104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0020 Introduced 1/13/2025, by Sen. Kimberly A. Lightford SYNOPSIS AS INTRODUCED: See Index Creates the Hemp Consumer Products Act. Sets forth provisions concerning definitions; prohibitions and compliance; applications and licensing for hemp consumer product manufacturers; requirements for licensees; registration of hemp consumer CBD products; requirements of hemp consumer CBD products; packaging and labeling of hemp consumer CBD products; testing requirements; marketing and sale of hemp consumer CBD products; penalties; the administration and enforcement of the Act and rulemaking, including emergency rulemaking, by the Department of Agriculture; and other matters. Amends the Cannabis Regulation and Tax Act. Provides that a violation of provisions concerning unlicensed practice is an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. Sets forth penalties for unlicensed practice as a cultivation center, infuser, or craft grower. Sets forth provisions concerning the use of hemp in cannabis-infused products. Allows a craft grower and infuser to purchase a hemp-derived intoxicating product from a hemp consumer product manufacturer and offer a hemp-derived intoxicating product for sale to another cannabis establishment, after which the product is considered cannabis and the craft grower or infuser must ensure the product meets all the requirements of the Act. Makes other changes. Amends the Illinois Administrative Procedure Act, the Illinois Procurement Code, the State Finance Act, the Industrial Hemp Act, the Cannabis Control Act, and the Consumer Fraud and Deceptive Business Practices Act to make conforming changes. Effective immediately. LRB104 07738 BDA 17783 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0020 Introduced 1/13/2025, by Sen. Kimberly A. Lightford SYNOPSIS AS INTRODUCED: See Index See Index Creates the Hemp Consumer Products Act. Sets forth provisions concerning definitions; prohibitions and compliance; applications and licensing for hemp consumer product manufacturers; requirements for licensees; registration of hemp consumer CBD products; requirements of hemp consumer CBD products; packaging and labeling of hemp consumer CBD products; testing requirements; marketing and sale of hemp consumer CBD products; penalties; the administration and enforcement of the Act and rulemaking, including emergency rulemaking, by the Department of Agriculture; and other matters. Amends the Cannabis Regulation and Tax Act. Provides that a violation of provisions concerning unlicensed practice is an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. Sets forth penalties for unlicensed practice as a cultivation center, infuser, or craft grower. Sets forth provisions concerning the use of hemp in cannabis-infused products. Allows a craft grower and infuser to purchase a hemp-derived intoxicating product from a hemp consumer product manufacturer and offer a hemp-derived intoxicating product for sale to another cannabis establishment, after which the product is considered cannabis and the craft grower or infuser must ensure the product meets all the requirements of the Act. Makes other changes. Amends the Illinois Administrative Procedure Act, the Illinois Procurement Code, the State Finance Act, the Industrial Hemp Act, the Cannabis Control Act, and the Consumer Fraud and Deceptive Business Practices Act to make conforming changes. Effective immediately. LRB104 07738 BDA 17783 b LRB104 07738 BDA 17783 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0020 Introduced 1/13/2025, by Sen. Kimberly A. Lightford SYNOPSIS AS INTRODUCED: See Index See Index See Index Creates the Hemp Consumer Products Act. Sets forth provisions concerning definitions; prohibitions and compliance; applications and licensing for hemp consumer product manufacturers; requirements for licensees; registration of hemp consumer CBD products; requirements of hemp consumer CBD products; packaging and labeling of hemp consumer CBD products; testing requirements; marketing and sale of hemp consumer CBD products; penalties; the administration and enforcement of the Act and rulemaking, including emergency rulemaking, by the Department of Agriculture; and other matters. Amends the Cannabis Regulation and Tax Act. Provides that a violation of provisions concerning unlicensed practice is an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. Sets forth penalties for unlicensed practice as a cultivation center, infuser, or craft grower. Sets forth provisions concerning the use of hemp in cannabis-infused products. Allows a craft grower and infuser to purchase a hemp-derived intoxicating product from a hemp consumer product manufacturer and offer a hemp-derived intoxicating product for sale to another cannabis establishment, after which the product is considered cannabis and the craft grower or infuser must ensure the product meets all the requirements of the Act. Makes other changes. Amends the Illinois Administrative Procedure Act, the Illinois Procurement Code, the State Finance Act, the Industrial Hemp Act, the Cannabis Control Act, and the Consumer Fraud and Deceptive Business Practices Act to make conforming changes. Effective immediately. LRB104 07738 BDA 17783 b LRB104 07738 BDA 17783 b LRB104 07738 BDA 17783 b A BILL FOR SB0020LRB104 07738 BDA 17783 b SB0020 LRB104 07738 BDA 17783 b SB0020 LRB104 07738 BDA 17783 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 1. Short title. This Act may be cited as the Hemp 5 Consumer Products Act. 6 Section 5. Definitions. In this Act: 7 "Accreditation body" means an impartial non-profit 8 organization that operates in conformance with the 9 International Organization for Standardization 10 (ISO)/International Electrotechnical Commission (IEC) 11 standard 17011 and is a signatory to the International 12 Laboratory Accreditation Cooperation (ILAC) Mutual Recognition 13 Arrangement (MRA) for Testing. 14 "Artificially derived cannabinoid" means a cannabinoid 15 that is created by a chemical or physical reaction that 16 changes the molecular structure of any chemical substance 17 derived from Cannabis sativa. 18 "Department" means the Department of Agriculture. 19 "Director" means the Director of Agriculture. 20 "Hemp cannabinoid" means a naturally occurring 21 phytocannabinoid derived from the hemp plant that does not 22 have an intoxicating effect on the mind and body, as 23 determined by the Department by rule, including: 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB0020 Introduced 1/13/2025, by Sen. Kimberly A. Lightford SYNOPSIS AS INTRODUCED: See Index See Index See Index Creates the Hemp Consumer Products Act. Sets forth provisions concerning definitions; prohibitions and compliance; applications and licensing for hemp consumer product manufacturers; requirements for licensees; registration of hemp consumer CBD products; requirements of hemp consumer CBD products; packaging and labeling of hemp consumer CBD products; testing requirements; marketing and sale of hemp consumer CBD products; penalties; the administration and enforcement of the Act and rulemaking, including emergency rulemaking, by the Department of Agriculture; and other matters. Amends the Cannabis Regulation and Tax Act. Provides that a violation of provisions concerning unlicensed practice is an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act. Sets forth penalties for unlicensed practice as a cultivation center, infuser, or craft grower. Sets forth provisions concerning the use of hemp in cannabis-infused products. Allows a craft grower and infuser to purchase a hemp-derived intoxicating product from a hemp consumer product manufacturer and offer a hemp-derived intoxicating product for sale to another cannabis establishment, after which the product is considered cannabis and the craft grower or infuser must ensure the product meets all the requirements of the Act. Makes other changes. Amends the Illinois Administrative Procedure Act, the Illinois Procurement Code, the State Finance Act, the Industrial Hemp Act, the Cannabis Control Act, and the Consumer Fraud and Deceptive Business Practices Act to make conforming changes. Effective immediately. LRB104 07738 BDA 17783 b LRB104 07738 BDA 17783 b LRB104 07738 BDA 17783 b A BILL FOR See Index LRB104 07738 BDA 17783 b SB0020 LRB104 07738 BDA 17783 b SB0020- 2 -LRB104 07738 BDA 17783 b SB0020 - 2 - LRB104 07738 BDA 17783 b SB0020 - 2 - LRB104 07738 BDA 17783 b 1 (1) cannabidiol (CBD); 2 (2) cannabichromene (CBC); 3 (3) cannabicitran (CBT); 4 (4) cannabicyclol (CBL); 5 (5) cannabielsoin (CBE); 6 (6) cannabigerol (CBG); 7 (7) cannabidivarin (CBDV); or 8 (8) cannabinol (CBN). 9 "Hemp consumer CBD product" means a product offered for 10 sale or distribution that: 11 (1) contains naturally occurring hemp 12 phytocannabinoids; 13 (2) is intended for consumption by any means, 14 including, but not limited to, oral ingestion, inhalation, 15 smoking, or topical absorption; 16 (3) contains a total tetrahydrocannabinol 17 concentration of no greater than: 18 (a) 0.3%; or 19 (b) 0.5 milligrams per serving or individual 20 product unit, and 2 milligrams per package for 21 products sold in multiple servings or units, for any 22 beverage, food, oil, ointment, tincture, topical 23 formation, or any other product that is intended for 24 human or animal consumption by means other than 25 inhalation or smoking; and 26 (4) contains a total hemp cannabinoid concentration SB0020 - 2 - LRB104 07738 BDA 17783 b SB0020- 3 -LRB104 07738 BDA 17783 b SB0020 - 3 - LRB104 07738 BDA 17783 b SB0020 - 3 - LRB104 07738 BDA 17783 b 1 that is at least 25 times greater than the total 2 tetrahydrocannabinol concentration per serving and per 3 package. 4 "Hemp consumer CBD product registrant" means a person or 5 entity that manufactures, processes, packages, handles, 6 distributes or otherwise adds value to the hemp consumer CBD 7 product, and made the first sale of the hemp consumer CBD 8 product in Illinois to an Illinois wholesaler, processor, 9 distributor, retailer, or consumer, or as otherwise defined by 10 rule. A hemp consumer CBD product registrant is required to 11 register hemp consumer CBD products with the Department of 12 Agriculture prior to sale of hemp consumer CBD products in 13 Illinois. 14 "Hemp consumer products manufacturer" means a person or 15 entity located in Illinois licensed to source industrial hemp 16 plant material from a licensed state, tribal, or USDA hemp 17 cultivator, and process, manufacture, and distribute hemp 18 products for human or animal consumption. 19 "Hemp-derived intoxicating product" means a beverage, 20 food, oil, ointment, tincture, topical formulation, or other 21 product intended for human or animal consumption that is 22 derived from hemp extract and does not contain more than 5 23 milligrams per serving or 10 milligrams per package of delta-9 24 THC derived from any naturally occurring cannabinoids found in 25 hemp and that may only be offered for sale at a dispensing 26 organization under the Cannabis Regulation and Tax Act. SB0020 - 3 - LRB104 07738 BDA 17783 b SB0020- 4 -LRB104 07738 BDA 17783 b SB0020 - 4 - LRB104 07738 BDA 17783 b SB0020 - 4 - LRB104 07738 BDA 17783 b 1 "Scope of accreditation" means a document issued by an 2 accreditation body that attests to a testing laboratory's 3 competence to carry out specific testing and analysis. 4 "Synthetic cannabinoid" means a cannabinoid-like compound 5 that was produced using chemical synthesis, chemical 6 modification, or chemical conversion, including in vitro 7 biosynthesis or other bioconversion methods. "Synthetic 8 cannabinoid" includes cannabinoids converted from one chemical 9 structure into another, such as tetrahydrocannabinol produced 10 by the conversion of cannabidiol. 11 "Testing laboratory" means an independent, third-party 12 laboratory approved and registered with the Department that is 13 contracted to test hemp consumer CBD products. A testing 14 laboratory may include laboratories approved by the Department 15 under the Cannabis Regulation and Tax Act or a laboratory 16 operated by the State. 17 "Tetrahydrocannabinol" or "THC" means any naturally 18 occurring or synthetic tetrahydrocannabinol, including its 19 salts, isomers, and salts of isomers, whenever the existence 20 of such salts, isomers, and salts of isomers is possible 21 within the specific chemical designation, and any preparation, 22 mixture, or substance containing, or mixed or infused with, 23 any detectable amount of tetrahydrocannabinol or 24 tetrahydrocannabolic acid, including, but not limited to, 25 delta-8-tetrahydrocannabinol, delta-9-tetrahydrocannabinol, 26 delta-10-tetrahydrocannabinol, tetrahydrocannabolic acid, SB0020 - 4 - LRB104 07738 BDA 17783 b SB0020- 5 -LRB104 07738 BDA 17783 b SB0020 - 5 - LRB104 07738 BDA 17783 b SB0020 - 5 - LRB104 07738 BDA 17783 b 1 tetrahydrocannabiphorol, or hexahydrocannabinol, however 2 derived, or any other substance determined by the Department 3 to have similar intoxicating effects on the mind or body. As 4 used in this definition, "isomer" means the optical, position, 5 and geometric isomers. 6 Section 10. Prohibitions; compliance. 7 (a) Beginning on the effective date of this Act, no 8 person, retailer, or entity shall distribute for sale, 9 manufacture, sell, offer for sale, market, or advertise any 10 hemp product intended for human or animal consumption within 11 this State unless the hemp product meets the definition of 12 hemp consumer CBD product, is sold by a licensed cannabis 13 business establishment under the Cannabis Regulation and Tax 14 Act or Compassionate Use of Medical Cannabis Act, or is sold to 15 or purchased by an industrial hemp processor or hemp consumer 16 product manufacturer licensee for use in the manufacture of 17 hemp products intended for human or animal consumption. 18 (b) Effective January 1, 2026 or upon the first date that a 19 hemp consumer CBD product registration application is made 20 available by the Department, whichever is sooner, all hemp 21 consumer CBD products shall comply with all of the hemp 22 consumer CBD product requirements of this Act. 23 (c) A product that has a THC concentration greater than 24 the limits set forth for hemp consumer CBD products as defined 25 in this Act shall, unless otherwise provided under this Act, SB0020 - 5 - LRB104 07738 BDA 17783 b SB0020- 6 -LRB104 07738 BDA 17783 b SB0020 - 6 - LRB104 07738 BDA 17783 b SB0020 - 6 - LRB104 07738 BDA 17783 b 1 be regulated as cannabis as defined in the Cannabis Regulation 2 and Tax Act, whether or not the product is made with or derived 3 from hemp or industrial hemp or is derived from natural or 4 synthetic sources. 5 (d) A product derived from hemp cannabinoids and sold by a 6 cannabis business establishment as authorized by the Cannabis 7 Regulation and Tax Act shall be cannabis as that term is used 8 under the Cannabis Regulation and Tax Act and may be sold only 9 by a licensed dispensing organization. 10 (e) Notwithstanding subsection (a) or (c), until January 11 20, 2026 any beverage derived from hemp may be offered for sale 12 or sold by (i) a person licensed under the Liquor Control Act 13 as a retailer or a manufacturer that has retail privileges 14 whose total sales of alcohol equal 90% or more of total sales 15 or (ii) an industrial hemp manufacturer or hemp consumer 16 product manufacturer who also holds retail privileges as a 17 manufacturer as provided under the Liquor Control Act. No 18 beverage derived from hemp may be given, sold, transferred, or 19 delivered, with or without remuneration, to any person under 20 21 years of age. A retailer subject to this subsection (e) 21 shall refuse to sell any beverage derived from hemp to any 22 person unless the person produces valid identification showing 23 that the person is 21 years of age or older, which must be 24 verified at the point of sale. Any hemp-derived beverages 25 subject to this subsection (e) may contain only up to 10 26 milligrams per individual container of SB0020 - 6 - LRB104 07738 BDA 17783 b SB0020- 7 -LRB104 07738 BDA 17783 b SB0020 - 7 - LRB104 07738 BDA 17783 b SB0020 - 7 - LRB104 07738 BDA 17783 b 1 delta-9-tetrahydrocannabinol derived from any naturally 2 occurring cannabinoids found in hemp. 3 (f) Nothing in this Act shall prohibit the transportation 4 or shipment of hemp or hemp products through the State. 5 Section 15. Hemp consumer product manufacturers; 6 applications and licensing. 7 (a) By January 1, 2026, the Department shall create 8 applicable rules, guidance, and forms for licensing hemp 9 consumer products manufacturers and a process to transition 10 industrial hemp manufacturers registered under the Industrial 11 Hemp Act that processes or manufactures products derived from 12 hemp intended for human or animal consumption to a hemp 13 consumer product license. 14 (b) An application for licensure shall be submitted to the 15 Department on a form prescribed by the Department, which shall 16 include: 17 (1) the name, address, email address, and telephone 18 number of the applicant; 19 (2) identification of the facility that will be used 20 for the processing, manufacturing, distribution, or retail 21 sale of hemp, as applicable; 22 (3) a copy of the current local zoning ordinance or 23 permit and verification that the proposed hemp consumer 24 products processor is in compliance with the local zoning 25 rules and distance limitations established by the local SB0020 - 7 - LRB104 07738 BDA 17783 b SB0020- 8 -LRB104 07738 BDA 17783 b SB0020 - 8 - LRB104 07738 BDA 17783 b SB0020 - 8 - LRB104 07738 BDA 17783 b 1 jurisdiction for hemp consumer products processing; 2 (4) the federal employer identification number of the 3 applicant; 4 (5) a copy and description of any other license or 5 licenses issued by state or federal authorities related to 6 hemp or cannabis operations or ancillary services; 7 (6) a summary of the sources of industrial processes, 8 hemp materials, hemp consumer CBD products, and hemp 9 extract to be used, as applicable; 10 (7) a description of any other businesses or business 11 activities conducted on the premises to be licensed; 12 (8) identification of the person or persons with the 13 ability to direct the activity of the applicant or 14 licensee, including principals, officers, or others with 15 such control; and 16 (9) any other information required by the Department. 17 (c) The Department may reject or deny an application if it 18 determines that the information contained in the application 19 does not meet the requirements or is incomplete, false, 20 inaccurate, or omits a material fact. 21 (d) Licenses shall not be transferable or assignable to 22 any person, including, without limitation, to another 23 licensee, without prior written approval of the Department. 24 (e) Licenses are valid for a period of one year and must be 25 renewed annually at a fee of $5,000 or as otherwise determined 26 by rule. SB0020 - 8 - LRB104 07738 BDA 17783 b SB0020- 9 -LRB104 07738 BDA 17783 b SB0020 - 9 - LRB104 07738 BDA 17783 b SB0020 - 9 - LRB104 07738 BDA 17783 b 1 (f) The Department may revoke any license issued under 2 this Act for failure to adhere to the requirements of this Act 3 and the rules adopted by the Department. 4 Section 20. Requirements for hemp consumer products 5 manufacturer licensees. 6 (a) The Department shall license and regulate hemp 7 consumer products manufacturers for the purpose of allowing 8 processors to obtain and source lawful industrial hemp and 9 hemp plant materials for manufacturing and processing finished 10 hemp consumer products in accordance with this Act. 11 (b) All hemp consumer products manufacturers shall: 12 (1) maintain sufficient records to demonstrate that 13 any hemp or hemp extract used by the licensee was grown, 14 derived, extracted, and transported in accordance with 15 applicable laws and licensing requirements of the 16 jurisdiction or jurisdictions from which the hemp or hemp 17 extract was sourced and, for hemp received from an 18 out-of-state grower, shall also maintain records of the 19 out-of-state grower registration or license number in the 20 respective jurisdiction; 21 (4) keep all designated extracting and manufacturing 22 areas safe and sanitary, including, but not limited to, 23 ensuring that those areas are adequately lit, cleaned, and 24 smoke-free; 25 (5) not use, in the extraction or manufacturing of any SB0020 - 9 - LRB104 07738 BDA 17783 b SB0020- 10 -LRB104 07738 BDA 17783 b SB0020 - 10 - LRB104 07738 BDA 17783 b SB0020 - 10 - LRB104 07738 BDA 17783 b 1 hemp consumer CBD products, synthetic cannabinoids, 2 artificially derived cannabinoids, or 3 tetrahydrocannabinol created through isomerization; and 4 (6) maintain the records required by this Act for at 5 least 3 years and immediately produce those records upon 6 request of the Department. 7 (c) A hemp product manufacturer shall not offer for sale 8 or distribution products to a location where prohibited by law 9 or to a business that is not permitted to sell products made by 10 the licensee. 11 (d) The Department may conduct announced or unannounced 12 premises or product inspections, including, but not limited 13 to, inspections, audits, sampling, and testing of hemp, hemp 14 extract, hemp consumer CBD products, or any solvents, 15 chemicals, or materials used by the licensee. 16 (e) A hemp consumer product manufacturer shall comply with 17 any other requirements or prohibitions set by administrative 18 rule by the Department. 19 Section 25. Registration of hemp consumer CBD products. 20 (a) Upon the availability of a hemp consumer CBD product 21 registration application, all establishments, including 22 physical and online establishments, shall register all hemp 23 consumer CBD products offered for sale in the State with the 24 Department. Hemp consumer CBD products must comply with 25 registration requirements under this Act. SB0020 - 10 - LRB104 07738 BDA 17783 b SB0020- 11 -LRB104 07738 BDA 17783 b SB0020 - 11 - LRB104 07738 BDA 17783 b SB0020 - 11 - LRB104 07738 BDA 17783 b 1 (b) The Department shall create an online hemp consumer 2 CBD product registration application. The Department may 3 reject an application if the product hemp consumer CBD product 4 does not meet the definition of a hemp consumer CBD product or 5 does not meet any other hemp consumer CBD product requirements 6 under this Act or under rules adopted under this Act. 7 (c) The product registration application shall include, 8 but is not limited to: 9 (1) the name of the hemp consumer CBD product; 10 (2) a recently conducted certificate of analysis; and 11 (3) a depiction of the label on the hemp consumer CBD 12 product. 13 (d) The Department shall maintain a list of registered 14 hemp consumer CBD products on its website. 15 (e) A new registration shall be submitted if there is a 16 change to the name, label, recipe, or chemical composition of 17 the hemp consumer CBD product. 18 (f) Any registered hemp consumer CBD product offered for 19 sale in the State may be subject to product inspection and 20 sampling by the Department to ensure compliance with the 21 registration requirements. Any retailer of a hemp consumer CBD 22 product shall provide the Department with a reasonable sample 23 upon request not to exceed 2 units per product type. 24 (g) The Department may deregister any registered hemp 25 consumer CBD product that is found not to be in compliance with 26 the Act. The Department shall maintain a list of hemp consumer SB0020 - 11 - LRB104 07738 BDA 17783 b SB0020- 12 -LRB104 07738 BDA 17783 b SB0020 - 12 - LRB104 07738 BDA 17783 b SB0020 - 12 - LRB104 07738 BDA 17783 b 1 CBD products that have been deregistered on its website. 2 Retail establishments shall have 30 days to remove from sale 3 all hemp consumer CBD products that have been deregistered. 4 (h) The Department may prohibit a hemp consumer CBD 5 product registrant from registering hemp consumer CBD products 6 if the registrant has had 3 hemp consumer CBD products 7 deregistered in a one-year period, or as otherwise provided 8 for by rule. 9 (i) The Department shall set and collect a fee of $150 for 10 the registration of each hemp consumer CBD product, which 11 shall be deposited into the Industrial Hemp Regulatory Fund. 12 The Department may adjust the fee by rule. 13 (j) The Department may adopt rules regarding the 14 registration of hemp consumer CBD products. 15 (k) Retailers or entities that offer for sale products 16 that are found to meet the definition of a hemp consumer CBD 17 product but are not registered are subject to a $500 fine per 18 product. 19 Section 30. Requirements of hemp consumer CBD products. 20 (a) All hemp consumer CBD products distributed, sold, or 21 offered for sale in this State shall be subject to the 22 following minimum requirements: 23 (1) the hemp consumer CBD product shall: 24 (A) contain naturally occurring hemp 25 phytocannabinoids; SB0020 - 12 - LRB104 07738 BDA 17783 b SB0020- 13 -LRB104 07738 BDA 17783 b SB0020 - 13 - LRB104 07738 BDA 17783 b SB0020 - 13 - LRB104 07738 BDA 17783 b 1 (B) be intended for consumption by any means, 2 including, but not limited to, oral ingestion, 3 inhalation, smoking, or topical absorption; 4 (C) contain a total tetrahydrocannabinol 5 concentration of no greater than: 6 (i) 0.3%; or 7 (ii) 0.5 milligrams per serving or individual 8 product unit, and 2 milligrams per package for 9 products sold in multiple servings or units, for 10 any beverage, food, oil, ointment, tincture, 11 topical formation, or any other product that is 12 intended for human or animal consumption by means 13 other than inhalation or smoking; 14 (D) have total hemp cannabinoid concentration that 15 is at least 25 times greater than the amount of total 16 tetrahydrocannabinol concentration per serving and per 17 package; 18 (2) not contain liquor, wine, beer, or cider or meet 19 the definition of alcoholic liquor under the Liquor 20 Control Act of 1934; 21 (3) not contain tobacco or nicotine in the product; 22 (4) accurately reflect testing results and not contain 23 less than 90% or more than 110% of the concentration of 24 total cannabinoid content as listed on the product label; 25 (5) be prepackaged and not added to food or any other 26 consumable products at the point of sale; SB0020 - 13 - LRB104 07738 BDA 17783 b SB0020- 14 -LRB104 07738 BDA 17783 b SB0020 - 14 - LRB104 07738 BDA 17783 b SB0020 - 14 - LRB104 07738 BDA 17783 b 1 (6) comply with product testing standards set forth in 2 this Act; and 3 (7) not contain synthetic cannabinoids or artificially 4 derived cannabinoids. 5 (b) All concentrated hemp consumer CBD products intended 6 for inhalation or vaporization shall meet the following 7 additional requirements: 8 (1) except for hemp-derived terpenes, excipients and 9 ingredients must be pharmaceutical grade, unless otherwise 10 approved by the Department, and shall not include: 11 (A) synthetic terpenes; 12 (B) polyethylene glycol (PEG); 13 (C) vitamin E acetate; 14 (D) medium chain triglycerides (MCT oil); 15 (E) medicinal compounds; 16 (F) illegal or controlled substances; 17 (G) artificial food coloring; 18 (H) benzoic acid; 19 (I) diketones; or 20 (J) any other compound or ingredient as determined 21 by the Department in rules; and 22 (2) excipients and ingredients must not contain any 23 flavors or flavoring agents, except for hemp-derived 24 terpenes. 25 Section 35. Packaging and labeling of hemp consumer CBD SB0020 - 14 - LRB104 07738 BDA 17783 b SB0020- 15 -LRB104 07738 BDA 17783 b SB0020 - 15 - LRB104 07738 BDA 17783 b SB0020 - 15 - LRB104 07738 BDA 17783 b 1 products. 2 (a) All hemp consumer CBD products distributed or offered 3 for retail sale in this State shall include the following 4 information on the product label or packaging: 5 (1) a list of all ingredients in descending order of 6 predominance by weight in the product; 7 (2) The serving size and number of servings per 8 package or container, including the milligrams per serving 9 of detectable: 10 (A) individual hemp cannabinoids; 11 (B) total hemp cannabinoids; 12 (C) individual THC cannabinoids; 13 (D) total THC; and 14 (E) any other cannabinoids; 15 (3) an expiration date; 16 (4) the name of the hemp manufacturer, whether 17 in-state or out-of-state; 18 (5) a means for reporting serious adverse events; and 19 (6) any other marking, statement, or symbol required 20 by the Department, by rule. 21 (b) No hemp consumer CBD product offered for retail sale 22 shall be made attractive to children; imitate a candy label or 23 widely available food label; use fruit, cartoons, or other 24 images popularly used to advertise to children; or otherwise 25 be marketed to children. 26 (c) No hemp consumer CBD product shall be marketed, SB0020 - 15 - LRB104 07738 BDA 17783 b SB0020- 16 -LRB104 07738 BDA 17783 b SB0020 - 16 - LRB104 07738 BDA 17783 b SB0020 - 16 - LRB104 07738 BDA 17783 b 1 advertised, or offered for sale in a manner that would cause a 2 reasonable consumer: 3 (1) to be confused as to whether the hemp consumer CBD 4 product is trademarked, marked, or labeled in a manner 5 that violates any federal trademark law or regulation; or 6 (2) to believe that a hemp consumer CBD product is 7 cannabis, or medical cannabis, or that a licensee is 8 authorized to sell or dispense cannabis or medical 9 cannabis, as those terms are defined in the Cannabis 10 Regulation and Tax Act or the Compassionate Use of Medical 11 Cannabis Program Act. 12 (d) All hemp consumer CBD products offered for retail sale 13 shall include the following warnings on the product label or 14 packaging, in a manner that is clear and conspicuous: 15 (1) a warning that the product must be kept out of the 16 reach of children and pets; 17 (2) a warning that the product has not been evaluated 18 or approved by the Food and Drug Administration for safety 19 or efficacy; 20 (3) a warning that a pregnant or nursing consumer 21 should consult the consumer's health care provider before 22 use; 23 (4) for hemp consumer CBD products intended to be 24 inhaled or vaporized, a warning stating that smoking or 25 vaping is hazardous to your health; and 26 (5) any other warning required by the Department. SB0020 - 16 - LRB104 07738 BDA 17783 b SB0020- 17 -LRB104 07738 BDA 17783 b SB0020 - 17 - LRB104 07738 BDA 17783 b SB0020 - 17 - LRB104 07738 BDA 17783 b 1 Section 40. Laboratory testing requirements for hemp 2 consumer CBD products. 3 (a) The Department shall approve hemp consumer CBD product 4 testing laboratories to be contracted by licensees under this 5 Act for testing of hemp consumer CBD products. All approved 6 testing laboratories shall be listed on the Department's 7 website. Out-of-state laboratories may be approved by the 8 Department. 9 (b) All approved testing laboratories shall maintain: 10 (1) ISO/IEC 17025 accreditation for the physical 11 testing location and for the testing of one or more of the 12 analytes determined by the department; 13 (2) a valid scope of accreditation, issued by an 14 accreditation body, that attests to the laboratory's 15 competence to perform testing of hemp consumer CBD 16 products; 17 (3) method validation records for all testing 18 conducted; 19 (4) standard operating procedures for the sampling of 20 hemp consumer CBD products; and 21 (5) maintain testing methodologies to ascertain the 22 presence of synthetic cannabinoids, artificially derived 23 cannabinoids, or cannabinoids created through 24 isomerization, including tetrahydrocannabinol created 25 through isomerization. SB0020 - 17 - LRB104 07738 BDA 17783 b SB0020- 18 -LRB104 07738 BDA 17783 b SB0020 - 18 - LRB104 07738 BDA 17783 b SB0020 - 18 - LRB104 07738 BDA 17783 b 1 (c) Hemp cannabinoid products shall not be sold within 2 this State if hemp cannabinoid, THC, or other contaminants are 3 detected at levels greater than provided for by this Act or 4 rules or guidance adopted by the Department. 5 (d) Hemp cannabinoid products shall be considered 6 adulterated and shall not be sold within this State if there is 7 the presence of synthetic cannabinoids, artificially derived 8 cannabinoids, or cannabinoids created through isomerization, 9 including tetrahydrocannabinol created through isomerization. 10 (e) The Department may impose additional testing 11 requirements, including, but not limited to, testing for 12 additional analytes, setting stricter analyte, and mandating 13 the use of specific sampling methodologies per lot, analyte 14 per process, or batch manufactured. 15 (f) The Department shall make available a list of required 16 analytes, their acceptable limits, and approved testing 17 methods on the Department's website and in any other manner as 18 determined by the Department. 19 (g) The total tetrahydrocannabinol concentration for hemp 20 consumer CBD products shall not exceed the limits established 21 in this Act. 22 (h) If a hemp consumer CBD product fails testing, the 23 processor may elect to reformulate the failing batch to reduce 24 the total tetrahydrocannabinol of the batch to comply with the 25 THC limits established by this Act. If the reformulated batch 26 still exceeds the THC limits, the processor shall destroy the SB0020 - 18 - LRB104 07738 BDA 17783 b SB0020- 19 -LRB104 07738 BDA 17783 b SB0020 - 19 - LRB104 07738 BDA 17783 b SB0020 - 19 - LRB104 07738 BDA 17783 b 1 batch. 2 (i) If a hemp consumer CBD product is found to contain 3 levels of any pathogen, toxicant, residual solvent, metal, or 4 pesticide not enumerated in this Section or by other State 5 law, then the product may not be sold in this State. 6 Section 45. Advertising requirements. An advertisement for 7 a hemp consumer CBD product shall not: 8 (1) include any false or misleading statements, 9 images, or other content, including, but not limited to, 10 any health claims; 11 (2) contain claims that hemp consumption or a hemp 12 consumer CBD product can, or is intended to, diagnose, 13 cure, mitigate, treat, or prevent disease; 14 (3) lead a reasonable consumer to believe that a hemp 15 consumer CBD product is cannabis or medical cannabis, 16 including any product that exceeds the THC limits 17 established under this Act for lawful hemp consumer CBD 18 products, or that a licensee is authorized to sell or 19 dispense cannabis or medical cannabis; or 20 (4) have the purpose or effect of targeting or being 21 attractive to individuals under 21 years of age. The use 22 of images of children or minors consuming hemp consumer 23 CBD products and the use of words, designs, or brands that 24 resemble products commonly associated with children, 25 minors, or marketed to children or minors, is prohibited. SB0020 - 19 - LRB104 07738 BDA 17783 b SB0020- 20 -LRB104 07738 BDA 17783 b SB0020 - 20 - LRB104 07738 BDA 17783 b SB0020 - 20 - LRB104 07738 BDA 17783 b 1 Section 50. Sale of hemp-derived products to cannabis 2 business establishments. 3 (a) A hemp product manufacturer may sell final 4 hemp-derived intoxicating products to a craft grower and 5 infuser organization licensed under the Cannabis Regulation 6 and Tax Act to be sold as a cannabis-infused product to a 7 dispensing organization. 8 (b) A hemp-derived intoxicating product may contain up to 9 5 milligrams per serving and 10 milligrams per package of 10 delta-9-tetrahydrocannabinol. A hemp-derived intoxicating 11 product may not contain any other form of THC except 12 delta-9-tetrahydrocannabinol. 13 (c) A hemp-derived intoxicating product received by a 14 craft grower or infuser must comply with all requirements of 15 the Cannabis Regulation and Tax Act before sale to a 16 dispensing organization. 17 (d) The sale of hemp-derived intoxicating product to 18 cannabis business establishments shall be subject to any 19 requirements and prohibitions set by administrative rule by 20 the Department. 21 (e) A hemp-derived intoxicating product, in addition to 22 meeting any label requirement of the Cannabis Regulation and 23 Tax Act, must indicate on the label that the product was 24 derived from hemp. SB0020 - 20 - LRB104 07738 BDA 17783 b SB0020- 21 -LRB104 07738 BDA 17783 b SB0020 - 21 - LRB104 07738 BDA 17783 b SB0020 - 21 - LRB104 07738 BDA 17783 b 1 Section 55. License suspension; revocation; other 2 penalties. 3 (a) Notwithstanding any other criminal penalties related 4 to the unlawful possession of cannabis, the Department may 5 revoke, suspend, place on probation, reprimand, issue cease 6 and desist orders, refuse to issue or renew a license, or take 7 any other disciplinary or nondisciplinary action as the 8 Department may deem proper with regard to a hemp consumer 9 product manufacturer, including fines not to exceed $15,000 10 for each violation of this Act or rules adopted under this Act. 11 (b) The Department shall consider licensee cooperation in 12 any agency or other investigation in its determination of 13 penalties imposed under this Section. 14 (c) The procedures for disciplining a hemp consumer 15 product manufacturer and for administrative hearings shall be 16 determined by rule, and shall provide for the review of final 17 decisions under the Administrative Review Law. 18 Section 60. Administration and enforcement; rules; 19 inspections. 20 (a) The Department shall administer and enforce this Act 21 and may adopt rules under the Illinois Administrative 22 Procedure Act for the purpose of administering and enforcing 23 this Act. 24 (b) The Department shall update, through official guidance 25 and publish publicly on its website, the cannabinoids that it SB0020 - 21 - LRB104 07738 BDA 17783 b SB0020- 22 -LRB104 07738 BDA 17783 b SB0020 - 22 - LRB104 07738 BDA 17783 b SB0020 - 22 - LRB104 07738 BDA 17783 b 1 deems tetrahydrocannabinol or THC on or before January 1 and 2 July 1 of each calendar year. 3 (c) The Department may develop rules setting forth 4 labeling, packaging, and minimum testing requirements of 5 cannabinoid products. 6 (d) The Department of Public Health, local health 7 departments, the Illinois State Police, local sheriff's 8 departments, municipal police departments, and the Department 9 of Revenue may inspect any business that manufactures, 10 processes, or offers for sale cannabinoid products in the 11 State if a formal complaint is registered with the appropriate 12 agency in order to ensure compliance with this Act. The 13 Department may inspect any business that manufactures, 14 processes, or offers for sale cannabinoid products in the 15 State to ensure compliance with this Act. The Department may 16 enter into intergovernmental agreements to enforce this Act 17 and any rules adopted under this Act. 18 Section 70. Temporary restraining order or injunction. The 19 Director, through the Attorney General or any unit of local 20 government, may file a complaint and apply to the circuit 21 court for, and the court upon hearing and for cause shown may 22 grant, a temporary restraining order or a preliminary or 23 permanent injunction restraining any person from violating 24 this Act. SB0020 - 22 - LRB104 07738 BDA 17783 b SB0020- 23 -LRB104 07738 BDA 17783 b SB0020 - 23 - LRB104 07738 BDA 17783 b SB0020 - 23 - LRB104 07738 BDA 17783 b 1 Section 805. The Illinois Procurement Code is amended by 2 changing Section 1-10 as follows: 3 (30 ILCS 500/1-10) 4 Sec. 1-10. Application. 5 (a) This Code applies only to procurements for which 6 bidders, offerors, potential contractors, or contractors were 7 first solicited on or after July 1, 1998. This Code shall not 8 be construed to affect or impair any contract, or any 9 provision of a contract, entered into based on a solicitation 10 prior to the implementation date of this Code as described in 11 Article 99, including, but not limited to, any covenant 12 entered into with respect to any revenue bonds or similar 13 instruments. All procurements for which contracts are 14 solicited between the effective date of Articles 50 and 99 and 15 July 1, 1998 shall be substantially in accordance with this 16 Code and its intent. 17 (b) This Code shall apply regardless of the source of the 18 funds with which the contracts are paid, including federal 19 assistance moneys. This Code shall not apply to: 20 (1) Contracts between the State and its political 21 subdivisions or other governments, or between State 22 governmental bodies, except as specifically provided in 23 this Code. 24 (2) Grants, except for the filing requirements of 25 Section 20-80. SB0020 - 23 - LRB104 07738 BDA 17783 b SB0020- 24 -LRB104 07738 BDA 17783 b SB0020 - 24 - LRB104 07738 BDA 17783 b SB0020 - 24 - LRB104 07738 BDA 17783 b 1 (3) Purchase of care, except as provided in Section 2 5-30.6 of the Illinois Public Aid Code and this Section. 3 (4) Hiring of an individual as an employee and not as 4 an independent contractor, whether pursuant to an 5 employment code or policy or by contract directly with 6 that individual. 7 (5) Collective bargaining contracts. 8 (6) Purchase of real estate, except that notice of 9 this type of contract with a value of more than $25,000 10 must be published in the Procurement Bulletin within 10 11 calendar days after the deed is recorded in the county of 12 jurisdiction. The notice shall identify the real estate 13 purchased, the names of all parties to the contract, the 14 value of the contract, and the effective date of the 15 contract. 16 (7) Contracts necessary to prepare for anticipated 17 litigation, enforcement actions, or investigations, 18 provided that the chief legal counsel to the Governor 19 shall give his or her prior approval when the procuring 20 agency is one subject to the jurisdiction of the Governor, 21 and provided that the chief legal counsel of any other 22 procuring entity subject to this Code shall give his or 23 her prior approval when the procuring entity is not one 24 subject to the jurisdiction of the Governor. 25 (8) (Blank). 26 (9) Procurement expenditures by the Illinois SB0020 - 24 - LRB104 07738 BDA 17783 b SB0020- 25 -LRB104 07738 BDA 17783 b SB0020 - 25 - LRB104 07738 BDA 17783 b SB0020 - 25 - LRB104 07738 BDA 17783 b 1 Conservation Foundation when only private funds are used. 2 (10) (Blank). 3 (11) Public-private agreements entered into according 4 to the procurement requirements of Section 20 of the 5 Public-Private Partnerships for Transportation Act and 6 design-build agreements entered into according to the 7 procurement requirements of Section 25 of the 8 Public-Private Partnerships for Transportation Act. 9 (12) (A) Contracts for legal, financial, and other 10 professional and artistic services entered into by the 11 Illinois Finance Authority in which the State of Illinois 12 is not obligated. Such contracts shall be awarded through 13 a competitive process authorized by the members of the 14 Illinois Finance Authority and are subject to Sections 15 5-30, 20-160, 50-13, 50-20, 50-35, and 50-37 of this Code, 16 as well as the final approval by the members of the 17 Illinois Finance Authority of the terms of the contract. 18 (B) Contracts for legal and financial services entered 19 into by the Illinois Housing Development Authority in 20 connection with the issuance of bonds in which the State 21 of Illinois is not obligated. Such contracts shall be 22 awarded through a competitive process authorized by the 23 members of the Illinois Housing Development Authority and 24 are subject to Sections 5-30, 20-160, 50-13, 50-20, 50-35, 25 and 50-37 of this Code, as well as the final approval by 26 the members of the Illinois Housing Development Authority SB0020 - 25 - LRB104 07738 BDA 17783 b SB0020- 26 -LRB104 07738 BDA 17783 b SB0020 - 26 - LRB104 07738 BDA 17783 b SB0020 - 26 - LRB104 07738 BDA 17783 b 1 of the terms of the contract. 2 (13) Contracts for services, commodities, and 3 equipment to support the delivery of timely forensic 4 science services in consultation with and subject to the 5 approval of the Chief Procurement Officer as provided in 6 subsection (d) of Section 5-4-3a of the Unified Code of 7 Corrections, except for the requirements of Sections 8 20-60, 20-65, 20-70, and 20-160 and Article 50 of this 9 Code; however, the Chief Procurement Officer may, in 10 writing with justification, waive any certification 11 required under Article 50 of this Code. For any contracts 12 for services which are currently provided by members of a 13 collective bargaining agreement, the applicable terms of 14 the collective bargaining agreement concerning 15 subcontracting shall be followed. 16 On and after January 1, 2019, this paragraph (13), 17 except for this sentence, is inoperative. 18 (14) Contracts for participation expenditures required 19 by a domestic or international trade show or exhibition of 20 an exhibitor, member, or sponsor. 21 (15) Contracts with a railroad or utility that 22 requires the State to reimburse the railroad or utilities 23 for the relocation of utilities for construction or other 24 public purpose. Contracts included within this paragraph 25 (15) shall include, but not be limited to, those 26 associated with: relocations, crossings, installations, SB0020 - 26 - LRB104 07738 BDA 17783 b SB0020- 27 -LRB104 07738 BDA 17783 b SB0020 - 27 - LRB104 07738 BDA 17783 b SB0020 - 27 - LRB104 07738 BDA 17783 b 1 and maintenance. For the purposes of this paragraph (15), 2 "railroad" means any form of non-highway ground 3 transportation that runs on rails or electromagnetic 4 guideways and "utility" means: (1) public utilities as 5 defined in Section 3-105 of the Public Utilities Act, (2) 6 telecommunications carriers as defined in Section 13-202 7 of the Public Utilities Act, (3) electric cooperatives as 8 defined in Section 3.4 of the Electric Supplier Act, (4) 9 telephone or telecommunications cooperatives as defined in 10 Section 13-212 of the Public Utilities Act, (5) rural 11 water or waste water systems with 10,000 connections or 12 less, (6) a holder as defined in Section 21-201 of the 13 Public Utilities Act, and (7) municipalities owning or 14 operating utility systems consisting of public utilities 15 as that term is defined in Section 11-117-2 of the 16 Illinois Municipal Code. 17 (16) Procurement expenditures necessary for the 18 Department of Public Health to provide the delivery of 19 timely newborn screening services in accordance with the 20 Newborn Metabolic Screening Act. 21 (17) Procurement expenditures necessary for the 22 Department of Agriculture, the Department of Financial and 23 Professional Regulation, the Department of Human Services, 24 and the Department of Public Health to implement the 25 Compassionate Use of Medical Cannabis Program and Opioid 26 Alternative Pilot Program requirements and ensure access SB0020 - 27 - LRB104 07738 BDA 17783 b SB0020- 28 -LRB104 07738 BDA 17783 b SB0020 - 28 - LRB104 07738 BDA 17783 b SB0020 - 28 - LRB104 07738 BDA 17783 b 1 to medical cannabis for patients with debilitating medical 2 conditions in accordance with the Compassionate Use of 3 Medical Cannabis Program Act. 4 (18) This Code does not apply to any procurements 5 necessary for the Department of Agriculture or , the 6 Department of Financial and Professional Regulation, the 7 Department of Human Services, the Department of Commerce 8 and Economic Opportunity, and the Department of Public 9 Health to implement the Cannabis Regulation and Tax Act 10 and for the Department of Agriculture to implement the 11 Hemp Consumer Products Act, if the applicable agency has 12 made a good faith determination that it is necessary and 13 appropriate for the expenditure to fall within this 14 exemption and if the process is conducted in a manner 15 substantially in accordance with the requirements of 16 Sections 20-160, 25-60, 30-22, 50-5, 50-10, 50-10.5, 17 50-12, 50-13, 50-15, 50-20, 50-21, 50-35, 50-36, 50-37, 18 50-38, and 50-50 of this Code; however, for Section 50-35, 19 compliance applies only to contracts or subcontracts over 20 $100,000. Notice of each contract entered into under this 21 paragraph (18) that is related to the procurement of goods 22 and services identified in paragraph (1) through (9) of 23 this subsection shall be published in the Procurement 24 Bulletin within 14 calendar days after contract execution. 25 The Chief Procurement Officer shall prescribe the form and 26 content of the notice. Each agency shall provide the Chief SB0020 - 28 - LRB104 07738 BDA 17783 b SB0020- 29 -LRB104 07738 BDA 17783 b SB0020 - 29 - LRB104 07738 BDA 17783 b SB0020 - 29 - LRB104 07738 BDA 17783 b 1 Procurement Officer, on a monthly basis, in the form and 2 content prescribed by the Chief Procurement Officer, a 3 report of contracts that are related to the procurement of 4 goods and services identified in this subsection. At a 5 minimum, this report shall include the name of the 6 contractor, a description of the supply or service 7 provided, the total amount of the contract, the term of 8 the contract, and the exception to this Code utilized. A 9 copy of any or all of these contracts shall be made 10 available to the Chief Procurement Officer immediately 11 upon request. The Chief Procurement Officer shall submit a 12 report to the Governor and General Assembly no later than 13 November 1 of each year that includes, at a minimum, an 14 annual summary of the monthly information reported to the 15 Chief Procurement Officer. This exemption becomes 16 inoperative 7 5 years after June 25, 2019 (the effective 17 date of Public Act 101-27). 18 (19) Acquisition of modifications or adjustments, 19 limited to assistive technology devices and assistive 20 technology services, adaptive equipment, repairs, and 21 replacement parts to provide reasonable accommodations (i) 22 that enable a qualified applicant with a disability to 23 complete the job application process and be considered for 24 the position such qualified applicant desires, (ii) that 25 modify or adjust the work environment to enable a 26 qualified current employee with a disability to perform SB0020 - 29 - LRB104 07738 BDA 17783 b SB0020- 30 -LRB104 07738 BDA 17783 b SB0020 - 30 - LRB104 07738 BDA 17783 b SB0020 - 30 - LRB104 07738 BDA 17783 b 1 the essential functions of the position held by that 2 employee, (iii) to enable a qualified current employee 3 with a disability to enjoy equal benefits and privileges 4 of employment as are enjoyed by other similarly situated 5 employees without disabilities, and (iv) that allow a 6 customer, client, claimant, or member of the public 7 seeking State services full use and enjoyment of and 8 access to its programs, services, or benefits. 9 For purposes of this paragraph (19): 10 "Assistive technology devices" means any item, piece 11 of equipment, or product system, whether acquired 12 commercially off the shelf, modified, or customized, that 13 is used to increase, maintain, or improve functional 14 capabilities of individuals with disabilities. 15 "Assistive technology services" means any service that 16 directly assists an individual with a disability in 17 selection, acquisition, or use of an assistive technology 18 device. 19 "Qualified" has the same meaning and use as provided 20 under the federal Americans with Disabilities Act when 21 describing an individual with a disability. 22 (20) Procurement expenditures necessary for the 23 Illinois Commerce Commission to hire third-party 24 facilitators pursuant to Sections 16-105.17 and 16-108.18 25 of the Public Utilities Act or an ombudsman pursuant to 26 Section 16-107.5 of the Public Utilities Act, a SB0020 - 30 - LRB104 07738 BDA 17783 b SB0020- 31 -LRB104 07738 BDA 17783 b SB0020 - 31 - LRB104 07738 BDA 17783 b SB0020 - 31 - LRB104 07738 BDA 17783 b 1 facilitator pursuant to Section 16-105.17 of the Public 2 Utilities Act, or a grid auditor pursuant to Section 3 16-105.10 of the Public Utilities Act. 4 (21) Procurement expenditures for the purchase, 5 renewal, and expansion of software, software licenses, or 6 software maintenance agreements that support the efforts 7 of the Illinois State Police to enforce, regulate, and 8 administer the Firearm Owners Identification Card Act, the 9 Firearm Concealed Carry Act, the Firearms Restraining 10 Order Act, the Firearm Dealer License Certification Act, 11 the Law Enforcement Agencies Data System (LEADS), the 12 Uniform Crime Reporting Act, the Criminal Identification 13 Act, the Illinois Uniform Conviction Information Act, and 14 the Gun Trafficking Information Act, or establish or 15 maintain record management systems necessary to conduct 16 human trafficking investigations or gun trafficking or 17 other stolen firearm investigations. This paragraph (21) 18 applies to contracts entered into on or after January 10, 19 2023 (the effective date of Public Act 102-1116) and the 20 renewal of contracts that are in effect on January 10, 21 2023 (the effective date of Public Act 102-1116). 22 (22) Contracts for project management services and 23 system integration services required for the completion of 24 the State's enterprise resource planning project. This 25 exemption becomes inoperative 5 years after June 7, 2023 26 (the effective date of the changes made to this Section by SB0020 - 31 - LRB104 07738 BDA 17783 b SB0020- 32 -LRB104 07738 BDA 17783 b SB0020 - 32 - LRB104 07738 BDA 17783 b SB0020 - 32 - LRB104 07738 BDA 17783 b 1 Public Act 103-8). This paragraph (22) applies to 2 contracts entered into on or after June 7, 2023 (the 3 effective date of the changes made to this Section by 4 Public Act 103-8) and the renewal of contracts that are in 5 effect on June 7, 2023 (the effective date of the changes 6 made to this Section by Public Act 103-8). 7 (23) Procurements necessary for the Department of 8 Insurance to implement the Illinois Health Benefits 9 Exchange Law if the Department of Insurance has made a 10 good faith determination that it is necessary and 11 appropriate for the expenditure to fall within this 12 exemption. The procurement process shall be conducted in a 13 manner substantially in accordance with the requirements 14 of Sections 20-160 and 25-60 and Article 50 of this Code. A 15 copy of these contracts shall be made available to the 16 Chief Procurement Officer immediately upon request. This 17 paragraph is inoperative 5 years after June 27, 2023 (the 18 effective date of Public Act 103-103). 19 (24) Contracts for public education programming, 20 noncommercial sustaining announcements, public service 21 announcements, and public awareness and education 22 messaging with the nonprofit trade associations of the 23 providers of those services that inform the public on 24 immediate and ongoing health and safety risks and hazards. 25 (25) Procurements necessary for the Department of 26 Early Childhood to implement the Department of Early SB0020 - 32 - LRB104 07738 BDA 17783 b SB0020- 33 -LRB104 07738 BDA 17783 b SB0020 - 33 - LRB104 07738 BDA 17783 b SB0020 - 33 - LRB104 07738 BDA 17783 b 1 Childhood Act if the Department has made a good faith 2 determination that it is necessary and appropriate for the 3 expenditure to fall within this exemption. This exemption 4 shall only be used for products and services procured 5 solely for use by the Department of Early Childhood. The 6 procurements may include those necessary to design and 7 build integrated, operational systems of programs and 8 services. The procurements may include, but are not 9 limited to, those necessary to align and update program 10 standards, integrate funding systems, design and establish 11 data and reporting systems, align and update models for 12 technical assistance and professional development, design 13 systems to manage grants and ensure compliance, design and 14 implement management and operational structures, and 15 establish new means of engaging with families, educators, 16 providers, and stakeholders. The procurement processes 17 shall be conducted in a manner substantially in accordance 18 with the requirements of Article 50 (ethics) and Sections 19 5-5 (Procurement Policy Board), 5-7 (Commission on Equity 20 and Inclusion), 20-80 (contract files), 20-120 21 (subcontractors), 20-155 (paperwork), 20-160 22 (ethics/campaign contribution prohibitions), 25-60 23 (prevailing wage), and 25-90 (prohibited and authorized 24 cybersecurity) of this Code. Beginning January 1, 2025, 25 the Department of Early Childhood shall provide a 26 quarterly report to the General Assembly detailing a list SB0020 - 33 - LRB104 07738 BDA 17783 b SB0020- 34 -LRB104 07738 BDA 17783 b SB0020 - 34 - LRB104 07738 BDA 17783 b SB0020 - 34 - LRB104 07738 BDA 17783 b 1 of expenditures and contracts for which the Department 2 uses this exemption. This paragraph is inoperative on and 3 after July 1, 2027. 4 (26) (25) Procurements that are necessary for 5 increasing the recruitment and retention of State 6 employees, particularly minority candidates for 7 employment, including: 8 (A) procurements related to registration fees for 9 job fairs and other outreach and recruitment events; 10 (B) production of recruitment materials; and 11 (C) other services related to recruitment and 12 retention of State employees. 13 The exemption under this paragraph (26) (25) applies 14 only if the State agency has made a good faith 15 determination that it is necessary and appropriate for the 16 expenditure to fall within this paragraph (26) (25). The 17 procurement process under this paragraph (26) (25) shall 18 be conducted in a manner substantially in accordance with 19 the requirements of Sections 20-160 and 25-60 and Article 20 50 of this Code. A copy of these contracts shall be made 21 available to the Chief Procurement Officer immediately 22 upon request. Nothing in this paragraph (26) (25) 23 authorizes the replacement or diminishment of State 24 responsibilities in hiring or the positions that 25 effectuate that hiring. This paragraph (26) (25) is 26 inoperative on and after June 30, 2029. SB0020 - 34 - LRB104 07738 BDA 17783 b SB0020- 35 -LRB104 07738 BDA 17783 b SB0020 - 35 - LRB104 07738 BDA 17783 b SB0020 - 35 - LRB104 07738 BDA 17783 b 1 Notwithstanding any other provision of law, for contracts 2 with an annual value of more than $100,000 entered into on or 3 after October 1, 2017 under an exemption provided in any 4 paragraph of this subsection (b), except paragraph (1), (2), 5 or (5), each State agency shall post to the appropriate 6 procurement bulletin the name of the contractor, a description 7 of the supply or service provided, the total amount of the 8 contract, the term of the contract, and the exception to the 9 Code utilized. The chief procurement officer shall submit a 10 report to the Governor and General Assembly no later than 11 November 1 of each year that shall include, at a minimum, an 12 annual summary of the monthly information reported to the 13 chief procurement officer. 14 (c) This Code does not apply to the electric power 15 procurement process provided for under Section 1-75 of the 16 Illinois Power Agency Act and Section 16-111.5 of the Public 17 Utilities Act. This Code does not apply to the procurement of 18 technical and policy experts pursuant to Section 1-129 of the 19 Illinois Power Agency Act. 20 (d) Except for Section 20-160 and Article 50 of this Code, 21 and as expressly required by Section 9.1 of the Illinois 22 Lottery Law, the provisions of this Code do not apply to the 23 procurement process provided for under Section 9.1 of the 24 Illinois Lottery Law. 25 (e) This Code does not apply to the process used by the 26 Capital Development Board to retain a person or entity to SB0020 - 35 - LRB104 07738 BDA 17783 b SB0020- 36 -LRB104 07738 BDA 17783 b SB0020 - 36 - LRB104 07738 BDA 17783 b SB0020 - 36 - LRB104 07738 BDA 17783 b 1 assist the Capital Development Board with its duties related 2 to the determination of costs of a clean coal SNG brownfield 3 facility, as defined by Section 1-10 of the Illinois Power 4 Agency Act, as required in subsection (h-3) of Section 9-220 5 of the Public Utilities Act, including calculating the range 6 of capital costs, the range of operating and maintenance 7 costs, or the sequestration costs or monitoring the 8 construction of clean coal SNG brownfield facility for the 9 full duration of construction. 10 (f) (Blank). 11 (g) (Blank). 12 (h) This Code does not apply to the process to procure or 13 contracts entered into in accordance with Sections 11-5.2 and 14 11-5.3 of the Illinois Public Aid Code. 15 (i) Each chief procurement officer may access records 16 necessary to review whether a contract, purchase, or other 17 expenditure is or is not subject to the provisions of this 18 Code, unless such records would be subject to attorney-client 19 privilege. 20 (j) This Code does not apply to the process used by the 21 Capital Development Board to retain an artist or work or works 22 of art as required in Section 14 of the Capital Development 23 Board Act. 24 (k) This Code does not apply to the process to procure 25 contracts, or contracts entered into, by the State Board of 26 Elections or the State Electoral Board for hearing officers SB0020 - 36 - LRB104 07738 BDA 17783 b SB0020- 37 -LRB104 07738 BDA 17783 b SB0020 - 37 - LRB104 07738 BDA 17783 b SB0020 - 37 - LRB104 07738 BDA 17783 b 1 appointed pursuant to the Election Code. 2 (l) This Code does not apply to the processes used by the 3 Illinois Student Assistance Commission to procure supplies and 4 services paid for from the private funds of the Illinois 5 Prepaid Tuition Fund. As used in this subsection (l), "private 6 funds" means funds derived from deposits paid into the 7 Illinois Prepaid Tuition Trust Fund and the earnings thereon. 8 (m) This Code shall apply regardless of the source of 9 funds with which contracts are paid, including federal 10 assistance moneys. Except as specifically provided in this 11 Code, this Code shall not apply to procurement expenditures 12 necessary for the Department of Public Health to conduct the 13 Healthy Illinois Survey in accordance with Section 2310-431 of 14 the Department of Public Health Powers and Duties Law of the 15 Civil Administrative Code of Illinois. 16 (Source: P.A. 102-175, eff. 7-29-21; 102-483, eff 1-1-22; 17 102-558, eff. 8-20-21; 102-600, eff. 8-27-21; 102-662, eff. 18 9-15-21; 102-721, eff. 1-1-23; 102-813, eff. 5-13-22; 19 102-1116, eff. 1-10-23; 103-8, eff. 6-7-23; 103-103, eff. 20 6-27-23; 103-570, eff. 1-1-24; 103-580, eff. 12-8-23; 103-594, 21 eff. 6-25-24; 103-605, eff. 7-1-24; 103-865, eff. 1-1-25; 22 revised 11-26-24.) 23 Section 810. The State Finance Act is amended by changing 24 Section 6z-112 as follows: SB0020 - 37 - LRB104 07738 BDA 17783 b SB0020- 38 -LRB104 07738 BDA 17783 b SB0020 - 38 - LRB104 07738 BDA 17783 b SB0020 - 38 - LRB104 07738 BDA 17783 b 1 (30 ILCS 105/6z-112) 2 Sec. 6z-112. The Cannabis Regulation Fund. 3 (a) There is created the Cannabis Regulation Fund in the 4 State treasury, subject to appropriations unless otherwise 5 provided in this Section. All moneys collected under the 6 Cannabis Regulation and Tax Act shall be deposited into the 7 Cannabis Regulation Fund, consisting of taxes, license fees, 8 other fees, and any other amounts required to be deposited or 9 transferred into the Fund. 10 (b) Whenever the Department of Revenue determines that a 11 refund should be made under the Cannabis Regulation and Tax 12 Act to a claimant, the Department of Revenue shall submit a 13 voucher for payment to the State Comptroller, who shall cause 14 the order to be drawn for the amount specified and to the 15 person named in the notification from the Department of 16 Revenue. This subsection (b) shall constitute an irrevocable 17 and continuing appropriation of all amounts necessary for the 18 payment of refunds out of the Fund as authorized under this 19 subsection (b). 20 (c) On or before the 25th day of each calendar month, the 21 Department of Revenue shall prepare and certify to the State 22 Comptroller the transfer and allocations of stated sums of 23 money from the Cannabis Regulation Fund to other named funds 24 in the State treasury. The amount subject to transfer shall be 25 the amount of the taxes, license fees, other fees, and any 26 other amounts paid into the Fund during the second preceding SB0020 - 38 - LRB104 07738 BDA 17783 b SB0020- 39 -LRB104 07738 BDA 17783 b SB0020 - 39 - LRB104 07738 BDA 17783 b SB0020 - 39 - LRB104 07738 BDA 17783 b 1 calendar month, minus the refunds made under subsection (b) 2 during the second preceding calendar month by the Department. 3 The transfers shall be certified as follows: 4 (1) The Department of Revenue shall first determine 5 the allocations which shall remain in the Cannabis 6 Regulation Fund, subject to appropriations, to pay for the 7 direct and indirect costs associated with the 8 implementation, administration, and enforcement of the 9 Cannabis Regulation and Tax Act by the Department of 10 Revenue, the Department of State Police, the Department of 11 Financial and Professional Regulation, the Department of 12 Agriculture, the Department of Public Health, the 13 Department of Commerce and Economic Opportunity, and the 14 Illinois Criminal Justice Information Authority, and the 15 Hemp Consumer Products Act by the Department of 16 Agriculture. 17 (2) After the allocations have been made as provided 18 in paragraph (1) of this subsection (c), of the remainder 19 of the amount subject to transfer for the month as 20 determined in this subsection (c), the Department shall 21 certify the transfer into the Cannabis Expungement Fund 22 1/12 of the fiscal year amount appropriated from the 23 Cannabis Expungement Fund for payment of costs incurred by 24 State courts, the Attorney General, State's Attorneys, 25 civil legal aid, as defined by Section 15 of the Public 26 Interest Attorney Assistance Act, and the Department of SB0020 - 39 - LRB104 07738 BDA 17783 b SB0020- 40 -LRB104 07738 BDA 17783 b SB0020 - 40 - LRB104 07738 BDA 17783 b SB0020 - 40 - LRB104 07738 BDA 17783 b 1 State Police to facilitate petitions for expungement of 2 Minor Cannabis Offenses pursuant to Public Act 101-27, as 3 adjusted by any supplemental appropriation, plus 4 cumulative deficiencies in such transfers for prior 5 months. 6 (3) After the allocations have been made as provided 7 in paragraphs (1) and (2) of this subsection (c), the 8 Department of Revenue shall certify to the State 9 Comptroller and the State Treasurer shall transfer the 10 amounts that the Department of Revenue determines shall be 11 transferred into the following named funds according to 12 the following: 13 (A) 2% shall be transferred to the Drug Treatment 14 Fund to be used by the Department of Human Services 15 for: (i) developing and administering a scientifically 16 and medically accurate public education campaign 17 educating youth and adults about the health and safety 18 risks of alcohol, tobacco, illegal drug use (including 19 prescription drugs), and cannabis, including use by 20 pregnant women; and (ii) data collection and analysis 21 of the public health impacts of legalizing the 22 recreational use of cannabis. Expenditures for these 23 purposes shall be subject to appropriations. 24 (B) 8% shall be transferred to the Local 25 Government Distributive Fund and allocated as provided 26 in Section 2 of the State Revenue Sharing Act. The SB0020 - 40 - LRB104 07738 BDA 17783 b SB0020- 41 -LRB104 07738 BDA 17783 b SB0020 - 41 - LRB104 07738 BDA 17783 b SB0020 - 41 - LRB104 07738 BDA 17783 b 1 moneys shall be used to fund crime prevention 2 programs, training, and interdiction efforts, 3 including detection, enforcement, and prevention 4 efforts, relating to the illegal cannabis market and 5 driving under the influence of cannabis. 6 (C) 25% shall be transferred to the Criminal 7 Justice Information Projects Fund to be used for the 8 purposes of the Restore, Reinvest, and Renew Program 9 to address economic development, violence prevention 10 services, re-entry services, youth development, and 11 civil legal aid, as defined by Section 15 of the Public 12 Interest Attorney Assistance Act. The Restore, 13 Reinvest, and Renew Program shall address these issues 14 through targeted investments and intervention programs 15 and promotion of an employment infrastructure and 16 capacity building related to the social determinants 17 of health in impacted community areas. Expenditures 18 for these purposes shall be subject to appropriations. 19 (D) 20% shall be transferred to the Department of 20 Human Services Community Services Fund, to be used to 21 address substance abuse and prevention and mental 22 health concerns, including treatment, education, and 23 prevention to address the negative impacts of 24 substance abuse and mental health issues, including 25 concentrated poverty, violence, and the historical 26 overuse of criminal justice responses in certain SB0020 - 41 - LRB104 07738 BDA 17783 b SB0020- 42 -LRB104 07738 BDA 17783 b SB0020 - 42 - LRB104 07738 BDA 17783 b SB0020 - 42 - LRB104 07738 BDA 17783 b 1 communities, on the individual, family, and community, 2 including federal, State, and local governments, 3 health care institutions and providers, and 4 correctional facilities. Expenditures for these 5 purposes shall be subject to appropriations. 6 (E) 10% shall be transferred to the Budget 7 Stabilization Fund. 8 (F) 35%, or any remaining balance, shall be 9 transferred to the General Revenue Fund. 10 As soon as may be practical, but no later than 10 days 11 after receipt, by the State Comptroller of the transfer 12 certification provided for in this subsection (c) to be given 13 to the State Comptroller by the Department of Revenue, the 14 State Comptroller shall direct and the State Treasurer shall 15 transfer the respective amounts in accordance with the 16 directions contained in such certification. 17 (d) On July 1, 2019 the Department of Revenue shall 18 certify to the State Comptroller and the State Treasurer shall 19 transfer $5,000,000 from the Compassionate Use of Medical 20 Cannabis Fund to the Cannabis Regulation Fund. 21 (e) Notwithstanding any other law to the contrary and 22 except as otherwise provided in this Section, this Fund is not 23 subject to sweeps, administrative charge-backs, or any other 24 fiscal or budgetary maneuver that would in any way transfer 25 any amounts from this Fund into any other fund of the State. 26 (f) The Cannabis Regulation Fund shall retain a balance of SB0020 - 42 - LRB104 07738 BDA 17783 b SB0020- 43 -LRB104 07738 BDA 17783 b SB0020 - 43 - LRB104 07738 BDA 17783 b SB0020 - 43 - LRB104 07738 BDA 17783 b 1 $1,000,000 for the purposes of administrative costs. 2 (g) In Fiscal Year 2024 the allocations in subsection (c) 3 of this Section shall be reviewed and adjusted if the General 4 Assembly finds there is a greater need for funding for a 5 specific purpose in the State as it relates to Public Act 6 101-27. 7 (Source: P.A. 101-27, eff. 6-25-19; 102-558, eff. 8-20-21.) 8 Section 815. The Cannabis Regulation and Tax Act is 9 amended by changing Sections 1-10, 15-155, 55-35, 60-10, 10 60-15, and 60-20 and by adding Sections 20-60, 30-30, 35-25, 11 and 55-5.5 as follows: 12 (410 ILCS 705/1-10) 13 Sec. 1-10. Definitions. In this Act: 14 "Adult Use Cultivation Center License" means a license 15 issued by the Department of Agriculture that permits a person 16 to act as a cultivation center under this Act and any 17 administrative rule made in furtherance of this Act. 18 "Adult Use Dispensing Organization License" means a 19 license issued by the Department of Financial and Professional 20 Regulation that permits a person to act as a dispensing 21 organization under this Act and any administrative rule made 22 in furtherance of this Act. 23 "Advertise" means to engage in promotional activities 24 including, but not limited to: newspaper, radio, Internet and SB0020 - 43 - LRB104 07738 BDA 17783 b SB0020- 44 -LRB104 07738 BDA 17783 b SB0020 - 44 - LRB104 07738 BDA 17783 b SB0020 - 44 - LRB104 07738 BDA 17783 b 1 electronic media, and television advertising; the distribution 2 of fliers and circulars; billboard advertising; and the 3 display of window and interior signs. "Advertise" does not 4 mean exterior signage displaying only the name of the licensed 5 cannabis business establishment. 6 "Application points" means the number of points a 7 Dispensary Applicant receives on an application for a 8 Conditional Adult Use Dispensing Organization License. 9 "BLS Region" means a region in Illinois used by the United 10 States Bureau of Labor Statistics to gather and categorize 11 certain employment and wage data. The 17 such regions in 12 Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion, 13 Champaign-Urbana, Chicago-Naperville-Elgin, Danville, 14 Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria, 15 Rockford, St. Louis, Springfield, Northwest Illinois 16 nonmetropolitan area, West Central Illinois nonmetropolitan 17 area, East Central Illinois nonmetropolitan area, and South 18 Illinois nonmetropolitan area. 19 "By lot" means a randomized method of choosing between 2 20 or more Eligible Tied Applicants or 2 or more Qualifying 21 Applicants. 22 "Cannabis" means marijuana, hashish, and other substances 23 that are identified as including any parts of the plant 24 Cannabis sativa and including derivatives or subspecies, such 25 as indica, of all strains of cannabis, whether growing or not; 26 the seeds thereof, the resin extracted from any part of the SB0020 - 44 - LRB104 07738 BDA 17783 b SB0020- 45 -LRB104 07738 BDA 17783 b SB0020 - 45 - LRB104 07738 BDA 17783 b SB0020 - 45 - LRB104 07738 BDA 17783 b 1 plant; and any compound, manufacture, salt, derivative, 2 mixture, or preparation of the plant, its seeds, or resin, 3 including tetrahydrocannabinol (THC) and all other naturally 4 produced cannabinol derivatives, whether produced directly or 5 indirectly by extraction, including, but not limited to, any 6 structural, optical, or geometric isomers of THC, or any 7 chemical compound that mimics THC; however, "cannabis" does 8 not include the mature stalks of the plant, fiber produced 9 from the stalks, oil or cake made from the seeds of the plant, 10 any other compound, manufacture, salt, derivative, mixture, or 11 preparation of the mature stalks (except the resin extracted 12 from it), fiber, oil or cake, or the sterilized seed of the 13 plant that is incapable of germination. "Cannabis" does not 14 include industrial hemp as defined and authorized under the 15 Industrial Hemp Act. "Cannabis" also means cannabis flower, 16 concentrate, and cannabis-infused products and any product 17 whether derived from natural or synthetic sources with a THC 18 concentration greater than the THC limit set forth in the 19 definition of Hemp consumer CBD product in the Hemp Consumer 20 Products Act. 21 "Cannabis business establishment" means a cultivation 22 center, craft grower, processing organization, infuser 23 organization, dispensing organization, or transporting 24 organization. 25 "Cannabis concentrate" means a product derived from 26 cannabis that is produced by extracting cannabinoids, SB0020 - 45 - LRB104 07738 BDA 17783 b SB0020- 46 -LRB104 07738 BDA 17783 b SB0020 - 46 - LRB104 07738 BDA 17783 b SB0020 - 46 - LRB104 07738 BDA 17783 b 1 including tetrahydrocannabinol (THC), from the plant through 2 the use of propylene glycol, glycerin, butter, olive oil, or 3 other typical cooking fats; water, ice, or dry ice; or butane, 4 propane, CO2, ethanol, or isopropanol and with the intended 5 use of smoking or making a cannabis-infused product. The use 6 of any other solvent is expressly prohibited unless and until 7 it is approved by the Department of Agriculture. 8 "Cannabis container" means a sealed or resealable, 9 traceable, container, or package used for the purpose of 10 containment of cannabis or cannabis-infused product during 11 transportation. 12 "Cannabis flower" means marijuana, hashish, and other 13 substances that are identified as including any parts of the 14 plant Cannabis sativa and including derivatives or subspecies, 15 such as indica, of all strains of cannabis; including raw 16 kief, leaves, and buds, but not resin that has been extracted 17 from any part of such plant; nor any compound, manufacture, 18 salt, derivative, mixture, or preparation of such plant, its 19 seeds, or resin. 20 "Cannabis-infused product" means a beverage, food, oil, 21 ointment, tincture, topical formulation, or another product 22 containing cannabis or cannabis concentrate that is not 23 intended to be smoked. 24 "Cannabis paraphernalia" means equipment, products, or 25 materials intended to be used for planting, propagating, 26 cultivating, growing, harvesting, manufacturing, producing, SB0020 - 46 - LRB104 07738 BDA 17783 b SB0020- 47 -LRB104 07738 BDA 17783 b SB0020 - 47 - LRB104 07738 BDA 17783 b SB0020 - 47 - LRB104 07738 BDA 17783 b 1 processing, preparing, testing, analyzing, packaging, 2 repackaging, storing, containing, concealing, ingesting, or 3 otherwise introducing cannabis into the human body. 4 "Cannabis plant monitoring system" or "plant monitoring 5 system" means a system that includes, but is not limited to, 6 testing and data collection established and maintained by the 7 cultivation center, craft grower, or processing organization 8 and that is available to the Department of Revenue, the 9 Department of Agriculture, the Department of Financial and 10 Professional Regulation, and the Illinois State Police for the 11 purposes of documenting each cannabis plant and monitoring 12 plant development throughout the life cycle of a cannabis 13 plant cultivated for the intended use by a customer from seed 14 planting to final packaging. 15 "Cannabis testing facility" means an entity registered by 16 the Department of Agriculture to test cannabis for potency and 17 contaminants. 18 "Clone" means a plant section from a female cannabis plant 19 not yet rootbound, growing in a water solution or other 20 propagation matrix, that is capable of developing into a new 21 plant. 22 "Community College Cannabis Vocational Training Pilot 23 Program faculty participant" means a person who is 21 years of 24 age or older, licensed by the Department of Agriculture, and 25 is employed or contracted by an Illinois community college to 26 provide student instruction using cannabis plants at an SB0020 - 47 - LRB104 07738 BDA 17783 b SB0020- 48 -LRB104 07738 BDA 17783 b SB0020 - 48 - LRB104 07738 BDA 17783 b SB0020 - 48 - LRB104 07738 BDA 17783 b 1 Illinois community college Community College. 2 "Community College Cannabis Vocational Training Pilot 3 Program faculty participant Agent Identification Card" means a 4 document issued by the Department of Agriculture that 5 identifies a person as a Community College Cannabis Vocational 6 Training Pilot Program faculty participant. 7 "Conditional Adult Use Dispensing Organization License" 8 means a contingent license awarded to applicants for an Adult 9 Use Dispensing Organization License that reserves the right to 10 an Adult Use Dispensing Organization License if the applicant 11 meets certain conditions described in this Act, but does not 12 entitle the recipient to begin purchasing or selling cannabis 13 or cannabis-infused products. 14 "Conditional Adult Use Cultivation Center License" means a 15 license awarded to top-scoring applicants for an Adult Use 16 Cultivation Center License that reserves the right to an Adult 17 Use Cultivation Center License if the applicant meets certain 18 conditions as determined by the Department of Agriculture by 19 rule, but does not entitle the recipient to begin growing, 20 processing, or selling cannabis or cannabis-infused products. 21 "Craft grower" means a facility operated by an 22 organization or business that is licensed by the Department of 23 Agriculture to cultivate, dry, cure, and package cannabis and 24 perform other necessary activities to make cannabis available 25 for sale at a dispensing organization or use at a processing 26 organization. A craft grower may contain up to 5,000 square SB0020 - 48 - LRB104 07738 BDA 17783 b SB0020- 49 -LRB104 07738 BDA 17783 b SB0020 - 49 - LRB104 07738 BDA 17783 b SB0020 - 49 - LRB104 07738 BDA 17783 b 1 feet of canopy space on its premises for plants in the 2 flowering state. The Department of Agriculture may authorize 3 an increase or decrease of flowering stage cultivation space 4 in increments of 3,000 square feet by rule based on market 5 need, craft grower capacity, and the licensee's history of 6 compliance or noncompliance, with a maximum space of 14,000 7 square feet for cultivating plants in the flowering stage, 8 which must be cultivated in all stages of growth in an enclosed 9 and secure area. A craft grower may share premises with a 10 processing organization or a dispensing organization, or both, 11 provided each licensee stores currency and cannabis or 12 cannabis-infused products in a separate secured vault to which 13 the other licensee does not have access or all licensees 14 sharing a vault share more than 50% of the same ownership. 15 "Craft grower agent" means a principal officer, board 16 member, employee, or other agent of a craft grower who is 21 17 years of age or older. 18 "Craft Grower Agent Identification Card" means a document 19 issued by the Department of Agriculture that identifies a 20 person as a craft grower agent. 21 "Cultivation center" means a facility operated by an 22 organization or business that is licensed by the Department of 23 Agriculture to cultivate, process, transport (unless otherwise 24 limited by this Act), and perform other necessary activities 25 to provide cannabis and cannabis-infused products to cannabis 26 business establishments. SB0020 - 49 - LRB104 07738 BDA 17783 b SB0020- 50 -LRB104 07738 BDA 17783 b SB0020 - 50 - LRB104 07738 BDA 17783 b SB0020 - 50 - LRB104 07738 BDA 17783 b 1 "Cultivation center agent" means a principal officer, 2 board member, employee, or other agent of a cultivation center 3 who is 21 years of age or older. 4 "Cultivation Center Agent Identification Card" means a 5 document issued by the Department of Agriculture that 6 identifies a person as a cultivation center agent. 7 "Currency" means currency and coin of the United States. 8 "Dispensary" means a facility operated by a dispensing 9 organization at which activities licensed by this Act may 10 occur. 11 "Dispensary Applicant" means the Proposed Dispensing 12 Organization Name as stated on an application for a 13 Conditional Adult Use Dispensing Organization License. 14 "Dispensing organization" means a facility operated by an 15 organization or business that is licensed by the Department of 16 Financial and Professional Regulation to acquire cannabis from 17 a cultivation center, craft grower, processing organization, 18 or another dispensary for the purpose of selling or dispensing 19 cannabis, cannabis-infused products, cannabis seeds, 20 paraphernalia, or related supplies under this Act to 21 purchasers or to qualified registered medical cannabis 22 patients and caregivers. As used in this Act, "dispensing 23 organization" includes a registered medical cannabis 24 organization as defined in the Compassionate Use of Medical 25 Cannabis Program Act or its successor Act that has obtained an 26 Early Approval Adult Use Dispensing Organization License. SB0020 - 50 - LRB104 07738 BDA 17783 b SB0020- 51 -LRB104 07738 BDA 17783 b SB0020 - 51 - LRB104 07738 BDA 17783 b SB0020 - 51 - LRB104 07738 BDA 17783 b 1 "Dispensing organization agent" means a principal officer, 2 employee, or agent of a dispensing organization who is 21 3 years of age or older. 4 "Dispensing organization agent identification card" means 5 a document issued by the Department of Financial and 6 Professional Regulation that identifies a person as a 7 dispensing organization agent. 8 "Disproportionately Impacted Area" means a census tract or 9 comparable geographic area that satisfies the following 10 criteria as determined by the Department of Commerce and 11 Economic Opportunity, that: 12 (1) meets at least one of the following criteria: 13 (A) the area has a poverty rate of at least 20% 14 according to the latest federal decennial census; or 15 (B) 75% or more of the children in the area 16 participate in the federal free lunch program 17 according to reported statistics from the State Board 18 of Education; or 19 (C) at least 20% of the households in the area 20 receive assistance under the Supplemental Nutrition 21 Assistance Program; or 22 (D) the area has an average unemployment rate, as 23 determined by the Illinois Department of Employment 24 Security, that is more than 120% of the national 25 unemployment average, as determined by the United 26 States Department of Labor, for a period of at least 2 SB0020 - 51 - LRB104 07738 BDA 17783 b SB0020- 52 -LRB104 07738 BDA 17783 b SB0020 - 52 - LRB104 07738 BDA 17783 b SB0020 - 52 - LRB104 07738 BDA 17783 b 1 consecutive calendar years preceding the date of the 2 application; and 3 (2) has high rates of arrest, conviction, and 4 incarceration related to the sale, possession, use, 5 cultivation, manufacture, or transport of cannabis. 6 "Early Approval Adult Use Cultivation Center License" 7 means a license that permits a medical cannabis cultivation 8 center licensed under the Compassionate Use of Medical 9 Cannabis Program Act as of the effective date of this Act to 10 begin cultivating, infusing, packaging, transporting (unless 11 otherwise provided in this Act), processing, and selling 12 cannabis or cannabis-infused product to cannabis business 13 establishments for resale to purchasers as permitted by this 14 Act as of January 1, 2020. 15 "Early Approval Adult Use Dispensing Organization License" 16 means a license that permits a medical cannabis dispensing 17 organization licensed under the Compassionate Use of Medical 18 Cannabis Program Act as of the effective date of this Act to 19 begin selling cannabis or cannabis-infused product to 20 purchasers as permitted by this Act as of January 1, 2020. 21 "Early Approval Adult Use Dispensing Organization at a 22 secondary site" means a license that permits a medical 23 cannabis dispensing organization licensed under the 24 Compassionate Use of Medical Cannabis Program Act as of the 25 effective date of this Act to begin selling cannabis or 26 cannabis-infused product to purchasers as permitted by this SB0020 - 52 - LRB104 07738 BDA 17783 b SB0020- 53 -LRB104 07738 BDA 17783 b SB0020 - 53 - LRB104 07738 BDA 17783 b SB0020 - 53 - LRB104 07738 BDA 17783 b 1 Act on January 1, 2020 at a different dispensary location from 2 its existing registered medical dispensary location. 3 "Eligible Tied Applicant" means a Tied Applicant that is 4 eligible to participate in the process by which a remaining 5 available license is distributed by lot pursuant to a Tied 6 Applicant Lottery. 7 "Enclosed, locked facility" means a room, greenhouse, 8 building, or other enclosed area equipped with locks or other 9 security devices that permit access only by cannabis business 10 establishment agents working for the licensed cannabis 11 business establishment or acting pursuant to this Act to 12 cultivate, process, store, or distribute cannabis. 13 "Enclosed, locked space" means a closet, room, greenhouse, 14 building, or other enclosed area equipped with locks or other 15 security devices that permit access only by authorized 16 individuals under this Act. "Enclosed, locked space" may 17 include: 18 (1) a space within a residential building that (i) is 19 the primary residence of the individual cultivating 5 or 20 fewer cannabis plants that are more than 5 inches tall and 21 (ii) includes sleeping quarters and indoor plumbing. The 22 space must only be accessible by a key or code that is 23 different from any key or code that can be used to access 24 the residential building from the exterior; or 25 (2) a structure, such as a shed or greenhouse, that 26 lies on the same plot of land as a residential building SB0020 - 53 - LRB104 07738 BDA 17783 b SB0020- 54 -LRB104 07738 BDA 17783 b SB0020 - 54 - LRB104 07738 BDA 17783 b SB0020 - 54 - LRB104 07738 BDA 17783 b 1 that (i) includes sleeping quarters and indoor plumbing 2 and (ii) is used as a primary residence by the person 3 cultivating 5 or fewer cannabis plants that are more than 4 5 inches tall, such as a shed or greenhouse. The structure 5 must remain locked when it is unoccupied by people. 6 "Financial institution" has the same meaning as "financial 7 organization" as defined in Section 1501 of the Illinois 8 Income Tax Act, and also includes the holding companies, 9 subsidiaries, and affiliates of such financial organizations. 10 "Flowering stage" means the stage of cultivation where and 11 when a cannabis plant is cultivated to produce plant material 12 for cannabis products. This includes mature plants as follows: 13 (1) if greater than 2 stigmas are visible at each 14 internode of the plant; or 15 (2) if the cannabis plant is in an area that has been 16 intentionally deprived of light for a period of time 17 intended to produce flower buds and induce maturation, 18 from the moment the light deprivation began through the 19 remainder of the marijuana plant growth cycle. 20 "Individual" means a natural person. 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 SB0020 - 54 - LRB104 07738 BDA 17783 b SB0020- 55 -LRB104 07738 BDA 17783 b SB0020 - 55 - LRB104 07738 BDA 17783 b SB0020 - 55 - LRB104 07738 BDA 17783 b 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 SB0020 - 55 - LRB104 07738 BDA 17783 b SB0020- 56 -LRB104 07738 BDA 17783 b SB0020 - 56 - LRB104 07738 BDA 17783 b SB0020 - 56 - LRB104 07738 BDA 17783 b 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 SB0020 - 56 - LRB104 07738 BDA 17783 b SB0020- 57 -LRB104 07738 BDA 17783 b SB0020 - 57 - LRB104 07738 BDA 17783 b SB0020 - 57 - LRB104 07738 BDA 17783 b 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 SB0020 - 57 - LRB104 07738 BDA 17783 b SB0020- 58 -LRB104 07738 BDA 17783 b SB0020 - 58 - LRB104 07738 BDA 17783 b SB0020 - 58 - LRB104 07738 BDA 17783 b 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. SB0020 - 58 - LRB104 07738 BDA 17783 b SB0020- 59 -LRB104 07738 BDA 17783 b SB0020 - 59 - LRB104 07738 BDA 17783 b SB0020 - 59 - LRB104 07738 BDA 17783 b 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 SB0020 - 59 - LRB104 07738 BDA 17783 b SB0020- 60 -LRB104 07738 BDA 17783 b SB0020 - 60 - LRB104 07738 BDA 17783 b SB0020 - 60 - LRB104 07738 BDA 17783 b 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 SB0020 - 60 - LRB104 07738 BDA 17783 b SB0020- 61 -LRB104 07738 BDA 17783 b SB0020 - 61 - LRB104 07738 BDA 17783 b SB0020 - 61 - LRB104 07738 BDA 17783 b 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 "Tetrahydrocannabinol" or "THC" means any naturally 5 occurring or synthetic tetrahydrocannabinol, including its 6 salts, isomers, and salts of isomers whenever the existence of 7 such salts, isomers, and salts of isomers is possible within 8 the specific chemical designation and any preparation, 9 mixture, or substance containing, or mixed or infused with, 10 any detectable amount of tetrahydrocannabinol or 11 tetrahydrocannabolic acid, including, but not limited to, 12 delta-8-tetrahydrocannabinol, delta-9-tetrahydrocannabinol, 13 delta-10-tetrahydrocannabinol, tetrahydrocannabolic acid, 14 tetrahydrocannabiphorol, or hexahydrocannabinol, however 15 derived, or any other substance determined to have similar 16 intoxicating effects on the mind or body by the Department. 17 For the purposes of this definition, "isomer" means the 18 optical, position, and geometric isomers. 19 "Tied Applicant" means an application submitted by a 20 Dispensary Applicant pursuant to Section 15-30 that received 21 the same number of application points under Section 15-30 as 22 the Dispensary Applicant's final score as one or more 23 top-scoring applications in the same BLS Region and would have 24 been awarded a license but for the one or more other 25 top-scoring applications that received the same number of 26 application points. Each application for which a Dispensary SB0020 - 61 - LRB104 07738 BDA 17783 b SB0020- 62 -LRB104 07738 BDA 17783 b SB0020 - 62 - LRB104 07738 BDA 17783 b SB0020 - 62 - LRB104 07738 BDA 17783 b 1 Applicant was required to pay a required application fee for 2 the application period ending January 2, 2020 shall be 3 considered an application of a separate Tied Applicant. 4 "Tied Applicant Lottery" means the process established 5 under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult 6 Use Dispensing Organization Licenses pursuant to Sections 7 15-25 and 15-30 among Eligible Tied Applicants. 8 "Tincture" means a cannabis-infused solution, typically 9 comprised of alcohol, glycerin, or vegetable oils, derived 10 either directly from the cannabis plant or from a processed 11 cannabis extract. A tincture is not an alcoholic liquor as 12 defined in the Liquor Control Act of 1934. A tincture shall 13 include a calibrated dropper or other similar device capable 14 of accurately measuring servings. 15 "Transporting organization" or "transporter" means an 16 organization or business that is licensed by the Department of 17 Agriculture to transport cannabis or cannabis-infused product 18 on behalf of a cannabis business establishment or a community 19 college licensed under the Community College Cannabis 20 Vocational Training Pilot Program. 21 "Transporting organization agent" means a principal 22 officer, board member, employee, or agent of a transporting 23 organization. 24 "Transporting organization agent identification card" 25 means a document issued by the Department of Agriculture that 26 identifies a person as a transporting organization agent. SB0020 - 62 - LRB104 07738 BDA 17783 b SB0020- 63 -LRB104 07738 BDA 17783 b SB0020 - 63 - LRB104 07738 BDA 17783 b SB0020 - 63 - LRB104 07738 BDA 17783 b 1 "Unit of local government" means any county, city, 2 village, or incorporated town. 3 "Vegetative stage" means the stage of cultivation in which 4 a cannabis plant is propagated to produce additional cannabis 5 plants or reach a sufficient size for production. This 6 includes seedlings, clones, mothers, and other immature 7 cannabis plants as follows: 8 (1) if the cannabis plant is in an area that has not 9 been intentionally deprived of light for a period of time 10 intended to produce flower buds and induce maturation, it 11 has no more than 2 stigmas visible at each internode of the 12 cannabis plant; or 13 (2) any cannabis plant that is cultivated solely for 14 the purpose of propagating clones and is never used to 15 produce cannabis. 16 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 17 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. 18 5-13-22.) 19 (410 ILCS 705/15-155) 20 Sec. 15-155. Unlicensed practice; violation; civil 21 penalty. 22 (a) In addition to any other penalty provided by law, any 23 person who practices, offers to practice, attempts to 24 practice, or holds oneself out to practice as a licensed 25 dispensing organization owner, principal officer, SB0020 - 63 - LRB104 07738 BDA 17783 b SB0020- 64 -LRB104 07738 BDA 17783 b SB0020 - 64 - LRB104 07738 BDA 17783 b SB0020 - 64 - LRB104 07738 BDA 17783 b 1 agent-in-charge, or agent, cultivates, processes, distributes, 2 sells, or offers for sale cannabis, cannabis-infused products, 3 cannabis concentrates, or cannabis flower without being 4 licensed under this Act shall, in addition to any other 5 penalty provided by law, pay a civil penalty to the Department 6 of Financial and Professional Regulation in an amount not to 7 exceed $10,000 for each offense as determined by the 8 Department. Each day a person engages in unlicensed practice 9 in violation of the provisions of this Section constitutes a 10 separate offense. The civil penalty shall be assessed by the 11 Department after a hearing is held in accordance with the 12 provisions set forth in this Act regarding the provision of a 13 hearing for the discipline of a licensee. 14 (b) The Department, the Attorney General, any State or 15 local law enforcement agency, or any State's Attorney has the 16 authority and power to investigate any and all unlicensed 17 activity. 18 (c) The civil penalty shall be paid within 60 days after 19 the effective date of the order imposing the civil penalty or 20 in accordance with the order imposing the civil penalty. The 21 order shall constitute a judgment and may be filed and 22 execution had thereon in the same manner as any judgment from 23 any court of this State. 24 (d) A violation of subsection (a) is an unlawful practice 25 under Section 2 of the Consumer Fraud and Deceptive Business 26 Practices Act. All remedies, penalties, and authority granted SB0020 - 64 - LRB104 07738 BDA 17783 b SB0020- 65 -LRB104 07738 BDA 17783 b SB0020 - 65 - LRB104 07738 BDA 17783 b SB0020 - 65 - LRB104 07738 BDA 17783 b 1 to the Attorney General under that Act shall be available for 2 the enforcement of this Act. 3 (e) Nothing in this Section prohibits a unit of local 4 government from enacting a local law or ordinance to carry out 5 enforcement activities and assess civil penalties against 6 unlicensed cannabis sales. 7 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) 8 (410 ILCS 705/20-60 new) 9 Sec. 20-60. Unlicensed practice; violation; civil penalty. 10 (a) In addition to any other penalty provided by law, any 11 person who practices, offers to practice, attempts to 12 practice, or holds oneself out to practice as a licensed 13 cultivation center, infuser, or craft grower owner, principal 14 officer, agent-in-charge, or agent or who cultivates, 15 processes, distributes, sells, or offers for sale cannabis, 16 cannabis-infused products, cannabis concentrates, or cannabis 17 flower without being licensed under this Act shall, in 18 addition to any other penalty provided by law, pay a civil 19 penalty to the Department of Agriculture in an amount not to 20 exceed $10,000 for each offense. Each day any person engages 21 in unlicensed practice in violation of the provisions of this 22 Section constitutes a separate offense. The civil penalty 23 shall be assessed by the Department after a hearing is held in 24 accordance with the provisions set forth in this Act regarding 25 hearings for the discipline of a licensee. SB0020 - 65 - LRB104 07738 BDA 17783 b SB0020- 66 -LRB104 07738 BDA 17783 b SB0020 - 66 - LRB104 07738 BDA 17783 b SB0020 - 66 - LRB104 07738 BDA 17783 b 1 (b) The Department, the Attorney General, any State or 2 local law enforcement agency, or any State's Attorney has the 3 authority and power to investigate any and all unlicensed 4 activity. 5 (c) The civil penalty shall be paid within 60 days after 6 the effective date of the order imposing the civil penalty or 7 in accordance with the order imposing the civil penalty. The 8 order shall constitute a judgment and may be filed and 9 execution had thereon in the same manner as any judgment from 10 any court of this State. 11 (d) In addition to any other remedies or penalties 12 provided by law, a unit of local government may suspend or 13 revoke any locally established licenses held by the person, 14 and prohibit the person from further operations and seize any 15 cannabis or THC product. 16 (410 ILCS 705/30-30) 17 Sec. 30-30. Craft grower requirements; prohibitions. 18 (a) The operating documents of a craft grower shall 19 include procedures for the oversight of the craft grower, a 20 cannabis plant monitoring system including a physical 21 inventory recorded weekly, accurate recordkeeping, and a 22 staffing plan. 23 (b) A craft grower shall implement a security plan 24 reviewed by the Illinois State Police that includes, but is 25 not limited to: facility access controls, perimeter intrusion SB0020 - 66 - LRB104 07738 BDA 17783 b SB0020- 67 -LRB104 07738 BDA 17783 b SB0020 - 67 - LRB104 07738 BDA 17783 b SB0020 - 67 - LRB104 07738 BDA 17783 b 1 detection systems, personnel identification systems, and a 2 24-hour surveillance system to monitor the interior and 3 exterior of the craft grower facility and that is accessible 4 to authorized law enforcement and the Department of 5 Agriculture in real time. 6 (c) All cultivation of cannabis by a craft grower must 7 take place in an enclosed, locked facility at the physical 8 address provided to the Department of Agriculture during the 9 licensing process. The craft grower location shall only be 10 accessed by the agents working for the craft grower, the 11 Department of Agriculture staff performing inspections, the 12 Department of Public Health staff performing inspections, 13 State and local law enforcement or other emergency personnel, 14 contractors working on jobs unrelated to cannabis, such as 15 installing or maintaining security devices or performing 16 electrical wiring, transporting organization agents as 17 provided in this Act, or participants in the incubator 18 program, individuals in a mentoring or educational program 19 approved by the State, or other individuals as provided by 20 rule. However, if a craft grower shares a premises with an 21 infuser or dispensing organization, agents from those other 22 licensees may access the craft grower portion of the premises 23 if that is the location of common bathrooms, lunchrooms, 24 locker rooms, or other areas of the building where work or 25 cultivation of cannabis is not performed. At no time may an 26 infuser or dispensing organization agent perform work at a SB0020 - 67 - LRB104 07738 BDA 17783 b SB0020- 68 -LRB104 07738 BDA 17783 b SB0020 - 68 - LRB104 07738 BDA 17783 b SB0020 - 68 - LRB104 07738 BDA 17783 b 1 craft grower without being a registered agent of the craft 2 grower. 3 (d) A craft grower may not sell or distribute any cannabis 4 to any person other than a cultivation center, a craft grower, 5 an infuser organization, a dispensing organization, or as 6 otherwise authorized by rule. 7 (e) A craft grower may not be located in an area zoned for 8 residential use. 9 (f) A craft grower may not either directly or indirectly 10 discriminate in price between different cannabis business 11 establishments that are purchasing a like grade, strain, 12 brand, and quality of cannabis or cannabis-infused product. 13 Nothing in this subsection (f) prevents a craft grower from 14 pricing cannabis differently based on differences in the cost 15 of manufacturing or processing, the quantities sold, such as 16 volume discounts, or the way the products are delivered. 17 (g) All cannabis harvested by a craft grower and intended 18 for distribution to a dispensing organization must be entered 19 into a data collection system, packaged and labeled under 20 Section 55-21, and, if distribution is to a dispensing 21 organization that does not share a premises with the 22 dispensing organization receiving the cannabis, placed into a 23 cannabis container for transport. All cannabis harvested by a 24 craft grower and intended for distribution to a cultivation 25 center, to an infuser organization, or to a craft grower with 26 which it does not share a premises, must be packaged in a SB0020 - 68 - LRB104 07738 BDA 17783 b SB0020- 69 -LRB104 07738 BDA 17783 b SB0020 - 69 - LRB104 07738 BDA 17783 b SB0020 - 69 - LRB104 07738 BDA 17783 b 1 labeled cannabis container and entered into a data collection 2 system before transport. 3 (h) Craft growers are subject to random inspections by the 4 Department of Agriculture, local safety or health inspectors, 5 the Illinois State Police, or as provided by rule. 6 (i) A craft grower agent shall notify local law 7 enforcement, the Illinois State Police, and the Department of 8 Agriculture within 24 hours of the discovery of any loss or 9 theft. Notification shall be made by phone, in person, or 10 written or electronic communication. 11 (j) A craft grower shall comply with all State and any 12 applicable federal rules and regulations regarding the use of 13 pesticides. 14 (k) A craft grower or craft grower agent shall not 15 transport cannabis or cannabis-infused products to any other 16 cannabis business establishment without a transport 17 organization license unless: 18 (i) If the craft grower is located in a county with a 19 population of 3,000,000 or more, the cannabis business 20 establishment receiving the cannabis is within 2,000 feet 21 of the property line of the craft grower; 22 (ii) If the craft grower is located in a county with a 23 population of more than 700,000 but fewer than 3,000,000, 24 the cannabis business establishment receiving the cannabis 25 is within 2 miles of the craft grower; or 26 (iii) If the craft grower is located in a county with a SB0020 - 69 - LRB104 07738 BDA 17783 b SB0020- 70 -LRB104 07738 BDA 17783 b SB0020 - 70 - LRB104 07738 BDA 17783 b SB0020 - 70 - LRB104 07738 BDA 17783 b 1 population of fewer than 700,000, the cannabis business 2 establishment receiving the cannabis is within 15 miles of 3 the craft grower. 4 (l) A craft grower may enter into a contract with a 5 transporting organization to transport cannabis to a 6 cultivation center, a craft grower, an infuser organization, a 7 dispensing organization, or a laboratory. 8 (m) No person or entity shall hold any legal, equitable, 9 ownership, or beneficial interest, directly or indirectly, of 10 more than 3 craft grower licenses. Further, no person or 11 entity that is employed by, an agent of, or has a contract to 12 receive payment from or participate in the management of a 13 craft grower, is a principal officer of a craft grower, or 14 entity controlled by or affiliated with a principal officer of 15 a craft grower shall hold any legal, equitable, ownership, or 16 beneficial interest, directly or indirectly, in a craft grower 17 license that would result in the person or entity owning or 18 controlling in combination with any craft grower, principal 19 officer of a craft grower, or entity controlled or affiliated 20 with a principal officer of a craft grower by which he, she, or 21 it is employed, is an agent of, or participates in the 22 management of more than 3 craft grower licenses. 23 (n) It is unlawful for any person having a craft grower 24 license or any officer, associate, member, representative, or 25 agent of the licensee to offer or deliver money, or anything 26 else of value, directly or indirectly, to any person having an SB0020 - 70 - LRB104 07738 BDA 17783 b SB0020- 71 -LRB104 07738 BDA 17783 b SB0020 - 71 - LRB104 07738 BDA 17783 b SB0020 - 71 - LRB104 07738 BDA 17783 b 1 Early Approval Adult Use Dispensing Organization License, a 2 Conditional Adult Use Dispensing Organization License, an 3 Adult Use Dispensing Organization License, or a medical 4 cannabis dispensing organization license issued under the 5 Compassionate Use of Medical Cannabis Program Act, or to any 6 person connected with or in any way representing, or to any 7 member of the family of, the person holding an Early Approval 8 Adult Use Dispensing Organization License, a Conditional Adult 9 Use Dispensing Organization License, an Adult Use Dispensing 10 Organization License, or a medical cannabis dispensing 11 organization license issued under the Compassionate Use of 12 Medical Cannabis Program Act, or to any stockholders in any 13 corporation engaged in the retail sale of cannabis, or to any 14 officer, manager, agent, or representative of the Early 15 Approval Adult Use Dispensing Organization License, a 16 Conditional Adult Use Dispensing Organization License, an 17 Adult Use Dispensing Organization License, or a medical 18 cannabis dispensing organization license issued under the 19 Compassionate Use of Medical Cannabis Program Act to obtain 20 preferential placement within the dispensing organization, 21 including, without limitation, on shelves and in display cases 22 where purchasers can view products, or on the dispensing 23 organization's website. 24 (o) A craft grower shall not be located within 1,500 feet 25 of another craft grower or a cultivation center. 26 (p) A craft grower may process cannabis, cannabis SB0020 - 71 - LRB104 07738 BDA 17783 b SB0020- 72 -LRB104 07738 BDA 17783 b SB0020 - 72 - LRB104 07738 BDA 17783 b SB0020 - 72 - LRB104 07738 BDA 17783 b 1 concentrates, and cannabis-infused products. 2 (q) A craft grower must comply with any other requirements 3 or prohibitions set by administrative rule of the Department 4 of Agriculture. 5 (r) A craft grower may purchase a hemp-derived 6 intoxicating product from a hemp consumer product manufacturer 7 and offer a hemp-derived intoxicating product for sale to 8 another cannabis business establishment. Once a hemp-derived 9 intoxicating product is delivered to a craft grower, it is 10 considered cannabis and the craft grower is responsible for 11 ensuring the product meets all requirements of this Act. 12 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 13 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. 14 5-13-22.) 15 (410 ILCS 705/35-25) 16 Sec. 35-25. Infuser organization requirements; 17 prohibitions. 18 (a) The operating documents of an infuser shall include 19 procedures for the oversight of the infuser, an inventory 20 monitoring system including a physical inventory recorded 21 weekly, accurate recordkeeping, and a staffing plan. 22 (b) An infuser shall implement a security plan reviewed by 23 the Illinois State Police that includes, but is not limited 24 to: facility access controls, perimeter intrusion detection 25 systems, personnel identification systems, and a 24-hour SB0020 - 72 - LRB104 07738 BDA 17783 b SB0020- 73 -LRB104 07738 BDA 17783 b SB0020 - 73 - LRB104 07738 BDA 17783 b SB0020 - 73 - LRB104 07738 BDA 17783 b 1 surveillance system to monitor the interior and exterior of 2 the infuser facility and that is accessible to authorized law 3 enforcement, the Department of Public Health, and the 4 Department of Agriculture in real time. 5 (c) All processing of cannabis by an infuser must take 6 place in an enclosed, locked facility at the physical address 7 provided to the Department of Agriculture during the licensing 8 process. The infuser location shall only be accessed by the 9 agents working for the infuser, the Department of Agriculture 10 staff performing inspections, the Department of Public Health 11 staff performing inspections, State and local law enforcement 12 or other emergency personnel, contractors working on jobs 13 unrelated to cannabis, such as installing or maintaining 14 security devices or performing electrical wiring, transporting 15 organization agents as provided in this Act, participants in 16 the incubator program, individuals in a mentoring or 17 educational program approved by the State, local safety or 18 health inspectors, or other individuals as provided by rule. 19 However, if an infuser shares a premises with a craft grower or 20 dispensing organization, agents from these other licensees may 21 access the infuser portion of the premises if that is the 22 location of common bathrooms, lunchrooms, locker rooms, or 23 other areas of the building where processing of cannabis is 24 not performed. At no time may a craft grower or dispensing 25 organization agent perform work at an infuser without being a 26 registered agent of the infuser. SB0020 - 73 - LRB104 07738 BDA 17783 b SB0020- 74 -LRB104 07738 BDA 17783 b SB0020 - 74 - LRB104 07738 BDA 17783 b SB0020 - 74 - LRB104 07738 BDA 17783 b 1 (d) An infuser may not sell or distribute any cannabis to 2 any person other than a dispensing organization, or as 3 otherwise authorized by rule. 4 (e) An infuser may not either directly or indirectly 5 discriminate in price between different cannabis business 6 establishments that are purchasing a like grade, strain, 7 brand, and quality of cannabis or cannabis-infused product. 8 Nothing in this subsection (e) prevents an infuser from 9 pricing cannabis differently based on differences in the cost 10 of manufacturing or processing, the quantities sold, such 11 volume discounts, or the way the products are delivered. 12 (f) All cannabis infused by an infuser and intended for 13 distribution to a dispensing organization must be entered into 14 a data collection system, packaged and labeled under Section 15 55-21, and, if distribution is to a dispensing organization 16 that does not share a premises with the infuser, placed into a 17 cannabis container for transport. All cannabis produced by an 18 infuser and intended for distribution to a cultivation center, 19 infuser organization, or craft grower with which it does not 20 share a premises, must be packaged in a labeled cannabis 21 container and entered into a data collection system before 22 transport. 23 (g) Infusers are subject to random inspections by the 24 Department of Agriculture, the Department of Public Health, 25 the Illinois State Police, local law enforcement, or as 26 provided by rule. SB0020 - 74 - LRB104 07738 BDA 17783 b SB0020- 75 -LRB104 07738 BDA 17783 b SB0020 - 75 - LRB104 07738 BDA 17783 b SB0020 - 75 - LRB104 07738 BDA 17783 b 1 (h) An infuser agent shall notify local law enforcement, 2 the Illinois State Police, and the Department of Agriculture 3 within 24 hours of the discovery of any loss or theft. 4 Notification shall be made by phone, in person, or by written 5 or electronic communication. 6 (i) An infuser organization may not be located in an area 7 zoned for residential use. 8 (j) An infuser or infuser agent shall not transport 9 cannabis or cannabis-infused products to any other cannabis 10 business establishment without a transport organization 11 license unless: 12 (i) If the infuser is located in a county with a 13 population of 3,000,000 or more, the cannabis business 14 establishment receiving the cannabis or cannabis-infused 15 product is within 2,000 feet of the property line of the 16 infuser; 17 (ii) If the infuser is located in a county with a 18 population of more than 700,000 but fewer than 3,000,000, 19 the cannabis business establishment receiving the cannabis 20 or cannabis-infused product is within 2 miles of the 21 infuser; or 22 (iii) If the infuser is located in a county with a 23 population of fewer than 700,000, the cannabis business 24 establishment receiving the cannabis or cannabis-infused 25 product is within 15 miles of the infuser. 26 (k) An infuser may enter into a contract with a SB0020 - 75 - LRB104 07738 BDA 17783 b SB0020- 76 -LRB104 07738 BDA 17783 b SB0020 - 76 - LRB104 07738 BDA 17783 b SB0020 - 76 - LRB104 07738 BDA 17783 b 1 transporting organization to transport cannabis to a 2 dispensing organization or a laboratory. 3 (l) An infuser organization may share premises with a 4 craft grower or a dispensing organization, or both, provided 5 each licensee stores currency and cannabis or cannabis-infused 6 products in a separate secured vault to which the other 7 licensee does not have access or all licensees sharing a vault 8 share more than 50% of the same ownership. 9 (m) It is unlawful for any person or entity having an 10 infuser organization license or any officer, associate, 11 member, representative or agent of such licensee to offer or 12 deliver money, or anything else of value, directly or 13 indirectly to any person having an Early Approval Adult Use 14 Dispensing Organization License, a Conditional Adult Use 15 Dispensing Organization License, an Adult Use Dispensing 16 Organization License, or a medical cannabis dispensing 17 organization license issued under the Compassionate Use of 18 Medical Cannabis Program Act, or to any person connected with 19 or in any way representing, or to any member of the family of, 20 such person holding an Early Approval Adult Use Dispensing 21 Organization License, a Conditional Adult Use Dispensing 22 Organization License, an Adult Use Dispensing Organization 23 License, or a medical cannabis dispensing organization license 24 issued under the Compassionate Use of Medical Cannabis Program 25 Act, or to any stockholders in any corporation engaged the 26 retail sales of cannabis, or to any officer, manager, agent, SB0020 - 76 - LRB104 07738 BDA 17783 b SB0020- 77 -LRB104 07738 BDA 17783 b SB0020 - 77 - LRB104 07738 BDA 17783 b SB0020 - 77 - LRB104 07738 BDA 17783 b 1 or representative of the Early Approval Adult Use Dispensing 2 Organization License, a Conditional Adult Use Dispensing 3 Organization License, an Adult Use Dispensing Organization 4 License, or a medical cannabis dispensing organization license 5 issued under the Compassionate Use of Medical Cannabis Program 6 Act to obtain preferential placement within the dispensing 7 organization, including, without limitation, on shelves and in 8 display cases where purchasers can view products, or on the 9 dispensing organization's website. 10 (n) At no time shall an infuser organization or an infuser 11 agent perform the extraction of cannabis concentrate from 12 cannabis flower. 13 (o) An infuser may purchase a hemp-derived intoxicating 14 product from a hemp consumer product manufacturer and offer a 15 hemp-derived intoxicating product for sale to another cannabis 16 business establishment. Once a hemp-derived intoxicating 17 product is delivered to an infuser, it is considered cannabis 18 and the infuser is responsible for ensuring the product meets 19 all requirements of this Act. 20 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; 21 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. 22 5-13-22.) 23 (410 ILCS 705/55-5.5 new) 24 Sec. 55-5.5. Use of hemp in cannabis-infused products. 25 (a) For purposes of this Section, "industrial hemp" has SB0020 - 77 - LRB104 07738 BDA 17783 b SB0020- 78 -LRB104 07738 BDA 17783 b SB0020 - 78 - LRB104 07738 BDA 17783 b SB0020 - 78 - LRB104 07738 BDA 17783 b 1 the meaning given to it under the Industrial Hemp Act. 2 (b) Cannabis business establishments licensed by the 3 Department of Agriculture for cultivation, growing, 4 processing, manufacturing, or infusing of medical or adult use 5 cannabis products pursuant to this Act or the Compassionate 6 Use of Medical Cannabis Program Act may use industrial hemp as 7 an ingredient in cannabis-infused products offered for sale at 8 licensed dispensaries in Illinois. Hemp flower shall not be 9 sold to dispensaries. 10 (c) All hemp obtained under this Section must be used in 11 extracted form and in infused cannabis products only. 12 (d) Industrial hemp may be procured from third-party 13 licensed growers or manufacturers from within the State or any 14 other state with a regulated industrial hemp program. 15 (e) All hemp and hemp derivatives shall be obtained from a 16 licensed or registered hemp grower or manufacturer, regardless 17 of the home state of the grower or manufacturer. Cannabis 18 producers shall provide a copy of the hemp grower's or 19 manufacturer's State-issued license upon demand of the 20 Department of Agriculture or the Illinois State Police. 21 (f) Industrial hemp flower and biomass may be purchased 22 and extracted by licensed cannabis cultivation centers or 23 licensed craft growers. 24 (g) Licensed cannabis cultivation centers and licensed 25 craft growers may procure or process industrial hemp in the 26 form of distillate or isolate. Licensed infusers may procure SB0020 - 78 - LRB104 07738 BDA 17783 b SB0020- 79 -LRB104 07738 BDA 17783 b SB0020 - 79 - LRB104 07738 BDA 17783 b SB0020 - 79 - LRB104 07738 BDA 17783 b 1 industrial hemp in the form of distillate or isolate. 2 (h) Hemp and hemp derivatives may not be used to 3 concentrate or to synthesize intoxicating compounds and may 4 not exceed 0.3% THC. 5 (l) Final products containing hemp or hemp derivatives 6 sold by a cannabis business establishment shall be 7 cannabis-infused products and shall be subject to the 8 requirements of the Compassionate Use of Medical Cannabis Act 9 and the Cannabis Regulation and Tax Act and any applicable 10 administrative rules. 11 (410 ILCS 705/55-35) 12 Sec. 55-35. Administrative rulemaking. 13 (a) No later than 180 days after the effective date of this 14 Act, the Department of Agriculture, the Illinois State Police, 15 the Department of Financial and Professional Regulation, the 16 Department of Revenue, the Department of Commerce and Economic 17 Opportunity, and the Treasurer's Office shall adopt permanent 18 rules in accordance with their responsibilities under this 19 Act. The Department of Agriculture, the Illinois State Police, 20 the Department of Financial and Professional Regulation, the 21 Department of Revenue, and the Department of Commerce and 22 Economic Opportunity may adopt rules necessary to regulate 23 personal cannabis use through the use of emergency rulemaking 24 in accordance with subsection (gg) of Section 5-45 of the 25 Illinois Administrative Procedure Act. The General Assembly SB0020 - 79 - LRB104 07738 BDA 17783 b SB0020- 80 -LRB104 07738 BDA 17783 b SB0020 - 80 - LRB104 07738 BDA 17783 b SB0020 - 80 - LRB104 07738 BDA 17783 b 1 finds that the adoption of rules to regulate cannabis use is 2 deemed an emergency and necessary for the public interest, 3 safety, and welfare. 4 (b) The Department of Agriculture rules may address, but 5 are not limited to, the following matters related to 6 cultivation centers, craft growers, infuser organizations, and 7 transporting organizations with the goal of protecting against 8 diversion and theft, without imposing an undue burden on the 9 cultivation centers, craft growers, infuser organizations, or 10 transporting organizations: 11 (1) oversight requirements for cultivation centers, 12 craft growers, infuser organizations, and transporting 13 organizations; 14 (2) recordkeeping requirements for cultivation 15 centers, craft growers, infuser organizations, and 16 transporting organizations; 17 (3) security requirements for cultivation centers, 18 craft growers, infuser organizations, and transporting 19 organizations, which shall include that each cultivation 20 center, craft grower, infuser organization, and 21 transporting organization location must be protected by a 22 fully operational security alarm system; 23 (4) standards for enclosed, locked facilities under 24 this Act; 25 (5) procedures for suspending or revoking the 26 identification cards of agents of cultivation centers, SB0020 - 80 - LRB104 07738 BDA 17783 b SB0020- 81 -LRB104 07738 BDA 17783 b SB0020 - 81 - LRB104 07738 BDA 17783 b SB0020 - 81 - LRB104 07738 BDA 17783 b 1 craft growers, infuser organizations, and transporting 2 organizations that commit violations of this Act or the 3 rules adopted under this Section; 4 (6) rules concerning the intrastate transportation of 5 cannabis from a cultivation center, craft grower, infuser 6 organization, and transporting organization to a 7 dispensing organization; 8 (7) standards concerning the testing, quality, 9 cultivation, and processing of cannabis; and 10 (7.5) standards and rules for the investigation and 11 enforcement of unregulated and unlicensed sale of cannabis 12 and cannabis products; and 13 (8) any other matters under oversight by the 14 Department of Agriculture as are necessary for the fair, 15 impartial, stringent, and comprehensive administration of 16 this Act. 17 (b-5) Notwithstanding any standards and rules developed 18 under paragraph (7.5) of subsection (b) of this Section, the 19 Department of Agriculture shall update through official 20 guidance and publish publicly on its website the cannabinoids 21 that it deems tetrahydrocannabinol or THC on or before January 22 1 and July 1 of each calendar year. 23 (c) The Department of Financial and Professional 24 Regulation rules may address, but are not limited to, the 25 following matters related to dispensing organizations, with 26 the goal of protecting against diversion and theft, without SB0020 - 81 - LRB104 07738 BDA 17783 b SB0020- 82 -LRB104 07738 BDA 17783 b SB0020 - 82 - LRB104 07738 BDA 17783 b SB0020 - 82 - LRB104 07738 BDA 17783 b 1 imposing an undue burden on the dispensing organizations: 2 (1) oversight requirements for dispensing 3 organizations; 4 (2) recordkeeping requirements for dispensing 5 organizations; 6 (3) security requirements for dispensing 7 organizations, which shall include that each dispensing 8 organization location must be protected by a fully 9 operational security alarm system; 10 (4) procedures for suspending or revoking the licenses 11 of dispensing organization agents that commit violations 12 of this Act or the rules adopted under this Act; 13 (4.5) standards and rules for the investigation and 14 enforcement of unregulated and unlicensed sale of cannabis 15 and cannabis products; and 16 (5) any other matters under oversight by the 17 Department of Financial and Professional Regulation that 18 are necessary for the fair, impartial, stringent, and 19 comprehensive administration of this Act. 20 (d) The Department of Revenue rules may address, but are 21 not limited to, the following matters related to the payment 22 of taxes by cannabis business establishments: 23 (1) recording of sales; 24 (2) documentation of taxable income and expenses; 25 (3) transfer of funds for the payment of taxes; or 26 (4) any other matter under the oversight of the SB0020 - 82 - LRB104 07738 BDA 17783 b SB0020- 83 -LRB104 07738 BDA 17783 b SB0020 - 83 - LRB104 07738 BDA 17783 b SB0020 - 83 - LRB104 07738 BDA 17783 b 1 Department of Revenue. 2 (e) The Department of Commerce and Economic Opportunity 3 rules may address, but are not limited to, a loan program or 4 grant program to assist Social Equity Applicants access the 5 capital needed to start a cannabis business establishment. The 6 names of recipients and the amounts of any moneys received 7 through a loan program or grant program shall be a public 8 record. 9 (f) The Illinois State Police rules may address 10 enforcement of its authority under this Act. The Illinois 11 State Police shall not make rules that infringe on the 12 exclusive authority of the Department of Financial and 13 Professional Regulation or the Department of Agriculture over 14 licensees under this Act. 15 (g) The Department of Human Services shall develop and 16 disseminate: 17 (1) educational information about the health risks 18 associated with the use of cannabis; and 19 (2) one or more public education campaigns in 20 coordination with local health departments and community 21 organizations, including one or more prevention campaigns 22 directed at children, adolescents, parents, and pregnant 23 or breastfeeding women, to inform them of the potential 24 health risks associated with intentional or unintentional 25 cannabis use. 26 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; SB0020 - 83 - LRB104 07738 BDA 17783 b SB0020- 84 -LRB104 07738 BDA 17783 b SB0020 - 84 - LRB104 07738 BDA 17783 b SB0020 - 84 - LRB104 07738 BDA 17783 b 1 102-538, eff. 8-20-21.) 2 (410 ILCS 705/60-10) 3 Sec. 60-10. Tax imposed. 4 (a) Beginning September 1, 2019, a tax is imposed upon the 5 privilege of cultivating cannabis at the rate of 7% of the 6 gross receipts from the first sale of cannabis by a 7 cultivator. The sale of any product that contains any amount 8 of cannabis or any derivative thereof is subject to the tax 9 under this Section on the full selling price of the product. 10 The Department may determine the selling price of the cannabis 11 when the seller and purchaser are affiliated persons, when the 12 sale and purchase of cannabis is not an arm's length 13 transaction, or when cannabis is transferred by a craft grower 14 to the craft grower's dispensing organization or infuser or 15 processing organization and a value is not established for the 16 cannabis. The value determined by the Department shall be 17 commensurate with the actual price received for products of 18 like quality, character, and use in the area. If there are no 19 sales of cannabis of like quality, character, and use in the 20 same area, then the Department shall establish a reasonable 21 value based on sales of products of like quality, character, 22 and use in other areas of the State, taking into consideration 23 any other relevant factors. 24 (a-5) Beginning January 1, 2026, a tax is imposed upon the 25 privilege of processing hemp-derived intoxicating products at SB0020 - 84 - LRB104 07738 BDA 17783 b SB0020- 85 -LRB104 07738 BDA 17783 b SB0020 - 85 - LRB104 07738 BDA 17783 b SB0020 - 85 - LRB104 07738 BDA 17783 b 1 the rate of 7% of the gross receipts from the hemp 2 manufacturer's sale of a hemp-derived intoxicating product to 3 a craft grower or infuser. The sale of any hemp-derived 4 intoxicating product as defined in the Hemp Consumer Products 5 Act is subject to the tax under this Section on the full 6 selling price of the product. The Department may determine the 7 selling price of the hemp-derived intoxicating product when 8 the seller and purchaser are affiliated persons or when the 9 sale and purchase of a hemp-derived intoxicating product is 10 not an arm's length transaction. The value determined by the 11 Department shall be commensurate with the actual price 12 received for products of like quality, character, and use in 13 the area. If there are no sales of hemp-derived intoxicating 14 products of like quality, character, and use in the same area, 15 then the Department shall establish a reasonable value based 16 on sales of products of like quality, character, and use in 17 other areas of the State, taking into consideration any other 18 relevant factors. 19 (b) The Cannabis Cultivation Privilege Tax imposed under 20 this Article is solely the responsibility of the cultivator 21 who makes the first sale and is not the responsibility of a 22 subsequent purchaser, a dispensing organization, or an 23 infuser. Persons subject to the tax imposed under this Article 24 may, however, reimburse themselves for their tax liability 25 hereunder by separately stating reimbursement for their tax 26 liability as an additional charge. SB0020 - 85 - LRB104 07738 BDA 17783 b SB0020- 86 -LRB104 07738 BDA 17783 b SB0020 - 86 - LRB104 07738 BDA 17783 b SB0020 - 86 - LRB104 07738 BDA 17783 b 1 (c) The tax imposed under this Article shall be in 2 addition to all other occupation, privilege, or excise taxes 3 imposed by the State of Illinois or by any unit of local 4 government. 5 (Source: P.A. 101-27, eff. 6-25-19.) 6 (410 ILCS 705/60-15) 7 Sec. 60-15. Registration of cultivators. Every cultivator 8 and craft grower subject to the tax under this Article shall 9 apply to the Department of Revenue for a certificate of 10 registration under this Article. All applications for 11 registration under this Article shall be made by electronic 12 means in the form and manner required by the Department. For 13 that purpose, the provisions of Section 2a of the Retailers' 14 Occupation Tax Act are incorporated into this Article to the 15 extent not inconsistent with this Article. In addition, no 16 certificate of registration shall be issued under this Article 17 unless the applicant is licensed under this Act or is licensed 18 as a hemp consumer products manufacturer under the Hemp 19 Consumer Products Act. 20 (Source: P.A. 101-27, eff. 6-25-19.) 21 (410 ILCS 705/60-20) 22 Sec. 60-20. Return and payment of cannabis cultivation 23 privilege tax. Each person who is required to pay the tax 24 imposed by this Article shall make a return to the Department SB0020 - 86 - LRB104 07738 BDA 17783 b SB0020- 87 -LRB104 07738 BDA 17783 b SB0020 - 87 - LRB104 07738 BDA 17783 b SB0020 - 87 - LRB104 07738 BDA 17783 b 1 on or before the 20th day of each month for the preceding 2 calendar month stating the following: 3 (1) the taxpayer's name; 4 (2) the address of the taxpayer's principal place of 5 business and the address of the principal place of 6 business (if that is a different address) from which the 7 taxpayer is engaged in the business of cultivating 8 cannabis subject to tax under this Article; 9 (3) the total amount of receipts received by the 10 taxpayer during the preceding calendar month from sales of 11 cannabis or hemp-derived intoxicating products subject to 12 tax under this Article by the taxpayer during the 13 preceding calendar month; 14 (4) the total amount received by the taxpayer during 15 the preceding calendar month on charge and time sales of 16 cannabis subject to tax imposed under this Article by the 17 taxpayer before the month for which the return is filed; 18 (5) deductions allowed by law; 19 (6) gross receipts that were received by the taxpayer 20 during the preceding calendar month and upon the basis of 21 which the tax is imposed; 22 (7) the amount of tax due; 23 (8) the signature of the taxpayer; and 24 (9) any other information as the Department may 25 reasonably require. 26 All returns required to be filed and payments required to SB0020 - 87 - LRB104 07738 BDA 17783 b SB0020- 88 -LRB104 07738 BDA 17783 b SB0020 - 88 - LRB104 07738 BDA 17783 b SB0020 - 88 - LRB104 07738 BDA 17783 b 1 be made under this Article shall be by electronic means. 2 Taxpayers who demonstrate hardship in paying electronically 3 may petition the Department to waive the electronic payment 4 requirement. The Department may require a separate return for 5 the tax under this Article or combine the return for the tax 6 under this Article with the return for the tax under the 7 Compassionate Use of Medical Cannabis Program Act. If the 8 return for the tax under this Article is combined with the 9 return for tax under the Compassionate Use of Medical Cannabis 10 Program Act, then the vendor's discount allowed under this 11 Section and any cap on that discount shall apply to the 12 combined return. The taxpayer making the return provided for 13 in this Section shall also pay to the Department, in 14 accordance with this Section, the amount of tax imposed by 15 this Article, less a discount of 1.75%, but not to exceed 16 $1,000 per return period, which is allowed to reimburse the 17 taxpayer for the expenses incurred in keeping records, 18 collecting tax, preparing and filing returns, remitting the 19 tax, and supplying data to the Department upon request. No 20 discount may be claimed by a taxpayer on returns not timely 21 filed and for taxes not timely remitted. No discount may be 22 claimed by a taxpayer for any return that is not filed 23 electronically. No discount may be claimed by a taxpayer for 24 any payment that is not made electronically, unless a waiver 25 has been granted under this Section. Any amount that is 26 required to be shown or reported on any return or other SB0020 - 88 - LRB104 07738 BDA 17783 b SB0020- 89 -LRB104 07738 BDA 17783 b SB0020 - 89 - LRB104 07738 BDA 17783 b SB0020 - 89 - LRB104 07738 BDA 17783 b 1 document under this Article shall, if the amount is not a 2 whole-dollar amount, be increased to the nearest whole-dollar 3 amount if the fractional part of a dollar is $0.50 or more and 4 decreased to the nearest whole-dollar amount if the fractional 5 part of a dollar is less than $0.50. If a total amount of less 6 than $1 is payable, refundable, or creditable, the amount 7 shall be disregarded if it is less than $0.50 and shall be 8 increased to $1 if it is $0.50 or more. Notwithstanding any 9 other provision of this Article concerning the time within 10 which a taxpayer may file a return, any such taxpayer who 11 ceases to engage in the kind of business that makes the person 12 responsible for filing returns under this Article shall file a 13 final return under this Article with the Department within one 14 month after discontinuing such business. 15 Each taxpayer under this Article shall make estimated 16 payments to the Department on or before the 7th, 15th, 22nd, 17 and last day of the month during which tax liability to the 18 Department is incurred. The payments shall be in an amount not 19 less than the lower of either 22.5% of the taxpayer's actual 20 tax liability for the month or 25% of the taxpayer's actual tax 21 liability for the same calendar month of the preceding year. 22 The amount of the quarter-monthly payments shall be credited 23 against the final tax liability of the taxpayer's return for 24 that month. If any quarter-monthly payment is not paid at the 25 time or in the amount required by this Section, then the 26 taxpayer shall be liable for penalties and interest on the SB0020 - 89 - LRB104 07738 BDA 17783 b SB0020- 90 -LRB104 07738 BDA 17783 b SB0020 - 90 - LRB104 07738 BDA 17783 b SB0020 - 90 - LRB104 07738 BDA 17783 b 1 difference between the minimum amount due as a payment and the 2 amount of the quarter-monthly payment actually and timely 3 paid, except insofar as the taxpayer has previously made 4 payments for that month to the Department in excess of the 5 minimum payments previously due as provided in this Section. 6 If any payment provided for in this Section exceeds the 7 taxpayer's liabilities under this Article, as shown on an 8 original monthly return, the Department shall, if requested by 9 the taxpayer, issue to the taxpayer a credit memorandum no 10 later than 30 days after the date of payment. The credit 11 evidenced by the credit memorandum may be assigned by the 12 taxpayer to a similar taxpayer under this Act, in accordance 13 with reasonable rules to be prescribed by the Department. If 14 no such request is made, the taxpayer may credit the excess 15 payment against tax liability subsequently to be remitted to 16 the Department under this Act, in accordance with reasonable 17 rules prescribed by the Department. If the Department 18 subsequently determines that all or any part of the credit 19 taken was not actually due to the taxpayer, the taxpayer's 20 discount shall be reduced, if necessary, to reflect the 21 difference between the credit taken and that actually due, and 22 that taxpayer shall be liable for penalties and interest on 23 the difference. 24 If a taxpayer fails to sign a return within 30 days after 25 the proper notice and demand for signature by the Department 26 is received by the taxpayer, the return shall be considered SB0020 - 90 - LRB104 07738 BDA 17783 b SB0020- 91 -LRB104 07738 BDA 17783 b SB0020 - 91 - LRB104 07738 BDA 17783 b SB0020 - 91 - LRB104 07738 BDA 17783 b 1 valid and any amount shown to be due on the return shall be 2 deemed assessed. 3 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) 4 Section 820. The Industrial Hemp Act is amended by 5 changing Sections 5, 10, and 20 and by adding Section 30 as 6 follows: 7 (505 ILCS 89/5) 8 Sec. 5. Definitions. In this Act: 9 "Department" means the Department of Agriculture. 10 "Director" means the Director of Agriculture. 11 "Hemp" or "industrial hemp" means the plant species 12 Cannabis sativa L. and any part of that plant, including the 13 seeds thereof and all derivatives, extracts, cannabinoids, 14 isomers, acids, salts, and salts of isomers, whether growing 15 or not, with a total delta-9 tetrahydrocannabinol 16 concentration of not more than 0.3 percent on a dry weight 17 basis. "Hemp" or "industrial hemp" means the plant Cannabis 18 sativa L. and any part of that plant, whether growing or not, 19 with a delta-9 tetrahydrocannabinol concentration of not more 20 than 0.3 percent on a dry weight basis and includes any 21 intermediate or finished product made or derived from 22 industrial hemp. 23 "Hemp production plan" means a plan submitted by the 24 Department to the Secretary of the United States Department of SB0020 - 91 - LRB104 07738 BDA 17783 b SB0020- 92 -LRB104 07738 BDA 17783 b SB0020 - 92 - LRB104 07738 BDA 17783 b SB0020 - 92 - LRB104 07738 BDA 17783 b 1 Agriculture pursuant to the federal Agriculture Improvement 2 Act of 2018, Public Law 115-334, and consistent with the 3 Domestic Hemp Production Program pursuant to 7 CFR Part 990 4 wherein the Department establishes its desire to have primary 5 regulatory authority over the production of hemp. 6 "Industrial hemp processor" means any entity that 7 processes or handles industrial hemp into a final product not 8 intended for human or animal consumption that is registered 9 with the Department. "Industrial hemp processor" includes, 10 until the availability of a hemp consumer product manufacturer 11 license under the Hemp Consumer Product Act, any entity that 12 processes or handles industrial hemp. 13 "Industrial hemp product" means any finished product made 14 or derived from industrial hemp that is not intended for human 15 or animal consumption by any means. "Industrial hemp product" 16 does not include any edible, topical, or beverage product or 17 any product that may be smoked or vaped. 18 "Land area" means a farm as defined in Section 1-60 of the 19 Property Tax Code in this State or land or facilities under the 20 control of an institution of higher education. 21 "Person" means any individual, partnership, firm, 22 corporation, company, society, association, the State or any 23 department, agency, or subdivision thereof, or any other 24 entity. 25 "Process" means the conversion of raw industrial hemp 26 plant material into a form that is presently legal to import SB0020 - 92 - LRB104 07738 BDA 17783 b SB0020- 93 -LRB104 07738 BDA 17783 b SB0020 - 93 - LRB104 07738 BDA 17783 b SB0020 - 93 - LRB104 07738 BDA 17783 b 1 from outside the United States under federal law. 2 "THC" means delta-9 tetrahydrocannabinol. 3 (Source: P.A. 102-690, eff. 12-17-21.) 4 (505 ILCS 89/10) 5 Sec. 10. Licenses and registration. 6 (a) No person shall cultivate industrial hemp in this 7 State without a license issued by the Department. 8 (b) The application for a license shall include: 9 (1) the name and address of the applicant; 10 (2) the legal description of the land area, including 11 Global Positioning System coordinates, to be used to 12 cultivate industrial hemp; and 13 (3) if federal law requires a research purpose for the 14 cultivation of industrial hemp, a description of one or 15 more research purposes planned for the cultivation of 16 industrial hemp which may include the study of the growth, 17 cultivation, or marketing of industrial hemp; however, the 18 research purpose requirement shall not be construed to 19 limit the commercial sale of industrial hemp. 20 (b-5) A person shall not process industrial hemp in this 21 State without registering with the Department as an industrial 22 hemp processor on a form prescribed by the Department. 23 (c) The Department may determine, by rule, the duration of 24 a license or registration; application, registration, and 25 license fees; and the requirements for license or registration SB0020 - 93 - LRB104 07738 BDA 17783 b SB0020- 94 -LRB104 07738 BDA 17783 b SB0020 - 94 - LRB104 07738 BDA 17783 b SB0020 - 94 - LRB104 07738 BDA 17783 b 1 renewal. 2 (Source: P.A. 102-690, eff. 12-17-21.) 3 (505 ILCS 89/20) 4 Sec. 20. Hemp products. Nothing in this Act shall alter 5 the legality of industrial hemp or hemp products not intended 6 for human or animal consumption by any means. The manufacture, 7 sale, and advertisement of all hemp or hemp products that are 8 intended for human or animal consumption by any means are 9 regulated under the Hemp Consumer Products Act hemp or hemp 10 products that are presently legal to possess or own. 11 (Source: P.A. 100-1091, eff. 8-26-18.) 12 (505 ILCS 89/30 new) 13 Sec. 30. Industrial Hemp processing. 14 (a) A person may not process industrial hemp in this State 15 without registering with the Department on a form prescribed 16 by the Department. 17 (b) The application shall include: 18 (1) the name and address of the applicant; and 19 (2) the address of the location at which hemp will be 20 processed. 21 (3) A certification that the hemp processor shall not 22 produce, process or manufacture any product derived from 23 hemp intended for human or animal consumption or produce, 24 process, or manufacture any product that will be provided, SB0020 - 94 - LRB104 07738 BDA 17783 b SB0020- 95 -LRB104 07738 BDA 17783 b SB0020 - 95 - LRB104 07738 BDA 17783 b SB0020 - 95 - LRB104 07738 BDA 17783 b 1 transferred or sold to a different entity that will create 2 products intended for human or animal consumption. 3 (4) A description of the processes that the industrial 4 hemp processor will be performing. 5 (c) The Department may determine, by rule, the duration of 6 a hemp processor registration, application, and registration 7 fees, and the requirements for registration renewal. 8 (d) An industrial hemp processor shall be prohibited from 9 extracting, concentrating, or synthesizing hemp 10 phytocannabinoids. 11 (e) Beginning January 1, 2026, all active hemp processing 12 registrations that process or manufacture products derived 13 from hemp intended for human or animal consumption shall be 14 regulated under the Hemp Consumer Products Act. Hemp 15 processing shall not be regulated under the Industrial Hemp 16 Act. By January 1, 2026, the Department of Agriculture shall 17 create a process to provide each active hemp processor 18 registrant that processes or produces products intended for 19 human or animal consumption by any means with a Hemp Consumer 20 Products Act hemp consumer product manufacturer license. 21 (f) The Department may revoke the registration of any 22 industrial hemp processor that processes or manufactures 23 products derived from hemp intended for human or animal 24 consumption and fails to register as a hemp consumer product 25 manufacturer under the Hemp Consumer Products Act by March 1, 26 2026. All industrial hemp processors that are not processing SB0020 - 95 - LRB104 07738 BDA 17783 b SB0020- 96 -LRB104 07738 BDA 17783 b SB0020 - 96 - LRB104 07738 BDA 17783 b SB0020 - 96 - LRB104 07738 BDA 17783 b 1 or manufacturing products derived from hemp intended for human 2 or animal consumption shall provide the Department with a 3 certification that they are not processing or manufacturing 4 products intended for human or animal consumption by March 1, 5 2026. The Department may revoke the registration of any 6 industrial hemp processor that fails to provide the Department 7 with a certification by March 1, 2026. 8 (g) The Department may inspect industrial hemp processors 9 to ensure compliance with this Act and administrative rules. 10 (h) On and after the effective date of this amendatory Act 11 of the 104th General Assembly, cannabis business 12 establishments licensed under the Cannabis Regulation and Tax 13 Act are not required to obtain a hemp processor registration 14 or hemp consumer product manufacturer license. 15 Section 825. The Cannabis Control Act is amended by 16 changing Sections 3, 4, 5, and 5.1 as follows: 17 (720 ILCS 550/3) (from Ch. 56 1/2, par. 703) 18 Sec. 3. As used in this Act, unless the context otherwise 19 requires: 20 (a) "Cannabis" includes marihuana, hashish and other 21 substances which are identified as including any parts of the 22 plant Cannabis Sativa, whether growing or not; the seeds 23 thereof, the resin extracted from any part of such plant; and 24 any compound, manufacture, salt, derivative, mixture, or SB0020 - 96 - LRB104 07738 BDA 17783 b SB0020- 97 -LRB104 07738 BDA 17783 b SB0020 - 97 - LRB104 07738 BDA 17783 b SB0020 - 97 - LRB104 07738 BDA 17783 b 1 preparation of such plant, its seeds, or resin, including 2 tetrahydrocannabinol (THC) and all other cannabinol 3 derivatives, including its naturally occurring or 4 synthetically produced ingredients, whether produced directly 5 or indirectly by extraction, or independently by means of 6 chemical synthesis or by a combination of extraction and 7 chemical synthesis, including, but not limited to, any 8 structural, optical, or geometric isomers of THC, or any 9 chemical compound that mimics THC; but shall not include the 10 mature stalks of such plant, fiber produced from such stalks, 11 oil or cake made from the seeds of such plant, any other 12 compound, manufacture, salt, derivative, mixture, or 13 preparation of such mature stalks (except the resin extracted 14 therefrom), fiber, oil or cake, or the sterilized seed of such 15 plant which is incapable of germination. 16 (b) "Casual delivery" means the delivery of not more than 17 10 grams of any substance containing cannabis without 18 consideration. 19 (c) "Department" means the Illinois Department of Human 20 Services (as successor to the Department of Alcoholism and 21 Substance Abuse) or its successor agency. 22 (d) "Deliver" or "delivery" means the actual, constructive 23 or attempted transfer of possession of cannabis, with or 24 without consideration, whether or not there is an agency 25 relationship. 26 (e) (Blank). SB0020 - 97 - LRB104 07738 BDA 17783 b SB0020- 98 -LRB104 07738 BDA 17783 b SB0020 - 98 - LRB104 07738 BDA 17783 b SB0020 - 98 - LRB104 07738 BDA 17783 b 1 (f) "Director" means the Director of the Illinois State 2 Police or his designated agent. 3 (g) "Local authorities" means a duly organized State, 4 county, or municipal peace unit or police force. 5 (h) "Manufacture" means the production, preparation, 6 propagation, compounding, conversion or processing of 7 cannabis, either directly or indirectly, by extraction from 8 substances of natural origin, or independently by means of 9 chemical synthesis, or by a combination of extraction and 10 chemical synthesis, and includes any packaging or repackaging 11 of cannabis or labeling of its container, except that this 12 term does not include the preparation, compounding, packaging, 13 or labeling of cannabis as an incident to lawful research, 14 teaching, or chemical analysis and not for sale. 15 (i) "Person" means any individual, corporation, government 16 or governmental subdivision or agency, business trust, estate, 17 trust, partnership or association, or any other entity. 18 (j) "Produce" or "production" means planting, cultivating, 19 tending or harvesting. 20 (k) "State" includes the State of Illinois and any state, 21 district, commonwealth, territory, insular possession thereof, 22 and any area subject to the legal authority of the United 23 States of America. 24 (l) "Subsequent offense" means an offense under this Act, 25 the offender of which, prior to his conviction of the offense, 26 has at any time been convicted under this Act or under any laws SB0020 - 98 - LRB104 07738 BDA 17783 b SB0020- 99 -LRB104 07738 BDA 17783 b SB0020 - 99 - LRB104 07738 BDA 17783 b SB0020 - 99 - LRB104 07738 BDA 17783 b 1 of the United States or of any state relating to cannabis, or 2 any controlled substance as defined in the Illinois Controlled 3 Substances Act. 4 (m) "Tetrahydrocannabinol" or "THC" means any naturally 5 occurring or synthetic tetrahydrocannabinol, including its 6 salts, isomers, and salts of isomers whenever the existence of 7 such salts, isomers, and salts of isomers is possible within 8 the specific chemical designation and any preparation, 9 mixture, or substance containing, or mixed or infused with, 10 any detectable amount of tetrahydrocannabinol or 11 tetrahydrocannabolic acid, including, but not limited to, 12 delta-8-tetrahydrocannabinol, delta-9-tetrahydrocannabinol, 13 delta-10-tetrahydrocannabinol, tetrahydrocannabolic acid, 14 tetrahydrocannabipherol, or hexahydrocannabinol, however 15 derived, or any other substance determined to have similar 16 intoxicating effects on the mind or body by the Department of 17 Agriculture. As used in this definition, "isomer" means the 18 optical, position, and geometric isomers. 19 (Source: P.A. 101-593, eff. 12-4-19; 102-538, eff. 8-20-21.) 20 (720 ILCS 550/4) (from Ch. 56 1/2, par. 704) 21 Sec. 4. Except as otherwise provided in the Cannabis 22 Regulation and Tax Act, Hemp Consumer Products Act, and the 23 Industrial Hemp Act, it is unlawful for any person knowingly 24 to possess cannabis. 25 Any person who violates this Section with respect to: SB0020 - 99 - LRB104 07738 BDA 17783 b SB0020- 100 -LRB104 07738 BDA 17783 b SB0020 - 100 - LRB104 07738 BDA 17783 b SB0020 - 100 - LRB104 07738 BDA 17783 b 1 (a) not more than 10 grams of any substance containing 2 cannabis is guilty of a civil law violation punishable by 3 a minimum fine of $100 and a maximum fine of $200. The 4 proceeds of the fine shall be payable to the clerk of the 5 circuit court. Within 30 days after the deposit of the 6 fine, the clerk shall distribute the proceeds of the fine 7 as follows: 8 (1) $10 of the fine to the circuit clerk and $10 of 9 the fine to the law enforcement agency that issued the 10 citation; the proceeds of each $10 fine distributed to 11 the circuit clerk and each $10 fine distributed to the 12 law enforcement agency that issued the citation for 13 the violation shall be used to defer the cost of 14 automatic expungements under paragraph (2.5) of 15 subsection (a) of Section 5.2 of the Criminal 16 Identification Act; 17 (2) $15 to the county to fund drug addiction 18 services; 19 (3) $10 to the Office of the State's Attorneys 20 Appellate Prosecutor for use in training programs; 21 (4) $10 to the State's Attorney; and 22 (5) any remainder of the fine to the law 23 enforcement agency that issued the citation for the 24 violation. 25 With respect to funds designated for the Illinois 26 State Police, the moneys shall be remitted by the circuit SB0020 - 100 - LRB104 07738 BDA 17783 b SB0020- 101 -LRB104 07738 BDA 17783 b SB0020 - 101 - LRB104 07738 BDA 17783 b SB0020 - 101 - LRB104 07738 BDA 17783 b 1 court clerk to the Illinois State Police within one month 2 after receipt for deposit into the State Police Operations 3 Assistance Fund. With respect to funds designated for the 4 Department of Natural Resources, the Department of Natural 5 Resources shall deposit the moneys into the Conservation 6 Police Operations Assistance Fund; 7 (b) more than 10 grams but not more than 30 grams of 8 any substance containing cannabis is guilty of a Class B 9 misdemeanor; 10 (c) more than 30 grams but not more than 100 grams of 11 any substance containing cannabis is guilty of a Class A 12 misdemeanor; provided, that if any offense under this 13 subsection (c) is a subsequent offense, the offender shall 14 be guilty of a Class 4 felony; 15 (d) more than 100 grams but not more than 500 grams of 16 any substance containing cannabis is guilty of a Class 4 17 felony; provided that if any offense under this subsection 18 (d) is a subsequent offense, the offender shall be guilty 19 of a Class 3 felony; 20 (e) more than 500 grams but not more than 2,000 grams 21 of any substance containing cannabis is guilty of a Class 22 3 felony; 23 (f) more than 2,000 grams but not more than 5,000 24 grams of any substance containing cannabis is guilty of a 25 Class 2 felony; 26 (g) more than 5,000 grams of any substance containing SB0020 - 101 - LRB104 07738 BDA 17783 b SB0020- 102 -LRB104 07738 BDA 17783 b SB0020 - 102 - LRB104 07738 BDA 17783 b SB0020 - 102 - LRB104 07738 BDA 17783 b 1 cannabis is guilty of a Class 1 felony. 2 Fines and assessments, such as fees or administrative 3 costs, authorized under this Section shall not be ordered or 4 imposed against a minor subject to Article III, IV, or V of the 5 Juvenile Court Act of 1987, or a minor under the age of 18 6 transferred to adult court or excluded from juvenile court 7 jurisdiction under Article V of the Juvenile Court Act of 8 1987, or the minor's parent, guardian, or legal custodian. 9 (Source: P.A. 102-538, eff. 8-20-21; 103-379, eff. 7-28-23.) 10 (720 ILCS 550/5) (from Ch. 56 1/2, par. 705) 11 Sec. 5. Except as otherwise provided in the Cannabis 12 Regulation and Tax Act, Hemp Consumer Products Act, and the 13 Industrial Hemp Act, it is unlawful for any person knowingly 14 to manufacture, deliver, or possess with intent to deliver, or 15 manufacture, cannabis. Any person who violates this Section 16 with respect to: 17 (a) not more than 2.5 grams of any substance 18 containing cannabis is guilty of a Class B misdemeanor; 19 (b) more than 2.5 grams but not more than 10 grams of 20 any substance containing cannabis is guilty of a Class A 21 misdemeanor; 22 (c) more than 10 grams but not more than 30 grams of 23 any substance containing cannabis is guilty of a Class 4 24 felony; 25 (d) more than 30 grams but not more than 500 grams of SB0020 - 102 - LRB104 07738 BDA 17783 b SB0020- 103 -LRB104 07738 BDA 17783 b SB0020 - 103 - LRB104 07738 BDA 17783 b SB0020 - 103 - LRB104 07738 BDA 17783 b 1 any substance containing cannabis is guilty of a Class 3 2 felony for which a fine not to exceed $50,000 may be 3 imposed; 4 (e) more than 500 grams but not more than 2,000 grams 5 of any substance containing cannabis is guilty of a Class 6 2 felony for which a fine not to exceed $100,000 may be 7 imposed; 8 (f) more than 2,000 grams but not more than 5,000 9 grams of any substance containing cannabis is guilty of a 10 Class 1 felony for which a fine not to exceed $150,000 may 11 be imposed; 12 (g) more than 5,000 grams of any substance containing 13 cannabis is guilty of a Class X felony for which a fine not 14 to exceed $200,000 may be imposed. 15 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) 16 (720 ILCS 550/5.1) (from Ch. 56 1/2, par. 705.1) 17 Sec. 5.1. Cannabis trafficking. 18 (a) Except for purposes authorized by this Act, the 19 Industrial Hemp Act, the Hemp Consumer Products Act, or the 20 Cannabis Regulation and Tax Act, any person who knowingly 21 brings or causes to be brought into this State for the purpose 22 of manufacture or delivery or with the intent to manufacture 23 or deliver 2,500 grams or more of cannabis in this State or any 24 other state or country is guilty of cannabis trafficking. 25 (b) A person convicted of cannabis trafficking shall be SB0020 - 103 - LRB104 07738 BDA 17783 b SB0020- 104 -LRB104 07738 BDA 17783 b SB0020 - 104 - LRB104 07738 BDA 17783 b SB0020 - 104 - LRB104 07738 BDA 17783 b 1 sentenced to a term of imprisonment not less than twice the 2 minimum term and fined an amount as authorized by subsection 3 (f) or (g) of Section 5 of this Act, based upon the amount of 4 cannabis brought or caused to be brought into this State, and 5 not more than twice the maximum term of imprisonment and fined 6 twice the amount as authorized by subsection (f) or (g) of 7 Section 5 of this Act, based upon the amount of cannabis 8 brought or caused to be brought into this State. 9 (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) 10 Section 830. The Consumer Fraud and Deceptive Business 11 Practices Act is amended by changing Section 2Z as follows: 12 (815 ILCS 505/2Z) (from Ch. 121 1/2, par. 262Z) 13 Sec. 2Z. Violations of other Acts. Any person who 14 knowingly violates the Automotive Repair Act, the Automotive 15 Collision Repair Act, the Home Repair and Remodeling Act, the 16 Dance Studio Act, the Physical Fitness Services Act, the 17 Hearing Instrument Consumer Protection Act, the Illinois Union 18 Label Act, the Installment Sales Contract Act, the Job 19 Referral and Job Listing Services Consumer Protection Act, the 20 Travel Promotion Consumer Protection Act, the Credit Services 21 Organizations Act, the Automatic Telephone Dialers Act, the 22 Pay-Per-Call Services Consumer Protection Act, the Telephone 23 Solicitations Act, the Illinois Funeral or Burial Funds Act, 24 the Cemetery Oversight Act, the Cemetery Care Act, the Safe SB0020 - 104 - LRB104 07738 BDA 17783 b SB0020- 105 -LRB104 07738 BDA 17783 b SB0020 - 105 - LRB104 07738 BDA 17783 b SB0020 - 105 - LRB104 07738 BDA 17783 b 1 and Hygienic Bed Act, the Illinois Pre-Need Cemetery Sales 2 Act, the High Risk Home Loan Act, the Payday Loan Reform Act, 3 the Predatory Loan Prevention Act, the Mortgage Rescue Fraud 4 Act, subsection (a) or (b) of Section 3-10 of the Cigarette Tax 5 Act, subsection (a) or (b) of Section 3-10 of the Cigarette Use 6 Tax Act, the Electronic Mail Act, the Internet Caller 7 Identification Act, paragraph (6) of subsection (k) of Section 8 6-305 of the Illinois Vehicle Code, Section 11-1431, 18d-115, 9 18d-120, 18d-125, 18d-135, 18d-150, or 18d-153 of the Illinois 10 Vehicle Code, Article 3 of the Residential Real Property 11 Disclosure Act, the Automatic Contract Renewal Act, the 12 Reverse Mortgage Act, Section 25 of the Youth Mental Health 13 Protection Act, the Personal Information Protection Act, or 14 the Student Online Personal Protection Act, or subsection (a) 15 of Section 15-155 of the Cannabis Regulation and Tax Act 16 commits an unlawful practice within the meaning of this Act. 17 (Source: P.A. 100-315, eff. 8-24-17; 100-416, eff. 1-1-18; 18 100-863, eff. 8-14-18; 101-658, eff. 3-23-21.) 19 Section 999. Effective date. This Act takes effect upon 20 becoming law. SB0020- 106 -LRB104 07738 BDA 17783 b 1 INDEX 2 Statutes amended in order of appearance SB0020- 106 -LRB104 07738 BDA 17783 b SB0020 - 106 - LRB104 07738 BDA 17783 b 1 INDEX 2 Statutes amended in order of appearance SB0020- 106 -LRB104 07738 BDA 17783 b SB0020 - 106 - LRB104 07738 BDA 17783 b SB0020 - 106 - LRB104 07738 BDA 17783 b 1 INDEX 2 Statutes amended in order of appearance SB0020 - 105 - LRB104 07738 BDA 17783 b SB0020- 106 -LRB104 07738 BDA 17783 b SB0020 - 106 - LRB104 07738 BDA 17783 b SB0020 - 106 - LRB104 07738 BDA 17783 b 1 INDEX 2 Statutes amended in order of appearance SB0020 - 106 - LRB104 07738 BDA 17783 b