[HISTORY: Adopted by the Mayor and Council of the Borough of Englishtown as indicated in article histories. Amendments noted where applicable.]
[Adopted 4-26-2023 by Ord. No. 2023-03]
[Amended 11-24-2025 by Ord. No. 2025-17; 3-11-2026 by Ord. No. 2026-10; 5-13-2026 by Ord. No. 2026-15]
A. Licenses. License fees/maximum number. Cannabis licenses shall run July 1 through June 30 and must be renewed annually. The annual license fee and maximum number of licenses for the cannabis business in the Borough shall be as follows:
Class of License | Annual License Fee | No. of Licenses |
|---|
Class 1 cannabis cultivator | $7,500 | 3 |
Class 2 cannabis manufacturer | $7,500 | 3 |
Class 3 cannabis wholesaler | $5,000 | 1 |
Class 4 cannabis distributor | $5,000 | 1 |
Class 5 cannabis retailer | $5,000 | 4 |
Class 6 cannabis delivery service | $5,000 | 1 |
B. A nonrefundable application fee of $5,000 shall accompany all new license applications.
(1) No licensee shall implement any material change to the licensed premises or operations without first submitting an application to the Borough Clerk or other designated administrative officer and obtaining prior approval. An application fee shall be required for any application seeking: (i) reinstatement of a license following suspension or revocation; or (ii) approval of a material change to the licensed premises or operations. For purposes of this subsection, a "material change" shall mean any significant alteration to the ownership, management, premises, or operations of a licensed cannabis establishment, as determined by the Borough Clerk or other designated administrative officer.
(2) Routine annual renewal of an existing license in good standing shall not require payment of an application fee.
C. All cannabis licenses issued by the Borough shall be valid for a period of one year and shall be subject to annual renewal.
(1) Renewal of a license shall require submission of such forms and documentation as may be required by the Borough to confirm continued compliance with applicable law and Borough ordinances, together with payment of the applicable annual license fee.
(2) A renewal shall not be deemed a new application unless one of the circumstances set forth in Subsection
B applies.
D. No license issued under this chapter shall be sold, assigned, pledged, or otherwise transferred. Any attempted transfer shall be void and constitute grounds for immediate revocation.
E. Any person or entity operating a cannabis establishment within the Borough without a valid Borough-issued license shall be subject to a penalty of up to $2,000 per day of operation, closure by order of the Borough Police Department, and any additional sanctions imposed by the New Jersey Cannabis Regulatory Commission.
[Amended 3-11-2026 by Ord. No. 2026-10]
A. Customer access to the interior of any cannabis establishment shall be permitted only between the hours of 10:00 a.m. and 10:00 p.m., Monday through Sunday.
B. Outdoor customer transactions occurring on the premises, including but not limited to curbside pickup, drive-through service, or similar outdoor distribution of cannabis items, shall be permitted only between the hours of 8:00 a.m. and 12:00 midnight.
C. Between the hours of 12:00 midnight and 8:00 a.m., no cannabis establishment shall permit any customer-facing cannabis activity on the premises, including indoor retail access, curbside pickup, drive-through service, or any other on-site transaction.
D. No cannabis establishment shall utilize automated dispensing machines, unattended pickup lockers, automated retrieval systems, or any similar mechanism that would permit a customer to obtain cannabis items from the premises outside the hours permitted by this section.
E. Nothing herein shall prohibit internal operational activities occurring without customer access, including security, inventory management, administrative functions, or preparation of deliveries.
F. Violations; municipal license penalties. Any cannabis establishment operating in violation of the hours of operation established in this section shall be deemed in violation of a condition of its municipal cannabis license and shall be subject to the following administrative penalties:
(1) A first violation within any 12-month period shall be subject to a municipal license penalty of $2,500.
(2) A second violation within any 12-month period shall be subject to a municipal license penalty of $5,000.
(3) A third or subsequent violation within any 12-month period shall constitute grounds for suspension or revocation of the Borough cannabis license, after notice and hearing before the Borough Administrator or a designated hearing officer.
[Amended 11-24-2025 by Ord. No. 2025-17; 3-11-2026 by Ord. No. 2026-10]
A. It is the purpose of this section to implement the provisions of P.L. 2021, c. 16, which authorizes the governing body of a municipality to adopt an ordinance imposing a tax at a uniform percentage rate not to exceed 2% of the receipt from each sale by a cannabis cultivator, 2% of the receipts from each sale by a cannabis manufacturer; 1% of the receipts from each sale by a cannabis wholesaler; and 2% of the receipts from each sale by a cannabis retailer, which shall be in addition to any other tax or fee imposed pursuant to statute or local ordinance or resolution by any governmental entity upon the cannabis establishment.
B. Unless otherwise defined herein, as used herein, the Borough adopts by reference the terms and definitions established in Section 40 of N.J.S.A. 24:61-33.
C. There is hereby established a local cannabis transfer tax in the Borough of Englishtown which shall be fixed at a uniform percentage rate of 2% of receipts from each sale by a cannabis cultivator and 2% of the receipts from each sale by a cannabis manufacturer, 1% of the receipts from each sale by a cannabis wholesaler; and 2% of the receipts from each sale by a cannabis retailer.
D. Any transaction for which the transfer or user tax is imposed, or could be imposed, pursuant to this article, other than those which generate receipts from retail sales by cannabis retailers, shall be exempt from the tax imposed under the "Sales and Use Tax Act," P.L. 1966, c. 30 (N.J.S.A. 54:32B-1 et seq.).
E. The cannabis transfer tax shall be in addition to any other tax or fee imposed pursuant to statute or local ordinance or resolution by any governmental entity upon property or cannabis establishment.
F. Each licensee shall submit to the Borough Clerk and Chief Financial Officer a quarterly statement within 30 days after the close of each calendar quarter setting forth: (a) gross revenues; (b) the cannabis transfer and user tax remitted to the Borough; (c) number of employees; and (d) certification of compliance with all Borough and state licensing conditions. Failure to file a complete quarterly report shall result in a penalty.
G. For purposes of the municipal cannabis transfer tax and user tax imposed under this chapter, cannabis items shall include intoxicating hemp beverages, cannabis-infused beverages, or any beverage containing cannabis, cannabis extract, hemp-derived tetrahydrocannabinol (THC), or other intoxicating cannabinoid regulated pursuant to P.L. 2024, c. 73 or any successor statute.
H. Any establishment located within the Borough that sells intoxicating hemp beverages or cannabis-infused beverages shall comply with all municipal cannabis tax reporting and remittance requirements to the extent such products are subject to the municipal cannabis transfer tax pursuant to N.J.S.A. 40:48I-1 or any successor statute.
[Amended 11-24-2025 by Ord. No. 2025-17]
A. The transfer tax or user tax imposed by this article shall be collected or paid, and remitted to Englishtown Borough by the cannabis establishment from the cannabis establishment purchasing or receiving the cannabis or cannabis item. The transfer tax or user tax shall be stated, charged, and shown separately on any sales slip, invoice, receipt, or other statement or memorandum of the price paid or payable, or equivalent value of the transfer, for the cannabis or cannabis item.
B. Every cannabis establishment required to collect a transfer tax or user tax imposed by ordinance pursuant to this article shall be personally liable for the transfer tax or user tax imposed, collected, or required to be collected under this article. Any cannabis establishment shall have the same right with respect to collecting tax or user tax from another cannabis establishment as if the transferor user tax was part of the purchase price of the cannabis or cannabis item and payable at the same time; provided, however, that the Chief Financial Officer of Englishtown Borough shall be joined as a party in any action or proceeding brought to collect the transfer tax.
C. No cannabis establishment required to collect a transfer tax or user tax imposed by this article shall advertise or hold out to any person or to the public in general, in any manner, directly or indirectly, that the transfer tax or user tax will not be separately charged and stated to another cannabis establishment, or that the transfer tax or user tax will be refunded to the cannabis establishment.
D. All revenues collected from the transfer tax or user tax imposed by ordinance pursuant to this article shall be remitted to Englishtown Borough Chief Financial Officer on a quarterly basis, payable for the prior three month's activities and due at the same time as quarterly dates for the collection of property taxes. The revenues due on February 1 of each year shall include all transfer taxes and user taxes collected for the immediate prior months of October, November and December. The revenues due on May 1 of each year shall include all transfer taxes and user taxes collected for the immediate prior months of January, February and March. The revenues due on first of each year shall include all transfer taxes and user taxes collected for the immediate prior months of April, May and June. The revenues due on November 1 of each year shall include all transfer taxes and user taxes collected for the immediate prior months of July, August and September. There shall be a ten-day grace period for the payment of said transfer tax and/or user tax which will coincide with the ten-day grace period typically permitted for property tax payments. There shall be no extension of the cannabis transfer tax/user tax grace period without a resolution of the governing body authorizing a specific extension.
E. All payments to Englishtown Borough shall be accompanied by an affidavit signed by the licensee, who certifies the total receipts from each sale so that an accurate calculation of the cannabis tax may be determined.
F. The Chief Financial Officer shall collect and administer the local cannabis transfer tax and user tax imposed by this article. The Township shall enforce the payment of delinquent local cannabis transfer tax and user tax in the same manner and at the same interest rates as provided for municipal real property taxes.
G. If any licensee fails to pay cannabis-related taxes owed to the Borough after expiration of the statutory grace period:
(1) A fine of $500 per day shall accrue from the first day of delinquency;
(2) After seven days, the license shall be suspended; and
(3) After 30 days, the license shall be revoked.
Upon revocation, the Borough may either (1) award the license to another qualified applicant or (2) permit the original licensee to repurchase the license for $30,000 within 90 days, provided all outstanding taxes and penalties are paid in full.
H. In the event that the local cannabis transfer tax and user tax imposed by this article is not paid as and when due by a cannabis business, the unpaid balance, and any interest accruing thereon, shall be a lien on the parcel of real property comprising the cannabis business in the same manner as all other unpaid municipal taxes, fees, or other charges. The lien shall be superior and paramount to the interest in the parcel of any owner, lessee, tenant, mortgagee, or other person, except the lien of municipal taxes, and shall be on a parity with and deemed equal to the municipal lien on the parcel for unpaid property taxes due and owing in the same year. In the event of a delinquency, the Chief Financial Officer shall file with the Tax Collector a statement showing the amount and due date of the unpaid balance and identifying the lot and block number of the parcel of real property that comprises the delinquent cannabis business. The lien shall be enforced as a municipal lien in the same manner as all other municipal liens are enforced.
[Added 5-13-2026 by Ord. No. 2026-15]
A. All licensees shall comply with all applicable federal, state, and local laws, ordinances, and regulations as a condition of maintaining a license issued by the Borough.
B. A license may be suspended or revoked where the Borough Administrator determines, after notice and an opportunity to be heard, that the licensee:
(1) Has violated any provision of this article
(2) Has engaged in unlawful conduct, disorderly conduct, fraud, misrepresentation, violence, threats, or other conduct reasonably demonstrating a lack of fitness or suitability to engage in the licensed activity; or
(3) Has engaged in conduct which poses a threat to the public health, safety, or welfare.
C. The Chief of Police may provide a written recommendation to the Council concerning whether suspension or revocation is warranted based upon public safety considerations.
D. If the Council votes that a hearing is required, the Business Administrator shall conduct a hearing within 14 days of the Council's determination. Prior to the hearing, the licensee shall be provided written notice of the alleged grounds and the date of the hearing.
E. Following the hearing, the Borough Administrator may suspend or revoke the license upon written findings supporting such determination.
F. Nothing herein shall prevent the Borough Administrator from imposing an immediate temporary suspension where reasonably necessary to protect the public health, safety, or welfare, provided that a hearing shall thereafter be conducted within a reasonable time. In the case of a temporary suspension, the Council shall consider at its next regularly scheduled meeting whether to take permanent action against the licensee or require further proceedings.