New Jersey’s lead is slipping
In New Jersey, Senate and Assembly panels approved identical legislation in December and sent the bills to the full Legislature for a vote.
Gov. Phil Murphy, a Democrat who expanded the state’s medical marijuana industry in his first year in office, wants to legalize recreational MJ. That has attracted the attention of cannabis entrepreneurs interested in expanding into the Garden State market.
But progress stalled toward the end of 2018 – particularly over the cannabis sales tax rate, which was set at 12% in the bill.
Murphy indicated he wants a higher rate; state Senate President Stephen Sweeney is concerned that even 12% may be too high and would fail to knock out the black market.
Cannabis attorney Steve Schain said New Jersey is missing the opportunity to reap the economic benefits such as strong sales that come with being the first in the region to legalize adult-use marijuana.
Instead, he said, the state is “snatching defeat from the clutches of victory,” adding that “overtaxes and personal animus have relegated its once promising adult-use program to the back burner.”