NJ Cannabis Commission sets social equity fee at $2.50 per ounce after amendment

The New Jersey Cannabis Regulatory Commission on its final 2024 meeting amended a pending motion and voted to set the social equity excise fee at $2.50 per ounce for both usable and unusable cannabis for calendar year 2025, and reinstated the November 1 regulatory deadline to allow the Department of Treasury time to set up collections.

Director Gregory Reyes told the board the statewide average retail price is about $330.68 per ounce, which under the commission's regulation range would have supported a $30‑per‑ounce fee. Vice Chair Delgado moved to set the fee at $2.50 and to waive any fee on unusable cannabis used for manufacturing; board members raised concerns that exempting unusable material would remove revenue from roughly 40% of products sold.

After questions about legal vulnerability and market impacts, the chair moved to amend the underlying motion so the $2.50 fee would apply to both usable and unusable cannabis and to rescind the waiver of NJAC 17:30‑3.4(d), restoring the November 1 deadline. The amendment passed on a recorded roll call and the board announced the motion passed.

Commissioners who spoke during the debate emphasized balancing social equity goals and market viability. Commissioner Nash urged collaboration with the legislature and Treasury on how tax revenues are invested. The ACLU, in public comment, urged a stronger fee — noting the commission's previous regulatory tier would have raised far more for community reinvestment given reported sales of approximately $1.0–1.3 billion.

Next steps: the fee order as adopted will be implemented consistent with the reinstated regulatory deadline and Treasury procedures.