[HISTORY: Adopted by the Mayor and Council of the Borough of South River 8-9-2021 by Ord. No. 2021-08. Amendments noted where applicable.]
This chapter is for the purpose of regulating the growing, manufacturing, wholesale purchase, and distribution of cannabis in the Borough of South River, in the County of Middlesex, in accordance with P.L. 2021, c. 16, known as the "New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act" (the "Act"),[1] its supplements and amendments, and in accordance with the rules and regulations issued or to be promulgated by the state.
[1]
Editor's Note: See N.J.S.A. 24:6I-31 et seq.
All applications for licenses under this chapter and all licenses issued thereunder and proceedings in connection therewith shall be subject to said Act and said rules and regulations of said state and shall be subject to any other statutes of New Jersey or of the United States now extant or hereafter enacted affecting said subject matters.
The Mayor and Borough Council of the Borough of South River, being the governing body of said municipality, shall constitute the authority for the approval of applications of licenses under this chapter and shall forthwith report the approval of all such applications to the state.
No license shall be approved by the Borough except after written application presented by the proposed licensee to the State Cannabis Regulatory Commission and after conformity with all requirements of said Act, this chapter and Borough Code § 350-8T.
It shall be unlawful to operate a cannabis facility in the Borough of South River, in the County of Middlesex, without a license previously applied for and granted pursuant to the provisions of this chapter and said Act.
The following classes of licenses, as set forth by P.L. 2021, c. 16,[1] are permitted to operate within the Borough:
A. 
Class 1 Cannabis Cultivator license, for facilities involved in growing and cultivating cannabis;
B. 
Class 2 Cannabis Manufacturer license, for facilities involved in the manufacturing, preparation, and packaging of cannabis items;
C. 
Class 3 Cannabis Wholesaler license, for facilities involved in obtaining and selling cannabis items for later resale by other licensees;
D. 
Class 4 Cannabis Distributor license, for businesses involved in transporting cannabis plants in bulk from one licensed cultivator to another licensed cultivator, or cannabis items in bulk from any type of licensed cannabis business to another;
E. 
Class 6 Cannabis Delivery license, for businesses providing courier services for consumer purchases that are fulfilled by a licensed cannabis retailer in order to make deliveries of the purchased items to a consumer, and which service would include the ability of a consumer to make a purchase directly through the cannabis delivery service, which would be presented by the delivery service for fulfillment by a retailer and then delivered to a consumer.
[1]
Editor's Note: See N.J.S.A. 24:6I-31 et seq.
The following classes of licenses, as set forth by P.L. 2021, c. 16,[1] are not permitted to operate within the Borough:
A. 
Class 5 Cannabis Retailer license for locations at which cannabis items and related supplies are sold to consumers.
B. 
(Reserved)
[1]
Editor's Note: See N.J.S.A. 24:6I-31 et seq.
[Amended 12-5-2022 by Ord. No. 2022-35]
A. 
Class 1: five total licenses.
B. 
Class 2: five total licenses.
C. 
Class 3: five total licenses.
D. 
Class 4: five total licenses.
E. 
Class 6: five total licenses.
No licensee shall operate a licensed cannabis facility on weekdays between the hours of 2:00 a.m. and 7:00 a.m. and on Sundays between the hours of 2:00 a.m. and 12:00 noon.
A. 
Licensees must comply with all regulations set forth in § 350-8T, Licensed cannabis facilities.
B. 
All classes of licenses are prohibited to operate within 200 feet of any church or public school or private schoolhouse not conducted for pecuniary profit.
[Amended 12-5-2022 by Ord. No. 2022-35]
A. 
A tax to be paid to the Borough by the Licensee as set forth in Subsection C below is imposed upon each of the following:
(1) 
Any sale by a cannabis grower (Class 1 License);
(2) 
Any sale by a cannabis processor (Class 2 License);
(3) 
Any sale by a cannabis wholesaler (Class 3 License); and
(4) 
A user tax as required by statute.
B. 
The transfer tax authorized by this section shall be assessed at the following rates:
(1) 
2% of the receipts from each sale by a cannabis grower;
(2) 
2% of the receipts from each sale by a cannabis processor; and
(3) 
1% of the receipts from each sale by a cannabis wholesaler.
C. 
A municipal user tax is hereby imposed at the equivalent transfer tax rates, on any concurrent license holder operating, more than one cannabis establishment. The user tax shall be imposed on the value of each transfer or use of cannabis or cannabis items not otherwise subject to the transfer tax imposed pursuant to this section, from the license holder's establishment that is located in the municipality to any of the other license holder's establishments, whether located in the municipality or another municipality.
D. 
For each calendar quarter, no later than 30 days after the close of the quarter, or at such other times as the Borough shall require:
(1) 
Every licensee shall file with the Borough a return setting out, in form satisfactory to the Borough:
(a) 
The amount of sales by the licensee; and
(b) 
The amount of tax owing based upon the sales.
(2) 
Simultaneously with the return, every licensee shall remit payment to the Borough such amounts as shown on the return or otherwise required by this chapter.
(3) 
The Borough may require licensees to submit such other information as the Borough deems necessary for proper administration of this tax.
(4) 
The Borough is charged with enforcement and collection of this tax and is empowered to promulgate and enforce reasonable regulations for its enforcement and collection.
Any person who shall knowingly violate any of the provisions of this chapter shall, upon conviction, be subject to the penalties provided in Chapter 1, Article I, General Penalty.