Full Text of HB5562 103rd General Assembly
HB5562ham001 103RD GENERAL ASSEMBLY | Rep. Marcus C. Evans, Jr. Filed: 3/27/2024 | | 10300HB5562ham001 | | LRB103 39472 CES 71157 a |
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| 1 | | AMENDMENT TO HOUSE BILL 5562
| 2 | | AMENDMENT NO. ______. Amend House Bill 5562 by replacing | 3 | | everything after the enacting clause with the following: | 4 | | "Section 5. The Compassionate Use of Medical Cannabis | 5 | | Program Act is amended by changing Section 145 as follows: | 6 | | (410 ILCS 130/145) | 7 | | Sec. 145. Confidentiality. | 8 | | (a) The following information received and records kept by | 9 | | the Department of Public Health, Department of Financial and | 10 | | Professional Regulation, Department of Agriculture, or | 11 | | Illinois State Police for purposes of administering this Act | 12 | | are subject to all applicable federal privacy laws, | 13 | | confidential, and exempt from the Freedom of Information Act, | 14 | | and not subject to disclosure to any individual or public or | 15 | | private entity, except as necessary for authorized employees | 16 | | of those authorized agencies to perform official duties under |
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| 1 | | this Act and the following information received and records | 2 | | kept by Department of Public Health, Department of | 3 | | Agriculture, Department of Financial and Professional | 4 | | Regulation, and Illinois State Police, excluding any existing | 5 | | or non-existing Illinois or national criminal history record | 6 | | information as defined in subsection (d), may be disclosed to | 7 | | each other upon request: | 8 | | (1) Applications and renewals, their contents, and | 9 | | supporting information submitted by qualifying patients | 10 | | and designated caregivers, including information regarding | 11 | | their designated caregivers and certifying health care | 12 | | professionals. | 13 | | (2) Applications and renewals, their contents, and | 14 | | supporting information submitted by or on behalf of | 15 | | cultivation centers and dispensing organizations in | 16 | | compliance with this Act, including their physical | 17 | | addresses. This does not preclude the release of ownership | 18 | | information of cannabis business establishment licenses. | 19 | | (3) The individual names and other information | 20 | | identifying persons to whom the Department of Public | 21 | | Health has issued registry identification cards. | 22 | | (4) Any dispensing information required to be kept | 23 | | under Section 135, Section 150, or Department of Public | 24 | | Health, Department of Agriculture, or Department of | 25 | | Financial and Professional Regulation rules shall identify | 26 | | cardholders and registered cultivation centers by their |
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| 1 | | registry identification numbers and medical cannabis | 2 | | dispensing organizations by their registration number and | 3 | | not contain names or other personally identifying | 4 | | information. | 5 | | (5) All medical records provided to the Department of | 6 | | Public Health in connection with an application for a | 7 | | registry card. | 8 | | (b) Nothing in this Section precludes the following: | 9 | | (1) Department of Agriculture, Department of Financial | 10 | | and Professional Regulation, or Public Health employees | 11 | | may notify law enforcement about falsified or fraudulent | 12 | | information submitted to the Departments if the employee | 13 | | who suspects that falsified or fraudulent information has | 14 | | been submitted conferred with his or her supervisor and | 15 | | both agree that circumstances exist that warrant | 16 | | reporting. | 17 | | (2) If the employee conferred with his or her | 18 | | supervisor and both agree that circumstances exist that | 19 | | warrant reporting, Department of Public Health employees | 20 | | may notify the Department of Financial and Professional | 21 | | Regulation if there is reasonable cause to believe a | 22 | | certifying health care professional: | 23 | | (A) issued a written certification without a bona | 24 | | fide health care professional-patient relationship | 25 | | under this Act; | 26 | | (B) issued a written certification to a person who |
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| 1 | | was not under the certifying health care | 2 | | professional's care for the debilitating medical | 3 | | condition; or | 4 | | (C) failed to abide by the acceptable and | 5 | | prevailing standard of care when evaluating a | 6 | | patient's medical condition. | 7 | | (3) The Department of Public Health, Department of | 8 | | Agriculture, and Department of Financial and Professional | 9 | | Regulation may notify State or local law enforcement about | 10 | | apparent criminal violations of this Act if the employee | 11 | | who suspects the offense has conferred with his or her | 12 | | supervisor and both agree that circumstances exist that | 13 | | warrant reporting. | 14 | | (4) Medical cannabis cultivation center agents and | 15 | | medical cannabis dispensing organizations may notify the | 16 | | Department of Public Health, Department of Financial and | 17 | | Professional Regulation, or Department of Agriculture of a | 18 | | suspected violation or attempted violation of this Act or | 19 | | the rules issued under it. | 20 | | (5) Each Department may verify registry identification | 21 | | cards under Section 150. | 22 | | (6) The submission of the report to the General | 23 | | Assembly under Section 160. | 24 | | (b-5) Each Department responsible for licensure under this | 25 | | Act shall publish on the Department's website a list of the | 26 | | ownership information of cannabis business establishment |
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| 1 | | licensees under the Department's jurisdiction. The list shall | 2 | | include, but shall not be limited to, the name of the person or | 3 | | entity holding each cannabis business establishment license | 4 | | and the address at which the entity is operating under this | 5 | | Act. This list shall be published and updated monthly. | 6 | | (c) Except for any ownership information released pursuant | 7 | | to subsection (b-5) or as otherwise authorized or required by | 8 | | law, it is a Class B misdemeanor with a $1,000 fine for any | 9 | | person, including an employee or official of the Department of | 10 | | Public Health, Department of Financial and Professional | 11 | | Regulation, or Department of Agriculture or another State | 12 | | agency or local government, to breach the confidentiality of | 13 | | information obtained under this Act. | 14 | | (d) The Department of Public Health, the Department of | 15 | | Agriculture, the Illinois State Police, and the Department of | 16 | | Financial and Professional Regulation shall not share or | 17 | | disclose any existing or non-existing Illinois or national | 18 | | criminal history record information. For the purposes of this | 19 | | Section, "any existing or non-existing Illinois or national | 20 | | criminal history record information" means any Illinois or | 21 | | national criminal history record information, including but | 22 | | not limited to the lack of or non-existence of these records. | 23 | | (e) Notwithstanding any other provision of this Section, | 24 | | the Department of Financial and Professional Regulation and | 25 | | the Department of Agriculture may share with the Department of | 26 | | Commerce and Economic Opportunity any licensee information |
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| 1 | | necessary to support the administration of social equity | 2 | | programming. | 3 | | (Source: P.A. 101-363, eff. 8-9-19; 102-98, eff. 7-15-21; | 4 | | 102-538, eff. 8-20-21; 102-813, eff. 5-13-22.) | 5 | | Section 10. The Cannabis Regulation and Tax Act is amended | 6 | | by changing Sections 1-10, 7-10, 7-15, and 55-30 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 | 10 | | issued by the Department of Agriculture that permits a person | 11 | | to act as a cultivation center under this Act and any | 12 | | administrative rule made in furtherance of this Act. | 13 | | "Adult Use Dispensing Organization License" means a | 14 | | license issued by the Department of Financial and Professional | 15 | | Regulation that permits a person to act as a dispensing | 16 | | organization under this Act and any administrative rule made | 17 | | in furtherance of this Act. | 18 | | "Advertise" means to engage in promotional activities | 19 | | including, but not limited to: newspaper, radio, Internet and | 20 | | electronic media, and television advertising; the distribution | 21 | | of fliers and circulars; billboard advertising; and the | 22 | | display of window and interior signs. "Advertise" does not | 23 | | mean exterior signage displaying only the name of the licensed | 24 | | cannabis business establishment. |
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| 1 | | "Application points" means the number of points a | 2 | | Dispensary Applicant receives on an application for a | 3 | | Conditional Adult Use Dispensing Organization License. | 4 | | "BLS Region" means a region in Illinois used by the United | 5 | | States Bureau of Labor Statistics to gather and categorize | 6 | | certain employment and wage data. The 17 such regions in | 7 | | Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion, | 8 | | Champaign-Urbana, Chicago-Naperville-Elgin, Danville, | 9 | | Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria, | 10 | | Rockford, St. Louis, Springfield, Northwest Illinois | 11 | | nonmetropolitan area, West Central Illinois nonmetropolitan | 12 | | area, East Central Illinois nonmetropolitan area, and South | 13 | | Illinois nonmetropolitan area. | 14 | | "By lot" means a randomized method of choosing between 2 | 15 | | or more Eligible Tied Applicants or 2 or more Qualifying | 16 | | Applicants. | 17 | | "Cannabis" means marijuana, hashish, and other substances | 18 | | that are identified as including any parts of the plant | 19 | | Cannabis sativa and including derivatives or subspecies, such | 20 | | as indica, of all strains of cannabis, whether growing or not; | 21 | | the seeds thereof, the resin extracted from any part of the | 22 | | plant; and any compound, manufacture, salt, derivative, | 23 | | mixture, or preparation of the plant, its seeds, or resin, | 24 | | including tetrahydrocannabinol (THC) and all other naturally | 25 | | produced cannabinol derivatives, whether produced directly or | 26 | | indirectly by extraction; however, "cannabis" does not include |
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| 1 | | the mature stalks of the plant, fiber produced from the | 2 | | stalks, oil or cake made from the seeds of the plant, any other | 3 | | compound, manufacture, salt, derivative, mixture, or | 4 | | preparation of the mature stalks (except the resin extracted | 5 | | from it), fiber, oil or cake, or the sterilized seed of the | 6 | | plant that is incapable of germination. "Cannabis" does not | 7 | | include industrial hemp as defined and authorized under the | 8 | | Industrial Hemp Act. "Cannabis" also means cannabis flower, | 9 | | concentrate, and cannabis-infused products. | 10 | | "Cannabis business establishment" means a cultivation | 11 | | center, craft grower, processing organization, infuser | 12 | | organization, dispensing organization, or transporting | 13 | | organization. | 14 | | "Cannabis concentrate" means a product derived from | 15 | | cannabis that is produced by extracting cannabinoids, | 16 | | including tetrahydrocannabinol (THC), from the plant through | 17 | | the use of propylene glycol, glycerin, butter, olive oil, or | 18 | | other typical cooking fats; water, ice, or dry ice; or butane, | 19 | | propane, CO 2 , ethanol, or isopropanol and with the intended | 20 | | use of smoking or making a cannabis-infused product. The use | 21 | | of any other solvent is expressly prohibited unless and until | 22 | | it is approved by the Department of Agriculture. | 23 | | "Cannabis container" means a sealed or resealable, | 24 | | traceable, container, or package used for the purpose of | 25 | | containment of cannabis or cannabis-infused product during | 26 | | transportation. |
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| 1 | | "Cannabis flower" means marijuana, hashish, and other | 2 | | substances that are identified as including any parts of the | 3 | | plant Cannabis sativa and including derivatives or subspecies, | 4 | | such as indica, of all strains of cannabis; including raw | 5 | | kief, leaves, and buds, but not resin that has been extracted | 6 | | from any part of such plant; nor any compound, manufacture, | 7 | | salt, derivative, mixture, or preparation of such plant, its | 8 | | seeds, or resin. | 9 | | "Cannabis-infused product" means a beverage, food, oil, | 10 | | ointment, tincture, topical formulation, or another product | 11 | | containing cannabis or cannabis concentrate that is not | 12 | | intended to be smoked. | 13 | | "Cannabis paraphernalia" means equipment, products, or | 14 | | materials intended to be used for planting, propagating, | 15 | | cultivating, growing, harvesting, manufacturing, producing, | 16 | | processing, preparing, testing, analyzing, packaging, | 17 | | repackaging, storing, containing, concealing, ingesting, or | 18 | | otherwise introducing cannabis into the human body. | 19 | | "Cannabis plant monitoring system" or "plant monitoring | 20 | | system" means a system that includes, but is not limited to, | 21 | | testing and data collection established and maintained by the | 22 | | cultivation center, craft grower, or processing organization | 23 | | and that is available to the Department of Revenue, the | 24 | | Department of Agriculture, the Department of Financial and | 25 | | Professional Regulation, and the Illinois State Police for the | 26 | | purposes of documenting each cannabis plant and monitoring |
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| 1 | | plant development throughout the life cycle of a cannabis | 2 | | plant cultivated for the intended use by a customer from seed | 3 | | planting to final packaging. | 4 | | "Cannabis testing facility" means an entity registered by | 5 | | the Department of Agriculture to test cannabis for potency and | 6 | | contaminants. | 7 | | "Clone" means a plant section from a female cannabis plant | 8 | | not yet rootbound, growing in a water solution or other | 9 | | propagation matrix, that is capable of developing into a new | 10 | | plant. | 11 | | "Community College Cannabis Vocational Training Pilot | 12 | | Program faculty participant" means a person who is 21 years of | 13 | | age or older, licensed by the Department of Agriculture, and | 14 | | is employed or contracted by an Illinois community college to | 15 | | provide student instruction using cannabis plants at an | 16 | | Illinois Community College. | 17 | | "Community College Cannabis Vocational Training Pilot | 18 | | Program faculty participant Agent Identification Card" means a | 19 | | document issued by the Department of Agriculture that | 20 | | identifies a person as a Community College Cannabis Vocational | 21 | | Training Pilot Program faculty participant. | 22 | | "Conditional Adult Use Dispensing Organization License" | 23 | | means a contingent license awarded to applicants for an Adult | 24 | | Use Dispensing Organization License that reserves the right to | 25 | | an Adult Use Dispensing Organization License if the applicant | 26 | | meets certain conditions described in this Act, but does not |
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| 1 | | entitle the recipient to begin purchasing or selling cannabis | 2 | | or cannabis-infused products. | 3 | | "Conditional Adult Use Cultivation Center License" means a | 4 | | license awarded to top-scoring applicants for an Adult Use | 5 | | Cultivation Center License that reserves the right to an Adult | 6 | | Use Cultivation Center License if the applicant meets certain | 7 | | conditions as determined by the Department of Agriculture by | 8 | | rule, but does not entitle the recipient to begin growing, | 9 | | processing, or selling cannabis or cannabis-infused products. | 10 | | "Craft grower" means a facility operated by an | 11 | | organization or business that is licensed by the Department of | 12 | | Agriculture to cultivate, dry, cure, and package cannabis and | 13 | | perform other necessary activities to make cannabis available | 14 | | for sale at a dispensing organization or use at a processing | 15 | | organization. A craft grower may contain up to 5,000 square | 16 | | feet of canopy space on its premises for plants in the | 17 | | flowering state. The Department of Agriculture may authorize | 18 | | an increase or decrease of flowering stage cultivation space | 19 | | in increments of 3,000 square feet by rule based on market | 20 | | need, craft grower capacity, and the licensee's history of | 21 | | compliance or noncompliance, with a maximum space of 14,000 | 22 | | square feet for cultivating plants in the flowering stage, | 23 | | which must be cultivated in all stages of growth in an enclosed | 24 | | and secure area. A craft grower may share premises with a | 25 | | processing organization or a dispensing organization, or both, | 26 | | provided each licensee stores currency and cannabis or |
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| 1 | | cannabis-infused products in a separate secured vault to which | 2 | | the other licensee does not have access or all licensees | 3 | | sharing a vault share more than 50% of the same ownership. | 4 | | "Craft grower agent" means a principal officer, board | 5 | | member, employee, or other agent of a craft grower who is 21 | 6 | | years of age or older. | 7 | | "Craft Grower Agent Identification Card" means a document | 8 | | issued by the Department of Agriculture that identifies a | 9 | | person as a craft grower agent. | 10 | | "Cultivation center" means a facility operated by an | 11 | | organization or business that is licensed by the Department of | 12 | | Agriculture to cultivate, process, transport (unless otherwise | 13 | | limited by this Act), and perform other necessary activities | 14 | | to provide cannabis and cannabis-infused products to cannabis | 15 | | business establishments. | 16 | | "Cultivation center agent" means a principal officer, | 17 | | board member, employee, or other agent of a cultivation center | 18 | | who is 21 years of age or older. | 19 | | "Cultivation Center Agent Identification Card" means a | 20 | | document issued by the Department of Agriculture that | 21 | | identifies 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 | 24 | | organization at which activities licensed by this Act may | 25 | | occur. | 26 | | "Dispensary Applicant" means the Proposed Dispensing |
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| 1 | | Organization Name as stated on an application for a | 2 | | Conditional Adult Use Dispensing Organization License. | 3 | | "Dispensing organization" means a facility operated by an | 4 | | organization or business that is licensed by the Department of | 5 | | Financial and Professional Regulation to acquire cannabis from | 6 | | a cultivation center, craft grower, processing organization, | 7 | | or another dispensary for the purpose of selling or dispensing | 8 | | cannabis, cannabis-infused products, cannabis seeds, | 9 | | paraphernalia, or related supplies under this Act to | 10 | | purchasers or to qualified registered medical cannabis | 11 | | patients and caregivers. As used in this Act, "dispensing | 12 | | organization" includes a registered medical cannabis | 13 | | organization as defined in the Compassionate Use of Medical | 14 | | Cannabis Program Act or its successor Act that has obtained an | 15 | | Early Approval Adult Use Dispensing Organization License. | 16 | | "Dispensing organization agent" means a principal officer, | 17 | | employee, or agent of a dispensing organization who is 21 | 18 | | years of age or older. | 19 | | "Dispensing organization agent identification card" means | 20 | | a document issued by the Department of Financial and | 21 | | Professional Regulation that identifies a person as a | 22 | | dispensing organization agent. | 23 | | "Disproportionately Impacted Area" means a census tract or | 24 | | comparable geographic area that satisfies the following | 25 | | criteria as determined by the Department of Commerce and | 26 | | Economic 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" | 22 | | means a license that permits a medical cannabis cultivation | 23 | | center licensed under the Compassionate Use of Medical | 24 | | Cannabis Program Act as of the effective date of this Act to | 25 | | begin cultivating, infusing, packaging, transporting (unless | 26 | | otherwise provided in this Act), processing, and selling |
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| 1 | | cannabis or cannabis-infused product to cannabis business | 2 | | establishments for resale to purchasers as permitted by this | 3 | | Act as of January 1, 2020. | 4 | | "Early Approval Adult Use Dispensing Organization License" | 5 | | means a license that permits a medical cannabis dispensing | 6 | | organization licensed under the Compassionate Use of Medical | 7 | | Cannabis Program Act as of the effective date of this Act to | 8 | | begin selling cannabis or cannabis-infused product to | 9 | | purchasers as permitted by this Act as of January 1, 2020. | 10 | | "Early Approval Adult Use Dispensing Organization at a | 11 | | secondary site" means a license that permits a medical | 12 | | cannabis dispensing organization licensed under the | 13 | | Compassionate Use of Medical Cannabis Program Act as of the | 14 | | effective date of this Act to begin selling cannabis or | 15 | | cannabis-infused product to purchasers as permitted by this | 16 | | Act on January 1, 2020 at a different dispensary location from | 17 | | its existing registered medical dispensary location. | 18 | | "Eligible Tied Applicant" means a Tied Applicant that is | 19 | | eligible to participate in the process by which a remaining | 20 | | available license is distributed by lot pursuant to a Tied | 21 | | Applicant Lottery. | 22 | | "Enclosed, locked facility" means a room, greenhouse, | 23 | | building, or other enclosed area equipped with locks or other | 24 | | security devices that permit access only by cannabis business | 25 | | establishment agents working for the licensed cannabis | 26 | | business establishment or acting pursuant to this Act to |
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| 1 | | cultivate, process, store, or distribute cannabis. | 2 | | "Enclosed, locked space" means a closet, room, greenhouse, | 3 | | building, or other enclosed area equipped with locks or other | 4 | | security devices that permit access only by authorized | 5 | | individuals under this Act. "Enclosed, locked space" may | 6 | | include: | 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 | 22 | | organization" as defined in Section 1501 of the Illinois | 23 | | Income Tax Act, and also includes the holding companies, | 24 | | subsidiaries, and affiliates of such financial organizations. | 25 | | "Flowering stage" means the stage of cultivation where and | 26 | | when a cannabis plant is cultivated to produce plant material |
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| 1 | | for 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 | 11 | | operated by an organization or business that is licensed by | 12 | | the Department of Agriculture to directly incorporate cannabis | 13 | | or cannabis concentrate into a product formulation to produce | 14 | | a cannabis-infused product. | 15 | | "Kief" means the resinous crystal-like trichomes that are | 16 | | found on cannabis and that are accumulated, resulting in a | 17 | | higher concentration of cannabinoids, untreated by heat or | 18 | | pressure, or extracted using a solvent. | 19 | | "Labor peace agreement" means an agreement between a | 20 | | cannabis business establishment and any labor organization | 21 | | recognized under the National Labor Relations Act, referred to | 22 | | in this Act as a bona fide labor organization, that prohibits | 23 | | labor organizations and members from engaging in picketing, | 24 | | work stoppages, boycotts, and any other economic interference | 25 | | with the cannabis business establishment. This agreement means | 26 | | that the cannabis business establishment has agreed not to |
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| 1 | | disrupt efforts by the bona fide labor organization to | 2 | | communicate with, and attempt to organize and represent, the | 3 | | cannabis business establishment's employees. The agreement | 4 | | shall provide a bona fide labor organization access at | 5 | | reasonable times to areas in which the cannabis business | 6 | | establishment's employees work, for the purpose of meeting | 7 | | with employees to discuss their right to representation, | 8 | | employment rights under State law, and terms and conditions of | 9 | | employment. This type of agreement shall not mandate a | 10 | | particular method of election or certification of the bona | 11 | | fide labor organization. | 12 | | "Limited access area" means a room or other area under the | 13 | | control of a cannabis dispensing organization licensed under | 14 | | this Act and upon the licensed premises where cannabis sales | 15 | | occur with access limited to purchasers, dispensing | 16 | | organization owners and other dispensing organization agents, | 17 | | or service professionals conducting business with the | 18 | | dispensing organization, or, if sales to registered qualifying | 19 | | patients, caregivers, provisional patients, and Opioid | 20 | | Alternative Pilot Program participants licensed pursuant to | 21 | | the Compassionate Use of Medical Cannabis Program Act are also | 22 | | permitted at the dispensary, registered qualifying patients, | 23 | | caregivers, provisional patients, and Opioid Alternative Pilot | 24 | | Program participants. | 25 | | "Member of an impacted family" means an individual who has | 26 | | a parent, legal guardian, child, spouse, or dependent, or was |
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| 1 | | a dependent of an individual who, prior to the effective date | 2 | | of this Act, was arrested for, convicted of, or adjudicated | 3 | | delinquent for any offense that is eligible for expungement | 4 | | under this Act. | 5 | | "Mother plant" means a cannabis plant that is cultivated | 6 | | or maintained for the purpose of generating clones, and that | 7 | | will not be used to produce plant material for sale to an | 8 | | infuser or dispensing organization. | 9 | | "Ordinary public view" means within the sight line with | 10 | | normal visual range of a person, unassisted by visual aids, | 11 | | from a public street or sidewalk adjacent to real property, or | 12 | | from within an adjacent property. | 13 | | "Ownership and control" means ownership of at least 51% of | 14 | | the business, including corporate stock if a corporation, and | 15 | | control over the management and day-to-day operations of the | 16 | | business and an interest in the capital, assets, and profits | 17 | | and losses of the business proportionate to percentage of | 18 | | ownership. | 19 | | "Person" means a natural individual, firm, partnership, | 20 | | association, joint stock company, joint venture, public or | 21 | | private corporation, limited liability company, or a receiver, | 22 | | executor, trustee, guardian, or other representative appointed | 23 | | by order of any court. | 24 | | "Possession limit" means the amount of cannabis under | 25 | | Section 10-10 that may be possessed at any one time by a person | 26 | | 21 years of age or older or who is a registered qualifying |
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| 1 | | medical cannabis patient or caregiver under the Compassionate | 2 | | Use of Medical Cannabis Program Act. | 3 | | "Principal officer" includes a cannabis business | 4 | | establishment applicant or licensed cannabis business | 5 | | establishment's board member, owner with more than 1% interest | 6 | | of the total cannabis business establishment or more than 5% | 7 | | interest of the total cannabis business establishment of a | 8 | | publicly traded company, president, vice president, secretary, | 9 | | treasurer, partner, officer, member, manager member, or person | 10 | | with a profit sharing, financial interest, or revenue sharing | 11 | | arrangement. The definition includes a person with authority | 12 | | to control the cannabis business establishment, a person who | 13 | | assumes responsibility for the debts of the cannabis business | 14 | | establishment and who is further defined in this Act. | 15 | | "Primary residence" means a dwelling where a person | 16 | | usually stays or stays more often than other locations. It may | 17 | | be determined by, without limitation, presence, tax filings; | 18 | | address on an Illinois driver's license, an Illinois | 19 | | Identification Card, or an Illinois Person with a Disability | 20 | | Identification Card; or voter registration. No person may have | 21 | | more than one primary residence. | 22 | | "Processing organization" or "processor" means a facility | 23 | | operated by an organization or business that is licensed by | 24 | | the Department of Agriculture to either extract constituent | 25 | | chemicals or compounds to produce cannabis concentrate or | 26 | | incorporate cannabis or cannabis concentrate into a product |
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| 1 | | formulation to produce a cannabis product. | 2 | | "Processing organization agent" means a principal officer, | 3 | | board member, employee, or agent of a processing organization. | 4 | | "Processing organization agent identification card" means | 5 | | a document issued by the Department of Agriculture that | 6 | | identifies a person as a processing organization agent. | 7 | | "Purchaser" means a person 21 years of age or older who | 8 | | acquires cannabis for a valuable consideration. "Purchaser" | 9 | | does not include a cardholder under the Compassionate Use of | 10 | | Medical Cannabis Program Act. | 11 | | "Qualifying Applicant" means an applicant that submitted | 12 | | an application pursuant to Section 15-30 that received at | 13 | | least 85% of 250 application points available under Section | 14 | | 15-30 as the applicant's final score and meets the definition | 15 | | of "Social Equity Applicant" as set forth under this Section. | 16 | | "Qualifying Social Equity Justice Involved Applicant" | 17 | | means an applicant that submitted an application pursuant to | 18 | | Section 15-30 that received at least 85% of 250 application | 19 | | points available under Section 15-30 as the applicant's final | 20 | | score and meets the criteria of either paragraph (1) or (2) of | 21 | | the definition of "Social Equity Applicant" as set forth under | 22 | | this Section. | 23 | | "Qualified Social Equity Applicant" means a Social Equity | 24 | | Applicant who has been awarded a conditional license under | 25 | | this Act to operate a cannabis business establishment. | 26 | | "Resided" means an individual's primary residence was |
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| 1 | | located within the relevant geographic area as established by | 2 | | 2 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 | 18 | | combustion of cannabis. | 19 | | "Social Equity Applicant" means an applicant that is an | 20 | | Illinois 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: |
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| 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 | 15 | | the duties of any employer under the Job Opportunities for | 16 | | Qualified Applicants Act. Nothing in this Act shall permit an | 17 | | employer to require an employee to disclose sealed or expunged | 18 | | offenses, unless otherwise required by law. | 19 | | "Social Equity Lottery Licensee" means a holder of an | 20 | | adult-use cannabis dispensary license awarded through a | 21 | | lottery held under subsection (c) of Section 15-35.20 of this | 22 | | Act. | 23 | | "Tied Applicant" means an application submitted by a | 24 | | Dispensary Applicant pursuant to Section 15-30 that received | 25 | | the same number of application points under Section 15-30 as | 26 | | the Dispensary Applicant's final score as one or more |
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| 1 | | top-scoring applications in the same BLS Region and would have | 2 | | been awarded a license but for the one or more other | 3 | | top-scoring applications that received the same number of | 4 | | application points. Each application for which a Dispensary | 5 | | Applicant was required to pay a required application fee for | 6 | | the application period ending January 2, 2020 shall be | 7 | | considered an application of a separate Tied Applicant. | 8 | | "Tied Applicant Lottery" means the process established | 9 | | under 68 Ill. Adm. Code 1291.50 for awarding Conditional Adult | 10 | | Use Dispensing Organization Licenses pursuant to Sections | 11 | | 15-25 and 15-30 among Eligible Tied Applicants. | 12 | | "Tincture" means a cannabis-infused solution, typically | 13 | | comprised of alcohol, glycerin, or vegetable oils, derived | 14 | | either directly from the cannabis plant or from a processed | 15 | | cannabis extract. A tincture is not an alcoholic liquor as | 16 | | defined in the Liquor Control Act of 1934. A tincture shall | 17 | | include a calibrated dropper or other similar device capable | 18 | | of accurately measuring servings. | 19 | | "Transporting organization" or "transporter" means an | 20 | | organization or business that is licensed by the Department of | 21 | | Agriculture to transport cannabis or cannabis-infused product | 22 | | on behalf of a cannabis business establishment or a community | 23 | | college licensed under the Community College Cannabis | 24 | | Vocational Training Pilot Program. | 25 | | "Transporting organization agent" means a principal | 26 | | officer, board member, employee, or agent of a transporting |
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| 1 | | organization. | 2 | | "Transporting organization agent identification card" | 3 | | means a document issued by the Department of Agriculture that | 4 | | identifies a person as a transporting organization agent. | 5 | | "Unit of local government" means any county, city, | 6 | | village, or incorporated town. | 7 | | "Vegetative stage" means the stage of cultivation in which | 8 | | a cannabis plant is propagated to produce additional cannabis | 9 | | plants or reach a sufficient size for production. This | 10 | | includes seedlings, clones, mothers, and other immature | 11 | | cannabis 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; | 21 | | 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. | 22 | | 5-13-22.) | 23 | | (410 ILCS 705/7-10) | 24 | | Sec. 7-10. Cannabis Business Development Fund. | 25 | | (a) There is created in the State treasury a special fund, |
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| 1 | | which shall be held separate and apart from all other State | 2 | | moneys, to be known as the Cannabis Business Development Fund. | 3 | | The Cannabis Business Development Fund shall be exclusively | 4 | | used for the following purposes: | 5 | | (1) to provide low-interest rate loans to Qualified | 6 | | Social Equity Applicants and Social Equity Lottery | 7 | | Licensees to pay for ordinary and necessary expenses to | 8 | | start and operate a cannabis business establishment | 9 | | permitted by this Act; | 10 | | (2) to provide grants to Qualified Social Equity | 11 | | Applicants to pay for ordinary and necessary expenses to | 12 | | start and operate a cannabis business establishment | 13 | | permitted by this Act; | 14 | | (3) to compensate the Department of Commerce and | 15 | | Economic Opportunity for any costs related to the | 16 | | provision of low-interest loans and grants to Qualified | 17 | | Social Equity Applicants and Social Equity Lottery | 18 | | Licensees ; | 19 | | (4) to pay for outreach that may be provided or | 20 | | targeted to attract and support Social Equity Applicants , | 21 | | and Qualified Social Equity Applicants , and Social Equity | 22 | | Lottery Licensees ; | 23 | | (5) to provide financial assistance to support lending | 24 | | to, or private investment in, Qualified Social Equity | 25 | | Applicants and Social Equity Lottery Licensees, or to | 26 | | facilitate access to the facilities needed to commence |
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| 1 | | operations as a cannabis business establishment (blank) ; | 2 | | (6) to conduct any study or research concerning the | 3 | | participation of minorities, women, veterans, or people | 4 | | with disabilities in the cannabis industry, including, | 5 | | without limitation, barriers to such individuals entering | 6 | | the industry as equity owners of cannabis business | 7 | | establishments; | 8 | | (7) (blank); and | 9 | | (8) to assist with job training and technical | 10 | | assistance for residents in Disproportionately Impacted | 11 | | Areas. | 12 | | (b) All moneys collected under Sections 15-15 and 15-20 | 13 | | for Early Approval Adult Use Dispensing Organization Licenses | 14 | | issued before January 1, 2021 and remunerations made as a | 15 | | result of transfers of permits awarded to Qualified Social | 16 | | Equity Applicants shall be deposited into the Cannabis | 17 | | Business Development Fund. | 18 | | (c) (Blank). | 19 | | (c-5) In addition to any other transfers that may be | 20 | | provided for by law, on July 1, 2023, or as soon thereafter as | 21 | | practical, the State Comptroller shall direct and the State | 22 | | Treasurer shall transfer the sum of $40,000,000 from the | 23 | | Compassionate Use of Medical Cannabis Fund to the Cannabis | 24 | | Business Development Fund. | 25 | | (d) Notwithstanding any other law to the contrary, the | 26 | | Cannabis Business Development Fund is not subject to sweeps, |
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| 1 | | administrative charge-backs, or any other fiscal or budgetary | 2 | | maneuver that would in any way transfer any amounts from the | 3 | | Cannabis Business Development Fund into any other fund of the | 4 | | State. | 5 | | (Source: P.A. 103-8, eff. 6-7-23.) | 6 | | (410 ILCS 705/7-15) | 7 | | Sec. 7-15. Loans , financial assistance, and grants to | 8 | | Qualified Social Equity Applicants and Social Equity Lottery | 9 | | Licensees . | 10 | | (a) The Department of Commerce and Economic Opportunity | 11 | | shall establish grant , and loan , and financial assistance | 12 | | programs, subject to appropriations from the Cannabis Business | 13 | | Development Fund, for the purposes of providing financial | 14 | | assistance, loans, grants, and technical assistance to | 15 | | Qualified Social Equity Applicants and Social Equity Lottery | 16 | | Licensees . | 17 | | (b) The Department of Commerce and Economic Opportunity | 18 | | has the power to: | 19 | | (1) provide Cannabis Social Equity loans , financial | 20 | | assistance, and grants from appropriations from the | 21 | | Cannabis Business Development Fund to assist Qualified | 22 | | Social Equity Applicants and Social Equity Lottery | 23 | | Licensees in gaining entry to, and successfully operating | 24 | | in, the State's regulated cannabis marketplace; | 25 | | (2) enter into agreements that set forth terms and |
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| 1 | | conditions of the financial assistance, accept funds or | 2 | | grants, and engage in cooperation with private entities | 3 | | and agencies of State or local government to carry out the | 4 | | purposes of this Section; | 5 | | (3) fix, determine, charge, and collect any premiums, | 6 | | fees, charges, costs and expenses, including application | 7 | | fees, commitment fees, program fees, financing charges, or | 8 | | publication fees in connection with its activities under | 9 | | this Section; | 10 | | (4) coordinate assistance under the financial | 11 | | assistance these loan programs with activities of the | 12 | | Illinois Department of Financial and Professional | 13 | | Regulation, the Illinois Department of Agriculture, and | 14 | | other agencies as needed to maximize the effectiveness and | 15 | | efficiency of this Act; | 16 | | (5) provide staff, administration, and related support | 17 | | required to administer this Section; | 18 | | (6) take whatever actions are necessary or appropriate | 19 | | to protect the State's interest in the event of | 20 | | bankruptcy, default, foreclosure, or noncompliance with | 21 | | the terms and conditions of financial assistance provided | 22 | | under this Section, including the ability to recapture | 23 | | funds if the recipient is found to be noncompliant with | 24 | | the terms and conditions of the financial assistance | 25 | | agreement; | 26 | | (6.5) enter into financial intermediary agreements to |
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| 1 | | facilitate lending to or investment in Qualified Social | 2 | | Equity Applicants, Social Equity Lottery Licensees, or | 3 | | their subsidiaries or affiliates, to ensure the | 4 | | availability of facilities necessary to operate a cannabis | 5 | | business establishment; | 6 | | (7) establish application, notification, contract, and | 7 | | other forms, procedures, or rules deemed necessary and | 8 | | appropriate; and | 9 | | (8) utilize vendors or contract work to carry out the | 10 | | purposes of this Act. | 11 | | (c) Loans made under this Section: | 12 | | (1) shall only be made if, in the Department's | 13 | | judgment, the project furthers the goals set forth in this | 14 | | Act; and | 15 | | (2) shall be in such principal amount and form and | 16 | | contain such terms and provisions with respect to | 17 | | security, insurance, reporting, delinquency charges, | 18 | | default remedies, forgiveness, and other matters as the | 19 | | Department shall determine appropriate to protect the | 20 | | public interest and to be consistent with the purposes of | 21 | | this Section. The terms and provisions may be less than | 22 | | required for similar loans not covered by this Section ; | 23 | | and . | 24 | | (3) may be distributed by lot if the Department | 25 | | determines that the amount of funding available is | 26 | | insufficient to provide an adequate amount of funding for |
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| 1 | | all of the applicants eligible to receive a loan. The | 2 | | Department may determine the number of loans available | 3 | | based on the amount of funding available and communicate | 4 | | the number of loans available on the loan application. The | 5 | | Department may use competitive criteria to establish which | 6 | | applicants are eligible to receive a grant, loan, or | 7 | | financial assistance. | 8 | | (d) Grants made under this Section shall be awarded on a | 9 | | competitive and annual basis under the Grant Accountability | 10 | | and Transparency Act. Grants made under this Section shall | 11 | | further and promote the goals of this Act, including promotion | 12 | | of Social Equity Applicants, Qualified Social Equity | 13 | | Applicants, or Social Equity Lottery Licensees, job training | 14 | | and workforce development, and technical assistance to Social | 15 | | Equity Applicants and Social Equity Lottery Licensees . To the | 16 | | extent registration with the federal System for Award | 17 | | Management requires a grant applicant to certify compliance | 18 | | with all federal laws, the grant applicants under this Section | 19 | | shall not be required to register for a unique entity | 20 | | identifier through the federal System for Award Management to | 21 | | be qualified to receive a grant so long as federal law | 22 | | prohibits the cultivation and sale of cannabis. | 23 | | (d-5) Financial intermediary agreements to provide | 24 | | financial assistance must further the goals set forth in this | 25 | | Act and shall result in financing or lease costs that are | 26 | | affordable or below market rate. |
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| 1 | | (e) Beginning January 1, 2021 and each year thereafter, | 2 | | the Department shall annually report to the Governor and the | 3 | | General Assembly on the outcomes and effectiveness of this | 4 | | Section that shall include the following: | 5 | | (1) the number of persons or businesses receiving | 6 | | financial assistance under this Section; | 7 | | (2) the amount in financial assistance awarded in the | 8 | | aggregate, in addition to the amount of loans made that | 9 | | are outstanding and the amount of grants awarded; | 10 | | (3) the location of the project engaged in by the | 11 | | person or business; and | 12 | | (4) if applicable, the number of new jobs and other | 13 | | forms of economic output created as a result of the | 14 | | financial assistance. | 15 | | (f) The Department of Commerce and Economic Opportunity | 16 | | shall include engagement with individuals with limited English | 17 | | proficiency as part of its outreach provided or targeted to | 18 | | attract and support Social Equity Applicants. | 19 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.) | 20 | | (410 ILCS 705/55-30) | 21 | | Sec. 55-30. Confidentiality. | 22 | | (a) Information provided by the cannabis business | 23 | | establishment licensees or applicants to the Department of | 24 | | Agriculture, the Department of Public Health, the Department | 25 | | of Financial and Professional Regulation, the Department of |
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| 1 | | Commerce and Economic Opportunity, or other agency shall be | 2 | | limited to information necessary for the purposes of | 3 | | administering this Act. The information is subject to the | 4 | | provisions and limitations contained in the Freedom of | 5 | | Information Act and may be disclosed in accordance with | 6 | | Section 55-65. | 7 | | (b) The following information received and records kept by | 8 | | the Department of Agriculture, the Department of Public | 9 | | Health, the Illinois State Police, and the Department of | 10 | | Financial and Professional Regulation for purposes of | 11 | | administering this Article are subject to all applicable | 12 | | federal privacy laws, are confidential and exempt from | 13 | | disclosure under the Freedom of Information Act, except as | 14 | | provided in this Act, and not subject to disclosure to any | 15 | | individual or public or private entity, except to the | 16 | | Department of Financial and Professional Regulation, the | 17 | | Department of Agriculture, the Department of Public Health, | 18 | | the Department of Commerce and Economic Opportunity, and the | 19 | | Illinois State Police as necessary to perform official duties | 20 | | under this Article and to the Attorney General as necessary to | 21 | | enforce the provisions of this Act. The following information | 22 | | received and kept by the Department of Financial and | 23 | | Professional Regulation or the Department of Agriculture may | 24 | | be disclosed to the Department of Public Health, the | 25 | | Department of Agriculture, the Department of Revenue, the | 26 | | Illinois State Police, the Department of Commerce and Economic |
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| 1 | | Opportunity, or the Attorney General upon proper request: | 2 | | (1) Applications and renewals, their contents, and | 3 | | supporting information submitted by or on behalf of | 4 | | dispensing organizations, cannabis business | 5 | | establishments, or Community College Cannabis Vocational | 6 | | Program licensees, in compliance with this Article, | 7 | | including their physical addresses; however, this does not | 8 | | preclude the release of ownership information about | 9 | | cannabis business establishment licenses, or information | 10 | | submitted with an application required to be disclosed | 11 | | pursuant to subsection (f); | 12 | | (2) Any plans, procedures, policies, or other records | 13 | | relating to cannabis business establishment security; and | 14 | | (3) Information otherwise exempt from disclosure by | 15 | | State or federal law. | 16 | | Illinois or national criminal history record information, | 17 | | or the nonexistence or lack of such information, may not be | 18 | | disclosed by the Department of Financial and Professional | 19 | | Regulation or the Department of Agriculture, except as | 20 | | necessary to the Attorney General to enforce this Act. | 21 | | (c) The name and address of a dispensing organization | 22 | | licensed under this Act shall be subject to disclosure under | 23 | | the Freedom of Information Act. The name and cannabis business | 24 | | establishment address of the person or entity holding each | 25 | | cannabis business establishment license shall be subject to | 26 | | disclosure. |
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| 1 | | (d) All information collected by the Department of | 2 | | Financial and Professional Regulation or the Department of | 3 | | Agriculture in the course of an examination, inspection, or | 4 | | investigation of a licensee or applicant, including, but not | 5 | | limited to, any complaint against a licensee or applicant | 6 | | filed with the Department of Financial and Professional | 7 | | Regulation or the Department of Agriculture and information | 8 | | collected to investigate any such complaint, shall be | 9 | | maintained for the confidential use of the Department of | 10 | | Financial and Professional Regulation or the Department of | 11 | | Agriculture and shall not be disclosed, except as otherwise | 12 | | provided in this Act. A formal complaint against a licensee by | 13 | | the Department of Financial and Professional Regulation or the | 14 | | Department of Agriculture or any disciplinary order issued by | 15 | | the Department of Financial and Professional Regulation or the | 16 | | Department of Agriculture against a licensee or applicant | 17 | | shall be a public record, except as otherwise provided by law. | 18 | | Complaints from consumers or members of the general public | 19 | | received regarding a specific, named licensee or complaints | 20 | | regarding conduct by unlicensed entities shall be subject to | 21 | | disclosure under the Freedom of Information Act. | 22 | | (e) The Department of Agriculture, the Illinois State | 23 | | Police, and the Department of Financial and Professional | 24 | | Regulation shall not share or disclose any Illinois or | 25 | | national criminal history record information, or the | 26 | | nonexistence or lack of such information, to any person or |
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| 1 | | entity not expressly authorized by this Act. | 2 | | (f) Each Department responsible for licensure under this | 3 | | Act shall publish on the Department's website a list of the | 4 | | ownership information of cannabis business establishment | 5 | | licensees under the Department's jurisdiction. The list shall | 6 | | include, but is not limited to: the name of the person or | 7 | | entity holding each cannabis business establishment license; | 8 | | and the address at which the entity is operating under this | 9 | | Act. This list shall be published and updated monthly. | 10 | | (g) Notwithstanding anything in this Section to the | 11 | | contrary, the Department of Financial and Professional | 12 | | Regulation and the Department of Agriculture may share with | 13 | | the Department of Commerce and Economic Opportunity any | 14 | | licensee information necessary to support the administration | 15 | | of Social Equity programming. | 16 | | (Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19; | 17 | | 102-98, eff. 7-15-21; 102-538, eff. 8-20-21; 102-813, eff. | 18 | | 5-13-22.)". |
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