Bill Text: IL SB1557 | 2019-2020 | 101st General Assembly | Chaptered


Bill Title: Amends the Cannabis Regulation and Tax Act. Makes changes regarding definitions, references, terminology, discipline of licensees, disclosure of records, the Adult Use Cannabis Health Advisory Committee, the Restore, Reinvest, and Renew Program Board, Early Approval Adult Use Dispensing Organization Licenses, Conditional Adult Use Dispensing Organization Licenses, Adult Use Dispensing Organization Licenses, criteria for license issuance, dispensing organization requirements, violations and penalties, Community College Cannabis Vocational Pilot Program licenses, operating a watercraft or snowmobile while under the influence of cannabis, the legal status of cannabis paraphernalia, and technical and stylistic matters. Amends the Criminal Identification Act regarding pardons authorizing expungement of minor cannabis offenses and motions to vacate and expunge a conviction for certain violations of the Cannabis Control Act. Amends the Use Tax Act, the Service Use Tax Act, the Service Occupation Tax Act, and the Retailers' Occupation Tax Act in relation to food consisting of or infused with adult use cannabis. Amends the Statewide Grand Jury Act by deleting references to a repealed Act. Amends the Counties Code and the Illinois Municipal by making changes regarding an ordinance or resolution imposing or discontinuing a cannabis retailers' occupation tax or effecting a change in the rate of such a tax as well as technical matters. Amends the Savings Bank Act regarding a savings bank or holding company providing financial services to a cannabis-related legitimate business. Amends the Smoke Free Illinois Act regarding the consumption of cannabis. Amends the Illinois Vehicle Code regarding validated roadside chemical tests, the DUI Cannabis Task Force, and other matters. Amends the Cannabis Control Act regarding industrial hemp. Amends the Compassionate Use of Medical Cannabis Program Act regarding driving records and other matters. Amends the Election Code, the Drug Paraphernalia Control Act, and the Tobacco Products Tax Act of 1995 by making conforming changes. Effective immediately.

Spectrum: Moderate Partisan Bill (Democrat 7-2)

Status: (Passed) 2019-12-04 - Public Act . . . . . . . . . 101-0593 [SB1557 Detail]

Download: Illinois-2019-SB1557-Chaptered.html



Public Act 101-0593
SB1557 EnrolledLRB101 08168 SMS 53234 b
AN ACT concerning regulation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 1. The State Officials and Employees Ethics Act is
amended by changing Section 5-45 as follows:
(5 ILCS 430/5-45)
Sec. 5-45. Procurement; revolving door prohibition.
(a) No former officer, member, or State employee, or spouse
or immediate family member living with such person, shall,
within a period of one year immediately after termination of
State employment, knowingly accept employment or receive
compensation or fees for services from a person or entity if
the officer, member, or State employee, during the year
immediately preceding termination of State employment,
participated personally and substantially in the award of State
contracts, or the issuance of State contract change orders,
with a cumulative value of $25,000 or more to the person or
entity, or its parent or subsidiary.
(a-5) No officer, member, or spouse or immediate family
member living with such person shall, during the officer or
member's term in office or within a period of 2 years
immediately leaving office, hold an ownership interest, other
than a passive interest in a publicly traded company, in any
gaming license under the Illinois Gambling Act, the Video
Gaming Act, the Illinois Horse Racing Act of 1975, or the
Sports Wagering Act. Any member of the General Assembly or
spouse or immediate family member living with such person who
has an ownership interest, other than a passive interest in a
publicly traded company, in any gaming license under the
Illinois Gambling Act, the Illinois Horse Racing Act of 1975,
the Video Gaming Act, or the Sports Wagering Act at the time of
the effective date of this amendatory Act of the 101st General
Assembly shall divest himself or herself of such ownership
within one year after the effective date of this amendatory Act
of the 101st General Assembly. No State employee who works for
the Illinois Gaming Board or Illinois Racing Board or spouse or
immediate family member living with such person shall, during
State employment or within a period of 2 years immediately
after termination of State employment, hold an ownership
interest, other than a passive interest in a publicly traded
company, in any gaming license under the Illinois Gambling Act,
the Video Gaming Act, the Illinois Horse Racing Act of 1975, or
the Sports Wagering Act.
(a-10) This subsection (a-10) applies on and after June 25,
2021. No officer, member, or spouse or immediate family member
living with such person, shall, during the officer or member's
term in office or within a period of 2 years immediately after
leaving office, hold an ownership interest, other than a
passive interest in a publicly traded company, in any cannabis
business establishment which is licensed under the Cannabis
Regulation and Tax Act. Any member of the General Assembly or
spouse or immediate family member living with such person who
has an ownership interest, other than a passive interest in a
publicly traded company, in any cannabis business
establishment which is licensed under the Cannabis Regulation
and Tax Act at the time of the effective date of this
amendatory Act of the 101st General Assembly shall divest
himself or herself of such ownership within one year after the
effective date of this amendatory Act of the 101st General
Assembly.
No State employee who works for any State agency that
regulates cannabis business establishment license holders who
participated personally and substantially in the award of
licenses under the Cannabis Regulation and Tax Act or a spouse
or immediate family member living with such person shall,
during State employment or within a period of 2 years
immediately after termination of State employment, hold an
ownership interest, other than a passive interest in a publicly
traded company, in any cannabis license under the Cannabis
Regulation and Tax Act.
(b) No former officer of the executive branch or State
employee of the executive branch with regulatory or licensing
authority, or spouse or immediate family member living with
such person, shall, within a period of one year immediately
after termination of State employment, knowingly accept
employment or receive compensation or fees for services from a
person or entity if the officer or State employee, during the
year immediately preceding termination of State employment,
participated personally and substantially in making a
regulatory or licensing decision that directly applied to the
person or entity, or its parent or subsidiary.
(c) Within 6 months after the effective date of this
amendatory Act of the 96th General Assembly, each executive
branch constitutional officer and legislative leader, the
Auditor General, and the Joint Committee on Legislative Support
Services shall adopt a policy delineating which State positions
under his or her jurisdiction and control, by the nature of
their duties, may have the authority to participate personally
and substantially in the award of State contracts or in
regulatory or licensing decisions. The Governor shall adopt
such a policy for all State employees of the executive branch
not under the jurisdiction and control of any other executive
branch constitutional officer.
The policies required under subsection (c) of this Section
shall be filed with the appropriate ethics commission
established under this Act or, for the Auditor General, with
the Office of the Auditor General.
(d) Each Inspector General shall have the authority to
determine that additional State positions under his or her
jurisdiction, not otherwise subject to the policies required by
subsection (c) of this Section, are nonetheless subject to the
notification requirement of subsection (f) below due to their
involvement in the award of State contracts or in regulatory or
licensing decisions.
(e) The Joint Committee on Legislative Support Services,
the Auditor General, and each of the executive branch
constitutional officers and legislative leaders subject to
subsection (c) of this Section shall provide written
notification to all employees in positions subject to the
policies required by subsection (c) or a determination made
under subsection (d): (1) upon hiring, promotion, or transfer
into the relevant position; and (2) at the time the employee's
duties are changed in such a way as to qualify that employee.
An employee receiving notification must certify in writing that
the person was advised of the prohibition and the requirement
to notify the appropriate Inspector General in subsection (f).
(f) Any State employee in a position subject to the
policies required by subsection (c) or to a determination under
subsection (d), but who does not fall within the prohibition of
subsection (h) below, who is offered non-State employment
during State employment or within a period of one year
immediately after termination of State employment shall, prior
to accepting such non-State employment, notify the appropriate
Inspector General. Within 10 calendar days after receiving
notification from an employee in a position subject to the
policies required by subsection (c), such Inspector General
shall make a determination as to whether the State employee is
restricted from accepting such employment by subsection (a) or
(b). In making a determination, in addition to any other
relevant information, an Inspector General shall assess the
effect of the prospective employment or relationship upon
decisions referred to in subsections (a) and (b), based on the
totality of the participation by the former officer, member, or
State employee in those decisions. A determination by an
Inspector General must be in writing, signed and dated by the
Inspector General, and delivered to the subject of the
determination within 10 calendar days or the person is deemed
eligible for the employment opportunity. For purposes of this
subsection, "appropriate Inspector General" means (i) for
members and employees of the legislative branch, the
Legislative Inspector General; (ii) for the Auditor General and
employees of the Office of the Auditor General, the Inspector
General provided for in Section 30-5 of this Act; and (iii) for
executive branch officers and employees, the Inspector General
having jurisdiction over the officer or employee. Notice of any
determination of an Inspector General and of any such appeal
shall be given to the ultimate jurisdictional authority, the
Attorney General, and the Executive Ethics Commission.
(g) An Inspector General's determination regarding
restrictions under subsection (a) or (b) may be appealed to the
appropriate Ethics Commission by the person subject to the
decision or the Attorney General no later than the 10th
calendar day after the date of the determination.
On appeal, the Ethics Commission or Auditor General shall
seek, accept, and consider written public comments regarding a
determination. In deciding whether to uphold an Inspector
General's determination, the appropriate Ethics Commission or
Auditor General shall assess, in addition to any other relevant
information, the effect of the prospective employment or
relationship upon the decisions referred to in subsections (a)
and (b), based on the totality of the participation by the
former officer, member, or State employee in those decisions.
The Ethics Commission shall decide whether to uphold an
Inspector General's determination within 10 calendar days or
the person is deemed eligible for the employment opportunity.
(h) The following officers, members, or State employees
shall not, within a period of one year immediately after
termination of office or State employment, knowingly accept
employment or receive compensation or fees for services from a
person or entity if the person or entity or its parent or
subsidiary, during the year immediately preceding termination
of State employment, was a party to a State contract or
contracts with a cumulative value of $25,000 or more involving
the officer, member, or State employee's State agency, or was
the subject of a regulatory or licensing decision involving the
officer, member, or State employee's State agency, regardless
of whether he or she participated personally and substantially
in the award of the State contract or contracts or the making
of the regulatory or licensing decision in question:
(1) members or officers;
(2) members of a commission or board created by the
Illinois Constitution;
(3) persons whose appointment to office is subject to
the advice and consent of the Senate;
(4) the head of a department, commission, board,
division, bureau, authority, or other administrative unit
within the government of this State;
(5) chief procurement officers, State purchasing
officers, and their designees whose duties are directly
related to State procurement;
(6) chiefs of staff, deputy chiefs of staff, associate
chiefs of staff, assistant chiefs of staff, and deputy
governors;
(7) employees of the Illinois Racing Board; and
(8) employees of the Illinois Gaming Board.
(i) For the purposes of this Section, with respect to
officers or employees of a regional transit board, as defined
in this Act, the phrase "person or entity" does not include:
(i) the United States government, (ii) the State, (iii)
municipalities, as defined under Article VII, Section 1 of the
Illinois Constitution, (iv) units of local government, as
defined under Article VII, Section 1 of the Illinois
Constitution, or (v) school districts.
(Source: P.A. 101-31, eff. 6-28-19.)
Section 5. The Criminal Identification Act is amended by
changing Section 5.2 as follows:
(20 ILCS 2630/5.2)
Sec. 5.2. Expungement, sealing, and immediate sealing.
(a) General Provisions.
(1) Definitions. In this Act, words and phrases have
the meanings set forth in this subsection, except when a
particular context clearly requires a different meaning.
(A) The following terms shall have the meanings
ascribed to them in the Unified Code of Corrections,
730 ILCS 5/5-1-2 through 5/5-1-22:
(i) Business Offense (730 ILCS 5/5-1-2),
(ii) Charge (730 ILCS 5/5-1-3),
(iii) Court (730 ILCS 5/5-1-6),
(iv) Defendant (730 ILCS 5/5-1-7),
(v) Felony (730 ILCS 5/5-1-9),
(vi) Imprisonment (730 ILCS 5/5-1-10),
(vii) Judgment (730 ILCS 5/5-1-12),
(viii) Misdemeanor (730 ILCS 5/5-1-14),
(ix) Offense (730 ILCS 5/5-1-15),
(x) Parole (730 ILCS 5/5-1-16),
(xi) Petty Offense (730 ILCS 5/5-1-17),
(xii) Probation (730 ILCS 5/5-1-18),
(xiii) Sentence (730 ILCS 5/5-1-19),
(xiv) Supervision (730 ILCS 5/5-1-21), and
(xv) Victim (730 ILCS 5/5-1-22).
(B) As used in this Section, "charge not initiated
by arrest" means a charge (as defined by 730 ILCS
5/5-1-3) brought against a defendant where the
defendant is not arrested prior to or as a direct
result of the charge.
(C) "Conviction" means a judgment of conviction or
sentence entered upon a plea of guilty or upon a
verdict or finding of guilty of an offense, rendered by
a legally constituted jury or by a court of competent
jurisdiction authorized to try the case without a jury.
An order of supervision successfully completed by the
petitioner is not a conviction. An order of qualified
probation (as defined in subsection (a)(1)(J))
successfully completed by the petitioner is not a
conviction. An order of supervision or an order of
qualified probation that is terminated
unsatisfactorily is a conviction, unless the
unsatisfactory termination is reversed, vacated, or
modified and the judgment of conviction, if any, is
reversed or vacated.
(D) "Criminal offense" means a petty offense,
business offense, misdemeanor, felony, or municipal
ordinance violation (as defined in subsection
(a)(1)(H)). As used in this Section, a minor traffic
offense (as defined in subsection (a)(1)(G)) shall not
be considered a criminal offense.
(E) "Expunge" means to physically destroy the
records or return them to the petitioner and to
obliterate the petitioner's name from any official
index or public record, or both. Nothing in this Act
shall require the physical destruction of the circuit
court file, but such records relating to arrests or
charges, or both, ordered expunged shall be impounded
as required by subsections (d)(9)(A)(ii) and
(d)(9)(B)(ii).
(F) As used in this Section, "last sentence" means
the sentence, order of supervision, or order of
qualified probation (as defined by subsection
(a)(1)(J)), for a criminal offense (as defined by
subsection (a)(1)(D)) that terminates last in time in
any jurisdiction, regardless of whether the petitioner
has included the criminal offense for which the
sentence or order of supervision or qualified
probation was imposed in his or her petition. If
multiple sentences, orders of supervision, or orders
of qualified probation terminate on the same day and
are last in time, they shall be collectively considered
the "last sentence" regardless of whether they were
ordered to run concurrently.
(G) "Minor traffic offense" means a petty offense,
business offense, or Class C misdemeanor under the
Illinois Vehicle Code or a similar provision of a
municipal or local ordinance.
(G-5) "Minor Cannabis Offense" means a violation
of Section 4 or 5 of the Cannabis Control Act
concerning not more than 30 grams of any substance
containing cannabis, provided the violation did not
include a penalty enhancement under Section 7 of the
Cannabis Control Act and is not associated with an
arrest, conviction or other disposition for a violent
crime as defined in subsection (c) of Section 3 of the
Rights of Crime Victims and Witnesses Act.
(H) "Municipal ordinance violation" means an
offense defined by a municipal or local ordinance that
is criminal in nature and with which the petitioner was
charged or for which the petitioner was arrested and
released without charging.
(I) "Petitioner" means an adult or a minor
prosecuted as an adult who has applied for relief under
this Section.
(J) "Qualified probation" means an order of
probation under Section 10 of the Cannabis Control Act,
Section 410 of the Illinois Controlled Substances Act,
Section 70 of the Methamphetamine Control and
Community Protection Act, Section 5-6-3.3 or 5-6-3.4
of the Unified Code of Corrections, Section
12-4.3(b)(1) and (2) of the Criminal Code of 1961 (as
those provisions existed before their deletion by
Public Act 89-313), Section 10-102 of the Illinois
Alcoholism and Other Drug Dependency Act, Section
40-10 of the Substance Use Disorder Act, or Section 10
of the Steroid Control Act. For the purpose of this
Section, "successful completion" of an order of
qualified probation under Section 10-102 of the
Illinois Alcoholism and Other Drug Dependency Act and
Section 40-10 of the Substance Use Disorder Act means
that the probation was terminated satisfactorily and
the judgment of conviction was vacated.
(K) "Seal" means to physically and electronically
maintain the records, unless the records would
otherwise be destroyed due to age, but to make the
records unavailable without a court order, subject to
the exceptions in Sections 12 and 13 of this Act. The
petitioner's name shall also be obliterated from the
official index required to be kept by the circuit court
clerk under Section 16 of the Clerks of Courts Act, but
any index issued by the circuit court clerk before the
entry of the order to seal shall not be affected.
(L) "Sexual offense committed against a minor"
includes, but is not limited to, the offenses of
indecent solicitation of a child or criminal sexual
abuse when the victim of such offense is under 18 years
of age.
(M) "Terminate" as it relates to a sentence or
order of supervision or qualified probation includes
either satisfactory or unsatisfactory termination of
the sentence, unless otherwise specified in this
Section. A sentence is terminated notwithstanding any
outstanding financial legal obligation.
(2) Minor Traffic Offenses. Orders of supervision or
convictions for minor traffic offenses shall not affect a
petitioner's eligibility to expunge or seal records
pursuant to this Section.
(2.5) Commencing 180 days after July 29, 2016 (the
effective date of Public Act 99-697), the law enforcement
agency issuing the citation shall automatically expunge,
on or before January 1 and July 1 of each year, the law
enforcement records of a person found to have committed a
civil law violation of subsection (a) of Section 4 of the
Cannabis Control Act or subsection (c) of Section 3.5 of
the Drug Paraphernalia Control Act in the law enforcement
agency's possession or control and which contains the final
satisfactory disposition which pertain to the person
issued a citation for that offense. The law enforcement
agency shall provide by rule the process for access,
review, and to confirm the automatic expungement by the law
enforcement agency issuing the citation. Commencing 180
days after July 29, 2016 (the effective date of Public Act
99-697), the clerk of the circuit court shall expunge, upon
order of the court, or in the absence of a court order on
or before January 1 and July 1 of each year, the court
records of a person found in the circuit court to have
committed a civil law violation of subsection (a) of
Section 4 of the Cannabis Control Act or subsection (c) of
Section 3.5 of the Drug Paraphernalia Control Act in the
clerk's possession or control and which contains the final
satisfactory disposition which pertain to the person
issued a citation for any of those offenses.
(3) Exclusions. Except as otherwise provided in
subsections (b)(5), (b)(6), (b)(8), (e), (e-5), and (e-6)
of this Section, the court shall not order:
(A) the sealing or expungement of the records of
arrests or charges not initiated by arrest that result
in an order of supervision for or conviction of: (i)
any sexual offense committed against a minor; (ii)
Section 11-501 of the Illinois Vehicle Code or a
similar provision of a local ordinance; or (iii)
Section 11-503 of the Illinois Vehicle Code or a
similar provision of a local ordinance, unless the
arrest or charge is for a misdemeanor violation of
subsection (a) of Section 11-503 or a similar provision
of a local ordinance, that occurred prior to the
offender reaching the age of 25 years and the offender
has no other conviction for violating Section 11-501 or
11-503 of the Illinois Vehicle Code or a similar
provision of a local ordinance.
(B) the sealing or expungement of records of minor
traffic offenses (as defined in subsection (a)(1)(G)),
unless the petitioner was arrested and released
without charging.
(C) the sealing of the records of arrests or
charges not initiated by arrest which result in an
order of supervision or a conviction for the following
offenses:
(i) offenses included in Article 11 of the
Criminal Code of 1961 or the Criminal Code of 2012
or a similar provision of a local ordinance, except
Section 11-14 and a misdemeanor violation of
Section 11-30 of the Criminal Code of 1961 or the
Criminal Code of 2012, or a similar provision of a
local ordinance;
(ii) Section 11-1.50, 12-3.4, 12-15, 12-30,
26-5, or 48-1 of the Criminal Code of 1961 or the
Criminal Code of 2012, or a similar provision of a
local ordinance;
(iii) Sections 12-3.1 or 12-3.2 of the
Criminal Code of 1961 or the Criminal Code of 2012,
or Section 125 of the Stalking No Contact Order
Act, or Section 219 of the Civil No Contact Order
Act, or a similar provision of a local ordinance;
(iv) Class A misdemeanors or felony offenses
under the Humane Care for Animals Act; or
(v) any offense or attempted offense that
would subject a person to registration under the
Sex Offender Registration Act.
(D) (blank).
(b) Expungement.
(1) A petitioner may petition the circuit court to
expunge the records of his or her arrests and charges not
initiated by arrest when each arrest or charge not
initiated by arrest sought to be expunged resulted in: (i)
acquittal, dismissal, or the petitioner's release without
charging, unless excluded by subsection (a)(3)(B); (ii) a
conviction which was vacated or reversed, unless excluded
by subsection (a)(3)(B); (iii) an order of supervision and
such supervision was successfully completed by the
petitioner, unless excluded by subsection (a)(3)(A) or
(a)(3)(B); or (iv) an order of qualified probation (as
defined in subsection (a)(1)(J)) and such probation was
successfully completed by the petitioner.
(1.5) When a petitioner seeks to have a record of
arrest expunged under this Section, and the offender has
been convicted of a criminal offense, the State's Attorney
may object to the expungement on the grounds that the
records contain specific relevant information aside from
the mere fact of the arrest.
(2) Time frame for filing a petition to expunge.
(A) When the arrest or charge not initiated by
arrest sought to be expunged resulted in an acquittal,
dismissal, the petitioner's release without charging,
or the reversal or vacation of a conviction, there is
no waiting period to petition for the expungement of
such records.
(B) When the arrest or charge not initiated by
arrest sought to be expunged resulted in an order of
supervision, successfully completed by the petitioner,
the following time frames will apply:
(i) Those arrests or charges that resulted in
orders of supervision under Section 3-707, 3-708,
3-710, or 5-401.3 of the Illinois Vehicle Code or a
similar provision of a local ordinance, or under
Section 11-1.50, 12-3.2, or 12-15 of the Criminal
Code of 1961 or the Criminal Code of 2012, or a
similar provision of a local ordinance, shall not
be eligible for expungement until 5 years have
passed following the satisfactory termination of
the supervision.
(i-5) Those arrests or charges that resulted
in orders of supervision for a misdemeanor
violation of subsection (a) of Section 11-503 of
the Illinois Vehicle Code or a similar provision of
a local ordinance, that occurred prior to the
offender reaching the age of 25 years and the
offender has no other conviction for violating
Section 11-501 or 11-503 of the Illinois Vehicle
Code or a similar provision of a local ordinance
shall not be eligible for expungement until the
petitioner has reached the age of 25 years.
(ii) Those arrests or charges that resulted in
orders of supervision for any other offenses shall
not be eligible for expungement until 2 years have
passed following the satisfactory termination of
the supervision.
(C) When the arrest or charge not initiated by
arrest sought to be expunged resulted in an order of
qualified probation, successfully completed by the
petitioner, such records shall not be eligible for
expungement until 5 years have passed following the
satisfactory termination of the probation.
(3) Those records maintained by the Department for
persons arrested prior to their 17th birthday shall be
expunged as provided in Section 5-915 of the Juvenile Court
Act of 1987.
(4) Whenever a person has been arrested for or
convicted of any offense, in the name of a person whose
identity he or she has stolen or otherwise come into
possession of, the aggrieved person from whom the identity
was stolen or otherwise obtained without authorization,
upon learning of the person having been arrested using his
or her identity, may, upon verified petition to the chief
judge of the circuit wherein the arrest was made, have a
court order entered nunc pro tunc by the Chief Judge to
correct the arrest record, conviction record, if any, and
all official records of the arresting authority, the
Department, other criminal justice agencies, the
prosecutor, and the trial court concerning such arrest, if
any, by removing his or her name from all such records in
connection with the arrest and conviction, if any, and by
inserting in the records the name of the offender, if known
or ascertainable, in lieu of the aggrieved's name. The
records of the circuit court clerk shall be sealed until
further order of the court upon good cause shown and the
name of the aggrieved person obliterated on the official
index required to be kept by the circuit court clerk under
Section 16 of the Clerks of Courts Act, but the order shall
not affect any index issued by the circuit court clerk
before the entry of the order. Nothing in this Section
shall limit the Department of State Police or other
criminal justice agencies or prosecutors from listing
under an offender's name the false names he or she has
used.
(5) Whenever a person has been convicted of criminal
sexual assault, aggravated criminal sexual assault,
predatory criminal sexual assault of a child, criminal
sexual abuse, or aggravated criminal sexual abuse, the
victim of that offense may request that the State's
Attorney of the county in which the conviction occurred
file a verified petition with the presiding trial judge at
the petitioner's trial to have a court order entered to
seal the records of the circuit court clerk in connection
with the proceedings of the trial court concerning that
offense. However, the records of the arresting authority
and the Department of State Police concerning the offense
shall not be sealed. The court, upon good cause shown,
shall make the records of the circuit court clerk in
connection with the proceedings of the trial court
concerning the offense available for public inspection.
(6) If a conviction has been set aside on direct review
or on collateral attack and the court determines by clear
and convincing evidence that the petitioner was factually
innocent of the charge, the court that finds the petitioner
factually innocent of the charge shall enter an expungement
order for the conviction for which the petitioner has been
determined to be innocent as provided in subsection (b) of
Section 5-5-4 of the Unified Code of Corrections.
(7) Nothing in this Section shall prevent the
Department of State Police from maintaining all records of
any person who is admitted to probation upon terms and
conditions and who fulfills those terms and conditions
pursuant to Section 10 of the Cannabis Control Act, Section
410 of the Illinois Controlled Substances Act, Section 70
of the Methamphetamine Control and Community Protection
Act, Section 5-6-3.3 or 5-6-3.4 of the Unified Code of
Corrections, Section 12-4.3 or subdivision (b)(1) of
Section 12-3.05 of the Criminal Code of 1961 or the
Criminal Code of 2012, Section 10-102 of the Illinois
Alcoholism and Other Drug Dependency Act, Section 40-10 of
the Substance Use Disorder Act, or Section 10 of the
Steroid Control Act.
(8) If the petitioner has been granted a certificate of
innocence under Section 2-702 of the Code of Civil
Procedure, the court that grants the certificate of
innocence shall also enter an order expunging the
conviction for which the petitioner has been determined to
be innocent as provided in subsection (h) of Section 2-702
of the Code of Civil Procedure.
(c) Sealing.
(1) Applicability. Notwithstanding any other provision
of this Act to the contrary, and cumulative with any rights
to expungement of criminal records, this subsection
authorizes the sealing of criminal records of adults and of
minors prosecuted as adults. Subsection (g) of this Section
provides for immediate sealing of certain records.
(2) Eligible Records. The following records may be
sealed:
(A) All arrests resulting in release without
charging;
(B) Arrests or charges not initiated by arrest
resulting in acquittal, dismissal, or conviction when
the conviction was reversed or vacated, except as
excluded by subsection (a)(3)(B);
(C) Arrests or charges not initiated by arrest
resulting in orders of supervision, including orders
of supervision for municipal ordinance violations,
successfully completed by the petitioner, unless
excluded by subsection (a)(3);
(D) Arrests or charges not initiated by arrest
resulting in convictions, including convictions on
municipal ordinance violations, unless excluded by
subsection (a)(3);
(E) Arrests or charges not initiated by arrest
resulting in orders of first offender probation under
Section 10 of the Cannabis Control Act, Section 410 of
the Illinois Controlled Substances Act, Section 70 of
the Methamphetamine Control and Community Protection
Act, or Section 5-6-3.3 of the Unified Code of
Corrections; and
(F) Arrests or charges not initiated by arrest
resulting in felony convictions unless otherwise
excluded by subsection (a) paragraph (3) of this
Section.
(3) When Records Are Eligible to Be Sealed. Records
identified as eligible under subsection (c)(2) may be
sealed as follows:
(A) Records identified as eligible under
subsection (c)(2)(A) and (c)(2)(B) may be sealed at any
time.
(B) Except as otherwise provided in subparagraph
(E) of this paragraph (3), records identified as
eligible under subsection (c)(2)(C) may be sealed 2
years after the termination of petitioner's last
sentence (as defined in subsection (a)(1)(F)).
(C) Except as otherwise provided in subparagraph
(E) of this paragraph (3), records identified as
eligible under subsections (c)(2)(D), (c)(2)(E), and
(c)(2)(F) may be sealed 3 years after the termination
of the petitioner's last sentence (as defined in
subsection (a)(1)(F)). Convictions requiring public
registration under the Arsonist Registration Act, the
Sex Offender Registration Act, or the Murderer and
Violent Offender Against Youth Registration Act may
not be sealed until the petitioner is no longer
required to register under that relevant Act.
(D) Records identified in subsection
(a)(3)(A)(iii) may be sealed after the petitioner has
reached the age of 25 years.
(E) Records identified as eligible under
subsections (c)(2)(C), (c)(2)(D), (c)(2)(E), or
(c)(2)(F) may be sealed upon termination of the
petitioner's last sentence if the petitioner earned a
high school diploma, associate's degree, career
certificate, vocational technical certification, or
bachelor's degree, or passed the high school level Test
of General Educational Development, during the period
of his or her sentence or mandatory supervised release.
This subparagraph shall apply only to a petitioner who
has not completed the same educational goal prior to
the period of his or her sentence or mandatory
supervised release. If a petition for sealing eligible
records filed under this subparagraph is denied by the
court, the time periods under subparagraph (B) or (C)
shall apply to any subsequent petition for sealing
filed by the petitioner.
(4) Subsequent felony convictions. A person may not
have subsequent felony conviction records sealed as
provided in this subsection (c) if he or she is convicted
of any felony offense after the date of the sealing of
prior felony convictions as provided in this subsection
(c). The court may, upon conviction for a subsequent felony
offense, order the unsealing of prior felony conviction
records previously ordered sealed by the court.
(5) Notice of eligibility for sealing. Upon entry of a
disposition for an eligible record under this subsection
(c), the petitioner shall be informed by the court of the
right to have the records sealed and the procedures for the
sealing of the records.
(d) Procedure. The following procedures apply to
expungement under subsections (b), (e), and (e-6) and sealing
under subsections (c) and (e-5):
(1) Filing the petition. Upon becoming eligible to
petition for the expungement or sealing of records under
this Section, the petitioner shall file a petition
requesting the expungement or sealing of records with the
clerk of the court where the arrests occurred or the
charges were brought, or both. If arrests occurred or
charges were brought in multiple jurisdictions, a petition
must be filed in each such jurisdiction. The petitioner
shall pay the applicable fee, except no fee shall be
required if the petitioner has obtained a court order
waiving fees under Supreme Court Rule 298 or it is
otherwise waived.
(1.5) County fee waiver pilot program. From August 9,
2019 (the effective date of Public Act 101-306) this
amendatory Act of the 101st General Assembly through
December 31, 2020, in a county of 3,000,000 or more
inhabitants, no fee shall be required to be paid by a
petitioner if the records sought to be expunged or sealed
were arrests resulting in release without charging or
arrests or charges not initiated by arrest resulting in
acquittal, dismissal, or conviction when the conviction
was reversed or vacated, unless excluded by subsection
(a)(3)(B). The provisions of this paragraph (1.5), other
than this sentence, are inoperative on and after January 1,
2021.
(2) Contents of petition. The petition shall be
verified and shall contain the petitioner's name, date of
birth, current address and, for each arrest or charge not
initiated by arrest sought to be sealed or expunged, the
case number, the date of arrest (if any), the identity of
the arresting authority, and such other information as the
court may require. During the pendency of the proceeding,
the petitioner shall promptly notify the circuit court
clerk of any change of his or her address. If the
petitioner has received a certificate of eligibility for
sealing from the Prisoner Review Board under paragraph (10)
of subsection (a) of Section 3-3-2 of the Unified Code of
Corrections, the certificate shall be attached to the
petition.
(3) Drug test. The petitioner must attach to the
petition proof that the petitioner has passed a test taken
within 30 days before the filing of the petition showing
the absence within his or her body of all illegal
substances as defined by the Illinois Controlled
Substances Act, the Methamphetamine Control and Community
Protection Act, and the Cannabis Control Act if he or she
is petitioning to:
(A) seal felony records under clause (c)(2)(E);
(B) seal felony records for a violation of the
Illinois Controlled Substances Act, the
Methamphetamine Control and Community Protection Act,
or the Cannabis Control Act under clause (c)(2)(F);
(C) seal felony records under subsection (e-5); or
(D) expunge felony records of a qualified
probation under clause (b)(1)(iv).
(4) Service of petition. The circuit court clerk shall
promptly serve a copy of the petition and documentation to
support the petition under subsection (e-5) or (e-6) on the
State's Attorney or prosecutor charged with the duty of
prosecuting the offense, the Department of State Police,
the arresting agency and the chief legal officer of the
unit of local government effecting the arrest.
(5) Objections.
(A) Any party entitled to notice of the petition
may file an objection to the petition. All objections
shall be in writing, shall be filed with the circuit
court clerk, and shall state with specificity the basis
of the objection. Whenever a person who has been
convicted of an offense is granted a pardon by the
Governor which specifically authorizes expungement, an
objection to the petition may not be filed.
(B) Objections to a petition to expunge or seal
must be filed within 60 days of the date of service of
the petition.
(6) Entry of order.
(A) The Chief Judge of the circuit wherein the
charge was brought, any judge of that circuit
designated by the Chief Judge, or in counties of less
than 3,000,000 inhabitants, the presiding trial judge
at the petitioner's trial, if any, shall rule on the
petition to expunge or seal as set forth in this
subsection (d)(6).
(B) Unless the State's Attorney or prosecutor, the
Department of State Police, the arresting agency, or
the chief legal officer files an objection to the
petition to expunge or seal within 60 days from the
date of service of the petition, the court shall enter
an order granting or denying the petition.
(C) Notwithstanding any other provision of law,
the court shall not deny a petition for sealing under
this Section because the petitioner has not satisfied
an outstanding legal financial obligation established,
imposed, or originated by a court, law enforcement
agency, or a municipal, State, county, or other unit of
local government, including, but not limited to, any
cost, assessment, fine, or fee. An outstanding legal
financial obligation does not include any court
ordered restitution to a victim under Section 5-5-6 of
the Unified Code of Corrections, unless the
restitution has been converted to a civil judgment.
Nothing in this subparagraph (C) waives, rescinds, or
abrogates a legal financial obligation or otherwise
eliminates or affects the right of the holder of any
financial obligation to pursue collection under
applicable federal, State, or local law.
(7) Hearings. If an objection is filed, the court shall
set a date for a hearing and notify the petitioner and all
parties entitled to notice of the petition of the hearing
date at least 30 days prior to the hearing. Prior to the
hearing, the State's Attorney shall consult with the
Department as to the appropriateness of the relief sought
in the petition to expunge or seal. At the hearing, the
court shall hear evidence on whether the petition should or
should not be granted, and shall grant or deny the petition
to expunge or seal the records based on the evidence
presented at the hearing. The court may consider the
following:
(A) the strength of the evidence supporting the
defendant's conviction;
(B) the reasons for retention of the conviction
records by the State;
(C) the petitioner's age, criminal record history,
and employment history;
(D) the period of time between the petitioner's
arrest on the charge resulting in the conviction and
the filing of the petition under this Section; and
(E) the specific adverse consequences the
petitioner may be subject to if the petition is denied.
(8) Service of order. After entering an order to
expunge or seal records, the court must provide copies of
the order to the Department, in a form and manner
prescribed by the Department, to the petitioner, to the
State's Attorney or prosecutor charged with the duty of
prosecuting the offense, to the arresting agency, to the
chief legal officer of the unit of local government
effecting the arrest, and to such other criminal justice
agencies as may be ordered by the court.
(9) Implementation of order.
(A) Upon entry of an order to expunge records
pursuant to (b)(2)(A) or (b)(2)(B)(ii), or both:
(i) the records shall be expunged (as defined
in subsection (a)(1)(E)) by the arresting agency,
the Department, and any other agency as ordered by
the court, within 60 days of the date of service of
the order, unless a motion to vacate, modify, or
reconsider the order is filed pursuant to
paragraph (12) of subsection (d) of this Section;
(ii) the records of the circuit court clerk
shall be impounded until further order of the court
upon good cause shown and the name of the
petitioner obliterated on the official index
required to be kept by the circuit court clerk
under Section 16 of the Clerks of Courts Act, but
the order shall not affect any index issued by the
circuit court clerk before the entry of the order;
and
(iii) in response to an inquiry for expunged
records, the court, the Department, or the agency
receiving such inquiry, shall reply as it does in
response to inquiries when no records ever
existed.
(B) Upon entry of an order to expunge records
pursuant to (b)(2)(B)(i) or (b)(2)(C), or both:
(i) the records shall be expunged (as defined
in subsection (a)(1)(E)) by the arresting agency
and any other agency as ordered by the court,
within 60 days of the date of service of the order,
unless a motion to vacate, modify, or reconsider
the order is filed pursuant to paragraph (12) of
subsection (d) of this Section;
(ii) the records of the circuit court clerk
shall be impounded until further order of the court
upon good cause shown and the name of the
petitioner obliterated on the official index
required to be kept by the circuit court clerk
under Section 16 of the Clerks of Courts Act, but
the order shall not affect any index issued by the
circuit court clerk before the entry of the order;
(iii) the records shall be impounded by the
Department within 60 days of the date of service of
the order as ordered by the court, unless a motion
to vacate, modify, or reconsider the order is filed
pursuant to paragraph (12) of subsection (d) of
this Section;
(iv) records impounded by the Department may
be disseminated by the Department only as required
by law or to the arresting authority, the State's
Attorney, and the court upon a later arrest for the
same or a similar offense or for the purpose of
sentencing for any subsequent felony, and to the
Department of Corrections upon conviction for any
offense; and
(v) in response to an inquiry for such records
from anyone not authorized by law to access such
records, the court, the Department, or the agency
receiving such inquiry shall reply as it does in
response to inquiries when no records ever
existed.
(B-5) Upon entry of an order to expunge records
under subsection (e-6):
(i) the records shall be expunged (as defined
in subsection (a)(1)(E)) by the arresting agency
and any other agency as ordered by the court,
within 60 days of the date of service of the order,
unless a motion to vacate, modify, or reconsider
the order is filed under paragraph (12) of
subsection (d) of this Section;
(ii) the records of the circuit court clerk
shall be impounded until further order of the court
upon good cause shown and the name of the
petitioner obliterated on the official index
required to be kept by the circuit court clerk
under Section 16 of the Clerks of Courts Act, but
the order shall not affect any index issued by the
circuit court clerk before the entry of the order;
(iii) the records shall be impounded by the
Department within 60 days of the date of service of
the order as ordered by the court, unless a motion
to vacate, modify, or reconsider the order is filed
under paragraph (12) of subsection (d) of this
Section;
(iv) records impounded by the Department may
be disseminated by the Department only as required
by law or to the arresting authority, the State's
Attorney, and the court upon a later arrest for the
same or a similar offense or for the purpose of
sentencing for any subsequent felony, and to the
Department of Corrections upon conviction for any
offense; and
(v) in response to an inquiry for these records
from anyone not authorized by law to access the
records, the court, the Department, or the agency
receiving the inquiry shall reply as it does in
response to inquiries when no records ever
existed.
(C) Upon entry of an order to seal records under
subsection (c), the arresting agency, any other agency
as ordered by the court, the Department, and the court
shall seal the records (as defined in subsection
(a)(1)(K)). In response to an inquiry for such records,
from anyone not authorized by law to access such
records, the court, the Department, or the agency
receiving such inquiry shall reply as it does in
response to inquiries when no records ever existed.
(D) The Department shall send written notice to the
petitioner of its compliance with each order to expunge
or seal records within 60 days of the date of service
of that order or, if a motion to vacate, modify, or
reconsider is filed, within 60 days of service of the
order resolving the motion, if that order requires the
Department to expunge or seal records. In the event of
an appeal from the circuit court order, the Department
shall send written notice to the petitioner of its
compliance with an Appellate Court or Supreme Court
judgment to expunge or seal records within 60 days of
the issuance of the court's mandate. The notice is not
required while any motion to vacate, modify, or
reconsider, or any appeal or petition for
discretionary appellate review, is pending.
(E) Upon motion, the court may order that a sealed
judgment or other court record necessary to
demonstrate the amount of any legal financial
obligation due and owing be made available for the
limited purpose of collecting any legal financial
obligations owed by the petitioner that were
established, imposed, or originated in the criminal
proceeding for which those records have been sealed.
The records made available under this subparagraph (E)
shall not be entered into the official index required
to be kept by the circuit court clerk under Section 16
of the Clerks of Courts Act and shall be immediately
re-impounded upon the collection of the outstanding
financial obligations.
(F) Notwithstanding any other provision of this
Section, a circuit court clerk may access a sealed
record for the limited purpose of collecting payment
for any legal financial obligations that were
established, imposed, or originated in the criminal
proceedings for which those records have been sealed.
(10) Fees. The Department may charge the petitioner a
fee equivalent to the cost of processing any order to
expunge or seal records. Notwithstanding any provision of
the Clerks of Courts Act to the contrary, the circuit court
clerk may charge a fee equivalent to the cost associated
with the sealing or expungement of records by the circuit
court clerk. From the total filing fee collected for the
petition to seal or expunge, the circuit court clerk shall
deposit $10 into the Circuit Court Clerk Operation and
Administrative Fund, to be used to offset the costs
incurred by the circuit court clerk in performing the
additional duties required to serve the petition to seal or
expunge on all parties. The circuit court clerk shall
collect and forward the Department of State Police portion
of the fee to the Department and it shall be deposited in
the State Police Services Fund. If the record brought under
an expungement petition was previously sealed under this
Section, the fee for the expungement petition for that same
record shall be waived.
(11) Final Order. No court order issued under the
expungement or sealing provisions of this Section shall
become final for purposes of appeal until 30 days after
service of the order on the petitioner and all parties
entitled to notice of the petition.
(12) Motion to Vacate, Modify, or Reconsider. Under
Section 2-1203 of the Code of Civil Procedure, the
petitioner or any party entitled to notice may file a
motion to vacate, modify, or reconsider the order granting
or denying the petition to expunge or seal within 60 days
of service of the order. If filed more than 60 days after
service of the order, a petition to vacate, modify, or
reconsider shall comply with subsection (c) of Section
2-1401 of the Code of Civil Procedure. Upon filing of a
motion to vacate, modify, or reconsider, notice of the
motion shall be served upon the petitioner and all parties
entitled to notice of the petition.
(13) Effect of Order. An order granting a petition
under the expungement or sealing provisions of this Section
shall not be considered void because it fails to comply
with the provisions of this Section or because of any error
asserted in a motion to vacate, modify, or reconsider. The
circuit court retains jurisdiction to determine whether
the order is voidable and to vacate, modify, or reconsider
its terms based on a motion filed under paragraph (12) of
this subsection (d).
(14) Compliance with Order Granting Petition to Seal
Records. Unless a court has entered a stay of an order
granting a petition to seal, all parties entitled to notice
of the petition must fully comply with the terms of the
order within 60 days of service of the order even if a
party is seeking relief from the order through a motion
filed under paragraph (12) of this subsection (d) or is
appealing the order.
(15) Compliance with Order Granting Petition to
Expunge Records. While a party is seeking relief from the
order granting the petition to expunge through a motion
filed under paragraph (12) of this subsection (d) or is
appealing the order, and unless a court has entered a stay
of that order, the parties entitled to notice of the
petition must seal, but need not expunge, the records until
there is a final order on the motion for relief or, in the
case of an appeal, the issuance of that court's mandate.
(16) The changes to this subsection (d) made by Public
Act 98-163 apply to all petitions pending on August 5, 2013
(the effective date of Public Act 98-163) and to all orders
ruling on a petition to expunge or seal on or after August
5, 2013 (the effective date of Public Act 98-163).
(e) Whenever a person who has been convicted of an offense
is granted a pardon by the Governor which specifically
authorizes expungement, he or she may, upon verified petition
to the Chief Judge of the circuit where the person had been
convicted, any judge of the circuit designated by the Chief
Judge, or in counties of less than 3,000,000 inhabitants, the
presiding trial judge at the defendant's trial, have a court
order entered expunging the record of arrest from the official
records of the arresting authority and order that the records
of the circuit court clerk and the Department be sealed until
further order of the court upon good cause shown or as
otherwise provided herein, and the name of the defendant
obliterated from the official index requested to be kept by the
circuit court clerk under Section 16 of the Clerks of Courts
Act in connection with the arrest and conviction for the
offense for which he or she had been pardoned but the order
shall not affect any index issued by the circuit court clerk
before the entry of the order. All records sealed by the
Department may be disseminated by the Department only to the
arresting authority, the State's Attorney, and the court upon a
later arrest for the same or similar offense or for the purpose
of sentencing for any subsequent felony. Upon conviction for
any subsequent offense, the Department of Corrections shall
have access to all sealed records of the Department pertaining
to that individual. Upon entry of the order of expungement, the
circuit court clerk shall promptly mail a copy of the order to
the person who was pardoned.
(e-5) Whenever a person who has been convicted of an
offense is granted a certificate of eligibility for sealing by
the Prisoner Review Board which specifically authorizes
sealing, he or she may, upon verified petition to the Chief
Judge of the circuit where the person had been convicted, any
judge of the circuit designated by the Chief Judge, or in
counties of less than 3,000,000 inhabitants, the presiding
trial judge at the petitioner's trial, have a court order
entered sealing the record of arrest from the official records
of the arresting authority and order that the records of the
circuit court clerk and the Department be sealed until further
order of the court upon good cause shown or as otherwise
provided herein, and the name of the petitioner obliterated
from the official index requested to be kept by the circuit
court clerk under Section 16 of the Clerks of Courts Act in
connection with the arrest and conviction for the offense for
which he or she had been granted the certificate but the order
shall not affect any index issued by the circuit court clerk
before the entry of the order. All records sealed by the
Department may be disseminated by the Department only as
required by this Act or to the arresting authority, a law
enforcement agency, the State's Attorney, and the court upon a
later arrest for the same or similar offense or for the purpose
of sentencing for any subsequent felony. Upon conviction for
any subsequent offense, the Department of Corrections shall
have access to all sealed records of the Department pertaining
to that individual. Upon entry of the order of sealing, the
circuit court clerk shall promptly mail a copy of the order to
the person who was granted the certificate of eligibility for
sealing.
(e-6) Whenever a person who has been convicted of an
offense is granted a certificate of eligibility for expungement
by the Prisoner Review Board which specifically authorizes
expungement, he or she may, upon verified petition to the Chief
Judge of the circuit where the person had been convicted, any
judge of the circuit designated by the Chief Judge, or in
counties of less than 3,000,000 inhabitants, the presiding
trial judge at the petitioner's trial, have a court order
entered expunging the record of arrest from the official
records of the arresting authority and order that the records
of the circuit court clerk and the Department be sealed until
further order of the court upon good cause shown or as
otherwise provided herein, and the name of the petitioner
obliterated from the official index requested to be kept by the
circuit court clerk under Section 16 of the Clerks of Courts
Act in connection with the arrest and conviction for the
offense for which he or she had been granted the certificate
but the order shall not affect any index issued by the circuit
court clerk before the entry of the order. All records sealed
by the Department may be disseminated by the Department only as
required by this Act or to the arresting authority, a law
enforcement agency, the State's Attorney, and the court upon a
later arrest for the same or similar offense or for the purpose
of sentencing for any subsequent felony. Upon conviction for
any subsequent offense, the Department of Corrections shall
have access to all expunged records of the Department
pertaining to that individual. Upon entry of the order of
expungement, the circuit court clerk shall promptly mail a copy
of the order to the person who was granted the certificate of
eligibility for expungement.
(f) Subject to available funding, the Illinois Department
of Corrections shall conduct a study of the impact of sealing,
especially on employment and recidivism rates, utilizing a
random sample of those who apply for the sealing of their
criminal records under Public Act 93-211. At the request of the
Illinois Department of Corrections, records of the Illinois
Department of Employment Security shall be utilized as
appropriate to assist in the study. The study shall not
disclose any data in a manner that would allow the
identification of any particular individual or employing unit.
The study shall be made available to the General Assembly no
later than September 1, 2010.
(g) Immediate Sealing.
(1) Applicability. Notwithstanding any other provision
of this Act to the contrary, and cumulative with any rights
to expungement or sealing of criminal records, this
subsection authorizes the immediate sealing of criminal
records of adults and of minors prosecuted as adults.
(2) Eligible Records. Arrests or charges not initiated
by arrest resulting in acquittal or dismissal with
prejudice, except as excluded by subsection (a)(3)(B),
that occur on or after January 1, 2018 (the effective date
of Public Act 100-282), may be sealed immediately if the
petition is filed with the circuit court clerk on the same
day and during the same hearing in which the case is
disposed.
(3) When Records are Eligible to be Immediately Sealed.
Eligible records under paragraph (2) of this subsection (g)
may be sealed immediately after entry of the final
disposition of a case, notwithstanding the disposition of
other charges in the same case.
(4) Notice of Eligibility for Immediate Sealing. Upon
entry of a disposition for an eligible record under this
subsection (g), the defendant shall be informed by the
court of his or her right to have eligible records
immediately sealed and the procedure for the immediate
sealing of these records.
(5) Procedure. The following procedures apply to
immediate sealing under this subsection (g).
(A) Filing the Petition. Upon entry of the final
disposition of the case, the defendant's attorney may
immediately petition the court, on behalf of the
defendant, for immediate sealing of eligible records
under paragraph (2) of this subsection (g) that are
entered on or after January 1, 2018 (the effective date
of Public Act 100-282). The immediate sealing petition
may be filed with the circuit court clerk during the
hearing in which the final disposition of the case is
entered. If the defendant's attorney does not file the
petition for immediate sealing during the hearing, the
defendant may file a petition for sealing at any time
as authorized under subsection (c)(3)(A).
(B) Contents of Petition. The immediate sealing
petition shall be verified and shall contain the
petitioner's name, date of birth, current address, and
for each eligible record, the case number, the date of
arrest if applicable, the identity of the arresting
authority if applicable, and other information as the
court may require.
(C) Drug Test. The petitioner shall not be required
to attach proof that he or she has passed a drug test.
(D) Service of Petition. A copy of the petition
shall be served on the State's Attorney in open court.
The petitioner shall not be required to serve a copy of
the petition on any other agency.
(E) Entry of Order. The presiding trial judge shall
enter an order granting or denying the petition for
immediate sealing during the hearing in which it is
filed. Petitions for immediate sealing shall be ruled
on in the same hearing in which the final disposition
of the case is entered.
(F) Hearings. The court shall hear the petition for
immediate sealing on the same day and during the same
hearing in which the disposition is rendered.
(G) Service of Order. An order to immediately seal
eligible records shall be served in conformance with
subsection (d)(8).
(H) Implementation of Order. An order to
immediately seal records shall be implemented in
conformance with subsections (d)(9)(C) and (d)(9)(D).
(I) Fees. The fee imposed by the circuit court
clerk and the Department of State Police shall comply
with paragraph (1) of subsection (d) of this Section.
(J) Final Order. No court order issued under this
subsection (g) shall become final for purposes of
appeal until 30 days after service of the order on the
petitioner and all parties entitled to service of the
order in conformance with subsection (d)(8).
(K) Motion to Vacate, Modify, or Reconsider. Under
Section 2-1203 of the Code of Civil Procedure, the
petitioner, State's Attorney, or the Department of
State Police may file a motion to vacate, modify, or
reconsider the order denying the petition to
immediately seal within 60 days of service of the
order. If filed more than 60 days after service of the
order, a petition to vacate, modify, or reconsider
shall comply with subsection (c) of Section 2-1401 of
the Code of Civil Procedure.
(L) Effect of Order. An order granting an immediate
sealing petition shall not be considered void because
it fails to comply with the provisions of this Section
or because of an error asserted in a motion to vacate,
modify, or reconsider. The circuit court retains
jurisdiction to determine whether the order is
voidable, and to vacate, modify, or reconsider its
terms based on a motion filed under subparagraph (L) of
this subsection (g).
(M) Compliance with Order Granting Petition to
Seal Records. Unless a court has entered a stay of an
order granting a petition to immediately seal, all
parties entitled to service of the order must fully
comply with the terms of the order within 60 days of
service of the order.
(h) Sealing; trafficking victims.
(1) A trafficking victim as defined by paragraph (10)
of subsection (a) of Section 10-9 of the Criminal Code of
2012 shall be eligible to petition for immediate sealing of
his or her criminal record upon the completion of his or
her last sentence if his or her participation in the
underlying offense was a direct result of human trafficking
under Section 10-9 of the Criminal Code of 2012 or a severe
form of trafficking under the federal Trafficking Victims
Protection Act.
(2) A petitioner under this subsection (h), in addition
to the requirements provided under paragraph (4) of
subsection (d) of this Section, shall include in his or her
petition a clear and concise statement that: (A) he or she
was a victim of human trafficking at the time of the
offense; and (B) that his or her participation in the
offense was a direct result of human trafficking under
Section 10-9 of the Criminal Code of 2012 or a severe form
of trafficking under the federal Trafficking Victims
Protection Act.
(3) If an objection is filed alleging that the
petitioner is not entitled to immediate sealing under this
subsection (h), the court shall conduct a hearing under
paragraph (7) of subsection (d) of this Section and the
court shall determine whether the petitioner is entitled to
immediate sealing under this subsection (h). A petitioner
is eligible for immediate relief under this subsection (h)
if he or she shows, by a preponderance of the evidence,
that: (A) he or she was a victim of human trafficking at
the time of the offense; and (B) that his or her
participation in the offense was a direct result of human
trafficking under Section 10-9 of the Criminal Code of 2012
or a severe form of trafficking under the federal
Trafficking Victims Protection Act.
(i) Minor Cannabis Offenses under the Cannabis Control Act.
(1) Expungement of Arrest Records of Minor Cannabis
Offenses.
(A) The Department of State Police and all law
enforcement agencies within the State shall
automatically expunge all criminal history records of
an arrest, charge not initiated by arrest, order of
supervision, or order of qualified probation for a
Minor Cannabis Offense committed prior to June 25, 2019
(the effective date of Public Act 101-27) this
amendatory Act of the 101st General Assembly if:
(i) One year or more has elapsed since the date
of the arrest or law enforcement interaction
documented in the records; and
(ii) No criminal charges were filed relating
to the arrest or law enforcement interaction or
criminal charges were filed and subsequently
dismissed or vacated or the arrestee was
acquitted.
(B) If the law enforcement agency is unable to
verify satisfaction of condition (ii) in paragraph
(A), records that satisfy condition (i) in paragraph
(A) shall be automatically expunged.
(C) Records shall be expunged by the law
enforcement agency pursuant to the procedures set
forth in subdivision (d)(9)(A) under the following
timelines:
(i) Records created prior to June 25, 2019 (the
effective date of Public Act 101-27) this
amendatory Act of the 101st General Assembly, but
on or after January 1, 2013, shall be automatically
expunged prior to January 1, 2021;
(ii) Records created prior to January 1, 2013,
but on or after January 1, 2000, shall be
automatically expunged prior to January 1, 2023;
(iii) Records created prior to January 1, 2000
shall be automatically expunged prior to January
1, 2025.
In response to an inquiry for expunged records, the
law enforcement agency receiving such inquiry shall
reply as it does in response to inquiries when no
records ever existed; however, it shall provide a
certificate of disposition or confirmation that the
record was expunged to the individual whose record was
expunged if such a record exists.
(D) Nothing in this Section shall be construed to
restrict or modify an individual's right to have that
individual's records expunged except as otherwise may
be provided in this Act, or diminish or abrogate any
rights or remedies otherwise available to the
individual.
(2) Pardons Authorizing Expungement of Minor Cannabis
Offenses.
(A) Upon June 25, 2019 (the effective date of
Public Act 101-27) this amendatory Act of the 101st
General Assembly, the Department of State Police shall
review all criminal history record information and
identify all records that meet all of the following
criteria:
(i) one or more convictions for a Minor
Cannabis Offense;
(ii) the conviction identified in paragraph
(2)(A)(i) did not include a penalty enhancement
under Section 7 of the Cannabis Control Act; and
(iii) the conviction identified in paragraph
(2)(A)(i) is not associated with a an arrest,
conviction or other disposition for a violent
crime as defined in subsection (c) of Section 3 of
the Rights of Crime Victims and Witnesses Act.
(B) Within 180 days after June 25, 2019 (the
effective date of Public Act 101-27) this amendatory
Act of the 101st General Assembly, the Department of
State Police shall notify the Prisoner Review Board of
all such records that meet the criteria established in
paragraph (2)(A).
(i) The Prisoner Review Board shall notify the
State's Attorney of the county of conviction of
each record identified by State Police in
paragraph (2)(A) that is classified as a Class 4
felony. The State's Attorney may provide a written
objection to the Prisoner Review Board on the sole
basis that the record identified does not meet the
criteria established in paragraph (2)(A). Such an
objection must be filed within 60 days or by such
later date set by Prisoner Review Board in the
notice after the State's Attorney received notice
from the Prisoner Review Board.
(ii) In response to a written objection from a
State's Attorney, the Prisoner Review Board is
authorized to conduct a non-public hearing to
evaluate the information provided in the
objection.
(iii) The Prisoner Review Board shall make a
confidential and privileged recommendation to the
Governor as to whether to grant a pardon
authorizing expungement for each of the records
identified by the Department of State Police as
described in paragraph (2)(A).
(C) If an individual has been granted a pardon
authorizing expungement as described in this Section,
the Prisoner Review Board, through the Attorney
General, shall file a petition for expungement with the
Chief Judge of the circuit or any judge of the circuit
designated by the Chief Judge where the individual had
been convicted. Such petition may include more than one
individual. Whenever an individual who has been
convicted of an offense is granted a pardon by the
Governor that specifically authorizes expungement, an
objection to the petition may not be filed. Petitions
to expunge under this subsection (i) may include more
than one individual. Within 90 days of the filing of
such a petition, the court shall enter an order
expunging the records of arrest from the official
records of the arresting authority and order that the
records of the circuit court clerk and the Department
of State Police be expunged and the name of the
defendant obliterated from the official index
requested to be kept by the circuit court clerk under
Section 16 of the Clerks of Courts Act in connection
with the arrest and conviction for the offense for
which the individual had received a pardon but the
order shall not affect any index issued by the circuit
court clerk before the entry of the order. Upon entry
of the order of expungement, the circuit court clerk
shall promptly provide a copy of the order and a
certificate of disposition to the individual who was
pardoned to the individual's last known address or by
electronic means (if available) or otherwise make it
available to the individual who was pardoned to the
individual's last known address or otherwise make
available to the individual upon request.
(D) Nothing in this Section is intended to diminish
or abrogate any rights or remedies otherwise available
to the individual.
(3) Any individual may file a motion to vacate and
expunge a conviction for a misdemeanor or Class 4 felony
violation of Section 4 or Section 5 of the Cannabis Control
Act. Motions to vacate and expunge under this subsection
(i) may be filed with the circuit court, Chief Judge of a
judicial circuit or any judge of the circuit designated by
the Chief Judge. The circuit court clerk shall promptly
serve a copy of the motion to vacate and expunge, and any
supporting documentation, on the State's Attorney or
prosecutor charged with the duty of prosecuting the
offense. When considering such a motion to vacate and
expunge, a court shall consider the following: the reasons
to retain the records provided by law enforcement, the
petitioner's age, the petitioner's age at the time of
offense, the time since the conviction, and the specific
adverse consequences if denied. An individual may file such
a petition after the completion of any non-financial
sentence or non-financial condition imposed by the
conviction. Within 60 days of the filing of such motion, a
State's Attorney may file an objection to such a petition
along with supporting evidence. If a motion to vacate and
expunge is granted, the records shall be expunged in
accordance with subparagraphs (d)(8) and sentence or
condition imposed by the conviction. Within 60 days of the
filing of such motion, a State's Attorney may file an
objection to such a petition along with supporting
evidence. If a motion to vacate and expunge is granted, the
records shall be expunged in accordance with subparagraph
(d)(9)(A) of this Section. An agency providing civil legal
aid, as defined by Section 15 of the Public Interest
Attorney Assistance Act, assisting individuals seeking to
file a motion to vacate and expunge under this subsection
may file motions to vacate and expunge with the Chief Judge
of a judicial circuit or any judge of the circuit
designated by the Chief Judge, and the motion may include
more than one individual. Motions filed by an agency
providing civil legal aid concerning more than one
individual may be prepared, presented, and signed
electronically.
(4) Any State's Attorney may file a motion to vacate
and expunge a conviction for a misdemeanor or Class 4
felony violation of Section 4 or Section 5 of the Cannabis
Control Act. Motions to vacate and expunge under this
subsection (i) may be filed with the circuit court, Chief
Judge of a judicial circuit or any judge of the circuit
designated by the Chief Judge, and may include more than
one individual. Motions filed by a State's Attorney
concerning more than one individual may be prepared,
presented, and signed electronically. When considering
such a motion to vacate and expunge, a court shall consider
the following: the reasons to retain the records provided
by law enforcement, the individual's age, the individual's
age at the time of offense, the time since the conviction,
and the specific adverse consequences if denied. Upon entry
of an order granting a motion to vacate and expunge records
pursuant to this Section, the State's Attorney shall notify
the Prisoner Review Board within 30 days. Upon entry of the
order of expungement, the circuit court clerk shall
promptly provide a copy of the order and a certificate of
disposition to the individual whose records will be
expunged to the individual's last known address or by
electronic means (if available) or otherwise make
available to the individual upon request. If a motion to
vacate and expunge is granted, the records shall be
expunged in accordance with subparagraphs (d)(8) and
(d)(9)(A) of this Section. If the State's Attorney files a
motion to vacate and expunge records for Minor Cannabis
Offenses pursuant to this Section, the State's Attorney
shall notify the Prisoner Review Board within 30 days of
such filing. If a motion to vacate and expunge is granted,
the records shall be expunged in accordance with
subparagraph (d)(9)(A) of this Section.
(5) In the public interest, the State's Attorney of a
county has standing to file motions to vacate and expunge
pursuant to this Section in the circuit court with
jurisdiction over the underlying conviction.
(6) If a person is arrested for a Minor Cannabis
Offense as defined in this Section before June 25, 2019
(the effective date of Public Act 101-27) this amendatory
Act of the 101st General Assembly and the person's case is
still pending but a sentence has not been imposed, the
person may petition the court in which the charges are
pending for an order to summarily dismiss those charges
against him or her, and expunge all official records of his
or her arrest, plea, trial, conviction, incarceration,
supervision, or expungement. If the court determines, upon
review, that: (A) the person was arrested before June 25,
2019 (the effective date of Public Act 101-27) this
amendatory Act of the 101st General Assembly for an offense
that has been made eligible for expungement; (B) the case
is pending at the time; and (C) the person has not been
sentenced of the minor cannabis violation eligible for
expungement under this subsection, the court shall
consider the following: the reasons to retain the records
provided by law enforcement, the petitioner's age, the
petitioner's age at the time of offense, the time since the
conviction, and the specific adverse consequences if
denied. If a motion to dismiss and expunge is granted, the
records shall be expunged in accordance with subparagraph
(d)(9)(A) of this Section.
(7) A person imprisoned solely as a result of one or
more convictions for Minor Cannabis Offenses under this
subsection (i) shall be released from incarceration upon
the issuance of an order under this subsection.
(8) The Department of State Police shall allow a person
to use the access and review process, established in the
Department of State Police, for verifying that his or her
records relating to Minor Cannabis Offenses of the Cannabis
Control Act eligible under this Section have been expunged.
(9) No conviction vacated pursuant to this Section
shall serve as the basis for damages for time unjustly
served as provided in the Court of Claims Act.
(10) Effect of Expungement. A person's right to expunge
an expungeable offense shall not be limited under this
Section. The effect of an order of expungement shall be to
restore the person to the status he or she occupied before
the arrest, charge, or conviction.
(11) Information. The Department of State Police shall
post general information on its website about the
expungement process described in this subsection (i).
(Source: P.A. 100-201, eff. 8-18-17; 100-282, eff. 1-1-18;
100-284, eff. 8-24-17; 100-287, eff. 8-24-17; 100-692, eff.
8-3-18; 100-759, eff. 1-1-19; 100-776, eff. 8-10-18; 100-863,
eff. 8-14-18; 101-27, eff. 6-25-19; 101-81, eff. 7-12-19;
101-159, eff. 1-1-20; 101-306, eff. 8-9-19; revised 9-25-19.)
Section 6. The Use Tax Act is amended by changing Section
3-10 as follows:
(35 ILCS 105/3-10)
Sec. 3-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of
either the selling price or the fair market value, if any, of
the tangible personal property. In all cases where property
functionally used or consumed is the same as the property that
was purchased at retail, then the tax is imposed on the selling
price of the property. In all cases where property functionally
used or consumed is a by-product or waste product that has been
refined, manufactured, or produced from property purchased at
retail, then the tax is imposed on the lower of the fair market
value, if any, of the specific property so used in this State
or on the selling price of the property purchased at retail.
For purposes of this Section "fair market value" means the
price at which property would change hands between a willing
buyer and a willing seller, neither being under any compulsion
to buy or sell and both having reasonable knowledge of the
relevant facts. The fair market value shall be established by
Illinois sales by the taxpayer of the same property as that
functionally used or consumed, or if there are no such sales by
the taxpayer, then comparable sales or purchases of property of
like kind and character in Illinois.
Beginning on July 1, 2000 and through December 31, 2000,
with respect to motor fuel, as defined in Section 1.1 of the
Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
the Use Tax Act, the tax is imposed at the rate of 1.25%.
Beginning on August 6, 2010 through August 15, 2010, with
respect to sales tax holiday items as defined in Section 3-6 of
this Act, the tax is imposed at the rate of 1.25%.
With respect to gasohol, the tax imposed by this Act
applies to (i) 70% of the proceeds of sales made on or after
January 1, 1990, and before July 1, 2003, (ii) 80% of the
proceeds of sales made on or after July 1, 2003 and on or
before July 1, 2017, and (iii) 100% of the proceeds of sales
made thereafter. If, at any time, however, the tax under this
Act on sales of gasohol is imposed at the rate of 1.25%, then
the tax imposed by this Act applies to 100% of the proceeds of
sales of gasohol made during that time.
With respect to majority blended ethanol fuel, the tax
imposed by this Act does not apply to the proceeds of sales
made on or after July 1, 2003 and on or before December 31,
2023 but applies to 100% of the proceeds of sales made
thereafter.
With respect to biodiesel blends with no less than 1% and
no more than 10% biodiesel, the tax imposed by this Act applies
to (i) 80% of the proceeds of sales made on or after July 1,
2003 and on or before December 31, 2018 and (ii) 100% of the
proceeds of sales made thereafter. If, at any time, however,
the tax under this Act on sales of biodiesel blends with no
less than 1% and no more than 10% biodiesel is imposed at the
rate of 1.25%, then the tax imposed by this Act applies to 100%
of the proceeds of sales of biodiesel blends with no less than
1% and no more than 10% biodiesel made during that time.
With respect to 100% biodiesel and biodiesel blends with
more than 10% but no more than 99% biodiesel, the tax imposed
by this Act does not apply to the proceeds of sales made on or
after July 1, 2003 and on or before December 31, 2023 but
applies to 100% of the proceeds of sales made thereafter.
With respect to food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances, products classified as
Class III medical devices by the United States Food and Drug
Administration that are used for cancer treatment pursuant to a
prescription, as well as any accessories and components related
to those devices, modifications to a motor vehicle for the
purpose of rendering it usable by a person with a disability,
and insulin, urine testing materials, syringes, and needles
used by diabetics, for human use, the tax is imposed at the
rate of 1%. For the purposes of this Section, until September
1, 2009: the term "soft drinks" means any complete, finished,
ready-to-use, non-alcoholic drink, whether carbonated or not,
including but not limited to soda water, cola, fruit juice,
vegetable juice, carbonated water, and all other preparations
commonly known as soft drinks of whatever kind or description
that are contained in any closed or sealed bottle, can, carton,
or container, regardless of size; but "soft drinks" does not
include coffee, tea, non-carbonated water, infant formula,
milk or milk products as defined in the Grade A Pasteurized
Milk and Milk Products Act, or drinks containing 50% or more
natural fruit or vegetable juice.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and notwithstanding any other
provisions of this Act, "food for human consumption that is to
be consumed off the premises where it is sold" includes all
food sold through a vending machine, except soft drinks and
food products that are dispensed hot from a vending machine,
regardless of the location of the vending machine. Beginning
August 1, 2009, and notwithstanding any other provisions of
this Act, "food for human consumption that is to be consumed
off the premises where it is sold" includes all food sold
through a vending machine, except soft drinks, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning on the effective date of this amendatory Act of
the 98th General Assembly, "prescription and nonprescription
medicines and drugs" includes medical cannabis purchased from a
registered dispensing organization under the Compassionate Use
of Medical Cannabis Program Act.
As used in this Section, "adult use cannabis" means
cannabis subject to tax under the Cannabis Cultivation
Privilege Tax Law and the Cannabis Purchaser Excise Tax Law and
does not include cannabis subject to tax under the
Compassionate Use of Medical Cannabis Program Act.
If the property that is purchased at retail from a retailer
is acquired outside Illinois and used outside Illinois before
being brought to Illinois for use here and is taxable under
this Act, the "selling price" on which the tax is computed
shall be reduced by an amount that represents a reasonable
allowance for depreciation for the period of prior out-of-state
use.
(Source: P.A. 100-22, eff. 7-6-17; 101-363, eff. 8-9-19.)
Section 7. The Service Use Tax Act is amended by changing
Section 3-10 as follows:
(35 ILCS 110/3-10) (from Ch. 120, par. 439.33-10)
Sec. 3-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of
the selling price of tangible personal property transferred as
an incident to the sale of service, but, for the purpose of
computing this tax, in no event shall the selling price be less
than the cost price of the property to the serviceman.
Beginning on July 1, 2000 and through December 31, 2000,
with respect to motor fuel, as defined in Section 1.1 of the
Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
the Use Tax Act, the tax is imposed at the rate of 1.25%.
With respect to gasohol, as defined in the Use Tax Act, the
tax imposed by this Act applies to (i) 70% of the selling price
of property transferred as an incident to the sale of service
on or after January 1, 1990, and before July 1, 2003, (ii) 80%
of the selling price of property transferred as an incident to
the sale of service on or after July 1, 2003 and on or before
July 1, 2017, and (iii) 100% of the selling price thereafter.
If, at any time, however, the tax under this Act on sales of
gasohol, as defined in the Use Tax Act, is imposed at the rate
of 1.25%, then the tax imposed by this Act applies to 100% of
the proceeds of sales of gasohol made during that time.
With respect to majority blended ethanol fuel, as defined
in the Use Tax Act, the tax imposed by this Act does not apply
to the selling price of property transferred as an incident to
the sale of service on or after July 1, 2003 and on or before
December 31, 2023 but applies to 100% of the selling price
thereafter.
With respect to biodiesel blends, as defined in the Use Tax
Act, with no less than 1% and no more than 10% biodiesel, the
tax imposed by this Act applies to (i) 80% of the selling price
of property transferred as an incident to the sale of service
on or after July 1, 2003 and on or before December 31, 2018 and
(ii) 100% of the proceeds of the selling price thereafter. If,
at any time, however, the tax under this Act on sales of
biodiesel blends, as defined in the Use Tax Act, with no less
than 1% and no more than 10% biodiesel is imposed at the rate
of 1.25%, then the tax imposed by this Act applies to 100% of
the proceeds of sales of biodiesel blends with no less than 1%
and no more than 10% biodiesel made during that time.
With respect to 100% biodiesel, as defined in the Use Tax
Act, and biodiesel blends, as defined in the Use Tax Act, with
more than 10% but no more than 99% biodiesel, the tax imposed
by this Act does not apply to the proceeds of the selling price
of property transferred as an incident to the sale of service
on or after July 1, 2003 and on or before December 31, 2023 but
applies to 100% of the selling price thereafter.
At the election of any registered serviceman made for each
fiscal year, sales of service in which the aggregate annual
cost price of tangible personal property transferred as an
incident to the sales of service is less than 35%, or 75% in
the case of servicemen transferring prescription drugs or
servicemen engaged in graphic arts production, of the aggregate
annual total gross receipts from all sales of service, the tax
imposed by this Act shall be based on the serviceman's cost
price of the tangible personal property transferred as an
incident to the sale of those services.
The tax shall be imposed at the rate of 1% on food prepared
for immediate consumption and transferred incident to a sale of
service subject to this Act or the Service Occupation Tax Act
by an entity licensed under the Hospital Licensing Act, the
Nursing Home Care Act, the ID/DD Community Care Act, the MC/DD
Act, the Specialized Mental Health Rehabilitation Act of 2013,
or the Child Care Act of 1969. The tax shall also be imposed at
the rate of 1% on food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption and is not otherwise included in this
paragraph) and prescription and nonprescription medicines,
drugs, medical appliances, products classified as Class III
medical devices by the United States Food and Drug
Administration that are used for cancer treatment pursuant to a
prescription, as well as any accessories and components related
to those devices, modifications to a motor vehicle for the
purpose of rendering it usable by a person with a disability,
and insulin, urine testing materials, syringes, and needles
used by diabetics, for human use. For the purposes of this
Section, until September 1, 2009: the term "soft drinks" means
any complete, finished, ready-to-use, non-alcoholic drink,
whether carbonated or not, including but not limited to soda
water, cola, fruit juice, vegetable juice, carbonated water,
and all other preparations commonly known as soft drinks of
whatever kind or description that are contained in any closed
or sealed bottle, can, carton, or container, regardless of
size; but "soft drinks" does not include coffee, tea,
non-carbonated water, infant formula, milk or milk products as
defined in the Grade A Pasteurized Milk and Milk Products Act,
or drinks containing 50% or more natural fruit or vegetable
juice.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and notwithstanding any other
provisions of this Act, "food for human consumption that is to
be consumed off the premises where it is sold" includes all
food sold through a vending machine, except soft drinks and
food products that are dispensed hot from a vending machine,
regardless of the location of the vending machine. Beginning
August 1, 2009, and notwithstanding any other provisions of
this Act, "food for human consumption that is to be consumed
off the premises where it is sold" includes all food sold
through a vending machine, except soft drinks, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning on January 1, 2014 (the effective date of Public
Act 98-122), "prescription and nonprescription medicines and
drugs" includes medical cannabis purchased from a registered
dispensing organization under the Compassionate Use of Medical
Cannabis Program Act.
As used in this Section, "adult use cannabis" means
cannabis subject to tax under the Cannabis Cultivation
Privilege Tax Law and the Cannabis Purchaser Excise Tax Law and
does not include cannabis subject to tax under the
Compassionate Use of Medical Cannabis Program Act.
If the property that is acquired from a serviceman is
acquired outside Illinois and used outside Illinois before
being brought to Illinois for use here and is taxable under
this Act, the "selling price" on which the tax is computed
shall be reduced by an amount that represents a reasonable
allowance for depreciation for the period of prior out-of-state
use.
(Source: P.A. 100-22, eff. 7-6-17; 101-363, eff. 8-9-19.)
Section 8. The Service Occupation Tax Act is amended by
changing Section 3-10 as follows:
(35 ILCS 115/3-10) (from Ch. 120, par. 439.103-10)
Sec. 3-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of
the "selling price", as defined in Section 2 of the Service Use
Tax Act, of the tangible personal property. For the purpose of
computing this tax, in no event shall the "selling price" be
less than the cost price to the serviceman of the tangible
personal property transferred. The selling price of each item
of tangible personal property transferred as an incident of a
sale of service may be shown as a distinct and separate item on
the serviceman's billing to the service customer. If the
selling price is not so shown, the selling price of the
tangible personal property is deemed to be 50% of the
serviceman's entire billing to the service customer. When,
however, a serviceman contracts to design, develop, and produce
special order machinery or equipment, the tax imposed by this
Act shall be based on the serviceman's cost price of the
tangible personal property transferred incident to the
completion of the contract.
Beginning on July 1, 2000 and through December 31, 2000,
with respect to motor fuel, as defined in Section 1.1 of the
Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
the Use Tax Act, the tax is imposed at the rate of 1.25%.
With respect to gasohol, as defined in the Use Tax Act, the
tax imposed by this Act shall apply to (i) 70% of the cost
price of property transferred as an incident to the sale of
service on or after January 1, 1990, and before July 1, 2003,
(ii) 80% of the selling price of property transferred as an
incident to the sale of service on or after July 1, 2003 and on
or before July 1, 2017, and (iii) 100% of the cost price
thereafter. If, at any time, however, the tax under this Act on
sales of gasohol, as defined in the Use Tax Act, is imposed at
the rate of 1.25%, then the tax imposed by this Act applies to
100% of the proceeds of sales of gasohol made during that time.
With respect to majority blended ethanol fuel, as defined
in the Use Tax Act, the tax imposed by this Act does not apply
to the selling price of property transferred as an incident to
the sale of service on or after July 1, 2003 and on or before
December 31, 2023 but applies to 100% of the selling price
thereafter.
With respect to biodiesel blends, as defined in the Use Tax
Act, with no less than 1% and no more than 10% biodiesel, the
tax imposed by this Act applies to (i) 80% of the selling price
of property transferred as an incident to the sale of service
on or after July 1, 2003 and on or before December 31, 2018 and
(ii) 100% of the proceeds of the selling price thereafter. If,
at any time, however, the tax under this Act on sales of
biodiesel blends, as defined in the Use Tax Act, with no less
than 1% and no more than 10% biodiesel is imposed at the rate
of 1.25%, then the tax imposed by this Act applies to 100% of
the proceeds of sales of biodiesel blends with no less than 1%
and no more than 10% biodiesel made during that time.
With respect to 100% biodiesel, as defined in the Use Tax
Act, and biodiesel blends, as defined in the Use Tax Act, with
more than 10% but no more than 99% biodiesel material, the tax
imposed by this Act does not apply to the proceeds of the
selling price of property transferred as an incident to the
sale of service on or after July 1, 2003 and on or before
December 31, 2023 but applies to 100% of the selling price
thereafter.
At the election of any registered serviceman made for each
fiscal year, sales of service in which the aggregate annual
cost price of tangible personal property transferred as an
incident to the sales of service is less than 35%, or 75% in
the case of servicemen transferring prescription drugs or
servicemen engaged in graphic arts production, of the aggregate
annual total gross receipts from all sales of service, the tax
imposed by this Act shall be based on the serviceman's cost
price of the tangible personal property transferred incident to
the sale of those services.
The tax shall be imposed at the rate of 1% on food prepared
for immediate consumption and transferred incident to a sale of
service subject to this Act or the Service Occupation Tax Act
by an entity licensed under the Hospital Licensing Act, the
Nursing Home Care Act, the ID/DD Community Care Act, the MC/DD
Act, the Specialized Mental Health Rehabilitation Act of 2013,
or the Child Care Act of 1969. The tax shall also be imposed at
the rate of 1% on food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption and is not otherwise included in this
paragraph) and prescription and nonprescription medicines,
drugs, medical appliances, products classified as Class III
medical devices by the United States Food and Drug
Administration that are used for cancer treatment pursuant to a
prescription, as well as any accessories and components related
to those devices, modifications to a motor vehicle for the
purpose of rendering it usable by a person with a disability,
and insulin, urine testing materials, syringes, and needles
used by diabetics, for human use. For the purposes of this
Section, until September 1, 2009: the term "soft drinks" means
any complete, finished, ready-to-use, non-alcoholic drink,
whether carbonated or not, including but not limited to soda
water, cola, fruit juice, vegetable juice, carbonated water,
and all other preparations commonly known as soft drinks of
whatever kind or description that are contained in any closed
or sealed can, carton, or container, regardless of size; but
"soft drinks" does not include coffee, tea, non-carbonated
water, infant formula, milk or milk products as defined in the
Grade A Pasteurized Milk and Milk Products Act, or drinks
containing 50% or more natural fruit or vegetable juice.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and notwithstanding any other
provisions of this Act, "food for human consumption that is to
be consumed off the premises where it is sold" includes all
food sold through a vending machine, except soft drinks and
food products that are dispensed hot from a vending machine,
regardless of the location of the vending machine. Beginning
August 1, 2009, and notwithstanding any other provisions of
this Act, "food for human consumption that is to be consumed
off the premises where it is sold" includes all food sold
through a vending machine, except soft drinks, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning on January 1, 2014 (the effective date of Public
Act 98-122), "prescription and nonprescription medicines and
drugs" includes medical cannabis purchased from a registered
dispensing organization under the Compassionate Use of Medical
Cannabis Program Act.
As used in this Section, "adult use cannabis" means
cannabis subject to tax under the Cannabis Cultivation
Privilege Tax Law and the Cannabis Purchaser Excise Tax Law and
does not include cannabis subject to tax under the
Compassionate Use of Medical Cannabis Program Act.
(Source: P.A. 100-22, eff. 7-6-17; 101-363, eff. 8-9-19.)
Section 9. The Retailers' Occupation Tax Act is amended by
changing Section 2-10 as follows:
(35 ILCS 120/2-10)
Sec. 2-10. Rate of tax. Unless otherwise provided in this
Section, the tax imposed by this Act is at the rate of 6.25% of
gross receipts from sales of tangible personal property made in
the course of business.
Beginning on July 1, 2000 and through December 31, 2000,
with respect to motor fuel, as defined in Section 1.1 of the
Motor Fuel Tax Law, and gasohol, as defined in Section 3-40 of
the Use Tax Act, the tax is imposed at the rate of 1.25%.
Beginning on August 6, 2010 through August 15, 2010, with
respect to sales tax holiday items as defined in Section 2-8 of
this Act, the tax is imposed at the rate of 1.25%.
Within 14 days after the effective date of this amendatory
Act of the 91st General Assembly, each retailer of motor fuel
and gasohol shall cause the following notice to be posted in a
prominently visible place on each retail dispensing device that
is used to dispense motor fuel or gasohol in the State of
Illinois: "As of July 1, 2000, the State of Illinois has
eliminated the State's share of sales tax on motor fuel and
gasohol through December 31, 2000. The price on this pump
should reflect the elimination of the tax." The notice shall be
printed in bold print on a sign that is no smaller than 4
inches by 8 inches. The sign shall be clearly visible to
customers. Any retailer who fails to post or maintain a
required sign through December 31, 2000 is guilty of a petty
offense for which the fine shall be $500 per day per each
retail premises where a violation occurs.
With respect to gasohol, as defined in the Use Tax Act, the
tax imposed by this Act applies to (i) 70% of the proceeds of
sales made on or after January 1, 1990, and before July 1,
2003, (ii) 80% of the proceeds of sales made on or after July
1, 2003 and on or before July 1, 2017, and (iii) 100% of the
proceeds of sales made thereafter. If, at any time, however,
the tax under this Act on sales of gasohol, as defined in the
Use Tax Act, is imposed at the rate of 1.25%, then the tax
imposed by this Act applies to 100% of the proceeds of sales of
gasohol made during that time.
With respect to majority blended ethanol fuel, as defined
in the Use Tax Act, the tax imposed by this Act does not apply
to the proceeds of sales made on or after July 1, 2003 and on or
before December 31, 2023 but applies to 100% of the proceeds of
sales made thereafter.
With respect to biodiesel blends, as defined in the Use Tax
Act, with no less than 1% and no more than 10% biodiesel, the
tax imposed by this Act applies to (i) 80% of the proceeds of
sales made on or after July 1, 2003 and on or before December
31, 2018 and (ii) 100% of the proceeds of sales made
thereafter. If, at any time, however, the tax under this Act on
sales of biodiesel blends, as defined in the Use Tax Act, with
no less than 1% and no more than 10% biodiesel is imposed at
the rate of 1.25%, then the tax imposed by this Act applies to
100% of the proceeds of sales of biodiesel blends with no less
than 1% and no more than 10% biodiesel made during that time.
With respect to 100% biodiesel, as defined in the Use Tax
Act, and biodiesel blends, as defined in the Use Tax Act, with
more than 10% but no more than 99% biodiesel, the tax imposed
by this Act does not apply to the proceeds of sales made on or
after July 1, 2003 and on or before December 31, 2023 but
applies to 100% of the proceeds of sales made thereafter.
With respect to food for human consumption that is to be
consumed off the premises where it is sold (other than
alcoholic beverages, food consisting of or infused with adult
use cannabis, soft drinks, and food that has been prepared for
immediate consumption) and prescription and nonprescription
medicines, drugs, medical appliances, products classified as
Class III medical devices by the United States Food and Drug
Administration that are used for cancer treatment pursuant to a
prescription, as well as any accessories and components related
to those devices, modifications to a motor vehicle for the
purpose of rendering it usable by a person with a disability,
and insulin, urine testing materials, syringes, and needles
used by diabetics, for human use, the tax is imposed at the
rate of 1%. For the purposes of this Section, until September
1, 2009: the term "soft drinks" means any complete, finished,
ready-to-use, non-alcoholic drink, whether carbonated or not,
including but not limited to soda water, cola, fruit juice,
vegetable juice, carbonated water, and all other preparations
commonly known as soft drinks of whatever kind or description
that are contained in any closed or sealed bottle, can, carton,
or container, regardless of size; but "soft drinks" does not
include coffee, tea, non-carbonated water, infant formula,
milk or milk products as defined in the Grade A Pasteurized
Milk and Milk Products Act, or drinks containing 50% or more
natural fruit or vegetable juice.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "soft drinks" means non-alcoholic
beverages that contain natural or artificial sweeteners. "Soft
drinks" do not include beverages that contain milk or milk
products, soy, rice or similar milk substitutes, or greater
than 50% of vegetable or fruit juice by volume.
Until August 1, 2009, and notwithstanding any other
provisions of this Act, "food for human consumption that is to
be consumed off the premises where it is sold" includes all
food sold through a vending machine, except soft drinks and
food products that are dispensed hot from a vending machine,
regardless of the location of the vending machine. Beginning
August 1, 2009, and notwithstanding any other provisions of
this Act, "food for human consumption that is to be consumed
off the premises where it is sold" includes all food sold
through a vending machine, except soft drinks, candy, and food
products that are dispensed hot from a vending machine,
regardless of the location of the vending machine.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "food for human consumption that
is to be consumed off the premises where it is sold" does not
include candy. For purposes of this Section, "candy" means a
preparation of sugar, honey, or other natural or artificial
sweeteners in combination with chocolate, fruits, nuts or other
ingredients or flavorings in the form of bars, drops, or
pieces. "Candy" does not include any preparation that contains
flour or requires refrigeration.
Notwithstanding any other provisions of this Act,
beginning September 1, 2009, "nonprescription medicines and
drugs" does not include grooming and hygiene products. For
purposes of this Section, "grooming and hygiene products"
includes, but is not limited to, soaps and cleaning solutions,
shampoo, toothpaste, mouthwash, antiperspirants, and sun tan
lotions and screens, unless those products are available by
prescription only, regardless of whether the products meet the
definition of "over-the-counter-drugs". For the purposes of
this paragraph, "over-the-counter-drug" means a drug for human
use that contains a label that identifies the product as a drug
as required by 21 C.F.R. § 201.66. The "over-the-counter-drug"
label includes:
(A) A "Drug Facts" panel; or
(B) A statement of the "active ingredient(s)" with a
list of those ingredients contained in the compound,
substance or preparation.
Beginning on the effective date of this amendatory Act of
the 98th General Assembly, "prescription and nonprescription
medicines and drugs" includes medical cannabis purchased from a
registered dispensing organization under the Compassionate Use
of Medical Cannabis Program Act.
As used in this Section, "adult use cannabis" means
cannabis subject to tax under the Cannabis Cultivation
Privilege Tax Law and the Cannabis Purchaser Excise Tax Law and
does not include cannabis subject to tax under the
Compassionate Use of Medical Cannabis Program Act.
(Source: P.A. 100-22, eff. 7-6-17; 101-363, eff. 8-9-19.)
Section 10. The Tobacco Products Tax Act of 1995 is amended
by changing Section 10-5 as follows:
(35 ILCS 143/10-5)
Sec. 10-5. Definitions. For purposes of this Act:
"Business" means any trade, occupation, activity, or
enterprise engaged in, at any location whatsoever, for the
purpose of selling tobacco products.
"Cigarette" has the meaning ascribed to the term in Section
1 of the Cigarette Tax Act.
"Contraband little cigar" means:
(1) packages of little cigars containing 20 or 25
little cigars that do not bear a required tax stamp under
this Act;
(2) packages of little cigars containing 20 or 25
little cigars that bear a fraudulent, imitation, or
counterfeit tax stamp;
(3) packages of little cigars containing 20 or 25
little cigars that are improperly tax stamped, including
packages of little cigars that bear only a tax stamp of
another state or taxing jurisdiction; or
(4) packages of little cigars containing other than 20
or 25 little cigars in the possession of a distributor,
retailer or wholesaler, unless the distributor, retailer,
or wholesaler possesses, or produces within the time frame
provided in Section 10-27 or 10-28 of this Act, an invoice
from a stamping distributor, distributor, or wholesaler
showing that the tax on the packages has been or will be
paid.
"Correctional Industries program" means a program run by a
State penal institution in which residents of the penal
institution produce tobacco products for sale to persons
incarcerated in penal institutions or resident patients of a
State operated mental health facility.
"Department" means the Illinois Department of Revenue.
"Distributor" means any of the following:
(1) Any manufacturer or wholesaler in this State
engaged in the business of selling tobacco products who
sells, exchanges, or distributes tobacco products to
retailers or consumers in this State.
(2) Any manufacturer or wholesaler engaged in the
business of selling tobacco products from without this
State who sells, exchanges, distributes, ships, or
transports tobacco products to retailers or consumers
located in this State, so long as that manufacturer or
wholesaler has or maintains within this State, directly or
by subsidiary, an office, sales house, or other place of
business, or any agent or other representative operating
within this State under the authority of the person or
subsidiary, irrespective of whether the place of business
or agent or other representative is located here
permanently or temporarily.
(3) Any retailer who receives tobacco products on which
the tax has not been or will not be paid by another
distributor.
"Distributor" does not include any person, wherever
resident or located, who makes, manufactures, or fabricates
tobacco products as part of a Correctional Industries program
for sale to residents incarcerated in penal institutions or
resident patients of a State operated mental health facility.
"Electronic cigarette" means:
(1) any device that employs a battery or other
mechanism to heat a solution or substance to produce a
vapor or aerosol intended for inhalation;
(2) any cartridge or container of a solution or
substance intended to be used with or in the device or to
refill the device; or
(3) any solution or substance, whether or not it
contains nicotine, intended for use in the device.
"Electronic cigarette" includes, but is not limited to, any
electronic nicotine delivery system, electronic cigar,
electronic cigarillo, electronic pipe, electronic hookah, vape
pen, or similar product or device, and any component or part
that can be used to build the product or device. "Electronic
cigarette" does not include: cigarettes, as defined in Section
1 of the Cigarette Tax Act; any product approved by the United
States Food and Drug Administration for sale as a tobacco
cessation product, a tobacco dependence product, or for other
medical purposes that is marketed and sold solely for that
approved purpose; any asthma inhaler prescribed by a physician
for that condition that is marketed and sold solely for that
approved purpose; or any therapeutic product approved for use
under the Compassionate Use of Medical Cannabis Pilot Program
Act.
"Little cigar" means and includes any roll, made wholly or
in part of tobacco, where such roll has an integrated cellulose
acetate filter and weighs less than 4 pounds per thousand and
the wrapper or cover of which is made in whole or in part of
tobacco.
"Manufacturer" means any person, wherever resident or
located, who manufactures and sells tobacco products, except a
person who makes, manufactures, or fabricates tobacco products
as a part of a Correctional Industries program for sale to
persons incarcerated in penal institutions or resident
patients of a State operated mental health facility.
Beginning on January 1, 2013, "moist snuff" means any
finely cut, ground, or powdered tobacco that is not intended to
be smoked, but shall not include any finely cut, ground, or
powdered tobacco that is intended to be placed in the nasal
cavity.
"Person" means any natural individual, firm, partnership,
association, joint stock company, joint venture, limited
liability company, or public or private corporation, however
formed, or a receiver, executor, administrator, trustee,
conservator, or other representative appointed by order of any
court.
"Place of business" means and includes any place where
tobacco products are sold or where tobacco products are
manufactured, stored, or kept for the purpose of sale or
consumption, including any vessel, vehicle, airplane, train,
or vending machine.
"Retailer" means any person in this State engaged in the
business of selling tobacco products to consumers in this
State, regardless of quantity or number of sales.
"Sale" means any transfer, exchange, or barter in any
manner or by any means whatsoever for a consideration and
includes all sales made by persons.
"Stamp" or "stamps" mean the indicia required to be affixed
on a package of little cigars that evidence payment of the tax
on packages of little cigars containing 20 or 25 little cigars
under Section 10-10 of this Act. These stamps shall be the same
stamps used for cigarettes under the Cigarette Tax Act.
"Stamping distributor" means a distributor licensed under
this Act and also licensed as a distributor under the Cigarette
Tax Act or Cigarette Use Tax Act.
"Tobacco products" means any cigars, including little
cigars; cheroots; stogies; periques; granulated, plug cut,
crimp cut, ready rubbed, and other smoking tobacco; snuff
(including moist snuff) or snuff flour; cavendish; plug and
twist tobacco; fine-cut and other chewing tobaccos; shorts;
refuse scraps, clippings, cuttings, and sweeping of tobacco;
and other kinds and forms of tobacco, prepared in such manner
as to be suitable for chewing or smoking in a pipe or
otherwise, or both for chewing and smoking; but does not
include cigarettes as defined in Section 1 of the Cigarette Tax
Act or tobacco purchased for the manufacture of cigarettes by
cigarette distributors and manufacturers defined in the
Cigarette Tax Act and persons who make, manufacture, or
fabricate cigarettes as a part of a Correctional Industries
program for sale to residents incarcerated in penal
institutions or resident patients of a State operated mental
health facility.
Beginning on July 1, 2019, "tobacco products" also includes
electronic cigarettes.
"Wholesale price" means the established list price for
which a manufacturer sells tobacco products to a distributor,
before the allowance of any discount, trade allowance, rebate,
or other reduction. In the absence of such an established list
price, the manufacturer's invoice price at which the
manufacturer sells the tobacco product to unaffiliated
distributors, before any discounts, trade allowances, rebates,
or other reductions, shall be presumed to be the wholesale
price.
"Wholesaler" means any person, wherever resident or
located, engaged in the business of selling tobacco products to
others for the purpose of resale. "Wholesaler", when used in
this Act, does not include a person licensed as a distributor
under Section 10-20 of this Act unless expressly stated in this
Act.
(Source: P.A. 101-31, eff. 6-28-19.)
Section 15. The Counties Code is amended by changing
Section 5-1006.8 as follows:
(55 ILCS 5/5-1006.8)
Sec. 5-1006.8. County Cannabis Retailers' Occupation Tax
Law.
(a) This Section may be referred to as the County Cannabis
Retailers' Occupation Tax Law. The On and after January 1,
2020, the corporate authorities of any county may, by
ordinance, impose a tax upon all persons engaged in the
business of selling cannabis, other than cannabis purchased
under the Compassionate Use of Medical Cannabis Pilot Program
Act, at retail in the county on the gross receipts from these
sales made in the course of that business. If imposed, the tax
shall be imposed only in 0.25% increments. The tax rate may not
exceed: (i) 3.75% of the gross receipts of sales made in
unincorporated areas of the county; and (ii) 3% of the gross
receipts of sales made in a municipality located in the county.
The tax imposed under this Section and all civil penalties that
may be assessed as an incident of the tax shall be collected
and enforced by the Department of Revenue. The Department of
Revenue shall have full power to administer and enforce this
Section; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty under this Section. In the administration of and
compliance with this Section, the Department of Revenue and
persons who are subject to this Section shall have the same
rights, remedies, privileges, immunities, powers and duties,
and be subject to the same conditions, restrictions,
limitations, penalties, and definitions of terms, and employ
the same modes of procedure, as are described in Sections 1,
1a, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in respect
to all provisions therein other than the State rate of tax),
2a, 2b, 2c, 2i, 3 (except as to the disposition of taxes and
penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i,
5j, 5k, 5l, 6, 6a, 6bb, 6c, 6d, 7 8, 8, 9, 10, 11, 11a, 12, and
13 of the Retailers' Occupation Tax Act and Section 3-7 of the
Uniform Penalty and Interest Act as fully as if those
provisions were set forth in this Section.
(b) Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
seller's tax liability hereunder by separately stating that tax
as an additional charge, which charge may be stated in
combination, in a single amount, with any State tax that
sellers are required to collect.
(c) Whenever the Department of Revenue determines that a
refund should be made under this Section to a claimant instead
of issuing a credit memorandum, the Department of Revenue shall
notify the State Comptroller, who shall cause the order to be
drawn for the amount specified and to the person named in the
notification from the Department of Revenue.
(d) The Department of Revenue shall immediately pay over to
the State Treasurer, ex officio, as trustee, all taxes and
penalties collected hereunder for deposit into the Local
Cannabis Retailers' Occupation Consumer Excise Tax Trust Fund.
(e) On or before the 25th day of each calendar month, the
Department of Revenue shall prepare and certify to the
Comptroller the amount of money to be disbursed from the Local
Cannabis Retailers' Occupation Consumer Excise Tax Trust Fund
to counties from which retailers have paid taxes or penalties
under this Section during the second preceding calendar month.
The amount to be paid to each county shall be the amount (not
including credit memoranda) collected under this Section from
sales made in the county during the second preceding calendar
month, plus an amount the Department of Revenue determines is
necessary to offset any amounts that were erroneously paid to a
different taxing body, and not including an amount equal to the
amount of refunds made during the second preceding calendar
month by the Department on behalf of such county, and not
including any amount that the Department determines is
necessary to offset any amounts that were payable to a
different taxing body but were erroneously paid to the county,
less 1.5% of the remainder, which the Department shall transfer
into the Tax Compliance and Administration Fund. The
Department, at the time of each monthly disbursement to the
counties, shall prepare and certify the State Comptroller the
amount to be transferred into the Tax Compliance and
Administration Fund under this Section. Within 10 days after
receipt by the Comptroller of the disbursement certification to
the counties and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in the certification.
(f) An ordinance or resolution imposing or discontinuing a
tax under this Section or effecting a change in the rate
thereof that is shall be adopted on or after June 25, 2019 (the
effective date of Public Act 101-27) and for which a certified
copy is thereof filed with the Department on or before April 1,
2020 shall be administered and enforced by the Department
beginning on July 1, 2020. For ordinances filed with the
Department after April 1, 2020, an ordinance or resolution
imposing or discontinuing a tax under this Section or effecting
a change in the rate thereof shall either (i) be adopted and a
certified copy thereof filed with the Department on or before
the first day of April, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
July next following the adoption and filing; or (ii) be adopted
and a certified copy thereof filed with the Department on or
before the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January the first day of June, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of September next following the adoption and filing.
(Source: P.A. 101-27, eff. 6-25-19; 101-363, eff. 8-9-19.)
Section 20. The Illinois Municipal Code is amended by
changing and renumbering Section 8-11-22, as added by Public
Act 101-27, and by changing Section 8-11-6a as follows:
(65 ILCS 5/8-11-6a) (from Ch. 24, par. 8-11-6a)
Sec. 8-11-6a. Home rule municipalities; preemption of
certain taxes. Except as provided in Sections 8-11-1, 8-11-5,
8-11-6, 8-11-6b, 8-11-6c, 8-11-23 8-11-22, and 11-74.3-6 on and
after September 1, 1990, no home rule municipality has the
authority to impose, pursuant to its home rule authority, a
retailer's occupation tax, service occupation tax, use tax,
sales tax or other tax on the use, sale or purchase of tangible
personal property based on the gross receipts from such sales
or the selling or purchase price of said tangible personal
property. Notwithstanding the foregoing, this Section does not
preempt any home rule imposed tax such as the following: (1) a
tax on alcoholic beverages, whether based on gross receipts,
volume sold or any other measurement; (2) a tax based on the
number of units of cigarettes or tobacco products (provided,
however, that a home rule municipality that has not imposed a
tax based on the number of units of cigarettes or tobacco
products before July 1, 1993, shall not impose such a tax after
that date); (3) a tax, however measured, based on the use of a
hotel or motel room or similar facility; (4) a tax, however
measured, on the sale or transfer of real property; (5) a tax,
however measured, on lease receipts; (6) a tax on food prepared
for immediate consumption and on alcoholic beverages sold by a
business which provides for on premise consumption of said food
or alcoholic beverages; or (7) other taxes not based on the
selling or purchase price or gross receipts from the use, sale
or purchase of tangible personal property. This Section does
not preempt a home rule municipality with a population of more
than 2,000,000 from imposing a tax, however measured, on the
use, for consideration, of a parking lot, garage, or other
parking facility. This Section is not intended to affect any
existing tax on food and beverages prepared for immediate
consumption on the premises where the sale occurs, or any
existing tax on alcoholic beverages, or any existing tax
imposed on the charge for renting a hotel or motel room, which
was in effect January 15, 1988, or any extension of the
effective date of such an existing tax by ordinance of the
municipality imposing the tax, which extension is hereby
authorized, in any non-home rule municipality in which the
imposition of such a tax has been upheld by judicial
determination, nor is this Section intended to preempt the
authority granted by Public Act 85-1006. On and after December
1, 2019, no home rule municipality has the authority to impose,
pursuant to its home rule authority, a tax, however measured,
on sales of aviation fuel, as defined in Section 3 of the
Retailers' Occupation Tax Act, unless the tax is not subject to
the revenue use requirements of 49 U.S.C. 47107(b) 47017(b) and
49 U.S.C. 47133, or unless the tax revenue is expended for
airport-related purposes. For purposes of this Section,
"airport-related purposes" has the meaning ascribed in Section
6z-20.2 of the State Finance Act. Aviation fuel shall be
excluded from tax only if, and for so long as, the revenue use
requirements of 49 U.S.C. 47107(b) 47017(b) and 49 U.S.C. 47133
are binding on the municipality. This Section is a limitation,
pursuant to subsection (g) of Section 6 of Article VII of the
Illinois Constitution, on the power of home rule units to tax.
The changes made to this Section by Public Act 101-10 this
amendatory Act of the 101st General Assembly are a denial and
limitation of home rule powers and functions under subsection
(g) of Section 6 of Article VII of the Illinois Constitution.
(Source: P.A. 101-10, eff. 6-5-19; 101-27, eff. 6-25-19;
revised 8-19-19.)
(65 ILCS 5/8-11-23)
Sec. 8-11-23 8-11-22. Municipal Cannabis Retailers'
Occupation Tax Law.
(a) This Section may be referred to as the Municipal
Cannabis Retailers' Occupation Tax Law. The On and after
January 1, 2020, the corporate authorities of any municipality
may, by ordinance, impose a tax upon all persons engaged in the
business of selling cannabis, other than cannabis purchased
under the Compassionate Use of Medical Cannabis Pilot Program
Act, at retail in the municipality on the gross receipts from
these sales made in the course of that business. If imposed,
the tax may not exceed 3% of the gross receipts from these
sales and shall only be imposed in 1/4% increments. The tax
imposed under this Section and all civil penalties that may be
assessed as an incident of the tax shall be collected and
enforced by the Department of Revenue. The Department of
Revenue shall have full power to administer and enforce this
Section; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty under this Section. In the administration of and
compliance with this Section, the Department and persons who
are subject to this Section shall have the same rights,
remedies, privileges, immunities, powers and duties, and be
subject to the same conditions, restrictions, limitations,
penalties and definitions of terms, and employ the same modes
of procedure, as are prescribed in Sections 1, 1a, 1d, 1e, 1f,
1i, 1j, 1k, 1m, 1n, 2 through 2-65 (in respect to all
provisions therein other than the State rate of tax), 2a, 2b,
2c, 2i, 3 (except as to the disposition of taxes and penalties
collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k,
5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13 of the
Retailers' Occupation Tax Act and Section 3-7 of the Uniform
Penalty and Interest Act, as fully as if those provisions were
set forth herein.
(b) Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
seller's tax liability hereunder by separately stating that tax
as an additional charge, which charge may be stated in
combination, in a single amount, with any State tax that
sellers are required to collect.
(c) Whenever the Department of Revenue determines that a
refund should be made under this Section to a claimant instead
of issuing a credit memorandum, the Department of Revenue shall
notify the State Comptroller, who shall cause the order to be
drawn for the amount specified and to the person named in the
notification from the Department of Revenue.
(d) The Department of Revenue shall immediately pay over to
the State Treasurer, ex officio, as trustee, all taxes and
penalties collected hereunder for deposit into the Local
Cannabis Retailers' Occupation Tax Trust Regulation Fund.
(e) On or before the 25th day of each calendar month, the
Department of Revenue shall prepare and certify to the
Comptroller the amount of money to be disbursed from the Local
Cannabis Retailers' Occupation Consumer Excise Tax Trust Fund
to municipalities from which retailers have paid taxes or
penalties under this Section during the second preceding
calendar month. The amount to be paid to each municipality
shall be the amount (not including credit memoranda) collected
under this Section from sales made in the municipality during
the second preceding calendar month, plus an amount the
Department of Revenue determines is necessary to offset any
amounts that were erroneously paid to a different taxing body,
and not including an amount equal to the amount of refunds made
during the second preceding calendar month by the Department on
behalf of such municipality, and not including any amount that
the Department determines is necessary to offset any amounts
that were payable to a different taxing body but were
erroneously paid to the municipality, less 1.5% of the
remainder, which the Department shall transfer into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the municipalities, shall
prepare and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this Section. Within 10 days after receipt by the
Comptroller of the disbursement certification to the
municipalities and the Tax Compliance and Administration Fund
provided for in this Section to be given to the Comptroller by
the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in the certification.
(f) An ordinance or resolution imposing or discontinuing a
tax under this Section or effecting a change in the rate
thereof that is shall be adopted on or after June 25, 2019 (the
effective date of Public Act 101-27) and for which a certified
copy is thereof filed with the Department on or before April 1,
2020 shall be administered and enforced by the Department
beginning on July 1, 2020. For ordinances filed with the
Department after April 1, 2020, an ordinance or resolution
imposing or discontinuing a tax under this Section or effecting
a change in the rate thereof shall either (i) be adopted and a
certified copy thereof filed with the Department on or before
the first day of April, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
July next following the adoption and filing; or (ii) be adopted
and a certified copy thereof filed with the Department on or
before the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January the first day of June, whereupon the Department
shall proceed to administer and enforce this Section as of the
first day of September next following the adoption and filing.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-17-19.)
Section 21. The Savings Bank Act is amended by changing
Section 9002 as follows:
(205 ILCS 205/9002) (from Ch. 17, par. 7309-2)
Sec. 9002. Powers of Secretary.
(a) The Secretary shall have the following powers and
duties:
(1) To exercise the rights, powers, and duties set
forth in this Act or in any related Act.
(2) To establish regulations as may be reasonable or
necessary to accomplish the purposes of this Act.
(3) To make an annual report regarding the work of his
or her office under this Act as he may consider desirable
to the Governor, or as the Governor may request.
(4) To cause a suit to be filed in his or her name to
enforce any law of this State that applies to savings
banks, their service corporations, subsidiaries,
affiliates, or holding companies operating under this Act,
including the enforcement of any obligation of the
officers, directors, agents, or employees of any savings
bank.
(5) To prescribe a uniform manner in which the books
and records of every savings bank are to be maintained.
(6) To establish a reasonable fee structure for savings
banks and holding companies operating under this Act and
for their service corporations and subsidiaries. The fees
shall include, but not be limited to, annual fees,
application fees, regular and special examination fees,
and other fees as the Secretary establishes and
demonstrates to be directly resultant from the Secretary's
responsibilities under this Act and as are directly
attributable to individual entities operating under this
Act. The aggregate of all moneys collected by the Secretary
on and after the effective date of this Act shall be paid
promptly after receipt of the same, accompanied by a
detailed statement thereof, into the Savings Bank
Regulatory Fund established under Section 9002.1 of this
Act. Nothing in this Act shall prevent continuing the
practice of paying expenses involving salaries,
retirement, social security, and State-paid insurance of
State officers by appropriation from the General Revenue
Fund. The Secretary may require payment of the fees under
this Act by an electronic transfer of funds or an automatic
debit of an account of each of the savings banks.
(b) Notwithstanding the provisions of subsection (a), the
Secretary shall not:
(1) issue an order against a savings bank or holding
company organized under this Act for unsafe or unsound
banking practices solely because the entity provides or has
provided financial services to a cannabis-related
legitimate business;
(2) prohibit, penalize, or otherwise discourage a
savings bank or holding company organized under this Act
from providing financial services to a cannabis-related
legitimate business solely because the entity provides or
has provided financial services to a cannabis-related
legitimate business;
(3) recommend, incentivize, or encourage a savings
bank or holding company organized under this Act not to
offer financial services to an account holder or to
downgrade or cancel the financial services offered to an
account holder solely because:
(A) the account holder is a manufacturer or
producer, or is the owner, operator, or employee of, a
cannabis-related legitimate business;
(B) the account holder later becomes an owner or
operator of a cannabis-related legitimate business; or
(C) the savings bank or holding company organized
under this Act was not aware that the account holder is
the owner or operator of a cannabis-related legitimate
business; or
(4) take any adverse or corrective supervisory action
on a loan made to an owner or operator of:
(A) a cannabis-related legitimate business solely
because the owner or operator owns or operates a
cannabis-related legitimate business; or
(B) real estate or equipment that is leased to a
cannabis-related legitimate business solely because
the owner or operator of the real estate or equipment
leased the equipment or real estate to a
cannabis-related legitimate business.
(Source: P.A. 97-492, eff. 1-1-12; 98-1081, eff. 1-1-15.)
Section 23. The Smoke Free Illinois Act is amended by
changing Section 35 as follows:
(410 ILCS 82/35)
Sec. 35. Exemptions. Notwithstanding any other provision
of this Act, smoking is allowed in the following areas:
(1) Private residences or dwelling places, except when
used as a child care, adult day care, or healthcare
facility or any other home-based business open to the
public.
(2) Retail tobacco stores as defined in Section 10 of
this Act in operation prior to the effective date of this
amendatory Act of the 95th General Assembly. The retail
tobacco store shall annually file with the Department by
January 31st an affidavit stating the percentage of its
gross income during the prior calendar year that was
derived from the sale of loose tobacco, plants, or herbs
and cigars, cigarettes, pipes, or other smoking devices for
smoking tobacco and related smoking accessories. Any
retail tobacco store that begins operation after the
effective date of this amendatory Act may only qualify for
an exemption if located in a freestanding structure
occupied solely by the business and smoke from the business
does not migrate into an enclosed area where smoking is
prohibited. A retail tobacco store may, with authorization
or permission from a unit of local government, including a
home rule unit, or any non-home rule county within the
unincorporated territory of the county, allow the
on-premises consumption of cannabis in a specially
designated areas.
(3) (Blank).
(4) Hotel and motel sleeping rooms that are rented to
guests and are designated as smoking rooms, provided that
all smoking rooms on the same floor must be contiguous and
smoke from these rooms must not infiltrate into nonsmoking
rooms or other areas where smoking is prohibited. Not more
than 25% of the rooms rented to guests in a hotel or motel
may be designated as rooms where smoking is allowed. The
status of rooms as smoking or nonsmoking may not be
changed, except to permanently add additional nonsmoking
rooms.
(5) Enclosed laboratories that are excluded from the
definition of "place of employment" in Section 10 of this
Act. Rulemaking authority to implement this amendatory Act
of the 95th General Assembly, if any, is conditioned on the
rules being adopted in accordance with all provisions of
the Illinois Administrative Procedure Act and all rules and
procedures of the Joint Committee on Administrative Rules;
any purported rule not so adopted, for whatever reason, is
unauthorized.
(6) Common smoking rooms in long-term care facilities
operated under the authority of the Illinois Department of
Veterans' Affairs or licensed under the Nursing Home Care
Act that are accessible only to residents who are smokers
and have requested in writing to have access to the common
smoking room where smoking is permitted and the smoke shall
not infiltrate other areas of the long-term care facility.
Rulemaking authority to implement this amendatory Act of
the 95th General Assembly, if any, is conditioned on the
rules being adopted in accordance with all provisions of
the Illinois Administrative Procedure Act and all rules and
procedures of the Joint Committee on Administrative Rules;
any purported rule not so adopted, for whatever reason, is
unauthorized.
(7) A convention hall of the Donald E. Stephens
Convention Center where a meeting or trade show for
manufacturers and suppliers of tobacco and tobacco
products and accessories is being held, during the time the
meeting or trade show is occurring, if the meeting or trade
show:
(i) is a trade-only event and not open to the
public;
(ii) is limited to attendees and exhibitors that
are 21 years of age or older;
(iii) is being produced or organized by a business
relating to tobacco or a professional association for
convenience stores; and
(iv) involves the display of tobacco products.
Smoking is not allowed in any public area outside of
the hall designated for the meeting or trade show.
This paragraph (7) is inoperative on and after October
1, 2015.
(8) A dispensing organization, as defined in the
Cannabis Regulation and Tax Act, authorized or permitted by
a unit local government to allow on-site consumption of
cannabis, if the establishment: (1) maintains a specially
designated area or areas for the purpose of heating,
burning, smoking, or lighting cannabis; (2) is limited to
individuals 21 or older; and (3) maintains a locked door or
barrier to any specially designated areas for the purpose
of heating, burning, smoking or lighting cannabis.
(Source: P.A. 98-1023, eff. 8-22-14.)
Section 24. The Compassionate Use of Medical Cannabis
Program Act is amended by changing Sections 60 and 210 as
follows:
(410 ILCS 130/60)
Sec. 60. Issuance of registry identification cards.
(a) Except as provided in subsection (b), the Department of
Public Health shall:
(1) verify the information contained in an application
or renewal for a registry identification card submitted
under this Act, and approve or deny an application or
renewal, within 90 days of receiving a completed
application or renewal application and all supporting
documentation specified in Section 55;
(2) issue registry identification cards to a
qualifying patient and his or her designated caregiver, if
any, within 15 business days of approving the application
or renewal;
(3) enter the registry identification number of the
registered dispensing organization the patient designates
into the verification system; and
(4) allow for an electronic application process, and
provide a confirmation by electronic or other methods that
an application has been submitted.
Notwithstanding any other provision of this Act, the
Department of Public Health shall adopt rules for qualifying
patients and applicants with life-long debilitating medical
conditions, who may be charged annual renewal fees. The
Department of Public Health shall not require patients and
applicants with life-long debilitating medical conditions to
apply to renew registry identification cards.
(b) The Department of Public Health may not issue a
registry identification card to a qualifying patient who is
under 18 years of age, unless that patient suffers from
seizures, including those characteristic of epilepsy, or as
provided by administrative rule. The Department of Public
Health shall adopt rules for the issuance of a registry
identification card for qualifying patients who are under 18
years of age and suffering from seizures, including those
characteristic of epilepsy. The Department of Public Health may
adopt rules to allow other individuals under 18 years of age to
become registered qualifying patients under this Act with the
consent of a parent or legal guardian. Registered qualifying
patients under 18 21 years of age shall be prohibited from
consuming forms of cannabis other than medical cannabis infused
products and purchasing any usable cannabis or paraphernalia
used for smoking or vaping medical cannabis.
(c) A veteran who has received treatment at a VA hospital
is deemed to have a bona fide health care professional-patient
relationship with a VA certifying health care professional if
the patient has been seen for his or her debilitating medical
condition at the VA hospital in accordance with VA hospital
protocols. All reasonable inferences regarding the existence
of a bona fide health care professional-patient relationship
shall be drawn in favor of an applicant who is a veteran and
has undergone treatment at a VA hospital.
(c-10) An individual who submits an application as someone
who is terminally ill shall have all fees waived. The
Department of Public Health shall within 30 days after this
amendatory Act of the 99th General Assembly adopt emergency
rules to expedite approval for terminally ill individuals.
These rules shall include, but not be limited to, rules that
provide that applications by individuals with terminal
illnesses shall be approved or denied within 14 days of their
submission.
(d) No later than 6 months after the effective date of this
amendatory Act of the 101st General Assembly, the Secretary of
State shall remove all existing notations on driving records
that the person is a registered qualifying patient or his or
her caregiver under this Act. Upon the approval of the
registration and issuance of a registry card under this
Section, the Department of Public Health shall forward the
designated caregiver or registered qualified patient's
driver's registration number to the Secretary of State and
certify that the individual is permitted to engage in the
medical use of cannabis. For the purposes of law enforcement,
the Secretary of State shall make a notation on the person's
driving record stating the person is a registered qualifying
patient who is entitled to the lawful medical use of cannabis.
If the person no longer holds a valid registry card, the
Department shall notify the Secretary of State and the
Secretary of State shall remove the notation from the person's
driving record. The Department and the Secretary of State may
establish a system by which the information may be shared
electronically.
(e) Upon the approval of the registration and issuance of a
registry card under this Section, the Department of Public
Health shall electronically forward the registered qualifying
patient's identification card information to the Prescription
Monitoring Program established under the Illinois Controlled
Substances Act and certify that the individual is permitted to
engage in the medical use of cannabis. For the purposes of
patient care, the Prescription Monitoring Program shall make a
notation on the person's prescription record stating that the
person is a registered qualifying patient who is entitled to
the lawful medical use of cannabis. If the person no longer
holds a valid registry card, the Department of Public Health
shall notify the Prescription Monitoring Program and
Department of Human Services to remove the notation from the
person's record. The Department of Human Services and the
Prescription Monitoring Program shall establish a system by
which the information may be shared electronically. This
confidential list may not be combined or linked in any manner
with any other list or database except as provided in this
Section.
(f) (Blank).
(Source: P.A. 100-1114, eff. 8-28-18; 101-363, eff. 8-9-19.)
(410 ILCS 130/210)
Sec. 210. Returns.
(a) This subsection (a) applies to returns due on or before
the effective date of this amendatory Act of the 101st General
Assembly. On or before the twentieth day of each calendar
month, every person subject to the tax imposed under this Law
during the preceding calendar month shall file a return with
the Department, stating:
(1) The name of the taxpayer;
(2) The number of ounces of medical cannabis sold to a
dispensing dispensary organization or a registered
qualifying patient during the preceding calendar month;
(3) The amount of tax due;
(4) The signature of the taxpayer; and
(5) Such other reasonable information as the
Department may require.
If a taxpayer fails to sign a return within 30 days after
the proper notice and demand for signature by the Department,
the return shall be considered valid and any amount shown to be
due on the return shall be deemed assessed.
The taxpayer shall remit the amount of the tax due to the
Department at the time the taxpayer files his or her return.
(b) Beginning on the effective date of this amendatory Act
of the 101st General Assembly, Section 65-20 of the Cannabis
Regulation and Tax Act shall apply to returns filed and taxes
paid under this Act to the same extent as if those provisions
were set forth in full in this Section.
(Source: P.A. 101-27, eff. 6-25-19.)
Section 25. The Cannabis Regulation and Tax Act is amended
by changing Sections 1-5, 1-10, 5-5, 5-15, 5-20, 5-25, 7-1,
7-10, 7-15, 7-25, 10-5, 10-10, 10-15, 10-25, 10-30, 10-35,
10-40, 10-50, 15-15, 15-20, 15-25, 15-30, 15-35, 15-36, 15-40,
15-55, 15-65, 15-70, 15-75, 15-85, 15-95, 15-100, 15-145,
15-155, 20-10, 20-15, 20-20, 20-30, 25-1, 25-10, 30-5, 30-10,
30-15, 30-30, 35-5, 35-15, 35-25, 35-31, 40-5, 40-10, 40-15,
40-20, 40-25, 40-30, 40-35, 40-40, 45-5, 50-5, 55-10, 55-20,
55-21, 55-25, 55-28, 55-30, 55-35, 55-65, 55-80, 55-85, 55-95,
60-5, 60-20, 65-5, 65-10, and 65-15 and by adding Section 1-7
as follows:
(410 ILCS 705/1-5)
Sec. 1-5. Findings.
(a) In the interest of allowing law enforcement to focus on
violent and property crimes, generating revenue for education,
substance abuse prevention and treatment, freeing public
resources to invest in communities and other public purposes,
and individual freedom, the General Assembly finds and declares
that the use of cannabis should be legal for persons 21 years
of age or older and should be taxed in a manner similar to
alcohol.
(b) In the interest of the health and public safety of the
residents of Illinois, the General Assembly further finds and
declares that cannabis should be regulated in a manner similar
to alcohol so that:
(1) persons will have to show proof of age before
purchasing cannabis;
(2) selling, distributing, or transferring cannabis to
minors and other persons under 21 years of age shall remain
illegal;
(3) driving under the influence of cannabis, operating
a watercraft under the influence of cannabis, and operating
a snowmobile under the influence of cannabis shall remain
illegal;
(4) legitimate, taxpaying business people, and not
criminal actors, will conduct sales of cannabis;
(5) cannabis sold in this State will be tested,
labeled, and subject to additional regulation to ensure
that purchasers are informed and protected; and
(6) purchasers will be informed of any known health
risks associated with the use of cannabis, as concluded by
evidence-based, peer reviewed research.
(c) The General Assembly further finds and declares that it
is necessary to ensure consistency and fairness in the
application of this Act throughout the State and that,
therefore, the matters addressed by this Act are, except as
specified in this Act, matters of statewide concern.
(d) The General Assembly further finds and declares that
this Act shall not diminish the State's duties and commitment
to seriously ill patients registered under the Compassionate
Use of Medical Cannabis Pilot Program Act, nor alter the
protections granted to them.
(e) The General Assembly supports and encourages labor
neutrality in the cannabis industry and further finds and
declares that employee workplace safety shall not be diminished
and employer workplace policies shall be interpreted broadly to
protect employee safety.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/1-7 new)
Sec. 1-7. Lawful user and lawful products. For the purposes
of this Act and to clarify the legislative findings on the
lawful use of cannabis, a person shall not be considered an
unlawful user or addicted to narcotics solely as a result of
his or her possession or use of cannabis or cannabis
paraphernalia in accordance with this Act.
(410 ILCS 705/1-10)
Sec. 1-10. Definitions. In this Act:
"Adult Use Cultivation Center License" means a license
issued by the Department of Agriculture that permits a person
to act as a cultivation center under this Act and any
administrative rule made in furtherance of this Act.
"Adult Use Dispensing Organization License" means a
license issued by the Department of Financial and Professional
Regulation that permits a person to act as a dispensing
organization under this Act and any administrative rule made in
furtherance of this Act.
"Advertise" means to engage in promotional activities
including, but not limited to: newspaper, radio, Internet and
electronic media, and television advertising; the distribution
of fliers and circulars; billboard advertising; and the display
of window and interior signs. "Advertise" does not mean
exterior signage displaying only the name of the licensed
cannabis business establishment.
"BLS Region" means a region in Illinois used by the United
States Bureau of Labor Statistics to gather and categorize
certain employment and wage data. The 17 such regions in
Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion,
Champaign-Urbana, Chicago-Naperville-Elgin, Danville,
Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria,
Rockford, St. Louis, Springfield, Northwest Illinois
nonmetropolitan area, West Central Illinois nonmetropolitan
area, East Central Illinois nonmetropolitan area, and South
Illinois nonmetropolitan area.
"Cannabis" means marijuana, hashish, and other substances
that are identified as including any parts of the plant
Cannabis sativa and including derivatives or subspecies, such
as indica, of all strains of cannabis, whether growing or not;
the seeds thereof, the resin extracted from any part of the
plant; and any compound, manufacture, salt, derivative,
mixture, or preparation of the plant, its seeds, or resin,
including tetrahydrocannabinol (THC) and all other naturally
produced cannabinol derivatives, whether produced directly or
indirectly by extraction; however, "cannabis" does not include
the mature stalks of the plant, fiber produced from the stalks,
oil or cake made from the seeds of the plant, any other
compound, manufacture, salt, derivative, mixture, or
preparation of the mature stalks (except the resin extracted
from it), fiber, oil or cake, or the sterilized seed of the
plant that is incapable of germination. "Cannabis" does not
include industrial hemp as defined and authorized under the
Industrial Hemp Act. "Cannabis" also means cannabis flower,
concentrate, and cannabis-infused products.
"Cannabis business establishment" means a cultivation
center, craft grower, processing organization, infuser
organization, dispensing organization, or transporting
organization.
"Cannabis concentrate" means a product derived from
cannabis that is produced by extracting cannabinoids,
including tetrahydrocannabinol (THC), from the plant through
the use of propylene glycol, glycerin, butter, olive oil or
other typical cooking fats; water, ice, or dry ice; or butane,
propane, CO2, ethanol, or isopropanol and with the intended use
of smoking or making a cannabis-infused product. The use of any
other solvent is expressly prohibited unless and until it is
approved by the Department of Agriculture.
"Cannabis container" means a sealed, traceable, container,
or package used for the purpose of containment of cannabis or
cannabis-infused product during transportation.
"Cannabis flower" means marijuana, hashish, and other
substances that are identified as including any parts of the
plant Cannabis sativa and including derivatives or subspecies,
such as indica, of all strains of cannabis; including raw kief,
leaves, and buds, but not resin that has been extracted from
any part of such plant; nor any compound, manufacture, salt,
derivative, mixture, or preparation of such plant, its seeds,
or resin.
"Cannabis-infused product" means a beverage, food, oil,
ointment, tincture, topical formulation, or another product
containing cannabis or cannabis concentrate that is not
intended to be smoked.
"Cannabis paraphernalia" means equipment, products, or
materials intended to be used for planting, propagating,
cultivating, growing, harvesting, manufacturing, producing,
processing, preparing, testing, analyzing, packaging,
repackaging, storing, containing, concealing, ingesting, or
otherwise introducing cannabis into the human body.
"Cannabis plant monitoring system" or "plant monitoring
system" means a system that includes, but is not limited to,
testing and data collection established and maintained by the
cultivation center, craft grower, or processing organization
and that is available to the Department of Revenue, the
Department of Agriculture, the Department of Financial and
Professional Regulation, and the Department of State Police for
the purposes of documenting each cannabis plant and monitoring
plant development throughout the life cycle of a cannabis plant
cultivated for the intended use by a customer from seed
planting to final packaging.
"Cannabis testing facility" means an entity registered by
the Department of Agriculture to test cannabis for potency and
contaminants.
"Clone" means a plant section from a female cannabis plant
not yet rootbound, growing in a water solution or other
propagation matrix, that is capable of developing into a new
plant.
"Community College Cannabis Vocational Training Pilot
Program faculty participant" means a person who is 21 years of
age or older, licensed by the Department of Agriculture, and is
employed or contracted by an Illinois community college to
provide student instruction using cannabis plants at an
Illinois Community College.
"Community College Cannabis Vocational Training Pilot
Program faculty participant Agent Identification Card" means a
document issued by the Department of Agriculture that
identifies a person as Community College Cannabis Vocational
Training Pilot Program faculty participant.
"Conditional Adult Use Dispensing Organization License"
means a license awarded to top-scoring applicants for an Adult
Use Dispensing Organization License that reserves the right to
an Adult Use Dispensing Organization License adult use
dispensing organization license if the applicant meets certain
conditions described in this Act, but does not entitle the
recipient to begin purchasing or selling cannabis or
cannabis-infused products.
"Conditional Adult Use Cultivation Center License" means a
license awarded to top-scoring applicants for an Adult Use
Cultivation Center License that reserves the right to an Adult
Use Cultivation Center License if the applicant meets certain
conditions as determined by the Department of Agriculture by
rule, but does not entitle the recipient to begin growing,
processing, or selling cannabis or cannabis-infused products.
"Craft grower" means a facility operated by an organization
or business that is licensed by the Department of Agriculture
to cultivate, dry, cure, and package cannabis and perform other
necessary activities to make cannabis available for sale at a
dispensing organization or use at a processing organization. A
craft grower may contain up to 5,000 square feet of canopy
space on its premises for plants in the flowering state. The
Department of Agriculture may authorize an increase or decrease
of flowering stage cultivation space in increments of 3,000
square feet by rule based on market need, craft grower
capacity, and the licensee's history of compliance or
noncompliance, with a maximum space of 14,000 square feet for
cultivating plants in the flowering stage, which must be
cultivated in all stages of growth in an enclosed and secure
area. A craft grower may share premises with a processing
organization or a dispensing organization, or both, provided
each licensee stores currency and cannabis or cannabis-infused
products in a separate secured vault to which the other
licensee does not have access or all licensees sharing a vault
share more than 50% of the same ownership.
"Craft grower agent" means a principal officer, board
member, employee, or other agent of a craft grower who is 21
years of age or older.
"Craft Grower Agent Identification Card" means a document
issued by the Department of Agriculture that identifies a
person as a craft grower agent.
"Cultivation center" means a facility operated by an
organization or business that is licensed by the Department of
Agriculture to cultivate, process, transport (unless otherwise
limited by this Act), and perform other necessary activities to
provide cannabis and cannabis-infused products to cannabis
business establishments.
"Cultivation center agent" means a principal officer,
board member, employee, or other agent of a cultivation center
who is 21 years of age or older.
"Cultivation Center Agent Identification Card" means a
document issued by the Department of Agriculture that
identifies a person as a cultivation center agent.
"Currency" means currency and coin of the United States.
"Dispensary" means a facility operated by a dispensing
organization at which activities licensed by this Act may
occur.
"Dispensing organization" means a facility operated by an
organization or business that is licensed by the Department of
Financial and Professional Regulation to acquire cannabis from
a cultivation center, craft grower, processing organization,
or another dispensary for the purpose of selling or dispensing
cannabis, cannabis-infused products, cannabis seeds,
paraphernalia, or related supplies under this Act to purchasers
or to qualified registered medical cannabis patients and
caregivers. As used in this Act, "dispensing dispensary
organization" includes shall include a registered medical
cannabis organization as defined in the Compassionate Use of
Medical Cannabis Pilot Program Act or its successor Act that
has obtained an Early Approval Adult Use Dispensing
Organization License.
"Dispensing organization agent" means a principal officer,
employee, or agent of a dispensing organization who is 21 years
of age or older.
"Dispensing organization agent identification card" means
a document issued by the Department of Financial and
Professional Regulation that identifies a person as a
dispensing organization agent.
"Disproportionately Impacted Area" means a census tract or
comparable geographic area that satisfies the following
criteria as determined by the Department of Commerce and
Economic Opportunity, that:
(1) meets at least one of the following criteria:
(A) the area has a poverty rate of at least 20%
according to the latest federal decennial census; or
(B) 75% or more of the children in the area
participate in the federal free lunch program
according to reported statistics from the State Board
of Education; or
(C) at least 20% of the households in the area
receive assistance under the Supplemental Nutrition
Assistance Program; or
(D) the area has an average unemployment rate, as
determined by the Illinois Department of Employment
Security, that is more than 120% of the national
unemployment average, as determined by the United
States Department of Labor, for a period of at least 2
consecutive calendar years preceding the date of the
application; and
(2) has high rates of arrest, conviction, and
incarceration related to the sale, possession, use,
cultivation, manufacture, or transport of cannabis.
"Early Approval Adult Use Cultivation Center License"
means a license that permits a medical cannabis cultivation
center licensed under the Compassionate Use of Medical Cannabis
Pilot Program Act as of the effective date of this Act to begin
cultivating, infusing, packaging, transporting (unless
otherwise provided in this Act), processing and selling
cannabis or cannabis-infused product to cannabis business
establishments for resale to purchasers as permitted by this
Act as of January 1, 2020.
"Early Approval Adult Use Dispensing Organization License"
means a license that permits a medical cannabis dispensing
organization licensed under the Compassionate Use of Medical
Cannabis Pilot Program Act as of the effective date of this Act
to begin selling cannabis or cannabis-infused product to
purchasers as permitted by this Act as of January 1, 2020.
"Early Approval Adult Use Dispensing Organization at a
secondary site" means a license that permits a medical cannabis
dispensing organization licensed under the Compassionate Use
of Medical Cannabis Pilot Program Act as of the effective date
of this Act to begin selling cannabis or cannabis-infused
product to purchasers as permitted by this Act on January 1,
2020 at a different dispensary location from its existing
registered medical dispensary location.
"Enclosed, locked facility" means a room, greenhouse,
building, or other enclosed area equipped with locks or other
security devices that permit access only by cannabis business
establishment agents working for the licensed cannabis
business establishment or acting pursuant to this Act to
cultivate, process, store, or distribute cannabis.
"Enclosed, locked space" means a closet, room, greenhouse,
building or other enclosed area equipped with locks or other
security devices that permit access only by authorized
individuals under this Act. "Enclosed, locked space" may
include:
(1) a space within a residential building that (i) is
the primary residence of the individual cultivating 5 or
fewer cannabis plants that are more than 5 inches tall and
(ii) includes sleeping quarters and indoor plumbing. The
space must only be accessible by a key or code that is
different from any key or code that can be used to access
the residential building from the exterior; or
(2) a structure, such as a shed or greenhouse, that
lies on the same plot of land as a residential building
that (i) includes sleeping quarters and indoor plumbing and
(ii) is used as a primary residence by the person
cultivating 5 or fewer cannabis plants that are more than 5
inches tall, such as a shed or greenhouse. The structure
must remain locked when it is unoccupied by people.
"Financial institution" has the same meaning as "financial
organization" as defined in Section 1501 of the Illinois Income
Tax Act, and also includes the holding companies, subsidiaries,
and affiliates of such financial organizations.
"Flowering stage" means the stage of cultivation where and
when a cannabis plant is cultivated to produce plant material
for cannabis products. This includes mature plants as follows:
(1) if greater than 2 stigmas are visible at each
internode of the plant; or
(2) if the cannabis plant is in an area that has been
intentionally deprived of light for a period of time
intended to produce flower buds and induce maturation, from
the moment the light deprivation began through the
remainder of the marijuana plant growth cycle.
"Individual" means a natural person.
"Infuser organization" or "infuser" means a facility
operated by an organization or business that is licensed by the
Department of Agriculture to directly incorporate cannabis or
cannabis concentrate into a product formulation to produce a
cannabis-infused product.
"Kief" means the resinous crystal-like trichomes that are
found on cannabis and that are accumulated, resulting in a
higher concentration of cannabinoids, untreated by heat or
pressure, or extracted using a solvent.
"Labor peace agreement" means an agreement between a
cannabis business establishment and any labor organization
recognized under the National Labor Relations Act, referred to
in this Act as a bona fide labor organization, that prohibits
labor organizations and members from engaging in picketing,
work stoppages, boycotts, and any other economic interference
with the cannabis business establishment. This agreement means
that the cannabis business establishment has agreed not to
disrupt efforts by the bona fide labor organization to
communicate with, and attempt to organize and represent, the
cannabis business establishment's employees. The agreement
shall provide a bona fide labor organization access at
reasonable times to areas in which the cannabis business
establishment's employees work, for the purpose of meeting with
employees to discuss their right to representation, employment
rights under State law, and terms and conditions of employment.
This type of agreement shall not mandate a particular method of
election or certification of the bona fide labor organization.
"Limited access area" means a building, room, or other area
under the control of a cannabis dispensing organization
licensed under this Act and upon the licensed premises where
cannabis sales occur with access limited to purchasers,
dispensing organization owners and other dispensing
organization agents, or service professionals conducting
business with the dispensing organization, or, if sales to
registered qualifying patients, caregivers, provisional
patients, and Opioid Alternative Pilot Program participants
licensed pursuant to the Compassionate Use of Medical Cannabis
Program Act are also permitted at the dispensary, registered
qualifying patients, caregivers, provisional patients, and
Opioid Alternative Pilot Program participants.
"Member of an impacted family" means an individual who has
a parent, legal guardian, child, spouse, or dependent, or was a
dependent of an individual who, prior to the effective date of
this Act, was arrested for, convicted of, or adjudicated
delinquent for any offense that is eligible for expungement
under this Act.
"Mother plant" means a cannabis plant that is cultivated or
maintained for the purpose of generating clones, and that will
not be used to produce plant material for sale to an infuser or
dispensing organization.
"Ordinary public view" means within the sight line with
normal visual range of a person, unassisted by visual aids,
from a public street or sidewalk adjacent to real property, or
from within an adjacent property.
"Ownership and control" means ownership of at least 51% of
the business, including corporate stock if a corporation, and
control over the management and day-to-day operations of the
business and an interest in the capital, assets, and profits
and losses of the business proportionate to percentage of
ownership.
"Person" means a natural individual, firm, partnership,
association, joint stock company, joint venture, public or
private corporation, limited liability company, or a receiver,
executor, trustee, guardian, or other representative appointed
by order of any court.
"Possession limit" means the amount of cannabis under
Section 10-10 that may be possessed at any one time by a person
21 years of age or older or who is a registered qualifying
medical cannabis patient or caregiver under the Compassionate
Use of Medical Cannabis Pilot Program Act.
"Principal officer" includes a cannabis business
establishment applicant or licensed cannabis business
establishment's board member, owner with more than 1% interest
of the total cannabis business establishment or more than 5%
interest of the total cannabis business establishment of a
publicly traded company, president, vice president, secretary,
treasurer, partner, officer, member, manager member, or person
with a profit sharing, financial interest, or revenue sharing
arrangement. The definition includes a person with authority to
control the cannabis business establishment, a person who
assumes responsibility for the debts of the cannabis business
establishment and who is further defined in this Act.
"Primary residence" means a dwelling where a person usually
stays or stays more often than other locations. It may be
determined by, without limitation, presence, tax filings;
address on an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a Disability
Identification Card; or voter registration. No person may have
more than one primary residence.
"Processing organization" or "processor" means a facility
operated by an organization or business that is licensed by the
Department of Agriculture to either extract constituent
chemicals or compounds to produce cannabis concentrate or
incorporate cannabis or cannabis concentrate into a product
formulation to produce a cannabis product.
"Processing organization agent" means a principal officer,
board member, employee, or agent of a processing organization.
"Processing organization agent identification card" means
a document issued by the Department of Agriculture that
identifies a person as a processing organization agent.
"Purchaser" means a person 21 years of age or older who
acquires cannabis for a valuable consideration. "Purchaser"
does not include a cardholder under the Compassionate Use of
Medical Cannabis Pilot Program Act.
"Qualified Social Equity Applicant" means a Social Equity
Applicant who has been awarded a conditional license under this
Act to operate a cannabis business establishment.
"Resided" means an individual's primary residence was
located within the relevant geographic area as established by 2
of the following:
(1) a signed lease agreement that includes the
applicant's name;
(2) a property deed that includes the applicant's name;
(3) school records;
(4) a voter registration card;
(5) an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a
Disability Identification Card;
(6) a paycheck stub;
(7) a utility bill;
(8) tax records; or
(9) (8) any other proof of residency or other
information necessary to establish residence as provided
by rule.
"Smoking" means the inhalation of smoke caused by the
combustion of cannabis.
"Social Equity Applicant" means an applicant that is an
Illinois resident that meets one of the following criteria:
(1) an applicant with at least 51% ownership and
control by one or more individuals who have resided for at
least 5 of the preceding 10 years in a Disproportionately
Impacted Area;
(2) an applicant with at least 51% ownership and
control by one or more individuals who:
(i) have been arrested for, convicted of, or
adjudicated delinquent for any offense that is
eligible for expungement under this Act; or
(ii) is a member of an impacted family;
(3) for applicants with a minimum of 10 full-time
employees, an applicant with at least 51% of current
employees who:
(i) currently reside in a Disproportionately
Impacted Area; or
(ii) have been arrested for, convicted of, or
adjudicated delinquent for any offense that is
eligible for expungement under this Act or member of an
impacted family.
Nothing in this Act shall be construed to preempt or limit
the duties of any employer under the Job Opportunities for
Qualified Applicants Act. Nothing in this Act shall permit an
employer to require an employee to disclose sealed or expunged
offenses, unless otherwise required by law.
"Tincture" means a cannabis-infused solution, typically
comprised of alcohol, glycerin, or vegetable oils, derived
either directly from the cannabis plant or from a processed
cannabis extract. A tincture is not an alcoholic liquor as
defined in the Liquor Control Act of 1934. A tincture shall
include a calibrated dropper or other similar device capable of
accurately measuring servings.
"Transporting organization" or "transporter" means an
organization or business that is licensed by the Department of
Agriculture to transport cannabis or cannabis-infused product
on behalf of a cannabis business establishment or a community
college licensed under the Community College Cannabis
Vocational Training Pilot Program.
"Transporting organization agent" means a principal
officer, board member, employee, or agent of a transporting
organization.
"Transporting organization agent identification card"
means a document issued by the Department of Agriculture that
identifies a person as a transporting organization agent.
"Unit of local government" means any county, city, village,
or incorporated town.
"Vegetative stage" means the stage of cultivation in which
a cannabis plant is propagated to produce additional cannabis
plants or reach a sufficient size for production. This includes
seedlings, clones, mothers, and other immature cannabis plants
as follows:
(1) if the cannabis plant is in an area that has not
been intentionally deprived of light for a period of time
intended to produce flower buds and induce maturation, it
has no more than 2 stigmas visible at each internode of the
cannabis plant; or
(2) any cannabis plant that is cultivated solely for
the purpose of propagating clones and is never used to
produce cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/5-5)
Sec. 5-5. Sharing of authority. Notwithstanding any
provision of or law to the contrary, any authority granted to
any State agency or State employees or appointees under the
Compassionate Use of Medical Cannabis Pilot Program Act shall
be shared by any State agency or State employees or appointees
given authority to license, discipline, revoke, regulate, or
make rules under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/5-15)
Sec. 5-15. Department of Financial and Professional
Regulation. The Department of Financial and Professional
Regulation shall enforce the provisions of this Act relating to
the oversight and registration of dispensing organizations and
agents, including the issuance of identification cards for
dispensing organization agents. The Department of Financial
and Professional Regulation may suspend or revoke the license
of, or otherwise discipline dispensing organizations,
principal officers, agents-in-charge, and agents impose other
penalties upon, dispensing organizations for violations of
this Act and any rules adopted under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/5-20)
Sec. 5-20. Background checks.
(a) Through the Department of State Police, the licensing
or issuing Department shall conduct a criminal history record
check of the prospective principal officers, board members, and
agents of a cannabis business establishment applying for a
license or identification card under this Act.
Each cannabis business establishment prospective principal
officer, board member, or agent shall submit his or her
fingerprints to the Department of State Police in the form and
manner prescribed by the Department of State Police.
Unless otherwise provided in this Act, such Such
fingerprints shall be transmitted through a live scan
fingerprint vendor licensed by the Department of Financial and
Professional Regulation. These fingerprints shall be checked
against the fingerprint records now and hereafter filed in the
Department of State Police and Federal Bureau of Investigation
criminal history records databases. The Department of State
Police shall charge a fee for conducting the criminal history
record check, which shall be deposited into the State Police
Services Fund and shall not exceed the actual cost of the State
and national criminal history record check. The Department of
State Police shall furnish, pursuant to positive
identification, all Illinois conviction information and shall
forward the national criminal history record information to:
(i) the Department of Agriculture, with respect to a
cultivation center, craft grower, infuser organization, or
transporting organization; or
(ii) the Department of Financial and Professional
Regulation, with respect to a dispensing organization.
(b) When applying for the initial license or identification
card, the background checks for all prospective principal
officers, board members, and agents shall be completed before
submitting the application to the licensing or issuing agency.
(c) All applications for licensure under this Act by
applicants with criminal convictions shall be subject to
Sections 2105-131, 2105-135, and 2105-205 of the Department of
Professional Regulation Law of the Civil Administrative Code of
Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/5-25)
Sec. 5-25. Department of Public Health to make health
warning recommendations.
(a) The Department of Public Health shall make
recommendations to the Department of Agriculture and the
Department of Financial and Professional Regulation on
appropriate health warnings for dispensaries and advertising,
which may apply to all cannabis products, including item-type
specific labeling or warning requirements, regulate the
facility where cannabis-infused products are made, regulate
cannabis-infused products as provided in subsection (e) of
Section 55-5, and facilitate the Adult Use Cannabis Health
Advisory Committee.
(b) An Adult Use Cannabis Health Advisory Committee is
hereby created and shall meet at least twice annually. The
Chairperson may schedule meetings more frequently upon his or
her initiative or upon the request of a Committee member.
Meetings may be held in person or by teleconference. The
Committee shall discuss and monitor changes in drug use data in
Illinois and the emerging science and medical information
relevant to the health effects associated with cannabis use and
may provide recommendations to the Department of Human Services
about public health awareness campaigns and messages. The
Committee shall include the following members appointed by the
Governor and shall represent the geographic, ethnic, and racial
diversity of the State:
(1) The Director of Public Health, or his or her
designee, who shall serve as the Chairperson.
(2) The Secretary of Human Services, or his or her
designee, who shall serve as the Co-Chairperson.
(3) A representative of the poison control center.
(4) A pharmacologist.
(5) A pulmonologist.
(6) An emergency room physician.
(7) An emergency medical technician, paramedic, or
other first responder.
(8) A nurse practicing in a school-based setting.
(9) A psychologist.
(10) A neonatologist.
(11) An obstetrician-gynecologist.
(12) A drug epidemiologist.
(13) A medical toxicologist.
(14) An addiction psychiatrist.
(15) A pediatrician.
(16) A representative of a statewide professional
public health organization.
(17) A representative of a statewide hospital/health
system association.
(18) An individual registered as a patient in the
Compassionate Use of Medical Cannabis Pilot Program.
(19) An individual registered as a caregiver in the
Compassionate Use of Medical Cannabis Pilot Program.
(20) A representative of an organization focusing on
cannabis-related policy.
(21) A representative of an organization focusing on
the civil liberties of individuals who reside in Illinois.
(22) A representative of the criminal defense or civil
aid community of attorneys serving Disproportionately
Impacted Areas.
(23) A representative of licensed cannabis business
establishments.
(24) A Social Equity Applicant.
(25) A representative of a statewide community-based
substance use disorder treatment provider association.
(26) A representative of a statewide community-based
mental health treatment provider association.
(27) A representative of a community-based substance
use disorder treatment provider.
(28) A representative of a community-based mental
health treatment provider.
(29) A substance use disorder treatment patient
representative.
(30) A mental health treatment patient representative.
(c) The Committee shall provide a report by September 30,
2021, and every year thereafter, to the General Assembly. The
Department of Public Health shall make the report available on
its website.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/7-1)
Sec. 7-1. Findings.
(a) The General Assembly finds that the medical cannabis
industry, established in 2014 through the Compassionate Use of
Medical Cannabis Pilot Program Act, has shown that additional
efforts are needed to reduce barriers to ownership. Through
that program, 55 licenses for dispensing organizations and 20
licenses for cultivation centers have been issued. Those
licenses are held by only a small number of businesses, the
ownership of which does not sufficiently meet the General
Assembly's interest in business ownership that reflects the
population of the State of Illinois and that demonstrates the
need to reduce barriers to entry for individuals and
communities most adversely impacted by the enforcement of
cannabis-related laws.
(b) In the interest of establishing a legal cannabis
industry that is equitable and accessible to those most
adversely impacted by the enforcement of drug-related laws in
this State, including cannabis-related laws, the General
Assembly finds and declares that a social equity program should
be established.
(c) The General Assembly also finds and declares that
individuals who have been arrested or incarcerated due to drug
laws suffer long-lasting negative consequences, including
impacts to employment, business ownership, housing, health,
and long-term financial well-being.
(d) The General Assembly also finds and declares that
family members, especially children, and communities of those
who have been arrested or incarcerated due to drug laws, suffer
from emotional, psychological, and financial harms as a result
of such arrests or incarcerations.
(e) Furthermore, the General Assembly finds and declares
that certain communities have disproportionately suffered the
harms of enforcement of cannabis-related laws. Those
communities face greater difficulties accessing traditional
banking systems and capital for establishing businesses.
(f) The General Assembly also finds that individuals who
have resided in areas of high poverty suffer negative
consequences, including barriers to entry in employment,
business ownership, housing, health, and long-term financial
well-being.
(g) The General Assembly also finds and declares that
promotion of business ownership by individuals who have resided
in areas of high poverty and high enforcement of
cannabis-related laws furthers an equitable cannabis industry.
(h) Therefore, in the interest of remedying the harms
resulting from the disproportionate enforcement of
cannabis-related laws, the General Assembly finds and declares
that a social equity program should offer, among other things,
financial assistance and license application benefits to
individuals most directly and adversely impacted by the
enforcement of cannabis-related laws who are interested in
starting cannabis business establishments.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/7-10)
Sec. 7-10. Cannabis Business Development Fund.
(a) There is created in the State treasury a special fund,
which shall be held separate and apart from all other State
moneys, to be known as the Cannabis Business Development Fund.
The Cannabis Business Development Fund shall be exclusively
used for the following purposes:
(1) to provide low-interest rate loans to Qualified
Social Equity Applicants to pay for ordinary and necessary
expenses to start and operate a cannabis business
establishment permitted by this Act;
(2) to provide grants to Qualified Social Equity
Applicants to pay for ordinary and necessary expenses to
start and operate a cannabis business establishment
permitted by this Act;
(3) to compensate the Department of Commerce and
Economic Opportunity for any costs related to the provision
of low-interest loans and grants to Qualified Social Equity
Applicants;
(4) to pay for outreach that may be provided or
targeted to attract and support Social Equity Applicants
and Qualified Social Equity Applicants;
(5) (blank);
(6) to conduct any study or research concerning the
participation of minorities, women, veterans, or people
with disabilities in the cannabis industry, including,
without limitation, barriers to such individuals entering
the industry as equity owners of cannabis business
establishments;
(7) (blank); and
(8) to assist with job training and technical
assistance for residents in Disproportionately Impacted
Areas.
(b) All moneys collected under Sections 15-15 and 15-20 for
Early Approval Adult Use Dispensing Organization Licenses
issued before January 1, 2021 and remunerations made as a
result of transfers of permits awarded to Qualified Social
Equity Applicants shall be deposited into the Cannabis Business
Development Fund.
(c) As soon as practical after July 1, 2019, the
Comptroller shall order and the Treasurer shall transfer
$12,000,000 from the Compassionate Use of Medical Cannabis Fund
to the Cannabis Business Development Fund.
(d) Notwithstanding any other law to the contrary, the
Cannabis Business Development Fund is not subject to sweeps,
administrative charge-backs, or any other fiscal or budgetary
maneuver that would in any way transfer any amounts from the
Cannabis Business Development Fund into any other fund of the
State.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/7-15)
Sec. 7-15. Loans and grants to Social Equity Applicants.
(a) The Department of Commerce and Economic Opportunity
shall establish grant and loan programs, subject to
appropriations from the Cannabis Business Development Fund,
for the purposes of providing financial assistance, loans,
grants, and technical assistance to Social Equity Applicants.
(b) The Department of Commerce and Economic Opportunity has
the power to:
(1) provide Cannabis Social Equity loans and grants
from appropriations from the Cannabis Business Development
Fund to assist Qualified Social Equity Applicants in
gaining entry to, and successfully operating in, the
State's regulated cannabis marketplace;
(2) enter into agreements that set forth terms and
conditions of the financial assistance, accept funds or
grants, and engage in cooperation with private entities and
agencies of State or local government to carry out the
purposes of this Section;
(3) fix, determine, charge, and collect any premiums,
fees, charges, costs and expenses, including application
fees, commitment fees, program fees, financing charges, or
publication fees in connection with its activities under
this Section;
(4) coordinate assistance under these loan programs
with activities of the Illinois Department of Financial and
Professional Regulation, the Illinois Department of
Agriculture, and other agencies as needed to maximize the
effectiveness and efficiency of this Act;
(5) provide staff, administration, and related support
required to administer this Section;
(6) take whatever actions are necessary or appropriate
to protect the State's interest in the event of bankruptcy,
default, foreclosure, or noncompliance with the terms and
conditions of financial assistance provided under this
Section, including the ability to recapture funds if the
recipient is found to be noncompliant with the terms and
conditions of the financial assistance agreement;
(7) establish application, notification, contract, and
other forms, procedures, or rules deemed necessary and
appropriate; and
(8) utilize vendors or contract work to carry out the
purposes of this Act.
(c) Loans made under this Section:
(1) shall only be made if, in the Department's
judgment, the project furthers the goals set forth in this
Act; and
(2) shall be in such principal amount and form and
contain such terms and provisions with respect to security,
insurance, reporting, delinquency charges, default
remedies, and other matters as the Department shall
determine appropriate to protect the public interest and to
be consistent with the purposes of this Section. The terms
and provisions may be less than required for similar loans
not covered by this Section.
(d) Grants made under this Section shall be awarded on a
competitive and annual basis under the Grant Accountability and
Transparency Act. Grants made under this Section shall further
and promote the goals of this Act, including promotion of
Social Equity Applicants, job training and workforce
development, and technical assistance to Social Equity
Applicants.
(e) Beginning January 1, 2021 and each year thereafter, the
Department shall annually report to the Governor and the
General Assembly on the outcomes and effectiveness of this
Section that shall include the following:
(1) the number of persons or businesses receiving
financial assistance under this Section;
(2) the amount in financial assistance awarded in the
aggregate, in addition to the amount of loans made that are
outstanding and the amount of grants awarded;
(3) the location of the project engaged in by the
person or business; and
(4) if applicable, the number of new jobs and other
forms of economic output created as a result of the
financial assistance.
(f) The Department of Commerce and Economic Opportunity
shall include engagement with individuals with limited English
proficiency as part of its outreach provided or targeted to
attract and support Social Equity Applicants.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/7-25)
Sec. 7-25. Transfer of license awarded to Qualified Social
Equity Applicant.
(a) In the event a Qualified Social Equity Applicant seeks
to transfer, sell, or grant a cannabis business establishment
license within 5 years after it was issued to a person or
entity that does not qualify as a Social Equity Applicant, the
transfer agreement shall require the new license holder to pay
the Cannabis Business Development Fund an amount equal to:
(1) any fees that were waived by any State agency based
on the applicant's status as a Social Equity Applicant, if
applicable;
(2) any outstanding amount owed by the Qualified Social
Equity Applicant for a loan through the Cannabis Business
Development Fund, if applicable; and
(3) the full amount of any grants that the Qualified
Social Equity Applicant received from the Department of
Commerce and Economic Opportunity, if applicable.
(b) Transfers of cannabis business establishment licenses
awarded to a Social Equity Applicant are subject to all other
provisions of this Act, the Compassionate Use of Medical
Cannabis Pilot Program Act, and rules regarding transfers.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-5)
Sec. 10-5. Personal use of cannabis; restrictions on
cultivation; penalties.
(a) Beginning January 1, 2020, notwithstanding any other
provision of law, and except as otherwise provided in this Act,
the following acts are not a violation of this Act and shall
not be a criminal or civil offense under State law or the
ordinances of any unit of local government of this State or be
a basis for seizure or forfeiture of assets under State law for
persons other than natural individuals under 21 years of age:
(1) possession, consumption, use, purchase, obtaining,
or transporting cannabis paraphernalia or an amount of
cannabis for personal use that does not exceed the
possession limit under Section 10-10 or otherwise in
accordance with the requirements of this Act;
(2) cultivation of cannabis for personal use in
accordance with the requirements of this Act; and
(3) controlling property if actions that are
authorized by this Act occur on the property in accordance
with this Act.
(a-1) Beginning January 1, 2020, notwithstanding any other
provision of law, and except as otherwise provided in this Act,
possessing, consuming, using, purchasing, obtaining, or
transporting cannabis paraphernalia or an amount of cannabis
purchased or produced in accordance with this Act that does not
exceed the possession limit under subsection (a) of Section
10-10 shall not be a basis for seizure or forfeiture of assets
under State law.
(b) Cultivating cannabis for personal use is subject to the
following limitations:
(1) An Illinois resident 21 years of age or older who
is a registered qualifying patient under the Compassionate
Use of Medical Cannabis Pilot Program Act may cultivate
cannabis plants, with a limit of 5 plants that are more
than 5 inches tall, per household without a cultivation
center or craft grower license. In this Section, "resident"
means a person who has been domiciled in the State of
Illinois for a period of 30 days before cultivation.
(2) Cannabis cultivation must take place in an
enclosed, locked space.
(3) Adult registered qualifying patients may purchase
cannabis seeds from a dispensary for the purpose of home
cultivation. Seeds may not be given or sold to any other
person.
(4) Cannabis plants shall not be stored or placed in a
location where they are subject to ordinary public view, as
defined in this Act. A registered qualifying patient who
cultivates cannabis under this Section shall take
reasonable precautions to ensure the plants are secure from
unauthorized access, including unauthorized access by a
person under 21 years of age.
(5) Cannabis cultivation may occur only on residential
property lawfully in possession of the cultivator or with
the consent of the person in lawful possession of the
property. An owner or lessor of residential property may
prohibit the cultivation of cannabis by a lessee.
(6) (Blank).
(7) A dwelling, residence, apartment, condominium
unit, enclosed, locked space, or piece of property not
divided into multiple dwelling units shall not contain more
than 5 plants at any one time.
(8) Cannabis plants may only be tended by registered
qualifying patients who reside at the residence, or their
authorized agent attending to the residence for brief
periods, such as when the qualifying patient is temporarily
away from the residence.
(9) A registered qualifying patient who cultivates
more than the allowable number of cannabis plants, or who
sells or gives away cannabis plants, cannabis, or
cannabis-infused products produced under this Section, is
liable for penalties as provided by law, including the
Cannabis Control Act, in addition to loss of home
cultivation privileges as established by rule.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-10)
Sec. 10-10. Possession limit.
(a) Except if otherwise authorized by this Act, for a
person who is 21 years of age or older and a resident of this
State, the possession limit is as follows:
(1) 30 grams of cannabis flower;
(2) no more than 500 milligrams of THC contained in
cannabis-infused product;
(3) 5 grams of cannabis concentrate; and
(4) for registered qualifying patients, any cannabis
produced by cannabis plants grown under subsection (b) of
Section 10-5, provided any amount of cannabis produced in
excess of 30 grams of raw cannabis or its equivalent must
remain secured within the residence or residential
property in which it was grown.
(b) For a person who is 21 years of age or older and who is
not a resident of this State, the possession limit is:
(1) 15 grams of cannabis flower;
(2) 2.5 grams of cannabis concentrate; and
(3) 250 milligrams of THC contained in a
cannabis-infused product.
(c) The possession limits found in subsections (a) and (b)
of this Section are to be considered cumulative.
(d) No person shall knowingly obtain, seek to obtain, or
possess an amount of cannabis from a dispensing organization or
craft grower that would cause him or her to exceed the
possession limit under this Section, including cannabis that is
cultivated by a person under this Act or obtained under the
Compassionate Use of Medical Cannabis Pilot Program Act.
(e) Cannabis and cannabis-derived substances regulated
under the Industrial Hemp Act are not covered by this Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-15)
Sec. 10-15. Persons under 21 years of age.
(a) Nothing in this Act is intended to permit the transfer
of cannabis, with or without remuneration, to a person under 21
years of age, or to allow a person under 21 years of age to
purchase, possess, use, process, transport, grow, or consume
cannabis except where authorized by the Compassionate Use of
Medical Cannabis Pilot Program Act or by the Community College
Cannabis Vocational Pilot Program.
(b) Notwithstanding any other provisions of law
authorizing the possession of medical cannabis, nothing in this
Act authorizes a person who is under 21 years of age to possess
cannabis. A person under 21 years of age with cannabis in his
or her possession is guilty of a civil law violation as
outlined in paragraph (a) of Section 4 of the Cannabis Control
Act.
(c) If the person under the age of 21 was in a motor
vehicle at the time of the offense, the Secretary of State may
suspend or revoke the driving privileges of any person for a
violation of this Section under Section 6-206 of the Illinois
Vehicle Code and the rules adopted under it.
(d) It is unlawful for any parent or guardian to knowingly
permit his or her residence, any other private property under
his or her control, or any vehicle, conveyance, or watercraft
under his or her control to be used by an invitee of the
parent's child or the guardian's ward, if the invitee is under
the age of 21, in a manner that constitutes a violation of this
Section. A parent or guardian is deemed to have knowingly
permitted his or her residence, any other private property
under his or her control, or any vehicle, conveyance, or
watercraft under his or her control to be used in violation of
this Section if he or she knowingly authorizes or permits
consumption of cannabis by underage invitees. Any person who
violates this subsection (d) is guilty of a Class A misdemeanor
and the person's sentence shall include, but shall not be
limited to, a fine of not less than $500. If a violation of
this subsection (d) directly or indirectly results in great
bodily harm or death to any person, the person violating this
subsection is guilty of a Class 4 felony. In this subsection
(d), where the residence or other property has an owner and a
tenant or lessee, the trier of fact may infer that the
residence or other property is occupied only by the tenant or
lessee.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-25)
Sec. 10-25. Immunities and presumptions related to the use
of cannabis by purchasers.
(a) A purchaser who is 21 years of age or older is not
subject to arrest, prosecution, denial of any right or
privilege, or other punishment including, but not limited to,
any civil penalty or disciplinary action taken by an
occupational or professional licensing board, based solely on
the use of cannabis if (1) the purchaser possesses an amount of
cannabis that does not exceed the possession limit under
Section 10-10 and, if the purchaser is licensed, certified, or
registered to practice any trade or profession under any Act
and (2) the use of cannabis does not impair that person when he
or she is engaged in the practice of the profession for which
he or she is licensed, certified, or registered.
(b) A purchaser 21 years of age or older is not subject to
arrest, prosecution, denial of any right or privilege, or other
punishment, including, but not limited to, any civil penalty or
disciplinary action taken by an occupational or professional
licensing board, based solely for (i) selling cannabis
paraphernalia if employed and licensed as a dispensing agent by
a dispensing organization; or (ii) being in the presence or
vicinity of the use of cannabis or cannabis paraphernalia as
allowed under this Act; or (iii) possessing cannabis
paraphernalia.
(c) Mere possession of, or application for, an agent
identification card or license does not constitute probable
cause or reasonable suspicion to believe that a crime has been
committed, nor shall it be used as the sole basis to support
the search of the person, property, or home of the person
possessing or applying for the agent identification card. The
possession of, or application for, an agent identification card
does not preclude the existence of probable cause if probable
cause exists based on other grounds.
(d) No person employed by the State of Illinois shall be
subject to criminal or civil penalties for taking any action in
good faith in reliance on this Act when acting within the scope
of his or her employment. Representation and indemnification
shall be provided to State employees as set forth in Section 2
of the State Employee Indemnification Act.
(e) No law enforcement or correctional agency, nor any
person employed by a law enforcement or correctional agency,
shall be subject to criminal or civil liability, except for
willful and wanton misconduct, as a result of taking any action
within the scope of the official duties of the agency or person
to prohibit or prevent the possession or use of cannabis by a
person incarcerated at a correctional facility, jail, or
municipal lockup facility, on parole or mandatory supervised
release, or otherwise under the lawful jurisdiction of the
agency or person.
(f) For purposes of receiving medical care, including organ
transplants, a person's use of cannabis under this Act does not
constitute the use of an illicit substance or otherwise
disqualify a person from medical care.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-30)
Sec. 10-30. Discrimination prohibited.
(a) Neither the presence of cannabinoid components or
metabolites in a person's bodily fluids nor possession of
cannabis-related paraphernalia, nor conduct related to the use
of cannabis or the participation in cannabis-related
activities lawful under this Act by a custodial or noncustodial
parent, grandparent, legal guardian, foster parent, or other
person charged with the well-being of a child, shall form the
sole or primary basis or supporting basis for any action or
proceeding by a child welfare agency or in a family or juvenile
court, any adverse finding, adverse evidence, or restriction of
any right or privilege in a proceeding related to adoption of a
child, acting as a foster parent of a child, or a person's
fitness to adopt a child or act as a foster parent of a child,
or serve as the basis of any adverse finding, adverse evidence,
or restriction of any right of privilege in a proceeding
related to guardianship, conservatorship, trusteeship, the
execution of a will, or the management of an estate, unless the
person's actions in relation to cannabis created an
unreasonable danger to the safety of the minor or otherwise
show the person to not be competent as established by clear and
convincing evidence. This subsection applies only to conduct
protected under this Act.
(b) No landlord may be penalized or denied any benefit
under State law for leasing to a person who uses cannabis under
this Act.
(c) Nothing in this Act may be construed to require any
person or establishment in lawful possession of property to
allow a guest, client, lessee, customer, or visitor to use
cannabis on or in that property, including on any land owned in
whole or in part or managed in whole or in part by the State.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-35)
Sec. 10-35. Limitations and penalties.
(a) This Act does not permit any person to engage in, and
does not prevent the imposition of any civil, criminal, or
other penalties for engaging in, any of the following conduct:
(1) undertaking any task under the influence of
cannabis when doing so would constitute negligence,
professional malpractice, or professional misconduct;
(2) possessing cannabis:
(A) in a school bus, unless permitted for a
qualifying patient or caregiver pursuant to the
Compassionate Use of Medical Cannabis Pilot Program
Act;
(B) on the grounds of any preschool or primary or
secondary school, unless permitted for a qualifying
patient or caregiver pursuant to the Compassionate Use
of Medical Cannabis Pilot Program Act;
(C) in any correctional facility;
(D) in a vehicle not open to the public unless the
cannabis is in a reasonably secured, sealed container
and reasonably inaccessible while the vehicle is
moving; or
(E) in a private residence that is used at any time
to provide licensed child care or other similar social
service care on the premises;
(3) using cannabis:
(A) in a school bus, unless permitted for a
qualifying patient or caregiver pursuant to the
Compassionate Use of Medical Cannabis Pilot Program
Act;
(B) on the grounds of any preschool or primary or
secondary school, unless permitted for a qualifying
patient or caregiver pursuant to the Compassionate Use
of Medical Cannabis Pilot Program Act;
(C) in any correctional facility;
(D) in any motor vehicle;
(E) in a private residence that is used at any time
to provide licensed child care or other similar social
service care on the premises;
(F) in any public place; or
(G) knowingly in close physical proximity to
anyone under 21 years of age who is not a registered
medical cannabis patient under the Compassionate Use
of Medical Cannabis Pilot Program Act;
(4) smoking cannabis in any place where smoking is
prohibited under the Smoke Free Illinois Act;
(5) operating, navigating, or being in actual physical
control of any motor vehicle, aircraft, watercraft, or
snowmobile while using or under the influence of cannabis
in violation of Section 11-501 or 11-502.1 of the Illinois
Vehicle Code, Section 5-16 of the Boat Registration and
Safety Act, or Section 5-7 of the Snowmobile Registration
and Safety Act or motorboat while using or under the
influence of cannabis in violation of Section 11-501 or
11-502.1 of the Illinois Vehicle Code;
(6) facilitating the use of cannabis by any person who
is not allowed to use cannabis under this Act or the
Compassionate Use of Medical Cannabis Pilot Program Act;
(7) transferring cannabis to any person contrary to
this Act or the Compassionate Use of Medical Cannabis Pilot
Program Act;
(8) the use of cannabis by a law enforcement officer,
corrections officer, probation officer, or firefighter
while on duty; nothing in this Act prevents a public
employer of law enforcement officers, corrections
officers, probation officers, paramedics, or firefighters
from prohibiting or taking disciplinary action for the
consumption, possession, sales, purchase, or delivery of
cannabis or cannabis-infused substances while on or off
duty, unless provided for in the employer's policies.
However, an employer may not take adverse employment action
against an employee based solely on the lawful possession
or consumption of cannabis or cannabis-infused substances
by members of the employee's household. To the extent that
this Section conflicts with any applicable collective
bargaining agreement, the provisions of the collective
bargaining agreement shall prevail. Further, nothing in
this Act shall be construed to limit in any way the right
to collectively bargain over the subject matters contained
in this Act; or
(9) the use of cannabis by a person who has a school
bus permit or a Commercial Driver's License while on duty.
As used in this Section, "public place" means any place
where a person could reasonably be expected to be observed by
others. "Public place" includes all parts of buildings owned in
whole or in part, or leased, by the State or a unit of local
government. "Public place" includes all areas in a park,
recreation area, wildlife area, or playground owned in whole or
in part, leased, or managed by the State or a unit of local
government. "Public place" does not include a private residence
unless the private residence is used to provide licensed child
care, foster care, or other similar social service care on the
premises.
(b) Nothing in this Act shall be construed to prevent the
arrest or prosecution of a person for reckless driving or
driving under the influence of cannabis, operating a watercraft
under the influence of cannabis, or operating a snowmobile
under the influence of cannabis if probable cause exists.
(c) Nothing in this Act shall prevent a private business
from restricting or prohibiting the use of cannabis on its
property, including areas where motor vehicles are parked.
(d) Nothing in this Act shall require an individual or
business entity to violate the provisions of federal law,
including colleges or universities that must abide by the
Drug-Free Schools and Communities Act Amendments of 1989, that
require campuses to be drug free.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-40)
Sec. 10-40. Restore, Reinvest, and Renew Program.
(a) The General Assembly finds that in order to address the
disparities described below, aggressive approaches and
targeted resources to support local design and control of
community-based responses to these outcomes are required. To
carry out this intent, the Restore, Reinvest, and Renew (R3)
Program is created for the following purposes:
(1) to directly address the impact of economic
disinvestment, violence, and the historical overuse of
criminal justice responses to community and individual
needs by providing resources to support local design and
control of community-based responses to these impacts;
(2) to substantially reduce both the total amount of
gun violence and concentrated poverty in this State;
(3) to protect communities from gun violence through
targeted investments and intervention programs, including
economic growth and improving family violence prevention,
community trauma treatment rates, gun injury victim
services, and public health prevention activities;
(4) to promote employment infrastructure and capacity
building related to the social determinants of health in
the eligible community areas.
(b) In this Section, "Authority" means the Illinois
Criminal Justice Information Authority in coordination with
the Justice, Equity, and Opportunity Initiative of the
Lieutenant Governor's Office.
(c) Eligibility of R3 Areas. Within 180 days after the
effective date of this Act, the Authority shall identify as
eligible, areas in this State by way of historically recognized
geographic boundaries, to be designated by the Restore,
Reinvest, and Renew Program Board as R3 Areas and therefore
eligible to apply for R3 funding. Local groups within R3 Areas
will be eligible to apply for State funding through the
Restore, Reinvest, and Renew Program Board. Qualifications for
designation as an R3 Area are as follows:
(1) Based on an analysis of data, communities in this
State that are high need, underserved, disproportionately
impacted by historical economic disinvestment, and ravaged
by violence as indicated by the highest rates of gun
injury, unemployment, child poverty rates, and commitments
to and returns from the Illinois Department of Corrections.
(2) The Authority shall send to the Legislative Audit
Commission and make publicly available its analysis and
identification of eligible R3 Areas and shall recalculate
the he eligibility data every 4 years. On an annual basis,
the Authority shall analyze data and indicate if data
covering any R3 Area or portion of an Area has, for 4
consecutive years, substantially deviated from the average
of statewide data on which the original calculation was
made to determine the Areas, including disinvestment,
violence, gun injury, unemployment, child poverty rates,
or commitments to or returns from the Illinois Department
of Corrections.
(d) The Restore, Reinvest, and Renew Program Board shall
encourage collaborative partnerships within each R3 Area to
minimize multiple partnerships per Area.
(e) The Restore, Reinvest, and Renew Program Board is
created and shall reflect the diversity of the State of
Illinois, including geographic, racial, and ethnic diversity.
Using the data provided by the Authority, the Restore,
Reinvest, and Renew Program Board shall be responsible for
designating the R3 Area boundaries and for the selection and
oversight of R3 Area grantees. The Restore, Reinvest, and Renew
Program Board ex officio members shall, within 4 months after
the effective date of this Act, convene the Board to appoint a
full Restore, Reinvest, and Renew Program Board and oversee,
provide guidance to, and develop an administrative structure
for the R3 Program.
(1) The ex officio members are:
(A) The Lieutenant Governor, or his or her
designee, who shall serve as chair.
(B) The Attorney General, or his or her
designee.
(C) The Director of Commerce and Economic
Opportunity, or his or her designee.
(D) The Director of Public Health, or his or
her designee.
(E) The Director of Corrections, or his or her
designee.
(F) The Director of Juvenile Justice, or his or
her designee.
(G) The Director of Children and Family
Services, or his or her designee.
(H) (F) The Executive Director of the Illinois
Criminal Justice Information Authority, or his or
her designee.
(I) (G) The Director of Employment Security,
or his or her designee.
(J) (H) The Secretary of Human Services, or his
or her designee.
(K) (I) A member of the Senate, designated by
the President of the Senate.
(L) (J) A member of the House of
Representatives, designated by the Speaker of the
House of Representatives.
(M) (K) A member of the Senate, designated by
the Minority Leader of the Senate.
(N) (L) A member of the House of
Representatives, designated by the Minority Leader
of the House of Representatives.
(2) Within 90 days after the R3 Areas have been
designated by the Restore, Reinvest, and Renew Program
Board, the following members shall be appointed to the
Board by the R3 board chair:
(A) Eight public officials of municipal geographic
jurisdictions in the State that include an R3 Area, or
their designees;
(B) Four 4 community-based providers or community
development organization representatives who provide
services to treat violence and address the social
determinants of health, or promote community
investment, including, but not limited to, services
such as job placement and training, educational
services, workforce development programming, and
wealth building. The community-based organization
representatives shall work primarily in jurisdictions
that include an R3 Area and no more than 2
representatives shall work primarily in Cook County.
At least one of the community-based providers shall
have expertise in providing services to an immigrant
population;
(C) Two experts in the field of violence reduction;
(D) One male who has previously been incarcerated
and is over the age of 24 at the time of appointment;
(E) One female who has previously been
incarcerated and is over the age of 24 at the time of
appointment;
(F) Two individuals who have previously been
incarcerated and are between the ages of 17 and 24 at
the time of appointment.
As used in this paragraph (2), "an individual who has
been previously incarcerated" means a person who has been
convicted of or pled guilty to one or more felonies, who
was sentenced to a term of imprisonment, and who has
completed his or her sentence. Board members shall serve
without compensation and may be reimbursed for reasonable
expenses incurred in the performance of their duties from
funds appropriated for that purpose. Once all its members
have been appointed as outlined in items (A) through (F) of
this paragraph (2), the Board may exercise any power,
perform any function, take any action, or do anything in
furtherance of its purposes and goals upon the appointment
of a quorum of its members. The Board terms of the non-ex
officio and General Assembly Board members shall end 4
years from the date of appointment.
(f) Within 12 months after the effective date of this Act,
the Board shall:
(1) develop a process to solicit applications from
eligible R3 Areas;
(2) develop a standard template for both planning and
implementation activities to be submitted by R3 Areas to
the State;
(3) identify resources sufficient to support the full
administration and evaluation of the R3 Program, including
building and sustaining core program capacity at the
community and State levels;
(4) review R3 Area grant applications and proposed
agreements and approve the distribution of resources;
(5) develop a performance measurement system that
focuses on positive outcomes;
(6) develop a process to support ongoing monitoring and
evaluation of R3 programs; and
(7) deliver an annual report to the General Assembly
and to the Governor to be posted on the Governor's Office
and General Assembly websites and provide to the public an
annual report on its progress.
(g) R3 Area grants.
(1) Grant funds shall be awarded by the Illinois
Criminal Justice Information Authority, in coordination
with the R3 board, based on the likelihood that the plan
will achieve the outcomes outlined in subsection (a) and
consistent with the requirements of the Grant
Accountability and Transparency Act. The R3 Program shall
also facilitate the provision of training and technical
assistance for capacity building within and among R3 Areas.
(2) R3 Program Board grants shall be used to address
economic development, violence prevention services,
re-entry services, youth development, and civil legal aid.
(3) The Restore, Reinvest, and Renew Program Board and
the R3 Area grantees shall, within a period of no more than
120 days from the completion of planning activities
described in this Section, finalize an agreement on the
plan for implementation. Implementation activities may:
(A) have a basis in evidence or best practice
research or have evaluations demonstrating the
capacity to address the purpose of the program in
subsection (a);
(B) collect data from the inception of planning
activities through implementation, with data
collection technical assistance when needed, including
cost data and data related to identified meaningful
short-term, mid-term, and long-term goals and metrics;
(C) report data to the Restore, Reinvest, and Renew
Program Board biannually; and
(D) report information as requested by the R3
Program Board.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/10-50)
Sec. 10-50. Employment; employer liability.
(a) Nothing in this Act shall prohibit an employer from
adopting reasonable zero tolerance or drug free workplace
policies, or employment policies concerning drug testing,
smoking, consumption, storage, or use of cannabis in the
workplace or while on call provided that the policy is applied
in a nondiscriminatory manner.
(b) Nothing in this Act shall require an employer to permit
an employee to be under the influence of or use cannabis in the
employer's workplace or while performing the employee's job
duties or while on call.
(c) Nothing in this Act shall limit or prevent an employer
from disciplining an employee or terminating employment of an
employee for violating an employer's employment policies or
workplace drug policy.
(d) An employer may consider an employee to be impaired or
under the influence of cannabis if the employer has a good
faith belief that an employee manifests specific, articulable
symptoms while working that decrease or lessen the employee's
performance of the duties or tasks of the employee's job
position, including symptoms of the employee's speech,
physical dexterity, agility, coordination, demeanor,
irrational or unusual behavior, or negligence or carelessness
in operating equipment or machinery; disregard for the safety
of the employee or others, or involvement in any accident that
results in serious damage to equipment or property; disruption
of a production or manufacturing process; or carelessness that
results in any injury to the employee or others. If an employer
elects to discipline an employee on the basis that the employee
is under the influence or impaired by cannabis, the employer
must afford the employee a reasonable opportunity to contest
the basis of the determination.
(e) Nothing in this Act shall be construed to create or
imply a cause of action for any person against an employer for:
(1) actions taken pursuant to an employer's reasonable
workplace drug policy, including but not limited to
subjecting an employee or applicant to reasonable drug and
alcohol testing, reasonable and nondiscriminatory random
drug testing, and discipline, termination of employment,
or withdrawal of a job offer due to a failure of a drug
test; , including but not limited to subjecting an employee
or applicant to reasonable drug and alcohol testing under
the employer's workplace drug policy, including an
employee's refusal to be tested or to cooperate in testing
procedures or disciplining or termination of employment,
(2) actions based on the employer's good faith belief
that an employee used or possessed cannabis in the
employer's workplace or while performing the employee's
job duties or while on call in violation of the employer's
employment policies;
(3) (2) actions, including discipline or termination
of employment, based on the employer's good faith belief
that an employee was impaired as a result of the use of
cannabis, or under the influence of cannabis, while at the
employer's workplace or while performing the employee's
job duties or while on call in violation of the employer's
workplace drug policy; or
(4) (3) injury, loss, or liability to a third party if
the employer neither knew nor had reason to know that the
employee was impaired.
(f) Nothing in this Act shall be construed to enhance or
diminish protections afforded by any other law, including but
not limited to the Compassionate Use of Medical Cannabis Pilot
Program Act or the Opioid Alternative Pilot Program.
(g) Nothing in this Act shall be construed to interfere
with any federal, State, or local restrictions on employment
including, but not limited to, the United States Department of
Transportation regulation 49 CFR 40.151(e) or impact an
employer's ability to comply with federal or State law or cause
it to lose a federal or State contract or funding.
(h) As used in this Section, "workplace" means the
employer's premises, including any building, real property,
and parking area under the control of the employer or area used
by an employee while in the performance of the employee's job
duties, and vehicles, whether leased, rented, or owned.
"Workplace" may be further defined by the employer's written
employment policy, provided that the policy is consistent with
this Section.
(i) For purposes of this Section, an employee is deemed "on
call" when such employee is scheduled with at least 24 hours'
notice by his or her employer to be on standby or otherwise
responsible for performing tasks related to his or her
employment either at the employer's premises or other
previously designated location by his or her employer or
supervisor to perform a work-related task.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-15)
Sec. 15-15. Early Approval Adult Use Dispensing
Organization License.
(a) Any medical cannabis dispensing organization holding a
valid registration under the Compassionate Use of Medical
Cannabis Pilot Program Act as of the effective date of this Act
may, within 60 days of the effective date of this Act, apply to
the Department for an Early Approval Adult Use Dispensing
Organization License to serve purchasers at any medical
cannabis dispensing location in operation on the effective date
of this Act, pursuant to this Section.
(b) A medical cannabis dispensing organization seeking
issuance of an Early Approval Adult Use Dispensing Organization
License to serve purchasers at any medical cannabis dispensing
location in operation as of the effective date of this Act
shall submit an application on forms provided by the
Department. The application must be submitted by the same
person or entity that holds the medical cannabis dispensing
organization registration and include the following:
(1) Payment of a nonrefundable fee of $30,000 to be
deposited into the Cannabis Regulation Fund;
(2) Proof of registration as a medical cannabis
dispensing organization that is in good standing;
(3) Certification that the applicant will comply with
the requirements contained in the Compassionate Use of
Medical Cannabis Pilot Program Act except as provided in
this Act;
(4) The legal name of the dispensing organization;
(5) The physical address of the dispensing
organization;
(6) The name, address, social security number, and date
of birth of each principal officer and board member of the
dispensing organization, each of whom must be at least 21
years of age;
(7) A nonrefundable Cannabis Business Development Fee
equal to 3% of the dispensing organization's total sales
between June 1, 2018 to June 1, 2019, or $100,000,
whichever is less, to be deposited into the Cannabis
Business Development Fund; and
(8) Identification of one of the following Social
Equity Inclusion Plans to be completed by March 31, 2021:
(A) Make a contribution of 3% of total sales from
June 1, 2018 to June 1, 2019, or $100,000, whichever is
less, to the Cannabis Business Development Fund. This
is in addition to the fee required by item (7) of this
subsection (b);
(B) Make a grant of 3% of total sales from June 1,
2018 to June 1, 2019, or $100,000, whichever is less,
to a cannabis industry training or education program at
an Illinois community college as defined in the Public
Community College Act;
(C) Make a donation of $100,000 or more to a
program that provides job training services to persons
recently incarcerated or that operates in a
Disproportionately Impacted Area;
(D) Participate as a host in a cannabis business
establishment incubator program approved by the
Department of Commerce and Economic Opportunity, and
in which an Early Approval Adult Use Dispensing
Organization License holder agrees to provide a loan of
at least $100,000 and mentorship to incubate, for at
least a year, a Social Equity Applicant intending to
seek a license or a licensee that qualifies as a Social
Equity Applicant for at least a year. As used in this
Section, "incubate" means providing direct financial
assistance and training necessary to engage in
licensed cannabis industry activity similar to that of
the host licensee. The Early Approval Adult Use
Dispensing Organization License holder or the same
entity holding any other licenses issued pursuant to
this Act shall not take an ownership stake of greater
than 10% in any business receiving incubation services
to comply with this subsection. If an Early Approval
Adult Use Dispensing Organization License holder fails
to find a business to incubate to comply with this
subsection before its Early Approval Adult Use
Dispensing Organization License expires, it may opt to
meet the requirement of this subsection by completing
another item from this subsection; or
(E) Participate in a sponsorship program for at
least 2 years approved by the Department of Commerce
and Economic Opportunity in which an Early Approval
Adult Use Dispensing Organization License holder
agrees to provide an interest-free loan of at least
$200,000 to a Social Equity Applicant. The sponsor
shall not take an ownership stake in any cannabis
business establishment receiving sponsorship services
to comply with this subsection.
(c) The license fee required by paragraph (1) of subsection
(b) of this Section shall be in addition to any license fee
required for the renewal of a registered medical cannabis
dispensing organization license.
(d) Applicants must submit all required information,
including the requirements in subsection (b) of this Section,
to the Department. Failure by an applicant to submit all
required information may result in the application being
disqualified.
(e) If the Department receives an application that fails to
provide the required elements contained in subsection (b), the
Department shall issue a deficiency notice to the applicant.
The applicant shall have 10 calendar days from the date of the
deficiency notice to submit complete information. Applications
that are still incomplete after this opportunity to cure may be
disqualified.
(f) If an applicant meets all the requirements of
subsection (b) of this Section, the Department shall issue the
Early Approval Adult Use Dispensing Organization License
within 14 days of receiving a completed application unless:
(1) The licensee or a principal officer is delinquent
in filing any required tax returns or paying any amounts
owed to the State of Illinois;
(2) The Secretary of Financial and Professional
Regulation determines there is reason, based on documented
compliance violations, the licensee is not entitled to an
Early Approval Adult Use Dispensing Organization License;
or
(3) Any principal officer fails to register and remain
in compliance with this Act or the Compassionate Use of
Medical Cannabis Pilot Program Act.
(g) A registered medical cannabis dispensing organization
that obtains an Early Approval Adult Use Dispensing
Organization License may begin selling cannabis,
cannabis-infused products, paraphernalia, and related items to
purchasers under the rules of this Act no sooner than January
1, 2020.
(h) A dispensing organization holding a medical cannabis
dispensing organization license issued under the Compassionate
Use of Medical Cannabis Pilot Program Act must maintain an
adequate supply of cannabis and cannabis-infused products for
purchase by qualifying patients, caregivers, provisional
patients, and Opioid Alternative Pilot Program participants.
For the purposes of this subsection, "adequate supply" means a
monthly inventory level that is comparable in type and quantity
to those medical cannabis products provided to patients and
caregivers on an average monthly basis for the 6 months before
the effective date of this Act.
(i) If there is a shortage of cannabis or cannabis-infused
products, a dispensing organization holding both a dispensing
organization license under the Compassionate Use of Medical
Cannabis Pilot Program Act and this Act shall prioritize
serving qualifying patients, caregivers, provisional patients,
and Opioid Alternative Pilot Program participants before
serving purchasers.
(j) Notwithstanding any law or rule to the contrary, a
person that holds a medical cannabis dispensing organization
license issued under the Compassionate Use of Medical Cannabis
Pilot Program Act and an Early Approval Adult Use Dispensing
Organization License may permit purchasers into a limited
access area as that term is defined in administrative rules
made under the authority in the Compassionate Use of Medical
Cannabis Pilot Program Act.
(k) An Early Approval Adult Use Dispensing Organization
License is valid until March 31, 2021. A dispensing
organization that obtains an Early Approval Adult Use
Dispensing Organization License shall receive written or
electronic notice 90 days before the expiration of the license
that the license will expire, and that informs inform the
license holder that it may apply to renew its Early Approval
Adult Use Dispensing Organization License on forms provided by
the Department. The Department shall renew the Early Approval
Adult Use Dispensing Organization License within 60 days of the
renewal application being deemed complete if:
(1) the dispensing organization submits an application
and the required nonrefundable renewal fee of $30,000, to
be deposited into the Cannabis Regulation Fund;
(2) the Department has not suspended or permanently
revoked the Early Approval Adult Use Dispensing
Organization License or a medical cannabis dispensing
organization license on the same premises for violations of
this Act, the Compassionate Use of Medical Cannabis Pilot
Program Act, or rules adopted pursuant to those Acts; and
(3) the dispensing organization has completed a Social
Equity Inclusion Plan as provided required by parts (A),
(B), and (C) of paragraph (8) of subsection (b) of this
Section or has made substantial progress toward completing
a Social Equity Inclusion Plan as provided by parts (D) and
(E) of paragraph (8) of subsection (b) of this Section; and
(4) the dispensing organization is in compliance with
this Act and rules.
(l) The Early Approval Adult Use Dispensing Organization
License renewed pursuant to subsection (k) of this Section
shall expire March 31, 2022. The Early Approval Adult Use
Dispensing Organization Licensee shall receive written or
electronic notice 90 days before the expiration of the license
that the license will expire, and that informs inform the
license holder that it may apply for an Adult Use Dispensing
Organization License on forms provided by the Department. The
Department shall grant an Adult Use Dispensing Organization
License within 60 days of an application being deemed complete
if the applicant has met all of the criteria in Section 15-36.
(m) If a dispensing organization dispensary fails to submit
an application for renewal of an Early Approval Adult Use
Dispensing Organization License or for an Adult Use Dispensing
Organization License before the expiration dates provided in
subsections (k) and (l) of the Early Approval Adult Use
Dispensing Organization License pursuant to subsection (k) of
this Section, the dispensing organization shall cease serving
purchasers and cease all operations until it receives a renewal
or an Adult Use Dispensing Organization License, as the case
may be.
(n) A dispensing organization agent who holds a valid
dispensing organization agent identification card issued under
the Compassionate Use of Medical Cannabis Pilot Program Act and
is an officer, director, manager, or employee of the dispensing
organization licensed under this Section may engage in all
activities authorized by this Article to be performed by a
dispensing organization agent.
(o) If the Department suspends, permanently revokes, or
otherwise disciplines the Early Approval Adult Use Dispensing
Organization License of a dispensing organization that also
holds a medical cannabis dispensing organization license
issued under the Compassionate Use of Medical Cannabis Program
Act, the Department may consider the suspension, permanent
revocation, or other discipline of the medical cannabis
dispensing organization license.
(p) (o) All fees collected pursuant to this Section shall
be deposited into the Cannabis Regulation Fund, unless
otherwise specified.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-20)
Sec. 15-20. Early Approval Adult Use Dispensing
Organization License; secondary site.
(a) If the Department suspends or revokes the Early
Approval Adult Use Dispensing Organization License of a
dispensing organization that also holds a medical cannabis
dispensing organization license issued under the Compassionate
Use of Medical Cannabis Pilot Program Act, the Department may
consider the suspension or revocation as grounds to take
disciplinary action against the medical cannabis dispensing
organization license.
(a-5) If, within 360 days of the effective date of this
Act, a dispensing organization is unable to find a location
within the BLS Regions prescribed in subsection (a) of this
Section in which to operate an Early Approval Adult Use
Dispensing Organization at a secondary site because no
jurisdiction within the prescribed area allows the operation of
an Adult Use Cannabis Dispensing Organization, the Department
of Financial and Professional Regulation may waive the
geographic restrictions of subsection (a) of this Section and
specify another BLS Region into which the dispensary may be
placed.
(a) (b) Any medical cannabis dispensing organization
holding a valid registration under the Compassionate Use of
Medical Cannabis Pilot Program Act as of the effective date of
this Act may, within 60 days of the effective date of this Act,
apply to the Department for an Early Approval Adult Use
Dispensing Organization License to operate a dispensing
organization to serve purchasers at a secondary site not within
1,500 feet of another medical cannabis dispensing organization
or adult use dispensing organization. The Early Approval Adult
Use Dispensing Organization secondary site shall be within any
BLS Region region that shares territory with the dispensing
organization district to which the medical cannabis dispensing
organization is assigned under the administrative rules for
dispensing organizations under the Compassionate Use of
Medical Cannabis Pilot Program Act.
(a-5) If, within 360 days of the effective date of this
Act, a dispensing organization is unable to find a location
within the BLS Regions prescribed in subsection (a) of this
Section in which to operate an Early Approval Adult Use
Dispensing Organization at a secondary site because no
jurisdiction within the prescribed area allows the operation of
an Adult Use Cannabis Dispensing Organization, the Department
of Financial and Professional Regulation may waive the
geographic restrictions of subsection (a) of this Section and
specify another BLS Region into which the dispensary may be
placed.
(b) (Blank).
(c) A medical cannabis dispensing organization seeking
issuance of an Early Approval Adult Use Dispensing Organization
License at a secondary site to serve purchasers at a secondary
site as prescribed in subsection (a) (b) of this Section shall
submit an application on forms provided by the Department. The
application must meet or include the following qualifications:
(1) a payment of a nonrefundable application fee of
$30,000;
(2) proof of registration as a medical cannabis
dispensing organization that is in good standing;
(3) submission of the application by the same person or
entity that holds the medical cannabis dispensing
organization registration;
(4) the legal name of the medical cannabis dispensing
organization;
(5) the physical address of the medical cannabis
dispensing organization and the proposed physical address
of the secondary site;
(6) a copy of the current local zoning ordinance
Sections relevant to dispensary operations and
documentation of the approval, the conditional approval or
the status of a request for zoning approval from the local
zoning office that the proposed dispensary location is in
compliance with the local zoning rules;
(7) a plot plan of the dispensary drawn to scale. The
applicant shall submit general specifications of the
building exterior and interior layout;
(8) a statement that the dispensing organization
agrees to respond to the Department's supplemental
requests for information;
(9) for the building or land to be used as the proposed
dispensary:
(A) if the property is not owned by the applicant,
a written statement from the property owner and
landlord, if any, certifying consent that the
applicant may operate a dispensary on the premises; or
(B) if the property is owned by the applicant,
confirmation of ownership;
(10) a copy of the proposed operating bylaws;
(11) a copy of the proposed business plan that complies
with the requirements in this Act, including, at a minimum,
the following:
(A) a description of services to be offered; and
(B) a description of the process of dispensing
cannabis;
(12) a copy of the proposed security plan that complies
with the requirements in this Article, including:
(A) a description of the delivery process by which
cannabis will be received from a transporting
organization, including receipt of manifests and
protocols that will be used to avoid diversion, theft,
or loss at the dispensary acceptance point; and
(B) the process or controls that will be
implemented to monitor the dispensary, secure the
premises, agents, patients, and currency, and prevent
the diversion, theft, or loss of cannabis; and
(C) the process to ensure that access to the
restricted access areas is restricted to, registered
agents, service professionals, transporting
organization agents, Department inspectors, and
security personnel;
(13) a proposed inventory control plan that complies
with this Section;
(14) the name, address, social security number, and
date of birth of each principal officer and board member of
the dispensing organization; each of those individuals
shall be at least 21 years of age;
(15) a nonrefundable Cannabis Business Development Fee
equal to $200,000, to be deposited into the Cannabis
Business Development Fund; and
(16) a commitment to completing one of the following
Social Equity Inclusion Plans in subsection (d).
(d) Before receiving an Early Approval Adult Use Dispensing
Organization License at a secondary site, a dispensing
organization shall indicate the Social Equity Inclusion Plan
that the applicant plans to achieve before the expiration of
the Early Approval Adult Use Dispensing Organization License
from the list below:
(1) make a contribution of 3% of total sales from June
1, 2018 to June 1, 2019, or $100,000, whichever is less, to
the Cannabis Business Development Fund. This is in addition
to the fee required by paragraph (16) of subsection (c) of
this Section;
(2) make a grant of 3% of total sales from June 1, 2018
to June 1, 2019, or $100,000, whichever is less, to a
cannabis industry training or education program at an
Illinois community college as defined in the Public
Community College Act;
(3) make a donation of $100,000 or more to a program
that provides job training services to persons recently
incarcerated or that operates in a Disproportionately
Impacted Area;
(4) participate as a host in a cannabis business
establishment incubator program approved by the Department
of Commerce and Economic Opportunity, and in which an Early
Approval Adult Use Dispensing Organization License at a
secondary site holder agrees to provide a loan of at least
$100,000 and mentorship to incubate, for at least a year, a
Social Equity Applicant intending to seek a license or a
licensee that qualifies as a Social Equity Applicant for at
least a year. In this paragraph (4), "incubate" means
providing direct financial assistance and training
necessary to engage in licensed cannabis industry activity
similar to that of the host licensee. The Early Approval
Adult Use Dispensing Organization License holder or the
same entity holding any other licenses issued under this
Act shall not take an ownership stake of greater than 10%
in any business receiving incubation services to comply
with this subsection. If an Early Approval Adult Use
Dispensing Organization License at a secondary site holder
fails to find a business to incubate in order to comply
with this subsection before its Early Approval Adult Use
Dispensing Organization License at a secondary site
expires, it may opt to meet the requirement of this
subsection by completing another item from this subsection
before the expiration of its Early Approval Adult Use
Dispensing Organization License at a secondary site to
avoid a penalty; or
(5) participate in a sponsorship program for at least 2
years approved by the Department of Commerce and Economic
Opportunity in which an Early Approval Adult Use Dispensing
Organization License at a secondary site holder agrees to
provide an interest-free loan of at least $200,000 to a
Social Equity Applicant. The sponsor shall not take an
ownership stake of greater than 10% in any business
receiving sponsorship services to comply with this
subsection.
(e) The license fee required by paragraph (1) of subsection
(c) of this Section is in addition to any license fee required
for the renewal of a registered medical cannabis dispensing
organization license.
(f) Applicants must submit all required information,
including the requirements in subsection (c) of this Section,
to the Department. Failure by an applicant to submit all
required information may result in the application being
disqualified. Principal officers shall not be required to
submit to the fingerprint and background check requirements of
Section 5-20.
(g) If the Department receives an application that fails to
provide the required elements contained in subsection (c), the
Department shall issue a deficiency notice to the applicant.
The applicant shall have 10 calendar days from the date of the
deficiency notice to submit complete information. Applications
that are still incomplete after this opportunity to cure may be
disqualified.
(h) Once all required information and documents have been
submitted, the Department will review the application. The
Department may request revisions and retains final approval
over dispensary features. Once the application is complete and
meets the Department's approval, the Department shall
conditionally approve the license. Final approval is
contingent on the build-out and Department inspection.
(i) Upon submission of the Early Approval Adult Use
Dispensing Organization at a secondary site application, the
applicant shall request an inspection and the Department may
inspect the Early Approval Adult Use Dispensing Organization's
secondary site to confirm compliance with the application and
this Act.
(j) The Department shall only issue an Early Approval Adult
Use Dispensing Organization License at a secondary site after
the completion of a successful inspection.
(k) If an applicant passes the inspection under this
Section, the Department shall issue the Early Approval Adult
Use Dispensing Organization License at a secondary site within
10 business days unless:
(1) The licensee, any principal officer or board member
of the licensee, or any person having a financial or voting
interest of 5% or greater in the licensee ; principal
officer, board member, or person having a financial or
voting interest of 5% or greater in the licensee; or agent
is delinquent in filing any required tax returns or paying
any amounts owed to the State of Illinois; or
(2) The Secretary of Financial and Professional
Regulation determines there is reason, based on documented
compliance violations, the licensee is not entitled to an
Early Approval Adult Use Dispensing Organization License
at its secondary site.
(l) Once the Department has issued a license, the
dispensing organization shall notify the Department of the
proposed opening date.
(m) A registered medical cannabis dispensing organization
that obtains an Early Approval Adult Use Dispensing
Organization License at a secondary site may begin selling
cannabis, cannabis-infused products, paraphernalia, and
related items to purchasers under the rules of this Act no
sooner than January 1, 2020.
(n) If there is a shortage of cannabis or cannabis-infused
products, a dispensing organization holding both a dispensing
organization license under the Compassionate Use of Medical
Cannabis Pilot Program Act and this Article shall prioritize
serving qualifying patients and caregivers before serving
purchasers.
(o) An Early Approval Adult Use Dispensing Organization
License at a secondary site is valid until March 31, 2021. A
dispensing organization that obtains an Early Approval Adult
Use Dispensing Organization License at a secondary site shall
receive written or electronic notice 90 days before the
expiration of the license that the license will expire, and
inform the license holder that it may renew its Early Approval
Adult Use Dispensing Organization License at a secondary site.
The Department shall renew an Early Approval Adult Use
Dispensing Organization License at a secondary site within 60
days of submission of the renewal application being deemed
complete if:
(1) the dispensing organization submits an application
and the required nonrefundable renewal fee of $30,000, to
be deposited into the Cannabis Regulation Fund;
(2) the Department has not suspended or permanently
revoked the Early Approval Adult Use Dispensing
Organization License or a medical cannabis dispensing
organization license held by the same person or entity for
violating this Act or rules adopted under this Act or the
Compassionate Use of Medical Cannabis Pilot Program Act or
rules adopted under that Act; and
(3) the dispensing organization has completed a Social
Equity Inclusion Plan provided as required by paragraph
(1), (2), or (3) (16) of subsection (d) (c) of this Section
or has made substantial progress toward completing a Social
Equity Inclusion Plan provided by paragraph (4) or (5) of
subsection (d) of this Section.
(p) The Early Approval Adult Use Dispensing Organization
Licensee at a secondary site renewed pursuant to subsection (o)
shall receive written or electronic notice 90 days before the
expiration of the license that the license will expire, and
that informs inform the license holder that it may apply for an
Adult Use Dispensing Organization License on forms provided by
the Department. The Department shall grant an Adult Use
Dispensing Organization License within 60 days of an
application being deemed complete if the applicant has meet all
of the criteria in Section 15-36.
(q) If a dispensing organization fails to submit an
application for renewal of an Early Approval Adult Use
Dispensing Organization License or for an Adult Use Dispensing
Organization License before the expiration dates provided in
subsections (o) and (p) of this Section, the dispensing
organization shall cease serving purchasers until it receives a
renewal or an Adult Use Dispensing Organization License.
(r) A dispensing organization agent who holds a valid
dispensing organization agent identification card issued under
the Compassionate Use of Medical Cannabis Pilot Program Act and
is an officer, director, manager, or employee of the dispensing
organization licensed under this Section may engage in all
activities authorized by this Article to be performed by a
dispensing organization agent.
(s) If the Department suspends, permanently revokes, or
otherwise disciplines the Early Approval Adult Use Dispensing
Organization License of a dispensing organization that also
holds a medical cannabis dispensing organization license
issued under the Compassionate Use of Medical Cannabis Program
Act, the Department may consider the suspension, permanent
revocation, or other discipline or revokes the Early Approval
Adult Use Dispensing Organization License of a dispensing
organization that also holds a medical cannabis dispensing
organization license issued under the Compassionate Use of
Medical Cannabis Pilot Program Act, the Department may consider
the suspension or revocation as grounds to take disciplinary
action against the medical cannabis dispensing organization.
(t) All fees collected pursuant to this Section shall be
deposited into the Cannabis Regulation Fund, unless otherwise
specified or fines collected from an Early Approval Adult Use
Dispensary Organization License at a secondary site holder as a
result of a disciplinary action in the enforcement of this Act
shall be deposited into the Cannabis Regulation Fund and be
appropriated to the Department for the ordinary and contingent
expenses of the Department in the administration and
enforcement of this Section.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-25)
Sec. 15-25. Awarding of Conditional Adult Use Dispensing
Organization Licenses prior to January 1, 2021.
(a) The Department shall issue up to 75 Conditional Adult
Use Dispensing Organization Licenses before May 1, 2020.
(b) The Department shall make the application for a
Conditional Adult Use Dispensing Organization License
available no later than October 1, 2019 and shall accept
applications no later than January 1, 2020.
(c) To ensure the geographic dispersion of Conditional
Adult Use Dispensing Organization License holders, the
following number of licenses shall be awarded in each BLS
Region as determined by each region's percentage of the State's
population:
(1) Bloomington: 1
(2) Cape Girardeau: 1
(3) Carbondale-Marion: 1
(4) Champaign-Urbana: 1
(5) Chicago-Naperville-Elgin: 47
(6) Danville: 1
(7) Davenport-Moline-Rock Island: 1
(8) Decatur: 1
(9) Kankakee: 1
(10) Peoria: 3
(11) Rockford: 2
(12) St. Louis: 4
(13) Springfield: 1
(14) Northwest Illinois nonmetropolitan: 3
(15) West Central Illinois nonmetropolitan: 3
(16) East Central Illinois nonmetropolitan: 2
(17) South Illinois nonmetropolitan: 2
(d) An applicant seeking issuance of a Conditional Adult
Use Dispensing Organization License shall submit an
application on forms provided by the Department. An applicant
must meet the following requirements:
(1) Payment of a nonrefundable application fee of
$5,000 for each license for which the applicant is
applying, which shall be deposited into the Cannabis
Regulation Fund;
(2) Certification that the applicant will comply with
the requirements contained in this Act;
(3) The legal name of the proposed dispensing
organization;
(4) A statement that the dispensing organization
agrees to respond to the Department's supplemental
requests for information;
(5) From each principal officer, a statement
indicating whether that person:
(A) has previously held or currently holds an
ownership interest in a cannabis business
establishment in Illinois; or
(B) has held an ownership interest in a dispensing
organization or its equivalent in another state or
territory of the United States that had the dispensing
organization registration or license suspended,
revoked, placed on probationary status, or subjected
to other disciplinary action;
(6) Disclosure of whether any principal officer has
ever filed for bankruptcy or defaulted on spousal support
or child support obligation;
(7) A resume for each principal officer, including
whether that person has an academic degree, certification,
or relevant experience with a cannabis business
establishment or in a related industry;
(8) A description of the training and education that
will be provided to dispensing organization agents;
(9) A copy of the proposed operating bylaws;
(10) A copy of the proposed business plan that complies
with the requirements in this Act, including, at a minimum,
the following:
(A) A description of services to be offered; and
(B) A description of the process of dispensing
cannabis;
(11) A copy of the proposed security plan that complies
with the requirements in this Article, including:
(A) The process or controls that will be
implemented to monitor the dispensary, secure the
premises, agents, and currency, and prevent the
diversion, theft, or loss of cannabis; and
(B) The process to ensure that access to the
restricted access areas is restricted to, registered
agents, service professionals, transporting
organization agents, Department inspectors, and
security personnel;
(12) A proposed inventory control plan that complies
with this Section;
(13) A proposed floor plan, a square footage estimate,
and a description of proposed security devices, including,
without limitation, cameras, motion detectors, servers,
video storage capabilities, and alarm service providers;
(14) The name, address, social security number, and
date of birth of each principal officer and board member of
the dispensing organization; each of those individuals
shall be at least 21 years of age;
(15) Evidence of the applicant's status as a Social
Equity Applicant, if applicable, and whether a Social
Equity Applicant plans to apply for a loan or grant issued
by the Department of Commerce and Economic Opportunity;
(16) The address, telephone number, and email address
of the applicant's principal place of business, if
applicable. A post office box is not permitted;
(17) Written summaries of any information regarding
instances in which a business or not-for-profit that a
prospective board member previously managed or served on
were fined or censured, or any instances in which a
business or not-for-profit that a prospective board member
previously managed or served on had its registration
suspended or revoked in any administrative or judicial
proceeding;
(18) A plan for community engagement;
(19) Procedures to ensure accurate recordkeeping and
security measures that are in accordance with this Article
and Department rules;
(20) The estimated volume of cannabis it plans to store
at the dispensary;
(21) A description of the features that will provide
accessibility to purchasers as required by the Americans
with Disabilities Act;
(22) A detailed description of air treatment systems
that will be installed to reduce odors;
(23) A reasonable assurance that the issuance of a
license will not have a detrimental impact on the community
in which the applicant wishes to locate;
(24) The dated signature of each principal officer;
(25) A description of the enclosed, locked facility
where cannabis will be stored by the dispensing
organization;
(26) Signed statements from each dispensing
organization agent stating that he or she will not divert
cannabis;
(27) The number of licenses it is applying for in each
BLS Region;
(28) A diversity plan that includes a narrative of at
least 2,500 words that establishes a goal of diversity in
ownership, management, employment, and contracting to
ensure that diverse participants and groups are afforded
equality of opportunity;
(29) A contract with a private security contractor that
is licensed under Section 10-5 of the Private Detective,
Private Alarm, Private Security, Fingerprint Vendor, and
Locksmith Act of 2004 in order for the dispensary to have
adequate security at its facility; and
(30) Other information deemed necessary by the
Illinois Cannabis Regulation Oversight Officer to conduct
the disparity and availability study referenced in
subsection (e) of Section 5-45.
(e) An applicant who receives a Conditional Adult Use
Dispensing Organization License under this Section has 180 days
from the date of award to identify a physical location for the
dispensing organization retail storefront. Before a
conditional licensee receives an authorization to build out the
dispensing organization from the Department, the Department
shall inspect the physical space selected by the conditional
licensee. The Department shall verify the site is suitable for
public access, the layout promotes the safe dispensing of
cannabis, the location is sufficient in size, power allocation,
lighting, parking, handicapped accessible parking spaces,
accessible entry and exits as required by the Americans with
Disabilities Act, product handling, and storage. The applicant
shall also provide a statement of reasonable assurance that the
issuance of a license will not have a detrimental impact on the
community. The applicant shall also provide evidence that the
location is not within 1,500 feet of an existing dispensing
organization. If an applicant is unable to find a suitable
physical address in the opinion of the Department within 180
days of the issuance of the Conditional Adult Use Dispensing
Organization License, the Department may extend the period for
finding a physical address another 180 days if the Conditional
Adult Use Dispensing Organization License holder demonstrates
concrete attempts to secure a location and a hardship. If the
Department denies the extension or the Conditional Adult Use
Dispensing Organization License holder is unable to find a
location or become operational within 360 days of being awarded
a conditional license, the Department shall rescind the
conditional license and award it to the next highest scoring
applicant in the BLS Region for which the license was assigned,
provided the applicant receiving the license: (i) confirms a
continued interest in operating a dispensing organization;
(ii) can provide evidence that the applicant continues to meet
all requirements for holding a Conditional Adult Use Dispensing
Organization License set forth in this Act the financial
requirements provided in subsection (c) of this Section; and
(iii) has not otherwise become ineligible to be awarded a
dispensing organization license. If the new awardee is unable
to accept the Conditional Adult Use Dispensing Organization
License, the Department shall award the Conditional Adult Use
Dispensing Organization License to the next highest scoring
applicant in the same manner. The new awardee shall be subject
to the same required deadlines as provided in this subsection.
(e-5) If, within 180 days of being awarded a Conditional
Adult Use Dispensing Organization License license, a
dispensing organization is unable to find a location within the
BLS Region in which it was awarded a Conditional Adult Use
Dispensing Organization License license because no
jurisdiction within the BLS Region allows for the operation of
an Adult Use Dispensing Organization, the Department of
Financial and Professional Regulation may authorize the
Conditional Adult Use Dispensing Organization License holder
to transfer its license to a BLS Region specified by the
Department.
(f) A dispensing organization that is awarded a Conditional
Adult Use Dispensing Organization License pursuant to the
criteria in Section 15-30 shall not purchase, possess, sell, or
dispense cannabis or cannabis-infused products until the
person has received an Adult Use Dispensing Organization
License issued by the Department pursuant to Section 15-36 of
this Act. The Department shall not issue an Adult Use
Dispensing Organization License until:
(1) the Department has inspected the dispensary site
and proposed operations and verified that they are in
compliance with this Act and local zoning laws; and
(2) the Conditional Adult Use Dispensing Organization
License holder has paid a registration fee of $60,000, or a
prorated amount accounting for the difference of time
between when the Adult Use Dispensing Organization License
is issued and March 31 of the next even-numbered year.
(g) The Department shall conduct a background check of the
prospective organization agents in order to carry out this
Article. The Department of State Police shall charge the
applicant a fee for conducting the criminal history record
check, which shall be deposited into the State Police Services
Fund and shall not exceed the actual cost of the record check.
Each person applying as a dispensing organization agent shall
submit a full set of fingerprints to the Department of State
Police for the purpose of obtaining a State and federal
criminal records check. These fingerprints shall be checked
against the fingerprint records now and hereafter, to the
extent allowed by law, filed in the Department of State Police
and Federal Bureau of Identification criminal history records
databases. The Department of State Police shall furnish,
following positive identification, all Illinois conviction
information to the Department.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-30)
Sec. 15-30. Selection criteria for conditional licenses
awarded under Section 15-25.
(a) Applicants for a Conditional Adult Use Dispensing
Organization License must submit all required information,
including the information required in Section 15-25, to the
Department. Failure by an applicant to submit all required
information may result in the application being disqualified.
(b) If the Department receives an application that fails to
provide the required elements contained in this Section, the
Department shall issue a deficiency notice to the applicant.
The applicant shall have 10 calendar days from the date of the
deficiency notice to resubmit the incomplete information.
Applications that are still incomplete after this opportunity
to cure will not be scored and will be disqualified.
(c) The Department will award up to 250 points to complete
applications based on the sufficiency of the applicant's
responses to required information. Applicants will be awarded
points based on a determination that the application
satisfactorily includes the following elements:
(1) Suitability of Employee Training Plan (15 points).
The plan includes an employee training plan that
demonstrates that employees will understand the rules
and laws to be followed by dispensary employees, have
knowledge of any security measures and operating
procedures of the dispensary, and are able to advise
purchasers on how to safely consume cannabis and use
individual products offered by the dispensary.
(2) Security and Recordkeeping (65 points).
(A) The security plan accounts for the prevention
of the theft or diversion of cannabis. The security
plan demonstrates safety procedures for dispensing
organization dispensary agents and purchasers, and
safe delivery and storage of cannabis and currency. It
demonstrates compliance with all security requirements
in this Act and rules.
(B) A plan for recordkeeping, tracking, and
monitoring inventory, quality control, and other
policies and procedures that will promote standard
recordkeeping and discourage unlawful activity. This
plan includes the applicant's strategy to communicate
with the Department and the Department of State Police
on the destruction and disposal of cannabis. The plan
must also demonstrate compliance with this Act and
rules.
(C) The security plan shall also detail which
private security contractor licensed under Section
10-5 of the Private Detective, Private Alarm, Private
Security, Fingerprint Vendor, and Locksmith Act of
2004 the dispensary will contract with in order to
provide adequate security at its facility.
(3) Applicant's Business Plan, Financials, Operating
and Floor Plan (65 points).
(A) The business plan shall describe, at a minimum,
how the dispensing organization will be managed on a
long-term basis. This shall include a description of
the dispensing organization's point-of-sale system,
purchases and denials of sale, confidentiality, and
products and services to be offered. It will
demonstrate compliance with this Act and rules.
(B) The operating plan shall include, at a minimum,
best practices for day-to-day dispensary operation and
staffing. The operating plan may also include
information about employment practices, including
information about the percentage of full-time
employees who will be provided a living wage.
(C) The proposed floor plan is suitable for public
access, the layout promotes safe dispensing of
cannabis, is compliant with the Americans with
Disabilities Act and the Environmental Barriers Act,
and facilitates safe product handling and storage.
(4) Knowledge and Experience (30 points).
(A) The applicant's principal officers must
demonstrate experience and qualifications in business
management or experience with the cannabis industry.
This includes ensuring optimal safety and accuracy in
the dispensing and sale of cannabis.
(B) The applicant's principal officers must
demonstrate knowledge of various cannabis product
strains or varieties and describe the types and
quantities of products planned to be sold. This
includes confirmation of whether the dispensing
organization plans to sell cannabis paraphernalia or
edibles.
(C) Knowledge and experience may be demonstrated
through experience in other comparable industries that
reflect on the applicant's ability to operate a
cannabis business establishment.
(5) Status as a Social Equity Applicant (50 points).
The applicant meets the qualifications for a
Social Equity Applicant as set forth in this Act.
(6) Labor and employment practices (5 points): The
applicant may describe plans to provide a safe, healthy,
and economically beneficial working environment for its
agents, including, but not limited to, codes of conduct,
health care benefits, educational benefits, retirement
benefits, living wage standards, and entering a labor peace
agreement with employees.
(7) Environmental Plan (5 points): The applicant may
demonstrate an environmental plan of action to minimize the
carbon footprint, environmental impact, and resource needs
for the dispensary, which may include, without limitation,
recycling cannabis product packaging.
(8) Illinois owner (5 points): The applicant is 51% or
more owned and controlled by an Illinois resident, who can
prove residency in each of the past 5 years with tax
records or 2 of the following: .
(A) a signed lease agreement that includes the
applicant's name;
(B) a property deed that includes the applicant's
name;
(C) school records;
(D) a voter registration card;
(E) an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a
Disability Identification Card;
(F) a paycheck stub;
(G) a utility bill; or
(H) any other proof of residency or other
information necessary to establish residence as
provided by rule.
(9) Status as veteran (5 points): The applicant is 51%
or more controlled and owned by an individual or
individuals who meet the qualifications of a veteran as
defined by Section 45-57 of the Illinois Procurement Code.
(10) A diversity plan (5 points): that includes a
narrative of not more than 2,500 words that establishes a
goal of diversity in ownership, management, employment,
and contracting to ensure that diverse participants and
groups are afforded equality of opportunity.
(d) The Department may also award up to 2 bonus points for
a plan to engage with the community. The applicant may
demonstrate a desire to engage with its community by
participating in one or more of, but not limited to, the
following actions: (i) establishment of an incubator program
designed to increase participation in the cannabis industry by
persons who would qualify as Social Equity Applicants; (ii)
providing financial assistance to substance abuse treatment
centers; (iii) educating children and teens about the potential
harms of cannabis use; or (iv) other measures demonstrating a
commitment to the applicant's community. Bonus points will only
be awarded if the Department receives applications that receive
an equal score for a particular region.
(e) The Department may verify information contained in each
application and accompanying documentation to assess the
applicant's veracity and fitness to operate a dispensing
organization.
(f) The Department may, in its discretion, refuse to issue
an authorization to any applicant:
(1) Who is unqualified to perform the duties required
of the applicant;
(2) Who fails to disclose or states falsely any
information called for in the application;
(3) Who has been found guilty of a violation of this
Act, or whose medical cannabis dispensing organization,
medical cannabis cultivation organization, or Early
Approval Adult Use Dispensing Organization License, or
Early Approval Adult Use Dispensing Organization License
at a secondary site, or Early Approval Cultivation Center
License was suspended, restricted, revoked, or denied for
just cause, or the applicant's cannabis business
establishment license was suspended, restricted, revoked,
or denied in any other state; or
(4) Who has engaged in a pattern or practice of unfair
or illegal practices, methods, or activities in the conduct
of owning a cannabis business establishment or other
business.
(g) The Department shall deny the license if any principal
officer, board member, or person having a financial or voting
interest of 5% or greater in the licensee is delinquent in
filing any required tax returns or paying any amounts owed to
the State of Illinois.
(h) The Department shall verify an applicant's compliance
with the requirements of this Article and rules before issuing
a dispensing organization license.
(i) Should the applicant be awarded a license, the
information and plans provided in the application, including
any plans submitted for bonus points, shall become a condition
of the Conditional Adult Use Dispensing Organization Licenses
and any Adult Use Dispensing Organization License issued to the
holder of the Conditional Adult Use Dispensing Organization
License, except as otherwise provided by this Act or rule.
Dispensing organizations have a duty to disclose any material
changes to the application. The Department shall review all
material changes disclosed by the dispensing organization, and
may re-evaluate its prior decision regarding the awarding of a
license, including, but not limited to, suspending or
permanently revoking a license. Failure to comply with the
conditions or requirements in the application may subject the
dispensing organization to discipline, up to and including
suspension or permanent revocation of its authorization or
license by the Department.
(j) If an applicant has not begun operating as a dispensing
organization within one year of the issuance of the Conditional
Adult Use Dispensing Organization License, the Department may
permanently revoke the Conditional Adult Use Dispensing
Organization License and award it to the next highest scoring
applicant in the BLS Region if a suitable applicant indicates a
continued interest in the license or begin a new selection
process to award a Conditional Adult Use Dispensing
Organization License.
(k) The Department shall deny an application if granting
that application would result in a single person or entity
having a direct or indirect financial interest in more than 10
Early Approval Adult Use Dispensing Organization Licenses,
Conditional Adult Use Dispensing Organization Licenses, or
Adult Use Dispensing Organization Licenses. Any entity that is
awarded a license that results in a single person or entity
having a direct or indirect financial interest in more than 10
licenses shall forfeit the most recently issued license and
suffer a penalty to be determined by the Department, unless the
entity declines the license at the time it is awarded.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-35)
Sec. 15-35. Conditional Adult Use Dispensing Organization
License after January 1, 2021.
(a) In addition to any of the licenses issued in Sections
15-15, Section 15-20, or Section 15-25 of this Act, by December
21, 2021, the Department shall issue up to 110 Conditional
Adult Use Dispensing Organization Licenses, pursuant to the
application process adopted under this Section. Prior to
issuing such licenses, the Department may adopt rules through
emergency rulemaking in accordance with subsection (gg) of
Section 5-45 of the Illinois Administrative Procedure Act. The
General Assembly finds that the adoption of rules to regulate
cannabis use is deemed an emergency and necessary for the
public interest, safety, and welfare. Such rules may:
(1) Modify or change the BLS Regions as they apply to
this Article or modify or raise the number of Adult
Conditional Use Dispensing Organization Licenses assigned
to each region based on the following factors:
(A) Purchaser wait times;
(B) Travel time to the nearest dispensary for
potential purchasers;
(C) Percentage of cannabis sales occurring in
Illinois not in the regulated market using data from
the Substance Abuse and Mental Health Services
Administration, National Survey on Drug Use and
Health, Illinois Behavioral Risk Factor Surveillance
System, and tourism data from the Illinois Office of
Tourism to ascertain total cannabis consumption in
Illinois compared to the amount of sales in licensed
dispensing organizations;
(D) Whether there is an adequate supply of cannabis
and cannabis-infused products to serve registered
medical cannabis patients;
(E) Population increases or shifts;
(F) Density of dispensing organizations in a
region;
(G) The Department's capacity to appropriately
regulate additional licenses;
(H) The findings and recommendations from the
disparity and availability study commissioned by the
Illinois Cannabis Regulation Oversight Officer in
subsection (e) of Section 5-45 to reduce or eliminate
any identified barriers to entry in the cannabis
industry; and
(I) Any other criteria the Department deems
relevant.
(2) Modify or change the licensing application process
to reduce or eliminate the barriers identified in the
disparity and availability study commissioned by the
Illinois Cannabis Regulation Oversight Officer and make
modifications to remedy evidence of discrimination.
(b) After January 1, 2022, the Department may by rule
modify or raise the number of Adult Use Dispensing Organization
Licenses assigned to each region, and modify or change the
licensing application process to reduce or eliminate barriers
based on the criteria in subsection (a). At no time shall the
Department issue more than 500 Adult Use Dispensing Dispensary
Organization Licenses.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-36)
Sec. 15-36. Adult Use Dispensing Organization License.
(a) A person is only eligible to receive an Adult Use
Dispensing Organization if the person has been awarded a
Conditional Adult Use Dispensing Organization License pursuant
to this Act or has renewed its license pursuant to subsection
(k) of Section 15-15 or subsection (p) of Section 15-20.
(b) The Department shall not issue an Adult Use Dispensing
Organization License until:
(1) the Department has inspected the dispensary site
and proposed operations and verified that they are in
compliance with this Act and local zoning laws;
(2) the Conditional Adult Use Dispensing Organization
License holder has paid a license registration fee of
$60,000 or a prorated amount accounting for the difference
of time between when the Adult Use Dispensing Organization
License is issued and March 31 of the next even-numbered
year; and
(3) the Conditional Adult Use Dispensing Organization
License holder has met all the requirements in this the Act
and rules.
(c) No person or entity shall hold any legal, equitable,
ownership, or beneficial interest, directly or indirectly, of
more than 10 dispensing organizations licensed under this
Article. Further, no person or entity that is:
(1) employed by, is an agent of, or participates in the
management of a dispensing organization or registered
medical cannabis dispensing organization;
(2) a principal officer of a dispensing organization or
registered medical cannabis dispensing organization; or
(3) an entity controlled by or affiliated with a
principal officer of a dispensing organization or
registered medical cannabis dispensing organization;
shall hold any legal, equitable, ownership, or beneficial
interest, directly or indirectly, in a dispensing organization
that would result in such person or entity owning or
participating in the management of more than 10 Early Approval
Adult Use Dispensing Organization Licenses, Early Approval
Adult Use Dispensing Organization Licenses at a secondary site,
Conditional Adult Use Dispensing Organization Licenses, or
Adult Use Dispensing Organization Licenses dispensing
organizations. For the purpose of this subsection,
participating in management may include, without limitation,
controlling decisions regarding staffing, pricing, purchasing,
marketing, store design, hiring, and website design.
(d) The Department shall deny an application if granting
that application would result in a person or entity obtaining
direct or indirect financial interest in more than 10 Early
Approval Adult Use Dispensing Organization Licenses,
Conditional Adult Use Dispensing Organization Licenses, Adult
Use Dispensing Organization Licenses, or any combination
thereof. If a person or entity is awarded a Conditional Adult
Use Dispensing Organization License that would cause the person
or entity to be in violation of this subsection, he, she, or it
shall choose which license application it wants to abandon and
such licenses shall become available to the next qualified
applicant in the region in which the abandoned license was
awarded.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-40)
Sec. 15-40. Dispensing organization agent identification
card; agent training.
(a) The Department shall:
(1) verify the information contained in an application
or renewal for a dispensing organization agent
identification card submitted under this Article, and
approve or deny an application or renewal, within 30 days
of receiving a completed application or renewal
application and all supporting documentation required by
rule;
(2) issue a dispensing organization agent
identification card to a qualifying agent within 15
business days of approving the application or renewal;
(3) enter the registry identification number of the
dispensing organization where the agent works;
(4) within one year from the effective date of this
Act, allow for an electronic application process and
provide a confirmation by electronic or other methods that
an application has been submitted; and
(5) collect a $100 nonrefundable fee from the applicant
to be deposited into the Cannabis Regulation Fund.
(b) A dispensing organization agent must keep his or her
identification card visible at all times when in the dispensary
on the property of the dispensing organization.
(c) The dispensing organization agent identification cards
shall contain the following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
dispensing organization agent identification cards;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the cardholder; and
(4) a photograph of the cardholder.
(d) The dispensing organization agent identification cards
shall be immediately returned to the dispensing organization
upon termination of employment.
(e) The Department shall not issue an agent identification
card if the applicant is delinquent in filing any required tax
returns or paying any amounts owed to the State of Illinois.
(f) Any card lost by a dispensing organization agent shall
be reported to the Department of State Police and the
Department immediately upon discovery of the loss.
(g) An applicant shall be denied a dispensing organization
agent identification card renewal if he or she fails to
complete the training provided for in this Section.
(h) A dispensing organization agent shall only be required
to hold one card for the same employer regardless of what type
of dispensing organization license the employer holds.
(i) Cannabis retail sales training requirements.
(1) Within 90 days of September 1, 2019, or 90 days of
employment, whichever is later, all owners, managers,
employees, and agents involved in the handling or sale of
cannabis or cannabis-infused product employed by an adult
use dispensing organization or medical cannabis dispensing
organization as defined in Section 10 of the Compassionate
Use of Medical Cannabis Pilot Program Act shall attend and
successfully complete a Responsible Vendor Program.
(2) Each owner, manager, employee, and agent of an
adult use dispensing organization or medical cannabis
dispensing organization shall successfully complete the
program annually.
(3) Responsible Vendor Program Training modules shall
include at least 2 hours of instruction time approved by
the Department including:
(i) Health and safety concerns of cannabis use,
including the responsible use of cannabis, its
physical effects, onset of physiological effects,
recognizing signs of impairment, and appropriate
responses in the event of overconsumption.
(ii) Training on laws and regulations on driving
while under the influence and operating a watercraft or
snowmobile while under the influence.
(iii) Sales to minors prohibition. Training shall
cover all relevant Illinois laws and rules.
(iv) Quantity limitations on sales to purchasers.
Training shall cover all relevant Illinois laws and
rules.
(v) Acceptable forms of identification. Training
shall include:
(I) How to check identification; and
(II) Common mistakes made in verification;
(vi) Safe storage of cannabis;
(vii) Compliance with all inventory tracking
system regulations;
(viii) Waste handling, management, and disposal;
(ix) Health and safety standards;
(x) Maintenance of records;
(xi) Security and surveillance requirements;
(xii) Permitting inspections by State and local
licensing and enforcement authorities;
(xiii) Privacy issues;
(xiv) Packaging and labeling requirement for sales
to purchasers; and
(xv) Other areas as determined by rule.
(j) Blank.
(k) Upon the successful completion of the Responsible
Vendor Program, the provider shall deliver proof of completion
either through mail or electronic communication to the
dispensing organization, which shall retain a copy of the
certificate.
(l) The license of a dispensing organization or medical
cannabis dispensing organization whose owners, managers,
employees, or agents fail to comply with this Section may be
suspended or permanently revoked under Section 15-145 or may
face other disciplinary action.
(m) The regulation of dispensing organization and medical
cannabis dispensing employer and employee training is an
exclusive function of the State, and regulation by a unit of
local government, including a home rule unit, is prohibited.
This subsection (m) is a denial and limitation of home rule
powers and functions under subsection (h) of Section 6 of
Article VII of the Illinois Constitution.
(n) Persons seeking Department approval to offer the
training required by paragraph (3) of subsection (i) may apply
for such approval between August 1 and August 15 of each
odd-numbered year in a manner prescribed by the Department.
(o) Persons seeking Department approval to offer the
training required by paragraph (3) of subsection (i) shall
submit a nonrefundable non-refundable application fee of
$2,000 to be deposited into the Cannabis Regulation Fund or a
fee as may be set by rule. Any changes made to the training
module shall be approved by the Department.
(p) The Department shall not unreasonably deny approval of
a training module that meets all the requirements of paragraph
(3) of subsection (i). A denial of approval shall include a
detailed description of the reasons for the denial.
(q) Any person approved to provide the training required by
paragraph (3) of subsection (i) shall submit an application for
re-approval between August 1 and August 15 of each odd-numbered
year and include a nonrefundable non-refundable application
fee of $2,000 to be deposited into the Cannabis Regulation Fund
or a fee as may be set by rule.
(r) All persons applying to become or renewing their
registrations to be agents, including agents-in-charge and
principal officers, shall disclose any disciplinary action
taken against them that may have occurred in Illinois, another
state, or another country in relation to their employment at a
cannabis business establishment or at any cannabis cultivation
center, processor, infuser, dispensary, or other cannabis
business establishment.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-55)
Sec. 15-55. Financial responsibility. Evidence of
financial responsibility is a requirement for the issuance,
maintenance, or reactivation of a license under this Article.
Evidence of financial responsibility shall be used to guarantee
that the dispensing organization timely and successfully
completes dispensary construction, operates in a manner that
provides an uninterrupted supply of cannabis, faithfully pays
registration renewal fees, keeps accurate books and records,
makes regularly required reports, complies with State tax
requirements, and conducts the dispensing organization in
conformity with this Act and rules. Evidence of financial
responsibility shall be provided by one of the following:
(1) Establishing and maintaining an escrow or surety
account in a financial institution in the amount of
$50,000, with escrow terms, approved by the Department,
that it shall be payable to the Department in the event of
circumstances outlined in this Act and rules.
(A) A financial institution may not return money in
an escrow or surety account to the dispensing
organization that established the account or a
representative of the organization unless the
organization or representative presents a statement
issued by the Department indicating that the account
may be released.
(B) The escrow or surety account shall not be
canceled on less than 30 days' notice in writing to the
Department, unless otherwise approved by the
Department. If an escrow or surety account is canceled
and the registrant fails to secure a new account with
the required amount on or before the effective date of
cancellation, the registrant's registration may be
permanently revoked. The total and aggregate liability
of the surety on the bond is limited to the amount
specified in the escrow or surety account.
(2) Providing a surety bond in the amount of $50,000,
naming the dispensing organization as principal of the
bond, with terms, approved by the Department, that the bond
defaults to the Department in the event of circumstances
outlined in this Act and rules. Bond terms shall include:
(A) The business name and registration number on
the bond must correspond exactly with the business name
and registration number in the Department's records.
(B) The bond must be written on a form approved by
the Department.
(C) A copy of the bond must be received by the
Department within 90 days after the effective date.
(D) The bond shall not be canceled by a surety on
less than 30 days' notice in writing to the Department.
If a bond is canceled and the registrant fails to file
a new bond with the Department in the required amount
on or before the effective date of cancellation, the
registrant's registration may be permanently revoked.
The total and aggregate liability of the surety on the
bond is limited to the amount specified in the bond.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-65)
Sec. 15-65. Administration.
(a) A dispensing organization shall establish, maintain,
and comply with written policies and procedures as submitted in
the Business, Financial and Operating plan as required in this
Article or by rules established by the Department, and approved
by the Department, for the security, storage, inventory, and
distribution of cannabis. These policies and procedures shall
include methods for identifying, recording, and reporting
diversion, theft, or loss, and for correcting errors and
inaccuracies in inventories. At a minimum, dispensing
organizations shall ensure the written policies and procedures
provide for the following:
(1) Mandatory and voluntary recalls of cannabis
products. The policies shall be adequate to deal with
recalls due to any action initiated at the request of the
Department and any voluntary action by the dispensing
organization to remove defective or potentially defective
cannabis from the market or any action undertaken to
promote public health and safety, including:
(i) A mechanism reasonably calculated to contact
purchasers who have, or likely have, obtained the
product from the dispensary, including information on
the policy for return of the recalled product;
(ii) A mechanism to identify and contact the adult
use cultivation center, craft grower, or infuser that
manufactured the cannabis;
(iii) Policies for communicating with the
Department, the Department of Agriculture, and the
Department of Public Health within 24 hours of
discovering defective or potentially defective
cannabis; and
(iv) Policies for destruction of any recalled
cannabis product;
(2) Responses to local, State, or national
emergencies, including natural disasters, that affect the
security or operation of a dispensary;
(3) Segregation and destruction of outdated, damaged,
deteriorated, misbranded, or adulterated cannabis. This
procedure shall provide for written documentation of the
cannabis disposition;
(4) Ensure the oldest stock of a cannabis product is
distributed first. The procedure may permit deviation from
this requirement, if such deviation is temporary and
appropriate;
(5) Training of dispensing organization agents in the
provisions of this Act and rules, to effectively operate
the point-of-sale system and the State's verification
system, proper inventory handling and tracking, specific
uses of cannabis or cannabis-infused products, instruction
regarding regulatory inspection preparedness and law
enforcement interaction, awareness of the legal
requirements for maintaining status as an agent, and other
topics as specified by the dispensing organization or the
Department. The dispensing organization shall maintain
evidence of all training provided to each agent in its
files that is subject to inspection and audit by the
Department. The dispensing organization shall ensure
agents receive a minimum of 8 hours of training subject to
the requirements in subsection (i) of Section 15-40
annually, unless otherwise approved by the Department;
(6) Maintenance of business records consistent with
industry standards, including bylaws, consents, manual or
computerized records of assets and liabilities, audits,
monetary transactions, journals, ledgers, and supporting
documents, including agreements, checks, invoices,
receipts, and vouchers. Records shall be maintained in a
manner consistent with this Act and shall be retained for 5
years;
(7) Inventory control, including:
(i) Tracking purchases and denials of sale;
(ii) Disposal of unusable or damaged cannabis as
required by this Act and rules; and
(8) Purchaser education and support, including:
(i) Whether possession of cannabis is illegal
under federal law;
(ii) Current educational information issued by the
Department of Public Health about the health risks
associated with the use or abuse of cannabis;
(iii) Information about possible side effects;
(iv) Prohibition on smoking cannabis in public
places; and
(v) Offering any other appropriate purchaser
education or support materials.
(b) Blank.
(c) A dispensing organization shall maintain copies of the
policies and procedures on the dispensary premises and provide
copies to the Department upon request. The dispensing
organization shall review the dispensing organization policies
and procedures at least once every 12 months from the issue
date of the license and update as needed due to changes in
industry standards or as requested by the Department.
(d) A dispensing organization shall ensure that each
principal officer and each dispensing organization agent has a
current agent identification card in the agent's immediate
possession when the agent is at the dispensary.
(e) A dispensing organization shall provide prompt written
notice to the Department, including the date of the event, when
a dispensing organization agent no longer is employed by the
dispensing organization.
(f) A dispensing organization shall promptly document and
report any loss or theft of cannabis from the dispensary to the
Department of State Police and the Department. It is the duty
of any dispensing organization agent who becomes aware of the
loss or theft to report it as provided in this Article.
(g) A dispensing organization shall post the following
information in a conspicuous location in an area of the
dispensary accessible to consumers:
(1) The dispensing organization's license;
(2) The hours of operation.
(h) Signage that shall be posted inside the premises.
(1) All dispensing organizations must display a
placard that states the following: "Cannabis consumption
can impair cognition and driving, is for adult use only,
may be habit forming, and should not be used by pregnant or
breastfeeding women.".
(2) Any dispensing organization that sells edible
cannabis-infused products must display a placard that
states the following:
(A) "Edible cannabis-infused products were
produced in a kitchen that may also process common food
allergens."; and
(B) "The effects of cannabis products can vary from
person to person, and it can take as long as two hours
to feel the effects of some cannabis-infused products.
Carefully review the portion size information and
warnings contained on the product packaging before
consuming.".
(3) All of the required signage in this subsection (h)
shall be no smaller than 24 inches tall by 36 inches wide,
with typed letters no smaller than 2 inches. The signage
shall be clearly visible and readable by customers. The
signage shall be placed in the area where cannabis and
cannabis-infused products are sold and may be translated
into additional languages as needed. The Department may
require a dispensary to display the required signage in a
different language, other than English, if the Secretary
deems it necessary.
(i) A dispensing organization shall prominently post
notices inside the dispensing organization that state
activities that are strictly prohibited and punishable by law,
including, but not limited to:
(1) no minors permitted on the premises unless the
minor is a minor qualifying patient under the Compassionate
Use of Medical Cannabis Pilot Program Act;
(2) distribution to persons under the age of 21 is
prohibited;
(3) transportation of cannabis or cannabis products
across state lines is prohibited.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-70)
Sec. 15-70. Operational requirements; prohibitions.
(a) A dispensing organization shall operate in accordance
with the representations made in its application and license
materials. It shall be in compliance with this Act and rules.
(b) A dispensing organization must include the legal name
of the dispensary on the packaging of any cannabis product it
sells.
(c) All cannabis, cannabis-infused products, and cannabis
seeds must be obtained from an Illinois registered adult use
cultivation center, craft grower, infuser, or another
dispensary.
(d) Dispensing organizations are prohibited from selling
any product containing alcohol except tinctures, which must be
limited to containers that are no larger than 100 milliliters.
(e) A dispensing organization shall inspect and count
product received from a transporting organization, by the adult
use cultivation center, craft grower, infuser organization, or
other dispensing organization before dispensing it.
(f) A dispensing organization may only accept cannabis
deliveries into a restricted access area. Deliveries may not be
accepted through the public or limited access areas unless
otherwise approved by the Department.
(g) A dispensing organization shall maintain compliance
with State and local building, fire, and zoning requirements or
regulations.
(h) A dispensing organization shall submit a list to the
Department of the names of all service professionals that will
work at the dispensary. The list shall include a description of
the type of business or service provided. Changes to the
service professional list shall be promptly provided. No
service professional shall work in the dispensary until the
name is provided to the Department on the service professional
list.
(i) A dispensing organization's license allows for a
dispensary to be operated only at a single location.
(j) A dispensary may operate between 6 a.m. and 10 p.m.
local time.
(k) A dispensing organization must keep all lighting
outside and inside the dispensary in good working order and
wattage sufficient for security cameras.
(l) A dispensing organization must keep all air treatment
systems that will be installed to reduce odors in good working
order.
(m) A dispensing organization must contract with a private
security contractor that is licensed under Section 10-5 of the
Private Detective, Private Alarm, Private Security,
Fingerprint Vendor, and Locksmith Act of 2004 to provide
on-site security at all hours of the dispensary's operation.
(n) (l) A dispensing organization shall ensure that any
building or equipment used by a dispensing organization for the
storage or sale of cannabis is maintained in a clean and
sanitary condition.
(o) (m) The dispensary shall be free from infestation by
insects, rodents, or pests.
(p) (n) A dispensing organization shall not:
(1) Produce or manufacture cannabis;
(2) Accept a cannabis product from an adult use
cultivation center, craft grower, infuser, dispensing
organization, or transporting organization unless it is
pre-packaged and labeled in accordance with this Act and
any rules that may be adopted pursuant to this Act;
(3) Obtain cannabis or cannabis-infused products from
outside the State of Illinois;
(4) Sell cannabis or cannabis-infused products to a
purchaser unless the dispensing dispensary organization is
licensed under the Compassionate Use of Medical Cannabis
Pilot Program Act, and the individual is registered under
the Compassionate Use of Medical Cannabis Pilot Program or
the purchaser has been verified to be over the age of 21
years of age or older;
(5) Enter into an exclusive agreement with any adult
use cultivation center, craft grower, or infuser.
Dispensaries shall provide consumers an assortment of
products from various cannabis business establishment
licensees such that the inventory available for sale at any
dispensary from any single cultivation center, craft
grower, processor, transporter, or infuser entity shall
not be more than 40% of the total inventory available for
sale. For the purpose of this subsection, a cultivation
center, craft grower, processor, or infuser shall be
considered part of the same entity if the licensees share
at least one principal officer. The Department may request
that a dispensary diversify its products as needed or
otherwise discipline a dispensing organization for
violating this requirement;
(6) Refuse to conduct business with an adult use
cultivation center, craft grower, transporting
organization, or infuser that has the ability to properly
deliver the product and is permitted by the Department of
Agriculture, on the same terms as other adult use
cultivation centers, craft growers, infusers, or
transporters with whom it is dealing;
(7) Operate drive-through windows;
(8) Allow for the dispensing of cannabis or
cannabis-infused products in vending machines;
(9) Transport cannabis to residences or other
locations where purchasers may be for delivery;
(10) Enter into agreements to allow persons who are not
dispensing organization agents to deliver cannabis or to
transport cannabis to purchasers; .
(11) Operate a dispensary if its video surveillance
equipment is inoperative;
(12) Operate a dispensary if the point-of-sale
equipment is inoperative;
(13) Operate a dispensary if the State's cannabis
electronic verification system is inoperative;
(14) Have fewer than 2 people working at the dispensary
at any time while the dispensary is open;
(15) Be located within 1,500 feet of the property line
of a pre-existing dispensing organization;
(16) Sell clones or any other live plant material;
(17) Sell cannabis, cannabis concentrate, or
cannabis-infused products in combination or bundled with
each other or any other items for one price, and each item
of cannabis, concentrate, or cannabis-infused product must
be separately identified by quantity and price on the
receipt;
(18) Violate any other requirements or prohibitions
set by Department rules.
(q) (o) It is unlawful for any person having an Early
Approval Adult Use Cannabis Dispensing Organization License, a
Conditional Adult Use Cannabis Dispensing Organization, an
Adult Use Dispensing Organization License, or a medical
cannabis dispensing organization license issued under the
Compassionate Use of Medical Cannabis Pilot Program Act or any
officer, associate, member, representative, or agent of such
licensee to accept, receive, or borrow money or anything else
of value or accept or receive credit (other than merchandising
credit in the ordinary course of business for a period not to
exceed 30 days) directly or indirectly from any adult use
cultivation center, craft grower, infuser, or transporting
organization in exchange for preferential placement on the
dispensing organization's shelves, display cases, or website.
This includes anything received or borrowed or from any
stockholders, officers, agents, or persons connected with an
adult use cultivation center, craft grower, infuser, or
transporting organization. This also excludes any received or
borrowed in exchange for preferential placement by the
dispensing organization, including preferential placement on
the dispensing organization's shelves, display cases, or
website.
(r) (p) It is unlawful for any person having an Early
Approval Adult Use Cannabis Dispensing Organization License, a
Conditional Adult Use Cannabis Dispensing Organization, an
Adult Use Dispensing Organization License, or a medical
cannabis dispensing organization license issued under the
Compassionate Use of Medical Cannabis Pilot Program to enter
into any contract with any person licensed to cultivate,
process, or transport cannabis whereby such dispensing
dispensary organization agrees not to sell any cannabis
cultivated, processed, transported, manufactured, or
distributed by any other cultivator, transporter, or infuser,
and any provision in any contract violative of this Section
shall render the whole of such contract void and no action
shall be brought thereon in any court.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-75)
Sec. 15-75. Inventory control system.
(a) A dispensing organization agent-in-charge shall have
primary oversight of the dispensing organization's cannabis
inventory verification system, and its point-of-sale system.
The inventory point-of-sale system shall be real-time,
web-based, and accessible by the Department at any time. The
point-of-sale system shall track, at a minimum the date of
sale, amount, price, and currency.
(b) A dispensing organization shall establish an account
with the State's verification system that documents:
(1) Each sales transaction at the time of sale and each
day's beginning inventory, acquisitions, sales, disposal,
and ending inventory.
(2) Acquisition of cannabis and cannabis-infused
products from a licensed adult use cultivation center,
craft grower, infuser, or transporter, including:
(i) A description of the products, including the
quantity, strain, variety, and batch number of each
product received;
(ii) The name and registry identification number
of the licensed adult use cultivation center, craft
grower, or infuser providing the cannabis and
cannabis-infused products;
(iii) The name and registry identification number
of the licensed adult use cultivation center, craft
grower, infuser, or transporting transportation agent
delivering the cannabis;
(iv) The name and registry identification number
of the dispensing organization agent receiving the
cannabis; and
(v) The date of acquisition.
(3) The disposal of cannabis, including:
(i) A description of the products, including the
quantity, strain, variety, batch number, and reason
for the cannabis being disposed;
(ii) The method of disposal; and
(iii) The date and time of disposal.
(c) Upon cannabis delivery, a dispensing organization
shall confirm the product's name, strain name, weight, and
identification number on the manifest matches the information
on the cannabis product label and package. The product name
listed and the weight listed in the State's verification system
shall match the product packaging.
(d) The agent-in-charge shall conduct daily inventory
reconciliation documenting and balancing cannabis inventory by
confirming the State's verification system matches the
dispensing organization's point-of-sale system and the amount
of physical product at the dispensary.
(1) A dispensing organization must receive Department
approval before completing an inventory adjustment. It
shall provide a detailed reason for the adjustment.
Inventory adjustment documentation shall be kept at the
dispensary for 2 years from the date performed.
(2) If the dispensing organization identifies an
imbalance in the amount of cannabis after the daily
inventory reconciliation due to mistake, the dispensing
organization shall determine how the imbalance occurred
and immediately upon discovery take and document
corrective action. If the dispensing organization cannot
identify the reason for the mistake within 2 calendar days
after first discovery, it shall inform the Department
immediately in writing of the imbalance and the corrective
action taken to date. The dispensing organization shall
work diligently to determine the reason for the mistake.
(3) If the dispensing organization identifies an
imbalance in the amount of cannabis after the daily
inventory reconciliation or through other means due to
theft, criminal activity, or suspected criminal activity,
the dispensing organization shall immediately determine
how the reduction occurred and take and document corrective
action. Within 24 hours after the first discovery of the
reduction due to theft, criminal activity, or suspected
criminal activity, the dispensing organization shall
inform the Department and the Department of State Police in
writing.
(4) The dispensing organization shall file an annual
compilation report with the Department, including a
financial statement that shall include, but not be limited
to, an income statement, balance sheet, profit and loss
statement, statement of cash flow, wholesale cost and
sales, and any other documentation requested by the
Department in writing. The financial statement shall
include any other information the Department deems
necessary in order to effectively administer this Act and
all rules, orders, and final decisions promulgated under
this Act. Statements required by this Section shall be
filed with the Department within 60 days after the end of
the calendar year. The compilation report shall include a
letter authored by a licensed certified public accountant
that it has been reviewed and is accurate based on the
information provided. The dispensing organization,
financial statement, and accompanying documents are not
required to be audited unless specifically requested by the
Department.
(e) A dispensing organization shall:
(1) Maintain the documentation required in this
Section in a secure locked location at the dispensing
organization for 5 years from the date on the document;
(2) Provide any documentation required to be
maintained in this Section to the Department for review
upon request; and
(3) If maintaining a bank account, retain for a period
of 5 years a record of each deposit or withdrawal from the
account.
(f) If a dispensing organization chooses to have a return
policy for cannabis and cannabis products, the dispensing
organization shall seek prior approval from the Department.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-85)
Sec. 15-85. Dispensing cannabis.
(a) Before a dispensing organization agent dispenses
cannabis to a purchaser, the agent shall:
(1) Verify the age of the purchaser by checking a
government-issued identification card by use of an
electronic reader or electronic scanning device to scan a
purchaser's government-issued identification, if
applicable, to determine the purchaser's age and the
validity of the identification;
(2) Verify the validity of the government-issued
identification card by use of an electronic reader or
electronic scanning device to scan a purchaser's
government-issued identification, if applicable, to
determine the purchaser's age and the validity of the
identification;
(3) Offer any appropriate purchaser education or
support materials;
(4) Enter the following information into the State's
cannabis electronic verification system:
(i) The dispensing organization agent's
identification number;
(ii) The dispensing organization's identification
number;
(iii) The amount, type (including strain, if
applicable) of cannabis or cannabis-infused product
dispensed;
(iv) The date and time the cannabis was dispensed.
(b) A dispensing organization shall refuse to sell cannabis
or cannabis-infused products to any person unless the person
produces a valid identification showing that the person is 21
years of age or older. A medical cannabis dispensing
organization may sell cannabis or cannabis-infused products to
a person who is under 21 years of age if the sale complies with
the provisions of the Compassionate Use of Medical Cannabis
Pilot Program Act and rules.
(c) For the purposes of this Section, valid identification
must:
(1) Be valid and unexpired;
(2) Contain a photograph and the date of birth of the
person.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-95)
Sec. 15-95. Agent-in-charge.
(a) Every dispensing organization shall designate, at a
minimum, one agent-in-charge for each licensed dispensary. The
designated agent-in-charge must hold a dispensing organization
agent identification card. Maintaining an agent-in-charge is a
continuing requirement for the license, except as provided in
subsection (f).
(b) The agent-in-charge shall be a principal officer or a
full-time agent of the dispensing organization and shall manage
the dispensary. Managing the dispensary includes, but is not
limited to, responsibility for opening and closing the
dispensary, delivery acceptance, oversight of sales and
dispensing organization agents, recordkeeping, inventory,
dispensing organization agent training, and compliance with
this Act and rules. Participation in affairs also includes the
responsibility for maintaining all files subject to audit or
inspection by the Department at the dispensary.
(c) The agent-in-charge is responsible for promptly
notifying the Department of any change of information required
to be reported to the Department.
(d) In determining whether an agent-in-charge manages the
dispensary, the Department may consider the responsibilities
identified in this Section, the number of dispensing
organization agents under the supervision of the
agent-in-charge, and the employment relationship between the
agent-in-charge and the dispensing organization, including the
existence of a contract for employment and any other relevant
fact or circumstance.
(e) The agent-in-charge is responsible for notifying the
Department of a change in the employment status of all
dispensing organization agents within 5 business days after the
change, including notice to the Department if the termination
of an agent was for diversion of product or theft of currency.
(f) In the event of the separation of an agent-in-charge
due to death, incapacity, termination, or any other reason and
if the dispensary does not have an active agent-in-charge, the
dispensing organization shall immediately contact the
Department and request a temporary certificate of authority
allowing the continuing operation. The request shall include
the name of an interim agent-in-charge until a replacement is
identified, or shall include the name of the replacement. The
Department shall issue the temporary certificate of authority
promptly after it approves the request. If a dispensing
organization fails to promptly request a temporary certificate
of authority after the separation of the agent-in-charge, its
registration shall cease until the Department approves the
temporary certificate of authority or registers a new
agent-in-charge. No temporary certificate of authority shall
be valid for more than 90 days. The succeeding agent-in-charge
shall register with the Department in compliance with this
Article. Once the permanent succeeding agent-in-charge is
registered with the Department, the temporary certificate of
authority is void. No temporary certificate of authority shall
be issued for the separation of an agent-in-charge due to
disciplinary action by the Department related to his or her
conduct on behalf of the dispensing organization.
(g) The dispensing organization agent-in-charge
registration shall expire one year from the date it is issued.
The agent-in-charge's registration shall be renewed annually.
The Department shall review the dispensing organization's
compliance history when determining whether to grant the
request to renew.
(h) Upon termination of an agent-in-charge's employment,
the dispensing organization shall immediately reclaim the
dispensing agent identification card. The dispensing
organization shall promptly return the identification card to
the Department.
(i) The Department may deny an application or renewal or
discipline or revoke an agent-in-charge identification card
for any of the following reasons:
(1) Submission of misleading, incorrect, false, or
fraudulent information in the application or renewal
application;
(2) Violation of the requirements of this Act or rules;
(3) Fraudulent use of the agent-in-charge
identification card;
(4) Selling, distributing, transferring in any manner,
or giving cannabis to any unauthorized person;
(5) Theft of cannabis, currency, or any other items
from a dispensary; .
(6) Tampering with, falsifying, altering, modifying,
or duplicating an agent-in-charge identification card;
(7) Tampering with, falsifying, altering, or modifying
the surveillance video footage, point-of-sale system, or
the State's verification system;
(8) Failure to notify the Department immediately upon
discovery that the agent-in-charge identification card has
been lost, stolen, or destroyed;
(9) Failure to notify the Department within 5 business
days after a change in the information provided in the
application for an agent-in-charge identification card;
(10) Conviction of a felony offense in accordance with
Sections 2105-131, 2105-135, and 2105-205 of the
Department of Professional Regulation Law of the Civil
Administrative Code of Illinois or any incident listed in
this Act or rules following the issuance of an
agent-in-charge identification card;
(11) Dispensing to purchasers in amounts above the
limits provided in this Act; or
(12) Delinquency in filing any required tax returns or
paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-4-19.)
(410 ILCS 705/15-100)
Sec. 15-100. Security.
(a) A dispensing organization shall implement security
measures to deter and prevent entry into and theft of cannabis
or currency.
(b) A dispensing organization shall submit any changes to
the floor plan or security plan to the Department for
pre-approval. All cannabis shall be maintained and stored in a
restricted access area during construction.
(c) The dispensing organization shall implement security
measures to protect the premises, purchasers, and dispensing
organization agents including, but not limited to the
following:
(1) Establish a locked door or barrier between the
facility's entrance and the limited access area;
(2) Prevent individuals from remaining on the premises
if they are not engaging in activity permitted by this Act
or rules;
(3) Develop a policy that addresses the maximum
capacity and purchaser flow in the waiting rooms and
limited access areas;
(4) Dispose of cannabis in accordance with this Act and
rules;
(5) During hours of operation, store and dispense all
cannabis from the restricted access area. During
operational hours, cannabis shall be stored in an enclosed
locked room or cabinet and accessible only to specifically
authorized dispensing organization agents;
(6) When the dispensary is closed, store all cannabis
and currency in a reinforced vault room in the restricted
access area and in a manner as to prevent diversion, theft,
or loss;
(7) Keep the reinforced vault room and any other
equipment or cannabis storage areas securely locked and
protected from unauthorized entry;
(8) Keep an electronic daily log of dispensing
organization agents with access to the reinforced vault
room and knowledge of the access code or combination;
(9) Keep all locks and security equipment in good
working order;
(10) Maintain an operational security and alarm system
at all times;
(11) Prohibit keys, if applicable, from being left in
the locks, or stored or placed in a location accessible to
persons other than specifically authorized personnel;
(12) Prohibit accessibility of security measures,
including combination numbers, passwords, or electronic or
biometric security systems to persons other than
specifically authorized dispensing organization agents;
(13) Ensure that the dispensary interior and exterior
premises are sufficiently lit to facilitate surveillance;
(14) Ensure that trees, bushes, and other foliage
outside of the dispensary premises do not allow for a
person or persons to conceal themselves from sight;
(15) Develop emergency policies and procedures for
securing all product and currency following any instance of
diversion, theft, or loss of cannabis, and conduct an
assessment to determine whether additional safeguards are
necessary; and
(16) Develop sufficient additional safeguards in
response to any special security concerns, or as required
by the Department.
(d) The Department may request or approve alternative
security provisions that it determines are an adequate
substitute for a security requirement specified in this
Article. Any additional protections may be considered by the
Department in evaluating overall security measures.
(e) A dispensing dispensary organization may share
premises with a craft grower or an infuser organization, or
both, provided each licensee stores currency and cannabis or
cannabis-infused products in a separate secured vault to which
the other licensee does not have access or all licensees
sharing a vault share more than 50% of the same ownership.
(f) A dispensing organization shall provide additional
security as needed and in a manner appropriate for the
community where it operates.
(g) Restricted access areas.
(1) All restricted access areas must be identified by
the posting of a sign that is a minimum of 12 inches by 12
inches and that states "Do Not Enter - Restricted Access
Area - Authorized Personnel Only" in lettering no smaller
than one inch in height.
(2) All restricted access areas shall be clearly
described in the floor plan of the premises, in the form
and manner determined by the Department, reflecting walls,
partitions, counters, and all areas of entry and exit. The
floor plan shall show all storage, disposal, and retail
sales areas.
(3) All restricted access areas must be secure, with
locking devices that prevent access from the limited access
areas.
(h) Security and alarm.
(1) A dispensing organization shall have an adequate
security plan and security system to prevent and detect
diversion, theft, or loss of cannabis, currency, or
unauthorized intrusion using commercial grade equipment
installed by an Illinois licensed private alarm contractor
or private alarm contractor agency that shall, at a
minimum, include:
(i) A perimeter alarm on all entry points and glass
break protection on perimeter windows;
(ii) Security shatterproof tinted film on exterior
windows;
(iii) A failure notification system that provides
an audible, text, or visual notification of any failure
in the surveillance system, including, but not limited
to, panic buttons, alarms, and video monitoring
system. The failure notification system shall provide
an alert to designated dispensing organization agents
within 5 minutes after the failure, either by telephone
or text message;
(iv) A duress alarm, panic button, and alarm, or
holdup alarm and after-hours intrusion detection alarm
that by design and purpose will directly or indirectly
notify, by the most efficient means, the Public Safety
Answering Point for the law enforcement agency having
primary jurisdiction;
(v) Security equipment to deter and prevent
unauthorized entrance into the dispensary, including
electronic door locks on the limited and restricted
access areas that include devices or a series of
devices to detect unauthorized intrusion that may
include a signal system interconnected with a radio
frequency method, cellular, private radio signals or
other mechanical or electronic device.
(2) All security system equipment and recordings shall
be maintained in good working order, in a secure location
so as to prevent theft, loss, destruction, or alterations.
(3) Access to surveillance monitoring recording
equipment shall be limited to persons who are essential to
surveillance operations, law enforcement authorities
acting within their jurisdiction, security system service
personnel, and the Department. A current list of authorized
dispensing organization agents and service personnel that
have access to the surveillance equipment must be available
to the Department upon request.
(4) All security equipment shall be inspected and
tested at regular intervals, not to exceed one month from
the previous inspection, and tested to ensure the systems
remain functional.
(5) The security system shall provide protection
against theft and diversion that is facilitated or hidden
by tampering with computers or electronic records.
(6) The dispensary shall ensure all access doors are
not solely controlled by an electronic access panel to
ensure that locks are not released during a power outage.
(i) To monitor the dispensary, the dispensing organization
shall incorporate continuous electronic video monitoring
including the following:
(1) All monitors must be 19 inches or greater;
(2) Unobstructed video surveillance of all enclosed
dispensary areas, unless prohibited by law, including all
points of entry and exit that shall be appropriate for the
normal lighting conditions of the area under surveillance.
The cameras shall be directed so all areas are captured,
including, but not limited to, safes, vaults, sales areas,
and areas where cannabis is stored, handled, dispensed, or
destroyed. Cameras shall be angled to allow for facial
recognition, the capture of clear and certain
identification of any person entering or exiting the
dispensary area and in lighting sufficient during all times
of night or day;
(3) Unobstructed video surveillance of outside areas,
the storefront, and the parking lot, that shall be
appropriate for the normal lighting conditions of the area
under surveillance. Cameras shall be angled so as to allow
for the capture of facial recognition, clear and certain
identification of any person entering or exiting the
dispensary and the immediate surrounding area, and license
plates of vehicles in the parking lot;
(4) 24-hour recordings from all video cameras
available for immediate viewing by the Department upon
request. Recordings shall not be destroyed or altered and
shall be retained for at least 90 days. Recordings shall be
retained as long as necessary if the dispensing
organization is aware of the loss or theft of cannabis or a
pending criminal, civil, or administrative investigation
or legal proceeding for which the recording may contain
relevant information;
(5) The ability to immediately produce a clear, color
still photo from the surveillance video, either live or
recorded;
(6) A date and time stamp embedded on all video
surveillance recordings. The date and time shall be
synchronized and set correctly and shall not significantly
obscure the picture;
(7) The ability to remain operational during a power
outage and ensure all access doors are not solely
controlled by an electronic access panel to ensure that
locks are not released during a power outage;
(8) All video surveillance equipment shall allow for
the exporting of still images in an industry standard image
format, including .jpg, .bmp, and .gif. Exported video
shall have the ability to be archived in a proprietary
format that ensures authentication of the video and
guarantees that no alteration of the recorded image has
taken place. Exported video shall also have the ability to
be saved in an industry standard file format that can be
played on a standard computer operating system. All
recordings shall be erased or destroyed before disposal;
(9) The video surveillance system shall be operational
during a power outage with a 4-hour minimum battery backup;
(10) A video camera or cameras recording at each
point-of-sale location allowing for the identification of
the dispensing organization agent distributing the
cannabis and any purchaser. The camera or cameras shall
capture the sale, the individuals and the computer monitors
used for the sale;
(11) A failure notification system that provides an
audible and visual notification of any failure in the
electronic video monitoring system; and
(12) All electronic video surveillance monitoring must
record at least the equivalent of 8 frames per second and
be available as recordings to the Department and the
Department of State Police 24 hours a day via a secure
web-based portal with reverse functionality.
(j) The requirements contained in this Act are minimum
requirements for operating a dispensing organization. The
Department may establish additional requirements by rule.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/15-145)
Sec. 15-145. Grounds for discipline.
(a) The Department may deny issuance, refuse to renew or
restore, or may reprimand, place on probation, suspend, revoke,
or take other disciplinary or nondisciplinary action against
any license or agent identification card or may impose a fine
for any of the following:
(1) Material misstatement in furnishing information to
the Department;
(2) Violations of this Act or rules;
(3) Obtaining an authorization or license by fraud or
misrepresentation;
(4) A pattern of conduct that demonstrates
incompetence or that the applicant has engaged in conduct
or actions that would constitute grounds for discipline
under this the Act;
(5) Aiding or assisting another person in violating any
provision of this Act or rules;
(6) Failing to respond to a written request for
information by the Department within 30 days;
(7) Engaging in unprofessional, dishonorable, or
unethical conduct of a character likely to deceive,
defraud, or harm the public;
(8) Adverse action by another United States
jurisdiction or foreign nation;
(9) A finding by the Department that the licensee,
after having his or her license placed on suspended or
probationary status, has violated the terms of the
suspension or probation;
(10) Conviction, entry of a plea of guilty, nolo
contendere, or the equivalent in a State or federal court
of a principal officer or agent-in-charge of a felony
offense in accordance with Sections 2105-131, 2105-135,
and 2105-205 of the Department of Professional Regulation
Law of the Civil Administrative Code of Illinois;
(11) Excessive use of or addiction to alcohol,
narcotics, stimulants, or any other chemical agent or drug;
(12) A finding by the Department of a discrepancy in a
Department audit of cannabis;
(13) A finding by the Department of a discrepancy in a
Department audit of capital or funds;
(14) A finding by the Department of acceptance of
cannabis from a source other than an Adult Use Cultivation
Center, craft grower, infuser, or transporting
organization licensed by the Department of Agriculture, or
a dispensing organization licensed by the Department;
(15) An inability to operate using reasonable
judgment, skill, or safety due to physical or mental
illness or other impairment or disability, including,
without limitation, deterioration through the aging
process or loss of motor skills or mental incompetence;
(16) Failing to report to the Department within the
time frames established, or if not identified, 14 days, of
any adverse action taken against the dispensing
organization or an agent by a licensing jurisdiction in any
state or any territory of the United States or any foreign
jurisdiction, any governmental agency, any law enforcement
agency or any court defined in this Section;
(17) Any violation of the dispensing organization's
policies and procedures submitted to the Department
annually as a condition for licensure;
(18) Failure to inform the Department of any change of
address within 10 business days;
(19) Disclosing customer names, personal information,
or protected health information in violation of any State
or federal law;
(20) Operating a dispensary before obtaining a license
from the Department;
(21) Performing duties authorized by this Act prior to
receiving a license to perform such duties;
(22) Dispensing cannabis when prohibited by this Act or
rules;
(23) Any fact or condition that, if it had existed at
the time of the original application for the license, would
have warranted the denial of the license;
(24) Permitting a person without a valid agent
identification card to perform licensed activities under
this Act;
(25) Failure to assign an agent-in-charge as required
by this Article;
(26) Failure to provide the training required by
paragraph (3) of subsection (i) of Section 15-40 within the
provided timeframe;
(27) Personnel insufficient in number or unqualified
in training or experience to properly operate the
dispensary business;
(28) Any pattern of activity that causes a harmful
impact on the community; and
(29) Failing to prevent diversion, theft, or loss of
cannabis.
(b) All fines and fees imposed under this Section shall be
paid within 60 days after the effective date of the order
imposing the fine or as otherwise specified in the order.
(c) A circuit court order establishing that an
agent-in-charge or principal officer holding an agent
identification card is subject to involuntary admission as that
term is defined in Section 1-119 or 1-119.1 of the Mental
Health and Developmental Disabilities Code shall operate as a
suspension of that card.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-4-19.)
(410 ILCS 705/15-155)
Sec. 15-155. Unlicensed practice; violation; civil penalty
Consent to administrative supervision order.
(a) In addition to any other penalty provided by law, any
person who practices, offers to practice, attempts to practice,
or holds oneself out to practice as a licensed dispensing
organization owner, principal officer, agent-in-charge, or
agent without being licensed under this Act shall, in addition
to any other penalty provided by law, pay a civil penalty to
the Department of Financial and Professional Regulation in an
amount not to exceed $10,000 for each offense as determined by
the Department. The civil penalty shall be assessed by the
Department after a hearing is held in accordance with the
provisions set forth in this Act regarding the provision of a
hearing for the discipline of a licensee.
(b) The Department has the authority and power to
investigate any and all unlicensed activity.
(c) The civil penalty shall be paid within 60 days after
the effective date of the order imposing the civil penalty or
in accordance with the order imposing the civil penalty. The
order shall constitute a judgment and may be filed and
execution had thereon in the same manner as any judgment from
any court of this State.
In appropriate cases, the Department may resolve a complaint
against a licensee or agent through the issuance of a consent
order for administrative supervision. A license or agent
subject to a consent order shall be considered by the
Department to hold a license or registration in good standing.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/20-10)
Sec. 20-10. Early Approval of Adult Use Cultivation Center
License.
(a) Any medical cannabis cultivation center registered and
in good standing under the Compassionate Use of Medical
Cannabis Pilot Program Act as of the effective date of this Act
may, within 60 days of the effective date of this Act but no
later than 180 days from the effective date of this Act, apply
to the Department of Agriculture for an Early Approval Adult
Use Cultivation Center License to produce cannabis and
cannabis-infused products at its existing facilities as of the
effective date of this Act.
(b) A medical cannabis cultivation center seeking issuance
of an Early Approval Adult Use Cultivation Center License shall
submit an application on forms provided by the Department of
Agriculture. The application must meet or include the following
qualifications:
(1) Payment of a nonrefundable application fee of
$100,000 to be deposited into the Cannabis Regulation Fund;
(2) Proof of registration as a medical cannabis
cultivation center that is in good standing;
(3) Submission of the application by the same person or
entity that holds the medical cannabis cultivation center
registration;
(4) Certification that the applicant will comply with
the requirements of Section 20-30;
(5) The legal name of the cultivation center;
(6) The physical address of the cultivation center;
(7) The name, address, social security number, and date
of birth of each principal officer and board member of the
cultivation center; each of those individuals shall be at
least 21 years of age;
(8) A nonrefundable Cannabis Business Development Fee
equal to 5% of the cultivation center's total sales between
June 1, 2018 to June 1, 2019 or $750,000, whichever is
less, but at not less than $250,000, to be deposited into
the Cannabis Business Development Fund; and
(9) A commitment to completing one of the following
Social Equity Inclusion Plans provided for in this
subsection (b) before the expiration of the Early Approval
Adult Use Cultivation Center License:
(A) A contribution of 5% of the cultivation
center's total sales from June 1, 2018 to June 1, 2019,
or $100,000, whichever is less, to one of the
following:
(i) the Cannabis Business Development Fund.
This is in addition to the fee required by item (8)
of this subsection (b);
(ii) a cannabis industry training or education
program at an Illinois community college as
defined in the Public Community College Act;
(iii) a program that provides job training
services to persons recently incarcerated or that
operates in a Disproportionately Impacted Area.
(B) Participate as a host in a cannabis business
incubator program for at least one year approved by the
Department of Commerce and Economic Opportunity, and
in which an Early Approval Adult Use Cultivation Center
License holder agrees to provide a loan of at least
$100,000 and mentorship to incubate, for at least a
year, a Social Equity Applicant intending to seek a
license or a licensee that qualifies as a Social Equity
Applicant. As used in this Section, "incubate" means
providing direct financial assistance and training
necessary to engage in licensed cannabis industry
activity similar to that of the host licensee. The
Early Approval Adult Use Cultivation Center License
holder or the same entity holding any other licenses
issued pursuant to this Act shall not take an ownership
stake of greater than 10% in any business receiving
incubation services to comply with this subsection. If
an Early Approval Adult Use Cultivation Center License
holder fails to find a business to incubate to comply
with this subsection before its Early Approval Adult
Use Cultivation Center License expires, it may opt to
meet the requirement of this subsection by completing
another item from this subsection prior to the
expiration of its Early Approval Adult Use Cultivation
Center License to avoid a penalty.
(c) An Early Approval Adult Use Cultivation Center License
is valid until March 31, 2021. A cultivation center that
obtains an Early Approval Adult Use Cultivation Center License
shall receive written or electronic notice 90 days before the
expiration of the license that the license will expire, and
inform the license holder that it may renew its Early Approval
Adult Use Cultivation Center License. The Department of
Agriculture shall grant a renewal of an Early Approval Adult
Use Cultivation Center License within 60 days of submission of
an application if:
(1) the cultivation center submits an application and
the required renewal fee of $100,000 for an Early Approval
Adult Use Cultivation Center License;
(2) the Department of Agriculture has not suspended the
license of the cultivation center or suspended or revoked
the license for violating this Act or rules adopted under
this Act; and
(3) the cultivation center has completed a Social
Equity Inclusion Plan as required by item (9) of subsection
(b) of this Section.
(c-5) The Early Approval Adult Use Cultivation Center
License renewed pursuant to subsection (c) of this Section
shall expire March 31, 2022. The Early Approval Adult Use
Cultivation Center Licensee shall receive written or
electronic notice 90 days before the expiration of the license
that the license will expire, and inform the license holder
that it may apply for an Adult Use Cultivation Center License.
The Department of Agriculture shall grant an Adult Use
Dispensing Organization License within 60 days of an
application being deemed complete if the applicant meets all of
the criteria in Section 20-21.
(d) The license fee required by paragraph (1) of subsection
(c) of this Section shall be in addition to any license fee
required for the renewal of a registered medical cannabis
cultivation center license that expires during the effective
period of the Early Approval Adult Use Cultivation Center
License.
(e) Applicants must submit all required information,
including the requirements in subsection (b) of this Section,
to the Department of Agriculture. Failure by an applicant to
submit all required information may result in the application
being disqualified.
(f) If the Department of Agriculture receives an
application with missing information, the Department may issue
a deficiency notice to the applicant. The applicant shall have
10 calendar days from the date of the deficiency notice to
submit complete information. Applications that are still
incomplete after this opportunity to cure may be disqualified.
(g) If an applicant meets all the requirements of
subsection (b) of this Section, the Department of Agriculture
shall issue the Early Approval Adult Use Cultivation Center
License within 14 days of receiving the application unless:
(1) The licensee; principal officer, board member, or
person having a financial or voting interest of 5% or
greater in the licensee; or agent is delinquent in filing
any required tax returns or paying any amounts owed to the
State of Illinois;
(2) The Director of Agriculture determines there is
reason, based on an inordinate number of documented
compliance violations, the licensee is not entitled to an
Early Approval Adult Use Cultivation Center License; or
(3) The licensee fails to commit to the Social Equity
Inclusion Plan.
(h) A cultivation center may begin producing cannabis and
cannabis-infused products once the Early Approval Adult Use
Cultivation Center License is approved. A cultivation center
that obtains an Early Approval Adult Use Cultivation Center
License may begin selling cannabis and cannabis-infused
products on December 1, 2019.
(i) An Early Approval Adult Use Cultivation Center License
holder must continue to produce and provide an adequate supply
of cannabis and cannabis-infused products for purchase by
qualifying patients and caregivers. For the purposes of this
subsection, "adequate supply" means a monthly production level
that is comparable in type and quantity to those medical
cannabis products produced for patients and caregivers on an
average monthly basis for the 6 months before the effective
date of this Act.
(j) If there is a shortage of cannabis or cannabis-infused
products, a license holder shall prioritize patients
registered under the Compassionate Use of Medical Cannabis
Pilot Program Act over adult use purchasers.
(k) If an Early Approval Adult Use Cultivation Center
licensee fails to submit an application for an Adult Use
Cultivation Center License before the expiration of the Early
Approval Adult Use Cultivation Center License pursuant to
subsection (c-5) of this Section, the cultivation center shall
cease adult use cultivation until it receives an Adult Use
Cultivation Center License.
(l) A cultivation center agent who holds a valid
cultivation center agent identification card issued under the
Compassionate Use of Medical Cannabis Pilot Program Act and is
an officer, director, manager, or employee of the cultivation
center licensed under this Section may engage in all activities
authorized by this Article to be performed by a cultivation
center agent.
(m) If the Department of Agriculture suspends or revokes
the Early Approval Adult Use Cultivation Center License of a
cultivation center that also holds a medical cannabis
cultivation center license issued under the Compassionate Use
of Medical Cannabis Pilot Program Act, the Department of
Agriculture may suspend or revoke the medical cannabis
cultivation center license concurrently with the Early
Approval Adult Use Cultivation Center License.
(n) All fees or fines collected from an Early Approval
Adult Use Cultivation Center License holder as a result of a
disciplinary action in the enforcement of this Act shall be
deposited into the Cannabis Regulation Fund.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/20-15)
Sec. 20-15. Conditional Adult Use Cultivation Center
application.
(a) If the Department of Agriculture makes available
additional cultivation center licenses pursuant to Section
20-5, applicants for a Conditional Adult Use Cultivation Center
License shall electronically submit the following in such form
as the Department of Agriculture may direct:
(1) the nonrefundable application fee set by rule by
the Department of Agriculture, to be deposited into the
Cannabis Regulation Fund;
(2) the legal name of the cultivation center;
(3) the proposed physical address of the cultivation
center;
(4) the name, address, social security number, and date
of birth of each principal officer and board member of the
cultivation center; each principal officer and board
member shall be at least 21 years of age;
(5) the details of any administrative or judicial
proceeding in which any of the principal officers or board
members of the cultivation center (i) pled guilty, were
convicted, were fined, or had a registration or license
suspended or revoked, or (ii) managed or served on the
board of a business or non-profit organization that pled
guilty, was convicted, was fined, or had a registration or
license suspended or revoked;
(6) proposed operating bylaws that include procedures
for the oversight of the cultivation center, including the
development and implementation of a plant monitoring
system, accurate recordkeeping, staffing plan, and
security plan approved by the Department of State Police
that are in accordance with the rules issued by the
Department of Agriculture under this Act. A physical
inventory shall be performed of all plants and cannabis on
a weekly basis by the cultivation center;
(7) verification from the Department of State Police
that all background checks of the prospective principal
officers, board members, and agents of the cannabis
business establishment have been conducted;
(8) a copy of the current local zoning ordinance or
permit and verification that the proposed cultivation
center is in compliance with the local zoning rules and
distance limitations established by the local
jurisdiction;
(9) proposed employment practices, in which the
applicant must demonstrate a plan of action to inform,
hire, and educate minorities, women, veterans, and persons
with disabilities, engage in fair labor practices, and
provide worker protections;
(10) whether an applicant can demonstrate experience
in or business practices that promote economic empowerment
in Disproportionately Impacted Areas;
(11) experience with the cultivation of agricultural
or horticultural products, operating an agriculturally
related business, or operating a horticultural business;
(12) a description of the enclosed, locked facility
where cannabis will be grown, harvested, manufactured,
processed, packaged, or otherwise prepared for
distribution to a dispensing organization;
(13) a survey of the enclosed, locked facility,
including the space used for cultivation;
(14) cultivation, processing, inventory, and packaging
plans;
(15) a description of the applicant's experience with
agricultural cultivation techniques and industry
standards;
(16) a list of any academic degrees, certifications, or
relevant experience of all prospective principal officers,
board members, and agents of the related business;
(17) the identity of every person having a financial or
voting interest of 5% or greater in the cultivation center
operation with respect to which the license is sought,
whether a trust, corporation, partnership, limited
liability company, or sole proprietorship, including the
name and address of each person;
(18) a plan describing how the cultivation center will
address each of the following:
(i) energy needs, including estimates of monthly
electricity and gas usage, to what extent it will
procure energy from a local utility or from on-site
generation, and if it has or will adopt a sustainable
energy use and energy conservation policy;
(ii) water needs, including estimated water draw
and if it has or will adopt a sustainable water use and
water conservation policy; and
(iii) waste management, including if it has or will
adopt a waste reduction policy;
(19) a diversity plan that includes a narrative of not
more than 2,500 words that establishes a goal of diversity
in ownership, management, employment, and contracting to
ensure that diverse participants and groups are afforded
equality of opportunity;
(20) any other information required by rule;
(21) a recycling plan:
(A) Purchaser packaging, including cartridges,
shall be accepted by the applicant and recycled.
(B) Any recyclable waste generated by the cannabis
cultivation facility shall be recycled per applicable
State and local laws, ordinances, and rules.
(C) Any cannabis waste, liquid waste, or hazardous
waste shall be disposed of in accordance with 8 Ill.
Adm. Code 1000.460, except, to the greatest extent
feasible, all cannabis plant waste will be rendered
unusable by grinding and incorporating the cannabis
plant waste with compostable mixed waste to be disposed
of in accordance with 8 Ill. Adm. Code 1000.460(g)(1);
(22) commitment to comply with local waste provisions:
a cultivation facility must remain in compliance with
applicable State and federal environmental requirements,
including, but not limited to:
(A) storing, securing, and managing all
recyclables and waste, including organic waste
composed of or containing finished cannabis and
cannabis products, in accordance with applicable State
and local laws, ordinances, and rules; and
(B) disposing Disposing liquid waste containing
cannabis or byproducts of cannabis processing in
compliance with all applicable State and federal
requirements, including, but not limited to, the
cannabis cultivation facility's permits under Title X
of the Environmental Protection Act; and
(23) a commitment to a technology standard for resource
efficiency of the cultivation center facility.
(A) A cannabis cultivation facility commits to use
resources efficiently, including energy and water. For
the following, a cannabis cultivation facility commits
to meet or exceed the technology standard identified in
items (i), (ii), (iii), and (iv), which may be modified
by rule:
(i) lighting systems, including light bulbs;
(ii) HVAC system;
(iii) water application system to the crop;
and
(iv) filtration system for removing
contaminants from wastewater.
(B) Lighting. The Lighting Power Densities (LPD)
for cultivation space commits to not exceed an average
of 36 watts per gross square foot of active and growing
space canopy, or all installed lighting technology
shall meet a photosynthetic photon efficacy (PPE) of no
less than 2.2 micromoles per joule fixture and shall be
featured on the DesignLights Consortium (DLC)
Horticultural Specification Qualified Products List
(QPL). In the event that DLC requirement for minimum
efficacy exceeds 2.2 micromoles per joule fixture,
that PPE shall become the new standard.
(C) HVAC.
(i) For cannabis grow operations with less
than 6,000 square feet of canopy, the licensee
commits that all HVAC units will be
high-efficiency ductless split HVAC units, or
other more energy efficient equipment.
(ii) For cannabis grow operations with 6,000
square feet of canopy or more, the licensee commits
that all HVAC units will be variable refrigerant
flow HVAC units, or other more energy efficient
equipment.
(D) Water application.
(i) The cannabis cultivation facility commits
to use automated watering systems, including, but
not limited to, drip irrigation and flood tables,
to irrigate cannabis crop.
(ii) The cannabis cultivation facility commits
to measure runoff from watering events and report
this volume in its water usage plan, and that on
average, watering events shall have no more than
20% of runoff of water.
(E) Filtration. The cultivator commits that HVAC
condensate, dehumidification water, excess runoff, and
other wastewater produced by the cannabis cultivation
facility shall be captured and filtered to the best of
the facility's ability to achieve the quality needed to
be reused in subsequent watering rounds.
(F) Reporting energy use and efficiency as
required by rule.
(b) Applicants must submit all required information,
including the information required in Section 20-10, to the
Department of Agriculture. Failure by an applicant to submit
all required information may result in the application being
disqualified.
(c) If the Department of Agriculture receives an
application with missing information, the Department of
Agriculture may issue a deficiency notice to the applicant. The
applicant shall have 10 calendar days from the date of the
deficiency notice to resubmit the incomplete information.
Applications that are still incomplete after this opportunity
to cure will not be scored and will be disqualified.
(e) A cultivation center that is awarded a Conditional
Adult Use Cultivation Center License pursuant to the criteria
in Section 20-20 shall not grow, purchase, possess, or sell
cannabis or cannabis-infused products until the person has
received an Adult Use Cultivation Center License issued by the
Department of Agriculture pursuant to Section 20-21 of this
Act.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-10-19.)
(410 ILCS 705/20-20)
Sec. 20-20. Conditional Adult Use License scoring
applications.
(a) The Department of Agriculture shall by rule develop a
system to score cultivation center applications to
administratively rank applications based on the clarity,
organization, and quality of the applicant's responses to
required information. Applicants shall be awarded points based
on the following categories:
(1) Suitability of the proposed facility;
(2) Suitability of employee training plan;
(3) Security and recordkeeping;
(4) Cultivation plan;
(5) Product safety and labeling plan;
(6) Business plan;
(7) The applicant's status as a Social Equity
Applicant, which shall constitute no less than 20% of total
available points;
(8) Labor and employment practices, which shall
constitute no less than 2% of total available points;
(9) Environmental plan as described in paragraphs
(18), (21), (22), and (23) of subsection (a) of Section
20-15;
(10) The applicant is 51% or more owned and controlled
by an individual or individuals who have been an Illinois
resident for the past 5 years as proved by tax records or 2
of the following: ;
(A) a signed lease agreement that includes the
applicant's name;
(B) a property deed that includes the applicant's
name;
(C) school records;
(D) a voter registration card;
(E) an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a
Disability Identification Card;
(F) a paycheck stub;
(G) a utility bill; or
(H) any other proof of residency or other
information necessary to establish residence as
provided by rule;
(11) The applicant is 51% or more controlled and owned
by an individual or individuals who meet the qualifications
of a veteran as defined by Section 45-57 of the Illinois
Procurement Code;
(12) a diversity plan that includes a narrative of not
more than 2,500 words that establishes a goal of diversity
in ownership, management, employment, and contracting to
ensure that diverse participants and groups are afforded
equality of opportunity; and
(13) Any other criteria the Department of Agriculture
may set by rule for points.
(b) The Department may also award bonus points for the
applicant's plan to engage with the community. Bonus points
will only be awarded if the Department receives applications
that receive an equal score for a particular region.
(c) Should the applicant be awarded a cultivation center
license, the information and plans that an applicant provided
in its application, including any plans submitted for the
acquiring of bonus points, becomes a mandatory condition of the
permit. Any variation from or failure to perform such plans may
result in discipline, including the revocation or nonrenewal of
a license.
(d) Should the applicant be awarded a cultivation center
license, it shall pay a fee of $100,000 prior to receiving the
license, to be deposited into the Cannabis Regulation Fund. The
Department of Agriculture may by rule adjust the fee in this
Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/20-30)
Sec. 20-30. Cultivation center requirements; prohibitions.
(a) The operating documents of a cultivation center shall
include procedures for the oversight of the cultivation center
a cannabis plant monitoring system including a physical
inventory recorded weekly, accurate recordkeeping, and a
staffing plan.
(b) A cultivation center shall implement a security plan
reviewed by the Department of State Police that includes, but
is not limited to: facility access controls, perimeter
intrusion detection systems, personnel identification systems,
24-hour surveillance system to monitor the interior and
exterior of the cultivation center facility and accessibility
to authorized law enforcement, the Department of Public Health
where processing takes place, and the Department of Agriculture
in real time.
(c) All cultivation of cannabis by a cultivation center
must take place in an enclosed, locked facility at the physical
address provided to the Department of Agriculture during the
licensing process. The cultivation center location shall only
be accessed by the agents working for the cultivation center,
the Department of Agriculture staff performing inspections,
the Department of Public Health staff performing inspections,
local and State law enforcement or other emergency personnel,
contractors working on jobs unrelated to cannabis, such as
installing or maintaining security devices or performing
electrical wiring, transporting organization agents as
provided in this Act, individuals in a mentoring or educational
program approved by the State, or other individuals as provided
by rule.
(d) A cultivation center may not sell or distribute any
cannabis or cannabis-infused products to any person other than
a dispensing organization, craft grower, infuser infusing
organization, transporter, or as otherwise authorized by rule.
(e) A cultivation center may not either directly or
indirectly discriminate in price between different dispensing
organizations, craft growers, or infuser organizations that
are purchasing a like grade, strain, brand, and quality of
cannabis or cannabis-infused product. Nothing in this
subsection (e) prevents a cultivation centers from pricing
cannabis differently based on differences in the cost of
manufacturing or processing, the quantities sold, such as
volume discounts, or the way the products are delivered.
(f) All cannabis harvested by a cultivation center and
intended for distribution to a dispensing organization must be
entered into a data collection system, packaged and labeled
under Section 55-21, and placed into a cannabis container for
transport. All cannabis harvested by a cultivation center and
intended for distribution to a craft grower or infuser
organization must be packaged in a labeled cannabis container
and entered into a data collection system before transport.
(g) Cultivation centers are subject to random inspections
by the Department of Agriculture, the Department of Public
Health, local safety or health inspectors, and the Department
of State Police.
(h) A cultivation center agent shall notify local law
enforcement, the Department of State Police, and the Department
of Agriculture within 24 hours of the discovery of any loss or
theft. Notification shall be made by phone or in person, or by
written or electronic communication.
(i) A cultivation center shall comply with all State and
any applicable federal rules and regulations regarding the use
of pesticides on cannabis plants.
(j) No person or entity shall hold any legal, equitable,
ownership, or beneficial interest, directly or indirectly, of
more than 3 cultivation centers licensed under this Article.
Further, no person or entity that is employed by, an agent of,
has a contract to receive payment in any form from a
cultivation center, is a principal officer of a cultivation
center, or entity controlled by or affiliated with a principal
officer of a cultivation shall hold any legal, equitable,
ownership, or beneficial interest, directly or indirectly, in a
cultivation that would result in the person or entity owning or
controlling in combination with any cultivation center,
principal officer of a cultivation center, or entity controlled
or affiliated with a principal officer of a cultivation center
by which he, she, or it is employed, is an agent of, or
participates in the management of, more than 3 cultivation
center licenses.
(k) A cultivation center may not contain more than 210,000
square feet of canopy space for plants in the flowering stage
for cultivation of adult use cannabis as provided in this Act.
(l) A cultivation center may process cannabis, cannabis
concentrates, and cannabis-infused products.
(m) Beginning July 1, 2020, a cultivation center shall not
transport cannabis or cannabis-infused products to a craft
grower, dispensing organization, infuser organization, or
laboratory licensed under this Act, unless it has obtained a
transporting organization license.
(n) It is unlawful for any person having a cultivation
center license or any officer, associate, member,
representative, or agent of such licensee to offer or deliver
money, or anything else of value, directly or indirectly to any
person having an Early Approval Adult Use Dispensing
Organization License, a Conditional Adult Use Dispensing
Organization License, an Adult Use Dispensing Organization
License, or a medical cannabis dispensing organization license
issued under the Compassionate Use of Medical Cannabis Pilot
Program Act, or to any person connected with or in any way
representing, or to any member of the family of, such person
holding an Early Approval Adult Use Dispensing Organization
License, a Conditional Adult Use Dispensing Organization
License, an Adult Use Dispensing Organization License, or a
medical cannabis dispensing organization license issued under
the Compassionate Use of Medical Cannabis Pilot Program Act, or
to any stockholders in any corporation engaged in the retail
sale of cannabis, or to any officer, manager, agent, or
representative of the Early Approval Adult Use Dispensing
Organization License, a Conditional Adult Use Dispensing
Organization License, an Adult Use Dispensing Organization
License, or a medical cannabis dispensing organization license
issued under the Compassionate Use of Medical Cannabis Pilot
Program Act to obtain preferential placement within the
dispensing organization, including, without limitation, on
shelves and in display cases where purchasers can view
products, or on the dispensing organization's website.
(o) A cultivation center must comply with any other
requirements or prohibitions set by administrative rule of the
Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/25-1)
(Section scheduled to be repealed on July 1, 2026)
Sec. 25-1. Definitions. In this Article:
"Board" means the Illinois Community College Board.
"Career in Cannabis Certificate" or "Certificate" means
the certification awarded to a community college student who
completes a prescribed course of study in cannabis and cannabis
business industry related classes and curriculum at a community
college awarded a Community College Cannabis Vocational Pilot
Program license.
"Community college" means a public community college
organized under the Public Community College Act.
"Department" means the Department of Agriculture.
"Licensee" means a community college awarded a Community
College Cannabis Vocational Pilot Program license under this
Article.
"Program" means the Community College Cannabis Vocational
Pilot Program.
"Program license" means a Community College Cannabis
Vocational Pilot Program license issued to a community college
under this Article.
(Source: P.A. 101-27, eff. 6-25-19; revised 8-16-19.)
(410 ILCS 705/25-10)
(Section scheduled to be repealed on July 1, 2026)
Sec. 25-10. Issuance of Community College Cannabis
Vocational Pilot Program licenses.
(a) The Department shall issue rules regulating the
selection criteria for applicants by January 1, 2020. The
Department shall make the application for a Program license
available no later than February 1, 2020, and shall require
that applicants submit the completed application no later than
July 1, 2020. If the Department issues fewer than 8 Program
licenses by September 1, 2020, the Department may accept
applications at a future date as prescribed by rule.
(b) The Department shall by rule develop a system to score
Program licenses to administratively rank applications based
on the clarity, organization, and quality of the applicant's
responses to required information. Applicants shall be awarded
points that are based on or that meet the following categories:
(1) Geographic diversity of the applicants;
(2) Experience and credentials of the applicant's
faculty;
(3) At least 5 Program license awardees must have a
student population that is more than 50% low-income in each
of the past 4 years;
(4) Security plan, including a requirement that all
cannabis plants be in an enclosed, locked facility;
(5) Curriculum plan, including processing and testing
curriculum for the Career in Cannabis Certificate;
(6) Career advising and placement plan for
participating students; and
(7) Any other criteria the Department may set by rule.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/30-5)
Sec. 30-5. Issuance of licenses.
(a) The Department of Agriculture shall issue up to 40
craft grower licenses by July 1, 2020. Any person or entity
awarded a license pursuant to this subsection shall only hold
one craft grower license and may not sell that license until
after December 21, 2021.
(b) By December 21, 2021, the Department of Agriculture
shall issue up to 60 additional craft grower licenses. Any
person or entity awarded a license pursuant to this subsection
shall not hold more than 2 craft grower licenses. The person or
entity awarded a license pursuant to this subsection or
subsection (a) of this Section may sell its craft grower
license subject to the restrictions of this Act or as
determined by administrative rule. Prior to issuing such
licenses, the Department may adopt rules through emergency
rulemaking in accordance with subsection (gg) of Section 5-45
of the Illinois Administrative Procedure Act, to modify or
raise the number of craft grower licenses assigned to each
region and modify or change the licensing application process
to reduce or eliminate barriers. The General Assembly finds
that the adoption of rules to regulate cannabis use is deemed
an emergency and necessary for the public interest, safety, and
welfare. In determining whether to exercise the authority
granted by this subsection, the Department of Agriculture must
consider the following factors:
(1) the percentage of cannabis sales occurring in
Illinois not in the regulated market using data from the
Substance Abuse and Mental Health Services Administration,
National Survey on Drug Use and Health, Illinois Behavioral
Risk Factor Surveillance System, and tourism data from the
Illinois Office of Tourism to ascertain total cannabis
consumption in Illinois compared to the amount of sales in
licensed dispensing organizations;
(2) whether there is an adequate supply of cannabis and
cannabis-infused products to serve registered medical
cannabis patients;
(3) whether there is an adequate supply of cannabis and
cannabis-infused products to serve purchasers;
(4) whether there is an oversupply of cannabis in
Illinois leading to trafficking of cannabis to states where
the sale of cannabis is not permitted by law;
(5) population increases or shifts;
(6) the density of craft growers in any area of the
State;
(7) perceived security risks of increasing the number
or location of craft growers;
(8) the past safety record of craft growers;
(9) the Department of Agriculture's capacity to
appropriately regulate additional licensees;
(10) the findings and recommendations from the
disparity and availability study commissioned by the
Illinois Cannabis Regulation Oversight Officer to reduce
or eliminate any identified barriers to entry in the
cannabis industry; and
(11) any other criteria the Department of Agriculture
deems relevant.
(c) After January 1, 2022, the Department of Agriculture
may by rule modify or raise the number of craft grower licenses
assigned to each region, and modify or change the licensing
application process to reduce or eliminate barriers based on
the criteria in subsection (b). At no time may the number of
craft grower licenses exceed 150. Any person or entity awarded
a license pursuant to this subsection shall not hold more than
3 craft grower licenses. A person or entity awarded a license
pursuant to this subsection or subsection (a) or subsection (b)
of this Section may sell its craft grower license or licenses
subject to the restrictions of this Act or as determined by
administrative rule.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/30-10)
Sec. 30-10. Application.
(a) When applying for a license, the applicant shall
electronically submit the following in such form as the
Department of Agriculture may direct:
(1) the nonrefundable application fee of $5,000 to be
deposited into the Cannabis Regulation Fund, or another
amount as the Department of Agriculture may set by rule
after January 1, 2021;
(2) the legal name of the craft grower;
(3) the proposed physical address of the craft grower;
(4) the name, address, social security number, and date
of birth of each principal officer and board member of the
craft grower; each principal officer and board member shall
be at least 21 years of age;
(5) the details of any administrative or judicial
proceeding in which any of the principal officers or board
members of the craft grower (i) pled guilty, were
convicted, were fined, or had a registration or license
suspended or revoked or (ii) managed or served on the board
of a business or non-profit organization that pled guilty,
was convicted, was fined, or had a registration or license
suspended or revoked;
(6) proposed operating bylaws that include procedures
for the oversight of the craft grower, including the
development and implementation of a plant monitoring
system, accurate recordkeeping, staffing plan, and
security plan approved by the Department of State Police
that are in accordance with the rules issued by the
Department of Agriculture under this Act; a physical
inventory shall be performed of all plants and on a weekly
basis by the craft grower;
(7) verification from the Department of State Police
that all background checks of the prospective principal
officers, board members, and agents of the cannabis
business establishment have been conducted;
(8) a copy of the current local zoning ordinance or
permit and verification that the proposed craft grower is
in compliance with the local zoning rules and distance
limitations established by the local jurisdiction;
(9) proposed employment practices, in which the
applicant must demonstrate a plan of action to inform,
hire, and educate minorities, women, veterans, and persons
with disabilities, engage in fair labor practices, and
provide worker protections;
(10) whether an applicant can demonstrate experience
in or business practices that promote economic empowerment
in Disproportionately Impacted Areas;
(11) experience with the cultivation of agricultural
or horticultural products, operating an agriculturally
related business, or operating a horticultural business;
(12) a description of the enclosed, locked facility
where cannabis will be grown, harvested, manufactured,
packaged, or otherwise prepared for distribution to a
dispensing organization or other cannabis business
establishment;
(13) a survey of the enclosed, locked facility,
including the space used for cultivation;
(14) cultivation, processing, inventory, and packaging
plans;
(15) a description of the applicant's experience with
agricultural cultivation techniques and industry
standards;
(16) a list of any academic degrees, certifications, or
relevant experience of all prospective principal officers,
board members, and agents of the related business;
(17) the identity of every person having a financial or
voting interest of 5% or greater in the craft grower
operation, whether a trust, corporation, partnership,
limited liability company, or sole proprietorship,
including the name and address of each person;
(18) a plan describing how the craft grower will
address each of the following:
(i) energy needs, including estimates of monthly
electricity and gas usage, to what extent it will
procure energy from a local utility or from on-site
generation, and if it has or will adopt a sustainable
energy use and energy conservation policy;
(ii) water needs, including estimated water draw
and if it has or will adopt a sustainable water use and
water conservation policy; and
(iii) waste management, including if it has or will
adopt a waste reduction policy;
(19) a recycling plan:
(A) Purchaser packaging, including cartridges,
shall be accepted by the applicant and recycled.
(B) Any recyclable waste generated by the craft
grower facility shall be recycled per applicable State
and local laws, ordinances, and rules.
(C) Any cannabis waste, liquid waste, or hazardous
waste shall be disposed of in accordance with 8 Ill.
Adm. Code 1000.460, except, to the greatest extent
feasible, all cannabis plant waste will be rendered
unusable by grinding and incorporating the cannabis
plant waste with compostable mixed waste to be disposed
of in accordance with 8 Ill. Adm. Code 1000.460(g)(1); .
(20) a commitment to comply with local waste
provisions: a craft grower facility must remain in
compliance with applicable State and federal environmental
requirements, including, but not limited to:
(A) storing, securing, and managing all
recyclables and waste, including organic waste
composed of or containing finished cannabis and
cannabis products, in accordance with applicable State
and local laws, ordinances, and rules; and
(B) disposing Disposing liquid waste containing
cannabis or byproducts of cannabis processing in
compliance with all applicable State and federal
requirements, including, but not limited to, the
cannabis cultivation facility's permits under Title X
of the Environmental Protection Act; .
(21) a commitment to a technology standard for resource
efficiency of the craft grower facility.
(A) A craft grower facility commits to use
resources efficiently, including energy and water. For
the following, a cannabis cultivation facility commits
to meet or exceed the technology standard identified in
paragraphs (i), (ii), (iii), and (iv), which may be
modified by rule:
(i) lighting systems, including light bulbs;
(ii) HVAC system;
(iii) water application system to the crop;
and
(iv) filtration system for removing
contaminants from wastewater.
(B) Lighting. The Lighting Power Densities (LPD)
for cultivation space commits to not exceed an average
of 36 watts per gross square foot of active and growing
space canopy, or all installed lighting technology
shall meet a photosynthetic photon efficacy (PPE) of no
less than 2.2 micromoles per joule fixture and shall be
featured on the DesignLights Consortium (DLC)
Horticultural Specification Qualified Products List
(QPL). In the event that DLC requirement for minimum
efficacy exceeds 2.2 micromoles per joule fixture,
that PPE shall become the new standard.
(C) HVAC.
(i) For cannabis grow operations with less
than 6,000 square feet of canopy, the licensee
commits that all HVAC units will be
high-efficiency ductless split HVAC units, or
other more energy efficient equipment.
(ii) For cannabis grow operations with 6,000
square feet of canopy or more, the licensee commits
that all HVAC units will be variable refrigerant
flow HVAC units, or other more energy efficient
equipment.
(D) Water application.
(i) The craft grower facility commits to use
automated watering systems, including, but not
limited to, drip irrigation and flood tables, to
irrigate cannabis crop.
(ii) The craft grower facility commits to
measure runoff from watering events and report
this volume in its water usage plan, and that on
average, watering events shall have no more than
20% of runoff of water.
(E) Filtration. The craft grower commits that HVAC
condensate, dehumidification water, excess runoff, and
other wastewater produced by the craft grower facility
shall be captured and filtered to the best of the
facility's ability to achieve the quality needed to be
reused in subsequent watering rounds.
(F) Reporting energy use and efficiency as
required by rule; and
(22) any other information required by rule.
(b) Applicants must submit all required information,
including the information required in Section 30-15, to the
Department of Agriculture. Failure by an applicant to submit
all required information may result in the application being
disqualified.
(c) If the Department of Agriculture receives an
application with missing information, the Department of
Agriculture may issue a deficiency notice to the applicant. The
applicant shall have 10 calendar days from the date of the
deficiency notice to resubmit the incomplete information.
Applications that are still incomplete after this opportunity
to cure will not be scored and will be disqualified.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-4-19.)
(410 ILCS 705/30-15)
Sec. 30-15. Scoring applications.
(a) The Department of Agriculture shall by rule develop a
system to score craft grower applications to administratively
rank applications based on the clarity, organization, and
quality of the applicant's responses to required information.
Applicants shall be awarded points based on the following
categories:
(1) Suitability of the proposed facility;
(2) Suitability of the employee training plan;
(3) Security and recordkeeping;
(4) Cultivation plan;
(5) Product safety and labeling plan;
(6) Business plan;
(7) The applicant's status as a Social Equity
Applicant, which shall constitute no less than 20% of total
available points;
(8) Labor and employment practices, which shall
constitute no less than 2% of total available points;
(9) Environmental plan as described in paragraphs
(18), (19), (20), and (21) of subsection (a) of Section
30-10;
(10) The applicant is 51% or more owned and controlled
by an individual or individuals who have been an Illinois
resident for the past 5 years as proved by tax records or 2
of the following: ;
(A) a signed lease agreement that includes the
applicant's name;
(B) a property deed that includes the applicant's
name;
(C) school records;
(D) a voter registration card;
(E) an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a
Disability Identification Card;
(F) a paycheck stub;
(G) a utility bill; or
(H) any other proof of residency or other
information necessary to establish residence as
provided by rule;
(11) The applicant is 51% or more controlled and owned
by an individual or individuals who meet the qualifications
of a veteran as defined in Section 45-57 of the Illinois
Procurement Code;
(12) A diversity plan that includes a narrative of not
more than 2,500 words that establishes a goal of diversity
in ownership, management, employment, and contracting to
ensure that diverse participants and groups are afforded
equality of opportunity; and
(13) Any other criteria the Department of Agriculture
may set by rule for points.
(b) The Department may also award up to 2 bonus points for
the applicant's plan to engage with the community. The
applicant may demonstrate a desire to engage with its community
by participating in one or more of, but not limited to, the
following actions: (i) establishment of an incubator program
designed to increase participation in the cannabis industry by
persons who would qualify as Social Equity Applicants; (ii)
providing financial assistance to substance abuse treatment
centers; (iii) educating children and teens about the potential
harms of cannabis use; or (iv) other measures demonstrating a
commitment to the applicant's community. Bonus points will only
be awarded if the Department receives applications that receive
an equal score for a particular region.
(c) Should the applicant be awarded a craft grower license,
the information and plans that an applicant provided in its
application, including any plans submitted for the acquiring of
bonus points, shall be a mandatory condition of the license.
Any variation from or failure to perform such plans may result
in discipline, including the revocation or nonrenewal of a
license.
(d) Should the applicant be awarded a craft grower license,
the applicant shall pay a prorated fee of $40,000 prior to
receiving the license, to be deposited into the Cannabis
Regulation Fund. The Department of Agriculture may by rule
adjust the fee in this Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/30-30)
Sec. 30-30. Craft grower requirements; prohibitions.
(a) The operating documents of a craft grower shall include
procedures for the oversight of the craft grower, a cannabis
plant monitoring system including a physical inventory
recorded weekly, accurate recordkeeping, and a staffing plan.
(b) A craft grower shall implement a security plan reviewed
by the Department of State Police that includes, but is not
limited to: facility access controls, perimeter intrusion
detection systems, personnel identification systems, and a
24-hour surveillance system to monitor the interior and
exterior of the craft grower facility and that is accessible to
authorized law enforcement and the Department of Agriculture in
real time.
(c) All cultivation of cannabis by a craft grower must take
place in an enclosed, locked facility at the physical address
provided to the Department of Agriculture during the licensing
process. The craft grower location shall only be accessed by
the agents working for the craft grower, the Department of
Agriculture staff performing inspections, the Department of
Public Health staff performing inspections, State and local law
enforcement or other emergency personnel, contractors working
on jobs unrelated to cannabis, such as installing or
maintaining security devices or performing electrical wiring,
transporting organization agents as provided in this Act, or
participants in the incubator program, individuals in a
mentoring or educational program approved by the State, or
other individuals as provided by rule. However, if a craft
grower shares a premises with an infuser or dispensing
organization, agents from those other licensees may access the
craft grower portion of the premises if that is the location of
common bathrooms, lunchrooms, locker rooms, or other areas of
the building where work or cultivation of cannabis is not
performed. At no time may an infuser or dispensing organization
agent perform work at a craft grower without being a registered
agent of the craft grower.
(d) A craft grower may not sell or distribute any cannabis
to any person other than a cultivation center, a craft grower,
an infuser organization, a dispensing organization, or as
otherwise authorized by rule.
(e) A craft grower may not be located in an area zoned for
residential use.
(f) A craft grower may not either directly or indirectly
discriminate in price between different cannabis business
establishments that are purchasing a like grade, strain, brand,
and quality of cannabis or cannabis-infused product. Nothing in
this subsection (f) prevents a craft grower from pricing
cannabis differently based on differences in the cost of
manufacturing or processing, the quantities sold, such as
volume discounts, or the way the products are delivered.
(g) All cannabis harvested by a craft grower and intended
for distribution to a dispensing organization must be entered
into a data collection system, packaged and labeled under
Section 55-21, and, if distribution is to a dispensing
organization that does not share a premises with the dispensing
organization receiving the cannabis, placed into a cannabis
container for transport. All cannabis harvested by a craft
grower and intended for distribution to a cultivation center,
to an infuser organization, or to a craft grower with which it
does not share a premises, must be packaged in a labeled
cannabis container and entered into a data collection system
before transport.
(h) Craft growers are subject to random inspections by the
Department of Agriculture, local safety or health inspectors,
and the Department of State Police.
(i) A craft grower agent shall notify local law
enforcement, the Department of State Police, and the Department
of Agriculture within 24 hours of the discovery of any loss or
theft. Notification shall be made by phone, in person, or
written or electronic communication.
(j) A craft grower shall comply with all State and any
applicable federal rules and regulations regarding the use of
pesticides.
(k) A craft grower or craft grower agent shall not
transport cannabis or cannabis-infused products to any other
cannabis business establishment without a transport
organization license unless:
(i) If the craft grower is located in a county with a
population of 3,000,000 or more, the cannabis business
establishment receiving the cannabis is within 2,000 feet
of the property line of the craft grower;
(ii) If the craft grower is located in a county with a
population of more than 700,000 but fewer than 3,000,000,
the cannabis business establishment receiving the cannabis
is within 2 miles of the craft grower; or
(iii) If the craft grower is located in a county with a
population of fewer than the 700,000, the cannabis business
establishment receiving the cannabis is within 15 miles of
the craft grower.
(l) A craft grower may enter into a contract with a
transporting organization to transport cannabis to a
cultivation center, a craft grower, an infuser organization, a
dispensing organization, or a laboratory.
(m) No person or entity shall hold any legal, equitable,
ownership, or beneficial interest, directly or indirectly, of
more than 3 craft grower licenses. Further, no person or entity
that is employed by, an agent of, or has a contract to receive
payment from or participate in the management of a craft
grower, is a principal officer of a craft grower, or entity
controlled by or affiliated with a principal officer of a craft
grower shall hold any legal, equitable, ownership, or
beneficial interest, directly or indirectly, in a craft grower
license that would result in the person or entity owning or
controlling in combination with any craft grower, principal
officer of a craft grower, or entity controlled or affiliated
with a principal officer of a craft grower by which he, she, or
it is employed, is an agent of, or participates in the
management of more than 3 craft grower licenses.
(n) It is unlawful for any person having a craft grower
license or any officer, associate, member, representative, or
agent of the licensee to offer or deliver money, or anything
else of value, directly or indirectly, to any person having an
Early Approval Adult Use Dispensing Organization License, a
Conditional Adult Use Dispensing Organization License, an
Adult Use Dispensing Organization License, or a medical
cannabis dispensing organization license issued under the
Compassionate Use of Medical Cannabis Pilot Program Act, or to
any person connected with or in any way representing, or to any
member of the family of, the person holding an Early Approval
Adult Use Dispensing Organization License, a Conditional Adult
Use Dispensing Organization License, an Adult Use Dispensing
Organization License, or a medical cannabis dispensing
organization license issued under the Compassionate Use of
Medical Cannabis Pilot Program Act, or to any stockholders in
any corporation engaged in the retail sale of cannabis, or to
any officer, manager, agent, or representative of the Early
Approval Adult Use Dispensing Organization License, a
Conditional Adult Use Dispensing Organization License, an
Adult Use Dispensing Organization License, or a medical
cannabis dispensing organization license issued under the
Compassionate Use of Medical Cannabis Pilot Program Act to
obtain preferential placement within the dispensing
organization, including, without limitation, on shelves and in
display cases where purchasers can view products, or on the
dispensing organization's website.
(o) A craft grower shall not be located within 1,500 feet
of another craft grower or a cultivation center.
(p) A craft graft grower may process cannabis, cannabis
concentrates, and cannabis-infused products.
(q) A craft grower must comply with any other requirements
or prohibitions set by administrative rule of the Department of
Agriculture.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-10-19.)
(410 ILCS 705/35-5)
Sec. 35-5. Issuance of licenses.
(a) The Department of Agriculture shall issue up to 40
infuser licenses through a process provided for in this Article
no later than July 1, 2020.
(b) The Department of Agriculture shall make the
application for infuser licenses available on January 7, 2020,
or if that date falls on a weekend or holiday, the business day
immediately succeeding the weekend or holiday and every January
7 or succeeding business day thereafter, and shall receive such
applications no later than March 15, 2020, or, if that date
falls on a weekend or holiday, the business day immediately
succeeding the weekend or holiday and every March 15 or
succeeding business day thereafter.
(c) By December 21, 2021, the Department of Agriculture may
issue up to 60 additional infuser licenses. Prior to issuing
such licenses, the Department may adopt rules through emergency
rulemaking in accordance with subsection (gg) of Section 5-45
of the Illinois Administrative Procedure Act, to modify or
raise the number of infuser licenses and modify or change the
licensing application process to reduce or eliminate barriers.
The General Assembly finds that the adoption of rules to
regulate cannabis use is deemed an emergency and necessary for
the public interest, safety, and welfare.
In determining whether to exercise the authority granted by
this subsection, the Department of Agriculture must consider
the following factors:
(1) the percentage of cannabis sales occurring in
Illinois not in the regulated market using data from the
Substance Abuse and Mental Health Services Administration,
National Survey on Drug Use and Health, Illinois Behavioral
Risk Factor Surveillance System, and tourism data from the
Illinois Office of Tourism to ascertain total cannabis
consumption in Illinois compared to the amount of sales in
licensed dispensing organizations;
(2) whether there is an adequate supply of cannabis and
cannabis-infused products to serve registered medical
cannabis patients;
(3) whether there is an adequate supply of cannabis and
cannabis-infused products to serve sere purchasers; :
(4) whether there is an oversupply of cannabis in
Illinois leading to trafficking of cannabis to any other
state;
(5) population increases or shifts;
(6) changes to federal law;
(7) perceived security risks of increasing the number
or location of infuser organizations;
(8) the past security records of infuser
organizations;
(9) the Department of Agriculture's capacity to
appropriately regulate additional licenses;
(10) the findings and recommendations from the
disparity and availability study commissioned by the
Illinois Cannabis Regulation Oversight Officer to reduce
or eliminate any identified barriers to entry in the
cannabis industry; and
(11) any other criteria the Department of Agriculture
deems relevant.
(d) After January 1, 2022, the Department of Agriculture
may by rule modify or raise the number of infuser licenses, and
modify or change the licensing application process to reduce or
eliminate barriers based on the criteria in subsection (c).
(Source: P.A. 101-27, eff. 6-25-19; revised 9-10-19.)
(410 ILCS 705/35-15)
Sec. 35-15. Issuing licenses.
(a) The Department of Agriculture shall by rule develop a
system to score infuser applications to administratively rank
applications based on the clarity, organization, and quality of
the applicant's responses to required information. Applicants
shall be awarded points based on the following categories:
(1) Suitability of the proposed facility;
(2) Suitability of the employee training plan;
(3) Security and recordkeeping plan;
(4) Infusing plan;
(5) Product safety and labeling plan;
(6) Business plan;
(7) The applicant's status as a Social Equity
Applicant, which shall constitute no less than 20% of total
available points;
(8) Labor and employment practices, which shall
constitute no less than 2% of total available points;
(9) Environmental plan as described in paragraphs (17)
and (18) of subsection (a) of Section 35-10;
(10) The applicant is 51% or more owned and controlled
by an individual or individuals who have been an Illinois
resident for the past 5 years as proved by tax records or 2
of the following: ;
(A) a signed lease agreement that includes the
applicant's name;
(B) a property deed that includes the applicant's
name;
(C) school records;
(D) a voter registration card;
(E) an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a
Disability Identification Card;
(F) a paycheck stub;
(G) a utility bill; or
(H) any other proof of residency or other
information necessary to establish residence as
provided by rule;
(11) The applicant is 51% or more controlled and owned
by an individual or individuals who meet the qualifications
of a veteran as defined by Section 45-57 of the Illinois
Procurement Code; and
(12) A diversity plan that includes a narrative of not
more than 2,500 words that establishes a goal of diversity
in ownership, management, employment, and contracting to
ensure that diverse participants and groups are afforded
equality of opportunity; and
(13) Any other criteria the Department of Agriculture
may set by rule for points.
(b) The Department may also award up to 2 bonus points for
the applicant's plan to engage with the community. The
applicant may demonstrate a desire to engage with its community
by participating in one or more of, but not limited to, the
following actions: (i) establishment of an incubator program
designed to increase participation in the cannabis industry by
persons who would qualify as Social Equity Applicants; (ii)
providing financial assistance to substance abuse treatment
centers; (iii) educating children and teens about the potential
harms of cannabis use; or (iv) other measures demonstrating a
commitment to the applicant's community. Bonus points will only
be awarded if the Department receives applications that receive
an equal score for a particular region.
(c) Should the applicant be awarded an infuser license, the
information and plans that an applicant provided in its
application, including any plans submitted for the acquiring of
bonus points, becomes a mandatory condition of the permit. Any
variation from or failure to perform such plans may result in
discipline, including the revocation or nonrenewal of a
license.
(d) Should the applicant be awarded an infuser organization
license, it shall pay a fee of $5,000 prior to receiving the
license, to be deposited into the Cannabis Regulation Fund. The
Department of Agriculture may by rule adjust the fee in this
Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/35-25)
Sec. 35-25. Infuser organization requirements;
prohibitions.
(a) The operating documents of an infuser shall include
procedures for the oversight of the infuser, an inventory
monitoring system including a physical inventory recorded
weekly, accurate recordkeeping, and a staffing plan.
(b) An infuser shall implement a security plan reviewed by
the Department of State Police that includes, but is not
limited to: facility access controls, perimeter intrusion
detection systems, personnel identification systems, and a
24-hour surveillance system to monitor the interior and
exterior of the infuser facility and that is accessible to
authorized law enforcement, the Department of Public Health,
and the Department of Agriculture in real time.
(c) All processing of cannabis by an infuser must take
place in an enclosed, locked facility at the physical address
provided to the Department of Agriculture during the licensing
process. The infuser location shall only be accessed by the
agents working for the infuser, the Department of Agriculture
staff performing inspections, the Department of Public Health
staff performing inspections, State and local law enforcement
or other emergency personnel, contractors working on jobs
unrelated to cannabis, such as installing or maintaining
security devices or performing electrical wiring, transporting
organization agents as provided in this Act, participants in
the incubator program, individuals in a mentoring or
educational program approved by the State, local safety or
health inspectors, or other individuals as provided by rule.
However, if an infuser shares a premises with a craft grower or
dispensing organization, agents from these other licensees may
access the infuser portion of the premises if that is the
location of common bathrooms, lunchrooms, locker rooms, or
other areas of the building where processing of cannabis is not
performed. At no time may a craft grower or dispensing
organization agent perform work at an infuser without being a
registered agent of the infuser.
(d) An infuser may not sell or distribute any cannabis to
any person other than a dispensing organization, or as
otherwise authorized by rule.
(e) An infuser may not either directly or indirectly
discriminate in price between different cannabis business
establishments that are purchasing a like grade, strain, brand,
and quality of cannabis or cannabis-infused product. Nothing in
this subsection (e) prevents an infuser from pricing cannabis
differently based on differences in the cost of manufacturing
or processing, the quantities sold, such volume discounts, or
the way the products are delivered.
(f) All cannabis infused by an infuser and intended for
distribution to a dispensing organization must be entered into
a data collection system, packaged and labeled under Section
55-21, and, if distribution is to a dispensing organization
that does not share a premises with the infuser, placed into a
cannabis container for transport. All cannabis produced by an
infuser and intended for distribution to a cultivation center,
infuser organization, or craft grower with which it does not
share a premises, must be packaged in a labeled cannabis
container and entered into a data collection system before
transport.
(g) Infusers are subject to random inspections by the
Department of Agriculture, the Department of Public Health, the
Department of State Police, and local law enforcement.
(h) An infuser agent shall notify local law enforcement,
the Department of State Police, and the Department of
Agriculture within 24 hours of the discovery of any loss or
theft. Notification shall be made by phone, in person, or by
written or electronic communication.
(i) An infuser organization may not be located in an area
zoned for residential use.
(j) An infuser or infuser agent shall not transport
cannabis or cannabis-infused products to any other cannabis
business establishment without a transport organization
license unless:
(i) If the infuser is located in a county with a
population of 3,000,000 or more, the cannabis business
establishment receiving the cannabis or cannabis-infused
product is within 2,000 feet of the property line of the
infuser;
(ii) If the infuser is located in a county with a
population of more than 700,000 but fewer than 3,000,000,
the cannabis business establishment receiving the cannabis
or cannabis-infused product is within 2 miles of the
infuser; or
(iii) If the infuser is located in a county with a
population of fewer than 700,000, the cannabis business
establishment receiving the cannabis or cannabis-infused
product is within 15 miles of the infuser.
(k) An infuser may enter into a contract with a
transporting organization to transport cannabis to a
dispensing organization or a laboratory.
(l) An infuser organization may share premises with a craft
grower or a dispensing organization, or both, provided each
licensee stores currency and cannabis or cannabis-infused
products in a separate secured vault to which the other
licensee does not have access or all licensees sharing a vault
share more than 50% of the same ownership.
(m) It is unlawful for any person or entity having an
infuser organization license or any officer, associate,
member, representative or agent of such licensee to offer or
deliver money, or anything else of value, directly or
indirectly to any person having an Early Approval Adult Use
Dispensing Organization License, a Conditional Adult Use
Dispensing Organization License, an Adult Use Dispensing
Organization License, or a medical cannabis dispensing
organization license issued under the Compassionate Use of
Medical Cannabis Pilot Program Act, or to any person connected
with or in any way representing, or to any member of the family
of, such person holding an Early Approval Adult Use Dispensing
Organization License, a Conditional Adult Use Dispensing
Organization License, an Adult Use Dispensing Organization
License, or a medical cannabis dispensing organization license
issued under the Compassionate Use of Medical Cannabis Pilot
Program Act, or to any stockholders in any corporation engaged
the retail sales of cannabis, or to any officer, manager,
agent, or representative of the Early Approval Adult Use
Dispensing Organization License, a Conditional Adult Use
Dispensing Organization License, an Adult Use Dispensing
Organization License, or a medical cannabis dispensing
organization license issued under the Compassionate Use of
Medical Cannabis Pilot Program Act to obtain preferential
placement within the dispensing organization, including,
without limitation, on shelves and in display cases where
purchasers can view products, or on the dispensing
organization's website.
(n) At no time shall an infuser organization or an infuser
agent perform the extraction of cannabis concentrate from
cannabis flower.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/35-31)
Sec. 35-31. Ensuring an adequate supply of raw materials to
serve infusers.
(a) As used in this Section, "raw materials" includes, but
is not limited to, CO2 hash oil, "crude", "distillate", or any
other cannabis concentrate extracted from cannabis flower by
use of a solvent or a mechanical process.
(b) The Department of Agriculture may by rule design a
method for assessing whether licensed infusers have access to
an adequate supply of reasonably affordable raw materials,
which may include but not be limited to: (i) a survey of
infusers; (ii) a market study on the sales trends of
cannabis-infused products manufactured by infusers; and (iii)
the costs cultivation centers and craft growers assume for the
raw materials they use in any cannabis-infused products they
manufacture.
(c) The Department of Agriculture shall perform an
assessment of whether infusers have access to an adequate
supply of reasonably affordable raw materials that shall start
no sooner than January 1, 2022 and shall conclude no later than
April 1, 2022. The Department of Agriculture may rely on data
from the Illinois Cannabis Regulation Oversight Officer as part
of this assessment.
(d) The Department of Agriculture shall perform an
assessment of whether infusers have access to an adequate
supply of reasonably affordable raw materials that shall start
no sooner than January 1, 2023 and shall conclude no later than
April 1, 2023. The Department of Agriculture may rely on data
from the Cannabis Regulation Oversight Officer as part of this
assessment.
(e) The Department of Agriculture may by rule adopt
measures to ensure infusers have access to an adequate supply
of reasonably affordable raw materials necessary for the
manufacture of cannabis-infused products. Such measures may
include, but not be limited to (i) requiring cultivation
centers and craft growers to set aside a minimum amount of raw
materials for the wholesale market or (ii) enabling infusers to
apply for a processor license to extract raw materials from
cannabis flower.
(f) If the Department of Agriculture determines processor
licenses may be available to infuser infusing organizations
based upon findings made pursuant to subsection (e), infuser
organizations may submit to the Department of Agriculture on
forms provided by the Department of Agriculture the following
information as part of an application to receive a processor
license:
(1) experience with the extraction, processing, or
infusing of oils similar to those derived from cannabis, or
other business practices to be performed by the infuser;
(2) a description of the applicant's experience with
manufacturing equipment and chemicals to be used in
processing;
(3) expertise in relevant scientific fields;
(4) a commitment that any cannabis waste, liquid waste,
or hazardous waste shall be disposed of in accordance with
8 Ill. Adm. Code 1000.460, except, to the greatest extent
feasible, all cannabis plant waste will be rendered
unusable by grinding and incorporating the cannabis plant
waste with compostable mixed waste to be disposed of in
accordance with Ill. Adm. Code 1000.460(g)(1); and
(5) any other information the Department of
Agriculture deems relevant.
(g) The Department of Agriculture may only issue an infuser
infusing organization a processor license if, based on the
information pursuant to subsection (f) and any other criteria
set by the Department of Agriculture, which may include but not
be limited an inspection of the site where processing would
occur, the Department of Agriculture is reasonably certain the
infuser infusing organization will process cannabis in a safe
and compliant manner.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-5)
Sec. 40-5. Issuance of licenses.
(a) The Department shall issue transporting licenses
through a process provided for in this Article no later than
July 1, 2020.
(b) The Department shall make the application for
transporting organization licenses available on January 7,
2020 and shall receive such applications no later than March
15, 2020. The Thereafter, the Department of Agriculture shall
make available such applications on every January 7 thereafter
or if that date falls on a weekend or holiday, the business day
immediately succeeding the weekend or holiday and shall receive
such applications no later than March 15 or the succeeding
business day thereafter.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-10)
Sec. 40-10. Application.
(a) When applying for a transporting organization license,
the applicant shall electronically submit the following in such
form as the Department of Agriculture may direct:
(1) the nonrefundable application fee of $5,000 or,
after January 1, 2021, another amount as set by rule by the
Department of Agriculture, to be deposited into the
Cannabis Regulation Fund;
(2) the legal name of the transporting organization;
(3) the proposed physical address of the transporting
organization, if one is proposed;
(4) the name, address, social security number, and date
of birth of each principal officer and board member of the
transporting organization; each principal officer and
board member shall be at least 21 years of age;
(5) the details of any administrative or judicial
proceeding in which any of the principal officers or board
members of the transporting organization (i) pled guilty,
were convicted, fined, or had a registration or license
suspended or revoked, or (ii) managed or served on the
board of a business or non-profit organization that pled
guilty, was convicted, fined, or had a registration or
license suspended or revoked;
(6) proposed operating bylaws that include procedures
for the oversight of the transporting organization,
including the development and implementation of an
accurate recordkeeping plan, staffing plan, and security
plan approved by the Department of State Police that are in
accordance with the rules issued by the Department of
Agriculture under this Act; a physical inventory shall be
performed of all cannabis on a weekly basis by the
transporting organization;
(7) verification from the Department of State Police
that all background checks of the prospective principal
officers, board members, and agents of the transporting
organization have been conducted;
(8) a copy of the current local zoning ordinance or
permit and verification that the proposed transporting
organization is in compliance with the local zoning rules
and distance limitations established by the local
jurisdiction, if the transporting organization has a
business address;
(9) proposed employment practices, in which the
applicant must demonstrate a plan of action to inform,
hire, and educate minorities, women, veterans, and persons
with disabilities, engage in fair labor practices, and
provide worker protections;
(10) whether an applicant can demonstrate experience
in or business practices that promote economic empowerment
in Disproportionately Impacted Areas;
(11) the number and type of equipment the transporting
organization will use to transport cannabis and
cannabis-infused products;
(12) loading, transporting, and unloading plans;
(13) a description of the applicant's experience in the
distribution or security business;
(14) the identity of every person having a financial or
voting interest of 5% or more in the transporting
organization with respect to which the license is sought,
whether a trust, corporation, partnership, limited
liability company, or sole proprietorship, including the
name and address of each person; and
(15) any other information required by rule.
(b) Applicants must submit all required information,
including the information required in Section 40-35 to the
Department. Failure by an applicant to submit all required
information may result in the application being disqualified.
(c) If the Department receives an application with missing
information, the Department of Agriculture may issue a
deficiency notice to the applicant. The applicant shall have 10
calendar days from the date of the deficiency notice to
resubmit the incomplete information. Applications that are
still incomplete after this opportunity to cure will not be
scored and will be disqualified.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-15)
Sec. 40-15. Issuing licenses.
(a) The Department of Agriculture shall by rule develop a
system to score transporter applications to administratively
rank applications based on the clarity, organization, and
quality of the applicant's responses to required information.
Applicants shall be awarded points based on the following
categories:
(1) suitability of employee training plan;
(2) security and recordkeeping plan;
(3) business plan;
(4) the applicant's status as a Social Equity
Applicant, which shall constitute no less than 20% of total
available points;
(5) labor and employment practices, which shall
constitute no less than 2% of total available points;
(6) environmental plan that demonstrates an
environmental plan of action to minimize the carbon
footprint, environmental impact, and resource needs for
the transporter, which may include, without limitation,
recycling cannabis product packaging;
(7) the applicant is 51% or more owned and controlled
by an individual or individuals who have been an Illinois
resident for the past 5 years as proved by tax records or 2
of the following: ;
(A) a signed lease agreement that includes the
applicant's name;
(B) a property deed that includes the applicant's
name;
(C) school records;
(D) a voter registration card;
(E) an Illinois driver's license, an Illinois
Identification Card, or an Illinois Person with a
Disability Identification Card;
(F) a paycheck stub;
(G) a utility bill; or
(H) any other proof of residency or other
information necessary to establish residence as
provided by rule;
(8) the applicant is 51% or more controlled and owned
by an individual or individuals who meet the qualifications
of a veteran as defined by Section 45-57 of the Illinois
Procurement Code;
(9) a diversity plan that includes a narrative of not
more than 2,500 words that establishes a goal of diversity
in ownership, management, employment, and contracting to
ensure that diverse participants and groups are afforded
equality of opportunity; and
(10) any other criteria the Department of Agriculture
may set by rule for points.
(b) The Department may also award up to 2 bonus points for
the applicant's plan to engage with the community. The
applicant may demonstrate a desire to engage with its community
by participating in one or more of, but not limited to, the
following actions: (i) establishment of an incubator program
designed to increase participation in the cannabis industry by
persons who would qualify as Social Equity Applicants; (ii)
providing financial assistance to substance abuse treatment
centers; (iii) educating children and teens about the potential
harms of cannabis use; or (iv) other measures demonstrating a
commitment to the applicant's community. Bonus points will only
be awarded if the Department receives applications that receive
an equal score for a particular region.
(c) Applicants for transporting transportation
organization licenses that score at least 75% 85% of the
available points according to the system developed by rule and
meet all other requirements for a transporter license shall be
issued a license by the Department of Agriculture within 60
days of receiving the application. Applicants that were
registered as medical cannabis cultivation centers prior to
January 1, 2020 and who meet all other requirements for a
transporter license shall be issued a license by the Department
of Agriculture within 60 days of receiving the application.
(d) Should the applicant be awarded a transporting
transportation organization license, the information and plans
that an applicant provided in its application, including any
plans submitted for the acquiring of bonus points, shall be a
mandatory condition of the permit. Any variation from or
failure to perform such plans may result in discipline,
including the revocation or nonrenewal of a license.
(e) Should the applicant be awarded a transporting
organization license, the applicant shall pay a prorated fee of
$10,000 prior to receiving the license, to be deposited into
the Cannabis Regulation Fund. The Department of Agriculture may
by rule adjust the fee in this Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-20)
Sec. 40-20. Denial of application. An application for a
transporting transportation organization license shall be
denied if any of the following conditions are met:
(1) the applicant failed to submit the materials
required by this Article;
(2) the applicant would not be in compliance with local
zoning rules or permit requirements;
(3) one or more of the prospective principal officers
or board members causes a violation of Section 40-25;
(4) one or more of the principal officers or board
members is under 21 years of age;
(5) the person has submitted an application for a
license under this Act that contains false information; or
(6) the licensee, principal officer, board member, or
person having a financial or voting interest of 5% or
greater in the licensee is delinquent in filing any
required tax returns or paying any amounts owed to the
State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-25)
Sec. 40-25. Transporting organization requirements;
prohibitions.
(a) The operating documents of a transporting organization
shall include procedures for the oversight of the transporter,
an inventory monitoring system including a physical inventory
recorded weekly, accurate recordkeeping, and a staffing plan.
(b) A transporting organization may not transport cannabis
or cannabis-infused products to any person other than a
cultivation center, a craft grower, an infuser organization, a
dispensing organization, a testing facility, or as otherwise
authorized by rule.
(c) All cannabis transported by a transporting
organization must be entered into a data collection system and
placed into a cannabis container for transport.
(d) Transporters are subject to random inspections by the
Department of Agriculture, the Department of Public Health, and
the Department of State Police.
(e) A transporting organization agent shall notify local
law enforcement, the Department of State Police, and the
Department of Agriculture within 24 hours of the discovery of
any loss or theft. Notification shall be made by phone, in
person, or by written or electronic communication.
(f) No person under the age of 21 years shall be in a
commercial vehicle or trailer transporting cannabis goods.
(g) No person or individual who is not a transporting
organization agent shall be in a vehicle while transporting
cannabis goods.
(h) Transporters may not use commercial motor vehicles with
a weight rating of over 10,001 pounds.
(i) It is unlawful for any person to offer or deliver
money, or anything else of value, directly or indirectly, to
any of the following persons to obtain preferential placement
within the dispensing organization, including, without
limitation, on shelves and in display cases where purchasers
can view products, or on the dispensing organization's website:
(1) a person having a transporting organization
license, or any officer, associate, member,
representative, or agent of the licensee;
(2) a person having an Early Applicant Adult Use
Dispensing Organization License, an Adult Use Dispensing
Organization License, or a medical cannabis dispensing
organization license issued under the Compassionate Use of
Medical Cannabis Pilot Program Act;
(3) a person connected with or in any way representing,
or a member of the family of, a person holding an Early
Applicant Adult Use Dispensing Organization License, an
Adult Use Dispensing Organization License, or a medical
cannabis dispensing organization license issued under the
Compassionate Use of Medical Cannabis Pilot Program Act; or
(4) a stockholder, officer, manager, agent, or
representative of a corporation engaged in the retail sale
of cannabis, an Early Applicant Adult Use Dispensing
Organization License, an Adult Use Dispensing Organization
License, or a medical cannabis dispensing organization
license issued under the Compassionate Use of Medical
Cannabis Pilot Program Act.
(j) A transporting transportation organization agent must
keep his or her identification card visible at all times when
on the property of a cannabis business establishment and during
the transporting transportation of cannabis when acting under
his or her duties as a transportation organization agent.
During these times, the transporting transporter organization
agent must also provide the identification card upon request of
any law enforcement officer engaged in his or her official
duties.
(k) A copy of the transporting organization's registration
and a manifest for the delivery shall be present in any vehicle
transporting cannabis.
(l) Cannabis shall be transported so it is not visible or
recognizable from outside the vehicle.
(m) A vehicle transporting cannabis must not bear any
markings to indicate the vehicle contains cannabis or bear the
name or logo of the cannabis business establishment.
(n) Cannabis must be transported in an enclosed, locked
storage compartment that is secured or affixed to the vehicle.
(o) The Department of Agriculture may, by rule, impose any
other requirements or prohibitions on the transportation of
cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-30)
Sec. 40-30. Transporting agent identification card.
(a) The Department of Agriculture shall:
(1) establish by rule the information required in an
initial application or renewal application for an agent
identification card submitted under this Act and the
nonrefundable fee to accompany the initial application or
renewal application;
(2) verify the information contained in an initial
application or renewal application for an agent
identification card submitted under this Act and approve or
deny an application within 30 days of receiving a completed
initial application or renewal application and all
supporting documentation required by rule;
(3) issue an agent identification card to a qualifying
agent within 15 business days of approving the initial
application or renewal application;
(4) enter the license number of the transporting
organization where the agent works; and
(5) allow for an electronic initial application and
renewal application process, and provide a confirmation by
electronic or other methods that an application has been
submitted. The Department of Agriculture may by rule
require prospective agents to file their applications by
electronic means and provide notices to the agents by
electronic means.
(b) An agent must keep his or her identification card
visible at all times when on the property of a cannabis
business establishment, including the cannabis business
establishment for which he or she is an agent.
(c) The agent identification cards shall contain the
following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
identification card;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the holder;
(4) a photograph of the cardholder; and
(5) the legal name of the transporting transporter
organization employing the agent.
(d) An agent identification card shall be immediately
returned to the transporting transporter organization of the
agent upon termination of his or her employment.
(e) Any agent identification card lost by a transporting
agent shall be reported to the Department of State Police and
the Department of Agriculture immediately upon discovery of the
loss.
(f) An application for an agent identification card shall
be denied if the applicant is delinquent in filing any required
tax returns or paying any amounts owed to the State of
Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-35)
Sec. 40-35. Transporting organization background checks.
(a) Through the Department of State Police, the Department
of Agriculture shall conduct a background check of the
prospective principal officers, board members, and agents of a
transporter applying for a license or identification card under
this Act. The Department of State Police shall charge a fee set
by rule for conducting the criminal history record check, which
shall be deposited into the State Police Services Fund and
shall not exceed the actual cost of the record check. In order
to carry out this provision, each transporting transporter
organization's prospective principal officer, board member, or
agent shall submit a full set of fingerprints to the Department
of State Police for the purpose of obtaining a State and
federal criminal records check. These fingerprints shall be
checked against the fingerprint records now and hereafter, to
the extent allowed by law, filed in the Department of State
Police and Federal Bureau of Investigation criminal history
records databases. The Department of State Police shall
furnish, following positive identification, all conviction
information to the Department of Agriculture.
(b) When applying for the initial license or identification
card, the background checks for all prospective principal
officers, board members, and agents shall be completed before
submitting the application to the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-40)
Sec. 40-40. Renewal of transporting organization licenses
and agent identification cards.
(a) Licenses and identification cards issued under this Act
shall be renewed annually. A transporting organization shall
receive written or electronic notice 90 days before the
expiration of its current license that the license will expire.
The Department of Agriculture shall grant a renewal within 45
days of submission of a renewal application if:
(1) the transporting organization submits a renewal
application and the required nonrefundable renewal fee of
$10,000, or after January 1, 2021, another amount set by
rule by the Department of Agriculture, to be deposited into
the Cannabis Regulation Fund;
(2) the Department of Agriculture has not suspended or
revoked the license of the transporting organization for
violating this Act or rules adopted under this Act;
(3) the transporting organization has continued to
operate in accordance with all plans submitted as part of
its application and approved by the Department of
Agriculture or any amendments thereto that have been
approved by the Department of Agriculture; and
(4) the transporter has submitted an agent, employee,
contracting, and subcontracting diversity report as
required by the Department.
(b) If a transporting organization fails to renew its
license before expiration, it shall cease operations until its
license is renewed.
(c) If a transporting organization agent fails to renew his
or her identification card before its expiration, he or she
shall cease to work as an agent of the transporting transporter
organization until his or her identification card is renewed.
(d) Any transporting organization that continues to
operate, or any transporting organization agent who continues
to work as an agent, after the applicable license or
identification card has expired without renewal is subject to
the penalties provided under Section 45-5.
(e) The Department shall not renew a license or an agent
identification card if the applicant is delinquent in filing
any required tax returns or paying any amounts owed to the
State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/45-5)
Sec. 45-5. License suspension; revocation; other
penalties.
(a) Notwithstanding any other criminal penalties related
to the unlawful possession of cannabis, the Department of
Financial and Professional Regulation and the Department of
Agriculture may revoke, suspend, place on probation,
reprimand, issue cease and desist orders, refuse to issue or
renew a license, or take any other disciplinary or
nondisciplinary action as each department may deem proper with
regard to a cannabis business establishment or cannabis
business establishment agent, including fines not to exceed:
(1) $50,000 for each violation of this Act or rules
adopted under this Act by a cultivation center or
cultivation center agent;
(2) $20,000 $10,000 for each violation of this Act or
rules adopted under this Act by a dispensing organization
or dispensing organization agent;
(3) $15,000 for each violation of this Act or rules
adopted under this Act by a craft grower or craft grower
agent;
(4) $10,000 for each violation of this Act or rules
adopted under this Act by an infuser organization or
infuser organization agent; and
(5) $10,000 for each violation of this Act or rules
adopted under this Act by a transporting organization or
transporting organization agent.
(b) The Department of Financial and Professional
Regulation and the Department of Agriculture, as the case may
be, shall consider licensee cooperation in any agency or other
investigation in its determination of penalties imposed under
this Section.
(c) The procedures for disciplining a cannabis business
establishment or cannabis business establishment agent and for
administrative hearings shall be determined by rule, and shall
provide for the review of final decisions under the
Administrative Review Law.
(d) The Attorney General may also enforce a violation of
Section 55-20, Section 55-21, and Section 15-155 as an unlawful
practice under the Consumer Fraud and Deceptive Business
Practices Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/50-5)
Sec. 50-5. Laboratory testing.
(a) Notwithstanding any other provision of law, the
following acts, when performed by a cannabis testing facility
with a current, valid registration, or a person 21 years of age
or older who is acting in his or her capacity as an owner,
employee, or agent of a cannabis testing facility, are not
unlawful and shall not be an offense under Illinois law or be a
basis for seizure or forfeiture of assets under Illinois law:
(1) possessing, repackaging, transporting, storing, or
displaying cannabis or cannabis-infused products;
(2) receiving or transporting cannabis or
cannabis-infused products from a cannabis business
establishment, a community college licensed under the
Community College Cannabis Vocational Training Pilot
Program, or a person 21 years of age or older; and
(3) returning or transporting cannabis or
cannabis-infused products to a cannabis business
establishment, a community college licensed under the
Community College Cannabis Vocational Training Pilot
Program, or a person 21 years of age or older.
(b)(1) No laboratory shall handle, test, or analyze
cannabis unless approved by the Department of Agriculture in
accordance with this Section.
(2) No laboratory shall be approved to handle, test, or
analyze cannabis unless the laboratory:
(A) is accredited by a private laboratory accrediting
organization;
(B) is independent from all other persons involved in
the cannabis industry in Illinois and no person with a
direct or indirect interest in the laboratory has a direct
or indirect financial, management, or other interest in an
Illinois cultivation center, craft grower, dispensary,
infuser, transporter, certifying physician, or any other
entity in the State that may benefit from the production,
manufacture, dispensing, sale, purchase, or use of
cannabis; and
(C) has employed at least one person to oversee and be
responsible for the laboratory testing who has earned, from
a college or university accredited by a national or
regional certifying authority, at least:
(i) a master's level degree in chemical or
biological sciences and a minimum of 2 years'
post-degree laboratory experience; or
(ii) a bachelor's degree in chemical or biological
sciences and a minimum of 4 years' post-degree
laboratory experience.
(3) Each independent testing laboratory that claims to be
accredited must provide the Department of Agriculture with a
copy of the most recent annual inspection report granting
accreditation and every annual report thereafter.
(c) Immediately before manufacturing or natural processing
of any cannabis or cannabis-infused product or packaging
cannabis for sale to a dispensary, each batch shall be made
available by the cultivation center, craft grower, or infuser
for an employee of an approved laboratory to select a random
sample, which shall be tested by the approved laboratory for:
(1) microbiological contaminants;
(2) mycotoxins;
(3) pesticide active ingredients;
(4) residual solvent; and
(5) an active ingredient analysis.
(d) The Department of Agriculture may select a random
sample that shall, for the purposes of conducting an active
ingredient analysis, be tested by the Department of Agriculture
for verification of label information.
(e) A laboratory shall immediately return or dispose of any
cannabis upon the completion of any testing, use, or research.
If cannabis is disposed of, it shall be done in compliance with
Department of Agriculture rule.
(f) If a sample of cannabis does not pass the
microbiological, mycotoxin, pesticide chemical residue, or
solvent residue test, based on the standards established by the
Department of Agriculture, the following shall apply:
(1) If the sample failed the pesticide chemical residue
test, the entire batch from which the sample was taken
shall, if applicable, be recalled as provided by rule.
(2) If the sample failed any other test, the batch may
be used to make a CO2-based or solvent based extract. After
processing, the CO2-based or solvent based extract must
still pass all required tests.
(g) The Department of Agriculture shall establish
standards for microbial, mycotoxin, pesticide residue, solvent
residue, or other standards for the presence of possible
contaminants, in addition to labeling requirements for
contents and potency.
(h) The laboratory shall file with the Department of
Agriculture an electronic copy of each laboratory test result
for any batch that does not pass the microbiological,
mycotoxin, or pesticide chemical residue test, at the same time
that it transmits those results to the cultivation center. In
addition, the laboratory shall maintain the laboratory test
results for at least 5 years and make them available at the
Department of Agriculture's request.
(i) A cultivation center, craft grower, and infuser shall
provide to a dispensing organization the laboratory test
results for each batch of cannabis product purchased by the
dispensing organization, if sampled. Each dispensing
dispensary organization must have those laboratory results
available upon request to purchasers.
(j) The Department of Agriculture may adopt rules related
to testing in furtherance of this Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-10)
Sec. 55-10. Maintenance of inventory. All dispensing
organizations authorized to serve both registered qualifying
patients and caregivers and purchasers are required to report
which cannabis and cannabis-infused products are purchased for
sale under the Compassionate Use of Medical Cannabis Pilot
Program Act, and which cannabis and cannabis-infused products
are purchased under this Act. Nothing in this Section prohibits
a registered qualifying patient under the Compassionate Use of
Medical Cannabis Pilot Program Act from purchasing cannabis as
a purchaser under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-20)
Sec. 55-20. Advertising and promotions.
(a) No cannabis business establishment nor any other person
or entity shall engage in advertising that contains any
statement or illustration that:
(1) is false or misleading;
(2) promotes overconsumption of cannabis or cannabis
products;
(3) depicts the actual consumption of cannabis or
cannabis products;
(4) depicts a person under 21 years of age consuming
cannabis;
(5) makes any health, medicinal, or therapeutic claims
about cannabis or cannabis-infused products;
(6) includes the image of a cannabis leaf or bud; or
(7) includes any image designed or likely to appeal to
minors, including cartoons, toys, animals, or children, or
any other likeness to images, characters, or phrases that
is designed in any manner to be appealing to or encourage
consumption by of persons under 21 years of age.
(b) No cannabis business establishment nor any other person
or entity shall place or maintain, or cause to be placed or
maintained, an advertisement of cannabis or a cannabis-infused
product in any form or through any medium:
(1) within 1,000 feet of the perimeter of school
grounds, a playground, a recreation center or facility, a
child care center, a public park or public library, or a
game arcade to which admission is not restricted to persons
21 years of age or older;
(2) on or in a public transit vehicle or public transit
shelter;
(3) on or in publicly owned or publicly operated
property; or
(4) that contains information that:
(A) is false or misleading;
(B) promotes excessive consumption;
(C) depicts a person under 21 years of age
consuming cannabis;
(D) includes the image of a cannabis leaf; or
(E) includes any image designed or likely to appeal
to minors, including cartoons, toys, animals, or
children, or any other likeness to images, characters,
or phrases that are popularly used to advertise to
children, or any imitation of candy packaging or
labeling, or that promotes consumption of cannabis.
(c) Subsections (a) and (b) do not apply to an educational
message.
(d) Sales promotions. No cannabis business establishment
nor any other person or entity may encourage the sale of
cannabis or cannabis products by giving away cannabis or
cannabis products, by conducting games or competitions related
to the consumption of cannabis or cannabis products, or by
providing promotional materials or activities of a manner or
type that would be appealing to children.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-21)
Sec. 55-21. Cannabis product packaging and labeling.
(a) Each cannabis product produced for sale shall be
registered with the Department of Agriculture on forms provided
by the Department of Agriculture. Each product registration
shall include a label and the required registration fee at the
rate established by the Department of Agriculture for a
comparable medical cannabis product, or as established by rule.
The registration fee is for the name of the product offered for
sale and one fee shall be sufficient for all package sizes.
(b) All harvested cannabis intended for distribution to a
cannabis enterprise must be packaged in a sealed, labeled
container.
(c) Any product containing cannabis shall be packaged in a
sealed, odor-proof, and child-resistant cannabis container
consistent with current standards, including the Consumer
Product Safety Commission standards referenced by the Poison
Prevention Act.
(d) All cannabis-infused products shall be individually
wrapped or packaged at the original point of preparation. The
packaging of the cannabis-infused product shall conform to the
labeling requirements of the Illinois Food, Drug and Cosmetic
Act, in addition to the other requirements set forth in this
Section.
(e) Each cannabis product shall be labeled before sale and
each label shall be securely affixed to the package and shall
state in legible English and any languages required by the
Department of Agriculture:
(1) the name and post office box of the registered
cultivation center or craft grower where the item was
manufactured;
(2) the common or usual name of the item and the
registered name of the cannabis product that was registered
with the Department of Agriculture under subsection (a);
(3) a unique serial number that will match the product
with a cultivation center or craft grower batch and lot
number to facilitate any warnings or recalls the Department
of Agriculture, cultivation center, or craft grower deems
appropriate;
(4) the date of final testing and packaging, if
sampled, and the identification of the independent testing
laboratory;
(5) the date of harvest and "use by" date;
(6) the quantity (in ounces or grams) of cannabis
contained in the product;
(7) a pass/fail rating based on the laboratory's
microbiological, mycotoxins, and pesticide and solvent
residue analyses, if sampled; .
(8) content list.
(A) A list of the following, including the minimum
and maximum percentage content by weight for
subdivisions (e) (d)(8)(A)(i) through (iv):
(i) delta-9-tetrahydrocannabinol (THC);
(ii) tetrahydrocannabinolic acid (THCA);
(iii) cannabidiol (CBD);
(iv) cannabidiolic acid (CBDA); and
(v) all other ingredients of the item,
including any colors, artificial flavors, and
preservatives, listed in descending order by
predominance of weight shown with common or usual
names.
(B) The acceptable tolerances for the minimum
percentage printed on the label for any of subdivisions
(e) (d)(8)(A)(i) through (iv) shall not be below 85% or
above 115% of the labeled amount. ;
(f) Packaging must not contain information that:
(1) is false or misleading;
(2) promotes excessive consumption;
(3) depicts a person under 21 years of age consuming
cannabis;
(4) includes the image of a cannabis leaf;
(5) includes any image designed or likely to appeal to
minors, including cartoons, toys, animals, or children, or
any other likeness to images, characters, or phrases that
are popularly used to advertise to children, or any
packaging or labeling that bears reasonable resemblance to
any product available for consumption as a commercially
available candy, or that promotes consumption of cannabis;
(6) contains any seal, flag, crest, coat of arms, or
other insignia likely to mislead the purchaser to believe
that the product has been endorsed, made, or used by the
State of Illinois or any of its representatives except
where authorized by this Act.
(g) Cannabis products produced by concentrating or
extracting ingredients from the cannabis plant shall contain
the following information, where applicable:
(1) If solvents were used to create the concentrate or
extract, a statement that discloses the type of extraction
method, including any solvents or gases used to create the
concentrate or extract; and
(2) Any other chemicals or compounds used to produce or
were added to the concentrate or extract.
(h) All cannabis products must contain warning statements
established for purchasers, of a size that is legible and
readily visible to a consumer inspecting a package, which may
not be covered or obscured in any way. The Department of Public
Health shall define and update appropriate health warnings for
packages including specific labeling or warning requirements
for specific cannabis products.
(i) Unless modified by rule to strengthen or respond to new
evidence and science, the following warnings shall apply to all
cannabis products unless modified by rule: "This product
contains cannabis and is intended for use by adults 21 and
over. Its use can impair cognition and may be habit forming.
This product should not be used by pregnant or breastfeeding
women. It is unlawful to sell or provide this item to any
individual, and it may not be transported outside the State of
Illinois. It is illegal to operate a motor vehicle while under
the influence of cannabis. Possession or use of this product
may carry significant legal penalties in some jurisdictions and
under federal law.".
(j) Warnings for each of the following product types must
be present on labels when offered for sale to a purchaser:
(1) Cannabis that may be smoked must contain a
statement that "Smoking is hazardous to your health.".
(2) Cannabis-infused products (other than those
intended for topical application) must contain a statement
"CAUTION: This product contains cannabis, and intoxication
following use may be delayed 2 or more hours. This product
was produced in a facility that cultivates cannabis, and
that may also process common food allergens.".
(3) Cannabis-infused products intended for topical
application must contain a statement "DO NOT EAT" in bold,
capital letters.
(k) Each cannabis-infused product intended for consumption
must be individually packaged, must include the total milligram
content of THC and CBD, and may not include more than a total
of 100 milligrams of THC per package. A package may contain
multiple servings of 10 milligrams of THC, and indicated by
scoring, wrapping, or by other indicators designating
individual serving sizes. The Department of Agriculture may
change the total amount of THC allowed for each package, or the
total amount of THC allowed for each serving size, by rule.
(l) No individual other than the purchaser may alter or
destroy any labeling affixed to the primary packaging of
cannabis or cannabis-infused products.
(m) For each commercial weighing and measuring device used
at a facility, the cultivation center or craft grower must:
(1) Ensure that the commercial device is licensed under
the Weights and Measures Act and the associated
administrative rules (8 Ill. Adm. Code 600);
(2) Maintain documentation of the licensure of the
commercial device; and
(3) Provide a copy of the license of the commercial
device to the Department of Agriculture for review upon
request.
(n) It is the responsibility of the Department to ensure
that packaging and labeling requirements, including product
warnings, are enforced at all times for products provided to
purchasers. Product registration requirements and container
requirements may be modified by rule by the Department of
Agriculture.
(o) Labeling, including warning labels, may be modified by
rule by the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19; revised 8-30-19.)
(410 ILCS 705/55-25)
Sec. 55-25. Local ordinances. Unless otherwise provided
under this Act or otherwise in accordance with State law:
(1) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may enact reasonable zoning
ordinances or resolutions, not in conflict with this Act or
rules adopted pursuant to this Act, regulating cannabis
business establishments. No unit of local government,
including a home rule unit or any non-home rule county
within the unincorporated territory of the county, may
prohibit home cultivation or unreasonably prohibit use of
cannabis authorized by this Act.
(2) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may enact ordinances or rules not
in conflict with this Act or with rules adopted pursuant to
this Act governing the time, place, manner, and number of
cannabis business establishment operations, including
minimum distance limitations between cannabis business
establishments and locations it deems sensitive, including
colleges and universities, through the use of conditional
use permits. A unit of local government, including a home
rule unit, may establish civil penalties for violation of
an ordinance or rules governing the time, place, and manner
of operation of a cannabis business establishment or a
conditional use permit in the jurisdiction of the unit of
local government. No unit of local government, including a
home rule unit or non-home rule county within an
unincorporated territory of the county, may unreasonably
restrict the time, place, manner, and number of cannabis
business establishment operations authorized by this Act.
(3) A unit of local government, including a home rule
unit, or any non-home rule county within the unincorporated
territory of the county may authorize or permit the
on-premises consumption of cannabis at or in a dispensing
organization or retail tobacco store (as defined in Section
10 of the Smoke Free Illinois Act) within its jurisdiction
in a manner consistent with this Act. A dispensing
organization or retail tobacco store regulate the
on-premises consumption of cannabis at or in a cannabis
business establishment within its jurisdiction in a manner
consistent with this Act. A cannabis business
establishment or other entity authorized or permitted by a
unit of local government to allow on-site consumption shall
not be deemed a public place within the meaning of the
Smoke Free Illinois Act.
(4) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may not regulate the activities
described in paragraph (1), (2), or (3) in a manner more
restrictive than the regulation of those activities by the
State under this Act. This Section is a limitation under
subsection (i) of Section 6 of Article VII of the Illinois
Constitution on the concurrent exercise by home rule units
of powers and functions exercised by the State.
(5) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may enact ordinances to prohibit
or significantly limit a cannabis business establishment's
location.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-28)
Sec. 55-28. Restricted cannabis zones.
(a) As used in this Section:
"Legal voter" means a person:
(1) who is duly registered to vote in a municipality
with a population of over 500,000;
(2) whose name appears on a poll list compiled by the
city board of election commissioners since the last
preceding election, regardless of whether the election was
a primary, general, or special election;
(3) who, at the relevant time, is a resident of the
address at which he or she is registered to vote; and
(4) whose address, at the relevant time, is located in
the precinct where such person seeks to file a notice of
intent to initiate a petition process, circulate a
petition, or sign a petition under this Section.
As used in the definition of "legal voter", "relevant time"
means any time that:
(i) a notice of intent is filed, pursuant to subsection
(c) of this Section, to initiate the petition process under
this Section;
(ii) the petition is circulated for signature in the
applicable precinct; or
(iii) the petition is signed by registered voters in
the applicable precinct.
"Petition" means the petition described in this Section.
"Precinct" means the smallest constituent territory within
a municipality with a population of over 500,000 in which
electors vote as a unit at the same polling place in any
election governed by the Election Code.
"Restricted cannabis zone" means a precinct within which
home cultivation, one or more types of cannabis business
establishments, or both has been prohibited pursuant to an
ordinance initiated by a petition under this Section.
(b) The legal voters of any precinct within a municipality
with a population of over 500,000 may petition their local
alderman, using a petition form made available online by the
city clerk, to introduce an ordinance establishing the precinct
as a restricted zone. Such petition shall specify whether it
seeks an ordinance to prohibit, within the precinct: (i) home
cultivation; (ii) one or more types of cannabis business
establishments; or (iii) home cultivation and one or more types
of cannabis business establishments.
Upon receiving a petition containing the signatures of at
least 25% of the registered voters of the precinct, and
concluding that the petition is legally sufficient following
the posting and review process in subsection (c) of this
Section, the city clerk shall notify the local alderman of the
ward in which the precinct is located. Upon being notified,
that alderman, following an assessment of relevant factors
within the precinct, including but not limited to, its
geography, density and character, the prevalence of
residentially zoned property, current licensed cannabis
business establishments in the precinct, the current amount of
home cultivation in the precinct, and the prevailing viewpoint
with regard to the issue raised in the petition, may introduce
an ordinance to the municipality's governing body creating a
restricted cannabis zone in that precinct.
(c) A person seeking to initiate the petition process
described in this Section shall first submit to the city clerk
notice of intent to do so, on a form made available online by
the city clerk. That notice shall include a description of the
potentially affected area and the scope of the restriction
sought. The city clerk shall publicly post the submitted notice
online.
To be legally sufficient, a petition must contain the
requisite number of valid signatures and all such signatures
must be obtained within 90 days of the date that the city clerk
publicly posts the notice of intent. Upon receipt, the city
clerk shall post the petition on the municipality's website for
a 30-day comment period. The city clerk is authorized to take
all necessary and appropriate steps to verify the legal
sufficiency of a submitted petition. Following the petition
review and comment period, the city clerk shall publicly post
online the status of the petition as accepted or rejected, and
if rejected, the reasons therefor. If the city clerk rejects a
petition as legally insufficient, a minimum of 12 months must
elapse from the time the city clerk posts the rejection notice
before a new notice of intent for that same precinct may be
submitted.
(c-5) Within 3 days after receiving an application for
zoning approval to locate a cannabis business establishment
within a municipality with a population of over 500,000, the
municipality shall post a public notice of the filing on its
website and notify the alderman of the ward in which the
proposed cannabis business establishment is to be located of
the filing. No action shall be taken on the zoning application
for 7 business days following the notice of the filing for
zoning approval.
If a notice of intent to initiate the petition process to
prohibit the type of cannabis business establishment proposed
in the precinct of the proposed cannabis business establishment
is filed prior to the filing of the application or within the
7-day period after the filing of the application, the
municipality shall not approve the application for at least 90
days after the city clerk publicly posts the notice of intent
to initiate the petition process. If a petition is filed within
the 90-day petition-gathering period described in subsection
(c), the municipality shall not approve the application for an
additional 90 days after the city clerk's receipt of the
petition; provided that if the city clerk rejects a petition as
legally insufficient, the municipality may approve the
application prior to the end of the 90 days. If a petition is
not submitted within the 90-day petition-gathering period
described in subsection (c), the municipality may approve the
application unless the approval is otherwise stayed pursuant to
this subsection by a separate notice of intent to initiate the
petition process filed timely within the 7-day period.
If no legally sufficient petition is timely filed, a
minimum of 12 months must elapse before a new notice of intent
for that same precinct may be submitted.
(d) Notwithstanding any law to the contrary, the
municipality may enact an ordinance creating a restricted
cannabis zone. The ordinance shall:
(1) identify the applicable precinct boundaries as of
the date of the petition;
(2) state whether the ordinance prohibits within the
defined boundaries of the precinct, and in what
combination: (A) one or more types of cannabis business
establishments; or (B) home cultivation;
(3) be in effect for 4 years, unless repealed earlier;
and
(4) once in effect, be subject to renewal by ordinance
at the expiration of the 4-year period without the need for
another supporting petition.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-30)
Sec. 55-30. Confidentiality.
(a) Information provided by the cannabis business
establishment licensees or applicants to the Department of
Agriculture, the Department of Public Health, the Department of
Financial and Professional Regulation, the Department of
Commerce and Economic Opportunity, or other agency shall be
limited to information necessary for the purposes of
administering this Act. The information is subject to the
provisions and limitations contained in the Freedom of
Information Act and may be disclosed in accordance with Section
55-65.
(b) The following information received and records kept by
the Department of Agriculture, the Department of Public Health,
the Department of State Police, and the Department of Financial
and Professional Regulation for purposes of administering this
Article are subject to all applicable federal privacy laws, are
confidential and exempt from disclosure under the Freedom of
Information Act, except as provided in this Act, and not
subject to disclosure to any individual or public or private
entity, except to the Department of Financial and Professional
Regulation, the Department of Agriculture, the Department of
Public Health, and the Department of State Police as necessary
to perform official duties under this Article and to the
Attorney General as necessary to enforce the provisions of this
Act. The following information received and kept by the
Department of Financial and Professional Regulation or the
Department of Agriculture may be disclosed to the Department of
Public Health, the Department of Agriculture, the Department of
Revenue, the Department of State Police, or the Attorney
General upon proper . The following information received and
kept by the Department of Financial and Professional Regulation
or the Department of Agriculture, excluding any existing or
non-existing Illinois or national criminal history record
information, may be disclosed to the Department of Public
Health, the Department of Agriculture, the Department of
Revenue, or the Department of State Police upon request:
(1) Applications and renewals, their contents, and
supporting information submitted by or on behalf of
dispensing organizations in compliance with this Article,
including their physical addresses;
(2) Any plans, procedures, policies, or other records
relating to dispensing organization security; and
(3) Information otherwise exempt from disclosure by
State or federal law.
Illinois or national criminal history record information,
or the nonexistence or lack of such information, may not be
disclosed by the Department of Financial and Professional
Regulation or the Department of Agriculture, except as
necessary to the Attorney General to enforce this Act.
(c) The name and address of a dispensing organization
licensed under this Act shall be subject to disclosure under
the Freedom of Information Act. The name and cannabis business
establishment address of the person or entity holding each
cannabis business establishment license shall be subject to
disclosure.
(d) All information collected by the Department of
Financial and Professional Regulation in the course of an
examination, inspection, or investigation of a licensee or
applicant, including, but not limited to, any complaint against
a licensee or applicant filed with the Department and
information collected to investigate any such complaint, shall
be maintained for the confidential use of the Department and
shall not be disclosed, except as otherwise provided in this
the Act. A formal complaint against a licensee by the
Department or any disciplinary order issued by the Department
against a licensee or applicant shall be a public record,
except as otherwise provided by law prohibited by law, as
required by law, or as necessary to enforce the provisions of
this Act. Complaints from consumers or members of the general
public received regarding a specific, named licensee or
complaints regarding conduct by unlicensed entities shall be
subject to disclosure under the Freedom of Information Act.
(e) The Department of Agriculture, the Department of State
Police, and the Department of Financial and Professional
Regulation shall not share or disclose any Illinois or national
criminal history record information, or the nonexistence or
lack of such information, existing or non-existing Illinois or
national criminal history record information to any person or
entity not expressly authorized by this Act. As used in this
Section, "any existing or non-existing Illinois or national
criminal history record information" means any Illinois or
national criminal history record information, including but
not limited to the lack of or non-existence of these records.
(f) Each Department responsible for licensure under this
Act shall publish on the Department's website a list of the
ownership information of cannabis business establishment
licensees under the Department's jurisdiction. The list shall
include, but is not limited to: the name of the person or
entity holding each cannabis business establishment license;
and the address at which the entity is operating under this
Act. This list shall be published and updated monthly.
(Source: P.A. 101-27, eff. 6-25-19; revised 9-10-19.)
(410 ILCS 705/55-35)
Sec. 55-35. Administrative rulemaking.
(a) No later than 180 days after the effective date of this
Act, the Department of Agriculture, the Department of State
Police, the Department of Financial and Professional
Regulation, the Department of Revenue, the Department of
Commerce and Economic Opportunity, and the Treasurer's Office
shall adopt permanent rules in accordance with their
responsibilities under this Act. The Department of
Agriculture, the Department of State Police, the Department of
Financial and Professional Regulation, the Department of
Revenue, and the Department of Commerce and Economic
Opportunity may adopt rules necessary to regulate personal
cannabis use through the use of emergency rulemaking in
accordance with subsection (gg) of Section 5-45 of the Illinois
Administrative Procedure Act. The General Assembly finds that
the adoption of rules to regulate cannabis use is deemed an
emergency and necessary for the public interest, safety, and
welfare.
(b) The Department of Agriculture rules may address, but
are not limited to, the following matters related to
cultivation centers, craft growers, infuser organizations, and
transporting organizations with the goal of protecting against
diversion and theft, without imposing an undue burden on the
cultivation centers, craft growers, infuser organizations, or
transporting organizations:
(1) oversight requirements for cultivation centers,
craft growers, infuser organizations, and transporting
organizations;
(2) recordkeeping requirements for cultivation
centers, craft growers, infuser organizations, and
transporting organizations;
(3) security requirements for cultivation centers,
craft growers, infuser organizations, and transporting
organizations, which shall include that each cultivation
center, craft grower, infuser organization, and
transporting organization location must be protected by a
fully operational security alarm system;
(4) standards for enclosed, locked facilities under
this Act;
(5) procedures for suspending or revoking the
identification cards of agents of cultivation centers,
craft growers, infuser organizations, and transporting
organizations that commit violations of this Act or the
rules adopted under this Section;
(6) rules concerning the intrastate transportation of
cannabis from a cultivation center, craft grower, infuser
organization, and transporting organization to a
dispensing organization;
(7) standards concerning the testing, quality,
cultivation, and processing of cannabis; and
(8) any other matters under oversight by the Department
of Agriculture as are necessary for the fair, impartial,
stringent, and comprehensive administration of this Act.
(c) The Department of Financial and Professional
Regulation rules may address, but are not limited to, the
following matters related to dispensing organizations, with
the goal of protecting against diversion and theft, without
imposing an undue burden on the dispensing organizations:
(1) oversight requirements for dispensing
organizations;
(2) recordkeeping requirements for dispensing
organizations;
(3) security requirements for dispensing
organizations, which shall include that each dispensing
organization location must be protected by a fully
operational security alarm system;
(4) procedures for suspending or revoking the licenses
of dispensing organization agents that commit violations
of this Act or the rules adopted under this Act;
(5) any other matters under oversight by the Department
of Financial and Professional Regulation that are
necessary for the fair, impartial, stringent, and
comprehensive administration of this Act.
(d) The Department of Revenue rules may address, but are
not limited to, the following matters related to the payment of
taxes by cannabis business establishments:
(1) recording of sales;
(2) documentation of taxable income and expenses;
(3) transfer of funds for the payment of taxes; or
(4) any other matter under the oversight of the
Department of Revenue.
(e) The Department of Commerce and Economic Opportunity
rules may address, but are not limited to, a loan program or
grant program to assist Social Equity Applicants access the
capital needed to start a cannabis business establishment. The
names of recipients and the amounts of any moneys received
through a loan program or grant program shall be a public
record.
(f) The Department of State Police rules may address
enforcement of its authority under this Act. The Department of
State Police shall not make rules that infringe on the
exclusive authority of the Department of Financial and
Professional Regulation or the Department of Agriculture over
licensees under this Act.
(g) The Department of Human Services Public Health shall
develop and disseminate:
(1) educational information about the health risks
associated with the use of cannabis; and
(2) one or more public education campaigns in
coordination with local health departments and community
organizations, including one or more prevention campaigns
directed at children, adolescents, parents, and pregnant
or breastfeeding women, to inform them of the potential
health risks associated with intentional or unintentional
cannabis use.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-65)
Sec. 55-65. Financial institutions.
(a) A financial institution that provides financial
services customarily provided by financial institutions to a
cannabis business establishment authorized under this Act or
the Compassionate Use of Medical Cannabis Pilot Program Act, or
to a person that is affiliated with such cannabis business
establishment, is exempt from any criminal law of this State as
it relates to cannabis-related conduct authorized under State
law.
(b) Upon request of a financial institution, a cannabis
business establishment or proposed cannabis business
establishment may provide to the financial institution the
following information:
(1) Whether a cannabis business establishment with
which the financial institution is doing or is considering
doing business holds a license under this Act or the
Compassionate Use of Medical Cannabis Pilot Program Act;
(2) The name of any other business or individual
affiliate with the cannabis business establishment;
(3) A copy of the application, and any supporting
documentation submitted with the application, for a
license or a permit submitted on behalf of the proposed
cannabis business establishment;
(4) If applicable, data relating to sales and the
volume of product sold by the cannabis business
establishment;
(5) Any past or pending violation by the person of this
Act, the Compassionate Use of Medical Cannabis Pilot
Program Act, or the rules adopted under these Acts where
applicable; and
(6) Any penalty imposed upon the person for violating
this Act, the Compassionate Use of Medical Cannabis Pilot
Program Act, or the rules adopted under these Acts.
(c) (Blank).
(d) (Blank).
(e) Information received by a financial institution under
this Section is confidential. Except as otherwise required or
permitted by this Act, State law or rule, or federal law or
regulation, a financial institution may not make the
information available to any person other than:
(1) the customer to whom the information applies;
(2) a trustee, conservator, guardian, personal
representative, or agent of the customer to whom the
information applies; a federal or State regulator when
requested in connection with an examination of the
financial institution or if otherwise necessary for
complying with federal or State law;
(3) a federal or State regulator when requested in
connection with an examination of the financial
institution or if otherwise necessary for complying with
federal or State law; and
(4) a third party performing services for the financial
institution, provided the third party is performing such
services under a written agreement that expressly or by
operation of law prohibits the third party's sharing and
use of such confidential information for any purpose other
than as provided in its agreement to provide services to
the financial institution.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-80)
Sec. 55-80. Annual reports.
(a) The Department of Financial and Professional
Regulation shall submit to the General Assembly and Governor a
report, by September 30 of each year, that does not disclose
any information identifying information about cultivation
centers, craft growers, infuser organizations, transporting
organizations, or dispensing organizations, but does contain,
at a minimum, all of the following information for the previous
fiscal year:
(1) The number of licenses issued to dispensing
organizations by county, or, in counties with greater than
3,000,000 residents, by zip code;
(2) The total number of dispensing organization owners
that are Social Equity Applicants or minority persons,
women, or persons with disabilities as those terms are
defined in the Business Enterprise for Minorities, Women,
and Persons with Disabilities Act;
(3) The total number of revenues received from
dispensing organizations, segregated from revenues
received from dispensing organizations under the
Compassionate Use of Medical Cannabis Pilot Program Act by
county, separated by source of revenue;
(4) The total amount of revenue received from
dispensing organizations that share a premises or majority
ownership with a craft grower;
(5) The total amount of revenue received from
dispensing organizations that share a premises or majority
ownership with an infuser; and
(6) An analysis of revenue generated from taxation,
licensing, and other fees for the State, including
recommendations to change the tax rate applied.
(b) The Department of Agriculture shall submit to the
General Assembly and Governor a report, by September 30 of each
year, that does not disclose any information identifying
information about cultivation centers, craft growers, infuser
organizations, transporting organizations, or dispensing
organizations, but does contain, at a minimum, all of the
following information for the previous fiscal year:
(1) The number of licenses issued to cultivation
centers, craft growers, infusers, and transporters by
license type, and, in counties with more than 3,000,000
residents, by zip code;
(2) The total number of cultivation centers, craft
growers, infusers, and transporters by license type that
are Social Equity Applicants or minority persons, women, or
persons with disabilities as those terms are defined in the
Business Enterprise for Minorities, Women, and Persons
with Disabilities Act;
(3) The total amount of revenue received from
cultivation centers, craft growers, infusers, and
transporters, separated by license types and source of
revenue;
(4) The total amount of revenue received from craft
growers and infusers that share a premises or majority
ownership with a dispensing organization;
(5) The total amount of revenue received from craft
growers that share a premises or majority ownership with an
infuser, but do not share a premises or ownership with a
dispensary;
(6) The total amount of revenue received from infusers
that share a premises or majority ownership with a craft
grower, but do not share a premises or ownership with a
dispensary;
(7) The total amount of revenue received from craft
growers that share a premises or majority ownership with a
dispensing organization, but do not share a premises or
ownership with an infuser;
(8) The total amount of revenue received from infusers
that share a premises or majority ownership with a
dispensing organization, but do not share a premises or
ownership with a craft grower;
(9) The total amount of revenue received from
transporters; and
(10) An analysis of revenue generated from taxation,
licensing, and other fees for the State, including
recommendations to change the tax rate applied.
(c) The Department of State Police shall submit to the
General Assembly and Governor a report, by September 30 of each
year that contains, at a minimum, all of the following
information for the previous fiscal year:
(1) The effect of regulation and taxation of cannabis
on law enforcement resources;
(2) The impact of regulation and taxation of cannabis
on highway and waterway safety and rates of impaired
driving or operating safety and rates of impaired driving,
where impairment was determined based on failure of a field
sobriety test;
(3) The available and emerging methods for detecting
the metabolites for delta-9-tetrahydrocannabinol in bodily
fluids, including, without limitation, blood and saliva;
(4) The effectiveness of current DUI laws and
recommendations for improvements to policy to better
ensure safe highways and fair laws.
(d) The Adult Use Cannabis Health Advisory Committee shall
submit to the General Assembly and Governor a report, by
September 30 of each year, that does not disclose any
identifying information about any individuals, but does
contain, at a minimum:
(1) Self-reported youth cannabis use, as published in
the most recent Illinois Youth Survey available;
(2) Self-reported adult cannabis use, as published in
the most recent Behavioral Risk Factor Surveillance Survey
available;
(3) Hospital room admissions and hospital utilization
rates caused by cannabis consumption, including the
presence or detection of other drugs;
(4) Overdoses of cannabis and poison control data,
including the presence of other drugs that may have
contributed;
(5) Incidents of impaired driving caused by the
consumption of cannabis or cannabis products, including
the presence of other drugs or alcohol that may have
contributed to the impaired driving;
(6) Prevalence of infants born testing positive for
cannabis or delta-9-tetrahydrocannabinol, including
demographic and racial information on which infants are
tested;
(7) Public perceptions of use and risk of harm;
(8) Revenue collected from cannabis taxation and how
that revenue was used;
(9) Cannabis retail licenses granted and locations;
(10) Cannabis-related arrests; and
(11) The number of individuals completing required bud
tender training.
(e) Each agency or committee submitting reports under this
Section may consult with one another in the preparation of each
report.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-85)
Sec. 55-85. Medical cannabis.
(a) Nothing in this Act shall be construed to limit any
privileges or rights of a medical cannabis patient including
minor patients, primary caregiver, medical cannabis
cultivation center, or medical cannabis dispensing
organization under the Compassionate Use of Medical Cannabis
Pilot Program Act, and where there is conflict between this Act
and the Compassionate Use of Medical Cannabis Pilot Program Act
as they relate to medical cannabis patients, the Compassionate
Use of Medical Cannabis Pilot Program Act shall prevail.
(b) Dispensary locations that obtain an Early Approval
Adult Use Dispensary Organization License or an Adult Use
Dispensary Organization License in accordance with this Act at
the same location as a medical cannabis dispensing organization
registered under the Compassionate Use of Medical Cannabis
Pilot Program Act shall maintain an inventory of medical
cannabis and medical cannabis products on a monthly basis that
is substantially similar in variety and quantity to the
products offered at the dispensary during the 6-month period
immediately before the effective date of this Act.
(c) Beginning June 30, 2020, the Department of Agriculture
shall make a quarterly determination whether inventory
requirements established for dispensaries in subsection (b)
should be adjusted due to changing patient need.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/55-95)
Sec. 55-95. Conflict of interest. A person is ineligible to
apply for, hold, or own financial or voting interest, other
than a passive interest in a publicly traded company, in any
cannabis business license under this Act if, within a 2-year
period from the effective date of this Act, the person or his
or her spouse or immediate immediately family member was a
member of the General Assembly or a State employee at an agency
that regulates cannabis business establishment license holders
who participated personally and substantially in the award of
licenses under this Act. A person who violates this Section
shall be guilty under subsection (b) of Section 50-5 of the
State Officials and Employees Ethics Act.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/60-5)
Sec. 60-5. Definitions. In this Article:
"Cannabis" has the meaning given to that term in Article 1
of this Act, except that it does not include cannabis that is
subject to tax under the Compassionate Use of Medical Cannabis
Pilot Program Act.
"Craft grower" has the meaning given to that term in
Article 1 of this Act.
"Cultivation center" has the meaning given to that term in
Article 1 of this Act.
"Cultivator" or "taxpayer" means a cultivation center or
craft grower who is subject to tax under this Article.
"Department" means the Department of Revenue.
"Director" means the Director of Revenue.
"Dispensing organization" or "dispensary" has the meaning
given to that term in Article 1 of this Act.
"Gross receipts" from the sales of cannabis by a cultivator
means the total selling price or the amount of such sales, as
defined in this Article. In the case of charges and time sales,
the amount thereof shall be included only when payments are
received by the cultivator.
"Person" means a natural individual, firm, partnership,
association, joint stock company, joint adventure, public or
private corporation, limited liability company, or a receiver,
executor, trustee, guardian, or other representative appointed
by order of any court.
"Infuser" means "infuser organization" or "infuser" as
defined in Article 1 of this Act.
"Selling price" or "amount of sale" means the consideration
for a sale valued in money whether received in money or
otherwise, including cash, credits, property, and services,
and shall be determined without any deduction on account of the
cost of the property sold, the cost of materials used, labor or
service cost, or any other expense whatsoever, but does not
include separately stated charges identified on the invoice by
cultivators to reimburse themselves for their tax liability
under this Article.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/60-20)
Sec. 60-20. Return and payment of cannabis cultivation
privilege tax. Each person who is required to pay the tax
imposed by this Article shall make a return to the Department
on or before the 20th day of each month for the preceding
calendar month stating the following:
(1) the taxpayer's name;
(2) the address of the taxpayer's principal place of
business and the address of the principal place of business
(if that is a different address) from which the taxpayer is
engaged in the business of cultivating cannabis subject to
tax under this Article;
(3) the total amount of receipts received by the
taxpayer during the preceding calendar month from sales of
cannabis subject to tax under this Article by the taxpayer
during the preceding calendar month;
(4) the total amount received by the taxpayer during
the preceding calendar month on charge and time sales of
cannabis subject to tax imposed under this Article by the
taxpayer before the month for which the return is filed;
(5) deductions allowed by law;
(6) gross receipts that were received by the taxpayer
during the preceding calendar month and upon the basis of
which the tax is imposed;
(7) the amount of tax due;
(8) the signature of the taxpayer; and
(9) any other information as the Department may
reasonably require.
All returns required to be filed and payments required to
be made under this Article shall be by electronic means.
Taxpayers who demonstrate hardship in paying electronically
may petition the Department to waive the electronic payment
requirement. The Department may require a separate return for
the tax under this Article or combine the return for the tax
under this Article with the return for the tax under the
Compassionate Use of Medical Cannabis Pilot Program Act. If the
return for the tax under this Article is combined with the
return for tax under the Compassionate Use of Medical Cannabis
Pilot Program Act, then the vendor's discount allowed under
this Section and any cap on that discount shall apply to the
combined return. The taxpayer making the return provided for in
this Section shall also pay to the Department, in accordance
with this Section, the amount of tax imposed by this Article,
less a discount of 1.75%, but not to exceed $1,000 per return
period, which is allowed to reimburse the taxpayer for the
expenses incurred in keeping records, collecting tax,
preparing and filing returns, remitting the tax, and supplying
data to the Department upon request. No discount may be claimed
by a taxpayer on returns not timely filed and for taxes not
timely remitted. No discount may be claimed by a taxpayer for
any return that is not filed electronically. No discount may be
claimed by a taxpayer for any payment that is not made
electronically, unless a waiver has been granted under this
Section. Any amount that is required to be shown or reported on
any return or other document under this Article shall, if the
amount is not a whole-dollar amount, be increased to the
nearest whole-dollar amount if the fractional part of a dollar
is $0.50 or more and decreased to the nearest whole-dollar
amount if the fractional part of a dollar is less than $0.50.
If a total amount of less than $1 is payable, refundable, or
creditable, the amount shall be disregarded if it is less than
$0.50 and shall be increased to $1 if it is $0.50 or more.
Notwithstanding any other provision of this Article concerning
the time within which a taxpayer may file a return, any such
taxpayer who ceases to engage in the kind of business that
makes the person responsible for filing returns under this
Article shall file a final return under this Article with the
Department within one month after discontinuing such business.
Each taxpayer under this Article shall make estimated
payments to the Department on or before the 7th, 15th, 22nd,
and last day of the month during which tax liability to the
Department is incurred. The payments shall be in an amount not
less than the lower of either 22.5% of the taxpayer's actual
tax liability for the month or 25% of the taxpayer's actual tax
liability for the same calendar month of the preceding year.
The amount of the quarter-monthly payments shall be credited
against the final tax liability of the taxpayer's return for
that month. If any quarter-monthly payment is not paid at the
time or in the amount required by this Section, then the
taxpayer shall be liable for penalties and interest on the
difference between the minimum amount due as a payment and the
amount of the quarter-monthly payment actually and timely paid,
except insofar as the taxpayer has previously made payments for
that month to the Department in excess of the minimum payments
previously due as provided in this Section.
If any payment provided for in this Section exceeds the
taxpayer's liabilities under this Article, as shown on an
original monthly return, the Department shall, if requested by
the taxpayer, issue to the taxpayer a credit memorandum no
later than 30 days after the date of payment. The credit
evidenced by the credit memorandum may be assigned by the
taxpayer to a similar taxpayer under this Act, in accordance
with reasonable rules to be prescribed by the Department. If no
such request is made, the taxpayer may credit the excess
payment against tax liability subsequently to be remitted to
the Department under this Act, in accordance with reasonable
rules prescribed by the Department. If the Department
subsequently determines that all or any part of the credit
taken was not actually due to the taxpayer, the taxpayer's
discount shall be reduced, if necessary, to reflect the
difference between the credit taken and that actually due, and
that taxpayer shall be liable for penalties and interest on the
difference.
If a taxpayer fails to sign a return within 30 days after
the proper notice and demand for signature by the Department is
received by the taxpayer, the return shall be considered valid
and any amount shown to be due on the return shall be deemed
assessed.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/65-5)
Sec. 65-5. Definitions. In this Article:
"Adjusted delta-9-tetrahydrocannabinol level" means, for a
delta-9-tetrahydrocannabinol dominant product, the sum of the
percentage of delta-9-tetrahydrocannabinol plus .877
multiplied by the percentage of tetrahydrocannabinolic acid.
"Cannabis" has the meaning given to that term in Article 1
of this Act, except that it does not include cannabis that is
subject to tax under the Compassionate Use of Medical Cannabis
Pilot Program Act.
"Cannabis-infused product" means beverage food, oils,
ointments, tincture, topical formulation, or another product
containing cannabis that is not intended to be smoked.
"Cannabis retailer" means a dispensing organization that
sells cannabis for use and not for resale.
"Craft grower" has the meaning given to that term in
Article 1 of this Act.
"Department" means the Department of Revenue.
"Director" means the Director of Revenue.
"Dispensing organization" or "dispensary" has the meaning
given to that term in Article 1 of this Act.
"Person" means a natural individual, firm, partnership,
association, joint stock company, joint adventure, public or
private corporation, limited liability company, or a receiver,
executor, trustee, guardian, or other representative appointed
by order of any court.
"Infuser organization" or "infuser" means a facility
operated by an organization or business that is licensed by the
Department of Agriculture to directly incorporate cannabis or
cannabis concentrate into a product formulation to produce a
cannabis-infused product.
"Purchase price" means the consideration paid for a
purchase of cannabis, valued in money, whether received in
money or otherwise, including cash, gift cards, credits, and
property and shall be determined without any deduction on
account of the cost of materials used, labor or service costs,
or any other expense whatsoever. However, "purchase price" does
not include consideration paid for:
(1) any charge for a payment that is not honored by a
financial institution;
(2) any finance or credit charge, penalty or charge for
delayed payment, or discount for prompt payment; and
(3) any amounts added to a purchaser's bill because of
charges made under the tax imposed by this Article, the
Municipal Cannabis Retailers' Occupation Tax Law, the
County Cannabis Retailers' Occupation Tax Law, the
Retailers' Occupation Tax Act, the Use Tax Act, the Service
Occupation Tax Act, the Service Use Tax Act, or any locally
imposed occupation or use tax.
"Purchaser" means a person who acquires cannabis for a
valuable consideration.
"Taxpayer" means a cannabis retailer who is required to
collect the tax imposed under this Article.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/65-10)
Sec. 65-10. Tax imposed.
(a) Beginning January 1, 2020, a tax is imposed upon
purchasers for the privilege of using cannabis at the following
rates:
(1) Any cannabis, other than a cannabis-infused
product, with an adjusted delta-9-tetrahydrocannabinol
level at or below 35% shall be taxed at a rate of 10% of the
purchase price;
(2) Any cannabis, other than a cannabis-infused
product, with an adjusted delta-9-tetrahydrocannabinol
level above 35% shall be taxed at a rate of 25% of the
purchase price; and
(3) A cannabis-infused product shall be taxed at a rate
of 20% of the purchase price.
(b) The purchase of any product that contains any amount of
cannabis or any derivative thereof is subject to the tax under
subsection (a) of this Section on the full purchase price of
the product.
(c) The tax imposed under this Section is not imposed on
cannabis that is subject to tax under the Compassionate Use of
Medical Cannabis Pilot Program Act. The tax imposed by this
Section is not imposed with respect to any transaction in
interstate commerce, to the extent the transaction may not,
under the Constitution and statutes of the United States, be
made the subject of taxation by this State.
(d) The tax imposed under this Article shall be in addition
to all other occupation, privilege, or excise taxes imposed by
the State of Illinois or by any municipal corporation or
political subdivision thereof.
(e) The tax imposed under this Article shall not be imposed
on any purchase by a purchaser if the cannabis retailer is
prohibited by federal or State Constitution, treaty,
convention, statute, or court decision from collecting the tax
from the purchaser.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/65-15)
Sec. 65-15. Collection of tax.
(a) The tax imposed by this Article shall be collected from
the purchaser by the cannabis retailer at the rate stated in
Section 65-10 with respect to cannabis sold by the cannabis
retailer to the purchaser, and shall be remitted to the
Department as provided in Section 65-30. All sales to a
purchaser who is not a cardholder under the Compassionate Use
of Medical Cannabis Pilot Program Act are presumed subject to
tax collection. Cannabis retailers shall collect the tax from
purchasers by adding the tax to the amount of the purchase
price received from the purchaser for selling cannabis to the
purchaser. The tax imposed by this Article shall, when
collected, be stated as a distinct item separate and apart from
the purchase price of the cannabis.
(b) If a cannabis retailer collects Cannabis Purchaser
Excise Tax measured by a purchase price that is not subject to
Cannabis Purchaser Excise Tax, or if a cannabis retailer, in
collecting Cannabis Purchaser Excise Tax measured by a purchase
price that is subject to tax under this Act, collects more from
the purchaser than the required amount of the Cannabis
Purchaser Excise Tax on the transaction, the purchaser shall
have a legal right to claim a refund of that amount from the
cannabis retailer. If, however, that amount is not refunded to
the purchaser for any reason, the cannabis retailer is liable
to pay that amount to the Department.
(c) Any person purchasing cannabis subject to tax under
this Article as to which there has been no charge made to him
or her of the tax imposed by Section 65-10 shall make payment
of the tax imposed by Section 65-10 in the form and manner
provided by the Department not later than the 20th day of the
month following the month of purchase of the cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)
Section 30. The Illinois Vehicle Code is amended by
changing Sections 2-118.2, 6-206.1, and 11-501.10 as follows:
(625 ILCS 5/2-118.2)
Sec. 2-118.2. Opportunity for hearing; cannabis-related
suspension under Section 11-501.9.
(a) A suspension of driving privileges under Section
11-501.9 of this Code shall not become effective until the
person is notified in writing of the impending suspension and
informed that he or she may request a hearing in the circuit
court of venue under subsection (b) of this Section and the
suspension shall become effective as provided in Section
11-501.9.
(b) Within 90 days after the notice of suspension served
under Section 11-501.9, the person may make a written request
for a judicial hearing in the circuit court of venue. The
request to the circuit court shall state the grounds upon which
the person seeks to have the suspension rescinded. Within 30
days after receipt of the written request or the first
appearance date on the Uniform Traffic Ticket issued for a
violation of Section 11-501 of this Code, or a similar
provision of a local ordinance, the hearing shall be conducted
by the circuit court having jurisdiction. This judicial
hearing, request, or process shall not stay or delay the
suspension. The hearing shall proceed in the court in the same
manner as in other civil proceedings.
The hearing may be conducted upon a review of the law
enforcement officer's own official reports; provided however,
that the person may subpoena the officer. Failure of the
officer to answer the subpoena shall be considered grounds for
a continuance if in the court's discretion the continuance is
appropriate.
The scope of the hearing shall be limited to the issues of:
(1) Whether the officer had reasonable suspicion to
believe that the person was driving or in actual physical
control of a motor vehicle upon a highway while impaired by
the use of cannabis; and
(2) Whether the person, after being advised by the
officer that the privilege to operate a motor vehicle would
be suspended if the person refused to submit to and
complete the field sobriety tests or validated roadside
chemical tests, did refuse to submit to or complete the
field sobriety tests or validated roadside chemical tests
authorized under Section 11-501.9; and
(3) Whether the person after being advised by the
officer that the privilege to operate a motor vehicle would
be suspended if the person submitted to field sobriety
tests or validated roadside chemical tests that disclosed
the person was impaired by the use of cannabis, did submit
to field sobriety tests or validated roadside chemical
tests that disclosed that the person was impaired by the
use of cannabis.
Upon the conclusion of the judicial hearing, the circuit
court shall sustain or rescind the suspension and immediately
notify the Secretary of State. Reports received by the
Secretary of State under this Section shall be privileged
information and for use only by the courts, police officers,
and Secretary of State.
(Source: P.A. 101-27, eff. 6-25-19; 101-363, eff. 8-9-19.)
(625 ILCS 5/6-206.1) (from Ch. 95 1/2, par. 6-206.1)
Sec. 6-206.1. Monitoring Device Driving Permit.
Declaration of Policy. It is hereby declared a policy of the
State of Illinois that the driver who is impaired by alcohol,
other drug or drugs, or intoxicating compound or compounds is a
threat to the public safety and welfare. Therefore, to provide
a deterrent to such practice, a statutory summary driver's
license suspension is appropriate. It is also recognized that
driving is a privilege and therefore, that the granting of
driving privileges, in a manner consistent with public safety,
is warranted during the period of suspension in the form of a
monitoring device driving permit. A person who drives and fails
to comply with the requirements of the monitoring device
driving permit commits a violation of Section 6-303 of this
Code.
The following procedures shall apply whenever a first
offender, as defined in Section 11-500 of this Code, is
arrested for any offense as defined in Section 11-501 or a
similar provision of a local ordinance and is subject to the
provisions of Section 11-501.1:
(a) Upon mailing of the notice of suspension of driving
privileges as provided in subsection (h) of Section 11-501.1 of
this Code, the Secretary shall also send written notice
informing the person that he or she will be issued a monitoring
device driving permit (MDDP). The notice shall include, at
minimum, information summarizing the procedure to be followed
for issuance of the MDDP, installation of the breath alcohol
ignition installation device (BAIID), as provided in this
Section, exemption from BAIID installation requirements, and
procedures to be followed by those seeking indigent status, as
provided in this Section. The notice shall also include
information summarizing the procedure to be followed if the
person wishes to decline issuance of the MDDP. A copy of the
notice shall also be sent to the court of venue together with
the notice of suspension of driving privileges, as provided in
subsection (h) of Section 11-501. However, a MDDP shall not be
issued if the Secretary finds that:
(1) the offender's driver's license is otherwise
invalid;
(2) death or great bodily harm to another resulted from
the arrest for Section 11-501;
(3) the offender has been previously convicted of
reckless homicide or aggravated driving under the
influence involving death; or
(4) the offender is less than 18 years of age. ; or
(5) the offender is a qualifying patient licensed under
the Compassionate Use of Medical Cannabis Program Act who
is in possession of a valid registry card issued under that
Act and refused to submit to standardized field sobriety
tests as required by subsection (a) of Section 11-501.9 or
did submit to testing which disclosed the person was
impaired by the use of cannabis.
Any offender participating in the MDDP program must pay the
Secretary a MDDP Administration Fee in an amount not to exceed
$30 per month, to be deposited into the Monitoring Device
Driving Permit Administration Fee Fund. The Secretary shall
establish by rule the amount and the procedures, terms, and
conditions relating to these fees. The offender must have an
ignition interlock device installed within 14 days of the date
the Secretary issues the MDDP. The ignition interlock device
provider must notify the Secretary, in a manner and form
prescribed by the Secretary, of the installation. If the
Secretary does not receive notice of installation, the
Secretary shall cancel the MDDP.
Upon receipt of the notice, as provided in paragraph (a) of
this Section, the person may file a petition to decline
issuance of the MDDP with the court of venue. The court shall
admonish the offender of all consequences of declining issuance
of the MDDP including, but not limited to, the enhanced
penalties for driving while suspended. After being so
admonished, the offender shall be permitted, in writing, to
execute a notice declining issuance of the MDDP. This notice
shall be filed with the court and forwarded by the clerk of the
court to the Secretary. The offender may, at any time
thereafter, apply to the Secretary for issuance of a MDDP.
(a-1) A person issued a MDDP may drive for any purpose and
at any time, subject to the rules adopted by the Secretary
under subsection (g). The person must, at his or her own
expense, drive only vehicles equipped with an ignition
interlock device as defined in Section 1-129.1, but in no event
shall such person drive a commercial motor vehicle.
(a-2) Persons who are issued a MDDP and must drive
employer-owned vehicles in the course of their employment
duties may seek permission to drive an employer-owned vehicle
that does not have an ignition interlock device. The employer
shall provide to the Secretary a form, as prescribed by the
Secretary, completed by the employer verifying that the
employee must drive an employer-owned vehicle in the course of
employment. If approved by the Secretary, the form must be in
the driver's possession while operating an employer-owner
vehicle not equipped with an ignition interlock device. No
person may use this exemption to drive a school bus, school
vehicle, or a vehicle designed to transport more than 15
passengers. No person may use this exemption to drive an
employer-owned motor vehicle that is owned by an entity that is
wholly or partially owned by the person holding the MDDP, or by
a family member of the person holding the MDDP. No person may
use this exemption to drive an employer-owned vehicle that is
made available to the employee for personal use. No person may
drive the exempted vehicle more than 12 hours per day, 6 days
per week.
(a-3) Persons who are issued a MDDP and who must drive a
farm tractor to and from a farm, within 50 air miles from the
originating farm are exempt from installation of a BAIID on the
farm tractor, so long as the farm tractor is being used for the
exclusive purpose of conducting farm operations.
(b) (Blank).
(c) (Blank).
(c-1) If the holder of the MDDP is convicted of or receives
court supervision for a violation of Section 6-206.2, 6-303,
11-204, 11-204.1, 11-401, 11-501, 11-503, 11-506 or a similar
provision of a local ordinance or a similar out-of-state
offense or is convicted of or receives court supervision for
any offense for which alcohol or drugs is an element of the
offense and in which a motor vehicle was involved (for an
arrest other than the one for which the MDDP is issued), or
de-installs the BAIID without prior authorization from the
Secretary, the MDDP shall be cancelled.
(c-5) If the Secretary determines that the person seeking
the MDDP is indigent, the Secretary shall provide the person
with a written document as evidence of that determination, and
the person shall provide that written document to an ignition
interlock device provider. The provider shall install an
ignition interlock device on that person's vehicle without
charge to the person, and seek reimbursement from the Indigent
BAIID Fund. If the Secretary has deemed an offender indigent,
the BAIID provider shall also provide the normal monthly
monitoring services and the de-installation without charge to
the offender and seek reimbursement from the Indigent BAIID
Fund. Any other monetary charges, such as a lockout fee or
reset fee, shall be the responsibility of the MDDP holder. A
BAIID provider may not seek a security deposit from the
Indigent BAIID Fund.
(d) MDDP information shall be available only to the courts,
police officers, and the Secretary, except during the actual
period the MDDP is valid, during which time it shall be a
public record.
(e) (Blank).
(f) (Blank).
(g) The Secretary shall adopt rules for implementing this
Section. The rules adopted shall address issues including, but
not limited to: compliance with the requirements of the MDDP;
methods for determining compliance with those requirements;
the consequences of noncompliance with those requirements;
what constitutes a violation of the MDDP; methods for
determining indigency; and the duties of a person or entity
that supplies the ignition interlock device.
(h) The rules adopted under subsection (g) shall provide,
at a minimum, that the person is not in compliance with the
requirements of the MDDP if he or she:
(1) tampers or attempts to tamper with or circumvent
the proper operation of the ignition interlock device;
(2) provides valid breath samples that register blood
alcohol levels in excess of the number of times allowed
under the rules;
(3) fails to provide evidence sufficient to satisfy the
Secretary that the ignition interlock device has been
installed in the designated vehicle or vehicles; or
(4) fails to follow any other applicable rules adopted
by the Secretary.
(i) Any person or entity that supplies an ignition
interlock device as provided under this Section shall, in
addition to supplying only those devices which fully comply
with all the rules adopted under subsection (g), provide the
Secretary, within 7 days of inspection, all monitoring reports
of each person who has had an ignition interlock device
installed. These reports shall be furnished in a manner or form
as prescribed by the Secretary.
(j) Upon making a determination that a violation of the
requirements of the MDDP has occurred, the Secretary shall
extend the summary suspension period for an additional 3 months
beyond the originally imposed summary suspension period,
during which time the person shall only be allowed to drive
vehicles equipped with an ignition interlock device; provided
further there are no limitations on the total number of times
the summary suspension may be extended. The Secretary may,
however, limit the number of extensions imposed for violations
occurring during any one monitoring period, as set forth by
rule. Any person whose summary suspension is extended pursuant
to this Section shall have the right to contest the extension
through a hearing with the Secretary, pursuant to Section 2-118
of this Code. If the summary suspension has already terminated
prior to the Secretary receiving the monitoring report that
shows a violation, the Secretary shall be authorized to suspend
the person's driving privileges for 3 months, provided that the
Secretary may, by rule, limit the number of suspensions to be
entered pursuant to this paragraph for violations occurring
during any one monitoring period. Any person whose license is
suspended pursuant to this paragraph, after the summary
suspension had already terminated, shall have the right to
contest the suspension through a hearing with the Secretary,
pursuant to Section 2-118 of this Code. The only permit the
person shall be eligible for during this new suspension period
is a MDDP.
(k) A person who has had his or her summary suspension
extended for the third time, or has any combination of 3
extensions and new suspensions, entered as a result of a
violation that occurred while holding the MDDP, so long as the
extensions and new suspensions relate to the same summary
suspension, shall have his or her vehicle impounded for a
period of 30 days, at the person's own expense. A person who
has his or her summary suspension extended for the fourth time,
or has any combination of 4 extensions and new suspensions,
entered as a result of a violation that occurred while holding
the MDDP, so long as the extensions and new suspensions relate
to the same summary suspension, shall have his or her vehicle
subject to seizure and forfeiture. The Secretary shall notify
the prosecuting authority of any third or fourth extensions or
new suspension entered as a result of a violation that occurred
while the person held a MDDP. Upon receipt of the notification,
the prosecuting authority shall impound or forfeit the vehicle.
The impoundment or forfeiture of a vehicle shall be conducted
pursuant to the procedure specified in Article 36 of the
Criminal Code of 2012.
(l) A person whose driving privileges have been suspended
under Section 11-501.1 of this Code and who had a MDDP that was
cancelled, or would have been cancelled had notification of a
violation been received prior to expiration of the MDDP,
pursuant to subsection (c-1) of this Section, shall not be
eligible for reinstatement when the summary suspension is
scheduled to terminate. Instead, the person's driving
privileges shall be suspended for a period of not less than
twice the original summary suspension period, or for the length
of any extensions entered under subsection (j), whichever is
longer. During the period of suspension, the person shall be
eligible only to apply for a restricted driving permit. If a
restricted driving permit is granted, the offender may only
operate vehicles equipped with a BAIID in accordance with this
Section.
(m) Any person or entity that supplies an ignition
interlock device under this Section shall, for each ignition
interlock device installed, pay 5% of the total gross revenue
received for the device, including monthly monitoring fees,
into the Indigent BAIID Fund. This 5% shall be clearly
indicated as a separate surcharge on each invoice that is
issued. The Secretary shall conduct an annual review of the
fund to determine whether the surcharge is sufficient to
provide for indigent users. The Secretary may increase or
decrease this surcharge requirement as needed.
(n) Any person or entity that supplies an ignition
interlock device under this Section that is requested to
provide an ignition interlock device to a person who presents
written documentation of indigency from the Secretary, as
provided in subsection (c-5) of this Section, shall install the
device on the person's vehicle without charge to the person and
shall seek reimbursement from the Indigent BAIID Fund.
(o) The Indigent BAIID Fund is created as a special fund in
the State treasury. The Secretary shall, subject to
appropriation by the General Assembly, use all money in the
Indigent BAIID Fund to reimburse ignition interlock device
providers who have installed devices in vehicles of indigent
persons. The Secretary shall make payments to such providers
every 3 months. If the amount of money in the fund at the time
payments are made is not sufficient to pay all requests for
reimbursement submitted during that 3 month period, the
Secretary shall make payments on a pro-rata basis, and those
payments shall be considered payment in full for the requests
submitted.
(p) The Monitoring Device Driving Permit Administration
Fee Fund is created as a special fund in the State treasury.
The Secretary shall, subject to appropriation by the General
Assembly, use the money paid into this fund to offset its
administrative costs for administering MDDPs.
(q) The Secretary is authorized to prescribe such forms as
it deems necessary to carry out the provisions of this Section.
(Source: P.A. 101-363, eff. 8-9-19.)
(625 ILCS 5/11-501.10)
(Section scheduled to be repealed on July 1, 2021)
Sec. 11-501.10. DUI Cannabis Task Force.
(a) The DUI Cannabis Task Force is hereby created to study
the issue of driving under the influence of cannabis. The Task
Force shall consist of the following members:
(1) The Director of State Police, or his or her
designee, who shall serve as chair;
(2) The Secretary of State, or his or her designee;
(3) The President of the Illinois State's Attorneys
Association, or his or her designee;
(4) The President of the Illinois Association of
Criminal Defense Lawyers, or his or her designee;
(5) One member appointed by the Speaker of the House of
Representatives;
(6) One member appointed by the Minority Leader of the
House of Representatives;
(7) One member appointed by the President of the
Senate;
(8) One member appointed by the Minority Leader of the
Senate;
(9) One member of an organization dedicated to end
drunk driving and drugged driving;
(10) The president of a statewide bar association,
appointed by the Governor; and
(11) One member of a statewide organization
representing civil and constitutional rights, appointed by
the Governor;
(12) One member of a statewide association
representing chiefs of police, appointed by the Governor;
and
(13) One member of a statewide association
representing sheriffs, appointed by the Governor.
(b) The members of the Task Force shall serve without
compensation.
(c) The Task Force shall examine best practices in the area
of driving under the influence of cannabis enforcement,
including examining emerging technology in roadside testing.
(d) The Task Force shall meet no fewer than 3 times and
shall present its report and recommendations on improvements to
enforcement of driving under the influence of cannabis, in
electronic format, to the Governor and the General Assembly no
later than July 1, 2020.
(e) The Department of State Police shall provide
administrative support to the Task Force as needed. The
Sentencing Policy Advisory Council shall provide data on
driving under the influence of cannabis offenses and other data
to the Task Force as needed.
(f) This Section is repealed on July 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)
Section 35. The Cannabis Control Act is amended by changing
Sections 3, 4, 5, 5.1, and 8 as follows:
(720 ILCS 550/3) (from Ch. 56 1/2, par. 703)
Sec. 3. As used in this Act, unless the context otherwise
requires:
(a) "Cannabis" includes marihuana, hashish and other
substances which are identified as including any parts of the
plant Cannabis Sativa, whether growing or not; the seeds
thereof, the resin extracted from any part of such plant; and
any compound, manufacture, salt, derivative, mixture, or
preparation of such plant, its seeds, or resin, including
tetrahydrocannabinol (THC) and all other cannabinol
derivatives, including its naturally occurring or
synthetically produced ingredients, whether produced directly
or indirectly by extraction, or independently by means of
chemical synthesis or by a combination of extraction and
chemical synthesis; but shall not include the mature stalks of
such plant, fiber produced from such stalks, oil or cake made
from the seeds of such plant, any other compound, manufacture,
salt, derivative, mixture, or preparation of such mature stalks
(except the resin extracted therefrom), fiber, oil or cake, or
the sterilized seed of such plant which is incapable of
germination. "Cannabis" does not include industrial hemp as
defined and authorized under the Industrial Hemp Act.
(b) "Casual delivery" means the delivery of not more than
10 grams of any substance containing cannabis without
consideration.
(c) "Department" means the Illinois Department of Human
Services (as successor to the Department of Alcoholism and
Substance Abuse) or its successor agency.
(d) "Deliver" or "delivery" means the actual, constructive
or attempted transfer of possession of cannabis, with or
without consideration, whether or not there is an agency
relationship.
(e) "Department of State Police" means the Department of
State Police of the State of Illinois or its successor agency.
(f) "Director" means the Director of the Department of
State Police or his designated agent.
(g) "Local authorities" means a duly organized State,
county, or municipal peace unit or police force.
(h) "Manufacture" means the production, preparation,
propagation, compounding, conversion or processing of
cannabis, either directly or indirectly, by extraction from
substances of natural origin, or independently by means of
chemical synthesis, or by a combination of extraction and
chemical synthesis, and includes any packaging or repackaging
of cannabis or labeling of its container, except that this term
does not include the preparation, compounding, packaging, or
labeling of cannabis as an incident to lawful research,
teaching, or chemical analysis and not for sale.
(i) "Person" means any individual, corporation, government
or governmental subdivision or agency, business trust, estate,
trust, partnership or association, or any other entity.
(j) "Produce" or "production" means planting, cultivating,
tending or harvesting.
(k) "State" includes the State of Illinois and any state,
district, commonwealth, territory, insular possession thereof,
and any area subject to the legal authority of the United
States of America.
(l) "Subsequent offense" means an offense under this Act,
the offender of which, prior to his conviction of the offense,
has at any time been convicted under this Act or under any laws
of the United States or of any state relating to cannabis, or
any controlled substance as defined in the Illinois Controlled
Substances Act.
(Source: P.A. 100-1091, eff. 8-26-18.)
(720 ILCS 550/4) (from Ch. 56 1/2, par. 704)
Sec. 4. Except as otherwise provided in the Cannabis
Regulation and Tax Act and the Industrial Hemp Act, it is
unlawful for any person knowingly to possess cannabis.
Any person who violates this Section with respect to:
(a) not more than 10 grams of any substance containing
cannabis is guilty of a civil law violation punishable by a
minimum fine of $100 and a maximum fine of $200. The
proceeds of the fine shall be payable to the clerk of the
circuit court. Within 30 days after the deposit of the
fine, the clerk shall distribute the proceeds of the fine
as follows:
(1) $10 of the fine to the circuit clerk and $10 of
the fine to the law enforcement agency that issued the
citation; the proceeds of each $10 fine distributed to
the circuit clerk and each $10 fine distributed to the
law enforcement agency that issued the citation for the
violation shall be used to defer the cost of automatic
expungements under paragraph (2.5) of subsection (a)
of Section 5.2 of the Criminal Identification Act;
(2) $15 to the county to fund drug addiction
services;
(3) $10 to the Office of the State's Attorneys
Appellate Prosecutor for use in training programs;
(4) $10 to the State's Attorney; and
(5) any remainder of the fine to the law
enforcement agency that issued the citation for the
violation.
With respect to funds designated for the Department of
State Police, the moneys shall be remitted by the circuit
court clerk to the Department of State Police within one
month after receipt for deposit into the State Police
Operations Assistance Fund. With respect to funds
designated for the Department of Natural Resources, the
Department of Natural Resources shall deposit the moneys
into the Conservation Police Operations Assistance Fund;
(b) more than 10 grams but not more than 30 grams of
any substance containing cannabis is guilty of a Class B
misdemeanor;
(c) more than 30 grams but not more than 100 grams of
any substance containing cannabis is guilty of a Class A
misdemeanor; provided, that if any offense under this
subsection (c) is a subsequent offense, the offender shall
be guilty of a Class 4 felony;
(d) more than 100 grams but not more than 500 grams of
any substance containing cannabis is guilty of a Class 4
felony; provided that if any offense under this subsection
(d) is a subsequent offense, the offender shall be guilty
of a Class 3 felony;
(e) more than 500 grams but not more than 2,000 grams
of any substance containing cannabis is guilty of a Class 3
felony;
(f) more than 2,000 grams but not more than 5,000 grams
of any substance containing cannabis is guilty of a Class 2
felony;
(g) more than 5,000 grams of any substance containing
cannabis is guilty of a Class 1 felony.
(Source: P.A. 101-27, eff. 6-25-19.)
(720 ILCS 550/5) (from Ch. 56 1/2, par. 705)
Sec. 5. Except as otherwise provided in the Cannabis
Regulation and Tax Act and the Industrial Hemp Act, it is
unlawful for any person knowingly to manufacture, deliver, or
possess with intent to deliver, or manufacture, cannabis. Any
person who violates this Section with respect to:
(a) not more than 2.5 grams of any substance containing
cannabis is guilty of a Class B misdemeanor;
(b) more than 2.5 grams but not more than 10 grams of
any substance containing cannabis is guilty of a Class A
misdemeanor;
(c) more than 10 grams but not more than 30 grams of
any substance containing cannabis is guilty of a Class 4
felony;
(d) more than 30 grams but not more than 500 grams of
any substance containing cannabis is guilty of a Class 3
felony for which a fine not to exceed $50,000 may be
imposed;
(e) more than 500 grams but not more than 2,000 grams
of any substance containing cannabis is guilty of a Class 2
felony for which a fine not to exceed $100,000 may be
imposed;
(f) more than 2,000 grams but not more than 5,000 grams
of any substance containing cannabis is guilty of a Class 1
felony for which a fine not to exceed $150,000 may be
imposed;
(g) more than 5,000 grams of any substance containing
cannabis is guilty of a Class X felony for which a fine not
to exceed $200,000 may be imposed.
(Source: P.A. 101-27, eff. 6-25-19.)
(720 ILCS 550/5.1) (from Ch. 56 1/2, par. 705.1)
Sec. 5.1. Cannabis trafficking.
(a) Except for purposes authorized by this Act, the
Industrial Hemp Act, or the Cannabis Regulation and Tax Act,
any person who knowingly brings or causes to be brought into
this State for the purpose of manufacture or delivery or with
the intent to manufacture or deliver 2,500 grams or more of
cannabis in this State or any other state or country is guilty
of cannabis trafficking.
(b) A person convicted of cannabis trafficking shall be
sentenced to a term of imprisonment not less than twice the
minimum term and fined an amount as authorized by subsection
(f) or (g) of Section 5 of this Act, based upon the amount of
cannabis brought or caused to be brought into this State, and
not more than twice the maximum term of imprisonment and fined
twice the amount as authorized by subsection (f) or (g) of
Section 5 of this Act, based upon the amount of cannabis
brought or caused to be brought into this State.
(Source: P.A. 101-27, eff. 6-25-19.)
(720 ILCS 550/8) (from Ch. 56 1/2, par. 708)
Sec. 8. Except as otherwise provided in the Cannabis
Regulation and Tax Act and the Industrial Hemp Act, it is
unlawful for any person knowingly to produce the Cannabis
sativa plant or to possess such plants unless production or
possession has been authorized pursuant to the provisions of
Section 11 or 15.2 of the Act. Any person who violates this
Section with respect to production or possession of:
(a) Not more than 5 plants is guilty of a civil
violation punishable by a minimum fine of $100 and a
maximum fine of $200. The proceeds of the fine are payable
to the clerk of the circuit court. Within 30 days after the
deposit of the fine, the clerk shall distribute the
proceeds of the fine as follows:
(1) $10 of the fine to the circuit clerk and $10 of
the fine to the law enforcement agency that issued the
citation; the proceeds of each $10 fine distributed to
the circuit clerk and each $10 fine distributed to the
law enforcement agency that issued the citation for the
violation shall be used to defer the cost of automatic
expungements under paragraph (2.5) of subsection (a)
of Section 5.2 of the Criminal Identification Act;
(2) $15 to the county to fund drug addiction
services;
(3) $10 to the Office of the State's Attorneys
Appellate Prosecutor for use in training programs;
(4) $10 to the State's Attorney; and
(5) any remainder of the fine to the law
enforcement agency that issued the citation for the
violation.
With respect to funds designated for the Department of
State Police, the moneys shall be remitted by the circuit
court clerk to the Department of State Police within one
month after receipt for deposit into the State Police
Operations Assistance Fund. With respect to funds
designated for the Department of Natural Resources, the
Department of Natural Resources shall deposit the moneys
into the Conservation Police Operations Assistance Fund.
(b) More than 5, but not more than 20 plants, is guilty
of a Class 4 felony.
(c) More than 20, but not more than 50 plants, is
guilty of a Class 3 felony.
(d) More than 50, but not more than 200 plants, is
guilty of a Class 2 felony for which a fine not to exceed
$100,000 may be imposed and for which liability for the
cost of conducting the investigation and eradicating such
plants may be assessed. Compensation for expenses incurred
in the enforcement of this provision shall be transmitted
to and deposited in the treasurer's office at the level of
government represented by the Illinois law enforcement
agency whose officers or employees conducted the
investigation or caused the arrest or arrests leading to
the prosecution, to be subsequently made available to that
law enforcement agency as expendable receipts for use in
the enforcement of laws regulating controlled substances
and cannabis. If such seizure was made by a combination of
law enforcement personnel representing different levels of
government, the court levying the assessment shall
determine the allocation of such assessment. The proceeds
of assessment awarded to the State treasury shall be
deposited in a special fund known as the Drug Traffic
Prevention Fund.
(e) More than 200 plants is guilty of a Class 1 felony
for which a fine not to exceed $100,000 may be imposed and
for which liability for the cost of conducting the
investigation and eradicating such plants may be assessed.
Compensation for expenses incurred in the enforcement of
this provision shall be transmitted to and deposited in the
treasurer's office at the level of government represented
by the Illinois law enforcement agency whose officers or
employees conducted the investigation or caused the arrest
or arrests leading to the prosecution, to be subsequently
made available to that law enforcement agency as expendable
receipts for use in the enforcement of laws regulating
controlled substances and cannabis. If such seizure was
made by a combination of law enforcement personnel
representing different levels of government, the court
levying the assessment shall determine the allocation of
such assessment. The proceeds of assessment awarded to the
State treasury shall be deposited in a special fund known
as the Drug Traffic Prevention Fund.
(Source: P.A. 101-27, eff. 6-25-19.)
Section 40. The Drug Paraphernalia Control Act is amended
by changing Sections 2, 3.5, 4, and 6 as follows:
(720 ILCS 600/2) (from Ch. 56 1/2, par. 2102)
Sec. 2. As used in this Act, unless the context otherwise
requires:
(a) The term "cannabis" shall have the meaning ascribed to
it in Section 3 of the Cannabis Control Act, as if that
definition were incorporated herein.
(b) The term "controlled substance" shall have the meaning
ascribed to it in Section 102 of the Illinois Controlled
Substances Act, as if that definition were incorporated herein.
(c) "Deliver" or "delivery" means the actual, constructive
or attempted transfer of possession, with or without
consideration, whether or not there is an agency relationship.
(d) "Drug paraphernalia" means all equipment, products and
materials of any kind, other than methamphetamine
manufacturing materials as defined in Section 10 of the
Methamphetamine Control and Community Protection Act and
cannabis paraphernalia as defined in Section 1-10 of the
Cannabis Regulation and Tax Act, which are intended to be used
unlawfully in planting, propagating, cultivating, growing,
harvesting, manufacturing, compounding, converting, producing,
processing, preparing, testing, analyzing, packaging,
repackaging, storing, containing, concealing, injecting,
ingesting, inhaling or otherwise introducing into the human
body cannabis or a controlled substance in violation of the
Cannabis Control Act, the Illinois Controlled Substances Act,
or the Methamphetamine Control and Community Protection Act or
a synthetic drug product or misbranded drug in violation of the
Illinois Food, Drug and Cosmetic Act. It includes, but is not
limited to:
(1) kits intended to be used unlawfully in
manufacturing, compounding, converting, producing,
processing or preparing cannabis or a controlled
substance;
(2) isomerization devices intended to be used
unlawfully in increasing the potency of any species of
plant which is cannabis or a controlled substance;
(3) testing equipment intended to be used unlawfully in
a private home for identifying or in analyzing the
strength, effectiveness or purity of cannabis or
controlled substances;
(4) diluents and adulterants intended to be used
unlawfully for cutting cannabis or a controlled substance
by private persons;
(5) objects intended to be used unlawfully in
ingesting, inhaling, or otherwise introducing cannabis,
cocaine, hashish, hashish oil, or a synthetic drug product
or misbranded drug in violation of the Illinois Food, Drug
and Cosmetic Act into the human body including, where
applicable, the following items:
(A) water pipes;
(B) carburetion tubes and devices;
(C) smoking and carburetion masks;
(D) miniature cocaine spoons and cocaine vials;
(E) carburetor pipes;
(F) electric pipes;
(G) air-driven pipes;
(H) chillums;
(I) bongs;
(J) ice pipes or chillers;
(6) any item whose purpose, as announced or described
by the seller, is for use in violation of this Act.
(Source: P.A. 97-872, eff. 7-31-12.)
(720 ILCS 600/3.5)
Sec. 3.5. Possession of drug paraphernalia.
(a) A person who knowingly possesses an item of drug
paraphernalia with the intent to use it in ingesting, inhaling,
or otherwise introducing cannabis or a controlled substance
into the human body, or in preparing cannabis or a controlled
substance for that use, is guilty of a Class A misdemeanor for
which the court shall impose a minimum fine of $750 in addition
to any other penalty prescribed for a Class A misdemeanor. This
subsection (a) does not apply to a person who is legally
authorized to possess hypodermic syringes or needles under the
Hypodermic Syringes and Needles Act.
(b) In determining intent under subsection (a), the trier
of fact may take into consideration the proximity of the
cannabis or controlled substances to drug paraphernalia or the
presence of cannabis or a controlled substance on the drug
paraphernalia.
(c) If a person violates subsection (a) of Section 4 of the
Cannabis Control Act, the penalty for possession of any drug
paraphernalia seized during the violation for that offense
shall be a civil law violation punishable by a minimum fine of
$100 and a maximum fine of $200. The proceeds of the fine shall
be payable to the clerk of the circuit court. Within 30 days
after the deposit of the fine, the clerk shall distribute the
proceeds of the fine as follows:
(1) $10 of the fine to the circuit clerk and $10 of the
fine to the law enforcement agency that issued the
citation; the proceeds of each $10 fine distributed to the
circuit clerk and each $10 fine distributed to the law
enforcement agency that issued the citation for the
violation shall be used to defer the cost of automatic
expungements under paragraph (2.5) of subsection (a) of
Section 5.2 of the Criminal Identification Act;
(2) $15 to the county to fund drug addiction services;
(3) $10 to the Office of the State's Attorneys
Appellate Prosecutor for use in training programs;
(4) $10 to the State's Attorney; and
(5) any remainder of the fine to the law enforcement
agency that issued the citation for the violation.
With respect to funds designated for the Department of
State Police, the moneys shall be remitted by the circuit court
clerk to the Department of State Police within one month after
receipt for deposit into the State Police Operations Assistance
Fund. With respect to funds designated for the Department of
Natural Resources, the Department of Natural Resources shall
deposit the moneys into the Conservation Police Operations
Assistance Fund.
(Source: P.A. 99-697, eff. 7-29-16.)
(720 ILCS 600/4) (from Ch. 56 1/2, par. 2104)
Sec. 4. Exemptions. This Act does not apply to:
(a) Items used in the preparation, compounding,
packaging, labeling, or other use of cannabis or a
controlled substance as an incident to lawful research,
teaching, or chemical analysis and not for sale.
(b) Items historically and customarily used in
connection with the planting, propagating, cultivating,
growing, harvesting, manufacturing, compounding,
converting, producing, processing, preparing, testing,
analyzing, packaging, repackaging, storing, containing,
concealing, injecting, ingesting, or inhaling of cannabis,
tobacco, or any other lawful substance.
Items exempt under this subsection include, but are not
limited to, garden hoes, rakes, sickles, baggies, tobacco
pipes, and cigarette-rolling papers.
(c) Items listed in Section 2 of this Act which are
used for decorative purposes, when such items have been
rendered completely inoperable or incapable of being used
for any illicit purpose prohibited by this Act.
(d) A person who is legally authorized to possess
hypodermic syringes or needles under the Hypodermic
Syringes and Needles Act.
In determining whether or not a particular item is exempt under
this Section, the trier of fact should consider, in addition to
all other logically relevant factors, the following:
(1) the general, usual, customary, and historical use
to which the item involved has been put;
(2) expert evidence concerning the ordinary or
customary use of the item and the effect of any
peculiarity in the design or engineering of the device
upon its functioning;
(3) any written instructions accompanying the delivery
of the item concerning the purposes or uses to which
the item can or may be put;
(4) any oral instructions provided by the seller of the
item at the time and place of sale or commercial
delivery;
(5) any national or local advertising concerning the
design, purpose or use of the item involved, and the
entire context in which such advertising occurs;
(6) the manner, place and circumstances in which the
item was displayed for sale, as well as any item or
items displayed for sale or otherwise exhibited upon
the premises where the sale was made;
(7) whether the owner or anyone in control of the
object is a legitimate supplier of like or related
items to the community, such as a licensed distributor
or dealer of cannabis or tobacco products;
(8) the existence and scope of legitimate uses for the
object in the community.
(Source: P.A. 95-331, eff. 8-21-07.)
(720 ILCS 600/6) (from Ch. 56 1/2, par. 2106)
Sec. 6. This Act is intended to be used solely for the
suppression of the commercial traffic in and possession of
items that, within the context of the sale or offering for
sale, or possession, are clearly and beyond a reasonable doubt
intended for the illegal and unlawful use of cannabis or
controlled substances. To this end all reasonable and
common-sense inferences shall be drawn in favor of the
legitimacy of any transaction or item.
(Source: P.A. 93-526, eff. 8-12-03.)
Section 45. The Statewide Grand Jury Act is amended by
changing Sections 2 and 3 as follows:
(725 ILCS 215/2) (from Ch. 38, par. 1702)
Sec. 2. (a) County grand juries and State's Attorneys have
always had and shall continue to have primary responsibility
for investigating, indicting, and prosecuting persons who
violate the criminal laws of the State of Illinois. However, in
recent years organized terrorist activity directed against
innocent civilians and certain criminal enterprises have
developed that require investigation, indictment, and
prosecution on a statewide or multicounty level. The criminal
enterprises exist as a result of the allure of profitability
present in narcotic activity, the unlawful sale and transfer of
firearms, and streetgang related felonies and organized
terrorist activity is supported by the contribution of money
and expert assistance from geographically diverse sources. In
order to shut off the life blood of terrorism and weaken or
eliminate the criminal enterprises, assets, and property used
to further these offenses must be frozen, and any profit must
be removed. State statutes exist that can accomplish that goal.
Among them are the offense of money laundering, the Cannabis
and Controlled Substances Tax Act, violations of Article 29D of
the Criminal Code of 1961 or the Criminal Code of 2012, the
Narcotics Profit Forfeiture Act, and gunrunning. Local
prosecutors need investigative personnel and specialized
training to attack and eliminate these profits. In light of the
transitory and complex nature of conduct that constitutes these
criminal activities, the many diverse property interests that
may be used, acquired directly or indirectly as a result of
these criminal activities, and the many places that illegally
obtained property may be located, it is the purpose of this Act
to create a limited, multicounty Statewide Grand Jury with
authority to investigate, indict, and prosecute: narcotic
activity, including cannabis and controlled substance
trafficking, narcotics racketeering, money laundering,
violations of the Cannabis and Controlled Substances Tax Act,
and violations of Article 29D of the Criminal Code of 1961 or
the Criminal Code of 2012; the unlawful sale and transfer of
firearms; gunrunning; and streetgang related felonies.
(b) A Statewide Grand Jury may also investigate, indict,
and prosecute violations facilitated by the use of a computer
of any of the following offenses: indecent solicitation of a
child, sexual exploitation of a child, soliciting for a
juvenile prostitute, keeping a place of juvenile prostitution,
juvenile pimping, child pornography, aggravated child
pornography, or promoting juvenile prostitution except as
described in subdivision (a)(4) of Section 11-14.4 of the
Criminal Code of 1961 or the Criminal Code of 2012.
(Source: P.A. 96-1551, eff. 7-1-11; 97-1150, eff. 1-25-13.)
(725 ILCS 215/3) (from Ch. 38, par. 1703)
Sec. 3. Written application for the appointment of a
Circuit Judge to convene and preside over a Statewide Grand
Jury, with jurisdiction extending throughout the State, shall
be made to the Chief Justice of the Supreme Court. Upon such
written application, the Chief Justice of the Supreme Court
shall appoint a Circuit Judge from the circuit where the
Statewide Grand Jury is being sought to be convened, who shall
make a determination that the convening of a Statewide Grand
Jury is necessary.
In such application the Attorney General shall state that
the convening of a Statewide Grand Jury is necessary because of
an alleged offense or offenses set forth in this Section
involving more than one county of the State and identifying any
such offense alleged; and
(a) that he or she believes that the grand jury
function for the investigation and indictment of the
offense or offenses cannot effectively be performed by a
county grand jury together with the reasons for such
belief, and
(b)(1) that each State's Attorney with jurisdiction
over an offense or offenses to be investigated has
consented to the impaneling of the Statewide Grand Jury, or
(2) if one or more of the State's Attorneys having
jurisdiction over an offense or offenses to be investigated
fails to consent to the impaneling of the Statewide Grand
Jury, the Attorney General shall set forth good cause for
impaneling the Statewide Grand Jury.
If the Circuit Judge determines that the convening of a
Statewide Grand Jury is necessary, he or she shall convene and
impanel the Statewide Grand Jury with jurisdiction extending
throughout the State to investigate and return indictments:
(a) For violations of any of the following or for any
other criminal offense committed in the course of violating
any of the following: Article 29D of the Criminal Code of
1961 or the Criminal Code of 2012, the Illinois Controlled
Substances Act, the Cannabis Control Act, the
Methamphetamine Control and Community Protection Act, or
the Narcotics Profit Forfeiture Act, or the Cannabis and
Controlled Substances Tax Act; a streetgang related felony
offense; Section 24-2.1, 24-2.2, 24-3, 24-3A, 24-3.1,
24-3.3, 24-3.4, 24-4, or 24-5 or subsection 24-1(a)(4),
24-1(a)(6), 24-1(a)(7), 24-1(a)(9), 24-1(a)(10), or
24-1(c) of the Criminal Code of 1961 or the Criminal Code
of 2012; or a money laundering offense; provided that the
violation or offense involves acts occurring in more than
one county of this State; and
(a-5) For violations facilitated by the use of a
computer, including the use of the Internet, the World Wide
Web, electronic mail, message board, newsgroup, or any
other commercial or noncommercial on-line service, of any
of the following offenses: indecent solicitation of a
child, sexual exploitation of a child, soliciting for a
juvenile prostitute, keeping a place of juvenile
prostitution, juvenile pimping, child pornography,
aggravated child pornography, or promoting juvenile
prostitution except as described in subdivision (a)(4) of
Section 11-14.4 of the Criminal Code of 1961 or the
Criminal Code of 2012; and
(b) For the offenses of perjury, subornation of
perjury, communicating with jurors and witnesses, and
harassment of jurors and witnesses, as they relate to
matters before the Statewide Grand Jury.
"Streetgang related" has the meaning ascribed to it in
Section 10 of the Illinois Streetgang Terrorism Omnibus
Prevention Act.
Upon written application by the Attorney General for the
convening of an additional Statewide Grand Jury, the Chief
Justice of the Supreme Court shall appoint a Circuit Judge from
the circuit for which the additional Statewide Grand Jury is
sought. The Circuit Judge shall determine the necessity for an
additional Statewide Grand Jury in accordance with the
provisions of this Section. No more than 2 Statewide Grand
Juries may be empaneled at any time.
(Source: P.A. 96-1551, eff. 7-1-11; 97-1150, eff. 1-25-13.)
Section 99. Effective date. This Act takes effect upon
becoming law.
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