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Drive-thru events such as movies, drive-by graduation ceremonies and religious services will also be allowed under social distancing guidelines effective immediately.
Windows and sun roofs must remain closed if cars are within six feet of one another.
"The decision was based on what can be safely opened and operated," Murphy said at Wednesday COVID-19 briefing in Trenton. "We want to be quick but we have got to be right."
No customers will be allowed in nonessential retail stores and will have to place orders over the phone for curbside pickup.
The move comes nearly two months after Murphy closed nonessential businesses and ordered residents to stay home to stop the spread of coronavirus. Nonessential construction was ordered to stop April 8.
Murphy urged residents to stay at home as much as possible.
"The success we had flattening the curve gives us confidence we'll be able to announce the end of more restrictions in the days and weeks ahead," Murphy said. "So stay tuned."
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