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Senate President Nicholas Scutari introduced a bill last week that would potentially help the vice chair of the State Democratic Committee to stay within the cannabis industry as the party’s chair continues to function as a lobbyist on behalf of well-financed companies.
Peg Schaffer, the New Jersey Democratic State Committee vice chair, recently took on a board position at the New Jersey Sports and Exposition Authority. She is the president and managing principal of a law firm.
Schaffer’s position at the Authority holds the risk of running afoul of the state’s conflict of interest laws when it comes to representing cannabis applicants.
The bill (S4268) would allow “special” state officials — who do not receive compensation — to still do business in the cannabis industry, as long as their post does not intersect with the industry. Board members for the Sports Authority are unpaid. And it’s on a fast track: Introduced Tuesday in the Senate and Thursday in the Assembly, cleared by committees on Thursday, and slated for full house votes Monday, the last scheduled session of the lame duck Legislature.
Politico NJ was the first to report on Schaffer’s involvement, and it represents a trend for the State Democratic Committee as its chair, Leroy Jones, is a lobbyist for cannabis clients.
Neither Schaffer or Scutari, D-Union, responded to requests for comment. The bill was approved in the Senate committee Thursday with no debate or testimony.
Moving legislation at the speed of light is nothing new in Trenton, especially at the end of lame duck and when the state budget is considered in June. The passing of the current state budget drew sharp criticism for a lack of transparency.
The biography on Schaffer’s law firm website states “she is an expert in the burgeoning field of cannabis law and represents a number of out-of-state entities anxious to do business in New Jersey when legislation permits.”
Schaffer’s position as vice chair of the Democratic State Committee is a non governmental job, but it’s still one that holds sway over local politics as it helps raise money for municipal elections and chooses to endorse candidates in the primary. She is also the chair of the Somerset County Democratic Committee.
Municipal approval from elected officials plays a large role in whether or not cannabis licenses get approved. State lawmakers gave cannabis regulators a mandate to prioritize social equity for licenses, but municipalities are under no such mandate and can make their own rules on whether a dispensary will be allowed to open. The state’s Cannabis Regulatory Commission has no oversight over ethical complaints raised against town decisions on granting licenses.
Jones, the chair for the state committee, came under fire for representing cannabis applicants in his hometown of East Orange, where he is also the local municipal chair and Essex County chair.
When the applicant who raised the concerns about Jones’ influence was rejected despite having among the highest scores under a system set by the municipality, it ignited a local furor among those who questioned whether powerful political interests were squeezing out populations hurt by the War on Drugs.
Scutari, who has criticized fines assessed by the CRC board against big cannabis operators —sometimes against the wishes of its executive director — last month considered pushing a bill during lame duck to revamp the commission and possibly make it part-time, according to legislative sources. The commission assessed the fines based on recommendations by staff investigators whose opinions can differ from the executive director.
Such an effort has the backing of the big operators who face the fines, but no bill materialized during lame duck.
Jelani Gibson is content lead for NJ Cannabis Insider. He may be reached at jgibson@njadvancemedia.com. Follow him on Twitter @jelanigibson1 and on LinkedIn.