That’s the number the New Jersey Office of Legislative Services (OLS) estimates the annual total retail cannabis sales for New Jersey could be if the New Jersey Cannabis Regulatory and Expungement Aid Modernization Act is enacted.
OLS based that total using Colorado as a model, according to the Fiscal Impact portion of the Statement issued by the Senate Budget and Appropriations Committee on Bill S2703.
The statement said, “According to the Colorado Department of Revenue, retail cannabis sales, excluding medical cannabis, totaled $1.091 billion in calendar year 2017. Based on the most recent U.S. Census data, Colorado is estimated to have a population of roughly 5.607 million people. In comparison, New Jersey’s population is projected at 9.006 million people. Using Colorado retail cannabis sales data and Colorado population data, the OLS calculated the per person annual expenditure on retail cannabis to be approximately $194.61. If New Jersey experiences similar sales of recreational cannabis as Colorado, total retail cannabis sales for New Jersey could be approximately $1.753 billion. Applying the sales tax (6.625 percent) and new tax (5.375 percent) yields aggregate revenues of approximately $210.3 million annually.”