Illinois General Assembly - Full Text of HB3508
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Full Text of HB3508  102nd General Assembly

HB3508 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB3508

 

Introduced 2/22/2021, by Rep. Jehan Gordon-Booth

 

SYNOPSIS AS INTRODUCED:
 
410 ILCS 130/100
410 ILCS 705/1-10
410 ILCS 705/15-25
410 ILCS 705/15-30.1 new
410 ILCS 705/15-40
410 ILCS 705/20-35
410 ILCS 705/25-35
410 ILCS 705/30-35
410 ILCS 705/35-30
410 ILCS 705/40-30
410 ILCS 705/55-21
625 ILCS 5/11-502.1
625 ILCS 5/11-502.15

    Amends the Compassionate Use of Medical Cannabis Program Act. Provides that an agent may begin employment at a cultivation center while the agent's identification card application is pending. Amends the Cannabis Regulation and Tax Act. Allows specified medical cannabis dispensing organizations to change locations under specified circumstances. Sets forth provisions regarding the method of distribution of licenses when tied applicants exist in a BLS Region. Requires the Department of Financial and Professional Regulation to award 75 Conditional Adult Use Dispensing Organization Licenses prior to January 1, 2021 (currently, up to 75) and an additional 75 Conditional Adult Use Dispensing Organization Licenses through a Qualifying Applicant Lottery. Removes language requiring the Department to inspect the physical space selected by a conditional licensee before the conditional licensee receives an authorization to build out the dispensing organization from the Department. Contains provisions concerning the Qualifying Applicant Lottery. Provides that specified agents may begin employment at specified entities while the agents' identification card applications are pending. Amends the Illinois Vehicle Code. Provides that containers used to store cannabis in a motor vehicle upon a highway in this State must be secured and inaccessible and must be sealed or resealable (currently, only sealed). Makes other changes. Effective immediately.


LRB102 14553 CPF 19906 b

 

 

A BILL FOR

 

HB3508LRB102 14553 CPF 19906 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Compassionate Use of Medical Cannabis
5Program Act is amended by changing Section 100 as follows:
 
6    (410 ILCS 130/100)
7    Sec. 100. Cultivation center agent identification card.
8    (a) The Department of Agriculture shall:
9        (1) verify the information contained in an application
10    or renewal for a cultivation center identification card
11    submitted under this Act, and approve or deny an
12    application or renewal, within 30 days of receiving a
13    completed application or renewal application and all
14    supporting documentation required by rule;
15        (2) issue a cultivation center agent identification
16    card to a qualifying agent within 15 business days of
17    approving the application or renewal;
18        (3) enter the registry identification number of the
19    cultivation center where the agent works; and
20        (4) allow for an electronic application process, and
21    provide a confirmation by electronic or other methods that
22    an application has been submitted.
23    (b) A cultivation center agent must keep his or her

 

 

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1identification card visible at all times when on the property
2of a cultivation center and during the transportation of
3medical cannabis to a registered dispensary organization.
4    (c) The cultivation center agent identification cards
5shall contain the following:
6        (1) the name of the cardholder;
7        (2) the date of issuance and expiration date of
8    cultivation center agent identification cards;
9        (3) a random 10 digit alphanumeric identification
10    number containing at least 4 numbers and at least 4
11    letters; that is unique to the holder; and
12        (4) a photograph of the cardholder.
13    (d) The cultivation center agent identification cards
14shall be immediately returned to the cultivation center upon
15termination of employment.
16    (e) Any card lost by a cultivation center agent shall be
17reported to the State Police and the Department of Agriculture
18immediately upon discovery of the loss.
19    (f) An applicant shall be denied a cultivation center
20agent identification card if he or she has been convicted of an
21excluded offense.
22    (g) An agent may begin employment at a cultivation center
23while the agent's identification card application is pending.
24Upon approval, the Department shall issue the agent's
25identification card to the cultivation center agent applicant.
26If denied, the cultivation center and the applicant shall be

 

 

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1notified and the applicant must cease all activity at the
2cultivation center immediately.
3(Source: P.A. 98-122, eff. 1-1-14.)
 
4    Section 10. The Cannabis Regulation and Tax Act is amended
5by changing Sections 1-10, 15-25, 15-40, 20-35, 25-35, 30-35,
635-30, 40-30, 55-21 and by adding Section 15-30.1 as follows:
 
7    (410 ILCS 705/1-10)
8    Sec. 1-10. Definitions. In this Act:
9    "Adult Use Cultivation Center License" means a license
10issued by the Department of Agriculture that permits a person
11to act as a cultivation center under this Act and any
12administrative rule made in furtherance of this Act.
13    "Adult Use Dispensing Organization License" means a
14license issued by the Department of Financial and Professional
15Regulation that permits a person to act as a dispensing
16organization under this Act and any administrative rule made
17in furtherance of this Act.
18    "Advertise" means to engage in promotional activities
19including, but not limited to: newspaper, radio, Internet and
20electronic media, and television advertising; the distribution
21of fliers and circulars; billboard advertising; and the
22display of window and interior signs. "Advertise" does not
23mean exterior signage displaying only the name of the licensed
24cannabis business establishment.

 

 

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1    "Application points" means the number of points a
2dispensary applicant receives on an application for a
3Conditional Adult Use Dispensing Organization License.
4    "By lot" means a randomized method of choosing between 2
5or more eligible tied applicants or 2 or more qualifying
6applicants.
7    "BLS Region" means a region in Illinois used by the United
8States Bureau of Labor Statistics to gather and categorize
9certain employment and wage data. The 17 such regions in
10Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion,
11Champaign-Urbana, Chicago-Naperville-Elgin, Danville,
12Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria,
13Rockford, St. Louis, Springfield, Northwest Illinois
14nonmetropolitan area, West Central Illinois nonmetropolitan
15area, East Central Illinois nonmetropolitan area, and South
16Illinois nonmetropolitan area.
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

 

 

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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.

 

 

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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 Department of State Police
26for the purposes of documenting each cannabis plant and

 

 

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1monitoring plant development throughout the life cycle of a
2cannabis plant cultivated for the intended use by a customer
3from seed planting 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 Community College Cannabis Vocational
21Training Pilot Program faculty participant.
22    "Conditional Adult Use Dispensing Organization License"
23means a contingent license awarded to top-scoring applicants
24for an Adult Use Dispensing Organization License that reserves
25the right to an Adult Use Dispensing Organization License if
26the applicant meets certain conditions described in this Act,

 

 

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1but does not entitle the recipient to begin purchasing or
2selling cannabis or 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

 

 

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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

 

 

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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:

 

 

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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

 

 

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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, or other enclosed area equipped with locks or other
24security devices that permit access only by cannabis business
25establishment agents working for the licensed cannabis
26business establishment or acting pursuant to this Act to

 

 

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

 

 

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1for cannabis products. This includes mature plants as follows:
2        (1) if greater than 2 stigmas are visible at each
3    internode of the plant; or
4        (2) if the cannabis plant is in an area that has been
5    intentionally deprived of light for a period of time
6    intended to produce flower buds and induce maturation,
7    from the moment the light deprivation began through the
8    remainder of the marijuana plant growth cycle.
9    "Individual" means a natural person.
10    "Infuser organization" or "infuser" means a facility
11operated by an organization or business that is licensed by
12the Department of Agriculture to directly incorporate cannabis
13or cannabis concentrate into a product formulation to produce
14a cannabis-infused product.
15    "Kief" means the resinous crystal-like trichomes that are
16found on cannabis and that are accumulated, resulting in a
17higher concentration of cannabinoids, untreated by heat or
18pressure, or extracted using a solvent.
19    "Labor peace agreement" means an agreement between a
20cannabis business establishment and any labor organization
21recognized under the National Labor Relations Act, referred to
22in this Act as a bona fide labor organization, that prohibits
23labor organizations and members from engaging in picketing,
24work stoppages, boycotts, and any other economic interference
25with the cannabis business establishment. This agreement means
26that the cannabis business establishment has agreed not to

 

 

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

 

 

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1a dependent of an individual who, prior to the effective date
2of this Act, was arrested for, convicted of, or adjudicated
3delinquent for any offense that is eligible for expungement
4under this Act.
5    "Mother plant" means a cannabis plant that is cultivated
6or maintained for the purpose of generating clones, and that
7will not be used to produce plant material for sale to an
8infuser or dispensing organization.
9    "Ordinary public view" means within the sight line with
10normal visual range of a person, unassisted by visual aids,
11from a public street or sidewalk adjacent to real property, or
12from within an adjacent property.
13    "Ownership and control" means ownership of at least 51% of
14the business, including corporate stock if a corporation, and
15control over the management and day-to-day operations of the
16business and an interest in the capital, assets, and profits
17and losses of the business proportionate to percentage of
18ownership.
19    "Person" means a natural individual, firm, partnership,
20association, joint stock company, joint venture, public or
21private corporation, limited liability company, or a receiver,
22executor, trustee, guardian, or other representative appointed
23by order of any court.
24    "Possession limit" means the amount of cannabis under
25Section 10-10 that may be possessed at any one time by a person
2621 years of age or older or who is a registered qualifying

 

 

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

 

 

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1formulation to produce a cannabis product.
2    "Processing organization agent" means a principal officer,
3board member, employee, or agent of a processing organization.
4    "Processing organization agent identification card" means
5a document issued by the Department of Agriculture that
6identifies a person as a processing organization agent.
7    "Purchaser" means a person 21 years of age or older who
8acquires cannabis for a valuable consideration. "Purchaser"
9does not include a cardholder under the Compassionate Use of
10Medical Cannabis Program Act.
11    "Qualifying applicant" means an applicant that submitted
12an application pursuant to Section 15-30 that received at
13least 85% of 250 available application points pursuant to the
14application scoring procedure described in subsection (c) of
15Section 15-30, including any supplemental process to correct
16deficiencies.
17    "Qualifying Applicant Lottery" means the process for
18awarding Conditional Adult Use Dispensing Organization
19Licenses among qualifying applicants pursuant to Section
2015-30.1.
21    "Qualified Social Equity Applicant" means a Social Equity
22Applicant who has been awarded a conditional license under
23this Act to operate a cannabis business establishment.
24    "Resided" means an individual's primary residence was
25located within the relevant geographic area as established by
262 of the following:

 

 

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

 

 

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1        eligible for expungement under this Act; or
2            (ii) is a member of an impacted family;
3        (3) for applicants with a minimum of 10 full-time
4    employees, an applicant with at least 51% of current
5    employees who:
6            (i) currently reside in a Disproportionately
7        Impacted Area; or
8            (ii) have been arrested for, convicted of, or
9        adjudicated delinquent for any offense that is
10        eligible for expungement under this Act or member of
11        an impacted family.
12    Nothing in this Act shall be construed to preempt or limit
13the duties of any employer under the Job Opportunities for
14Qualified Applicants Act. Nothing in this Act shall permit an
15employer to require an employee to disclose sealed or expunged
16offenses, unless otherwise required by law.
17    "Tincture" means a cannabis-infused solution, typically
18comprised of alcohol, glycerin, or vegetable oils, derived
19either directly from the cannabis plant or from a processed
20cannabis extract. A tincture is not an alcoholic liquor as
21defined in the Liquor Control Act of 1934. A tincture shall
22include a calibrated dropper or other similar device capable
23of accurately measuring servings.
24    "Tied applicant" means a dispensary applicant that
25submitted an application pursuant to Section 15-30 that
26received the same number of application points pursuant to the

 

 

HB3508- 21 -LRB102 14553 CPF 19906 b

1application scoring procedure described in subsection (c) of
2Section 15-30 as one or more top-scoring applications in the
3same BLS Region and would have been awarded a license but for
4the one or more other top-scoring applications that received
5the same number of application points, including any
6applications scored pursuant to a supplemental process to
7correct deficiencies. Each application score that is attached
8to a dispensary applicant that has previously paid the
9required application fee for the application period ending
10January 2, 2020 creates a separate Tied applicant.
11    "Tied Applicant Lottery" means the process established in
12Sections 1291.10 and 1291.50 of Title 68 of the Illinois
13Administrative Code for awarding Conditional Adult Use
14Dispensing Organization Licenses pursuant to Sections 15-25
15and 15-30 among eligible tied applicants.
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

 

 

HB3508- 22 -LRB102 14553 CPF 19906 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.)
 
18    (410 ILCS 705/15-25)
19    Sec. 15-25. Awarding of Conditional Adult Use Dispensing
20Organization Licenses prior to January 1, 2021.
21    (a) The Department shall issue up to 75 Conditional Adult
22Use Dispensing Organization Licenses before May 1, 2020.
23    (b) The Department shall make the application for a
24Conditional Adult Use Dispensing Organization License
25available no later than October 1, 2019 and shall accept

 

 

HB3508- 23 -LRB102 14553 CPF 19906 b

1applications no later than January 1, 2020.
2    (c) To ensure the geographic dispersion of Conditional
3Adult Use Dispensing Organization License holders, the
4following number of licenses shall be awarded in each BLS
5Region as determined by each region's percentage of the
6State's population:
7        (1) Bloomington: 1
8        (2) Cape Girardeau: 1
9        (3) Carbondale-Marion: 1
10        (4) Champaign-Urbana: 1
11        (5) Chicago-Naperville-Elgin: 47
12        (6) Danville: 1
13        (7) Davenport-Moline-Rock Island: 1
14        (8) Decatur: 1
15        (9) Kankakee: 1
16        (10) Peoria: 3
17        (11) Rockford: 2
18        (12) St. Louis: 4
19        (13) Springfield: 1
20        (14) Northwest Illinois nonmetropolitan: 3
21        (15) West Central Illinois nonmetropolitan: 3
22        (16) East Central Illinois nonmetropolitan: 2
23        (17) South Illinois nonmetropolitan: 2
24    (d) An applicant seeking issuance of a Conditional Adult
25Use Dispensing Organization License shall submit an
26application on forms provided by the Department. An applicant

 

 

HB3508- 24 -LRB102 14553 CPF 19906 b

1must meet the following requirements:
2        (1) Payment of a nonrefundable application fee of
3    $5,000 for each license for which the applicant is
4    applying, which shall be deposited into the Cannabis
5    Regulation Fund;
6        (2) Certification that the applicant will comply with
7    the requirements contained in this Act;
8        (3) The legal name of the proposed dispensing
9    organization;
10        (4) A statement that the dispensing organization
11    agrees to respond to the Department's supplemental
12    requests for information;
13        (5) From each principal officer, a statement
14    indicating whether that person:
15            (A) has previously held or currently holds an
16        ownership interest in a cannabis business
17        establishment in Illinois; or
18            (B) has held an ownership interest in a dispensing
19        organization or its equivalent in another state or
20        territory of the United States that had the dispensing
21        organization registration or license suspended,
22        revoked, placed on probationary status, or subjected
23        to other disciplinary action;
24        (6) Disclosure of whether any principal officer has
25    ever filed for bankruptcy or defaulted on spousal support
26    or child support obligation;

 

 

HB3508- 25 -LRB102 14553 CPF 19906 b

1        (7) A resume for each principal officer, including
2    whether that person has an academic degree, certification,
3    or relevant experience with a cannabis business
4    establishment or in a related industry;
5        (8) A description of the training and education that
6    will be provided to dispensing organization agents;
7        (9) A copy of the proposed operating bylaws;
8        (10) A copy of the proposed business plan that
9    complies with the requirements in this Act, including, at
10    a minimum, the following:
11            (A) A description of services to be offered; and
12            (B) A description of the process of dispensing
13        cannabis;
14        (11) A copy of the proposed security plan that
15    complies with the requirements in this Article, including:
16            (A) The process or controls that will be
17        implemented to monitor the dispensary, secure the
18        premises, agents, and currency, and prevent the
19        diversion, theft, or loss of cannabis; and
20            (B) The process to ensure that access to the
21        restricted access areas is restricted to, registered
22        agents, service professionals, transporting
23        organization agents, Department inspectors, and
24        security personnel;
25        (12) A proposed inventory control plan that complies
26    with this Section;

 

 

HB3508- 26 -LRB102 14553 CPF 19906 b

1        (13) A proposed floor plan, a square footage estimate,
2    and a description of proposed security devices, including,
3    without limitation, cameras, motion detectors, servers,
4    video storage capabilities, and alarm service providers;
5        (14) The name, address, social security number, and
6    date of birth of each principal officer and board member
7    of the dispensing organization; each of those individuals
8    shall be at least 21 years of age;
9        (15) Evidence of the applicant's status as a Social
10    Equity Applicant, if applicable, and whether a Social
11    Equity Applicant plans to apply for a loan or grant issued
12    by the Department of Commerce and Economic Opportunity;
13        (16) The address, telephone number, and email address
14    of the applicant's principal place of business, if
15    applicable. A post office box is not permitted;
16        (17) Written summaries of any information regarding
17    instances in which a business or not-for-profit that a
18    prospective board member previously managed or served on
19    were fined or censured, or any instances in which a
20    business or not-for-profit that a prospective board member
21    previously managed or served on had its registration
22    suspended or revoked in any administrative or judicial
23    proceeding;
24        (18) A plan for community engagement;
25        (19) Procedures to ensure accurate recordkeeping and
26    security measures that are in accordance with this Article

 

 

HB3508- 27 -LRB102 14553 CPF 19906 b

1    and Department rules;
2        (20) The estimated volume of cannabis it plans to
3    store at the dispensary;
4        (21) A description of the features that will provide
5    accessibility to purchasers as required by the Americans
6    with Disabilities Act;
7        (22) A detailed description of air treatment systems
8    that will be installed to reduce odors;
9        (23) A reasonable assurance that the issuance of a
10    license will not have a detrimental impact on the
11    community in which the applicant wishes to locate;
12        (24) The dated signature of each principal officer;
13        (25) A description of the enclosed, locked facility
14    where cannabis will be stored by the dispensing
15    organization;
16        (26) Signed statements from each dispensing
17    organization agent stating that he or she will not divert
18    cannabis;
19        (27) The number of licenses it is applying for in each
20    BLS Region;
21        (28) A diversity plan that includes a narrative of at
22    least 2,500 words that establishes a goal of diversity in
23    ownership, management, employment, and contracting to
24    ensure that diverse participants and groups are afforded
25    equality of opportunity;
26        (29) A contract with a private security contractor

 

 

HB3508- 28 -LRB102 14553 CPF 19906 b

1    agency that is licensed under Section 10-5 of the Private
2    Detective, Private Alarm, Private Security, Fingerprint
3    Vendor, and Locksmith Act of 2004 in order for the
4    dispensary to have adequate security at its facility; and
5        (30) Other information deemed necessary by the
6    Illinois Cannabis Regulation Oversight Officer to conduct
7    the disparity and availability study referenced in
8    subsection (e) of Section 5-45.
9    (e) An applicant who receives a Conditional Adult Use
10Dispensing Organization License under this Section has 180
11days from the date of award to identify a physical location for
12the dispensing organization retail storefront. Before a
13conditional licensee receives an authorization to build out
14the dispensing organization from the Department, the
15Department shall inspect the physical space selected by the
16conditional licensee. The Department shall verify the site is
17suitable for public access, the layout promotes the safe
18dispensing of cannabis, the location is sufficient in size,
19power allocation, lighting, parking, handicapped accessible
20parking spaces, accessible entry and exits as required by the
21Americans with Disabilities Act, product handling, and
22storage. The applicant shall also provide a statement of
23reasonable assurance that the issuance of a license will not
24have a detrimental impact on the community. The applicant
25shall also provide evidence that the location is not within
261,500 feet of an existing dispensing organization. If an

 

 

HB3508- 29 -LRB102 14553 CPF 19906 b

1applicant is unable to find a suitable physical address in the
2opinion of the Department within 180 days of the issuance of
3the Conditional Adult Use Dispensing Organization License, the
4Department may extend the period for finding a physical
5address another 180 days if the Conditional Adult Use
6Dispensing Organization License holder demonstrates concrete
7attempts to secure a location and a hardship. If the
8Department denies the extension or the Conditional Adult Use
9Dispensing Organization License holder is unable to find a
10location or become operational within 360 days of being
11awarded a conditional license, the Department shall rescind
12the conditional license and award it to the next highest
13scoring applicant in the BLS Region for which the license was
14assigned, provided the applicant receiving the license: (i)
15confirms a continued interest in operating a dispensing
16organization; (ii) can provide evidence that the applicant
17continues to meet all requirements for holding a Conditional
18Adult Use Dispensing Organization License set forth in this
19Act; and (iii) has not otherwise become ineligible to be
20awarded a dispensing organization license. If the new awardee
21is unable to accept the Conditional Adult Use Dispensing
22Organization License, the Department shall award the
23Conditional Adult Use Dispensing Organization License to the
24next highest scoring applicant in the same manner. The new
25awardee shall be subject to the same required deadlines as
26provided in this subsection.

 

 

HB3508- 30 -LRB102 14553 CPF 19906 b

1    (e-5) If, within 180 days of being awarded a Conditional
2Adult Use Dispensing Organization License, a dispensing
3organization is unable to find a location within the BLS
4Region in which it was awarded a Conditional Adult Use
5Dispensing Organization License because no jurisdiction within
6the BLS Region allows for the operation of an Adult Use
7Dispensing Organization, the Department of Financial and
8Professional Regulation may authorize the Conditional Adult
9Use Dispensing Organization License holder to transfer its
10license to a BLS Region specified by the Department.
11    (f) A dispensing organization that is awarded a
12Conditional Adult Use Dispensing Organization License pursuant
13to the criteria in Section 15-30 shall not purchase, possess,
14sell, or dispense cannabis or cannabis-infused products until
15the person has received an Adult Use Dispensing Organization
16License issued by the Department pursuant to Section 15-36 of
17this Act.
18    (g) The Department shall conduct a background check of the
19prospective organization agents in order to carry out this
20Article. The Department of State Police shall charge the
21applicant a fee for conducting the criminal history record
22check, which shall be deposited into the State Police Services
23Fund and shall not exceed the actual cost of the record check.
24Each person applying as a dispensing organization agent shall
25submit a full set of fingerprints to the Department of State
26Police for the purpose of obtaining a State and federal

 

 

HB3508- 31 -LRB102 14553 CPF 19906 b

1criminal records check. These fingerprints shall be checked
2against the fingerprint records now and hereafter, to the
3extent allowed by law, filed in the Department of State Police
4and Federal Bureau of Identification criminal history records
5databases. The Department of State Police shall furnish,
6following positive identification, all Illinois conviction
7information to the Department.
8(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
 
9    (410 ILCS 705/15-30.1 new)
10    Sec. 15-30.1. Qualifying Applicant Lottery.
11    (a) Notwithstanding the 75 Conditional Adult Use
12Dispensing Organization Licenses authorized under subsection
13(a) of Section 15-25, the Department shall conduct a lottery
14to award an additional 75 Conditional Adult Use Dispensing
15Organization Licenses through a Qualifying Applicant Lottery
16to qualifying applicants that applied for, but did not
17receive, a Conditional Adult Use Dispensing Organization
18License pursuant to Sections 15-25 and 15-30. Any dispensary
19applicant who has any principal officer who was named on a
20dispensary application who participated or was eligible to
21participate in the Tied Applicant Lottery for the awarding of
22licenses pursuant to Sections 15-25 and 15-30 may not qualify
23as a qualifying applicant and may not participate in the
24lottery for awarding licenses pursuant to this Section, unless
25that applicant withdraws from the Tied Applicant Lottery

 

 

HB3508- 32 -LRB102 14553 CPF 19906 b

1pursuant to subsection (f) of this Section. Prior to
2conducting a Qualifying Applicant Lottery, the Department may
3adopt rules through emergency rulemaking in accordance with
4subsection (kk) of Section 5-45 of the Illinois Administrative
5Procedure Act. The General Assembly finds that the adoption of
6rules to regulate cannabis use is deemed an emergency and
7necessary for the public interest, safety, and welfare.
8    (b) There shall be no additional cost to participate in a
9Qualifying Applicant Lottery. However, the Department may
10require a dispensary applicant to submit additional
11documentation in order to participate in a Qualifying
12Applicant Lottery under this Section.
13    (c) No individual may be listed as a principal officer of
14more than 2 total entries across all BLS regions in the
15Qualifying Applicant Lottery. No dispensary applicant may
16submit more than one entry application in any BLS Region in the
17Qualifying Applicant Lottery.
18    (d) No qualifying applicant may be awarded more than 2
19Conditional Adult Use Dispensing Organization Licenses at the
20conclusion of the Qualifying Applicant Lottery.
21    (e) The 75 Conditional Adult Use Dispensing Organization
22Licenses established pursuant to this Section shall be
23geographically allocated in the exact manner as the licenses
24under subsection (c) of Section 15-25 of this Act and remain
25subject to all other requirements of Sections 15-25, 15-30,
26and 15-36 unless such requirements conflict with this Section.

 

 

HB3508- 33 -LRB102 14553 CPF 19906 b

1    (f) Any dispensary applicant seeking to participate in the
2Qualifying Applicant lottery must attest to the Department no
3later than 5 business days after the resulting final score for
4all scored applications pursuant to Section 15-30, including
5any supplemental process to correct deficiencies, is issued to
6dispensary applicants. The attestation must state that the
7dispensary applicant is not participating in the Tied
8Applicant Lottery for awarding licenses pursuant to Sections
915-25 and 15-30 and the dispensary applicant meets all of the
10requirements to participate in a Qualifying Applicant Lottery
11set forth under this Section. The attestation shall be made on
12forms approved by the Department. If the Department determines
13attestations have been submitted that would result in a
14dispensary applicant exceeding the limits in subsection (c) of
15this Section, then the dispensary applicant shall be
16disqualified from participating in both the Tied Applicant
17Lottery and the Qualifying Applicant Lottery. If the
18Department determines attestations have been submitted that
19would result in a principal officer exceeding the limits in
20subsection (c) of this Section, then all dispensary applicants
21listing that principal officer shall be disqualified from
22participating in both the Tied Applicant Lottery and the
23Qualifying Applicant Lottery.
24    (g) The Qualifying Applicant Lottery shall be conducted no
25later than 10 business days after the Department publishes a
26list of qualifying applicants identified by the Department as

 

 

HB3508- 34 -LRB102 14553 CPF 19906 b

1eligible for the Qualifying Applicant Lottery, including any
2supplemental process to correct deficiencies.
3    (h) An applicant that applied for, but did not receive, a
4Conditional Adult Use Dispensing Organization License pursuant
5to Sections 15-25 and 15-30 may qualify as a qualifying
6applicant subject to the following:
7        (1) A dispensary applicant is prohibited from becoming
8    a qualifying applicant if a principal officer of the
9    applicant is a principal officer of more qualifying
10    applicants than the number of available licenses.
11        (2) A dispensary applicant is prohibited from becoming
12    a qualifying applicant if a principal officer resigns
13    after the resulting final score for all scored
14    applications pursuant to Sections 15-25 and 15-30,
15    including any supplemental process to correct
16    deficiencies, is issued to dispensary applicants.
17        (3) A dispensary applicant is prohibited from becoming
18    a qualifying applicant if, after the conclusion of the
19    attestation period identified in subsection (f) of this
20    Section, a principal officer of the applicant is a
21    principal officer of more qualifying applicants than the
22    number of available licenses.
23        (4) A dispensary applicant must have received at least
24    85% of total available points on an application submitted
25    pursuant to Section 15-30 to become a qualifying
26    applicant.

 

 

HB3508- 35 -LRB102 14553 CPF 19906 b

1    (i) At the conclusion of the scoring process, the
2Department may distribute the available licenses established
3under this Section by lot subject to the following:
4        (1) The drawing by lot for all available licenses
5    established under this Section shall occur on the same
6    day.
7        (2) Within each BLS Region, the first qualifying
8    applicant drawn shall have the first right to an available
9    license. The second qualifying applicant drawn shall have
10    the second right to an available license. The same pattern
11    shall continue for each subsequent qualifying applicant
12    drawn.
13        (3) The process for distributing available licenses
14    established under this Section shall be recorded by the
15    Department in a format selected by the Department.
16        (4) If, upon being selected for an available license
17    established under this Section, the eligible qualifying
18    applicant has a principal officer that is a principal
19    officer in more than 10 Early Approval Adult Use
20    Dispensing Organization Licenses, Conditional Adult Use
21    Dispensing Organization Licenses, or Adult Use Dispensing
22    Organization Licenses, the licensees and eligible
23    qualifying applicant listing that principal officer must
24    choose which license to abandon pursuant to subsection (d)
25    of Section 15-36 of this Act, and notify the Department in
26    writing within 5 business days. If the qualifying

 

 

HB3508- 36 -LRB102 14553 CPF 19906 b

1    applicant or licensees do not notify the Department as
2    required, the Department shall refuse to issue to the
3    qualifying applicant all available licenses established
4    under this Section obtained by lot in all BLS Regions.
5        (5) All available licenses that have been abandoned
6    shall be distributed to the next qualifying applicant
7    drawn by lot.
 
8    (410 ILCS 705/15-40)
9    Sec. 15-40. Dispensing organization agent identification
10card; agent training.
11    (a) The Department shall:
12        (1) verify the information contained in an application
13    or renewal for a dispensing organization agent
14    identification card submitted under this Article, and
15    approve or deny an application or renewal, within 30 days
16    of receiving a completed application or renewal
17    application and all supporting documentation required by
18    rule;
19        (2) issue a dispensing organization agent
20    identification card to a qualifying agent within 15
21    business days of approving the application or renewal;
22        (3) enter the registry identification number of the
23    dispensing organization where the agent works;
24        (4) within one year from the effective date of this
25    Act, allow for an electronic application process and

 

 

HB3508- 37 -LRB102 14553 CPF 19906 b

1    provide a confirmation by electronic or other methods that
2    an application has been submitted; and
3        (5) collect a $100 nonrefundable fee from the
4    applicant to be deposited into the Cannabis Regulation
5    Fund.
6    (b) A dispensing organization agent must keep his or her
7identification card visible at all times when in the
8dispensary.
9    (c) The dispensing organization agent identification cards
10shall contain the following:
11        (1) the name of the cardholder;
12        (2) the date of issuance and expiration date of the
13    dispensing organization agent identification cards;
14        (3) a random 10-digit alphanumeric identification
15    number containing at least 4 numbers and at least 4
16    letters that is unique to the cardholder; and
17        (4) a photograph of the cardholder.
18    (d) The dispensing organization agent identification cards
19shall be immediately returned to the dispensing organization
20upon termination of employment.
21    (e) The Department shall not issue an agent identification
22card if the applicant is delinquent in filing any required tax
23returns or paying any amounts owed to the State of Illinois.
24    (f) Any card lost by a dispensing organization agent shall
25be reported to the Department of State Police and the
26Department immediately upon discovery of the loss.

 

 

HB3508- 38 -LRB102 14553 CPF 19906 b

1    (g) An applicant shall be denied a dispensing organization
2agent identification card renewal if he or she fails to
3complete the training provided for in this Section.
4    (h) A dispensing organization agent shall only be required
5to hold one card for the same employer regardless of what type
6of dispensing organization license the employer holds.
7    (i) Cannabis retail sales training requirements.
8        (1) Within 90 days of September 1, 2019, or 90 days of
9    employment, whichever is later, all owners, managers,
10    employees, and agents involved in the handling or sale of
11    cannabis or cannabis-infused product employed by an adult
12    use dispensing organization or medical cannabis dispensing
13    organization as defined in Section 10 of the Compassionate
14    Use of Medical Cannabis Program Act shall attend and
15    successfully complete a Responsible Vendor Program.
16        (2) Each owner, manager, employee, and agent of an
17    adult use dispensing organization or medical cannabis
18    dispensing organization shall successfully complete the
19    program annually.
20        (3) Responsible Vendor Program Training modules shall
21    include at least 2 hours of instruction time approved by
22    the Department including:
23            (i) Health and safety concerns of cannabis use,
24        including the responsible use of cannabis, its
25        physical effects, onset of physiological effects,
26        recognizing signs of impairment, and appropriate

 

 

HB3508- 39 -LRB102 14553 CPF 19906 b

1        responses in the event of overconsumption.
2            (ii) Training on laws and regulations on driving
3        while under the influence and operating a watercraft
4        or snowmobile while under the influence.
5            (iii) Sales to minors prohibition. Training shall
6        cover all relevant Illinois laws and rules.
7            (iv) Quantity limitations on sales to purchasers.
8        Training shall cover all relevant Illinois laws and
9        rules.
10            (v) Acceptable forms of identification. Training
11        shall include:
12                (I) How to check identification; and
13                (II) Common mistakes made in verification;
14            (vi) Safe storage of cannabis;
15            (vii) Compliance with all inventory tracking
16        system regulations;
17            (viii) Waste handling, management, and disposal;
18            (ix) Health and safety standards;
19            (x) Maintenance of records;
20            (xi) Security and surveillance requirements;
21            (xii) Permitting inspections by State and local
22        licensing and enforcement authorities;
23            (xiii) Privacy issues;
24            (xiv) Packaging and labeling requirement for sales
25        to purchasers; and
26            (xv) Other areas as determined by rule.

 

 

HB3508- 40 -LRB102 14553 CPF 19906 b

1    (j) Blank.
2    (k) Upon the successful completion of the Responsible
3Vendor Program, the provider shall deliver proof of completion
4either through mail or electronic communication to the
5dispensing organization, which shall retain a copy of the
6certificate.
7    (l) The license of a dispensing organization or medical
8cannabis dispensing organization whose owners, managers,
9employees, or agents fail to comply with this Section may be
10suspended or permanently revoked under Section 15-145 or may
11face other disciplinary action.
12    (m) The regulation of dispensing organization and medical
13cannabis dispensing employer and employee training is an
14exclusive function of the State, and regulation by a unit of
15local government, including a home rule unit, is prohibited.
16This subsection (m) is a denial and limitation of home rule
17powers and functions under subsection (h) of Section 6 of
18Article VII of the Illinois Constitution.
19    (n) Persons seeking Department approval to offer the
20training required by paragraph (3) of subsection (i) may apply
21for such approval between August 1 and August 15 of each
22odd-numbered year in a manner prescribed by the Department.
23    (o) Persons seeking Department approval to offer the
24training required by paragraph (3) of subsection (i) shall
25submit a nonrefundable application fee of $2,000 to be
26deposited into the Cannabis Regulation Fund or a fee as may be

 

 

HB3508- 41 -LRB102 14553 CPF 19906 b

1set by rule. Any changes made to the training module shall be
2approved by the Department.
3    (p) The Department shall not unreasonably deny approval of
4a training module that meets all the requirements of paragraph
5(3) of subsection (i). A denial of approval shall include a
6detailed description of the reasons for the denial.
7    (q) Any person approved to provide the training required
8by paragraph (3) of subsection (i) shall submit an application
9for re-approval between August 1 and August 15 of each
10odd-numbered year and include a nonrefundable application fee
11of $2,000 to be deposited into the Cannabis Regulation Fund or
12a fee as may be set by rule.
13    (r) All persons applying to become or renewing their
14registrations to be agents, including agents-in-charge and
15principal officers, shall disclose any disciplinary action
16taken against them that may have occurred in Illinois, another
17state, or another country in relation to their employment at a
18cannabis business establishment or at any cannabis cultivation
19center, processor, infuser, dispensary, or other cannabis
20business establishment.
21    (s) An agent may begin employment at a dispensing
22organization while the agent's identification card application
23is pending. Upon approval, the Department shall issue the
24agent's identification card to the dispensing organization
25agent applicant. If denied, the dispensing organization and
26the applicant shall be notified and the applicant must cease

 

 

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1all activity at the dispensing organization immediately.
2(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
 
3    (410 ILCS 705/20-35)
4    Sec. 20-35. Cultivation center agent identification card.
5    (a) The Department of Agriculture shall:
6        (1) establish by rule the information required in an
7    initial application or renewal application for an agent
8    identification card submitted under this Act and the
9    nonrefundable fee to accompany the initial application or
10    renewal application;
11        (2) verify the information contained in an initial
12    application or renewal application for an agent
13    identification card submitted under this Act, and approve
14    or deny an application within 30 days of receiving a
15    completed initial application or renewal application and
16    all supporting documentation required by rule;
17        (3) issue an agent identification card to a qualifying
18    agent within 15 business days of approving the initial
19    application or renewal application;
20        (4) enter the license number of the cultivation center
21    where the agent works; and
22        (5) allow for an electronic initial application and
23    renewal application process, and provide a confirmation by
24    electronic or other methods that an application has been
25    submitted. The Department of Agriculture may by rule

 

 

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1    require prospective agents to file their applications by
2    electronic means and provide notices to the agents by
3    electronic means.
4    (b) An agent must keep his or her identification card
5visible at all times when on the property of the cultivation
6center at which the agent is employed.
7    (c) The agent identification cards shall contain the
8following:
9        (1) the name of the cardholder;
10        (2) the date of issuance and expiration date of the
11    identification card;
12        (3) a random 10-digit alphanumeric identification
13    number containing at least 4 numbers and at least 4
14    letters that is unique to the holder;
15        (4) a photograph of the cardholder; and
16        (5) the legal name of the cultivation center employing
17    the agent.
18    (d) An agent identification card shall be immediately
19returned to the cultivation center of the agent upon
20termination of his or her employment.
21    (e) Any agent identification card lost by a cultivation
22center agent shall be reported to the Department of State
23Police and the Department of Agriculture immediately upon
24discovery of the loss.
25    (f) The Department of Agriculture shall not issue an agent
26identification card if the applicant is delinquent in filing

 

 

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1any required tax returns or paying any amounts owed to the
2State of Illinois.
3    (g) An agent may begin employment at a cultivation center
4while the agent's identification card application is pending.
5Upon approval, the Department shall issue the agent's
6identification card to the cultivation center agent applicant.
7If denied, the cultivation center and the applicant shall be
8notified and the applicant must cease all activity at the
9cultivation center immediately.
10(Source: P.A. 101-27, eff. 6-25-19.)
 
11    (410 ILCS 705/25-35)
12    (Section scheduled to be repealed on July 1, 2026)
13    Sec. 25-35. Community College Cannabis Vocational Training
14Pilot Program faculty participant agent identification card.
15    (a) The Department shall:
16        (1) establish by rule the information required in an
17    initial application or renewal application for an agent
18    identification card submitted under this Article and the
19    nonrefundable fee to accompany the initial application or
20    renewal application;
21        (2) verify the information contained in an initial
22    application or renewal application for an agent
23    identification card submitted under this Article, and
24    approve or deny an application within 30 days of receiving
25    a completed initial application or renewal application and

 

 

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1    all supporting documentation required by rule;
2        (3) issue an agent identification card to a qualifying
3    agent within 15 business days of approving the initial
4    application or renewal application;
5        (4) enter the license number of the community college
6    where the agent works; and
7        (5) allow for an electronic initial application and
8    renewal application process, and provide a confirmation by
9    electronic or other methods that an application has been
10    submitted. Each Department may by rule require prospective
11    agents to file their applications by electronic means and
12    to provide notices to the agents by electronic means.
13    (b) An agent must keep his or her identification card
14visible at all times when in the enclosed, locked facility, or
15facilities for which he or she is an agent.
16    (c) The agent identification cards shall contain the
17following:
18        (1) the name of the cardholder;
19        (2) the date of issuance and expiration date of the
20    identification card;
21        (3) a random 10-digit alphanumeric identification
22    number containing at least 4 numbers and at least 4
23    letters that is unique to the holder;
24        (4) a photograph of the cardholder; and
25        (5) the legal name of the community college employing
26    the agent.

 

 

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1    (d) An agent identification card shall be immediately
2returned to the community college of the agent upon
3termination of his or her employment.
4    (e) Any agent identification card lost shall be reported
5to the Department of State Police and the Department of
6Agriculture immediately upon discovery of the loss.
7    (f) An agent may begin employment at a Community College
8Cannabis Vocational Training Pilot Program while the agent's
9identification card application is pending. Upon approval, the
10Department shall issue the agent's identification card to the
11Community College Cannabis Vocational Training Pilot Program
12participant agent applicant. If denied, the Community College
13Cannabis Vocational Training Pilot Program and the participant
14applicant shall be notified and the applicant must cease all
15activity at the cultivation center immediately.
16(Source: P.A. 101-27, eff. 6-25-19.)
 
17    (410 ILCS 705/30-35)
18    Sec. 30-35. Craft grower agent identification card.
19    (a) The Department of Agriculture shall:
20        (1) establish by rule the information required in an
21    initial application or renewal application for an agent
22    identification card submitted under this Act and the
23    nonrefundable fee to accompany the initial application or
24    renewal application;
25        (2) verify the information contained in an initial

 

 

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1    application or renewal application for an agent
2    identification card submitted under this Act and approve
3    or deny an application within 30 days of receiving a
4    completed initial application or renewal application and
5    all supporting documentation required by rule;
6        (3) issue an agent identification card to a qualifying
7    agent within 15 business days of approving the initial
8    application or renewal application;
9        (4) enter the license number of the craft grower where
10    the agent works; and
11        (5) allow for an electronic initial application and
12    renewal application process, and provide a confirmation by
13    electronic or other methods that an application has been
14    submitted. The Department of Agriculture may by rule
15    require prospective agents to file their applications by
16    electronic means and provide notices to the agents by
17    electronic means.
18    (b) An agent must keep his or her identification card
19visible at all times when on the property of a cannabis
20business establishment, including the craft grower
21organization for which he or she is an agent.
22    (c) The agent identification cards shall contain the
23following:
24        (1) the name of the cardholder;
25        (2) the date of issuance and expiration date of the
26    identification card;

 

 

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1        (3) a random 10-digit alphanumeric identification
2    number containing at least 4 numbers and at least 4
3    letters that is unique to the holder;
4        (4) a photograph of the cardholder; and
5        (5) the legal name of the craft grower organization
6    employing the agent.
7    (d) An agent identification card shall be immediately
8returned to the cannabis business establishment of the agent
9upon termination of his or her employment.
10    (e) Any agent identification card lost by a craft grower
11agent shall be reported to the Department of State Police and
12the Department of Agriculture immediately upon discovery of
13the loss.
14    (f) An agent may begin employment at a craft grower
15organization while the agent's identification card application
16is pending. Upon approval, the Department shall issue the
17agent's identification card to the craft grower organization
18agent applicant. If denied, the craft grower organization and
19the applicant shall be notified and the applicant must cease
20all activity at the craft grower organization immediately.
21(Source: P.A. 101-27, eff. 6-25-19.)
 
22    (410 ILCS 705/35-30)
23    Sec. 35-30. Infuser agent identification card.
24    (a) The Department of Agriculture shall:
25        (1) establish by rule the information required in an

 

 

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1    initial application or renewal application for an agent
2    identification card submitted under this Act and the
3    nonrefundable fee to accompany the initial application or
4    renewal application;
5        (2) verify the information contained in an initial
6    application or renewal application for an agent
7    identification card submitted under this Act, and approve
8    or deny an application within 30 days of receiving a
9    completed initial application or renewal application and
10    all supporting documentation required by rule;
11        (3) issue an agent identification card to a qualifying
12    agent within 15 business days of approving the initial
13    application or renewal application;
14        (4) enter the license number of the infuser where the
15    agent works; and
16        (5) allow for an electronic initial application and
17    renewal application process, and provide a confirmation by
18    electronic or other methods that an application has been
19    submitted. The Department of Agriculture may by rule
20    require prospective agents to file their applications by
21    electronic means and provide notices to the agents by
22    electronic means.
23    (b) An agent must keep his or her identification card
24visible at all times when on the property of a cannabis
25business establishment including the cannabis business
26establishment for which he or she is an agent.

 

 

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1    (c) The agent identification cards shall contain the
2following:
3        (1) the name of the cardholder;
4        (2) the date of issuance and expiration date of the
5    identification card;
6        (3) a random 10-digit alphanumeric identification
7    number containing at least 4 numbers and at least 4
8    letters that is unique to the holder;
9        (4) a photograph of the cardholder; and
10        (5) the legal name of the infuser organization
11    employing the agent.
12    (d) An agent identification card shall be immediately
13returned to the infuser organization of the agent upon
14termination of his or her employment.
15    (e) Any agent identification card lost by a transporting
16agent shall be reported to the Department of State Police and
17the Department of Agriculture immediately upon discovery of
18the loss.
19    (f) An agent may begin employment at an infuser
20organization while the agent's identification card application
21is pending. Upon approval, the Department shall issue the
22agent's identification card to the infuser organization agent
23applicant. If denied, the infuser organization and the
24applicant shall be notified and the applicant must cease all
25activity at the infuser organization immediately.
26(Source: P.A. 101-27, eff. 6-25-19.)
 

 

 

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1    (410 ILCS 705/40-30)
2    Sec. 40-30. Transporting agent identification card.
3    (a) The Department of Agriculture shall:
4        (1) establish by rule the information required in an
5    initial application or renewal application for an agent
6    identification card submitted under this Act and the
7    nonrefundable fee to accompany the initial application or
8    renewal application;
9        (2) verify the information contained in an initial
10    application or renewal application for an agent
11    identification card submitted under this Act and approve
12    or deny an application within 30 days of receiving a
13    completed initial application or renewal application and
14    all supporting documentation required by rule;
15        (3) issue an agent identification card to a qualifying
16    agent within 15 business days of approving the initial
17    application or renewal application;
18        (4) enter the license number of the transporting
19    organization where the agent works; and
20        (5) allow for an electronic initial application and
21    renewal application process, and provide a confirmation by
22    electronic or other methods that an application has been
23    submitted. The Department of Agriculture may by rule
24    require prospective agents to file their applications by
25    electronic means and provide notices to the agents by

 

 

HB3508- 52 -LRB102 14553 CPF 19906 b

1    electronic means.
2    (b) An agent must keep his or her identification card
3visible at all times when on the property of a cannabis
4business establishment, including the cannabis business
5establishment for which he or she is an agent.
6    (c) The agent identification cards shall contain the
7following:
8        (1) the name of the cardholder;
9        (2) the date of issuance and expiration date of
10    th    e identification card;
11    (3) a random 10-digit alphanumeric identification number
12    containing at least 4 numbers and at least 4 letters that
13    is unique to the holder;
14        (4) a photograph of the cardholder; and
15        (5) the legal name of the transporting organization
16    employing the agent.
17    (d) An agent identification card shall be immediately
18returned to the transporting organization of the agent upon
19termination of his or her employment.
20    (e) Any agent identification card lost by a transporting
21agent shall be reported to the Department of State Police and
22the Department of Agriculture immediately upon discovery of
23the loss.
24    (f) An application for an agent identification card shall
25be denied if the applicant is delinquent in filing any
26required tax returns or paying any amounts owed to the State of

 

 

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1Illinois.
2    (g) An agent may begin employment at a transporting
3organization while the agent's identification card application
4is pending. Upon approval, the Department shall issue the
5agent's identification card to the transporting agent
6applicant. If denied, the transporting organization and the
7applicant shall be notified and the applicant must cease all
8activity at the transporting organization immediately.
9(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
 
10    (410 ILCS 705/55-21)
11    Sec. 55-21. Cannabis product packaging and labeling.
12    (a) Each cannabis product produced for sale shall be
13registered with the Department of Agriculture on forms
14provided by the Department of Agriculture. Each product
15registration shall include a label and the required
16registration fee at the rate established by the Department of
17Agriculture for a comparable medical cannabis product, or as
18established by rule. The registration fee is for the name of
19the product offered for sale and one fee shall be sufficient
20for all package sizes.
21    (b) All harvested cannabis intended for distribution to a
22cannabis enterprise must be packaged in a sealed, labeled
23container.
24    (c) At point of sale, any Any product containing cannabis
25shall be packaged in a sealed or resealable, odor-proof, and

 

 

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1child-resistant cannabis container consistent with current
2standards, including the Consumer Product Safety Commission
3standards referenced by the Poison Prevention Act.
4    (d) All cannabis-infused products shall be individually
5wrapped or packaged at the original point of preparation. The
6packaging of the cannabis-infused product shall conform to the
7labeling requirements of the Illinois Food, Drug and Cosmetic
8Act, in addition to the other requirements set forth in this
9Section.
10    (e) Each cannabis product shall be labeled before sale and
11each label shall be securely affixed to the package and shall
12state in legible English and any languages required by the
13Department of Agriculture:
14        (1) the name and post office box of the registered
15    cultivation center or craft grower where the item was
16    manufactured;
17        (2) the common or usual name of the item and the
18    registered name of the cannabis product that was
19    registered with the Department of Agriculture under
20    subsection (a);
21        (3) a unique serial number that will match the product
22    with a cultivation center or craft grower batch and lot
23    number to facilitate any warnings or recalls the
24    Department of Agriculture, cultivation center, or craft
25    grower deems appropriate;
26        (4) the date of final testing and packaging, if

 

 

HB3508- 55 -LRB102 14553 CPF 19906 b

1    sampled, and the identification of the independent testing
2    laboratory;
3        (5) the date of harvest and "use by" date;
4        (6) the quantity (in ounces or grams) of cannabis
5    contained in the product;
6        (7) a pass/fail rating based on the laboratory's
7    microbiological, mycotoxins, and pesticide and solvent
8    residue analyses, if sampled;
9        (8) content list.
10            (A) A list of the following, including the minimum
11        and maximum percentage content by weight for
12        subdivisions (e)(8)(A)(i) through (iv):
13                (i) delta-9-tetrahydrocannabinol (THC);
14                (ii) tetrahydrocannabinolic acid (THCA);
15                (iii) cannabidiol (CBD);
16                (iv) cannabidiolic acid (CBDA); and
17                (v) all other ingredients of the item,
18            including any colors, artificial flavors, and
19            preservatives, listed in descending order by
20            predominance of weight shown with common or usual
21            names.
22            (B) The acceptable tolerances for the minimum
23        percentage printed on the label for any of
24        subdivisions (e)(8)(A)(i) through (iv) shall not be
25        below 85% or above 115% of the labeled amount.
26    (f) Packaging must not contain information that:

 

 

HB3508- 56 -LRB102 14553 CPF 19906 b

1        (1) is false or misleading;
2        (2) promotes excessive consumption;
3        (3) depicts a person under 21 years of age consuming
4    cannabis;
5        (4) includes the image of a cannabis leaf;
6        (5) includes any image designed or likely to appeal to
7    minors, including cartoons, toys, animals, or children, or
8    any other likeness to images, characters, or phrases that
9    are popularly used to advertise to children, or any
10    packaging or labeling that bears reasonable resemblance to
11    any product available for consumption as a commercially
12    available candy, or that promotes consumption of cannabis;
13        (6) contains any seal, flag, crest, coat of arms, or
14    other insignia likely to mislead the purchaser to believe
15    that the product has been endorsed, made, or used by the
16    State of Illinois or any of its representatives except
17    where authorized by this Act.
18    (g) Cannabis products produced by concentrating or
19extracting ingredients from the cannabis plant shall contain
20the following information, where applicable:
21        (1) If solvents were used to create the concentrate or
22    extract, a statement that discloses the type of extraction
23    method, including any solvents or gases used to create the
24    concentrate or extract; and
25        (2) Any other chemicals or compounds used to produce
26    or were added to the concentrate or extract.

 

 

HB3508- 57 -LRB102 14553 CPF 19906 b

1    (h) All cannabis products must contain warning statements
2established for purchasers, of a size that is legible and
3readily visible to a consumer inspecting a package, which may
4not be covered or obscured in any way. The Department of Public
5Health shall define and update appropriate health warnings for
6packages including specific labeling or warning requirements
7for specific cannabis products.
8    (i) Unless modified by rule to strengthen or respond to
9new evidence and science, the following warnings shall apply
10to all cannabis products unless modified by rule: "This
11product contains cannabis and is intended for use by adults 21
12and over. Its use can impair cognition and may be habit
13forming. This product should not be used by pregnant or
14breastfeeding women. It is unlawful to sell or provide this
15item to any individual, and it may not be transported outside
16the State of Illinois. It is illegal to operate a motor vehicle
17while under the influence of cannabis. Possession or use of
18this product may carry significant legal penalties in some
19jurisdictions and under federal law.".
20    (j) Warnings for each of the following product types must
21be present on labels when offered for sale to a purchaser:
22        (1) Cannabis that may be smoked must contain a
23    statement that "Smoking is hazardous to your health.".
24        (2) Cannabis-infused products (other than those
25    intended for topical application) must contain a statement
26    "CAUTION: This product contains cannabis, and intoxication

 

 

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1    following use may be delayed 2 or more hours. This product
2    was produced in a facility that cultivates cannabis, and
3    that may also process common food allergens.".
4        (3) Cannabis-infused products intended for topical
5    application must contain a statement "DO NOT EAT" in bold,
6    capital letters.
7    (k) Each cannabis-infused product intended for consumption
8must be individually packaged, must include the total
9milligram content of THC and CBD, and may not include more than
10a total of 100 milligrams of THC per package. A package may
11contain multiple servings of 10 milligrams of THC, indicated
12by scoring, wrapping, or by other indicators designating
13individual serving sizes. The Department of Agriculture may
14change the total amount of THC allowed for each package, or the
15total amount of THC allowed for each serving size, by rule.
16    (l) No individual other than the purchaser may alter or
17destroy any labeling affixed to the primary packaging of
18cannabis or cannabis-infused products.
19    (m) For each commercial weighing and measuring device used
20at a facility, the cultivation center or craft grower must:
21        (1) Ensure that the commercial device is licensed
22    under the Weights and Measures Act and the associated
23    administrative rules (8 Ill. Adm. Code 600);
24        (2) Maintain documentation of the licensure of the
25    commercial device; and
26        (3) Provide a copy of the license of the commercial

 

 

HB3508- 59 -LRB102 14553 CPF 19906 b

1    device to the Department of Agriculture for review upon
2    request.
3    (n) It is the responsibility of the Department to ensure
4that packaging and labeling requirements, including product
5warnings, are enforced at all times for products provided to
6purchasers. Product registration requirements and container
7requirements may be modified by rule by the Department of
8Agriculture.
9    (o) Labeling, including warning labels, may be modified by
10rule by the Department of Agriculture.
11(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
 
12    Section 15. The Illinois Vehicle Code is amended by
13changing Sections 11-502.1 and 11-502.15 as follows:
 
14    (625 ILCS 5/11-502.1)
15    Sec. 11-502.1. Possession of medical cannabis in a motor
16vehicle.
17    (a) No driver, who is a medical cannabis cardholder, may
18use medical cannabis within the passenger area of any motor
19vehicle upon a highway in this State.
20    (b) No driver, who is a medical cannabis cardholder, a
21medical cannabis designated caregiver, medical cannabis
22cultivation center agent, or dispensing organization agent may
23possess medical cannabis within any area of any motor vehicle
24upon a highway in this State except in a secured, sealed or

 

 

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1resealable, odor-proof, and child-resistant medical cannabis
2container that is inaccessible.
3    (c) No passenger, who is a medical cannabis card holder, a
4medical cannabis designated caregiver, or medical cannabis
5dispensing organization agent may possess medical cannabis
6within any passenger area of any motor vehicle upon a highway
7in this State except in a secured, sealed or resealable,
8odor-proof, and child-resistant medical cannabis container
9that is inaccessible.
10    (d) Any person who violates subsections (a) through (c) of
11this Section:
12        (1) commits a Class A misdemeanor;
13        (2) shall be subject to revocation of his or her
14    medical cannabis card for a period of 2 years from the end
15    of the sentence imposed; and
16        (3) (4) shall be subject to revocation of his or her
17    status as a medical cannabis caregiver, medical cannabis
18    cultivation center agent, or medical cannabis dispensing
19    organization agent for a period of 2 years from the end of
20    the sentence imposed.
21(Source: P.A. 101-27, eff. 6-25-19; revised 8-6-19.)
 
22    (625 ILCS 5/11-502.15)
23    Sec. 11-502.15. Possession of adult use cannabis in a
24motor vehicle.
25    (a) No driver may use cannabis within the passenger area

 

 

HB3508- 61 -LRB102 14553 CPF 19906 b

1of any motor vehicle upon a highway in this State.
2    (b) No driver may possess cannabis within any area of any
3motor vehicle upon a highway in this State except in a secured,
4sealed or resealable, odor-proof, child-resistant cannabis
5container that is inaccessible.
6    (c) No passenger may possess cannabis within any passenger
7area of any motor vehicle upon a highway in this State except
8in a secured, sealed or resealable, odor-proof,
9child-resistant cannabis container that is inaccessible.
10    (d) Any person who knowingly violates subsection (a), (b),
11or (c) of this Section commits a Class A misdemeanor.
12(Source: P.A. 101-27, eff. 6-25-19.)
 
13    Section 97. Severability. The provisions of this Act are
14severable under Section 1.31 of the Statute on Statutes.
 
15    Section 99. Effective date. This Act takes effect upon
16becoming law.