By Phil Boykin, VBWA President & CEO

Last week concluded the final week of the 2025 General Assembly Session, which adjourned “Sine Die” on Saturday.

With that, we are officially in the 2025 election season, with all three statewide seats up, as well as 100 members of the House of Delegates. There has already been one announced retirement in the House (Danny Marshall) of Danville, with more expected in the coming weeks.

While there are still a few things outstanding, once again, Virginia beer distributors have had a great General Assembly session. More important than the dozens of legislative successes we’ve had over the past few weeks were the issues that we didn’t fight.

Our friends in other states are battling their suppliers over franchise laws/rights, debating if and how ready-to-drink cocktails should be treated in the marketplace, fending off increases to alcohol excises taxes, managing bottle bills and other types of recycling initiatives that would cost beer distributors millions of dollars — and these are just a few of the issues. We haven’t had these fights in Virginia because of work done by our members to educate policymakers and managed our relationships with our various partners under the guidance of the VWBA team.

It doesn’t mean we won’t ever have major fights, but each year we do not is a victory.

With the General Assembly adjourning, this is the last report of the 2025 legislative session. Listed below are highlights of some of the bills of interest;  for those with the Governor for his signature, he has until March 24 to act. Should you want more details, you can go directly to the bill summary, bill history, and bill text by clicking the bill number.

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HB1946 (Hope) & SB1060 (Ebbin): Policing Nicotine

Del. Patrick Hope (D-Arlington) has tried for years to give a government entity the ability to license and enforce state and federal laws related to underage sales of nicotine products. HB1946 is his latest attempt, and this year, Sen. Adam Ebbin (D-Alexandria) joined with his own bill. Initially, Del. Hope put nicotine enforcement under ABC without adequate funding, meaning it could impact trade practice enforcement.

  • The latest: The House and Senate negotiated a compromise that directs the Department of Taxation and ABC to study the issue of having ABC take over nicotine enforcement. The budget funds part of the enforcement from JUUL settlement dollars.
  • VBWA position: The VWBA is fine with the compromise and will be tracking the workgroup outside of the Session.

ABC Tied House Issues

HB1703 (Bulova) & SB834 (Favola): Tied House Clarification

Both bills are identical and clarifying in nature. They were introduced to protect ABC’s long-standing interpretation of the law that prevents a retailer from carrying product from a manufacturer when there is common ownership. It is feared that the existing rules could be challenged in the courts; therefore, VBWA is getting in front of the issue to modernize the code to reflect current practice. The bills are carried by Del. David Bulova (D-Fairfax) and Sen. Barbara Favola (D-Arlington).

Bottle Bills/E.P.R./Litter Tax

HJ488 (Krizek): Litter Tax Modernization Study

With bottle bill and Extended Producer Responsibility (EPR) legislation being pushed across the nation, we’ve been working with legislators on modernizing the state’s litter tax as a way to counter the proposals. We expected it to be an issue in the 2026 General Assembly, however, Del. Paul Krizek (D-Fairfax) decided to put in a study on the subject this year.

  • The latest: The study passed the House and Senate and does not require the Governor’s approval.
  • VBWA position: The VWBA will be an active participant in the workgroup.

Cannabis

HB2485 (Krizek) & SB970 (Rouse): Cannabis Retail Marketplace

There are multiple bills impacting how the Commonwealth will move forward with cannabis sales. However, the Krizek and Sen. Aaron Rouse (D-Virginia Beach) “marketplace” bills are the most comprehensive to date and the most likely to get to the Governor. Both create a legal framework for a cannabis marketplace. Similar bills passed in the 2024 Session, but were promptly vetoed by Gov. Youngkin. We expect the same this year for any cannabis bills that hit the Governor’s desk.

  • The latest: Both the House and Senate versions passed on largely party-line votes. They head to the Governor, where it’s expected he’ll veto the bills again.
  • VBWA position: Monitoring.

HJ497 (Krizek): Establishes the Joint Commission to Oversee Transition of a Retail Marketplace for Cannabis

The commission would oversee the transitioning of the Commonwealth into a retail cannabis market.

  • The latest: The study resolution passed the House and Senate and does not require the Governor’s approval.
  • VBWA position: The VWBA will monitor the Joint Commission once appointed.

Employment Issues

HB1730 (Delaney): Civil actions; liability of employer to vulnerable victim

The legislation by Del. Karrie Delaney (D-Fairfax) would provide that, in an action for personal injury or death by wrongful act brought by a vulnerable victim, the finder of fact at trial shall determine whether an employer shall be vicariously liable for the tortious conduct of such employer’s employee based upon a finding of certain factors. The bill says the determination of issues shall be questions of fact for which the plaintiff shall bear the burden of proof and shall be subject to any available affirmative defenses. The bill provides that its provisions shall apply only to a cause of action that accrued on or after July 1, 2025.

  • The latest: The bill passed both chambers with amendments and is with the Governor.
  • VBWA position: Monitoring.

HB1766 (Martinez) & HB1767 (Martinez): Unemployment Benefits

Del. Martinez is proposing raising the maximum weekly benefit by $100 and increasing the length of payout to 26 weeks.

  • The latest: The bills, with amendments, are facing political and procedural challenges and may go down to the wire. If the compromise passes on a partisan vote, it will be a strong candidate for a gubernatorial veto.
  • VBWA position: Monitoring for the potential impact on unemployment insurance rates.

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