A new bill in New Jersey could allow medical cannabis dispensaries to begin selling recreational cannabis without needing municipal approval. Sponsored by Senate President Nicholas Scutari, the legislation aims to ease delays caused by local resistance to cannabis businesses. The bill includes provisions to allow dispensaries to shift from medical to recreational sales without local government consent.
Municipal Approval Challenges
Under New Jersey’s recreational cannabis law, municipalities could opt in or out of cannabis sales by August 2021. Most towns opted out, leaving only about a third of the state’s 564 municipalities permitting cannabis businesses. Some towns limit sales to medical cannabis only, and five of the state’s 200 dispensaries sell only medical products.
Joshua Bauchner is an attorney and chair of the cannabis, hemp, and psychedelics practice group at Mandelbaum Barrett. He believes the bill addresses the cannabis industry’s struggles due to the municipal approval process.
“They’re trying to circumvent the home rule issue to avoid delays and litigation,” Bauchner said.
Delays in Dispensary Openings
Recreational cannabis sales began in April 2022, but dispensaries were slow to open due to the need for municipal approvals. Lawmakers have since criticized the state’s cannabis agency for processing applications too slowly.
The new bill would bar the Cannabis Regulatory Commission (CRC) from requiring municipal approval for certain medical dispensaries that want to transition to retail sales. This could help dispensaries in towns that ban recreational cannabis—like Breakwater Treatment and Wellness in Cranbury and Rise Dispensary in Paramus—begin selling recreational products.
Scutari and the mayors of Cranbury and Paramus did not respond to requests for comment.
Bill Provisions
The bill would prevent municipalities from blocking a medical dispensary from selling recreational cannabis—if the dispensary has operated for at least 180 days without violations. Towns could still limit the number of recreational dispensaries, but they could not cap the number of medical dispensaries.
Bauchner said the bill’s primary goal is to expand the number of dispensaries quickly. Under the current law, the CRC has 90 days to approve applications but can extend the deadline indefinitely. Scutari’s bill would compel the CRC to act more quickly by limiting those extensions to 30 days.
Support for the Bill
Ken Wolski, executive director of the Coalition for Medical Marijuana—New Jersey, supports the bill. He believes it could help dispensaries that have struggled with a drop in medical marijuana patients. When recreational sales began in April 2022, over 128,000 people enrolled as medical marijuana patients. By January 2025, that number had dropped to just over 65,000.
Wolski said dispensaries had patient-only hours, but the state reduced them due to low demand. He sees the bill as a sign lawmakers are responding to changes in the cannabis market.
The bill would also allow dispensaries to redesignate their product. Currently, cannabis products are either for medical or recreational use, and dispensaries cannot sell one type to the other. The bill would allow dispensaries to reclassify products and help them sell medical products that may otherwise go unsold due to limited medical patients.
“To me, it sounds fair because you put all these restrictions on medical cannabis dispensaries, and then you made it impossible for them to do the kind of business they expect to do,” Wolski explained.
Simplifying the Process
John D. Williams is a cannabis attorney. He believes the bill would streamline the application process for business owners and the CRC. The bill removes some requirements, such as special consideration for applicants working with higher education institutions, and mandates the creation of a website to share town-specific cannabis ordinances.
“It’s intended to shorten the time and compel more prompt review, broadening access to licenses for new applicants,” Williams said.
Growing New Jersey’s Cannabis Market
The new bill in New Jersey aims to reduce delays and regulatory hurdles by streamlining the cannabis dispensary approval process. By allowing medical dispensaries to sell recreational cannabis without local approval and speeding up the application review process, the bill could help accelerate the growth of New Jersey’s cannabis industry.
