New Jersey recently legalized recreational marijuana, and the market for cannabis products is expected to grow significantly in the coming years. This presents a unique opportunity for entrepreneurs looking to enter the cannabis industry in the state.

One advantage of opening a marijuana dispensary in New Jersey is that it has a large population and a high demand for cannabis products. This means there is a potential for a large customer base, which can translate into higher profits for a business.

New Jersey also has a well-regulated and organized system for licensing and regulating marijuana dispensaries, making it relatively easy to start a business in this industry. The state has already issued licenses to several dispensaries, and more are expected to open in the coming months.

Moreover, New Jersey has a strong infrastructure and transportation system, which can make it easier to transport and distribute cannabis products throughout the state.Finally, New Jersey has a diverse population and a strong tourism industry, which can provide a large customer base for a marijuana dispensary.

Medical Marijuana: Yes

Recreational Marijuana: No

Decriminalized: -

In-Home Cultivation: -

New Jersey legalization headed to 2020 ballot

On December 16, 2019, supermajorities in the New Jersey Senate and Assembly approved a resolution that will refer to voters the question of legalizing marijuana for adults’ use. While MPP strongly preferred a 147-page bill, which included important provisions for equity and would have taken effect sooner, the necessary Senate votes were unfortunately not there for that approach, and the voter referral appeared to be the only path to legalize cannabis in New Jersey.

The proposed constitutional amendment (SCR 183) is narrow in focus, as is required by New Jersey law, and seems to require implementing legislation. If approved by New Jersey voters on Tuesday, November 3, 2020, the measure would:

legalize regulated cannabis for adults 21 and older while keeping unregulated cannabis illegal;

charge the legislature with authorizing the Cannabis Regulatory Commission, or a successor agency, to regulate legal cannabis;

limit state taxes on retail sales to the sales tax rate, which is currently 6.625%; and

allow municipal retail taxes of up to 2%.

Meanwhile, other reforms are moving forward. Also, on December 16, 2019, the legislature approved a “clean slate” expungement bill, to allow those with cannabis and other convictions to more easily remove from public view the scarlet letter that derails job and housing prospects. Gov. Murphy signed the bill into law two days later. Among other improvements, S.4151 requires the courts — with help from an expert task force — to develop and implement an automatic sealing process for most marijuana offenses.

In New Jersey, simple possession of marijuana is still punishable by up to six months in jail. As data compiled by the ACLU-NJ shows, 94 individuals are arrested every day for marijuana in New Jersey. Unless the legislature acts, more than 30,000 individuals will face traumatic arrests and prosecutions while voters wait for Election Day.

Medical cannabis program expanded

On June 2, 2019, Gov. Phil Murphy signed A20, also known as Jake’s Law — named after Jake Honig, a pediatric patient who used medical marijuana during his battle with cancer. The law institutes many much needed reforms to the medical marijuana program, including:

expanding qualifying conditions, including by adding chronic pain;

providing anti-discrimination protections, including related to education, rental housing, professional licensing, and employment;

expanding access, including by increasing the number of cultivators, retailers, and manufacturers; and

allowing home delivery.

A more detailed summary of the changes can be found by our friends at MPP here.