Illinois General Assembly - Full Text of HB5030
Illinois General Assembly

  Bills & Resolutions  
  Compiled Statutes  
  Public Acts  
  Legislative Reports  
  IL Constitution  
  Legislative Guide  
  Legislative Glossary  

 Search By Number
 (example: HB0001)
Search Tips

Search By Keyword

Full Text of HB5030  102nd General Assembly

HB5030 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5030

 

Introduced 1/27/2022, by Rep. Eva Dina Delgado

 

SYNOPSIS AS INTRODUCED:
 
410 ILCS 705/1-10
410 ILCS 705/20-15
410 ILCS 705/20-30
410 ILCS 705/30-10

    Amends the Cannabis Regulation and Tax Act. Defines "enclosed, locked facility" to mean a room, greenhouse, building, outdoor canopy space, or other enclosed area (currently 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 cultivate, process, store, or distribute cannabis. Makes conforming changes.


LRB102 24678 CPF 33917 b

 

 

A BILL FOR

 

HB5030LRB102 24678 CPF 33917 b

1    AN ACT concerning health.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Cannabis Regulation and Tax Act is amended
5by changing Sections 1-10, 20-15, 20-30, and 30-10 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.
17    "Advertise" means to engage in promotional activities
18including, but not limited to: newspaper, radio, Internet and
19electronic media, and television advertising; the distribution
20of fliers and circulars; billboard advertising; and the
21display of window and interior signs. "Advertise" does not
22mean exterior signage displaying only the name of the licensed
23cannabis business establishment.

 

 

HB5030- 2 -LRB102 24678 CPF 33917 b

1    "Application points" means the number of points a
2Dispensary Applicant receives on an application for a
3Conditional Adult Use Dispensing Organization License.
4    "BLS Region" means a region in Illinois used by the United
5States Bureau of Labor Statistics to gather and categorize
6certain employment and wage data. The 17 such regions in
7Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion,
8Champaign-Urbana, Chicago-Naperville-Elgin, Danville,
9Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria,
10Rockford, St. Louis, Springfield, Northwest Illinois
11nonmetropolitan area, West Central Illinois nonmetropolitan
12area, East Central Illinois nonmetropolitan area, and South
13Illinois nonmetropolitan area.
14    "By lot" means a randomized method of choosing between 2
15or more Eligible Tied Applicants or 2 or more Qualifying
16Applicants.
17    "Cannabis" means marijuana, hashish, and other substances
18that are identified as including any parts of the plant
19Cannabis sativa and including derivatives or subspecies, such
20as indica, of all strains of cannabis, whether growing or not;
21the seeds thereof, the resin extracted from any part of the
22plant; and any compound, manufacture, salt, derivative,
23mixture, or preparation of the plant, its seeds, or resin,
24including tetrahydrocannabinol (THC) and all other naturally
25produced cannabinol derivatives, whether produced directly or
26indirectly by extraction; however, "cannabis" does not include

 

 

HB5030- 3 -LRB102 24678 CPF 33917 b

1the mature stalks of the plant, fiber produced from the
2stalks, oil or cake made from the seeds of the plant, any other
3compound, manufacture, salt, derivative, mixture, or
4preparation of the mature stalks (except the resin extracted
5from it), fiber, oil or cake, or the sterilized seed of the
6plant that is incapable of germination. "Cannabis" does not
7include industrial hemp as defined and authorized under the
8Industrial Hemp Act. "Cannabis" also means cannabis flower,
9concentrate, and cannabis-infused products.
10    "Cannabis business establishment" means a cultivation
11center, craft grower, processing organization, infuser
12organization, dispensing organization, or transporting
13organization.
14    "Cannabis concentrate" means a product derived from
15cannabis that is produced by extracting cannabinoids,
16including tetrahydrocannabinol (THC), from the plant through
17the use of propylene glycol, glycerin, butter, olive oil, or
18other typical cooking fats; water, ice, or dry ice; or butane,
19propane, CO2, ethanol, or isopropanol and with the intended
20use of smoking or making a cannabis-infused product. The use
21of any other solvent is expressly prohibited unless and until
22it is approved by the Department of Agriculture.
23    "Cannabis container" means a sealed or resealable,
24traceable, container, or package used for the purpose of
25containment of cannabis or cannabis-infused product during
26transportation.

 

 

HB5030- 4 -LRB102 24678 CPF 33917 b

1    "Cannabis flower" means marijuana, hashish, and other
2substances that are identified as including any parts of the
3plant Cannabis sativa and including derivatives or subspecies,
4such as indica, of all strains of cannabis; including raw
5kief, leaves, and buds, but not resin that has been extracted
6from any part of such plant; nor any compound, manufacture,
7salt, derivative, mixture, or preparation of such plant, its
8seeds, or resin.
9    "Cannabis-infused product" means a beverage, food, oil,
10ointment, tincture, topical formulation, or another product
11containing cannabis or cannabis concentrate that is not
12intended to be smoked.
13    "Cannabis paraphernalia" means equipment, products, or
14materials intended to be used for planting, propagating,
15cultivating, growing, harvesting, manufacturing, producing,
16processing, preparing, testing, analyzing, packaging,
17repackaging, storing, containing, concealing, ingesting, or
18otherwise introducing cannabis into the human body.
19    "Cannabis plant monitoring system" or "plant monitoring
20system" means a system that includes, but is not limited to,
21testing and data collection established and maintained by the
22cultivation center, craft grower, or processing organization
23and that is available to the Department of Revenue, the
24Department of Agriculture, the Department of Financial and
25Professional Regulation, and the Illinois State Police for the
26purposes of documenting each cannabis plant and monitoring

 

 

HB5030- 5 -LRB102 24678 CPF 33917 b

1plant development throughout the life cycle of a cannabis
2plant cultivated for the intended use by a customer from seed
3planting to final packaging.
4    "Cannabis testing facility" means an entity registered by
5the Department of Agriculture to test cannabis for potency and
6contaminants.
7    "Clone" means a plant section from a female cannabis plant
8not yet rootbound, growing in a water solution or other
9propagation matrix, that is capable of developing into a new
10plant.
11    "Community College Cannabis Vocational Training Pilot
12Program faculty participant" means a person who is 21 years of
13age or older, licensed by the Department of Agriculture, and
14is employed or contracted by an Illinois community college to
15provide student instruction using cannabis plants at an
16Illinois Community College.
17    "Community College Cannabis Vocational Training Pilot
18Program faculty participant Agent Identification Card" means a
19document issued by the Department of Agriculture that
20identifies a person as a Community College Cannabis Vocational
21Training Pilot Program faculty participant.
22    "Conditional Adult Use Dispensing Organization License"
23means a contingent license awarded to applicants for an Adult
24Use Dispensing Organization License that reserves the right to
25an Adult Use Dispensing Organization License if the applicant
26meets certain conditions described in this Act, but does not

 

 

HB5030- 6 -LRB102 24678 CPF 33917 b

1entitle the recipient to begin purchasing or selling cannabis
2or cannabis-infused products.
3    "Conditional Adult Use Cultivation Center License" means a
4license awarded to top-scoring applicants for an Adult Use
5Cultivation Center License that reserves the right to an Adult
6Use Cultivation Center License if the applicant meets certain
7conditions as determined by the Department of Agriculture by
8rule, but does not entitle the recipient to begin growing,
9processing, or selling cannabis or cannabis-infused products.
10    "Craft grower" means a facility operated by an
11organization or business that is licensed by the Department of
12Agriculture to cultivate, dry, cure, and package cannabis and
13perform other necessary activities to make cannabis available
14for sale at a dispensing organization or use at a processing
15organization. A craft grower may contain up to 5,000 square
16feet of canopy space on its premises for plants in the
17flowering state. The Department of Agriculture may authorize
18an increase or decrease of flowering stage cultivation space
19in increments of 3,000 square feet by rule based on market
20need, craft grower capacity, and the licensee's history of
21compliance or noncompliance, with a maximum space of 14,000
22square feet for cultivating plants in the flowering stage,
23which must be cultivated in all stages of growth in an enclosed
24and secure area. A craft grower may share premises with a
25processing organization or a dispensing organization, or both,
26provided each licensee stores currency and cannabis or

 

 

HB5030- 7 -LRB102 24678 CPF 33917 b

1cannabis-infused products in a separate secured vault to which
2the other licensee does not have access or all licensees
3sharing a vault share more than 50% of the same ownership.
4    "Craft grower agent" means a principal officer, board
5member, employee, or other agent of a craft grower who is 21
6years of age or older.
7    "Craft Grower Agent Identification Card" means a document
8issued by the Department of Agriculture that identifies a
9person as a craft grower agent.
10    "Cultivation center" means a facility operated by an
11organization or business that is licensed by the Department of
12Agriculture to cultivate, process, transport (unless otherwise
13limited by this Act), and perform other necessary activities
14to provide cannabis and cannabis-infused products to cannabis
15business establishments.
16    "Cultivation center agent" means a principal officer,
17board member, employee, or other agent of a cultivation center
18who is 21 years of age or older.
19    "Cultivation Center Agent Identification Card" means a
20document issued by the Department of Agriculture that
21identifies a person as a cultivation center agent.
22    "Currency" means currency and coin of the United States.
23    "Dispensary" means a facility operated by a dispensing
24organization at which activities licensed by this Act may
25occur.
26    "Dispensary Applicant" means the Proposed Dispensing

 

 

HB5030- 8 -LRB102 24678 CPF 33917 b

1Organization Name as stated on an application for a
2Conditional Adult Use Dispensing Organization License.
3    "Dispensing organization" means a facility operated by an
4organization or business that is licensed by the Department of
5Financial and Professional Regulation to acquire cannabis from
6a cultivation center, craft grower, processing organization,
7or another dispensary for the purpose of selling or dispensing
8cannabis, cannabis-infused products, cannabis seeds,
9paraphernalia, or related supplies under this Act to
10purchasers or to qualified registered medical cannabis
11patients and caregivers. As used in this Act, "dispensing
12organization" includes a registered medical cannabis
13organization as defined in the Compassionate Use of Medical
14Cannabis Program Act or its successor Act that has obtained an
15Early Approval Adult Use Dispensing Organization License.
16    "Dispensing organization agent" means a principal officer,
17employee, or agent of a dispensing organization who is 21
18years of age or older.
19    "Dispensing organization agent identification card" means
20a document issued by the Department of Financial and
21Professional Regulation that identifies a person as a
22dispensing organization agent.
23    "Disproportionately Impacted Area" means a census tract or
24comparable geographic area that satisfies the following
25criteria as determined by the Department of Commerce and
26Economic Opportunity, that:

 

 

HB5030- 9 -LRB102 24678 CPF 33917 b

1        (1) meets at least one of the following criteria:
2            (A) the area has a poverty rate of at least 20%
3        according to the latest federal decennial census; or
4            (B) 75% or more of the children in the area
5        participate in the federal free lunch program
6        according to reported statistics from the State Board
7        of Education; or
8            (C) at least 20% of the households in the area
9        receive assistance under the Supplemental Nutrition
10        Assistance Program; or
11            (D) the area has an average unemployment rate, as
12        determined by the Illinois Department of Employment
13        Security, that is more than 120% of the national
14        unemployment average, as determined by the United
15        States Department of Labor, for a period of at least 2
16        consecutive calendar years preceding the date of the
17        application; and
18        (2) has high rates of arrest, conviction, and
19    incarceration related to the sale, possession, use,
20    cultivation, manufacture, or transport of cannabis.
21    "Early Approval Adult Use Cultivation Center License"
22means a license that permits a medical cannabis cultivation
23center licensed under the Compassionate Use of Medical
24Cannabis Program Act as of the effective date of this Act to
25begin cultivating, infusing, packaging, transporting (unless
26otherwise provided in this Act), processing, and selling

 

 

HB5030- 10 -LRB102 24678 CPF 33917 b

1cannabis or cannabis-infused product to cannabis business
2establishments for resale to purchasers as permitted by this
3Act as of January 1, 2020.
4    "Early Approval Adult Use Dispensing Organization License"
5means a license that permits a medical cannabis dispensing
6organization licensed under the Compassionate Use of Medical
7Cannabis Program Act as of the effective date of this Act to
8begin selling cannabis or cannabis-infused product to
9purchasers as permitted by this Act as of January 1, 2020.
10    "Early Approval Adult Use Dispensing Organization at a
11secondary site" means a license that permits a medical
12cannabis dispensing organization licensed under the
13Compassionate Use of Medical Cannabis Program Act as of the
14effective date of this Act to begin selling cannabis or
15cannabis-infused product to purchasers as permitted by this
16Act on January 1, 2020 at a different dispensary location from
17its existing registered medical dispensary location.
18    "Eligible Tied Applicant" means a Tied Applicant that is
19eligible to participate in the process by which a remaining
20available license is distributed by lot pursuant to a Tied
21Applicant Lottery.
22    "Enclosed, locked facility" means a room, greenhouse,
23building, outdoor canopy space, or other enclosed area
24equipped with locks or other security devices that permit
25access only by cannabis business establishment agents working
26for the licensed cannabis business establishment or acting

 

 

HB5030- 11 -LRB102 24678 CPF 33917 b

1pursuant to this Act to cultivate, process, store, or
2distribute cannabis.
3    "Enclosed, locked space" means a closet, room, greenhouse,
4building, or other enclosed area equipped with locks or other
5security devices that permit access only by authorized
6individuals under this Act. "Enclosed, locked space" may
7include:
8        (1) a space within a residential building that (i) is
9    the primary residence of the individual cultivating 5 or
10    fewer cannabis plants that are more than 5 inches tall and
11    (ii) includes sleeping quarters and indoor plumbing. The
12    space must only be accessible by a key or code that is
13    different from any key or code that can be used to access
14    the residential building from the exterior; or
15        (2) a structure, such as a shed or greenhouse, that
16    lies on the same plot of land as a residential building
17    that (i) includes sleeping quarters and indoor plumbing
18    and (ii) is used as a primary residence by the person
19    cultivating 5 or fewer cannabis plants that are more than
20    5 inches tall, such as a shed or greenhouse. The structure
21    must remain locked when it is unoccupied by people.
22    "Financial institution" has the same meaning as "financial
23organization" as defined in Section 1501 of the Illinois
24Income Tax Act, and also includes the holding companies,
25subsidiaries, and affiliates of such financial organizations.
26    "Flowering stage" means the stage of cultivation where and

 

 

HB5030- 12 -LRB102 24678 CPF 33917 b

1when a cannabis plant is cultivated to produce plant material
2for cannabis products. This includes mature plants as follows:
3        (1) if greater than 2 stigmas are visible at each
4    internode of the plant; or
5        (2) if the cannabis plant is in an area that has been
6    intentionally deprived of light for a period of time
7    intended to produce flower buds and induce maturation,
8    from the moment the light deprivation began through the
9    remainder of the marijuana plant growth cycle.
10    "Individual" means a natural person.
11    "Infuser organization" or "infuser" means a facility
12operated by an organization or business that is licensed by
13the Department of Agriculture to directly incorporate cannabis
14or cannabis concentrate into a product formulation to produce
15a cannabis-infused product.
16    "Kief" means the resinous crystal-like trichomes that are
17found on cannabis and that are accumulated, resulting in a
18higher concentration of cannabinoids, untreated by heat or
19pressure, or extracted using a solvent.
20    "Labor peace agreement" means an agreement between a
21cannabis business establishment and any labor organization
22recognized under the National Labor Relations Act, referred to
23in this Act as a bona fide labor organization, that prohibits
24labor organizations and members from engaging in picketing,
25work stoppages, boycotts, and any other economic interference
26with the cannabis business establishment. This agreement means

 

 

HB5030- 13 -LRB102 24678 CPF 33917 b

1that the cannabis business establishment has agreed not to
2disrupt efforts by the bona fide labor organization to
3communicate with, and attempt to organize and represent, the
4cannabis business establishment's employees. The agreement
5shall provide a bona fide labor organization access at
6reasonable times to areas in which the cannabis business
7establishment's employees work, for the purpose of meeting
8with employees to discuss their right to representation,
9employment rights under State law, and terms and conditions of
10employment. This type of agreement shall not mandate a
11particular method of election or certification of the bona
12fide labor organization.
13    "Limited access area" means a room or other area under the
14control of a cannabis dispensing organization licensed under
15this Act and upon the licensed premises where cannabis sales
16occur with access limited to purchasers, dispensing
17organization owners and other dispensing organization agents,
18or service professionals conducting business with the
19dispensing organization, or, if sales to registered qualifying
20patients, caregivers, provisional patients, and Opioid
21Alternative Pilot Program participants licensed pursuant to
22the Compassionate Use of Medical Cannabis Program Act are also
23permitted at the dispensary, registered qualifying patients,
24caregivers, provisional patients, and Opioid Alternative Pilot
25Program participants.
26    "Member of an impacted family" means an individual who has

 

 

HB5030- 14 -LRB102 24678 CPF 33917 b

1a parent, legal guardian, child, spouse, or dependent, or was
2a dependent of an individual who, prior to the effective date
3of this Act, was arrested for, convicted of, or adjudicated
4delinquent for any offense that is eligible for expungement
5under this Act.
6    "Mother plant" means a cannabis plant that is cultivated
7or maintained for the purpose of generating clones, and that
8will not be used to produce plant material for sale to an
9infuser or dispensing organization.
10    "Ordinary public view" means within the sight line with
11normal visual range of a person, unassisted by visual aids,
12from a public street or sidewalk adjacent to real property, or
13from within an adjacent property.
14    "Ownership and control" means ownership of at least 51% of
15the business, including corporate stock if a corporation, and
16control over the management and day-to-day operations of the
17business and an interest in the capital, assets, and profits
18and losses of the business proportionate to percentage of
19ownership.
20    "Person" means a natural individual, firm, partnership,
21association, joint stock company, joint venture, public or
22private corporation, limited liability company, or a receiver,
23executor, trustee, guardian, or other representative appointed
24by order of any court.
25    "Possession limit" means the amount of cannabis under
26Section 10-10 that may be possessed at any one time by a person

 

 

HB5030- 15 -LRB102 24678 CPF 33917 b

121 years of age or older or who is a registered qualifying
2medical cannabis patient or caregiver under the Compassionate
3Use of Medical Cannabis Program Act.
4    "Principal officer" includes a cannabis business
5establishment applicant or licensed cannabis business
6establishment's board member, owner with more than 1% interest
7of the total cannabis business establishment or more than 5%
8interest of the total cannabis business establishment of a
9publicly traded company, president, vice president, secretary,
10treasurer, partner, officer, member, manager member, or person
11with a profit sharing, financial interest, or revenue sharing
12arrangement. The definition includes a person with authority
13to control the cannabis business establishment, a person who
14assumes responsibility for the debts of the cannabis business
15establishment and who is further defined in this Act.
16    "Primary residence" means a dwelling where a person
17usually stays or stays more often than other locations. It may
18be determined by, without limitation, presence, tax filings;
19address on an Illinois driver's license, an Illinois
20Identification Card, or an Illinois Person with a Disability
21Identification Card; or voter registration. No person may have
22more than one primary residence.
23    "Processing organization" or "processor" means a facility
24operated by an organization or business that is licensed by
25the Department of Agriculture to either extract constituent
26chemicals or compounds to produce cannabis concentrate or

 

 

HB5030- 16 -LRB102 24678 CPF 33917 b

1incorporate cannabis or cannabis concentrate into a product
2formulation to produce a cannabis product.
3    "Processing organization agent" means a principal officer,
4board member, employee, or agent of a processing organization.
5    "Processing organization agent identification card" means
6a document issued by the Department of Agriculture that
7identifies a person as a processing organization agent.
8    "Purchaser" means a person 21 years of age or older who
9acquires cannabis for a valuable consideration. "Purchaser"
10does not include a cardholder under the Compassionate Use of
11Medical Cannabis Program Act.
12    "Qualifying Applicant" means an applicant that submitted
13an application pursuant to Section 15-30 that received at
14least 85% of 250 application points available under Section
1515-30 as the applicant's final score and meets the definition
16of "Social Equity Applicant" as set forth under this Section.
17    "Qualifying Social Equity Justice Involved Applicant"
18means an applicant that submitted an application pursuant to
19Section 15-30 that received at least 85% of 250 application
20points available under Section 15-30 as the applicant's final
21score and meets the criteria of either paragraph (1) or (2) of
22the definition of "Social Equity Applicant" as set forth under
23this Section.
24    "Qualified Social Equity Applicant" means a Social Equity
25Applicant who has been awarded a conditional license under
26this Act to operate a cannabis business establishment.

 

 

HB5030- 17 -LRB102 24678 CPF 33917 b

1    "Resided" means an individual's primary residence was
2located within the relevant geographic area as established by
32 of the following:
4        (1) a signed lease agreement that includes the
5    applicant's name;
6        (2) a property deed that includes the applicant's
7    name;
8        (3) school records;
9        (4) a voter registration card;
10        (5) an Illinois driver's license, an Illinois
11    Identification Card, or an Illinois Person with a
12    Disability Identification Card;
13        (6) a paycheck stub;
14        (7) a utility bill;
15        (8) tax records; or
16        (9) any other proof of residency or other information
17    necessary to establish residence as provided by rule.
18    "Smoking" means the inhalation of smoke caused by the
19combustion of cannabis.
20    "Social Equity Applicant" means an applicant that is an
21Illinois resident that meets one of the following criteria:
22        (1) an applicant with at least 51% ownership and
23    control by one or more individuals who have resided for at
24    least 5 of the preceding 10 years in a Disproportionately
25    Impacted Area;
26        (2) an applicant with at least 51% ownership and

 

 

HB5030- 18 -LRB102 24678 CPF 33917 b

1    control by one or more individuals who:
2            (i) have been arrested for, convicted of, or
3        adjudicated delinquent for any offense that is
4        eligible for expungement under this Act; or
5            (ii) is a member of an impacted family;
6        (3) for applicants with a minimum of 10 full-time
7    employees, an applicant with at least 51% of current
8    employees who:
9            (i) currently reside in a Disproportionately
10        Impacted Area; or
11            (ii) have been arrested for, convicted of, or
12        adjudicated delinquent for any offense that is
13        eligible for expungement under this Act or member of
14        an impacted family.
15    Nothing in this Act shall be construed to preempt or limit
16the duties of any employer under the Job Opportunities for
17Qualified Applicants Act. Nothing in this Act shall permit an
18employer to require an employee to disclose sealed or expunged
19offenses, unless otherwise required by law.
20    "Tied Applicant" means an application submitted by a
21Dispensary Applicant pursuant to Section 15-30 that received
22the same number of application points under Section 15-30 as
23the Dispensary Applicant's final score as one or more
24top-scoring applications in the same BLS Region and would have
25been awarded a license but for the one or more other
26top-scoring applications that received the same number of

 

 

HB5030- 19 -LRB102 24678 CPF 33917 b

1application points. Each application for which a Dispensary
2Applicant was required to pay a required application fee for
3the application period ending January 2, 2020 shall be
4considered an application of a separate Tied Applicant.
5    "Tied Applicant Lottery" means the process established
6under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult
7Use Dispensing Organization Licenses pursuant to Sections
815-25 and 15-30 among Eligible Tied Applicants.
9    "Tincture" means a cannabis-infused solution, typically
10comprised of alcohol, glycerin, or vegetable oils, derived
11either directly from the cannabis plant or from a processed
12cannabis extract. A tincture is not an alcoholic liquor as
13defined in the Liquor Control Act of 1934. A tincture shall
14include a calibrated dropper or other similar device capable
15of accurately measuring servings.
16    "Transporting organization" or "transporter" means an
17organization or business that is licensed by the Department of
18Agriculture to transport cannabis or cannabis-infused product
19on behalf of a cannabis business establishment or a community
20college licensed under the Community College Cannabis
21Vocational Training Pilot Program.
22    "Transporting organization agent" means a principal
23officer, board member, employee, or agent of a transporting
24organization.
25    "Transporting organization agent identification card"
26means a document issued by the Department of Agriculture that

 

 

HB5030- 20 -LRB102 24678 CPF 33917 b

1identifies a person as a transporting organization agent.
2    "Unit of local government" means any county, city,
3village, or incorporated town.
4    "Vegetative stage" means the stage of cultivation in which
5a cannabis plant is propagated to produce additional cannabis
6plants or reach a sufficient size for production. This
7includes seedlings, clones, mothers, and other immature
8cannabis plants as follows:
9        (1) if the cannabis plant is in an area that has not
10    been intentionally deprived of light for a period of time
11    intended to produce flower buds and induce maturation, it
12    has no more than 2 stigmas visible at each internode of the
13    cannabis plant; or
14        (2) any cannabis plant that is cultivated solely for
15    the purpose of propagating clones and is never used to
16    produce cannabis.
17(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
18102-98, eff. 7-15-21; 102-538, eff. 8-20-21; revised
1910-13-21.)
 
20    (410 ILCS 705/20-15)
21    Sec. 20-15. Conditional Adult Use Cultivation Center
22application.
23    (a) If the Department of Agriculture makes available
24additional cultivation center licenses pursuant to Section
2520-5, applicants for a Conditional Adult Use Cultivation

 

 

HB5030- 21 -LRB102 24678 CPF 33917 b

1Center License shall electronically submit the following in
2such form as the Department of Agriculture may direct:
3        (1) the nonrefundable application fee set by rule by
4    the Department of Agriculture, to be deposited into the
5    Cannabis Regulation Fund;
6        (2) the legal name of the cultivation center;
7        (3) the proposed physical address of the cultivation
8    center;
9        (4) the name, address, social security number, and
10    date of birth of each principal officer and board member
11    of the cultivation center; each principal officer and
12    board member shall be at least 21 years of age;
13        (5) the details of any administrative or judicial
14    proceeding in which any of the principal officers or board
15    members of the cultivation center (i) pled guilty, were
16    convicted, were fined, or had a registration or license
17    suspended or revoked, or (ii) managed or served on the
18    board of a business or non-profit organization that pled
19    guilty, was convicted, was fined, or had a registration or
20    license suspended or revoked;
21        (6) proposed operating bylaws that include procedures
22    for the oversight of the cultivation center, including the
23    development and implementation of a plant monitoring
24    system, accurate recordkeeping, staffing plan, and
25    security plan approved by the Illinois State Police that
26    are in accordance with the rules issued by the Department

 

 

HB5030- 22 -LRB102 24678 CPF 33917 b

1    of Agriculture under this Act. A physical inventory shall
2    be performed of all plants and cannabis on a weekly basis
3    by the cultivation center;
4        (7) verification from the Illinois State Police that
5    all background checks of the prospective principal
6    officers, board members, and agents of the cannabis
7    business establishment have been conducted;
8        (8) a copy of the current local zoning ordinance or
9    permit and verification that the proposed cultivation
10    center is in compliance with the local zoning rules and
11    distance limitations established by the local
12    jurisdiction;
13        (9) proposed employment practices, in which the
14    applicant must demonstrate a plan of action to inform,
15    hire, and educate minorities, women, veterans, and persons
16    with disabilities, engage in fair labor practices, and
17    provide worker protections;
18        (10) whether an applicant can demonstrate experience
19    in or business practices that promote economic empowerment
20    in Disproportionately Impacted Areas;
21        (11) experience with the cultivation of agricultural
22    or horticultural products, operating an agriculturally
23    related business, or operating a horticultural business;
24        (12) a description of the enclosed, locked facility
25    where cannabis will be grown, harvested, manufactured,
26    processed, packaged, or otherwise prepared for

 

 

HB5030- 23 -LRB102 24678 CPF 33917 b

1    distribution to a dispensing organization;
2        (13) a survey of the enclosed, locked facility,
3    including the space used for cultivation, and if
4    applicable, identifying any outdoor canopy space;
5        (14) cultivation, processing, inventory, and packaging
6    plans;
7        (15) a description of the applicant's experience with
8    agricultural cultivation techniques and industry
9    standards;
10        (16) a list of any academic degrees, certifications,
11    or relevant experience of all prospective principal
12    officers, board members, and agents of the related
13    business;
14        (17) the identity of every person having a financial
15    or voting interest of 5% or greater in the cultivation
16    center operation with respect to which the license is
17    sought, whether a trust, corporation, partnership, limited
18    liability company, or sole proprietorship, including the
19    name and address of each person;
20        (18) a plan describing how the cultivation center will
21    address each of the following:
22            (i) energy needs, including estimates of monthly
23        electricity and gas usage, to what extent it will
24        procure energy from a local utility or from on-site
25        generation, and if it has or will adopt a sustainable
26        energy use and energy conservation policy;

 

 

HB5030- 24 -LRB102 24678 CPF 33917 b

1            (ii) water needs, including estimated water draw
2        and if it has or will adopt a sustainable water use and
3        water conservation policy; and
4            (iii) waste management, including if it has or
5        will adopt a waste reduction policy;
6        (19) a diversity plan that includes a narrative of not
7    more than 2,500 words that establishes a goal of diversity
8    in ownership, management, employment, and contracting to
9    ensure that diverse participants and groups are afforded
10    equality of opportunity;
11        (20) any other information required by rule;
12        (21) a recycling plan:
13            (A) Purchaser packaging, including cartridges,
14        shall be accepted by the applicant and recycled.
15            (B) Any recyclable waste generated by the cannabis
16        cultivation facility shall be recycled per applicable
17        State and local laws, ordinances, and rules.
18            (C) Any cannabis waste, liquid waste, or hazardous
19        waste shall be disposed of in accordance with 8 Ill.
20        Adm. Code 1000.460, except, to the greatest extent
21        feasible, all cannabis plant waste will be rendered
22        unusable by grinding and incorporating the cannabis
23        plant waste with compostable mixed waste to be
24        disposed of in accordance with 8 Ill. Adm. Code
25        1000.460(g)(1);
26        (22) commitment to comply with local waste provisions:

 

 

HB5030- 25 -LRB102 24678 CPF 33917 b

1    a cultivation facility must remain in compliance with
2    applicable State and federal environmental requirements,
3    including, but not limited to:
4            (A) storing, securing, and managing all
5        recyclables and waste, including organic waste
6        composed of or containing finished cannabis and
7        cannabis products, in accordance with applicable State
8        and local laws, ordinances, and rules; and
9            (B) disposing liquid waste containing cannabis or
10        byproducts of cannabis processing in compliance with
11        all applicable State and federal requirements,
12        including, but not limited to, the cannabis
13        cultivation facility's permits under Title X of the
14        Environmental Protection Act; and
15        (23) a commitment to a technology standard for
16    resource efficiency of the cultivation center facility.
17            (A) A cannabis cultivation facility commits to use
18        resources efficiently, including energy and water. For
19        the following, a cannabis cultivation facility commits
20        to meet or exceed the technology standard identified
21        in items (i), (ii), (iii), and (iv), which may be
22        modified by rule:
23                (i) lighting systems, including light bulbs;
24                (ii) HVAC system;
25                (iii) water application system to the crop;
26            and

 

 

HB5030- 26 -LRB102 24678 CPF 33917 b

1                (iv) filtration system for removing
2            contaminants from wastewater.
3            (B) Lighting. The Lighting Power Densities (LPD)
4        for cultivation space commits to not exceed an average
5        of 36 watts per gross square foot of active and growing
6        space canopy, or all installed lighting technology
7        shall meet a photosynthetic photon efficacy (PPE) of
8        no less than 2.2 micromoles per joule fixture and
9        shall be featured on the DesignLights Consortium (DLC)
10        Horticultural Specification Qualified Products List
11        (QPL). In the event that DLC requirement for minimum
12        efficacy exceeds 2.2 micromoles per joule fixture,
13        that PPE shall become the new standard.
14            (C) HVAC.
15                (i) For cannabis grow operations with less
16            than 6,000 square feet of canopy, the licensee
17            commits that all HVAC units will be
18            high-efficiency ductless split HVAC units, or
19            other more energy efficient equipment.
20                (ii) For cannabis grow operations with 6,000
21            square feet of canopy or more, the licensee
22            commits that all HVAC units will be variable
23            refrigerant flow HVAC units, or other more energy
24            efficient equipment.
25            (D) Water application.
26                (i) The cannabis cultivation facility commits

 

 

HB5030- 27 -LRB102 24678 CPF 33917 b

1            to use automated watering systems, including, but
2            not limited to, drip irrigation and flood tables,
3            to irrigate cannabis crop.
4                (ii) The cannabis cultivation facility commits
5            to measure runoff from watering events and report
6            this volume in its water usage plan, and that on
7            average, watering events shall have no more than
8            20% of runoff of water.
9            (E) Filtration. The cultivator commits that HVAC
10        condensate, dehumidification water, excess runoff, and
11        other wastewater produced by the cannabis cultivation
12        facility shall be captured and filtered to the best of
13        the facility's ability to achieve the quality needed
14        to be reused in subsequent watering rounds.
15            (F) Reporting energy use and efficiency as
16        required by rule.
17    (b) Applicants must submit all required information,
18including the information required in Section 20-10, to the
19Department of Agriculture. Failure by an applicant to submit
20all required information may result in the application being
21disqualified.
22    (c) If the Department of Agriculture receives an
23application with missing information, the Department of
24Agriculture may issue a deficiency notice to the applicant.
25The applicant shall have 10 calendar days from the date of the
26deficiency notice to resubmit the incomplete information.

 

 

HB5030- 28 -LRB102 24678 CPF 33917 b

1Applications that are still incomplete after this opportunity
2to cure will not be scored and will be disqualified.
3    (e) A cultivation center that is awarded a Conditional
4Adult Use Cultivation Center License pursuant to the criteria
5in Section 20-20 shall not grow, purchase, possess, or sell
6cannabis or cannabis-infused products until the person has
7received an Adult Use Cultivation Center License issued by the
8Department of Agriculture pursuant to Section 20-21 of this
9Act.
10(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
11102-538, eff. 8-20-21.)
 
12    (410 ILCS 705/20-30)
13    Sec. 20-30. Cultivation center requirements; prohibitions.
14    (a) The operating documents of a cultivation center shall
15include procedures for the oversight of the cultivation
16center, a cannabis plant monitoring system including a
17physical inventory recorded weekly, accurate recordkeeping,
18and a staffing plan.
19    (b) A cultivation center shall implement a security plan
20reviewed by the Illinois State Police that includes, but is
21not limited to: facility access controls, perimeter intrusion
22detection systems, personnel identification systems, 24-hour
23surveillance system to monitor the interior and exterior of
24the cultivation center facility and accessibility to
25authorized law enforcement, the Department of Public Health

 

 

HB5030- 29 -LRB102 24678 CPF 33917 b

1where processing takes place, and the Department of
2Agriculture in real time.
3    (c) All cultivation of cannabis by a cultivation center
4must take place in an enclosed, locked facility, which may
5include a portion of the facility reserved for outdoor canopy
6space, at the physical address provided to the Department of
7Agriculture during the licensing process. The cultivation
8center location shall only be accessed by the agents working
9for the cultivation center, the Department of Agriculture
10staff performing inspections, the Department of Public Health
11staff performing inspections, local and State law enforcement
12or other emergency personnel, contractors working on jobs
13unrelated to cannabis, such as installing or maintaining
14security devices or performing electrical wiring, transporting
15organization agents as provided in this Act, individuals in a
16mentoring or educational program approved by the State, or
17other individuals as provided by rule.
18    (d) A cultivation center may not sell or distribute any
19cannabis or cannabis-infused products to any person other than
20a dispensing organization, craft grower, infuser organization,
21transporter, or as otherwise authorized by rule.
22    (e) A cultivation center may not either directly or
23indirectly discriminate in price between different dispensing
24organizations, craft growers, or infuser organizations that
25are purchasing a like grade, strain, brand, and quality of
26cannabis or cannabis-infused product. Nothing in this

 

 

HB5030- 30 -LRB102 24678 CPF 33917 b

1subsection (e) prevents a cultivation center from pricing
2cannabis differently based on differences in the cost of
3manufacturing or processing, the quantities sold, such as
4volume discounts, or the way the products are delivered.
5    (f) All cannabis harvested by a cultivation center and
6intended for distribution to a dispensing organization must be
7entered into a data collection system, packaged and labeled
8under Section 55-21, and placed into a cannabis container for
9transport. All cannabis harvested by a cultivation center and
10intended for distribution to a craft grower or infuser
11organization must be packaged in a labeled cannabis container
12and entered into a data collection system before transport.
13    (g) Cultivation centers are subject to random inspections
14by the Department of Agriculture, the Department of Public
15Health, local safety or health inspectors, the Illinois State
16Police, or as provided by rule.
17    (h) A cultivation center agent shall notify local law
18enforcement, the Illinois State Police, and the Department of
19Agriculture within 24 hours of the discovery of any loss or
20theft. Notification shall be made by phone or in person, or by
21written or electronic communication.
22    (i) A cultivation center shall comply with all State and
23any applicable federal rules and regulations regarding the use
24of pesticides on cannabis plants.
25    (j) No person or entity shall hold any legal, equitable,
26ownership, or beneficial interest, directly or indirectly, of

 

 

HB5030- 31 -LRB102 24678 CPF 33917 b

1more than 3 cultivation centers licensed under this Article.
2Further, no person or entity that is employed by, an agent of,
3has a contract to receive payment in any form from a
4cultivation center, is a principal officer of a cultivation
5center, or entity controlled by or affiliated with a principal
6officer of a cultivation shall hold any legal, equitable,
7ownership, or beneficial interest, directly or indirectly, in
8a cultivation that would result in the person or entity owning
9or controlling in combination with any cultivation center,
10principal officer of a cultivation center, or entity
11controlled or affiliated with a principal officer of a
12cultivation center by which he, she, or it is employed, is an
13agent of, or participates in the management of, more than 3
14cultivation center licenses.
15    (k) A cultivation center may not contain more than 210,000
16square feet of canopy space for plants in the flowering stage
17for cultivation of adult use cannabis as provided in this Act.
18    (l) A cultivation center may process cannabis, cannabis
19concentrates, and cannabis-infused products.
20    (m) Beginning July 1, 2020, a cultivation center shall not
21transport cannabis or cannabis-infused products to a craft
22grower, dispensing organization, infuser organization, or
23laboratory licensed under this Act, unless it has obtained a
24transporting organization license.
25    (n) It is unlawful for any person having a cultivation
26center license or any officer, associate, member,

 

 

HB5030- 32 -LRB102 24678 CPF 33917 b

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

 

 

HB5030- 33 -LRB102 24678 CPF 33917 b

1requirements or prohibitions set by administrative rule of the
2Department of Agriculture.
3(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
4102-98, eff. 7-15-21; 102-538, eff. 8-20-21; revised 11-9-21.)
 
5    (410 ILCS 705/30-10)
6    Sec. 30-10. Application.
7    (a) When applying for a license, the applicant shall
8electronically submit the following in such form as the
9Department of Agriculture may direct:
10        (1) the nonrefundable application fee of $5,000 to be
11    deposited into the Cannabis Regulation Fund, or another
12    amount as the Department of Agriculture may set by rule
13    after January 1, 2021;
14        (2) the legal name of the craft grower;
15        (3) the proposed physical address of the craft grower;
16        (4) the name, address, social security number, and
17    date of birth of each principal officer and board member
18    of the craft grower; each principal officer and board
19    member shall be at least 21 years of age;
20        (5) the details of any administrative or judicial
21    proceeding in which any of the principal officers or board
22    members of the craft grower (i) pled guilty, were
23    convicted, were fined, or had a registration or license
24    suspended or revoked or (ii) managed or served on the
25    board of a business or non-profit organization that pled

 

 

HB5030- 34 -LRB102 24678 CPF 33917 b

1    guilty, was convicted, was fined, or had a registration or
2    license suspended or revoked;
3        (6) proposed operating bylaws that include procedures
4    for the oversight of the craft grower, including the
5    development and implementation of a plant monitoring
6    system, accurate recordkeeping, staffing plan, and
7    security plan approved by the Illinois State Police that
8    are in accordance with the rules issued by the Department
9    of Agriculture under this Act; a physical inventory shall
10    be performed of all plants and on a weekly basis by the
11    craft grower;
12        (7) verification from the Illinois State Police that
13    all background checks of the prospective principal
14    officers, board members, and agents of the cannabis
15    business establishment have been conducted;
16        (8) a copy of the current local zoning ordinance or
17    permit and verification that the proposed craft grower is
18    in compliance with the local zoning rules and distance
19    limitations established by the local jurisdiction;
20        (9) proposed employment practices, in which the
21    applicant must demonstrate a plan of action to inform,
22    hire, and educate minorities, women, veterans, and persons
23    with disabilities, engage in fair labor practices, and
24    provide worker protections;
25        (10) whether an applicant can demonstrate experience
26    in or business practices that promote economic empowerment

 

 

HB5030- 35 -LRB102 24678 CPF 33917 b

1    in Disproportionately Impacted Areas;
2        (11) experience with the cultivation of agricultural
3    or horticultural products, operating an agriculturally
4    related business, or operating a horticultural business;
5        (12) a description of the enclosed, locked facility
6    where cannabis will be grown, harvested, manufactured,
7    packaged, or otherwise prepared for distribution to a
8    dispensing organization or other cannabis business
9    establishment;
10        (13) a survey of the enclosed, locked facility,
11    including the space used for cultivation, and if
12    applicable, identifying any outdoor canopy space;
13        (14) cultivation, processing, inventory, and packaging
14    plans;
15        (15) a description of the applicant's experience with
16    agricultural cultivation techniques and industry
17    standards;
18        (16) a list of any academic degrees, certifications,
19    or relevant experience of all prospective principal
20    officers, board members, and agents of the related
21    business;
22        (17) the identity of every person having a financial
23    or voting interest of 5% or greater in the craft grower
24    operation, whether a trust, corporation, partnership,
25    limited liability company, or sole proprietorship,
26    including the name and address of each person;

 

 

HB5030- 36 -LRB102 24678 CPF 33917 b

1        (18) a plan describing how the craft grower will
2    address each of the following:
3            (i) energy needs, including estimates of monthly
4        electricity and gas usage, to what extent it will
5        procure energy from a local utility or from on-site
6        generation, and if it has or will adopt a sustainable
7        energy use and energy conservation policy;
8            (ii) water needs, including estimated water draw
9        and if it has or will adopt a sustainable water use and
10        water conservation policy; and
11            (iii) waste management, including if it has or
12        will adopt a waste reduction policy;
13        (19) a recycling plan:
14            (A) Purchaser packaging, including cartridges,
15        shall be accepted by the applicant and recycled.
16            (B) Any recyclable waste generated by the craft
17        grower facility shall be recycled per applicable State
18        and local laws, ordinances, and rules.
19            (C) Any cannabis waste, liquid waste, or hazardous
20        waste shall be disposed of in accordance with 8 Ill.
21        Adm. Code 1000.460, except, to the greatest extent
22        feasible, all cannabis plant waste will be rendered
23        unusable by grinding and incorporating the cannabis
24        plant waste with compostable mixed waste to be
25        disposed of in accordance with 8 Ill. Adm. Code
26        1000.460(g)(1);

 

 

HB5030- 37 -LRB102 24678 CPF 33917 b

1        (20) a commitment to comply with local waste
2    provisions: a craft grower facility must remain in
3    compliance with applicable State and federal environmental
4    requirements, including, but not limited to:
5            (A) storing, securing, and managing all
6        recyclables and waste, including organic waste
7        composed of or containing finished cannabis and
8        cannabis products, in accordance with applicable State
9        and local laws, ordinances, and rules; and
10            (B) disposing liquid waste containing cannabis or
11        byproducts of cannabis processing in compliance with
12        all applicable State and federal requirements,
13        including, but not limited to, the cannabis
14        cultivation facility's permits under Title X of the
15        Environmental Protection Act;
16        (21) a commitment to a technology standard for
17    resource efficiency of the craft grower facility.
18            (A) A craft grower facility commits to use
19        resources efficiently, including energy and water. For
20        the following, a cannabis cultivation facility commits
21        to meet or exceed the technology standard identified
22        in paragraphs (i), (ii), (iii), and (iv), which may be
23        modified by rule:
24                (i) lighting systems, including light bulbs;
25                (ii) HVAC system;
26                (iii) water application system to the crop;

 

 

HB5030- 38 -LRB102 24678 CPF 33917 b

1            and
2                (iv) filtration system for removing
3            contaminants from wastewater.
4            (B) Lighting. The Lighting Power Densities (LPD)
5        for cultivation space commits to not exceed an average
6        of 36 watts per gross square foot of active and growing
7        space canopy, or all installed lighting technology
8        shall meet a photosynthetic photon efficacy (PPE) of
9        no less than 2.2 micromoles per joule fixture and
10        shall be featured on the DesignLights Consortium (DLC)
11        Horticultural Specification Qualified Products List
12        (QPL). In the event that DLC requirement for minimum
13        efficacy exceeds 2.2 micromoles per joule fixture,
14        that PPE shall become the new standard.
15            (C) HVAC.
16                (i) For cannabis grow operations with less
17            than 6,000 square feet of canopy, the licensee
18            commits that all HVAC units will be
19            high-efficiency ductless split HVAC units, or
20            other more energy efficient equipment.
21                (ii) For cannabis grow operations with 6,000
22            square feet of canopy or more, the licensee
23            commits that all HVAC units will be variable
24            refrigerant flow HVAC units, or other more energy
25            efficient equipment.
26            (D) Water application.

 

 

HB5030- 39 -LRB102 24678 CPF 33917 b

1                (i) The craft grower facility commits to use
2            automated watering systems, including, but not
3            limited to, drip irrigation and flood tables, to
4            irrigate cannabis crop.
5                (ii) The craft grower facility commits to
6            measure runoff from watering events and report
7            this volume in its water usage plan, and that on
8            average, watering events shall have no more than
9            20% of runoff of water.
10            (E) Filtration. The craft grower commits that HVAC
11        condensate, dehumidification water, excess runoff, and
12        other wastewater produced by the craft grower facility
13        shall be captured and filtered to the best of the
14        facility's ability to achieve the quality needed to be
15        reused in subsequent watering rounds.
16            (F) Reporting energy use and efficiency as
17        required by rule; and
18        (22) any other information required by rule.
19    (b) Applicants must submit all required information,
20including the information required in Section 30-15, to the
21Department of Agriculture. Failure by an applicant to submit
22all required information may result in the application being
23disqualified.
24    (c) If the Department of Agriculture receives an
25application with missing information, the Department of
26Agriculture may issue a deficiency notice to the applicant.

 

 

HB5030- 40 -LRB102 24678 CPF 33917 b

1The applicant shall have 10 calendar days from the date of the
2deficiency notice to resubmit the incomplete information.
3Applications that are still incomplete after this opportunity
4to cure will not be scored and will be disqualified.
5(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
6102-538, eff. 8-20-21.)