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Illinois Compiled Statutes

Information maintained by the Legislative Reference Bureau
Updating the database of the Illinois Compiled Statutes (ILCS) is an ongoing process. Recent laws may not yet be included in the ILCS database, but they are found on this site as Public Acts soon after they become law. For information concerning the relationship between statutes and Public Acts, refer to the Guide.

Because the statute database is maintained primarily for legislative drafting purposes, statutory changes are sometimes included in the statute database before they take effect. If the source note at the end of a Section of the statutes includes a Public Act that has not yet taken effect, the version of the law that is currently in effect may have already been removed from the database and you should refer to that Public Act to see the changes made to the current law.

PUBLIC HEALTH
(410 ILCS 705/) Cannabis Regulation and Tax Act.

410 ILCS 705/Art. 1

 
    (410 ILCS 705/Art. 1 heading)
Article 1.
Short Title; Findings; Definitions
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/1-1

    (410 ILCS 705/1-1)
    Sec. 1-1. Short title. This Act may be cited as the Cannabis Regulation and Tax Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/1-5

    (410 ILCS 705/1-5)
    Sec. 1-5. Findings.
    (a) In the interest of allowing law enforcement to focus on violent and property crimes, generating revenue for education, substance abuse prevention and treatment, freeing public resources to invest in communities and other public purposes, and individual freedom, the General Assembly finds and declares that the use of cannabis should be legal for persons 21 years of age or older and should be taxed in a manner similar to alcohol.
    (b) In the interest of the health and public safety of the residents of Illinois, the General Assembly further finds and declares that cannabis should be regulated in a manner similar to alcohol so that:
        (1) persons will have to show proof of age before
    
purchasing cannabis;
        (2) selling, distributing, or transferring cannabis
    
to minors and other persons under 21 years of age shall remain illegal;
        (3) driving under the influence of cannabis shall
    
remain illegal;
        (4) legitimate, taxpaying business people, and not
    
criminal actors, will conduct sales of cannabis;
        (5) cannabis sold in this State will be tested,
    
labeled, and subject to additional regulation to ensure that purchasers are informed and protected; and
        (6) purchasers will be informed of any known health
    
risks associated with the use of cannabis, as concluded by evidence-based, peer reviewed research.
    (c) The General Assembly further finds and declares that it is necessary to ensure consistency and fairness in the application of this Act throughout the State and that, therefore, the matters addressed by this Act are, except as specified in this Act, matters of statewide concern.
    (d) The General Assembly further finds and declares that this Act shall not diminish the State's duties and commitment to seriously ill patients registered under the Compassionate Use of Medical Cannabis Pilot Program Act, nor alter the protections granted to them.
    (e) The General Assembly supports and encourages labor neutrality in the cannabis industry and further finds and declares that employee workplace safety shall not be diminished and employer workplace policies shall be interpreted broadly to protect employee safety.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/1-10

    (410 ILCS 705/1-10)
    Sec. 1-10. Definitions. In this Act:
    "Adult Use Cultivation Center License" means a license issued by the Department of Agriculture that permits a person to act as a cultivation center under this Act and any administrative rule made in furtherance of this Act.
    "Adult Use Dispensing Organization License" means a license issued by the Department of Financial and Professional Regulation that permits a person to act as a dispensing organization under this Act and any administrative rule made in furtherance of this Act.
    "Advertise" means to engage in promotional activities including, but not limited to: newspaper, radio, Internet and electronic media, and television advertising; the distribution of fliers and circulars; and the display of window and interior signs.
    "BLS Region" means a region in Illinois used by the United States Bureau of Labor Statistics to gather and categorize certain employment and wage data. The 17 such regions in Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion, Champaign-Urbana, Chicago-Naperville-Elgin, Danville, Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria, Rockford, St. Louis, Springfield, Northwest Illinois nonmetropolitan area, West Central Illinois nonmetropolitan area, East Central Illinois nonmetropolitan area, and South Illinois nonmetropolitan area.
    "Cannabis" means marijuana, hashish, and other substances that are identified as including any parts of the plant Cannabis sativa and including derivatives or subspecies, such as indica, of all strains of cannabis, whether growing or not; the seeds thereof, the resin extracted from any part of the plant; and any compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin, including tetrahydrocannabinol (THC) and all other naturally produced cannabinol derivatives, whether produced directly or indirectly by extraction; however, "cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted from it), fiber, oil or cake, or the sterilized seed of the plant that is incapable of germination. "Cannabis" does not include industrial hemp as defined and authorized under the Industrial Hemp Act. "Cannabis" also means concentrate and cannabis-infused products.
    "Cannabis business establishment" means a cultivation center, craft grower, processing organization, dispensing organization, or transporting organization.
    "Cannabis concentrate" means a product derived from cannabis that is produced by extracting cannabinoids from the plant through the use of propylene glycol, glycerin, butter, olive oil or other typical cooking fats; water, ice, or dry ice; or butane, propane, CO2, ethanol, or isopropanol. The use of any other solvent is expressly prohibited unless and until it is approved by the Department of Agriculture.
    "Cannabis container" means a sealed, traceable, container, or package used for the purpose of containment of cannabis or cannabis-infused product during transportation.
    "Cannabis flower" means marijuana, hashish, and other substances that are identified as including any parts of the plant Cannabis sativa and including derivatives or subspecies, such as indica, of all strains of cannabis; including raw kief, leaves, and buds, but not resin that has been extracted from any part of such plant; nor any compound, manufacture, salt, derivative, mixture, or preparation of such plant, its seeds, or resin.
    "Cannabis-infused product" means a beverage, food, oil, ointment, tincture, topical formulation, or another product containing cannabis that is not intended to be smoked.
    "Cannabis plant monitoring system" or "plant monitoring system" means a system that includes, but is not limited to, testing and data collection established and maintained by the cultivation center, craft grower, or processing organization and that is available to the Department of Revenue, the Department of Agriculture, the Department of Financial and Professional Regulation, and the Department of State Police for the purposes of documenting each cannabis plant and monitoring plant development throughout the life cycle of a cannabis plant cultivated for the intended use by a customer from seed planting to final packaging.
    "Cannabis testing facility" means an entity registered by the Department of Agriculture to test cannabis for potency and contaminants.
    "Clone" means a plant section from a female cannabis plant not yet rootbound, growing in a water solution or other propagation matrix, that is capable of developing into a new plant.
    "Community College Cannabis Vocational Training Pilot Program faculty participant" means a person who is 21 years of age or older, licensed by the Department of Agriculture, and is employed or contracted by an Illinois community college to provide student instruction using cannabis plants at an Illinois Community College.
    "Community College Cannabis Vocational Training Pilot Program faculty participant Agent Identification Card" means a document issued by the Department of Agriculture that identifies a person as Community College Cannabis Vocational Training Pilot Program faculty participant.
    "Conditional Adult Use Dispensing Organization License" means a license awarded to top-scoring applicants for an Adult Use Dispensing Organization License that reserves the right to an adult use dispensing organization license if the applicant meets certain conditions described in this Act, but does not entitle the recipient to begin purchasing or selling cannabis or cannabis-infused products.
    "Conditional Adult Use Cultivation Center License" means a license awarded to top-scoring applicants for an Adult Use Cultivation Center License that reserves the right to an Adult Use Cultivation Center License if the applicant meets certain conditions as determined by the Department of Agriculture by rule, but does not entitle the recipient to begin growing, processing, or selling cannabis or cannabis-infused products.
    "Craft grower" means a facility operated by an organization or business that is licensed by the Department of Agriculture to cultivate, dry, cure, and package cannabis and perform other necessary activities to make cannabis available for sale at a dispensing organization or use at a processing organization. A craft grower may contain up to 5,000 square feet of canopy space on its premises for plants in the flowering state. The Department of Agriculture may authorize an increase or decrease of flowering stage cultivation space in increments of 3,000 square feet by rule based on market need, craft grower capacity, and the licensee's history of compliance or noncompliance, with a maximum space of 14,000 square feet for cultivating plants in the flowering stage, which must be cultivated in all stages of growth in an enclosed and secure area. A craft grower may share premises with a processing organization or a dispensing organization, or both, provided each licensee stores currency and cannabis or cannabis-infused products in a separate secured vault to which the other licensee does not have access or all licensees sharing a vault share more than 50% of the same ownership.
    "Craft grower agent" means a principal officer, board member, employee, or other agent of a craft grower who is 21 years of age or older.
    "Craft Grower Agent Identification Card" means a document issued by the Department of Agriculture that identifies a person as a craft grower agent.
    "Cultivation center" means a facility operated by an organization or business that is licensed by the Department of Agriculture to cultivate, process, transport (unless otherwise limited by this Act), and perform other necessary activities to provide cannabis and cannabis-infused products to cannabis business establishments.
    "Cultivation center agent" means a principal officer, board member, employee, or other agent of a cultivation center who is 21 years of age or older.
    "Cultivation Center Agent Identification Card" means a document issued by the Department of Agriculture that identifies a person as a cultivation center agent.
    "Currency" means currency and coin of the United States.
    "Dispensary" means a facility operated by a dispensing organization at which activities licensed by this Act may occur.
    "Dispensing organization" means a facility operated by an organization or business that is licensed by the Department of Financial and Professional Regulation to acquire cannabis from a cultivation center, craft grower, processing organization, or another dispensary for the purpose of selling or dispensing cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies under this Act to purchasers or to qualified registered medical cannabis patients and caregivers. As used in this Act, dispensary organization shall include a registered medical cannabis organization as defined in the Compassionate Use of Medical Cannabis Pilot Program Act or its successor Act that has obtained an Early Approval Adult Use Dispensing Organization License.
    "Dispensing organization agent" means a principal officer, employee, or agent of a dispensing organization who is 21 years of age or older.
    "Dispensing organization agent identification card" means a document issued by the Department of Financial and Professional Regulation that identifies a person as a dispensing organization agent.
    "Disproportionately Impacted Area" means a census tract or comparable geographic area that satisfies the following criteria as determined by the Department of Commerce and Economic Opportunity, that:
        (1) meets at least one of the following criteria:
            (A) the area has a poverty rate of at least 20%
        
according to the latest federal decennial census; or
            (B) 75% or more of the children in the area
        
participate in the federal free lunch program according to reported statistics from the State Board of Education; or
            (C) at least 20% of the households in the area
        
receive assistance under the Supplemental Nutrition Assistance Program; or
            (D) the area has an average unemployment rate, as
        
determined by the Illinois Department of Employment Security, that is more than 120% of the national unemployment average, as determined by the United States Department of Labor, for a period of at least 2 consecutive calendar years preceding the date of the application; and
        (2) has high rates of arrest, conviction, and
    
incarceration related to the sale, possession, use, cultivation, manufacture, or transport of cannabis.
    "Early Approval Adult Use Cultivation Center License" means a license that permits a medical cannabis cultivation center licensed under the Compassionate Use of Medical Cannabis Pilot Program Act as of the effective date of this Act to begin cultivating, infusing, packaging, transporting (unless otherwise provided in this Act), and selling cannabis to cannabis business establishments for resale to purchasers as permitted by this Act as of January 1, 2020.
    "Early Approval Adult Use Dispensing Organization License" means a license that permits a medical cannabis dispensing organization licensed under the Compassionate Use of Medical Cannabis Pilot Program Act as of the effective date of this Act to begin selling cannabis to purchasers as permitted by this Act as of January 1, 2020.
    "Early Approval Adult Use Dispensing Organization at a secondary site" means a license that permits a medical cannabis dispensing organization licensed under the Compassionate Use of Medical Cannabis Pilot Program Act as of the effective date of this Act to begin selling cannabis to purchasers as permitted by this Act on January 1, 2020 at a different dispensary location from its existing registered medical dispensary location.
    "Enclosed, locked facility" means a room, greenhouse, building, or other enclosed area equipped with locks or other security devices that permit access only by cannabis business establishment agents working for the licensed cannabis business establishment or acting pursuant to this Act to cultivate, process, store, or distribute cannabis.
    "Enclosed, locked space" means a closet, room, greenhouse, building or other enclosed area equipped with locks or other security devices that permit access only by authorized individuals under this Act. "Enclosed, locked space" may include:
        (1) a space within a residential building that (i) is
    
the primary residence of the individual cultivating 5 or fewer cannabis plants that are more than 5 inches tall and (ii) includes sleeping quarters and indoor plumbing. The space must only be accessible by a key or code that is different from any key or code that can be used to access the residential building from the exterior; or
        (2) a structure, such as a shed or greenhouse, that
    
lies on the same plot of land as a residential building that (i) includes sleeping quarters and indoor plumbing and (ii) is used as a primary residence by the person cultivating 5 or fewer cannabis plants that are more than 5 inches tall, such as a shed or greenhouse. The structure must remain locked when it is unoccupied by people.
    "Financial institution" has the same meaning as "financial organization" as defined in Section 1501 of the Illinois Income Tax Act, and also includes the holding companies, subsidiaries, and affiliates of such financial organizations.
    "Flowering stage" means the stage of cultivation where and when a cannabis plant is cultivated to produce plant material for cannabis products. This includes mature plants as follows:
        (1) if greater than 2 stigmas are visible at each
    
internode of the plant; or
        (2) if the cannabis plant is in an area that has been
    
intentionally deprived of light for a period of time intended to produce flower buds and induce maturation, from the moment the light deprivation began through the remainder of the marijuana plant growth cycle.
    "Individual" means a natural person.
    "Infuser organization" or "infuser" means a facility operated by an organization or business that is licensed by the Department of Agriculture to directly incorporate cannabis or cannabis concentrate into a product formulation to produce a cannabis-infused product.
    "Kief" means the resinous crystal-like trichomes that are found on cannabis and that are accumulated, resulting in a higher concentration of cannabinoids, untreated by heat or pressure, or extracted using a solvent.
    "Labor peace agreement" means an agreement between a cannabis business establishment and any labor organization recognized under the National Labor Relations Act, referred to in this Act as a bona fide labor organization, that prohibits labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with the cannabis business establishment. This agreement means that the cannabis business establishment has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the cannabis business establishment's employees. The agreement shall provide a bona fide labor organization access at reasonable times to areas in which the cannabis business establishment's employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under State law, and terms and conditions of employment. This type of agreement shall not mandate a particular method of election or certification of the bona fide labor organization.
    "Limited access area" means a building, room, or other area under the control of a cannabis dispensing organization licensed under this Act and upon the licensed premises with access limited to purchasers, dispensing organization owners and other dispensing organization agents, or service professionals conducting business with the dispensing organization.
    "Member of an impacted family" means an individual who has a parent, legal guardian, child, spouse, or dependent, or was a dependent of an individual who, prior to the effective date of this Act, was arrested for, convicted of, or adjudicated delinquent for any offense that is eligible for expungement under this Act.
    "Mother plant" means a cannabis plant that is cultivated or maintained for the purpose of generating clones, and that will not be used to produce plant material for sale to an infuser or dispensing organization.
    "Ordinary public view" means within the sight line with normal visual range of a person, unassisted by visual aids, from a public street or sidewalk adjacent to real property, or from within an adjacent property.
    "Ownership and control" means ownership of at least 51% of the business, including corporate stock if a corporation, and control over the management and day-to-day operations of the business and an interest in the capital, assets, and profits and losses of the business proportionate to percentage of ownership.
    "Person" means a natural individual, firm, partnership, association, joint stock company, joint venture, public or private corporation, limited liability company, or a receiver, executor, trustee, guardian, or other representative appointed by order of any court.
    "Possession limit" means the amount of cannabis under Section 10-10 that may be possessed at any one time by a person 21 years of age or older or who is a registered qualifying medical cannabis patient or caregiver under the Compassionate Use of Medical Cannabis Pilot Program Act.
    "Principal officer" includes a cannabis business establishment applicant or licensed cannabis business establishment's board member, owner with more than 1% interest of the total cannabis business establishment or more than 5% interest of the total cannabis business establishment of a publicly traded company, president, vice president, secretary, treasurer, partner, officer, member, manager member, or person with a profit sharing, financial interest, or revenue sharing arrangement. The definition includes a person with authority to control the cannabis business establishment, a person who assumes responsibility for the debts of the cannabis business establishment and who is further defined in this Act.
    "Primary residence" means a dwelling where a person usually stays or stays more often than other locations. It may be determined by, without limitation, presence, tax filings; address on an Illinois driver's license, an Illinois Identification Card, or an Illinois Person with a Disability Identification Card; or voter registration. No person may have more than one primary residence.
    "Processing organization" or "processor" means a facility operated by an organization or business that is licensed by the Department of Agriculture to either extract constituent chemicals or compounds to produce cannabis concentrate or incorporate cannabis or cannabis concentrate into a product formulation to produce a cannabis product.
    "Processing organization agent" means a principal officer, board member, employee, or agent of a processing organization.
    "Processing organization agent identification card" means a document issued by the Department of Agriculture that identifies a person as a processing organization agent.
    "Purchaser" means a person 21 years of age or older who acquires cannabis for a valuable consideration. "Purchaser" does not include a cardholder under the Compassionate Use of Medical Cannabis Pilot Program Act.
    "Qualified Social Equity Applicant" means a Social Equity Applicant who has been awarded a conditional license under this Act to operate a cannabis business establishment.
    "Resided" means an individual's primary residence was located within the relevant geographic area as established by 2 of the following:
        (1) a signed lease agreement that includes the
    
applicant's name;
        (2) a property deed that includes the applicant's
    
name;
        (3) school records;
        (4) a voter registration card;
        (5) an Illinois driver's license, an Illinois
    
Identification Card, or an Illinois Person with a Disability Identification Card;
        (6) a paycheck stub;
        (7) a utility bill; or
        (8) any other proof of residency or other information
    
necessary to establish residence as provided by rule.
    "Smoking" means the inhalation of smoke caused by the combustion of cannabis.
    "Social Equity Applicant" means an applicant that is an Illinois resident that meets one of the following criteria:
        (1) an applicant with at least 51% ownership and
    
control by one or more individuals who have resided for at least 5 of the preceding 10 years in a Disproportionately Impacted Area;
        (2) an applicant with at least 51% ownership and
    
control by one or more individuals who:
            (i) have been arrested for, convicted of, or
        
adjudicated delinquent for any offense that is eligible for expungement under this Act; or
            (ii) is a member of an impacted family;
        (3) for applicants with a minimum of 10 full-time
    
employees, an applicant with at least 51% of current employees who:
            (i) currently reside in a Disproportionately
        
Impacted Area; or
            (ii) have been arrested for, convicted of, or
        
adjudicated delinquent for any offense that is eligible for expungement under this Act or member of an impacted family.
    Nothing in this Act shall be construed to preempt or limit the duties of any employer under the Job Opportunities for Qualified Applicants Act. Nothing in this Act shall permit an employer to require an employee to disclose sealed or expunged offenses, unless otherwise required by law.
    "Tincture" means a cannabis-infused solution, typically comprised of alcohol, glycerin, or vegetable oils, derived either directly from the cannabis plant or from a processed cannabis extract. A tincture is not an alcoholic liquor as defined in the Liquor Control Act of 1934. A tincture shall include a calibrated dropper or other similar device capable of accurately measuring servings.
    "Transporting organization" or "transporter" means an organization or business that is licensed by the Department of Agriculture to transport cannabis on behalf of a cannabis business establishment or a community college licensed under the Community College Cannabis Vocational Training Pilot Program.
    "Transporting organization agent" means a principal officer, board member, employee, or agent of a transporting organization.
    "Transporting organization agent identification card" means a document issued by the Department of Agriculture that identifies a person as a transporting organization agent.
    "Unit of local government" means any county, city, village, or incorporated town.
    "Vegetative stage" means the stage of cultivation in which a cannabis plant is propagated to produce additional cannabis plants or reach a sufficient size for production. This includes seedlings, clones, mothers, and other immature cannabis plants as follows:
        (1) if the cannabis plant is in an area that has not
    
been intentionally deprived of light for a period of time intended to produce flower buds and induce maturation, it has no more than 2 stigmas visible at each internode of the cannabis plant; or
        (2) any cannabis plant that is cultivated solely for
    
the purpose of propagating clones and is never used to produce cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 5

 
    (410 ILCS 705/Art. 5 heading)
Article 5.
Authority
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-5

    (410 ILCS 705/5-5)
    Sec. 5-5. Sharing of authority. Notwithstanding any provision or law to the contrary, any authority granted to any State agency or State employees or appointees under the Compassionate Use of Medical Cannabis Pilot Program Act shall be shared by any State agency or State employees or appointees given authority to license, discipline, revoke, regulate, or make rules under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-10

    (410 ILCS 705/5-10)
    Sec. 5-10. Department of Agriculture. The Department of Agriculture shall administer and enforce provisions of this Act relating to the oversight and registration of cultivation centers, craft growers, infuser organizations, and transporting organizations and agents, including the issuance of identification cards and establishing limits on potency or serving size for cannabis or cannabis products. The Department of Agriculture may suspend or revoke the license of, or impose other penalties upon cultivation centers, craft growers, infuser organizations, transporting organizations, and their principal officers, Agents-in-Charge, and agents for violations of this Act and any rules adopted under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-15

    (410 ILCS 705/5-15)
    Sec. 5-15. Department of Financial and Professional Regulation. The Department of Financial and Professional Regulation shall enforce the provisions of this Act relating to the oversight and registration of dispensing organizations and agents, including the issuance of identification cards for dispensing organization agents. The Department of Financial and Professional Regulation may suspend or revoke the license of, or impose other penalties upon, dispensing organizations for violations of this Act and any rules adopted under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-20

    (410 ILCS 705/5-20)
    Sec. 5-20. Background checks.
    (a) Through the Department of State Police, the licensing or issuing Department shall conduct a criminal history record check of the prospective principal officers, board members, and agents of a cannabis business establishment applying for a license or identification card under this Act.
    Each cannabis business establishment prospective principal officer, board member, or agent shall submit his or her fingerprints to the Department of State Police in the form and manner prescribed by the Department of State Police.
    Such fingerprints shall be transmitted through a live scan fingerprint vendor licensed by the Department of Financial and Professional Regulation. These fingerprints shall be checked against the fingerprint records now and hereafter filed in the Department of State Police and Federal Bureau of Investigation criminal history records databases. The Department of State Police shall charge a fee for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the State and national criminal history record check. The Department of State Police shall furnish, pursuant to positive identification, all Illinois conviction information and shall forward the national criminal history record information to:
        (i) the Department of Agriculture, with respect to a
    
cultivation center, craft grower, infuser organization, or transporting organization; or
        (ii) the Department of Financial and Professional
    
Regulation, with respect to a dispensing organization.
    (b) When applying for the initial license or identification card, the background checks for all prospective principal officers, board members, and agents shall be completed before submitting the application to the licensing or issuing agency.
    (c) All applications for licensure under this Act by applicants with criminal convictions shall be subject to Sections 2105-131, 2105-135, and 2105-205 of the Department of Professional Regulation Law of the Civil Administrative Code of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-25

    (410 ILCS 705/5-25)
    Sec. 5-25. Department of Public Health to make health warning recommendations.
    (a) The Department of Public Health shall make recommendations to the Department of Agriculture and the Department of Financial and Professional Regulation on appropriate health warnings for dispensaries and advertising, which may apply to all cannabis products, including item-type specific labeling or warning requirements, regulate the facility where cannabis-infused products are made, regulate cannabis-infused products as provided in subsection (e) of Section 55-5, and facilitate the Adult Use Cannabis Health Advisory Committee.
    (b) An Adult Use Cannabis Health Advisory Committee is hereby created and shall meet at least twice annually. The Chairperson may schedule meetings more frequently upon his or her initiative or upon the request of a Committee member. Meetings may be held in person or by teleconference. The Committee shall discuss and monitor changes in drug use data in Illinois and the emerging science and medical information relevant to the health effects associated with cannabis use and may provide recommendations to the Department of Human Services about public health awareness campaigns and messages. The Committee shall include the following members appointed by the Governor and shall represent the geographic, ethnic, and racial diversity of the State:
        (1) The Director of Public Health, or his or her
    
designee, who shall serve as the Chairperson.
        (2) The Secretary of Human Services, or his or her
    
designee, who shall serve as the Co-Chairperson.
        (3) A representative of the poison control center.
        (4) A pharmacologist.
        (5) A pulmonologist.
        (6) An emergency room physician.
        (7) An emergency medical technician, paramedic, or
    
other first responder.
        (8) A nurse practicing in a school-based setting.
        (9) A psychologist.
        (10) A neonatologist.
        (11) An obstetrician-gynecologist.
        (12) A drug epidemiologist.
        (13) A medical toxicologist.
        (14) An addiction psychiatrist.
        (15) A pediatrician.
        (16) A representative of a statewide professional
    
public health organization.
        (17) A representative of a statewide hospital/health
    
system association.
        (18) An individual registered as a patient in the
    
Compassionate Use of Medical Cannabis Pilot Program.
        (19) An individual registered as a caregiver in the
    
Compassionate Use of Medical Cannabis Pilot Program.
        (20) A representative of an organization focusing on
    
cannabis-related policy.
        (21) A representative of an organization focusing on
    
the civil liberties of individuals who reside in Illinois.
        (22) A representative of the criminal defense or
    
civil aid community of attorneys serving Disproportionately Impacted Areas.
        (23) A representative of licensed cannabis business
    
establishments.
        (24) A Social Equity Applicant.
    (c) The Committee shall provide a report by September 30, 2021, and every year thereafter, to the General Assembly. The Department of Public Health shall make the report available on its website.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-30

    (410 ILCS 705/5-30)
    Sec. 5-30. Department of Human Services. The Department of Human Services shall identify evidence-based programs for preventive mental health, the prevention or treatment of alcohol abuse, tobacco use, illegal drug use (including prescription drugs), and cannabis use by pregnant women, and make policy recommendations, as appropriate, to the Adult Use Cannabis Health Advisory Committee. The Department of Human Services shall develop and disseminate educational materials for purchasers based on recommendations received from the Department of Public Health and the Adult Use Cannabis Health Advisory Committee.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/5-45

    (410 ILCS 705/5-45)
    Sec. 5-45. Illinois Cannabis Regulation Oversight Officer.
    (a) The position of Illinois Cannabis Regulation Oversight Officer is created within the Department of Financial and Professional Regulation under the Secretary of Financial and Professional Regulation. The Illinois Cannabis Regulation Oversight Officer shall be appointed by the Governor with the advice and consent of the Senate. The term of office of the Officer shall expire on the third Monday of January in odd-numbered years provided that he or she shall hold office until a successor is appointed and qualified. In case of vacancy in office during the recess of the Senate, the Governor shall make a temporary appointment until the next meeting of the Senate, when the Governor shall nominate some person to fill the office, and any person so nominated who is confirmed by the Senate shall hold office during the remainder of the term and until his or her successor is appointed and qualified.
    (b) The Illinois Cannabis Regulation Oversight Officer may:
        (1) maintain a staff;
        (2) make recommendations for policy, statute, and
    
rule changes;
        (3) collect data both in Illinois and outside
    
Illinois regarding the regulation of cannabis;
        (4) compile or assist in the compilation of any
    
reports required by this Act;
        (5) ensure the coordination of efforts between
    
various State agencies involved in regulating and taxing the sale of cannabis in Illinois; and
        (6) encourage, promote, suggest, and report best
    
practices for ensuring diversity in the cannabis industry in Illinois.
    (c) The Illinois Cannabis Regulation Oversight Officer shall not:
        (1) participate in the issuance of any business
    
licensing or the making of awards; or
        (2) participate in any adjudicative decision-making
    
process involving licensing or licensee discipline.
    (d) Any funding required for the Illinois Cannabis Regulation Oversight Officer, its staff, or its activities shall be drawn from the Cannabis Regulation Fund.
    (e) The Illinois Cannabis Regulation Oversight Officer shall commission and publish a disparity and availability study by March 1, 2021 that: (1) evaluates whether there exists discrimination in the State's cannabis industry; and (2) if so, evaluates the impact of such discrimination on the State and includes recommendations to the Department of Financial and Professional Regulation and the Department of Agriculture for reducing or eliminating any identified barriers to entry in the cannabis market. The Illinois Cannabis Regulation Oversight Officer shall forward a copy of its findings and recommendations to the Department of Financial and Professional Regulation, the Department of Agriculture, the Department of Commerce and Economic Opportunity, the General Assembly, and the Governor.
    (f) The Illinois Cannabis Regulation Oversight Officer may compile, collect, or otherwise gather data necessary for the administration of this Act and to carry out the Officer's duty relating to the recommendation of policy changes. The Illinois Cannabis Regulation Oversight Officer may direct the Department of Agriculture, Department of Financial and Professional Regulation, Department of Public Health, Department of Human Services, and Department of Commerce and Economic Opportunity to assist in the compilation, collection, and data gathering authorized pursuant to this subsection. The Illinois Cannabis Regulation Oversight Officer shall compile all of the data into a single report and submit the report to the Governor and the General Assembly and publish the report on its website.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 7

 
    (410 ILCS 705/Art. 7 heading)
Article 7.
Social Equity in the Cannabis Industry
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/7-1

    (410 ILCS 705/7-1)
    Sec. 7-1. Findings.
    (a) The General Assembly finds that the medical cannabis industry, established in 2014 through the Compassionate Use of Medical Cannabis Pilot Program Act, has shown that additional efforts are needed to reduce barriers to ownership. Through that program, 55 licenses for dispensing organizations and 20 licenses for cultivation centers have been issued. Those licenses are held by only a small number of businesses, the ownership of which does not sufficiently meet the General Assembly's interest in business ownership that reflects the population of the State of Illinois and that demonstrates the need to reduce barriers to entry for individuals and communities most adversely impacted by the enforcement of cannabis-related laws.
    (b) In the interest of establishing a legal cannabis industry that is equitable and accessible to those most adversely impacted by the enforcement of drug-related laws in this State, including cannabis-related laws, the General Assembly finds and declares that a social equity program should be established.
    (c) The General Assembly also finds and declares that individuals who have been arrested or incarcerated due to drug laws suffer long-lasting negative consequences, including impacts to employment, business ownership, housing, health, and long-term financial well-being.
    (d) The General Assembly also finds and declares that family members, especially children, and communities of those who have been arrested or incarcerated due to drug laws, suffer from emotional, psychological, and financial harms as a result of such arrests or incarcerations.
    (e) Furthermore, the General Assembly finds and declares that certain communities have disproportionately suffered the harms of enforcement of cannabis-related laws. Those communities face greater difficulties accessing traditional banking systems and capital for establishing businesses.
    (f) The General Assembly also finds that individuals who have resided in areas of high poverty suffer negative consequences, including barriers to entry in employment, business ownership, housing, health, and long-term financial well-being.
    (g) The General Assembly also finds and declares that promotion of business ownership by individuals who have resided in areas of high poverty and high enforcement of cannabis-related laws furthers an equitable cannabis industry.
    (h) Therefore, in the interest of remedying the harms resulting from the disproportionate enforcement of cannabis-related laws, the General Assembly finds and declares that a social equity program should offer, among other things, financial assistance and license application benefits to individuals most directly and adversely impacted by the enforcement of cannabis-related laws who are interested in starting cannabis business establishments.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/7-10

    (410 ILCS 705/7-10)
    Sec. 7-10. Cannabis Business Development Fund.
    (a) There is created in the State treasury a special fund, which shall be held separate and apart from all other State moneys, to be known as the Cannabis Business Development Fund. The Cannabis Business Development Fund shall be exclusively used for the following purposes:
        (1) to provide low-interest rate loans to Social
    
Equity Applicants to pay for ordinary and necessary expenses to start and operate a cannabis business establishment permitted by this Act;
        (2) to provide grants to Qualified Social Equity
    
Applicants to pay for ordinary and necessary expenses to start and operate a cannabis business establishment permitted by this Act;
        (3) to compensate the Department of Commerce and
    
Economic Opportunity for any costs related to the provision of low-interest loans and grants to Qualified Social Equity Applicants;
        (4) to pay for outreach that may be provided or
    
targeted to attract and support Social Equity Applicants;
        (5) (blank);
        (6) to conduct any study or research concerning the
    
participation of minorities, women, veterans, or people with disabilities in the cannabis industry, including, without limitation, barriers to such individuals entering the industry as equity owners of cannabis business establishments;
        (7) (blank); and
        (8) to assist with job training and technical
    
assistance for residents in Disproportionately Impacted Areas.
    (b) All moneys collected under Sections 15-15 and 15-20 for Early Approval Adult Use Dispensing Organization Licenses issued before January 1, 2021 and remunerations made as a result of transfers of permits awarded to Qualified Social Equity Applicants shall be deposited into the Cannabis Business Development Fund.
    (c) As soon as practical after July 1, 2019, the Comptroller shall order and the Treasurer shall transfer $12,000,000 from the Compassionate Use of Medical Cannabis Fund to the Cannabis Business Development Fund.
    (d) Notwithstanding any other law to the contrary, the Cannabis Business Development Fund is not subject to sweeps, administrative charge-backs, or any other fiscal or budgetary maneuver that would in any way transfer any amounts from the Cannabis Business Development Fund into any other fund of the State.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/7-15

    (410 ILCS 705/7-15)
    Sec. 7-15. Loans and grants to Social Equity Applicants.
    (a) The Department of Commerce and Economic Opportunity shall establish grant and loan programs, subject to appropriations from the Cannabis Business Development Fund, for the purposes of providing financial assistance, loans, grants, and technical assistance to Social Equity Applicants.
    (b) The Department of Commerce and Economic Opportunity has the power to:
        (1) provide Cannabis Social Equity loans and grants
    
from appropriations from the Cannabis Business Development Fund to assist Social Equity Applicants in gaining entry to, and successfully operating in, the State's regulated cannabis marketplace;
        (2) enter into agreements that set forth terms and
    
conditions of the financial assistance, accept funds or grants, and engage in cooperation with private entities and agencies of State or local government to carry out the purposes of this Section;
        (3) fix, determine, charge, and collect any premiums,
    
fees, charges, costs and expenses, including application fees, commitment fees, program fees, financing charges, or publication fees in connection with its activities under this Section;
        (4) coordinate assistance under these loan programs
    
with activities of the Illinois Department of Financial and Professional Regulation, the Illinois Department of Agriculture, and other agencies as needed to maximize the effectiveness and efficiency of this Act;
        (5) provide staff, administration, and related
    
support required to administer this Section;
        (6) take whatever actions are necessary or
    
appropriate to protect the State's interest in the event of bankruptcy, default, foreclosure, or noncompliance with the terms and conditions of financial assistance provided under this Section, including the ability to recapture funds if the recipient is found to be noncompliant with the terms and conditions of the financial assistance agreement;
        (7) establish application, notification, contract,
    
and other forms, procedures, or rules deemed necessary and appropriate; and
        (8) utilize vendors or contract work to carry out the
    
purposes of this Act.
    (c) Loans made under this Section:
        (1) shall only be made if, in the Department's
    
judgment, the project furthers the goals set forth in this Act; and
        (2) shall be in such principal amount and form and
    
contain such terms and provisions with respect to security, insurance, reporting, delinquency charges, default remedies, and other matters as the Department shall determine appropriate to protect the public interest and to be consistent with the purposes of this Section. The terms and provisions may be less than required for similar loans not covered by this Section.
    (d) Grants made under this Section shall be awarded on a competitive and annual basis under the Grant Accountability and Transparency Act. Grants made under this Section shall further and promote the goals of this Act, including promotion of Social Equity Applicants, job training and workforce development, and technical assistance to Social Equity Applicants.
    (e) Beginning January 1, 2021 and each year thereafter, the Department shall annually report to the Governor and the General Assembly on the outcomes and effectiveness of this Section that shall include the following:
        (1) the number of persons or businesses receiving
    
financial assistance under this Section;
        (2) the amount in financial assistance awarded in the
    
aggregate, in addition to the amount of loans made that are outstanding and the amount of grants awarded;
        (3) the location of the project engaged in by the
    
person or business; and
        (4) if applicable, the number of new jobs and other
    
forms of economic output created as a result of the financial assistance.
    (f) The Department of Commerce and Economic Opportunity shall include engagement with individuals with limited English proficiency as part of its outreach provided or targeted to attract and support Social Equity Applicants.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/7-20

    (410 ILCS 705/7-20)
    Sec. 7-20. Fee waivers.
    (a) For Social Equity Applicants, the Department of Financial and Professional Regulation and the Department of Agriculture shall waive 50% of any nonrefundable license application fees, any nonrefundable fees associated with purchasing a license to operate a cannabis business establishment, and any surety bond or other financial requirements, provided a Social Equity Applicant meets the following qualifications at the time the payment is due:
        (1) the applicant, including all individuals and
    
entities with 10% or greater ownership and all parent companies, subsidiaries, and affiliates, has less than a total of $750,000 of income in the previous calendar year; and
        (2) the applicant, including all individuals and
    
entities with 10% or greater ownership and all parent companies, subsidiaries, and affiliates, has no more than 2 other licenses for cannabis business establishments in the State of Illinois.
    (b) The Department of Financial and Professional Regulation and the Department of Agriculture may require Social Equity Applicants to attest that they meet the requirements for a fee waiver as provided in subsection (a) and to provide evidence of annual total income in the previous calendar year.
    (c) If the Department of Financial and Professional Regulation or the Department of Agriculture determines that an applicant who applied as a Social Equity Applicant is not eligible for such status, the applicant shall be provided an additional 10 days to provide alternative evidence that he or she qualifies as a Social Equity Applicant. Alternatively, the applicant may pay the remainder of the waived fee and be considered as a non-Social Equity Applicant. If the applicant cannot do either, then the Departments may keep the initial application fee and the application shall not be graded.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/7-25

    (410 ILCS 705/7-25)
    Sec. 7-25. Transfer of license awarded to Social Equity Applicant.
    (a) In the event a Social Equity Applicant seeks to transfer, sell, or grant a cannabis business establishment license within 5 years after it was issued to a person or entity that does not qualify as a Social Equity Applicant, the transfer agreement shall require the new license holder to pay the Cannabis Business Development Fund an amount equal to:
        (1) any fees that were waived by any State agency
    
based on the applicant's status as a Social Equity Applicant, if applicable;
        (2) any outstanding amount owed by the Qualified
    
Social Equity Applicant for a loan through the Cannabis Business Development Fund, if applicable; and
        (3) the full amount of any grants that the Qualified
    
Social Equity Applicant received from the Department of Commerce and Economic Opportunity, if applicable.
    (b) Transfers of cannabis business establishment licenses awarded to a Social Equity Applicant are subject to all other provisions of this Act, the Compassionate Use of Medical Cannabis Pilot Program Act, and rules regarding transfers.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/7-30

    (410 ILCS 705/7-30)
    Sec. 7-30. Reporting. By January 1, 2021, and on January 1 of every year thereafter, or upon request by the Illinois Cannabis Regulation Oversight Officer, each cannabis business establishment licensed under this Act shall report to the Illinois Cannabis Regulation Oversight Officer, on a form to be provided by the Illinois Cannabis Regulation Oversight Officer, information that will allow it to assess the extent of diversity in the medical and adult use cannabis industry and methods for reducing or eliminating any identified barriers to entry, including access to capital. The information to be collected shall be designed to identify the following:
        (1) the number and percentage of licenses provided to
    
Social Equity Applicants and to businesses owned by minorities, women, veterans, and people with disabilities;
        (2) the total number and percentage of employees in
    
the cannabis industry who meet the criteria in (3)(i) or (3)(ii) in the definition of Social Equity Applicant or who are minorities, women, veterans, or people with disabilities;
        (3) the total number and percentage of contractors
    
and subcontractors in the cannabis industry that meet the definition of a Social Equity Applicant or who are owned by minorities, women, veterans, or people with disabilities, if known to the cannabis business establishment; and
        (4) recommendations on reducing or eliminating any
    
identified barriers to entry, including access to capital, in the cannabis industry.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 10

 
    (410 ILCS 705/Art. 10 heading)
Article 10.
Personal Use of Cannabis
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-5

    (410 ILCS 705/10-5)
    Sec. 10-5. Personal use of cannabis; restrictions on cultivation; penalties.
    (a) Beginning January 1, 2020, notwithstanding any other provision of law, and except as otherwise provided in this Act, the following acts are not a violation of this Act and shall not be a criminal or civil offense under State law or the ordinances of any unit of local government of this State or be a basis for seizure or forfeiture of assets under State law for persons other than natural individuals under 21 years of age:
        (1) possession, consumption, use, purchase,
    
obtaining, or transporting an amount of cannabis for personal use that does not exceed the possession limit under Section 10-10 or otherwise in accordance with the requirements of this Act;
        (2) cultivation of cannabis for personal use in
    
accordance with the requirements of this Act; and
        (3) controlling property if actions that are
    
authorized by this Act occur on the property in accordance with this Act.
    (a-1) Beginning January 1, 2020, notwithstanding any other provision of law, and except as otherwise provided in this Act, possessing, consuming, using, purchasing, obtaining, or transporting an amount of cannabis purchased or produced in accordance with this Act that does not exceed the possession limit under subsection (a) of Section 10-10 shall not be a basis for seizure or forfeiture of assets under State law.
    (b) Cultivating cannabis for personal use is subject to the following limitations:
        (1) An Illinois resident 21 years of age or older who
    
is a registered qualifying patient under the Compassionate Use of Medical Cannabis Pilot Program Act may cultivate cannabis plants, with a limit of 5 plants that are more than 5 inches tall, per household without a cultivation center or craft grower license. In this Section, "resident" means a person who has been domiciled in the State of Illinois for a period of 30 days before cultivation.
        (2) Cannabis cultivation must take place in an
    
enclosed, locked space.
        (3) Adult registered qualifying patients may purchase
    
cannabis seeds from a dispensary for the purpose of home cultivation. Seeds may not be given or sold to any other person.
        (4) Cannabis plants shall not be stored or placed in
    
a location where they are subject to ordinary public view, as defined in this Act. A registered qualifying patient who cultivates cannabis under this Section shall take reasonable precautions to ensure the plants are secure from unauthorized access, including unauthorized access by a person under 21 years of age.
        (5) Cannabis cultivation may occur only on
    
residential property lawfully in possession of the cultivator or with the consent of the person in lawful possession of the property. An owner or lessor of residential property may prohibit the cultivation of cannabis by a lessee.
        (6) (Blank).
        (7) A dwelling, residence, apartment, condominium
    
unit, enclosed, locked space, or piece of property not divided into multiple dwelling units shall not contain more than 5 plants at any one time.
        (8) Cannabis plants may only be tended by registered
    
qualifying patients who reside at the residence, or their authorized agent attending to the residence for brief periods, such as when the qualifying patient is temporarily away from the residence.
        (9) A registered qualifying patient who cultivates
    
more than the allowable number of cannabis plants, or who sells or gives away cannabis plants, cannabis, or cannabis-infused products produced under this Section, is liable for penalties as provided by law, including the Cannabis Control Act, in addition to loss of home cultivation privileges as established by rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-10

    (410 ILCS 705/10-10)
    Sec. 10-10. Possession limit.
    (a) Except if otherwise authorized by this Act, for a person who is 21 years of age or older and a resident of this State, the possession limit is as follows:
        (1) 30 grams of cannabis flower;
        (2) no more than 500 milligrams of THC contained in
    
cannabis-infused product;
        (3) 5 grams of cannabis concentrate; and
        (4) for registered qualifying patients, any cannabis
    
produced by cannabis plants grown under subsection (b) of Section 10-5, provided any amount of cannabis produced in excess of 30 grams of raw cannabis or its equivalent must remain secured within the residence or residential property in which it was grown.
    (b) For a person who is 21 years of age or older and who is not a resident of this State, the possession limit is:
        (1) 15 grams of cannabis flower;
        (2) 2.5 grams of cannabis concentrate; and
        (3) 250 milligrams of THC contained in a
    
cannabis-infused product.
    (c) The possession limits found in subsections (a) and (b) of this Section are to be considered cumulative.
    (d) No person shall knowingly obtain, seek to obtain, or possess an amount of cannabis from a dispensing organization or craft grower that would cause him or her to exceed the possession limit under this Section, including cannabis that is cultivated by a person under this Act or obtained under the Compassionate Use of Medical Cannabis Pilot Program Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-15

    (410 ILCS 705/10-15)
    Sec. 10-15. Persons under 21 years of age.
    (a) Nothing in this Act is intended to permit the transfer of cannabis, with or without remuneration, to a person under 21 years of age, or to allow a person under 21 years of age to purchase, possess, use, process, transport, grow, or consume cannabis except where authorized by the Compassionate Use of Medical Cannabis Pilot Program Act or by the Community College Cannabis Vocational Pilot Program.
    (b) Notwithstanding any other provisions of law authorizing the possession of medical cannabis, nothing in this Act authorizes a person who is under 21 years of age to possess cannabis. A person under 21 years of age with cannabis in his or her possession is guilty of a civil law violation as outlined in paragraph (a) of Section 4 of the Cannabis Control Act.
    (c) If the person under the age of 21 was in a motor vehicle at the time of the offense, the Secretary of State may suspend or revoke the driving privileges of any person for a violation of this Section under Section 6-206 of the Illinois Vehicle Code and the rules adopted under it.
    (d) It is unlawful for any parent or guardian to knowingly permit his or her residence, any other private property under his or her control, or any vehicle, conveyance, or watercraft under his or her control to be used by an invitee of the parent's child or the guardian's ward, if the invitee is under the age of 21, in a manner that constitutes a violation of this Section. A parent or guardian is deemed to have knowingly permitted his or her residence, any other private property under his or her control, or any vehicle, conveyance, or watercraft under his or her control to be used in violation of this Section if he or she knowingly authorizes or permits consumption of cannabis by underage invitees. Any person who violates this subsection (d) is guilty of a Class A misdemeanor and the person's sentence shall include, but shall not be limited to, a fine of not less than $500. If a violation of this subsection (d) directly or indirectly results in great bodily harm or death to any person, the person violating this subsection is guilty of a Class 4 felony. In this subsection (d), where the residence or other property has an owner and a tenant or lessee, the trier of fact may infer that the residence or other property is occupied only by the tenant or lessee.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-20

    (410 ILCS 705/10-20)
    Sec. 10-20. Identification; false identification; penalty.
    (a) To protect personal privacy, the Department of Financial and Professional Regulation shall not require a purchaser to provide a dispensing organization with personal information other than government-issued identification to determine the purchaser's age, and a dispensing organization shall not obtain and record personal information about a purchaser without the purchaser's consent. A dispensing organization shall use an electronic reader or electronic scanning device to scan a purchaser's government-issued identification, if applicable, to determine the purchaser's age and the validity of the identification. Any identifying or personal information of a purchaser obtained or received in accordance with this Section shall not be retained, used, shared or disclosed for any purpose except as authorized by this Act.
    (b) A person who is under 21 years of age may not present or offer to a cannabis business establishment or the cannabis business establishment's principal or employee any written or oral evidence of age that is false, fraudulent, or not actually the person's own, for the purpose of:
        (1) purchasing, attempting to purchase, or otherwise
    
obtaining or attempting to obtain cannabis or any cannabis product; or
        (2) gaining access to a cannabis business
    
establishment.
    (c) A violation of this Section is a Class A misdemeanor consistent with Section 6-20 of the Liquor Control Act of 1934.
    (d) The Secretary of State may suspend or revoke the driving privileges of any person for a violation of this Section under Section 6-206 of the Illinois Vehicle Code and the rules adopted under it.
    (e) No agent or employee of the licensee shall be disciplined or discharged for selling or furnishing cannabis or cannabis products to a person under 21 years of age if the agent or employee demanded and was shown, before furnishing cannabis or cannabis products to a person under 21 years of age, adequate written evidence of age and identity of the person. This subsection (e) does not apply if the agent or employee accepted the written evidence knowing it to be false or fraudulent. Adequate written evidence of age and identity of the person is a document issued by a federal, State, county, or municipal government, or subdivision or agency thereof, including, but not limited to, a motor vehicle operator's license, a registration certificate issued under the Military Selective Service Act, or an identification card issued to a member of the Armed Forces. Proof that the licensee or his or her employee or agent was shown and reasonably relied upon such written evidence in any transaction forbidden by this Section is an affirmative defense in any criminal prosecution therefor or to any proceedings for the suspension or revocation of any license based thereon.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-25

    (410 ILCS 705/10-25)
    Sec. 10-25. Immunities and presumptions related to the use of cannabis by purchasers.
    (a) A purchaser who is 21 years of age or older is not subject to arrest, prosecution, denial of any right or privilege, or other punishment including, but not limited to, any civil penalty or disciplinary action taken by an occupational or professional licensing board, based solely on the use of cannabis if (1) the purchaser possesses an amount of cannabis that does not exceed the possession limit under Section 10-10 and, if the purchaser is licensed, certified, or registered to practice any trade or profession under any Act and (2) the use of cannabis does not impair that person when he or she is engaged in the practice of the profession for which he or she is licensed, certified, or registered.
    (b) A purchaser 21 years of age or older is not subject to arrest, prosecution, denial of any right or privilege, or other punishment, including, but not limited to, any civil penalty or disciplinary action taken by an occupational or professional licensing board, based solely for (i) selling cannabis paraphernalia if employed and licensed as a dispensing agent by a dispensing organization or (ii) being in the presence or vicinity of the use of cannabis as allowed under this Act.
    (c) Mere possession of, or application for, an agent identification card or license does not constitute probable cause or reasonable suspicion to believe that a crime has been committed, nor shall it be used as the sole basis to support the search of the person, property, or home of the person possessing or applying for the agent identification card. The possession of, or application for, an agent identification card does not preclude the existence of probable cause if probable cause exists based on other grounds.
    (d) No person employed by the State of Illinois shall be subject to criminal or civil penalties for taking any action in good faith in reliance on this Act when acting within the scope of his or her employment. Representation and indemnification shall be provided to State employees as set forth in Section 2 of the State Employee Indemnification Act.
    (e) No law enforcement or correctional agency, nor any person employed by a law enforcement or correctional agency, shall be subject to criminal or civil liability, except for willful and wanton misconduct, as a result of taking any action within the scope of the official duties of the agency or person to prohibit or prevent the possession or use of cannabis by a person incarcerated at a correctional facility, jail, or municipal lockup facility, on parole or mandatory supervised release, or otherwise under the lawful jurisdiction of the agency or person.
    (f) For purposes of receiving medical care, including organ transplants, a person's use of cannabis under this Act does not constitute the use of an illicit substance or otherwise disqualify a person from medical care.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-30

    (410 ILCS 705/10-30)
    Sec. 10-30. Discrimination prohibited.
    (a) Neither the presence of cannabinoid components or metabolites in a person's bodily fluids nor possession of cannabis-related paraphernalia, nor conduct related to the use of cannabis or the participation in cannabis-related activities lawful under this Act by a custodial or noncustodial parent, grandparent, legal guardian, foster parent, or other person charged with the well-being of a child, shall form the sole or primary basis or supporting basis for any action or proceeding by a child welfare agency or in a family or juvenile court, any adverse finding, adverse evidence, or restriction of any right or privilege in a proceeding related to adoption of a child, acting as a foster parent of a child, or a person's fitness to adopt a child or act as a foster parent of a child, or serve as the basis of any adverse finding, adverse evidence, or restriction of any right of privilege in a proceeding related to guardianship, conservatorship, trusteeship, the execution of a will, or the management of an estate, unless the person's actions in relation to cannabis created an unreasonable danger to the safety of the minor or otherwise show the person to not be competent as established by clear and convincing evidence. This subsection applies only to conduct protected under this Act.
    (b) No landlord may be penalized or denied any benefit under State law for leasing to a person who uses cannabis under this Act.
    (c) Nothing in this Act may be construed to require any person or establishment in lawful possession of property to allow a guest, client, lessee, customer, or visitor to use cannabis on or in that property.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-35

    (410 ILCS 705/10-35)
    Sec. 10-35. Limitations and penalties.
    (a) This Act does not permit any person to engage in, and does not prevent the imposition of any civil, criminal, or other penalties for engaging in, any of the following conduct:
        (1) undertaking any task under the influence of
    
cannabis when doing so would constitute negligence, professional malpractice, or professional misconduct;
        (2) possessing cannabis:
            (A) in a school bus, unless permitted for a
        
qualifying patient or caregiver pursuant to the Compassionate Use of Medical Cannabis Pilot Program Act;
            (B) on the grounds of any preschool or primary or
        
secondary school, unless permitted for a qualifying patient or caregiver pursuant to the Compassionate Use of Medical Cannabis Pilot Program Act;
            (C) in any correctional facility;
            (D) in a vehicle not open to the public unless
        
the cannabis is in a reasonably secured, sealed container and reasonably inaccessible while the vehicle is moving; or
            (E) in a private residence that is used at any
        
time to provide licensed child care or other similar social service care on the premises;
        (3) using cannabis:
            (A) in a school bus, unless permitted for a
        
qualifying patient or caregiver pursuant to the Compassionate Use of Medical Cannabis Pilot Program Act;
            (B) on the grounds of any preschool or primary or
        
secondary school, unless permitted for a qualifying patient or caregiver pursuant to the Compassionate Use of Medical Cannabis Pilot Program Act;
            (C) in any correctional facility;
            (D) in any motor vehicle;
            (E) in a private residence that is used at any
        
time to provide licensed child care or other similar social service care on the premises;
            (F) in any public place; or
            (G) knowingly in close physical proximity to
        
anyone under 21 years of age who is not a registered medical cannabis patient under the Compassionate Use of Medical Cannabis Pilot Program Act;
        (4) smoking cannabis in any place where smoking is
    
prohibited under the Smoke Free Illinois Act;
        (5) operating, navigating, or being in actual
    
physical control of any motor vehicle, aircraft, or motorboat while using or under the influence of cannabis in violation of Section 11-501 or 11-502.1 of the Illinois Vehicle Code;
        (6) facilitating the use of cannabis by any person
    
who is not allowed to use cannabis under this Act or the Compassionate Use of Medical Cannabis Pilot Program Act;
        (7) transferring cannabis to any person contrary to
    
this Act or the Compassionate Use of Medical Cannabis Pilot Program Act;
        (8) the use of cannabis by a law enforcement officer,
    
corrections officer, probation officer, or firefighter while on duty; or
        (9) the use of cannabis by a person who has a school
    
bus permit or a Commercial Driver's License while on duty.
    As used in this Section, "public place" means any place where a person could reasonably be expected to be observed by others. "Public place" includes all parts of buildings owned in whole or in part, or leased, by the State or a unit of local government. "Public place" does not include a private residence unless the private residence is used to provide licensed child care, foster care, or other similar social service care on the premises.
    (b) Nothing in this Act shall be construed to prevent the arrest or prosecution of a person for reckless driving or driving under the influence of cannabis if probable cause exists.
    (c) Nothing in this Act shall prevent a private business from restricting or prohibiting the use of cannabis on its property, including areas where motor vehicles are parked.
    (d) Nothing in this Act shall require an individual or business entity to violate the provisions of federal law, including colleges or universities that must abide by the Drug-Free Schools and Communities Act Amendments of 1989, that require campuses to be drug free.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-40

    (410 ILCS 705/10-40)
    Sec. 10-40. Restore, Reinvest, and Renew Program.
    (a) The General Assembly finds that in order to address the disparities described below, aggressive approaches and targeted resources to support local design and control of community-based responses to these outcomes are required. To carry out this intent, the Restore, Reinvest, and Renew (R3) Program is created for the following purposes:
        (1) to directly address the impact of economic
    
disinvestment, violence, and the historical overuse of criminal justice responses to community and individual needs by providing resources to support local design and control of community-based responses to these impacts;
        (2) to substantially reduce both the total amount of
    
gun violence and concentrated poverty in this State;
        (3) to protect communities from gun violence through
    
targeted investments and intervention programs, including economic growth and improving family violence prevention, community trauma treatment rates, gun injury victim services, and public health prevention activities;
        (4) to promote employment infrastructure and capacity
    
building related to the social determinants of health in the eligible community areas.
    (b) In this Section, "Authority" means the Illinois Criminal Justice Information Authority in coordination with the Justice, Equity, and Opportunity Initiative of the Lieutenant Governor's Office.
    (c) Eligibility of R3 Areas. Within 180 days after the effective date of this Act, the Authority shall identify as eligible, areas in this State by way of historically recognized geographic boundaries, to be designated by the Restore, Reinvest, and Renew Program Board as R3 Areas and therefore eligible to apply for R3 funding. Local groups within R3 Areas will be eligible to apply for State funding through the Restore, Reinvest, and Renew Program Board. Qualifications for designation as an R3 Area are as follows:
        (1) Based on an analysis of data, communities in this
    
State that are high need, underserved, disproportionately impacted by historical economic disinvestment, and ravaged by violence as indicated by the highest rates of gun injury, unemployment, child poverty rates, and commitments to and returns from the Illinois Department of Corrections.
        (2) The Authority shall send to the Legislative Audit
    
Commission and make publicly available its analysis and identification of eligible R3 Areas and shall recalculate he eligibility data every 4 years. On an annual basis, the Authority shall analyze data and indicate if data covering any R3 Area or portion of an Area has, for 4 consecutive years, substantially deviated from the average of statewide data on which the original calculation was made to determine the Areas, including disinvestment, violence, gun injury, unemployment, child poverty rates, or commitments to or returns from the Illinois Department of Corrections.
    (d) The Restore, Reinvest, and Renew Program Board shall encourage collaborative partnerships within each R3 Area to minimize multiple partnerships per Area.
    (e) The Restore, Reinvest, and Renew Program Board is created and shall reflect the diversity of the State of Illinois, including geographic, racial, and ethnic diversity. Using the data provided by the Authority, the Restore, Reinvest, and Renew Program Board shall be responsible for designating the R3 Area boundaries and for the selection and oversight of R3 Area grantees. The Restore, Reinvest, and Renew Program Board ex officio members shall, within 4 months after the effective date of this Act, convene the Board to appoint a full Restore, Reinvest, and Renew Program Board and oversee, provide guidance to, and develop an administrative structure for the R3 Program.
            (1) The ex officio members are:
                (A) The Lieutenant Governor, or his or her
            
designee, who shall serve as chair.
                (B) The Attorney General, or his or her
            
designee.
                (C) The Director of Commerce and Economic
            
Opportunity, or his or her designee.
                (D) The Director of Public Health, or his or
            
her designee.
                (E) The Director of Corrections, or his or
            
her designee.
                (F) The Executive Director of the Illinois
            
Criminal Justice Information Authority, or his or her designee.
                (G) The Director of Employment Security, or
            
his or her designee.
                (H) The Secretary of Human Services, or his
            
or her designee.
                (I) A member of the Senate, designated by the
            
President of the Senate.
                (J) A member of the House of Representatives,
            
designated by the Speaker of the House of Representatives.
                (K) A member of the Senate, designated by the
            
Minority Leader of the Senate.
                (L) A member of the House of Representatives,
            
designated by the Minority Leader of the House of Representatives.
        (2) Within 90 days after the R3 Areas have been
    
designated by the Restore, Reinvest, and Renew Program Board, the following members shall be appointed to the Board by the R3 board chair:
            (A) public officials of municipal geographic
        
jurisdictions in the State that include an R3 Area, or their designees;
            (B) 4 community-based providers or community
        
development organization representatives who provide services to treat violence and address the social determinants of health, or promote community investment, including, but not limited to, services such as job placement and training, educational services, workforce development programming, and wealth building. The community-based organization representatives shall work primarily in jurisdictions that include an R3 Area and no more than 2 representatives shall work primarily in Cook County. At least one of the community-based providers shall have expertise in providing services to an immigrant population;
            (C) Two experts in the field of violence
        
reduction;
            (D) One male who has previously been incarcerated
        
and is over the age of 24 at time of appointment;
            (E) One female who has previously been
        
incarcerated and is over the age of 24 at time of appointment;
            (F) Two individuals who have previously been
        
incarcerated and are between the ages of 17 and 24 at time of appointment.
        As used in this paragraph (2), "an individual who has
    
been previously incarcerated" means a person who has been convicted of or pled guilty to one or more felonies, who was sentenced to a term of imprisonment, and who has completed his or her sentence. Board members shall serve without compensation and may be reimbursed for reasonable expenses incurred in the performance of their duties from funds appropriated for that purpose. Once all its members have been appointed as outlined in items (A) through (F) of this paragraph (2), the Board may exercise any power, perform any function, take any action, or do anything in furtherance of its purposes and goals upon the appointment of a quorum of its members. The Board terms of the non-ex officio and General Assembly Board members shall end 4 years from the date of appointment.
    (f) Within 12 months after the effective date of this Act, the Board shall:
        (1) develop a process to solicit applications from
    
eligible R3 Areas;
        (2) develop a standard template for both planning and
    
implementation activities to be submitted by R3 Areas to the State;
        (3) identify resources sufficient to support the full
    
administration and evaluation of the R3 Program, including building and sustaining core program capacity at the community and State levels;
        (4) review R3 Area grant applications and proposed
    
agreements and approve the distribution of resources;
        (5) develop a performance measurement system that
    
focuses on positive outcomes;
        (6) develop a process to support ongoing monitoring
    
and evaluation of R3 programs; and
        (7) deliver an annual report to the General Assembly
    
and to the Governor to be posted on the Governor's Office and General Assembly websites and provide to the public an annual report on its progress.
    (g) R3 Area grants.
        (1) Grant funds shall be awarded by the Illinois
    
Criminal Justice Information Authority, in coordination with the R3 board, based on the likelihood that the plan will achieve the outcomes outlined in subsection (a) and consistent with the requirements of the Grant Accountability and Transparency Act. The R3 Program shall also facilitate the provision of training and technical assistance for capacity building within and among R3 Areas.
        (2) R3 Program Board grants shall be used to address
    
economic development, violence prevention services, re-entry services, youth development, and civil legal aid.
        (3) The Restore, Reinvest, and Renew Program Board
    
and the R3 Area grantees shall, within a period of no more than 120 days from the completion of planning activities described in this Section, finalize an agreement on the plan for implementation. Implementation activities may:
            (A) have a basis in evidence or best practice
        
research or have evaluations demonstrating the capacity to address the purpose of the program in subsection (a);
            (B) collect data from the inception of planning
        
activities through implementation, with data collection technical assistance when needed, including cost data and data related to identified meaningful short-term, mid-term, and long-term goals and metrics;
            (C) report data to the Restore, Reinvest, and
        
Renew Program Board biannually; and
            (D) report information as requested by the R3
        
Program Board.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/10-50

    (410 ILCS 705/10-50)
    Sec. 10-50. Employment; employer liability.
    (a) Nothing in this Act shall prohibit an employer from adopting reasonable zero tolerance or drug free workplace policies, or employment policies concerning drug testing, smoking, consumption, storage, or use of cannabis in the workplace or while on call provided that the policy is applied in a nondiscriminatory manner.
    (b) Nothing in this Act shall require an employer to permit an employee to be under the influence of or use cannabis in the employer's workplace or while performing the employee's job duties or while on call.
    (c) Nothing in this Act shall limit or prevent an employer from disciplining an employee or terminating employment of an employee for violating an employer's employment policies or workplace drug policy.
    (d) An employer may consider an employee to be impaired or under the influence of cannabis if the employer has a good faith belief that an employee manifests specific, articulable symptoms while working that decrease or lessen the employee's performance of the duties or tasks of the employee's job position, including symptoms of the employee's speech, physical dexterity, agility, coordination, demeanor, irrational or unusual behavior, or negligence or carelessness in operating equipment or machinery; disregard for the safety of the employee or others, or involvement in any accident that results in serious damage to equipment or property; disruption of a production or manufacturing process; or carelessness that results in any injury to the employee or others. If an employer elects to discipline an employee on the basis that the employee is under the influence or impaired by cannabis, the employer must afford the employee a reasonable opportunity to contest the basis of the determination.
    (e) Nothing in this Act shall be construed to create or imply a cause of action for any person against an employer for:
        (1) actions, including but not limited to subjecting
    
an employee or applicant to reasonable drug and alcohol testing under the employer's workplace drug policy, including an employee's refusal to be tested or to cooperate in testing procedures or disciplining or termination of employment, based on the employer's good faith belief that an employee used or possessed cannabis in the employer's workplace or while performing the employee's job duties or while on call in violation of the employer's employment policies;
        (2) actions, including discipline or termination of
    
employment, based on the employer's good faith belief that an employee was impaired as a result of the use of cannabis, or under the influence of cannabis, while at the employer's workplace or while performing the employee's job duties or while on call in violation of the employer's workplace drug policy; or
        (3) injury, loss, or liability to a third party if
    
the employer neither knew nor had reason to know that the employee was impaired.
    (f) Nothing in this Act shall be construed to enhance or diminish protections afforded by any other law, including but not limited to the Compassionate Use of Medical Cannabis Pilot Program Act or the Opioid Alternative Pilot Program.
    (g) Nothing in this Act shall be construed to interfere with any federal, State, or local restrictions on employment including, but not limited to, the United States Department of Transportation regulation 49 CFR 40.151(e) or impact an employer's ability to comply with federal or State law or cause it to lose a federal or State contract or funding.
    (h) As used in this Section, "workplace" means the employer's premises, including any building, real property, and parking area under the control of the employer or area used by an employee while in performance of the employee's job duties, and vehicles, whether leased, rented, or owned. "Workplace" may be further defined by the employer's written employment policy, provided that the policy is consistent with this Section.
    (i) For purposes of this Section, an employee is deemed "on call" when such employee is scheduled with at least 24 hours' notice by his or her employer to be on standby or otherwise responsible for performing tasks related to his or her employment either at the employer's premises or other previously designated location by his or her employer or supervisor to perform a work-related task.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 15

 
    (410 ILCS 705/Art. 15 heading)
Article 15.
License and Regulation of Dispensing Organizations
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-5

    (410 ILCS 705/15-5)
    Sec. 15-5. Authority.
    (a) In this Article, "Department" means the Department of Financial and Professional Regulation.
    (b) It is the duty of the Department to administer and enforce the provisions of this Act relating to the licensure and oversight of dispensing organizations and dispensing organization agents unless otherwise provided in this Act.
    (c) No person shall operate a dispensing organization for the purpose of serving purchasers of cannabis or cannabis products without a license issued under this Article by the Department. No person shall be an officer, director, manager, or employee of a dispensing organization without having been issued a dispensing organization agent card by the Department.
    (d) Subject to the provisions of this Act, the Department may exercise the following powers and duties:
        (1) Prescribe forms to be issued for the
    
administration and enforcement of this Article.
        (2) Examine, inspect, and investigate the premises,
    
operations, and records of dispensing organization applicants and licensees.
        (3) Conduct investigations of possible violations of
    
this Act pertaining to dispensing organizations and dispensing organization agents.
        (4) Conduct hearings on proceedings to refuse to
    
issue or renew licenses or to revoke, suspend, place on probation, reprimand, or otherwise discipline a license under this Article or take other nondisciplinary action.
        (5) Adopt rules required for the administration of
    
this Article.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-10

    (410 ILCS 705/15-10)
    Sec. 15-10. Medical cannabis dispensing organization exemption. This Article does not apply to medical cannabis dispensing organizations registered under the Compassionate Use of Medical Cannabis Pilot Program Act, except where otherwise specified.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-15

    (410 ILCS 705/15-15)
    Sec. 15-15. Early Approval Adult Use Dispensing Organization License.
    (a) Any medical cannabis dispensing organization holding a valid registration under the Compassionate Use of Medical Cannabis Pilot Program Act as of the effective date of this Act may, within 60 days of the effective date of this Act, apply to the Department for an Early Approval Adult Use Dispensing Organization License to serve purchasers at any medical cannabis dispensing location in operation on the effective date of this Act, pursuant to this Section.
    (b) A medical cannabis dispensing organization seeking issuance of an Early Approval Adult Use Dispensing Organization License to serve purchasers at any medical cannabis dispensing location in operation as of the effective date of this Act shall submit an application on forms provided by the Department. The application must be submitted by the same person or entity that holds the medical cannabis dispensing organization registration and include the following:
        (1) Payment of a nonrefundable fee of $30,000 to be
    
deposited into the Cannabis Regulation Fund;
        (2) Proof of registration as a medical cannabis
    
dispensing organization that is in good standing;
        (3) Certification that the applicant will comply with
    
the requirements contained in the Compassionate Use of Medical Cannabis Pilot Program Act except as provided in this Act;
        (4) The legal name of the dispensing organization;
        (5) The physical address of the dispensing
    
organization;
        (6) The name, address, social security number, and
    
date of birth of each principal officer and board member of the dispensing organization, each of whom must be at least 21 years of age;
        (7) A nonrefundable Cannabis Business Development Fee
    
equal to 3% of the dispensing organization's total sales between June 1, 2018 to June 1, 2019, or $100,000, whichever is less, to be deposited into the Cannabis Business Development Fund; and
        (8) Identification of one of the following Social
    
Equity Inclusion Plans to be completed by March 31, 2021:
            (A) Make a contribution of 3% of total sales from
        
June 1, 2018 to June 1, 2019, or $100,000, whichever is less, to the Cannabis Business Development Fund. This is in addition to the fee required by item (7) of this subsection (b);
            (B) Make a grant of 3% of total sales from June
        
1, 2018 to June 1, 2019, or $100,000, whichever is less, to a cannabis industry training or education program at an Illinois community college as defined in the Public Community College Act;
            (C) Make a donation of $100,000 or more to a
        
program that provides job training services to persons recently incarcerated or that operates in a Disproportionately Impacted Area;
            (D) Participate as a host in a cannabis business
        
establishment incubator program approved by the Department of Commerce and Economic Opportunity, and in which an Early Approval Adult Use Dispensing Organization License holder agrees to provide a loan of at least $100,000 and mentorship to incubate a licensee that qualifies as a Social Equity Applicant for at least a year. As used in this Section, "incubate" means providing direct financial assistance and training necessary to engage in licensed cannabis industry activity similar to that of the host licensee. The Early Approval Adult Use Dispensing Organization License holder or the same entity holding any other licenses issued pursuant to this Act shall not take an ownership stake of greater than 10% in any business receiving incubation services to comply with this subsection. If an Early Approval Adult Use Dispensing Organization License holder fails to find a business to incubate to comply with this subsection before its Early Approval Adult Use Dispensing Organization License expires, it may opt to meet the requirement of this subsection by completing another item from this subsection; or
            (E) Participate in a sponsorship program for at
        
least 2 years approved by the Department of Commerce and Economic Opportunity in which an Early Approval Adult Use Dispensing Organization License holder agrees to provide an interest-free loan of at least $200,000 to a Social Equity Applicant. The sponsor shall not take an ownership stake in any cannabis business establishment receiving sponsorship services to comply with this subsection.
    (c) The license fee required by paragraph (1) of subsection (b) of this Section shall be in addition to any license fee required for the renewal of a registered medical cannabis dispensing organization license.
    (d) Applicants must submit all required information, including the requirements in subsection (b) of this Section, to the Department. Failure by an applicant to submit all required information may result in the application being disqualified.
    (e) If the Department receives an application that fails to provide the required elements contained in subsection (b), the Department shall issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to submit complete information. Applications that are still incomplete after this opportunity to cure may be disqualified.
    (f) If an applicant meets all the requirements of subsection (b) of this Section, the Department shall issue the Early Approval Adult Use Dispensing Organization License within 14 days of receiving a completed application unless:
        (1) The licensee or a principal officer is delinquent
    
in filing any required tax returns or paying any amounts owed to the State of Illinois;
        (2) The Secretary of Financial and Professional
    
Regulation determines there is reason, based on documented compliance violations, the licensee is not entitled to an Early Approval Adult Use Dispensing Organization License; or
        (3) Any principal officer fails to register and
    
remain in compliance with this Act or the Compassionate Use of Medical Cannabis Pilot Program Act.
    (g) A registered medical cannabis dispensing organization that obtains an Early Approval Adult Use Dispensing Organization License may begin selling cannabis, cannabis-infused products, paraphernalia, and related items to purchasers under the rules of this Act no sooner than January 1, 2020.
    (h) A dispensing organization holding a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act must maintain an adequate supply of cannabis and cannabis-infused products for purchase by qualifying patients, caregivers, provisional patients, and Opioid Alternative Pilot Program participants. For the purposes of this subsection, "adequate supply" means a monthly inventory level that is comparable in type and quantity to those medical cannabis products provided to patients and caregivers on an average monthly basis for the 6 months before the effective date of this Act.
    (i) If there is a shortage of cannabis or cannabis-infused products, a dispensing organization holding both a dispensing organization license under the Compassionate Use of Medical Cannabis Pilot Program Act and this Act shall prioritize serving qualifying patients, caregivers, provisional patients, and Opioid Alternative Pilot Program participants before serving purchasers.
    (j) Notwithstanding any law or rule to the contrary, a person that holds a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act and an Early Approval Adult Use Dispensing Organization License may permit purchasers into a limited access area as that term is defined in administrative rules made under the authority in the Compassionate Use of Medical Cannabis Pilot Program Act.
    (k) An Early Approval Adult Use Dispensing Organization License is valid until March 31, 2021. A dispensing organization that obtains an Early Approval Adult Use Dispensing Organization License shall receive written or electronic notice 90 days before the expiration of the license that the license will expire, and inform the license holder that it may renew its Early Approval Adult Use Dispensing Organization License. The Department shall renew the Early Approval Adult Use Dispensing Organization License within 60 days of the renewal application being deemed complete if:
        (1) the dispensing organization submits an
    
application and the required nonrefundable renewal fee of $30,000, to be deposited into the Cannabis Regulation Fund;
        (2) the Department has not suspended or revoked the
    
Early Approval Adult Use Dispensing Organization License or a medical cannabis dispensing organization license on the same premises for violations of this Act, the Compassionate Use of Medical Cannabis Pilot Program Act, or rules adopted pursuant to those Acts; and
        (3) the dispensing organization has completed a
    
Social Equity Inclusion Plan as required by paragraph (8) of subsection (b) of this Section.
    (l) The Early Approval Adult Use Dispensing Organization License renewed pursuant to subsection (k) of this Section shall expire March 31, 2022. The Early Approval Adult Use Dispensing Organization Licensee shall receive written or electronic notice 90 days before the expiration of the license that the license will expire, and inform the license holder that it may apply for an Adult Use Dispensing Organization License. The Department shall grant an Adult Use Dispensing Organization License within 60 days of an application being deemed complete if the applicant has met all of the criteria in Section 15-36.
    (m) If a dispensary fails to submit an application for an Adult Use Dispensing Organization License before the expiration of the Early Approval Adult Use Dispensing Organization License pursuant to subsection (k) of this Section, the dispensing organization shall cease serving purchasers and cease all operations until it receives an Adult Use Dispensing Organization License.
    (n) A dispensing organization agent who holds a valid dispensing organization agent identification card issued under the Compassionate Use of Medical Cannabis Pilot Program Act and is an officer, director, manager, or employee of the dispensing organization licensed under this Section may engage in all activities authorized by this Article to be performed by a dispensing organization agent.
    (o) All fees collected pursuant to this Section shall be deposited into the Cannabis Regulation Fund, unless otherwise specified.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-20

    (410 ILCS 705/15-20)
    Sec. 15-20. Early Approval Adult Use Dispensing Organization License; secondary site.
    (a) If the Department suspends or revokes the Early Approval Adult Use Dispensing Organization License of a dispensing organization that also holds a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, the Department may consider the suspension or revocation as grounds to take disciplinary action against the medical cannabis dispensing organization license.
    (a-5) If, within 360 days of the effective date of this Act, a dispensing organization is unable to find a location within the BLS Regions prescribed in subsection (a) of this Section in which to operate an Early Approval Adult Use Dispensing Organization at a secondary site because no jurisdiction within the prescribed area allows the operation of an Adult Use Cannabis Dispensing Organization, the Department of Financial and Professional Regulation may waive the geographic restrictions of subsection (a) of this Section and specify another BLS Region into which the dispensary may be placed.
    (b) Any medical cannabis dispensing organization holding a valid registration under the Compassionate Use of Medical Cannabis Pilot Program Act as of the effective date of this Act may, within 60 days of the effective date of this Act, apply to the Department for an Early Approval Adult Use Dispensing Organization License to operate a dispensing organization to serve purchasers at a secondary site not within 1,500 feet of another medical cannabis dispensing organization or adult use dispensing organization. The Early Approval Adult Use Dispensing Organization secondary site shall be within any BLS region that shares territory with the dispensing organization district to which the medical cannabis dispensing organization is assigned under the administrative rules for dispensing organizations under the Compassionate Use of Medical Cannabis Pilot Program Act.
    (c) A medical cannabis dispensing organization seeking issuance of an Early Approval Adult Use Dispensing Organization License at a secondary site to serve purchasers at a secondary site as prescribed in subsection (b) of this Section shall submit an application on forms provided by the Department. The application must meet or include the following qualifications:
        (1) a payment of a nonrefundable application fee of
    
$30,000;
        (2) proof of registration as a medical cannabis
    
dispensing organization that is in good standing;
        (3) submission of the application by the same person
    
or entity that holds the medical cannabis dispensing organization registration;
        (4) the legal name of the medical cannabis dispensing
    
organization;
        (5) the physical address of the medical cannabis
    
dispensing organization and the proposed physical address of the secondary site;
        (6) a copy of the current local zoning ordinance
    
Sections relevant to dispensary operations and documentation of the approval, the conditional approval or the status of a request for zoning approval from the local zoning office that the proposed dispensary location is in compliance with the local zoning rules;
        (7) a plot plan of the dispensary drawn to scale. The
    
applicant shall submit general specifications of the building exterior and interior layout;
        (8) a statement that the dispensing organization
    
agrees to respond to the Department's supplemental requests for information;
        (9) for the building or land to be used as the
    
proposed dispensary:
            (A) if the property is not owned by the
        
applicant, a written statement from the property owner and landlord, if any, certifying consent that the applicant may operate a dispensary on the premises; or
            (B) if the property is owned by the applicant,
        
confirmation of ownership;
        (10) a copy of the proposed operating bylaws;
        (11) a copy of the proposed business plan that
    
complies with the requirements in this Act, including, at a minimum, the following:
            (A) a description of services to be offered; and
            (B) a description of the process of dispensing
        
cannabis;
        (12) a copy of the proposed security plan that
    
complies with the requirements in this Article, including:
            (A) a description of the delivery process by
        
which cannabis will be received from a transporting organization, including receipt of manifests and protocols that will be used to avoid diversion, theft, or loss at the dispensary acceptance point; and
            (B) the process or controls that will be
        
implemented to monitor the dispensary, secure the premises, agents, patients, and currency, and prevent the diversion, theft, or loss of cannabis; and
            (C) the process to ensure that access to the
        
restricted access areas is restricted to, registered agents, service professionals, transporting organization agents, Department inspectors, and security personnel;
        (13) a proposed inventory control plan that complies
    
with this Section;
        (14) the name, address, social security number, and
    
date of birth of each principal officer and board member of the dispensing organization; each of those individuals shall be at least 21 years of age;
        (15) a nonrefundable Cannabis Business Development
    
Fee equal to $200,000, to be deposited into the Cannabis Business Development Fund; and
        (16) a commitment to completing one of the following
    
Social Equity Inclusion Plans in subsection (d).
    (d) Before receiving an Early Approval Adult Use Dispensing Organization License at a secondary site, a dispensing organization shall indicate the Social Equity Inclusion Plan that the applicant plans to achieve before the expiration of the Early Approval Adult Use Dispensing Organization License from the list below:
        (1) make a contribution of 3% of total sales from
    
June 1, 2018 to June 1, 2019, or $100,000, whichever is less, to the Cannabis Business Development Fund. This is in addition to the fee required by paragraph (16) of subsection (c) of this Section;
        (2) make a grant of 3% of total sales from June 1,
    
2018 to June 1, 2019, or $100,000, whichever is less, to a cannabis industry training or education program at an Illinois community college as defined in the Public Community College Act;
        (3) make a donation of $100,000 or more to a program
    
that provides job training services to persons recently incarcerated or that operates in a Disproportionately Impacted Area;
        (4) participate as a host in a cannabis business
    
establishment incubator program approved by the Department of Commerce and Economic Opportunity, and in which an Early Approval Adult Use Dispensing Organization License at a secondary site holder agrees to provide a loan of at least $100,000 and mentorship to incubate a licensee that qualifies as a Social Equity Applicant for at least a year. In this paragraph (4), "incubate" means providing direct financial assistance and training necessary to engage in licensed cannabis industry activity similar to that of the host licensee. The Early Approval Adult Use Dispensing Organization License holder or the same entity holding any other licenses issued under this Act shall not take an ownership stake of greater than 10% in any business receiving incubation services to comply with this subsection. If an Early Approval Adult Use Dispensing Organization License at a secondary site holder fails to find a business to incubate in order to comply with this subsection before its Early Approval Adult Use Dispensing Organization License at a secondary site expires, it may opt to meet the requirement of this subsection by completing another item from this subsection before the expiration of its Early Approval Adult Use Dispensing Organization License at a secondary site to avoid a penalty; or
        (5) participate in a sponsorship program for at least
    
2 years approved by the Department of Commerce and Economic Opportunity in which an Early Approval Adult Use Dispensing Organization License at a secondary site holder agrees to provide an interest-free loan of at least $200,000 to a Social Equity Applicant. The sponsor shall not take an ownership stake of greater than 10% in any business receiving sponsorship services to comply with this subsection.
    (e) The license fee required by paragraph (1) of subsection (c) of this Section is in addition to any license fee required for the renewal of a registered medical cannabis dispensing organization license.
    (f) Applicants must submit all required information, including the requirements in subsection (c) of this Section, to the Department. Failure by an applicant to submit all required information may result in the application being disqualified.
    (g) If the Department receives an application that fails to provide the required elements contained in subsection (c), the Department shall issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to submit complete information. Applications that are still incomplete after this opportunity to cure may be disqualified.
    (h) Once all required information and documents have been submitted, the Department will review the application. The Department may request revisions and retains final approval over dispensary features. Once the application is complete and meets the Department's approval, the Department shall conditionally approve the license. Final approval is contingent on the build-out and Department inspection.
    (i) Upon submission of the Early Approval Adult Use Dispensing Organization at a secondary site application, the applicant shall request an inspection and the Department may inspect the Early Approval Adult Use Dispensing Organization's secondary site to confirm compliance with the application and this Act.
    (j) The Department shall only issue an Early Approval Adult Use Dispensing Organization License at a secondary site after the completion of a successful inspection.
    (k) If an applicant passes the inspection under this Section, the Department shall issue the Early Approval Adult Use Dispensing Organization License at a secondary site within 10 business days unless:
        (1) The licensee; principal officer, board member, or
    
person having a financial or voting interest of 5% or greater in the licensee; or agent is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois; or
        (2) The Secretary of Financial and Professional
    
Regulation determines there is reason, based on documented compliance violations, the licensee is not entitled to an Early Approval Adult Use Dispensing Organization License at its secondary site.
    (l) Once the Department has issued a license, the dispensing organization shall notify the Department of the proposed opening date.
    (m) A registered medical cannabis dispensing organization that obtains an Early Approval Adult Use Dispensing Organization License at a secondary site may begin selling cannabis, cannabis-infused products, paraphernalia, and related items to purchasers under the rules of this Act no sooner than January 1, 2020.
    (n) If there is a shortage of cannabis or cannabis-infused products, a dispensing organization holding both a dispensing organization license under the Compassionate Use of Medical Cannabis Pilot Program Act and this Article shall prioritize serving qualifying patients and caregivers before serving purchasers.
    (o) An Early Approval Adult Use Dispensing Organization License at a secondary site is valid until March 31, 2021. A dispensing organization that obtains an Early Approval Adult Use Dispensing Organization License at a secondary site shall receive written or electronic notice 90 days before the expiration of the license that the license will expire, and inform the license holder that it may renew its Early Approval Adult Use Dispensing Organization License at a secondary site. The Department shall renew an Early Approval Adult Use Dispensing Organization License at a secondary site within 60 days of submission of the renewal application being deemed complete if:
        (1) the dispensing organization submits an
    
application and the required nonrefundable renewal fee of $30,000, to be deposited into the Cannabis Regulation Fund;
        (2) the Department has not suspended or revoked the
    
Early Approval Adult Use Dispensing Organization License or a medical cannabis dispensing organization license held by the same person or entity for violating this Act or rules adopted under this Act or the Compassionate Use of Medical Cannabis Pilot Program Act or rules adopted under that Act; and
        (3) the dispensing organization has completed a
    
Social Equity Inclusion Plan as required by paragraph (16) of subsection (c) of this Section.     
    (p) The Early Approval Adult Use Dispensing Organization Licensee at a secondary site renewed pursuant to subsection (o) shall receive written or electronic notice 90 days before the expiration of the license that the license will expire, and inform the license holder that it may apply for an Adult Use Dispensing Organization License. The Department shall grant an Adult Use Dispensing Organization License within 60 days of an application being deemed complete if the applicant has meet all of the criteria in Section 15-36.
    (q) If a dispensing organization fails to submit an application for renewal of an Early Approval Adult Use Dispensing Organization License or for an Adult Use Dispensing Organization License before the expiration dates provided in subsections (o) and (p) of this Section, the dispensing organization shall cease serving purchasers until it receives a renewal or an Adult Use Dispensing Organization License.
    (r) A dispensing organization agent who holds a valid dispensing organization agent identification card issued under the Compassionate Use of Medical Cannabis Pilot Program Act and is an officer, director, manager, or employee of the dispensing organization licensed under this Section may engage in all activities authorized by this Article to be performed by a dispensing organization agent.
    (s) If the Department suspends or revokes the Early Approval Adult Use Dispensing Organization License of a dispensing organization that also holds a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, the Department may consider the suspension or revocation as grounds to take disciplinary action against the medical cannabis dispensing organization.
    (t) All fees or fines collected from an Early Approval Adult Use Dispensary Organization License at a secondary site holder as a result of a disciplinary action in the enforcement of this Act shall be deposited into the Cannabis Regulation Fund and be appropriated to the Department for the ordinary and contingent expenses of the Department in the administration and enforcement of this Section.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-25

    (410 ILCS 705/15-25)
    Sec. 15-25. Awarding of Conditional Adult Use Dispensing Organization Licenses prior to January 1, 2021.
    (a) The Department shall issue up to 75 Conditional Adult Use Dispensing Organization Licenses before May 1, 2020.
    (b) The Department shall make the application for a Conditional Adult Use Dispensing Organization License available no later than October 1, 2019 and shall accept applications no later than January 1, 2020.
    (c) To ensure the geographic dispersion of Conditional Adult Use Dispensing Organization License holders, the following number of licenses shall be awarded in each BLS Region as determined by each region's percentage of the State's population:
        (1) Bloomington: 1
        (2) Cape Girardeau: 1
        (3) Carbondale-Marion: 1
        (4) Champaign-Urbana: 1
        (5) Chicago-Naperville-Elgin: 47
        (6) Danville: 1
        (7) Davenport-Moline-Rock Island: 1
        (8) Decatur: 1
        (9) Kankakee: 1
        (10) Peoria: 3
        (11) Rockford: 2
        (12) St. Louis: 4
        (13) Springfield: 1
        (14) Northwest Illinois nonmetropolitan: 3
        (15) West Central Illinois nonmetropolitan: 3
        (16) East Central Illinois nonmetropolitan: 2
        (17) South Illinois nonmetropolitan: 2
    (d) An applicant seeking issuance of a Conditional Adult Use Dispensing Organization License shall submit an application on forms provided by the Department. An applicant must meet the following requirements:
        (1) Payment of a nonrefundable application fee of
    
$5,000 for each license for which the applicant is applying, which shall be deposited into the Cannabis Regulation Fund;
        (2) Certification that the applicant will comply with
    
the requirements contained in this Act;
        (3) The legal name of the proposed dispensing
    
organization;
        (4) A statement that the dispensing organization
    
agrees to respond to the Department's supplemental requests for information;
        (5) From each principal officer, a statement
    
indicating whether that person:
            (A) has previously held or currently holds an
        
ownership interest in a cannabis business establishment in Illinois; or
            (B) has held an ownership interest in a
        
dispensing organization or its equivalent in another state or territory of the United States that had the dispensing organization registration or license suspended, revoked, placed on probationary status, or subjected to other disciplinary action;
        (6) Disclosure of whether any principal officer has
    
ever filed for bankruptcy or defaulted on spousal support or child support obligation;
        (7) A resume for each principal officer, including
    
whether that person has an academic degree, certification, or relevant experience with a cannabis business establishment or in a related industry;
        (8) A description of the training and education that
    
will be provided to dispensing organization agents;
        (9) A copy of the proposed operating bylaws;
        (10) A copy of the proposed business plan that
    
complies with the requirements in this Act, including, at a minimum, the following:
            (A) A description of services to be offered; and
            (B) A description of the process of dispensing
        
cannabis;
        (11) A copy of the proposed security plan that
    
complies with the requirements in this Article, including:
            (A) The process or controls that will be
        
implemented to monitor the dispensary, secure the premises, agents, and currency, and prevent the diversion, theft, or loss of cannabis; and
            (B) The process to ensure that access to the
        
restricted access areas is restricted to, registered agents, service professionals, transporting organization agents, Department inspectors, and security personnel;
        (12) A proposed inventory control plan that complies
    
with this Section;
        (13) A proposed floor plan, a square footage
    
estimate, and a description of proposed security devices, including, without limitation, cameras, motion detectors, servers, video storage capabilities, and alarm service providers;
        (14) The name, address, social security number, and
    
date of birth of each principal officer and board member of the dispensing organization; each of those individuals shall be at least 21 years of age;
        (15) Evidence of the applicant's status as a Social
    
Equity Applicant, if applicable, and whether a Social Equity Applicant plans to apply for a loan or grant issued by the Department of Commerce and Economic Opportunity;
        (16) The address, telephone number, and email address
    
of the applicant's principal place of business, if applicable. A post office box is not permitted;
        (17) Written summaries of any information regarding
    
instances in which a business or not-for-profit that a prospective board member previously managed or served on were fined or censured, or any instances in which a business or not-for-profit that a prospective board member previously managed or served on had its registration suspended or revoked in any administrative or judicial proceeding;
        (18) A plan for community engagement;
        (19) Procedures to ensure accurate recordkeeping and
    
security measures that are in accordance with this Article and Department rules;
        (20) The estimated volume of cannabis it plans to
    
store at the dispensary;
        (21) A description of the features that will provide
    
accessibility to purchasers as required by the Americans with Disabilities Act;
        (22) A detailed description of air treatment systems
    
that will be installed to reduce odors;
        (23) A reasonable assurance that the issuance of a
    
license will not have a detrimental impact on the community in which the applicant wishes to locate;
        (24) The dated signature of each principal officer;
        (25) A description of the enclosed, locked facility
    
where cannabis will be stored by the dispensing organization;
        (26) Signed statements from each dispensing
    
organization agent stating that he or she will not divert cannabis;
        (27) The number of licenses it is applying for in
    
each BLS Region;
        (28) A diversity plan that includes a narrative of at
    
least 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity;
        (29) A contract with a private security contractor
    
that is licensed under Section 10-5 of the Private Detective, Private Alarm, Private Security, Fingerprint Vendor, and Locksmith Act of 2004 in order for the dispensary to have adequate security at its facility; and
        (30) Other information deemed necessary by the
    
Illinois Cannabis Regulation Oversight Officer to conduct the disparity and availability study referenced in subsection (e) of Section 5-45.
    (e) An applicant who receives a Conditional Adult Use Dispensing Organization License under this Section has 180 days from the date of award to identify a physical location for the dispensing organization retail storefront. Before a conditional licensee receives an authorization to build out the dispensing organization from the Department, the Department shall inspect the physical space selected by the conditional licensee. The Department shall verify the site is suitable for public access, the layout promotes the safe dispensing of cannabis, the location is sufficient in size, power allocation, lighting, parking, handicapped accessible parking spaces, accessible entry and exits as required by the Americans with Disabilities Act, product handling, and storage. The applicant shall also provide a statement of reasonable assurance that the issuance of a license will not have a detrimental impact on the community. The applicant shall also provide evidence that the location is not within 1,500 feet of an existing dispensing organization. If an applicant is unable to find a suitable physical address in the opinion of the Department within 180 days of the issuance of the Conditional Adult Use Dispensing Organization License, the Department may extend the period for finding a physical address another 180 days if the Conditional Adult Use Dispensing Organization License holder demonstrates concrete attempts to secure a location and a hardship. If the Department denies the extension or the Conditional Adult Use Dispensing Organization License holder is unable to find a location or become operational within 360 days of being awarded a conditional license, the Department shall rescind the conditional license and award it to the next highest scoring applicant in the BLS Region for which the license was assigned, provided the applicant receiving the license: (i) confirms a continued interest in operating a dispensing organization; (ii) can provide evidence that the applicant continues to meet the financial requirements provided in subsection (c) of this Section; and (iii) has not otherwise become ineligible to be awarded a dispensing organization license. If the new awardee is unable to accept the Conditional Adult Use Dispensing Organization License, the Department shall award the Conditional Adult Use Dispensing Organization License to the next highest scoring applicant in the same manner. The new awardee shall be subject to the same required deadlines as provided in this subsection.
    (e-5) If, within 180 days of being awarded a Conditional Adult Use Dispensing Organization license, a dispensing organization is unable to find a location within the BLS Region in which it was awarded a Conditional Adult Use Dispensing Organization license because no jurisdiction within the BLS Region allows for the operation of an Adult Use Dispensing Organization, the Department of Financial and Professional Regulation may authorize the Conditional Adult Use Dispensing Organization License holder to transfer its license to a BLS Region specified by the Department.
    (f) A dispensing organization that is awarded a Conditional Adult Use Dispensing Organization License pursuant to the criteria in Section 15-30 shall not purchase, possess, sell, or dispense cannabis or cannabis-infused products until the person has received an Adult Use Dispensing Organization License issued by the Department pursuant to Section 15-36 of this Act. The Department shall not issue an Adult Use Dispensing Organization License until:
        (1) the Department has inspected the dispensary site
    
and proposed operations and verified that they are in compliance with this Act and local zoning laws; and
        (2) the Conditional Adult Use Dispensing Organization
    
License holder has paid a registration fee of $60,000, or a prorated amount accounting for the difference of time between when the Adult Use Dispensing Organization License is issued and March 31 of the next even-numbered year.
    (g) The Department shall conduct a background check of the prospective organization agents in order to carry out this Article. The Department of State Police shall charge the applicant a fee for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the record check. Each person applying as a dispensing organization agent shall submit a full set of fingerprints to the Department of State Police for the purpose of obtaining a State and federal criminal records check. These fingerprints shall be checked against the fingerprint records now and hereafter, to the extent allowed by law, filed in the Department of State Police and Federal Bureau of Identification criminal history records databases. The Department of State Police shall furnish, following positive identification, all Illinois conviction information to the Department.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-30

    (410 ILCS 705/15-30)
    Sec. 15-30. Selection criteria for conditional licenses awarded under Section 15-25.
    (a) Applicants for a Conditional Adult Use Dispensing Organization License must submit all required information, including the information required in Section 15-25, to the Department. Failure by an applicant to submit all required information may result in the application being disqualified.
    (b) If the Department receives an application that fails to provide the required elements contained in this Section, the Department shall issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to resubmit the incomplete information. Applications that are still incomplete after this opportunity to cure will not be scored and will be disqualified.
    (c) The Department will award up to 250 points to complete applications based on the sufficiency of the applicant's responses to required information. Applicants will be awarded points based on a determination that the application satisfactorily includes the following elements:
        (1) Suitability of Employee Training Plan (15 points).
            The plan includes an employee training plan that
        
demonstrates that employees will understand the rules and laws to be followed by dispensary employees, have knowledge of any security measures and operating procedures of the dispensary, and are able to advise purchasers on how to safely consume cannabis and use individual products offered by the dispensary.
        (2) Security and Recordkeeping (65 points).
            (A) The security plan accounts for the prevention
        
of the theft or diversion of cannabis. The security plan demonstrates safety procedures for dispensary agents and purchasers, and safe delivery and storage of cannabis and currency. It demonstrates compliance with all security requirements in this Act and rules.
            (B) A plan for recordkeeping, tracking, and
        
monitoring inventory, quality control, and other policies and procedures that will promote standard recordkeeping and discourage unlawful activity. This plan includes the applicant's strategy to communicate with the Department and the Department of State Police on the destruction and disposal of cannabis. The plan must also demonstrate compliance with this Act and rules.
            (C) The security plan shall also detail which
        
private security contractor licensed under Section 10-5 of the Private Detective, Private Alarm, Private Security, Fingerprint Vendor, and Locksmith Act of 2004 the dispensary will contract with in order to provide adequate security at its facility.
        (3) Applicant's Business Plan, Financials, Operating
    
and Floor Plan (65 points).
            (A) The business plan shall describe, at a
        
minimum, how the dispensing organization will be managed on a long-term basis. This shall include a description of the dispensing organization's point-of-sale system, purchases and denials of sale, confidentiality, and products and services to be offered. It will demonstrate compliance with this Act and rules.
            (B) The operating plan shall include, at a
        
minimum, best practices for day-to-day dispensary operation and staffing. The operating plan may also include information about employment practices, including information about the percentage of full-time employees who will be provided a living wage.
            (C) The proposed floor plan is suitable for
        
public access, the layout promotes safe dispensing of cannabis, is compliant with the Americans with Disabilities Act and the Environmental Barriers Act, and facilitates safe product handling and storage.
        (4) Knowledge and Experience (30 points).
            (A) The applicant's principal officers must
        
demonstrate experience and qualifications in business management or experience with the cannabis industry. This includes ensuring optimal safety and accuracy in the dispensing and sale of cannabis.
            (B) The applicant's principal officers must
        
demonstrate knowledge of various cannabis product strains or varieties and describe the types and quantities of products planned to be sold. This includes confirmation of whether the dispensing organization plans to sell cannabis paraphernalia or edibles.
            (C) Knowledge and experience may be demonstrated
        
through experience in other comparable industries that reflect on applicant's ability to operate a cannabis business establishment.
        (5) Status as a Social Equity Applicant (50 points).
            The applicant meets the qualifications for a
        
Social Equity Applicant as set forth in this Act.
        (6) Labor and employment practices (5 points): The
    
applicant may describe plans to provide a safe, healthy, and economically beneficial working environment for its agents, including, but not limited to, codes of conduct, health care benefits, educational benefits, retirement benefits, living wage standards, and entering a labor peace agreement with employees.
        (7) Environmental Plan (5 points): The applicant may
    
demonstrate an environmental plan of action to minimize the carbon footprint, environmental impact, and resource needs for the dispensary, which may include, without limitation, recycling cannabis product packaging.
        (8) Illinois owner (5 points): The applicant is 51%
    
or more owned and controlled by an Illinois resident, who can prove residency in each of the past 5 years with tax records.
        (9) Status as veteran (5 points): The applicant is
    
51% or more controlled and owned by an individual or individuals who meet the qualifications of a veteran as defined by Section 45-57 of the Illinois Procurement Code.
        (10) A diversity plan (5 points): that includes a
    
narrative of not more than 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity.
    (d) The Department may also award up to 2 bonus points for a plan to engage with the community. The applicant may demonstrate a desire to engage with its community by participating in one or more of, but not limited to, the following actions: (i) establishment of an incubator program designed to increase participation in the cannabis industry by persons who would qualify as Social Equity Applicants; (ii) providing financial assistance to substance abuse treatment centers; (iii) educating children and teens about the potential harms of cannabis use; or (iv) other measures demonstrating a commitment to the applicant's community. Bonus points will only be awarded if the Department receives applications that receive an equal score for a particular region.
    (e) The Department may verify information contained in each application and accompanying documentation to assess the applicant's veracity and fitness to operate a dispensing organization.
    (f) The Department may, in its discretion, refuse to issue an authorization to any applicant:
        (1) Who is unqualified to perform the duties required
    
of the applicant;
        (2) Who fails to disclose or states falsely any
    
information called for in the application;
        (3) Who has been found guilty of a violation of this
    
Act, or whose medical cannabis dispensing organization, medical cannabis cultivation organization, or Early Approval Adult Use Dispensing Organization License, or Early Approval Adult Use Dispensing Organization License at a secondary site, or Early Approval Cultivation Center License was suspended, restricted, revoked, or denied for just cause, or the applicant's cannabis business establishment license was suspended, restricted, revoked, or denied in any other state; or
        (4) Who has engaged in a pattern or practice of
    
unfair or illegal practices, methods, or activities in the conduct of owning a cannabis business establishment or other business.
    (g) The Department shall deny the license if any principal officer, board member, or person having a financial or voting interest of 5% or greater in the licensee is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
    (h) The Department shall verify an applicant's compliance with the requirements of this Article and rules before issuing a dispensing organization license.
    (i) Should the applicant be awarded a license, the information and plans provided in the application, including any plans submitted for bonus points, shall become a condition of the Conditional Adult Use Dispensing Organization Licenses, except as otherwise provided by this Act or rule. Dispensing organizations have a duty to disclose any material changes to the application. The Department shall review all material changes disclosed by the dispensing organization, and may re-evaluate its prior decision regarding the awarding of a license, including, but not limited to, suspending or revoking a license. Failure to comply with the conditions or requirements in the application may subject the dispensing organization to discipline, up to and including suspension or revocation of its authorization or license by the Department.
    (j) If an applicant has not begun operating as a dispensing organization within one year of the issuance of the Conditional Adult Use Dispensing Organization License, the Department may revoke the Conditional Adult Use Dispensing Organization License and award it to the next highest scoring applicant in the BLS Region if a suitable applicant indicates a continued interest in the license or begin a new selection process to award a Conditional Adult Use Dispensing Organization License.
    (k) The Department shall deny an application if granting that application would result in a single person or entity having a direct or indirect financial interest in more than 10 Early Approval Adult Use Dispensing Organization Licenses, Conditional Adult Use Dispensing Organization Licenses, or Adult Use Dispensing Organization Licenses. Any entity that is awarded a license that results in a single person or entity having a direct or indirect financial interest in more than 10 licenses shall forfeit the most recently issued license and suffer a penalty to be determined by the Department, unless the entity declines the license at the time it is awarded.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-35

    (410 ILCS 705/15-35)
    Sec. 15-35. Conditional Adult Use Dispensing Organization License after January 1, 2021.
    (a) In addition to any of the licenses issued in Sections 15-15, Section 15-20, or Section 15-25 of this Act, by December 21, 2021, the Department shall issue up to 110 Conditional Adult Use Dispensing Organization Licenses, pursuant to the application process adopted under this Section. Prior to issuing such licenses, the Department may adopt rules through emergency rulemaking in accordance with subsection (gg) of Section 5-45 of the Illinois Administrative Procedure Act. The General Assembly finds that the adoption of rules to regulate cannabis use is deemed an emergency and necessary for the public interest, safety, and welfare. Such rules may:
        (1) Modify or change the BLS Regions as they apply to
    
this Article or modify or raise the number of Adult Conditional Use Dispensing Organization Licenses assigned to each region based on the following factors:
            (A) Purchaser wait times;
            (B) Travel time to the nearest dispensary for
        
potential purchasers;
            (C) Percentage of cannabis sales occurring in
        
Illinois not in the regulated market using data from the Substance Abuse and Mental Health Services Administration, National Survey on Drug Use and Health, Illinois Behavioral Risk Factor Surveillance System, and tourism data from the Illinois Office of Tourism to ascertain total cannabis consumption in Illinois compared to the amount of sales in licensed dispensing organizations;
            (D) Whether there is an adequate supply of
        
cannabis and cannabis-infused products to serve registered medical cannabis patients;
            (E) Population increases or shifts;
            (F) Density of dispensing organizations in a
        
region;
            (G) The Department's capacity to appropriately
        
regulate additional licenses;
            (H) The findings and recommendations from the
        
disparity and availability study commissioned by the Illinois Cannabis Regulation Oversight Officer in subsection (e) of Section 5-45 to reduce or eliminate any identified barriers to entry in the cannabis industry; and
            (I) Any other criteria the Department deems
        
relevant.
        (2) Modify or change the licensing application
    
process to reduce or eliminate the barriers identified in the disparity and availability study commissioned by the Illinois Cannabis Regulation Oversight Officer and make modifications to remedy evidence of discrimination.
    (b) After January 1, 2022, the Department may by rule modify or raise the number of Adult Use Dispensing Organization Licenses assigned to each region, and modify or change the licensing application process to reduce or eliminate barriers based on the criteria in subsection (a). At no time shall the Department issue more than 500 Adult Use Dispensary Organization Licenses.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-36

    (410 ILCS 705/15-36)
    Sec. 15-36. Adult Use Dispensing Organization License.
    (a) A person is only eligible to receive an Adult Use Dispensing Organization if the person has been awarded a Conditional Adult Use Dispensing Organization License pursuant to this Act or has renewed its license pursuant to subsection (k) of Section 15-15 or subsection (p) of Section 15-20.
    (b) The Department shall not issue an Adult Use Dispensing Organization License until:
        (1) the Department has inspected the dispensary site
    
and proposed operations and verified that they are in compliance with this Act and local zoning laws;
        (2) the Conditional Adult Use Dispensing Organization
    
License holder has paid a registration fee of $60,000 or a prorated amount accounting for the difference of time between when the Adult Use Dispensing Organization License is issued and March 31 of the next even-numbered year; and
        (3) the Conditional Adult Use Dispensing Organization
    
License holder has met all the requirements in the Act and rules.
    (c) No person or entity shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, of more than 10 dispensing organizations licensed under this Article. Further, no person or entity that is:
        (1) employed by, is an agent of, or participates in
    
the management of a dispensing organization or registered medical cannabis dispensing organization;
        (2) a principal officer of a dispensing organization
    
or registered medical cannabis dispensing organization; or
        (3) an entity controlled by or affiliated with a
    
principal officer of a dispensing organization or registered medical cannabis dispensing organization;
shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, in a dispensing organization that would result in such person or entity owning or participating in the management of more than 10 dispensing organizations. For the purpose of this subsection, participating in management may include, without limitation, controlling decisions regarding staffing, pricing, purchasing, marketing, store design, hiring, and website design.
    (d) The Department shall deny an application if granting that application would result in a person or entity obtaining direct or indirect financial interest in more than 10 Early Approval Adult Use Dispensing Organization Licenses, Conditional Adult Use Dispensing Organization Licenses, Adult Use Dispensing Organization Licenses, or any combination thereof. If a person or entity is awarded a Conditional Adult Use Dispensing Organization License that would cause the person or entity to be in violation of this subsection, he, she, or it shall choose which license application it wants to abandon and such licenses shall become available to the next qualified applicant in the region in which the abandoned license was awarded.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-40

    (410 ILCS 705/15-40)
    Sec. 15-40. Dispensing organization agent identification card; agent training.
    (a) The Department shall:
        (1) verify the information contained in an
    
application or renewal for a dispensing organization agent identification card submitted under this Article, and approve or deny an application or renewal, within 30 days of receiving a completed application or renewal application and all supporting documentation required by rule;
        (2) issue a dispensing organization agent
    
identification card to a qualifying agent within 15 business days of approving the application or renewal;
        (3) enter the registry identification number of the
    
dispensing organization where the agent works;
        (4) within one year from the effective date of this
    
Act, allow for an electronic application process and provide a confirmation by electronic or other methods that an application has been submitted; and
        (5) collect a $100 nonrefundable fee from the
    
applicant to be deposited into the Cannabis Regulation Fund.
    (b) A dispensing agent must keep his or her identification card visible at all times when on the property of the dispensing organization.
    (c) The dispensing organization agent identification cards shall contain the following:
        (1) the name of the cardholder;
        (2) the date of issuance and expiration date of the
    
dispensing organization agent identification cards;
        (3) a random 10-digit alphanumeric identification
    
number containing at least 4 numbers and at least 4 letters that is unique to the cardholder; and
        (4) a photograph of the cardholder.
    (d) The dispensing organization agent identification cards shall be immediately returned to the dispensing organization upon termination of employment.
    (e) The Department shall not issue an agent identification card if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
    (f) Any card lost by a dispensing organization agent shall be reported to the Department of State Police and the Department immediately upon discovery of the loss.
    (g) An applicant shall be denied a dispensing organization agent identification card if he or she fails to complete the training provided for in this Section.
    (h) A dispensing organization agent shall only be required to hold one card for the same employer regardless of what type of dispensing organization license the employer holds.
    (i) Cannabis retail sales training requirements.
        (1) Within 90 days of September 1, 2019, or 90 days
    
of employment, whichever is later, all owners, managers, employees, and agents involved in the handling or sale of cannabis or cannabis-infused product employed by an adult use dispensing organization or medical cannabis dispensing organization as defined in Section 10 of the Compassionate Use of Medical Cannabis Pilot Program Act shall attend and successfully complete a Responsible Vendor Program.
        (2) Each owner, manager, employee, and agent of an
    
adult use dispensing organization or medical cannabis dispensing organization shall successfully complete the program annually.
        (3) Responsible Vendor Program Training modules shall
    
include at least 2 hours of instruction time approved by the Department including:
            (i) Health and safety concerns of cannabis use,
        
including the responsible use of cannabis, its physical effects, onset of physiological effects, recognizing signs of impairment, and appropriate responses in the event of overconsumption.
            (ii) Training on laws and regulations on driving
        
while under the influence.
            (iii) Sales to minors prohibition. Training shall
        
cover all relevant Illinois laws and rules.
            (iv) Quantity limitations on sales to purchasers.
        
Training shall cover all relevant Illinois laws and rules.
            (v) Acceptable forms of identification. Training
        
shall include:
                (I) How to check identification; and
                (II) Common mistakes made in verification;
            (vi) Safe storage of cannabis;
            (vii) Compliance with all inventory tracking
        
system regulations;
            (viii) Waste handling, management, and disposal;
            (ix) Health and safety standards;
            (x) Maintenance of records;
            (xi) Security and surveillance requirements;
            (xii) Permitting inspections by State and local
        
licensing and enforcement authorities;
            (xiii) Privacy issues;
            (xiv) Packaging and labeling requirement for
        
sales to purchasers; and
            (xv) Other areas as determined by rule.
    (j) Blank.
    (k) Upon the successful completion of the Responsible Vendor Program, the provider shall deliver proof of completion either through mail or electronic communication to the dispensing organization, which shall retain a copy of the certificate.
    (l) The license of a dispensing organization or medical cannabis dispensing organization whose owners, managers, employees, or agents fail to comply with this Section may be suspended or revoked under Section 15-145 or may face other disciplinary action.
    (m) The regulation of dispensing organization and medical cannabis dispensing employer and employee training is an exclusive function of the State, and regulation by a unit of local government, including a home rule unit, is prohibited. This subsection (m) is a denial and limitation of home rule powers and functions under subsection (h) of Section 6 of Article VII of the Illinois Constitution.
    (n) Persons seeking Department approval to offer the training required by paragraph (3) of subsection (i) may apply for such approval between August 1 and August 15 of each odd-numbered year in a manner prescribed by the Department.
    (o) Persons seeking Department approval to offer the training required by paragraph (3) of subsection (i) shall submit a non-refundable application fee of $2,000 to be deposited into the Cannabis Regulation Fund or a fee as may be set by rule. Any changes made to the training module shall be approved by the Department.
    (p) The Department shall not unreasonably deny approval of a training module that meets all the requirements of paragraph (3) of subsection (i). A denial of approval shall include a detailed description of the reasons for the denial.
    (q) Any person approved to provide the training required by paragraph (3) of subsection (i) shall submit an application for re-approval between August 1 and August 15 of each odd-numbered year and include a non-refundable application fee of $2,000 to be deposited into the Cannabis Regulation Fund or a fee as may be set by rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-45

    (410 ILCS 705/15-45)
    Sec. 15-45. Renewal.
    (a) Adult Use Dispensing Organization Licenses shall expire on March 31 of even-numbered years.
    (b) Agent identification cards shall expire one year from the date they are issued.
    (c) Licensees and dispensing agents shall submit a renewal application as provided by the Department and pay the required renewal fee. The Department shall require an agent, employee, contracting, and subcontracting diversity report and an environmental impact report with its renewal application. No license or agent identification card shall be renewed if it is currently under revocation or suspension for violation of this Article or any rules that may be adopted under this Article or the licensee, principal officer, board member, person having a financial or voting interest of 5% or greater in the licensee, or agent is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
    (d) Renewal fees are:
        (1) For a dispensing organization, $60,000, to be
    
deposited into the Cannabis Regulation Fund.
        (2) For an agent identification card, $100, to be
    
deposited into the Cannabis Regulation Fund.
    (e) If a dispensing organization fails to renew its license before expiration, the dispensing organization shall cease operations until the license is renewed.
    (f) If a dispensing organization agent fails to renew his or her registration before its expiration, he or she shall cease to perform duties authorized by this Article at a dispensing organization until his or her registration is renewed.
    (g) Any dispensing organization that continues to operate or dispensing agent that continues to perform duties authorized by this Article at a dispensing organization that fails to renew its license is subject to penalty as provided in this Article, or any rules that may be adopted pursuant to this Article.
    (h) The Department shall not renew a license if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois. The Department shall not renew a dispensing agent identification card if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-50

    (410 ILCS 705/15-50)
    Sec. 15-50. Disclosure of ownership and control.
    (a) Each dispensing organization applicant and licensee shall file and maintain a Table of Organization, Ownership and Control with the Department. The Table of Organization, Ownership and Control shall contain the information required by this Section in sufficient detail to identify all owners, directors, and principal officers, and the title of each principal officer or business entity that, through direct or indirect means, manages, owns, or controls the applicant or licensee.
    (b) The Table of Organization, Ownership and Control shall identify the following information:
        (1) The management structure, ownership, and control
    
of the applicant or license holder including the name of each principal officer or business entity, the office or position held, and the percentage ownership interest, if any. If the business entity has a parent company, the name of each owner, board member, and officer of the parent company and his or her percentage ownership interest in the parent company and the dispensing organization.
        (2) If the applicant or licensee is a business entity
    
with publicly traded stock, the identification of ownership shall be provided as required in subsection (c).
    (c) If a business entity identified in subsection (b) is a publicly traded company, the following information shall be provided in the Table of Organization, Ownership and Control:
        (1) The name and percentage of ownership interest of
    
each individual or business entity with ownership of more than 5% of the voting shares of the entity, to the extent such information is known or contained in 13D or 13G Securities and Exchange Commission filings.
        (2) To the extent known, the names and percentage of
    
interest of ownership of persons who are relatives of one another and who together exercise control over or own more than 10% of the voting shares of the entity.
    (d) A dispensing organization with a parent company or companies, or partially owned or controlled by another entity must disclose to the Department the relationship and all owners, board members, officers, or individuals with control or management of those entities. A dispensing organization shall not shield its ownership or control from the Department.
    (e) All principal officers must submit a complete online application with the Department within 14 days of the dispensing organization being licensed by the Department or within 14 days of Department notice of approval as a new principal officer.
    (f) A principal officer may not allow his or her registration to expire.
    (g) A dispensing organization separating with a principal officer must do so under this Act. The principal officer must communicate the separation to the Department within 5 business days.
    (h) A principal officer not in compliance with the requirements of this Act shall be removed from his or her position with the dispensing organization or shall otherwise terminate his or her affiliation. Failure to do so may subject the dispensing organization to discipline, suspension, or revocation of its license by the Department.
    (i) It is the responsibility of the dispensing organization and its principal officers to promptly notify the Department of any change of the principal place of business address, hours of operation, change in ownership or control, or a change of the dispensing organization's primary or secondary contact information. Any changes must be made to the Department in writing.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-55

    (410 ILCS 705/15-55)
    Sec. 15-55. Financial responsibility. Evidence of financial responsibility is a requirement for the issuance, maintenance, or reactivation of a license under this Article. Evidence of financial responsibility shall be used to guarantee that the dispensing organization timely and successfully completes dispensary construction, operates in a manner that provides an uninterrupted supply of cannabis, faithfully pays registration renewal fees, keeps accurate books and records, makes regularly required reports, complies with State tax requirements, and conducts the dispensing organization in conformity with this Act and rules. Evidence of financial responsibility shall be provided by one of the following:
        (1) Establishing and maintaining an escrow or surety
    
account in a financial institution in the amount of $50,000, with escrow terms, approved by the Department, that it shall be payable to the Department in the event of circumstances outlined in this Act and rules.
            (A) A financial institution may not return money
        
in an escrow or surety account to the dispensing organization that established the account or a representative of the organization unless the organization or representative presents a statement issued by the Department indicating that the account may be released.
            (B) The escrow or surety account shall not be
        
canceled on less than 30 days' notice in writing to the Department, unless otherwise approved by the Department. If an escrow or surety account is canceled and the registrant fails to secure a new account with the required amount on or before the effective date of cancellation, the registrant's registration may be revoked. The total and aggregate liability of the surety on the bond is limited to the amount specified in the escrow or surety account.
        (2) Providing a surety bond in the amount of $50,000,
    
naming the dispensing organization as principal of the bond, with terms, approved by the Department, that the bond defaults to the Department in the event of circumstances outlined in this Act and rules. Bond terms shall include:
            (A) The business name and registration number on
        
the bond must correspond exactly with the business name and registration number in the Department's records.
            (B) The bond must be written on a form approved
        
by the Department.
            (C) A copy of the bond must be received by the
        
Department within 90 days after the effective date.
            (D) The bond shall not be canceled by a surety on
        
less than 30 days' notice in writing to the Department. If a bond is canceled and the registrant fails to file a new bond with the Department in the required amount on or before the effective date of cancellation, the registrant's registration may be revoked. The total and aggregate liability of the surety on the bond is limited to the amount specified in the bond.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-60

    (410 ILCS 705/15-60)
    Sec. 15-60. Changes to a dispensing organization.
    (a) A license shall be issued to the specific dispensing organization identified on the application and for the specific location proposed. The license is valid only as designated on the license and for the location for which it is issued.
    (b) A dispensing organization may only add principal officers after being approved by the Department.
    (c) A dispensing organization shall provide written notice of the removal of a principal officer within 5 business days after removal. The notice shall include the written agreement of the principal officer being removed, unless otherwise approved by the Department, and allocation of ownership shares after removal in an updated ownership chart.
    (d) A dispensing organization shall provide a written request to the Department for the addition of principal officers. A dispensing organization shall submit proposed principal officer applications on forms approved by the Department.
    (e) All proposed new principal officers shall be subject to the requirements of this Act, this Article, and any rules that may be adopted pursuant to this Act.
    (f) The Department may prohibit the addition of a principal officer to a dispensing organization for failure to comply with this Act, this Article, and any rules that may be adopted pursuant to this Act.
    (g) A dispensing organization may not assign a license.
    (h) A dispensing organization may not transfer a license without prior Department approval. Such approval may be withheld if the person to whom the license is being transferred does not commit to the same or a similar community engagement plan provided as part of the dispensing organization's application under paragraph (18) of subsection (d) of Section 15-25, and such transferee's license shall be conditional upon that commitment.
    (i) With the addition or removal of principal officers, the Department will review the ownership structure to determine whether the change in ownership has had the effect of a transfer of the license. The dispensing organization shall supply all ownership documents requested by the Department.
    (j) A dispensing organization may apply to the Department to approve a sale of the dispensing organization. A request to sell the dispensing organization must be on application forms provided by the Department. A request for an approval to sell a dispensing organization must comply with the following:
        (1) New application materials shall comply with this
    
Act and any rules that may be adopted pursuant to this Act;
        (2) Application materials shall include a change of
    
ownership fee of $5,000 to be deposited into the Cannabis Regulation Fund;
        (3) The application materials shall provide proof
    
that the transfer of ownership will not have the effect of granting any of the owners or principal officers direct or indirect ownership or control of more than 10 adult use dispensing organization licenses;
        (4) New principal officers shall each complete the
    
proposed new principal officer application;
        (5) If the Department approves the application
    
materials and proposed new principal officer applications, it will perform an inspection before approving the sale and issuing the dispensing organization license;
        (6) If a new license is approved, the Department will
    
issue a new license number and certificate to the new dispensing organization.
    (k) The dispensing organization shall provide the Department with the personal information for all new dispensing organizations agents as required in this Article and all new dispensing organization agents shall be subject to the requirements of this Article. A dispensing organization agent must obtain an agent identification card from the Department before beginning work at a dispensary.
    (l) Before remodeling, expansion, reduction, or other physical, noncosmetic alteration of a dispensary, the dispensing organization must notify the Department and confirm the alterations are in compliance with this Act and any rules that may be adopted pursuant to this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-65

    (410 ILCS 705/15-65)
    Sec. 15-65. Administration.
    (a) A dispensing organization shall establish, maintain, and comply with written policies and procedures as submitted in the Business, Financial and Operating plan as required in this Article or by rules established by the Department, and approved by the Department, for the security, storage, inventory, and distribution of cannabis. These policies and procedures shall include methods for identifying, recording, and reporting diversion, theft, or loss, and for correcting errors and inaccuracies in inventories. At a minimum, dispensing organizations shall ensure the written policies and procedures provide for the following:
        (1) Mandatory and voluntary recalls of cannabis
    
products. The policies shall be adequate to deal with recalls due to any action initiated at the request of the Department and any voluntary action by the dispensing organization to remove defective or potentially defective cannabis from the market or any action undertaken to promote public health and safety, including:
            (i) A mechanism reasonably calculated to contact
        
purchasers who have, or likely have, obtained the product from the dispensary, including information on the policy for return of the recalled product;
            (ii) A mechanism to identify and contact the
        
adult use cultivation center, craft grower, or infuser that manufactured the cannabis;
            (iii) Policies for communicating with the
        
Department, the Department of Agriculture, and the Department of Public Health within 24 hours of discovering defective or potentially defective cannabis; and
            (iv) Policies for destruction of any recalled
        
cannabis product;
        (2) Responses to local, State, or national
    
emergencies, including natural disasters, that affect the security or operation of a dispensary;
        (3) Segregation and destruction of outdated, damaged,
    
deteriorated, misbranded, or adulterated cannabis. This procedure shall provide for written documentation of the cannabis disposition;
        (4) Ensure the oldest stock of a cannabis product is
    
distributed first. The procedure may permit deviation from this requirement, if such deviation is temporary and appropriate;
        (5) Training of dispensing organization agents in the
    
provisions of this Act and rules, to effectively operate the point-of-sale system and the State's verification system, proper inventory handling and tracking, specific uses of cannabis or cannabis-infused products, instruction regarding regulatory inspection preparedness and law enforcement interaction, awareness of the legal requirements for maintaining status as an agent, and other topics as specified by the dispensing organization or the Department. The dispensing organization shall maintain evidence of all training provided to each agent in its files that is subject to inspection and audit by the Department. The dispensing organization shall ensure agents receive a minimum of 8 hours of training subject to the requirements in subsection (i) of Section 15-40 annually, unless otherwise approved by the Department;
        (6) Maintenance of business records consistent with
    
industry standards, including bylaws, consents, manual or computerized records of assets and liabilities, audits, monetary transactions, journals, ledgers, and supporting documents, including agreements, checks, invoices, receipts, and vouchers. Records shall be maintained in a manner consistent with this Act and shall be retained for 5 years;
        (7) Inventory control, including:
            (i) Tracking purchases and denials of sale;
            (ii) Disposal of unusable or damaged cannabis as
        
required by this Act and rules; and
        (8) Purchaser education and support, including:
            (i) Whether possession of cannabis is illegal
        
under federal law;
            (ii) Current educational information issued by
        
the Department of Public Health about the health risks associated with the use or abuse of cannabis;
            (iii) Information about possible side effects;
            (iv) Prohibition on smoking cannabis in public
        
places; and
            (v) Offering any other appropriate purchaser
        
education or support materials.
    (b) Blank.
    (c) A dispensing organization shall maintain copies of the policies and procedures on the dispensary premises and provide copies to the Department upon request. The dispensing organization shall review the dispensing organization policies and procedures at least once every 12 months from the issue date of the license and update as needed due to changes in industry standards or as requested by the Department.
    (d) A dispensing organization shall ensure that each principal officer and each dispensing organization agent has a current agent identification card in the agent's immediate possession when the agent is at the dispensary.
    (e) A dispensing organization shall provide prompt written notice to the Department, including the date of the event, when a dispensing organization agent no longer is employed by the dispensing organization.
    (f) A dispensing organization shall promptly document and report any loss or theft of cannabis from the dispensary to the Department of State Police and the Department. It is the duty of any dispensing organization agent who becomes aware of the loss or theft to report it as provided in this Article.
    (g) A dispensing organization shall post the following information in a conspicuous location in an area of the dispensary accessible to consumers:
        (1) The dispensing organization's license;
        (2) The hours of operation.
    (h) Signage that shall be posted inside the premises.
        (1) All dispensing organizations must display a
    
placard that states the following: "Cannabis consumption can impair cognition and driving, is for adult use only, may be habit forming, and should not be used by pregnant or breastfeeding women.".
        (2) Any dispensing organization that sells edible
    
cannabis-infused products must display a placard that states the following:
            (A) "Edible cannabis-infused products were
        
produced in a kitchen that may also process common food allergens."; and
            (B) "The effects of cannabis products can vary
        
from person to person, and it can take as long as two hours to feel the effects of some cannabis-infused products. Carefully review the portion size information and warnings contained on the product packaging before consuming.".
        (3) All of the required signage in this subsection
    
(h) shall be no smaller than 24 inches tall by 36 inches wide, with typed letters no smaller than 2 inches. The signage shall be clearly visible and readable by customers. The signage shall be placed in the area where cannabis and cannabis-infused products are sold and may be translated into additional languages as needed. The Department may require a dispensary to display the required signage in a different language, other than English, if the Secretary deems it necessary.
    (i) A dispensing organization shall prominently post notices inside the dispensing organization that state activities that are strictly prohibited and punishable by law, including, but not limited to:
        (1) no minors permitted on the premises unless the
    
minor is a minor qualifying patient under the Compassionate Use of Medical Cannabis Pilot Program Act;
        (2) distribution to persons under the age of 21 is
    
prohibited;
        (3) transportation of cannabis or cannabis products
    
across state lines is prohibited.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-70

    (410 ILCS 705/15-70)
    Sec. 15-70. Operational requirements; prohibitions.
    (a) A dispensing organization shall operate in accordance with the representations made in its application and license materials. It shall be in compliance with this Act and rules.
    (b) A dispensing organization must include the legal name of the dispensary on the packaging of any cannabis product it sells.
    (c) All cannabis, cannabis-infused products, and cannabis seeds must be obtained from an Illinois registered adult use cultivation center, craft grower, infuser, or another dispensary.
    (d) Dispensing organizations are prohibited from selling any product containing alcohol except tinctures, which must be limited to containers that are no larger than 100 milliliters.
    (e) A dispensing organization shall inspect and count product received by the adult use cultivation center before dispensing it.
    (f) A dispensing organization may only accept cannabis deliveries into a restricted access area. Deliveries may not be accepted through the public or limited access areas unless otherwise approved by the Department.
    (g) A dispensing organization shall maintain compliance with State and local building, fire, and zoning requirements or regulations.
    (h) A dispensing organization shall submit a list to the Department of the names of all service professionals that will work at the dispensary. The list shall include a description of the type of business or service provided. Changes to the service professional list shall be promptly provided. No service professional shall work in the dispensary until the name is provided to the Department on the service professional list.
    (i) A dispensing organization's license allows for a dispensary to be operated only at a single location.
    (j) A dispensary may operate between 6 a.m. and 10 p.m. local time.
    (k) A dispensing organization must keep all lighting outside and inside the dispensary in good working order and wattage sufficient for security cameras.
    (l) A dispensing organization shall ensure that any building or equipment used by a dispensing organization for the storage or sale of cannabis is maintained in a clean and sanitary condition.
    (m) The dispensary shall be free from infestation by insects, rodents, or pests.
    (n) A dispensing organization shall not:
        (1) Produce or manufacture cannabis;
        (2) Accept a cannabis product from an adult use
    
cultivation center, craft grower, infuser, dispensing organization, or transporting organization unless it is pre-packaged and labeled in accordance with this Act and any rules that may be adopted pursuant to this Act;
        (3) Obtain cannabis or cannabis-infused products from
    
outside the State of Illinois;
        (4) Sell cannabis or cannabis-infused products to a
    
purchaser unless the dispensary organization is licensed under the Compassionate Use of Medical Cannabis Pilot Program, and the individual is registered under the Compassionate Use of Medical Cannabis Pilot Program or the purchaser has been verified to be over the age of 21;
        (5) Enter into an exclusive agreement with any adult
    
use cultivation center, craft grower, or infuser. Dispensaries shall provide consumers an assortment of products from various cannabis business establishment licensees such that the inventory available for sale at any dispensary from any single cultivation center, craft grower, processor, or infuser entity shall not be more than 40% of the total inventory available for sale. For the purpose of this subsection, a cultivation center, craft grower, processor, or infuser shall be considered part of the same entity if the licensees share at least one principal officer. The Department may request that a dispensary diversify its products as needed or otherwise discipline a dispensing organization for violating this requirement;
        (6) Refuse to conduct business with an adult use
    
cultivation center, craft grower, transporting organization, or infuser that has the ability to properly deliver the product and is permitted by the Department of Agriculture, on the same terms as other adult use cultivation centers, craft growers, infusers, or transporters with whom it is dealing;
        (7) Operate drive-through windows;
        (8) Allow for the dispensing of cannabis or
    
cannabis-infused products in vending machines;
        (9) Transport cannabis to residences or other
    
locations where purchasers may be for delivery;
        (10) Enter into agreements to allow persons who are
    
not dispensing organization agents to deliver cannabis or to transport cannabis to purchasers.
        (11) Operate a dispensary if its video surveillance
    
equipment is inoperative;
        (12) Operate a dispensary if the point-of-sale
    
equipment is inoperative;
        (13) Operate a dispensary if the State's cannabis
    
electronic verification system is inoperative;
        (14) Have fewer than 2 people working at the
    
dispensary at any time while the dispensary is open;
        (15) Be located within 1,500 feet of the property
    
line of a pre-existing dispensing organization;
        (16) Sell clones or any other live plant material;
        (17) Sell cannabis, cannabis concentrate, or
    
cannabis-infused products in combination or bundled with each other or any other items for one price, and each item of cannabis, concentrate, or cannabis-infused product must be separately identified by quantity and price on the receipt;
        (18) Violate any other requirements or prohibitions
    
set by Department rules.
    (o) It is unlawful for any person having an Early Approval Adult Use Cannabis Dispensing Organization License, a Conditional Adult Use Cannabis Dispensing Organization, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program or any officer, associate, member, representative, or agent of such licensee to accept, receive, or borrow money or anything else of value or accept or receive credit (other than merchandising credit in the ordinary course of business for a period not to exceed 30 days) directly or indirectly from any adult use cultivation center, craft grower, infuser, or transporting organization. This includes anything received or borrowed or from any stockholders, officers, agents, or persons connected with an adult use cultivation center, craft grower, infuser, or transporting organization. This also excludes any received or borrowed in exchange for preferential placement by the dispensing organization, including preferential placement on the dispensing organization's shelves, display cases, or website.
    (p) It is unlawful for any person having an Early Approval Adult Use Cannabis Dispensing Organization License, a Conditional Adult Use Cannabis Dispensing Organization, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program to enter into any contract with any person licensed to cultivate, process, or transport cannabis whereby such dispensary organization agrees not to sell any cannabis cultivated, processed, transported, manufactured, or distributed by any other cultivator, transporter, or infuser, and any provision in any contract violative of this Section shall render the whole of such contract void and no action shall be brought thereon in any court.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-75

    (410 ILCS 705/15-75)
    Sec. 15-75. Inventory control system.
    (a) A dispensing organization agent-in-charge shall have primary oversight of the dispensing organization's cannabis inventory verification system, and its point-of-sale system. The inventory point-of-sale system shall be real-time, web-based, and accessible by the Department at any time. The point-of-sale system shall track, at a minimum the date of sale, amount, price, and currency.
    (b) A dispensing organization shall establish an account with the State's verification system that documents:
        (1) Each sales transaction at the time of sale and
    
each day's beginning inventory, acquisitions, sales, disposal, and ending inventory.
        (2) Acquisition of cannabis and cannabis-infused
    
products from a licensed adult use cultivation center, craft grower, infuser, or transporter, including:
            (i) A description of the products, including the
        
quantity, strain, variety, and batch number of each product received;
            (ii) The name and registry identification number
        
of the licensed adult use cultivation center, craft grower, or infuser providing the cannabis and cannabis-infused products;
            (iii) The name and registry identification number
        
of the licensed adult use cultivation center, craft grower, infuser, or transportation agent delivering the cannabis;
            (iv) The name and registry identification number
        
of the dispensing organization agent receiving the cannabis; and
            (v) The date of acquisition.
        (3) The disposal of cannabis, including:
            (i) A description of the products, including the
        
quantity, strain, variety, batch number, and reason for the cannabis being disposed;
            (ii) The method of disposal; and
            (iii) The date and time of disposal.
    (c) Upon cannabis delivery, a dispensing organization shall confirm the product's name, strain name, weight, and identification number on the manifest matches the information on the cannabis product label and package. The product name listed and the weight listed in the State's verification system shall match the product packaging.
    (d) The agent-in-charge shall conduct daily inventory reconciliation documenting and balancing cannabis inventory by confirming the State's verification system matches the dispensing organization's point-of-sale system and the amount of physical product at the dispensary.
        (1) A dispensing organization must receive Department
    
approval before completing an inventory adjustment. It shall provide a detailed reason for the adjustment. Inventory adjustment documentation shall be kept at the dispensary for 2 years from the date performed.
        (2) If the dispensing organization identifies an
    
imbalance in the amount of cannabis after the daily inventory reconciliation due to mistake, the dispensing organization shall determine how the imbalance occurred and immediately upon discovery take and document corrective action. If the dispensing organization cannot identify the reason for the mistake within 2 calendar days after first discovery, it shall inform the Department immediately in writing of the imbalance and the corrective action taken to date. The dispensing organization shall work diligently to determine the reason for the mistake.
        (3) If the dispensing organization identifies an
    
imbalance in the amount of cannabis after the daily inventory reconciliation or through other means due to theft, criminal activity, or suspected criminal activity, the dispensing organization shall immediately determine how the reduction occurred and take and document corrective action. Within 24 hours after the first discovery of the reduction due to theft, criminal activity, or suspected criminal activity, the dispensing organization shall inform the Department and the Department of State Police in writing.
        (4) The dispensing organization shall file an annual
    
compilation report with the Department, including a financial statement that shall include, but not be limited to, an income statement, balance sheet, profit and loss statement, statement of cash flow, wholesale cost and sales, and any other documentation requested by the Department in writing. The financial statement shall include any other information the Department deems necessary in order to effectively administer this Act and all rules, orders, and final decisions promulgated under this Act. Statements required by this Section shall be filed with the Department within 60 days after the end of the calendar year. The compilation report shall include a letter authored by a licensed certified public accountant that it has been reviewed and is accurate based on the information provided. The dispensing organization, financial statement, and accompanying documents are not required to be audited unless specifically requested by the Department.
    (e) A dispensing organization shall:
        (1) Maintain the documentation required in this
    
Section in a secure locked location at the dispensing organization for 5 years from the date on the document;
        (2) Provide any documentation required to be
    
maintained in this Section to the Department for review upon request; and
        (3) If maintaining a bank account, retain for a
    
period of 5 years a record of each deposit or withdrawal from the account.
    (f) If a dispensing organization chooses to have a return policy for cannabis and cannabis products, the dispensing organization shall seek prior approval from the Department.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-80

    (410 ILCS 705/15-80)
    Sec. 15-80. Storage requirements.
    (a) Authorized on-premises storage. A dispensing organization must store inventory on its premises. All inventory stored on the premises must be secured in a restricted access area and tracked consistently with the inventory tracking rules.
    (b) A dispensary shall be of suitable size and construction to facilitate cleaning, maintenance, and proper operations.
    (c) A dispensary shall maintain adequate lighting, ventilation, temperature, humidity control, and equipment.
    (d) Containers storing cannabis that have been tampered with, damaged, or opened shall be labeled with the date opened and quarantined from other cannabis products in the vault until they are disposed.
    (e) Cannabis that was tampered with, expired, or damaged shall not be stored at the premises for more than 7 calendar days.
    (f) Cannabis samples shall be in a sealed container. Samples shall be maintained in the restricted access area.
    (g) The dispensary storage areas shall be maintained in accordance with the security requirements in this Act and rules.
    (h) Cannabis must be stored at appropriate temperatures and under appropriate conditions to help ensure that its packaging, strength, quality, and purity are not adversely affected.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-85

    (410 ILCS 705/15-85)
    Sec. 15-85. Dispensing cannabis.
    (a) Before a dispensing organization agent dispenses cannabis to a purchaser, the agent shall:
        (1) Verify the age of the purchaser by checking a
    
government-issued identification card by use of an electronic reader or electronic scanning device to scan a purchaser's government-issued identification, if applicable, to determine the purchaser's age and the validity of the identification;
        (2) Verify the validity of the government-issued
    
identification card;
        (3) Offer any appropriate purchaser education or
    
support materials;
        (4) Enter the following information into the State's
    
cannabis electronic verification system:
            (i) The dispensing organization agent's
        
identification number;
            (ii) The dispensing organization's identification
        
number;
            (iii) The amount, type (including strain, if
        
applicable) of cannabis or cannabis-infused product dispensed;
            (iv) The date and time the cannabis was dispensed.
    (b) A dispensing organization shall refuse to sell cannabis or cannabis-infused products to any person unless the person produces a valid identification showing that the person is 21 years of age or older. A medical cannabis dispensing organization may sell cannabis or cannabis-infused products to a person who is under 21 years of age if the sale complies with the provisions of the Compassionate Use of Medical Cannabis Pilot Program Act and rules.
    (c) For the purposes of this Section, valid identification must:
        (1) Be valid and unexpired;
        (2) Contain a photograph and the date of birth of the
    
person.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-90

    (410 ILCS 705/15-90)
    Sec. 15-90. Destruction and disposal of cannabis.
    (a) Cannabis and cannabis-infused products must be destroyed by rendering them unusable using methods approved by the Department that comply with this Act and rules.
    (b) Cannabis waste rendered unusable must be promptly disposed according to this Act and rules. Disposal of the cannabis waste rendered unusable may be delivered to a permitted solid waste facility for final disposition. Acceptable permitted solid waste facilities include, but are not limited to:
        (1) Compostable mixed waste: Compost, anaerobic
    
digester, or other facility with approval of the jurisdictional health department.
        (2) Noncompostable mixed waste: Landfill,
    
incinerator, or other facility with approval of the jurisdictional health department.
    (c) All waste and unusable product shall be weighed, recorded, and entered into the inventory system before rendering it unusable. All waste and unusable cannabis concentrates and cannabis-infused products shall be recorded and entered into the inventory system before rendering it unusable. Verification of this event shall be performed by an agent-in-charge and conducted in an area with video surveillance.
    (d) Electronic documentation of destruction and disposal shall be maintained for a period of at least 5 years.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-95

    (410 ILCS 705/15-95)
    Sec. 15-95. Agent-in-charge.
    (a) Every dispensing organization shall designate, at a minimum, one agent-in-charge for each licensed dispensary. The designated agent-in-charge must hold a dispensing organization agent identification card. Maintaining an agent-in-charge is a continuing requirement for the license, except as provided in subsection (f).
    (b) The agent-in-charge shall be a principal officer or a full-time agent of the dispensing organization and shall manage the dispensary. Managing the dispensary includes, but is not limited to, responsibility for opening and closing the dispensary, delivery acceptance, oversight of sales and dispensing organization agents, recordkeeping, inventory, dispensing organization agent training, and compliance with this Act and rules. Participation in affairs also includes the responsibility for maintaining all files subject to audit or inspection by the Department at the dispensary.
    (c) The agent-in-charge is responsible for promptly notifying the Department of any change of information required to be reported to the Department.
    (d) In determining whether an agent-in-charge manages the dispensary, the Department may consider the responsibilities identified in this Section, the number of dispensing organization agents under the supervision of the agent-in-charge, and the employment relationship between the agent-in-charge and the dispensing organization, including the existence of a contract for employment and any other relevant fact or circumstance.
    (e) The agent-in-charge is responsible for notifying the Department of a change in the employment status of all dispensing organization agents within 5 business days after the change, including notice to the Department if the termination of an agent was for diversion of product or theft of currency.
    (f) In the event of the separation of an agent-in-charge due to death, incapacity, termination, or any other reason and if the dispensary does not have an active agent-in-charge, the dispensing organization shall immediately contact the Department and request a temporary certificate of authority allowing the continuing operation. The request shall include the name of an interim agent-in-charge until a replacement is identified, or shall include the name of the replacement. The Department shall issue the temporary certificate of authority promptly after it approves the request. If a dispensing organization fails to promptly request a temporary certificate of authority after the separation of the agent-in-charge, its registration shall cease until the Department approves the temporary certificate of authority or registers a new agent-in-charge. No temporary certificate of authority shall be valid for more than 90 days. The succeeding agent-in-charge shall register with the Department in compliance with this Article. Once the permanent succeeding agent-in-charge is registered with the Department, the temporary certificate of authority is void. No temporary certificate of authority shall be issued for the separation of an agent-in-charge due to disciplinary action by the Department related to his or her conduct on behalf of the dispensing organization.
    (g) The dispensing organization agent-in-charge registration shall expire one year from the date it is issued. The agent-in-charge's registration shall be renewed annually. The Department shall review the dispensing organization's compliance history when determining whether to grant the request to renew.
    (h) Upon termination of an agent-in-charge's employment, the dispensing organization shall immediately reclaim the dispensing agent identification card. The dispensing organization shall promptly return the identification card to the Department.
    (i) The Department may deny an application or renewal or discipline or revoke an agent-in-charge identification card for any of the following reasons:
        (1) Submission of misleading, incorrect, false, or
    
fraudulent information in the application or renewal application;
        (2) Violation of the requirements of this Act or
    
rules;
        (3) Fraudulent use of the agent-in-charge
    
identification card;
        (4) Selling, distributing, transferring in any
    
manner, or giving cannabis to any unauthorized person;
        (5) Theft of cannabis, currency, or any other items
    
from a dispensary.
        (6) Tampering with, falsifying, altering, modifying,
    
or duplicating an agent-in-charge identification card;
        (7) Tampering with, falsifying, altering, or
    
modifying the surveillance video footage, point-of-sale system, or the State's verification system;
        (8) Failure to notify the Department immediately upon
    
discovery that the agent-in-charge identification card has been lost, stolen, or destroyed;
        (9) Failure to notify the Department within 5
    
business days after a change in the information provided in the application for an agent-in-charge identification card;
        (10) Conviction of a felony offense in accordance
    
with Sections 2105-131, 2105-135, and 2105-205 of the Department of Professional Regulation Law of the Civil Administrative Code of Illinois or any incident listed in this Act or rules following the issuance of an agent-in-charge identification card;
        (11) Dispensing to purchasers in amounts above the
    
limits provided in this Act; or
        (12) Delinquency in filing any required tax returns
    
or paying any amounts owed to the State of Illinois
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-100

    (410 ILCS 705/15-100)
    Sec. 15-100. Security.
    (a) A dispensing organization shall implement security measures to deter and prevent entry into and theft of cannabis or currency.
    (b) A dispensing organization shall submit any changes to the floor plan or security plan to the Department for pre-approval. All cannabis shall be maintained and stored in a restricted access area during construction.
    (c) The dispensing organization shall implement security measures to protect the premises, purchasers, and dispensing organization agents including, but not limited to the following:
        (1) Establish a locked door or barrier between the
    
facility's entrance and the limited access area;
        (2) Prevent individuals from remaining on the
    
premises if they are not engaging in activity permitted by this Act or rules;
        (3) Develop a policy that addresses the maximum
    
capacity and purchaser flow in the waiting rooms and limited access areas;
        (4) Dispose of cannabis in accordance with this Act
    
and rules;
        (5) During hours of operation, store and dispense all
    
cannabis from the restricted access area. During operational hours, cannabis shall be stored in an enclosed locked room or cabinet and accessible only to specifically authorized dispensing organization agents;
        (6) When the dispensary is closed, store all cannabis
    
and currency in a reinforced vault room in the restricted access area and in a manner as to prevent diversion, theft, or loss;
        (7) Keep the reinforced vault room and any other
    
equipment or cannabis storage areas securely locked and protected from unauthorized entry;
        (8) Keep an electronic daily log of dispensing
    
organization agents with access to the reinforced vault room and knowledge of the access code or combination;
        (9) Keep all locks and security equipment in good
    
working order;
        (10) Maintain an operational security and alarm
    
system at all times;
        (11) Prohibit keys, if applicable, from being left in
    
the locks, or stored or placed in a location accessible to persons other than specifically authorized personnel;
        (12) Prohibit accessibility of security measures,
    
including combination numbers, passwords, or electronic or biometric security systems to persons other than specifically authorized dispensing organization agents;
        (13) Ensure that the dispensary interior and exterior
    
premises are sufficiently lit to facilitate surveillance;
        (14) Ensure that trees, bushes, and other foliage
    
outside of the dispensary premises do not allow for a person or persons to conceal themselves from sight;
        (15) Develop emergency policies and procedures for
    
securing all product and currency following any instance of diversion, theft, or loss of cannabis, and conduct an assessment to determine whether additional safeguards are necessary; and
        (16) Develop sufficient additional safeguards in
    
response to any special security concerns, or as required by the Department.
    (d) The Department may request or approve alternative security provisions that it determines are an adequate substitute for a security requirement specified in this Article. Any additional protections may be considered by the Department in evaluating overall security measures.
    (e) A dispensary organization may share premises with a craft grower or an infuser organization, or both, provided each licensee stores currency and cannabis or cannabis-infused products in a separate secured vault to which the other licensee does not have access or all licensees sharing a vault share more than 50% of the same ownership.
    (f) A dispensing organization shall provide additional security as needed and in a manner appropriate for the community where it operates.
    (g) Restricted access areas.
        (1) All restricted access areas must be identified by
    
the posting of a sign that is a minimum of 12 inches by 12 inches and that states "Do Not Enter - Restricted Access Area - Authorized Personnel Only" in lettering no smaller than one inch in height.
        (2) All restricted access areas shall be clearly
    
described in the floor plan of the premises, in the form and manner determined by the Department, reflecting walls, partitions, counters, and all areas of entry and exit. The floor plan shall show all storage, disposal, and retail sales areas.
        (3) All restricted access areas must be secure, with
    
locking devices that prevent access from the limited access areas.
    (h) Security and alarm.
        (1) A dispensing organization shall have an adequate
    
security plan and security system to prevent and detect diversion, theft, or loss of cannabis, currency, or unauthorized intrusion using commercial grade equipment installed by an Illinois licensed private alarm contractor or private alarm contractor agency that shall, at a minimum, include:
            (i) A perimeter alarm on all entry points and
        
glass break protection on perimeter windows;
            (ii) Security shatterproof tinted film on
        
exterior windows;
            (iii) A failure notification system that provides
        
an audible, text, or visual notification of any failure in the surveillance system, including, but not limited to, panic buttons, alarms, and video monitoring system. The failure notification system shall provide an alert to designated dispensing organization agents within 5 minutes after the failure, either by telephone or text message;
            (iv) A duress alarm, panic button, and alarm, or
        
holdup alarm and after-hours intrusion detection alarm that by design and purpose will directly or indirectly notify, by the most efficient means, the Public Safety Answering Point for the law enforcement agency having primary jurisdiction;
            (v) Security equipment to deter and prevent
        
unauthorized entrance into the dispensary, including electronic door locks on the limited and restricted access areas that include devices or a series of devices to detect unauthorized intrusion that may include a signal system interconnected with a radio frequency method, cellular, private radio signals or other mechanical or electronic device.
        (2) All security system equipment and recordings
    
shall be maintained in good working order, in a secure location so as to prevent theft, loss, destruction, or alterations.
        (3) Access to surveillance monitoring recording
    
equipment shall be limited to persons who are essential to surveillance operations, law enforcement authorities acting within their jurisdiction, security system service personnel, and the Department. A current list of authorized dispensing organization agents and service personnel that have access to the surveillance equipment must be available to the Department upon request.
        (4) All security equipment shall be inspected and
    
tested at regular intervals, not to exceed one month from the previous inspection, and tested to ensure the systems remain functional.
        (5) The security system shall provide protection
    
against theft and diversion that is facilitated or hidden by tampering with computers or electronic records.
        (6) The dispensary shall ensure all access doors are
    
not solely controlled by an electronic access panel to ensure that locks are not released during a power outage.
    (i) To monitor the dispensary, the dispensing organization shall incorporate continuous electronic video monitoring including the following:
        (1) All monitors must be 19 inches or greater;
        (2) Unobstructed video surveillance of all enclosed
    
dispensary areas, unless prohibited by law, including all points of entry and exit that shall be appropriate for the normal lighting conditions of the area under surveillance. The cameras shall be directed so all areas are captured, including, but not limited to, safes, vaults, sales areas, and areas where cannabis is stored, handled, dispensed, or destroyed. Cameras shall be angled to allow for facial recognition, the capture of clear and certain identification of any person entering or exiting the dispensary area and in lighting sufficient during all times of night or day;
        (3) Unobstructed video surveillance of outside areas,
    
the storefront, and the parking lot, that shall be appropriate for the normal lighting conditions of the area under surveillance. Cameras shall be angled so as to allow for the capture of facial recognition, clear and certain identification of any person entering or exiting the dispensary and the immediate surrounding area, and license plates of vehicles in the parking lot;
        (4) 24-hour recordings from all video cameras
    
available for immediate viewing by the Department upon request. Recordings shall not be destroyed or altered and shall be retained for at least 90 days. Recordings shall be retained as long as necessary if the dispensing organization is aware of the loss or theft of cannabis or a pending criminal, civil, or administrative investigation or legal proceeding for which the recording may contain relevant information;
        (5) The ability to immediately produce a clear, color
    
still photo from the surveillance video, either live or recorded;
        (6) A date and time stamp embedded on all video
    
surveillance recordings. The date and time shall be synchronized and set correctly and shall not significantly obscure the picture;
        (7) The ability to remain operational during a power
    
outage and ensure all access doors are not solely controlled by an electronic access panel to ensure that locks are not released during a power outage;
        (8) All video surveillance equipment shall allow for
    
the exporting of still images in an industry standard image format, including .jpg, .bmp, and .gif. Exported video shall have the ability to be archived in a proprietary format that ensures authentication of the video and guarantees that no alteration of the recorded image has taken place. Exported video shall also have the ability to be saved in an industry standard file format that can be played on a standard computer operating system. All recordings shall be erased or destroyed before disposal;
        (9) The video surveillance system shall be
    
operational during a power outage with a 4-hour minimum battery backup;
        (10) A video camera or cameras recording at each
    
point-of-sale location allowing for the identification of the dispensing organization agent distributing the cannabis and any purchaser. The camera or cameras shall capture the sale, the individuals and the computer monitors used for the sale;
        (11) A failure notification system that provides an
    
audible and visual notification of any failure in the electronic video monitoring system; and
        (12) All electronic video surveillance monitoring
    
must record at least the equivalent of 8 frames per second and be available as recordings to the Department and the Department of State Police 24 hours a day via a secure web-based portal with reverse functionality.
    (j) The requirements contained in this Act are minimum requirements for operating a dispensing organization. The Department may establish additional requirements by rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-110

    (410 ILCS 705/15-110)
    Sec. 15-110. Recordkeeping.
    (a) Dispensing organization records must be maintained electronically for 3 years and be available for inspection by the Department upon request. Required written records include, but are not limited to, the following:
        (1) Operating procedures;
        (2) Inventory records, policies, and procedures;
        (3) Security records;
        (4) Audit records;
        (5) Staff training plans and completion documentation;
        (6) Staffing plan; and
        (7) Business records, including but not limited to:
            (i) Assets and liabilities;
            (ii) Monetary transactions;
            (iii) Written or electronic accounts, including
        
bank statements, journals, ledgers, and supporting documents, agreements, checks, invoices, receipts, and vouchers; and
            (iv) Any other financial accounts reasonably
        
related to the dispensary operations.
    (b) Storage and transfer of records. If a dispensary closes due to insolvency, revocation, bankruptcy, or for any other reason, all records must be preserved at the expense of the dispensing organization for at least 3 years in a form and location in Illinois acceptable to the Department. The dispensing organization shall keep the records longer if requested by the Department. The dispensing organization shall notify the Department of the location where the dispensary records are stored or transferred.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-120

    (410 ILCS 705/15-120)
    Sec. 15-120. Closure of a dispensary.
    (a) If a dispensing organization decides not to renew its license or decides to close its business, it shall promptly notify the Department not less than 3 months before the effective date of the closing date or as otherwise authorized by the Department.
    (b) The dispensing organization shall work with the Department to develop a closure plan that addresses, at a minimum, the transfer of business records, transfer of cannabis products, and anything else the Department finds necessary.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-125

    (410 ILCS 705/15-125)
    Sec. 15-125. Fees. After January 1, 2022, the Department may by rule modify any fee established under this Article.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-135

    (410 ILCS 705/15-135)
    Sec. 15-135. Investigations.
    (a) Dispensing organizations are subject to random and unannounced dispensary inspections and cannabis testing by the Department, the Department of State Police, and local law enforcement.
    (b) The Department and its authorized representatives may enter any place, including a vehicle, in which cannabis is held, stored, dispensed, sold, produced, delivered, transported, manufactured, or disposed of and inspect, in a reasonable manner, the place and all pertinent equipment, containers and labeling, and all things including records, files, financial data, sales data, shipping data, pricing data, personnel data, research, papers, processes, controls, and facility, and inventory any stock of cannabis and obtain samples of any cannabis or cannabis-infused product, any labels or containers for cannabis, or paraphernalia.
    (c) The Department may conduct an investigation of an applicant, application, dispensing organization, principal officer, dispensary agent, third party vendor, or any other party associated with a dispensing organization for an alleged violation of this Act or rules or to determine qualifications to be granted a registration by the Department.
    (d) The Department may require an applicant or holder of any license issued pursuant to this Article to produce documents, records, or any other material pertinent to the investigation of an application or alleged violations of this Act or rules. Failure to provide the required material may be grounds for denial or discipline.
    (e) Every person charged with preparation, obtaining, or keeping records, logs, reports, or other documents in connection with this Act and rules and every person in charge, or having custody, of those documents shall, upon request by the Department, make the documents immediately available for inspection and copying by the Department, the Department's authorized representative, or others authorized by law to review the documents.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-140

    (410 ILCS 705/15-140)
    Sec. 15-140. Citations. The Department may issue nondisciplinary citations for minor violations. Any such citation issued by the Department may be accompanied by a fee. The fee shall not exceed $20,000 per violation. The citation shall be issued to the licensee and shall contain the licensee's name and address, the licensee's license number, a brief factual statement, the Sections of the law allegedly violated, and the fee, if any, imposed. The citation must clearly state that the licensee may choose, in lieu of accepting the citation, to request a hearing. If the licensee does not dispute the matter in the citation with the Department within 30 days after the citation is served, then the citation shall become final and not subject to appeal. The penalty shall be a fee or other conditions as established by rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-145

    (410 ILCS 705/15-145)
    Sec. 15-145. Grounds for discipline.
    (a) The Department may deny issuance, refuse to renew or restore, or may reprimand, place on probation, suspend, revoke, or take other disciplinary or nondisciplinary action against any license or agent identification card or may impose a fine for any of the following:
        (1) Material misstatement in furnishing information
    
to the Department;
        (2) Violations of this Act or rules;
        (3) Obtaining an authorization or license by fraud or
    
misrepresentation;
        (4) A pattern of conduct that demonstrates
    
incompetence or that the applicant has engaged in conduct or actions that would constitute grounds for discipline under the Act;
        (5) Aiding or assisting another person in violating
    
any provision of this Act or rules;
        (6) Failing to respond to a written request for
    
information by the Department within 30 days;
        (7) Engaging in unprofessional, dishonorable, or
    
unethical conduct of a character likely to deceive, defraud, or harm the public;
        (8) Adverse action by another United States
    
jurisdiction or foreign nation;
        (9) A finding by the Department that the licensee,
    
after having his or her license placed on suspended or probationary status, has violated the terms of the suspension or probation;
        (10) Conviction, entry of a plea of guilty, nolo
    
contendere, or the equivalent in a State or federal court of a principal officer or agent-in-charge of a felony offense in accordance with Sections 2105-131, 2105-135, and 2105-205 of the Department of Professional Regulation Law of the Civil Administrative Code of Illinois;
        (11) Excessive use or addiction to alcohol,
    
narcotics, stimulants, or any other chemical agent or drug;
        (12) A finding by the Department of a discrepancy in
    
a Department audit of cannabis;
        (13) A finding by the Department of a discrepancy in
    
a Department audit of capital or funds;
        (14) A finding by the Department of acceptance of
    
cannabis from a source other than an Adult Use Cultivation Center, craft grower, infuser, or transporting organization licensed by the Department of Agriculture, or a dispensing organization licensed by the Department;
        (15) An inability to operate using reasonable
    
judgment, skill, or safety due to physical or mental illness or other impairment or disability, including, without limitation, deterioration through the aging process or loss of motor skills or mental incompetence;
        (16) Failing to report to the Department within the
    
time frames established, or if not identified, 14 days, of any adverse action taken against the dispensing organization or an agent by a licensing jurisdiction in any state or any territory of the United States or any foreign jurisdiction, any governmental agency, any law enforcement agency or any court defined in this Section;
        (17) Any violation of the dispensing organization's
    
policies and procedures submitted to the Department annually as a condition for licensure;
        (18) Failure to inform the Department of any change
    
of address within 10 business days;
        (19) Disclosing customer names, personal information,
    
or protected health information in violation of any State or federal law;
        (20) Operating a dispensary before obtaining a
    
license from the Department;
        (21) Performing duties authorized by this Act prior
    
to receiving a license to perform such duties;
        (22) Dispensing cannabis when prohibited by this Act
    
or rules;
        (23) Any fact or condition that, if it had existed at
    
the time of the original application for the license, would have warranted the denial of the license;
        (24) Permitting a person without a valid agent
    
identification card to perform licensed activities under this Act;
        (25) Failure to assign an agent-in-charge as required
    
by this Article;
        (26) Failure to provide the training required by
    
paragraph (3) of subsection (i) of Section 15-40 within the provided timeframe
        (27) Personnel insufficient in number or unqualified
    
in training or experience to properly operate the dispensary business;
        (28) Any pattern of activity that causes a harmful
    
impact on the community; and
        (29) Failing to prevent diversion, theft, or loss of
    
cannabis.
    (b) All fines and fees imposed under this Section shall be paid within 60 days after the effective date of the order imposing the fine or as otherwise specified in the order.
    (c) A circuit court order establishing that an agent-in-charge or principal officer holding an agent identification card is subject to involuntary admission as that term is defined in Section 1-119 or 1-119.1 of the Mental Health and Developmental Disabilities Code shall operate as a suspension of that card.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-150

    (410 ILCS 705/15-150)
    Sec. 15-150. Temporary suspension.
    (a) The Secretary of Financial and Professional Regulation may temporarily suspend a dispensing organization license or an agent registration without a hearing if the Secretary finds that public safety or welfare requires emergency action. The Secretary shall cause the temporary suspension by issuing a suspension notice in connection with the institution of proceedings for a hearing.
    (b) If the Secretary temporarily suspends a license or agent registration without a hearing, the licensee or agent is entitled to a hearing within 45 days after the suspension notice has been issued. The hearing shall be limited to the issues cited in the suspension notice, unless all parties agree otherwise.
    (c) If the Department does not hold a hearing with 45 days after the date the suspension notice was issued, then the suspended license or registration shall be automatically reinstated and the suspension vacated.
    (d) The suspended licensee or agent may seek a continuance of the hearing date, during which time the suspension remains in effect and the license or registration shall not be automatically reinstated.
    (e) Subsequently discovered causes of action by the Department after the issuance of the suspension notice may be filed as a separate notice of violation. The Department is not precluded from filing a separate action against the suspended licensee or agent.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-155

    (410 ILCS 705/15-155)
    Sec. 15-155. Consent to administrative supervision order. In appropriate cases, the Department may resolve a complaint against a licensee or agent through the issuance of a consent order for administrative supervision. A license or agent subject to a consent order shall be considered by the Department to hold a license or registration in good standing.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-160

    (410 ILCS 705/15-160)
    Sec. 15-160. Notice; hearing.
    (a) The Department shall, before disciplining an applicant or licensee, at least 30 days before the date set for the hearing: (i) notify the accused in writing of the charges made and the time and place for the hearing on the charges; (ii) direct him or her to file a written answer to the charges under oath within 20 days after service; and (iii) inform the applicant or licensee that failure to answer will result in a default being entered against the applicant or licensee.
    (b) At the time and place fixed in the notice, the hearing officer appointed by the Secretary shall proceed to hear the charges, and the parties or their counsel shall be accorded ample opportunity to present any pertinent statements, testimony, evidence, and arguments. The hearing officer may continue the hearing from time to time. In case the person, after receiving the notice, fails to file an answer, his or her license may, in the discretion of the Secretary, having first received the recommendation of the hearing officer, be suspended, revoked, or placed on probationary status, or be subject to whatever disciplinary action the Secretary considers proper, including a fine, without hearing, if that act or acts charged constitute sufficient grounds for that action under this Act.
    (c) The written notice and any notice in the subsequent proceeding may be served by regular mail or email to the licensee's or applicant's address of record.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-165

    (410 ILCS 705/15-165)
    Sec. 15-165. Subpoenas; oaths. The Department shall have the power to subpoena and bring before it any person and to take testimony either orally or by deposition, or both, with the same fees and mileage and in the same manner as prescribed by law in judicial proceedings in civil cases in courts in this State. The Secretary or the hearing officer shall each have the power to administer oaths to witnesses at any hearings that the Department is authorized to conduct.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-170

    (410 ILCS 705/15-170)
    Sec. 15-170. Hearing; motion for rehearing.
    (a) The hearing officer shall hear evidence in support of the formal charges and evidence produced by the licensee. At the conclusion of the hearing, the hearing officer shall present to the Secretary a written report of his or her findings of fact, conclusions of law, and recommendations.
    (b) At the conclusion of the hearing, a copy of the hearing officer's report shall be served upon the applicant or licensee by the Department, either personally or as provided in this Act for the service of a notice of hearing. Within 20 calendar days after service, the applicant or licensee may present to the Department a motion in writing for rehearing, which shall specify the particular grounds for rehearing. The Department may respond to the motion for rehearing within 20 calendar days after its service on the Department. If no motion for rehearing is filed, then, upon the expiration of the time specified for filing such motion or upon denial of a motion for rehearing, the Secretary may enter an order in accordance with the recommendation of the hearing officer. If the applicant or licensee orders from the reporting service and pays for a transcript of the record within the time for filing a motion for rehearing, the 20-day period within which a motion may be filed shall commence upon the delivery of the transcript to the applicant or licensee.
    (c) If the Secretary disagrees in any regard with the report of the hearing officer, the Secretary may issue an order contrary to the report.
    (d) Whenever the Secretary is not satisfied that substantial justice has been done, the Secretary may order a rehearing by the same or another hearing officer.
    (e) At any point in any investigation or disciplinary proceeding under in this Article, both parties may agree to a negotiated consent order. The consent order shall be final upon signature of the Secretary.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/15-175

    (410 ILCS 705/15-175)
    Sec. 15-175. Review under the Administrative Review Law.
    (a) All final administrative decisions of the Department hereunder shall be subject to judicial review under the provisions of the Administrative Review Law, and all amendment and modifications thereof. The term "administrative decision" is defined as in Section 3-101 of the Code of Civil Procedure.
    (b) Proceedings for judicial review shall be commenced in the circuit court of the county in which the party applying for review resides, but if the party is not a resident of Illinois, the venue shall be in Sangamon County.
    (c) The Department shall not be required to certify any record to the court, file any answer in court, or otherwise appear in any court in a judicial review proceeding, unless and until the Department has received from the plaintiff payment of the costs of furnishing and certifying the record, which costs shall be determined by the Department. Failure on the part of the plaintiff to file a receipt in court shall be grounds for dismissal of the action.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 20

 
    (410 ILCS 705/Art. 20 heading)
Article 20.
Adult Use Cultivation Centers
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-1

    (410 ILCS 705/20-1)
    Sec. 20-1. Definition. In this Article, "Department" means the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-5

    (410 ILCS 705/20-5)
    Sec. 20-5. Issuance of licenses. On or after July 1, 2021, the Department of Agriculture by rule may:
        (1) Modify or change the number of cultivation center
    
licenses available, which shall at no time exceed 30 cultivation center licenses. In determining whether to exercise the authority granted by this subsection, the Department of Agriculture must consider the following factors:
            (A) The percentage of cannabis sales occurring in
        
Illinois not in the regulated market using data from the Substance Abuse and Mental Health Services Administration, National Survey on Drug Use and Health, Illinois Behavioral Risk Factor Surveillance System, and tourism data from the Illinois Office of Tourism to ascertain total cannabis consumption in Illinois compared to the amount of sales in licensed dispensing organizations;
            (B) Whether there is an adequate supply of
        
cannabis and cannabis-infused products to serve registered medical cannabis patients;
            (C) Whether there is an adequate supply of
        
cannabis and cannabis-infused products to serve purchasers;
            (D) Whether there is an oversupply of cannabis in
        
Illinois leading to trafficking of cannabis to any other state;
            (E) Population increases or shifts;
            (F) Changes to federal law;
            (G) Perceived security risks of increasing the
        
number or location of cultivation centers;
            (H) The past security records of cultivation
        
centers;
            (I) The Department of Agriculture's capacity to
        
appropriately regulate additional licensees;
            (J) The findings and recommendations from the
        
disparity and availability study commissioned by the Illinois Cannabis Regulation Oversight Officer referenced in subsection (e) of Section 5-45 to reduce or eliminate any identified barriers to entry in the cannabis industry; and
            (K) Any other criteria the Department of
        
Agriculture deems relevant.
        (2) Modify or change the licensing application
    
process to reduce or eliminate the barriers identified in the disparity and availability study commission by the Illinois Cannabis Regulation Oversight Officer and shall make modifications to remedy evidence of discrimination.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-10

    (410 ILCS 705/20-10)
    Sec. 20-10. Early Approval of Adult Use Cultivation Center License.
    (a) Any medical cannabis cultivation center registered and in good standing under the Compassionate Use of Medical Cannabis Pilot Program Act as of the effective date of this Act may, within 60 days of the effective date of this Act but no later than 180 days from the effective date of this Act, apply to the Department of Agriculture for an Early Approval Adult Use Cultivation Center License to produce cannabis and cannabis-infused products at its existing facilities as of the effective date of this Act.
    (b) A medical cannabis cultivation center seeking issuance of an Early Approval Adult Use Cultivation Center License shall submit an application on forms provided by the Department of Agriculture. The application must meet or include the following qualifications:
        (1) Payment of a nonrefundable application fee of
    
$100,000 to be deposited into the Cannabis Regulation Fund;
        (2) Proof of registration as a medical cannabis
    
cultivation center that is in good standing;
        (3) Submission of the application by the same person
    
or entity that holds the medical cannabis cultivation center registration;
        (4) Certification that the applicant will comply with
    
the requirements of Section 20-30;
        (5) The legal name of the cultivation center;
        (6) The physical address of the cultivation center;
        (7) The name, address, social security number, and
    
date of birth of each principal officer and board member of the cultivation center; each of those individuals shall be at least 21 years of age;
        (8) A nonrefundable Cannabis Business Development Fee
    
equal to 5% of the cultivation center's total sales between June 1, 2018 to June 1, 2019 or $750,000, whichever is less, but at not less than $250,000, to be deposited into the Cannabis Business Development Fund; and
        (9) A commitment to completing one of the following
    
Social Equity Inclusion Plans provided for in this subsection (b) before the expiration of the Early Approval Adult Use Cultivation Center License:
            (A) A contribution of 5% of the cultivation
        
center's total sales from June 1, 2018 to June 1, 2019, or $100,000, whichever is less, to one of the following:
                (i) the Cannabis Business Development Fund.
            
This is in addition to the fee required by item (8) of this subsection (b);
                (ii) a cannabis industry training or
            
education program at an Illinois community college as defined in the Public Community College Act;
                (iii) a program that provides job training
            
services to persons recently incarcerated or that operates in a Disproportionately Impacted Area.
            (B) Participate as a host in a cannabis business
        
incubator program for at least one year approved by the Department of Commerce and Economic Opportunity, and in which an Early Approval Adult Use Cultivation Center License holder agrees to provide a loan of at least $100,000 and mentorship to incubate a licensee that qualifies as a Social Equity Applicant. As used in this Section, "incubate" means providing direct financial assistance and training necessary to engage in licensed cannabis industry activity similar to that of the host licensee. The Early Approval Adult Use Cultivation Center License holder or the same entity holding any other licenses issued pursuant to this Act shall not take an ownership stake of greater than 10% in any business receiving incubation services to comply with this subsection. If an Early Approval Adult Use Cultivation Center License holder fails to find a business to incubate to comply with this subsection before its Early Approval Adult Use Cultivation Center License expires, it may opt to meet the requirement of this subsection by completing another item from this subsection prior to the expiration of its Early Approval Adult Use Cultivation Center License to avoid a penalty.
    (c) An Early Approval Adult Use Cultivation Center License is valid until March 31, 2021. A cultivation center that obtains an Early Approval Adult Use Cultivation Center License shall receive written or electronic notice 90 days before the expiration of the license that the license will expire, and inform the license holder that it may renew its Early Approval Adult Use Cultivation Center License. The Department of Agriculture shall grant a renewal of an Early Approval Adult Use Cultivation Center License within 60 days of submission of an application if:
        (1) the cultivation center submits an application
    
and the required renewal fee of $100,000 for an Early Approval Adult Use Cultivation Center License;
        (2) the Department of Agriculture has not suspended
    
the license of the cultivation center or suspended or revoked the license for violating this Act or rules adopted under this Act; and
        (3) the cultivation center has completed a Social
    
Equity Inclusion Plan as required by item (9) of subsection (b) of this Section.
    (c-5) The Early Approval Adult Use Cultivation Center License renewed pursuant to subsection (c) of this Section shall expire March 31, 2022. The Early Approval Adult Use Cultivation Center Licensee shall receive written or electronic notice 90 days before the expiration of the license that the license will expire, and inform the license holder that it may apply for an Adult Use Cultivation Center License. The Department of Agriculture shall grant an Adult Use Dispensing Organization License within 60 days of an application being deemed complete if the applicant meets all of the criteria in Section 20-21.
    (d) The license fee required by paragraph (1) of subsection (c) of this Section shall be in addition to any license fee required for the renewal of a registered medical cannabis cultivation center license that expires during the effective period of the Early Approval Adult Use Cultivation Center License.
    (e) Applicants must submit all required information, including the requirements in subsection (b) of this Section, to the Department of Agriculture. Failure by an applicant to submit all required information may result in the application being disqualified.
    (f) If the Department of Agriculture receives an application with missing information, the Department may issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to submit complete information. Applications that are still incomplete after this opportunity to cure may be disqualified.
    (g) If an applicant meets all the requirements of subsection (b) of this Section, the Department of Agriculture shall issue the Early Approval Adult Use Cultivation Center License within 14 days of receiving the application unless:
        (1) The licensee; principal officer, board member, or
    
person having a financial or voting interest of 5% or greater in the licensee; or agent is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois;
        (2) The Director of Agriculture determines there is
    
reason, based on an inordinate number of documented compliance violations, the licensee is not entitled to an Early Approval Adult Use Cultivation Center License; or
        (3) The licensee fails to commit to the Social Equity
    
Inclusion Plan.
    (h) A cultivation center may begin producing cannabis and cannabis-infused products once the Early Approval Adult Use Cultivation Center License is approved. A cultivation center that obtains an Early Approval Adult Use Cultivation Center License may begin selling cannabis and cannabis-infused products on December 1, 2019.
    (i) An Early Approval Adult Use Cultivation Center License holder must continue to produce and provide an adequate supply of cannabis and cannabis-infused products for purchase by qualifying patients and caregivers. For the purposes of this subsection, "adequate supply" means a monthly production level that is comparable in type and quantity to those medical cannabis products produced for patients and caregivers on an average monthly basis for the 6 months before the effective date of this Act.
    (j) If there is a shortage of cannabis or cannabis-infused products, a license holder shall prioritize patients registered under the Compassionate Use of Medical Cannabis Pilot Program Act over adult use purchasers.
    (k) If an Early Approval Adult Use Cultivation Center licensee fails to submit an application for an Adult Use Cultivation Center License before the expiration of the Early Approval Adult Use Cultivation Center License pursuant to subsection (c-5) of this Section, the cultivation center shall cease adult use cultivation until it receives an Adult Use Cultivation Center License.
    (l) A cultivation center agent who holds a valid cultivation center agent identification card issued under the Compassionate Use of Medical Cannabis Pilot Program Act and is an officer, director, manager, or employee of the cultivation center licensed under this Section may engage in all activities authorized by this Article to be performed by a cultivation center agent.
    (m) If the Department of Agriculture suspends or revokes the Early Approval Adult Use Cultivation Center License of a cultivation center that also holds a medical cannabis cultivation center license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, the Department of Agriculture may suspend or revoke the medical cannabis cultivation center license concurrently with the Early Approval Adult Use Cultivation Center License.
    (n) All fees or fines collected from an Early Approval Adult Use Cultivation Center License holder as a result of a disciplinary action in the enforcement of this Act shall be deposited into the Cannabis Regulation Fund.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-15

    (410 ILCS 705/20-15)
    Sec. 20-15. Conditional Adult Use Cultivation Center application.
    (a) If the Department of Agriculture makes available additional cultivation center licenses pursuant to Section 20-5, applicants for a Conditional Adult Use Cultivation Center License shall electronically submit the following in such form as the Department of Agriculture may direct:
        (1) the nonrefundable application fee set by rule by
    
the Department of Agriculture, to be deposited into the Cannabis Regulation Fund;
        (2) the legal name of the cultivation center;
        (3) the proposed physical address of the cultivation
    
center;
        (4) the name, address, social security number, and
    
date of birth of each principal officer and board member of the cultivation center; each principal officer and board member shall be at least 21 years of age;
        (5) the details of any administrative or judicial
    
proceeding in which any of the principal officers or board members of the cultivation center (i) pled guilty, were convicted, fined, or had a registration or license suspended or revoked, or (ii) managed or served on the board of a business or non-profit organization that pled guilty, was convicted, fined, or had a registration or license suspended or revoked;
        (6) proposed operating bylaws that include procedures
    
for the oversight of the cultivation center, including the development and implementation of a plant monitoring system, accurate recordkeeping, staffing plan, and security plan approved by the Department of State Police that are in accordance with the rules issued by the Department of Agriculture under this Act. A physical inventory shall be performed of all plants and cannabis on a weekly basis by the cultivation center;
        (7) verification from the Department of State Police
    
that all background checks of the prospective principal officers, board members, and agents of the cannabis business establishment have been conducted;
        (8) a copy of the current local zoning ordinance or
    
permit and verification that the proposed cultivation center is in compliance with the local zoning rules and distance limitations established by the local jurisdiction;
        (9) proposed employment practices, in which the
    
applicant must demonstrate a plan of action to inform, hire, and educate minorities, women, veterans, and persons with disabilities, engage in fair labor practices, and provide worker protections;
        (10) whether an applicant can demonstrate experience
    
in or business practices that promote economic empowerment in Disproportionately Impacted Areas;
        (11) experience with the cultivation of agricultural
    
or horticultural products, operating an agriculturally related business, or operating a horticultural business;
        (12) a description of the enclosed, locked facility
    
where cannabis will be grown, harvested, manufactured, processed, packaged, or otherwise prepared for distribution to a dispensing organization;
        (13) a survey of the enclosed, locked facility,
    
including the space used for cultivation;
        (14) cultivation, processing, inventory, and
    
packaging plans;
        (15) a description of the applicant's experience with
    
agricultural cultivation techniques and industry standards;
        (16) a list of any academic degrees, certifications,
    
or relevant experience of all prospective principal officers, board members, and agents of the related business;
        (17) the identity of every person having a financial
    
or voting interest of 5% or greater in the cultivation center operation with respect to which the license is sought, whether a trust, corporation, partnership, limited liability company, or sole proprietorship, including the name and address of each person;
        (18) a plan describing how the cultivation center
    
will address each of the following:
            (i) energy needs, including estimates of monthly
        
electricity and gas usage, to what extent it will procure energy from a local utility or from on-site generation, and if it has or will adopt a sustainable energy use and energy conservation policy;
            (ii) water needs, including estimated water draw
        
and if it has or will adopt a sustainable water use and water conservation policy; and
            (iii) waste management, including if it has or
        
will adopt a waste reduction policy;
        (19) a diversity plan that includes a narrative of
    
not more than 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity;
        (20) any other information required by rule;
        (21) a recycling plan:
            (A) Purchaser packaging, including cartridges,
        
shall be accepted by the applicant and recycled.
            (B) Any recyclable waste generated by the
        
cannabis cultivation facility shall be recycled per applicable State and local laws, ordinances, and rules.
            (C) Any cannabis waste, liquid waste, or
        
hazardous waste shall be disposed of in accordance with 8 Ill. Adm. Code 1000.460, except, to the greatest extent feasible, all cannabis plant waste will be rendered unusable by grinding and incorporating the cannabis plant waste with compostable mixed waste to be disposed of in accordance with 8 Ill Adm. Code 1000.460(g)(1);
        (22) commitment to comply with local waste
    
provisions: a cultivation facility must remain in compliance with applicable State and federal environmental requirements, including, but not limited to:
            (A) storing, securing, and managing all
        
recyclables and waste, including organic waste composed of or containing finished cannabis and cannabis products, in accordance with applicable State and local laws, ordinances, and rules; and
            (B) Disposing liquid waste containing cannabis or
        
byproducts of cannabis processing in compliance with all applicable State and federal requirements, including, but not limited to, the cannabis cultivation facility's permits under Title X of the Environmental Protection Act; and
        (23) a commitment to a technology standard for
    
resource efficiency of the cultivation center facility.
            (A) A cannabis cultivation facility commits to
        
use resources efficiently, including energy and water. For the following, a cannabis cultivation facility commits to meet or exceed the technology standard identified in items (i), (ii), (iii), and (iv), which may be modified by rule:
                (i) lighting systems, including light bulbs;
                (ii) HVAC system;
                (iii) water application system to the crop;
            
and
                (iv) filtration system for removing
            
contaminants from wastewater.
            (B) Lighting. The Lighting Power Densities (LPD)
        
for cultivation space commits to not exceed an average of 36 watts per gross square foot of active and growing space canopy, or all installed lighting technology shall meet a photosynthetic photon efficacy (PPE) of no less than 2.2 micromoles per joule fixture and shall be featured on the DesignLights Consortium (DLC) Horticultural Specification Qualified Products List (QPL). In the event that DLC requirement for minimum efficacy exceeds 2.2 micromoles per joule fixture, that PPE shall become the new standard.
            (C) HVAC.
                (i) For cannabis grow operations with less
            
than 6,000 square feet of canopy, the licensee commits that all HVAC units will be high-efficiency ductless split HVAC units, or other more energy efficient equipment.
                (ii) For cannabis grow operations with 6,000
            
square feet of canopy or more, the licensee commits that all HVAC units will be variable refrigerant flow HVAC units, or other more energy efficient equipment.
            (D) Water application.
                (i) The cannabis cultivation facility commits
            
to use automated watering systems, including, but not limited to, drip irrigation and flood tables, to irrigate cannabis crop.
                (ii) The cannabis cultivation facility
            
commits to measure runoff from watering events and report this volume in its water usage plan, and that on average, watering events shall have no more than 20% of runoff of water.
            (E) Filtration. The cultivator commits that HVAC
        
condensate, dehumidification water, excess runoff, and other wastewater produced by the cannabis cultivation facility shall be captured and filtered to the best of the facility's ability to achieve the quality needed to be reused in subsequent watering rounds.
            (F) Reporting energy use and efficiency as
        
required by rule.
    (b) Applicants must submit all required information, including the information required in Section 20-10, to the Department of Agriculture. Failure by an applicant to submit all required information may result in the application being disqualified.
    (c) If the Department of Agriculture receives an application with missing information, the Department of Agriculture may issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to resubmit the incomplete information. Applications that are still incomplete after this opportunity to cure will not be scored and will be disqualified.
    (e) A cultivation center that is awarded a Conditional Adult Use Cultivation Center License pursuant to the criteria in Section 20-20 shall not grow, purchase, possess, or sell cannabis or cannabis-infused products until the person has received an Adult Use Cultivation Center License issued by the Department of Agriculture pursuant to Section 20-21 of this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-20

    (410 ILCS 705/20-20)
    Sec. 20-20. Conditional Adult Use License scoring applications.
    (a) The Department of Agriculture shall by rule develop a system to score cultivation center applications to administratively rank applications based on the clarity, organization, and quality of the applicant's responses to required information. Applicants shall be awarded points based on the following categories:
        (1) Suitability of the proposed facility;
        (2) Suitability of employee training plan;
        (3) Security and recordkeeping;
        (4) Cultivation plan;
        (5) Product safety and labeling plan;
        (6) Business plan;
        (7) The applicant's status as a Social Equity
    
Applicant, which shall constitute no less than 20% of total available points;
        (8) Labor and employment practices, which shall
    
constitute no less than 2% of total available points;
        (9) Environmental plan as described in paragraphs
    
(18), (21), (22), and (23) of subsection (a) of Section 20-15;
        (10) The applicant is 51% or more owned and
    
controlled by an individual or individuals who have been an Illinois resident for the past 5 years as proved by tax records;
        (11) The applicant is 51% or more controlled and
    
owned by an individual or individuals who meet the qualifications of a veteran as defined by Section 45-57 of the Illinois Procurement Code;
        (12) a diversity plan that includes a narrative of
    
not more than 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity; and
        (13) Any other criteria the Department of Agriculture
    
may set by rule for points.
    (b) The Department may also award bonus points for the applicant's plan to engage with the community. Bonus points will only be awarded if the Department receives applications that receive an equal score for a particular region.
    (c) Should the applicant be awarded a cultivation center license, the information and plans that an applicant provided in its application, including any plans submitted for the acquiring of bonus points, becomes a mandatory condition of the permit. Any variation from or failure to perform such plans may result in discipline, including the revocation or nonrenewal of a license.
    (d) Should the applicant be awarded a cultivation center license, it shall pay a fee of $100,000 prior to receiving the license, to be deposited into the Cannabis Regulation Fund. The Department of Agriculture may by rule adjust the fee in this Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-21

    (410 ILCS 705/20-21)
    Sec. 20-21. Adult Use Cultivation Center License.
    (a) A person or entity is only eligible to receive an Adult Use Cultivation Center License if the person or entity has first been awarded a Conditional Adult Use Cultivation Center License pursuant to this Act or the person or entity has renewed its Early Approval Cultivation Center License pursuant to subsection (c) of Section 20-10.
    (b) The Department of Agriculture shall not issue an Adult Use Cultivation Center License until:
        (1) the Department of Agriculture has inspected the
    
cultivation center site and proposed operations and verified that they are in compliance with this Act and local zoning laws;
        (2) the Conditional Adult Use Cultivation Center
    
License holder has paid a registration fee of $100,000 or a prorated amount accounting for the difference of time between when the Adult Use Cultivation Center License is issued and March 31 of the next even-numbered year; and
        (3) The Conditional Adult Use Cultivation Center
    
License holder has met all the requirements in the Act and rules.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-25

    (410 ILCS 705/20-25)
    Sec. 20-25. Denial of application. An application for a cultivation center license must be denied if any of the following conditions are met:
        (1) the applicant failed to submit the materials
    
required by this Article;
        (2) the applicant would not be in compliance with
    
local zoning rules;
        (3) one or more of the prospective principal officers
    
or board members causes a violation of Section 20-30;
        (4) one or more of the principal officers or board
    
members is under 21 years of age;
        (5) the person has submitted an application for a
    
permit under this Act that contains false information; or
        (6) the licensee, principal officer, board member, or
    
person having a financial or voting interest of 5% or greater in the licensee, or the agent is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-30

    (410 ILCS 705/20-30)
    Sec. 20-30. Cultivation center requirements; prohibitions.
    (a) The operating documents of a cultivation center shall include procedures for the oversight of the cultivation center a cannabis plant monitoring system including a physical inventory recorded weekly, accurate recordkeeping, and a staffing plan.
    (b) A cultivation center shall implement a security plan reviewed by the Department of State Police that includes, but is not limited to: facility access controls, perimeter intrusion detection systems, personnel identification systems, 24-hour surveillance system to monitor the interior and exterior of the cultivation center facility and accessibility to authorized law enforcement, the Department of Public Health where processing takes place, and the Department of Agriculture in real time.
    (c) All cultivation of cannabis by a cultivation center must take place in an enclosed, locked facility at the physical address provided to the Department of Agriculture during the licensing process. The cultivation center location shall only be accessed by the agents working for the cultivation center, the Department of Agriculture staff performing inspections, the Department of Public Health staff performing inspections, local and State law enforcement or other emergency personnel, contractors working on jobs unrelated to cannabis, such as installing or maintaining security devices or performing electrical wiring, transporting organization agents as provided in this Act, individuals in a mentoring or educational program approved by the State, or other individuals as provided by rule.
    (d) A cultivation center may not sell or distribute any cannabis or cannabis-infused products to any person other than a dispensing organization, craft grower, infusing organization, transporter, or as otherwise authorized by rule.
    (e) A cultivation center may not either directly or indirectly discriminate in price between different dispensing organizations, craft growers, or infuser organizations that are purchasing a like grade, strain, brand, and quality of cannabis or cannabis-infused product. Nothing in this subsection (e) prevents a cultivation centers from pricing cannabis differently based on differences in the cost of manufacturing or processing, the quantities sold, such as volume discounts, or the way the products are delivered.
    (f) All cannabis harvested by a cultivation center and intended for distribution to a dispensing organization must be entered into a data collection system, packaged and labeled under Section 55-21, and placed into a cannabis container for transport. All cannabis harvested by a cultivation center and intended for distribution to a craft grower or infuser organization must be packaged in a labeled cannabis container and entered into a data collection system before transport.
    (g) Cultivation centers are subject to random inspections by the Department of Agriculture, the Department of Public Health, local safety or health inspectors, and the Department of State Police.
    (h) A cultivation center agent shall notify local law enforcement, the Department of State Police, and the Department of Agriculture within 24 hours of the discovery of any loss or theft. Notification shall be made by phone or in person, or by written or electronic communication.
    (i) A cultivation center shall comply with all State and any applicable federal rules and regulations regarding the use of pesticides on cannabis plants.
    (j) No person or entity shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, of more than 3 cultivation centers licensed under this Article. Further, no person or entity that is employed by, an agent of, has a contract to receive payment in any form from a cultivation center, is a principal officer of a cultivation center, or entity controlled by or affiliated with a principal officer of a cultivation shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, in a cultivation that would result in the person or entity owning or controlling in combination with any cultivation center, principal officer of a cultivation center, or entity controlled or affiliated with a principal officer of a cultivation center by which he, she, or it is employed, is an agent of, or participates in the management of, more than 3 cultivation center licenses.
    (k) A cultivation center may not contain more than 210,000 square feet of canopy space for plants in the flowering stage for cultivation of adult use cannabis as provided in this Act.
    (l) A cultivation center may process cannabis, cannabis concentrates, and cannabis-infused products.
    (m) Beginning July 1, 2020, a cultivation center shall not transport cannabis to a craft grower, dispensing organization, infuser organization, or laboratory licensed under this Act, unless it has obtained a transporting organization license.
    (n) It is unlawful for any person having a cultivation center license or any officer, associate, member, representative, or agent of such licensee to offer or deliver money, or anything else of value, directly or indirectly to any person having an Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, or to any person connected with or in any way representing, or to any member of the family of, such person holding an Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, or to any stockholders in any corporation engaged in the retail sale of cannabis, or to any officer, manager, agent, or representative of the Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act to obtain preferential placement within the dispensing organization, including, without limitation, on shelves and in display cases where purchasers can view products, or on the dispensing organization's website.
    (o) A cultivation center must comply with any other requirements or prohibitions set by administrative rule of the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-35

    (410 ILCS 705/20-35)
    Sec. 20-35. Cultivation center agent identification card.
    (a) The Department of Agriculture shall:
        (1) establish by rule the information required in an
    
initial application or renewal application for an agent identification card submitted under this Act and the nonrefundable fee to accompany the initial application or renewal application;
        (2) verify the information contained in an initial
    
application or renewal application for an agent identification card submitted under this Act, and approve or deny an application within 30 days of receiving a completed initial application or renewal application and all supporting documentation required by rule;
        (3) issue an agent identification card to a
    
qualifying agent within 15 business days of approving the initial application or renewal application;
        (4) enter the license number of the cultivation
    
center where the agent works; and
        (5) allow for an electronic initial application and
    
renewal application process, and provide a confirmation by electronic or other methods that an application has been submitted. The Department of Agriculture may by rule require prospective agents to file their applications by electronic means and provide notices to the agents by electronic means.
    (b) An agent must keep his or her identification card visible at all times when on the property of the cultivation center at which the agent is employed.
    (c) The agent identification cards shall contain the following:
        (1) the name of the cardholder;
        (2) the date of issuance and expiration date of the
    
identification card;
        (3) a random 10-digit alphanumeric identification
    
number containing at least 4 numbers and at least 4 letters that is unique to the holder;
        (4) a photograph of the cardholder; and
        (5) the legal name of the cultivation center
    
employing the agent.
    (d) An agent identification card shall be immediately returned to the cultivation center of the agent upon termination of his or her employment.
    (e) Any agent identification card lost by a cultivation center agent shall be reported to the Department of State Police and the Department of Agriculture immediately upon discovery of the loss.
    (f) The Department of Agriculture shall not issue an agent identification card if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-40

    (410 ILCS 705/20-40)
    Sec. 20-40. Cultivation center background checks.
    (a) Through the Department of State Police, the Department of Agriculture shall conduct a background check of the prospective principal officers, board members, and agents of a cultivation center applying for a license or identification card under this Act. The Department of State Police shall charge a fee set by rule for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the record check. In order to carry out this provision, each cultivation center prospective principal officer, board member, or agent shall submit a full set of fingerprints to the Department of State Police for the purpose of obtaining a State and federal criminal records check. These fingerprints shall be checked against the fingerprint records now and hereafter, to the extent allowed by law, filed in the Department of State Police and Federal Bureau of Investigation criminal history records databases. The Department of State Police shall furnish, following positive identification, all conviction information to the Department of Agriculture.
    (b) When applying for the initial license or identification card, the background checks for all prospective principal officers, board members, and agents shall be completed before submitting the application to the licensing or issuing agency.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-45

    (410 ILCS 705/20-45)
    Sec. 20-45. Renewal of cultivation center licenses and agent identification cards.
    (a) Licenses and identification cards issued under this Act shall be renewed annually. A cultivation center shall receive written or electronic notice 90 days before the expiration of its current license that the license will expire. The Department of Agriculture shall grant a renewal within 45 days of submission of a renewal application if:
        (1) the cultivation center submits a renewal
    
application and the required nonrefundable renewal fee of $100,000, or another amount as the Department of Agriculture may set by rule after January 1, 2021, to be deposited into the Cannabis Regulation Fund.
        (2) the Department of Agriculture has not suspended
    
the license of the cultivation center or suspended or revoked the license for violating this Act or rules adopted under this Act;
        (3) the cultivation center has continued to operate
    
in accordance with all plans submitted as part of its application and approved by the Department of Agriculture or any amendments thereto that have been approved by the Department of Agriculture;
        (4) the cultivation center has submitted an agent,
    
employee, contracting, and subcontracting diversity report as required by the Department; and
        (5) the cultivation center has submitted an
    
environmental impact report.
    (b) If a cultivation center fails to renew its license before expiration, it shall cease operations until its license is renewed.
    (c) If a cultivation center agent fails to renew his or her identification card before its expiration, he or she shall cease to work as an agent of the cultivation center until his or her identification card is renewed.
    (d) Any cultivation center that continues to operate, or any cultivation center agent who continues to work as an agent, after the applicable license or identification card has expired without renewal is subject to the penalties provided under Section 45-5.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/20-50

    (410 ILCS 705/20-50)
    Sec. 20-50. Cultivator taxes; returns.
    (a) A tax is imposed upon the privilege of cultivating and processing adult use cannabis at the rate of 7% of the gross receipts from the sale of cannabis by a cultivator to a dispensing organization. The sale of any adult use product that contains any amount of cannabis or any derivative thereof is subject to the tax under this Section on the full selling price of the product. The proceeds from this tax shall be deposited into the Cannabis Regulation Fund. This tax shall be paid by the cultivator who makes the first sale and is not the responsibility of a dispensing organization, qualifying patient, or purchaser.
    (b) In the administration of and compliance with this Section, the Department of Revenue and persons who are subject to this Section: (i) have the same rights, remedies, privileges, immunities, powers, and duties, (ii) are subject to the same conditions, restrictions, limitations, penalties, and definitions of terms, and (iii) shall employ the same modes of procedure as are set forth in the Cannabis Cultivation Privilege Tax Law and the Uniform Penalty and Interest Act as if those provisions were set forth in this Section.
    (c) The tax imposed under this Act shall be in addition to all other occupation or privilege taxes imposed by the State of Illinois or by any municipal corporation or political subdivision thereof.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 25

 
    (410 ILCS 705/Art. 25 heading)
Article 25.
Community College Cannabis Vocational Pilot Program
(Article scheduled to be repealed on July 1, 2026)
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-1

    (410 ILCS 705/25-1)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-1. Definitions In this Article:
    "Board" means the Illinois Community College Board.
    "Career in Cannabis Certificate" or "Certificate" means the certification awarded to a community college student who completes a prescribed course of study in cannabis and cannabis business industry related classes and curriculum at a community college awarded a Community College Cannabis Vocational Pilot Program license.
    "Community college" means a public community college organized under the Public Community College Act.
    "Department" means the Department of Agriculture.
    "Licensee" means a community college awarded a Community College Cannabis Vocational Pilot Program license under this Article.
    "Program" means the Community College Cannabis Vocational Pilot Program.
    "Program license" means a Community College Cannabis Vocational Pilot Program license issued to a community college under this Article.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-5

    (410 ILCS 705/25-5)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-5. Administration.
    (a) The Department shall establish and administer the Program in coordination with the Illinois Community College Board. The Department may issue up to 8 Program licenses by September 1, 2020.
    (b) Beginning with the 2021-2022 academic year, and subject to subsection (h) of Section 2-12 of the Public Community College Act, community colleges awarded Program licenses may offer qualifying students a Career in Cannabis Certificate, which includes, but is not limited to, courses that allow participating students to work with, study, and grow live cannabis plants so as to prepare students for a career in the legal cannabis industry, and to instruct participating students on the best business practices, professional responsibility, and legal compliance of the cannabis business industry.
    (c) The Board may issue rules pertaining to the provisions in this Act.
    (d) Notwithstanding any other provision of this Act, students shall be at least 18 years old in order to enroll in a licensee's Career in Cannabis Certificate's prescribed course of study.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-10

    (410 ILCS 705/25-10)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-10. Issuance of Community College Cannabis Vocational Pilot Program licenses.
    (a) The Department shall issue rules regulating the selection criteria for applicants by January 1, 2020. The Department shall make the application for a Program license available no later than February 1, 2020, and shall require that applicants submit the completed application no later than July 1, 2020.
    (b) The Department shall by rule develop a system to score Program licenses to administratively rank applications based on the clarity, organization, and quality of the applicant's responses to required information. Applicants shall be awarded points that are based on or that meet the following categories:
        (1) Geographic diversity of the applicants;
        (2) Experience and credentials of the applicant's
    
faculty;
        (3) At least 5 Program license awardees must have a
    
student population that is more than 50% low-income in each of the past 4 years;
        (4) Security plan, including a requirement that all
    
cannabis plants be in an enclosed, locked facility;
        (5) Curriculum plan, including processing and testing
    
curriculum for the Career in Cannabis Certificate;
        (6) Career advising and placement plan for
    
participating students; and
        (7) Any other criteria the Department may set by rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-15

    (410 ILCS 705/25-15)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-15. Community College Cannabis Vocational Pilot Program requirements and prohibitions.
    (a) Licensees shall not have more than 50 flowering cannabis plants at any one time.
    (b) The agent-in-charge shall keep a vault log of the licensee's enclosed, locked facility or facilities, including but not limited to, the person entering the site location, the time of entrance, the time of exit, and any other information the Department may set by rule.
    (c) Cannabis shall not be removed from the licensee's facility, except for the limited purpose of shipping a sample to a laboratory registered under this Act.
    (d) The licensee shall limit keys, access cards, or an access code to the licensee's enclosed, locked facility, or facilities, to cannabis curriculum faculty and college security personnel with a bona fide need to access the facility for emergency purposes.
    (e) A transporting organization may transport cannabis produced pursuant to this Article to a laboratory registered under this Act. All other cannabis produced by the licensee that was not shipped to a registered laboratory shall be destroyed within 5 weeks of being harvested.
    (f) Licensees shall subscribe to the Department of Agriculture's cannabis plant monitoring system.
    (g) Licensees shall maintain a weekly inventory system.
    (h) No student participating in the cannabis curriculum necessary to obtain a Certificate may be in the licensee's facility unless a faculty agent-in-charge is also physically present in the facility.
    (i) Licensees shall conduct post-certificate follow up surveys and record participating students' job placements within the cannabis business industry within a year of the student's completion.
    (j) The Illinois Community College Board shall report annually to the Department on the race, ethnicity, and gender of all students participating in the cannabis curriculum necessary to obtain a Certificate, and of those students who obtain a Certificate.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-20

    (410 ILCS 705/25-20)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-20. Faculty.
    (a) All faculty members shall be required to maintain registration as an agent-in-charge and have a valid agent identification card prior to teaching or participating in the licensee's cannabis curriculum that involves instruction offered in the enclosed, locked facility or facilities.
    (b) All faculty receiving an agent-in-charge or agent identification card must successfully pass a background check required by Section 5-20 prior to participating in a licensee's cannabis curriculum that involves instruction offered in the enclosed, locked facility.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-25

    (410 ILCS 705/25-25)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-25. Enforcement.
    (a) The Department has the authority to suspend or revoke any faculty agent-in-charge or agent identification card for any violation found under this Article.
    (b) The Department has the authority to suspend or revoke any Program license for any violation found under this Article.
    (c) The Board shall revoke the authority to offer the Certificate of any community college that has had its license revoked by the Department.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-30

    (410 ILCS 705/25-30)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-30. Inspection rights.
    (a) A licensee's enclosed, locked facilities are subject to random inspections by the Department and the Department of State Police.
    (b) Nothing in this Section shall be construed to give the Department or the Department of State Police a right of inspection or access to any location on the licensee's premises beyond the facilities licensed under this Article.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-35

    (410 ILCS 705/25-35)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-35. Community College Cannabis Vocational Training Pilot Program faculty participant agent identification card.
    (a) The Department shall:
        (1) establish by rule the information required in an
    
initial application or renewal application for an agent identification card submitted under this Article and the nonrefundable fee to accompany the initial application or renewal application;
        (2) verify the information contained in an initial
    
application or renewal application for an agent identification card submitted under this Article, and approve or deny an application within 30 days of receiving a completed initial application or renewal application and all supporting documentation required by rule;
        (3) issue an agent identification card to a
    
qualifying agent within 15 business days of approving the initial application or renewal application;
        (4) enter the license number of the community college
    
where the agent works; and
        (5) allow for an electronic initial application and
    
renewal application process, and provide a confirmation by electronic or other methods that an application has been submitted. Each Department may by rule require prospective agents to file their applications by electronic means and to provide notices to the agents by electronic means.
    (b) An agent must keep his or her identification card visible at all times when in the enclosed, locked facility, or facilities for which he or she is an agent.
    (c) The agent identification cards shall contain the following:
        (1) the name of the cardholder;
        (2) the date of issuance and expiration date of the
    
identification card;
        (3) a random 10-digit alphanumeric identification
    
number containing at least 4 numbers and at least 4 letters that is unique to the holder;
        (4) a photograph of the cardholder; and
        (5) the legal name of the community college employing
    
the agent.
    (d) An agent identification card shall be immediately returned to the community college of the agent upon termination of his or her employment.
    (e) Any agent identification card lost shall be reported to the Department of State Police and the Department of Agriculture immediately upon discovery of the loss.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-40

    (410 ILCS 705/25-40)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-40. Study. By December 31, 2025, the Illinois Cannabis Regulation Oversight Officer, in coordination with the Board, must issue a report to the Governor and the General Assembly which includes, but is not limited to, the following:
        (1) Number of security incidents or infractions at
    
each licensee and any action taken or not taken;
        (2) Statistics, based on race, ethnicity, gender, and
    
participating community college of:
            (A) students enrolled in career in cannabis
        
classes;
            (B) successful completion rates by community
        
college students for the Certificate;
            (C) postgraduate job placement of students who
        
obtained a Certificate, including both cannabis business establishment jobs and non-cannabis business establishment jobs; and
        (3) Any other relevant information.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/25-45

    (410 ILCS 705/25-45)
    (Section scheduled to be repealed on July 1, 2026)
    Sec. 25-45. Repeal. This Article is repealed on July 1, 2026.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 30

 
    (410 ILCS 705/Art. 30 heading)
Article 30.
Craft Growers
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-3

    (410 ILCS 705/30-3)
    Sec. 30-3. Definition. In this Article, "Department" means the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-5

    (410 ILCS 705/30-5)
    Sec. 30-5. Issuance of licenses.
    (a) The Department of Agriculture shall issue up to 40 craft grower licenses by July 1, 2020. Any person or entity awarded a license pursuant to this subsection shall only hold one craft grower license and may not sell that license until after December 21, 2021.
    (b) By December 21, 2021, the Department of Agriculture shall issue up to 60 additional craft grower licenses. Any person or entity awarded a license pursuant to this subsection shall not hold more than 2 craft grower licenses. The person or entity awarded a license pursuant to this subsection or subsection (a) of this Section may sell its craft grower license subject to the restrictions of this Act or as determined by administrative rule. Prior to issuing such licenses, the Department may adopt rules through emergency rulemaking in accordance with subsection (gg) of Section 5-45 of the Illinois Administrative Procedure Act, to modify or raise the number of craft grower licenses assigned to each region and modify or change the licensing application process to reduce or eliminate barriers. The General Assembly finds that the adoption of rules to regulate cannabis use is deemed an emergency and necessary for the public interest, safety, and welfare. In determining whether to exercise the authority granted by this subsection, the Department of Agriculture must consider the following factors:
        (1) the percentage of cannabis sales occurring in
    
Illinois not in the regulated market using data from the Substance Abuse and Mental Health Services Administration, National Survey on Drug Use and Health, Illinois Behavioral Risk Factor Surveillance System, and tourism data from the Illinois Office of Tourism to ascertain total cannabis consumption in Illinois compared to the amount of sales in licensed dispensing organizations;
        (2) whether there is an adequate supply of cannabis
    
and cannabis-infused products to serve registered medical cannabis patients;
        (3) whether there is an adequate supply of cannabis
    
and cannabis-infused products to serve purchasers;
        (4) whether there is an oversupply of cannabis in
    
Illinois leading to trafficking of cannabis to states where the sale of cannabis is not permitted by law;
        (5) population increases or shifts;
        (6) the density of craft growers in any area of the
    
State;
        (7) perceived security risks of increasing the number
    
or location of craft growers;
        (8) the past safety record of craft growers;
        (9) the Department of Agriculture's capacity to
    
appropriately regulate additional licensees;
        (10) the findings and recommendations from the
    
disparity and availability study commissioned by the Illinois Cannabis Regulation Oversight Officer to reduce or eliminate any identified barriers to entry in the cannabis industry; and
        (11) any other criteria the Department of Agriculture
    
deems relevant.
    (c) After January 1, 2022, the Department of Agriculture may by rule modify or raise the number of craft grower licenses assigned to each region, and modify or change the licensing application process to reduce or eliminate barriers based on the criteria in subsection (b). At no time may the number of craft grower licenses exceed 150. Any person or entity awarded a license pursuant to this subsection shall not hold more than 3 craft grower licenses. A person or entity awarded a license pursuant to this subsection or subsection (a) or subsection (b) of this Section may sell its craft grower license or licenses subject to the restrictions of this Act or as determined by administrative rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-10

    (410 ILCS 705/30-10)
    Sec. 30-10. Application.
    (a) When applying for a license, the applicant shall electronically submit the following in such form as the Department of Agriculture may direct:
        (1) the nonrefundable application fee of $5,000 to be
    
deposited into the Cannabis Regulation Fund, or another amount as the Department of Agriculture may set by rule after January 1, 2021;
        (2) the legal name of the craft grower;
        (3) the proposed physical address of the craft grower;
        (4) the name, address, social security number, and
    
date of birth of each principal officer and board member of the craft grower; each principal officer and board member shall be at least 21 years of age;
        (5) the details of any administrative or judicial
    
proceeding in which any of the principal officers or board members of the craft grower (i) pled guilty, were convicted, fined, or had a registration or license suspended or revoked or (ii) managed or served on the board of a business or non-profit organization that pled guilty, was convicted, fined, or had a registration or license suspended or revoked;
        (6) proposed operating bylaws that include procedures
    
for the oversight of the craft grower, including the development and implementation of a plant monitoring system, accurate recordkeeping, staffing plan, and security plan approved by the Department of State Police that are in accordance with the rules issued by the Department of Agriculture under this Act; a physical inventory shall be performed of all plants and on a weekly basis by the craft grower;
        (7) verification from the Department of State Police
    
that all background checks of the prospective principal officers, board members, and agents of the cannabis business establishment have been conducted;
        (8) a copy of the current local zoning ordinance or
    
permit and verification that the proposed craft grower is in compliance with the local zoning rules and distance limitations established by the local jurisdiction;
        (9) proposed employment practices, in which the
    
applicant must demonstrate a plan of action to inform, hire, and educate minorities, women, veterans, and persons with disabilities, engage in fair labor practices, and provide worker protections;
        (10) whether an applicant can demonstrate experience
    
in or business practices that promote economic empowerment in Disproportionately Impacted Areas;
        (11) experience with the cultivation of agricultural
    
or horticultural products, operating an agriculturally related business, or operating a horticultural business;
        (12) a description of the enclosed, locked facility
    
where cannabis will be grown, harvested, manufactured, packaged, or otherwise prepared for distribution to a dispensing organization or other cannabis business establishment;
        (13) a survey of the enclosed, locked facility,
    
including the space used for cultivation;
        (14) cultivation, processing, inventory, and
    
packaging plans;
        (15) a description of the applicant's experience with
    
agricultural cultivation techniques and industry standards;
        (16) a list of any academic degrees, certifications,
    
or relevant experience of all prospective principal officers, board members, and agents of the related business;
        (17) the identity of every person having a financial
    
or voting interest of 5% or greater in the craft grower operation, whether a trust, corporation, partnership, limited liability company, or sole proprietorship, including the name and address of each person;
        (18) a plan describing how the craft grower will
    
address each of the following:
            (i) energy needs, including estimates of monthly
        
electricity and gas usage, to what extent it will procure energy from a local utility or from on-site generation, and if it has or will adopt a sustainable energy use and energy conservation policy;
            (ii) water needs, including estimated water draw
        
and if it has or will adopt a sustainable water use and water conservation policy; and
            (iii) waste management, including if it has or
        
will adopt a waste reduction policy;
        (19) a recycling plan:
            (A) Purchaser packaging, including cartridges,
        
shall be accepted by the applicant and recycled.
            (B) Any recyclable waste generated by the craft
        
grower facility shall be recycled per applicable State and local laws, ordinances, and rules.
            (C) Any cannabis waste, liquid waste, or
        
hazardous waste shall be disposed of in accordance with 8 Ill. Adm. Code 1000.460, except, to the greatest extent feasible, all cannabis plant waste will be rendered unusable by grinding and incorporating the cannabis plant waste with compostable mixed waste to be disposed of in accordance with 8 Ill Adm. Code 1000.460(g)(1).
        (20) a commitment to comply with local waste
    
provisions: a craft grower facility must remain in compliance with applicable State and federal environmental requirements, including, but not limited to:
            (A) storing, securing, and managing all
        
recyclables and waste, including organic waste composed of or containing finished cannabis and cannabis products, in accordance with applicable State and local laws, ordinances, and rules; and
            (B) Disposing liquid waste containing cannabis or
        
byproducts of cannabis processing in compliance with all applicable State and federal requirements, including, but not limited to, the cannabis cultivation facility's permits under Title X of the Environmental Protection Act.
        (21) a commitment to a technology standard for
    
resource efficiency of the craft grower facility.
            (A) A craft grower facility commits to use
        
resources efficiently, including energy and water. For the following, a cannabis cultivation facility commits to meet or exceed the technology standard identified in paragraphs (i), (ii), (iii), and (iv), which may be modified by rule:
                (i) lighting systems, including light bulbs;
                (ii) HVAC system;
                (iii) water application system to the crop;
            
and
                (iv) filtration system for removing
            
contaminants from wastewater.
            (B) Lighting. The Lighting Power Densities (LPD)
        
for cultivation space commits to not exceed an average of 36 watts per gross square foot of active and growing space canopy, or all installed lighting technology shall meet a photosynthetic photon efficacy (PPE) of no less than 2.2 micromoles per joule fixture and shall be featured on the DesignLights Consortium (DLC) Horticultural Specification Qualified Products List (QPL). In the event that DLC requirement for minimum efficacy exceeds 2.2 micromoles per joule fixture, that PPE shall become the new standard.
            (C) HVAC.
                (i) For cannabis grow operations with less
            
than 6,000 square feet of canopy, the licensee commits that all HVAC units will be high-efficiency ductless split HVAC units, or other more energy efficient equipment.
                (ii) For cannabis grow operations with 6,000
            
square feet of canopy or more, the licensee commits that all HVAC units will be variable refrigerant flow HVAC units, or other more energy efficient equipment.
            (D) Water application.
                (i) The craft grower facility commits to use
            
automated watering systems, including, but not limited to, drip irrigation and flood tables, to irrigate cannabis crop.
                (ii) The craft grower facility commits to
            
measure runoff from watering events and report this volume in its water usage plan, and that on average, watering events shall have no more than 20% of runoff of water.
            (E) Filtration. The craft grower commits that
        
HVAC condensate, dehumidification water, excess runoff, and other wastewater produced by the craft grower facility shall be captured and filtered to the best of the facility's ability to achieve the quality needed to be reused in subsequent watering rounds.
            (F) Reporting energy use and efficiency as
        
required by rule; and
        (22) any other information required by rule.
    (b) Applicants must submit all required information, including the information required in Section 30-15, to the Department of Agriculture. Failure by an applicant to submit all required information may result in the application being disqualified.
    (c) If the Department of Agriculture receives an application with missing information, the Department of Agriculture may issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to resubmit the incomplete information. Applications that are still incomplete after this opportunity to cure will not be scored and will be disqualified.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-15

    (410 ILCS 705/30-15)
    Sec. 30-15. Scoring applications.
    (a) The Department of Agriculture shall by rule develop a system to score craft grower applications to administratively rank applications based on the clarity, organization, and quality of the applicant's responses to required information. Applicants shall be awarded points based on the following categories:
        (1) Suitability of the proposed facility;
        (2) Suitability of the employee training plan;
        (3) Security and recordkeeping;
        (4) Cultivation plan;
        (5) Product safety and labeling plan;
        (6) Business plan;
        (7) The applicant's status as a Social Equity
    
Applicant, which shall constitute no less than 20% of total available points;
        (8) Labor and employment practices, which shall
    
constitute no less than 2% of total available points;
        (9) Environmental plan as described in paragraphs
    
(18), (19), (20), and (21) of subsection (a) of Section 30-10;
        (10) The applicant is 51% or more owned and
    
controlled by an individual or individuals who have been an Illinois resident for the past 5 years as proved by tax records;
        (11) The applicant is 51% or more controlled and
    
owned by an individual or individuals who meet the qualifications of a veteran as defined in Section 45-57 of the Illinois Procurement Code;
        (12) A diversity plan that includes a narrative of
    
not more than 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity; and
        (13) Any other criteria the Department of Agriculture
    
may set by rule for points.
    (b) The Department may also award up to 2 bonus points for the applicant's plan to engage with the community. The applicant may demonstrate a desire to engage with its community by participating in one or more of, but not limited to, the following actions: (i) establishment of an incubator program designed to increase participation in the cannabis industry by persons who would qualify as Social Equity Applicants; (ii) providing financial assistance to substance abuse treatment centers; (iii) educating children and teens about the potential harms of cannabis use; or (iv) other measures demonstrating a commitment to the applicant's community. Bonus points will only be awarded if the Department receives applications that receive an equal score for a particular region.
    (c) Should the applicant be awarded a craft grower license, the information and plans that an applicant provided in its application, including any plans submitted for the acquiring of bonus points, shall be a mandatory condition of the license. Any variation from or failure to perform such plans may result in discipline, including the revocation or nonrenewal of a license.
    (d) Should the applicant be awarded a craft grower license, the applicant shall pay a prorated fee of $40,000 prior to receiving the license, to be deposited into the Cannabis Regulation Fund. The Department of Agriculture may by rule adjust the fee in this Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-20

    (410 ILCS 705/30-20)
    Sec. 30-20. Issuance of license to certain persons prohibited.
    (a) No craft grower license issued by the Department of Agriculture shall be issued to a person who is licensed by any licensing authority as a cultivation center, or to any partnership, corporation, limited liability company, or trust or any subsidiary, affiliate, or any other form of business enterprise having more than 10% legal, equitable, or beneficial interest, directly or indirectly, in a person licensed in this State as a cultivation center, or to any principal officer, agent, employee, or human being with any form of ownership or control over a cultivation center except for a person who owns no more than 5% of the outstanding shares of a cultivation center whose shares are publicly traded on an exchange within the meaning of the Securities Exchange Act of 1934.
    (b) A person who is licensed in this State as a craft grower, or any partnership, corporation, limited liability company, or trust or any subsidiary, affiliate, or agent thereof, or any other form of business enterprise licensed in this State as a craft grower shall not have more than 10% legal, equitable, or beneficial interest, directly or indirectly, in a person licensed as a cultivation center, nor shall any partnership, corporation, limited liability company, or trust or any subsidiary, affiliate, or any other form of business enterprise having any legal, equitable, or beneficial interest, directly or indirectly, in a person licensed in this State as a craft grower or a craft grower agent be a principal officer, agent, employee, or human being with any form of ownership or control over a cultivation center except for a person who owns no more than 5% of the outstanding shares of a cultivation center whose shares are publicly traded on an exchange within the meaning of the Securities Exchange Act of 1934.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-25

    (410 ILCS 705/30-25)
    Sec. 30-25. Denial of application. An application for a craft grower license must be denied if any of the following conditions are met:
        (1) the applicant failed to submit the materials
    
required by this Article;
        (2) the applicant would not be in compliance with
    
local zoning rules;
        (3) one or more of the prospective principal officers
    
or board members causes a violation of Section 30-20 of this Article;
        (4) one or more of the principal officers or board
    
members is under 21 years of age;
        (5) the person has submitted an application for a
    
license under this Act that contains false information; or
        (6) the licensee; principal officer, board member, or
    
person having a financial or voting interest of 5% or greater in the licensee; or agent is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-30

    (410 ILCS 705/30-30)
    Sec. 30-30. Craft grower requirements; prohibitions.
    (a) The operating documents of a craft grower shall include procedures for the oversight of the craft grower, a cannabis plant monitoring system including a physical inventory recorded weekly, accurate recordkeeping, and a staffing plan.
    (b) A craft grower shall implement a security plan reviewed by the Department of State Police that includes, but is not limited to: facility access controls, perimeter intrusion detection systems, personnel identification systems, and a 24-hour surveillance system to monitor the interior and exterior of the craft grower facility and that is accessible to authorized law enforcement and the Department of Agriculture in real time.
    (c) All cultivation of cannabis by a craft grower must take place in an enclosed, locked facility at the physical address provided to the Department of Agriculture during the licensing process. The craft grower location shall only be accessed by the agents working for the craft grower, the Department of Agriculture staff performing inspections, the Department of Public Health staff performing inspections, State and local law enforcement or other emergency personnel, contractors working on jobs unrelated to cannabis, such as installing or maintaining security devices or performing electrical wiring, transporting organization agents as provided in this Act, or participants in the incubator program, individuals in a mentoring or educational program approved by the State, or other individuals as provided by rule. However, if a craft grower shares a premises with an infuser or dispensing organization, agents from those other licensees may access the craft grower portion of the premises if that is the location of common bathrooms, lunchrooms, locker rooms, or other areas of the building where work or cultivation of cannabis is not performed. At no time may an infuser or dispensing organization agent perform work at a craft grower without being a registered agent of the craft grower.
    (d) A craft grower may not sell or distribute any cannabis to any person other than a cultivation center, a craft grower, an infuser organization, a dispensing organization, or as otherwise authorized by rule.
    (e) A craft grower may not be located in an area zoned for residential use.
    (f) A craft grower may not either directly or indirectly discriminate in price between different cannabis business establishments that are purchasing a like grade, strain, brand, and quality of cannabis or cannabis-infused product. Nothing in this subsection (f) prevents a craft grower from pricing cannabis differently based on differences in the cost of manufacturing or processing, the quantities sold, such as volume discounts, or the way the products are delivered.
    (g) All cannabis harvested by a craft grower and intended for distribution to a dispensing organization must be entered into a data collection system, packaged and labeled under Section 55-21, and, if distribution is to a dispensing organization that does not share a premises with the dispensing organization receiving the cannabis, placed into a cannabis container for transport. All cannabis harvested by a craft grower and intended for distribution to a cultivation center, to an infuser organization, or to a craft grower with which it does not share a premises, must be packaged in a labeled cannabis container and entered into a data collection system before transport.
    (h) Craft growers are subject to random inspections by the Department of Agriculture, local safety or health inspectors, and the Department of State Police.
    (i) A craft grower agent shall notify local law enforcement, the Department of State Police, and the Department of Agriculture within 24 hours of the discovery of any loss or theft. Notification shall be made by phone, in person, or written or electronic communication.
    (j) A craft grower shall comply with all State and any applicable federal rules and regulations regarding the use of pesticides.
    (k) A craft grower or craft grower agent shall not transport cannabis or cannabis-infused products to any other cannabis business establishment without a transport organization license unless:
        (i) If the craft grower is located in a county with a
    
population of 3,000,000 or more, the cannabis business establishment receiving the cannabis is within 2,000 feet of the property line of the craft grower;
        (ii) If the craft grower is located in a county with
    
a population of more than 700,000 but fewer than 3,000,000, the cannabis business establishment receiving the cannabis is within 2 miles of the craft grower; or
        (iii) If the craft grower is located in a county with
    
a population of fewer the 700,000, the cannabis business establishment receiving the cannabis is within 15 miles of the craft grower.
    (l) A craft grower may enter into a contract with a transporting organization to transport cannabis to a cultivation center, a craft grower, an infuser organization, a dispensing organization, or a laboratory.
    (m) No person or entity shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, of more than 3 craft grower licenses. Further, no person or entity that is employed by, an agent of, or has a contract to receive payment from or participate in the management of a craft grower, is a principal officer of a craft grower, or entity controlled by or affiliated with a principal officer of a craft grower shall hold any legal, equitable, ownership, or beneficial interest, directly or indirectly, in a craft grower license that would result in the person or entity owning or controlling in combination with any craft grower, principal officer of a craft grower, or entity controlled or affiliated with a principal officer of a craft grower by which he, she, or it is employed, is an agent of, or participates in the management of more than 3 craft grower licenses.
    (n) It is unlawful for any person having a craft grower license or any officer, associate, member, representative, or agent of the licensee to offer or deliver money, or anything else of value, directly or indirectly, to any person having an Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, or to any person connected with or in any way representing, or to any member of the family of, the person holding an Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, or to any stockholders in any corporation engaged in the retail sale of cannabis, or to any officer, manager, agent, or representative of the Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act to obtain preferential placement within the dispensing organization, including, without limitation, on shelves and in display cases where purchasers can view products, or on the dispensing organization's website.
    (o) A craft grower shall not be located within 1,500 feet of another craft grower or a cultivation center.
    (p) A graft grower may process cannabis, cannabis concentrates, and cannabis-infused products.
    (q) A craft grower must comply with any other requirements or prohibitions set by administrative rule of the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-35

    (410 ILCS 705/30-35)
    Sec. 30-35. Craft grower agent identification card.
    (a) The Department of Agriculture shall:
        (1) establish by rule the information required in an
    
initial application or renewal application for an agent identification card submitted under this Act and the nonrefundable fee to accompany the initial application or renewal application;
        (2) verify the information contained in an initial
    
application or renewal application for an agent identification card submitted under this Act and approve or deny an application within 30 days of receiving a completed initial application or renewal application and all supporting documentation required by rule;
        (3) issue an agent identification card to a
    
qualifying agent within 15 business days of approving the initial application or renewal application;
        (4) enter the license number of the craft grower
    
where the agent works; and
        (5) allow for an electronic initial application and
    
renewal application process, and provide a confirmation by electronic or other methods that an application has been submitted. The Department of Agriculture may by rule require prospective agents to file their applications by electronic means and provide notices to the agents by electronic means.
    (b) An agent must keep his or her identification card visible at all times when on the property of a cannabis business establishment, including the craft grower organization for which he or she is an agent.
    (c) The agent identification cards shall contain the following:
        (1) the name of the cardholder;
        (2) the date of issuance and expiration date of the
    
identification card;
        (3) a random 10-digit alphanumeric identification
    
number containing at least 4 numbers and at least 4 letters that is unique to the holder;
        (4) a photograph of the cardholder; and
        (5) the legal name of the craft grower organization
    
employing the agent.
    (d) An agent identification card shall be immediately returned to the cannabis business establishment of the agent upon termination of his or her employment.
    (e) Any agent identification card lost by a craft grower agent shall be reported to the Department of State Police and the Department of Agriculture immediately upon discovery of the loss.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-40

    (410 ILCS 705/30-40)
    Sec. 30-40. Craft grower background checks.
    (a) Through the Department of State Police, the Department of Agriculture shall conduct a background check of the prospective principal officers, board members, and agents of a craft grower applying for a license or identification card under this Act. The Department of State Police shall charge a fee set by rule for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the record check. In order to carry out this Section, each craft grower organization's prospective principal officer, board member, or agent shall submit a full set of fingerprints to the Department of State Police for the purpose of obtaining a State and federal criminal records check. These fingerprints shall be checked against the fingerprint records now and hereafter, to the extent allowed by law, filed in the Department of State Police and Federal Bureau of Investigation criminal history records databases. The Department of State Police shall furnish, following positive identification, all conviction information to the Department of Agriculture.
    (b) When applying for the initial license or identification card, the background checks for all prospective principal officers, board members, and agents shall be completed before submitting the application to the licensing or issuing agency.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-45

    (410 ILCS 705/30-45)
    Sec. 30-45. Renewal of craft grower licenses and agent identification cards.
    (a) Licenses and identification cards issued under this Act shall be renewed annually. A craft grower shall receive written or electronic notice 90 days before the expiration of its current license that the license will expire. The Department of Agriculture shall grant a renewal within 45 days of submission of a renewal application if:
        (1) the craft grower submits a renewal application
    
and the required nonrefundable renewal fee of $40,000, or another amount as the Department of Agriculture may set by rule after January 1, 2021;
        (2) the Department of Agriculture has not suspended
    
the license of the craft grower or suspended or revoked the license for violating this Act or rules adopted under this Act;
        (3) the craft grower has continued to operate in
    
accordance with all plans submitted as part of its application and approved by the Department of Agriculture or any amendments thereto that have been approved by the Department of Agriculture;
        (4) the craft grower has submitted an agent,
    
employee, contracting, and subcontracting diversity report as required by the Department; and
        (5) the craft grower has submitted an environmental
    
impact report.
    (b) If a craft grower fails to renew its license before expiration, it shall cease operations until its license is renewed.
    (c) If a craft grower agent fails to renew his or her identification card before its expiration, he or she shall cease to work as an agent of the craft grower organization until his or her identification card is renewed.
    (d) Any craft grower that continues to operate, or any craft grower agent who continues to work as an agent, after the applicable license or identification card has expired without renewal is subject to the penalties provided under Section 45-5.
    (e) All fees or fines collected from the renewal of a craft grower license shall be deposited into the Cannabis Regulation Fund.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/30-50

    (410 ILCS 705/30-50)
    Sec. 30-50. Craft grower taxes; returns.
    (a) A tax is imposed upon the privilege of cultivating and processing adult use cannabis at the rate of 7% of the gross receipts from the sale of cannabis by a craft grower to a dispensing organization. The sale of any adult use product that contains any amount of cannabis or any derivative thereof is subject to the tax under this Section on the full selling price of the product. The proceeds from this tax shall be deposited into the Cannabis Regulation Fund. This tax shall be paid by the craft grower who makes the first sale and is not the responsibility of a dispensing organization, qualifying patient, or purchaser.
    (b) In the administration of and compliance with this Section, the Department of Revenue and persons who are subject to this Section: (i) have the same rights, remedies, privileges, immunities, powers, and duties, (ii) are subject to the same conditions, restrictions, limitations, penalties, and definitions of terms, and (iii) shall employ the same modes of procedure as are set forth in the Cannabis Cultivation Privilege Tax Law and the Uniform Penalty and Interest Act as if those provisions were set forth in this Section.
    (c) The tax imposed under this Act shall be in addition to all other occupation or privilege taxes imposed by the State of Illinois or by any municipal corporation or political subdivision thereof.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 35

 
    (410 ILCS 705/Art. 35 heading)
Article 35.
Infuser Organizations
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-3

    (410 ILCS 705/35-3)
    Sec. 35-3. Definitions. In this Article:
    "Department" means the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-5

    (410 ILCS 705/35-5)
    Sec. 35-5. Issuance of licenses.
    (a) The Department of Agriculture shall issue up to 40 infuser licenses through a process provided for in this Article no later than July 1, 2020.
    (b) The Department of Agriculture shall make the application for infuser licenses available on January 7, 2020, or if that date falls on a weekend or holiday, the business day immediately succeeding the weekend or holiday and every January 7 or succeeding business day thereafter, and shall receive such applications no later than March 15, 2020, or, if that date falls on a weekend or holiday, the business day immediately succeeding the weekend or holiday and every March 15 or succeeding business day thereafter.
    (c) By December 21, 2021, the Department of Agriculture may issue up to 60 additional infuser licenses. Prior to issuing such licenses, the Department may adopt rules through emergency rulemaking in accordance with subsection (gg) of Section 5-45 of the Illinois Administrative Procedure Act, to modify or raise the number of infuser licenses and modify or change the licensing application process to reduce or eliminate barriers. The General Assembly finds that the adoption of rules to regulate cannabis use is deemed an emergency and necessary for the public interest, safety, and welfare.
    In determining whether to exercise the authority granted by this subsection, the Department of Agriculture must consider the following factors:
        (1) the percentage of cannabis sales occurring in
    
Illinois not in the regulated market using data from the Substance Abuse and Mental Health Services Administration, National Survey on Drug Use and Health, Illinois Behavioral Risk Factor Surveillance System, and tourism data from the Illinois Office of Tourism to ascertain total cannabis consumption in Illinois compared to the amount of sales in licensed dispensing organizations;
        (2) whether there is an adequate supply of cannabis
    
and cannabis-infused products to serve registered medical cannabis patients;
        (3) whether there is an adequate supply of cannabis
    
and cannabis-infused products to sere purchasers:
        (4) whether there is an oversupply of cannabis in
    
Illinois leading to trafficking of cannabis to any other state;
        (5) population increases or shifts;
        (6) changes to federal law;
        (7) perceived security risks of increasing the number
    
or location of infuser organizations;
        (8) the past security records of infuser
    
organizations;
        (9) the Department of Agriculture's capacity to
    
appropriately regulate additional licenses;
        (10) the findings and recommendations from the
    
disparity and availability study commissioned by the Illinois Cannabis Regulation Oversight Officer to reduce or eliminate any identified barriers to entry in the cannabis industry; and
        (11) any other criteria the Department of Agriculture
    
deems relevant.
    (d) After January 1, 2022, the Department of Agriculture may by rule modify or raise the number of infuser licenses, and modify or change the licensing application process to reduce or eliminate barriers based on the criteria in subsection (c).
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-10

    (410 ILCS 705/35-10)
    Sec. 35-10. Application.
    (a) When applying for a license, the applicant shall electronically submit the following in such form as the Department of Agriculture may direct:
        (1) the nonrefundable application fee of $5,000 or,
    
after January 1, 2021, another amount as set by rule by the Department of Agriculture, to be deposited into the Cannabis Regulation Fund;
        (2) the legal name of the infuser;
        (3) the proposed physical address of the infuser;
        (4) the name, address, social security number, and
    
date of birth of each principal officer and board member of the infuser; each principal officer and board member shall be at least 21 years of age;
        (5) the details of any administrative or judicial
    
proceeding in which any of the principal officers or board members of the infuser (i) pled guilty, were convicted, fined, or had a registration or license suspended or revoked, or (ii) managed or served on the board of a business or non-profit organization that pled guilty, was convicted, fined, or had a registration or license suspended or revoked;
        (6) proposed operating bylaws that include procedures
    
for the oversight of the infuser, including the development and implementation of a plant monitoring system, accurate recordkeeping, staffing plan, and security plan approved by the Department of State Police that are in accordance with the rules issued by the Department of Agriculture under this Act; a physical inventory of all cannabis shall be performed on a weekly basis by the infuser;
        (7) verification from the Department of State Police
    
that all background checks of the prospective principal officers, board members, and agents of the infuser organization have been conducted;
        (8) a copy of the current local zoning ordinance and
    
verification that the proposed infuser is in compliance with the local zoning rules and distance limitations established by the local jurisdiction;
        (9) proposed employment practices, in which the
    
applicant must demonstrate a plan of action to inform, hire, and educate minorities, women, veterans, and persons with disabilities, engage in fair labor practices, and provide worker protections;
        (10) whether an applicant can demonstrate experience
    
in or business practices that promote economic empowerment in Disproportionately Impacted Areas;
        (11) experience with infusing products with cannabis
    
concentrate;
        (12) a description of the enclosed, locked facility
    
where cannabis will be infused, packaged, or otherwise prepared for distribution to a dispensing organization or other infuser;
        (13) processing, inventory, and packaging plans;
        (14) a description of the applicant's experience with
    
operating a commercial kitchen or laboratory preparing products for human consumption;
        (15) a list of any academic degrees, certifications,
    
or relevant experience of all prospective principal officers, board members, and agents of the related business;
        (16) the identity of every person having a financial
    
or voting interest of 5% or greater in the infuser operation with respect to which the license is sought, whether a trust, corporation, partnership, limited liability company, or sole proprietorship, including the name and address of each person;
        (17) a plan describing how the infuser will address
    
each of the following:
            (i) energy needs, including estimates of monthly
        
electricity and gas usage, to what extent it will procure energy from a local utility or from on-site generation, and if it has or will adopt a sustainable energy use and energy conservation policy;
            (ii) water needs, including estimated water draw,
        
and if it has or will adopt a sustainable water use and water conservation policy; and
            (iii) waste management, including if it has or
        
will adopt a waste reduction policy;
        (18) a recycling plan:
            (A) a commitment that any recyclable waste
        
generated by the infuser shall be recycled per applicable State and local laws, ordinances, and rules; and
            (B) a commitment to comply with local waste
        
provisions. An infuser commits to remain in compliance with applicable State and federal environmental requirements, including, but not limited to, storing, securing, and managing all recyclables and waste, including organic waste composed of or containing finished cannabis and cannabis products, in accordance with applicable State and local laws, ordinances, and rules; and
        (19) any other information required by rule.
    (b) Applicants must submit all required information, including the information required in Section 35-15, to the Department of Agriculture. Failure by an applicant to submit all required information may result in the application being disqualified.
    (c) If the Department of Agriculture receives an application with missing information, the Department of Agriculture may issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to resubmit the incomplete information. Applications that are still incomplete after this opportunity to cure will not be scored and will be disqualified.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-15

    (410 ILCS 705/35-15)
    Sec. 35-15. Issuing licenses.
    (a) The Department of Agriculture shall by rule develop a system to score infuser applications to administratively rank applications based on the clarity, organization, and quality of the applicant's responses to required information. Applicants shall be awarded points based on the following categories:
        (1) Suitability of the proposed facility;
        (2) Suitability of the employee training plan;
        (3) Security and recordkeeping plan;
        (4) Infusing plan;
        (5) Product safety and labeling plan;
        (6) Business plan;
        (7) The applicant's status as a Social Equity
    
Applicant, which shall constitute no less than 20% of total available points;
        (8) Labor and employment practices, which shall
    
constitute no less than 2% of total available points;
        (9) Environmental plan as described in paragraphs
    
(17) and (18) of subsection (a) of Section 35-10;
        (10) The applicant is 51% or more owned and
    
controlled by an individual or individuals who have been an Illinois resident for the past 5 years as proved by tax records;
        (11) The applicant is 51% or more controlled and
    
owned by an individual or individuals who meet the qualifications of a veteran as defined by Section 45-57 of the Illinois Procurement Code; and
        (12) A diversity plan that includes a narrative of
    
not more than 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity; and
        (13) Any other criteria the Department of Agriculture
    
may set by rule for points.
    (b) The Department may also award up to 2 bonus points for the applicant's plan to engage with the community. The applicant may demonstrate a desire to engage with its community by participating in one or more of, but not limited to, the following actions: (i) establishment of an incubator program designed to increase participation in the cannabis industry by persons who would qualify as Social Equity Applicants; (ii) providing financial assistance to substance abuse treatment centers; (iii) educating children and teens about the potential harms of cannabis use; or (iv) other measures demonstrating a commitment to the applicant's community. Bonus points will only be awarded if the Department receives applications that receive an equal score for a particular region.
    (c) Should the applicant be awarded an infuser license, the information and plans that an applicant provided in its application, including any plans submitted for the acquiring of bonus points, becomes a mandatory condition of the permit. Any variation from or failure to perform such plans may result in discipline, including the revocation or nonrenewal of a license.
    (d) Should the applicant be awarded an infuser organization license, it shall pay a fee of $5,000 prior to receiving the license, to be deposited into the Cannabis Regulation Fund. The Department of Agriculture may by rule adjust the fee in this Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-20

    (410 ILCS 705/35-20)
    Sec. 35-20. Denial of application. An application for an infuser license shall be denied if any of the following conditions are met:
        (1) the applicant failed to submit the materials
    
required by this Article;
        (2) the applicant would not be in compliance with
    
local zoning rules or permit requirements;
        (3) one or more of the prospective principal officers
    
or board members causes a violation of Section 35-25.
        (4) one or more of the principal officers or board
    
members is under 21 years of age;
        (5) the person has submitted an application for a
    
license under this Act or this Article that contains false information; or
        (6) if the licensee; principal officer, board member,
    
or person having a financial or voting interest of 5% or greater in the licensee; or agent is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-25

    (410 ILCS 705/35-25)
    Sec. 35-25. Infuser organization requirements; prohibitions.
    (a) The operating documents of an infuser shall include procedures for the oversight of the infuser, an inventory monitoring system including a physical inventory recorded weekly, accurate recordkeeping, and a staffing plan.
    (b) An infuser shall implement a security plan reviewed by the Department of State Police that includes, but is not limited to: facility access controls, perimeter intrusion detection systems, personnel identification systems, and a 24-hour surveillance system to monitor the interior and exterior of the infuser facility and that is accessible to authorized law enforcement, the Department of Public Health, and the Department of Agriculture in real time.
    (c) All processing of cannabis by an infuser must take place in an enclosed, locked facility at the physical address provided to the Department of Agriculture during the licensing process. The infuser location shall only be accessed by the agents working for the infuser, the Department of Agriculture staff performing inspections, the Department of Public Health staff performing inspections, State and local law enforcement or other emergency personnel, contractors working on jobs unrelated to cannabis, such as installing or maintaining security devices or performing electrical wiring, transporting organization agents as provided in this Act, participants in the incubator program, individuals in a mentoring or educational program approved by the State, local safety or health inspectors, or other individuals as provided by rule. However, if an infuser shares a premises with a craft grower or dispensing organization, agents from these other licensees may access the infuser portion of the premises if that is the location of common bathrooms, lunchrooms, locker rooms, or other areas of the building where processing of cannabis is not performed. At no time may a craft grower or dispensing organization agent perform work at an infuser without being a registered agent of the infuser.
    (d) An infuser may not sell or distribute any cannabis to any person other than a dispensing organization, or as otherwise authorized by rule.
    (e) An infuser may not either directly or indirectly discriminate in price between different cannabis business establishments that are purchasing a like grade, strain, brand, and quality of cannabis or cannabis-infused product. Nothing in this subsection (e) prevents an infuser from pricing cannabis differently based on differences in the cost of manufacturing or processing, the quantities sold, such volume discounts, or the way the products are delivered.
    (f) All cannabis infused by an infuser and intended for distribution to a dispensing organization must be entered into a data collection system, packaged and labeled under Section 55-21, and, if distribution is to a dispensing organization that does not share a premises with the infuser, placed into a cannabis container for transport. All cannabis produced by an infuser and intended for distribution to a cultivation center, infuser organization, or craft grower with which it does not share a premises, must be packaged in a labeled cannabis container and entered into a data collection system before transport.
    (g) Infusers are subject to random inspections by the Department of Agriculture, the Department of Public Health, the Department of State Police, and local law enforcement.
    (h) An infuser agent shall notify local law enforcement, the Department of State Police, and the Department of Agriculture within 24 hours of the discovery of any loss or theft. Notification shall be made by phone, in person, or by written or electronic communication.
    (i) An infuser organization may not be located in an area zoned for residential use.
    (j) An infuser or infuser agent shall not transport cannabis or cannabis-infused products to any other cannabis business establishment without a transport organization license unless:
        (i) If the infuser is located in a county with a
    
population of 3,000,000 or more, the cannabis business establishment receiving the cannabis or cannabis-infused product is within 2,000 feet of the property line of the infuser;
        (ii) If the infuser is located in a county with a
    
population of more than 700,000 but fewer than 3,000,000, the cannabis business establishment receiving the cannabis or cannabis-infused product is within 2 miles of the infuser; or
        (iii) If the infuser is located in a county with a
    
population of fewer than 700,000, the cannabis business establishment receiving the cannabis or cannabis-infused product is within 15 miles of the infuser.
    (k) An infuser may enter into a contract with a transporting organization to transport cannabis to a dispensing organization or a laboratory.
    (l) An infuser organization may share premises with a craft grower or a dispensing organization, or both, provided each licensee stores currency and cannabis or cannabis-infused products in a separate secured vault to which the other licensee does not have access or all licensees sharing a vault share more than 50% of the same ownership.
    (m) It is unlawful for any person or entity having an infuser organization license or any officer, associate, member, representative or agent of such licensee to offer or deliver money, or anything else of value, directly or indirectly to any person having an Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, or to any person connected with or in any way representing, or to any member of the family of, such person holding an Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act, or to any stockholders in any corporation engaged the retail sales of cannabis, or to any officer, manager, agent, or representative of the Early Approval Adult Use Dispensing Organization License, a Conditional Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act to obtain preferential placement within the dispensing organization, including, without limitation, on shelves and in display cases where purchasers can view products, or on the dispensing organization's website.
    (n) At no time shall an infuser organization or an infuser agent perform the extraction of cannabis concentrate from cannabis flower.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-30

    (410 ILCS 705/35-30)
    Sec. 35-30. Infuser agent identification card.
    (a) The Department of Agriculture shall:
        (1) establish by rule the information required in an
    
initial application or renewal application for an agent identification card submitted under this Act and the nonrefundable fee to accompany the initial application or renewal application;
        (2) verify the information contained in an initial
    
application or renewal application for an agent identification card submitted under this Act, and approve or deny an application within 30 days of receiving a completed initial application or renewal application and all supporting documentation required by rule;
        (3) issue an agent identification card to a
    
qualifying agent within 15 business days of approving the initial application or renewal application;
        (4) enter the license number of the infuser where the
    
agent works; and
        (5) allow for an electronic initial application and
    
renewal application process, and provide a confirmation by electronic or other methods that an application has been submitted. The Department of Agriculture may by rule require prospective agents to file their applications by electronic means and provide notices to the agents by electronic means.
    (b) An agent must keep his or her identification card visible at all times when on the property of a cannabis business establishment including the cannabis business establishment for which he or she is an agent.
    (c) The agent identification cards shall contain the following:
        (1) the name of the cardholder;
        (2) the date of issuance and expiration date of the
    
identification card;
        (3) a random 10-digit alphanumeric identification
    
number containing at least 4 numbers and at least 4 letters that is unique to the holder;
        (4) a photograph of the cardholder; and
        (5) the legal name of the infuser organization
    
employing the agent.
    (d) An agent identification card shall be immediately returned to the infuser organization of the agent upon termination of his or her employment.
    (e) Any agent identification card lost by a transporting agent shall be reported to the Department of State Police and the Department of Agriculture immediately upon discovery of the loss.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-31

    (410 ILCS 705/35-31)
    Sec. 35-31. Ensuring an adequate supply of raw materials to serve infusers.
    (a) As used in this Section, "raw materials" includes, but is not limited to, CO2 hash oil, "crude", "distillate", or any other cannabis concentrate extracted from cannabis flower by use of a solvent or a mechanical process.
    (b) The Department of Agriculture may by rule design a method for assessing whether licensed infusers have access to an adequate supply of reasonably affordable raw materials, which may include but not be limited to: (i) a survey of infusers; (ii) a market study on the sales trends of cannabis-infused products manufactured by infusers; and (iii) the costs cultivation centers and craft growers assume for the raw materials they use in any cannabis-infused products they manufacture.
    (c) The Department of Agriculture shall perform an assessment of whether infusers have access to an adequate supply of reasonably affordable raw materials that shall start no sooner than January 1, 2022 and shall conclude no later than April 1, 2022. The Department of Agriculture may rely on data from the Illinois Cannabis Regulation Oversight Officer as part of this assessment.
    (d) The Department of Agriculture shall perform an assessment of whether infusers have access to an adequate supply of reasonably affordable raw materials that shall start no sooner than January 1, 2023 and shall conclude no later than April 1, 2023. The Department of Agriculture may rely on data from the Cannabis Regulation Oversight Officer as part of this assessment.
    (e) The Department of Agriculture may by rule adopt measures to ensure infusers have access to an adequate supply of reasonably affordable raw materials necessary for the manufacture of cannabis-infused products. Such measures may include, but not be limited to (i) requiring cultivation centers and craft growers to set aside a minimum amount of raw materials for the wholesale market or (ii) enabling infusers to apply for a processor license to extract raw materials from cannabis flower.
    (f) If the Department of Agriculture determines processor licenses may be available to infusing organizations based upon findings made pursuant to subsection (e), infuser organizations may submit to the Department of Agriculture on forms provided by the Department of Agriculture the following information as part of an application to receive a processor license:
        (1) experience with the extraction, processing, or
    
infusing of oils similar to those derived from cannabis, or other business practices to be performed by the infuser;
        (2) a description of the applicant's experience with
    
manufacturing equipment and chemicals to be used in processing;
        (3) expertise in relevant scientific fields;
        (4) a commitment that any cannabis waste, liquid
    
waste, or hazardous waste shall be disposed of in accordance with 8 Ill. Adm. Code 1000.460, except, to the greatest extent feasible, all cannabis plant waste will be rendered unusable by grinding and incorporating the cannabis plant waste with compostable mixed waste to be disposed of in accordance with Ill. Adm. Code 1000.460(g)(1); and
        (5) any other information the Department of
    
Agriculture deems relevant.
    (g) The Department of Agriculture may only issue an infusing organization a processor license if, based on the information pursuant to subsection (f) and any other criteria set by the Department of Agriculture, which may include but not be limited an inspection of the site where processing would occur, the Department of Agriculture is reasonably certain the infusing organization will process cannabis in a safe and compliant manner.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-35

    (410 ILCS 705/35-35)
    Sec. 35-35. Infuser organization background checks.
    (a) Through the Department of State Police, the Department of Agriculture shall conduct a background check of the prospective principal officers, board members, and agents of an infuser applying for a license or identification card under this Act. The Department of State Police shall charge a fee set by rule for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the record check. In order to carry out this provision, each infuser organization's prospective principal officer, board member, or agent shall submit a full set of fingerprints to the Department of State Police for the purpose of obtaining a State and federal criminal records check. These fingerprints shall be checked against the fingerprint records now and hereafter, to the extent allowed by law, filed in the Department of State Police and Federal Bureau of Investigation criminal history records databases. The Department of State Police shall furnish, following positive identification, all conviction information to the Department of Agriculture.
    (b) When applying for the initial license or identification card, the background checks for all prospective principal officers, board members, and agents shall be completed before submitting the application to the licensing or issuing agency.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/35-40

    (410 ILCS 705/35-40)
    Sec. 35-40. Renewal of infuser organization licenses and agent identification cards.
    (a) Licenses and identification cards issued under this Act shall be renewed annually. An infuser organization shall receive written or electronic notice 90 days before the expiration of its current license that the license will expire. The Department of Agriculture shall grant a renewal within 45 days of submission of a renewal application if:
        (1) the infuser organization submits a renewal
    
application and the required nonrefundable renewal fee of $20,000, or, after January 1, 2021, another amount set by rule by the Department of Agriculture, to be deposited into the Cannabis Regulation Fund;
        (2) the Department of Agriculture has not suspended
    
or revoked the license of the infuser organization for violating this Act or rules adopted under this Act;
        (3) the infuser organization has continued to operate
    
in accordance with all plans submitted as part of its application and approved by the Department of Agriculture or any amendments thereto that have been approved by the Department of Agriculture;
        (4) The infuser has submitted an agent, employee,
    
contracting, and subcontracting diversity report as required by the Department; and
        (5) The infuser has submitted an environmental impact
    
report.
    (b) If an infuser organization fails to renew its license before expiration, it shall cease operations until its license is renewed.
    (c) If an infuser organization agent fails to renew his or her identification card before its expiration, he or she shall cease to work as an agent of the infuser organization until his or her identification card is renewed.
    (d) Any infuser organization that continues to operate, or any infuser organization agent who continues to work as an agent, after the applicable license or identification card has expired without renewal is subject to the penalties provided under Section 35-25.
    (e) The Department shall not renew a license or an agent identification card if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 40

 
    (410 ILCS 705/Art. 40 heading)
Article 40.
Transporting Organizations
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-1

    (410 ILCS 705/40-1)
    Sec. 40-1. Definition. In this Article, "Department" means the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-5

    (410 ILCS 705/40-5)
    Sec. 40-5. Issuance of licenses.
    (a) The Department shall issue transporting licenses through a process provided for in this Article no later than July 1, 2020.
    (b) The Department shall make the application for transporting organization licenses available on January 7, 2020 and shall receive such applications no later than March 15, 2020. Thereafter, the Department of Agriculture shall make available such applications on every January 7 thereafter or if that date falls on a weekend or holiday, the business day immediately succeeding the weekend or holiday and shall receive such applications no later than March 15 or the succeeding business day thereafter.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-10

    (410 ILCS 705/40-10)
    Sec. 40-10. Application.
    (a) When applying for a transporting organization license, the applicant shall electronically submit the following in such form as the Department of Agriculture may direct:
        (1) the nonrefundable application fee of $5,000 or,
    
after January 1, 2021, another amount as set by rule by the Department of Agriculture, to be deposited into the Cannabis Regulation Fund;
        (2) the legal name of the transporting organization;
        (3) the proposed physical address of the transporting
    
organization, if one is proposed;
        (4) the name, address, social security number, and
    
date of birth of each principal officer and board member of the transporting organization; each principal officer and board member shall be at least 21 years of age;
        (5) the details of any administrative or judicial
    
proceeding in which any of the principal officers or board members of the transporting organization (i) pled guilty, were convicted, fined, or had a registration or license suspended or revoked, or (ii) managed or served on the board of a business or non-profit organization that pled guilty, was convicted, fined, or had a registration or license suspended or revoked;
        (6) proposed operating bylaws that include procedures
    
for the oversight of the transporting organization, including the development and implementation of an accurate recordkeeping plan, staffing plan, and security plan approved by the Department of State Police that are in accordance with the rules issued by the Department of Agriculture under this Act; a physical inventory shall be performed of all cannabis on a weekly basis by the transporting organization;
        (7) verification from the Department of State Police
    
that all background checks of the prospective principal officers, board members, and agents of the transporting organization have been conducted;
        (8) a copy of the current local zoning ordinance or
    
permit and verification that the proposed transporting organization is in compliance with the local zoning rules and distance limitations established by the local jurisdiction, if the transporting organization has a business address;
        (9) proposed employment practices, in which the
    
applicant must demonstrate a plan of action to inform, hire, and educate minorities, women, veterans, and persons with disabilities, engage in fair labor practices, and provide worker protections;
        (10) whether an applicant can demonstrate experience
    
in or business practices that promote economic empowerment in Disproportionately Impacted Areas;
        (11) the number and type of equipment the
    
transporting organization will use to transport cannabis and cannabis-infused products;
        (12) loading, transporting, and unloading plans;
        (13) a description of the applicant's experience in
    
the distribution or security business;
        (14) the identity of every person having a financial
    
or voting interest of 5% or more in the transporting organization with respect to which the license is sought, whether a trust, corporation, partnership, limited liability company, or sole proprietorship, including the name and address of each person; and
        (15) any other information required by rule.
    (b) Applicants must submit all required information, including the information required in Section 40-35 to the Department. Failure by an applicant to submit all required information may result in the application being disqualified.
    (c) If the Department receives an application with missing information, the Department of Agriculture may issue a deficiency notice to the applicant. The applicant shall have 10 calendar days from the date of the deficiency notice to resubmit the incomplete information. Applications that are still incomplete after this opportunity to cure will not be scored and will be disqualified.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-15

    (410 ILCS 705/40-15)
    Sec. 40-15. Issuing licenses.
    (a) The Department of Agriculture shall by rule develop a system to score transporter applications to administratively rank applications based on the clarity, organization, and quality of the applicant's responses to required information. Applicants shall be awarded points based on the following categories:
        (1) suitability of employee training plan;
        (2) security and recordkeeping plan;
        (3) business plan;
        (4) the applicant's status as a Social Equity
    
Applicant, which shall constitute no less than 20% of total available points;
        (5) labor and employment practices, which shall
    
constitute no less than 2% of total available points;
        (6) environmental plan that demonstrates an
    
environmental plan of action to minimize the carbon footprint, environmental impact, and resource needs for the transporter, which may include, without limitation, recycling cannabis product packaging;
        (7) the applicant is 51% or more owned and controlled
    
by an individual or individuals who have been an Illinois resident for the past 5 years as proved by tax records;
        (8) the applicant is 51% or more controlled and owned
    
by an individual or individuals who meet the qualifications of a veteran as defined by Section 45-57 of the Illinois Procurement Code;
        (9) a diversity plan that includes a narrative of not
    
more than 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity; and
        (10) any other criteria the Department of Agriculture
    
may set by rule for points.
    (b) The Department may also award up to 2 bonus points for the applicant's plan to engage with the community. The applicant may demonstrate a desire to engage with its community by participating in one or more of, but not limited to, the following actions: (i) establishment of an incubator program designed to increase participation in the cannabis industry by persons who would qualify as Social Equity Applicants; (ii) providing financial assistance to substance abuse treatment centers; (iii) educating children and teens about the potential harms of cannabis use; or (iv) other measures demonstrating a commitment to the applicant's community. Bonus points will only be awarded if the Department receives applications that receive an equal score for a particular region.
    (c) Applicants for transportation organization licenses that score at least 85% of available points according to the system developed by rule and meet all other requirements for a transporter license shall be issued a license by the Department of Agriculture within 60 days of receiving the application. Applicants that were registered as medical cannabis cultivation centers prior to January 1, 2020 and who meet all other requirements for a transporter license shall be issued a license by the Department of Agriculture within 60 days of receiving the application.
    (d) Should the applicant be awarded a transportation organization license, the information and plans that an applicant provided in its application, including any plans submitted for the acquiring of bonus points, shall be a mandatory condition of the permit. Any variation from or failure to perform such plans may result in discipline, including the revocation or nonrenewal of a license.
    (e) Should the applicant be awarded a transporting organization license, the applicant shall pay a prorated fee of $10,000 prior to receiving the license, to be deposited into the Cannabis Regulation Fund. The Department of Agriculture may by rule adjust the fee in this Section after January 1, 2021.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-20

    (410 ILCS 705/40-20)
    Sec. 40-20. Denial of application. An application for a transportation organization license shall be denied if any of the following conditions are met:
        (1) the applicant failed to submit the materials
    
required by this Article;
        (2) the applicant would not be in compliance with
    
local zoning rules or permit requirements;
        (3) one or more of the prospective principal officers
    
or board members causes a violation of Section 40-25;
        (4) one or more of the principal officers or board
    
members is under 21 years of age;
        (5) the person has submitted an application for a
    
license under this Act that contains false information; or
        (6) the licensee, principal officer, board member, or
    
person having a financial or voting interest of 5% or greater in the licensee is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-25

    (410 ILCS 705/40-25)
    Sec. 40-25. Transporting organization requirements; prohibitions.
    (a) The operating documents of a transporting organization shall include procedures for the oversight of the transporter, an inventory monitoring system including a physical inventory recorded weekly, accurate recordkeeping, and a staffing plan.
    (b) A transporting organization may not transport cannabis or cannabis-infused products to any person other than a cultivation center, a craft grower, an infuser organization, a dispensing organization, a testing facility, or as otherwise authorized by rule.
    (c) All cannabis transported by a transporting organization must be entered into a data collection system and placed into a cannabis container for transport.
    (d) Transporters are subject to random inspections by the Department of Agriculture, the Department of Public Health, and the Department of State Police.
    (e) A transporting organization agent shall notify local law enforcement, the Department of State Police, and the Department of Agriculture within 24 hours of the discovery of any loss or theft. Notification shall be made by phone, in person, or by written or electronic communication.
    (f) No person under the age of 21 years shall be in a commercial vehicle or trailer transporting cannabis goods.
    (g) No person or individual who is not a transporting organization agent shall be in a vehicle while transporting cannabis goods.
    (h) Transporters may not use commercial motor vehicles with a weight rating of over 10,001 pounds.
    (i) It is unlawful for any person to offer or deliver money, or anything else of value, directly or indirectly, to any of the following persons to obtain preferential placement within the dispensing organization, including, without limitation, on shelves and in display cases where purchasers can view products, or on the dispensing organization's website:
        (1) a person having a transporting organization
    
license, or any officer, associate, member, representative, or agent of the licensee;
        (2) a person having an Early Applicant Adult Use
    
Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act;
        (3) a person connected with or in any way
    
representing, or a member of the family of, a person holding an Early Applicant Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act; or
        (4) a stockholder, officer, manager, agent, or
    
representative of a corporation engaged in the retail sale of cannabis, an Early Applicant Adult Use Dispensing Organization License, an Adult Use Dispensing Organization License, or a medical cannabis dispensing organization license issued under the Compassionate Use of Medical Cannabis Pilot Program Act.
    (j) A transportation organization agent must keep his or her identification card visible at all times when on the property of a cannabis business establishment and during the transportation of cannabis when acting under his or her duties as a transportation organization agent. During these times, the transporter organization agent must also provide the identification card upon request of any law enforcement officer engaged in his or her official duties.
    (k) A copy of the transporting organization's registration and a manifest for the delivery shall be present in any vehicle transporting cannabis.
    (l) Cannabis shall be transported so it is not visible or recognizable from outside the vehicle.
    (m) A vehicle transporting cannabis must not bear any markings to indicate the vehicle contains cannabis or bear the name or logo of the cannabis business establishment.
    (n) Cannabis must be transported in an enclosed, locked storage compartment that is secured or affixed to the vehicle.
    (o) The Department of Agriculture may, by rule, impose any other requirements or prohibitions on the transportation of cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-30

    (410 ILCS 705/40-30)
    Sec. 40-30. Transporting agent identification card.
    (a) The Department of Agriculture shall:
        (1) establish by rule the information required in an
    
initial application or renewal application for an agent identification card submitted under this Act and the nonrefundable fee to accompany the initial application or renewal application;
        (2) verify the information contained in an initial
    
application or renewal application for an agent identification card submitted under this Act and approve or deny an application within 30 days of receiving a completed initial application or renewal application and all supporting documentation required by rule;
        (3) issue an agent identification card to a
    
qualifying agent within 15 business days of approving the initial application or renewal application;
        (4) enter the license number of the transporting
    
organization where the agent works; and
        (5) allow for an electronic initial application and
    
renewal application process, and provide a confirmation by electronic or other methods that an application has been submitted. The Department of Agriculture may by rule require prospective agents to file their applications by electronic means and provide notices to the agents by electronic means.
    (b) An agent must keep his or her identification card visible at all times when on the property of a cannabis business establishment, including the cannabis business establishment for which he or she is an agent.
    (c) The agent identification cards shall contain the following:
        (1) the name of the cardholder;
        (2) the date of issuance and expiration date of the
    
identification card;
        (3) a random 10-digit alphanumeric identification
    
number containing at least 4 numbers and at least 4 letters that is unique to the holder;
        (4) a photograph of the cardholder; and
        (5) the legal name of the transporter organization
    
employing the agent.
    (d) An agent identification card shall be immediately returned to the transporter organization of the agent upon termination of his or her employment.
    (e) Any agent identification card lost by a transporting agent shall be reported to the Department of State Police and the Department of Agriculture immediately upon discovery of the loss.
    (f) An application for an agent identification card shall be denied if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-35

    (410 ILCS 705/40-35)
    Sec. 40-35. Transporting organization background checks.
    (a) Through the Department of State Police, the Department of Agriculture shall conduct a background check of the prospective principal officers, board members, and agents of a transporter applying for a license or identification card under this Act. The Department of State Police shall charge a fee set by rule for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the record check. In order to carry out this provision, each transporter organization's prospective principal officer, board member, or agent shall submit a full set of fingerprints to the Department of State Police for the purpose of obtaining a State and federal criminal records check. These fingerprints shall be checked against the fingerprint records now and hereafter, to the extent allowed by law, filed in the Department of State Police and Federal Bureau of Investigation criminal history records databases. The Department of State Police shall furnish, following positive identification, all conviction information to the Department of Agriculture.
    (b) When applying for the initial license or identification card, the background checks for all prospective principal officers, board members, and agents shall be completed before submitting the application to the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/40-40

    (410 ILCS 705/40-40)
    Sec. 40-40. Renewal of transporting organization licenses and agent identification cards.
    (a) Licenses and identification cards issued under this Act shall be renewed annually. A transporting organization shall receive written or electronic notice 90 days before the expiration of its current license that the license will expire. The Department of Agriculture shall grant a renewal within 45 days of submission of a renewal application if:
        (1) the transporting organization submits a renewal
    
application and the required nonrefundable renewal fee of $10,000, or after January 1, 2021, another amount set by rule by the Department of Agriculture, to be deposited into the Cannabis Regulation Fund;
        (2) the Department of Agriculture has not suspended
    
or revoked the license of the transporting organization for violating this Act or rules adopted under this Act;
        (3) the transporting organization has continued to
    
operate in accordance with all plans submitted as part of its application and approved by the Department of Agriculture or any amendments thereto that have been approved by the Department of Agriculture; and
        (4) the transporter has submitted an agent, employee,
    
contracting, and subcontracting diversity report as required by the Department.
    (b) If a transporting organization fails to renew its license before expiration, it shall cease operations until its license is renewed.
    (c) If a transporting organization agent fails to renew his or her identification card before its expiration, he or she shall cease to work as an agent of the transporter organization until his or her identification card is renewed.
    (d) Any transporting organization that continues to operate, or any transporting organization agent who continues to work as an agent, after the applicable license or identification card has expired without renewal is subject to the penalties provided under Section 45-5.
    (e) The Department shall not renew a license or an agent identification card if the applicant is delinquent in filing any required tax returns or paying any amounts owed to the State of Illinois.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 45

 
    (410 ILCS 705/Art. 45 heading)
Article 45.
Enforcement and Immunities
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/45-5

    (410 ILCS 705/45-5)
    Sec. 45-5. License suspension; revocation; other penalties.
    (a) Notwithstanding any other criminal penalties related to the unlawful possession of cannabis, the Department of Financial and Professional Regulation and the Department of Agriculture may revoke, suspend, place on probation, reprimand, issue cease and desist orders, refuse to issue or renew a license, or take any other disciplinary or nondisciplinary action as each department may deem proper with regard to a cannabis business establishment or cannabis business establishment agent, including fines not to exceed:
        (1) $50,000 for each violation of this Act or rules
    
adopted under this Act by a cultivation center or cultivation center agent;
        (2) $10,000 for each violation of this Act or rules
    
adopted under this Act by a dispensing organization or dispensing organization agent;
        (3) $15,000 for each violation of this Act or rules
    
adopted under this Act by a craft grower or craft grower agent;
        (4) $10,000 for each violation of this Act or rules
    
adopted under this Act by an infuser organization or infuser organization agent; and
        (5) $10,000 for each violation of this Act or rules
    
adopted under this Act by a transporting organization or transporting organization agent.
    (b) The Department of Financial and Professional Regulation and the Department of Agriculture, as the case may be, shall consider licensee cooperation in any agency or other investigation in its determination of penalties imposed under this Section.
    (c) The procedures for disciplining a cannabis business establishment or cannabis business establishment agent and for administrative hearings shall be determined by rule, and shall provide for the review of final decisions under the Administrative Review Law.
    (d) The Attorney General may also enforce a violation of Section 55-20, Section 55-21, and Section 15-155 as an unlawful practice under the Consumer Fraud and Deceptive Business Practices Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/45-10

    (410 ILCS 705/45-10)
    Sec. 45-10. Immunities and presumptions related to the handling of cannabis by cannabis business establishments and their agents.
    (a) A cultivation center, craft grower, infuser organization, or transporting organization is not subject to: (i) prosecution; (ii) search or inspection, except by the Department of Agriculture, the Department of Public Health, or State or local law enforcement under this Act; (iii) seizure; (iv) penalty in any manner, including, but not limited to, civil penalty; (v) denial of any right or privilege; or (vi) disciplinary action by a business licensing board or entity for acting under this Act and rules adopted under this Act to acquire, possess, cultivate, manufacture, process, deliver, transfer, transport, supply, or sell cannabis or cannabis paraphernalia under this Act.
    (b) A licensed cultivation center agent, licensed craft grower agent, licensed infuser organization agent, or licensed transporting organization agent is not subject to: (i) prosecution; (ii) search; (iii) penalty in any manner, including, but not limited to, civil penalty; (iv) denial of any right or privilege; or (v) disciplinary action by a business licensing board or entity, for engaging in cannabis-related activities authorized under this Act and rules adopted under this Act.
    (c) A dispensing organization is not subject to: (i) prosecution; (ii) search or inspection, except by the Department of Financial and Professional Regulation, or State or local law enforcement under this Act; (iii) seizure; (iv) penalty in any manner, including, but not limited to, civil penalty; (v) denial of any right or privilege; or (vi) disciplinary action by a business licensing board or entity, for acting under this Act and rules adopted under this Act to acquire, possess, or dispense cannabis, cannabis-infused products, cannabis paraphernalia, or related supplies, and educational materials under this Act.
    (d) A licensed dispensing organization agent is not subject to: (i) prosecution; (ii) search; or (iii) penalty in any manner, or denial of any right or privilege, including, but not limited to, civil penalty or disciplinary action by a business licensing board or entity, for working for a dispensing organization under this Act and rules adopted under this Act.
    (e) Any cannabis, cannabis-infused product, cannabis paraphernalia, legal property, or interest in legal property that is possessed, owned, or used in connection with the use of cannabis as allowed under this Act, or acts incidental to that use, may not be seized or forfeited. This Act does not prevent the seizure or forfeiture of cannabis exceeding the amounts allowed under this Act, nor does it prevent seizure or forfeiture if the basis for the action is unrelated to the cannabis that is possessed, manufactured, transferred, or used under this Act.
    (f) Nothing in this Act shall preclude local or State law enforcement agencies from searching a cultivation center, craft grower, infuser organization, transporting organization, or dispensing organization if there is probable cause to believe that the criminal laws of this State have been violated and the search is conducted in conformity with the Illinois Constitution, the Constitution of the United States, and applicable law.
    (g) Nothing in this Act shall preclude the Attorney General or other authorized government agency from investigating or bringing a civil action against a cannabis business establishment, or an agent thereof, for a violation of State law, including, but not limited to, civil rights violations and violations of the Consumer Fraud and Deceptive Business Practices Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/45-15

    (410 ILCS 705/45-15)
    Sec. 45-15. State standards and requirements. Any standards, requirements, and rules regarding the health and safety, environmental protection, testing, security, food safety, and worker protections established by the State shall be the minimum standards for all licensees under this Act statewide, where applicable. Knowing violations of any State or local law, ordinance, or rule conferring worker protections or legal rights on the employees of a licensee may be grounds for disciplinary action under this Act, in addition to penalties established elsewhere.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/45-20

    (410 ILCS 705/45-20)
    Sec. 45-20. Violation of tax Acts; refusal, revocation, or suspension of license or agent identification card.
    (a) In addition to other grounds specified in this Act, the Department of Agriculture and Department of Financial and Professional Regulation, upon notification by the Department of Revenue, shall refuse the issuance or renewal of a license or agent identification card, or suspend or revoke the license or agent identification card, of any person, for any of the following violations of any tax Act administered by the Department of Revenue:
        (1) Failure to file a tax return.
        (2) The filing of a fraudulent return.
        (3) Failure to pay all or part of any tax or penalty
    
finally determined to be due.
        (4) Failure to keep books and records.
        (5) Failure to secure and display a certificate or
    
sub-certificate of registration, if required.
        (6) Willful violation of any rule or regulation of
    
the Department relating to the administration and enforcement of tax liability.
    (b) After all violations of any of items (1) through (6) of subsection (a) have been corrected or resolved, the Department shall, upon request of the applicant or, if not requested, may notify the entities listed in subsection (a) that the violations have been corrected or resolved. Upon receiving notice from the Department that a violation of any of items (1) through (6) of subsection (a) have been corrected or otherwise resolved to the Department of Revenue's satisfaction, the Department of Agriculture and the Department of Financial and Professional Regulation may issue or renew the license or agent identification card, or vacate an order of suspension or revocation.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 50

 
    (410 ILCS 705/Art. 50 heading)
Article 50.
Laboratory Testing
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/50-5

    (410 ILCS 705/50-5)
    Sec. 50-5. Laboratory testing.
    (a) Notwithstanding any other provision of law, the following acts, when performed by a cannabis testing facility with a current, valid registration, or a person 21 years of age or older who is acting in his or her capacity as an owner, employee, or agent of a cannabis testing facility, are not unlawful and shall not be an offense under Illinois law or be a basis for seizure or forfeiture of assets under Illinois law:
        (1) possessing, repackaging, transporting, storing,
    
or displaying cannabis or cannabis-infused products;
        (2) receiving or transporting cannabis or
    
cannabis-infused products from a cannabis business establishment, a community college licensed under the Community College Cannabis Vocational Training Pilot Program, or a person 21 years of age or older; and
        (3) returning or transporting cannabis or
    
cannabis-infused products to a cannabis business establishment, a community college licensed under the Community College Cannabis Vocational Training Pilot Program, or a person 21 years of age or older.
    (b)(1) No laboratory shall handle, test, or analyze cannabis unless approved by the Department of Agriculture in accordance with this Section.
    (2) No laboratory shall be approved to handle, test, or analyze cannabis unless the laboratory:
        (A) is accredited by a private laboratory accrediting
    
organization;
        (B) is independent from all other persons involved in
    
the cannabis industry in Illinois and no person with a direct or indirect interest in the laboratory has a direct or indirect financial, management, or other interest in an Illinois cultivation center, craft grower, dispensary, infuser, transporter, certifying physician, or any other entity in the State that may benefit from the production, manufacture, dispensing, sale, purchase, or use of cannabis; and
        (C) has employed at least one person to oversee and
    
be responsible for the laboratory testing who has earned, from a college or university accredited by a national or regional certifying authority, at least:
            (i) a master's level degree in chemical or
        
biological sciences and a minimum of 2 years' post-degree laboratory experience; or
            (ii) a bachelor's degree in chemical or
        
biological sciences and a minimum of 4 years' post-degree laboratory experience.
    (3) Each independent testing laboratory that claims to be accredited must provide the Department of Agriculture with a copy of the most recent annual inspection report granting accreditation and every annual report thereafter.
    (c) Immediately before manufacturing or natural processing of any cannabis or cannabis-infused product or packaging cannabis for sale to a dispensary, each batch shall be made available by the cultivation center, craft grower, or infuser for an employee of an approved laboratory to select a random sample, which shall be tested by the approved laboratory for:
        (1) microbiological contaminants;
        (2) mycotoxins;
        (3) pesticide active ingredients;
        (4) residual solvent; and
        (5) an active ingredient analysis.
    (d) The Department of Agriculture may select a random sample that shall, for the purposes of conducting an active ingredient analysis, be tested by the Department of Agriculture for verification of label information.
    (e) A laboratory shall immediately return or dispose of any cannabis upon the completion of any testing, use, or research. If cannabis is disposed of, it shall be done in compliance with Department of Agriculture rule.
    (f) If a sample of cannabis does not pass the microbiological, mycotoxin, pesticide chemical residue, or solvent residue test, based on the standards established by the Department of Agriculture, the following shall apply:
        (1) If the sample failed the pesticide chemical
    
residue test, the entire batch from which the sample was taken shall, if applicable, be recalled as provided by rule.
        (2) If the sample failed any other test, the batch
    
may be used to make a CO2-based or solvent based extract. After processing, the CO2-based or solvent based extract must still pass all required tests.
    (g) The Department of Agriculture shall establish standards for microbial, mycotoxin, pesticide residue, solvent residue, or other standards for the presence of possible contaminants, in addition to labeling requirements for contents and potency.
    (h) The laboratory shall file with the Department of Agriculture an electronic copy of each laboratory test result for any batch that does not pass the microbiological, mycotoxin, or pesticide chemical residue test, at the same time that it transmits those results to the cultivation center. In addition, the laboratory shall maintain the laboratory test results for at least 5 years and make them available at the Department of Agriculture's request.
    (i) A cultivation center, craft grower, and infuser shall provide to a dispensing organization the laboratory test results for each batch of cannabis product purchased by the dispensing organization, if sampled. Each dispensary organization must have those laboratory results available upon request to purchasers.
    (j) The Department of Agriculture may adopt rules related to testing in furtherance of this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/Art. 55

 
    (410 ILCS 705/Art. 55 heading)
Article 55.
General Provisions
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-5

    (410 ILCS 705/55-5)
    Sec. 55-5. Preparation of cannabis-infused products.
    (a) The Department of Agriculture may regulate the production of cannabis-infused products by a cultivation center, a craft grower, an infuser organization, or a dispensing organization and establish rules related to refrigeration, hot-holding, and handling of cannabis-infused products. All cannabis-infused products shall meet the packaging and labeling requirements contained in Section 55-21.
    (b) Cannabis-infused products for sale or distribution at a dispensing organization must be prepared by an approved agent of a cultivation center or infuser organization.
    (c) A cultivation center or infuser organization that prepares cannabis-infused products for sale or distribution by a dispensing organization shall be under the operational supervision of a Department of Public Health certified food service sanitation manager.
    (d) Dispensing organizations may not manufacture, process, or produce cannabis-infused products.
    (e) The Department of Public Health shall adopt and enforce rules for the manufacture and processing of cannabis-infused products, and for that purpose it may at all times enter every building, room, basement, enclosure, or premises occupied or used, or suspected of being occupied or used, for the production, preparation, manufacture for sale, storage, sale, processing, distribution, or transportation of cannabis-infused products, and to inspect the premises together with all utensils, fixtures, furniture, and machinery used for the preparation of these products.
    (f) The Department of Agriculture shall by rule establish a maximum level of THC that may be contained in each serving of cannabis-infused product, and within the product package.
    (g) If a local public health agency has a reasonable belief that a cannabis-infused product poses a public health hazard, it may refer the cultivation center, craft grower, or infuser that manufactured or processed the cannabis-infused product to the Department of Public Health. If the Department of Public Health finds that a cannabis-infused product poses a health hazard, it may bring an action for immediate injunctive relief to require that action be taken as the court may deem necessary to meet the hazard of the cultivation facility or seek other relief as provided by rule.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-10

    (410 ILCS 705/55-10)
    Sec. 55-10. Maintenance of inventory. All dispensing organizations authorized to serve both registered qualifying patients and caregivers and purchasers are required to report which cannabis and cannabis-infused products are purchased for sale under the Compassionate Use of Medical Cannabis Pilot Program Act, and which cannabis and cannabis-infused products are purchased under this Act. Nothing in this Section prohibits a registered qualifying patient under the Compassionate Use of Medical Cannabis Pilot Program Act from purchasing cannabis as a purchaser under this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-15

    (410 ILCS 705/55-15)
    Sec. 55-15. Destruction of cannabis.
    (a) All cannabis byproduct, scrap, and harvested cannabis not intended for distribution to a dispensing organization must be destroyed and disposed of under rules adopted by the Department of Agriculture under this Act. Documentation of destruction and disposal shall be retained at the cultivation center, craft grower, infuser organization, transporter, or testing facility as applicable for a period of not less than 5 years.
    (b) A cultivation center, craft grower, or infuser organization shall, before destruction, notify the Department of Agriculture and the Department of State Police. A dispensing organization shall, before destruction, notify the Department of Financial and Professional Regulation and the Department of State Police. The Department of Agriculture may by rule require that an employee of the Department of Agriculture or the Department of Financial and Professional Regulation be present during the destruction of any cannabis byproduct, scrap, and harvested cannabis, as applicable.
    (c) The cultivation center, craft grower, infuser organization, or dispensing organization shall keep a record of the date of destruction and how much was destroyed.
    (d) A dispensing organization shall destroy all cannabis, including cannabis-infused products, not sold to purchasers. Documentation of destruction and disposal shall be retained at the dispensing organization for a period of not less than 5 years.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-20

    (410 ILCS 705/55-20)
    Sec. 55-20. Advertising and promotions.
    (a) No cannabis business establishment nor any other person or entity shall engage in advertising that contains any statement or illustration that:
        (1) is false or misleading;
        (2) promotes overconsumption of cannabis or cannabis
    
products;
        (3) depicts the actual consumption of cannabis or
    
cannabis products;
        (4) depicts a person under 21 years of age consuming
    
cannabis;
        (5) makes any health, medicinal, or therapeutic
    
claims about cannabis or cannabis-infused products;
        (6) includes the image of a cannabis leaf or bud; or
        (7) includes any image designed or likely to appeal
    
to minors, including cartoons, toys, animals, or children, or any other likeness to images, characters, or phrases that is designed in any manner to be appealing to or encourage consumption of persons under 21 years of age.
    (b) No cannabis business establishment nor any other person or entity shall place or maintain, or cause to be placed or maintained, an advertisement of cannabis or a cannabis-infused product in any form or through any medium:
        (1) within 1,000 feet of the perimeter of school
    
grounds, a playground, a recreation center or facility, a child care center, a public park or public library, or a game arcade to which admission is not restricted to persons 21 years of age or older;
        (2) on or in a public transit vehicle or public
    
transit shelter;
        (3) on or in publicly owned or publicly operated
    
property; or
        (4) that contains information that:
            (A) is false or misleading;
            (B) promotes excessive consumption;
            (C) depicts a person under 21 years of age
        
consuming cannabis;
            (D) includes the image of a cannabis leaf; or
            (E) includes any image designed or likely to
        
appeal to minors, including cartoons, toys, animals, or children, or any other likeness to images, characters, or phrases that are popularly used to advertise to children, or any imitation of candy packaging or labeling, or that promotes consumption of cannabis.
    (c) Subsections (a) and (b) do not apply to an educational message.
    (d) Sales promotions. No cannabis business establishment nor any other person or entity may encourage the sale of cannabis or cannabis products by giving away cannabis or cannabis products, by conducting games or competitions related to the consumption of cannabis or cannabis products, or by providing promotional materials or activities of a manner or type that would be appealing to children.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-21

    (410 ILCS 705/55-21)
    Sec. 55-21. Cannabis product packaging and labeling.
    (a) Each cannabis product produced for sale shall be registered with the Department of Agriculture on forms provided by the Department of Agriculture. Each product registration shall include a label and the required registration fee at the rate established by the Department of Agriculture for a comparable medical cannabis product, or as established by rule. The registration fee is for the name of the product offered for sale and one fee shall be sufficient for all package sizes.
    (b) All harvested cannabis intended for distribution to a cannabis enterprise must be packaged in a sealed, labeled container.
    (c) Any product containing cannabis shall be packaged in a sealed, odor-proof, and child-resistant cannabis container consistent with current standards, including the Consumer Product Safety Commission standards referenced by the Poison Prevention Act.
    (d) All cannabis-infused products shall be individually wrapped or packaged at the original point of preparation. The packaging of the cannabis-infused product shall conform to the labeling requirements of the Illinois Food, Drug and Cosmetic Act, in addition to the other requirements set forth in this Section.
    (e) Each cannabis product shall be labeled before sale and each label shall be securely affixed to the package and shall state in legible English and any languages required by the Department of Agriculture:
        (1) the name and post office box of the registered
    
cultivation center or craft grower where the item was manufactured;
        (2) the common or usual name of the item and the
    
registered name of the cannabis product that was registered with the Department of Agriculture under subsection (a);
        (3) a unique serial number that will match the
    
product with a cultivation center or craft grower batch and lot number to facilitate any warnings or recalls the Department of Agriculture, cultivation center, or craft grower deems appropriate;
        (4) the date of final testing and packaging, if
    
sampled, and the identification of the independent testing laboratory;
        (5) the date of harvest and "use by" date;
        (6) the quantity (in ounces or grams) of cannabis
    
contained in the product;
        (7) a pass/fail rating based on the laboratory's
    
microbiological, mycotoxins, and pesticide and solvent residue analyses, if sampled.
        (8) content list.
            (A) A list of the following, including the
        
minimum and maximum percentage content by weight for subdivisions (d)(8)(A)(i) through (iv):
                (i) delta-9-tetrahydrocannabinol (THC);
                (ii) tetrahydrocannabinolic acid (THCA);
                (iii) cannabidiol (CBD);
                (iv) cannabidiolic acid (CBDA); and
                (v) all other ingredients of the item,
            
including any colors, artificial flavors, and preservatives, listed in descending order by predominance of weight shown with common or usual names.
            (B) The acceptable tolerances for the minimum
        
percentage printed on the label for any of subdivisions (d)(8)(A)(i) through (iv) shall not be below 85% or above 115% of the labeled amount;
    (f) Packaging must not contain information that:
        (1) is false or misleading;
        (2) promotes excessive consumption;
        (3) depicts a person under 21 years of age consuming
    
cannabis;
        (4) includes the image of a cannabis leaf;
        (5) includes any image designed or likely to appeal
    
to minors, including cartoons, toys, animals, or children, or any other likeness to images, characters, or phrases that are popularly used to advertise to children, or any packaging or labeling that bears reasonable resemblance to any product available for consumption as a commercially available candy, or that promotes consumption of cannabis;
        (6) contains any seal, flag, crest, coat of arms, or
    
other insignia likely to mislead the purchaser to believe that the product has been endorsed, made, or used by the State of Illinois or any of its representatives except where authorized by this Act.
    (g) Cannabis products produced by concentrating or extracting ingredients from the cannabis plant shall contain the following information, where applicable:
        (1) If solvents were used to create the concentrate
    
or extract, a statement that discloses the type of extraction method, including any solvents or gases used to create the concentrate or extract; and
        (2) Any other chemicals or compounds used to produce
    
or were added to the concentrate or extract.
    (h) All cannabis products must contain warning statements established for purchasers, of a size that is legible and readily visible to a consumer inspecting a package, which may not be covered or obscured in any way. The Department of Public Health shall define and update appropriate health warnings for packages including specific labeling or warning requirements for specific cannabis products.
    (i) Unless modified by rule to strengthen or respond to new evidence and science, the following warnings shall apply to all cannabis products unless modified by rule: "This product contains cannabis and is intended for use by adults 21 and over. Its use can impair cognition and may be habit forming. This product should not be used by pregnant or breastfeeding women. It is unlawful to sell or provide this item to any individual, and it may not be transported outside the State of Illinois. It is illegal to operate a motor vehicle while under the influence of cannabis. Possession or use of this product may carry significant legal penalties in some jurisdictions and under federal law.".
    (j) Warnings for each of the following product types must be present on labels when offered for sale to a purchaser:
        (1) Cannabis that may be smoked must contain a
    
statement that "Smoking is hazardous to your health.".
        (2) Cannabis-infused products (other than those
    
intended for topical application) must contain a statement "CAUTION: This product contains cannabis, and intoxication following use may be delayed 2 or more hours. This product was produced in a facility that cultivates cannabis, and that may also process common food allergens.".
        (3) Cannabis-infused products intended for topical
    
application must contain a statement "DO NOT EAT" in bold, capital letters.
    (k) Each cannabis-infused product intended for consumption must be individually packaged, must include the total milligram content of THC and CBD, and may not include more than a total of 100 milligrams of THC per package. A package may contain multiple servings of 10 milligrams of THC, and indicated by scoring, wrapping, or by other indicators designating individual serving sizes. The Department of Agriculture may change the total amount of THC allowed for each package, or the total amount of THC allowed for each serving size, by rule.
    (l) No individual other than the purchaser may alter or destroy any labeling affixed to the primary packaging of cannabis or cannabis-infused products.
    (m) For each commercial weighing and measuring device used at a facility, the cultivation center or craft grower must:
        (1) Ensure that the commercial device is licensed
    
under the Weights and Measures Act and the associated administrative rules (8 Ill. Adm. Code 600);
        (2) Maintain documentation of the licensure of the
    
commercial device; and
        (3) Provide a copy of the license of the commercial
    
device to the Department of Agriculture for review upon request.
    (n) It is the responsibility of the Department to ensure that packaging and labeling requirements, including product warnings, are enforced at all times for products provided to purchasers. Product registration requirements and container requirements may be modified by rule by the Department of Agriculture.
    (o) Labeling, including warning labels, may be modified by rule by the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-25

    (410 ILCS 705/55-25)
    Sec. 55-25. Local ordinances. Unless otherwise provided under this Act or otherwise in accordance with State law:
        (1) A unit of local government, including a home rule
    
unit or any non-home rule county within the unincorporated territory of the county, may enact reasonable zoning ordinances or resolutions, not in conflict with this Act or rules adopted pursuant to this Act, regulating cannabis business establishments. No unit of local government, including a home rule unit or any non-home rule county within the unincorporated territory of the county, may prohibit home cultivation or unreasonably prohibit use of cannabis authorized by this Act.
        (2) A unit of local government, including a home rule
    
unit or any non-home rule county within the unincorporated territory of the county, may enact ordinances or rules not in conflict with this Act or with rules adopted pursuant to this Act governing the time, place, manner, and number of cannabis business establishment operations, including minimum distance limitations between cannabis business establishments and locations it deems sensitive, including colleges and universities, through the use of conditional use permits. A unit of local government, including a home rule unit, may establish civil penalties for violation of an ordinance or rules governing the time, place, and manner of operation of a cannabis business establishment or a conditional use permit in the jurisdiction of the unit of local government. No unit of local government, including a home rule unit or non-home rule county within an unincorporated territory of the county, may unreasonably restrict the time, place, manner, and number of cannabis business establishment operations authorized by this Act.
        (3) A unit of local government, including a home rule
    
unit, or any non-home rule county within the unincorporated territory of the county may regulate the on-premises consumption of cannabis at or in a cannabis business establishment within its jurisdiction in a manner consistent with this Act. A cannabis business establishment or other entity authorized or permitted by a unit of local government to allow on-site consumption shall not be deemed a public place within the meaning of the Smoke Free Illinois Act.
        (4) A unit of local government, including a home rule
    
unit or any non-home rule county within the unincorporated territory of the county, may not regulate the activities described in paragraph (1), (2), or (3) in a manner more restrictive than the regulation of those activities by the State under this Act. This Section is a limitation under subsection (i) of Section 6 of Article VII of the Illinois Constitution on the concurrent exercise by home rule units of powers and functions exercised by the State.
        (5) A unit of local government, including a home rule
    
unit or any non-home rule county within the unincorporated territory of the county, may enact ordinances to prohibit or significantly limit a cannabis business establishment's location.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-28

    (410 ILCS 705/55-28)
    Sec. 55-28. Restricted cannabis zones.
    (a) As used in this Section:
    "Legal voter" means a person:
        (1) who is duly registered to vote in a municipality
    
with a population of over 500,000;
        (2) whose name appears on a poll list compiled by the
    
city board of election commissioners since the last preceding election, regardless of whether the election was a primary, general, or special election;
        (3) who, at the relevant time, is a resident of the
    
address at which he or she is registered to vote; and
        (4) whose address, at the relevant time, is located
    
in the precinct where such person seeks to circulate or sign a petition under this Section.
    As used in the definition of "legal voter", "relevant time" means any time that:
        (i) a notice of intent is filed, pursuant to
    
subsection (c) of this Section, to initiate the petition process under this Section;
        (ii) the petition is circulated for signature in the
    
applicable precinct; or
        (iii) the petition is signed by registered voters in
    
the applicable precinct.
    "Petition" means the petition described in this Section.
    "Precinct" means the smallest constituent territory within a municipality with a population of over 500,000 in which electors vote as a unit at the same polling place in any election governed by the Election Code.
    "Restricted cannabis zone" means a precinct within which home cultivation, one or more types of cannabis business establishments, or both has been prohibited pursuant to an ordinance initiated by a petition under this Section.
    (b) The legal voters of any precinct within a municipality with a population of over 500,000 may petition their local alderman, using a petition form made available online by the city clerk, to introduce an ordinance establishing the precinct as a restricted zone. Such petition shall specify whether it seeks an ordinance to prohibit, within the precinct: (i) home cultivation; (ii) one or more types of cannabis business establishments; or (iii) home cultivation and one or more types of cannabis business establishments.
    Upon receiving a petition containing the signatures of at least 25% of the registered voters of the precinct, and concluding that the petition is legally sufficient following the posting and review process in subsection (c) of this Section, the city clerk shall notify the local alderman of the ward in which the precinct is located. Upon being notified, that alderman, following an assessment of relevant factors within the precinct, including but not limited to, its geography, density and character, the prevalence of residentially zoned property, current licensed cannabis business establishments in the precinct, the current amount of home cultivation in the precinct, and the prevailing viewpoint with regard to the issue raised in the petition, may introduce an ordinance to the municipality's governing body creating a restricted cannabis zone in that precinct.
    (c) A person seeking to initiate the petition process described in this Section shall first submit to the city clerk notice of intent to do so, on a form made available online by the city clerk. That notice shall include a description of the potentially affected area and the scope of the restriction sought. The city clerk shall publicly post the submitted notice online.
    To be legally sufficient, a petition must contain the requisite number of valid signatures and all such signatures must be obtained within 90 days of the date that the city clerk publicly posts the notice of intent. Upon receipt, the city clerk shall post the petition on the municipality's website for a 30-day comment period. The city clerk is authorized to take all necessary and appropriate steps to verify the legal sufficiency of a submitted petition. Following the petition review and comment period, the city clerk shall publicly post online the status of the petition as accepted or rejected, and if rejected, the reasons therefor. If the city clerk rejects a petition as legally insufficient, a minimum of 12 months must elapse from the time the city clerk posts the rejection notice before a new notice of intent for that same precinct may be submitted.
    (d) Notwithstanding any law to the contrary, the municipality may enact an ordinance creating a restricted cannabis zone. The ordinance shall:
        (1) identify the applicable precinct boundaries as of
    
the date of the petition;
        (2) state whether the ordinance prohibits within the
    
defined boundaries of the precinct, and in what combination: (A) one or more types of cannabis business establishments; or (B) home cultivation;
        (3) be in effect for 4 years, unless repealed
    
earlier; and
        (4) once in effect, be subject to renewal by
    
ordinance at the expiration of the 4-year period without the need for another supporting petition.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-30

    (410 ILCS 705/55-30)
    Sec. 55-30. Confidentiality.
    (a) Information provided by the cannabis business establishment licensees or applicants to the Department of Agriculture, the Department of Public Health, the Department of Financial and Professional Regulation, the Department of Commerce and Economic Opportunity, or other agency shall be limited to information necessary for the purposes of administering this Act. The information is subject to the provisions and limitations contained in the Freedom of Information Act and may be disclosed in accordance with Section 55-65.
    (b) The following information received and records kept by the Department of Agriculture, the Department of Public Health, the Department of State Police, and the Department of Financial and Professional Regulation for purposes of administering this Article are subject to all applicable federal privacy laws, are confidential and exempt from disclosure under the Freedom of Information Act, except as provided in this Act, and not subject to disclosure to any individual or public or private entity, except to the Department of Financial and Professional Regulation, the Department of Agriculture, the Department of Public Health, and the Department of State Police as necessary to perform official duties under this Article. The following information received and kept by the Department of Financial and Professional Regulation or the Department of Agriculture, excluding any existing or non-existing Illinois or national criminal history record information, may be disclosed to the Department of Public Health, the Department of Agriculture, the Department of Revenue, or the Department of State Police upon request:
        (1) Applications and renewals, their contents, and
    
supporting information submitted by or on behalf of dispensing organizations in compliance with this Article, including their physical addresses;
        (2) Any plans, procedures, policies, or other records
    
relating to dispensing organization security;
        (3) Information otherwise exempt from disclosure by
    
State or federal law.
    (c) The name and address of a dispensing organization licensed under this Act shall be subject to disclosure under the Freedom of Information Act. The name and cannabis business establishment address of the person or entity holding each cannabis business establishment license shall be subject to disclosure.
    (d) All information collected by the Department of Financial and Professional Regulation in the course of an examination, inspection, or investigation of a licensee or applicant, including, but not limited to, any complaint against a licensee or applicant filed with the Department and information collected to investigate any such complaint, shall be maintained for the confidential use of the Department and shall not be disclosed, except as otherwise provided in the Act. A formal complaint against a licensee by the Department or any disciplinary order issued by the Department against a licensee or applicant shall be a public record, except as otherwise prohibited by law, as required by law, or as necessary to enforce the provisions of this Act. Complaints from consumers or members of the general public received regarding a specific, named licensee or complaints regarding conduct by unlicensed entities shall be subject to disclosure under the Freedom of Information Act
    (e) The Department of Agriculture, the Department of State Police, and the Department of Financial and Professional Regulation shall not share or disclose any existing or non-existing Illinois or national criminal history record information to any person or entity not expressly authorized by this Act. As used in this Section, "any existing or non-existing Illinois or national criminal history record information" means any Illinois or national criminal history record information, including but not limited to the lack of or non-existence of these records.
    (f) Each Department responsible for licensure under this Act shall publish on the Department's website a list of the ownership information of cannabis business establishment licensees under the Department's jurisdiction. The list shall include, but is not limited to: the name of the person or entity holding each cannabis business establishment license; and the address at which the entity is operating under this Act. This list shall be published and updated monthly.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-35

    (410 ILCS 705/55-35)
    Sec. 55-35. Administrative rulemaking.
    (a) No later than 180 days after the effective date of this Act, the Department of Agriculture, the Department of State Police, the Department of Financial and Professional Regulation, the Department of Revenue, the Department of Commerce and Economic Opportunity, and the Treasurer's Office shall adopt permanent rules in accordance with their responsibilities under this Act. The Department of Agriculture, the Department of State Police, the Department of Financial and Professional Regulation, the Department of Revenue, and the Department of Commerce and Economic Opportunity may adopt rules necessary to regulate personal cannabis use through the use of emergency rulemaking in accordance with subsection (gg) of Section 5-45 of the Illinois Administrative Procedure Act. The General Assembly finds that the adoption of rules to regulate cannabis use is deemed an emergency and necessary for the public interest, safety, and welfare.
    (b) The Department of Agriculture rules may address, but are not limited to, the following matters related to cultivation centers, craft growers, infuser organizations, and transporting organizations with the goal of protecting against diversion and theft, without imposing an undue burden on the cultivation centers, craft growers, infuser organizations, or transporting organizations:
        (1) oversight requirements for cultivation centers,
    
craft growers, infuser organizations, and transporting organizations;
        (2) recordkeeping requirements for cultivation
    
centers, craft growers, infuser organizations, and transporting organizations;
        (3) security requirements for cultivation centers,
    
craft growers, infuser organizations, and transporting organizations, which shall include that each cultivation center, craft grower, infuser organization, and transporting organization location must be protected by a fully operational security alarm system;
        (4) standards for enclosed, locked facilities under
    
this Act;
        (5) procedures for suspending or revoking the
    
identification cards of agents of cultivation centers, craft growers, infuser organizations, and transporting organizations that commit violations of this Act or the rules adopted under this Section;
        (6) rules concerning the intrastate transportation of
    
cannabis from a cultivation center, craft grower, infuser organization, and transporting organization to a dispensing organization;
        (7) standards concerning the testing, quality,
    
cultivation, and processing of cannabis; and
        (8) any other matters under oversight by the
    
Department of Agriculture as are necessary for the fair, impartial, stringent, and comprehensive administration of this Act.
    (c) The Department of Financial and Professional Regulation rules may address, but are not limited to, the following matters related to dispensing organizations, with the goal of protecting against diversion and theft, without imposing an undue burden on the dispensing organizations:
        (1) oversight requirements for dispensing
    
organizations;
        (2) recordkeeping requirements for dispensing
    
organizations;
        (3) security requirements for dispensing
    
organizations, which shall include that each dispensing organization location must be protected by a fully operational security alarm system;
        (4) procedures for suspending or revoking the
    
licenses of dispensing organization agents that commit violations of this Act or the rules adopted under this Act;
        (5) any other matters under oversight by the
    
Department of Financial and Professional Regulation that are necessary for the fair, impartial, stringent, and comprehensive administration of this Act.
    (d) The Department of Revenue rules may address, but are not limited to, the following matters related to the payment of taxes by cannabis business establishments:
        (1) recording of sales;
        (2) documentation of taxable income and expenses;
        (3) transfer of funds for the payment of taxes; or
        (4) any other matter under the oversight of the
    
Department of Revenue.
    (e) The Department of Commerce and Economic Opportunity rules may address, but are not limited to, a loan program or grant program to assist Social Equity Applicants access the capital needed to start a cannabis business establishment. The names of recipients and the amounts of any moneys received through a loan program or grant program shall be a public record.
    (f) The Department of State Police rules may address enforcement of its authority under this Act. The Department of State Police shall not make rules that infringe on the exclusive authority of the Department of Financial and Professional Regulation or the Department of Agriculture over licensees under this Act.
    (g) The Department of Public Health shall develop and disseminate:
        (1) educational information about the health risks
    
associated with the use of cannabis; and
        (2) one or more public education campaigns in
    
coordination with local health departments and community organizations, including one or more prevention campaigns directed at children, adolescents, parents, and pregnant or breastfeeding women, to inform them of the potential health risks associated with intentional or unintentional cannabis use.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-40

    (410 ILCS 705/55-40)
    Sec. 55-40. Enforcement.
    (a) If the Department of Agriculture, Department of State Police, Department of Financial and Professional Regulation, Department of Commerce and Economic Opportunity, or Department of Revenue fails to adopt rules to implement this Act within the times provided in this Act, any citizen may commence a mandamus action in the circuit court to compel the agencies to perform the actions mandated under Section 55-35.
    (b) If the Department of Agriculture or the Department of Financial and Professional Regulation fails to issue a valid agent identification card in response to a valid initial application or renewal application submitted under this Act or fails to issue a verbal or written notice of denial of the application within 30 days of its submission, the agent identification card is deemed granted and a copy of the agent identification initial application or renewal application shall be deemed a valid agent identification card.
    (c) Authorized employees of State or local law enforcement agencies shall immediately notify the Department of Agriculture and the Department of Financial and Professional Regulation when any person in possession of an agent identification card has been convicted of or pled guilty to violating this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-45

    (410 ILCS 705/55-45)
    Sec. 55-45. Administrative hearings.
    (a) Administrative hearings related to the duties and responsibilities assigned to the Department of Public Health shall be conducted under the Department of Public Health's rules governing administrative hearings.
    (b) Administrative hearings related to the duties and responsibilities assigned to the Department of Financial and Professional Regulation and dispensing organization agents shall be conducted under the Department of Financial and Professional Regulation's rules governing administrative hearings.
    (c) Administrative hearings related to the duties and responsibilities assigned to the Department of Agriculture, cultivation centers, or cultivation center agents shall be conducted under the Department of Agriculture's rules governing administrative hearings.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-50

    (410 ILCS 705/55-50)
    Sec. 55-50. Petition for rehearing. Within 20 days after the service of any order or decision of the Department of Public Health, the Department of Agriculture, the Department of Financial and Professional Regulation, or the Department of State Police upon any party to the proceeding, the party may apply for a rehearing in respect to any matters determined by them under this Act, except for decisions made under the Cannabis Cultivation Privilege Tax Law, the Cannabis Purchaser Excise Tax Law, the County Cannabis Retailers' Occupation Tax Law, and the Municipal Cannabis Retailers' Occupation Tax Law, which shall be governed by the provisions of those Laws. If a rehearing is granted, an agency shall hold the rehearing and render a decision within 30 days from the filing of the application for rehearing with the agency. The time for holding such rehearing and rendering a decision may be extended for a period not to exceed 30 days, for good cause shown, and by notice in writing to all parties of interest. If an agency fails to act on the application for rehearing within 30 days, or the date the time for rendering a decision was extended for good cause shown, the order or decision of the agency is final. No action for the judicial review of any order or decision of an agency shall be allowed unless the party commencing such action has first filed an application for a rehearing and the agency has acted or failed to act upon the application. Only one rehearing may be granted by an agency on application of any one party.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-55

    (410 ILCS 705/55-55)
    Sec. 55-55. Review of administrative decisions. All final administrative decisions of the Department of Public Health, the Department of Agriculture, the Department of Financial and Professional Regulation, and the Department of State Police are subject to judicial review under the Administrative Review Law and the rules adopted under that Law. The term "administrative decision" is defined as in Section 3-101 of the Code of Civil Procedure.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-60

    (410 ILCS 705/55-60)
    Sec. 55-60. Suspension or revocation of a license.
    (a) The Department of Financial and Professional Regulation or the Department of Agriculture may suspend or revoke a license for a violation of this Act or a rule adopted in accordance with this Act by the Department of Agriculture and the Department of Financial and Professional Regulation.
    (b) The Department of Agriculture and the Department of Financial and Professional Regulation may suspend or revoke an agent identification card for a violation of this Act or a rule adopted in accordance with this Act.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-65

    (410 ILCS 705/55-65)
    Sec. 55-65. Financial institutions.
    (a) A financial institution that provides financial services customarily provided by financial institutions to a cannabis business establishment authorized under this Act or the Compassionate Use of Medical Cannabis Pilot Program Act, or to a person that is affiliated with such cannabis business establishment, is exempt from any criminal law of this State as it relates to cannabis-related conduct authorized under State law.
    (b) Upon request of a financial institution, a cannabis business establishment or proposed cannabis business establishment may provide to the financial institution the following information:
        (1) Whether a cannabis business establishment with
    
which the financial institution is doing or is considering doing business holds a license under this Act or the Compassionate Use of Medical Cannabis Pilot Program Act;
        (2) The name of any other business or individual
    
affiliate with the cannabis business establishment;
        (3) A copy of the application, and any supporting
    
documentation submitted with the application, for a license or a permit submitted on behalf of the proposed cannabis business establishment;
        (4) If applicable, data relating to sales and the
    
volume of product sold by the cannabis business establishment;
        (5) Any past or pending violation by the person of
    
this Act, the Compassionate Use of Medical Cannabis Pilot Program Act, or the rules adopted under these Acts where applicable; and
        (6) Any penalty imposed upon the person for violating
    
this Act, the Compassionate Use of Medical Cannabis Pilot Program Act, or the rules adopted under these Acts.
    (c) (Blank).
    (d) (Blank).
    (e) Information received by a financial institution under this Section is confidential. Except as otherwise required or permitted by this Act, State law or rule, or federal law or regulation, a financial institution may not make the information available to any person other than:
        (1) the customer to whom the information applies;
        (2) a trustee, conservator, guardian, personal
    
representative, or agent of the customer to whom the information applies; a federal or State regulator when requested in connection with an examination of the financial institution or if otherwise necessary for complying with federal or State law;
        (3) a federal or State regulator when requested in
    
connection with an examination of the financial institution or if otherwise necessary for complying with federal or State law; and
        (4) a third party performing services for the
    
financial institution, provided the third party is performing such services under a written agreement that expressly or by operation of law prohibits the third party's sharing and use of such confidential information for any purpose other than as provided in its agreement to provide services to the financial institution.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-75

    (410 ILCS 705/55-75)
    Sec. 55-75. Contracts enforceable. It is the public policy of this State that contracts related to the operation of a lawful cannabis business establishment under this Act are enforceable. It is the public policy of this State that no contract entered into by a lawful cannabis business establishment or its agents on behalf of a cannabis business establishment, or by those who allow property to be used by a cannabis business establishment, shall be unenforceable on the basis that cultivating, obtaining, manufacturing, processing, distributing, dispensing, transporting, selling, possessing, or using cannabis or hemp is prohibited by federal law.
(Source: P.A. 101-27, eff. 6-25-19.)

410 ILCS 705/55-80

    (410 ILCS 705/55-80)
    Sec. 55-80. Annual reports.
    (a) The Department of Financial and Professional Regulation shall submit to the General Assembly and Governor a report, by September 30 of each year, that does not disclose any information identifying information about cultivation centers, craft growers, infuser organizations, transporting organizations, or dispensing organizations, but does contain, at a minimum, all of the following information for the previous fiscal year:
        (1) The number of licenses issued to dispensing
    
organizations by county, or, in counties with greater than 3,000,000 residents, by zip code;
        (2) The total number of dispensing organization
    
owners that are Social Equity Applicants or minority persons, women, or persons with disabilities as those terms are defined in the Business Enterprise for Minorities, Women, and Persons with Disabilities Act;
        (3) The total number of revenues received from
    
dispensing organizations, segregated from revenues received from dispensing organizations under the Compassionate Use of Medical Cannabis Pilot Program Act by county, separated by source of revenue;
        (4) The total amount of revenue received from
    
dispensing organizations that share a premises or majority ownership with a craft grower;
        (5) The total amount of revenue received from
    
dispensing organizations that share a premises or majority ownership with an infuser; and
        (6) An analysis of revenue generated from taxation,
    
licensing, and other fees for the State, including recommendations to change the tax rate applied.
    (b) The Department of Agriculture shall submit to the General Assembly and Governor a report, by September 30 of each year, that does not disclose any information identifying information about cultivation centers, craft growers, infuser organizations, transporting organizations, or dispensing organizations, but does contain, at a minimum, all of the following information for the previous fiscal year:
        (1) The number of licenses issued to cultivation
    
centers, craft growers, infusers, and transporters by license type, and, in counties with more than 3,000,000 residents, by zip code;
        (2) The total number of cultivation centers, craft
    
growers, infusers, and transporters by license type that are Social Equity Applicants or minority persons, women, or persons with disabilities as those terms are defined in the Business Enterprise for Minorities, Women, and Persons with Disabilities Act;
        (3) The total amount of revenue received from
    
cultivation centers, craft growers, infusers, and transporters, separated by license types and source of revenue;
        (4) The total amount of revenue received from craft
    
growers and infusers that share a premises or majority ownership with a dispensing organization;
        (5) The total amount of revenue received from craft
    
growers that share a premises or majority ownership with an infuser, but do not share a premises or ownership with a dispensary;
        (6) The total amount of revenue received from
    
infusers that share a premises or majority ownership with a craft grower, but do not share a premises or ownership with a dispensary;
        (7) The total amount of revenue received from craft
    
growers that share a premises or majority ownership with a dispensing organization, but do not share a premises or ownership with an infuser;
        (8) The total amount of revenue received from
    
infusers that share a premises or majority ownership with a dispensing organization, but do not share a premises or ownership with a craft grower;
        (9) The total amount of revenue received from
    
transporters; and
        (10) An analysis of revenue generated from taxation,
    
licensing, and other fees for the State, including recommendations to change the tax rate applied.
    (c) The Department of State Police shall submit to the General Assembly and Governor a report, by September 30 of each year that contains, at a minimum, all of the following information for the previous fiscal year:
        (1) The effect of regulation and taxation of cannabis