Sen. Cristina Castro

Filed: 2/10/2022

 

 


 

 


 
10200SB3105sam001LRB102 22462 CPF 35918 a

1
AMENDMENT TO SENATE BILL 3105

2    AMENDMENT NO. ______. Amend Senate Bill 3105 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Cannabis Regulation and Tax Act is amended
5by changing Section 1-10 as follows:
 
6    (410 ILCS 705/1-10)
7    Sec. 1-10. Definitions. In this Act:
8    "Adult Use Cultivation Center License" means a license
9issued by the Department of Agriculture that permits a person
10to act as a cultivation center under this Act and any
11administrative rule made in furtherance of this Act.
12    "Adult Use Dispensing Organization License" means a
13license issued by the Department of Financial and Professional
14Regulation that permits a person to act as a dispensing
15organization under this Act and any administrative rule made
16in furtherance of this Act.

 

 

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1    "Advertise" means to engage in promotional activities
2including, but not limited to: newspaper, radio, Internet and
3electronic media, and television advertising; the distribution
4of fliers and circulars; billboard advertising; and the
5display of window and interior signs. "Advertise" does not
6mean exterior signage displaying only the name of the licensed
7cannabis business establishment.
8    "Application points" means the number of points a
9Dispensary Applicant receives on an application for a
10Conditional Adult Use Dispensing Organization License.
11    "BLS Region" means a region in Illinois used by the United
12States Bureau of Labor Statistics to gather and categorize
13certain employment and wage data. The 17 such regions in
14Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion,
15Champaign-Urbana, Chicago-Naperville-Elgin, Danville,
16Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria,
17Rockford, St. Louis, Springfield, Northwest Illinois
18nonmetropolitan area, West Central Illinois nonmetropolitan
19area, East Central Illinois nonmetropolitan area, and South
20Illinois nonmetropolitan area.
21    "By lot" means a randomized method of choosing between 2
22or more Eligible Tied Applicants or 2 or more Qualifying
23Applicants.
24    "Cannabis" means marijuana, hashish, and other substances
25that are identified as including any parts of the plant
26Cannabis sativa and including derivatives or subspecies, such

 

 

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1as indica, of all strains of cannabis, whether growing or not;
2the seeds thereof, the resin extracted from any part of the
3plant; and any compound, manufacture, salt, derivative,
4mixture, or preparation of the plant, its seeds, or resin,
5including tetrahydrocannabinol (THC) and all other naturally
6produced cannabinol derivatives, whether produced directly or
7indirectly by extraction; however, "cannabis" does not include
8the mature stalks of the plant, fiber produced from the
9stalks, oil or cake made from the seeds of the plant, any other
10compound, manufacture, salt, derivative, mixture, or
11preparation of the mature stalks (except the resin extracted
12from it), fiber, oil or cake, or the sterilized seed of the
13plant that is incapable of germination. "Cannabis" does not
14include industrial hemp as defined and authorized under the
15Industrial Hemp Act. "Cannabis" also means cannabis flower,
16concentrate, and cannabis-infused products.
17    "Cannabis business establishment" means a cultivation
18center, craft grower, processing organization, infuser
19organization, dispensing organization, or transporting
20organization.
21    "Cannabis concentrate" means a product derived from
22cannabis that is produced by extracting cannabinoids,
23including tetrahydrocannabinol (THC), from the plant through
24the use of propylene glycol, glycerin, butter, olive oil, or
25other typical cooking fats; water, ice, or dry ice; or butane,
26propane, CO2, ethanol, or isopropanol and with the intended

 

 

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1use of smoking or making a cannabis-infused product. The use
2of any other solvent is expressly prohibited unless and until
3it is approved by the Department of Agriculture.
4    "Cannabis container" means a sealed or resealable,
5traceable, container, or package used for the purpose of
6containment of cannabis or cannabis-infused product during
7transportation.
8    "Cannabis flower" means marijuana, hashish, and other
9substances that are identified as including any parts of the
10plant Cannabis sativa and including derivatives or subspecies,
11such as indica, of all strains of cannabis; including raw
12kief, leaves, and buds, but not resin that has been extracted
13from any part of such plant; nor any compound, manufacture,
14salt, derivative, mixture, or preparation of such plant, its
15seeds, or resin.
16    "Cannabis-infused product" means a beverage, food, oil,
17ointment, tincture, topical formulation, or another product
18containing cannabis or cannabis concentrate that is not
19intended to be smoked.
20    "Cannabis paraphernalia" means equipment, products, or
21materials intended to be used for planting, propagating,
22cultivating, growing, harvesting, manufacturing, producing,
23processing, preparing, testing, analyzing, packaging,
24repackaging, storing, containing, concealing, ingesting, or
25otherwise introducing cannabis into the human body.
26    "Cannabis plant monitoring system" or "plant monitoring

 

 

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1system" means a system that includes, but is not limited to,
2testing and data collection established and maintained by the
3cultivation center, craft grower, or processing organization
4and that is available to the Department of Revenue, the
5Department of Agriculture, the Department of Financial and
6Professional Regulation, and the Illinois State Police for the
7purposes of documenting each cannabis plant and monitoring
8plant development throughout the life cycle of a cannabis
9plant cultivated for the intended use by a customer from seed
10planting to final packaging.
11    "Cannabis testing facility" means an entity registered by
12the Department of Agriculture to test cannabis for potency and
13contaminants.
14    "Clone" means a plant section from a female cannabis plant
15not yet rootbound, growing in a water solution or other
16propagation matrix, that is capable of developing into a new
17plant.
18    "Community College Cannabis Vocational Training Pilot
19Program faculty participant" means a person who is 21 years of
20age or older, licensed by the Department of Agriculture, and
21is employed or contracted by an Illinois community college to
22provide student instruction using cannabis plants at an
23Illinois Community College.
24    "Community College Cannabis Vocational Training Pilot
25Program faculty participant Agent Identification Card" means a
26document issued by the Department of Agriculture that

 

 

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1identifies a person as a Community College Cannabis Vocational
2Training Pilot Program faculty participant.
3    "Conditional Adult Use Dispensing Organization License"
4means a contingent license awarded to applicants for an Adult
5Use Dispensing Organization License that reserves the right to
6an Adult Use Dispensing Organization License if the applicant
7meets certain conditions described in this Act, but does not
8entitle the recipient to begin purchasing or selling cannabis
9or cannabis-infused products.
10    "Conditional Adult Use Cultivation Center License" means a
11license awarded to top-scoring applicants for an Adult Use
12Cultivation Center License that reserves the right to an Adult
13Use Cultivation Center License if the applicant meets certain
14conditions as determined by the Department of Agriculture by
15rule, but does not entitle the recipient to begin growing,
16processing, or selling cannabis or cannabis-infused products.
17    "Craft grower" means a facility operated by an
18organization or business that is licensed by the Department of
19Agriculture to cultivate, dry, cure, and package cannabis and
20perform other necessary activities to make cannabis available
21for sale at a dispensing organization or use at a processing
22organization. A craft grower may contain up to 14,000 5,000
23square feet of canopy space on its premises for plants in the
24flowering state. Plants in the flowering stage The Department
25of Agriculture may authorize an increase or decrease of
26flowering stage cultivation space in increments of 3,000

 

 

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1square feet by rule based on market need, craft grower
2capacity, and the licensee's history of compliance or
3noncompliance, with a maximum space of 14,000 square feet for
4cultivating plants in the flowering stage, which must be
5cultivated in all stages of growth in an enclosed and secure
6area. A craft grower may share premises with a processing
7organization or a dispensing organization, or both, provided
8each licensee stores currency and cannabis or cannabis-infused
9products in a separate secured vault to which the other
10licensee does not have access or all licensees sharing a vault
11share more than 50% of the same ownership.
12    "Craft grower agent" means a principal officer, board
13member, employee, or other agent of a craft grower who is 21
14years of age or older.
15    "Craft Grower Agent Identification Card" means a document
16issued by the Department of Agriculture that identifies a
17person as a craft grower agent.
18    "Cultivation center" means a facility operated by an
19organization or business that is licensed by the Department of
20Agriculture to cultivate, process, transport (unless otherwise
21limited by this Act), and perform other necessary activities
22to provide cannabis and cannabis-infused products to cannabis
23business establishments.
24    "Cultivation center agent" means a principal officer,
25board member, employee, or other agent of a cultivation center
26who is 21 years of age or older.

 

 

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

 

 

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1    "Dispensing organization agent identification card" means
2a document issued by the Department of Financial and
3Professional Regulation that identifies a person as a
4dispensing organization agent.
5    "Disproportionately Impacted Area" means a census tract or
6comparable geographic area that satisfies the following
7criteria as determined by the Department of Commerce and
8Economic Opportunity, that:
9        (1) meets at least one of the following criteria:
10            (A) the area has a poverty rate of at least 20%
11        according to the latest federal decennial census; or
12            (B) 75% or more of the children in the area
13        participate in the federal free lunch program
14        according to reported statistics from the State Board
15        of Education; or
16            (C) at least 20% of the households in the area
17        receive assistance under the Supplemental Nutrition
18        Assistance Program; or
19            (D) the area has an average unemployment rate, as
20        determined by the Illinois Department of Employment
21        Security, that is more than 120% of the national
22        unemployment average, as determined by the United
23        States Department of Labor, for a period of at least 2
24        consecutive calendar years preceding the date of the
25        application; and
26        (2) has high rates of arrest, conviction, and

 

 

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

 

 

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

 

 

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1    5 inches tall, such as a shed or greenhouse. The structure
2    must remain locked when it is unoccupied by people.
3    "Financial institution" has the same meaning as "financial
4organization" as defined in Section 1501 of the Illinois
5Income Tax Act, and also includes the holding companies,
6subsidiaries, and affiliates of such financial organizations.
7    "Flowering stage" means the stage of cultivation where and
8when a cannabis plant is cultivated to produce plant material
9for cannabis products. This includes mature plants as follows:
10        (1) if greater than 2 stigmas are visible at each
11    internode of the plant; or
12        (2) if the cannabis plant is in an area that has been
13    intentionally deprived of light for a period of time
14    intended to produce flower buds and induce maturation,
15    from the moment the light deprivation began through the
16    remainder of the marijuana plant growth cycle.
17    "Individual" means a natural person.
18    "Infuser organization" or "infuser" means a facility
19operated by an organization or business that is licensed by
20the Department of Agriculture to directly incorporate cannabis
21or cannabis concentrate into a product formulation to produce
22a cannabis-infused product.
23    "Kief" means the resinous crystal-like trichomes that are
24found on cannabis and that are accumulated, resulting in a
25higher concentration of cannabinoids, untreated by heat or
26pressure, or extracted using a solvent.

 

 

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

 

 

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

 

 

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1    "Person" means a natural individual, firm, partnership,
2association, joint stock company, joint venture, public or
3private corporation, limited liability company, or a receiver,
4executor, trustee, guardian, or other representative appointed
5by order of any court.
6    "Possession limit" means the amount of cannabis under
7Section 10-10 that may be possessed at any one time by a person
821 years of age or older or who is a registered qualifying
9medical cannabis patient or caregiver under the Compassionate
10Use of Medical Cannabis Program Act.
11    "Principal officer" includes a cannabis business
12establishment applicant or licensed cannabis business
13establishment's board member, owner with more than 1% interest
14of the total cannabis business establishment or more than 5%
15interest of the total cannabis business establishment of a
16publicly traded company, president, vice president, secretary,
17treasurer, partner, officer, member, manager member, or person
18with a profit sharing, financial interest, or revenue sharing
19arrangement. The definition includes a person with authority
20to control the cannabis business establishment, a person who
21assumes responsibility for the debts of the cannabis business
22establishment and who is further defined in this Act.
23    "Primary residence" means a dwelling where a person
24usually stays or stays more often than other locations. It may
25be determined by, without limitation, presence, tax filings;
26address on an Illinois driver's license, an Illinois

 

 

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1Identification Card, or an Illinois Person with a Disability
2Identification Card; or voter registration. No person may have
3more than one primary residence.
4    "Processing organization" or "processor" means a facility
5operated by an organization or business that is licensed by
6the Department of Agriculture to either extract constituent
7chemicals or compounds to produce cannabis concentrate or
8incorporate cannabis or cannabis concentrate into a product
9formulation to produce a cannabis product.
10    "Processing organization agent" means a principal officer,
11board member, employee, or agent of a processing organization.
12    "Processing organization agent identification card" means
13a document issued by the Department of Agriculture that
14identifies a person as a processing organization agent.
15    "Purchaser" means a person 21 years of age or older who
16acquires cannabis for a valuable consideration. "Purchaser"
17does not include a cardholder under the Compassionate Use of
18Medical Cannabis Program Act.
19    "Qualifying Applicant" means an applicant that submitted
20an application pursuant to Section 15-30 that received at
21least 85% of 250 application points available under Section
2215-30 as the applicant's final score and meets the definition
23of "Social Equity Applicant" as set forth under this Section.
24    "Qualifying Social Equity Justice Involved Applicant"
25means an applicant that submitted an application pursuant to
26Section 15-30 that received at least 85% of 250 application

 

 

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

 

 

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

 

 

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1    "Tied Applicant" means an application submitted by a
2Dispensary Applicant pursuant to Section 15-30 that received
3the same number of application points under Section 15-30 as
4the Dispensary Applicant's final score as one or more
5top-scoring applications in the same BLS Region and would have
6been awarded a license but for the one or more other
7top-scoring applications that received the same number of
8application points. Each application for which a Dispensary
9Applicant was required to pay a required application fee for
10the application period ending January 2, 2020 shall be
11considered an application of a separate Tied Applicant.
12    "Tied Applicant Lottery" means the process established
13under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult
14Use Dispensing Organization Licenses pursuant to Sections
1515-25 and 15-30 among Eligible Tied Applicants.
16    "Tincture" means a cannabis-infused solution, typically
17comprised of alcohol, glycerin, or vegetable oils, derived
18either directly from the cannabis plant or from a processed
19cannabis extract. A tincture is not an alcoholic liquor as
20defined in the Liquor Control Act of 1934. A tincture shall
21include a calibrated dropper or other similar device capable
22of accurately measuring servings.
23    "Transporting organization" or "transporter" means an
24organization or business that is licensed by the Department of
25Agriculture to transport cannabis or cannabis-infused product
26on behalf of a cannabis business establishment or a community

 

 

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1college licensed under the Community College Cannabis
2Vocational Training Pilot Program.
3    "Transporting organization agent" means a principal
4officer, board member, employee, or agent of a transporting
5organization.
6    "Transporting organization agent identification card"
7means a document issued by the Department of Agriculture that
8identifies a person as a transporting organization agent.
9    "Unit of local government" means any county, city,
10village, or incorporated town.
11    "Vegetative stage" means the stage of cultivation in which
12a cannabis plant is propagated to produce additional cannabis
13plants or reach a sufficient size for production. This
14includes seedlings, clones, mothers, and other immature
15cannabis plants as follows:
16        (1) if the cannabis plant is in an area that has not
17    been intentionally deprived of light for a period of time
18    intended to produce flower buds and induce maturation, it
19    has no more than 2 stigmas visible at each internode of the
20    cannabis plant; or
21        (2) any cannabis plant that is cultivated solely for
22    the purpose of propagating clones and is never used to
23    produce cannabis.
24(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
25102-98, eff. 7-15-21; 102-538, eff. 8-20-21; revised
2610-13-21.)
 

 

 

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1    Section 99. Effective date. This Act takes effect upon
2becoming law.".