103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0030 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/20-45 Amends the Cannabis Regulation and Tax Act. Provides that, as a condition for the renewal of a cultivation center's license, and until January 1, 2028, a cultivation center shall set aside and offer wholesale to infuser organizations an amount of the cultivation center's monthly THC oil production. Requires the Department of Agriculture to ensure that for all cultivation centers the cumulative monthly amount of THC oil that is set aside and made available to infuser organizations is no less than specified amounts for calendar years 2023 through 2027. Requires the Department to establish a formula to establish fair THC oil set aside amount targets for each individual cultivation center in proportion to that cultivation center's production capacity. Provides that the set aside amount shall first be offered for sale exclusively to infuser organizations for a limited time. Provides that the Department shall develop a mechanism to ensure that the quality of THC oil included in a set aside amount is of consistent quality and is sold at market rates or better. Provides that the Department's administrative expenses from implementing the provisions shall be fully funded from tax revenue received by the State under the Act. Contains other provisions. Effective immediately. LRB103 03546 CPF 48552 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0030 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/20-45 410 ILCS 705/20-45 Amends the Cannabis Regulation and Tax Act. Provides that, as a condition for the renewal of a cultivation center's license, and until January 1, 2028, a cultivation center shall set aside and offer wholesale to infuser organizations an amount of the cultivation center's monthly THC oil production. Requires the Department of Agriculture to ensure that for all cultivation centers the cumulative monthly amount of THC oil that is set aside and made available to infuser organizations is no less than specified amounts for calendar years 2023 through 2027. Requires the Department to establish a formula to establish fair THC oil set aside amount targets for each individual cultivation center in proportion to that cultivation center's production capacity. Provides that the set aside amount shall first be offered for sale exclusively to infuser organizations for a limited time. Provides that the Department shall develop a mechanism to ensure that the quality of THC oil included in a set aside amount is of consistent quality and is sold at market rates or better. Provides that the Department's administrative expenses from implementing the provisions shall be fully funded from tax revenue received by the State under the Act. Contains other provisions. Effective immediately. LRB103 03546 CPF 48552 b LRB103 03546 CPF 48552 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0030 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/20-45 410 ILCS 705/20-45 410 ILCS 705/20-45 Amends the Cannabis Regulation and Tax Act. Provides that, as a condition for the renewal of a cultivation center's license, and until January 1, 2028, a cultivation center shall set aside and offer wholesale to infuser organizations an amount of the cultivation center's monthly THC oil production. Requires the Department of Agriculture to ensure that for all cultivation centers the cumulative monthly amount of THC oil that is set aside and made available to infuser organizations is no less than specified amounts for calendar years 2023 through 2027. Requires the Department to establish a formula to establish fair THC oil set aside amount targets for each individual cultivation center in proportion to that cultivation center's production capacity. Provides that the set aside amount shall first be offered for sale exclusively to infuser organizations for a limited time. Provides that the Department shall develop a mechanism to ensure that the quality of THC oil included in a set aside amount is of consistent quality and is sold at market rates or better. Provides that the Department's administrative expenses from implementing the provisions shall be fully funded from tax revenue received by the State under the Act. Contains other provisions. Effective immediately. LRB103 03546 CPF 48552 b LRB103 03546 CPF 48552 b LRB103 03546 CPF 48552 b A BILL FOR HB0030LRB103 03546 CPF 48552 b HB0030 LRB103 03546 CPF 48552 b HB0030 LRB103 03546 CPF 48552 b 1 AN ACT concerning health. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Cannabis Regulation and Tax Act is amended 5 by changing Section 20-45 as follows: 6 (410 ILCS 705/20-45) 7 Sec. 20-45. Renewal of cultivation center licenses and 8 agent identification cards. 9 (a) Licenses and identification cards issued under this 10 Act shall be renewed annually. A cultivation center shall 11 receive written or electronic notice 90 days before the 12 expiration of its current license that the license will 13 expire. The Department of Agriculture shall grant a renewal 14 within 45 days of submission of a renewal application if: 15 (1) the cultivation center submits a renewal 16 application and the required nonrefundable renewal fee of 17 $100,000, or another amount as the Department of 18 Agriculture may set by rule after January 1, 2021, to be 19 deposited into the Cannabis Regulation Fund. 20 (2) the Department of Agriculture has not suspended 21 the license of the cultivation center or suspended or 22 revoked the license for violating this Act or rules 23 adopted under this Act; 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB0030 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED: 410 ILCS 705/20-45 410 ILCS 705/20-45 410 ILCS 705/20-45 Amends the Cannabis Regulation and Tax Act. Provides that, as a condition for the renewal of a cultivation center's license, and until January 1, 2028, a cultivation center shall set aside and offer wholesale to infuser organizations an amount of the cultivation center's monthly THC oil production. Requires the Department of Agriculture to ensure that for all cultivation centers the cumulative monthly amount of THC oil that is set aside and made available to infuser organizations is no less than specified amounts for calendar years 2023 through 2027. Requires the Department to establish a formula to establish fair THC oil set aside amount targets for each individual cultivation center in proportion to that cultivation center's production capacity. Provides that the set aside amount shall first be offered for sale exclusively to infuser organizations for a limited time. Provides that the Department shall develop a mechanism to ensure that the quality of THC oil included in a set aside amount is of consistent quality and is sold at market rates or better. Provides that the Department's administrative expenses from implementing the provisions shall be fully funded from tax revenue received by the State under the Act. Contains other provisions. Effective immediately. LRB103 03546 CPF 48552 b LRB103 03546 CPF 48552 b LRB103 03546 CPF 48552 b A BILL FOR 410 ILCS 705/20-45 LRB103 03546 CPF 48552 b HB0030 LRB103 03546 CPF 48552 b HB0030- 2 -LRB103 03546 CPF 48552 b HB0030 - 2 - LRB103 03546 CPF 48552 b HB0030 - 2 - LRB103 03546 CPF 48552 b 1 (3) the cultivation center has continued to operate in 2 accordance with all plans submitted as part of its 3 application and approved by the Department of Agriculture 4 or any amendments thereto that have been approved by the 5 Department of Agriculture; 6 (4) the cultivation center has submitted an agent, 7 employee, contracting, and subcontracting diversity report 8 as required by the Department; and 9 (5) the cultivation center has submitted an 10 environmental impact report. 11 (b) If a cultivation center fails to renew its license 12 before expiration, it shall cease operations until its license 13 is renewed. 14 (c) If a cultivation center agent fails to renew his or her 15 identification card before its expiration, he or she shall 16 cease to work as an agent of the cultivation center until his 17 or her identification card is renewed. 18 (d) Any cultivation center that continues to operate, or 19 any cultivation center agent who continues to work as an 20 agent, after the applicable license or identification card has 21 expired without renewal is subject to the penalties provided 22 under Section 45-5. 23 (e) As a condition for the renewal of a cultivation 24 center's license, and until January 1, 2028, a cultivation 25 center shall set aside and offer wholesale to infuser 26 organizations licensed under Article 35 an amount of the HB0030 - 2 - LRB103 03546 CPF 48552 b HB0030- 3 -LRB103 03546 CPF 48552 b HB0030 - 3 - LRB103 03546 CPF 48552 b HB0030 - 3 - LRB103 03546 CPF 48552 b 1 cultivation center's monthly THC oil production. The 2 Department of Agriculture shall ensure that for all 3 cultivation centers the cumulative monthly amount of THC oil 4 that is set aside and made available to infuser organizations 5 is no less than the following: 6 (1) For calendar year 2023, 60,000 grams per month. 7 (2) For calendar year 2024, 71,000 grams per month. 8 (3) For calendar year 2025, 82,000 grams per month. 9 (4) For calendar year 2026, 93,000 grams per month. 10 (5) For calendar year 2027, 103,000 grams per month. 11 The Department of Agriculture shall establish a formula to 12 establish fair THC oil set aside amount targets for each 13 individual cultivation center in proportion to that 14 cultivation center's production capacity using, if available, 15 production and supply data from the State's seed to sale 16 cannabis tracking system. 17 The set aside amount shall first be offered for sale 18 exclusively to infuser organizations for a limited time 19 determined by the Department of Agriculture. If an infuser 20 organization does not purchase the total set aside amount from 21 a cultivation center within the allotted time, the cultivation 22 center may sell the remaining set aside amount of THC oil at 23 its discretion. 24 The Department of Agriculture shall develop a mechanism to 25 ensure that the quality of THC oil included in a set aside 26 amount is of consistent quality and is sold at market rates or HB0030 - 3 - LRB103 03546 CPF 48552 b HB0030- 4 -LRB103 03546 CPF 48552 b HB0030 - 4 - LRB103 03546 CPF 48552 b HB0030 - 4 - LRB103 03546 CPF 48552 b 1 better. 2 The Department of Agriculture's administrative expenses 3 from implementing this Section shall be fully funded from tax 4 revenue received by the State under this Act. 5 (Source: P.A. 101-27, eff. 6-25-19.) 6 Section 99. Effective date. This Act takes effect upon 7 becoming law. HB0030 - 4 - LRB103 03546 CPF 48552 b