[Adopted 6-16-2025 by Ord. No. 09-2025]
A. 
Laws applicable. All applications 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. 
Issuing and licensing authority.
(1) 
The Borough Cannabis Committee (the "Committee") shall be established to act as the local licensing authority for the Borough for all cannabis establishments. The Committee shall include the Police Chief Designee and Borough Administrator Designee, and three public members, who shall be appointed by the Mayor, with consent of the Borough Council. Under all circumstances in which state law requires communication to the Borough by the State Cannabis Regulatory Commission or any other state agency with regard to the licensing of cannabis establishments by the state, or in which state law requires any review or approval by the Borough of any action taken by the state licensing authority for receiving such communications and obtaining/granting, such approvals shall be exercised by the Committee.
(2) 
The Committee shall evaluate the applications for licenses to effectuate the purpose of this article, including the economic viability of the applicant, which is to protect the public health, safety, and welfare, to enforce the compliance with applicable state and local law, to preserve neighborhood character, and minimize potential for negative impacts on people, communities, and the environment in the Borough.
(3) 
All licenses required by this article shall be issued by the Borough Clerk pursuant to the decision of the Committee.
(4) 
Under no circumstances shall a local license for a cannabis establishment issued by the Clerk be effective until or unless the state has issued the requisite permits or licenses to operate such a facility. It is the intent of this article that no cannabis establishment may lawfully operate in the Borough without the issuance of a state permit or license and full regulatory oversight of the Cannabis Regulatory Commission or other authorized state licensing authority as well as oversight and issuance of a license by the Borough.
C. 
License required. It shall be unlawful for any person, firm, or corporation to own or operate within the Borough of Atlantic Highlands any cannabis businesses for the cultivation, manufacture, wholesale, distribution of cannabis as well as its retail sale without first having obtained a properly issued license that is issued in accordance with the Act and the provisions of this article.
D. 
License fees. The annual license fee for a license for the cultivation, manufacture, wholesale, distribution, and retail sale of cannabis shall be as follows: initial application fee is $10,000 and $2,500 per annum thereafter. If license is denied, $7,500 will be refunded.
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 cannabis retail facility or manufacturing facility.
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 licensed 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 licensing 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 in cannabis facilities.
B. 
On-site consumption of food, alcohol, tobacco, or cannabis products by patrons is prohibited.
C. 
Any licensed establishment located on property that abuts residential property shall be required to have sufficient buffering in place in accordance with the applicable section of the Borough Code between the site and the residential property.
D. 
Odor control. All cannabis operations shall be required to submit an odor mitigation plan as part of their zoning permit and/or Planning/Zoning Board application. All cannabis establishments shall have appropriate equipment to mitigate cannabis-related odor. All buildings shall be equipped with an air treatment system with sufficient odor absorbing ventilation and exhaust systems such that any odor generated inside the facility is not detectable by a person of reasonable sensitivity at the property line of the subject property. Odor complaints will be directed to NJDEP's environmental hotline for further investigation and compliance with the Air Pollution Control Act.[1]
[1]
Editor's Note: See N.J.S.A. 26:2C-1 et seq.
E. 
Security Requirements for all classes of 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. 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 offsite location or through a service over a network that provides on-demand access, commonly referred to as a "cloud." The offsite 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 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 Atlantic Highlands Borough Police Department and Construction Official.
(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 Atlantic Highlands 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 Atlantic Highlands Police Department to respond to the alarm shall remain on the premises at all times.
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 municipality in the manner prescribed by the Borough. Any delinquencies are treated the same as delinquent property taxes.
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 Committee finds upon a written complaint or otherwise that there is such a serious infraction of the rules, regulations and ordinances of the Borough of Atlantic Highlands or 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, it shall refer the matter to the Borough Council. The Borough Council shall hold a hearing where said operator and complainant, if any, 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 Atlantic Highlands 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.
Any licensee or any person who shall violate or fail to comply with the provisions of this article shall, upon conviction, be 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. Such fine may be imposed upon the license of a convicted licensee.