[Added 8-19-2021 by Ord.
No. 6PSF-AA (s), 08-19-2021]
Any person wishing to obtain any classification of cannabis
license shall file a license application with the Division of Tax
Abatement and Special Taxes, on a standardized form established by
the Division of Tax Abatement and Special Taxes and the Business Administrator.
The City will establish a reasonable application period and deadline
for all applications. An application shall be deemed incomplete and
shall not be processed by the Division of Tax Abatement and Special
Taxes and the Business Administrator, if all required documents and
application fees are not submitted.
[Added 8-19-2021 by Ord.
No. 6PSF-AA (s), 08-19-2021; amended 11-23-2021 by Ord. No. 6PSF-a(s), 11-23-2021]
a.
Timing of submission. Beginning December 1, 2021, a person may apply
for authorization to operate a Cannabis Establishment within the City
by complying with the requirements of this section.
b.
Required application materials. An application is not considered
complete until all of the following are received by the Division of
Tax Abatement and Special Taxes:
1.
A nonrefundable application fee shall be submitted with the application
in accordance with the following fee schedule:
(a)
Class I: $2,500 Cannabis Cultivation License.
(b)
Class II: $2,500 Cannabis Manufacturer License.
(c)
Class III: $2,500 Cannabis Wholesaler License.
(d)
Class IV: $2,500 Cannabis Distributor License.
(e)
Class V: $2,500 Cannabis Retailer License.
(f)
Class VI: $1,500 Cannabis Delivery License.
(g)
Microbusiness: $750.
(h)
Safety Compliance Establishment: $500.
2.
A photocopy of a valid, unexpired Driver's License or State issued
identification card for all owners, directors, and officers of the
proposed establishment.
3.
A signed application, which must include all of the following information
and documents:
(a)
If the applicant is an individual, the applicant's name; date
of birth; Social Security number; physical address, including residential
and any business address; copy of government-issued photo identification;
email address; one or more phone numbers, including emergency contact
information;
(b)
If the applicant is not an individual, the names; dates of birth;
physical addresses, including residential and any business address;
copy of government-issued photo identifications; email address; and
one or more phone numbers for each stakeholder of the applicant, including
designation of the highest ranking representative as an emergency
contact person; contact information for the emergency contact person;
articles of incorporation or organization; assumed name registration;
Internal Revenue Service EIN confirmation letter; copy of the operating
agreement of the applicant, if a limited liability company; copy of
the partnership agreement, if a partnership; names and addresses of
the beneficiaries, if a trust, or a copy of the bylaws or shareholder
agreement, if a corporation;
(c)
The name, address, tax identification number, and current zoning
designations of the proposed cannabis establishment;
(d)
The name and address of the current property owner of record;
(1)
The applicant shall submit proof that the applicant has or will
have lawful possession of the premises proposed for the cannabis establishment,
which proof may consist of: a deed, a lease, a real estate contract
contingent upon successful licensing, or a binding letter of intent
by the owner of the premises indicating an intent to lease the premises
to the entrant contingent upon successful licensing.
(2)
An applicant may submit applications for multiple properties.
(3)
However, only one application shall be submitted per property,
unless the applications are for proposed co-located establishments.
(e)
If the current property owner is different than the applicant
(e.g. where the applicant has a lease, option, land contract, or other
future interest in the property), the property owner's signature is
required in addition to the applicant's or provide a signed notarized
letter from the property owner acknowledging the type of business;
terms of contract between the owner and applicant; the revocation
of any Federal, State, and/or local incentive; etc.;
(f)
The proposed establishment type;
(g)
If the proposed establishment type involves stacked growing
licenses, the number of licenses sought;
(h)
A complete list of all cannabis permits and licenses held by
the applicant;
(i)
Written consent for the City to inspect the establishment at
any time during normal business hours to ensure compliance with applicable
laws and regulations;
(j)
A location area map of the Cannabis Establishment and surrounding
area that identifies the relative locations and the distances (closest
property line to the subject cannabis establishment's building) to
the closest real property comprising a public or private elementary,
vocational or secondary school;
(k)
A copy of financial documents and a financial institution letter
certifying funds shall be submitted as proof of financial capability
to open and operate the cannabis establishment for which the applicant
is seeking a license;
(l)
A resolution from the City of Newark's Planning Board or a Permitted
Use Letter from the Department of Economic and Housing Development,
Division of Planning and Zoning:
(m)
A copy of all documents submitted by the applicant to the State
in connection with the application for a State Operating License under
the NJCREAMMA;
(n)
A copy of all documents issued by State indicating that the
applicant has been prequalified for a state operating license;
(o)
An affidavit and documentary proof of compliance with all state
and local laws regarding affirmative action, anti-discrimination and
fair employment practices. The applicant shall also certify under
oath that they will not and shall not discriminate based on race,
color, religion (creed), gender, gender expression, age, national
origin (ancestry), disability, marital status, sexual orientation,
or military status, in any of its activities or operations;
(p)
Any other information reasonably requested by the City relevant
to the processing or consideration of the application.
c.
Initial receipt period. For any establishment type subject to numerical limitations under Section 14:3-5, the initial receipt period shall be December 1, 2021, and shall end at 12:00 p.m. on Friday, December 31, 2021.
d.
Municipal Action Upon Receipt. The Division of Tax Abatement and Special Taxes will accept and receive any complete application that includes the information and documents required by Section 14:4-2b, unless the City has already received an application for the same property (other than an application for a proposed co-located establishment) from another applicant. Upon receiving a complete application, the Division of Tax Abatement and Special Taxes will time- and date-stamp the application and inform the applicant of the following:
e.
Conditional authorization and competitive process. The Division of
Tax Abatement and Special Taxes will conditionally authorize establishments
as follows:
1.
If, after 12:00 p.m. on the end date of the initial receipt period, the City has received more applications for a given establishment type than would be permitted under Section 14:3-5, the City will decide among competing applications by a competitive process intended to select applicants who are best suited to operate in compliance with the all regulations in the City. The City will provide applicants with 21 calendar days' notice that the applicants must provide supplemental written information and documentation to the City indicating whether the applicant satisfies each of the following criteria:
|
Scoring category
|
Available points
|
|---|---|
|
Current medical marijuana facility license status in the City
and history of compliance with City and state regulations associated
with existing medical marijuana facility licenses held in the City.
|
10 points
|
|
Background of the applicant, including past ownership interest
in a business or businesses operating in the State of New Jersey;
past compliance with business licensing requirements, including marijuana
business licenses issued by the state.
|
10 points
|
|
Human resources, including the number of full-time equivalent
employees and how many employees reside in the City of Newark.
|
10 points
|
|
Physical investment, including the applicant's proposed tangible
capital investment; the current and proposed condition of the proposed
location; and the applicant's ownership stake in the physical location
of the establishment along with whether the business is a MBE or WMBE
business.
|
20 points
|
|
Area impact, including the proximity of the establishment to
properties zoned or used residentially; and plans for litter control,
loitering, neighborhood outreach, noise mitigation, odor mitigation,
resident safety, and traffic mitigation.
|
10 points
|
|
Business operations, including a business plan; financing plan;
marketing and promotion plan, with an emphasis on reducing exposure
to minors; and strategic plan.
|
10 points
|
|
Establishment design, including the provision of glazing, landscaping,
and screening above City minimum requirements; the use of durable
building materials; compliance with the Americans with Disabilities
Act;
|
10 points
|
|
Energy efficiency, including ENERGY STAR® certification; New Jersey Energy Code compliance; use of energy
from carbon-free sources; and use of Water Sense fixtures.
|
10 points
|
|
Infrastructure impact, including the utilization of green infrastructure
or low-impact development design principles to manage storm water;
and the provision of non-motorized transportation infrastructure in
excess of City requirements.
|
10 points
|
|
Bonus Points:
| |
|
Majority owner of the cannabis establishment is Black and/or
Brown.
|
30 points
|
|
Majority owner has resided within the City of Newark for at
least five (5) years.
|
15 points
|
|
An owner who owns 25% or more of the cannabis establishment
and is considered to be rehabilitated pursuant to N.J.A.C. 17:30-7.12(e).
|
15 points
|
|
It shall be noted that a Cannabis Establishment will be subject
to forfeiture of license if it is discovered that it has exploited
an individual for the sole purpose of receiving bonus points.
| |
[Added 8-19-2021 by Ord.
No. 6PSF-AA (s), 08-19-2021; amended 11-23-2021 by Ord. No. 6PSF-a(s), 11-23-2021]
a.
The application and all supplemental information shall be delivered
to the City's Adult-Use Cannabis Establishment Selection Committee
("Selection Committee"). The Selection Committee shall be comprised
of:
|
Office of the Business Administrator and/or designee
(Presiding Officer).
|
|
Finance Department, Division of Tax Abatements and
Special Taxes.
|
|
Law Department.
|
1.
Submission of supplementary information to the City. Applicants for
City authorization and persons operating existing establishments in
the City must provide the Division of Tax Abatement and Special. Taxes
with copies of all documents submitted to the State in connection
with the initial license application, subsequent renewal applications,
or investigations conducted by the State. The documents must be provided
to the Division of Tax Abatement and Special Taxes within seven (7)
days of submission to the State, and may be submitted by electronic
media unless otherwise requested.
b.
Upon timely receipt of the supplemental information described in Subsection 14:4-2e1, the Selection Committee shall hold a meeting and assign points for each criterion that is satisfied and shall, based on the resulting scores, select applicants who are best suited to operate in compliance with the regulations in the City. The Division of Tax Abatement and Special Taxes shall notify the selected applicants that they have been granted conditional authorization. In the event of a tied score, the Selection Committee shall conduct a random drawing from among the applicants with tied scores to determine which applicant shall receive conditional authorization. The City's decision to grant conditional authorization is final and is not appealable.
d.
Once the Division of Tax Abatement and Special Taxes has issued conditional authorizations for all of the establishments of a given establishment type that would be permitted under Section 14:3-5, subsequent applications will be placed at the end of the waiting list for that establishment type. Applications shall be included on the waiting list in the order designated by the Selection Committee.
[Added 11-23-2021 by Ord. No. 6PSF-a(s), 11-23-2021]
a.
Committee
Interview. The Selection Committee may require that an applicant be
interviewed before approving the license to ensure that the applicant
is:
b.
Licensing Lottery. Where after all applicants have been scored pursuant to Section 14:4-2e; and it has been determined that several applicants in the same class have received the same number of points, and the amount of applicants exceeds the allowable amount of Cannabis Establishments in a particular class pursuant to Section 14:3-5, the Committee may conduct a public lottery among such applicants.
[Added 8-19-2021 by Ord.
No. 6PSF-AA (s), 08-19-2021; amended 11-23-2021 by Ord. No. 6PSF-a(s), 11-23-2021]
a.
The Division of Tax Abatement and Special Taxes will grant final
authorization for the establishment if the applicant:
1.
Submits the paperwork for the establishment-specific step of the
application for a state operating license (and all related applications
for stacked licenses) to the state within 30 days of receiving conditional
authorization;
2.
Submits an application for special use authorization pursuant to
the zoning ordinance within 30 days of receiving conditional authorization;
3.
Obtains special use authorization within six (6) months of receiving
conditional authorization;
4.
Receives all required operating licenses and approvals from the state
within 18 months after conditional authorization is granted;
5.
Enters into a written agreement with the City confirming that the Cannabis Establishment will operate in accordance with the business plans, building plans, design standards, and all other operational standards described by the applicant in the application and in any supplemental materials submitted under Subsection 14:4-2e. The agreement shall further provide that if the establishment breaches the agreement, then the City may revoke authorization of the establishment following notice and a public hearing, and that in such event, the City shall be entitled to injunctive relief barring further operation of the establishment in the City.
b.
Expiration of conditional authorization. If the applicant for a conditionally
authorized Cannabis Establishment fails to satisfy any of the deadlines
established above, the conditional authorization will expire. The
Business Administrator is hereby authorized to enter into a maximum
of one (1) six (6) month extension of any time frame set forth in
this section. All other extensions must be approved by the Municipal
Council upon a showing of good cause.
c.
Waiting list. The Division of Tax Abatement and Special Taxes will
keep and maintain the waiting lists established pursuant to this Chapter
until the maximum number of Cannabis Establishments of the type to
which the list pertains are operating in the City (at which time the
waiting list will be discarded). If a conditional authorization for
a proposed Cannabis Establishment of that establishment type expires,
the Division of Tax Abatement and Special Taxes will conditionally
authorize the next application on the waiting list. The waiting lists
will be for Cannabis Establishments who have not received a disapproval
from the City. The waiting list will expire within a one-year time
frame.
d.
Newly available authorizations.
1.
For Cannabis Establishment types for which the maximum number of establishments specified in Section 14:3-5 are operating in the City, an authorization will become available when:
2.
When a license becomes available as described in Paragraph d1(a)
of this Section, the Division of Tax Abatement and Special Taxes will
select a date within the next 60 days on which the City will begin
accepting applications from interested persons, and will publish notice
of the selected date in a newspaper of general circulation.
[Added 8-19-2021 by Ord.
No. 6PSF-AA (s), 08-19-2021; amended 11-23-2021 by Ord. No. 6PSF-a(s), 11-23-2021]
Renewal applications for another annual license shall be filed
no later than 90 days prior to the expiration of the cannabis establishment's
license. The renewal application shall follow the same rules and guidelines
laid out in this chapter and provide all necessary proof showing that
the cannabis establishment is operating in compliance with this Title.
