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New Jersey moves forward on $6.6 million psychedelic magic mushroom legalization bill

  • Shore News Network
  • January 12, 2026
  • 8:15 am
New Jersey moves forward on 6 million psychedelic magic mushroom legalization bill

TRENTON, NJ – New Jersey is moving to legalize another federally banned drug.

A new proposal before the New Jersey Legislature seeks to legalize, regulate, and fund psilocybin-assisted behavioral health care in the state, while expunging past criminal offenses for conduct involving the psychedelic compound.

Designated the “Psilocybin Behavioral Health Access and Services Act,” the bill would decriminalize the production, dispensing, and supervised use of psilocybin for adults 21 and older. It establishes a detailed licensing and oversight system under the Department of Health (DOH), dedicating $6.6 million to develop and administer the program.

At the center of the legislation is the creation of a Psilocybin Behavioral Health Access and Services Advisory Board within the DOH. The 18-member body would include state health and law enforcement officials, public health experts, mental health professionals, and researchers specializing in psychedelics. Appointed members would advise the department on safety standards, clinical protocols, education programs, facilitator training, and social equity initiatives to ensure safe and equitable access.

During an initial 18-month development period, the board would meet monthly to shape regulations, with a comprehensive report due to the Governor and Legislature at the end of that phase.

The proposal outlines a full licensing framework for psilocybin manufacturers, service centers, facilitators, and testing laboratories. Applicants would undergo background checks, demonstrate financial and managerial capability, and comply with zoning and safety standards. No licenses could be issued until the conclusion of the 18-month planning period.

To address public safety, the bill bars licensure for individuals with serious drug-related convictions—excluding cannabis or psilocybin offenses—unless they can show clear evidence of rehabilitation. It also mandates strict product tracking, labeling, and facility oversight, modeled on regulatory systems established for medical cannabis.

Supporters of the legislation say psilocybin-assisted therapy has shown promise in treating depression, PTSD, and addiction and could offer an innovative tool in the state’s behavioral health system. The measure would also automatically expunge eligible past and pending offenses related to psilocybin possession and use.

If enacted, New Jersey would become one of the few states in the nation to create a legal pathway for psilocybin services, following similar initiatives launched in Oregon and Colorado.

The proposed “Psilocybin Behavioral Health Access and Services Act” would legalize supervised psilocybin use for therapy, establish a licensing system, and expunge prior offenses tied to the substance.

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