and regulations for the cultivation, manufacture, sale, provision, testing, licensing, and use of cannabis). Evangelista pointed out to USVI Senators on December 20, 2022, that the applicable adult-use regulations would take up to 24 months to implement, as the bill requires regulations to be in place within two years. Further, the legislative sponsors of the new law estimated that, given the lack of administrative infrastructure and regulations to be drafted, it would take four to five years for the law’s provisions to be fully implemented.

The USVI already has a four-year-old medical cannabis law. Still, Evangelista said that once Gov. Bryan acted on the adult use bill, the proposed Rules and Regulations for Medical Cannabis “would be null & void.”

The 104-page signed bill had yet to be posted online as of the date of this article. However, according to secondary sources:

  • Persons 21 and older may possess up to 2 ounces of marijuana, a half ounce of concentrate, and 1 ounce of products such as edibles for recreational, sacramental, and other uses.
  • Medical marijuana patients can possess up to 4 ounces of cannabis, 1 ounce of concentrate, and 2 ounces of products.
  • In addition, sacramental use of cannabis is permitted for members of established Rastafari nonprofits, and such members may grow cannabis on private property for personal use once cultivation permits are awarded. Regulations governing the enforcement of that provision will need to be established.
  • One million dollars from the Tourism Advertising Revolving Fund is earmarked to operate the Office of Cannabis Regulation for two years.
  • Dispensaries will apply a tax of at least 18% on all sales, although medical marijuana patients are exempt.
  • Three-fourths of the tax revenue will go to the USVI general fund. Of that amount, 15% is earmarked for behavioral health programs, 5% to address homelessness, and 5% for youth programs. No tax revenue will go to support the Government Employees Retirement System.
  • Medical cannabis patients cannot grow their cannabis plants at home, but that aspect could be amended in the future.
  • A residency requirement is intended to prevent “predatory investors” from dominating the industry, and business applicants must have lived in the territory for at least 10 of the last 15 years.

Governor Bryan also issued a proclamation that allows persons convicted of simple possession of marijuana to apply for a pardon through the USVI Department of Justice, and $250,000 will be provided to the Governor’s office to establish a task force to tackle expungement of cannabis convictions.

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