Illinois 2023-2024 Regular Session

Illinois House Bill HB4211 Latest Draft

Bill / Introduced Version Filed 11/01/2023

                            103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4211 Introduced , by Rep. Robert "Bob" Rita SYNOPSIS AS INTRODUCED: 5 ILCS 100/5-45.55 new410 ILCS 705/1-10410 ILCS 705/5-10410 ILCS 705/20-30410 ILCS 705/30-30410 ILCS 705/35-25410 ILCS 705/40-5410 ILCS 705/40-25410 ILCS 705/40-50 new Amends the Cannabis Regulation and Tax Act. Provides for the licensure of consolidated transport centers. Specifies requirements for consolidated transport centers, including operating documents, security plans, facility requirements, plant monitoring, prohibitions on ownership, and prohibitions on offering things of value to certain persons and licensees. Provides that cannabis business entities shall adhere to the traceability and consumer protection guidelines established by the Department of Agriculture when utilizing the cannabis plant monitoring system or cannabis transport GPS tracking system. Provides that entities awarded a transporting license may defer paying the associated license fee for a period of no more than 3 years. Provides that from January 1, 2024 through January 1, 2026, the Department shall not issue any transporting licenses other than those issued before the effective date of the amendatory Act. Provides that all products received and shipped to and from a consolidated transport center shall be tracked within the cannabis plant monitoring system. Provides that a craft grower or infuser may enter into a contract with a transporting organization to transport cannabis to a consolidated transport center or a different transporting organization at the consolidated transport center. Provides that no person, cannabis business establishment, or entity other than a licensed transportation organization shall transport cannabis or cannabis-infused products on behalf of a cannabis business establishment to or from a consolidated transport center, unless otherwise authorized by rule. Makes other changes. Authorizes emergency rulemaking. Makes a conforming change in the Illinois Administrative Procedure Act. Effective immediately. LRB103 35162 RLC 65132 b   A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4211 Introduced , by Rep. Robert "Bob" Rita SYNOPSIS AS INTRODUCED:  5 ILCS 100/5-45.55 new410 ILCS 705/1-10410 ILCS 705/5-10410 ILCS 705/20-30410 ILCS 705/30-30410 ILCS 705/35-25410 ILCS 705/40-5410 ILCS 705/40-25410 ILCS 705/40-50 new 5 ILCS 100/5-45.55 new  410 ILCS 705/1-10  410 ILCS 705/5-10  410 ILCS 705/20-30  410 ILCS 705/30-30  410 ILCS 705/35-25  410 ILCS 705/40-5  410 ILCS 705/40-25  410 ILCS 705/40-50 new  Amends the Cannabis Regulation and Tax Act. Provides for the licensure of consolidated transport centers. Specifies requirements for consolidated transport centers, including operating documents, security plans, facility requirements, plant monitoring, prohibitions on ownership, and prohibitions on offering things of value to certain persons and licensees. Provides that cannabis business entities shall adhere to the traceability and consumer protection guidelines established by the Department of Agriculture when utilizing the cannabis plant monitoring system or cannabis transport GPS tracking system. Provides that entities awarded a transporting license may defer paying the associated license fee for a period of no more than 3 years. Provides that from January 1, 2024 through January 1, 2026, the Department shall not issue any transporting licenses other than those issued before the effective date of the amendatory Act. Provides that all products received and shipped to and from a consolidated transport center shall be tracked within the cannabis plant monitoring system. Provides that a craft grower or infuser may enter into a contract with a transporting organization to transport cannabis to a consolidated transport center or a different transporting organization at the consolidated transport center. Provides that no person, cannabis business establishment, or entity other than a licensed transportation organization shall transport cannabis or cannabis-infused products on behalf of a cannabis business establishment to or from a consolidated transport center, unless otherwise authorized by rule. Makes other changes. Authorizes emergency rulemaking. Makes a conforming change in the Illinois Administrative Procedure Act. Effective immediately.  LRB103 35162 RLC 65132 b     LRB103 35162 RLC 65132 b   A BILL FOR
103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4211 Introduced , by Rep. Robert "Bob" Rita SYNOPSIS AS INTRODUCED:
5 ILCS 100/5-45.55 new410 ILCS 705/1-10410 ILCS 705/5-10410 ILCS 705/20-30410 ILCS 705/30-30410 ILCS 705/35-25410 ILCS 705/40-5410 ILCS 705/40-25410 ILCS 705/40-50 new 5 ILCS 100/5-45.55 new  410 ILCS 705/1-10  410 ILCS 705/5-10  410 ILCS 705/20-30  410 ILCS 705/30-30  410 ILCS 705/35-25  410 ILCS 705/40-5  410 ILCS 705/40-25  410 ILCS 705/40-50 new
5 ILCS 100/5-45.55 new
410 ILCS 705/1-10
410 ILCS 705/5-10
410 ILCS 705/20-30
410 ILCS 705/30-30
410 ILCS 705/35-25
410 ILCS 705/40-5
410 ILCS 705/40-25
410 ILCS 705/40-50 new
Amends the Cannabis Regulation and Tax Act. Provides for the licensure of consolidated transport centers. Specifies requirements for consolidated transport centers, including operating documents, security plans, facility requirements, plant monitoring, prohibitions on ownership, and prohibitions on offering things of value to certain persons and licensees. Provides that cannabis business entities shall adhere to the traceability and consumer protection guidelines established by the Department of Agriculture when utilizing the cannabis plant monitoring system or cannabis transport GPS tracking system. Provides that entities awarded a transporting license may defer paying the associated license fee for a period of no more than 3 years. Provides that from January 1, 2024 through January 1, 2026, the Department shall not issue any transporting licenses other than those issued before the effective date of the amendatory Act. Provides that all products received and shipped to and from a consolidated transport center shall be tracked within the cannabis plant monitoring system. Provides that a craft grower or infuser may enter into a contract with a transporting organization to transport cannabis to a consolidated transport center or a different transporting organization at the consolidated transport center. Provides that no person, cannabis business establishment, or entity other than a licensed transportation organization shall transport cannabis or cannabis-infused products on behalf of a cannabis business establishment to or from a consolidated transport center, unless otherwise authorized by rule. Makes other changes. Authorizes emergency rulemaking. Makes a conforming change in the Illinois Administrative Procedure Act. Effective immediately.
LRB103 35162 RLC 65132 b     LRB103 35162 RLC 65132 b
    LRB103 35162 RLC 65132 b
A BILL FOR
HB4211LRB103 35162 RLC 65132 b   HB4211  LRB103 35162 RLC 65132 b
  HB4211  LRB103 35162 RLC 65132 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 Illinois Administrative Procedure Act is
5  amended by adding Section 5-45.55 as follows:
6  (5 ILCS 100/5-45.55 new)
7  Sec. 5-45.55. Emergency rulemaking; this amendatory Act of
8  the 103rd General Assembly. To provide for the expeditious and
9  timely implementation of this amendatory Act of the 103rd
10  General Assembly, emergency rules implementing this amendatory
11  Act of the 103rd General Assembly may be adopted in accordance
12  with Section 5-45 by the Department of Agriculture. The
13  adoption of emergency rules authorized by Section 5-45 and
14  this Section is deemed to be necessary for the public
15  interest, safety, and welfare.
16  This Section is repealed one year after the effective date
17  of this amendatory Act of the 103rd General Assembly.
18  Section 10. The Cannabis Regulation and Tax Act is amended
19  by changing Sections 1-10, 5-10, 20-30, 30-30, 35-25, 40-5,
20  and 40-25 and by adding Section 40-50 as follows:
21  (410 ILCS 705/1-10)

 

103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB4211 Introduced , by Rep. Robert "Bob" Rita SYNOPSIS AS INTRODUCED:
5 ILCS 100/5-45.55 new410 ILCS 705/1-10410 ILCS 705/5-10410 ILCS 705/20-30410 ILCS 705/30-30410 ILCS 705/35-25410 ILCS 705/40-5410 ILCS 705/40-25410 ILCS 705/40-50 new 5 ILCS 100/5-45.55 new  410 ILCS 705/1-10  410 ILCS 705/5-10  410 ILCS 705/20-30  410 ILCS 705/30-30  410 ILCS 705/35-25  410 ILCS 705/40-5  410 ILCS 705/40-25  410 ILCS 705/40-50 new
5 ILCS 100/5-45.55 new
410 ILCS 705/1-10
410 ILCS 705/5-10
410 ILCS 705/20-30
410 ILCS 705/30-30
410 ILCS 705/35-25
410 ILCS 705/40-5
410 ILCS 705/40-25
410 ILCS 705/40-50 new
Amends the Cannabis Regulation and Tax Act. Provides for the licensure of consolidated transport centers. Specifies requirements for consolidated transport centers, including operating documents, security plans, facility requirements, plant monitoring, prohibitions on ownership, and prohibitions on offering things of value to certain persons and licensees. Provides that cannabis business entities shall adhere to the traceability and consumer protection guidelines established by the Department of Agriculture when utilizing the cannabis plant monitoring system or cannabis transport GPS tracking system. Provides that entities awarded a transporting license may defer paying the associated license fee for a period of no more than 3 years. Provides that from January 1, 2024 through January 1, 2026, the Department shall not issue any transporting licenses other than those issued before the effective date of the amendatory Act. Provides that all products received and shipped to and from a consolidated transport center shall be tracked within the cannabis plant monitoring system. Provides that a craft grower or infuser may enter into a contract with a transporting organization to transport cannabis to a consolidated transport center or a different transporting organization at the consolidated transport center. Provides that no person, cannabis business establishment, or entity other than a licensed transportation organization shall transport cannabis or cannabis-infused products on behalf of a cannabis business establishment to or from a consolidated transport center, unless otherwise authorized by rule. Makes other changes. Authorizes emergency rulemaking. Makes a conforming change in the Illinois Administrative Procedure Act. Effective immediately.
LRB103 35162 RLC 65132 b     LRB103 35162 RLC 65132 b
    LRB103 35162 RLC 65132 b
A BILL FOR

 

 

5 ILCS 100/5-45.55 new
410 ILCS 705/1-10
410 ILCS 705/5-10
410 ILCS 705/20-30
410 ILCS 705/30-30
410 ILCS 705/35-25
410 ILCS 705/40-5
410 ILCS 705/40-25
410 ILCS 705/40-50 new



    LRB103 35162 RLC 65132 b

 

 



 

  HB4211  LRB103 35162 RLC 65132 b


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1  Sec. 1-10. Definitions. In this Act:
2  "Adult Use Cultivation Center License" means a license
3  issued by the Department of Agriculture that permits a person
4  to act as a cultivation center under this Act and any
5  administrative rule made in furtherance of this Act.
6  "Adult Use Dispensing Organization License" means a
7  license issued by the Department of Financial and Professional
8  Regulation that permits a person to act as a dispensing
9  organization under this Act and any administrative rule made
10  in furtherance of this Act.
11  "Advertise" means to engage in promotional activities
12  including, but not limited to: newspaper, radio, Internet and
13  electronic media, and television advertising; the distribution
14  of fliers and circulars; billboard advertising; and the
15  display of window and interior signs. "Advertise" does not
16  mean exterior signage displaying only the name of the licensed
17  cannabis business establishment.
18  "Application points" means the number of points a
19  Dispensary Applicant receives on an application for a
20  Conditional Adult Use Dispensing Organization License.
21  "BLS Region" means a region in Illinois used by the United
22  States Bureau of Labor Statistics to gather and categorize
23  certain employment and wage data. The 17 such regions in
24  Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion,
25  Champaign-Urbana, Chicago-Naperville-Elgin, Danville,
26  Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria,

 

 

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  HB4211 - 3 - LRB103 35162 RLC 65132 b
1  Rockford, St. Louis, Springfield, Northwest Illinois
2  nonmetropolitan area, West Central Illinois nonmetropolitan
3  area, East Central Illinois nonmetropolitan area, and South
4  Illinois nonmetropolitan area.
5  "By lot" means a randomized method of choosing between 2
6  or more Eligible Tied Applicants or 2 or more Qualifying
7  Applicants.
8  "Cannabis" means marijuana, hashish, and other substances
9  that are identified as including any parts of the plant
10  Cannabis sativa and including derivatives or subspecies, such
11  as indica, of all strains of cannabis, whether growing or not;
12  the seeds thereof, the resin extracted from any part of the
13  plant; and any compound, manufacture, salt, derivative,
14  mixture, or preparation of the plant, its seeds, or resin,
15  including tetrahydrocannabinol (THC) and all other naturally
16  produced cannabinol derivatives, whether produced directly or
17  indirectly by extraction; however, "cannabis" does not include
18  the mature stalks of the plant, fiber produced from the
19  stalks, oil or cake made from the seeds of the plant, any other
20  compound, manufacture, salt, derivative, mixture, or
21  preparation of the mature stalks (except the resin extracted
22  from it), fiber, oil or cake, or the sterilized seed of the
23  plant that is incapable of germination. "Cannabis" does not
24  include industrial hemp as defined and authorized under the
25  Industrial Hemp Act. "Cannabis" also means cannabis flower,
26  concentrate, and cannabis-infused products.

 

 

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  HB4211 - 4 - LRB103 35162 RLC 65132 b
1  "Cannabis business establishment" means a cultivation
2  center, craft grower, processing organization, infuser
3  organization, dispensing organization, or transporting
4  organization.
5  "Cannabis concentrate" means a product derived from
6  cannabis that is produced by extracting cannabinoids,
7  including tetrahydrocannabinol (THC), from the plant through
8  the use of propylene glycol, glycerin, butter, olive oil, or
9  other typical cooking fats; water, ice, or dry ice; or butane,
10  propane, CO2, ethanol, or isopropanol and with the intended
11  use of smoking or making a cannabis-infused product. The use
12  of any other solvent is expressly prohibited unless and until
13  it is approved by the Department of Agriculture.
14  "Cannabis container" means a sealed or resealable,
15  traceable, container, or package used for the purpose of
16  containment of cannabis or cannabis-infused product during
17  transportation.
18  "Cannabis flower" means marijuana, hashish, and other
19  substances that are identified as including any parts of the
20  plant Cannabis sativa and including derivatives or subspecies,
21  such as indica, of all strains of cannabis; including raw
22  kief, leaves, and buds, but not resin that has been extracted
23  from any part of such plant; nor any compound, manufacture,
24  salt, derivative, mixture, or preparation of such plant, its
25  seeds, or resin.
26  "Cannabis-infused product" means a beverage, food, oil,

 

 

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  HB4211 - 5 - LRB103 35162 RLC 65132 b
1  ointment, tincture, topical formulation, or another product
2  containing cannabis or cannabis concentrate that is not
3  intended to be smoked.
4  "Cannabis paraphernalia" means equipment, products, or
5  materials intended to be used for planting, propagating,
6  cultivating, growing, harvesting, manufacturing, producing,
7  processing, preparing, testing, analyzing, packaging,
8  repackaging, storing, containing, concealing, ingesting, or
9  otherwise introducing cannabis into the human body.
10  "Cannabis plant monitoring system" or "plant monitoring
11  system" means a system that includes, but is not limited to,
12  testing and data collection established and maintained by the
13  cultivation center, craft grower, or processing organization
14  and that is available to the Department of Revenue, the
15  Department of Agriculture, the Department of Financial and
16  Professional Regulation, and the Illinois State Police for the
17  purposes of documenting each cannabis plant and monitoring
18  plant development throughout the life cycle of a cannabis
19  plant cultivated for the intended use by a customer from seed
20  planting to final packaging.
21  "Cannabis testing facility" means an entity registered by
22  the Department of Agriculture to test cannabis for potency and
23  contaminants.
24  "Cannabis transport GPS tracking system" means a system
25  that includes, but is not limited to, real-time tracking,
26  tracing, and recording of global positioning system data for

 

 

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  HB4211 - 6 - LRB103 35162 RLC 65132 b
1  licensed transporter vehicles registered with the Department
2  of Agriculture to transport cannabis and cannabis-infused
3  products.
4  "Clone" means a plant section from a female cannabis plant
5  not yet rootbound, growing in a water solution or other
6  propagation matrix, that is capable of developing into a new
7  plant.
8  "Community College Cannabis Vocational Training Pilot
9  Program faculty participant" means a person who is 21 years of
10  age or older, licensed by the Department of Agriculture, and
11  is employed or contracted by an Illinois community college to
12  provide student instruction using cannabis plants at an
13  Illinois Community College.
14  "Community College Cannabis Vocational Training Pilot
15  Program faculty participant Agent Identification Card" means a
16  document issued by the Department of Agriculture that
17  identifies a person as a Community College Cannabis Vocational
18  Training Pilot Program faculty participant.
19  "Conditional Adult Use Dispensing Organization License"
20  means a contingent license awarded to applicants for an Adult
21  Use Dispensing Organization License that reserves the right to
22  an Adult Use Dispensing Organization License if the applicant
23  meets certain conditions described in this Act, but does not
24  entitle the recipient to begin purchasing or selling cannabis
25  or cannabis-infused products.
26  "Conditional Adult Use Cultivation Center License" means a

 

 

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  HB4211 - 7 - LRB103 35162 RLC 65132 b
1  license awarded to top-scoring applicants for an Adult Use
2  Cultivation Center License that reserves the right to an Adult
3  Use Cultivation Center License if the applicant meets certain
4  conditions as determined by the Department of Agriculture by
5  rule, but does not entitle the recipient to begin growing,
6  processing, or selling cannabis or cannabis-infused products.
7  "Consolidated transport center" means a facility licensed
8  by the Department of Agriculture that is: (i) integrated with
9  access controls, cameras, and alarms; (ii) owned and operated
10  by an independent social equity transporting organization; and
11  (iii) used for unloading products from vehicles, sorting and
12  securely storing products, and reloading products onto
13  licensed and registered transport vehicles before being
14  shipped to cannabis business establishments.
15  "Craft grower" means a facility operated by an
16  organization or business that is licensed by the Department of
17  Agriculture to cultivate, dry, cure, and package cannabis and
18  perform other necessary activities to make cannabis available
19  for sale at a dispensing organization or use at a processing
20  organization. A craft grower may contain up to 5,000 square
21  feet of canopy space on its premises for plants in the
22  flowering state. The Department of Agriculture may authorize
23  an increase or decrease of flowering stage cultivation space
24  in increments of 3,000 square feet by rule based on market
25  need, craft grower capacity, and the licensee's history of
26  compliance or noncompliance, with a maximum space of 14,000

 

 

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HB4211- 8 -LRB103 35162 RLC 65132 b   HB4211 - 8 - LRB103 35162 RLC 65132 b
  HB4211 - 8 - LRB103 35162 RLC 65132 b
1  square feet for cultivating plants in the flowering stage,
2  which must be cultivated in all stages of growth in an enclosed
3  and secure area. A craft grower may share premises with a
4  processing organization or a dispensing organization, or both,
5  provided each licensee stores currency and cannabis or
6  cannabis-infused products in a separate secured vault to which
7  the other licensee does not have access or all licensees
8  sharing a vault share more than 50% of the same ownership.
9  "Craft grower agent" means a principal officer, board
10  member, employee, or other agent of a craft grower who is 21
11  years of age or older.
12  "Craft Grower Agent Identification Card" means a document
13  issued by the Department of Agriculture that identifies a
14  person as a craft grower agent.
15  "Cultivation center" means a facility operated by an
16  organization or business that is licensed by the Department of
17  Agriculture to cultivate, process, transport (unless otherwise
18  limited by this Act), and perform other necessary activities
19  to provide cannabis and cannabis-infused products to cannabis
20  business establishments.
21  "Cultivation center agent" means a principal officer,
22  board member, employee, or other agent of a cultivation center
23  who is 21 years of age or older.
24  "Cultivation Center Agent Identification Card" means a
25  document issued by the Department of Agriculture that
26  identifies a person as a cultivation center agent.

 

 

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  HB4211 - 9 - LRB103 35162 RLC 65132 b
1  "Currency" means currency and coin of the United States.
2  "Dispensary" means a facility operated by a dispensing
3  organization at which activities licensed by this Act may
4  occur.
5  "Dispensary Applicant" means the Proposed Dispensing
6  Organization Name as stated on an application for a
7  Conditional Adult Use Dispensing Organization License.
8  "Dispensing organization" means a facility operated by an
9  organization or business that is licensed by the Department of
10  Financial and Professional Regulation to acquire cannabis from
11  a cultivation center, craft grower, processing organization,
12  or another dispensary for the purpose of selling or dispensing
13  cannabis, cannabis-infused products, cannabis seeds,
14  paraphernalia, or related supplies under this Act to
15  purchasers or to qualified registered medical cannabis
16  patients and caregivers. As used in this Act, "dispensing
17  organization" includes a registered medical cannabis
18  organization as defined in the Compassionate Use of Medical
19  Cannabis Program Act or its successor Act that has obtained an
20  Early Approval Adult Use Dispensing Organization License.
21  "Dispensing organization agent" means a principal officer,
22  employee, or agent of a dispensing organization who is 21
23  years of age or older.
24  "Dispensing organization agent identification card" means
25  a document issued by the Department of Financial and
26  Professional Regulation that identifies a person as a

 

 

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  HB4211 - 10 - LRB103 35162 RLC 65132 b
1  dispensing organization agent.
2  "Disproportionately Impacted Area" means a census tract or
3  comparable geographic area that satisfies the following
4  criteria as determined by the Department of Commerce and
5  Economic Opportunity, that:
6  (1) meets at least one of the following criteria:
7  (A) the area has a poverty rate of at least 20%
8  according to the latest federal decennial census; or
9  (B) 75% or more of the children in the area
10  participate in the federal free lunch program
11  according to reported statistics from the State Board
12  of Education; or
13  (C) at least 20% of the households in the area
14  receive assistance under the Supplemental Nutrition
15  Assistance Program; or
16  (D) the area has an average unemployment rate, as
17  determined by the Illinois Department of Employment
18  Security, that is more than 120% of the national
19  unemployment average, as determined by the United
20  States Department of Labor, for a period of at least 2
21  consecutive calendar years preceding the date of the
22  application; and
23  (2) has high rates of arrest, conviction, and
24  incarceration related to the sale, possession, use,
25  cultivation, manufacture, or transport of cannabis.
26  "Early Approval Adult Use Cultivation Center License"

 

 

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  HB4211 - 11 - LRB103 35162 RLC 65132 b
1  means a license that permits a medical cannabis cultivation
2  center licensed under the Compassionate Use of Medical
3  Cannabis Program Act as of the effective date of this Act to
4  begin cultivating, infusing, packaging, transporting (unless
5  otherwise provided in this Act), processing, and selling
6  cannabis or cannabis-infused product to cannabis business
7  establishments for resale to purchasers as permitted by this
8  Act as of January 1, 2020.
9  "Early Approval Adult Use Dispensing Organization License"
10  means a license that permits a medical cannabis dispensing
11  organization licensed under the Compassionate Use of Medical
12  Cannabis Program Act as of the effective date of this Act to
13  begin selling cannabis or cannabis-infused product to
14  purchasers as permitted by this Act as of January 1, 2020.
15  "Early Approval Adult Use Dispensing Organization at a
16  secondary site" means a license that permits a medical
17  cannabis dispensing organization licensed under the
18  Compassionate Use of Medical Cannabis Program Act as of the
19  effective date of this Act to begin selling cannabis or
20  cannabis-infused product to purchasers as permitted by this
21  Act on January 1, 2020 at a different dispensary location from
22  its existing registered medical dispensary location.
23  "Eligible Tied Applicant" means a Tied Applicant that is
24  eligible to participate in the process by which a remaining
25  available license is distributed by lot pursuant to a Tied
26  Applicant Lottery.

 

 

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1  "Enclosed, locked facility" means a room, greenhouse,
2  building, or other enclosed area equipped with locks or other
3  security devices that permit access only by cannabis business
4  establishment agents working for the licensed cannabis
5  business establishment or acting pursuant to this Act to
6  cultivate, process, store, or distribute cannabis.
7  "Enclosed, locked space" means a closet, room, greenhouse,
8  building, or other enclosed area equipped with locks or other
9  security devices that permit access only by authorized
10  individuals under this Act. "Enclosed, locked space" may
11  include:
12  (1) a space within a residential building that (i) is
13  the primary residence of the individual cultivating 5 or
14  fewer cannabis plants that are more than 5 inches tall and
15  (ii) includes sleeping quarters and indoor plumbing. The
16  space must only be accessible by a key or code that is
17  different from any key or code that can be used to access
18  the residential building from the exterior; or
19  (2) a structure, such as a shed or greenhouse, that
20  lies on the same plot of land as a residential building
21  that (i) includes sleeping quarters and indoor plumbing
22  and (ii) is used as a primary residence by the person
23  cultivating 5 or fewer cannabis plants that are more than
24  5 inches tall, such as a shed or greenhouse. The structure
25  must remain locked when it is unoccupied by people.
26  "Financial institution" has the same meaning as "financial

 

 

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  HB4211 - 13 - LRB103 35162 RLC 65132 b
1  organization" as defined in Section 1501 of the Illinois
2  Income Tax Act, and also includes the holding companies,
3  subsidiaries, and affiliates of such financial organizations.
4  "Flowering stage" means the stage of cultivation where and
5  when a cannabis plant is cultivated to produce plant material
6  for cannabis products. This includes mature plants as follows:
7  (1) if greater than 2 stigmas are visible at each
8  internode of the plant; or
9  (2) if the cannabis plant is in an area that has been
10  intentionally deprived of light for a period of time
11  intended to produce flower buds and induce maturation,
12  from the moment the light deprivation began through the
13  remainder of the marijuana plant growth cycle.
14  "Individual" means a natural person.
15  "Independent social equity transporting organization"
16  means a transporting organization that is not owned in whole
17  or in part by a cultivation center, dispensing organization,
18  processing organization, or any principal officer of a
19  cultivation center, dispensing organization, or processing
20  organization.
21  "Infuser organization" or "infuser" means a facility
22  operated by an organization or business that is licensed by
23  the Department of Agriculture to directly incorporate cannabis
24  or cannabis concentrate into a product formulation to produce
25  a cannabis-infused product.
26  "Kief" means the resinous crystal-like trichomes that are

 

 

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1  found on cannabis and that are accumulated, resulting in a
2  higher concentration of cannabinoids, untreated by heat or
3  pressure, or extracted using a solvent.
4  "Labor peace agreement" means an agreement between a
5  cannabis business establishment and any labor organization
6  recognized under the National Labor Relations Act, referred to
7  in this Act as a bona fide labor organization, that prohibits
8  labor organizations and members from engaging in picketing,
9  work stoppages, boycotts, and any other economic interference
10  with the cannabis business establishment. This agreement means
11  that the cannabis business establishment has agreed not to
12  disrupt efforts by the bona fide labor organization to
13  communicate with, and attempt to organize and represent, the
14  cannabis business establishment's employees. The agreement
15  shall provide a bona fide labor organization access at
16  reasonable times to areas in which the cannabis business
17  establishment's employees work, for the purpose of meeting
18  with employees to discuss their right to representation,
19  employment rights under State law, and terms and conditions of
20  employment. This type of agreement shall not mandate a
21  particular method of election or certification of the bona
22  fide labor organization.
23  "Limited access area" means a room or other area under the
24  control of a cannabis dispensing organization licensed under
25  this Act and upon the licensed premises where cannabis sales
26  occur with access limited to purchasers, dispensing

 

 

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1  organization owners and other dispensing organization agents,
2  or service professionals conducting business with the
3  dispensing organization, or, if sales to registered qualifying
4  patients, caregivers, provisional patients, and Opioid
5  Alternative Pilot Program participants licensed pursuant to
6  the Compassionate Use of Medical Cannabis Program Act are also
7  permitted at the dispensary, registered qualifying patients,
8  caregivers, provisional patients, and Opioid Alternative Pilot
9  Program participants.
10  "Member of an impacted family" means an individual who has
11  a parent, legal guardian, child, spouse, or dependent, or was
12  a dependent of an individual who, prior to the effective date
13  of this Act, was arrested for, convicted of, or adjudicated
14  delinquent for any offense that is eligible for expungement
15  under this Act.
16  "Mother plant" means a cannabis plant that is cultivated
17  or maintained for the purpose of generating clones, and that
18  will not be used to produce plant material for sale to an
19  infuser or dispensing organization.
20  "Ordinary public view" means within the sight line with
21  normal visual range of a person, unassisted by visual aids,
22  from a public street or sidewalk adjacent to real property, or
23  from within an adjacent property.
24  "Ownership and control" means ownership of at least 51% of
25  the business, including corporate stock if a corporation, and
26  control over the management and day-to-day operations of the

 

 

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1  business and an interest in the capital, assets, and profits
2  and losses of the business proportionate to percentage of
3  ownership.
4  "Person" means a natural individual, firm, partnership,
5  association, joint stock company, joint venture, public or
6  private corporation, limited liability company, or a receiver,
7  executor, trustee, guardian, or other representative appointed
8  by order of any court.
9  "Possession limit" means the amount of cannabis under
10  Section 10-10 that may be possessed at any one time by a person
11  21 years of age or older or who is a registered qualifying
12  medical cannabis patient or caregiver under the Compassionate
13  Use of Medical Cannabis Program Act.
14  "Principal officer" includes a cannabis business
15  establishment applicant or licensed cannabis business
16  establishment's board member, owner with more than 1% interest
17  of the total cannabis business establishment or more than 5%
18  interest of the total cannabis business establishment of a
19  publicly traded company, president, vice president, secretary,
20  treasurer, partner, officer, member, manager member, or person
21  with a profit sharing, financial interest, or revenue sharing
22  arrangement. The definition includes a person with authority
23  to control the cannabis business establishment, a person who
24  assumes responsibility for the debts of the cannabis business
25  establishment and who is further defined in this Act.
26  "Primary residence" means a dwelling where a person

 

 

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1  usually stays or stays more often than other locations. It may
2  be determined by, without limitation, presence, tax filings;
3  address on an Illinois driver's license, an Illinois
4  Identification Card, or an Illinois Person with a Disability
5  Identification Card; or voter registration. No person may have
6  more than one primary residence.
7  "Processing organization" or "processor" means a facility
8  operated by an organization or business that is licensed by
9  the Department of Agriculture to either extract constituent
10  chemicals or compounds to produce cannabis concentrate or
11  incorporate cannabis or cannabis concentrate into a product
12  formulation to produce a cannabis product.
13  "Processing organization agent" means a principal officer,
14  board member, employee, or agent of a processing organization.
15  "Processing organization agent identification card" means
16  a document issued by the Department of Agriculture that
17  identifies a person as a processing organization agent.
18  "Purchaser" means a person 21 years of age or older who
19  acquires cannabis for a valuable consideration. "Purchaser"
20  does not include a cardholder under the Compassionate Use of
21  Medical Cannabis Program Act.
22  "Qualifying Applicant" means an applicant that submitted
23  an application pursuant to Section 15-30 that received at
24  least 85% of 250 application points available under Section
25  15-30 as the applicant's final score and meets the definition
26  of "Social Equity Applicant" as set forth under this Section.

 

 

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1  "Qualifying Social Equity Justice Involved Applicant"
2  means an applicant that submitted an application pursuant to
3  Section 15-30 that received at least 85% of 250 application
4  points available under Section 15-30 as the applicant's final
5  score and meets the criteria of either paragraph (1) or (2) of
6  the definition of "Social Equity Applicant" as set forth under
7  this Section.
8  "Qualified Social Equity Applicant" means a Social Equity
9  Applicant who has been awarded a conditional license under
10  this Act to operate a cannabis business establishment.
11  "Resided" means an individual's primary residence was
12  located within the relevant geographic area as established by
13  2 of the following:
14  (1) a signed lease agreement that includes the
15  applicant's name;
16  (2) a property deed that includes the applicant's
17  name;
18  (3) school records;
19  (4) a voter registration card;
20  (5) an Illinois driver's license, an Illinois
21  Identification Card, or an Illinois Person with a
22  Disability Identification Card;
23  (6) a paycheck stub;
24  (7) a utility bill;
25  (8) tax records; or
26  (9) any other proof of residency or other information

 

 

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1  necessary to establish residence as provided by rule.
2  "Smoking" means the inhalation of smoke caused by the
3  combustion of cannabis.
4  "Social Equity Applicant" means an applicant that is an
5  Illinois resident that meets one of the following criteria:
6  (1) an applicant with at least 51% ownership and
7  control by one or more individuals who have resided for at
8  least 5 of the preceding 10 years in a Disproportionately
9  Impacted Area;
10  (2) an applicant with at least 51% ownership and
11  control by one or more individuals who:
12  (i) have been arrested for, convicted of, or
13  adjudicated delinquent for any offense that is
14  eligible for expungement under this Act; or
15  (ii) is a member of an impacted family;
16  (3) for applicants with a minimum of 10 full-time
17  employees, an applicant with at least 51% of current
18  employees who:
19  (i) currently reside in a Disproportionately
20  Impacted Area; or
21  (ii) have been arrested for, convicted of, or
22  adjudicated delinquent for any offense that is
23  eligible for expungement under this Act or member of
24  an impacted family.
25  Nothing in this Act shall be construed to preempt or limit
26  the duties of any employer under the Job Opportunities for

 

 

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1  Qualified Applicants Act. Nothing in this Act shall permit an
2  employer to require an employee to disclose sealed or expunged
3  offenses, unless otherwise required by law.
4  "Tied Applicant" means an application submitted by a
5  Dispensary Applicant pursuant to Section 15-30 that received
6  the same number of application points under Section 15-30 as
7  the Dispensary Applicant's final score as one or more
8  top-scoring applications in the same BLS Region and would have
9  been awarded a license but for the one or more other
10  top-scoring applications that received the same number of
11  application points. Each application for which a Dispensary
12  Applicant was required to pay a required application fee for
13  the application period ending January 2, 2020 shall be
14  considered an application of a separate Tied Applicant.
15  "Tied Applicant Lottery" means the process established
16  under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult
17  Use Dispensing Organization Licenses pursuant to Sections
18  15-25 and 15-30 among Eligible Tied Applicants.
19  "Tincture" means a cannabis-infused solution, typically
20  comprised of alcohol, glycerin, or vegetable oils, derived
21  either directly from the cannabis plant or from a processed
22  cannabis extract. A tincture is not an alcoholic liquor as
23  defined in the Liquor Control Act of 1934. A tincture shall
24  include a calibrated dropper or other similar device capable
25  of accurately measuring servings.
26  "Transporting organization" or "transporter" means an

 

 

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1  organization or business that is licensed by the Department of
2  Agriculture to transport cannabis or cannabis-infused product
3  on behalf of a cannabis business establishment or a community
4  college licensed under the Community College Cannabis
5  Vocational Training Pilot Program.
6  "Transporting organization agent" means a principal
7  officer, board member, employee, or agent of a transporting
8  organization.
9  "Transporting organization agent identification card"
10  means a document issued by the Department of Agriculture that
11  identifies a person as a transporting organization agent.
12  "Unit of local government" means any county, city,
13  village, or incorporated town.
14  "Vegetative stage" means the stage of cultivation in which
15  a cannabis plant is propagated to produce additional cannabis
16  plants or reach a sufficient size for production. This
17  includes seedlings, clones, mothers, and other immature
18  cannabis plants as follows:
19  (1) if the cannabis plant is in an area that has not
20  been intentionally deprived of light for a period of time
21  intended to produce flower buds and induce maturation, it
22  has no more than 2 stigmas visible at each internode of the
23  cannabis plant; or
24  (2) any cannabis plant that is cultivated solely for
25  the purpose of propagating clones and is never used to
26  produce cannabis.

 

 

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1  (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
2  102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff.
3  5-13-22.)
4  (410 ILCS 705/5-10)
5  Sec. 5-10. Department of Agriculture. The Department of
6  Agriculture shall administer and enforce provisions of this
7  Act relating to the oversight and registration of cultivation
8  centers, craft growers, infuser organizations, and
9  transporting organizations and agents, including the issuance
10  of identification cards and establishing limits on potency or
11  serving size for cannabis or cannabis products. The Department
12  of Agriculture may suspend or revoke the license of, or impose
13  other penalties upon cultivation centers, craft growers,
14  infuser organizations, transporting organizations, and their
15  principal officers, Agents-in-Charge, and agents for
16  violations of this Act and any rules adopted under this Act.
17  The Department may adopt rules and emergency rules in
18  accordance with the Illinois Administrative Procedure Act and
19  prescribe forms and fees relating to the administration and
20  enforcement of this amendatory Act of the 103rd General
21  Assembly, as it deems appropriate.
22  (Source: P.A. 101-27, eff. 6-25-19.)
23  (410 ILCS 705/20-30)
24  Sec. 20-30. Cultivation center requirements; prohibitions.

 

 

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1  (a) The operating documents of a cultivation center shall
2  include procedures for the oversight of the cultivation
3  center, a cannabis plant monitoring system including a
4  physical inventory recorded weekly, accurate recordkeeping,
5  and a staffing plan.
6  (b) A cultivation center shall implement a security plan
7  reviewed by the Illinois State Police that includes, but is
8  not limited to: facility access controls, perimeter intrusion
9  detection systems, personnel identification systems, 24-hour
10  surveillance system to monitor the interior and exterior of
11  the cultivation center facility and accessibility to
12  authorized law enforcement, the Department of Public Health
13  where processing takes place, and the Department of
14  Agriculture in real time.
15  (c) All cultivation of cannabis by a cultivation center
16  must take place in an enclosed, locked facility at the
17  physical address provided to the Department of Agriculture
18  during the licensing process. The cultivation center location
19  shall only be accessed by the agents working for the
20  cultivation center, the Department of Agriculture staff
21  performing inspections, the Department of Public Health staff
22  performing inspections, local and State law enforcement or
23  other emergency personnel, contractors working on jobs
24  unrelated to cannabis, such as installing or maintaining
25  security devices or performing electrical wiring, transporting
26  organization agents as provided in this Act, individuals in a

 

 

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1  mentoring or educational program approved by the State, or
2  other individuals as provided by rule.
3  (d) A cultivation center may not sell or distribute any
4  cannabis or cannabis-infused products to any person other than
5  a dispensing organization, craft grower, infuser organization,
6  transporter, or as otherwise authorized by rule.
7  (e) A cultivation center may not either directly or
8  indirectly discriminate in price between different dispensing
9  organizations, craft growers, or infuser organizations that
10  are purchasing a like grade, strain, brand, and quality of
11  cannabis or cannabis-infused product. Nothing in this
12  subsection (e) prevents a cultivation center from pricing
13  cannabis differently based on differences in the cost of
14  manufacturing or processing, the quantities sold, such as
15  volume discounts, or the way the products are delivered.
16  (f) All cannabis harvested by a cultivation center and
17  intended for distribution to a dispensing organization must be
18  entered into a data collection system, packaged and labeled
19  under Section 55-21, and placed into a cannabis container for
20  transport. All cannabis harvested by a cultivation center and
21  intended for distribution to a craft grower or infuser
22  organization must be packaged in a labeled cannabis container
23  and entered into a data collection system before transport.
24  (g) Cultivation centers are subject to random inspections
25  by the Department of Agriculture, the Department of Public
26  Health, local safety or health inspectors, the Illinois State

 

 

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1  Police, or as provided by rule.
2  (h) A cultivation center agent shall notify local law
3  enforcement, the Illinois State Police, and the Department of
4  Agriculture within 24 hours of the discovery of any loss or
5  theft. Notification shall be made by phone or in person, or by
6  written or electronic communication.
7  (i) A cultivation center shall comply with all State and
8  any applicable federal rules and regulations regarding the use
9  of pesticides on cannabis plants.
10  (j) No person or entity shall hold any legal, equitable,
11  ownership, or beneficial interest, directly or indirectly, of
12  more than 3 cultivation centers licensed under this Article.
13  Further, no person or entity that is employed by, an agent of,
14  has a contract to receive payment in any form from a
15  cultivation center, is a principal officer of a cultivation
16  center, or entity controlled by or affiliated with a principal
17  officer of a cultivation shall hold any legal, equitable,
18  ownership, or beneficial interest, directly or indirectly, in
19  a cultivation that would result in the person or entity owning
20  or controlling in combination with any cultivation center,
21  principal officer of a cultivation center, or entity
22  controlled or affiliated with a principal officer of a
23  cultivation center by which he, she, or it is employed, is an
24  agent of, or participates in the management of, more than 3
25  cultivation center licenses.
26  (k) A cultivation center may not contain more than 210,000

 

 

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1  square feet of canopy space for plants in the flowering stage
2  for cultivation of adult use cannabis as provided in this Act.
3  (l) A cultivation center may process cannabis, cannabis
4  concentrates, and cannabis-infused products.
5  (m) Beginning July 1, 2020, a cultivation center shall not
6  transport cannabis or cannabis-infused products to a craft
7  grower, dispensing organization, infuser organization, or
8  laboratory licensed under this Act, unless it has obtained a
9  transporting organization license.
10  (n) It is unlawful for any person having a cultivation
11  center license or any officer, associate, member,
12  representative, or agent of such licensee to offer or deliver
13  money, or anything else of value, directly or indirectly to
14  any person having an Early Approval Adult Use Dispensing
15  Organization License, a Conditional Adult Use Dispensing
16  Organization License, an Adult Use Dispensing Organization
17  License, or a medical cannabis dispensing organization license
18  issued under the Compassionate Use of Medical Cannabis Program
19  Act, or to any person connected with or in any way
20  representing, or to any member of the family of, such person
21  holding an Early Approval Adult Use Dispensing Organization
22  License, a Conditional Adult Use Dispensing Organization
23  License, an Adult Use Dispensing Organization License, or a
24  medical cannabis dispensing organization license issued under
25  the Compassionate Use of Medical Cannabis Program Act, or to
26  any stockholders in any corporation engaged in the retail sale

 

 

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1  of cannabis, or to any officer, manager, agent, or
2  representative of the Early Approval Adult Use Dispensing
3  Organization License, a Conditional Adult Use Dispensing
4  Organization License, an Adult Use Dispensing Organization
5  License, or a medical cannabis dispensing organization license
6  issued under the Compassionate Use of Medical Cannabis Program
7  Act to obtain preferential placement within the dispensing
8  organization, including, without limitation, on shelves and in
9  display cases where purchasers can view products, or on the
10  dispensing organization's website.
11  (o) A cultivation center must comply with any other
12  requirements or prohibitions set by administrative rule of the
13  Department of Agriculture.
14  (p) Cannabis business entities shall adhere to the
15  traceability and consumer protection guidelines established by
16  the Department of Agriculture when utilizing the cannabis
17  plant monitoring system or cannabis transport GPS tracking
18  system.
19  (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
20  102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff.
21  5-13-22.)
22  (410 ILCS 705/30-30)
23  Sec. 30-30. Craft grower requirements; prohibitions.
24  (a) The operating documents of a craft grower shall
25  include procedures for the oversight of the craft grower, a

 

 

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1  cannabis plant monitoring system including a physical
2  inventory recorded weekly, accurate recordkeeping, and a
3  staffing plan.
4  (b) A craft grower shall implement a security plan
5  reviewed by the Illinois State Police that includes, but is
6  not limited to: facility access controls, perimeter intrusion
7  detection systems, personnel identification systems, and a
8  24-hour surveillance system to monitor the interior and
9  exterior of the craft grower facility and that is accessible
10  to authorized law enforcement and the Department of
11  Agriculture in real time.
12  (c) All cultivation of cannabis by a craft grower must
13  take place in an enclosed, locked facility at the physical
14  address provided to the Department of Agriculture during the
15  licensing process. The craft grower location shall only be
16  accessed by the agents working for the craft grower, the
17  Department of Agriculture staff performing inspections, the
18  Department of Public Health staff performing inspections,
19  State and local law enforcement or other emergency personnel,
20  contractors working on jobs unrelated to cannabis, such as
21  installing or maintaining security devices or performing
22  electrical wiring, transporting organization agents as
23  provided in this Act, or participants in the incubator
24  program, individuals in a mentoring or educational program
25  approved by the State, or other individuals as provided by
26  rule. However, if a craft grower shares a premises with an

 

 

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1  infuser or dispensing organization, agents from those other
2  licensees may access the craft grower portion of the premises
3  if that is the location of common bathrooms, lunchrooms,
4  locker rooms, or other areas of the building where work or
5  cultivation of cannabis is not performed. At no time may an
6  infuser or dispensing organization agent perform work at a
7  craft grower without being a registered agent of the craft
8  grower.
9  (d) A craft grower may not sell or distribute any cannabis
10  to any person other than a cultivation center, a craft grower,
11  an infuser organization, a dispensing organization, or as
12  otherwise authorized by rule.
13  (e) A craft grower may not be located in an area zoned for
14  residential use.
15  (f) A craft grower may not either directly or indirectly
16  discriminate in price between different cannabis business
17  establishments that are purchasing a like grade, strain,
18  brand, and quality of cannabis or cannabis-infused product.
19  Nothing in this subsection (f) prevents a craft grower from
20  pricing cannabis differently based on differences in the cost
21  of manufacturing or processing, the quantities sold, such as
22  volume discounts, or the way the products are delivered.
23  (g) All cannabis harvested by a craft grower and intended
24  for distribution to a dispensing organization must be entered
25  into a data collection system, packaged and labeled under
26  Section 55-21, and, if distribution is to a dispensing

 

 

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1  organization that does not share a premises with the
2  dispensing organization receiving the cannabis, placed into a
3  cannabis container for transport. All cannabis harvested by a
4  craft grower and intended for distribution to a cultivation
5  center, to an infuser organization, or to a craft grower with
6  which it does not share a premises, must be packaged in a
7  labeled cannabis container and entered into a data collection
8  system before transport.
9  (h) Craft growers are subject to random inspections by the
10  Department of Agriculture, local safety or health inspectors,
11  the Illinois State Police, or as provided by rule.
12  (i) A craft grower agent shall notify local law
13  enforcement, the Illinois State Police, and the Department of
14  Agriculture within 24 hours of the discovery of any loss or
15  theft. Notification shall be made by phone, in person, or
16  written or electronic communication.
17  (j) A craft grower shall comply with all State and any
18  applicable federal rules and regulations regarding the use of
19  pesticides.
20  (k) A craft grower or craft grower agent shall not
21  transport cannabis or cannabis-infused products to any other
22  cannabis business establishment without a transport
23  organization license unless:
24  (i) If the craft grower is located in a county with a
25  population of 3,000,000 or more, the cannabis business
26  establishment receiving the cannabis is within 2,000 feet

 

 

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1  of the property line of the craft grower;
2  (ii) If the craft grower is located in a county with a
3  population of more than 700,000 but fewer than 3,000,000,
4  the cannabis business establishment receiving the cannabis
5  is within 2 miles of the craft grower; or
6  (iii) If the craft grower is located in a county with a
7  population of fewer than 700,000, the cannabis business
8  establishment receiving the cannabis is within 15 miles of
9  the craft grower.
10  (l) A craft grower may enter into a contract with a
11  transporting organization to transport cannabis to a
12  consolidated transport center, a different transporting
13  organization at the consolidated transport center, a
14  cultivation center, a craft grower, an infuser organization, a
15  dispensing organization, or a laboratory. All products
16  received and shipped to and from a consolidated transport
17  center shall be tracked within the cannabis plant monitoring
18  system.
19  (m) No person or entity shall hold any legal, equitable,
20  ownership, or beneficial interest, directly or indirectly, of
21  more than 3 craft grower licenses. Further, no person or
22  entity that is employed by, an agent of, or has a contract to
23  receive payment from or participate in the management of a
24  craft grower, is a principal officer of a craft grower, or
25  entity controlled by or affiliated with a principal officer of
26  a craft grower shall hold any legal, equitable, ownership, or

 

 

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1  beneficial interest, directly or indirectly, in a craft grower
2  license that would result in the person or entity owning or
3  controlling in combination with any craft grower, principal
4  officer of a craft grower, or entity controlled or affiliated
5  with a principal officer of a craft grower by which he, she, or
6  it is employed, is an agent of, or participates in the
7  management of more than 3 craft grower licenses.
8  (n) It is unlawful for any person having a craft grower
9  license or any officer, associate, member, representative, or
10  agent of the licensee to offer or deliver money, or anything
11  else of value, directly or indirectly, to any person having an
12  Early Approval Adult Use Dispensing Organization License, a
13  Conditional Adult Use Dispensing Organization License, an
14  Adult Use Dispensing Organization License, or a medical
15  cannabis dispensing organization license issued under the
16  Compassionate Use of Medical Cannabis Program Act, or to any
17  person connected with or in any way representing, or to any
18  member of the family of, the person holding an Early Approval
19  Adult Use Dispensing Organization License, a Conditional Adult
20  Use Dispensing Organization License, an Adult Use Dispensing
21  Organization License, or a medical cannabis dispensing
22  organization license issued under the Compassionate Use of
23  Medical Cannabis Program Act, or to any stockholders in any
24  corporation engaged in the retail sale of cannabis, or to any
25  officer, manager, agent, or representative of the Early
26  Approval Adult Use Dispensing Organization License, a

 

 

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1  Conditional Adult Use Dispensing Organization License, an
2  Adult Use Dispensing Organization License, or a medical
3  cannabis dispensing organization license issued under the
4  Compassionate Use of Medical Cannabis Program Act to obtain
5  preferential placement within the dispensing organization,
6  including, without limitation, on shelves and in display cases
7  where purchasers can view products, or on the dispensing
8  organization's website.
9  (o) A craft grower shall not be located within 1,500 feet
10  of another craft grower or a cultivation center.
11  (p) A craft grower may process cannabis, cannabis
12  concentrates, and cannabis-infused products.
13  (q) A craft grower must comply with any other requirements
14  or prohibitions set by administrative rule of the Department
15  of Agriculture.
16  (r) Cannabis business entities shall adhere to the
17  traceability and consumer protection guidelines established by
18  the Department of Agriculture when utilizing the cannabis
19  plant monitoring system or cannabis transport GPS tracking
20  system.
21  (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
22  102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff.
23  5-13-22.)
24  (410 ILCS 705/35-25)
25  Sec. 35-25. Infuser organization requirements;

 

 

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1  prohibitions.
2  (a) The operating documents of an infuser shall include
3  procedures for the oversight of the infuser, an inventory
4  monitoring system including a physical inventory recorded
5  weekly, accurate recordkeeping, and a staffing plan.
6  (b) An infuser shall implement a security plan reviewed by
7  the Illinois State Police that includes, but is not limited
8  to: facility access controls, perimeter intrusion detection
9  systems, personnel identification systems, and a 24-hour
10  surveillance system to monitor the interior and exterior of
11  the infuser facility and that is accessible to authorized law
12  enforcement, the Department of Public Health, and the
13  Department of Agriculture in real time.
14  (c) All processing of cannabis by an infuser must take
15  place in an enclosed, locked facility at the physical address
16  provided to the Department of Agriculture during the licensing
17  process. The infuser location shall only be accessed by the
18  agents working for the infuser, the Department of Agriculture
19  staff performing inspections, the Department of Public Health
20  staff performing inspections, State and local law enforcement
21  or other emergency personnel, contractors working on jobs
22  unrelated to cannabis, such as installing or maintaining
23  security devices or performing electrical wiring, transporting
24  organization agents as provided in this Act, participants in
25  the incubator program, individuals in a mentoring or
26  educational program approved by the State, local safety or

 

 

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1  health inspectors, or other individuals as provided by rule.
2  However, if an infuser shares a premises with a craft grower or
3  dispensing organization, agents from these other licensees may
4  access the infuser portion of the premises if that is the
5  location of common bathrooms, lunchrooms, locker rooms, or
6  other areas of the building where processing of cannabis is
7  not performed. At no time may a craft grower or dispensing
8  organization agent perform work at an infuser without being a
9  registered agent of the infuser.
10  (d) An infuser may not sell or distribute any cannabis to
11  any person other than a dispensing organization, or as
12  otherwise authorized by rule.
13  (e) An infuser may not either directly or indirectly
14  discriminate in price between different cannabis business
15  establishments that are purchasing a like grade, strain,
16  brand, and quality of cannabis or cannabis-infused product.
17  Nothing in this subsection (e) prevents an infuser from
18  pricing cannabis differently based on differences in the cost
19  of manufacturing or processing, the quantities sold, such
20  volume discounts, or the way the products are delivered.
21  (f) All cannabis infused by an infuser and intended for
22  distribution to a dispensing organization must be entered into
23  a data collection system, packaged and labeled under Section
24  55-21, and, if distribution is to a dispensing organization
25  that does not share a premises with the infuser, placed into a
26  cannabis container for transport. All cannabis produced by an

 

 

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1  infuser and intended for distribution to a cultivation center,
2  infuser organization, or craft grower with which it does not
3  share a premises, must be packaged in a labeled cannabis
4  container and entered into a data collection system before
5  transport.
6  (g) Infusers are subject to random inspections by the
7  Department of Agriculture, the Department of Public Health,
8  the Illinois State Police, local law enforcement, or as
9  provided by rule.
10  (h) An infuser agent shall notify local law enforcement,
11  the Illinois State Police, and the Department of Agriculture
12  within 24 hours of the discovery of any loss or theft.
13  Notification shall be made by phone, in person, or by written
14  or electronic communication.
15  (i) An infuser organization may not be located in an area
16  zoned for residential use.
17  (j) An infuser or infuser agent shall not transport
18  cannabis or cannabis-infused products to any other cannabis
19  business establishment without a transport organization
20  license unless:
21  (i) If the infuser is located in a county with a
22  population of 3,000,000 or more, the cannabis business
23  establishment receiving the cannabis or cannabis-infused
24  product is within 2,000 feet of the property line of the
25  infuser;
26  (ii) If the infuser is located in a county with a

 

 

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1  population of more than 700,000 but fewer than 3,000,000,
2  the cannabis business establishment receiving the cannabis
3  or cannabis-infused product is within 2 miles of the
4  infuser; or
5  (iii) If the infuser is located in a county with a
6  population of fewer than 700,000, the cannabis business
7  establishment receiving the cannabis or cannabis-infused
8  product is within 15 miles of the infuser.
9  (k) An infuser may enter into a contract with a
10  transporting organization to transport cannabis to a
11  consolidated transport center, a different transporting
12  organization at a consolidated transport center, a dispensing
13  organization, or a laboratory. All products received and
14  shipped to and from a consolidated transport center shall be
15  tracked within the cannabis plant monitoring system.
16  (l) An infuser organization may share premises with a
17  craft grower or a dispensing organization, or both, provided
18  each licensee stores currency and cannabis or cannabis-infused
19  products in a separate secured vault to which the other
20  licensee does not have access or all licensees sharing a vault
21  share more than 50% of the same ownership.
22  (m) It is unlawful for any person or entity having an
23  infuser organization license or any officer, associate,
24  member, representative or agent of such licensee to offer or
25  deliver money, or anything else of value, directly or
26  indirectly to any person having an Early Approval Adult Use

 

 

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1  Dispensing Organization License, a Conditional Adult Use
2  Dispensing Organization License, an Adult Use Dispensing
3  Organization License, or a medical cannabis dispensing
4  organization license issued under the Compassionate Use of
5  Medical Cannabis Program Act, or to any person connected with
6  or in any way representing, or to any member of the family of,
7  such person holding an Early Approval Adult Use Dispensing
8  Organization License, a Conditional Adult Use Dispensing
9  Organization License, an Adult Use Dispensing Organization
10  License, or a medical cannabis dispensing organization license
11  issued under the Compassionate Use of Medical Cannabis Program
12  Act, or to any stockholders in any corporation engaged the
13  retail sales of cannabis, or to any officer, manager, agent,
14  or representative of the Early Approval Adult Use Dispensing
15  Organization License, a Conditional Adult Use Dispensing
16  Organization License, an Adult Use Dispensing Organization
17  License, or a medical cannabis dispensing organization license
18  issued under the Compassionate Use of Medical Cannabis Program
19  Act to obtain preferential placement within the dispensing
20  organization, including, without limitation, on shelves and in
21  display cases where purchasers can view products, or on the
22  dispensing organization's website.
23  (n) At no time shall an infuser organization or an infuser
24  agent perform the extraction of cannabis concentrate from
25  cannabis flower.
26  (o) Cannabis business entities shall adhere to the

 

 

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1  traceability and consumer protection guidelines established by
2  the Department of Agriculture when utilizing the cannabis
3  plant monitoring system or cannabis transport GPS tracking
4  system.
5  (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
6  102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff.
7  5-13-22.)
8  (410 ILCS 705/40-5)
9  Sec. 40-5. Issuance of licenses.
10  (a) The Department shall issue transporting licenses
11  through a process provided for in this Article no later than
12  July 1, 2020. Entities awarded a license under this Section
13  may defer paying the associated license fee for a period of no
14  more than 3 years.
15  (b) The Department shall make the application for
16  transporting organization licenses available on January 7,
17  2020 and shall receive such applications no later than March
18  15, 2020. The Department of Agriculture shall make available
19  such applications on every January 7 thereafter or if that
20  date falls on a weekend or holiday, the business day
21  immediately succeeding the weekend or holiday and shall
22  receive such applications no later than March 15 or the
23  succeeding business day thereafter.
24  (c) From January 1, 2024 through January 1, 2026, the
25  Department shall not issue any transporting licenses other

 

 

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1  than those issued under subsection (a) before the effective
2  date of this amendatory Act of the 103rd General Assembly.
3  (d) Upon completion of the disparity and availability
4  study published by the Illinois Cannabis Regulation Oversight
5  Officer under subsection (e) of Section 5-45, the Department
6  of Agriculture may modify or change the licensing application
7  process to reduce or eliminate barriers and remedy
8  discrimination identified in the study. Beginning January 1,
9  2026, the Department of Agriculture shall make the
10  applications available on every January 7 thereafter or, if
11  that date falls on a weekend or holiday, the business day
12  immediately succeeding the weekend or holiday and shall
13  receive the applications no later than March 15 or the
14  succeeding business day thereafter.
15  (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
16  (410 ILCS 705/40-25)
17  Sec. 40-25. Transporting organization requirements;
18  prohibitions.
19  (a) The operating documents of a transporting organization
20  shall include procedures for the oversight of the transporter,
21  an inventory monitoring system including a physical inventory
22  recorded weekly, accurate recordkeeping, and a staffing plan.
23  (b) A transporting organization may not transport cannabis
24  or cannabis-infused products to any person other than a
25  cultivation center, a craft grower, an infuser organization, a

 

 

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1  dispensing organization, a testing facility, a consolidated
2  transport center, or as otherwise authorized by rule.
3  (c) All cannabis transported by a transporting
4  organization must be entered into a data collection system and
5  placed into a cannabis container for transport.
6  (d) Transporters are subject to random inspections by the
7  Department of Agriculture, the Department of Public Health,
8  the Illinois State Police, or as provided by rule.
9  (e) A transporting organization agent shall notify local
10  law enforcement, the Illinois State Police, and the Department
11  of Agriculture within 24 hours of the discovery of any loss or
12  theft. Notification shall be made by phone, in person, or by
13  written or electronic communication.
14  (f) No person under the age of 21 years shall be in a
15  commercial vehicle or trailer transporting cannabis goods.
16  (g) No person or individual who is not a transporting
17  organization agent shall be in a vehicle while transporting
18  cannabis goods.
19  (h) Transporters may not use commercial motor vehicles
20  with a weight rating of over 10,001 pounds.
21  (i) It is unlawful for any person to offer or deliver
22  money, or anything else of value, directly or indirectly, to
23  any of the following persons to obtain preferential placement
24  within the dispensing organization, including, without
25  limitation, on shelves and in display cases where purchasers
26  can view products, or on the dispensing organization's

 

 

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1  website:
2  (1) a person having a transporting organization
3  license, or any officer, associate, member,
4  representative, or agent of the licensee;
5  (2) a person having an Early Applicant Adult Use
6  Dispensing Organization License, an Adult Use Dispensing
7  Organization License, or a medical cannabis dispensing
8  organization license issued under the Compassionate Use of
9  Medical Cannabis Program Act;
10  (3) a person connected with or in any way
11  representing, or a member of the family of, a person
12  holding an Early Applicant Adult Use Dispensing
13  Organization License, an Adult Use Dispensing Organization
14  License, or a medical cannabis dispensing organization
15  license issued under the Compassionate Use of Medical
16  Cannabis Program Act; or
17  (4) a stockholder, officer, manager, agent, or
18  representative of a corporation engaged in the retail sale
19  of cannabis, an Early Applicant Adult Use Dispensing
20  Organization License, an Adult Use Dispensing Organization
21  License, or a medical cannabis dispensing organization
22  license issued under the Compassionate Use of Medical
23  Cannabis Program Act.
24  (j) A transporting organization agent must keep his or her
25  identification card visible at all times when on the property
26  of a cannabis business establishment and during the

 

 

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1  transporting of cannabis when acting under his or her duties
2  as a transportation organization agent. During these times,
3  the transporting organization agent must also provide the
4  identification card upon request of any law enforcement
5  officer engaged in his or her official duties.
6  (k) A copy of the transporting organization's registration
7  and a manifest for the delivery shall be present in any vehicle
8  transporting cannabis.
9  (l) Cannabis shall be transported so it is not visible or
10  recognizable from outside the vehicle.
11  (m) A vehicle transporting cannabis must not bear any
12  markings to indicate the vehicle contains cannabis or bear the
13  name or logo of the cannabis business establishment.
14  (n) Cannabis must be transported in an enclosed, locked
15  storage compartment that is secured or affixed to the vehicle.
16  (o) The Department of Agriculture may, by rule, impose any
17  other requirements or prohibitions on the transportation of
18  cannabis.
19  (p) No person, cannabis business establishment, or entity
20  other than a licensed transportation organization shall
21  transport cannabis or cannabis-infused products on behalf of a
22  cannabis business establishment to or from a consolidated
23  transport center, unless otherwise authorized by rule.
24  (q) Cannabis business entities shall adhere to the
25  traceability and consumer protection guidelines established by
26  the Department of Agriculture when utilizing the cannabis

 

 

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1  plant monitoring system or cannabis transport GPS tracking
2  system.
3  (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
4  102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff.
5  5-13-22.)
6  (410 ILCS 705/40-50 new)
7  Sec. 40-50. Consolidated transport center requirements;
8  prohibitions.
9  (a) The operating documents of a consolidated transport
10  center shall include procedures for the oversight of the
11  consolidated transport center and a cannabis or
12  cannabis-infused products monitoring system, including, a
13  physical inventory recorded weekly, accurate recordkeeping,
14  and a staffing plan that is available to the Department of
15  Revenue, the Department of Agriculture, the Department of
16  Financial and Professional Regulation, and the Illinois State
17  Police.
18  (b) A consolidated transport center shall implement a
19  security plan reviewed by the Illinois State Police that
20  includes, but is not limited to, facility access controls,
21  perimeter intrusion detection systems, personnel
22  identification systems, 24-hour surveillance system to monitor
23  the interior and exterior of the consolidated transport
24  center, and accessibility to authorized law enforcement and
25  the Department of Agriculture in real time.

 

 

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1  (c) All consolidating transport center activities by a
2  consolidated transport center must take place in an enclosed,
3  fenced, and locked facility at the physical address provided
4  to the Department of Agriculture during the licensing process.
5  The consolidated transport center location shall only be
6  accessed by the agents working for the consolidated transport
7  center, the Department of Agriculture staff performing
8  inspections, local and State law enforcement or other
9  emergency personnel, contractors working on jobs unrelated to
10  cannabis, such as installing or maintaining security devices
11  or performing electrical wiring, transporting organization
12  agents as provided in this Act, individuals in a mentoring or
13  educational program approved by the State, or other
14  individuals as provided by rule.
15  (d) A consolidated transport center may not distribute any
16  cannabis or cannabis-infused products to any person other than
17  a dispensing organization, craft grower, infuser organization,
18  transporter, consolidated transport center, or as otherwise
19  authorized by rule.
20  (e) All cannabis or cannabis-infused products received by
21  a consolidated transport center for distribution to a cannabis
22  business establishment must be entered into the cannabis plant
23  monitoring system, packaged and labeled under Section 55-21,
24  and placed into a cannabis container for transport.
25  (f) Consolidated transport centers are subject to random
26  inspections by the Department of Agriculture, local safety or

 

 

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1  health inspectors, and the Illinois State Police.
2  (g) A consolidated transport center agent shall notify
3  local law enforcement, the Illinois State Police, and the
4  Department of Agriculture within 24 hours of the discovery of
5  any loss or theft. Notification shall be made by phone, in
6  person, or by written or electronic communication.
7  (h) No person or entity shall hold any legal, equitable,
8  ownership, or beneficial interest, directly or indirectly, of
9  more than 3 consolidated transport center licenses under this
10  Act. Further, no person or entity that is employed by a
11  cannabis business establishment, an agent of a cannabis
12  business establishment, has a contract to receive payment in
13  any form from a cannabis business establishment, is a
14  principal officer of a cannabis business establishment, or is
15  an entity controlled by or affiliated with a principal officer
16  of a cannabis business establishment shall hold any legal,
17  equitable, ownership, or beneficial interest, directly or
18  indirectly, in a cannabis business establishment that would
19  result in the person or entity owning or controlling in
20  combination with any cannabis business establishment,
21  principal officer of a cannabis business establishment, or
22  entity controlled or affiliated with a principal officer of a
23  cannabis business establishment by which he, she, or it is
24  employed, is an agent of, or participates in the management
25  of, more than 3 consolidated transport center licenses.
26  (i) It is unlawful for any person having a consolidated

 

 

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1  transport center license or any officer, associate, member,
2  representative, or agent of such licensee to offer or deliver
3  money, or anything else of value, directly or indirectly to
4  any person having an Early Approval Adult Use Dispensing
5  Organization License, a Conditional Adult Use Dispensing
6  Organization License, an Adult Use Dispensing Organization
7  License, or a medical cannabis dispensing organization license
8  issued under the Compassionate Use of Medical Cannabis Program
9  Act, or to any person connected with or in any way
10  representing, or to any member of the family of, such person
11  holding an Early Approval Adult Use Dispensing Organization
12  License, a Conditional Adult Use Dispensing Organization
13  License, an Adult Use Dispensing Organization License, or a
14  medical cannabis dispensing organization license issued under
15  the Compassionate Use of Medical Cannabis Program Act, or to
16  any stockholders in any corporation engaged in the retail sale
17  of cannabis, or to any officer, manager, agent, or
18  representative of the Early Approval Adult Use Dispensing
19  Organization License, a Conditional Adult Use Dispensing
20  Organization License, an Adult Use Dispensing Organization
21  License, or a medical cannabis dispensing organization license
22  issued under the Compassionate Use of Medical Cannabis Program
23  Act to obtain preferential placement within the dispensing
24  organization, including, without limitation, on shelves and in
25  display cases where purchasers can view products, or on the
26  dispensing organization's website.

 

 

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1  (j) A consolidated transport center must comply with the
2  application process, mandatory fees, compliance requirements,
3  and prohibitions set by administrative rules of the Department
4  of Agriculture.
5  (k) All fees and fines collected under this Section shall
6  be deposited into the Cannabis Regulation Fund, unless
7  otherwise specified by rule by the Department of Agriculture.
8  (l) A consolidated transport center may not transfer an
9  ownership interest in a license without prior Department
10  approval. Such approval may be withheld if the person or
11  entity to whom the license is being transferred does not meet
12  the definition of independent social equity transporting
13  organization under this Act.

 

 

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