Main Street Gets The Green Light

Last week was a big week for New Jersey's burgeoning cannabis industry, as the Cannabis Regulatory Commission ("CRC") adopted its first set of rules to regulate adult-use cannabis in the Garden State.  The 160 pages of rules cover a wide range of topics, including social equity, safety, market access, licensing priorities, and municipal authority.  With respect to municipal authority, one of the most interesting takeaways from the rules is the amount of discretion delegated to municipalities to restrict and regulate cannabis markets at the local level.

The Power to Regulate

Subchapter 5 of the rules empowers municipalities to enact ordinances that regulate the way cannabis is grown, manufactured, and sold locally.  Importantly, the rules expressly recognize that municipalities that enacted legislation regulating or banning cannabis businesses by the State-imposed August 21, 2021 deadline can update their ordinances at any time, further tailoring local laws to suit