Free Naloxone, New Deal For NJ Breweries: 4 Things Of Note In Gov. Murphy's Address

TRENTON, NJ — Free naloxone, an overhaul to New Jersey's "antiquated" liquor-licensing system, and funds to upgrade boardwalks were among the changes and proposals that Gov. Phil Murphy laid out Tuesday in his State of the State Address.

New Jersey will become the first state in the nation to allow any pharmacy to provide free naloxone — a medication designed to rapidly reverse opioid overdoses — at any time to anyone 14 and older. Meanwhile, Murphy highlighted a plan to overhaul the state's liquor-licensing laws, hoping to make conditions more favorable for small businesses and craft breweries, which experienced setbacks last year under restrictions from his administration.

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The annual State of the State address gives the governor an opportunity to present broad plans for the year ahead. Those plans should become more detailed when Murphy introduces the administration's Fiscal 2024 State Budget proposal — an announcement slated for late February or early March.

Months of negotiations in the State Legislature will follow, with the backdrop of State Senate and Assembly elections occurring this year. Then there's the outside speculation that Murphy has his eyes on a presidential run. Murphy has publicly stated that he doesn't plan on running for president in 2024. And if President Joe Biden opts to run for re-election, that's more likely to keep the presidential ambitions of other Democratic leaders on hold.

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Here are the actions and proposals Murphy previewed in Tuesday's address.

Better Deal For Breweries?

New Jersey's craft-beer industry boomed in recent years. But state-imposed restrictions, which went into effect last July, put those businesses in peril. The regulations from the New Jersey Division of Alcoholic Beverage Control (ABC) include limiting the number of on-site events and private parties that microbreweries can hold, while stating that microbreweries can only let patrons consume their products on-site if they've taken a tour of the brewery in the past year.

The ABC's ruling cited a need to differentiate microbreweries from bars and restaurants, which typically require more expensive licensing. But industry leaders in New Jersey's craft-brewery sector contend that their businesses shouldn't get treated the same as restaurants due to limits in what they can sell.

Murphy called the state's current liquor-licensing system "antiquated and confusing," with a foundation of rules written immediately after Prohibition. The governor proposed significant changes to the licensing system, which he says will aid small businesses — especially breweries, distilleries and wineries.

Under current regulations, local governments can only issue one Plenary Retail Consumption License per 3,000 residents. The license allows holders to sell alcohol for on-premise consumption. The population cap produces such scarcity that some of the licenses sell for seven figures, Murphy said.

Murphy outlined the following proposals in a one-page summary:

• Phase out the population cap by reducing it by 10 percent for five years, which would allow cities and towns to issue more licenses over time. After the phaseout, licenses would go uncapped and issued as needed, and the resale of licenses would be prohibited.
• Establish administrative prices and fees for new licenses based on business size. The ABC would set prices and review them annually, while granting municipalities the right to assess local fees.
• Expand the rights of license holders for breweries, distilleries and wineries. The plan would establish a new consumption license with expanded privileges that wouldn't get capped or restricted. Current license holders could get the new class of license for a fee.
• Create a "means-tested tax credit" for businesses, such as restaurants, that paid significant money for their current liquor licenses.

The local-review process would remain in place, with the ABC only issuing licenses upon a municipal government's approval.

The Brewers Guild of New Jersey supports changing New Jersey's liquor-license laws, says Executive Director Eric Orlando. But Orlando says that new regulations need to come sooner.

"In light of the fact that these proposals may take time to take shape and advance in the legislative process over the next several months," Orlando said in a statement, "we would ask that the Governor immediately take action to suspend the license restrictions currently imposed on breweries by state regulators until a satisfactory statutory fix is finalized."

Free Naloxone

Thanks to a federal grant, free naloxone will become available at participating New Jersey pharmacies to anyone 14 and older. State officials haven't announced a starting date but said the program will launch soon.

The initiative will allow people to request and obtain naloxone at pharmacies for free, without providing a reason or name. No prescription is needed. Pharmacies will provide one two-dose naloxone nasal spray kit will be provided per visit.

The state has held various pharmacy naloxone giveaways in recent years, but the new program would make it free any day of the year.

"This nation-leading policy will ensure that a crucial and lifesaving tool is put in the hands of more people, free and anonymously," Murphy said, "so we can save more precious lives and allow individuals struggling with addiction to seek treatment."

Naloxone — often labeled under the brand name Narcan — has been offered and/or administered more than 77,000 times in New Jersey since 2017, according to state officials. The patient has been treated and transported to the hospital in 81.1 percent of cases, with patients refusing treatment in 14.6 percent of incidents. Only 3.3 percent of incidents ended with a patient dying at the scene.

New Jersey reported 2,647 drug deaths from January through November of last year. State officials projected a 7 percent decline in overdose deaths from the totals in 2020 and 2021. But despite the overall decline, fatal drug overdoses are rising among people over 55 and among Black and Hispanic New Jersey residents, state data shows.

• Related article: Drug Deaths Rising Among Black, Hispanic, Older NJ Residents

ANCHOR Extension

The state gave residents another month to apply to its new tax-relief program, extending the filing deadline to Feb. 28 for the ANCHOR rebate (Affordable New Jersey Communities for Homeowners and Renters).

State treasury officials don't expect the extension to delay payments. The Division of Taxation still promises to issue rebates beginning in late spring, no later than May.

• Related article: NJ Extends Deadline For ANCHOR Rebate: Here's When To Expect Payments

The ANCHOR benefit replaces the Homestead Rebate as New Jersey's primary program for property tax relief. About 2 million residents qualify for relief under the ANCHOR program, including renters who weren't eligible for the Homestead Rebate. The benefit is for 2019, so residents should file with their primary residence from Oct. 1 of that year.

Boardwalk Fund

Murphy's budget proposal will include a new fund for upgrading boardwalks, partnering with Jersey Shore towns and counties to make upgrades.

The Murphy administration hasn't announced a cost estimate. But several Jersey Shore towns have entered significant projects to revamp their boardwalks, some of which were constructed more than a century ago.

Wildwood began efforts to reconstruct its boardwalk in late 2021. The current state budget includes $4 million for the project, while the U.S. Economic Development Administration also awarded the city $3.2 million for reconstruction.

Last year, federal officials also allocated $6 million for Atlantic City to reconstruct a 1,200-foot section of its boardwalk. The funding came from the American Rescue Plan and the Bipartisan Infrastructure Law.