|
| | 10300HB4293sam003 | - 2 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | changes the molecular structure of any chemical substance |
| 2 | | derived from Cannabis sativa. |
| 3 | | "Department" means the Department of Agriculture. |
| 4 | | "Director" means the Director of Agriculture. |
| 5 | | "Hemp cannabinoid" means a naturally occurring |
| 6 | | phytocannabinoid derived from the hemp plant that does not |
| 7 | | have an intoxicating effect on the mind and body, as |
| 8 | | determined by the Department by rule, including: |
| 9 | | (1) cannabidiol (CBD); |
| 10 | | (2) cannabichromene (CBC); |
| 11 | | (3) cannabicitran (CBT); |
| 12 | | (4) cannabicyclol (CBL); |
| 13 | | (5) cannabielsoin (CBE); |
| 14 | | (6) cannabigerol (CBG); |
| 15 | | (7) cannabidivarin (CBDV); or |
| 16 | | (8) cannabinol (CBN). |
| 17 | | "Hemp consumer CBD product" means a product offered for |
| 18 | | sale or distribution that: |
| 19 | | (1) contains naturally occurring hemp |
| 20 | | phytocannabinoids; |
| 21 | | (2) is intended for consumption by any means, |
| 22 | | including, but not limited to, oral ingestion, inhalation, |
| 23 | | smoking, or topical absorption; |
| 24 | | (3) contains a total tetrahydrocannabinol |
| 25 | | concentration of no greater than: |
| 26 | | (a) 0.3% for any intermediate or finished plant |
|
| | 10300HB4293sam003 | - 3 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | product or material, or any hemp consumer CBD product |
| 2 | | intended for consumption by inhalation or smoking; or |
| 3 | | (b) 0.5 milligrams per serving or individual |
| 4 | | product unit, and 2 milligrams per package for |
| 5 | | products sold in multiple servings or units, for any |
| 6 | | beverage, food, oil, ointment, tincture, topical |
| 7 | | formation, or any other product that is intended for |
| 8 | | human or animal consumption by means other than |
| 9 | | inhalation or smoking; and |
| 10 | | (4) contains a total hemp cannabinoid concentration |
| 11 | | that is at least 25 times greater than the total |
| 12 | | tetrahydrocannabinol concentration per serving and per |
| 13 | | package. |
| 14 | | "Hemp consumer CBD product registrant" means a person or |
| 15 | | entity that manufactures, processes, packages, handles, |
| 16 | | distributes or otherwise adds value to the hemp consumer CBD |
| 17 | | product, and made the first sale of the hemp consumer CBD |
| 18 | | product in Illinois to an Illinois wholesaler, processor, |
| 19 | | distributor, retailer, or consumer, or as otherwise defined by |
| 20 | | rule. A hemp consumer CBD product registrant is required to |
| 21 | | register hemp consumer CBD products with the Department of |
| 22 | | Agriculture prior to sale of hemp consumer CBD products in |
| 23 | | Illinois. |
| 24 | | "Hemp consumer products processor" means a person or |
| 25 | | entity located in Illinois licensed to source industrial hemp |
| 26 | | plant material from a licensed state, tribal, or USDA hemp |
|
| | 10300HB4293sam003 | - 4 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | cultivator, and process, manufacture, and distribute hemp |
| 2 | | products for human or animal consumption. |
| 3 | | "Hemp-derived intoxicating product" means a beverage, |
| 4 | | food, oil, ointment, tincture, topical formulation, or other |
| 5 | | product intended for human or animal consumption that is |
| 6 | | derived from hemp extract and does not contain more than 5 |
| 7 | | milligrams per serving or 10 milligrams per package of delta-9 |
| 8 | | THC derived from any naturally occurring cannabinoids found in |
| 9 | | hemp that may only be offered for sale at a dispensing |
| 10 | | organization under the Cannabis Regulation and Tax Act. |
| 11 | | "Scope of accreditation" means a document issued by an |
| 12 | | accreditation body that attests to a testing laboratory's |
| 13 | | competence to carry out specific testing and analysis. |
| 14 | | "Synthetic cannabinoid" means a cannabinoid-like compound |
| 15 | | that was produced using chemical synthesis, chemical |
| 16 | | modification, or chemical conversion, including in vitro |
| 17 | | biosynthesis or other bioconversion of such a method. |
| 18 | | "Synthetic cannabinoid" includes cannabinoids converted from |
| 19 | | one chemical structure into another, such as |
| 20 | | tetrahydrocannabinol produced by the conversion of |
| 21 | | cannabidiol. |
| 22 | | "Testing laboratory" means an independent, third-party |
| 23 | | laboratory approved and registered with the Department that is |
| 24 | | contracted to test hemp consumer CBD products. A testing |
| 25 | | laboratory may include laboratories approved by the Department |
| 26 | | under the Cannabis Regulation and Tax Act or a laboratory |
|
| | 10300HB4293sam003 | - 5 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | operated by the State. |
| 2 | | "Tetrahydrocannabinol" or "THC" means any naturally |
| 3 | | occurring or synthetic tetrahydrocannabinol, including its |
| 4 | | salts, isomers, and salts of isomers whenever the existence of |
| 5 | | such salts, isomers, and salts of isomers is possible within |
| 6 | | the specific chemical designation and any preparation, |
| 7 | | mixture, or substance containing, or mixed or infused with, |
| 8 | | any detectable amount of tetrahydrocannabinol or |
| 9 | | tetrahydrocannabolic acid, including, but not limited to, |
| 10 | | delta-8-tetrahydrocannabinol, delta-9-tetrahydrocannabinol, |
| 11 | | delta-10-tetrahydrocannabinol, tetrahydrocannabolic acid, |
| 12 | | tetrahydrocannabipherol, or hexahydrocannabinol, however |
| 13 | | derived, or any other substance determined to have similar |
| 14 | | intoxicating effects on the mind or body by the Department. As |
| 15 | | used in this definition, "isomer" means the optical, position, |
| 16 | | and geometric isomers. |
| 17 | | Section 10. Prohibitions; compliance. |
| 18 | | (a) Beginning on the effective date of this Act, no |
| 19 | | person, retailer, or entity shall distribute for sale, |
| 20 | | manufacture, sell, offer for sale, market, or advertise any |
| 21 | | hemp product intended for human or animal consumption within |
| 22 | | this State unless the hemp product meets the definition of |
| 23 | | hemp consumer CBD product, is sold by a licensed cannabis |
| 24 | | business establishment under the Cannabis Regulation and Tax |
| 25 | | Act or Compassionate Use of Medical Cannabis Act, or is sold to |
|
| | 10300HB4293sam003 | - 6 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | or purchased by an industrial hemp processor or hemp consumer |
| 2 | | processor licensee for use in the manufacture of hemp products |
| 3 | | intended for human or animal consumption. |
| 4 | | (b) Effective July 1, 2025 or upon the first date that a |
| 5 | | hemp consumer CBD product registration application is made |
| 6 | | available by the Department, whichever is sooner, all hemp |
| 7 | | consumer CBD products shall comply with all of the hemp |
| 8 | | consumer CBD product requirements of this Act. |
| 9 | | (c) A product that has a THC concentration greater than |
| 10 | | the limits set forth for hemp consumer CBD products as defined |
| 11 | | in this Act shall be regulated as cannabis as defined in the |
| 12 | | Cannabis Regulation and Tax Act, whether or not the product is |
| 13 | | made with or derived from hemp, industrial hemp, or derived |
| 14 | | from natural or synthetic sources unless otherwise provided |
| 15 | | under this Act. |
| 16 | | (d) A product derived from hemp cannabinoids and sold by a |
| 17 | | cannabis business establishment as authorized by the Cannabis |
| 18 | | Regulation and Tax Act shall be cannabis as that term is used |
| 19 | | under the Cannabis Regulation and Tax Act and may only be sold |
| 20 | | by a licensed dispensing organization. |
| 21 | | (e) Notwithstanding subsection (a), until January 20, |
| 22 | | 2025, any beverage derived from hemp may be offered for sale or |
| 23 | | sold by (i) a person licensed under the Liquor Control Act as a |
| 24 | | retailer or a manufacturer that has retail privileges whose |
| 25 | | total sales of alcohol equal 90% or more of total sales or (ii) |
| 26 | | an industrial hemp processor or hemp consumer product |
|
| | 10300HB4293sam003 | - 7 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | processor who also holds retail privileges as a manufacturer |
| 2 | | as provided under the Liquor Control Act. No beverage derived |
| 3 | | from hemp may be given, sold, transferred, or delivered, with |
| 4 | | or without remuneration, to any person under 21 years of age. A |
| 5 | | retailer subject to this subsection (e) shall refuse to sell |
| 6 | | any beverage derived from hemp to any person unless the person |
| 7 | | produces valid identification showing that the person is 21 |
| 8 | | years of age or older, which must be verified at the point of |
| 9 | | sale. Any hemp-derived beverages subject to this subsection |
| 10 | | (e) may contain only up to 10 milligrams per individual |
| 11 | | container of delta-9-tetrahydrocannabinol derived from any |
| 12 | | naturally occurring cannabinoids found in hemp. |
| 13 | | Section 15. Hemp consumer product processors; applications |
| 14 | | and licensing. |
| 15 | | (a) By January 1, 2025, the Department shall create |
| 16 | | applicable rules, guidance, and forms for licensing hemp |
| 17 | | consumer products processors and a process to transition |
| 18 | | industrial hemp processors registered under the Industrial |
| 19 | | Hemp Act that processes or manufactures products derived from |
| 20 | | hemp intended for human or animal consumption to a hemp |
| 21 | | consumer product license. |
| 22 | | (b) An application for licensure shall be submitted to the |
| 23 | | Department on a form prescribed by the Department, which shall |
| 24 | | include: |
| 25 | | (1) the name, address, email address, and telephone |
|
| | 10300HB4293sam003 | - 8 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | number of the applicant; |
| 2 | | (2) identification of the facility that will be used |
| 3 | | for the processing, manufacturing, distribution, or retail |
| 4 | | sale of hemp, as applicable; |
| 5 | | (3) a copy of the current local zoning ordinance or |
| 6 | | permit and verification that the proposed hemp consumer |
| 7 | | products processor is in compliance with the local zoning |
| 8 | | rules and distance limitations established by the local |
| 9 | | jurisdiction for hemp consumer products processing; |
| 10 | | (4) the federal employer identification number of the |
| 11 | | applicant; |
| 12 | | (5) a copy and description of any other license or |
| 13 | | licenses issued by state or federal authorities related to |
| 14 | | hemp or cannabis operations or ancillary services; |
| 15 | | (6) a summary of the sources of industrial processes, |
| 16 | | hemp materials, hemp consumer CBD products, and hemp |
| 17 | | extract to be used, as applicable; |
| 18 | | (7) a description of any other businesses or business |
| 19 | | activities conducted on the premises to be licensed; |
| 20 | | (8) identification of the person or persons with the |
| 21 | | ability to direct the activity of the applicant or |
| 22 | | licensee, including principals, officers, or others with |
| 23 | | such control; and |
| 24 | | (9) any other information required by the Department. |
| 25 | | (c) The Department may reject or deny an application if it |
| 26 | | determines that the information contained therein does not |
|
| | 10300HB4293sam003 | - 9 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | meet the requirements or is incomplete, false, inaccurate, or |
| 2 | | omits a material fact. |
| 3 | | (f) Licenses shall not be transferable or assignable |
| 4 | | without prior written approval of the Department including, |
| 5 | | without limitation, to another licensee. |
| 6 | | (g) Licenses are valid for a period of one year and must be |
| 7 | | renewed annually at a fee of $5,000 or as otherwise determined |
| 8 | | by rule. |
| 9 | | (h) The Department may revoke any license issued under |
| 10 | | this Act for failure to adhere to the requirements of this Act |
| 11 | | and the rules adopted by the Department. |
| 12 | | Section 20. Requirements for hemp consumer products |
| 13 | | processor licensees. |
| 14 | | (a) The Department shall license and regulate hemp |
| 15 | | consumer products processors for the purpose of allowing |
| 16 | | processors to obtain and source lawful industrial hemp and |
| 17 | | hemp plant materials for manufacturing and processing finished |
| 18 | | hemp consumer products in accordance with this Act. |
| 19 | | (b) All hemp consumer products processors shall: |
| 20 | | (1) maintain sufficient records to demonstrate that |
| 21 | | any hemp or hemp extract used by the licensee was grown, |
| 22 | | derived, extracted, and transported in accordance with |
| 23 | | applicable laws and licensing requirements of the |
| 24 | | jurisdiction or jurisdictions from which such hemp or hemp |
| 25 | | extract was sourced and for hemp received from an |
|
| | 10300HB4293sam003 | - 10 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | out-of-state grower, processors shall also maintain |
| 2 | | records of the out-of-state grower registration or license |
| 3 | | number in the respective jurisdiction; |
| 4 | | (4) keep all designated extracting and manufacturing |
| 5 | | areas safe and sanitary, including, but not limited to, |
| 6 | | ensuring that those areas are adequately lit, cleaned, and |
| 7 | | smoke-free; |
| 8 | | (5) not use, in the extraction or manufacturing of any |
| 9 | | hemp consumer CBD products, synthetic cannabinoids, |
| 10 | | artificially derived cannabinoids, or |
| 11 | | tetrahydrocannabinol created through isomerization; and |
| 12 | | (6) maintain any and all records required by this Act |
| 13 | | for at least 3 years and immediately produce such records |
| 14 | | upon request of the Department. |
| 15 | | (c) A hemp product processor shall not offer for sale or |
| 16 | | distribution products to a location where prohibited by law or |
| 17 | | to a business that is not permitted to sell products made by |
| 18 | | the licensee. |
| 19 | | (d) The Department may conduct announced or unannounced |
| 20 | | premises or product inspections, including, but not limited |
| 21 | | to, inspection, audits, sampling, and testing of hemp, hemp |
| 22 | | extract, hemp consumer CBD products, or any solvents, |
| 23 | | chemicals, or materials used by the licensee. |
| 24 | | (e) A hemp consumer product processor shall comply with |
| 25 | | any other requirements or prohibitions set by administrative |
| 26 | | rule by the Department. |
|
| | 10300HB4293sam003 | - 11 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Section 25. Registration of hemp consumer CBD products. |
| 2 | | (a) Upon the availability of a hemp consumer CBD product |
| 3 | | registration application, all establishments, including |
| 4 | | physical and online establishments, shall register all hemp |
| 5 | | consumer CBD products offered for sale in the State with the |
| 6 | | Department. Hemp consumer CBD products must comply with |
| 7 | | registration requirements under this Act. |
| 8 | | (b) The Department shall create an online hemp consumer |
| 9 | | CBD product registration application. The Department may |
| 10 | | reject an application if the product hemp consumer CBD product |
| 11 | | does not meet the definition of a hemp consumer CBD product or |
| 12 | | meet any other hemp consumer CBD product requirements under |
| 13 | | this Act or under rules. |
| 14 | | (c) The product registration application shall include, |
| 15 | | but is not limited to: |
| 16 | | (1) the name of the hemp consumer CBD product; |
| 17 | | (2) recently conducted certificate of analysis; and |
| 18 | | (3) depiction of the label on the hemp consumer CBD |
| 19 | | product. |
| 20 | | (d) The Department shall maintain a list of registered |
| 21 | | hemp consumer CBD products on its website. |
| 22 | | (e) A new registration shall be submitted if there is a |
| 23 | | change to the name, label, recipe, or chemical composition of |
| 24 | | the hemp consumer CBD product. |
| 25 | | (f) Any registered hemp consumer CBD product offered for |
|
| | 10300HB4293sam003 | - 12 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | sale in the State may be subject to product inspection and |
| 2 | | sampling by the Department to ensure compliance with the |
| 3 | | registration requirements. Any retailer of a hemp consumer CBD |
| 4 | | product shall provide the Department with a reasonable sample |
| 5 | | upon request not to exceed 2 units per product type. |
| 6 | | (g) The Department may deregister any registered hemp |
| 7 | | consumer CBD product that is found not to be in compliance with |
| 8 | | the Act. The Department shall maintain a list of hemp consumer |
| 9 | | CBD product that have been deregistered on its website. Retail |
| 10 | | establishments shall have 30 days to remove from sale all hemp |
| 11 | | consumer CBD products that have been deregistered. |
| 12 | | (h) The Department may prohibit a hemp consumer CBD |
| 13 | | product registrant from registering hemp consumer CBD products |
| 14 | | if the registrant has had 3 hemp consumer CBD products |
| 15 | | deregistered in a one-year period, or as otherwise provided |
| 16 | | for by rule. |
| 17 | | (i) The Department shall set a fee of $150 and shall be |
| 18 | | deposited into the Industrial Hemp Regulatory Fund. The |
| 19 | | Department may adjust the fee by rule. |
| 20 | | (j) The Department may promulgate rules regarding the |
| 21 | | registration of hemp consumer CBD products. |
| 22 | | (k) Retailers or entities that offer for sale products |
| 23 | | that are found to meet the definition of a hemp consumer CBD |
| 24 | | product but are not registered are subject to a $500 fine per |
| 25 | | product. |
|
| | 10300HB4293sam003 | - 13 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Section 30. Requirements of hemp consumer CBD products. |
| 2 | | (a) All hemp consumer CBD products manufactured, |
| 3 | | processed, distributed, sold, or offered for sale in this |
| 4 | | State shall be subject to the following minimum requirements: |
| 5 | | (1) the hemp consumer CBD product shall: |
| 6 | | (A) contain naturally occurring hemp |
| 7 | | phytocannabinoids; |
| 8 | | (B) be intended for consumption by any means, |
| 9 | | including, but not limited to, oral ingestion, |
| 10 | | inhalation, smoking, or topical absorption; |
| 11 | | (C) contain a total tetrahydrocannabinol |
| 12 | | concentration of no greater than: |
| 13 | | (i) 0.3% for any intermediate or finished |
| 14 | | plant product or material, or any hemp consumer |
| 15 | | CBD product intended for consumption by inhalation |
| 16 | | or smoking; or |
| 17 | | (ii) 0.5 milligrams per serving or individual |
| 18 | | product unit, and 2 milligrams per package for |
| 19 | | products sold in multiple servings or units, for |
| 20 | | any beverage, food, oil, ointment, tincture, |
| 21 | | topical formation, or any other product that is |
| 22 | | intended for human or animal consumption by means |
| 23 | | other than inhalation or smoking; |
| 24 | | (D) contain an amount of total hemp cannabinoid |
| 25 | | concentration that is at least 25 times greater than |
| 26 | | the amount of total tetrahydrocannabinol concentration |
|
| | 10300HB4293sam003 | - 14 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | per serving and per package; |
| 2 | | (2) not contain liquor, wine, beer, or cider or meet |
| 3 | | the definition of alcoholic liquor under the Liquor |
| 4 | | Control Act of 1934; |
| 5 | | (3) not contain tobacco or nicotine in the product; |
| 6 | | (4) accurately reflect testing results and not contain |
| 7 | | less than 90% or more than 110% of the concentration of |
| 8 | | total cannabinoid content as listed on the product label; |
| 9 | | (5) be prepackaged and not added to food or any other |
| 10 | | consumable products at the point of sale; |
| 11 | | (6) comply with product testing standards set forth in |
| 12 | | this Act; and |
| 13 | | (7) not contain synthetic cannabinoids, artificially |
| 14 | | derived cannabinoids. |
| 15 | | (b) All concentrated hemp consumer CBD products intended |
| 16 | | for inhalation or vaporization shall meet the following |
| 17 | | additional requirements: |
| 18 | | (1) except for hemp-derived terpenes, excipients and |
| 19 | | ingredients must be pharmaceutical grade, unless otherwise |
| 20 | | approved by the Department, and shall not include: |
| 21 | | (A) synthetic terpenes; |
| 22 | | (B) polyethylene glycol (PEG); |
| 23 | | (C) vitamin E acetate; |
| 24 | | (D) medium chain triglycerides (MCT oil); |
| 25 | | (E) medicinal compounds; |
| 26 | | (F) illegal or controlled substances; |
|
| | 10300HB4293sam003 | - 15 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (G) artificial food coloring; |
| 2 | | (H) benzoic acid; |
| 3 | | (I) diketones; or |
| 4 | | (J) any other compound or ingredient as determined |
| 5 | | by the Department in rules; and |
| 6 | | (2) not contain any flavors or flavoring agents, |
| 7 | | except for hemp-derived terpenes; |
| 8 | | Section 35. Packaging and labeling of hemp consumer CBD |
| 9 | | products. |
| 10 | | (a) All hemp consumer CBD products distributed or offered |
| 11 | | for retail sale in this State shall include the following |
| 12 | | information on the product label or packaging: |
| 13 | | (2) a list of all ingredients in descending order of |
| 14 | | predominance by weight in the product; |
| 15 | | (3) The serving size and number of servings per |
| 16 | | package or container, including the milligrams per serving |
| 17 | | of detectable: |
| 18 | | (A) individual hemp cannabinoids; |
| 19 | | (B) total hemp cannabinoids; |
| 20 | | (C) individual THC cannabinoids; |
| 21 | | (D) total THC; |
| 22 | | (E) any other cannabinoids; |
| 23 | | (F) an expiration date; |
| 24 | | (H) the name of the hemp processor, whether |
| 25 | | in-state or out-of-state; |
|
| | 10300HB4293sam003 | - 16 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (K) a means for reporting serious adverse events; |
| 2 | | and |
| 3 | | (L) any other marking, statement, or symbol |
| 4 | | required by the Department, by rule. |
| 5 | | (b) No hemp consumer CBD product offered for retail sale |
| 6 | | shall be made attractive to children, imitate a candy label, |
| 7 | | widely available food label, or use fruit, cartoons, or other |
| 8 | | images popularly used to advertise to children or otherwise be |
| 9 | | marketed to children. |
| 10 | | (c) No hemp consumer CBD product shall be marketed, |
| 11 | | advertised, or offered for sale in a manner that would cause a |
| 12 | | reasonable consumer: |
| 13 | | (1) to be confused as to whether the hemp consumer CBD |
| 14 | | product is trademarked, marked or labeled in a manner that |
| 15 | | violates any federal trademark law or regulation; or |
| 16 | | (2) to believe that a hemp consumer CBD product is |
| 17 | | cannabis, or medical cannabis, or that a licensee is |
| 18 | | authorized to sell or dispense cannabis or medical |
| 19 | | cannabis, as those terms are defined in the Cannabis |
| 20 | | Regulation and Tax Act or the Compassionate Use of Medical |
| 21 | | Cannabis Program Act. |
| 22 | | (d) All hemp consumer CBD products offered for retail sale |
| 23 | | shall include the following warnings on the product label or |
| 24 | | packaging, in a manner that is clear and conspicuous: |
| 25 | | (1) this product must be kept out of the reach of |
| 26 | | children and pets; |
|
| | 10300HB4293sam003 | - 17 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (2) this product has not been evaluated or approved by |
| 2 | | the Food and Drug Administration for safety or efficacy; |
| 3 | | (3) if you are pregnant or nursing you should consult |
| 4 | | your health care provider before use; |
| 5 | | (4) for hemp consumer CBD products intended to be |
| 6 | | inhaled or vaporized, a warning stating that smoking or |
| 7 | | vaping is hazardous to your health; and |
| 8 | | (5) any other warning required by the Department. |
| 9 | | Section 40. Laboratory testing requirements for hemp |
| 10 | | consumer CBD products. |
| 11 | | (a) The Department shall approve hemp consumer CBD product |
| 12 | | testing laboratories to be contracted by licensees under this |
| 13 | | Act for testing of hemp consumer CBD products. All approved |
| 14 | | testing laboratories shall be listed on the Department's |
| 15 | | website. Out-of-state laboratories may be approved by the |
| 16 | | Department. |
| 17 | | (b) All approved testing laboratories shall meet the |
| 18 | | following minimum requirements: |
| 19 | | (1) maintain ISO/IEC 17025 accreditation for the |
| 20 | | physical testing location and for the testing of one or |
| 21 | | more of the analytes determined by the department; |
| 22 | | (2) maintain a valid scope of accreditation, issued by |
| 23 | | an accreditation body, that attests to the laboratory's |
| 24 | | competence to perform testing of hemp consumer CBD |
| 25 | | products; |
|
| | 10300HB4293sam003 | - 18 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (3) maintain method validation records for all testing |
| 2 | | conducted; |
| 3 | | (4) maintain standard operating procedures for the |
| 4 | | sampling of hemp consumer CBD products; and |
| 5 | | (5) maintain testing methodologies to ascertain the |
| 6 | | presence of synthetic cannabinoids, artificially derived |
| 7 | | cannabinoids, or cannabinoids created through |
| 8 | | isomerization, including tetrahydrocannabinol created |
| 9 | | through isomerization. |
| 10 | | (c) Hemp cannabinoid products shall not be sold within |
| 11 | | this State if hemp cannabinoid, THC, or other contaminants are |
| 12 | | detected at levels greater than provided for by this Act or |
| 13 | | rules or guidance adopted by the Department. |
| 14 | | (d) Hemp cannabinoid products shall be considered |
| 15 | | adulterated and shall not be sold within this State if there is |
| 16 | | the presence of synthetic cannabinoids, artificially derived |
| 17 | | cannabinoids, or cannabinoids created through isomerization, |
| 18 | | including tetrahydrocannabinol created through isomerization. |
| 19 | | (e) The Department may impose additional testing |
| 20 | | requirements, including, but not limited to, testing for |
| 21 | | additional analytes, setting stricter analyte, and mandating |
| 22 | | the use of specific sampling methodologies per lot, analyte |
| 23 | | per process, or batch manufactured. |
| 24 | | (f) The Department shall make available a list of required |
| 25 | | analytes, their acceptable limits, and approved testing |
| 26 | | methods on the Department's website and in any other manner as |
|
| | 10300HB4293sam003 | - 19 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | determined by the Department. |
| 2 | | (g) The total tetrahydrocannabinol concentration for hemp |
| 3 | | consumer CBD products shall not exceed the limits established |
| 4 | | in this Act. |
| 5 | | (h) If a hemp consumer CBD product fails testing, the |
| 6 | | processor may elect to reformulate the failing batch to reduce |
| 7 | | the total tetrahydrocannabinol of the batch to comply with the |
| 8 | | THC limits established by this Act. If the reformulated batch |
| 9 | | still exceeds the THC limits, the processor shall destroy the |
| 10 | | batch. |
| 11 | | (i) If a hemp consumer CBD product is found to contain |
| 12 | | levels of any pathogen, toxicant, residual solvent, metal, or |
| 13 | | pesticide not enumerated in this Section or by other State |
| 14 | | law, then the product may not be sold in this State. |
| 15 | | Section 45. Advertising requirements. An advertisement for |
| 16 | | a hemp consumer CBD product shall not: |
| 17 | | (1) include any false or misleading statements, |
| 18 | | images, or other content, including, but not limited to, |
| 19 | | any health claims; |
| 20 | | (2) contain claims that hemp consumption or a hemp |
| 21 | | consumer CBD product can, or is intended to, diagnose, |
| 22 | | cure, mitigate, treat, or prevent disease; |
| 23 | | (3) lead a reasonable consumer to believe that a hemp |
| 24 | | consumer CBD product is cannabis or medical cannabis, |
| 25 | | including any product that exceeds the THC limits |
|
| | 10300HB4293sam003 | - 20 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | established under this Act for lawful hemp consumer CBD |
| 2 | | products, or that a licensee is authorized to sell or |
| 3 | | dispense cannabis or medical cannabis; or |
| 4 | | (4) have the purpose or effect of targeting or being |
| 5 | | attractive to individuals under 21 years of age. The use |
| 6 | | of images of children or minors consuming hemp consumer |
| 7 | | CBD products and the use of words, designs, or brands that |
| 8 | | resemble products commonly associated with children, |
| 9 | | minors, or marketed to children or minors, is prohibited. |
| 10 | | Section 50. Sale of hemp-derived products to cannabis |
| 11 | | business establishments. |
| 12 | | (a) A hemp product processor may sell final hemp-derived |
| 13 | | intoxicating products to a craft grower and infuser |
| 14 | | organization licensed under the Cannabis Regulation and Tax |
| 15 | | Act to be sold as a cannabis-infused product to a dispensing |
| 16 | | organization. |
| 17 | | (b) A hemp-derived intoxicating product may contain up to |
| 18 | | 5 milligrams per serving and 10 milligrams per package of |
| 19 | | delta-9-tetrahydrocannabinol. A hemp-derived intoxicating |
| 20 | | product may not contain any other form of THC except |
| 21 | | delta-9-tetrahydrocannabinol. |
| 22 | | (c) A hemp-derived intoxicating product received by a |
| 23 | | craft grower or infuser must comply with all requirements of |
| 24 | | the Cannabis Regulation and Tax Act before sale to a |
| 25 | | dispensing organization. |
|
| | 10300HB4293sam003 | - 21 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (d) The sale of hemp-derived intoxicating product to |
| 2 | | cannabis business establishments shall be subject to any |
| 3 | | requirements and prohibitions set by administrative rule by |
| 4 | | the Department. |
| 5 | | (e) A hemp-derived intoxicating product, in addition to |
| 6 | | meeting any label requirement of the Cannabis Regulation and |
| 7 | | Tax Act, must indicate on the label that the product was |
| 8 | | derived from hemp. |
| 9 | | Section 55. License suspension; revocation; other |
| 10 | | penalties. |
| 11 | | (a) Notwithstanding any other criminal penalties related |
| 12 | | to the unlawful possession of cannabis, the Department may |
| 13 | | revoke, suspend, place on probation, reprimand, issue cease |
| 14 | | and desist orders, refuse to issue or renew a license, or take |
| 15 | | any other disciplinary or nondisciplinary action as the |
| 16 | | Department may deem proper with regard to a hemp consumer |
| 17 | | product processor, including fines not to exceed $15,000 for |
| 18 | | each violation of this Act or rules adopted under this Act. |
| 19 | | (b) The Department, as the case may be, shall consider |
| 20 | | licensee cooperation in any agency or other investigation in |
| 21 | | its determination of penalties imposed under this Section. |
| 22 | | (c) The procedures for disciplining a hemp consumer |
| 23 | | product processor and for administrative hearings shall be |
| 24 | | determined by rule, and shall provide for the review of final |
| 25 | | decisions under the Administrative Review Law. |
|
| | 10300HB4293sam003 | - 22 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Section 60. Administration and enforcement; rules; |
| 2 | | emergency rules; inspections. |
| 3 | | (a) The Department shall administer and enforce this Act |
| 4 | | and may adopt rules under the Illinois Administrative |
| 5 | | Procedure Act for the purpose of administering and enforcing |
| 6 | | this Act. |
| 7 | | (b) The Department shall update, through official guidance |
| 8 | | and publish publicly on its website, the cannabinoids that it |
| 9 | | deems tetrahydrocannabinol or THC on or before January 1 and |
| 10 | | July 1 of each calendar year. |
| 11 | | (c) The Department may develop rules setting forth |
| 12 | | labeling, packaging, and minimum testing requirements of |
| 13 | | cannabinoid products. |
| 14 | | (d) In order to provide for the expeditious and timely |
| 15 | | implementation of the provisions of this Act, the Department |
| 16 | | may adopt emergency rules in accordance with Section 5-45 of |
| 17 | | the Illinois Administrative Procedure Act to the extent |
| 18 | | necessary to administer the Department's responsibilities |
| 19 | | under this Act. The adoption of emergency rules authorized by |
| 20 | | this subsection (c) is deemed to be necessary for the public |
| 21 | | interest, safety, and welfare to regulate consumer safety over |
| 22 | | hemp consumer CBD products. |
| 23 | | (e) The Department of Public Health, local health |
| 24 | | departments, the Illinois State Police, local sheriff's |
| 25 | | departments, municipal police departments, and the Department |
|
| | 10300HB4293sam003 | - 23 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | of Revenue may inspect any business that manufactures, |
| 2 | | processes, or offers for sale cannabinoid products in the |
| 3 | | State if a formal complaint is registered with the appropriate |
| 4 | | agency in order to ensure compliance with this Act. The |
| 5 | | Department may inspect any business that manufactures, |
| 6 | | processes, or offers for sale cannabinoid products in the |
| 7 | | State to ensure compliance with this Act. The Department may |
| 8 | | enter into intergovernmental agreements to enforce this Act |
| 9 | | and any rules adopted under this Act. |
| 10 | | Section 70. Temporary restraining order or injunction. The |
| 11 | | Director, through the Attorney General or any unit of local |
| 12 | | government, may file a complaint and apply to the circuit |
| 13 | | court for, and the court upon hearing and for cause shown may |
| 14 | | grant, a temporary restraining order or a preliminary or |
| 15 | | permanent injunction restraining any person from violating |
| 16 | | this Act. |
| 17 | | Section 800. The Illinois Administrative Procedure Act is |
| 18 | | amended by adding Section 5-45.55 as follows: |
| 19 | | (5 ILCS 100/5-45.55 new) |
| 20 | | Sec. 5-45.55. Emergency rulemaking; Hemp Consumer Products |
| 21 | | Act. To provide for the expeditious and timely implementation |
| 22 | | of the Hemp Consumer Products Act, emergency rules |
| 23 | | implementing the Hemp Consumer Products Act may be adopted in |
|
| | 10300HB4293sam003 | - 24 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | accordance with Section 5-45 by the Department of Agriculture. |
| 2 | | The adoption of emergency rules authorized by Section 5-45 and |
| 3 | | this Section is deemed to be necessary for the public |
| 4 | | interest, safety, and welfare. |
| 5 | | This Section is repealed one year after the effective date |
| 6 | | of this amendatory Act of the 103rd General Assembly. |
| 7 | | Section 805. The Illinois Procurement Code is amended by |
| 8 | | changing Section 1-10 as follows: |
| 9 | | (30 ILCS 500/1-10) |
| 10 | | Sec. 1-10. Application. |
| 11 | | (a) This Code applies only to procurements for which |
| 12 | | bidders, offerors, potential contractors, or contractors were |
| 13 | | first solicited on or after July 1, 1998. This Code shall not |
| 14 | | be construed to affect or impair any contract, or any |
| 15 | | provision of a contract, entered into based on a solicitation |
| 16 | | prior to the implementation date of this Code as described in |
| 17 | | Article 99, including, but not limited to, any covenant |
| 18 | | entered into with respect to any revenue bonds or similar |
| 19 | | instruments. All procurements for which contracts are |
| 20 | | solicited between the effective date of Articles 50 and 99 and |
| 21 | | July 1, 1998 shall be substantially in accordance with this |
| 22 | | Code and its intent. |
| 23 | | (b) This Code shall apply regardless of the source of the |
| 24 | | funds with which the contracts are paid, including federal |
|
| | 10300HB4293sam003 | - 25 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | assistance moneys. This Code shall not apply to: |
| 2 | | (1) Contracts between the State and its political |
| 3 | | subdivisions or other governments, or between State |
| 4 | | governmental bodies, except as specifically provided in |
| 5 | | this Code. |
| 6 | | (2) Grants, except for the filing requirements of |
| 7 | | Section 20-80. |
| 8 | | (3) Purchase of care, except as provided in Section |
| 9 | | 5-30.6 of the Illinois Public Aid Code and this Section. |
| 10 | | (4) Hiring of an individual as an employee and not as |
| 11 | | an independent contractor, whether pursuant to an |
| 12 | | employment code or policy or by contract directly with |
| 13 | | that individual. |
| 14 | | (5) Collective bargaining contracts. |
| 15 | | (6) Purchase of real estate, except that notice of |
| 16 | | this type of contract with a value of more than $25,000 |
| 17 | | must be published in the Procurement Bulletin within 10 |
| 18 | | calendar days after the deed is recorded in the county of |
| 19 | | jurisdiction. The notice shall identify the real estate |
| 20 | | purchased, the names of all parties to the contract, the |
| 21 | | value of the contract, and the effective date of the |
| 22 | | contract. |
| 23 | | (7) Contracts necessary to prepare for anticipated |
| 24 | | litigation, enforcement actions, or investigations, |
| 25 | | provided that the chief legal counsel to the Governor |
| 26 | | shall give his or her prior approval when the procuring |
|
| | 10300HB4293sam003 | - 26 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | agency is one subject to the jurisdiction of the Governor, |
| 2 | | and provided that the chief legal counsel of any other |
| 3 | | procuring entity subject to this Code shall give his or |
| 4 | | her prior approval when the procuring entity is not one |
| 5 | | subject to the jurisdiction of the Governor. |
| 6 | | (8) (Blank). |
| 7 | | (9) Procurement expenditures by the Illinois |
| 8 | | Conservation Foundation when only private funds are used. |
| 9 | | (10) (Blank). |
| 10 | | (11) Public-private agreements entered into according |
| 11 | | to the procurement requirements of Section 20 of the |
| 12 | | Public-Private Partnerships for Transportation Act and |
| 13 | | design-build agreements entered into according to the |
| 14 | | procurement requirements of Section 25 of the |
| 15 | | Public-Private Partnerships for Transportation Act. |
| 16 | | (12) (A) Contracts for legal, financial, and other |
| 17 | | professional and artistic services entered into by the |
| 18 | | Illinois Finance Authority in which the State of Illinois |
| 19 | | is not obligated. Such contracts shall be awarded through |
| 20 | | a competitive process authorized by the members of the |
| 21 | | Illinois Finance Authority and are subject to Sections |
| 22 | | 5-30, 20-160, 50-13, 50-20, 50-35, and 50-37 of this Code, |
| 23 | | as well as the final approval by the members of the |
| 24 | | Illinois Finance Authority of the terms of the contract. |
| 25 | | (B) Contracts for legal and financial services entered |
| 26 | | into by the Illinois Housing Development Authority in |
|
| | 10300HB4293sam003 | - 27 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | connection with the issuance of bonds in which the State |
| 2 | | of Illinois is not obligated. Such contracts shall be |
| 3 | | awarded through a competitive process authorized by the |
| 4 | | members of the Illinois Housing Development Authority and |
| 5 | | are subject to Sections 5-30, 20-160, 50-13, 50-20, 50-35, |
| 6 | | and 50-37 of this Code, as well as the final approval by |
| 7 | | the members of the Illinois Housing Development Authority |
| 8 | | of the terms of the contract. |
| 9 | | (13) Contracts for services, commodities, and |
| 10 | | equipment to support the delivery of timely forensic |
| 11 | | science services in consultation with and subject to the |
| 12 | | approval of the Chief Procurement Officer as provided in |
| 13 | | subsection (d) of Section 5-4-3a of the Unified Code of |
| 14 | | Corrections, except for the requirements of Sections |
| 15 | | 20-60, 20-65, 20-70, and 20-160 and Article 50 of this |
| 16 | | Code; however, the Chief Procurement Officer may, in |
| 17 | | writing with justification, waive any certification |
| 18 | | required under Article 50 of this Code. For any contracts |
| 19 | | for services which are currently provided by members of a |
| 20 | | collective bargaining agreement, the applicable terms of |
| 21 | | the collective bargaining agreement concerning |
| 22 | | subcontracting shall be followed. |
| 23 | | On and after January 1, 2019, this paragraph (13), |
| 24 | | except for this sentence, is inoperative. |
| 25 | | (14) Contracts for participation expenditures required |
| 26 | | by a domestic or international trade show or exhibition of |
|
| | 10300HB4293sam003 | - 28 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | an exhibitor, member, or sponsor. |
| 2 | | (15) Contracts with a railroad or utility that |
| 3 | | requires the State to reimburse the railroad or utilities |
| 4 | | for the relocation of utilities for construction or other |
| 5 | | public purpose. Contracts included within this paragraph |
| 6 | | (15) shall include, but not be limited to, those |
| 7 | | associated with: relocations, crossings, installations, |
| 8 | | and maintenance. For the purposes of this paragraph (15), |
| 9 | | "railroad" means any form of non-highway ground |
| 10 | | transportation that runs on rails or electromagnetic |
| 11 | | guideways and "utility" means: (1) public utilities as |
| 12 | | defined in Section 3-105 of the Public Utilities Act, (2) |
| 13 | | telecommunications carriers as defined in Section 13-202 |
| 14 | | of the Public Utilities Act, (3) electric cooperatives as |
| 15 | | defined in Section 3.4 of the Electric Supplier Act, (4) |
| 16 | | telephone or telecommunications cooperatives as defined in |
| 17 | | Section 13-212 of the Public Utilities Act, (5) rural |
| 18 | | water or waste water systems with 10,000 connections or |
| 19 | | less, (6) a holder as defined in Section 21-201 of the |
| 20 | | Public Utilities Act, and (7) municipalities owning or |
| 21 | | operating utility systems consisting of public utilities |
| 22 | | as that term is defined in Section 11-117-2 of the |
| 23 | | Illinois Municipal Code. |
| 24 | | (16) Procurement expenditures necessary for the |
| 25 | | Department of Public Health to provide the delivery of |
| 26 | | timely newborn screening services in accordance with the |
|
| | 10300HB4293sam003 | - 29 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Newborn Metabolic Screening Act. |
| 2 | | (17) Procurement expenditures necessary for the |
| 3 | | Department of Agriculture, the Department of Financial and |
| 4 | | Professional Regulation, the Department of Human Services, |
| 5 | | and the Department of Public Health to implement the |
| 6 | | Compassionate Use of Medical Cannabis Program and Opioid |
| 7 | | Alternative Pilot Program requirements and ensure access |
| 8 | | to medical cannabis for patients with debilitating medical |
| 9 | | conditions in accordance with the Compassionate Use of |
| 10 | | Medical Cannabis Program Act. |
| 11 | | (18) This Code does not apply to any procurements |
| 12 | | necessary for the Department of Agriculture or , the |
| 13 | | Department of Financial and Professional Regulation, the |
| 14 | | Department of Human Services, the Department of Commerce |
| 15 | | and Economic Opportunity, and the Department of Public |
| 16 | | Health to implement the Cannabis Regulation and Tax Act |
| 17 | | and the Department of Agriculture to implement the Hemp |
| 18 | | Consumer Products Act, if the applicable agency has made a |
| 19 | | good faith determination that it is necessary and |
| 20 | | appropriate for the expenditure to fall within this |
| 21 | | exemption and if the process is conducted in a manner |
| 22 | | substantially in accordance with the requirements of |
| 23 | | Sections 20-160, 25-60, 30-22, 50-5, 50-10, 50-10.5, |
| 24 | | 50-12, 50-13, 50-15, 50-20, 50-21, 50-35, 50-36, 50-37, |
| 25 | | 50-38, and 50-50 of this Code; however, for Section 50-35, |
| 26 | | compliance applies only to contracts or subcontracts over |
|
| | 10300HB4293sam003 | - 30 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | $100,000. Notice of each contract entered into under this |
| 2 | | paragraph (18) that is related to the procurement of goods |
| 3 | | and services identified in paragraph (1) through (9) of |
| 4 | | this subsection shall be published in the Procurement |
| 5 | | Bulletin within 14 calendar days after contract execution. |
| 6 | | The Chief Procurement Officer shall prescribe the form and |
| 7 | | content of the notice. Each agency shall provide the Chief |
| 8 | | Procurement Officer, on a monthly basis, in the form and |
| 9 | | content prescribed by the Chief Procurement Officer, a |
| 10 | | report of contracts that are related to the procurement of |
| 11 | | goods and services identified in this subsection. At a |
| 12 | | minimum, this report shall include the name of the |
| 13 | | contractor, a description of the supply or service |
| 14 | | provided, the total amount of the contract, the term of |
| 15 | | the contract, and the exception to this Code utilized. A |
| 16 | | copy of any or all of these contracts shall be made |
| 17 | | available to the Chief Procurement Officer immediately |
| 18 | | upon request. The Chief Procurement Officer shall submit a |
| 19 | | report to the Governor and General Assembly no later than |
| 20 | | November 1 of each year that includes, at a minimum, an |
| 21 | | annual summary of the monthly information reported to the |
| 22 | | Chief Procurement Officer. This exemption becomes |
| 23 | | inoperative 7 5 years after June 25, 2019 (the effective |
| 24 | | date of Public Act 101-27). |
| 25 | | (19) Acquisition of modifications or adjustments, |
| 26 | | limited to assistive technology devices and assistive |
|
| | 10300HB4293sam003 | - 31 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | technology services, adaptive equipment, repairs, and |
| 2 | | replacement parts to provide reasonable accommodations (i) |
| 3 | | that enable a qualified applicant with a disability to |
| 4 | | complete the job application process and be considered for |
| 5 | | the position such qualified applicant desires, (ii) that |
| 6 | | modify or adjust the work environment to enable a |
| 7 | | qualified current employee with a disability to perform |
| 8 | | the essential functions of the position held by that |
| 9 | | employee, (iii) to enable a qualified current employee |
| 10 | | with a disability to enjoy equal benefits and privileges |
| 11 | | of employment as are enjoyed by other similarly situated |
| 12 | | employees without disabilities, and (iv) that allow a |
| 13 | | customer, client, claimant, or member of the public |
| 14 | | seeking State services full use and enjoyment of and |
| 15 | | access to its programs, services, or benefits. |
| 16 | | For purposes of this paragraph (19): |
| 17 | | "Assistive technology devices" means any item, piece |
| 18 | | of equipment, or product system, whether acquired |
| 19 | | commercially off the shelf, modified, or customized, that |
| 20 | | is used to increase, maintain, or improve functional |
| 21 | | capabilities of individuals with disabilities. |
| 22 | | "Assistive technology services" means any service that |
| 23 | | directly assists an individual with a disability in |
| 24 | | selection, acquisition, or use of an assistive technology |
| 25 | | device. |
| 26 | | "Qualified" has the same meaning and use as provided |
|
| | 10300HB4293sam003 | - 32 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | under the federal Americans with Disabilities Act when |
| 2 | | describing an individual with a disability. |
| 3 | | (20) Procurement expenditures necessary for the |
| 4 | | Illinois Commerce Commission to hire third-party |
| 5 | | facilitators pursuant to Sections 16-105.17 and 16-108.18 |
| 6 | | of the Public Utilities Act or an ombudsman pursuant to |
| 7 | | Section 16-107.5 of the Public Utilities Act, a |
| 8 | | facilitator pursuant to Section 16-105.17 of the Public |
| 9 | | Utilities Act, or a grid auditor pursuant to Section |
| 10 | | 16-105.10 of the Public Utilities Act. |
| 11 | | (21) Procurement expenditures for the purchase, |
| 12 | | renewal, and expansion of software, software licenses, or |
| 13 | | software maintenance agreements that support the efforts |
| 14 | | of the Illinois State Police to enforce, regulate, and |
| 15 | | administer the Firearm Owners Identification Card Act, the |
| 16 | | Firearm Concealed Carry Act, the Firearms Restraining |
| 17 | | Order Act, the Firearm Dealer License Certification Act, |
| 18 | | the Law Enforcement Agencies Data System (LEADS), the |
| 19 | | Uniform Crime Reporting Act, the Criminal Identification |
| 20 | | Act, the Illinois Uniform Conviction Information Act, and |
| 21 | | the Gun Trafficking Information Act, or establish or |
| 22 | | maintain record management systems necessary to conduct |
| 23 | | human trafficking investigations or gun trafficking or |
| 24 | | other stolen firearm investigations. This paragraph (21) |
| 25 | | applies to contracts entered into on or after January 10, |
| 26 | | 2023 (the effective date of Public Act 102-1116) and the |
|
| | 10300HB4293sam003 | - 33 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | renewal of contracts that are in effect on January 10, |
| 2 | | 2023 (the effective date of Public Act 102-1116). |
| 3 | | (22) Contracts for project management services and |
| 4 | | system integration services required for the completion of |
| 5 | | the State's enterprise resource planning project. This |
| 6 | | exemption becomes inoperative 5 years after June 7, 2023 |
| 7 | | (the effective date of the changes made to this Section by |
| 8 | | Public Act 103-8). This paragraph (22) applies to |
| 9 | | contracts entered into on or after June 7, 2023 (the |
| 10 | | effective date of the changes made to this Section by |
| 11 | | Public Act 103-8) and the renewal of contracts that are in |
| 12 | | effect on June 7, 2023 (the effective date of the changes |
| 13 | | made to this Section by Public Act 103-8). |
| 14 | | (23) Procurements necessary for the Department of |
| 15 | | Insurance to implement the Illinois Health Benefits |
| 16 | | Exchange Law if the Department of Insurance has made a |
| 17 | | good faith determination that it is necessary and |
| 18 | | appropriate for the expenditure to fall within this |
| 19 | | exemption. The procurement process shall be conducted in a |
| 20 | | manner substantially in accordance with the requirements |
| 21 | | of Sections 20-160 and 25-60 and Article 50 of this Code. A |
| 22 | | copy of these contracts shall be made available to the |
| 23 | | Chief Procurement Officer immediately upon request. This |
| 24 | | paragraph is inoperative 5 years after June 27, 2023 (the |
| 25 | | effective date of Public Act 103-103). |
| 26 | | (24) (22) Contracts for public education programming, |
|
| | 10300HB4293sam003 | - 34 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | noncommercial sustaining announcements, public service |
| 2 | | announcements, and public awareness and education |
| 3 | | messaging with the nonprofit trade associations of the |
| 4 | | providers of those services that inform the public on |
| 5 | | immediate and ongoing health and safety risks and hazards. |
| 6 | | Notwithstanding any other provision of law, for contracts |
| 7 | | with an annual value of more than $100,000 entered into on or |
| 8 | | after October 1, 2017 under an exemption provided in any |
| 9 | | paragraph of this subsection (b), except paragraph (1), (2), |
| 10 | | or (5), each State agency shall post to the appropriate |
| 11 | | procurement bulletin the name of the contractor, a description |
| 12 | | of the supply or service provided, the total amount of the |
| 13 | | contract, the term of the contract, and the exception to the |
| 14 | | Code utilized. The chief procurement officer shall submit a |
| 15 | | report to the Governor and General Assembly no later than |
| 16 | | November 1 of each year that shall include, at a minimum, an |
| 17 | | annual summary of the monthly information reported to the |
| 18 | | chief procurement officer. |
| 19 | | (c) This Code does not apply to the electric power |
| 20 | | procurement process provided for under Section 1-75 of the |
| 21 | | Illinois Power Agency Act and Section 16-111.5 of the Public |
| 22 | | Utilities Act. This Code does not apply to the procurement of |
| 23 | | technical and policy experts pursuant to Section 1-129 of the |
| 24 | | Illinois Power Agency Act. |
| 25 | | (d) Except for Section 20-160 and Article 50 of this Code, |
| 26 | | and as expressly required by Section 9.1 of the Illinois |
|
| | 10300HB4293sam003 | - 35 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Lottery Law, the provisions of this Code do not apply to the |
| 2 | | procurement process provided for under Section 9.1 of the |
| 3 | | Illinois Lottery Law. |
| 4 | | (e) This Code does not apply to the process used by the |
| 5 | | Capital Development Board to retain a person or entity to |
| 6 | | assist the Capital Development Board with its duties related |
| 7 | | to the determination of costs of a clean coal SNG brownfield |
| 8 | | facility, as defined by Section 1-10 of the Illinois Power |
| 9 | | Agency Act, as required in subsection (h-3) of Section 9-220 |
| 10 | | of the Public Utilities Act, including calculating the range |
| 11 | | of capital costs, the range of operating and maintenance |
| 12 | | costs, or the sequestration costs or monitoring the |
| 13 | | construction of clean coal SNG brownfield facility for the |
| 14 | | full duration of construction. |
| 15 | | (f) (Blank). |
| 16 | | (g) (Blank). |
| 17 | | (h) This Code does not apply to the process to procure or |
| 18 | | contracts entered into in accordance with Sections 11-5.2 and |
| 19 | | 11-5.3 of the Illinois Public Aid Code. |
| 20 | | (i) Each chief procurement officer may access records |
| 21 | | necessary to review whether a contract, purchase, or other |
| 22 | | expenditure is or is not subject to the provisions of this |
| 23 | | Code, unless such records would be subject to attorney-client |
| 24 | | privilege. |
| 25 | | (j) This Code does not apply to the process used by the |
| 26 | | Capital Development Board to retain an artist or work or works |
|
| | 10300HB4293sam003 | - 36 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | of art as required in Section 14 of the Capital Development |
| 2 | | Board Act. |
| 3 | | (k) This Code does not apply to the process to procure |
| 4 | | contracts, or contracts entered into, by the State Board of |
| 5 | | Elections or the State Electoral Board for hearing officers |
| 6 | | appointed pursuant to the Election Code. |
| 7 | | (l) This Code does not apply to the processes used by the |
| 8 | | Illinois Student Assistance Commission to procure supplies and |
| 9 | | services paid for from the private funds of the Illinois |
| 10 | | Prepaid Tuition Fund. As used in this subsection (l), "private |
| 11 | | funds" means funds derived from deposits paid into the |
| 12 | | Illinois Prepaid Tuition Trust Fund and the earnings thereon. |
| 13 | | (m) This Code shall apply regardless of the source of |
| 14 | | funds with which contracts are paid, including federal |
| 15 | | assistance moneys. Except as specifically provided in this |
| 16 | | Code, this Code shall not apply to procurement expenditures |
| 17 | | necessary for the Department of Public Health to conduct the |
| 18 | | Healthy Illinois Survey in accordance with Section 2310-431 of |
| 19 | | the Department of Public Health Powers and Duties Law of the |
| 20 | | Civil Administrative Code of Illinois. |
| 21 | | (Source: P.A. 102-175, eff. 7-29-21; 102-483, eff 1-1-22; |
| 22 | | 102-558, eff. 8-20-21; 102-600, eff. 8-27-21; 102-662, eff. |
| 23 | | 9-15-21; 102-721, eff. 1-1-23; 102-813, eff. 5-13-22; |
| 24 | | 102-1116, eff. 1-10-23; 103-8, eff. 6-7-23; 103-103, eff. |
| 25 | | 6-27-23; 103-570, eff. 1-1-24; 103-580, eff. 12-8-23; revised |
| 26 | | 1-2-24.) |
|
| | 10300HB4293sam003 | - 37 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Section 810. The State Finance Act is amended by changing |
| 2 | | Section 6z-112 as follows: |
| 3 | | (30 ILCS 105/6z-112) |
| 4 | | Sec. 6z-112. The Cannabis Regulation Fund. |
| 5 | | (a) There is created the Cannabis Regulation Fund in the |
| 6 | | State treasury, subject to appropriations unless otherwise |
| 7 | | provided in this Section. All moneys collected under the |
| 8 | | Cannabis Regulation and Tax Act shall be deposited into the |
| 9 | | Cannabis Regulation Fund, consisting of taxes, license fees, |
| 10 | | other fees, and any other amounts required to be deposited or |
| 11 | | transferred into the Fund. |
| 12 | | (b) Whenever the Department of Revenue determines that a |
| 13 | | refund should be made under the Cannabis Regulation and Tax |
| 14 | | Act to a claimant, the Department of Revenue shall submit a |
| 15 | | voucher for payment to the State Comptroller, who shall cause |
| 16 | | the order to be drawn for the amount specified and to the |
| 17 | | person named in the notification from the Department of |
| 18 | | Revenue. This subsection (b) shall constitute an irrevocable |
| 19 | | and continuing appropriation of all amounts necessary for the |
| 20 | | payment of refunds out of the Fund as authorized under this |
| 21 | | subsection (b). |
| 22 | | (c) On or before the 25th day of each calendar month, the |
| 23 | | Department of Revenue shall prepare and certify to the State |
| 24 | | Comptroller the transfer and allocations of stated sums of |
|
| | 10300HB4293sam003 | - 38 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | money from the Cannabis Regulation Fund to other named funds |
| 2 | | in the State treasury. The amount subject to transfer shall be |
| 3 | | the amount of the taxes, license fees, other fees, and any |
| 4 | | other amounts paid into the Fund during the second preceding |
| 5 | | calendar month, minus the refunds made under subsection (b) |
| 6 | | during the second preceding calendar month by the Department. |
| 7 | | The transfers shall be certified as follows: |
| 8 | | (1) The Department of Revenue shall first determine |
| 9 | | the allocations which shall remain in the Cannabis |
| 10 | | Regulation Fund, subject to appropriations, to pay for the |
| 11 | | direct and indirect costs associated with the |
| 12 | | implementation, administration, and enforcement of the |
| 13 | | Cannabis Regulation and Tax Act by the Department of |
| 14 | | Revenue, the Department of State Police, the Department of |
| 15 | | Financial and Professional Regulation, the Department of |
| 16 | | Agriculture, the Department of Public Health, the |
| 17 | | Department of Commerce and Economic Opportunity, and the |
| 18 | | Illinois Criminal Justice Information Authority, and the |
| 19 | | Hemp Consumer Products Act by the Department of |
| 20 | | Agriculture. |
| 21 | | (2) After the allocations have been made as provided |
| 22 | | in paragraph (1) of this subsection (c), of the remainder |
| 23 | | of the amount subject to transfer for the month as |
| 24 | | determined in this subsection (c), the Department shall |
| 25 | | certify the transfer into the Cannabis Expungement Fund |
| 26 | | 1/12 of the fiscal year amount appropriated from the |
|
| | 10300HB4293sam003 | - 39 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Cannabis Expungement Fund for payment of costs incurred by |
| 2 | | State courts, the Attorney General, State's Attorneys, |
| 3 | | civil legal aid, as defined by Section 15 of the Public |
| 4 | | Interest Attorney Assistance Act, and the Department of |
| 5 | | State Police to facilitate petitions for expungement of |
| 6 | | Minor Cannabis Offenses pursuant to Public Act 101-27, as |
| 7 | | adjusted by any supplemental appropriation, plus |
| 8 | | cumulative deficiencies in such transfers for prior |
| 9 | | months. |
| 10 | | (3) After the allocations have been made as provided |
| 11 | | in paragraphs (1) and (2) of this subsection (c), the |
| 12 | | Department of Revenue shall certify to the State |
| 13 | | Comptroller and the State Treasurer shall transfer the |
| 14 | | amounts that the Department of Revenue determines shall be |
| 15 | | transferred into the following named funds according to |
| 16 | | the following: |
| 17 | | (A) 2% shall be transferred to the Drug Treatment |
| 18 | | Fund to be used by the Department of Human Services |
| 19 | | for: (i) developing and administering a scientifically |
| 20 | | and medically accurate public education campaign |
| 21 | | educating youth and adults about the health and safety |
| 22 | | risks of alcohol, tobacco, illegal drug use (including |
| 23 | | prescription drugs), and cannabis, including use by |
| 24 | | pregnant women; and (ii) data collection and analysis |
| 25 | | of the public health impacts of legalizing the |
| 26 | | recreational use of cannabis. Expenditures for these |
|
| | 10300HB4293sam003 | - 40 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | purposes shall be subject to appropriations. |
| 2 | | (B) 8% shall be transferred to the Local |
| 3 | | Government Distributive Fund and allocated as provided |
| 4 | | in Section 2 of the State Revenue Sharing Act. The |
| 5 | | moneys shall be used to fund crime prevention |
| 6 | | programs, training, and interdiction efforts, |
| 7 | | including detection, enforcement, and prevention |
| 8 | | efforts, relating to the illegal cannabis market and |
| 9 | | driving under the influence of cannabis. |
| 10 | | (C) 25% shall be transferred to the Criminal |
| 11 | | Justice Information Projects Fund to be used for the |
| 12 | | purposes of the Restore, Reinvest, and Renew Program |
| 13 | | to address economic development, violence prevention |
| 14 | | services, re-entry services, youth development, and |
| 15 | | civil legal aid, as defined by Section 15 of the Public |
| 16 | | Interest Attorney Assistance Act. The Restore, |
| 17 | | Reinvest, and Renew Program shall address these issues |
| 18 | | through targeted investments and intervention programs |
| 19 | | and promotion of an employment infrastructure and |
| 20 | | capacity building related to the social determinants |
| 21 | | of health in impacted community areas. Expenditures |
| 22 | | for these purposes shall be subject to appropriations. |
| 23 | | (D) 20% shall be transferred to the Department of |
| 24 | | Human Services Community Services Fund, to be used to |
| 25 | | address substance abuse and prevention and mental |
| 26 | | health concerns, including treatment, education, and |
|
| | 10300HB4293sam003 | - 41 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | prevention to address the negative impacts of |
| 2 | | substance abuse and mental health issues, including |
| 3 | | concentrated poverty, violence, and the historical |
| 4 | | overuse of criminal justice responses in certain |
| 5 | | communities, on the individual, family, and community, |
| 6 | | including federal, State, and local governments, |
| 7 | | health care institutions and providers, and |
| 8 | | correctional facilities. Expenditures for these |
| 9 | | purposes shall be subject to appropriations. |
| 10 | | (E) 10% shall be transferred to the Budget |
| 11 | | Stabilization Fund. |
| 12 | | (F) 35%, or any remaining balance, shall be |
| 13 | | transferred to the General Revenue Fund. |
| 14 | | As soon as may be practical, but no later than 10 days |
| 15 | | after receipt, by the State Comptroller of the transfer |
| 16 | | certification provided for in this subsection (c) to be given |
| 17 | | to the State Comptroller by the Department of Revenue, the |
| 18 | | State Comptroller shall direct and the State Treasurer shall |
| 19 | | transfer the respective amounts in accordance with the |
| 20 | | directions contained in such certification. |
| 21 | | (d) On July 1, 2019 the Department of Revenue shall |
| 22 | | certify to the State Comptroller and the State Treasurer shall |
| 23 | | transfer $5,000,000 from the Compassionate Use of Medical |
| 24 | | Cannabis Fund to the Cannabis Regulation Fund. |
| 25 | | (e) Notwithstanding any other law to the contrary and |
| 26 | | except as otherwise provided in this Section, this Fund is not |
|
| | 10300HB4293sam003 | - 42 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | subject to sweeps, administrative charge-backs, or any other |
| 2 | | fiscal or budgetary maneuver that would in any way transfer |
| 3 | | any amounts from this Fund into any other fund of the State. |
| 4 | | (f) The Cannabis Regulation Fund shall retain a balance of |
| 5 | | $1,000,000 for the purposes of administrative costs. |
| 6 | | (g) In Fiscal Year 2024 the allocations in subsection (c) |
| 7 | | of this Section shall be reviewed and adjusted if the General |
| 8 | | Assembly finds there is a greater need for funding for a |
| 9 | | specific purpose in the State as it relates to Public Act |
| 10 | | 101-27. |
| 11 | | (Source: P.A. 101-27, eff. 6-25-19; 102-558, eff. 8-20-21.) |
| 12 | | Section 815. The Cannabis Regulation and Tax Act is |
| 13 | | amended by changing Sections 1-10, 15-155, 55-35, 60-10, |
| 14 | | 60-15, and 60-20 and by adding Sections 20-60, 30-30, 35-25, |
| 15 | | and 55-5.5 as follows: |
| 16 | | (410 ILCS 705/1-10) |
| 17 | | Sec. 1-10. Definitions. In this Act: |
| 18 | | "Adult Use Cultivation Center License" means a license |
| 19 | | issued by the Department of Agriculture that permits a person |
| 20 | | to act as a cultivation center under this Act and any |
| 21 | | administrative rule made in furtherance of this Act. |
| 22 | | "Adult Use Dispensing Organization License" means a |
| 23 | | license issued by the Department of Financial and Professional |
| 24 | | Regulation that permits a person to act as a dispensing |
|
| | 10300HB4293sam003 | - 43 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | organization under this Act and any administrative rule made |
| 2 | | in furtherance of this Act. |
| 3 | | "Advertise" means to engage in promotional activities |
| 4 | | including, but not limited to: newspaper, radio, Internet and |
| 5 | | electronic media, and television advertising; the distribution |
| 6 | | of fliers and circulars; billboard advertising; and the |
| 7 | | display of window and interior signs. "Advertise" does not |
| 8 | | mean exterior signage displaying only the name of the licensed |
| 9 | | cannabis business establishment. |
| 10 | | "Application points" means the number of points a |
| 11 | | Dispensary Applicant receives on an application for a |
| 12 | | Conditional Adult Use Dispensing Organization License. |
| 13 | | "BLS Region" means a region in Illinois used by the United |
| 14 | | States Bureau of Labor Statistics to gather and categorize |
| 15 | | certain employment and wage data. The 17 such regions in |
| 16 | | Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion, |
| 17 | | Champaign-Urbana, Chicago-Naperville-Elgin, Danville, |
| 18 | | Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria, |
| 19 | | Rockford, St. Louis, Springfield, Northwest Illinois |
| 20 | | nonmetropolitan area, West Central Illinois nonmetropolitan |
| 21 | | area, East Central Illinois nonmetropolitan area, and South |
| 22 | | Illinois nonmetropolitan area. |
| 23 | | "By lot" means a randomized method of choosing between 2 |
| 24 | | or more Eligible Tied Applicants or 2 or more Qualifying |
| 25 | | Applicants. |
| 26 | | "Cannabis" means marijuana, hashish, and other substances |
|
| | 10300HB4293sam003 | - 44 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | that are identified as including any parts of the plant |
| 2 | | Cannabis sativa and including derivatives or subspecies, such |
| 3 | | as indica, of all strains of cannabis, whether growing or not; |
| 4 | | the seeds thereof, the resin extracted from any part of the |
| 5 | | plant; and any compound, manufacture, salt, derivative, |
| 6 | | mixture, or preparation of the plant, its seeds, or resin, |
| 7 | | including tetrahydrocannabinol (THC) and all other naturally |
| 8 | | produced cannabinol derivatives, whether produced directly or |
| 9 | | indirectly by extraction, including, but not limited to, any |
| 10 | | structural, optical, or geometric isomers of THC, or any |
| 11 | | chemical compound that mimics THC; however, "cannabis" does |
| 12 | | not include the mature stalks of the plant, fiber produced |
| 13 | | from the stalks, oil or cake made from the seeds of the plant, |
| 14 | | any other compound, manufacture, salt, derivative, mixture, or |
| 15 | | preparation of the mature stalks (except the resin extracted |
| 16 | | from it), fiber, oil or cake, or the sterilized seed of the |
| 17 | | plant that is incapable of germination. "Cannabis" does not |
| 18 | | include industrial hemp as defined and authorized under the |
| 19 | | Industrial Hemp Act. "Cannabis" also means cannabis flower, |
| 20 | | concentrate, and cannabis-infused products and any product |
| 21 | | whether derived from natural or synthetic sources with a THC |
| 22 | | concentration greater than the THC limit set forth in the Hemp |
| 23 | | Consumer Products Act. |
| 24 | | "Cannabis business establishment" means a cultivation |
| 25 | | center, craft grower, processing organization, infuser |
| 26 | | organization, dispensing organization, or transporting |
|
| | 10300HB4293sam003 | - 45 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | organization. |
| 2 | | "Cannabis concentrate" means a product derived from |
| 3 | | cannabis that is produced by extracting cannabinoids, |
| 4 | | including tetrahydrocannabinol (THC), from the plant through |
| 5 | | the use of propylene glycol, glycerin, butter, olive oil, or |
| 6 | | other typical cooking fats; water, ice, or dry ice; or butane, |
| 7 | | propane, CO2, ethanol, or isopropanol and with the intended |
| 8 | | use of smoking or making a cannabis-infused product. The use |
| 9 | | of any other solvent is expressly prohibited unless and until |
| 10 | | it is approved by the Department of Agriculture. |
| 11 | | "Cannabis container" means a sealed or resealable, |
| 12 | | traceable, container, or package used for the purpose of |
| 13 | | containment of cannabis or cannabis-infused product during |
| 14 | | transportation. |
| 15 | | "Cannabis flower" means marijuana, hashish, and other |
| 16 | | substances that are identified as including any parts of the |
| 17 | | plant Cannabis sativa and including derivatives or subspecies, |
| 18 | | such as indica, of all strains of cannabis; including raw |
| 19 | | kief, leaves, and buds, but not resin that has been extracted |
| 20 | | from any part of such plant; nor any compound, manufacture, |
| 21 | | salt, derivative, mixture, or preparation of such plant, its |
| 22 | | seeds, or resin. |
| 23 | | "Cannabis-infused product" means a beverage, food, oil, |
| 24 | | ointment, tincture, topical formulation, or another product |
| 25 | | containing cannabis or cannabis concentrate that is not |
| 26 | | intended to be smoked. |
|
| | 10300HB4293sam003 | - 46 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | "Cannabis paraphernalia" means equipment, products, or |
| 2 | | materials intended to be used for planting, propagating, |
| 3 | | cultivating, growing, harvesting, manufacturing, producing, |
| 4 | | processing, preparing, testing, analyzing, packaging, |
| 5 | | repackaging, storing, containing, concealing, ingesting, or |
| 6 | | otherwise introducing cannabis into the human body. |
| 7 | | "Cannabis plant monitoring system" or "plant monitoring |
| 8 | | system" means a system that includes, but is not limited to, |
| 9 | | testing and data collection established and maintained by the |
| 10 | | cultivation center, craft grower, or processing organization |
| 11 | | and that is available to the Department of Revenue, the |
| 12 | | Department of Agriculture, the Department of Financial and |
| 13 | | Professional Regulation, and the Illinois State Police for the |
| 14 | | purposes of documenting each cannabis plant and monitoring |
| 15 | | plant development throughout the life cycle of a cannabis |
| 16 | | plant cultivated for the intended use by a customer from seed |
| 17 | | planting to final packaging. |
| 18 | | "Cannabis testing facility" means an entity registered by |
| 19 | | the Department of Agriculture to test cannabis for potency and |
| 20 | | contaminants. |
| 21 | | "Clone" means a plant section from a female cannabis plant |
| 22 | | not yet rootbound, growing in a water solution or other |
| 23 | | propagation matrix, that is capable of developing into a new |
| 24 | | plant. |
| 25 | | "Community College Cannabis Vocational Training Pilot |
| 26 | | Program faculty participant" means a person who is 21 years of |
|
| | 10300HB4293sam003 | - 47 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | age or older, licensed by the Department of Agriculture, and |
| 2 | | is employed or contracted by an Illinois community college to |
| 3 | | provide student instruction using cannabis plants at an |
| 4 | | Illinois community college Community College. |
| 5 | | "Community College Cannabis Vocational Training Pilot |
| 6 | | Program faculty participant Agent Identification Card" means a |
| 7 | | document issued by the Department of Agriculture that |
| 8 | | identifies a person as a Community College Cannabis Vocational |
| 9 | | Training Pilot Program faculty participant. |
| 10 | | "Conditional Adult Use Dispensing Organization License" |
| 11 | | means a contingent license awarded to applicants for an Adult |
| 12 | | Use Dispensing Organization License that reserves the right to |
| 13 | | an Adult Use Dispensing Organization License if the applicant |
| 14 | | meets certain conditions described in this Act, but does not |
| 15 | | entitle the recipient to begin purchasing or selling cannabis |
| 16 | | or cannabis-infused products. |
| 17 | | "Conditional Adult Use Cultivation Center License" means a |
| 18 | | license awarded to top-scoring applicants for an Adult Use |
| 19 | | Cultivation Center License that reserves the right to an Adult |
| 20 | | Use Cultivation Center License if the applicant meets certain |
| 21 | | conditions as determined by the Department of Agriculture by |
| 22 | | rule, but does not entitle the recipient to begin growing, |
| 23 | | processing, or selling cannabis or cannabis-infused products. |
| 24 | | "Craft grower" means a facility operated by an |
| 25 | | organization or business that is licensed by the Department of |
| 26 | | Agriculture to cultivate, dry, cure, and package cannabis and |
|
| | 10300HB4293sam003 | - 48 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | perform other necessary activities to make cannabis available |
| 2 | | for sale at a dispensing organization or use at a processing |
| 3 | | organization. A craft grower may contain up to 5,000 square |
| 4 | | feet of canopy space on its premises for plants in the |
| 5 | | flowering state. The Department of Agriculture may authorize |
| 6 | | an increase or decrease of flowering stage cultivation space |
| 7 | | in increments of 3,000 square feet by rule based on market |
| 8 | | need, craft grower capacity, and the licensee's history of |
| 9 | | compliance or noncompliance, with a maximum space of 14,000 |
| 10 | | square feet for cultivating plants in the flowering stage, |
| 11 | | which must be cultivated in all stages of growth in an enclosed |
| 12 | | and secure area. A craft grower may share premises with a |
| 13 | | processing organization or a dispensing organization, or both, |
| 14 | | provided each licensee stores currency and cannabis or |
| 15 | | cannabis-infused products in a separate secured vault to which |
| 16 | | the other licensee does not have access or all licensees |
| 17 | | sharing a vault share more than 50% of the same ownership. |
| 18 | | "Craft grower agent" means a principal officer, board |
| 19 | | member, employee, or other agent of a craft grower who is 21 |
| 20 | | years of age or older. |
| 21 | | "Craft Grower Agent Identification Card" means a document |
| 22 | | issued by the Department of Agriculture that identifies a |
| 23 | | person as a craft grower agent. |
| 24 | | "Cultivation center" means a facility operated by an |
| 25 | | organization or business that is licensed by the Department of |
| 26 | | Agriculture to cultivate, process, transport (unless otherwise |
|
| | 10300HB4293sam003 | - 49 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | limited by this Act), and perform other necessary activities |
| 2 | | to provide cannabis and cannabis-infused products to cannabis |
| 3 | | business establishments. |
| 4 | | "Cultivation center agent" means a principal officer, |
| 5 | | board member, employee, or other agent of a cultivation center |
| 6 | | who is 21 years of age or older. |
| 7 | | "Cultivation Center Agent Identification Card" means a |
| 8 | | document issued by the Department of Agriculture that |
| 9 | | identifies a person as a cultivation center agent. |
| 10 | | "Currency" means currency and coin of the United States. |
| 11 | | "Dispensary" means a facility operated by a dispensing |
| 12 | | organization at which activities licensed by this Act may |
| 13 | | occur. |
| 14 | | "Dispensary Applicant" means the Proposed Dispensing |
| 15 | | Organization Name as stated on an application for a |
| 16 | | Conditional Adult Use Dispensing Organization License. |
| 17 | | "Dispensing organization" means a facility operated by an |
| 18 | | organization or business that is licensed by the Department of |
| 19 | | Financial and Professional Regulation to acquire cannabis from |
| 20 | | a cultivation center, craft grower, processing organization, |
| 21 | | or another dispensary for the purpose of selling or dispensing |
| 22 | | cannabis, cannabis-infused products, cannabis seeds, |
| 23 | | paraphernalia, or related supplies under this Act to |
| 24 | | purchasers or to qualified registered medical cannabis |
| 25 | | patients and caregivers. As used in this Act, "dispensing |
| 26 | | organization" includes a registered medical cannabis |
|
| | 10300HB4293sam003 | - 50 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | organization as defined in the Compassionate Use of Medical |
| 2 | | Cannabis Program Act or its successor Act that has obtained an |
| 3 | | Early Approval Adult Use Dispensing Organization License. |
| 4 | | "Dispensing organization agent" means a principal officer, |
| 5 | | employee, or agent of a dispensing organization who is 21 |
| 6 | | years of age or older. |
| 7 | | "Dispensing organization agent identification card" means |
| 8 | | a document issued by the Department of Financial and |
| 9 | | Professional Regulation that identifies a person as a |
| 10 | | dispensing organization agent. |
| 11 | | "Disproportionately Impacted Area" means a census tract or |
| 12 | | comparable geographic area that satisfies the following |
| 13 | | criteria as determined by the Department of Commerce and |
| 14 | | Economic Opportunity, that: |
| 15 | | (1) meets at least one of the following criteria: |
| 16 | | (A) the area has a poverty rate of at least 20% |
| 17 | | according to the latest federal decennial census; or |
| 18 | | (B) 75% or more of the children in the area |
| 19 | | participate in the federal free lunch program |
| 20 | | according to reported statistics from the State Board |
| 21 | | of Education; or |
| 22 | | (C) at least 20% of the households in the area |
| 23 | | receive assistance under the Supplemental Nutrition |
| 24 | | Assistance Program; or |
| 25 | | (D) the area has an average unemployment rate, as |
| 26 | | determined by the Illinois Department of Employment |
|
| | 10300HB4293sam003 | - 51 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Security, that is more than 120% of the national |
| 2 | | unemployment average, as determined by the United |
| 3 | | States Department of Labor, for a period of at least 2 |
| 4 | | consecutive calendar years preceding the date of the |
| 5 | | application; and |
| 6 | | (2) has high rates of arrest, conviction, and |
| 7 | | incarceration related to the sale, possession, use, |
| 8 | | cultivation, manufacture, or transport of cannabis. |
| 9 | | "Early Approval Adult Use Cultivation Center License" |
| 10 | | means a license that permits a medical cannabis cultivation |
| 11 | | center licensed under the Compassionate Use of Medical |
| 12 | | Cannabis Program Act as of the effective date of this Act to |
| 13 | | begin cultivating, infusing, packaging, transporting (unless |
| 14 | | otherwise provided in this Act), processing, and selling |
| 15 | | cannabis or cannabis-infused product to cannabis business |
| 16 | | establishments for resale to purchasers as permitted by this |
| 17 | | Act as of January 1, 2020. |
| 18 | | "Early Approval Adult Use Dispensing Organization License" |
| 19 | | means a license that permits a medical cannabis dispensing |
| 20 | | organization licensed under the Compassionate Use of Medical |
| 21 | | Cannabis Program Act as of the effective date of this Act to |
| 22 | | begin selling cannabis or cannabis-infused product to |
| 23 | | purchasers as permitted by this Act as of January 1, 2020. |
| 24 | | "Early Approval Adult Use Dispensing Organization at a |
| 25 | | secondary site" means a license that permits a medical |
| 26 | | cannabis dispensing organization licensed under the |
|
| | 10300HB4293sam003 | - 52 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Compassionate Use of Medical Cannabis Program Act as of the |
| 2 | | effective date of this Act to begin selling cannabis or |
| 3 | | cannabis-infused product to purchasers as permitted by this |
| 4 | | Act on January 1, 2020 at a different dispensary location from |
| 5 | | its existing registered medical dispensary location. |
| 6 | | "Eligible Tied Applicant" means a Tied Applicant that is |
| 7 | | eligible to participate in the process by which a remaining |
| 8 | | available license is distributed by lot pursuant to a Tied |
| 9 | | Applicant Lottery. |
| 10 | | "Enclosed, locked facility" means a room, greenhouse, |
| 11 | | building, or other enclosed area equipped with locks or other |
| 12 | | security devices that permit access only by cannabis business |
| 13 | | establishment agents working for the licensed cannabis |
| 14 | | business establishment or acting pursuant to this Act to |
| 15 | | cultivate, process, store, or distribute cannabis. |
| 16 | | "Enclosed, locked space" means a closet, room, greenhouse, |
| 17 | | building, or other enclosed area equipped with locks or other |
| 18 | | security devices that permit access only by authorized |
| 19 | | individuals under this Act. "Enclosed, locked space" may |
| 20 | | include: |
| 21 | | (1) a space within a residential building that (i) is |
| 22 | | the primary residence of the individual cultivating 5 or |
| 23 | | fewer cannabis plants that are more than 5 inches tall and |
| 24 | | (ii) includes sleeping quarters and indoor plumbing. The |
| 25 | | space must only be accessible by a key or code that is |
| 26 | | different from any key or code that can be used to access |
|
| | 10300HB4293sam003 | - 53 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | the residential building from the exterior; or |
| 2 | | (2) a structure, such as a shed or greenhouse, that |
| 3 | | lies on the same plot of land as a residential building |
| 4 | | that (i) includes sleeping quarters and indoor plumbing |
| 5 | | and (ii) is used as a primary residence by the person |
| 6 | | cultivating 5 or fewer cannabis plants that are more than |
| 7 | | 5 inches tall, such as a shed or greenhouse. The structure |
| 8 | | must remain locked when it is unoccupied by people. |
| 9 | | "Financial institution" has the same meaning as "financial |
| 10 | | organization" as defined in Section 1501 of the Illinois |
| 11 | | Income Tax Act, and also includes the holding companies, |
| 12 | | subsidiaries, and affiliates of such financial organizations. |
| 13 | | "Flowering stage" means the stage of cultivation where and |
| 14 | | when a cannabis plant is cultivated to produce plant material |
| 15 | | for cannabis products. This includes mature plants as follows: |
| 16 | | (1) if greater than 2 stigmas are visible at each |
| 17 | | internode of the plant; or |
| 18 | | (2) if the cannabis plant is in an area that has been |
| 19 | | intentionally deprived of light for a period of time |
| 20 | | intended to produce flower buds and induce maturation, |
| 21 | | from the moment the light deprivation began through the |
| 22 | | remainder of the marijuana plant growth cycle. |
| 23 | | "Individual" means a natural person. |
| 24 | | "Infuser organization" or "infuser" means a facility |
| 25 | | operated by an organization or business that is licensed by |
| 26 | | the Department of Agriculture to directly incorporate cannabis |
|
| | 10300HB4293sam003 | - 54 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | or cannabis concentrate into a product formulation to produce |
| 2 | | a cannabis-infused product. |
| 3 | | "Kief" means the resinous crystal-like trichomes that are |
| 4 | | found on cannabis and that are accumulated, resulting in a |
| 5 | | higher concentration of cannabinoids, untreated by heat or |
| 6 | | pressure, or extracted using a solvent. |
| 7 | | "Labor peace agreement" means an agreement between a |
| 8 | | cannabis business establishment and any labor organization |
| 9 | | recognized under the National Labor Relations Act, referred to |
| 10 | | in this Act as a bona fide labor organization, that prohibits |
| 11 | | labor organizations and members from engaging in picketing, |
| 12 | | work stoppages, boycotts, and any other economic interference |
| 13 | | with the cannabis business establishment. This agreement means |
| 14 | | that the cannabis business establishment has agreed not to |
| 15 | | disrupt efforts by the bona fide labor organization to |
| 16 | | communicate with, and attempt to organize and represent, the |
| 17 | | cannabis business establishment's employees. The agreement |
| 18 | | shall provide a bona fide labor organization access at |
| 19 | | reasonable times to areas in which the cannabis business |
| 20 | | establishment's employees work, for the purpose of meeting |
| 21 | | with employees to discuss their right to representation, |
| 22 | | employment rights under State law, and terms and conditions of |
| 23 | | employment. This type of agreement shall not mandate a |
| 24 | | particular method of election or certification of the bona |
| 25 | | fide labor organization. |
| 26 | | "Limited access area" means a room or other area under the |
|
| | 10300HB4293sam003 | - 55 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | control of a cannabis dispensing organization licensed under |
| 2 | | this Act and upon the licensed premises where cannabis sales |
| 3 | | occur with access limited to purchasers, dispensing |
| 4 | | organization owners and other dispensing organization agents, |
| 5 | | or service professionals conducting business with the |
| 6 | | dispensing organization, or, if sales to registered qualifying |
| 7 | | patients, caregivers, provisional patients, and Opioid |
| 8 | | Alternative Pilot Program participants licensed pursuant to |
| 9 | | the Compassionate Use of Medical Cannabis Program Act are also |
| 10 | | permitted at the dispensary, registered qualifying patients, |
| 11 | | caregivers, provisional patients, and Opioid Alternative Pilot |
| 12 | | Program participants. |
| 13 | | "Member of an impacted family" means an individual who has |
| 14 | | a parent, legal guardian, child, spouse, or dependent, or was |
| 15 | | a dependent of an individual who, prior to the effective date |
| 16 | | of this Act, was arrested for, convicted of, or adjudicated |
| 17 | | delinquent for any offense that is eligible for expungement |
| 18 | | under this Act. |
| 19 | | "Mother plant" means a cannabis plant that is cultivated |
| 20 | | or maintained for the purpose of generating clones, and that |
| 21 | | will not be used to produce plant material for sale to an |
| 22 | | infuser or dispensing organization. |
| 23 | | "Ordinary public view" means within the sight line with |
| 24 | | normal visual range of a person, unassisted by visual aids, |
| 25 | | from a public street or sidewalk adjacent to real property, or |
| 26 | | from within an adjacent property. |
|
| | 10300HB4293sam003 | - 56 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | "Ownership and control" means ownership of at least 51% of |
| 2 | | the business, including corporate stock if a corporation, and |
| 3 | | control over the management and day-to-day operations of the |
| 4 | | business and an interest in the capital, assets, and profits |
| 5 | | and losses of the business proportionate to percentage of |
| 6 | | ownership. |
| 7 | | "Person" means a natural individual, firm, partnership, |
| 8 | | association, joint stock company, joint venture, public or |
| 9 | | private corporation, limited liability company, or a receiver, |
| 10 | | executor, trustee, guardian, or other representative appointed |
| 11 | | by order of any court. |
| 12 | | "Possession limit" means the amount of cannabis under |
| 13 | | Section 10-10 that may be possessed at any one time by a person |
| 14 | | 21 years of age or older or who is a registered qualifying |
| 15 | | medical cannabis patient or caregiver under the Compassionate |
| 16 | | Use of Medical Cannabis Program Act. |
| 17 | | "Principal officer" includes a cannabis business |
| 18 | | establishment applicant or licensed cannabis business |
| 19 | | establishment's board member, owner with more than 1% interest |
| 20 | | of the total cannabis business establishment or more than 5% |
| 21 | | interest of the total cannabis business establishment of a |
| 22 | | publicly traded company, president, vice president, secretary, |
| 23 | | treasurer, partner, officer, member, manager member, or person |
| 24 | | with a profit sharing, financial interest, or revenue sharing |
| 25 | | arrangement. The definition includes a person with authority |
| 26 | | to control the cannabis business establishment, a person who |
|
| | 10300HB4293sam003 | - 57 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | assumes responsibility for the debts of the cannabis business |
| 2 | | establishment and who is further defined in this Act. |
| 3 | | "Primary residence" means a dwelling where a person |
| 4 | | usually stays or stays more often than other locations. It may |
| 5 | | be determined by, without limitation, presence, tax filings; |
| 6 | | address on an Illinois driver's license, an Illinois |
| 7 | | Identification Card, or an Illinois Person with a Disability |
| 8 | | Identification Card; or voter registration. No person may have |
| 9 | | more than one primary residence. |
| 10 | | "Processing organization" or "processor" means a facility |
| 11 | | operated by an organization or business that is licensed by |
| 12 | | the Department of Agriculture to either extract constituent |
| 13 | | chemicals or compounds to produce cannabis concentrate or |
| 14 | | incorporate cannabis or cannabis concentrate into a product |
| 15 | | formulation to produce a cannabis product. |
| 16 | | "Processing organization agent" means a principal officer, |
| 17 | | board member, employee, or agent of a processing organization. |
| 18 | | "Processing organization agent identification card" means |
| 19 | | a document issued by the Department of Agriculture that |
| 20 | | identifies a person as a processing organization agent. |
| 21 | | "Purchaser" means a person 21 years of age or older who |
| 22 | | acquires cannabis for a valuable consideration. "Purchaser" |
| 23 | | does not include a cardholder under the Compassionate Use of |
| 24 | | Medical Cannabis Program Act. |
| 25 | | "Qualifying Applicant" means an applicant that submitted |
| 26 | | an application pursuant to Section 15-30 that received at |
|
| | 10300HB4293sam003 | - 58 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | least 85% of 250 application points available under Section |
| 2 | | 15-30 as the applicant's final score and meets the definition |
| 3 | | of "Social Equity Applicant" as set forth under this Section. |
| 4 | | "Qualifying Social Equity Justice Involved Applicant" |
| 5 | | means an applicant that submitted an application pursuant to |
| 6 | | Section 15-30 that received at least 85% of 250 application |
| 7 | | points available under Section 15-30 as the applicant's final |
| 8 | | score and meets the criteria of either paragraph (1) or (2) of |
| 9 | | the definition of "Social Equity Applicant" as set forth under |
| 10 | | this Section. |
| 11 | | "Qualified Social Equity Applicant" means a Social Equity |
| 12 | | Applicant who has been awarded a conditional license under |
| 13 | | this Act to operate a cannabis business establishment. |
| 14 | | "Resided" means an individual's primary residence was |
| 15 | | located within the relevant geographic area as established by |
| 16 | | 2 of the following: |
| 17 | | (1) a signed lease agreement that includes the |
| 18 | | applicant's name; |
| 19 | | (2) a property deed that includes the applicant's |
| 20 | | name; |
| 21 | | (3) school records; |
| 22 | | (4) a voter registration card; |
| 23 | | (5) an Illinois driver's license, an Illinois |
| 24 | | Identification Card, or an Illinois Person with a |
| 25 | | Disability Identification Card; |
| 26 | | (6) a paycheck stub; |
|
| | 10300HB4293sam003 | - 59 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (7) a utility bill; |
| 2 | | (8) tax records; or |
| 3 | | (9) any other proof of residency or other information |
| 4 | | necessary to establish residence as provided by rule. |
| 5 | | "Smoking" means the inhalation of smoke caused by the |
| 6 | | combustion of cannabis. |
| 7 | | "Social Equity Applicant" means an applicant that is an |
| 8 | | Illinois resident that meets one of the following criteria: |
| 9 | | (1) an applicant with at least 51% ownership and |
| 10 | | control by one or more individuals who have resided for at |
| 11 | | least 5 of the preceding 10 years in a Disproportionately |
| 12 | | Impacted Area; |
| 13 | | (2) an applicant with at least 51% ownership and |
| 14 | | control by one or more individuals who: |
| 15 | | (i) have been arrested for, convicted of, or |
| 16 | | adjudicated delinquent for any offense that is |
| 17 | | eligible for expungement under this Act; or |
| 18 | | (ii) is a member of an impacted family; |
| 19 | | (3) for applicants with a minimum of 10 full-time |
| 20 | | employees, an applicant with at least 51% of current |
| 21 | | employees who: |
| 22 | | (i) currently reside in a Disproportionately |
| 23 | | Impacted Area; or |
| 24 | | (ii) have been arrested for, convicted of, or |
| 25 | | adjudicated delinquent for any offense that is |
| 26 | | eligible for expungement under this Act or member of |
|
| | 10300HB4293sam003 | - 60 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | an impacted family. |
| 2 | | Nothing in this Act shall be construed to preempt or limit |
| 3 | | the duties of any employer under the Job Opportunities for |
| 4 | | Qualified Applicants Act. Nothing in this Act shall permit an |
| 5 | | employer to require an employee to disclose sealed or expunged |
| 6 | | offenses, unless otherwise required by law. |
| 7 | | "Tetrahydrocannabinol" or "THC" means any naturally |
| 8 | | occurring or synthetic tetrahydrocannabinol, including its |
| 9 | | salts, isomers, and salts of isomers whenever the existence of |
| 10 | | such salts, isomers, and salts of isomers is possible within |
| 11 | | the specific chemical designation and any preparation, |
| 12 | | mixture, or substance containing, or mixed or infused with, |
| 13 | | any detectable amount of tetrahydrocannabinol or |
| 14 | | tetrahydrocannabolic acid, including, but not limited to, |
| 15 | | delta-8-tetrahydrocannabinol, delta-9-tetrahydrocannabinol, |
| 16 | | delta-10-tetrahydrocannabinol, tetrahydrocannabolic acid, |
| 17 | | tetrahydrocannabipherol, or hexahydrocannabinol, however |
| 18 | | derived, or any other substance determined to have similar |
| 19 | | intoxicating effects on the mind or body by the Department. |
| 20 | | For the purposes of this definition, "isomer" means the |
| 21 | | optical, position, and geometric isomers. |
| 22 | | "Tied Applicant" means an application submitted by a |
| 23 | | Dispensary Applicant pursuant to Section 15-30 that received |
| 24 | | the same number of application points under Section 15-30 as |
| 25 | | the Dispensary Applicant's final score as one or more |
| 26 | | top-scoring applications in the same BLS Region and would have |
|
| | 10300HB4293sam003 | - 61 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | been awarded a license but for the one or more other |
| 2 | | top-scoring applications that received the same number of |
| 3 | | application points. Each application for which a Dispensary |
| 4 | | Applicant was required to pay a required application fee for |
| 5 | | the application period ending January 2, 2020 shall be |
| 6 | | considered an application of a separate Tied Applicant. |
| 7 | | "Tied Applicant Lottery" means the process established |
| 8 | | under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult |
| 9 | | Use Dispensing Organization Licenses pursuant to Sections |
| 10 | | 15-25 and 15-30 among Eligible Tied Applicants. |
| 11 | | "Tincture" means a cannabis-infused solution, typically |
| 12 | | comprised of alcohol, glycerin, or vegetable oils, derived |
| 13 | | either directly from the cannabis plant or from a processed |
| 14 | | cannabis extract. A tincture is not an alcoholic liquor as |
| 15 | | defined in the Liquor Control Act of 1934. A tincture shall |
| 16 | | include a calibrated dropper or other similar device capable |
| 17 | | of accurately measuring servings. |
| 18 | | "Transporting organization" or "transporter" means an |
| 19 | | organization or business that is licensed by the Department of |
| 20 | | Agriculture to transport cannabis or cannabis-infused product |
| 21 | | on behalf of a cannabis business establishment or a community |
| 22 | | college licensed under the Community College Cannabis |
| 23 | | Vocational Training Pilot Program. |
| 24 | | "Transporting organization agent" means a principal |
| 25 | | officer, board member, employee, or agent of a transporting |
| 26 | | organization. |
|
| | 10300HB4293sam003 | - 62 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | "Transporting organization agent identification card" |
| 2 | | means a document issued by the Department of Agriculture that |
| 3 | | identifies a person as a transporting organization agent. |
| 4 | | "Unit of local government" means any county, city, |
| 5 | | village, or incorporated town. |
| 6 | | "Vegetative stage" means the stage of cultivation in which |
| 7 | | a cannabis plant is propagated to produce additional cannabis |
| 8 | | plants or reach a sufficient size for production. This |
| 9 | | includes seedlings, clones, mothers, and other immature |
| 10 | | cannabis plants as follows: |
| 11 | | (1) if the cannabis plant is in an area that has not |
| 12 | | been intentionally deprived of light for a period of time |
| 13 | | intended to produce flower buds and induce maturation, it |
| 14 | | has no more than 2 stigmas visible at each internode of the |
| 15 | | cannabis plant; or |
| 16 | | (2) any cannabis plant that is cultivated solely for |
| 17 | | the purpose of propagating clones and is never used to |
| 18 | | produce cannabis. |
| 19 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; |
| 20 | | 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. |
| 21 | | 5-13-22.) |
| 22 | | (410 ILCS 705/15-155) |
| 23 | | Sec. 15-155. Unlicensed practice; violation; civil |
| 24 | | penalty. |
| 25 | | (a) In addition to any other penalty provided by law, any |
|
| | 10300HB4293sam003 | - 63 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | person who practices, offers to practice, attempts to |
| 2 | | practice, or holds oneself out to practice as a licensed |
| 3 | | dispensing organization owner, principal officer, |
| 4 | | agent-in-charge, or agent, cultivates, processes, distributes, |
| 5 | | sells, or offers for sale cannabis, cannabis-infused products, |
| 6 | | cannabis concentrates, or cannabis flower without being |
| 7 | | licensed under this Act shall, in addition to any other |
| 8 | | penalty provided by law, pay a civil penalty to the Department |
| 9 | | of Financial and Professional Regulation in an amount not to |
| 10 | | exceed $10,000 for each offense as determined by the |
| 11 | | Department. Each day a person engages in unlicensed practice |
| 12 | | in violation of the provisions of this Section constitutes a |
| 13 | | separate offense. The civil penalty shall be assessed by the |
| 14 | | Department after a hearing is held in accordance with the |
| 15 | | provisions set forth in this Act regarding the provision of a |
| 16 | | hearing for the discipline of a licensee. |
| 17 | | (b) The Department, the Attorney General, any State or |
| 18 | | local law enforcement agency, or any State's Attorney has the |
| 19 | | authority and power to investigate any and all unlicensed |
| 20 | | activity. |
| 21 | | (c) The civil penalty shall be paid within 60 days after |
| 22 | | the effective date of the order imposing the civil penalty or |
| 23 | | in accordance with the order imposing the civil penalty. The |
| 24 | | order shall constitute a judgment and may be filed and |
| 25 | | execution had thereon in the same manner as any judgment from |
| 26 | | any court of this State. |
|
| | 10300HB4293sam003 | - 64 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (d) A violation of subsection (a) is an unlawful practice |
| 2 | | under Section 2 of the Consumer Fraud and Deceptive Business |
| 3 | | Practices Act. All remedies, penalties, and authority granted |
| 4 | | to the Attorney General under that Act shall be available for |
| 5 | | the enforcement of this Act. |
| 6 | | (e) Nothing in this Section prohibits a unit of local |
| 7 | | government from enacting a local law or ordinance to carry out |
| 8 | | enforcement activities and assess civil penalties against |
| 9 | | unlicensed cannabis sales. |
| 10 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) |
| 11 | | (410 ILCS 705/20-60 new) |
| 12 | | Sec. 20-60. Unlicensed practice; violation; civil penalty. |
| 13 | | (a) In addition to any other penalty provided by law, any |
| 14 | | person who practices, offers to practice, attempts to |
| 15 | | practice, or holds oneself out to practice as a licensed |
| 16 | | cultivation center, infuser, or craft grower owner, principal |
| 17 | | officer, agent-in-charge, or agent or who cultivates, |
| 18 | | processes, distributes, sells, or offers for sale cannabis, |
| 19 | | cannabis-infused products, cannabis concentrates, or cannabis |
| 20 | | flower without being licensed under this Act shall, in |
| 21 | | addition to any other penalty provided by law, pay a civil |
| 22 | | penalty to the Department of Agriculture in an amount not to |
| 23 | | exceed $10,000 for each offense. Each day any person engages |
| 24 | | in unlicensed practice in violation of the provisions of this |
| 25 | | Section constitutes a separate offense. The civil penalty |
|
| | 10300HB4293sam003 | - 65 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | shall be assessed by the Department after a hearing is held in |
| 2 | | accordance with the provisions set forth in this Act regarding |
| 3 | | hearings for the discipline of a licensee. |
| 4 | | (b) The Department, the Attorney General, any State or |
| 5 | | local law enforcement agency, or any State's Attorney has the |
| 6 | | authority and power to investigate any and all unlicensed |
| 7 | | activity. |
| 8 | | (c) The civil penalty shall be paid within 60 days after |
| 9 | | the effective date of the order imposing the civil penalty or |
| 10 | | in accordance with the order imposing the civil penalty. The |
| 11 | | order shall constitute a judgment and may be filed and |
| 12 | | execution had thereon in the same manner as any judgment from |
| 13 | | any court of this State. |
| 14 | | (d) In addition to any other remedies or penalties |
| 15 | | provided by law, a unit of local government may suspend or |
| 16 | | revoke any locally established licenses held by the person, |
| 17 | | and prohibit the person from further operations and seize any |
| 18 | | cannabis or THC product. |
| 19 | | (410 ILCS 705/30-30) |
| 20 | | Sec. 30-30. Craft grower requirements; prohibitions. |
| 21 | | (a) The operating documents of a craft grower shall |
| 22 | | include procedures for the oversight of the craft grower, a |
| 23 | | cannabis plant monitoring system including a physical |
| 24 | | inventory recorded weekly, accurate recordkeeping, and a |
| 25 | | staffing plan. |
|
| | 10300HB4293sam003 | - 66 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (b) A craft grower shall implement a security plan |
| 2 | | reviewed by the Illinois State Police that includes, but is |
| 3 | | not limited to: facility access controls, perimeter intrusion |
| 4 | | detection systems, personnel identification systems, and a |
| 5 | | 24-hour surveillance system to monitor the interior and |
| 6 | | exterior of the craft grower facility and that is accessible |
| 7 | | to authorized law enforcement and the Department of |
| 8 | | Agriculture in real time. |
| 9 | | (c) All cultivation of cannabis by a craft grower must |
| 10 | | take place in an enclosed, locked facility at the physical |
| 11 | | address provided to the Department of Agriculture during the |
| 12 | | licensing process. The craft grower location shall only be |
| 13 | | accessed by the agents working for the craft grower, the |
| 14 | | Department of Agriculture staff performing inspections, the |
| 15 | | Department of Public Health staff performing inspections, |
| 16 | | State and local law enforcement or other emergency personnel, |
| 17 | | contractors working on jobs unrelated to cannabis, such as |
| 18 | | installing or maintaining security devices or performing |
| 19 | | electrical wiring, transporting organization agents as |
| 20 | | provided in this Act, or participants in the incubator |
| 21 | | program, individuals in a mentoring or educational program |
| 22 | | approved by the State, or other individuals as provided by |
| 23 | | rule. However, if a craft grower shares a premises with an |
| 24 | | infuser or dispensing organization, agents from those other |
| 25 | | licensees may access the craft grower portion of the premises |
| 26 | | if that is the location of common bathrooms, lunchrooms, |
|
| | 10300HB4293sam003 | - 67 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | locker rooms, or other areas of the building where work or |
| 2 | | cultivation of cannabis is not performed. At no time may an |
| 3 | | infuser or dispensing organization agent perform work at a |
| 4 | | craft grower without being a registered agent of the craft |
| 5 | | grower. |
| 6 | | (d) A craft grower may not sell or distribute any cannabis |
| 7 | | to any person other than a cultivation center, a craft grower, |
| 8 | | an infuser organization, a dispensing organization, or as |
| 9 | | otherwise authorized by rule. |
| 10 | | (e) A craft grower may not be located in an area zoned for |
| 11 | | residential use. |
| 12 | | (f) A craft grower may not either directly or indirectly |
| 13 | | discriminate in price between different cannabis business |
| 14 | | establishments that are purchasing a like grade, strain, |
| 15 | | brand, and quality of cannabis or cannabis-infused product. |
| 16 | | Nothing in this subsection (f) prevents a craft grower from |
| 17 | | pricing cannabis differently based on differences in the cost |
| 18 | | of manufacturing or processing, the quantities sold, such as |
| 19 | | volume discounts, or the way the products are delivered. |
| 20 | | (g) All cannabis harvested by a craft grower and intended |
| 21 | | for distribution to a dispensing organization must be entered |
| 22 | | into a data collection system, packaged and labeled under |
| 23 | | Section 55-21, and, if distribution is to a dispensing |
| 24 | | organization that does not share a premises with the |
| 25 | | dispensing organization receiving the cannabis, placed into a |
| 26 | | cannabis container for transport. All cannabis harvested by a |
|
| | 10300HB4293sam003 | - 68 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | craft grower and intended for distribution to a cultivation |
| 2 | | center, to an infuser organization, or to a craft grower with |
| 3 | | which it does not share a premises, must be packaged in a |
| 4 | | labeled cannabis container and entered into a data collection |
| 5 | | system before transport. |
| 6 | | (h) Craft growers are subject to random inspections by the |
| 7 | | Department of Agriculture, local safety or health inspectors, |
| 8 | | the Illinois State Police, or as provided by rule. |
| 9 | | (i) A craft grower agent shall notify local law |
| 10 | | enforcement, the Illinois State Police, and the Department of |
| 11 | | Agriculture within 24 hours of the discovery of any loss or |
| 12 | | theft. Notification shall be made by phone, in person, or |
| 13 | | written or electronic communication. |
| 14 | | (j) A craft grower shall comply with all State and any |
| 15 | | applicable federal rules and regulations regarding the use of |
| 16 | | pesticides. |
| 17 | | (k) A craft grower or craft grower agent shall not |
| 18 | | transport cannabis or cannabis-infused products to any other |
| 19 | | cannabis business establishment without a transport |
| 20 | | organization license unless: |
| 21 | | (i) If the craft grower is located in a county with a |
| 22 | | population of 3,000,000 or more, the cannabis business |
| 23 | | establishment receiving the cannabis is within 2,000 feet |
| 24 | | of the property line of the craft grower; |
| 25 | | (ii) If the craft grower is located in a county with a |
| 26 | | population of more than 700,000 but fewer than 3,000,000, |
|
| | 10300HB4293sam003 | - 69 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | the cannabis business establishment receiving the cannabis |
| 2 | | is within 2 miles of the craft grower; or |
| 3 | | (iii) If the craft grower is located in a county with a |
| 4 | | population of fewer than 700,000, the cannabis business |
| 5 | | establishment receiving the cannabis is within 15 miles of |
| 6 | | the craft grower. |
| 7 | | (l) A craft grower may enter into a contract with a |
| 8 | | transporting organization to transport cannabis to a |
| 9 | | cultivation center, a craft grower, an infuser organization, a |
| 10 | | dispensing organization, or a laboratory. |
| 11 | | (m) No person or entity shall hold any legal, equitable, |
| 12 | | ownership, or beneficial interest, directly or indirectly, of |
| 13 | | more than 3 craft grower licenses. Further, no person or |
| 14 | | entity that is employed by, an agent of, or has a contract to |
| 15 | | receive payment from or participate in the management of a |
| 16 | | craft grower, is a principal officer of a craft grower, or |
| 17 | | entity controlled by or affiliated with a principal officer of |
| 18 | | a craft grower shall hold any legal, equitable, ownership, or |
| 19 | | beneficial interest, directly or indirectly, in a craft grower |
| 20 | | license that would result in the person or entity owning or |
| 21 | | controlling in combination with any craft grower, principal |
| 22 | | officer of a craft grower, or entity controlled or affiliated |
| 23 | | with a principal officer of a craft grower by which he, she, or |
| 24 | | it is employed, is an agent of, or participates in the |
| 25 | | management of more than 3 craft grower licenses. |
| 26 | | (n) It is unlawful for any person having a craft grower |
|
| | 10300HB4293sam003 | - 70 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | license or any officer, associate, member, representative, or |
| 2 | | agent of the licensee to offer or deliver money, or anything |
| 3 | | else of value, directly or indirectly, to any person having an |
| 4 | | Early Approval Adult Use Dispensing Organization License, a |
| 5 | | Conditional Adult Use Dispensing Organization License, an |
| 6 | | Adult Use Dispensing Organization License, or a medical |
| 7 | | cannabis dispensing organization license issued under the |
| 8 | | Compassionate Use of Medical Cannabis Program Act, or to any |
| 9 | | person connected with or in any way representing, or to any |
| 10 | | member of the family of, the person holding an Early Approval |
| 11 | | Adult Use Dispensing Organization License, a Conditional Adult |
| 12 | | Use Dispensing Organization License, an Adult Use Dispensing |
| 13 | | Organization License, or a medical cannabis dispensing |
| 14 | | organization license issued under the Compassionate Use of |
| 15 | | Medical Cannabis Program Act, or to any stockholders in any |
| 16 | | corporation engaged in the retail sale of cannabis, or to any |
| 17 | | officer, manager, agent, or representative of the Early |
| 18 | | Approval Adult Use Dispensing Organization License, a |
| 19 | | Conditional Adult Use Dispensing Organization License, an |
| 20 | | Adult Use Dispensing Organization License, or a medical |
| 21 | | cannabis dispensing organization license issued under the |
| 22 | | Compassionate Use of Medical Cannabis Program Act to obtain |
| 23 | | preferential placement within the dispensing organization, |
| 24 | | including, without limitation, on shelves and in display cases |
| 25 | | where purchasers can view products, or on the dispensing |
| 26 | | organization's website. |
|
| | 10300HB4293sam003 | - 71 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (o) A craft grower shall not be located within 1,500 feet |
| 2 | | of another craft grower or a cultivation center. |
| 3 | | (p) A craft grower may process cannabis, cannabis |
| 4 | | concentrates, and cannabis-infused products. |
| 5 | | (q) A craft grower must comply with any other requirements |
| 6 | | or prohibitions set by administrative rule of the Department |
| 7 | | of Agriculture. |
| 8 | | (r) A craft grower may purchase a hemp-derived |
| 9 | | intoxicating product from a hemp consumer product processor |
| 10 | | and offer a hemp-derived intoxicating product for sale to |
| 11 | | another cannabis business establishment. Once a hemp-derived |
| 12 | | intoxicating product is delivered to a craft grower, it is |
| 13 | | considered cannabis and the craft grower is responsible for |
| 14 | | ensuring the product meets all requirements of this Act. |
| 15 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; |
| 16 | | 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. |
| 17 | | 5-13-22.) |
| 18 | | (410 ILCS 705/35-25) |
| 19 | | Sec. 35-25. Infuser organization requirements; |
| 20 | | prohibitions. |
| 21 | | (a) The operating documents of an infuser shall include |
| 22 | | procedures for the oversight of the infuser, an inventory |
| 23 | | monitoring system including a physical inventory recorded |
| 24 | | weekly, accurate recordkeeping, and a staffing plan. |
| 25 | | (b) An infuser shall implement a security plan reviewed by |
|
| | 10300HB4293sam003 | - 72 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | the Illinois State Police that includes, but is not limited |
| 2 | | to: facility access controls, perimeter intrusion detection |
| 3 | | systems, personnel identification systems, and a 24-hour |
| 4 | | surveillance system to monitor the interior and exterior of |
| 5 | | the infuser facility and that is accessible to authorized law |
| 6 | | enforcement, the Department of Public Health, and the |
| 7 | | Department of Agriculture in real time. |
| 8 | | (c) All processing of cannabis by an infuser must take |
| 9 | | place in an enclosed, locked facility at the physical address |
| 10 | | provided to the Department of Agriculture during the licensing |
| 11 | | process. The infuser location shall only be accessed by the |
| 12 | | agents working for the infuser, the Department of Agriculture |
| 13 | | staff performing inspections, the Department of Public Health |
| 14 | | staff performing inspections, State and local law enforcement |
| 15 | | or other emergency personnel, contractors working on jobs |
| 16 | | unrelated to cannabis, such as installing or maintaining |
| 17 | | security devices or performing electrical wiring, transporting |
| 18 | | organization agents as provided in this Act, participants in |
| 19 | | the incubator program, individuals in a mentoring or |
| 20 | | educational program approved by the State, local safety or |
| 21 | | health inspectors, or other individuals as provided by rule. |
| 22 | | However, if an infuser shares a premises with a craft grower or |
| 23 | | dispensing organization, agents from these other licensees may |
| 24 | | access the infuser portion of the premises if that is the |
| 25 | | location of common bathrooms, lunchrooms, locker rooms, or |
| 26 | | other areas of the building where processing of cannabis is |
|
| | 10300HB4293sam003 | - 73 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | not performed. At no time may a craft grower or dispensing |
| 2 | | organization agent perform work at an infuser without being a |
| 3 | | registered agent of the infuser. |
| 4 | | (d) An infuser may not sell or distribute any cannabis to |
| 5 | | any person other than a dispensing organization, or as |
| 6 | | otherwise authorized by rule. |
| 7 | | (e) An infuser may not either directly or indirectly |
| 8 | | discriminate in price between different cannabis business |
| 9 | | establishments that are purchasing a like grade, strain, |
| 10 | | brand, and quality of cannabis or cannabis-infused product. |
| 11 | | Nothing in this subsection (e) prevents an infuser from |
| 12 | | pricing cannabis differently based on differences in the cost |
| 13 | | of manufacturing or processing, the quantities sold, such |
| 14 | | volume discounts, or the way the products are delivered. |
| 15 | | (f) All cannabis infused by an infuser and intended for |
| 16 | | distribution to a dispensing organization must be entered into |
| 17 | | a data collection system, packaged and labeled under Section |
| 18 | | 55-21, and, if distribution is to a dispensing organization |
| 19 | | that does not share a premises with the infuser, placed into a |
| 20 | | cannabis container for transport. All cannabis produced by an |
| 21 | | infuser and intended for distribution to a cultivation center, |
| 22 | | infuser organization, or craft grower with which it does not |
| 23 | | share a premises, must be packaged in a labeled cannabis |
| 24 | | container and entered into a data collection system before |
| 25 | | transport. |
| 26 | | (g) Infusers are subject to random inspections by the |
|
| | 10300HB4293sam003 | - 74 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Department of Agriculture, the Department of Public Health, |
| 2 | | the Illinois State Police, local law enforcement, or as |
| 3 | | provided by rule. |
| 4 | | (h) An infuser agent shall notify local law enforcement, |
| 5 | | the Illinois State Police, and the Department of Agriculture |
| 6 | | within 24 hours of the discovery of any loss or theft. |
| 7 | | Notification shall be made by phone, in person, or by written |
| 8 | | or electronic communication. |
| 9 | | (i) An infuser organization may not be located in an area |
| 10 | | zoned for residential use. |
| 11 | | (j) An infuser or infuser agent shall not transport |
| 12 | | cannabis or cannabis-infused products to any other cannabis |
| 13 | | business establishment without a transport organization |
| 14 | | license unless: |
| 15 | | (i) If the infuser is located in a county with a |
| 16 | | population of 3,000,000 or more, the cannabis business |
| 17 | | establishment receiving the cannabis or cannabis-infused |
| 18 | | product is within 2,000 feet of the property line of the |
| 19 | | infuser; |
| 20 | | (ii) If the infuser is located in a county with a |
| 21 | | population of more than 700,000 but fewer than 3,000,000, |
| 22 | | the cannabis business establishment receiving the cannabis |
| 23 | | or cannabis-infused product is within 2 miles of the |
| 24 | | infuser; or |
| 25 | | (iii) If the infuser is located in a county with a |
| 26 | | population of fewer than 700,000, the cannabis business |
|
| | 10300HB4293sam003 | - 75 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | establishment receiving the cannabis or cannabis-infused |
| 2 | | product is within 15 miles of the infuser. |
| 3 | | (k) An infuser may enter into a contract with a |
| 4 | | transporting organization to transport cannabis to a |
| 5 | | dispensing organization or a laboratory. |
| 6 | | (l) An infuser organization may share premises with a |
| 7 | | craft grower or a dispensing organization, or both, provided |
| 8 | | each licensee stores currency and cannabis or cannabis-infused |
| 9 | | products in a separate secured vault to which the other |
| 10 | | licensee does not have access or all licensees sharing a vault |
| 11 | | share more than 50% of the same ownership. |
| 12 | | (m) It is unlawful for any person or entity having an |
| 13 | | infuser organization license or any officer, associate, |
| 14 | | member, representative or agent of such licensee to offer or |
| 15 | | deliver money, or anything else of value, directly or |
| 16 | | indirectly to any person having an Early Approval Adult Use |
| 17 | | Dispensing Organization License, a Conditional Adult Use |
| 18 | | Dispensing Organization License, an Adult Use Dispensing |
| 19 | | Organization License, or a medical cannabis dispensing |
| 20 | | organization license issued under the Compassionate Use of |
| 21 | | Medical Cannabis Program Act, or to any person connected with |
| 22 | | or in any way representing, or to any member of the family of, |
| 23 | | such person holding an Early Approval Adult Use Dispensing |
| 24 | | Organization License, a Conditional Adult Use Dispensing |
| 25 | | Organization License, an Adult Use Dispensing Organization |
| 26 | | License, or a medical cannabis dispensing organization license |
|
| | 10300HB4293sam003 | - 76 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | issued under the Compassionate Use of Medical Cannabis Program |
| 2 | | Act, or to any stockholders in any corporation engaged the |
| 3 | | retail sales of cannabis, or to any officer, manager, agent, |
| 4 | | or representative of the Early Approval Adult Use Dispensing |
| 5 | | Organization License, a Conditional Adult Use Dispensing |
| 6 | | Organization License, an Adult Use Dispensing Organization |
| 7 | | License, or a medical cannabis dispensing organization license |
| 8 | | issued under the Compassionate Use of Medical Cannabis Program |
| 9 | | Act to obtain preferential placement within the dispensing |
| 10 | | organization, including, without limitation, on shelves and in |
| 11 | | display cases where purchasers can view products, or on the |
| 12 | | dispensing organization's website. |
| 13 | | (n) At no time shall an infuser organization or an infuser |
| 14 | | agent perform the extraction of cannabis concentrate from |
| 15 | | cannabis flower. |
| 16 | | (o) An infuser may purchase a hemp-derived intoxicating |
| 17 | | product from a hemp consumer product processor and offer a |
| 18 | | hemp-derived intoxicating product for sale to another cannabis |
| 19 | | business establishment. Once a hemp-derived intoxicating |
| 20 | | product is delivered to an infuser, it is considered cannabis |
| 21 | | and the infuser is responsible for ensuring the product meets |
| 22 | | all requirements of this Act. |
| 23 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; |
| 24 | | 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. |
| 25 | | 5-13-22.) |
|
| | 10300HB4293sam003 | - 77 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (410 ILCS 705/55-5.5 new) |
| 2 | | Sec. 55-5.5. Use of hemp in cannabis-infused products. |
| 3 | | (a) For purposes of this Section, "industrial hemp" has |
| 4 | | the meaning given to it under the Industrial Hemp Act. |
| 5 | | (b) Cannabis business establishments licensed by the |
| 6 | | Department of Agriculture for cultivation, growing, |
| 7 | | processing, manufacturing, or infusing of medical or adult use |
| 8 | | cannabis products pursuant to this Act or the Compassionate |
| 9 | | Use of Medical Cannabis Program Act may use industrial hemp as |
| 10 | | an ingredient in cannabis-infused products offered for sale at |
| 11 | | licensed dispensaries in Illinois. Hemp flower shall not be |
| 12 | | sold to dispensaries. |
| 13 | | (c) All hemp obtained under this Section must be used in |
| 14 | | extracted form and in infused cannabis products only. |
| 15 | | (d) Industrial hemp may be procured from third-party |
| 16 | | licensed growers or processors from within the State or any |
| 17 | | other state with a regulated industrial hemp program. |
| 18 | | (e) All hemp and hemp derivatives shall be obtained from a |
| 19 | | licensed or registered hemp grower or processor, regardless of |
| 20 | | the home state of the grower or processor. Cannabis producers |
| 21 | | shall provide a copy of the hemp grower's or processor's |
| 22 | | state-issued license upon demand of the Department of |
| 23 | | Agriculture or the Illinois State Police. |
| 24 | | (f) Industrial hemp flower and biomass may be purchased |
| 25 | | and extracted by licensed cannabis cultivation centers or |
| 26 | | licensed craft growers. |
|
| | 10300HB4293sam003 | - 78 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (g) Licensed cannabis cultivation centers and licensed |
| 2 | | craft growers may procure or process industrial hemp in the |
| 3 | | form of distillate or isolate. Licensed infusers may procure |
| 4 | | industrial hemp in the form of distillate or isolate. |
| 5 | | (h) Hemp and hemp derivatives may not be used to |
| 6 | | concentrate or to synthesize intoxicating compounds and may |
| 7 | | not exceed 0.3% THC. |
| 8 | | (l) Final products containing hemp or hemp derivatives |
| 9 | | sold by a cannabis business establishment shall be |
| 10 | | cannabis-infused products and shall be subject to the |
| 11 | | requirements of the Compassionate Use of Medical Cannabis Act |
| 12 | | and the Cannabis Regulation and Tax Act and any applicable |
| 13 | | administrative rules. |
| 14 | | (410 ILCS 705/55-35) |
| 15 | | Sec. 55-35. Administrative rulemaking. |
| 16 | | (a) No later than 180 days after the effective date of this |
| 17 | | Act, the Department of Agriculture, the Illinois State Police, |
| 18 | | the Department of Financial and Professional Regulation, the |
| 19 | | Department of Revenue, the Department of Commerce and Economic |
| 20 | | Opportunity, and the Treasurer's Office shall adopt permanent |
| 21 | | rules in accordance with their responsibilities under this |
| 22 | | Act. The Department of Agriculture, the Illinois State Police, |
| 23 | | the Department of Financial and Professional Regulation, the |
| 24 | | Department of Revenue, and the Department of Commerce and |
| 25 | | Economic Opportunity may adopt rules necessary to regulate |
|
| | 10300HB4293sam003 | - 79 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | personal cannabis use through the use of emergency rulemaking |
| 2 | | in accordance with subsection (gg) of Section 5-45 of the |
| 3 | | Illinois Administrative Procedure Act. The General Assembly |
| 4 | | finds that the adoption of rules to regulate cannabis use is |
| 5 | | deemed an emergency and necessary for the public interest, |
| 6 | | safety, and welfare. |
| 7 | | (b) The Department of Agriculture rules may address, but |
| 8 | | are not limited to, the following matters related to |
| 9 | | cultivation centers, craft growers, infuser organizations, and |
| 10 | | transporting organizations with the goal of protecting against |
| 11 | | diversion and theft, without imposing an undue burden on the |
| 12 | | cultivation centers, craft growers, infuser organizations, or |
| 13 | | transporting organizations: |
| 14 | | (1) oversight requirements for cultivation centers, |
| 15 | | craft growers, infuser organizations, and transporting |
| 16 | | organizations; |
| 17 | | (2) recordkeeping requirements for cultivation |
| 18 | | centers, craft growers, infuser organizations, and |
| 19 | | transporting organizations; |
| 20 | | (3) security requirements for cultivation centers, |
| 21 | | craft growers, infuser organizations, and transporting |
| 22 | | organizations, which shall include that each cultivation |
| 23 | | center, craft grower, infuser organization, and |
| 24 | | transporting organization location must be protected by a |
| 25 | | fully operational security alarm system; |
| 26 | | (4) standards for enclosed, locked facilities under |
|
| | 10300HB4293sam003 | - 80 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | this Act; |
| 2 | | (5) procedures for suspending or revoking the |
| 3 | | identification cards of agents of cultivation centers, |
| 4 | | craft growers, infuser organizations, and transporting |
| 5 | | organizations that commit violations of this Act or the |
| 6 | | rules adopted under this Section; |
| 7 | | (6) rules concerning the intrastate transportation of |
| 8 | | cannabis from a cultivation center, craft grower, infuser |
| 9 | | organization, and transporting organization to a |
| 10 | | dispensing organization; |
| 11 | | (7) standards concerning the testing, quality, |
| 12 | | cultivation, and processing of cannabis; and |
| 13 | | (7.5) standards and rules for the investigation and |
| 14 | | enforcement of unregulated and unlicensed sale of cannabis |
| 15 | | and cannabis products; and |
| 16 | | (8) any other matters under oversight by the |
| 17 | | Department of Agriculture as are necessary for the fair, |
| 18 | | impartial, stringent, and comprehensive administration of |
| 19 | | this Act. |
| 20 | | (b-5) Notwithstanding any standards and rules developed |
| 21 | | under paragraph (7.5) of subsection (b) of this Section, the |
| 22 | | Department of Agriculture shall update through official |
| 23 | | guidance and publish publicly on its website the cannabinoids |
| 24 | | that it deems tetrahydrocannabinol or THC on or before January |
| 25 | | 1 and July 1 of each calendar year. |
| 26 | | (c) The Department of Financial and Professional |
|
| | 10300HB4293sam003 | - 81 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | Regulation rules may address, but are not limited to, the |
| 2 | | following matters related to dispensing organizations, with |
| 3 | | the goal of protecting against diversion and theft, without |
| 4 | | imposing an undue burden on the dispensing organizations: |
| 5 | | (1) oversight requirements for dispensing |
| 6 | | organizations; |
| 7 | | (2) recordkeeping requirements for dispensing |
| 8 | | organizations; |
| 9 | | (3) security requirements for dispensing |
| 10 | | organizations, which shall include that each dispensing |
| 11 | | organization location must be protected by a fully |
| 12 | | operational security alarm system; |
| 13 | | (4) procedures for suspending or revoking the licenses |
| 14 | | of dispensing organization agents that commit violations |
| 15 | | of this Act or the rules adopted under this Act; |
| 16 | | (4.5) standards and rules for the investigation and |
| 17 | | enforcement of unregulated and unlicensed sale of cannabis |
| 18 | | and cannabis products; and |
| 19 | | (5) any other matters under oversight by the |
| 20 | | Department of Financial and Professional Regulation that |
| 21 | | are necessary for the fair, impartial, stringent, and |
| 22 | | comprehensive administration of this Act. |
| 23 | | (d) The Department of Revenue rules may address, but are |
| 24 | | not limited to, the following matters related to the payment |
| 25 | | of taxes by cannabis business establishments: |
| 26 | | (1) recording of sales; |
|
| | 10300HB4293sam003 | - 82 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (2) documentation of taxable income and expenses; |
| 2 | | (3) transfer of funds for the payment of taxes; or |
| 3 | | (4) any other matter under the oversight of the |
| 4 | | Department of Revenue. |
| 5 | | (e) The Department of Commerce and Economic Opportunity |
| 6 | | rules may address, but are not limited to, a loan program or |
| 7 | | grant program to assist Social Equity Applicants access the |
| 8 | | capital needed to start a cannabis business establishment. The |
| 9 | | names of recipients and the amounts of any moneys received |
| 10 | | through a loan program or grant program shall be a public |
| 11 | | record. |
| 12 | | (f) The Illinois State Police rules may address |
| 13 | | enforcement of its authority under this Act. The Illinois |
| 14 | | State Police shall not make rules that infringe on the |
| 15 | | exclusive authority of the Department of Financial and |
| 16 | | Professional Regulation or the Department of Agriculture over |
| 17 | | licensees under this Act. |
| 18 | | (g) The Department of Human Services shall develop and |
| 19 | | disseminate: |
| 20 | | (1) educational information about the health risks |
| 21 | | associated with the use of cannabis; and |
| 22 | | (2) one or more public education campaigns in |
| 23 | | coordination with local health departments and community |
| 24 | | organizations, including one or more prevention campaigns |
| 25 | | directed at children, adolescents, parents, and pregnant |
| 26 | | or breastfeeding women, to inform them of the potential |
|
| | 10300HB4293sam003 | - 83 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | health risks associated with intentional or unintentional |
| 2 | | cannabis use. |
| 3 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; |
| 4 | | 102-538, eff. 8-20-21.) |
| 5 | | (410 ILCS 705/60-10) |
| 6 | | Sec. 60-10. Tax imposed. |
| 7 | | (a) Beginning September 1, 2019, a tax is imposed upon the |
| 8 | | privilege of cultivating cannabis at the rate of 7% of the |
| 9 | | gross receipts from the first sale of cannabis by a |
| 10 | | cultivator. The sale of any product that contains any amount |
| 11 | | of cannabis or any derivative thereof is subject to the tax |
| 12 | | under this Section on the full selling price of the product. |
| 13 | | The Department may determine the selling price of the cannabis |
| 14 | | when the seller and purchaser are affiliated persons, when the |
| 15 | | sale and purchase of cannabis is not an arm's length |
| 16 | | transaction, or when cannabis is transferred by a craft grower |
| 17 | | to the craft grower's dispensing organization or infuser or |
| 18 | | processing organization and a value is not established for the |
| 19 | | cannabis. The value determined by the Department shall be |
| 20 | | commensurate with the actual price received for products of |
| 21 | | like quality, character, and use in the area. If there are no |
| 22 | | sales of cannabis of like quality, character, and use in the |
| 23 | | same area, then the Department shall establish a reasonable |
| 24 | | value based on sales of products of like quality, character, |
| 25 | | and use in other areas of the State, taking into consideration |
|
| | 10300HB4293sam003 | - 84 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | any other relevant factors. |
| 2 | | (a-5) Beginning January 1, 2025, a tax is imposed upon the |
| 3 | | privilege of processing hemp-derived intoxicating products at |
| 4 | | the rate of 7% of the gross receipts from the hemp processor's |
| 5 | | sale of a hemp-derived intoxicating product to a craft grower |
| 6 | | or infuser. The sale of any hemp-derived intoxicating product |
| 7 | | as defined in the Hemp Consumer Products Act is subject to the |
| 8 | | tax under this Section on the full selling price of the |
| 9 | | product. The Department may determine the selling price of the |
| 10 | | hemp-derived intoxicating product when the seller and |
| 11 | | purchaser are affiliated persons or when the sale and purchase |
| 12 | | of a hemp-derived intoxicating product is not an arm's length |
| 13 | | transaction. The value determined by the Department shall be |
| 14 | | commensurate with the actual price received for products of |
| 15 | | like quality, character, and use in the area. If there are no |
| 16 | | sales of hemp-derived intoxicating products of like quality, |
| 17 | | character, and use in the same area, then the Department shall |
| 18 | | establish a reasonable value based on sales of products of |
| 19 | | like quality, character, and use in other areas of the State, |
| 20 | | taking into consideration any other relevant factors. |
| 21 | | (b) The Cannabis Cultivation Privilege Tax imposed under |
| 22 | | this Article is solely the responsibility of the cultivator |
| 23 | | who makes the first sale and is not the responsibility of a |
| 24 | | subsequent purchaser, a dispensing organization, or an |
| 25 | | infuser. Persons subject to the tax imposed under this Article |
| 26 | | may, however, reimburse themselves for their tax liability |
|
| | 10300HB4293sam003 | - 85 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | hereunder by separately stating reimbursement for their tax |
| 2 | | liability as an additional charge. |
| 3 | | (c) The tax imposed under this Article shall be in |
| 4 | | addition to all other occupation, privilege, or excise taxes |
| 5 | | imposed by the State of Illinois or by any unit of local |
| 6 | | government. |
| 7 | | (Source: P.A. 101-27, eff. 6-25-19.) |
| 8 | | (410 ILCS 705/60-15) |
| 9 | | Sec. 60-15. Registration of cultivators. Every cultivator |
| 10 | | and craft grower subject to the tax under this Article shall |
| 11 | | apply to the Department of Revenue for a certificate of |
| 12 | | registration under this Article. All applications for |
| 13 | | registration under this Article shall be made by electronic |
| 14 | | means in the form and manner required by the Department. For |
| 15 | | that purpose, the provisions of Section 2a of the Retailers' |
| 16 | | Occupation Tax Act are incorporated into this Article to the |
| 17 | | extent not inconsistent with this Article. In addition, no |
| 18 | | certificate of registration shall be issued under this Article |
| 19 | | unless the applicant is licensed under this Act or is licensed |
| 20 | | as a hemp consumer products processor under the Hemp Consumer |
| 21 | | Products Act. |
| 22 | | (Source: P.A. 101-27, eff. 6-25-19.) |
| 23 | | (410 ILCS 705/60-20) |
| 24 | | Sec. 60-20. Return and payment of cannabis cultivation |
|
| | 10300HB4293sam003 | - 86 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | privilege tax. Each person who is required to pay the tax |
| 2 | | imposed by this Article shall make a return to the Department |
| 3 | | on or before the 20th day of each month for the preceding |
| 4 | | calendar month stating the following: |
| 5 | | (1) the taxpayer's name; |
| 6 | | (2) the address of the taxpayer's principal place of |
| 7 | | business and the address of the principal place of |
| 8 | | business (if that is a different address) from which the |
| 9 | | taxpayer is engaged in the business of cultivating |
| 10 | | cannabis subject to tax under this Article; |
| 11 | | (3) the total amount of receipts received by the |
| 12 | | taxpayer during the preceding calendar month from sales of |
| 13 | | cannabis or hemp-derived intoxicating products subject to |
| 14 | | tax under this Article by the taxpayer during the |
| 15 | | preceding calendar month; |
| 16 | | (4) the total amount received by the taxpayer during |
| 17 | | the preceding calendar month on charge and time sales of |
| 18 | | cannabis subject to tax imposed under this Article by the |
| 19 | | taxpayer before the month for which the return is filed; |
| 20 | | (5) deductions allowed by law; |
| 21 | | (6) gross receipts that were received by the taxpayer |
| 22 | | during the preceding calendar month and upon the basis of |
| 23 | | which the tax is imposed; |
| 24 | | (7) the amount of tax due; |
| 25 | | (8) the signature of the taxpayer; and |
| 26 | | (9) any other information as the Department may |
|
| | 10300HB4293sam003 | - 87 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | reasonably require. |
| 2 | | All returns required to be filed and payments required to |
| 3 | | be made under this Article shall be by electronic means. |
| 4 | | Taxpayers who demonstrate hardship in paying electronically |
| 5 | | may petition the Department to waive the electronic payment |
| 6 | | requirement. The Department may require a separate return for |
| 7 | | the tax under this Article or combine the return for the tax |
| 8 | | under this Article with the return for the tax under the |
| 9 | | Compassionate Use of Medical Cannabis Program Act. If the |
| 10 | | return for the tax under this Article is combined with the |
| 11 | | return for tax under the Compassionate Use of Medical Cannabis |
| 12 | | Program Act, then the vendor's discount allowed under this |
| 13 | | Section and any cap on that discount shall apply to the |
| 14 | | combined return. The taxpayer making the return provided for |
| 15 | | in this Section shall also pay to the Department, in |
| 16 | | accordance with this Section, the amount of tax imposed by |
| 17 | | this Article, less a discount of 1.75%, but not to exceed |
| 18 | | $1,000 per return period, which is allowed to reimburse the |
| 19 | | taxpayer for the expenses incurred in keeping records, |
| 20 | | collecting tax, preparing and filing returns, remitting the |
| 21 | | tax, and supplying data to the Department upon request. No |
| 22 | | discount may be claimed by a taxpayer on returns not timely |
| 23 | | filed and for taxes not timely remitted. No discount may be |
| 24 | | claimed by a taxpayer for any return that is not filed |
| 25 | | electronically. No discount may be claimed by a taxpayer for |
| 26 | | any payment that is not made electronically, unless a waiver |
|
| | 10300HB4293sam003 | - 88 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | has been granted under this Section. Any amount that is |
| 2 | | required to be shown or reported on any return or other |
| 3 | | document under this Article shall, if the amount is not a |
| 4 | | whole-dollar amount, be increased to the nearest whole-dollar |
| 5 | | amount if the fractional part of a dollar is $0.50 or more and |
| 6 | | decreased to the nearest whole-dollar amount if the fractional |
| 7 | | part of a dollar is less than $0.50. If a total amount of less |
| 8 | | than $1 is payable, refundable, or creditable, the amount |
| 9 | | shall be disregarded if it is less than $0.50 and shall be |
| 10 | | increased to $1 if it is $0.50 or more. Notwithstanding any |
| 11 | | other provision of this Article concerning the time within |
| 12 | | which a taxpayer may file a return, any such taxpayer who |
| 13 | | ceases to engage in the kind of business that makes the person |
| 14 | | responsible for filing returns under this Article shall file a |
| 15 | | final return under this Article with the Department within one |
| 16 | | month after discontinuing such business. |
| 17 | | Each taxpayer under this Article shall make estimated |
| 18 | | payments to the Department on or before the 7th, 15th, 22nd, |
| 19 | | and last day of the month during which tax liability to the |
| 20 | | Department is incurred. The payments shall be in an amount not |
| 21 | | less than the lower of either 22.5% of the taxpayer's actual |
| 22 | | tax liability for the month or 25% of the taxpayer's actual tax |
| 23 | | liability for the same calendar month of the preceding year. |
| 24 | | The amount of the quarter-monthly payments shall be credited |
| 25 | | against the final tax liability of the taxpayer's return for |
| 26 | | that month. If any quarter-monthly payment is not paid at the |
|
| | 10300HB4293sam003 | - 89 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | time or in the amount required by this Section, then the |
| 2 | | taxpayer shall be liable for penalties and interest on the |
| 3 | | difference between the minimum amount due as a payment and the |
| 4 | | amount of the quarter-monthly payment actually and timely |
| 5 | | paid, except insofar as the taxpayer has previously made |
| 6 | | payments for that month to the Department in excess of the |
| 7 | | minimum payments previously due as provided in this Section. |
| 8 | | If any payment provided for in this Section exceeds the |
| 9 | | taxpayer's liabilities under this Article, as shown on an |
| 10 | | original monthly return, the Department shall, if requested by |
| 11 | | the taxpayer, issue to the taxpayer a credit memorandum no |
| 12 | | later than 30 days after the date of payment. The credit |
| 13 | | evidenced by the credit memorandum may be assigned by the |
| 14 | | taxpayer to a similar taxpayer under this Act, in accordance |
| 15 | | with reasonable rules to be prescribed by the Department. If |
| 16 | | no such request is made, the taxpayer may credit the excess |
| 17 | | payment against tax liability subsequently to be remitted to |
| 18 | | the Department under this Act, in accordance with reasonable |
| 19 | | rules prescribed by the Department. If the Department |
| 20 | | subsequently determines that all or any part of the credit |
| 21 | | taken was not actually due to the taxpayer, the taxpayer's |
| 22 | | discount shall be reduced, if necessary, to reflect the |
| 23 | | difference between the credit taken and that actually due, and |
| 24 | | that taxpayer shall be liable for penalties and interest on |
| 25 | | the difference. |
| 26 | | If a taxpayer fails to sign a return within 30 days after |
|
| | 10300HB4293sam003 | - 90 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | the proper notice and demand for signature by the Department |
| 2 | | is received by the taxpayer, the return shall be considered |
| 3 | | valid and any amount shown to be due on the return shall be |
| 4 | | deemed assessed. |
| 5 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) |
| 6 | | Section 820. The Industrial Hemp Act is amended by |
| 7 | | changing Sections 5, 10, and 20 and by adding Section 30 as |
| 8 | | follows: |
| 9 | | (505 ILCS 89/5) |
| 10 | | Sec. 5. Definitions. In this Act: |
| 11 | | "Department" means the Department of Agriculture. |
| 12 | | "Director" means the Director of Agriculture. |
| 13 | | "Hemp" or "industrial hemp" means the plant Cannabis |
| 14 | | sativa L. and any part of that plant, whether growing or not, |
| 15 | | with a delta-9 tetrahydrocannabinol concentration of not more |
| 16 | | than 0.3 percent on a dry weight basis and includes any |
| 17 | | intermediate or finished product made or derived from |
| 18 | | industrial hemp. |
| 19 | | "Hemp production plan" means a plan submitted by the |
| 20 | | Department to the Secretary of the United States Department of |
| 21 | | Agriculture pursuant to the federal Agriculture Improvement |
| 22 | | Act of 2018, Public Law 115-334, and consistent with the |
| 23 | | Domestic Hemp Production Program pursuant to 7 CFR Part 990 |
| 24 | | wherein the Department establishes its desire to have primary |
|
| | 10300HB4293sam003 | - 91 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | regulatory authority over the production of hemp. |
| 2 | | "Industrial hemp processor" means any entity that |
| 3 | | processes or handles industrial hemp into a final product not |
| 4 | | intended for human or animal consumption that is registered |
| 5 | | with the Department. "Industrial hemp processor" includes, |
| 6 | | until the availability of a hemp consumer product processor |
| 7 | | license under the Hemp Consumer Product Act, any entity that |
| 8 | | processes or handles industrial hemp. |
| 9 | | "Industrial hemp product" means any finished product made |
| 10 | | or derived from industrial hemp that is not intended for human |
| 11 | | or animal consumption by any means. |
| 12 | | "Land area" means a farm as defined in Section 1-60 of the |
| 13 | | Property Tax Code in this State or land or facilities under the |
| 14 | | control of an institution of higher education. |
| 15 | | "Person" means any individual, partnership, firm, |
| 16 | | corporation, company, society, association, the State or any |
| 17 | | department, agency, or subdivision thereof, or any other |
| 18 | | entity. |
| 19 | | "Process" means the conversion of raw industrial hemp |
| 20 | | plant material into a form that is presently legal to import |
| 21 | | from outside the United States under federal law. |
| 22 | | "THC" means delta-9 tetrahydrocannabinol. |
| 23 | | (Source: P.A. 102-690, eff. 12-17-21.) |
| 24 | | (505 ILCS 89/10) |
| 25 | | Sec. 10. Licenses and registration. |
|
| | 10300HB4293sam003 | - 92 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (a) No person shall cultivate industrial hemp in this |
| 2 | | State without a license issued by the Department. |
| 3 | | (b) The application for a license shall include: |
| 4 | | (1) the name and address of the applicant; |
| 5 | | (2) the legal description of the land area, including |
| 6 | | Global Positioning System coordinates, to be used to |
| 7 | | cultivate industrial hemp; and |
| 8 | | (3) if federal law requires a research purpose for the |
| 9 | | cultivation of industrial hemp, a description of one or |
| 10 | | more research purposes planned for the cultivation of |
| 11 | | industrial hemp which may include the study of the growth, |
| 12 | | cultivation, or marketing of industrial hemp; however, the |
| 13 | | research purpose requirement shall not be construed to |
| 14 | | limit the commercial sale of industrial hemp. |
| 15 | | (b-5) A person shall not process industrial hemp in this |
| 16 | | State without registering with the Department as an industrial |
| 17 | | hemp processor on a form prescribed by the Department. |
| 18 | | (c) The Department may determine, by rule, the duration of |
| 19 | | a license or registration; application, registration, and |
| 20 | | license fees; and the requirements for license or registration |
| 21 | | renewal. |
| 22 | | (Source: P.A. 102-690, eff. 12-17-21.) |
| 23 | | (505 ILCS 89/20) |
| 24 | | Sec. 20. Hemp products. Nothing in this Act shall alter |
| 25 | | the legality of industrial hemp or hemp products not intended |
|
| | 10300HB4293sam003 | - 93 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | for human or animal consumption by any means. The manufacture, |
| 2 | | sale, and advertisement of all hemp or hemp products that are |
| 3 | | intended for human or animal consumption by any means are |
| 4 | | regulated under the Hemp Consumer Products Act hemp or hemp |
| 5 | | products that are presently legal to possess or own. |
| 6 | | (Source: P.A. 100-1091, eff. 8-26-18.) |
| 7 | | (505 ILCS 89/30 new) |
| 8 | | Sec. 30. Hemp processing. |
| 9 | | (a) A person may not process industrial hemp in this State |
| 10 | | without registering for a license with the Department on a |
| 11 | | form prescribed by the Department. |
| 12 | | (b) The application for a license shall include: |
| 13 | | (1) the name and address of the applicant; and |
| 14 | | (2) the address of the location at which hemp will be |
| 15 | | processed. |
| 16 | | (c) The Department may determine, by rule, the duration of |
| 17 | | a hemp processor registration, application, and registration |
| 18 | | fees, and the requirements for registration renewal. |
| 19 | | (d) Beginning January 1, 2025, all active hemp processing |
| 20 | | registrations that process or manufacture products derived |
| 21 | | from hemp intended for human or animal consumption shall be |
| 22 | | regulated under the Hemp Consumer Products Act. Hemp |
| 23 | | processing shall not be regulated under the Industrial Hemp |
| 24 | | Act. By January 1, 2025, the Department of Agriculture shall |
| 25 | | create a process to provide each active hemp processor |
|
| | 10300HB4293sam003 | - 94 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | registrant that processes or produces products intended for |
| 2 | | human or animal consumption by any means with a Hemp Consumer |
| 3 | | Products Act hemp consumer product processing license. |
| 4 | | (e) The Department may revoke the registration of any |
| 5 | | industrial hemp processor that processes or manufactures |
| 6 | | products derived from hemp intended for human or animal |
| 7 | | consumption and fails to register as a hemp consumer product |
| 8 | | processor under the Hemp Consumer Products Act by March 1, |
| 9 | | 2025. |
| 10 | | Section 825. The Cannabis Control Act is amended by |
| 11 | | changing Sections 4, 5, and 5.1 as follows: |
| 12 | | (720 ILCS 550/4) (from Ch. 56 1/2, par. 704) |
| 13 | | Sec. 4. Except as otherwise provided in the Cannabis |
| 14 | | Regulation and Tax Act, Hemp Consumer Products Act, and the |
| 15 | | Industrial Hemp Act, it is unlawful for any person knowingly |
| 16 | | to possess cannabis. |
| 17 | | Any person who violates this Section with respect to: |
| 18 | | (a) not more than 10 grams of any substance containing |
| 19 | | cannabis is guilty of a civil law violation punishable by |
| 20 | | a minimum fine of $100 and a maximum fine of $200. The |
| 21 | | proceeds of the fine shall be payable to the clerk of the |
| 22 | | circuit court. Within 30 days after the deposit of the |
| 23 | | fine, the clerk shall distribute the proceeds of the fine |
| 24 | | as follows: |
|
| | 10300HB4293sam003 | - 95 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (1) $10 of the fine to the circuit clerk and $10 of |
| 2 | | the fine to the law enforcement agency that issued the |
| 3 | | citation; the proceeds of each $10 fine distributed to |
| 4 | | the circuit clerk and each $10 fine distributed to the |
| 5 | | law enforcement agency that issued the citation for |
| 6 | | the violation shall be used to defer the cost of |
| 7 | | automatic expungements under paragraph (2.5) of |
| 8 | | subsection (a) of Section 5.2 of the Criminal |
| 9 | | Identification Act; |
| 10 | | (2) $15 to the county to fund drug addiction |
| 11 | | services; |
| 12 | | (3) $10 to the Office of the State's Attorneys |
| 13 | | Appellate Prosecutor for use in training programs; |
| 14 | | (4) $10 to the State's Attorney; and |
| 15 | | (5) any remainder of the fine to the law |
| 16 | | enforcement agency that issued the citation for the |
| 17 | | violation. |
| 18 | | With respect to funds designated for the Illinois |
| 19 | | State Police, the moneys shall be remitted by the circuit |
| 20 | | court clerk to the Illinois State Police within one month |
| 21 | | after receipt for deposit into the State Police Operations |
| 22 | | Assistance Fund. With respect to funds designated for the |
| 23 | | Department of Natural Resources, the Department of Natural |
| 24 | | Resources shall deposit the moneys into the Conservation |
| 25 | | Police Operations Assistance Fund; |
| 26 | | (b) more than 10 grams but not more than 30 grams of |
|
| | 10300HB4293sam003 | - 96 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | any substance containing cannabis is guilty of a Class B |
| 2 | | misdemeanor; |
| 3 | | (c) more than 30 grams but not more than 100 grams of |
| 4 | | any substance containing cannabis is guilty of a Class A |
| 5 | | misdemeanor; provided, that if any offense under this |
| 6 | | subsection (c) is a subsequent offense, the offender shall |
| 7 | | be guilty of a Class 4 felony; |
| 8 | | (d) more than 100 grams but not more than 500 grams of |
| 9 | | any substance containing cannabis is guilty of a Class 4 |
| 10 | | felony; provided that if any offense under this subsection |
| 11 | | (d) is a subsequent offense, the offender shall be guilty |
| 12 | | of a Class 3 felony; |
| 13 | | (e) more than 500 grams but not more than 2,000 grams |
| 14 | | of any substance containing cannabis is guilty of a Class |
| 15 | | 3 felony; |
| 16 | | (f) more than 2,000 grams but not more than 5,000 |
| 17 | | grams of any substance containing cannabis is guilty of a |
| 18 | | Class 2 felony; |
| 19 | | (g) more than 5,000 grams of any substance containing |
| 20 | | cannabis is guilty of a Class 1 felony. |
| 21 | | Fines and assessments, such as fees or administrative |
| 22 | | costs, authorized under this Section shall not be ordered or |
| 23 | | imposed against a minor subject to Article III, IV, or V of the |
| 24 | | Juvenile Court Act of 1987, or a minor under the age of 18 |
| 25 | | transferred to adult court or excluded from juvenile court |
| 26 | | jurisdiction under Article V of the Juvenile Court Act of |
|
| | 10300HB4293sam003 | - 97 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | 1987, or the minor's parent, guardian, or legal custodian. |
| 2 | | (Source: P.A. 102-538, eff. 8-20-21; 103-379, eff. 7-28-23.) |
| 3 | | (720 ILCS 550/5) (from Ch. 56 1/2, par. 705) |
| 4 | | Sec. 5. Except as otherwise provided in the Cannabis |
| 5 | | Regulation and Tax Act, Hemp Consumer Products Act, and the |
| 6 | | Industrial Hemp Act, it is unlawful for any person knowingly |
| 7 | | to manufacture, deliver, or possess with intent to deliver, or |
| 8 | | manufacture, cannabis. Any person who violates this Section |
| 9 | | with respect to: |
| 10 | | (a) not more than 2.5 grams of any substance |
| 11 | | containing cannabis is guilty of a Class B misdemeanor; |
| 12 | | (b) more than 2.5 grams but not more than 10 grams of |
| 13 | | any substance containing cannabis is guilty of a Class A |
| 14 | | misdemeanor; |
| 15 | | (c) more than 10 grams but not more than 30 grams of |
| 16 | | any substance containing cannabis is guilty of a Class 4 |
| 17 | | felony; |
| 18 | | (d) more than 30 grams but not more than 500 grams of |
| 19 | | any substance containing cannabis is guilty of a Class 3 |
| 20 | | felony for which a fine not to exceed $50,000 may be |
| 21 | | imposed; |
| 22 | | (e) more than 500 grams but not more than 2,000 grams |
| 23 | | of any substance containing cannabis is guilty of a Class |
| 24 | | 2 felony for which a fine not to exceed $100,000 may be |
| 25 | | imposed; |
|
| | 10300HB4293sam003 | - 98 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | (f) more than 2,000 grams but not more than 5,000 |
| 2 | | grams of any substance containing cannabis is guilty of a |
| 3 | | Class 1 felony for which a fine not to exceed $150,000 may |
| 4 | | be imposed; |
| 5 | | (g) more than 5,000 grams of any substance containing |
| 6 | | cannabis is guilty of a Class X felony for which a fine not |
| 7 | | to exceed $200,000 may be imposed. |
| 8 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) |
| 9 | | (720 ILCS 550/5.1) (from Ch. 56 1/2, par. 705.1) |
| 10 | | Sec. 5.1. Cannabis trafficking. |
| 11 | | (a) Except for purposes authorized by this Act, the |
| 12 | | Industrial Hemp Act, the Hemp Consumer Products Act, or the |
| 13 | | Cannabis Regulation and Tax Act, any person who knowingly |
| 14 | | brings or causes to be brought into this State for the purpose |
| 15 | | of manufacture or delivery or with the intent to manufacture |
| 16 | | or deliver 2,500 grams or more of cannabis in this State or any |
| 17 | | other state or country is guilty of cannabis trafficking. |
| 18 | | (b) A person convicted of cannabis trafficking shall be |
| 19 | | sentenced to a term of imprisonment not less than twice the |
| 20 | | minimum term and fined an amount as authorized by subsection |
| 21 | | (f) or (g) of Section 5 of this Act, based upon the amount of |
| 22 | | cannabis brought or caused to be brought into this State, and |
| 23 | | not more than twice the maximum term of imprisonment and fined |
| 24 | | twice the amount as authorized by subsection (f) or (g) of |
| 25 | | Section 5 of this Act, based upon the amount of cannabis |
|
| | 10300HB4293sam003 | - 99 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | brought or caused to be brought into this State. |
| 2 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) |
| 3 | | Section 830. The Consumer Fraud and Deceptive Business |
| 4 | | Practices Act is amended by changing Section 2Z as follows: |
| 5 | | (815 ILCS 505/2Z) (from Ch. 121 1/2, par. 262Z) |
| 6 | | Sec. 2Z. Violations of other Acts. Any person who |
| 7 | | knowingly violates the Automotive Repair Act, the Automotive |
| 8 | | Collision Repair Act, the Home Repair and Remodeling Act, the |
| 9 | | Dance Studio Act, the Physical Fitness Services Act, the |
| 10 | | Hearing Instrument Consumer Protection Act, the Illinois Union |
| 11 | | Label Act, the Installment Sales Contract Act, the Job |
| 12 | | Referral and Job Listing Services Consumer Protection Act, the |
| 13 | | Travel Promotion Consumer Protection Act, the Credit Services |
| 14 | | Organizations Act, the Automatic Telephone Dialers Act, the |
| 15 | | Pay-Per-Call Services Consumer Protection Act, the Telephone |
| 16 | | Solicitations Act, the Illinois Funeral or Burial Funds Act, |
| 17 | | the Cemetery Oversight Act, the Cemetery Care Act, the Safe |
| 18 | | and Hygienic Bed Act, the Illinois Pre-Need Cemetery Sales |
| 19 | | Act, the High Risk Home Loan Act, the Payday Loan Reform Act, |
| 20 | | the Predatory Loan Prevention Act, the Mortgage Rescue Fraud |
| 21 | | Act, subsection (a) or (b) of Section 3-10 of the Cigarette Tax |
| 22 | | Act, subsection (a) or (b) of Section 3-10 of the Cigarette Use |
| 23 | | Tax Act, the Electronic Mail Act, the Internet Caller |
| 24 | | Identification Act, paragraph (6) of subsection (k) of Section |
|
| | 10300HB4293sam003 | - 100 - | LRB103 35932 RJT 74139 a |
|
|
| 1 | | 6-305 of the Illinois Vehicle Code, Section 11-1431, 18d-115, |
| 2 | | 18d-120, 18d-125, 18d-135, 18d-150, or 18d-153 of the Illinois |
| 3 | | Vehicle Code, Article 3 of the Residential Real Property |
| 4 | | Disclosure Act, the Automatic Contract Renewal Act, the |
| 5 | | Reverse Mortgage Act, Section 25 of the Youth Mental Health |
| 6 | | Protection Act, the Personal Information Protection Act, or |
| 7 | | the Student Online Personal Protection Act, or subsection (a) |
| 8 | | of Section 15-155 of the Cannabis Regulation and Tax Act |
| 9 | | commits an unlawful practice within the meaning of this Act. |
| 10 | | (Source: P.A. 100-315, eff. 8-24-17; 100-416, eff. 1-1-18; |
| 11 | | 100-863, eff. 8-14-18; 101-658, eff. 3-23-21.) |
| 12 | | Section 999. Effective date. This Act takes effect upon |
| 13 | | becoming law.". |