Gov. Phil Scott has decided to allow legislation creating a legal market for marijuana to go into law without his signature, clearing the way for recreational cannabis dispensaries to open up in Vermont as soon as October of 2022.
Scott said Wednesday evening while he is letting the legislation, S.54, take effect, lawmakers should work to improve racial equity in the marketplace, act to ban cannabis-related advertising that could appeal to children, and prohibit marijuana vaping products.
“This has been a top priority for the majority in the Legislature for four years, but their work is not complete,” Scott said Wednesday.
“They must ensure equity in this new policy and prevent their priority from becoming a public health problem for current and future generations.”
On Wednesday, Scott signed another bill that will automatically expunge the criminal records of people convicted of low-level marijuana possession. The legislation will clear the criminal records of those convicted of possessing two ounces or less of marijuana.
Lawmakers estimate that there are roughly 10,000 Vermonters who have been charged with low-level marijuana offenses and could be impacted by the legislation.
Marijuana possession and cultivation has been legal in Vermont since 2018, but there has been no way for consumers to legally purchase the drug.
Supporters of the new cannabis law say the measure will provide users a safe way to access marijuana and cut down on black market sales.
While the legislation had been backed by most Democrats, many Republicans in the Legislature also supported the bill and argued that since the drug is legal, users should have a way to obtain it safely.
In the days leading up to his decision, Scott, a Republican, said he was unsure about whether he would support the bill, citing concerns from some racial justice advocates who said the legislation fails to do enough to address a legacy of racial inequity related to marijuana distribution.
Vermont racial justice groups, including Justice for All, say the legislation doesn’t go far enough for communities of color that have been impacted disproportionately by marijuana prohibition.
The Vermont Racial Justice Alliance had asked lawmakers to adopt several racial equity measures including provisions that would release those imprisoned for cannabis-related crimes from incarceration, and training and startup assistance for those who have been impacted by marijuana criminalization and are interested in launching cannabis businesses in Vermont.
In an interview last week, Scott said advocates “feel as though they were ignored” in the legislative process.
“I’m saying, ‘I’m going to listen to you and your concerns, and see if there’s anything that we can do to alleviate those concerns,’ so that they feel as though they’re heard,” Scott said. “If they feel left out of the conversation, then shame on us, and we need to do better,” he said
In a letter to lawmakers, Scott said in January, when they return to Montpelier, they should take up provisions to improve equity in the marketplace.
The governor points to Illinois legislation for a marijuana market, which he said sets “a benchmark in how to create a cannabis market that is equitable and moves toward economic justice.”
Scott wants lawmakers to create a “social equity” category for applicants looking to receive licenses to start cannabis businesses, and provide these licensees with “additional technical and financial supports.”
He is also recommending that the state direct some revenue from other cannabis licensees “to benefit social equity applicants and the communities historically most negatively impacted by cannabis enforcement.”
The governor criticized the legislation for giving Vermont’s existing medical marijuana dispensaries “an unfair head start on market access.”
Under the law, medical dispensaries can be licensed to start selling to members of the public as soon as May 2022, while new recreational dispensaries can’t open up until October of that year.
The governor added that he wants legislators to pass restrictions on marketing from cannabis businesses that appeals to children, and prohibit marijuana vaping products.
When the House and Senate reached a deal on the marijuana bill last month, they removed a provision that would ban cannabis product advertising. Instead, they agreed to let the Cannabis Control Board (the governmental body that will regulate the new industry) recommend advertising restrictions in consultation with the Vermont Health Department and the Attorney General’s Office.
Scott said the legislation’s authorization of cannabis vaping runs “completely contradictory and counter to our public health goals,” as state officials have acted to restrict e-cigarette products.
The governor believes the timeline for appointing the Cannabis Control Board is “too aggressive and may need to be extended.” The board is supposed to be appointed by mid-January.
In crafting the marijuana bill, Democratic leaders tried to address the governor’s concerns.
Scott has told lawmakers that he could support legislation to tax and regulate marijuana if the law made investments in education and drug use prevention programs and included a requirement for towns to vote in favor of allowing dispensaries before they could set up shop — a so-called “opt-in” provision.
Lawmakers included the “opt-in” provision, despite the objections of some in the Senate. And under the legislation, the state would direct 30% of excise tax revenue from pot sales towards drug use prevention and education initiatives.
Scott also wanted lawmakers to make it legal for law enforcement officers to administer saliva tests to screen for impairment in drivers. These tests are controversial, and raise civil liberties concerts for many Democrats.
That’s because saliva tests can’t actually determine whether drivers are actually under the influence at the time they are administered — they can only tell whether a drug is present in someone’s system. Marijuana can stay in a user’s system for days or weeks after it is ingested.
Democrats legalized saliva testing in the pot bill, but require police to obtain a warrant before administering the tests.
In his letter, Scott commended lawmakers for “moving toward” his “conditions.”
Responding to the governor’s decision on Wednesday, Sen. President Pro Tem Tim Ashe, D/P Chittenden, tweeted that Vermont “is on a clear path to have a legal, safe, regulated system of cultivating, buying + selling marijuana.”
“Like most VTers I wish the bill was simpler but this is what we could get through,” Ashe said.
