Illinois Officials Release Drafts of Medical Marijuana Rules

Jars of medical marijuana on a shelfThe Illinois Departments of Financial and Professional Regulation, Revenue and  Agriculture have all posted draft rules to govern the manufacture, package and sale of medical marijuana in the state. Public comments are welcome through February 27, 2014. Below are the key provisions from each agency. For readers who would like to review or download all three documents, they are linked at the end of each section.

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Regulations Proposed by the Department of Financial and Professional Regulations

The regulations proposed by the Illinois Department of Financial and Professional Regulations deal largely with medical marijuana dispensary applications and operation. Some of the highlights include:

  • Dispensing organization Districts would be created that follow the lines of Illinois State Police Districts.
  • Sets rules for applying for a dispensary license, including who may apply, building and security requirements, business plan requirements, financial requirements and application requirements.
  • Details how the state plans to conduct a fair and impartial selection process among dispensary applicants.
  • Establishes an application fee of $5,000 and a $30,000 registration fee for successful applicants, including a $25,000 yearly dispensary license renewal fee.
  • Establishes regulations for how medical marijuana is stored and sold after a dispensary is open

You can submit your comments about these proposed rules to the Illinois Department of Financial and Professional Regulation here.

Read the full text of the Department of Financial and Professional Regulations’ proposed regulations:

Download the PDF file .


 Regulations Proposed by the Department of Revenue

The regulations proposed by the Illinois Department of Revenue deal with taxing and record keeping requirements of medical marijuana dispensaries and cultivation centers. Some of the highlights include:

  • Sets a retailer’s occupation tax of 1% plus local sales tax rates.
  • Establishes tax reporting and bookkeeping requirements.
  • Establishes a cultivation tax of 7% per ounce. This tax is paid by the cultivation center and not the dispensary.
  • Restricts the cultivation center’s ability to charge different prices to different dispensaries.
  • Imposes a surcharge on anyone who sells a medical marijuana cultivation center or dispensary.

You can submit your comments about these proposed rules to the Illinois Department of Revenue here.

Read the full text of the Department of Revenue’s proposed regulations:

Download the PDF file .


Regulations Proposed by the Department of Agriculture

The regulations proposed by the Illinois Department of Agriculture’s  deal with the licensing and operation of a medical marijuana production facility (cultivation center). Some of the highlights include:

  • Requires child-resistant packaging for medical marijuana products and strict labeling.
  • Establishes regulations for storing dried cannabis at cultivation centers.
  • Restricts cannabis cultivation centers from selling medical marijuana directly to a consumer.
  • Bars the consumption of medical marijuana at cultivation centers.
  • Establishes a non-refundable $25,000 cultivation center application fee.
  • If approved, cultivation centers must pay an initial licensing fee of $200,000, with a yearly renewal fee of $100,000.
  • Sets specifications for the location, layout and security of medical marijuana cultivation centers.
  • Requires electronic record keeping in an automated data processing or point of sale system for cultivation centers.
  • Details requirements for producing edible or infused medical marijuana products.
  • Medical marijuana cultivation centers may operate 24 hours per day, but delivery to dispensaries are not allowed between 9:00 pm and 7:00 am.
  • Establishes laboratory testing requirements.

You can submit your comments about these proposed rules to the Illinois Department of Revenue here.

Read the full text of the Department of Agriculture’s proposed regulations:

Download the PDF file .

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