Emerson, Hillsdale, Montvale next to vote on pot bans

PASCACK VALLEY—Emerson became the latest Pascack Valley town to move forward with a complete ban on any of the six classes of recently state-approved marijuana businesses.

An ordinance to prohibit all cannabis-related enterprises was introduced, 6–0, on June 1, without comment. It will be considered for adoption at the June 15 meeting of the mayor and council, which convenes at 7:30 p.m.

Montvale has a public hearing on June 10 to consider and vote on its ordinance to prohibit all local marijuana businesses.

Hillsdale’s ordinance will be voted on June 14 following a public hearing.

The six types of businesses allowed under New Jersey’s legalization law include cultivator, manufacturer, wholesaler, distributor, retailer, and delivery.

Most Pascack Valley towns have adopted or are proposing to adopt ordinances banning all cannabis businesses.

A referendum last Nov. 3 on whether to legalize marijuana passed statewide by a 2–1 margin, and by similar margins locally.

On Feb. 22, New Jersey became the 14th state to make cannabis legal when Gov. Phil Murphy followed through on a campaign pledge and signed three bills into law that decriminalize marijuana and create a pathway for the legal recreational cannabis market.

It’s unlikely for New Jersey to see any new “adult-use” or recreational cannabis licenses issued until guidelines are set by the Cannabis Regulatory Commission during the late summer or fall.

New Jersey municipalities have until Aug. 22 to pass an ordinance to opt out of any of the six classes of cannabis business.

Emerson’s proposed ordinance reads, “Pursuant to section 31b of the New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act (P.L. 2021, c. 16), all cannabis establishments, cannabis distributors or cannabis delivery services are hereby prohibited from operating anywhere in the Borough of Emerson, except for the delivery of cannabis items and related supplies by a delivery service.”

While public officials in several towns, including Woodcliff Lake and Montvale, have discussed and entertained hosting a marijuana-related business, no Pascack Valley town has done so.

If a town does not adopt an ordinance banning all six types of cannabis businesses by Aug. 22, the town must permit cannabis enterprises in certain zones for five years before it is allowed to change its zoning, according to state law.

At that point, according to the law, any businesses permitted over the five years would be grandfathered in and allowed to continue operating. However, if towns opt-out of all six businesses before Aug. 22, they can then opt in any time after that if they choose.

Emerson’s ordinance adds a new section to municipal code regarding marijuana establishments. It reads: “The following uses of property are prohibited in all zone districts in the Borough of Emerson: All classes of cannabis establishments or cannabis distributors or cannabis delivery services as said terms are defined in section 3 of P.L. 2021, c. 16, but not the delivery of cannabis items and related supplies by a delivery service.”

Meanwhile, the debate goes on about whether a cannabis business might be welcomed by any Pascack Valley community.

Under state law, municipalities can enact a local tax not to exceed 2% on cannabis cultivators, manufacturers, and retailers, and 1% on wholesalers. The tax is based on receipts for each sale and paid directly to the town in the manner preferred by the town.

No tax is applied to delivery services to consumers or bulk transportation of cannabis.

In Montvale at a mid-April public forum on adopting a cannabis ordinance and possible hosting of a cannabis business, Mayor Michael Ghassali said he was not aware of any data or crime statistics near marijuana businesses and noted no local survey of businesses there had been done to see if they would welcome a marijuana business.

Several speakers at the Montvale forum urged the borough to consider hosting a cannabis enterprise, including a retail shop, noting that local residents would have to travel to get a legal drug versus having the town reap some tax revenues and offer local availability.

However, public officials and others noted possible law enforcement or traffic concerns in hosting any type of cannabis facility.

In Hillsdale, which has adopted an ordinance to ban all local cannabis enterprises, Councilman Frank Pizzella expressed interest in a possible conversation about hosting a local cannabis business.

While Pizzella said he was “not necessarily for cannabis in Hillsdale,” he reminded members that “we need to remain open-minded from a business perspective.”

“At the end of the day, we really just need to look into everything before we decide what to do,” he said.]

Hillsdale’s ordinance, 21-08, was introduced, 5–1, on April 13. Councilwoman Janetta Trochimiuk opposed.

Questions were raised then about whether Demarest Farms would possibly be allowed to grow cannabis. Borough Attorney Mark Madaio said he had contacted the county agriculture board and state farm bureau and was waiting for an answer.