Virgin Islands Cannabis Advisory Board Releases Draft Rules for Industry

Officials in the U.S. Virgin Islands have been working toward launching a regulated cannabis market since voters approved medical cannabis legalization in the 2014, and last week, regulators took another step toward commercial production and sales.

The Virgin Islands Department of Licensing and Consumer Affairs (DLCA) announced Sept. 8 that the Virgin Islands Cannabis Advisory Board (VICAB) released draft rules for the medical and adult-use markets, kicking off a public comment period that runs through Oct. 10.

Lawmakers approved the Medical Cannabis Patient Care Act in 2018 to implement the 2014 voter-approved medical cannabis initiative, and although the VICAB approved final draft rules for the program in August 2022, the regulations were put on hold as the adult-use legislation made its way to Gov. Albert Bryan Jr.’s desk last year.

Bryan signed the adult-use bill into law in January 2023, and the law requires regulations to be adopted within two years.

The draft rules released last week outline qualifying conditions for medical cannabis patients, including cancer, glaucoma and post-traumatic stress disorder (PTSD), among others. Perhaps most notably, the proposed regulations would allow patients to access cannabis for “any condition for which a practitioner would prescribe an opiate for pain,” as well as “any other conditions as certified in writing by a practitioner that, in the professional opinion of the practitioner, the potential benefits of the medicinal use of cannabis would likely outweigh the health risks for the qualified patient.”

The legislation Bryan signed into law earlier this year, called the Virgin Islands Cannabis Use Act, legalized cannabis use for adults 21 and older, as well as for sacramental use by members of established Rastafari organizations.

The bill placed an 18% tax on cannabis sales and directed the revenue to fund the Department of Human Services, as well as social services related to homelessness, substance abuse and counseling. Registered medical cannabis patients are exempt from the tax under the law.

The draft rules for the industry are now under review by the Office of Cannabis Regulations, the VICAB and the Department of Justice.