N.J. Admin. Code § 17:30-7.7

Current through Register Vol. 56, No. 21, November 4, 2024

Section 17:30-7.7 - Conditional cannabis business conversion application submission; approval; denial; acceptance; inspection; issuance; and commencement of cannabis business operations

(a) The Commission shall provide notice in the New Jersey Register of the application requirements for conditional license conversion applications in accordance with N.J.A.C. 17:30-6.1 and this subchapter.

1. Such notice shall be compliant with this subchapter and shall include:

i. Measures by which the license applicant will be scored;

ii. Maximum scores for each individual measure; and

iii. The total score required for a license applicant to be approved for a license.

(b) Prior to the expiration of the conditional license phase, a conditional license holder shall submit a conversion application to the Commission for an annual license.

(c) Applications shall be reviewed for completeness and then scored in accordance with the criteria included in the notice pursuant to N.J.A.C. 17:30-6.1 and 7.3.

(d) The Commission may verify the information contained in a conditional conversion application by:

1. Contacting the license applicant and its owners and principals by telephone, mail, or electronic mail;

2. Conducting an onsite assessment;

3. Requiring a face-to-face meeting; or

4. Requiring submission of additional materials.

(e) At its discretion, the Commission may investigate and may conduct probity review of the license applicant, its owners, principals, and related entities and their finances, ownership, and control structure as is necessary for such verification pursuant to N.J.A.C. 17:30-7.13.

1. The license applicant shall cooperate with the Commission investigation and verification process and provide all information requested by Commission staff.

(f) The Commission shall approve a license applicant for conversion to an annual license where the license applicant:

1. Has submitted a complete conditional license conversion application in accordance with N.J.A.C. 17:30-7.8;

2. Has scored sufficiently high to be issued an annual license in accordance with the criteria included in the notice of application pursuant to N.J.A.C. 17:30-6.1 and 7.8;

3. Has been deemed qualified for an annual license pursuant to N.J.A.C. 17:30-7.11;

4. Has submitted its conditional conversion application submission fee, as applicable, pursuant to N.J.A.C. 17:307.17; and

5. Has submitted sufficient information for the Commission to determine that it is implementing the plans, procedures, protocols, actions, or other measures set forth in its conditional license application and is in compliance with all applicable conditions.

(g) A license application the Commission deems incomplete because of failure to address all applicable criteria and measures or to provide requested information shall be returned to the license applicant with the opportunity to cure the deficiencies in a license application and resubmit it.

(h) The Commission may deny a license applicant for conversion, where the applicant:

1. Is not qualified to hold an annual license pursuant to N.J.A.C. 17:30-7.11;

2. Has not scored sufficiently high to convert a conditional license to an annual license in accordance with the criteria included in the notice of application pursuant to N.J.A.C. 17:30-6.1 and this subchapter;

3. Fails to reveal any material fact pertaining to qualification pursuant to N.J.A.C. 17:30-7.11;

4. Has been determined by the Commission, by clear and convincing evidence, to be unsuitable to hold an annual cannabis business license pursuant to N.J.A.C. 17:30-7.11; or

5. Presents false or intentionally misleading information in the application process.

(i) If an application is denied, the Commission shall provide notice of the denial to the applicant, in writing, which shall include:

1. The specific reason for the denial; and

2. The opportunity to request an administrative hearing within 45 days after the date of the denial.

(j) Such administrative hearing shall take place in the Office of Administrative Law in accordance with the Administrative Procedure Act, N.J.S.A. 52:14B-1 et seq., and the Uniform Administrative Procedures Rules, N.J.A.C. 1:1.

1. The record for review shall be the application and any attached supporting documents excluding information deemed exempt pursuant to N.J.S.A. 47:1A-1 et seq., or the common law concerning access to government records.

(k) The final decision on an application, pursuant to (f) or (h) above, shall be considered a final agency decision, subject to judicial review by, and of which jurisdiction and venue for such review are vested in, the Appellate Division of the Superior Court, pursuant to N.J.A.C. 17:30-20.10.

(l) Acceptance and issuance of the annual license, inspection of the cannabis business premises, and commencement of cannabis business operations shall proceed in accordance with N.J.A.C. 17:30-7.14.

N.J. Admin. Code § 17:30-7.7

Adopted by 53 N.J.R. 1583(a), effective 8/19/2021

Amended by 55 N.J.R. 402(a), effective 3/6/2023