[Adopted 8-5-2021 by Ord. No. 19-2021]
[Amended 7-26-2023 by Ord. No. 16-2023; 4-25-2024 by Ord. No. 01-2024]
A. 
Laws applicable. All application for licenses, all licenses issued and all proceedings under this article shall be in accordance with the New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act ("the Act") (P.L. 2021, c. 16),[1] rules, regulations, and all other applicable laws of the state of New Jersey.
[1]
Editor's Note: See N.J.S.A. 24:6I-31 et seq.
B. 
All licenses required by this article shall be issued by the Borough Clerk upon the adoption of a Resolution by the Borough Council authorizing the issuance of a Class 1, 2, 3, 4 or 5 cannabis license including a microbusiness.
C. 
License required. It shall be unlawful for any person, firm, or corporation to own or operate within the Borough of Eatontown any recreational cannabis businesses for the cultivation, manufacture, wholesale, and distribution of cannabis as well as its retail sale without first having obtained a properly issued license that is issued in accordance with the New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act (P.L. 2021, c. 16)[2] and the provisions of this article.
[2]
Editor's Note: See N.J.S.A. 24:6I-31 et seq.
D. 
The annual license fees, type and maximum number of licenses for the cultivation, manufacture, wholesale, distribution retail sale and delivery of cannabis shall be as follows: The application fee for Class 1 through 5 non-microbusiness licenses shall be $10,000 and $2,500 per annum thereafter. The application fee for Class 1 through 5 microbusiness shall be $5,000 and $1,250 per annum thereafter.
E. 
The Borough shall develop an objective selection criteria for the issuance of Class 5 retail licenses should the number of license applications exceed the limit noted in § 89-52D.
F. 
In order to be eligible for the issuance of a license to operate a Class 1, 2, 3, 4 or 5 license, including a license to operate a microbusiness authorized hereunder, the applicant shall provide the Borough with proof of the following:
(1) 
Resolution of support issued by the Borough Council supporting issuance of license for a Class 1, 2, 3, 4 or 5 license from Cannabis Regulatory Commission at a location consistent with this section.
(2) 
License to operate a Class 1, 2, 3, 4, or 5 issued by the Cannabis Regulatory Commission at a location consistent with the Resolution of Support issued by the Borough Council consistent with this section.
(3) 
Proof of site control for the location proposed for the cannabis facility through either proof of ownership of the property, a lease or a Letter of Intent between the property owner and the cannabis licensee applicant evidencing the intent of the property owner to lease the property to the cannabis licensee applicant for at least six months, and the lease or Letter of Intent shall be renewed thereafter in at least six-month intervals until a license is issued.
(4) 
Approval from Planning Board, if required, and Zoning Officer for location and operation of cannabis facility, from which cannabis operations will occur.
Upon issuance of the license by the Borough Clerk upon authorization from the Borough Council, the license shall remain in effect for one year, subject to annual renewal, as set forth in this section. If the approved Class 1, 2, 3, 4 or 5 cannabis facility is not operational within one year, the license shall lapse and be eligible for other cannabis operators within the particular class of operation, unless the cannabis licensee demonstrates good cause for not being operational within one year. At a minimum, in order for good cause to exist as it relates to the renewal of a cannabis license, the cannabis licensee shall provide at least three updates to the Borough Council, via the Borough Clerk, nine months prior, six months prior and three months prior to the license lapsing and/or renewing. The purpose of these updates is to update the Borough Council of any delays in bringing the operation into existence and how the licensee operated in good faith to mitigate against any delays preventing the cannabis licensee from becoming operational.
On-site consumption of cannabis for all classes of cannabis facilities in any form or its transfer from its original packaging by patrons, employees or other persons in the building, premises, or in any automobile or other vehicle located on the premises is prohibited.
A. 
Presence. No person under the legal age of 21 shall be allowed in any building where cannabis is sold.
B. 
Purchase of cannabis by a person under legal age. No person under the legal age of 21 shall purchase, attempt to purchase or have another purchase for that person any cannabis on any premises license for the sale of cannabis.
C. 
Purchase of cannabis for a person under the legal age. No person shall purchase, attempt to purchase, or transfer cannabis to a person under the legal age of 21. It shall be unlawful for any person to induce or attempt to induce any licensee or any employee of a licensee to sell, serve or deliver cannabis to a person under the legal age of 21.
A. 
On-site sales of alcohol or tobacco products are prohibited.
B. 
On-site consumption of food, alcohol, tobacco, or cannabis products by patrons is prohibited.
C. 
Security requirements for Class 2, 3, and 4 and 5 cannabis establishments:
(1) 
All licensed facilities shall be equipped with security cameras covering all exterior parking and loading areas, all points of entry into the facilities, and interior spaces that are open to the public and that are used to store cannabis products.
(a) 
Security cameras shall be installed to monitor and record all areas of the premises, except in restrooms, and where persons may gain or attempt to gain access to cannabis products or cash maintained by the cannabis establishment. Cameras shall record operations of the business and all potential areas of ingress and egress to the facility with sufficient detail to identify facial features and clothing. Recordings from security cameras shall be maintained for a minimum of 40 days in a secure off-site location or through a service over a network that provides on-demand access, commonly referred to as a "cloud." The off-site location shall be submitted to the Police Department and shall be updated within 48 hours of any change of such location.
(2) 
All licensed cannabis establishments shall provide the Police Department with access to recorded security footage immediately upon request by the Department.
(3) 
All licensed cannabis establishments shall have at least one privately licensed security guard stationed at each facility during operation. The expense of providing the privately licensed security guard shall be paid by the cannabis establishment.
(4) 
All licensed retail establishments shall provide a dimensioned floor plan, clearly labeled, showing: the layout of the structure and floor plan in which the retail operation is to be located; the principal uses of the floor area depicted on the floor plan, including, but not limited to, public areas, processing and manufacturing areas, loading and unloading areas, storage areas and restricted areas where cannabis products will be located, storage areas and restricted areas where cannabis products will be located; all points of entry into the facility; and the locations of all security cameras that will be positioned within the facility.
(5) 
All licensed cannabis establishments shall provide a plan for exterior lighting for security purposes.
(6) 
All licensed cannabis establishments shall install and use a safe for storage of any cannabis products and cash on the premises when the business is closed. The safe shall be incorporated into the building structure or securely attached thereto as approved by the Eatontown Borough Police Department and Construction Official. For cannabis products that require refrigerated storage, the refrigerated container or freezer shall be locked in a manner authorized by the Eatontown Borough Police Department.
(7) 
All licensed cannabis establishments shall install and use an alarm system that is monitored by a company that is staffed 24 hours a day, seven days a week. The name, location and contact information of the company monitoring the alarm shall be provided to the Eatontown Police Department and shall be updated within 48 hours of any change of monitoring company. If the alarm system includes a panic alarm, an operable, dedicated phone for Eatontown Police Department to respond to the alarm shall remain on the premises at all times.
[Amended 7-26-2023 by Ord. No. 16-2023]
Cannabis products will be subject to the State sales tax and, as authorized by the Legislature, local cannabis tax of 2% for cannabis cultivator, manufacturer, and/or retailer; and 1% for wholesalers. The tax percentage is based on the receipts for each sale and will be paid directly to the Borough in quarterly payments due on January 5, April 5, July 5 and October 5 of each year for receipts generated the previous three months. Any delinquencies are treated the same as delinquent property taxes and any delinquencies of more than 30 days shall result in the revocation of the Borough issued license thereby precluding operation off the facility until such time as the delinquency is cured. The cannabis operator shall be given notice of the delinquency by the Borough and shall have 10 days to cure before the license is revoked. Delinquencies greater than 30 days shall be charged at the same interest rate as delinquent property taxes, then in effect. Any legal cost to recover delinquent payments, shall be charged to the licensee and payable to the Borough with the following quarter's payment. The local tax does not apply to delivery services to consumers transfers for the purpose of bulk transportation.
A. 
Any license issued under this article may be suspended or revoked for a violation of any of the provisions of this article, or any provision of the applicable statute or any of the rules or regulations of the State of New Jersey.
B. 
The provisions of this article shall be enforced by the Police Department or the Code Enforcement Officer or her/his designee. In the event that the Borough Council finds, upon a written complaint filed, that there is such a serious infraction of the rules, regulations and ordinances of the Borough of Eatontown for the rules, regulations and laws of the State of New Jersey or that the operation of a premises licensed hereunder will constitute a serious menace to the health, safety, welfare and morals of the people of the Borough or the occupants of such licensed premises, the Borough Council shall have the right to hold a hearing where said operator and complainant will be given the right to provide testimony and be subject to cross-examination regarding said complaint. Upon the Council's finding of good cause, it may immediately suspend the license of such person, firm, partnership, corporation or entity licensed under this article. The hearing to continue the suspension or revocation of the license or take such other action as the Borough Council deems necessary, in its lawful discretion, shall proceed, where applicable, in the same manner as if the proceeding were for the issuance of a new license. Nothing contained herein shall prevent the Borough of Eatontown or the officers of the Borough from proceeding against the applicant in a court of competent jurisdiction.
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.
A. 
Any licensee or any person who shall violate or fail to comply with the provisions of this article shall, upon conviction, have his, her or its license subject to a fine of $500 for the first offense and $2,000 for any subsequent offense or by imprisonment for a term not exceeding 90 days or by a period of community service not exceeding 90 days as well as such penalties as may otherwise be provided by law as well as such penalties as may otherwise be provided by law.
B. 
The remainder of all other sections and subsections of the aforementioned ordinance not specifically amended by this Ordinance shall remain in full force and effect.