A new bill introduced by Senate President Nicholas Scutari seeks to speed up the approval process for cannabis dispensaries in New Jersey, a move aimed at addressing delays in establishing the state’s cannabis market. Joshua Bauchner, Chair of the Cannabis, Hemp, and Psychedelics Practice Group at Mandelbaum Barrett PC, commented on the bill’s potential impact in the article “New Bill Could Speed Up Approvals for Cannabis Dispensaries” by the New Jersey Monitor. He notes that this bill would bypass the municipal approval process, which has caused significant delays and litigation for stores in the past.
Under current law, New Jersey’s municipalities had the option to opt-in or opt-out of cannabis sales by August 2021, and many chose to opt-out, significantly limiting the number of towns where dispensaries could operate. As a result, only about a third of NJ’s 564 municipalities have cannabis businesses, with some towns only permitting medical cannabis sales. This restriction has led to delays that have kept the recreational market from reaching its full potential.
Bauchner explained that this bill is lawmakers’ attempt to address the frustrations caused by the municipal approval process, keeping them from expanding more efficiently. “They’re trying to circumvent the home rule issue so that they don’t have to go back for municipal approval, which has been a real challenge and caused a lot of trouble, delays, and litigation,” Bauchner said. The bill would allow medical dispensaries to shift to recreational sales without seeking approval from municipalities, provided they have been operating without violations for at least 180 days. This change would particularly benefit dispensaries in NJ towns that prohibit recreational sales, such as Breakwater Treatment and Wellness in Cranbury and Rise Dispensary in Paramus.
In addition to these changes, the bill could expedite the application process for cannabis businesses by limiting extensions on approval timelines. Currently, the Cannabis Regulatory Commission (CRC) has up to 90 days to approve an application, with the ability to extend the review period indefinitely. Under the new measure, extensions would be capped at 30 days, compelling the CRC to make quicker decisions.
Ken Wolski, executive director of the Coalition for Medical Marijuana — New Jersey, voiced support for the bill, noting the financial strain on medical dispensaries following the drop in medical marijuana patients since the launch of recreational sales. Wolski also welcomed the provision that would allow dispensaries to reclassify medical products for recreational use, helping them offload extra inventory.
The proposed legislation reflects a sensible response to the challenges facing NJ’s cannabis market and could increase the number of dispensaries operating in the state. Eliminating the need for municipal approval for some medical dispensaries and speeding up reviews will ensure New Jersey’s cannabis industry can meet growing demand.
For more on the details of the proposed bill, read the full New Jersey Monitor article here.