Illinois General Assembly - Full Text of HB5394
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Full Text of HB5394  102nd General Assembly

HB5394 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5394

 

Introduced 1/31/2022, by Rep. Jonathan Carroll

 

SYNOPSIS AS INTRODUCED:
 
410 ILCS 705/1-10
410 ILCS 705/40-5
410 ILCS 705/40-25

    Amends the Cannabis Regulation and Tax Act. Removes language requiring the Department of Agriculture to make the application for transporting organization licenses available by specified dates. Provides that the Department shall not make any application for a transporting organization available on and after the amendatory Act's effective date without conducting an evaluation of the transportation and delivery needs of the industry. Provides that a transporting organization may not transport cannabis or cannabis-infused products to any person other than, among others, a purchaser who is of legal age to purchase cannabis or cannabis-infused products. Makes other changes. Effective immediately.


LRB102 25323 CPF 34597 b

 

 

A BILL FOR

 

HB5394LRB102 25323 CPF 34597 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, 40-5, and 40-25 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.

 

 

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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    "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

 

 

HB5394- 3 -LRB102 25323 CPF 34597 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.

 

 

HB5394- 4 -LRB102 25323 CPF 34597 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

 

 

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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

 

 

HB5394- 6 -LRB102 25323 CPF 34597 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

 

 

HB5394- 7 -LRB102 25323 CPF 34597 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

 

 

HB5394- 8 -LRB102 25323 CPF 34597 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:

 

 

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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

 

 

HB5394- 10 -LRB102 25323 CPF 34597 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, 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

 

 

HB5394- 11 -LRB102 25323 CPF 34597 b

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

 

 

HB5394- 12 -LRB102 25323 CPF 34597 b

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

 

 

HB5394- 14 -LRB102 25323 CPF 34597 b

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

 

 

HB5394- 16 -LRB102 25323 CPF 34597 b

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 application points available under Section
1415-30 as the applicant's final score and meets the definition
15of "Social Equity Applicant" as set forth under this Section.
16    "Qualifying Social Equity Justice Involved Applicant"
17means an applicant that submitted an application pursuant to
18Section 15-30 that received at least 85% of 250 application
19points available under Section 15-30 as the applicant's final
20score and meets the criteria of either paragraph (1) or (2) of
21the definition of "Social Equity Applicant" as set forth under
22this Section.
23    "Qualified Social Equity Applicant" means a Social Equity
24Applicant who has been awarded a conditional license under
25this Act to operate a cannabis business establishment.
26    "Resided" means an individual's primary residence was

 

 

HB5394- 17 -LRB102 25323 CPF 34597 b

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

 

 

HB5394- 18 -LRB102 25323 CPF 34597 b

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

 

 

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1Applicant was required to pay a required application fee for
2the application period ending January 2, 2020 shall be
3considered an application of a separate Tied Applicant.
4    "Tied Applicant Lottery" means the process established
5under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult
6Use Dispensing Organization Licenses pursuant to Sections
715-25 and 15-30 among Eligible Tied Applicants.
8    "Tincture" means a cannabis-infused solution, typically
9comprised of alcohol, glycerin, or vegetable oils, derived
10either directly from the cannabis plant or from a processed
11cannabis extract. A tincture is not an alcoholic liquor as
12defined in the Liquor Control Act of 1934. A tincture shall
13include a calibrated dropper or other similar device capable
14of accurately measuring servings.
15    "Transporting organization" or "transporter" means an
16organization or business that is licensed by the Department of
17Agriculture to transport via a cashless transaction: (i)
18cannabis or cannabis-infused product on behalf of a cannabis
19business establishment or a community college licensed under
20the Community College Cannabis Vocational Training Pilot
21Program; or (ii) to transport cannabis or a cannabis-infused
22product from a State-licensed dispensing organization directly
23to a purchaser who is of legal age to purchase the cannabis or
24a cannabis-infused product.
25    "Transporting organization agent" means a principal
26officer, board member, employee, or agent of a transporting

 

 

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1organization.
2    "Transporting organization agent identification card"
3means a document issued by the Department of Agriculture that
4identifies a person as a transporting organization agent.
5    "Unit of local government" means any county, city,
6village, or incorporated town.
7    "Vegetative stage" means the stage of cultivation in which
8a cannabis plant is propagated to produce additional cannabis
9plants or reach a sufficient size for production. This
10includes seedlings, clones, mothers, and other immature
11cannabis plants as follows:
12        (1) if the cannabis plant is in an area that has not
13    been intentionally deprived of light for a period of time
14    intended to produce flower buds and induce maturation, it
15    has no more than 2 stigmas visible at each internode of the
16    cannabis plant; or
17        (2) any cannabis plant that is cultivated solely for
18    the purpose of propagating clones and is never used to
19    produce cannabis.
20(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
21102-98, eff. 7-15-21; 102-538, eff. 8-20-21; revised
2210-13-21.)
 
23    (410 ILCS 705/40-5)
24    Sec. 40-5. Issuance of licenses.
25    (a) The Department shall issue transporting licenses

 

 

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1through a process provided for in this Article no later than
2July 1, 2020.
3    (b) (Blank). The Department shall make the application for
4transporting organization licenses available on January 7,
52020 and shall receive such applications no later than March
615, 2020. The Department of Agriculture shall make available
7such applications on every January 7 thereafter or if that
8date falls on a weekend or holiday, the business day
9immediately succeeding the weekend or holiday and shall
10receive such applications no later than March 15 or the
11succeeding business day thereafter.
12    (c) The Department shall not make any application for a
13transporting organization available on and after the effective
14date of this amendatory Act of the 102nd General Assembly
15without conducting an evaluation of the transportation and
16delivery needs of the industry.
17(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
 
18    (410 ILCS 705/40-25)
19    Sec. 40-25. Transporting organization requirements;
20prohibitions.
21    (a) The operating documents of a transporting organization
22shall include procedures for the oversight of the transporter,
23an inventory monitoring system including a physical inventory
24recorded weekly, accurate recordkeeping, and a staffing plan.
25    (b) A transporting organization may not transport cannabis

 

 

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1or cannabis-infused products to any person other than a
2cultivation center, a craft grower, an infuser organization, a
3dispensing organization, a testing facility, a purchaser who
4is of legal age to purchase cannabis or cannabis-infused
5products, or as otherwise authorized by rule.
6    (c) All cannabis transported by a transporting
7organization must be entered into a data collection system and
8placed into a cannabis container for transport.
9    (d) Transporters are subject to random inspections by the
10Department of Agriculture, the Department of Public Health,
11the Illinois State Police, or as provided by rule.
12    (e) A transporting organization agent shall notify local
13law enforcement, the Illinois State Police, and the Department
14of Agriculture within 24 hours of the discovery of any loss or
15theft. Notification shall be made by phone, in person, or by
16written or electronic communication.
17    (f) No person under the age of 21 years shall be in a
18commercial vehicle or trailer transporting cannabis goods.
19    (g) No person or individual who is not a transporting
20organization agent shall be in a vehicle while transporting
21cannabis goods.
22    (h) Transporters may not use commercial motor vehicles
23with a weight rating of over 10,001 pounds.
24    (i) It is unlawful for any person to offer or deliver
25money, or anything else of value, directly or indirectly, to
26any of the following persons to obtain preferential placement

 

 

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1within the dispensing organization, including, without
2limitation, on shelves and in display cases where purchasers
3can view products, or on the dispensing organization's
4website:
5        (1) a person having a transporting organization
6    license, or any officer, associate, member,
7    representative, or agent of the licensee;
8        (2) a person having an Early Applicant Adult Use
9    Dispensing Organization License, an Adult Use Dispensing
10    Organization License, or a medical cannabis dispensing
11    organization license issued under the Compassionate Use of
12    Medical Cannabis Program Act;
13        (3) a person connected with or in any way
14    representing, or a member of the family of, a person
15    holding an Early Applicant Adult Use Dispensing
16    Organization License, an Adult Use Dispensing Organization
17    License, or a medical cannabis dispensing organization
18    license issued under the Compassionate Use of Medical
19    Cannabis Program Act; or
20        (4) a stockholder, officer, manager, agent, or
21    representative of a corporation engaged in the retail sale
22    of cannabis, an Early Applicant Adult Use Dispensing
23    Organization License, an Adult Use Dispensing Organization
24    License, or a medical cannabis dispensing organization
25    license issued under the Compassionate Use of Medical
26    Cannabis Program Act.

 

 

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1    (j) A transporting organization agent must keep his or her
2identification card visible at all times when on the property
3of a cannabis business establishment and during the
4transporting of cannabis when acting under his or her duties
5as a transportation organization agent. During these times,
6the transporting organization agent must also provide the
7identification card upon request of any law enforcement
8officer engaged in his or her official duties.
9    (k) A copy of the transporting organization's registration
10and a manifest for the delivery shall be present in any vehicle
11transporting cannabis.
12    (l) Cannabis shall be transported so it is not visible or
13recognizable from outside the vehicle.
14    (m) A vehicle transporting cannabis must not bear any
15markings to indicate the vehicle contains cannabis or bear the
16name or logo of the cannabis business establishment.
17    (n) Cannabis must be transported in an enclosed, locked
18storage compartment that is secured or affixed to the vehicle.
19    (o) The Department of Agriculture may, by rule, impose any
20other requirements or prohibitions on the transportation of
21cannabis.
22(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
23102-98, eff. 7-15-21; 102-538, eff. 8-20-21; revised
2410-14-21.)
 
25    Section 99. Effective date. This Act takes effect upon
26becoming law.