[HISTORY: Adopted by the Borough Council of the Borough of Netcong 10-12-2023 by Ord. No. 2023-18. Amendments noted where applicable.]
This article is enacted to regulate the sale and use of cannabis products within the Borough of Netcong in accordance with the provisions of an Act of the Legislature of the State of New Jersey, entitled "New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act," P.L. 2021, c.16[1] (hereinafter referred to as "Act") and its supplements and amendments.
[1]
Editor's Note: See N.J.S.A. 24:61-31 et seq.
For the purpose of this article, words and phrases shall have the meanings given in the Act.
A. 
Laws applicable. All applications for licenses, all licenses issued and all proceedings under this article shall be in accordance with the Act, rules and regulations referred to in § 122-1 and all other applicable laws of the State of New Jersey.
B. 
Issuing authority. The Borough Council is authorized and empowered to issue licenses for the retail sale of cannabis in the Borough in accordance with the Act and N.J.S.A. 40:52-1 et seq.
C. 
The number of retail cannabis licenses available within the Borough of Netcong shall be limited to one for each 3,000 of its population according to the most recent estimates issued by the U.S. Bureau of the Census; provided, however, in the year that the official federal decennial counts are received by the Governor, those federal decennial counts shall be used.
D. 
License applications; provisions. No license shall be issued except after written application presented by the proposed licensee in such form as provided by the Borough of Netcong and upon complying with the provisions of this article.
E. 
License fees. The initial license fee shall be $7,500. The annual renewal license fee shall be $5,000.
F. 
Transfer prohibited. Any license issued under this chapter shall be nontransferrable and shall not be the proprietary property of the licensee. Upon the cessation of business operations, or upon the transfer or sale of assets or ownership of a licensed corporation, partnership, limited-liability company or similar business organization, the license shall be surrendered to the Borough and shall be deemed void.
G. 
No individual, corporation, partnership, limited-liability company or similar business organization shall sell, or offer for sale, gift or transfer, any cannabis product within the Borough of Netcong without having a license issued pursuant to Chapter 122 of the Code of the Borough of Netcong.
H. 
Any cannabis retail establishment or business premises of a licensee may be inspected by the Borough Police Department or authorized agent at any time.
I. 
Licenses shall be valid for one year from date if issuance and subject to annual renewal.
A. 
Hours of sale. The holders of licenses in the Borough shall only be permitted to sell cannabis products between the hours of 9:00 a.m. and 10:00 p.m.
B. 
Sale to certain persons. No licensee shall sell, nor shall any licensee suffer or permit the sale, service or delivery of any cannabis product, directly or indirectly, to any minor under the age of 21 or any intoxicated person, nor permit such persons to congregate in or about the licensed premises.
A. 
Presence. No person under the legal age of 21 for the purchase of cannabis products shall be allowed in any premises where cannabis products are sold.
B. 
Purchase of cannabis products by persons under the legal age. No person under the legal age for the consumption of cannabis products shall consume, purchase, attempt to purchase, or have another purchase for him any cannabis product on any premises licensed for the sale of cannabis products.
C. 
Purchase of cannabis products for persons under the legal age. No person shall purchase or attempt to purchase cannabis products for a person under the legal age for the consumption of cannabis products.
D. 
Misstating age. No person shall misrepresent his age or the age of another person for the purpose of inducing any licensee or his employee to sell, serve or deliver any cannabis product to a person under the legal age for consumption of cannabis products or to permit a person under the legal age for the consumption of cannabis products to remain on any premises in violation of Subsection A.
A. 
Any license issued under this article may be suspended or revoked for violation of any of the provisions of this chapter or any provisions of any applicable statute or any of the rules or regulations of the State of New Jersey.
B. 
Unless the immediate suspension is necessary for preservation of public safety, proceedings for the suspension or revocation of any license issued under this article shall be commenced by the service of a five-day notice of charges preferred against the licensee issued by the Clerk and affording a reasonable opportunity for a hearing before the Borough Council. Licenses may be suspended or revoked for any violation of this chapter.
C. 
Suspension or revocation of a license shall be in addition to any other penalty which may be imposed for a violation of this article. The revocation of a license shall be effective after a hearing on no less than 10 days' notice to the licensee and shall be permanent and operate as a bar from a licensee obtaining another license within the Borough of Netcong.
D. 
Any license issued by the Borough of Netcong under this article shall be suspended and/or revoked upon the suspension and/or revocation of the licensee's license issued by the State of New Jersey and/or the New Jersey Cannabis Regulatory Commission.
In addition to any suspension or revocation of a licensee, any person, firm, or corporation violating any of the provisions of this article shall be subject to a fine not exceeding $2,000, or by imprisonment for a term not exceeding 90 days, or by a period of community service not exceeding 90 days, or by any combination thereof; provided, however, that when the maximum penalty fixed by an applicable state statute is less than the penalty in this Code, then the limitations of such state statute shall be applicable. A separate offense shall be deemed committed on each day during or on which a violation occurs or continues.
The class of cannabis license permitted in the Borough shall be for cannabis retail establishments and medical cannabis dispensaries. No license for any other class of cannabis establishment, including cannabis cultivators, manufacturers, distributors, wholesalers, testing facilities, or delivery services, shall be available.
In addition to the requirements as provided in Article I, the following conditions are required for the issuance and renewal of a cannabis retail establishment license:
A. 
Applicant must possess any and all required licenses, permits or authorizations from the State of New Jersey and/or the New Jersey Cannabis Regulatory Commission for the operation of a cannabis retail establishment.
B. 
The cannabis retail establishment shall be located in the B Commercial Business Zone District.
C. 
The applicant has received conditional use approval from the Planning Board of the Borough of Netcong.
D. 
No license shall be issued to any person under the age of 18 years or to any person who has been convicted of a crime involving moral turpitude. Each applicant shall submit to the Borough's Chief of Police the applicant's name, address, fingerprints and written consent for a criminal history record background check to be performed. The Chief of Police is authorized to receive criminal history record information from the State Bureau of Identification in the Division of State Police and the Federal Bureau of Investigation consistent with applicable state and federal laws, rules and regulations. The applicant shall bear the cost for the criminal history record background check, including all costs of administering and processing the check. The Chief of Police shall promptly notify the Borough Council in the event a current holder of a license or prospective applicant, who was the subject of a criminal history record background check pursuant to this section, is arrested for a crime or offense in this state after the date the background check was performed.
E. 
In applications by corporations, the names and addresses of, and the amount of stock held by, all stockholders holding any of the stock thereof, and the names and addresses of all officers and of all members of the board of directors must be stated in the application, and if one or more of the officers or members of the board of directors or one or more of the stockholders would fail to qualify as an individual applicant in all respects, no license of any shall be granted. In applications by partnerships, limited-liability companies or similar business organizations, the application shall contain the names and addresses of all of the partners, members or associated individuals. No license shall be issued unless all of the partners, members or associated individuals qualify as individual applicants.
F. 
Posting of a tax escrow in an amount and manner required by Chapter 252, Article II, § 10 of this Code.
G. 
No on-premises consumption or use of cannabis shall be permitted.
H. 
Only cannabis-related products may be sold on premises.
I. 
Cannabis retail establishments must be equipped with security cameras with coverage of exterior parking and loading areas, points of entry and egress, areas open to the public, and cannabis storage areas. Security footage must be maintained for the period required by state law and be subject to immediate inspection and access by the Borough of Netcong Police Department upon request.
J. 
Cannabis retail establishments must prominently display signage indicating that no individual under the age of 21 is permitted on the premises and that the on-premises consumption or use of cannabis, food, alcohol, tobacco is prohibited.
K. 
Any cannabis retail establishment must possess and prominently display all licenses required by the State of New Jersey and the Borough of Netcong for operation.
L. 
Cannabis retail establishments must be equipped with lockable doors and windows and a security system with audible alarm and direct or third-party notification the Borough of Netcong Police Department.
M. 
All cannabis products and cash must be stored and secured in a locked safe or hardened container securely attached to the premises.
N. 
Licensee shall be current on all state and municipal tax payments.
O. 
All licensees must provide proof of, and thereafter maintain, commercial general liability insurance (and if available cannabis liability insurance) with coverage amounts of not less than $1,000,000 per occurrence and $2,000,000 aggregate.
All licensees under this chapter shall be subject to quarterly remission of municipal taxes as required and set forth in Article II of Chapter 252 and shall be compliant with the requirements therein.