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New Jersey Issues a Request for Applications for Up To Six New Medical Marijuana Alternative Treatment Centers

On July 16, 2018, Governor Murphy’s administration announced that the New Jersey Department of Health (“DOH”) will soon be accepting applications to operate up to six new, vertically-integrated alternative treatment centers. Application materials and submission requirements will be made available to the public on August 1, 2018 and all applications must be submitted to the DOH by August 31, 2018.  The DOH’s Request for Applications can be found online at: https://nj.gov/health/medicalmarijuana/documents/ATC_RFA_July2018.pdf

Prospective applicants should act quickly to take advantage of this narrow window of opportunity. The attorneys in GH&C’s Cannabis Law Practice Group will be pleased to assist with the preparation and submission of competitive applications. 

Since the Governor’s expansion of qualifying patient conditions under the New Jersey Compassionate Use Medical Marijuana Act (“CUMMA”) earlier this year, New Jersey has experienced the addition of approximately 7,000 new medical marijuana patients.   “As we strive to make the program more responsive to the needs of patients, caregivers and Alternative Treatment Centers (ATCs), we recognize the need to grow the industry and create more options for patients,” said Health Commissioner Shereef Elnahal, M.D. 

The Request for Applications provides that up to six new ATC permits may issue; two in each of the northern, central and southern regions of the state. Entities may submit an application for an ATC permit for one or more regions, but must submit a separate application for each region. “We look forward to the opening of six new dispensaries so we can ensure that all qualifying patients who want access to medicinal marijuana can have it,’’ said Governor Phil Murphy.  The Governor’s full press release can be found online at: https://nj.gov/governor/news/news/562018/approved/20180716a.shtml

An applicant is required to submit a $2,000 nonrefundable filing fee and an $18,000 refundable application fee. Applicants may be organized as either for-profit or non-profit entities and must meet all of CUMMA’s eligibility requirements. 

In addition to the written application, Applicants are required to attend a pre-application conference with the DOH on August 9, 2018. The pre-application conference will provide an opportunity for applicants to receive feedback from the DOH prior to the submission deadline. The DOH will accept questions from prospective applicants until August 7, 2018.

Applications will be reviewed by the DOH selection committee according to a 1000-point scale. An applicant will be required to demonstrate its ability to meet the overall health and safety needs of qualified patients and safety of the public, provide community support and local participation and provide appropriate research data. 

For further information, please contact any attorney in GH&C’s Cannabis Law Practice Group.

The possession, cultivation, processing, sale, use and distribution of cannabis is illegal under federal law and could result in harsh financial and criminal penalties. The legalization of cannabis for medical purposes or otherwise under any state or local law does not override federal law. Any legal advice given by this firm is limited to the laws of the State of New Jersey. No legal advice we give is intended to provide any guidance or assistance in violating federal law. Any legal work or advice that GH&C may provide shall not be construed as advising or encouraging a client to engage in a business or activity that violates any federal or state law.


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