SB2404 102ND GENERAL ASSEMBLY

LRB102 15258 CPF 20613 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB2404

Introduced 2/26/2021, by Sen. Napoleon Harris, III

SYNOPSIS AS INTRODUCED:

See Index

Amends the Compassionate Use of Medical Cannabis Program Act. Provides that Nonstorefront Delivery Organizations and Storefront Delivery Organizations are "medical cannabis dispensing organizations". Amends the Cannabis Regulation and Tax Act. Provides that, notwithstanding any other provision of law, a Nonstorefront Delivery Organization or Storefront Delivery Organization may acquire cannabis for the purpose of selling or dispensing, exclusively through delivery, cannabis products to purchasers or to qualified registered medical cannabis patients and caregivers under the Compassionate Use of Medical Cannabis Program Act. Requires the Department of Financial and Professional Regulation to issue up to 200 Conditional Nonstorefront Adult Use Cannabis Delivery Organization Licenses and unlimited Conditional Storefront Adult Use Cannabis Delivery Organization Licenses before May 1st, 2022. Provides that the Department shall make the application for the licenses available no later than October 1, 2021. Contains requirements for application, licensure, and background checks. Provides that a Nonstorefront or Storefront Delivery Organization may only engage in sales or deliveries or receive shipments between the hours of 6:00 a.m. and 10:00 p.m. Provides that a Nonstorefront or Storefront Delivery Organization may contract with a service that provides a technology platform to facilitate the sale and delivery of cannabis products. Contains requirements regarding delivery of cannabis products. Provides that Nonstorefront and Storefront Delivery Organizations are "cannabis business establishments". Contains other provisions. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning health.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Compassionate Use of Medical Cannabis Program Act is amended by changing Section 10 as follows:

(410 ILCS 130/10)

Sec. 10. Definitions. The following terms, as used in this Act, shall have the meanings set forth in this Section:

(a) "Adequate supply" means:

(1) 2.5 ounces of usable cannabis during a period of 14 days and that is derived solely from an intrastate source.

(2) Subject to the rules of the Department of Public Health, a patient may apply for a waiver where a certifying health care professional provides a substantial medical basis in a signed, written statement asserting that, based on the patient's medical history, in the certifying health care professional's professional judgment, 2.5 ounces is an insufficient adequate supply for a 14-day period to properly alleviate the patient's debilitating medical condition or symptoms associated with the debilitating medical condition.

(3) This subsection may not be construed to authorize the possession of more than 2.5 ounces at any time without authority from the Department of Public Health.

(4) The pre-mixed weight of medical cannabis used in making a cannabis infused product shall apply toward the limit on the total amount of medical cannabis a registered qualifying patient may possess at any one time.

(a-5) "Advanced practice registered nurse" means a person who is licensed under the Nurse Practice Act as an advanced practice registered nurse and has a controlled substances license under Article III of the Illinois Controlled Substances Act.

(b) "Cannabis" has the meaning given that term in Section 3 of the Cannabis Control Act.

(c) "Cannabis plant monitoring system" means a system that includes, but is not limited to, testing and data collection established and maintained by the registered cultivation center and available to the Department for the purposes of documenting each cannabis plant and for monitoring plant development throughout the life cycle of a cannabis plant cultivated for the intended use by a qualifying patient from seed planting to final packaging.

(d) "Cardholder" means a qualifying patient or a designated caregiver who has been issued and possesses a valid registry identification card by the Department of Public Health.

(d-5) "Certifying health care professional" means a physician, an advanced practice registered nurse, or a physician assistant.

(e) "Cultivation center" means a facility operated by an organization or business that is registered by the Department of Agriculture to perform necessary activities to provide only registered medical cannabis dispensing organizations with usable medical cannabis.

(f) "Cultivation center agent" means a principal officer, board member, employee, or agent of a registered cultivation center who is 21 years of age or older and has not been convicted of an excluded offense.

(g) "Cultivation center agent identification card" means a document issued by the Department of Agriculture that identifies a person as a cultivation center agent.

(h) "Debilitating medical condition" means one or more of the following:

(1) cancer, glaucoma, positive status for human immunodeficiency virus, acquired immune deficiency syndrome, hepatitis C, amyotrophic lateral sclerosis, Crohn's disease (including, but not limited to, ulcerative colitis), agitation of Alzheimer's disease, cachexia/wasting syndrome, muscular dystrophy, severe fibromyalgia, spinal cord disease, including but not limited to arachnoiditis, Tarlov cysts, hydromyelia, syringomyelia, Rheumatoid arthritis, fibrous dysplasia, spinal cord injury, traumatic brain injury and post-concussion syndrome, Multiple Sclerosis, Arnold-Chiari malformation and Syringomyelia, Spinocerebellar Ataxia (SCA), Parkinson's, Tourette's, Myoclonus, Dystonia, Reflex Sympathetic Dystrophy, RSD (Complex Regional Pain Syndromes Type I), Causalgia, CRPS (Complex Regional Pain Syndromes Type II), Neurofibromatosis, Chronic Inflammatory Demyelinating Polyneuropathy, Sjogren's syndrome, Lupus, Interstitial Cystitis, Myasthenia Gravis, Hydrocephalus, nail-patella syndrome, residual limb pain, seizures (including those characteristic of epilepsy), post-traumatic stress disorder (PTSD), autism, chronic pain, irritable bowel syndrome, migraines, osteoarthritis, anorexia nervosa, Ehlers-Danlos Syndrome, Neuro-Behcet's Autoimmune Disease, neuropathy, polycystic kidney disease, superior canal dehiscence syndrome, or the treatment of these conditions;

(1.5) terminal illness with a diagnosis of 6 months or less; if the terminal illness is not one of the qualifying debilitating medical conditions, then the certifying health care professional shall on the certification form identify the cause of the terminal illness; or

(2) any other debilitating medical condition or its treatment that is added by the Department of Public Health by rule as provided in Section 45.

(i) "Designated caregiver" means a person who: (1) is at least 21 years of age; (2) has agreed to assist with a patient's medical use of cannabis; (3) has not been convicted of an excluded offense; and (4) assists no more than one registered qualifying patient with his or her medical use of cannabis.

(j) "Dispensing organization agent identification card" means a document issued by the Department of Financial and Professional Regulation that identifies a person as a medical cannabis dispensing organization agent.

(k) "Enclosed, locked facility" means a room, greenhouse, building, or other enclosed area equipped with locks or other security devices that permit access only by a cultivation center's agents or a dispensing organization's agent working for the registered cultivation center or the registered dispensing organization to cultivate, store, and distribute cannabis for registered qualifying patients.

(l) "Excluded offense" for cultivation center agents and dispensing organizations means:

(1) a violent crime defined in Section 3 of the Rights of Crime Victims and Witnesses Act or a substantially similar offense that was classified as a felony in the jurisdiction where the person was convicted; or

(2) a violation of a state or federal controlled substance law, the Cannabis Control Act, or the Methamphetamine Control and Community Protection Act that was classified as a felony in the jurisdiction where the person was convicted, except that the registering Department may waive this restriction if the person demonstrates to the registering Department's satisfaction that his or her conviction was for the possession, cultivation, transfer, or delivery of a reasonable amount of cannabis intended for medical use. This exception does not apply if the conviction was under state law and involved a violation of an existing medical cannabis law.

For purposes of this subsection, the Department of Public Health shall determine by emergency rule within 30 days after the effective date of this amendatory Act of the 99th General Assembly what constitutes a "reasonable amount".

(l-5) (Blank).

(l-10) "Illinois Cannabis Tracking System" means a web-based system established and maintained by the Department of Public Health that is available to the Department of Agriculture, the Department of Financial and Professional Regulation, the Illinois State Police, and registered medical cannabis dispensing organizations on a 24-hour basis to upload written certifications for Opioid Alternative Pilot Program participants, to verify Opioid Alternative Pilot Program participants, to verify Opioid Alternative Pilot Program participants' available cannabis allotment and assigned dispensary, and the tracking of the date of sale, amount, and price of medical cannabis purchased by an Opioid Alternative Pilot Program participant.

(m) "Medical cannabis cultivation center registration" means a registration issued by the Department of Agriculture.

(n) "Medical cannabis container" means a sealed, traceable, food compliant, tamper resistant, tamper evident container, or package used for the purpose of containment of medical cannabis from a cultivation center to a dispensing organization.

(o) "Medical cannabis dispensing organization", or "dispensing organization", or "dispensary organization" means a facility operated by an organization or business that is registered by the Department of Financial and Professional Regulation to acquire medical cannabis from a registered cultivation center for the purpose of dispensing cannabis, paraphernalia, or related supplies and educational materials to registered qualifying patients, individuals with a provisional registration for qualifying patient cardholder status, or an Opioid Alternative Pilot Program participant. "Medical cannabis dispensing organization" includes a Nonstorefront Delivery Organization licensed under Section 15-123 of the Cannabis Regulation and Tax Act and a Storefront Delivery Organization licensed under Section 15-124 of the Cannabis Regulation and Tax Act.

(p) "Medical cannabis dispensing organization agent" or "dispensing organization agent" means a principal officer, board member, employee, or agent of a registered medical cannabis dispensing organization who is 21 years of age or older and has not been convicted of an excluded offense.

(q) "Medical cannabis infused product" means food, oils, ointments, or other products containing usable cannabis that are not smoked.

(r) "Medical use" means the acquisition; administration; delivery; possession; transfer; transportation; or use of cannabis to treat or alleviate a registered qualifying patient's debilitating medical condition or symptoms associated with the patient's debilitating medical condition.

(r-5) "Opioid" means a narcotic drug or substance that is a Schedule II controlled substance under paragraph (1), (2), (3), or (5) of subsection (b) or under subsection (c) of Section 206 of the Illinois Controlled Substances Act.

(r-10) "Opioid Alternative Pilot Program participant" means an individual who has received a valid written certification to participate in the Opioid Alternative Pilot Program for a medical condition for which an opioid has been or could be prescribed by a certifying health care professional based on generally accepted standards of care.

(s) "Physician" means a doctor of medicine or doctor of osteopathy licensed under the Medical Practice Act of 1987 to practice medicine and who has a controlled substances license under Article III of the Illinois Controlled Substances Act. It does not include a licensed practitioner under any other Act including but not limited to the Illinois Dental Practice Act.

(s-1) "Physician assistant" means a physician assistant licensed under the Physician Assistant Practice Act of 1987 and who has a controlled substances license under Article III of the Illinois Controlled Substances Act.

(s-5) "Provisional registration" means a document issued by the Department of Public Health to a qualifying patient who has submitted: (1) an online application and paid a fee to participate in Compassionate Use of Medical Cannabis Program pending approval or denial of the patient's application; or (2) a completed application for terminal illness.

(t) "Qualifying patient" means a person who has been diagnosed by a certifying health care professional as having a debilitating medical condition.

(u) "Registered" means licensed, permitted, or otherwise certified by the Department of Agriculture, Department of Public Health, or Department of Financial and Professional Regulation.

(v) "Registry identification card" means a document issued by the Department of Public Health that identifies a person as a registered qualifying patient or registered designated caregiver.

(w) "Usable cannabis" means the seeds, leaves, buds, and flowers of the cannabis plant and any mixture or preparation thereof, but does not include the stalks, and roots of the plant. It does not include the weight of any non-cannabis ingredients combined with cannabis, such as ingredients added to prepare a topical administration, food, or drink.

(x) "Verification system" means a Web-based system established and maintained by the Department of Public Health that is available to the Department of Agriculture, the Department of Financial and Professional Regulation, law enforcement personnel, and registered medical cannabis dispensing organization agents on a 24-hour basis for the verification of registry identification cards, the tracking of delivery of medical cannabis to medical cannabis dispensing organizations, and the tracking of the date of sale, amount, and price of medical cannabis purchased by a registered qualifying patient.

(y) "Written certification" means a document dated and signed by a certifying health care professional, stating (1) that the qualifying patient has a debilitating medical condition and specifying the debilitating medical condition the qualifying patient has; and (2) that (A) the certifying health care professional is treating or managing treatment of the patient's debilitating medical condition; or (B) an Opioid Alternative Pilot Program participant has a medical condition for which opioids have been or could be prescribed. A written certification shall be made only in the course of a bona fide health care professional-patient relationship, after the certifying health care professional has completed an assessment of either a qualifying patient's medical history or Opioid Alternative Pilot Program participant, reviewed relevant records related to the patient's debilitating condition, and conducted a physical examination.

(z) "Bona fide health care professional-patient relationship" means a relationship established at a hospital, certifying health care professional's office, or other health care facility in which the certifying health care professional has an ongoing responsibility for the assessment, care, and treatment of a patient's debilitating medical condition or a symptom of the patient's debilitating medical condition.

A veteran who has received treatment at a VA hospital shall be deemed to have a bona fide health care professional-patient relationship with a VA certifying health care professional if the patient has been seen for his or her debilitating medical condition at the VA Hospital in accordance with VA Hospital protocols.

A bona fide health care professional-patient relationship under this subsection is a privileged communication within the meaning of Section 8-802 of the Code of Civil Procedure.

(Source: P.A. 100-1114, eff. 8-28-18; 101-363, eff. 8-9-19.)

Section 10. The Cannabis Regulation and Tax Act is amended by changing Section 1-10 and by adding Sections 15-123 and 15-124 as follows:

(410 ILCS 705/1-10)

Sec. 1-10. Definitions. In this Act:

"Adult Use Cultivation Center License" means a license issued by the Department of Agriculture that permits a person to act as a cultivation center under this Act and any administrative rule made in furtherance of this Act.

"Adult Use Dispensing Organization License" means a license issued by the Department of Financial and Professional Regulation that permits a person to act as a dispensing organization under this Act and any administrative rule made in furtherance of this Act.

"Advertise" means to engage in promotional activities including, but not limited to: newspaper, radio, Internet and electronic media, and television advertising; the distribution of fliers and circulars; billboard advertising; and the display of window and interior signs. "Advertise" does not mean exterior signage displaying only the name of the licensed cannabis business establishment.

"BLS Region" means a region in Illinois used by the United States Bureau of Labor Statistics to gather and categorize certain employment and wage data. The 17 such regions in Illinois are: Bloomington, Cape Girardeau, Carbondale-Marion, Champaign-Urbana, Chicago-Naperville-Elgin, Danville, Davenport-Moline-Rock Island, Decatur, Kankakee, Peoria, Rockford, St. Louis, Springfield, Northwest Illinois nonmetropolitan area, West Central Illinois nonmetropolitan area, East Central Illinois nonmetropolitan area, and South Illinois nonmetropolitan area.

"Cannabis" means marijuana, hashish, and other substances that are identified as including any parts of the plant Cannabis sativa and including derivatives or subspecies, such as indica, of all strains of cannabis, whether growing or not; the seeds thereof, the resin extracted from any part of the plant; and any compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin, including tetrahydrocannabinol (THC) and all other naturally produced cannabinol derivatives, whether produced directly or indirectly by extraction; however, "cannabis" does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted from it), fiber, oil or cake, or the sterilized seed of the plant that is incapable of germination. "Cannabis" does not include industrial hemp as defined and authorized under the Industrial Hemp Act. "Cannabis" also means cannabis flower, concentrate, and cannabis-infused products.

"Cannabis business establishment" means a cultivation center, craft grower, processing organization, infuser organization, dispensing organization, or transporting organization , nonstorefront delivery organization as defined under Section 15-123, or storefront delivery organization as defined under Section 15-124.

"Cannabis concentrate" means a product derived from cannabis that is produced by extracting cannabinoids, including tetrahydrocannabinol (THC), from the plant through the use of propylene glycol, glycerin, butter, olive oil or other typical cooking fats; water, ice, or dry ice; or butane, propane, CO₂, ethanol, or isopropanol and with the intended use of smoking or making a cannabis-infused product. The use of any other solvent is expressly prohibited unless and until it is approved by the Department of Agriculture.

"Cannabis container" means a sealed, traceable, container, or package used for the purpose of containment of cannabis or cannabis-infused product during transportation.

"Cannabis flower" means marijuana, hashish, and other substances that are identified as including any parts of the plant Cannabis sativa and including derivatives or subspecies, such as indica, of all strains of cannabis; including raw kief, leaves, and buds, but not resin that has been extracted from any part of such plant; nor any compound, manufacture, salt, derivative, mixture, or preparation of such plant, its seeds, or resin.

"Cannabis-infused product" means a beverage, food, oil, ointment, tincture, topical formulation, or another product containing cannabis or cannabis concentrate that is not intended to be smoked.

"Cannabis paraphernalia" means equipment, products, or materials intended to be used for planting, propagating, cultivating, growing, harvesting, manufacturing, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, containing, concealing, ingesting, or otherwise introducing cannabis into the human body.

"Cannabis plant monitoring system" or "plant monitoring system" means a system that includes, but is not limited to, testing and data collection established and maintained by the cultivation center, craft grower, or processing organization and that is available to the Department of Revenue, the Department of Agriculture, the Department of Financial and Professional Regulation, and the Department of State Police for the purposes of documenting each cannabis plant and monitoring plant development throughout the life cycle of a cannabis plant cultivated for the intended use by a customer from seed planting to final packaging.

"Cannabis testing facility" means an entity registered by the Department of Agriculture to test cannabis for potency and contaminants.

"Clone" means a plant section from a female cannabis plant not yet rootbound, growing in a water solution or other propagation matrix, that is capable of developing into a new plant.

"Community College Cannabis Vocational Training Pilot Program faculty participant" means a person who is 21 years of age or older, licensed by the Department of Agriculture, and is employed or contracted by an Illinois community college to provide student instruction using cannabis plants at an Illinois Community College.

"Community College Cannabis Vocational Training Pilot Program faculty participant Agent Identification Card" means a document issued by the Department of Agriculture that identifies a person as Community College Cannabis Vocational Training Pilot Program faculty participant.

"Conditional Adult Use Dispensing Organization License" means a license awarded to top-scoring applicants for an Adult Use Dispensing Organization License that reserves the right to an Adult Use Dispensing Organization License if the applicant meets certain conditions described in this Act, but does not entitle the recipient to begin purchasing or selling cannabis or cannabis-infused products.

"Conditional Adult Use Cultivation Center License" means a license awarded to top-scoring applicants for an Adult Use Cultivation Center License that reserves the right to an Adult Use Cultivation Center License if the applicant meets certain conditions as determined by the Department of Agriculture by rule, but does not entitle the recipient to begin growing, processing, or selling cannabis or cannabis-infused products.

"Craft grower" means a facility operated by an organization or business that is licensed by the Department of Agriculture to cultivate, dry, cure, and package cannabis and perform other necessary activities to make cannabis available for sale at a dispensing organization or use at a processing organization. A craft grower may contain up to 5,000 square feet of canopy space on its premises for plants in the flowering state. The Department of Agriculture may authorize an increase or decrease of flowering stage cultivation space in increments of 3,000 square feet by rule based on market need, craft grower capacity, and the licensee's history of compliance or noncompliance, with a maximum space of 14,000 square feet for cultivating plants in the flowering stage, which must be cultivated in all stages of growth in an enclosed and secure area. A craft grower may share premises with a processing organization or a dispensing organization, or both, provided each licensee stores currency and cannabis or cannabis-infused products in a separate secured vault to which the other licensee does not have access or all licensees sharing a vault share more than 50% of the same ownership.

"Craft grower agent" means a principal officer, board member, employee, or other agent of a craft grower who is 21 years of age or older.

"Craft Grower Agent Identification Card" means a document issued by the Department of Agriculture that identifies a person as a craft grower agent.

"Cultivation center" means a facility operated by an organization or business that is licensed by the Department of Agriculture to cultivate, process, transport (unless otherwise limited by this Act), and perform other necessary activities to provide cannabis and cannabis-infused products to cannabis business establishments.

"Cultivation center agent" means a principal officer, board member, employee, or other agent of a cultivation center who is 21 years of age or older.

"Cultivation Center Agent Identification Card" means a document issued by the Department of Agriculture that identifies a person as a cultivation center agent.

"Currency" means currency and coin of the United States.

"Dispensary" means a facility operated by a dispensing organization at which activities licensed by this Act may occur.

"Dispensing organization" means a facility operated by an organization or business that is licensed by the Department of Financial and Professional Regulation to acquire cannabis from a cultivation center, craft grower, processing organization, or another dispensary for the purpose of selling or dispensing cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies under this Act to purchasers or to qualified registered medical cannabis patients and caregivers. As used in this Act, "dispensing organization" includes a registered medical cannabis organization as defined in the Compassionate Use of Medical Cannabis Program Act or its successor Act that has obtained an Early Approval Adult Use Dispensing Organization License.

"Dispensing organization agent" means a principal officer, employee, or agent of a dispensing organization who is 21 years of age or older.

"Dispensing organization agent identification card" means a document issued by the Department of Financial and Professional Regulation that identifies a person as a dispensing organization agent.

"Disproportionately Impacted Area" means a census tract or comparable geographic area that satisfies the following criteria as determined by the Department of Commerce and Economic Opportunity, that:

(1) meets at least one of the following criteria:

(A) the area has a poverty rate of at least 20% according to the latest federal decennial census; or

(B) 75% or more of the children in the area participate in the federal free lunch program according to reported statistics from the State Board of Education; or

(C) at least 20% of the households in the area receive assistance under the Supplemental Nutrition Assistance Program; or

(D) the area has an average unemployment rate, as determined by the Illinois Department of Employment Security, that is more than 120% of the national unemployment average, as determined by the United States Department of Labor, for a period of at least 2 consecutive calendar years preceding the date of the application; and

(2) has high rates of arrest, conviction, and incarceration related to the sale, possession, use, cultivation, manufacture, or transport of cannabis.

"Early Approval Adult Use Cultivation Center License" means a license that permits a medical cannabis cultivation center licensed under the Compassionate Use of Medical Cannabis Program Act as of the effective date of this Act to begin cultivating, infusing, packaging, transporting (unless otherwise provided in this Act), processing and selling cannabis or cannabis-infused product to cannabis business establishments for resale to purchasers as permitted by this Act as of January 1, 2020.

"Early Approval Adult Use Dispensing Organization License" means a license that permits a medical cannabis dispensing organization licensed under the Compassionate Use of Medical Cannabis Program Act as of the effective date of this Act to begin selling cannabis or cannabis-infused product to purchasers as permitted by this Act as of January 1, 2020.

"Early Approval Adult Use Dispensing Organization at a secondary site" means a license that permits a medical cannabis dispensing organization licensed under the Compassionate Use of Medical Cannabis Program Act as of the effective date of this Act to begin selling cannabis or cannabis-infused product to purchasers as permitted by this Act on January 1, 2020 at a different dispensary location from its existing registered medical dispensary location.

"Enclosed, locked facility" means a room, greenhouse, building, or other enclosed area equipped with locks or other security devices that permit access only by cannabis business establishment agents working for the licensed cannabis business establishment or acting pursuant to this Act to cultivate, process, store, or distribute cannabis.

"Enclosed, locked space" means a closet, room, greenhouse, building or other enclosed area equipped with locks or other security devices that permit access only by authorized individuals under this Act. "Enclosed, locked space" may include:

(1) a space within a residential building that (i) is the primary residence of the individual cultivating 5 or fewer cannabis plants that are more than 5 inches tall and (ii) includes sleeping quarters and indoor plumbing. The space must only be accessible by a key or code that is different from any key or code that can be used to access the residential building from the exterior; or

(2) a structure, such as a shed or greenhouse, that lies on the same plot of land as a residential building that (i) includes sleeping quarters and indoor plumbing and (ii) is used as a primary residence by the person cultivating 5 or fewer cannabis plants that are more than 5 inches tall, such as a shed or greenhouse. The structure must remain locked when it is unoccupied by people.

"Financial institution" has the same meaning as "financial organization" as defined in Section 1501 of the Illinois Income Tax Act, and also includes the holding companies, subsidiaries, and affiliates of such financial organizations.

"Flowering stage" means the stage of cultivation where and when a cannabis plant is cultivated to produce plant material for cannabis products. This includes mature plants as follows:

(1) if greater than 2 stigmas are visible at each internode of the plant; or

(2) if the cannabis plant is in an area that has been intentionally deprived of light for a period of time intended to produce flower buds and induce maturation, from the moment the light deprivation began through the remainder of the marijuana plant growth cycle.

"Individual" means a natural person.

"Infuser organization" or "infuser" means a facility operated by an organization or business that is licensed by the Department of Agriculture to directly incorporate cannabis or cannabis concentrate into a product formulation to produce a cannabis-infused product.

"Kief" means the resinous crystal-like trichomes that are found on cannabis and that are accumulated, resulting in a higher concentration of cannabinoids, untreated by heat or pressure, or extracted using a solvent.

"Labor peace agreement" means an agreement between a cannabis business establishment and any labor organization recognized under the National Labor Relations Act, referred to in this Act as a bona fide labor organization, that prohibits labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with the cannabis business establishment. This agreement means that the cannabis business establishment has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the cannabis business establishment's employees. The agreement shall provide a bona fide labor organization access at reasonable times to areas in which the cannabis business establishment's employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under State law, and terms and conditions of employment. This type of agreement shall not mandate a particular method of election or certification of the bona fide labor organization.

"Limited access area" means a room or other area under the control of a cannabis dispensing organization licensed under this Act and upon the licensed premises where cannabis sales occur with access limited to purchasers, dispensing organization owners and other dispensing organization agents, or service professionals conducting business with the dispensing organization, or, if sales to registered qualifying patients, caregivers, provisional patients, and Opioid Alternative Pilot Program participants licensed pursuant to the Compassionate Use of Medical Cannabis Program Act are also permitted at the dispensary, registered qualifying patients, caregivers, provisional patients, and Opioid Alternative Pilot Program participants.

"Member of an impacted family" means an individual who has a parent, legal guardian, child, spouse, or dependent, or was a dependent of an individual who, prior to the effective date of this Act, was arrested for, convicted of, or adjudicated delinquent for any offense that is eligible for expungement under this Act.

"Mother plant" means a cannabis plant that is cultivated or maintained for the purpose of generating clones, and that will not be used to produce plant material for sale to an infuser or dispensing organization.

"Ordinary public view" means within the sight line with normal visual range of a person, unassisted by visual aids, from a public street or sidewalk adjacent to real property, or from within an adjacent property.

"Ownership and control" means ownership of at least 51% of the business, including corporate stock if a corporation, and control over the management and day-to-day operations of the business and an interest in the capital, assets, and profits and losses of the business proportionate to percentage of ownership.

"Person" means a natural individual, firm, partnership, association, joint stock company, joint venture, public or private corporation, limited liability company, or a receiver, executor, trustee, guardian, or other representative appointed by order of any court.

"Possession limit" means the amount of cannabis under Section 10-10 that may be possessed at any one time by a person 21 years of age or older or who is a registered qualifying medical cannabis patient or caregiver under the Compassionate Use of Medical Cannabis Program Act.

"Principal officer" includes a cannabis business establishment applicant or licensed cannabis business establishment's board member, owner with more than 1% interest of the total cannabis business establishment or more than 5% interest of the total cannabis business establishment of a publicly traded company, president, vice president, secretary, treasurer, partner, officer, member, manager member, or person with a profit sharing, financial interest, or revenue sharing arrangement. The definition includes a person with authority to control the cannabis business establishment, a person who assumes responsibility for the debts of the cannabis business establishment and who is further defined in this Act.

"Primary residence" means a dwelling where a person usually stays or stays more often than other locations. It may be determined by, without limitation, presence, tax filings; address on an Illinois driver's license, an Illinois Identification Card, or an Illinois Person with a Disability Identification Card; or voter registration. No person may have more than one primary residence.

"Processing organization" or "processor" means a facility operated by an organization or business that is licensed by the Department of Agriculture to either extract constituent chemicals or compounds to produce cannabis concentrate or incorporate cannabis or cannabis concentrate into a product formulation to produce a cannabis product.

"Processing organization agent" means a principal officer, board member, employee, or agent of a processing organization.

"Processing organization agent identification card" means a document issued by the Department of Agriculture that identifies a person as a processing organization agent.

"Purchaser" means a person 21 years of age or older who acquires cannabis for a valuable consideration. "Purchaser" does not include a cardholder under the Compassionate Use of Medical Cannabis Program Act.

"Qualified Social Equity Applicant" means a Social Equity Applicant who has been awarded a conditional license under this Act to operate a cannabis business establishment.

"Resided" means an individual's primary residence was located within the relevant geographic area as established by 2 of the following:

(1) a signed lease agreement that includes the applicant's name;

(2) a property deed that includes the applicant's name;

(3) school records;

(4) a voter registration card;

(5) an Illinois driver's license, an Illinois Identification Card, or an Illinois Person with a Disability Identification Card;

(6) a paycheck stub;

(7) a utility bill;

(8) tax records; or

(9) any other proof of residency or other information necessary to establish residence as provided by rule.

"Smoking" means the inhalation of smoke caused by the combustion of cannabis.

"Social Equity Applicant" means an applicant that is an Illinois resident that meets one of the following criteria:

(1) an applicant with at least 51% ownership and control by one or more individuals who have resided for at least 5 of the preceding 10 years in a Disproportionately Impacted Area;

(2) an applicant with at least 51% ownership and control by one or more individuals who:

(i) have been arrested for, convicted of, or adjudicated delinquent for any offense that is eligible for expungement under this Act; or

(ii) is a member of an impacted family;

(3) for applicants with a minimum of 10 full-time employees, an applicant with at least 51% of current employees who:

(i) currently reside in a Disproportionately Impacted Area; or

(ii) have been arrested for, convicted of, or adjudicated delinquent for any offense that is eligible for expungement under this Act or member of an impacted family.

Nothing in this Act shall be construed to preempt or limit the duties of any employer under the Job Opportunities for Qualified Applicants Act. Nothing in this Act shall permit an employer to require an employee to disclose sealed or expunged offenses, unless otherwise required by law.

"Tincture" means a cannabis-infused solution, typically comprised of alcohol, glycerin, or vegetable oils, derived either directly from the cannabis plant or from a processed cannabis extract. A tincture is not an alcoholic liquor as defined in the Liquor Control Act of 1934. A tincture shall include a calibrated dropper or other similar device capable of accurately measuring servings.

"Transporting organization" or "transporter" means an organization or business that is licensed by the Department of Agriculture to transport cannabis or cannabis-infused product on behalf of a cannabis business establishment or a community college licensed under the Community College Cannabis Vocational Training Pilot Program.

"Transporting organization agent" means a principal officer, board member, employee, or agent of a transporting organization.

"Transporting organization agent identification card" means a document issued by the Department of Agriculture that identifies a person as a transporting organization agent.

"Unit of local government" means any county, city, village, or incorporated town.

"Vegetative stage" means the stage of cultivation in which a cannabis plant is propagated to produce additional cannabis plants or reach a sufficient size for production. This includes seedlings, clones, mothers, and other immature cannabis plants as follows:

(1) if the cannabis plant is in an area that has not been intentionally deprived of light for a period of time intended to produce flower buds and induce maturation, it has no more than 2 stigmas visible at each internode of the cannabis plant; or

(2) any cannabis plant that is cultivated solely for the purpose of propagating clones and is never used to produce cannabis.

(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)

(410 ILCS 705/15-123 new)

Sec. 15-123. Nonstorefront Delivery Organizations; Conditional Nonstorefront Adult Use Cannabis Delivery Organization Licenses.

(a) In this Section:

"Conditional Nonstorefront Adult Use Cannabis Delivery Organization License" means a license issued by the Department under this Section that permits a person or entity to act as a Nonstorefront Delivery Organization under this Section, the Compassionate Use of Medical Cannabis Program Act, or any rules adopted in furtherance of those Acts.

"Delivery agent" means a principal officer, board member, employee, or other agent of a Nonstorefront Delivery Organization who is 21 years of age or older.

"Delivery agent identification card" means a document issued by the Department that identifies a person as a delivery agent.

"Nonstorefront Delivery Organization" means a business entity that is operated by an organization or business that is issued a Conditional Nonstorefront Adult Use Cannabis Delivery Organization License, subject to the conditions of this Section.

(b) Notwithstanding any other provision of law, a Nonstorefront Delivery Organization may acquire cannabis from a cultivation center, craft grower, or processing organization for the purpose of selling or dispensing, exclusively through delivery, cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies under this Act to purchasers or to qualified registered medical cannabis patients and caregivers under the Compassionate Use of Medical Cannabis Program Act. A Nonstorefront Delivery Organization may operate a secure premises that is closed to the public to store cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(c) The Department shall issue up to 200 Conditional Nonstorefront Adult Use Cannabis Delivery Organization Licenses before May 1st, 2022.

(d) After January 1, 2023, the Department may by rule modify or raise the number of Conditional Nonstorefront Adult Use Cannabis Delivery Organization Licenses assigned to each BLS Region, and modify or change the licensing application process to reduce or eliminate barriers based on the disparity and availability study commissioned by the Illinois Cannabis Regulation Oversight Officer under Section 5-45.

(e) The Department shall make the application for a Conditional Nonstorefront Adult Use Cannabis Delivery Organization License available no later than October 1, 2021.

(f) To ensure geographic dispersion of Conditional Nonstorefront Adult Use Cannabis Delivery Organization License holders, the following number of licenses shall be awarded in each BLS Region as determined by each BLS Region's percentage of the State's population:

(1) Bloomington: 4

(2) Cape Girardeau: 4

(3) Carbondale-Marion: 6

(4) Chicago - Naperville - Elgin: 100

(5) Danville: 4

(6) Davenport - Moline - Rock Island: 5

(7) Decatur: 4

(8) Kankakee:4

(9) Peoria: 7

(10) Rockford: 7

(11) East St. Louis: 25

(12) Springfield: 7

(13) Northwest Illinois nonmetropolitan: 5

(14) West Central Illinois nonmetropolitan: 5

(15) East Central Illinois nonmetropolitan: 5

(16) South Central Illinois nonmetropolitan: 5

(g) An applicant seeking issuance of a Conditional Nonstorefront Adult Use Dispensing Organization License shall submit an application on forms provided by the Department. An applicant must meet the following requirements:

(1) Payment of a nonrefundable application fee of $2,500 for each license for which the applicant is applying, which shall be deposited into the Cannabis Regulation Fund.

(2) Certification that the applicant will comply with the requirements contained in this Act.

(3) The legal name of the proposed delivery organization.

(4) A statement that the delivery organization agrees to respond to the Department's supplemental requests for information.

(5) For each principal officer, a statement indicating the following:

(A) Whether that person has previously held or currently holds an ownership interest in a cannabis business establishment in Illinois.

(B) Whether that person has held an ownership interest in a dispensing organization or its equivalent in another state or territory of the United States that had its dispensing organization registration or license suspended, revoked, placed on probationary status, or subjected to other disciplinary action.

(C) Whether that person has ever filed for bankruptcy or defaulted on a spousal support or child support obligation.

(6) A resume for each principal officer, including whether that person has an academic degree, certification, or relevant experience with a cannabis business establishment or in a related industry.

(7) A description of the training and education that will be provided to delivery agents.

(8) A copy of the proposed operating bylaws.

(9) A copy of the proposed business plan that complies with the requirements of this Act, including, at a minimum, the following:

(A) A description of the services to be offered.

(B) A description of the process of delivering cannabis.

(10) A copy of the proposed security plan that complies with the requirements in this Article; including:

(A) The process or controls that will be implemented to monitor the warehouse, secure the premises, agents, and currency, and prevent the diversion, theft, or loss of cannabis.

(B) The process to ensure that access to the warehouse is restricted to registered agents, service professionals, transporting organizations, delivery agents, Department inspectors, and security personnel.

(C) The process or controls that will be implemented to monitor delivery agents, delivery vehicles, cash-on-hand, and product-on-hand during the process of delivery.

(11) A proposed inventory control plan that complies with this Section.

(12) A proposed floor plan, a square footage estimate, and a description of the proposed security devices, including, without limitation, cameras, motion detectors, servers, video storage capabilities, alarm service providers, dash-cams with internal and external recording, and global positioning system (GPS) trackers.

(13) The name, address, social security number, and date of birth of each principal officer and board member of the delivery organization. Each of those individuals shall be at least 21 years of age.

(14) Evidence of the applicant's status as a Social Equity Applicant, if applicable, and whether the Social Equity Applicant plans to apply for a loan or grant issued by the Department of Commerce and Economic Opportunity.

(15) The address, telephone number, and email address of the applicant's principal place of business, if applicable. A post office box is not permitted.

(16) Written summaries of any information regarding instances in which a business or not-for-profit that a prospective board member previously managed or served on was fined or censured, or any instances in which a board member previously managed or served a business or not-for-profit that had its registration suspended or revoked in any administrative or judicial proceeding.

(17) A plan for community engagement.

(18) Procedures to ensure accurate recordkeeping and security measures that are in accordance with this Article and Department rules.

(19) The estimated volume of cannabis the applicant plans to store in the applicant's warehouse.

(20) A detailed description of the air treatment systems that will be installed to reduce odors.

(21) A reasonable assurance that the issuance of a license will not have a detrimental impact on the community in which the applicant wishes to locate.

(22) The dated signature of each principal officer.

(23) A description of the enclosed, locked facility where cannabis will be stored by the Nonstorefront Delivery Organization.

(24) Signed statements from each delivery agent stating that he or she will not divert cannabis.

(25) The number of licenses the applicant is applying for in each BLS Region.

(26) A diversity plan that includes a narrative of at least 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity.

(27) A contract with a private security contractor that is licensed under Section 10-5 of the Private Detective, Private Alarm, Private Security, Fingerprint Vendor, and Locksmith Act of 2004 in order for the warehouse to have adequate security at its facility.

(28) Other information deemed necessary by the Illinois Cannabis Regulation Oversight Officer to conduct the disparity and availability study referred to in Section 5-45.

(h) An applicant who receives a Conditional Nonstorefront Adult Use Cannabis Delivery Organization License under this Section has 180 days after the date of award to identify a physical location for the Nonstorefront Delivery Organization's warehouse. Before a licensee receives an authorization to build out the warehouse, the Department shall inspect the physical space selected by the licensee. The Department shall verify that the site is suitable for warehousing and the location is sufficient in size, power allocation, lighting, product handling, and storage. If an applicant is unable to find a suitable physical address in the opinion of the Department within 180 days after the issuance of the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License, the Department may extend the period for finding a physical address another 180 days if the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License holder demonstrates concrete attempts to secure a location and a hardship. If the Department denies the extension or the Nonstorefront Cannabis Delivery Organization is unable to find a location or become operational within 360 days after being awarded a license, the Department shall rescind the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License and award it to the next highest scoring applicant in the BLS Region for which the license was assigned, provided the applicant receiving the license (i) confirms a continued interest in operating a Nonstorefront Delivery Organization; (ii) can provide evidence that the applicant continues to meet all the requirements for holding a Conditional Nonstorefront Adult Use Cannabis Delivery Organization License set forth in this Section; and (iii) has not otherwise become ineligible to be awarded a Conditional Nonstorefront Adult Use Cannabis Delivery Organization License. If the new awardee is unable to accept the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License, the Department shall award the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License to the next highest scoring applicant in the same manner. The new awardee shall be subject to the same required deadlines as provided in this subsection.

(i) A Nonstorefront Delivery Organization that is awarded a Conditional Nonstorefront Adult Use Cannabis Delivery Organization License pursuant to this Section shall not purchase, possess, sell, or deliver cannabis or cannabis infused products until the Nonstorefront Delivery Organization has received the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License.

(j) The Department shall conduct a background check of the prospective organization agents in order to carry out this Section. The Department of State Police shall charge the applicant a fee for conducting the criminal history record check, which shall be deposited into the State Police Services Fund and shall not exceed the actual cost of the record check. Each person applying as a delivery agent shall submit a full set of fingerprints to the Department of State Police for the purpose of obtaining a State and federal criminal records check. These fingerprints shall be checked against the fingerprint records now and hereafter, to the extent allowed by law, filed in the Department of State Police and the Federal Bureau of Identification criminal history records database. The Department of State Police shall furnish, following positive identification, all Illinois conviction information to the Department.

(k) A Nonstorefront Delivery Organization may only engage in sales or deliveries between the hours of 6:00 a.m. and 10:00 p.m. Central Standard Time.

(l) Except as provided in subsection (m), a Nonstorefront Delivery Organization shall not sell or otherwise transfer any cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies to a customer through the use of an unlicensed third party, intermediary business, broker, or any other business or entity.

(m) Notwithstanding subsection (l), a Nonstorefront Delivery Organization may contract with a service that provides a technology platform to facilitate the sale and delivery of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies, in accordance with all of the following:

(1) The Nonstorefront Delivery Organization does not allow for delivery of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies by the technology platform service provider.

(2) The Nonstorefront Delivery Organization does not share in the profits of the sale of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies with the technology platform service provider, or otherwise provide for a percentage or portion of the cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies sales to the technology platform service provider.

(3) The Nonstorefront Delivery Organization shall not advertise or market cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies in conjunction with the technology platform service provider outside of the technology platform, and shall ensure that the technology platform service provider does not use the Nonstorefront Delivery Organization's license number or legal business name on any advertisement or marketing that primarily promotes the services of the technology platform.

(4) The Nonstorefront Delivery Organization shall ensure the following information is provided to customers.

(A) Any cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies advertised or offered for sale on or through the technology platform shall disclose, at a minimum, the Nonstorefront Delivery Organization's legal business name and license number.

(B) Customers placing an order for cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies through the technology platform shall be able to easily identify the Nonstorefront Delivery Organization that each cannabis good is being ordered or purchased from. This information shall be available to the customer prior to the customer placing an order or purchasing the cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(C) All required sales invoices and receipts, including any receipts provided to the customer, shall disclose, at a minimum, the Nonstorefront Delivery Organization's legal business name and license number.

(D) All other delivery, marketing, and advertising requirements under this Act are complied with.

(n) All delivery customers must provide a valid proof of identification.

(o) A delivery agent must verify age by inspecting a valid form of identification of all delivery customers, in person, before he or she completes delivery of the cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(p) Delivery must be made to a physical address in any jurisdiction within Illinois that is not on publicly owned land, a school, a daycare, or a youth center.

(q) During delivery the delivery agent must carry a copy of the Conditional Nonstorefront Adult Use Cannabis Delivery Organization License and the delivery agents' government-issued delivery agent identification cards, provided by the Department.

(r) A delivery agent shall not carry cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies valued in excess of $5,000 at any time, with no more than $3,000 of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies that are not already part of a customer order that was processed prior to leaving the premises.

(s) A delivery request receipt must be prepared for each delivery of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies, and contain all of the items listed in paragraph (4) of subsection (m).

(t) Delivery must be made in person by a delivery agent.

(u) Delivery must be made using an enclosed motor vehicle equipped with a GPS device and secure storage for cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies. A vehicle used by a Nonstorefront Delivery Organization is not required to be owned by the licensee.

(v) A Nonstorefront Delivery Organization may not accept, possess, or sell cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies that are not packaged for final sale. A Nonstorefront Delivery Organization may not package or label cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(w) All cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies must be in an opaque package before delivery to the customer.

(x) All cannabis packaging must be in a child-resistant package.

(y) All packaging shall be tamper-evident and resealable if it contains more than one serving.

(z) Immature cannabis plants and seeds sold by a Nonstorefront Delivery Organization are not required to be placed in resealable, tamper-evident, child resistant packaging.

(aa) A Nonstorefront Delivery Organization may only receive shipments from licensed cultivators, craft growers, or processors between the hours of 6:00 a.m. and 10:00 p.m. Central Standard Time.

(bb) A Nonstorefront Delivery Organization must be able to account for all inventory of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies and provide the Department with inventory records upon request.

(cc) A Nonstorefront Delivery Organization must maintain financial records, personnel records, training records, contracts, permits, security records, destruction records, data entered into track-and-trace, and an accurate record of all sales for 5 years. All records must be made available to the Department upon request.

(410 ILCS 705/15-124 new)

Sec. 15-124. Conditional Storefront Adult Use Cannabis Delivery Organizations; Licenses.

(a) In this Section:

"Conditional Storefront Adult Use Cannabis Delivery Organization License" means a license issued by the Department that permits a person or entity to act as a Storefront Delivery Organization under this Act, the Compassionate Use of Medical Cannabis Program Act, or any rules adopted in furtherance of those Acts.

"Delivery agent" means a principal officer, board member, employee, or other agent of a Storefront Delivery Organization who is 21 years of age or older.

"Delivery agent identification card" means a document issued by the Department that identifies a person as a delivery agent.

"Storefront Delivery Organization" means a business entity that is operated by an organization or business that is issued a Conditional Storefront Adult Use Cannabis Delivery Organization License, subject to the conditions of this Section.

(b) Notwithstanding any other provision of law, a Storefront Delivery Organization may acquire cannabis from a licensed dispensing organization for the purpose of delivering cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies under this Act to purchasers or to qualified registered medical cannabis patients and caregivers under the Compassionate Use of Medical Cannabis Program Act, exclusively through delivery.

(c) The Department shall begin issuing unlimited Conditional Storefront Adult Use Cannabis Delivery Organization Licenses before May 1, 2022.

(d) The Department shall make the application for a Conditional Storefront Adult Use Cannabis Delivery Organization License available no later than October 1, 2021.

(e) An applicant seeking issuance of a Conditional Storefront Adult Use Dispensing Organization License shall submit an application on forms provided by the Department. An applicant must meet the following requirements:

(1) Payment of a nonrefundable application fee of $1,500 for each license for which the applicant is applying, which shall be deposited into the Cannabis Regulation Fund.

(2) Certification that the applicant will comply with the requirements of this Act.

(3) The legal name of the proposed delivery organization.

(4) A statement that the delivery organization agrees to respond to the Department's supplemental requests for information.

(5) For each principal officer, a statement indicating the following:

(A) Whether that person has previously held or currently holds an ownership interest in a cannabis business establishment in Illinois.

(B) Whether that person held an ownership interest in a dispensing organization or its equivalent in another state or territory of the United States that had the dispensing organization registration or license suspended, revoked, placed on probationary status, or subjected to other disciplinary action.

(C) Whether that person has ever filed for bankruptcy or defaulted on a spousal support or child support obligation.

(6) A resume for each principal officer, including whether that person has an academic degree, certification, or relevant experience with a cannabis business establishment or in a related industry.

(5) A description of the training and education that will be provided to delivery agents.

(6) A copy of the proposed operating bylaws.

(7) A copy of the proposed business plan that complies with the requirements of this Act, including, at a minimum, the following:

(A) A description of the services to be offered.

(B) A description of the process of delivering cannabis.

(8) A proposed security plan, a copy of the proposed security plan, and a description of proposed security devices, including, without limitation, dash-cams with internal and external recording, and global positioning system (GPS) trackers.

(9) A proposed inventory control plan that complies with this Section.

(10) The name, address, social security number, and date of birth of each principal officer and board member of the delivery organization. Each of the individuals shall be at least 21 years of age.

(11) Evidence of the applicant's status as a Social Equity Applicant, if applicable, and whether the Social Equity Applicant plans to apply for a loan or grant issued by the Department of Commerce and Economic Opportunity.

(12) The address, telephone number, and email address of the applicant's principal place of business, if applicable. A post office box is not permitted.

(13) Written summaries of any information regarding instances in which a business or not-for-profit that a prospective board member previously managed or served on was fined or censured, or any instances in which a board member previously managed or served a business or not-for-profit that had its registration suspended or revoked in any administrative or judicial proceeding.

(14) A plan for community engagement.

(15) Procedures to ensure accurate recordkeeping and security measures that are in accordance with this Article and Department rules.

(16) A reasonable assurance that the issuance of a license will not have a detrimental impact on the community in which the applicant wishes to locate.

(17) The dated signature of each principal officer.

(18) A description of the enclosed, locked compartment where cannabis will be stored by delivery agents enroute to the delivery location.

(19) Signed statements from each delivery agent stating that he or she will not divert cannabis.

(20) The number of licenses the applicant is applying for in each BLS Region.

(21) A diversity plan that includes a narrative of at least 2,500 words that establishes a goal of diversity in ownership, management, employment, and contracting to ensure that diverse participants and groups are afforded equality of opportunity.

(22) Other information deemed necessary by the Illinois Cannabis Regulation Oversight Officer to conduct the disparity and availability study under Section 5-45.

(f) A Storefront Delivery Organization may only engage in sales or deliveries between the hours of 6:00 a.m. and 10:00 p.m. Central Standard Time.

(g) Except as provided in subsection (h), a Storefront Delivery Organization shall not sell or otherwise transfer any cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies to a customer through the use of an unlicensed third party, intermediary business, broker, or any other business or entity.

(h) Notwithstanding subsection (g), a Storefront Delivery Organization may contract with a service that provides a technology platform to facilitate the sale and delivery of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies, in accordance with all of the following:

(1) The Storefront Delivery Organization does not allow for delivery of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies by the technology platform service provider.

(2) The Storefront Delivery Organization does not share in the profits of the sale of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies with the technology platform service provider, or otherwise provide for a percentage or portion of the cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies sales to the technology platform service provider.

(3) The Storefront Delivery Organization shall not advertise or market cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies in conjunction with the technology platform service provider, outside of the technology platform, and shall ensure that the technology platform service provider does not use the Storefront Delivery Organization's license number or legal business name on any advertisement or marketing that primarily promotes the services of the technology platform.

(4) The Storefront Delivery Organization shall ensure the following information is provided to customers:

(A) Any cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies advertised or offered for sale on or through the technology platform shall disclose, at a minimum, the Storefront Delivery Organization's legal business name and license number.

(B) Customers placing an order for cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies through the technology platform shall be able to easily identify the Storefront Delivery Organization that each cannabis good is being ordered or purchased from. This information shall be available to the customer prior to the customer placing an order or purchasing the cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(C) All required sales invoices and receipts, including any receipts provided to the customer, shall disclose, at a minimum, the Storefront Delivery Organization's legal business name and license number.

(D) All other delivery, marketing, and advertising requirements under this division are complied with.

(i) All delivery customers must provide a valid proof of identification.

(j) A delivery agent must verify age by inspecting a valid form of identification of all delivery customers, in person, before he or she completes delivery of the cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(k) Delivery must be made to a physical address in any jurisdiction within Illinois that is not on publicly owned land, a school, a daycare, or a youth center.

(l) During delivery, the delivery agent must carry a copy of the Conditional Storefront Adult Use Cannabis Delivery Organization License and the delivery agents' government-issued delivery agent identification cards, provided by the Department.

(m) A delivery agent shall not carry cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies valued in excess of $5,000 at any time, with no more than $3,000 of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies that are not already part of a customer order that was processed prior to leaving the premises.

(n) A delivery request receipt must be prepared for each delivery of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies, and contain all of the items listed in paragraph (4) of subsection (h).

(o) Delivery must be made in person by a delivery agent.

(p) Delivery must be made using an enclosed motor vehicle equipped with a GPS device and secure storage for cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies. A vehicle used by a Storefront Delivery Organization is not required to be owned by the licensee.

(q) A Storefront Delivery Organization may not accept, possess, or sell cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies that are not packaged for final sale. A Storefront Delivery Organization may not package or label cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies.

(r) All cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies must be in an opaque package before delivery to the customer.

(s) All cannabis packaging must either be in a child-resistant package.

(t) All packaging shall be tamper-evident and resealable if it contains more than one serving.

(u) Immature cannabis plants and seeds sold by a Storefront Delivery Organization are not required to be placed in resealable, tamper-evident, child resistant packaging.

(v) A Storefront Delivery Organization may only receive shipments from licensed cultivators, craft growers, or processors between the hours of 6:00 a.m. and 10:00 p.m. Central Standard Time.

(w) A Storefront Delivery Organization must be able to account for all inventory of cannabis, cannabis-infused products, cannabis seeds, paraphernalia, or related supplies and provide the Department with inventory records upon request.

(x) A Storefront Delivery Organization must maintain financial records, personnel records, training records, contracts, permits, security records, destruction records, data entered into track-and-trace, and an accurate record of all sales for 5 years. All records must be made available to the Department upon request.

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