The township reverses course from its prior decision, allowing cultivation, manufacture, wholesale, and retail cannabis ‘microbusinesses’ in its highway commercial and industrial zones.
By Matt Skoufalos | April 1, 2024
Haddon Township municipal building. Credit: Matt Skoufalos.
In February 2024, New Jersey marked the milestone of having more than 100 cannabis dispensaries actively in business across the state.
After revising its existing cannabis ordinance last week, the Haddon Township municipal government has cleared the way for two such businesses to open within its borders as well.
The township had originally opted out of joining the burgeoning industry in 2020, referring the matter to its planning board for additional study. After months of deliberation and a report to the municipal government, Haddon Township commissioners introduced a revised version of the original cannabis ordinance (#1452).
“We’ve just been focusing on trying to get something that’s right for Haddon Township; get something on the books,” Haddon Township Mayor Randy Teague said. ‘[We wanted to] get as much vetting and public input as possible, because it’s a significant step for the town.”
In making the changes, Teague said township commissioners considered not only the feedback from the planning board, but also the original public referendum legalizing recreational, adult-use cannabis in New Jersey, and the local results of that vote, which both were overwhelmingly in the affirmative.
“We felt that it was our obligation to put something together for Haddon Township, and bring it to the public,” Teague said.
Ordinance #1452 authorizes the establishment of as many as two Class 1 (cultivation), 2 (manufacturing), 3 (wholesale) and 5 (retail) licensed cannabis “microbusinesses” within the township.
The microbusiness designation caps employees (10), cultivation areas (2,500 square-feet), monthly plant possession (1,000), and monthly usable cannabis for manufacture, wholesale, or retail (1,000 pounds).
Ordinance #1452 also obligates prospective cannabis businesses to establish security plans, odor controls, and secure loading and unloading operations. It prohibits drive-through sales and onsite consumption, and limits hours of operation (10 a.m. to 10 p.m. six days a week, and until 6 p.m. Sunday).
Potential sites for cannabis microbusiness in Haddon Township. Credit: Matt Skoufalos.
Finally, it also confines cannabis microbusinesses to C-3 (Highway Commercial) and I-1 (Industrial) Zones, which mostly focuses business opportunities to parcels along the Black Horse Pike and Route 130.
Although Haddon Township hasn’t fielded interest from any specific cannabis business, Teague said that previous inquiries have been focused on the vacant storefronts at 601 and 605 Crescent Boulevard (Route 130), formerly the Edwards Adult Book Store and What-A-Wiener, respectively. Both properties are for sale; neither has been designated as an area in need of redevelopment.
The underlying purpose of the plan for Haddon Township is both to control the sale of cannabis, “and to gain revenue,” the mayor said. A second, companion ordinance (#1453) codifies two additional, local taxes: 2 percent on cultivation, manufacturing, and retail sales, and 1 percent on wholesale operations.
Teague said the local share of those revenues could net a couple hundred thousand dollars annually, but cautioned that those are “purely estimates.
“Additional revenue is additional revenue, so we’re always looking for ways to collect tax revenue, and there’s not many opportunities to collect tax revenue other than property taxes,” he said.
“We’re somewhat limited as to how we can raise revenue for our town; this is something different.”
The mayor also described the potential for expanding the local cannabis business beyond the confines of the revised ordinance should circumstances dictate.
“We feel comfortable with what we’ve put together to present as our first opportunity for cannabis, so after we see what transpires with what we’re doing now, there could be changes,” Teague said.
“We’re going to take it one step at a time.”
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