Of the many revisions to the New Jersey Cannabis Regulatory and Expungement Aid Modernization Act (S2703/A4497) which would legalize personal use cannabis for adults, one that has a large impact is the removal of a cap on the number of licenses to be issued.
An earlier draft of S2703 called for a maximum of 218 licenses. The version passed through committee in November struck out specific breakdowns of how many and where the licenses would be awarded – at least two licenses per legislative district; 40 at large licenses; and a maximum of 98 medical licenses – and replaced it with the following language:
Establishing the number of cannabis retailers: (a) Assuming there are sufficient qualified applicants for licensure, the commission shall issue a sufficient number of Class 4 Retailer licenses to meet the market demands of the State, and giving regard to geographical and population distribution.
What does this mean for potential applicants?
“I look at it this way. When there’s no cap, they’re really telling us they’re going to produce as many as are needed based on demand,” says Robert DiPisa, co-chair of the Cole Schotz Cannabis Group. “No one really knows what the demands are going to be or not be. It’s really speculative.