Business & Tech

Marijuana Is Legal In NJ. But Can Towns Still Ban It?

Towns must decide whether they'll stick with NJ's marijuana legalization law. Can they outright ban it on their own?

NEW JERSEY — Marijuana is legal in New Jersey, but that doesn’t mean you’ll be able to buy it in your hometown.

When state lawmakers crafted the legalization bill, they left room for individual municipalities to ban or limit the number of cannabis businesses operating in their communities. This includes dispensaries, delivery services and cultivators.

An NJ.com report found more than 70 towns with municipal ordinances already in place, but all of them will have to craft, vote on and pass a new one if they plan on banning marijuana businesses under the new law.

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Those communities that are considering a local ban expressed concern about being a destination town for people interested in buying marijuana. And they've also taken issue with how the law, they believe, goes easy on children and "punishes" police officers from doing their job.

Their solution? Ban it, and keep it away from their towns.

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"It punishes our police officers from taking steps to enforce the law by threatening them with a third-degree crime for investigating potential underage drug use. This places our children, our officers, and our community at risk,” Bridgewater Mayor Matthew Moench said.

But an outright local ban wouldn't necessarily come easy. Here's why:

  • Any municipal marijuana-ban ordinance that predated the legalization bill is null and void under A-21. Town governments now have a 180-day period from when the bill was enacted to pass a new one, and the clock is already ticking.
  • The exact deadline to pass an ordinance is Aug. 21, according to the New Jersey State League of Municipalities.
  • If they don’t pass an ordinance in that time, not only will marijuana businesses be allowed to operate, but town officials won’t have another chance to issue a ban for a period of five years.
  • Municipalities have no authority to stop the delivery of cannabis items by a delivery service within their jurisdiction, the New Jersey League of Municipalities advises, and only the state’s cannabis commission can regulate what time these delivery services operate.

Sales can be banned, but you can still use it

Officials will continue discussing marijuana limitations and restrictions until the deadline. But residents should know that, regardless of what businesses can operate in their town, it won’t limit their ability to buy and consume cannabis. Read more: 5 Things You Need To Know About Marijuana Legalization In NJ

Adults 21 and over are allowed to consume cannabis on private property. Cannabis has also been decriminalized in New Jersey, and you can possess up to six ounces of marijuana or 17 grams of hashish without penalty.

Though New Jersey residents can’t grow marijuana at home, it's legal to buy up to an ounce of cannabis at a licensed dispensary.

That is, whenever a licensed dispensary opens.

The law allows for 37 state-licensed cultivator permits over the next two years, but where they’ll open — or when — hasn’t been decided. Experts predict it will be at least six months before the Garden’s State's first legal marijuana sale is made.

Towns are still pushing for a ban on sales

With towns facing a drop-dead date on their existing ordinance, some have already begun formal discussions about approving a new one.

One of those is Ocean City, where the council proposed an ordinance on Thursday that would ban marijuana sales and cultivation anywhere in the resort town. Ocean City approved a similar ordinance two years ago, when the council voted unanimously to ban marijuana businesses. Read more: Ocean City Plans To Ban Marijuana Sales

Wayne Township Mayor Christopher Vergano introduced an ordinance at a Township Committee meeting in early March which, if accepted, would ban all businesses from operating.

No vote was taken, but the proposal wasn’t universally accepted. Read more: Ban On Marijuana Businesses Under Consideration In Wayne

That's another potential obstacle for towns considering a ban. A number of municipal officials say they don't necessarily support marijuana legalization, but they don't want to lose the tax revenue, either.

Municipalities can enact a local cannabis tax for cultivators, manufacturers and retailers. The tax for those three businesses can’t exceed 2 percent, while towns can place up to a one percent tax on wholesalers, according to the NJLM.

Vergano posits that the tax money would be insignificant, but neighboring communities have seen otherwise.

Paterson received its first medical marijuana tax payment from the dispensary RISE this week, netting them over $50,000 and exceeding monthly expectations, according to the Paterson Press.

This likely means communities in favor of having marijuana businesses as part of their economy will also be interested in crafting ordinances.

Towns can limit sales, too

Towns can also have it both ways. Decision-makers can limit hours of operation, location, manner and the number of cannabis businesses in their community. They can also ban some marijuana businesses, but allow others.

So if a town council decides to ban dispensaries, that isn’t necessarily a death sentence for cultivators.

Local governments can also establish civil penalties for violations of their established ordinance or regulations.

Others are trying to boost education. Moench said the part of the law that prevents parents from being notified “not only protects underage drug use, but it removes parents and guardians from being part of the early solution to prevent future drug use."

Wyckoff Police Chief David Murphy and Gloucester Township Police Chief David Harkins also voiced concerns about this, but neither had the power to go as far as Moench, who proposed a wishlist of actions that include:

  • Reinstatement of the D.A.R.E. program or similar anti-drug educational program for our school-age children;
  • Allocating additional resources in the 2021 budget for a general public awareness campaign on the dangers of recreational marijuana with a focus on underage usage;
  • Directing our Youth Services and Municipal Alliance Committees work to develop new programming opportunities to expand the services to the public with regard to efforts to combat drug abuse disorder and alcoholism.

With reporting from Alexis Tarrazi, Anthony Bellano and Eric Kiefer.

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