Sixteen months have passed since the New Jersey Cannabis Regulatory Commission (the CRC) released its initial set of rules to govern the state’s recreational cannabis industry. Meanwhile, New Jersey cannabis attorneys have been keeping up to date on the legalization legislation, better known as the Cannabis Regulatory Enforcement Assistance and Marketplace Modernization Act (the CREAMM Act), as well as the licensing process. But what about the impact of the Municipal Land Use Law (MLUL), which governs how an applicant obtains the necessary permits and approvals for land development prior to the construction and operation of the cannabis facility? Obtaining a conditional, or temporary, cannabis license is a feat, but the applicant should know that converting the conditional license to an annual license is another hurdle the applicant must clear, provided they understand the MLUL.

Applicants and their attorneys need to be keenly aware of two deadlines imposed by the CRC: first, under N.J.A.C. 17:30-7.6(d), during the conditional cannabis license phase and once the conditional license is issued, the applicant has 120 days to gain control of the proposed site to operate through lease, purchase or other means; obtain approval from the municipality; and prepare and submit the application to convert the conditional license to an annual license. This conditional license may be extended an additional 45 days at the discretion of the CRC. Second, pursuant to N.J.A.C. 17:30-7.8(a)(4), zoning approval is required in order to convert a conditional license to an annual license, which consists of a letter or affidavit from appropriate municipal officials that the location (and its operations as a proposed cannabis business premises) will conform to municipal zoning requirements. This leaves, at most, 165 days from the issuance of the conditional license to comply with these deadlines.

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