The NJ Cannabis Regulatory Commission on Wednesday discussed on whether to hike a fee tacked onto cannabis after already canceling a scheduled vote on the fee earlier this month.
“We need to be sure that we’re going to be able to generate more tax revenue for great social equity programming …while at the same time not having a colossal effect on the industry.”
The commission was expected to vote during a special meeting Wednesday on whether to raise what’s known as the social equity excise fee from $1.24 an ounce to as much as $30 for 2025.
The fee, mandated by state law, goes toward a fund that dedicates some revenue from recreational cannabis to social equity projects and reinvesting in communities that were harmed by marijuana criminalization. A percentage of the fee also goes to funding programs aimed at diverting young people from cannabis.
But following a two-and-a-half-hour meeting behind closed doors, the five-member panel voted 3-2 to delay the November 1 deadline to approve any changes to the fee. Commissioner Charles Barker said delaying the decision would give the commission “more time to gather information, to speak to more stakeholders and organizations who represent the businesses and the people who will be directly impacted by this decision.”
The fee was expected to be discussed at the commission’s October 17 meeting, but it was pulled from the agenda. The panel did not say when they would reconvene to vote on the fee that goes into effect on January 1, 2025. Their last meeting this year is scheduled for December 12.
