Medical Cannabis Derived Funds in West Virginia Remain Unspent

The West Virginia Treasurer’s Office says it will not spend funds
derived from the state’s medical cannabis industry until changes in federal
law, Mountain State Spotlight reports. Since the first dispensary opened in
the state in 2021, West Virginia has collected about $34 million in taxes,
licensing fees, and interest, but the money is being held at a credit union
under the control of the Treasurer’s Office.

State Del. Mike Pushkin (D), who helped write the state’s 2019 cannabis
banking legislation, told the Spotlight that he was “not aware” that the
funds were sitting unspent and that there were no discussions he was
involved in during that legislative session, or after, that the funds would
not be allocated.

The state’s medical cannabis law included the establishment of a medical
cannabis research program; however, state Department of Health spokesperson
Gailyn Markham told the Spotlight that the program has not been created
because the funds have not been released.

Dr. Matthew Christiansen, former state health officer from 2023 to 2024,
said he was unable to get a clear answer on how much money was in the fund,
but told the Spotlight it was “a significant amount of money.”

It could be used to help quite a few people or stand up specific programs
for a period of years that would make a positive impact for people with
addiction. It’s nothing to sneeze at.” — Christiansen to the Spotlight

If the entire fund was distributed today, about $19 million would go back
to the Bureau for Public Health within the Department of Health; nearly $8
million to the Fight Substance Abuse Fund overseen by the Department of
Health; $6 million would be sent to the Division of Justice and Community
Services; and $1.5 million to a special revenue account for law enforcement
professional training and professional development programs, the report
says.

The state’s medical cannabis law requires the funds to be used to create
the medical cannabis research program, provide resources to residents with
substance use disorder, and fund law enforcement training.