Bill Amendment: IL HB0123 | 2019-2020 | 101st General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: GOVERNMENT-TECH

Status: 2020-06-23 - Rule 19(b) / Re-referred to Rules Committee [HB0123 Detail]

Download: Illinois-2019-HB0123-Senate_Amendment_002.html

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Sen. Heather A. Steans

Filed: 5/20/2020

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AMENDMENT TO HOUSE BILL 123
AMENDMENT NO. ______. Amend House Bill 123, AS AMENDED, by
replacing everything after the enacting clause with the
following:
"Section 5. The Tobacco Products Tax Act of 1995 is amended
by changing Section 10-5 as follows:
(35 ILCS 143/10-5)
Sec. 10-5. Definitions. For purposes of this Act:
"Business" means any trade, occupation, activity, or
enterprise engaged in, at any location whatsoever, for the
purpose of selling tobacco products.
"Cigarette" has the meaning ascribed to the term in Section
1 of the Cigarette Tax Act.
"Contraband little cigar" means:
(1) packages of little cigars containing 20 or 25
little cigars that do not bear a required tax stamp under

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this Act;
(2) packages of little cigars containing 20 or 25
little cigars that bear a fraudulent, imitation, or
counterfeit tax stamp;
(3) packages of little cigars containing 20 or 25
little cigars that are improperly tax stamped, including
packages of little cigars that bear only a tax stamp of
another state or taxing jurisdiction; or
(4) packages of little cigars containing other than 20
or 25 little cigars in the possession of a distributor,
retailer or wholesaler, unless the distributor, retailer,
or wholesaler possesses, or produces within the time frame
provided in Section 10-27 or 10-28 of this Act, an invoice
from a stamping distributor, distributor, or wholesaler
showing that the tax on the packages has been or will be
paid.
"Correctional Industries program" means a program run by a
State penal institution in which residents of the penal
institution produce tobacco products for sale to persons
incarcerated in penal institutions or resident patients of a
State operated mental health facility.
"Department" means the Illinois Department of Revenue.
"Distributor" means any of the following:
(1) Any manufacturer or wholesaler in this State
engaged in the business of selling tobacco products who
sells, exchanges, or distributes tobacco products to

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retailers or consumers in this State.
(2) Any manufacturer or wholesaler engaged in the
business of selling tobacco products from without this
State who sells, exchanges, distributes, ships, or
transports tobacco products to retailers or consumers
located in this State, so long as that manufacturer or
wholesaler has or maintains within this State, directly or
by subsidiary, an office, sales house, or other place of
business, or any agent or other representative operating
within this State under the authority of the person or
subsidiary, irrespective of whether the place of business
or agent or other representative is located here
permanently or temporarily.
(3) Any retailer who receives tobacco products on which
the tax has not been or will not be paid by another
distributor.
"Distributor" does not include any person, wherever
resident or located, who makes, manufactures, or fabricates
tobacco products as part of a Correctional Industries program
for sale to residents incarcerated in penal institutions or
resident patients of a State operated mental health facility.
"Electronic cigarette" means:
(1) any device that employs a battery or other
mechanism to heat a solution or substance to produce a
vapor or aerosol intended for inhalation;
(2) any cartridge or container of a solution or

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substance intended to be used with or in the device or to
refill the device, except any cartridge or container of a
solution or substance that contains cannabis subject to tax
under the Compassionate Use of Medical Cannabis Program Act
or the Cannabis Cultivation Privilege Tax Law; or
(3) any solution or substance, whether or not it
contains nicotine, intended for use in the device, except
any solution or substance that contains cannabis subject to
tax under the Compassionate Use of Medical Cannabis Program
Act or the Cannabis Cultivation Privilege Tax Law. The
changes made to the definition of "electronic cigarette" by
this amendatory Act of the 101st General Assembly apply on
and after June 28, 2019, but no claim for credit or refund
is allowed on or after the effective date of this
amendatory Act of the 101st General Assembly for such taxes
paid during the period beginning June 28, 2019 and the
effective date of this amendatory Act of the 101st General
Assembly.
"Electronic cigarette" includes, but is not limited to, any
electronic nicotine delivery system, electronic cigar,
electronic cigarillo, electronic pipe, electronic hookah, vape
pen, or similar product or device, and any component or part
that can be used to build the product or device. "Electronic
cigarette" does not include: cigarettes, as defined in Section
1 of the Cigarette Tax Act; any product approved by the United
States Food and Drug Administration for sale as a tobacco

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cessation product, a tobacco dependence product, or for other
medical purposes that is marketed and sold solely for that
approved purpose; any asthma inhaler prescribed by a physician
for that condition that is marketed and sold solely for that
approved purpose; or any therapeutic product approved for use
under the Compassionate Use of Medical Cannabis Program Act.
"Little cigar" means and includes any roll, made wholly or
in part of tobacco, where such roll has an integrated cellulose
acetate filter and weighs less than 4 pounds per thousand and
the wrapper or cover of which is made in whole or in part of
tobacco.
"Manufacturer" means any person, wherever resident or
located, who manufactures and sells tobacco products, except a
person who makes, manufactures, or fabricates tobacco products
as a part of a Correctional Industries program for sale to
persons incarcerated in penal institutions or resident
patients of a State operated mental health facility.
Beginning on January 1, 2013, "moist snuff" means any
finely cut, ground, or powdered tobacco that is not intended to
be smoked, but shall not include any finely cut, ground, or
powdered tobacco that is intended to be placed in the nasal
cavity.
"Person" means any natural individual, firm, partnership,
association, joint stock company, joint venture, limited
liability company, or public or private corporation, however
formed, or a receiver, executor, administrator, trustee,

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conservator, or other representative appointed by order of any
court.
"Place of business" means and includes any place where
tobacco products are sold or where tobacco products are
manufactured, stored, or kept for the purpose of sale or
consumption, including any vessel, vehicle, airplane, train,
or vending machine.
"Retailer" means any person in this State engaged in the
business of selling tobacco products to consumers in this
State, regardless of quantity or number of sales.
"Sale" means any transfer, exchange, or barter in any
manner or by any means whatsoever for a consideration and
includes all sales made by persons.
"Stamp" or "stamps" mean the indicia required to be affixed
on a package of little cigars that evidence payment of the tax
on packages of little cigars containing 20 or 25 little cigars
under Section 10-10 of this Act. These stamps shall be the same
stamps used for cigarettes under the Cigarette Tax Act.
"Stamping distributor" means a distributor licensed under
this Act and also licensed as a distributor under the Cigarette
Tax Act or Cigarette Use Tax Act.
"Tobacco products" means any cigars, including little
cigars; cheroots; stogies; periques; granulated, plug cut,
crimp cut, ready rubbed, and other smoking tobacco; snuff
(including moist snuff) or snuff flour; cavendish; plug and
twist tobacco; fine-cut and other chewing tobaccos; shorts;

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refuse scraps, clippings, cuttings, and sweeping of tobacco;
and other kinds and forms of tobacco, prepared in such manner
as to be suitable for chewing or smoking in a pipe or
otherwise, or both for chewing and smoking; but does not
include cigarettes as defined in Section 1 of the Cigarette Tax
Act or tobacco purchased for the manufacture of cigarettes by
cigarette distributors and manufacturers defined in the
Cigarette Tax Act and persons who make, manufacture, or
fabricate cigarettes as a part of a Correctional Industries
program for sale to residents incarcerated in penal
institutions or resident patients of a State operated mental
health facility.
Beginning on July 1, 2019, "tobacco products" also includes
electronic cigarettes.
"Wholesale price" means the established list price for
which a manufacturer sells tobacco products to a distributor,
before the allowance of any discount, trade allowance, rebate,
or other reduction. In the absence of such an established list
price, the manufacturer's invoice price at which the
manufacturer sells the tobacco product to unaffiliated
distributors, before any discounts, trade allowances, rebates,
or other reductions, shall be presumed to be the wholesale
price.
"Wholesaler" means any person, wherever resident or
located, engaged in the business of selling tobacco products to
others for the purpose of resale. "Wholesaler", when used in

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this Act, does not include a person licensed as a distributor
under Section 10-20 of this Act unless expressly stated in this
Act.
(Source: P.A. 101-31, eff. 6-28-19; 101-593, eff. 12-4-19.)
Section 10. The Civic Center Code is amended by changing
Section 245-12 as follows:
(70 ILCS 200/245-12)
Sec. 245-12. Use and occupation taxes.
(a) The Authority may adopt a resolution that authorizes a
referendum on the question of whether the Authority shall be
authorized to impose a retailers' occupation tax, a service
occupation tax, and a use tax in one-quarter percent increments
at a rate not to exceed 1%. The Authority shall certify the
question to the proper election authorities who shall submit
the question to the voters of the metropolitan area at the next
regularly scheduled election in accordance with the general
election law. The question shall be in substantially the
following form:
"Shall the Salem Civic Center Authority be authorized to
impose a retailers' occupation tax, a service occupation
tax, and a use tax at the rate of (rate) for the sole
purpose of obtaining funds for the support, construction,
maintenance, or financing of a facility of the Authority?"
Votes shall be recorded as "yes" or "no".

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If a majority of all votes cast on the proposition are in
favor of the proposition, the Authority is authorized to impose
the tax.
(b) The Authority shall impose the retailers' occupation
tax upon all persons engaged in the business of selling
tangible personal property at retail in the metropolitan area,
at the rate approved by referendum, on the gross receipts from
the sales made in the course of such business within the
metropolitan area. Beginning December 1, 2019 and through
December 31, 2020, this tax is not imposed on sales of aviation
fuel unless the tax revenue is expended for airport-related
purposes. If the Authority does not have an airport-related
purpose to which it dedicates aviation fuel tax revenue, then
aviation fuel is excluded from the tax. The Authority must
comply with the certification requirements for airport-related
purposes under Section 2-22 of the Retailers' Occupation Tax
Act. For purposes of this Section, "airport-related purposes"
has the meaning ascribed in Section 6z-20.2 of the State
Finance Act. Beginning January 1, 2021, this tax is not imposed
on sales of aviation fuel for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the Authority.
The tax imposed under this Section and all civil penalties
that may be assessed as an incident thereof shall be collected
and enforced by the Department of Revenue. The Department has
full power to administer and enforce this Section; to collect

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all taxes and penalties so collected in the manner provided in
this Section; and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
hereunder. In the administration of, and compliance with, this
Section, the Department and persons who are subject to this
Section shall (i) have the same rights, remedies, privileges,
immunities, powers and duties, (ii) be subject to the same
conditions, restrictions, limitations, penalties, exclusions,
exemptions, and definitions of terms, and (iii) employ the same
modes of procedure as are prescribed in Sections 1, 1a, 1a-1,
1c, 1d, 1e, 1f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in
respect to all provisions therein other than the State rate of
tax), 2-12, 2-15 through 2-70, 2a, 2b, 2c, 3 (except as to the
disposition of taxes and penalties collected and provisions
related to quarter monthly payments, and except that the
retailer's discount is not allowed for taxes paid on aviation
fuel that are subject to the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5, 5a, 5b, 5c, 5d, 5e,
5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 11a, 12,
and 13 of the Retailers' Occupation Tax Act and Section 3-7 of
the Uniform Penalty and Interest Act, as fully as if those
provisions were set forth in this subsection.
Persons subject to any tax imposed under this subsection
may reimburse themselves for their seller's tax liability by
separately stating the tax as an additional charge, which
charge may be stated in combination, in a single amount, with

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State taxes that sellers are required to collect, in accordance
with such bracket schedules as the Department may prescribe.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the tax fund referenced under paragraph (g) of
this Section or the Local Government Aviation Trust Fund, as
appropriate.
If a tax is imposed under this subsection (b), a tax shall
also be imposed at the same rate under subsections (c) and (d)
of this Section.
For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale, by a producer
of coal or other mineral mined in Illinois, is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
Nothing in this Section shall be construed to authorize the
Authority to impose a tax upon the privilege of engaging in any
business which under the Constitution of the United States may

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not be made the subject of taxation by this State.
(c) If a tax has been imposed under subsection (b), a
service occupation tax shall also be imposed at the same rate
upon all persons engaged, in the metropolitan area, in the
business of making sales of service, who, as an incident to
making those sales of service, transfer tangible personal
property within the metropolitan area as an incident to a sale
of service. The tax imposed under this subsection and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the Department of Revenue.
Beginning December 1, 2019 and through December 31, 2020,
this tax is not imposed on sales of aviation fuel unless the
tax revenue is expended for airport-related purposes. If the
Authority does not have an airport-related purpose to which it
dedicates aviation fuel tax revenue, then aviation fuel is
excluded from the tax. The Authority must comply with the
certification requirements for airport-related purposes under
Section 2-22 of the Retailers' Occupation Tax Act. Beginning
January 1, 2021, this tax is not imposed on sales of aviation
fuel for so long as the revenue use requirements of 49 U.S.C.
47107(b) and 49 U.S.C. 47133 are binding on the Authority.
The Department has full power to administer and enforce
this paragraph; to collect all taxes and penalties due
hereunder; to dispose of taxes and penalties so collected in
the manner hereinafter provided; and to determine all rights to
credit memoranda arising on account of the erroneous payment of

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tax or penalty hereunder. In the administration of, and
compliance with this paragraph, the Department and persons who
are subject to this paragraph shall (i) have the same rights,
remedies, privileges, immunities, powers, and duties, (ii) be
subject to the same conditions, restrictions, limitations,
penalties, exclusions, exemptions, and definitions of terms,
and (iii) employ the same modes of procedure as are prescribed
in Sections 2 (except that the reference to State in the
definition of supplier maintaining a place of business in this
State shall mean the metropolitan area), 2a, 2b, 3 through 3-55
(in respect to all provisions therein other than the State rate
of tax), 4 (except that the reference to the State shall be to
the Authority), 5, 7, 8 (except that the jurisdiction to which
the tax shall be a debt to the extent indicated in that Section
8 shall be the Authority), 9 (except as to the disposition of
taxes and penalties collected, and except that the returned
merchandise credit for this tax may not be taken against any
State tax, and except that the retailer's discount is not
allowed for taxes paid on aviation fuel that are subject to the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133), 11, 12 (except the reference therein to Section 2b of
the Retailers' Occupation Tax Act), 13 (except that any
reference to the State shall mean the Authority), 15, 16, 17,
18, 19 and 20 of the Service Occupation Tax Act and Section 3-7
of the Uniform Penalty and Interest Act, as fully as if those
provisions were set forth herein.

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Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
serviceman's tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax that servicemen are
authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the tax fund referenced under paragraph (g) of
this Section or the Local Government Aviation Trust Fund, as
appropriate.
Nothing in this paragraph shall be construed to authorize
the Authority to impose a tax upon the privilege of engaging in
any business which under the Constitution of the United States
may not be made the subject of taxation by the State.
(d) If a tax has been imposed under subsection (b), a use
tax shall also be imposed at the same rate upon the privilege
of using, in the metropolitan area, any item of tangible
personal property that is purchased outside the metropolitan
area at retail from a retailer, and that is titled or

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registered at a location within the metropolitan area with an
agency of this State's government. "Selling price" is defined
as in the Use Tax Act. The tax shall be collected from persons
whose Illinois address for titling or registration purposes is
given as being in the metropolitan area. The tax shall be
collected by the Department of Revenue for the Authority. The
tax must be paid to the State, or an exemption determination
must be obtained from the Department of Revenue, before the
title or certificate of registration for the property may be
issued. The tax or proof of exemption may be transmitted to the
Department by way of the State agency with which, or the State
officer with whom, the tangible personal property must be
titled or registered if the Department and the State agency or
State officer determine that this procedure will expedite the
processing of applications for title or registration.
The Department has full power to administer and enforce
this paragraph; to collect all taxes, penalties and interest
due hereunder; to dispose of taxes, penalties and interest so
collected in the manner hereinafter provided; and to determine
all rights to credit memoranda or refunds arising on account of
the erroneous payment of tax, penalty or interest hereunder. In
the administration of, and compliance with, this subsection,
the Department and persons who are subject to this paragraph
shall (i) have the same rights, remedies, privileges,
immunities, powers, and duties, (ii) be subject to the same
conditions, restrictions, limitations, penalties, exclusions,

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exemptions, and definitions of terms, and (iii) employ the same
modes of procedure as are prescribed in Sections 2 (except the
definition of "retailer maintaining a place of business in this
State"), 3, 3-5, 3-10, 3-45, 3-55, 3-65, 3-70, 3-85, 3a, 4, 6,
7, 8 (except that the jurisdiction to which the tax shall be a
debt to the extent indicated in that Section 8 shall be the
Authority), 9 (except provisions relating to quarter monthly
payments), 10, 11, 12, 12a, 12b, 13, 14, 15, 19, 20, 21, and 22
of the Use Tax Act and Section 3-7 of the Uniform Penalty and
Interest Act, that are not inconsistent with this paragraph, as
fully as if those provisions were set forth herein.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the tax fund referenced under paragraph (g) of
this Section.
(e) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under paragraphs (b), (c), or (d)
of this Section and no additional registration shall be
required. A certificate issued under the Use Tax Act or the

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Service Use Tax Act shall be applicable with regard to any tax
imposed under paragraph (c) of this Section.
(f) The results of any election authorizing a proposition
to impose a tax under this Section or effecting a change in the
rate of tax shall be certified by the proper election
authorities and filed with the Illinois Department on or before
the first day of April. In addition, an ordinance imposing,
discontinuing, or effecting a change in the rate of tax under
this Section shall be adopted and a certified copy thereof
filed with the Department on or before the first day of April.
After proper receipt of such certifications, the Department
shall proceed to administer and enforce this Section as of the
first day of July next following such adoption and filing.
(g) Except as otherwise provided, the Department of Revenue
shall, upon collecting any taxes and penalties as provided in
this Section, pay the taxes and penalties over to the State
Treasurer as trustee for the Authority. The taxes and penalties
shall be held in a trust fund outside the State Treasury. Taxes
and penalties collected on aviation fuel sold on or after
December 1, 2019 and through December 31, 2020, shall be
immediately paid over by the Department to the State Treasurer,
ex officio, as trustee, for deposit into the Local Government
Aviation Trust Fund. The Department shall only pay moneys into
the Local Government Aviation Trust Fund under this Section for
so long as the revenue use requirements of 49 U.S.C. 47107(b)
and 49 U.S.C. 47133 are binding on the District. On or before

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the 25th day of each calendar month, the Department of Revenue
shall prepare and certify to the Comptroller of the State of
Illinois the amount to be paid to the Authority, which shall be
the balance in the fund, less any amount determined by the
Department to be necessary for the payment of refunds and not
including taxes and penalties collected on aviation fuel sold
on or after December 1, 2019. Within 10 days after receipt by
the Comptroller of the certification of the amount to be paid
to the Authority, the Comptroller shall cause an order to be
drawn for payment for the amount in accordance with the
directions contained in the certification. Amounts received
from the tax imposed under this Section shall be used only for
the support, construction, maintenance, or financing of a
facility of the Authority.
(h) When certifying the amount of a monthly disbursement to
the Authority under this Section, the Department shall increase
or decrease the amounts by an amount necessary to offset any
miscalculation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a miscalculation is discovered.
(i) This Section may be cited as the Salem Civic Center Use
and Occupation Tax Law.
(j) Notwithstanding any other provision of law, no tax may
be imposed under this Section on the sale or use of cannabis,
as defined in Section 1-10 of the Cannabis Regulation and Tax
Act.

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(Source: P.A. 101-10, eff. 6-5-19; 101-604, eff. 12-13-19.)
Section 15. The Flood Prevention District Act is amended by
changing Section 25 as follows:
(70 ILCS 750/25)
Sec. 25. Flood prevention retailers' and service
occupation taxes.
(a) If the Board of Commissioners of a flood prevention
district determines that an emergency situation exists
regarding levee repair or flood prevention, and upon an
ordinance confirming the determination adopted by the
affirmative vote of a majority of the members of the county
board of the county in which the district is situated, the
county may impose a flood prevention retailers' occupation tax
upon all persons engaged in the business of selling tangible
personal property at retail within the territory of the
district to provide revenue to pay the costs of providing
emergency levee repair and flood prevention and to secure the
payment of bonds, notes, and other evidences of indebtedness
issued under this Act for a period not to exceed 25 years or as
required to repay the bonds, notes, and other evidences of
indebtedness issued under this Act. The tax rate shall be 0.25%
of the gross receipts from all taxable sales made in the course
of that business. Beginning December 1, 2019 and through
December 31, 2020, this tax is not imposed on sales of aviation

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fuel unless the tax revenue is expended for airport-related
purposes. If the District does not have an airport-related
purpose to which it dedicates aviation fuel tax revenue, then
aviation fuel is excluded from the tax. The County must comply
with the certification requirements for airport-related
purposes under Section 2-22 of the Retailers' Occupation Tax
Act. The tax imposed under this Section and all civil penalties
that may be assessed as an incident thereof shall be collected
and enforced by the State Department of Revenue. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder.
For purposes of this Act, "airport-related purposes" has
the meaning ascribed in Section 6z-20.2 of the State Finance
Act. Beginning January 1, 2021, this tax is not imposed on
sales of aviation fuel for so long as the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the District.
In the administration of and compliance with this
subsection, the Department and persons who are subject to this
subsection (i) have the same rights, remedies, privileges,
immunities, powers, and duties, (ii) are subject to the same
conditions, restrictions, limitations, penalties, and
definitions of terms, and (iii) shall employ the same modes of

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procedure as are set forth in Sections 1 through 1o, 2 through
2-70 (in respect to all provisions contained in those Sections
other than the State rate of tax), 2a through 2h, 3 (except as
to the disposition of taxes and penalties collected, and except
that the retailer's discount is not allowed for taxes paid on
aviation fuel that are subject to the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5, 5a, 5b, 5c,
5d, 5e, 5f, 5g, 5h, 5i, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9, 10, 11,
11a, 12, and 13 of the Retailers' Occupation Tax Act and all
provisions of the Uniform Penalty and Interest Act as if those
provisions were set forth in this subsection.
Persons subject to any tax imposed under this Section may
reimburse themselves for their seller's tax liability
hereunder by separately stating the tax as an additional
charge, which charge may be stated in combination in a single
amount with State taxes that sellers are required to collect
under the Use Tax Act, under any bracket schedules the
Department may prescribe.
If a tax is imposed under this subsection (a), a tax shall
also be imposed under subsection (b) of this Section.
(b) If a tax has been imposed under subsection (a), a flood
prevention service occupation tax shall also be imposed upon
all persons engaged within the territory of the district in the
business of making sales of service, who, as an incident to
making the sales of service, transfer tangible personal
property, either in the form of tangible personal property or

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in the form of real estate as an incident to a sale of service
to provide revenue to pay the costs of providing emergency
levee repair and flood prevention and to secure the payment of
bonds, notes, and other evidences of indebtedness issued under
this Act for a period not to exceed 25 years or as required to
repay the bonds, notes, and other evidences of indebtedness.
The tax rate shall be 0.25% of the selling price of all
tangible personal property transferred. Beginning December 1,
2019 and through December 31, 2020, this tax is not imposed on
sales of aviation fuel unless the tax revenue is expended for
airport-related purposes. If the District does not have an
airport-related purpose to which it dedicates aviation fuel tax
revenue, then aviation fuel is excluded from the tax. The
County must comply with the certification requirements for
airport-related purposes under Section 2-22 of the Retailers'
Occupation Tax Act. For purposes of this Act, "airport-related
purposes" has the meaning ascribed in Section 6z-20.2 of the
State Finance Act. Beginning January 1, 2021, this tax is not
imposed on sales of aviation fuel for so long as the revenue
use requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
binding on the District.
The tax imposed under this subsection and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
subsection; to collect all taxes and penalties due hereunder;

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to dispose of taxes and penalties collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder.
In the administration of and compliance with this
subsection, the Department and persons who are subject to this
subsection shall (i) have the same rights, remedies,
privileges, immunities, powers, and duties, (ii) be subject to
the same conditions, restrictions, limitations, penalties, and
definitions of terms, and (iii) employ the same modes of
procedure as are set forth in Sections 2 (except that the
reference to State in the definition of supplier maintaining a
place of business in this State means the district), 2a through
2d, 3 through 3-50 (in respect to all provisions contained in
those Sections other than the State rate of tax), 4 (except
that the reference to the State shall be to the district), 5,
7, 8 (except that the jurisdiction to which the tax is a debt
to the extent indicated in that Section 8 is the district), 9
(except as to the disposition of taxes and penalties collected,
and except that the retailer's discount is not allowed for
taxes paid on aviation fuel that are subject to the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 10,
11, 12 (except the reference therein to Section 2b of the
Retailers' Occupation Tax Act), 13 (except that any reference
to the State means the district), Section 15, 16, 17, 18, 19,
and 20 of the Service Occupation Tax Act and all provisions of

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the Uniform Penalty and Interest Act, as fully as if those
provisions were set forth herein.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the
tax as an additional charge, that charge may be stated in
combination in a single amount with State tax that servicemen
are authorized to collect under the Service Use Tax Act, under
any bracket schedules the Department may prescribe.
(c) The taxes imposed in subsections (a) and (b) may not be
imposed on personal property titled or registered with an
agency of the State or on personal property taxed at the 1%
rate under the Retailers' Occupation Tax Act and the Service
Occupation Tax Act.
(d) Nothing in this Section shall be construed to authorize
the district to impose a tax upon the privilege of engaging in
any business that under the Constitution of the United States
may not be made the subject of taxation by the State.
(e) The certificate of registration that is issued by the
Department to a retailer under the Retailers' Occupation Tax
Act or a serviceman under the Service Occupation Tax Act
permits the retailer or serviceman to engage in a business that
is taxable without registering separately with the Department
under an ordinance or resolution under this Section.
(f) Except as otherwise provided, the Department shall
immediately pay over to the State Treasurer, ex officio, as

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trustee, all taxes and penalties collected under this Section
to be deposited into the Flood Prevention Occupation Tax Fund,
which shall be an unappropriated trust fund held outside the
State treasury. Taxes and penalties collected on aviation fuel
sold on or after December 1, 2019 and through December 31,
2020, shall be immediately paid over by the Department to the
State Treasurer, ex officio, as trustee, for deposit into the
Local Government Aviation Trust Fund. The Department shall only
pay moneys into the Local Government Aviation Trust Fund under
this Act for so long as the revenue use requirements of 49
U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
District.
On or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to the counties from which
retailers or servicemen have paid taxes or penalties to the
Department during the second preceding calendar month. The
amount to be paid to each county is equal to the amount (not
including credit memoranda and not including taxes and
penalties collected on aviation fuel sold on or after December
1, 2019 and through December 31, 2020) collected from the
county under this Section during the second preceding calendar
month by the Department, (i) less 2% of that amount (except the
amount collected on aviation fuel sold on or after December 1,
2019 and through December 31, 2020), which shall be deposited
into the Tax Compliance and Administration Fund and shall be

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used by the Department in administering and enforcing the
provisions of this Section on behalf of the county, (ii) plus
an amount that the Department determines is necessary to offset
any amounts that were erroneously paid to a different taxing
body; (iii) less an amount equal to the amount of refunds made
during the second preceding calendar month by the Department on
behalf of the county; and (iv) less any amount that the
Department determines is necessary to offset any amounts that
were payable to a different taxing body but were erroneously
paid to the county. When certifying the amount of a monthly
disbursement to a county under this Section, the Department
shall increase or decrease the amounts by an amount necessary
to offset any miscalculation of previous disbursements within
the previous 6 months from the time a miscalculation is
discovered.
Within 10 days after receipt by the Comptroller from the
Department of the disbursement certification to the counties
provided for in this Section, the Comptroller shall cause the
orders to be drawn for the respective amounts in accordance
with directions contained in the certification.
If the Department determines that a refund should be made
under this Section to a claimant instead of issuing a credit
memorandum, then the Department shall notify the Comptroller,
who shall cause the order to be drawn for the amount specified
and to the person named in the notification from the
Department. The refund shall be paid by the Treasurer out of

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the Flood Prevention Occupation Tax Fund or the Local
Government Aviation Trust Fund, as appropriate.
(g) If a county imposes a tax under this Section, then the
county board shall, by ordinance, discontinue the tax upon the
payment of all indebtedness of the flood prevention district.
The tax shall not be discontinued until all indebtedness of the
District has been paid.
(h) Any ordinance imposing the tax under this Section, or
any ordinance that discontinues the tax, must be certified by
the county clerk and filed with the Illinois Department of
Revenue either (i) on or before the first day of April,
whereupon the Department shall proceed to administer and
enforce the tax or change in the rate as of the first day of
July next following the filing; or (ii) on or before the first
day of October, whereupon the Department shall proceed to
administer and enforce the tax or change in the rate as of the
first day of January next following the filing.
(j) County Flood Prevention Occupation Tax Fund. All
proceeds received by a county from a tax distribution under
this Section must be maintained in a special fund known as the
[name of county] flood prevention occupation tax fund. The
county shall, at the direction of the flood prevention
district, use moneys in the fund to pay the costs of providing
emergency levee repair and flood prevention and to pay bonds,
notes, and other evidences of indebtedness issued under this
Act.

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(k) This Section may be cited as the Flood Prevention
Occupation Tax Law.
(l) Notwithstanding any other provision of law, no tax may
be imposed under this Section on the sale or use of cannabis,
as defined in Section 1-10 of the Cannabis Regulation and Tax
Act.
(Source: P.A. 100-1171, eff. 1-4-19; 101-10, eff. 6-5-19;
101-604, eff. 12-13-19.)
Section 20. The Metro-East Park and Recreation District Act
is amended by changing Section 30 as follows:
(70 ILCS 1605/30)
Sec. 30. Taxes.
(a) The board shall impose a tax upon all persons engaged
in the business of selling tangible personal property, other
than personal property titled or registered with an agency of
this State's government, at retail in the District on the gross
receipts from the sales made in the course of business. This
tax shall be imposed only at the rate of one-tenth of one per
cent.
This additional tax may not be imposed on tangible personal
property taxed at the 1% rate under the Retailers' Occupation
Tax Act. Beginning December 1, 2019 and through December 31,
2020, this tax is not imposed on sales of aviation fuel unless
the tax revenue is expended for airport-related purposes. If

10100HB0123sam002 - 29 - LRB101 02887 CPF 72296 a
the District does not have an airport-related purpose to which
it dedicates aviation fuel tax revenue, then aviation fuel
shall be excluded from tax. The board must comply with the
certification requirements for airport-related purposes under
Section 2-22 of the Retailers' Occupation Tax Act. For purposes
of this Act, "airport-related purposes" has the meaning
ascribed in Section 6z-20.2 of the State Finance Act. Beginning
January 1, 2021, this tax is not imposed on sales of aviation
fuel for so long as the revenue use requirements of 49 U.S.C.
47107(b) and 49 U.S.C. 47133 are binding on the District. The
tax imposed by the Board under this Section and all civil
penalties that may be assessed as an incident of the tax shall
be collected and enforced by the Department of Revenue. The
certificate of registration that is issued by the Department to
a retailer under the Retailers' Occupation Tax Act shall permit
the retailer to engage in a business that is taxable without
registering separately with the Department under an ordinance
or resolution under this Section. The Department has full power
to administer and enforce this Section, to collect all taxes
and penalties due under this Section, to dispose of taxes and
penalties so collected in the manner provided in this Section,
and to determine all rights to credit memoranda arising on
account of the erroneous payment of a tax or penalty under this
Section. In the administration of and compliance with this
Section, the Department and persons who are subject to this
Section shall (i) have the same rights, remedies, privileges,

10100HB0123sam002 - 30 - LRB101 02887 CPF 72296 a
immunities, powers, and duties, (ii) be subject to the same
conditions, restrictions, limitations, penalties, and
definitions of terms, and (iii) employ the same modes of
procedure as are prescribed in Sections 1, 1a, 1a-1, 1d, 1e,
1f, 1i, 1j, 1k, 1m, 1n, 2, 2-5, 2-5.5, 2-10 (in respect to all
provisions contained in those Sections other than the State
rate of tax), 2-12, 2-15 through 2-70, 2a, 2b, 2c, 3 (except
provisions relating to transaction returns and quarter monthly
payments, and except that the retailer's discount is not
allowed for taxes paid on aviation fuel that are subject to the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6,
6a, 6b, 6c, 6d, 7, 8, 9, 10, 11, 11a, 12, and 13 of the
Retailers' Occupation Tax Act and the Uniform Penalty and
Interest Act as if those provisions were set forth in this
Section.
Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
sellers' tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax which sellers are required
to collect under the Use Tax Act, pursuant to such bracketed
schedules as the Department may prescribe.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State

10100HB0123sam002 - 31 - LRB101 02887 CPF 72296 a
Comptroller, who shall cause the order to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the State Metro-East Park and Recreation
District Fund or the Local Government Aviation Trust Fund, as
appropriate.
(b) If a tax has been imposed under subsection (a), a
service occupation tax shall also be imposed at the same rate
upon all persons engaged, in the District, in the business of
making sales of service, who, as an incident to making those
sales of service, transfer tangible personal property within
the District as an incident to a sale of service. This tax may
not be imposed on tangible personal property taxed at the 1%
rate under the Service Occupation Tax Act. Beginning December
1, 2019 and through December 31, 2020, this tax may not be
imposed on sales of aviation fuel unless the tax revenue is
expended for airport-related purposes. If the District does not
have an airport-related purpose to which it dedicates aviation
fuel tax revenue, then aviation fuel shall be excluded from
tax. The board must comply with the certification requirements
for airport-related purposes under Section 2-22 of the
Retailers' Occupation Tax Act. For purposes of this Act,
"airport-related purposes" has the meaning ascribed in Section
6z-20.2 of the State Finance Act. Beginning January 1, 2021,
this tax is not imposed on sales of aviation fuel for so long
as the revenue use requirements of 49 U.S.C. 47107(b) and 49

10100HB0123sam002 - 32 - LRB101 02887 CPF 72296 a
U.S.C. 47133 are binding on the District. The tax imposed under
this subsection and all civil penalties that may be assessed as
an incident thereof shall be collected and enforced by the
Department of Revenue. The Department has full power to
administer and enforce this subsection; to collect all taxes
and penalties due hereunder; to dispose of taxes and penalties
so collected in the manner hereinafter provided; and to
determine all rights to credit memoranda arising on account of
the erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with this subsection, the
Department and persons who are subject to this paragraph shall
(i) have the same rights, remedies, privileges, immunities,
powers, and duties, (ii) be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms, and (iii) employ the same modes of
procedure as are prescribed in Sections 2 (except that the
reference to State in the definition of supplier maintaining a
place of business in this State shall mean the District), 2a,
2b, 2c, 3 through 3-50 (in respect to all provisions therein
other than the State rate of tax), 4 (except that the reference
to the State shall be to the District), 5, 7, 8 (except that
the jurisdiction to which the tax shall be a debt to the extent
indicated in that Section 8 shall be the District), 9 (except
as to the disposition of taxes and penalties collected, and
except that the retailer's discount is not allowed for taxes
paid on aviation fuel that are subject to the revenue use

10100HB0123sam002 - 33 - LRB101 02887 CPF 72296 a
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 10,
11, 12 (except the reference therein to Section 2b of the
Retailers' Occupation Tax Act), 13 (except that any reference
to the State shall mean the District), Sections 15, 16, 17, 18,
19 and 20 of the Service Occupation Tax Act and the Uniform
Penalty and Interest Act, as fully as if those provisions were
set forth herein.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
serviceman's tax liability by separately stating the tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax that servicemen are
authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the State Metro-East Park and Recreation
District Fund or the Local Government Aviation Trust Fund, as
appropriate.
Nothing in this subsection shall be construed to authorize
the board to impose a tax upon the privilege of engaging in any

10100HB0123sam002 - 34 - LRB101 02887 CPF 72296 a
business which under the Constitution of the United States may
not be made the subject of taxation by the State.
(c) Except as otherwise provided in this paragraph, the
Department shall immediately pay over to the State Treasurer,
ex officio, as trustee, all taxes and penalties collected under
this Section to be deposited into the State Metro-East Park and
Recreation District Fund, which shall be an unappropriated
trust fund held outside of the State treasury. Taxes and
penalties collected on aviation fuel sold on or after December
1, 2019 and through December 31, 2020, shall be immediately
paid over by the Department to the State Treasurer, ex officio,
as trustee, for deposit into the Local Government Aviation
Trust Fund. The Department shall only pay moneys into the Local
Government Aviation Trust Fund under this Act for so long as
the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the District.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district. The Department shall make this
certification only if the Metro East Park and Recreation
District imposes a tax on real property as provided in the

10100HB0123sam002 - 35 - LRB101 02887 CPF 72296 a
definition of "local sales taxes" under the Innovation
Development and Economy Act.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money pursuant to Section 35 of
this Act to the District from which retailers have paid taxes
or penalties to the Department during the second preceding
calendar month. The amount to be paid to the District shall be
the amount (not including credit memoranda and not including
taxes and penalties collected on aviation fuel sold on or after
December 1, 2019 and through December 31, 2020) collected under
this Section during the second preceding calendar month by the
Department plus an amount the Department determines is
necessary to offset any amounts that were erroneously paid to a
different taxing body, and not including (i) an amount equal to
the amount of refunds made during the second preceding calendar
month by the Department on behalf of the District, (ii) any
amount that the Department determines is necessary to offset
any amounts that were payable to a different taxing body but
were erroneously paid to the District, (iii) any amounts that
are transferred to the STAR Bonds Revenue Fund, and (iv) 1.5%
of the remainder, which the Department shall transfer into the
Tax Compliance and Administration Fund. The Department, at the
time of each monthly disbursement to the District, shall
prepare and certify to the State Comptroller the amount to be

10100HB0123sam002 - 36 - LRB101 02887 CPF 72296 a
transferred into the Tax Compliance and Administration Fund
under this subsection. Within 10 days after receipt by the
Comptroller of the disbursement certification to the District
and the Tax Compliance and Administration Fund provided for in
this Section to be given to the Comptroller by the Department,
the Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with directions contained in
the certification.
(d) For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale by a producer
of coal or another mineral mined in Illinois is a sale at
retail at the place where the coal or other mineral mined in
Illinois is extracted from the earth. This paragraph does not
apply to coal or another mineral when it is delivered or
shipped by the seller to the purchaser at a point outside
Illinois so that the sale is exempt under the United States
Constitution as a sale in interstate or foreign commerce.
(e) Nothing in this Section shall be construed to authorize
the board to impose a tax upon the privilege of engaging in any
business that under the Constitution of the United States may
not be made the subject of taxation by this State.
(f) An ordinance imposing a tax under this Section or an
ordinance extending the imposition of a tax to an additional
county or counties shall be certified by the board and filed
with the Department of Revenue either (i) on or before the
first day of April, whereupon the Department shall proceed to

10100HB0123sam002 - 37 - LRB101 02887 CPF 72296 a
administer and enforce the tax as of the first day of July next
following the filing; or (ii) on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce the tax as of the first day of January next
following the filing.
(g) When certifying the amount of a monthly disbursement to
the District under this Section, the Department shall increase
or decrease the amounts by an amount necessary to offset any
misallocation of previous disbursements. The offset amount
shall be the amount erroneously disbursed within the previous 6
months from the time a misallocation is discovered.
(h) Notwithstanding any other provision of law, no tax may
be imposed under this Section on the sale or use of cannabis,
as defined in Section 1-10 of the Cannabis Regulation and Tax
Act.
(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
7-12-19; 101-604, eff. 12-13-19.)
Section 25. The Local Mass Transit District Act is amended
by changing Section 5.01 as follows:
(70 ILCS 3610/5.01) (from Ch. 111 2/3, par. 355.01)
Sec. 5.01. Metro East Mass Transit District; use and
occupation taxes.
(a) The Board of Trustees of any Metro East Mass Transit

10100HB0123sam002 - 38 - LRB101 02887 CPF 72296 a
District may, by ordinance adopted with the concurrence of
two-thirds of the then trustees, impose throughout the District
any or all of the taxes and fees provided in this Section.
Except as otherwise provided, all taxes and fees imposed under
this Section shall be used only for public mass transportation
systems, and the amount used to provide mass transit service to
unserved areas of the District shall be in the same proportion
to the total proceeds as the number of persons residing in the
unserved areas is to the total population of the District.
Except as otherwise provided in this Act, taxes imposed under
this Section and civil penalties imposed incident thereto shall
be collected and enforced by the State Department of Revenue.
The Department shall have the power to administer and enforce
the taxes and to determine all rights for refunds for erroneous
payments of the taxes.
(b) The Board may impose a Metro East Mass Transit District
Retailers' Occupation Tax upon all persons engaged in the
business of selling tangible personal property at retail in the
district at a rate of 1/4 of 1%, or as authorized under
subsection (d-5) of this Section, of the gross receipts from
the sales made in the course of such business within the
district, except that the rate of tax imposed under this
Section on sales of aviation fuel on or after December 1, 2019
shall be 0.25% in Madison County unless the Metro-East Mass
Transit District in Madison County has an "airport-related
purpose" and any additional amount authorized under subsection

10100HB0123sam002 - 39 - LRB101 02887 CPF 72296 a
(d-5) is expended for airport-related purposes. If there is no
airport-related purpose to which aviation fuel tax revenue is
dedicated, then aviation fuel is excluded from any additional
amount authorized under subsection (d-5). The rate in St. Clair
County shall be 0.25% unless the Metro-East Mass Transit
District in St. Clair County has an "airport-related purpose"
and the additional 0.50% of the 0.75% tax on aviation fuel
imposed in that County is expended for airport-related
purposes. If there is no airport-related purpose to which
aviation fuel tax revenue is dedicated, then aviation fuel is
excluded from the additional 0.50% of the 0.75% tax.
The Board must comply with the certification requirements
for airport-related purposes under Section 2-22 of the
Retailers' Occupation Tax Act. For purposes of this Section,
"airport-related purposes" has the meaning ascribed in Section
6z-20.2 of the State Finance Act. This exclusion for aviation
fuel only applies for so long as the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
District.
The tax imposed under this Section and all civil penalties
that may be assessed as an incident thereof shall be collected
and enforced by the State Department of Revenue. The Department
shall have full power to administer and enforce this Section;
to collect all taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or

10100HB0123sam002 - 40 - LRB101 02887 CPF 72296 a
penalty hereunder. In the administration of, and compliance
with, this Section, the Department and persons who are subject
to this Section shall have the same rights, remedies,
privileges, immunities, powers and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
exclusions, exemptions and definitions of terms and employ the
same modes of procedure, as are prescribed in Sections 1, 1a,
1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all
provisions therein other than the State rate of tax), 2c, 3
(except as to the disposition of taxes and penalties collected,
and except that the retailer's discount is not allowed for
taxes paid on aviation fuel that are subject to the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5,
5a, 5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d,
7, 8, 9, 10, 11, 12, 13, and 14 of the Retailers' Occupation
Tax Act and Section 3-7 of the Uniform Penalty and Interest
Act, as fully as if those provisions were set forth herein.
Persons subject to any tax imposed under the Section may
reimburse themselves for their seller's tax liability
hereunder by separately stating the tax as an additional
charge, which charge may be stated in combination, in a single
amount, with State taxes that sellers are required to collect
under the Use Tax Act, in accordance with such bracket
schedules as the Department may prescribe.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a

10100HB0123sam002 - 41 - LRB101 02887 CPF 72296 a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metro East Mass Transit District tax fund
established under paragraph (h) of this Section or the Local
Government Aviation Trust Fund, as appropriate.
If a tax is imposed under this subsection (b), a tax shall
also be imposed under subsections (c) and (d) of this Section.
For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale, by a producer
of coal or other mineral mined in Illinois, is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
No tax shall be imposed or collected under this subsection
on the sale of a motor vehicle in this State to a resident of
another state if that motor vehicle will not be titled in this
State.
Nothing in this Section shall be construed to authorize the
Metro East Mass Transit District to impose a tax upon the
privilege of engaging in any business which under the
Constitution of the United States may not be made the subject

10100HB0123sam002 - 42 - LRB101 02887 CPF 72296 a
of taxation by this State.
(c) If a tax has been imposed under subsection (b), a Metro
East Mass Transit District Service Occupation Tax shall also be
imposed upon all persons engaged, in the district, in the
business of making sales of service, who, as an incident to
making those sales of service, transfer tangible personal
property within the District, either in the form of tangible
personal property or in the form of real estate as an incident
to a sale of service. The tax rate shall be 1/4%, or as
authorized under subsection (d-5) of this Section, of the
selling price of tangible personal property so transferred
within the district, except that the rate of tax imposed in
these Counties under this Section on sales of aviation fuel on
or after December 1, 2019 shall be 0.25% in Madison County
unless the Metro-East Mass Transit District in Madison County
has an "airport-related purpose" and any additional amount
authorized under subsection (d-5) is expended for
airport-related purposes. If there is no airport-related
purpose to which aviation fuel tax revenue is dedicated, then
aviation fuel is excluded from any additional amount authorized
under subsection (d-5). The rate in St. Clair County shall be
0.25% unless the Metro-East Mass Transit District in St. Clair
County has an "airport-related purpose" and the additional
0.50% of the 0.75% tax on aviation fuel is expended for
airport-related purposes. If there is no airport-related
purpose to which aviation fuel tax revenue is dedicated, then

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aviation fuel is excluded from the additional 0.50% of the
0.75% tax.
The Board must comply with the certification requirements
for airport-related purposes under Section 2-22 of the
Retailers' Occupation Tax Act. For purposes of this Section,
"airport-related purposes" has the meaning ascribed in Section
6z-20.2 of the State Finance Act. This exclusion for aviation
fuel only applies for so long as the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
District.
The tax imposed under this paragraph and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
paragraph; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder. In the administration of, and compliance
with this paragraph, the Department and persons who are subject
to this paragraph shall have the same rights, remedies,
privileges, immunities, powers and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
exclusions, exemptions and definitions of terms and employ the
same modes of procedure as are prescribed in Sections 1a-1, 2
(except that the reference to State in the definition of

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supplier maintaining a place of business in this State shall
mean the Authority), 2a, 3 through 3-50 (in respect to all
provisions therein other than the State rate of tax), 4 (except
that the reference to the State shall be to the Authority), 5,
7, 8 (except that the jurisdiction to which the tax shall be a
debt to the extent indicated in that Section 8 shall be the
District), 9 (except as to the disposition of taxes and
penalties collected, and except that the returned merchandise
credit for this tax may not be taken against any State tax, and
except that the retailer's discount is not allowed for taxes
paid on aviation fuel that are subject to the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 10,
11, 12 (except the reference therein to Section 2b of the
Retailers' Occupation Tax Act), 13 (except that any reference
to the State shall mean the District), the first paragraph of
Section 15, 16, 17, 18, 19 and 20 of the Service Occupation Tax
Act and Section 3-7 of the Uniform Penalty and Interest Act, as
fully as if those provisions were set forth herein.
Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that servicemen
are authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.

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Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metro East Mass Transit District tax fund
established under paragraph (h) of this Section or the Local
Government Aviation Trust Fund, as appropriate.
Nothing in this paragraph shall be construed to authorize
the District to impose a tax upon the privilege of engaging in
any business which under the Constitution of the United States
may not be made the subject of taxation by the State.
(d) If a tax has been imposed under subsection (b), a Metro
East Mass Transit District Use Tax shall also be imposed upon
the privilege of using, in the district, any item of tangible
personal property that is purchased outside the district at
retail from a retailer, and that is titled or registered with
an agency of this State's government, at a rate of 1/4%, or as
authorized under subsection (d-5) of this Section, of the
selling price of the tangible personal property within the
District, as "selling price" is defined in the Use Tax Act. The
tax shall be collected from persons whose Illinois address for
titling or registration purposes is given as being in the
District. The tax shall be collected by the Department of
Revenue for the Metro East Mass Transit District. The tax must

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be paid to the State, or an exemption determination must be
obtained from the Department of Revenue, before the title or
certificate of registration for the property may be issued. The
tax or proof of exemption may be transmitted to the Department
by way of the State agency with which, or the State officer
with whom, the tangible personal property must be titled or
registered if the Department and the State agency or State
officer determine that this procedure will expedite the
processing of applications for title or registration.
The Department shall have full power to administer and
enforce this paragraph; to collect all taxes, penalties and
interest due hereunder; to dispose of taxes, penalties and
interest so collected in the manner hereinafter provided; and
to determine all rights to credit memoranda or refunds arising
on account of the erroneous payment of tax, penalty or interest
hereunder. In the administration of, and compliance with, this
paragraph, the Department and persons who are subject to this
paragraph shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties, exclusions,
exemptions and definitions of terms and employ the same modes
of procedure, as are prescribed in Sections 2 (except the
definition of "retailer maintaining a place of business in this
State"), 3 through 3-80 (except provisions pertaining to the
State rate of tax, and except provisions concerning collection
or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,

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19 (except the portions pertaining to claims by retailers and
except the last paragraph concerning refunds), 20, 21 and 22 of
the Use Tax Act and Section 3-7 of the Uniform Penalty and
Interest Act, that are not inconsistent with this paragraph, as
fully as if those provisions were set forth herein.
Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metro East Mass Transit District tax fund
established under paragraph (h) of this Section.
(d-5) (A) The county board of any county participating in
the Metro East Mass Transit District may authorize, by
ordinance, a referendum on the question of whether the tax
rates for the Metro East Mass Transit District Retailers'
Occupation Tax, the Metro East Mass Transit District Service
Occupation Tax, and the Metro East Mass Transit District Use
Tax for the District should be increased from 0.25% to 0.75%.
Upon adopting the ordinance, the county board shall certify the
proposition to the proper election officials who shall submit
the proposition to the voters of the District at the next
election, in accordance with the general election law.
The proposition shall be in substantially the following
form:

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Shall the tax rates for the Metro East Mass Transit
District Retailers' Occupation Tax, the Metro East Mass
Transit District Service Occupation Tax, and the Metro East
Mass Transit District Use Tax be increased from 0.25% to
0.75%?
(B) Two thousand five hundred electors of any Metro East
Mass Transit District may petition the Chief Judge of the
Circuit Court, or any judge of that Circuit designated by the
Chief Judge, in which that District is located to cause to be
submitted to a vote of the electors the question whether the
tax rates for the Metro East Mass Transit District Retailers'
Occupation Tax, the Metro East Mass Transit District Service
Occupation Tax, and the Metro East Mass Transit District Use
Tax for the District should be increased from 0.25% to 0.75%.
Upon submission of such petition the court shall set a date
not less than 10 nor more than 30 days thereafter for a hearing
on the sufficiency thereof. Notice of the filing of such
petition and of such date shall be given in writing to the
District and the County Clerk at least 7 days before the date
of such hearing.
If such petition is found sufficient, the court shall enter
an order to submit that proposition at the next election, in
accordance with general election law.
The form of the petition shall be in substantially the
following form: To the Circuit Court of the County of (name of
county):

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We, the undersigned electors of the (name of transit
district), respectfully petition your honor to submit to a
vote of the electors of (name of transit district) the
following proposition:
Shall the tax rates for the Metro East Mass Transit
District Retailers' Occupation Tax, the Metro East Mass
Transit District Service Occupation Tax, and the Metro East
Mass Transit District Use Tax be increased from 0.25% to
0.75%?
Name Address, with Street and Number.
...................... ........................................
...................... ........................................
(C) The votes shall be recorded as "YES" or "NO". If a
majority of all votes cast on the proposition are for the
increase in the tax rates, the Metro East Mass Transit District
shall begin imposing the increased rates in the District, and
the Department of Revenue shall begin collecting the increased
amounts, as provided under this Section. An ordinance imposing
or discontinuing a tax hereunder or effecting a change in the
rate thereof shall be adopted and a certified copy thereof
filed with the Department on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce this Section as of the first day of January next
following the adoption and filing, or on or before the first
day of April, whereupon the Department shall proceed to
administer and enforce this Section as of the first day of July

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next following the adoption and filing.
(D) If the voters have approved a referendum under this
subsection, before November 1, 1994, to increase the tax rate
under this subsection, the Metro East Mass Transit District
Board of Trustees may adopt by a majority vote an ordinance at
any time before January 1, 1995 that excludes from the rate
increase tangible personal property that is titled or
registered with an agency of this State's government. The
ordinance excluding titled or registered tangible personal
property from the rate increase must be filed with the
Department at least 15 days before its effective date. At any
time after adopting an ordinance excluding from the rate
increase tangible personal property that is titled or
registered with an agency of this State's government, the Metro
East Mass Transit District Board of Trustees may adopt an
ordinance applying the rate increase to that tangible personal
property. The ordinance shall be adopted, and a certified copy
of that ordinance shall be filed with the Department, on or
before October 1, whereupon the Department shall proceed to
administer and enforce the rate increase against tangible
personal property titled or registered with an agency of this
State's government as of the following January 1. After
December 31, 1995, any reimposed rate increase in effect under
this subsection shall no longer apply to tangible personal
property titled or registered with an agency of this State's
government. Beginning January 1, 1996, the Board of Trustees of

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any Metro East Mass Transit District may never reimpose a
previously excluded tax rate increase on tangible personal
property titled or registered with an agency of this State's
government. After July 1, 2004, if the voters have approved a
referendum under this subsection to increase the tax rate under
this subsection, the Metro East Mass Transit District Board of
Trustees may adopt by a majority vote an ordinance that
excludes from the rate increase tangible personal property that
is titled or registered with an agency of this State's
government. The ordinance excluding titled or registered
tangible personal property from the rate increase shall be
adopted, and a certified copy of that ordinance shall be filed
with the Department on or before October 1, whereupon the
Department shall administer and enforce this exclusion from the
rate increase as of the following January 1, or on or before
April 1, whereupon the Department shall administer and enforce
this exclusion from the rate increase as of the following July
1. The Board of Trustees of any Metro East Mass Transit
District may never reimpose a previously excluded tax rate
increase on tangible personal property titled or registered
with an agency of this State's government.
(d-6) If the Board of Trustees of any Metro East Mass
Transit District has imposed a rate increase under subsection
(d-5) and filed an ordinance with the Department of Revenue
excluding titled property from the higher rate, then that Board
may, by ordinance adopted with the concurrence of two-thirds of

10100HB0123sam002 - 52 - LRB101 02887 CPF 72296 a
the then trustees, impose throughout the District a fee. The
fee on the excluded property shall not exceed $20 per retail
transaction or an amount equal to the amount of tax excluded,
whichever is less, on tangible personal property that is titled
or registered with an agency of this State's government.
Beginning July 1, 2004, the fee shall apply only to titled
property that is subject to either the Metro East Mass Transit
District Retailers' Occupation Tax or the Metro East Mass
Transit District Service Occupation Tax. No fee shall be
imposed or collected under this subsection on the sale of a
motor vehicle in this State to a resident of another state if
that motor vehicle will not be titled in this State.
(d-7) Until June 30, 2004, if a fee has been imposed under
subsection (d-6), a fee shall also be imposed upon the
privilege of using, in the district, any item of tangible
personal property that is titled or registered with any agency
of this State's government, in an amount equal to the amount of
the fee imposed under subsection (d-6).
(d-7.1) Beginning July 1, 2004, any fee imposed by the
Board of Trustees of any Metro East Mass Transit District under
subsection (d-6) and all civil penalties that may be assessed
as an incident of the fees shall be collected and enforced by
the State Department of Revenue. Reference to "taxes" in this
Section shall be construed to apply to the administration,
payment, and remittance of all fees under this Section. For
purposes of any fee imposed under subsection (d-6), 4% of the

10100HB0123sam002 - 53 - LRB101 02887 CPF 72296 a
fee, penalty, and interest received by the Department in the
first 12 months that the fee is collected and enforced by the
Department and 2% of the fee, penalty, and interest following
the first 12 months (except the amount collected on aviation
fuel sold on or after December 1, 2019) shall be deposited into
the Tax Compliance and Administration Fund and shall be used by
the Department, subject to appropriation, to cover the costs of
the Department. No retailers' discount shall apply to any fee
imposed under subsection (d-6).
(d-8) No item of titled property shall be subject to both
the higher rate approved by referendum, as authorized under
subsection (d-5), and any fee imposed under subsection (d-6) or
(d-7).
(d-9) (Blank).
(d-10) (Blank).
(e) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under paragraphs (b), (c) or (d) of
this Section and no additional registration shall be required
under the tax. A certificate issued under the Use Tax Act or
the Service Use Tax Act shall be applicable with regard to any
tax imposed under paragraph (c) of this Section.
(f) (Blank).
(g) Any ordinance imposing or discontinuing any tax under

10100HB0123sam002 - 54 - LRB101 02887 CPF 72296 a
this Section shall be adopted and a certified copy thereof
filed with the Department on or before June 1, whereupon the
Department of Revenue shall proceed to administer and enforce
this Section on behalf of the Metro East Mass Transit District
as of September 1 next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of July, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
October next following such adoption and filing. Beginning
January 1, 1993, except as provided in subsection (d-5) of this
Section, an ordinance or resolution imposing or discontinuing
the tax hereunder shall be adopted and a certified copy thereof
filed with the Department on or before the first day of
October, whereupon the Department shall proceed to administer
and enforce this Section as of the first day of January next
following such adoption and filing, or, beginning January 1,
2004, on or before the first day of April, whereupon the
Department shall proceed to administer and enforce this Section
as of the first day of July next following the adoption and
filing.
(h) Except as provided in subsection (d-7.1), the State
Department of Revenue shall, upon collecting any taxes as
provided in this Section, pay the taxes over to the State
Treasurer as trustee for the District. The taxes shall be held

10100HB0123sam002 - 55 - LRB101 02887 CPF 72296 a
in a trust fund outside the State Treasury. If an
airport-related purpose has been certified, taxes and
penalties collected in St. Clair County on aviation fuel sold
on or after December 1, 2019 from the 0.50% of the 0.75% rate
shall be immediately paid over by the Department to the State
Treasurer, ex officio, as trustee, for deposit into the Local
Government Aviation Trust Fund. The Department shall only pay
moneys into the Local Government Aviation Trust Fund under this
Act for so long as the revenue use requirements of 49 U.S.C.
47107(b) and 49 U.S.C. 47133 are binding on the District.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district. The Department shall make this
certification only if the local mass transit district imposes a
tax on real property as provided in the definition of "local
sales taxes" under the Innovation Development and Economy Act.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the State
Department of Revenue shall prepare and certify to the
Comptroller of the State of Illinois the amount to be paid to
the District, which shall be the amount (not including credit

10100HB0123sam002 - 56 - LRB101 02887 CPF 72296 a
memoranda and not including taxes and penalties collected on
aviation fuel sold on or after December 1, 2019 that are
deposited into the Local Government Aviation Trust Fund)
collected under this Section during the second preceding
calendar month by the Department plus an amount the Department
determines is necessary to offset any amounts that were
erroneously paid to a different taxing body, and not including
any amount equal to the amount of refunds made during the
second preceding calendar month by the Department on behalf of
the District, and not including any amount that the Department
determines is necessary to offset any amounts that were payable
to a different taxing body but were erroneously paid to the
District, and less any amounts that are transferred to the STAR
Bonds Revenue Fund, less 1.5% of the remainder, which the
Department shall transfer into the Tax Compliance and
Administration Fund. The Department, at the time of each
monthly disbursement to the District, shall prepare and certify
to the State Comptroller the amount to be transferred into the
Tax Compliance and Administration Fund under this subsection.
Within 10 days after receipt by the Comptroller of the
certification of the amount to be paid to the District and the
Tax Compliance and Administration Fund, the Comptroller shall
cause an order to be drawn for payment for the amount in
accordance with the direction in the certification.
(i) Notwithstanding any other provision of law, no tax may
be imposed under this Section on the sale or use of cannabis,

10100HB0123sam002 - 57 - LRB101 02887 CPF 72296 a
as defined in Section 1-10 of the Cannabis Regulation and Tax
Act.
(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
101-10, eff. 6-5-19; 101-604, eff. 12-13-19.)
Section 30. The Regional Transportation Authority Act is
amended by changing Section 4.03 as follows:
(70 ILCS 3615/4.03) (from Ch. 111 2/3, par. 704.03)
Sec. 4.03. Taxes.
(a) In order to carry out any of the powers or purposes of
the Authority, the Board may by ordinance adopted with the
concurrence of 12 of the then Directors, impose throughout the
metropolitan region any or all of the taxes provided in this
Section. Except as otherwise provided in this Act, taxes
imposed under this Section and civil penalties imposed incident
thereto shall be collected and enforced by the State Department
of Revenue. The Department shall have the power to administer
and enforce the taxes and to determine all rights for refunds
for erroneous payments of the taxes. Nothing in Public Act
95-708 is intended to invalidate any taxes currently imposed by
the Authority. The increased vote requirements to impose a tax
shall only apply to actions taken after January 1, 2008 (the
effective date of Public Act 95-708).
(b) The Board may impose a public transportation tax upon
all persons engaged in the metropolitan region in the business

10100HB0123sam002 - 58 - LRB101 02887 CPF 72296 a
of selling at retail motor fuel for operation of motor vehicles
upon public highways. The tax shall be at a rate not to exceed
5% of the gross receipts from the sales of motor fuel in the
course of the business. As used in this Act, the term "motor
fuel" shall have the same meaning as in the Motor Fuel Tax Law.
The Board may provide for details of the tax. The provisions of
any tax shall conform, as closely as may be practicable, to the
provisions of the Municipal Retailers Occupation Tax Act,
including without limitation, conformity to penalties with
respect to the tax imposed and as to the powers of the State
Department of Revenue to promulgate and enforce rules and
regulations relating to the administration and enforcement of
the provisions of the tax imposed, except that reference in the
Act to any municipality shall refer to the Authority and the
tax shall be imposed only with regard to receipts from sales of
motor fuel in the metropolitan region, at rates as limited by
this Section.
(c) In connection with the tax imposed under paragraph (b)
of this Section, the Board may impose a tax upon the privilege
of using in the metropolitan region motor fuel for the
operation of a motor vehicle upon public highways, the tax to
be at a rate not in excess of the rate of tax imposed under
paragraph (b) of this Section. The Board may provide for
details of the tax.
(d) The Board may impose a motor vehicle parking tax upon
the privilege of parking motor vehicles at off-street parking

10100HB0123sam002 - 59 - LRB101 02887 CPF 72296 a
facilities in the metropolitan region at which a fee is
charged, and may provide for reasonable classifications in and
exemptions to the tax, for administration and enforcement
thereof and for civil penalties and refunds thereunder and may
provide criminal penalties thereunder, the maximum penalties
not to exceed the maximum criminal penalties provided in the
Retailers' Occupation Tax Act. The Authority may collect and
enforce the tax itself or by contract with any unit of local
government. The State Department of Revenue shall have no
responsibility for the collection and enforcement unless the
Department agrees with the Authority to undertake the
collection and enforcement. As used in this paragraph, the term
"parking facility" means a parking area or structure having
parking spaces for more than 2 vehicles at which motor vehicles
are permitted to park in return for an hourly, daily, or other
periodic fee, whether publicly or privately owned, but does not
include parking spaces on a public street, the use of which is
regulated by parking meters.
(e) The Board may impose a Regional Transportation
Authority Retailers' Occupation Tax upon all persons engaged in
the business of selling tangible personal property at retail in
the metropolitan region. In Cook County, the tax rate shall be
1.25% of the gross receipts from sales of tangible personal
property taxed at the 1% rate under the Retailers' Occupation
Tax Act, and 1% of the gross receipts from other taxable sales
made in the course of that business. In DuPage, Kane, Lake,

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McHenry, and Will counties, the tax rate shall be 0.75% of the
gross receipts from all taxable sales made in the course of
that business. The rate of tax imposed in DuPage, Kane, Lake,
McHenry, and Will counties under this Section on sales of
aviation fuel on or after December 1, 2019 shall, however, be
0.25% unless the Regional Transportation Authority in DuPage,
Kane, Lake, McHenry, and Will counties has an "airport-related
purpose" and the additional 0.50% of the 0.75% tax on aviation
fuel is expended for airport-related purposes. If there is no
airport-related purpose to which aviation fuel tax revenue is
dedicated, then aviation fuel is excluded from the additional
0.50% of the 0.75% tax. The tax imposed under this Section and
all civil penalties that may be assessed as an incident thereof
shall be collected and enforced by the State Department of
Revenue. The Department shall have full power to administer and
enforce this Section; to collect all taxes and penalties so
collected in the manner hereinafter provided; and to determine
all rights to credit memoranda arising on account of the
erroneous payment of tax or penalty hereunder. In the
administration of, and compliance with this Section, the
Department and persons who are subject to this Section shall
have the same rights, remedies, privileges, immunities,
powers, and duties, and be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms, and employ the same modes of
procedure, as are prescribed in Sections 1, 1a, 1a-1, 1c, 1d,

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1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all provisions
therein other than the State rate of tax), 2c, 3 (except as to
the disposition of taxes and penalties collected, and except
that the retailer's discount is not allowed for taxes paid on
aviation fuel that are subject to the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 4, 5, 5a, 5b, 5c,
5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8, 9,
10, 11, 12, and 13 of the Retailers' Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
The Board and DuPage, Kane, Lake, McHenry, and Will
counties must comply with the certification requirements for
airport-related purposes under Section 2-22 of the Retailers'
Occupation Tax Act. For purposes of this Section,
"airport-related purposes" has the meaning ascribed in Section
6z-20.2 of the State Finance Act. This exclusion for aviation
fuel only applies for so long as the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
Authority.
Persons subject to any tax imposed under the authority
granted in this Section may reimburse themselves for their
seller's tax liability hereunder by separately stating the tax
as an additional charge, which charge may be stated in
combination in a single amount with State taxes that sellers
are required to collect under the Use Tax Act, under any
bracket schedules the Department may prescribe.

10100HB0123sam002 - 62 - LRB101 02887 CPF 72296 a
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Regional Transportation Authority tax fund
established under paragraph (n) of this Section or the Local
Government Aviation Trust Fund, as appropriate.
If a tax is imposed under this subsection (e), a tax shall
also be imposed under subsections (f) and (g) of this Section.
For the purpose of determining whether a tax authorized
under this Section is applicable, a retail sale by a producer
of coal or other mineral mined in Illinois, is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
No tax shall be imposed or collected under this subsection
on the sale of a motor vehicle in this State to a resident of
another state if that motor vehicle will not be titled in this
State.
Nothing in this Section shall be construed to authorize the
Regional Transportation Authority to impose a tax upon the

10100HB0123sam002 - 63 - LRB101 02887 CPF 72296 a
privilege of engaging in any business that under the
Constitution of the United States may not be made the subject
of taxation by this State.
(f) If a tax has been imposed under paragraph (e), a
Regional Transportation Authority Service Occupation Tax shall
also be imposed upon all persons engaged, in the metropolitan
region in the business of making sales of service, who as an
incident to making the sales of service, transfer tangible
personal property within the metropolitan region, either in the
form of tangible personal property or in the form of real
estate as an incident to a sale of service. In Cook County, the
tax rate shall be: (1) 1.25% of the serviceman's cost price of
food prepared for immediate consumption and transferred
incident to a sale of service subject to the service occupation
tax by an entity licensed under the Hospital Licensing Act, the
Nursing Home Care Act, the Specialized Mental Health
Rehabilitation Act of 2013, the ID/DD Community Care Act, or
the MC/DD Act that is located in the metropolitan region; (2)
1.25% of the selling price of tangible personal property taxed
at the 1% rate under the Service Occupation Tax Act; and (3) 1%
of the selling price from other taxable sales of tangible
personal property transferred. In DuPage, Kane, Lake, McHenry,
and Will counties, the rate shall be 0.75% of the selling price
of all tangible personal property transferred. The rate of tax
imposed in DuPage, Kane, Lake, McHenry, and Will counties under
this Section on sales of aviation fuel on or after December 1,

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2019 shall, however, be 0.25% unless the Regional
Transportation Authority in DuPage, Kane, Lake, McHenry, and
Will counties has an "airport-related purpose" and the
additional 0.50% of the 0.75% tax on aviation fuel is expended
for airport-related purposes. If there is no airport-related
purpose to which aviation fuel tax revenue is dedicated, then
aviation fuel is excluded from the additional 0.5% of the 0.75%
tax.
The Board and DuPage, Kane, Lake, McHenry, and Will
counties must comply with the certification requirements for
airport-related purposes under Section 2-22 of the Retailers'
Occupation Tax Act. For purposes of this Section,
"airport-related purposes" has the meaning ascribed in Section
6z-20.2 of the State Finance Act. This exclusion for aviation
fuel only applies for so long as the revenue use requirements
of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the
Authority.
The tax imposed under this paragraph and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
paragraph; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder. In the administration of and compliance with

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this paragraph, the Department and persons who are subject to
this paragraph shall have the same rights, remedies,
privileges, immunities, powers, and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
exclusions, exemptions, and definitions of terms, and employ
the same modes of procedure, as are prescribed in Sections
1a-1, 2, 2a, 3 through 3-50 (in respect to all provisions
therein other than the State rate of tax), 4 (except that the
reference to the State shall be to the Authority), 5, 7, 8
(except that the jurisdiction to which the tax shall be a debt
to the extent indicated in that Section 8 shall be the
Authority), 9 (except as to the disposition of taxes and
penalties collected, and except that the returned merchandise
credit for this tax may not be taken against any State tax, and
except that the retailer's discount is not allowed for taxes
paid on aviation fuel that are subject to the revenue use
requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133), 10,
11, 12 (except the reference therein to Section 2b of the
Retailers' Occupation Tax Act), 13 (except that any reference
to the State shall mean the Authority), the first paragraph of
Section 15, 16, 17, 18, 19, and 20 of the Service Occupation
Tax Act and Section 3-7 of the Uniform Penalty and Interest
Act, as fully as if those provisions were set forth herein.
Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the

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tax as an additional charge, that charge may be stated in
combination in a single amount with State tax that servicemen
are authorized to collect under the Service Use Tax Act, under
any bracket schedules the Department may prescribe.
Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Regional Transportation Authority tax fund
established under paragraph (n) of this Section or the Local
Government Aviation Trust Fund, as appropriate.
Nothing in this paragraph shall be construed to authorize
the Authority to impose a tax upon the privilege of engaging in
any business that under the Constitution of the United States
may not be made the subject of taxation by the State.
(g) If a tax has been imposed under paragraph (e), a tax
shall also be imposed upon the privilege of using in the
metropolitan region, any item of tangible personal property
that is purchased outside the metropolitan region at retail
from a retailer, and that is titled or registered with an
agency of this State's government. In Cook County, the tax rate
shall be 1% of the selling price of the tangible personal
property, as "selling price" is defined in the Use Tax Act. In
DuPage, Kane, Lake, McHenry, and Will counties, the tax rate

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shall be 0.75% of the selling price of the tangible personal
property, as "selling price" is defined in the Use Tax Act. The
tax shall be collected from persons whose Illinois address for
titling or registration purposes is given as being in the
metropolitan region. The tax shall be collected by the
Department of Revenue for the Regional Transportation
Authority. The tax must be paid to the State, or an exemption
determination must be obtained from the Department of Revenue,
before the title or certificate of registration for the
property may be issued. The tax or proof of exemption may be
transmitted to the Department by way of the State agency with
which, or the State officer with whom, the tangible personal
property must be titled or registered if the Department and the
State agency or State officer determine that this procedure
will expedite the processing of applications for title or
registration.
The Department shall have full power to administer and
enforce this paragraph; to collect all taxes, penalties, and
interest due hereunder; to dispose of taxes, penalties, and
interest collected in the manner hereinafter provided; and to
determine all rights to credit memoranda or refunds arising on
account of the erroneous payment of tax, penalty, or interest
hereunder. In the administration of and compliance with this
paragraph, the Department and persons who are subject to this
paragraph shall have the same rights, remedies, privileges,
immunities, powers, and duties, and be subject to the same

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conditions, restrictions, limitations, penalties, exclusions,
exemptions, and definitions of terms and employ the same modes
of procedure, as are prescribed in Sections 2 (except the
definition of "retailer maintaining a place of business in this
State"), 3 through 3-80 (except provisions pertaining to the
State rate of tax, and except provisions concerning collection
or refunding of the tax by retailers), 4, 11, 12, 12a, 14, 15,
19 (except the portions pertaining to claims by retailers and
except the last paragraph concerning refunds), 20, 21, and 22
of the Use Tax Act, and are not inconsistent with this
paragraph, as fully as if those provisions were set forth
herein.
Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Regional Transportation Authority tax fund
established under paragraph (n) of this Section.
(h) The Authority may impose a replacement vehicle tax of
$50 on any passenger car as defined in Section 1-157 of the
Illinois Vehicle Code purchased within the metropolitan region
by or on behalf of an insurance company to replace a passenger
car of an insured person in settlement of a total loss claim.
The tax imposed may not become effective before the first day

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of the month following the passage of the ordinance imposing
the tax and receipt of a certified copy of the ordinance by the
Department of Revenue. The Department of Revenue shall collect
the tax for the Authority in accordance with Sections 3-2002
and 3-2003 of the Illinois Vehicle Code.
The Department shall immediately pay over to the State
Treasurer, ex officio, as trustee, all taxes collected
hereunder.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to the Authority. The
amount to be paid to the Authority shall be the amount
collected hereunder during the second preceding calendar month
by the Department, less any amount determined by the Department
to be necessary for the payment of refunds, and less any
amounts that are transferred to the STAR Bonds Revenue Fund.
Within 10 days after receipt by the Comptroller of the

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disbursement certification to the Authority provided for in
this Section to be given to the Comptroller by the Department,
the Comptroller shall cause the orders to be drawn for that
amount in accordance with the directions contained in the
certification.
(i) The Board may not impose any other taxes except as it
may from time to time be authorized by law to impose.
(j) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under paragraphs (b), (e), (f) or
(g) of this Section and no additional registration shall be
required under the tax. A certificate issued under the Use Tax
Act or the Service Use Tax Act shall be applicable with regard
to any tax imposed under paragraph (c) of this Section.
(k) The provisions of any tax imposed under paragraph (c)
of this Section shall conform as closely as may be practicable
to the provisions of the Use Tax Act, including without
limitation conformity as to penalties with respect to the tax
imposed and as to the powers of the State Department of Revenue
to promulgate and enforce rules and regulations relating to the
administration and enforcement of the provisions of the tax
imposed. The taxes shall be imposed only on use within the
metropolitan region and at rates as provided in the paragraph.
(l) The Board in imposing any tax as provided in paragraphs

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(b) and (c) of this Section, shall, after seeking the advice of
the State Department of Revenue, provide means for retailers,
users or purchasers of motor fuel for purposes other than those
with regard to which the taxes may be imposed as provided in
those paragraphs to receive refunds of taxes improperly paid,
which provisions may be at variance with the refund provisions
as applicable under the Municipal Retailers Occupation Tax Act.
The State Department of Revenue may provide for certificates of
registration for users or purchasers of motor fuel for purposes
other than those with regard to which taxes may be imposed as
provided in paragraphs (b) and (c) of this Section to
facilitate the reporting and nontaxability of the exempt sales
or uses.
(m) Any ordinance imposing or discontinuing any tax under
this Section shall be adopted and a certified copy thereof
filed with the Department on or before June 1, whereupon the
Department of Revenue shall proceed to administer and enforce
this Section on behalf of the Regional Transportation Authority
as of September 1 next following such adoption and filing.
Beginning January 1, 1992, an ordinance or resolution imposing
or discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of July, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
October next following such adoption and filing. Beginning
January 1, 1993, an ordinance or resolution imposing,

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increasing, decreasing, or discontinuing the tax hereunder
shall be adopted and a certified copy thereof filed with the
Department, whereupon the Department shall proceed to
administer and enforce this Section as of the first day of the
first month to occur not less than 60 days following such
adoption and filing. Any ordinance or resolution of the
Authority imposing a tax under this Section and in effect on
August 1, 2007 shall remain in full force and effect and shall
be administered by the Department of Revenue under the terms
and conditions and rates of tax established by such ordinance
or resolution until the Department begins administering and
enforcing an increased tax under this Section as authorized by
Public Act 95-708. The tax rates authorized by Public Act
95-708 are effective only if imposed by ordinance of the
Authority.
(n) Except as otherwise provided in this subsection (n),
the State Department of Revenue shall, upon collecting any
taxes as provided in this Section, pay the taxes over to the
State Treasurer as trustee for the Authority. The taxes shall
be held in a trust fund outside the State Treasury. If an
airport-related purpose has been certified, taxes and
penalties collected in DuPage, Kane, Lake, McHenry and Will
counties on aviation fuel sold on or after December 1, 2019
from the 0.50% of the 0.75% rate shall be immediately paid over
by the Department to the State Treasurer, ex officio, as
trustee, for deposit into the Local Government Aviation Trust

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Fund. The Department shall only pay moneys into the Local
Government Aviation Trust Fund under this Act for so long as
the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the Authority. On or before the
25th day of each calendar month, the State Department of
Revenue shall prepare and certify to the Comptroller of the
State of Illinois and to the Authority (i) the amount of taxes
collected in each county other than Cook County in the
metropolitan region, (not including, if an airport-related
purpose has been certified, the taxes and penalties collected
from the 0.50% of the 0.75% rate on aviation fuel sold on or
after December 1, 2019 that are deposited into the Local
Government Aviation Trust Fund) (ii) the amount of taxes
collected within the City of Chicago, and (iii) the amount
collected in that portion of Cook County outside of Chicago,
each amount less the amount necessary for the payment of
refunds to taxpayers located in those areas described in items
(i), (ii), and (iii), and less 1.5% of the remainder, which
shall be transferred from the trust fund into the Tax
Compliance and Administration Fund. The Department, at the time
of each monthly disbursement to the Authority, shall prepare
and certify to the State Comptroller the amount to be
transferred into the Tax Compliance and Administration Fund
under this subsection. Within 10 days after receipt by the
Comptroller of the certification of the amounts, the
Comptroller shall cause an order to be drawn for the transfer

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of the amount certified into the Tax Compliance and
Administration Fund and the payment of two-thirds of the
amounts certified in item (i) of this subsection to the
Authority and one-third of the amounts certified in item (i) of
this subsection to the respective counties other than Cook
County and the amount certified in items (ii) and (iii) of this
subsection to the Authority.
In addition to the disbursement required by the preceding
paragraph, an allocation shall be made in July 1991 and each
year thereafter to the Regional Transportation Authority. The
allocation shall be made in an amount equal to the average
monthly distribution during the preceding calendar year
(excluding the 2 months of lowest receipts) and the allocation
shall include the amount of average monthly distribution from
the Regional Transportation Authority Occupation and Use Tax
Replacement Fund. The distribution made in July 1992 and each
year thereafter under this paragraph and the preceding
paragraph shall be reduced by the amount allocated and
disbursed under this paragraph in the preceding calendar year.
The Department of Revenue shall prepare and certify to the
Comptroller for disbursement the allocations made in
accordance with this paragraph.
(o) Failure to adopt a budget ordinance or otherwise to
comply with Section 4.01 of this Act or to adopt a Five-year
Capital Program or otherwise to comply with paragraph (b) of
Section 2.01 of this Act shall not affect the validity of any

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tax imposed by the Authority otherwise in conformity with law.
(p) At no time shall a public transportation tax or motor
vehicle parking tax authorized under paragraphs (b), (c), and
(d) of this Section be in effect at the same time as any
retailers' occupation, use or service occupation tax
authorized under paragraphs (e), (f), and (g) of this Section
is in effect.
Any taxes imposed under the authority provided in
paragraphs (b), (c), and (d) shall remain in effect only until
the time as any tax authorized by paragraph (e), (f), or (g) of
this Section are imposed and becomes effective. Once any tax
authorized by paragraph (e), (f), or (g) is imposed the Board
may not reimpose taxes as authorized in paragraphs (b), (c),
and (d) of the Section unless any tax authorized by paragraph
(e), (f), or (g) of this Section becomes ineffective by means
other than an ordinance of the Board.
(q) Any existing rights, remedies and obligations
(including enforcement by the Regional Transportation
Authority) arising under any tax imposed under paragraph (b),
(c), or (d) of this Section shall not be affected by the
imposition of a tax under paragraph (e), (f), or (g) of this
Section.
(r) Notwithstanding any other provision of law, no tax may
be imposed under this Section on the sale or use of cannabis,
as defined in Section 1-10 of the Cannabis Regulation and Tax
Act.

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(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
100-1171, eff. 1-4-19; 101-10, eff. 6-5-19; 101-81, eff.
7-12-19; 101-604, eff. 12-13-19.)
Section 35. The Water Commission Act of 1985 is amended by
changing Section 4 as follows:
(70 ILCS 3720/4) (from Ch. 111 2/3, par. 254)
Sec. 4. Taxes.
(a) The board of commissioners of any county water
commission may, by ordinance, impose throughout the territory
of the commission any or all of the taxes provided in this
Section for its corporate purposes. However, no county water
commission may impose any such tax unless the commission
certifies the proposition of imposing the tax to the proper
election officials, who shall submit the proposition to the
voters residing in the territory at an election in accordance
with the general election law, and the proposition has been
approved by a majority of those voting on the proposition.
The proposition shall be in the form provided in Section 5
or shall be substantially in the following form:
-------------------------------------------------------------
Shall the (insert corporate
name of county water commission) YES
impose (state type of tax or ------------------------
taxes to be imposed) at the NO

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rate of 1/4%?
-------------------------------------------------------------
Taxes imposed under this Section and civil penalties
imposed incident thereto shall be collected and enforced by the
State Department of Revenue. The Department shall have the
power to administer and enforce the taxes and to determine all
rights for refunds for erroneous payments of the taxes.
(b) The board of commissioners may impose a County Water
Commission Retailers' Occupation Tax upon all persons engaged
in the business of selling tangible personal property at retail
in the territory of the commission at a rate of 1/4% of the
gross receipts from the sales made in the course of such
business within the territory. Beginning January 1, 2021, this
tax is not imposed on sales of aviation fuel for so long as the
revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
47133 are binding on the District.
The tax imposed under this paragraph and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
paragraph; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder. In the administration of, and compliance
with, this paragraph, the Department and persons who are

10100HB0123sam002 - 78 - LRB101 02887 CPF 72296 a
subject to this paragraph shall have the same rights, remedies,
privileges, immunities, powers and duties, and be subject to
the same conditions, restrictions, limitations, penalties,
exclusions, exemptions and definitions of terms, and employ the
same modes of procedure, as are prescribed in Sections 1, 1a,
1a-1, 1c, 1d, 1e, 1f, 1i, 1j, 2 through 2-65 (in respect to all
provisions therein other than the State rate of tax except that
tangible personal property taxed at the 1% rate under the
Retailers' Occupation Tax Act shall not be subject to tax
hereunder), 2c, 3 (except as to the disposition of taxes and
penalties collected, and except that the retailer's discount is
not allowed for taxes paid on aviation fuel sold on or after
December 1, 2019 and through December 31, 2020), 4, 5, 5a, 5b,
5c, 5d, 5e, 5f, 5g, 5h, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 6d, 7, 8,
9, 10, 11, 12, and 13 of the Retailers' Occupation Tax Act and
Section 3-7 of the Uniform Penalty and Interest Act, as fully
as if those provisions were set forth herein.
Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
seller's tax liability hereunder by separately stating the tax
as an additional charge, which charge may be stated in
combination, in a single amount, with State taxes that sellers
are required to collect under the Use Tax Act and under
subsection (e) of Section 4.03 of the Regional Transportation
Authority Act, in accordance with such bracket schedules as the
Department may prescribe.

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Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of a county water commission tax fund established
under subsection (g) of this Section.
For the purpose of determining whether a tax authorized
under this paragraph is applicable, a retail sale by a producer
of coal or other mineral mined in Illinois is a sale at retail
at the place where the coal or other mineral mined in Illinois
is extracted from the earth. This paragraph does not apply to
coal or other mineral when it is delivered or shipped by the
seller to the purchaser at a point outside Illinois so that the
sale is exempt under the Federal Constitution as a sale in
interstate or foreign commerce.
If a tax is imposed under this subsection (b), a tax shall
also be imposed under subsections (c) and (d) of this Section.
No tax shall be imposed or collected under this subsection
on the sale of a motor vehicle in this State to a resident of
another state if that motor vehicle will not be titled in this
State.
Nothing in this paragraph shall be construed to authorize a
county water commission to impose a tax upon the privilege of
engaging in any business which under the Constitution of the

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United States may not be made the subject of taxation by this
State.
(c) If a tax has been imposed under subsection (b), a
County Water Commission Service Occupation Tax shall also be
imposed upon all persons engaged, in the territory of the
commission, in the business of making sales of service, who, as
an incident to making the sales of service, transfer tangible
personal property within the territory. The tax rate shall be
1/4% of the selling price of tangible personal property so
transferred within the territory. Beginning January 1, 2021,
this tax is not imposed on sales of aviation fuel for so long
as the revenue use requirements of 49 U.S.C. 47107(b) and 49
U.S.C. 47133 are binding on the District.
The tax imposed under this paragraph and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the State Department of Revenue. The
Department shall have full power to administer and enforce this
paragraph; to collect all taxes and penalties due hereunder; to
dispose of taxes and penalties so collected in the manner
hereinafter provided; and to determine all rights to credit
memoranda arising on account of the erroneous payment of tax or
penalty hereunder. In the administration of, and compliance
with, this paragraph, the Department and persons who are
subject to this paragraph shall have the same rights, remedies,
privileges, immunities, powers and duties, and be subject to
the same conditions, restrictions, limitations, penalties,

10100HB0123sam002 - 81 - LRB101 02887 CPF 72296 a
exclusions, exemptions and definitions of terms, and employ the
same modes of procedure, as are prescribed in Sections 1a-1, 2
(except that the reference to State in the definition of
supplier maintaining a place of business in this State shall
mean the territory of the commission), 2a, 3 through 3-50 (in
respect to all provisions therein other than the State rate of
tax except that tangible personal property taxed at the 1% rate
under the Service Occupation Tax Act shall not be subject to
tax hereunder), 4 (except that the reference to the State shall
be to the territory of the commission), 5, 7, 8 (except that
the jurisdiction to which the tax shall be a debt to the extent
indicated in that Section 8 shall be the commission), 9 (except
as to the disposition of taxes and penalties collected and
except that the returned merchandise credit for this tax may
not be taken against any State tax, and except that the
retailer's discount is not allowed for taxes paid on aviation
fuel sold on or after December 1, 2019 and through December 31,
2020), 10, 11, 12 (except the reference therein to Section 2b
of the Retailers' Occupation Tax Act), 13 (except that any
reference to the State shall mean the territory of the
commission), the first paragraph of Section 15, 15.5, 16, 17,
18, 19, and 20 of the Service Occupation Tax Act as fully as if
those provisions were set forth herein.
Persons subject to any tax imposed under the authority
granted in this paragraph may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the

10100HB0123sam002 - 82 - LRB101 02887 CPF 72296 a
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that servicemen
are authorized to collect under the Service Use Tax Act, and
any tax for which servicemen may be liable under subsection (f)
of Section 4.03 of the Regional Transportation Authority Act,
in accordance with such bracket schedules as the Department may
prescribe.
Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of a county water commission tax fund established
under subsection (g) of this Section.
Nothing in this paragraph shall be construed to authorize a
county water commission to impose a tax upon the privilege of
engaging in any business which under the Constitution of the
United States may not be made the subject of taxation by the
State.
(d) If a tax has been imposed under subsection (b), a tax
shall also be imposed upon the privilege of using, in the
territory of the commission, any item of tangible personal
property that is purchased outside the territory at retail from
a retailer, and that is titled or registered with an agency of
this State's government, at a rate of 1/4% of the selling price

10100HB0123sam002 - 83 - LRB101 02887 CPF 72296 a
of the tangible personal property within the territory, as
"selling price" is defined in the Use Tax Act. The tax shall be
collected from persons whose Illinois address for titling or
registration purposes is given as being in the territory. The
tax shall be collected by the Department of Revenue for a
county water commission. The tax must be paid to the State, or
an exemption determination must be obtained from the Department
of Revenue, before the title or certificate of registration for
the property may be issued. The tax or proof of exemption may
be transmitted to the Department by way of the State agency
with which, or the State officer with whom, the tangible
personal property must be titled or registered if the
Department and the State agency or State officer determine that
this procedure will expedite the processing of applications for
title or registration.
The Department shall have full power to administer and
enforce this paragraph; to collect all taxes, penalties, and
interest due hereunder; to dispose of taxes, penalties, and
interest so collected in the manner hereinafter provided; and
to determine all rights to credit memoranda or refunds arising
on account of the erroneous payment of tax, penalty, or
interest hereunder. In the administration of and compliance
with this paragraph, the Department and persons who are subject
to this paragraph shall have the same rights, remedies,
privileges, immunities, powers, and duties, and be subject to
the same conditions, restrictions, limitations, penalties,

10100HB0123sam002 - 84 - LRB101 02887 CPF 72296 a
exclusions, exemptions, and definitions of terms and employ the
same modes of procedure, as are prescribed in Sections 2
(except the definition of "retailer maintaining a place of
business in this State"), 3 through 3-80 (except provisions
pertaining to the State rate of tax, and except provisions
concerning collection or refunding of the tax by retailers), 4,
11, 12, 12a, 14, 15, 19 (except the portions pertaining to
claims by retailers and except the last paragraph concerning
refunds), 20, 21, and 22 of the Use Tax Act and Section 3-7 of
the Uniform Penalty and Interest Act that are not inconsistent
with this paragraph, as fully as if those provisions were set
forth herein.
Whenever the Department determines that a refund should be
made under this paragraph to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in the notification
from the Department. The refund shall be paid by the State
Treasurer out of a county water commission tax fund established
under subsection (g) of this Section.
(e) A certificate of registration issued by the State
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act or under the Service Occupation Tax Act
shall permit the registrant to engage in a business that is
taxed under the tax imposed under subsection (b), (c), or (d)
of this Section and no additional registration shall be

10100HB0123sam002 - 85 - LRB101 02887 CPF 72296 a
required under the tax. A certificate issued under the Use Tax
Act or the Service Use Tax Act shall be applicable with regard
to any tax imposed under subsection (c) of this Section.
(f) Any ordinance imposing or discontinuing any tax under
this Section shall be adopted and a certified copy thereof
filed with the Department on or before June 1, whereupon the
Department of Revenue shall proceed to administer and enforce
this Section on behalf of the county water commission as of
September 1 next following the adoption and filing. Beginning
January 1, 1992, an ordinance or resolution imposing or
discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of July, whereupon the Department shall proceed
to administer and enforce this Section as of the first day of
October next following such adoption and filing. Beginning
January 1, 1993, an ordinance or resolution imposing or
discontinuing the tax hereunder shall be adopted and a
certified copy thereof filed with the Department on or before
the first day of October, whereupon the Department shall
proceed to administer and enforce this Section as of the first
day of January next following such adoption and filing.
(g) The State Department of Revenue shall, upon collecting
any taxes as provided in this Section, pay the taxes over to
the State Treasurer as trustee for the commission. The taxes
shall be held in a trust fund outside the State Treasury.
As soon as possible after the first day of each month,

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beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this Section
during the second preceding calendar month for sales within a
STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the State
Department of Revenue shall prepare and certify to the
Comptroller of the State of Illinois the amount to be paid to
the commission, which shall be the amount (not including credit
memoranda) collected under this Section during the second
preceding calendar month by the Department plus an amount the
Department determines is necessary to offset any amounts that
were erroneously paid to a different taxing body, and not
including any amount equal to the amount of refunds made during
the second preceding calendar month by the Department on behalf
of the commission, and not including any amount that the
Department determines is necessary to offset any amounts that
were payable to a different taxing body but were erroneously
paid to the commission, and less any amounts that are
transferred to the STAR Bonds Revenue Fund, less 1.5% of the
remainder, which shall be transferred into the Tax Compliance
and Administration Fund. The Department, at the time of each
monthly disbursement to the commission, shall prepare and

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certify to the State Comptroller the amount to be transferred
into the Tax Compliance and Administration Fund under this
subsection. Within 10 days after receipt by the Comptroller of
the certification of the amount to be paid to the commission
and the Tax Compliance and Administration Fund, the Comptroller
shall cause an order to be drawn for the payment for the amount
in accordance with the direction in the certification.
(h) Beginning June 1, 2016, any tax imposed pursuant to
this Section may no longer be imposed or collected, unless a
continuation of the tax is approved by the voters at a
referendum as set forth in this Section.
(i) Notwithstanding any other provision of law, no tax may
be imposed under this Section on the sale or use of cannabis,
as defined in Section 1-10 of the Cannabis Regulation and Tax
Act.
(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, eff.
6-5-19; 101-81, eff. 7-12-19; 101-604, eff. 12-13-19.)
Section 40. The Compassionate Use of Medical Cannabis
Program Act is amended by changing Sections 55, 60, 62, 70, 75,
100, and 145 as follows:
(410 ILCS 130/55)
Sec. 55. Registration of qualifying patients and
designated caregivers.

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(a) The Department of Public Health shall issue registry
identification cards to qualifying patients and designated
caregivers who submit a completed application, and at minimum,
the following, in accordance with Department of Public Health
rules:
(1) A written certification, on a form developed by the
Department of Public Health consistent with Section 36 and
issued by a certifying health care professional, within 90
days immediately preceding the date of an application and
submitted by the qualifying patient or his or her
designated caregiver;
(2) upon the execution of applicable privacy waivers,
the patient's medical documentation related to his or her
debilitating condition and any other information that may
be reasonably required by the Department of Public Health
to confirm that the certifying health care professional and
patient have a bona fide health care professional-patient
relationship, that the qualifying patient is in the
certifying health care professional's care for his or her
debilitating medical condition, and to substantiate the
patient's diagnosis;
(3) the application or renewal fee as set by rule;
(4) the name, address, date of birth, and social
security number of the qualifying patient, except that if
the applicant is homeless no address is required;
(5) the name, address, and telephone number of the

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qualifying patient's certifying health care professional;
(6) the name, address, and date of birth of the
designated caregiver, if any, chosen by the qualifying
patient;
(7) (blank) the name of the registered medical cannabis
dispensing organization the qualifying patient designates;
(8) signed statements from the patient and designated
caregiver asserting that they will not divert medical
cannabis; and
(9) (blank).
(b) Notwithstanding any other provision of this Act, a
person provided a written certification for a debilitating
medical condition who has submitted a completed online
application to the Department of Public Health shall receive a
provisional registration and be entitled to purchase medical
cannabis from a specified licensed dispensing organization for
a period of 90 days or until his or her application has been
denied or he or she receives a registry identification card,
whichever is earlier. However, a person may obtain an
additional provisional registration after the expiration of 90
days after the date of application if the Department of Public
Health does not provide the individual with a registry
identification card or deny the individual's application
within those 90 days.
The provisional registration may not be extended if the
individual does not respond to the Department of Public

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Health's request for additional information or corrections to
required application documentation.
In order for a person to receive medical cannabis under
this subsection, a person must present his or her provisional
registration along with a valid driver's license or State
identification card to the licensed dispensing organization
specified in his or her application. The dispensing
organization shall verify the person's provisional
registration through the Department of Public Health's online
verification system.
Upon verification of the provided documents, the
dispensing organization shall dispense no more than 2.5 ounces
of medical cannabis during a 14-day period to the person for a
period of 90 days, until his or her application has been
denied, or until he or she receives a registry identification
card from the Department of Public Health, whichever is
earlier.
Persons with provisional registrations must keep their
provisional registration in his or her possession at all times
when transporting or engaging in the medical use of cannabis.
(c) No person or business shall charge a fee for assistance
in the preparation, compilation, or submission of an
application to the Compassionate Use of Medical Cannabis
Program or the Opioid Alternative Pilot Program. A violation of
this subsection is a Class C misdemeanor, for which restitution
to the applicant and a fine of up to $1,500 may be imposed. All

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fines shall be deposited into the Compassionate Use of Medical
Cannabis Fund after restitution has been made to the applicant.
The Department of Public Health shall refer individuals making
complaints against a person or business under this Section to
the Illinois State Police, who shall enforce violations of this
provision. All application forms issued by the Department shall
state that no person or business may charge a fee for
assistance in the preparation, compilation, or submission of an
application to the Compassionate Use of Medical Cannabis
Program or the Opioid Alternative Pilot Program.
(Source: P.A. 100-1114, eff. 8-28-18; 101-363, eff. 8-9-19.)
(410 ILCS 130/60)
Sec. 60. Issuance of registry identification cards.
(a) Except as provided in subsection (b), the Department of
Public Health shall:
(1) verify the information contained in an application
or renewal for a registry identification card submitted
under this Act, and approve or deny an application or
renewal, within 90 days of receiving a completed
application or renewal application and all supporting
documentation specified in Section 55;
(2) issue registry identification cards to a
qualifying patient and his or her designated caregiver, if
any, within 15 business days of approving the application
or renewal;

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(3) (blank) enter the registry identification number
of the registered dispensing organization the patient
designates into the verification system; and
(4) allow for an electronic application process, and
provide a confirmation by electronic or other methods that
an application has been submitted.
Notwithstanding any other provision of this Act, the
Department of Public Health shall adopt rules for qualifying
patients and applicants with life-long debilitating medical
conditions, who may be charged annual renewal fees. The
Department of Public Health shall not require patients and
applicants with life-long debilitating medical conditions to
apply to renew registry identification cards.
(b) The Department of Public Health may not issue a
registry identification card to a qualifying patient who is
under 18 years of age, unless that patient suffers from
seizures, including those characteristic of epilepsy, or as
provided by administrative rule. The Department of Public
Health shall adopt rules for the issuance of a registry
identification card for qualifying patients who are under 18
years of age and suffering from seizures, including those
characteristic of epilepsy. The Department of Public Health may
adopt rules to allow other individuals under 18 years of age to
become registered qualifying patients under this Act with the
consent of a parent or legal guardian. Registered qualifying
patients under 18 years of age shall be prohibited from

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consuming forms of cannabis other than medical cannabis infused
products and purchasing any usable cannabis.
(c) A veteran who has received treatment at a VA hospital
is 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. All reasonable inferences regarding the existence
of a bona fide health care professional-patient relationship
shall be drawn in favor of an applicant who is a veteran and
has undergone treatment at a VA hospital.
(c-10) An individual who submits an application as someone
who is terminally ill shall have all fees waived. The
Department of Public Health shall within 30 days after this
amendatory Act of the 99th General Assembly adopt emergency
rules to expedite approval for terminally ill individuals.
These rules shall include, but not be limited to, rules that
provide that applications by individuals with terminal
illnesses shall be approved or denied within 14 days of their
submission.
(d) No later than 6 months after the effective date of this
amendatory Act of the 101st General Assembly, the Secretary of
State shall remove all existing notations on driving records
that the person is a registered qualifying patient or his or
her caregiver under this Act.
(e) Upon the approval of the registration and issuance of a

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registry card under this Section, the Department of Public
Health shall electronically forward the registered qualifying
patient's identification card information to the Prescription
Monitoring Program established under the Illinois Controlled
Substances Act and certify that the individual is permitted to
engage in the medical use of cannabis. For the purposes of
patient care, the Prescription Monitoring Program shall make a
notation on the person's prescription record stating that the
person is a registered qualifying patient who is entitled to
the lawful medical use of cannabis. If the person no longer
holds a valid registry card, the Department of Public Health
shall notify the Prescription Monitoring Program and
Department of Human Services to remove the notation from the
person's record. The Department of Human Services and the
Prescription Monitoring Program shall establish a system by
which the information may be shared electronically. This
confidential list may not be combined or linked in any manner
with any other list or database except as provided in this
Section.
(f) (Blank).
(Source: P.A. 100-1114, eff. 8-28-18; 101-363, eff. 8-9-19;
101-593, eff. 12-4-19.)
(410 ILCS 130/62)
Sec. 62. Opioid Alternative Pilot Program.
(a) The Department of Public Health shall establish the

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Opioid Alternative Pilot Program. Licensed dispensing
organizations shall allow persons with a written certification
from a certifying health care professional under Section 36 to
purchase medical cannabis upon enrollment in the Opioid
Alternative Pilot Program. The Department of Public Health
shall adopt rules or establish procedures allowing qualified
veterans to participate in the Opioid Alternative Pilot
Program. For a person to receive medical cannabis under this
Section, the person must present the written certification
along with a valid driver's license or state identification
card to the licensed dispensing organization specified in his
or her application. The dispensing organization shall verify
the person's status as an Opioid Alternative Pilot Program
participant through the Department of Public Health's online
verification system.
(b) The Opioid Alternative Pilot Program shall be limited
to participation by Illinois residents age 21 and older.
(c) The Department of Financial and Professional
Regulation shall specify that all licensed dispensing
organizations participating in the Opioid Alternative Pilot
Program use the Illinois Cannabis Tracking System. The
Department of Public Health shall establish and maintain the
Illinois Cannabis Tracking System. The Illinois Cannabis
Tracking System shall be used to collect information about all
persons participating in the Opioid Alternative Pilot Program
and shall be used to track the sale of medical cannabis for

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verification purposes.
Each dispensing organization shall retain a copy of the
Opioid Alternative Pilot Program certification and other
identifying information as required by the Department of
Financial and Professional Regulation, the Department of
Public Health, and the Illinois State Police in the Illinois
Cannabis Tracking System.
The Illinois Cannabis Tracking System shall be accessible
to the Department of Financial and Professional Regulation,
Department of Public Health, Department of Agriculture, and the
Illinois State Police.
The Department of Financial and Professional Regulation in
collaboration with the Department of Public Health shall
specify the data requirements for the Opioid Alternative Pilot
Program by licensed dispensing organizations; including, but
not limited to, the participant's full legal name, address, and
date of birth, date on which the Opioid Alternative Pilot
Program certification was issued, length of the participation
in the Program, including the start and end date to purchase
medical cannabis, name of the issuing physician, copy of the
participant's current driver's license or State identification
card, and phone number.
The Illinois Cannabis Tracking System shall provide
verification of a person's participation in the Opioid
Alternative Pilot Program for law enforcement at any time and
on any day.

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(d) The certification for Opioid Alternative Pilot Program
participant must be issued by a certifying health care
professional who is licensed to practice in Illinois under the
Medical Practice Act of 1987, the Nurse Practice Act, or the
Physician Assistant Practice Act of 1987 and who is in good
standing and holds a controlled substances license under
Article III of the Illinois Controlled Substances Act.
The certification for an Opioid Alternative Pilot Program
participant shall be written within 90 days before the
participant submits his or her certification to the dispensing
organization.
The written certification uploaded to the Illinois
Cannabis Tracking System shall be accessible to the Department
of Public Health.
(e) Upon verification of the individual's valid
certification and enrollment in the Illinois Cannabis Tracking
System, the dispensing organization may dispense the medical
cannabis, in amounts not exceeding 2.5 ounces of medical
cannabis per 14-day period to the participant at the
participant's specified dispensary for no more than 90 days.
An Opioid Alternative Pilot Program participant shall not
be registered as a medical cannabis cardholder. The dispensing
organization shall verify that the person is not an active
registered qualifying patient prior to enrollment in the Opioid
Alternative Pilot Program and each time medical cannabis is
dispensed.

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Upon receipt of a written certification under the Opioid
Alternative Pilot Program, the Department of Public Health
shall electronically forward the patient's identification
information to the Prescription Monitoring Program established
under the Illinois Controlled Substances Act and certify that
the individual is permitted to engage in the medical use of
cannabis. For the purposes of patient care, the Prescription
Monitoring Program shall make a notation on the person's
prescription record stating that the person has a written
certification under the Opioid Alternative Pilot Program and is
a patient who is entitled to the lawful medical use of
cannabis. If the person is no longer authorized to engage in
the medical use of cannabis, the Department of Public Health
shall notify the Prescription Monitoring Program and
Department of Human Services to remove the notation from the
person's record. The Department of Human Services and the
Prescription Monitoring Program shall establish a system by
which the information may be shared electronically. This
confidential list may not be combined or linked in any manner
with any other list or database except as provided in this
Section.
(f) An Opioid Alternative Pilot Program participant shall
not be considered a qualifying patient with a debilitating
medical condition under this Act and shall be provided access
to medical cannabis solely for the duration of the
participant's certification. Nothing in this Section shall be

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construed to limit or prohibit an Opioid Alternative Pilot
Program participant who has a debilitating medical condition
from applying to the Compassionate Use of Medical Cannabis
Program.
(g) A person with a provisional registration under Section
55 shall not be considered an Opioid Alternative Pilot Program
participant.
(h) The Department of Financial and Professional
Regulation and the Department of Public Health shall submit
emergency rulemaking to implement the changes made by this
amendatory Act of the 100th General Assembly by December 1,
2018. The Department of Financial and Professional Regulation,
the Department of Agriculture, the Department of Human
Services, the Department of Public Health, and the Illinois
State Police shall utilize emergency purchase authority for 12
months after the effective date of this amendatory Act of the
100th General Assembly for the purpose of implementing the
changes made by this amendatory Act of the 100th General
Assembly.
(i) Dispensing organizations are not authorized to
dispense medical cannabis to Opioid Alternative Pilot Program
participants until administrative rules are approved by the
Joint Committee on Administrative Rules and go into effect.
(j) The provisions of this Section are inoperative on and
after July 1, 2020.
(Source: P.A. 100-1114, eff. 8-28-18; 101-363, eff. 8-9-19.)

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(410 ILCS 130/70)
Sec. 70. Registry identification cards.
(a) A registered qualifying patient or designated
caregiver must keep their registry identification card in his
or her possession at all times when engaging in the medical use
of cannabis.
(b) Registry identification cards shall contain the
following:
(1) the name of the cardholder;
(2) a designation of whether the cardholder is a
designated caregiver or qualifying patient;
(3) the date of issuance and expiration date of the
registry identification card;
(4) a random alphanumeric identification number that
is unique to the cardholder;
(5) if the cardholder is a designated caregiver, the
random alphanumeric identification number of the
registered qualifying patient the designated caregiver is
receiving the registry identification card to assist; and
(6) a photograph of the cardholder, if required by
Department of Public Health rules.
(c) To maintain a valid registration identification card, a
registered qualifying patient and caregiver must annually
resubmit, at least 45 days prior to the expiration date stated
on the registry identification card, a completed renewal

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application, renewal fee, and accompanying documentation as
described in Department of Public Health rules. The Department
of Public Health shall send a notification to a registered
qualifying patient or registered designated caregiver 90 days
prior to the expiration of the registered qualifying patient's
or registered designated caregiver's identification card. If
the Department of Public Health fails to grant or deny a
renewal application received in accordance with this Section,
then the renewal is deemed granted and the registered
qualifying patient or registered designated caregiver may
continue to use the expired identification card until the
Department of Public Health denies the renewal or issues a new
identification card.
(d) Except as otherwise provided in this Section, the
expiration date is 3 years after the date of issuance.
(e) The Department of Public Health may electronically
store in the card any or all of the information listed in
subsection (b), along with the address and date of birth of the
cardholder and the qualifying patient's designated dispensary
organization, to allow it to be read by law enforcement agents.
(Source: P.A. 98-122, eff. 1-1-14; 99-519, eff. 6-30-16.)
(410 ILCS 130/75)
Sec. 75. Notifications to Department of Public Health and
responses; civil penalty.
(a) The following notifications and Department of Public

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Health responses are required:
(1) A registered qualifying patient shall notify the
Department of Public Health of any change in his or her
name or address, or if the registered qualifying patient
ceases to have his or her debilitating medical condition,
within 10 days of the change.
(2) A registered designated caregiver shall notify the
Department of Public Health of any change in his or her
name or address, or if the designated caregiver becomes
aware the registered qualifying patient passed away,
within 10 days of the change.
(3) Before a registered qualifying patient changes his
or her designated caregiver, the qualifying patient must
notify the Department of Public Health.
(4) If a cardholder loses his or her registry
identification card, he or she shall notify the Department
within 10 days of becoming aware the card has been lost.
(b) When a cardholder notifies the Department of Public
Health of items listed in subsection (a), but remains eligible
under this Act, the Department of Public Health shall issue the
cardholder a new registry identification card with a new random
alphanumeric identification number within 15 business days of
receiving the updated information and a fee as specified in
Department of Public Health rules. If the person notifying the
Department of Public Health is a registered qualifying patient,
the Department shall also issue his or her registered

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designated caregiver, if any, a new registry identification
card within 15 business days of receiving the updated
information.
(c) If a registered qualifying patient ceases to be a
registered qualifying patient or changes his or her registered
designated caregiver, the Department of Public Health shall
promptly notify the designated caregiver. The registered
designated caregiver's protections under this Act as to that
qualifying patient shall expire 15 days after notification by
the Department.
(d) A cardholder who fails to make a notification to the
Department of Public Health that is required by this Section is
subject to a civil infraction, punishable by a penalty of no
more than $150.
(e) (Blank) A registered qualifying patient shall notify
the Department of Public Health of any change to his or her
designated registered dispensing organization. The Department
of Public Health shall provide for immediate changes of a
registered qualifying patient's designated registered
dispensing organization. Registered dispensing organizations
must comply with all requirements of this Act.
(f) If the registered qualifying patient's certifying
certifying health care professional notifies the Department in
writing that either the registered qualifying patient has
ceased to suffer from a debilitating medical condition, that
the bona fide health care professional-patient relationship

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has terminated, or that continued use of medical cannabis would
result in contraindication with the patient's other
medication, the card shall become null and void. However, the
registered qualifying patient shall have 15 days to destroy his
or her remaining medical cannabis and related paraphernalia.
(Source: P.A. 100-1114, eff. 8-28-18; 101-363, eff. 8-9-19;
revised 12-9-19.)
(410 ILCS 130/100)
Sec. 100. Cultivation center agent identification card.
(a) The Department of Agriculture shall:
(1) verify the information contained in an application
or renewal for a cultivation center identification card
submitted under this Act, and approve or deny an
application or renewal, within 30 days of receiving a
completed application or renewal application and all
supporting documentation required by rule;
(2) issue a cultivation center agent identification
card to a qualifying agent within 15 business days of
approving the application or renewal;
(3) enter the registry identification number of the
cultivation center where the agent works; and
(4) allow for an electronic application process, and
provide a confirmation by electronic or other methods that
an application has been submitted.
(b) A cultivation center agent must keep his or her

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

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notified and the applicant must cease all activity at the
cultivation center immediately.
(Source: P.A. 98-122, eff. 1-1-14.)
(410 ILCS 130/145)
Sec. 145. Confidentiality.
(a) The following information received and records kept by
the Department of Public Health, Department of Financial and
Professional Regulation, Department of Agriculture, or
Department of State Police for purposes of administering this
Act are subject to all applicable federal privacy laws,
confidential, and exempt from the Freedom of Information Act,
and not subject to disclosure to any individual or public or
private entity, except as necessary for authorized employees of
those authorized agencies to perform official duties under this
Act and the following information received and records kept by
Department of Public Health, Department of Agriculture,
Department of Financial and Professional Regulation, and
Department of State Police, excluding any existing or
non-existing Illinois or national criminal history record
information as defined in subsection (d), may be disclosed to
each other upon request:
(1) Applications and renewals, their contents, and
supporting information submitted by qualifying patients
and designated caregivers, including information regarding
their designated caregivers and certifying health care

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professionals.
(2) Applications and renewals, their contents, and
supporting information submitted by or on behalf of
cultivation centers and dispensing organizations in
compliance with this Act, including their physical
addresses. This does not preclude the release of ownership
information of cannabis business establishment licenses or
information submitted with an application required to be
disclosed pursuant to subsection (c) or pursuant to the
Cannabis Regulation and Tax Act.
(3) The individual names and other information
identifying persons to whom the Department of Public Health
has issued registry identification cards.
(4) Any dispensing information required to be kept
under Section 135, Section 150, or Department of Public
Health, Department of Agriculture, or Department of
Financial and Professional Regulation rules shall identify
cardholders and registered cultivation centers by their
registry identification numbers and medical cannabis
dispensing organizations by their registration number and
not contain names or other personally identifying
information.
(5) All medical records provided to the Department of
Public Health in connection with an application for a
registry card.
(b) Nothing in this Section precludes the following:

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(1) Department of Agriculture, Department of Financial
and Professional Regulation, or Public Health employees
may notify law enforcement about falsified or fraudulent
information submitted to the Departments if the employee
who suspects that falsified or fraudulent information has
been submitted conferred with his or her supervisor and
both agree that circumstances exist that warrant
reporting.
(2) If the employee conferred with his or her
supervisor and both agree that circumstances exist that
warrant reporting, Department of Public Health employees
may notify the Department of Financial and Professional
Regulation if there is reasonable cause to believe a
certifying health care professional:
(A) issued a written certification without a bona
fide health care professional-patient relationship
under this Act;
(B) issued a written certification to a person who
was not under the certifying health care
professional's care for the debilitating medical
condition; or
(C) failed to abide by the acceptable and
prevailing standard of care when evaluating a
patient's medical condition.
(3) The Department of Public Health, Department of
Agriculture, and Department of Financial and Professional

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Regulation may notify State or local law enforcement about
apparent criminal violations of this Act if the employee
who suspects the offense has conferred with his or her
supervisor and both agree that circumstances exist that
warrant reporting.
(4) Medical cannabis cultivation center agents and
medical cannabis dispensing organizations may notify the
Department of Public Health, Department of Financial and
Professional Regulation, or Department of Agriculture of a
suspected violation or attempted violation of this Act or
the rules issued under it.
(5) Each Department may verify registry identification
cards under Section 150.
(6) The submission of the report to the General
Assembly under Section 160.
(c) Each State department responsible for licensure under
this Act shall publish on the department's website the
ownership information and address of each cannabis business
establishment licensed under the department's jurisdiction.
The ownership information shall include, but is not limited to,
the name of the person or entity holding each cannabis business
establishment license and any person or entity exercising
control of the cannabis business establishment. It is a Class B
misdemeanor with a $1,000 fine for any person, including an
employee or official of the Department of Public Health,
Department of Financial and Professional Regulation, or

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Department of Agriculture or another State agency or local
government, to breach the confidentiality of information
obtained under this Act.
(d) The Department of Public Health, the Department of
Agriculture, the Department of State Police, and the Department
of Financial and Professional Regulation shall not share or
disclose any existing or non-existing Illinois or national
criminal history record information. For the purposes of this
Section, "any existing or non-existing Illinois or national
criminal history record information" means any Illinois or
national criminal history record information, including but
not limited to the lack of or non-existence of these records.
(Source: P.A. 101-363, eff. 8-9-19.)
Section 45. The Cannabis Regulation and Tax Act is amended
by changing Sections 1-10, 15-15, 15-40, 15-50, 20-35, 20-50,
25-35, 30-35, 35-30, 40-30, 55-20, 55-21, 55-28, 55-30, 55-35,
55-85, 60-10, and 65-10 and by adding Article 18 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

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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

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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.
"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

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approved by the Department of Agriculture.
"Cannabis container" means a sealed or resealable,
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

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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.

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"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

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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.

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"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

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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

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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,

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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

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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

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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

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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

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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.

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"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.

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"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

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employer to require an employee to disclose sealed or expunged
offenses, unless otherwise required by law.
"Special district" means a unit of local government other
than a county, municipality, or school district.
"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

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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 705/15-15)
Sec. 15-15. Early Approval Adult Use Dispensing
Organization License.
(a) Any medical cannabis dispensing organization holding a
valid registration under the Compassionate Use of Medical
Cannabis Program Act as of the effective date of this Act may,
within 60 days of the effective date of this Act, apply to the
Department for an Early Approval Adult Use Dispensing
Organization License to serve purchasers at any medical
cannabis dispensing location in operation on the effective date
of this Act, pursuant to this Section.
(b) A medical cannabis dispensing organization seeking

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issuance of an Early Approval Adult Use Dispensing Organization
License to serve purchasers at any medical cannabis dispensing
location in operation as of the effective date of this Act
shall submit an application on forms provided by the
Department. The application must be submitted by the same
person or entity that holds the medical cannabis dispensing
organization registration and include the following:
(1) Payment of a nonrefundable fee of $30,000 to be
deposited into the Cannabis Regulation Fund;
(2) Proof of registration as a medical cannabis
dispensing organization that is in good standing;
(3) Certification that the applicant will comply with
the requirements contained in the Compassionate Use of
Medical Cannabis Program Act except as provided in this
Act;
(4) The legal name of the dispensing organization;
(5) The physical address of the dispensing
organization;
(6) The name, address, social security number, and date
of birth of each principal officer and board member of the
dispensing organization, each of whom must be at least 21
years of age;
(7) A nonrefundable Cannabis Business Development Fee
equal to 3% of the dispensing organization's total sales
between June 1, 2018 to June 1, 2019, or $100,000,
whichever is less, to be deposited into the Cannabis

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Business Development Fund; and
(8) Identification of one of the following Social
Equity Inclusion Plans to be completed by March 31, 2021:
(A) Make a contribution of 3% of total sales from
June 1, 2018 to June 1, 2019, or $100,000, whichever is
less, to the Cannabis Business Development Fund. This
is in addition to the fee required by item (7) of this
subsection (b);
(B) Make a grant of 3% of total sales from June 1,
2018 to June 1, 2019, or $100,000, whichever is less,
to a cannabis industry training or education program at
an Illinois community college as defined in the Public
Community College Act;
(C) Make a donation of $100,000 or more to a
program that provides job training services to persons
recently incarcerated or that operates in a
Disproportionately Impacted Area;
(D) Participate as a host in a cannabis business
establishment incubator program approved by the
Department of Commerce and Economic Opportunity, and
in which an Early Approval Adult Use Dispensing
Organization License holder agrees to provide a loan of
at least $100,000 and mentorship to incubate, for at
least a year, a Social Equity Applicant intending to
seek a license or a licensee that qualifies as a Social
Equity Applicant. As used in this Section, "incubate"

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means providing direct financial assistance and
training necessary to engage in licensed cannabis
industry activity similar to that of the host licensee.
The Early Approval Adult Use Dispensing Organization
License holder or the same entity holding any other
licenses issued pursuant to this Act shall not take an
ownership stake of greater than 10% in any business
receiving incubation services to comply with this
subsection. If an Early Approval Adult Use Dispensing
Organization License holder fails to find a business to
incubate to comply with this subsection before its
Early Approval Adult Use Dispensing Organization
License expires, it may opt to meet the requirement of
this subsection by completing another item from this
subsection; or
(E) Participate in a sponsorship program for at
least 2 years approved by the Department of Commerce
and Economic Opportunity in which an Early Approval
Adult Use Dispensing Organization License holder
agrees to provide an interest-free loan of at least
$200,000 to a Social Equity Applicant. The sponsor
shall not take an ownership stake in any cannabis
business establishment receiving sponsorship services
to comply with this subsection.
(c) The license fee required by paragraph (1) of subsection
(b) of this Section shall be in addition to any license fee

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required for the renewal of a registered medical cannabis
dispensing organization license.
(d) Applicants must submit all required information,
including the requirements in subsection (b) of this Section,
to the Department. Failure by an applicant to submit all
required information may result in the application being
disqualified.
(e) If the Department receives an application that fails to
provide the required elements contained in subsection (b), the
Department shall issue a deficiency notice to the applicant.
The applicant shall have 10 calendar days from the date of the
deficiency notice to submit complete information. Applications
that are still incomplete after this opportunity to cure may be
disqualified.
(f) If an applicant meets all the requirements of
subsection (b) of this Section, the Department shall issue the
Early Approval Adult Use Dispensing Organization License
within 14 days of receiving a completed application unless:
(1) The licensee or a principal officer is delinquent
in filing any required tax returns or paying any amounts
owed to the State of Illinois;
(2) The Secretary of Financial and Professional
Regulation determines there is reason, based on documented
compliance violations, the licensee is not entitled to an
Early Approval Adult Use Dispensing Organization License;
or

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(3) Any principal officer fails to register and remain
in compliance with this Act or the Compassionate Use of
Medical Cannabis Program Act.
(g) A registered medical cannabis dispensing organization
that obtains an Early Approval Adult Use Dispensing
Organization License may begin selling cannabis,
cannabis-infused products, paraphernalia, and related items to
purchasers under the rules of this Act no sooner than January
1, 2020.
(h) A dispensing organization holding a medical cannabis
dispensing organization license issued under the Compassionate
Use of Medical Cannabis Program Act must maintain an adequate
supply of cannabis and cannabis-infused products for purchase
by qualifying patients, caregivers, provisional patients, and
Opioid Alternative Pilot Program participants. For the
purposes of this subsection, "adequate supply" means a monthly
inventory level that is comparable in type and quantity to
those medical cannabis products provided to patients and
caregivers on an average monthly basis for the 6 months before
the effective date of this Act.
(i) If there is a shortage of cannabis or cannabis-infused
products, a dispensing organization holding both a dispensing
organization license under the Compassionate Use of Medical
Cannabis Program Act and this Act shall prioritize serving
qualifying patients, caregivers, provisional patients, and
Opioid Alternative Pilot Program participants before serving

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purchasers.
(j) Notwithstanding any law or rule to the contrary, a
person that holds a medical cannabis dispensing organization
license issued under the Compassionate Use of Medical Cannabis
Program Act and an Early Approval Adult Use Dispensing
Organization License may permit purchasers into a limited
access area as that term is defined in administrative rules
made under the authority in the Compassionate Use of Medical
Cannabis Program Act.
(k) An Early Approval Adult Use Dispensing Organization
License is valid until March 31, 2021. A dispensing
organization that obtains an Early Approval Adult Use
Dispensing Organization License shall receive written or
electronic notice 90 days before the expiration of the license
that the license will expire, and that informs the license
holder that it may apply to renew its Early Approval Adult Use
Dispensing Organization License on forms provided by the
Department. The Department shall renew the Early Approval Adult
Use Dispensing Organization License within 60 days of the
renewal application being deemed complete if:
(1) the dispensing organization submits an application
and the required nonrefundable renewal fee of $30,000, to
be deposited into the Cannabis Regulation Fund;
(2) the Department has not suspended or permanently
revoked the Early Approval Adult Use Dispensing
Organization License or a medical cannabis dispensing

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organization license on the same premises for violations of
this Act, the Compassionate Use of Medical Cannabis Program
Act, or rules adopted pursuant to those Acts;
(3) the dispensing organization has completed a Social
Equity Inclusion Plan as provided by parts (A), (B), and
(C) of paragraph (8) of subsection (b) of this Section or
has made substantial progress toward completing a Social
Equity Inclusion Plan as provided by parts (D) and (E) of
paragraph (8) of subsection (b) of this Section; and
(4) the dispensing organization is in compliance with
this Act and rules.
(l) The Early Approval Adult Use Dispensing Organization
License renewed pursuant to subsection (k) of this Section
shall expire March 31, 2022. The Early Approval Adult Use
Dispensing Organization Licensee shall receive written or
electronic notice 90 days before the expiration of the license
that the license will expire, and that informs the license
holder that it may apply for an Adult Use Dispensing
Organization License on forms provided by the Department. The
Department shall grant an Adult Use Dispensing Organization
License within 60 days of an application being deemed complete
if the applicant has met all of the criteria in Section 15-36.
(m) If a dispensing organization fails to submit an
application for renewal of an Early Approval Adult Use
Dispensing Organization License or for an Adult Use Dispensing
Organization License before the expiration dates provided in

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subsections (k) and (l) of this Section, the dispensing
organization shall cease serving purchasers and cease all
operations until it receives a renewal or an Adult Use
Dispensing Organization License, as the case may be.
(n) A dispensing organization agent who holds a valid
dispensing organization agent identification card issued under
the Compassionate Use of Medical Cannabis Program Act and is an
officer, director, manager, or employee of the dispensing
organization licensed under this Section may engage in all
activities authorized by this Article to be performed by a
dispensing organization agent.
(o) If the Department suspends, permanently revokes, or
otherwise disciplines the Early Approval Adult Use Dispensing
Organization License of a dispensing organization that also
holds a medical cannabis dispensing organization license
issued under the Compassionate Use of Medical Cannabis Program
Act, the Department may consider the suspension, permanent
revocation, or other discipline of the medical cannabis
dispensing organization license.
(p) All fees collected pursuant to this Section shall be
deposited into the Cannabis Regulation Fund, unless otherwise
specified.
(q) Notwithstanding any limitation set forth in
subsections (a) and (b) of this Section, any medical cannabis
dispensing organization holding a valid registration on June
25, 2019 under the Compassionate Use of Medical Cannabis

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Program Act that has been awarded an Early Approval Adult Use
Dispensing Organization License may apply to the Department to
change its location. The new location must be located within
the same medical district and BLS Region as the location of the
existing registered medical cannabis dispensary associated
with the Early Approval Adult Use Dispensing Organization
License. The Early Approval Adult Use Dispensing Organization
may only apply to relocate under this subsection (q) if one of
the following conditions applies:
(1) The registered medical cannabis dispensing
organization is located in a unit of local government that
has restricted the sale of adult use cannabis pursuant to
paragraph (5) of Section 55-25 or Section 55-28.
(2) The unit of local government in which the Early
Approval Adult Use Dispensing Organization is located
requests, pursuant to local zoning approval and local
authority, that the State allow the Early Approval Adult
Use Dispensing Organization to move to a different location
within the same unit of local government due to local
zoning concerns or the inability of the Early Approval
Adult Use Dispensing Organization to service both medical
cannabis patients and adult use customers in an orderly and
safe manner.
(r) A holder of an Early Approval Adult Use Dispensing
Organization License applying to change locations under
subsection (q) of this Section shall submit the following to

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the Department:
(1) A copy of the unit of local government's ordinance,
resolution, or other official document demonstrating that
the Early Approval Adult Use Dispensing Organization meets
the requirements of either paragraph (1) or (2) of
subsection (q).
(2) Proof of registration as a medical cannabis
dispensing organization that is in good standing.
(3) Submission of the application by the same person or
entity that holds the medical cannabis dispensing
organization registration.
(4) The legal name of the medical cannabis dispensing
organization.
(5) The physical address of the medical cannabis
dispensing organization and the proposed physical address
of the proposed new site.
(6) A copy of the current local zoning ordinance
provisions relevant to dispensary operations and
documentation of the approval or the conditional approval
of the status of a request for zoning approval from the
local zoning office that the proposed dispensary location
is in compliance with the local zoning rules.
(7) A plot plan of the dispensary drawn to scale. The
applicant shall submit general specifications of the
building exterior and interior layout.
(8) A statement that the medical cannabis dispensing

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organization agrees to respond to the Department's
supplemental requests for information.
(9) For the building or land to be used as the proposed
dispensary:
(A) if the property is not owned by the applicant,
a written statement from the property owner and
landlord, if any, certifying consent that the
applicant may operate a dispensary on the premises; or
(B) if the property is owned by the applicant,
confirmation of ownership and a copy of the proposed
operating bylaws.
(10) 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 services to be offered; and
(B) a description of the process of dispensing
cannabis.
(11) A copy of the proposed security plan that complies
with the requirements of this Article, including:
(A) a description of the delivery process by which
cannabis will be received from a transporting
organization, including receipt of manifests and
protocols that will be used to avoid diversion, theft,
or loss at the dispensary acceptance point;
(B) the process or controls that will be
implemented to monitor the dispensary, secure the

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premises, agents, patients, and currency, and prevent
the diversion, theft, or loss of cannabis; and
(C) the process to ensure that access to the
restricted access areas is restricted to registered
agents, service professionals, transporting
organization agents, Department inspectors, and
security personnel.
(12) A proposed inventory control plan that complies
with this Section.
(13) The name, address, social security number, and
date of birth of each principal officer and board member of
the medical cannabis dispensing organization. Each of
those individuals must be at least 21 years of age.
(s) The Department shall approve any application provided
under subsection (q) of this Section upon receipt by the
Department of the materials that meet the requirements outlined
under subsection (r).
(t) An Early Approval Adult Use Dispensing Organization
License that has been approved for relocation pursuant to
subsection (q) of this Section may begin selling cannabis and
cannabis-infused products to purchasers at the approved
location and shall be subject to the renewal process under
subsections (k) and (l) of this Section.
(u) Relocation of an Early Approval Adult Use Dispensing
Organization License under subsection (q) shall not occur prior
to awarding the Conditional Adult Use Dispensing Organization

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Licenses under Section 15-25.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/15-40)
Sec. 15-40. Dispensing organization agent identification
card; agent training.
(a) The Department shall:
(1) verify the information contained in an application
or renewal for a dispensing organization agent
identification card submitted under this Article, and
approve or deny an application or renewal, within 30 days
of receiving a completed application or renewal
application and all supporting documentation required by
rule;
(2) issue a dispensing organization agent
identification card to a qualifying agent within 15
business days of approving the application or renewal;
(3) enter the registry identification number of the
dispensing organization where the agent works;
(4) within one year from the effective date of this
Act, allow for an electronic application process and
provide a confirmation by electronic or other methods that
an application has been submitted; and
(5) collect a $100 nonrefundable fee from the applicant
to be deposited into the Cannabis Regulation Fund.
(b) A dispensing organization agent must keep his or her

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identification card visible at all times when in the
dispensary.
(c) The dispensing organization agent identification cards
shall contain the following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
dispensing organization agent identification cards;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the cardholder; and
(4) a photograph of the cardholder.
(d) The dispensing organization agent identification cards
shall be immediately returned to the dispensing organization
upon termination of employment.
(e) The Department shall not issue an agent identification
card if the applicant is delinquent in filing any required tax
returns or paying any amounts owed to the State of Illinois.
(f) Any card lost by a dispensing organization agent shall
be reported to the Department of State Police and the
Department immediately upon discovery of the loss.
(g) An applicant shall be denied a dispensing organization
agent identification card renewal if he or she fails to
complete the training provided for in this Section.
(h) A dispensing organization agent shall only be required
to hold one card for the same employer regardless of what type
of dispensing organization license the employer holds.

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(i) Cannabis retail sales training requirements.
(1) Within 90 days of September 1, 2019, or 90 days of
employment, whichever is later, all owners, managers,
employees, and agents involved in the handling or sale of
cannabis or cannabis-infused product employed by an adult
use dispensing organization or medical cannabis dispensing
organization as defined in Section 10 of the Compassionate
Use of Medical Cannabis Program Act shall attend and
successfully complete a Responsible Vendor Program.
(2) Each owner, manager, employee, and agent of an
adult use dispensing organization or medical cannabis
dispensing organization shall successfully complete the
program annually.
(3) Responsible Vendor Program Training modules shall
include at least 2 hours of instruction time approved by
the Department including:
(i) Health and safety concerns of cannabis use,
including the responsible use of cannabis, its
physical effects, onset of physiological effects,
recognizing signs of impairment, and appropriate
responses in the event of overconsumption.
(ii) Training on laws and regulations on driving
while under the influence and operating a watercraft or
snowmobile while under the influence.
(iii) Sales to minors prohibition. Training shall
cover all relevant Illinois laws and rules.

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(iv) Quantity limitations on sales to purchasers.
Training shall cover all relevant Illinois laws and
rules.
(v) Acceptable forms of identification. Training
shall include:
(I) How to check identification; and
(II) Common mistakes made in verification;
(vi) Safe storage of cannabis;
(vii) Compliance with all inventory tracking
system regulations;
(viii) Waste handling, management, and disposal;
(ix) Health and safety standards;
(x) Maintenance of records;
(xi) Security and surveillance requirements;
(xii) Permitting inspections by State and local
licensing and enforcement authorities;
(xiii) Privacy issues;
(xiv) Packaging and labeling requirement for sales
to purchasers; and
(xv) Other areas as determined by rule.
(j) Blank.
(k) Upon the successful completion of the Responsible
Vendor Program, the provider shall deliver proof of completion
either through mail or electronic communication to the
dispensing organization, which shall retain a copy of the
certificate.

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(l) The license of a dispensing organization or medical
cannabis dispensing organization whose owners, managers,
employees, or agents fail to comply with this Section may be
suspended or permanently revoked under Section 15-145 or may
face other disciplinary action.
(m) The regulation of dispensing organization and medical
cannabis dispensing employer and employee training is an
exclusive function of the State, and regulation by a unit of
local government, including a home rule unit, is prohibited.
This subsection (m) is a denial and limitation of home rule
powers and functions under subsection (h) of Section 6 of
Article VII of the Illinois Constitution.
(n) Persons seeking Department approval to offer the
training required by paragraph (3) of subsection (i) may apply
for such approval between August 1 and August 15 of each
odd-numbered year in a manner prescribed by the Department.
(o) Persons seeking Department approval to offer the
training required by paragraph (3) of subsection (i) shall
submit a nonrefundable application fee of $2,000 to be
deposited into the Cannabis Regulation Fund or a fee as may be
set by rule. Any changes made to the training module shall be
approved by the Department.
(p) The Department shall not unreasonably deny approval of
a training module that meets all the requirements of paragraph
(3) of subsection (i). A denial of approval shall include a
detailed description of the reasons for the denial.

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(q) Any person approved to provide the training required by
paragraph (3) of subsection (i) shall submit an application for
re-approval between August 1 and August 15 of each odd-numbered
year and include a nonrefundable application fee of $2,000 to
be deposited into the Cannabis Regulation Fund or a fee as may
be set by rule.
(r) All persons applying to become or renewing their
registrations to be agents, including agents-in-charge and
principal officers, shall disclose any disciplinary action
taken against them that may have occurred in Illinois, another
state, or another country in relation to their employment at a
cannabis business establishment or at any cannabis cultivation
center, processor, infuser, dispensary, or other cannabis
business establishment.
(s) An agent may begin employment at a dispensing
organization while the agent's identification card application
is pending. Upon approval, the Department shall issue the
agent's identification card to the dispensing organization
agent applicant. If denied, the dispensing organization and the
applicant shall be notified and the applicant must cease all
activity at the dispensing organization immediately.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/15-50)
Sec. 15-50. Disclosure of ownership and control.
(a) Each dispensing organization applicant and licensee

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shall file and maintain a Table of Organization, Ownership and
Control with the Department. The Table of Organization,
Ownership and Control shall contain the information required by
this Section in sufficient detail to identify all owners,
directors, and principal officers, and the title of each
principal officer or business entity that, through direct or
indirect means, manages, owns, or controls the applicant or
licensee.
(b) The Table of Organization, Ownership and Control shall
identify the following information:
(1) The management structure, ownership, and control
of the applicant or license holder including the name of
each principal officer or business entity, the office or
position held, and the percentage ownership interest, if
any. If the business entity has a parent company, the name
of each owner, board member, and officer of the parent
company and his or her percentage ownership interest in the
parent company and the dispensing organization.
(2) If the applicant or licensee is a business entity
with publicly traded stock, the identification of
ownership shall be provided as required in subsection (c).
(3) The identity, including the name and address, of
every person or entity having a financial or voting
interest of 5% or more in the dispensing organization for
which the license is sought, whether the person or entity
is a trust, corporation, partnership, limited liability

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company, or sole proprietorship.
(c) If a business entity identified in subsection (b) is a
publicly traded company, the following information shall be
provided in the Table of Organization, Ownership and Control:
(1) The name and percentage of ownership interest of
each individual or business entity with ownership of more
than 5% of the voting shares of the entity, to the extent
such information is known or contained in 13D or 13G
Securities and Exchange Commission filings.
(2) To the extent known, the names and percentage of
interest of ownership of persons who are relatives of one
another and who together exercise control over or own more
than 10% of the voting shares of the entity.
(d) A dispensing organization with a parent company or
companies, or partially owned or controlled by another entity
must disclose to the Department the relationship and all
owners, board members, officers, or individuals with control or
management of those entities. A dispensing organization shall
not shield its ownership or control from the Department.
(e) All principal officers must submit a complete online
application with the Department within 14 days of the
dispensing organization being licensed by the Department or
within 14 days of Department notice of approval as a new
principal officer.
(f) A principal officer may not allow his or her
registration to expire.

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(g) A dispensing organization separating with a principal
officer must do so under this Act. The principal officer must
communicate the separation to the Department within 5 business
days.
(h) A principal officer not in compliance with the
requirements of this Act shall be removed from his or her
position with the dispensing organization or shall otherwise
terminate his or her affiliation. Failure to do so may subject
the dispensing organization to discipline, suspension, or
revocation of its license by the Department.
(i) It is the responsibility of the dispensing organization
and its principal officers to promptly notify the Department of
any change of the principal place of business address, hours of
operation, change in ownership or control, or a change of the
dispensing organization's primary or secondary contact
information. Any changes must be made to the Department in
writing.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/Art. 18 heading new)
Article 18.
Tied Applicants
(410 ILCS 705/18-1 new)
Sec. 18-1. Definitions. In this Article:
"Applicant" means the Proposed Dispensing Organization

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Name as stated on a license application for a Conditional Adult
Use Dispensing Organization License issued under subsection
(a) of Section 15-25.
"Application points" means the number of points an
applicant receives at the conclusion of the scoring process.
"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 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.
"By lot" means a randomized method of choosing between 2 or
more eligible applicants.
"Department" means the Department of Financial and
Professional Regulation.
"Dispensing Organization License" means any Early Approval
Adult Use Dispensing Organization License, Conditional Adult
Use Dispensing Organization License, or Adult Use Dispensing
Organization Licenses.
"Eligible applicant" means a tied applicant that is
eligible to participate in the process by which a remaining
available license is distributed by lot.

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"License" means a Conditional Adult Use Dispensing
Organization Licenses issued under subsection (a) of Section
15-25.
"Principal officer" includes a cannabis business
establishment applicant or licensed cannabis business
establishment's board member, an 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, a president, a vice president, a
secretary, a treasurer, a partner, an officer, a member, a
manager member, or a person with a profit sharing, financial
interest, or revenue sharing arrangement. "Principal officer"
includes a person with authority to control the cannabis
business establishment who assumes responsibility for the
debts of the cannabis business establishment and who meets the
definition of "principal officer" as that term is defined under
Section 1-10.
"Remaining available license" means a license in a BLS
Region that has not been awarded by the Department at the
conclusion of the scoring process period. There may be more
than one remaining available license in a BLS Region. For
example, if 4 licenses are available in a BLS Region and the 5
highest-scoring applicants receive scores of 245, 240, 235,
235, and 235 points, the applicants receiving 245 and 240
application points will be awarded licenses and the 3
applicants receiving 235 points may become eligible

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applicants. Likewise, if one license is available in a BLS
Region and there are 5 applicants with the highest score, all 5
applicants may become eligible applicants.
"Scoring process period" is the period of time between the
conclusion of the submission period for a license application
and when the Department publishes the following information:
(1) the names of applicants that have been awarded
licenses based on their receiving the highest number of
application points; and
(2) the names of tied applicants that may become
eligible applicants.
"Tied applicant" means an applicant for a Conditional Adult
Use Dispensing Organization License issued under subsection
(a) of Section 15-25 that has received the same number of
application points as one or more other applicants in the same
BLS Region and would have been awarded a license but for the
one or more other applicants that received the same number of
application points.
(410 ILCS 705/18-5 new)
Sec. 18-5. Method of distribution of licenses; tied
applicants in a BLS Region.
(a) A tied applicant may qualify as an eligible applicant,
subject to the following:
(1) A tied applicant is prohibited from becoming an
eligible applicant if a principal officer of the tied

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applicant is a principal officer of more tied applicants
than the number of remaining available licenses. For
example, if an individual is a principal officer of 4 tied
applicants and there are 2 remaining available licenses, no
more than 2 of those tied applicants may become eligible
applicants.
(2) A tied applicant is prohibited from becoming an
eligible applicant if a principal officer of a tied
applicant resigns after the conclusion of the scoring
process period.
(3) A tied applicant is prohibited from becoming an
eligible applicant if, after the conclusion of the
declination period identified pursuant to subsection (b),
a principal officer of the applicant is a principal officer
of more tied applicants than the number of remaining
available licenses.
(b) A tied applicant may decline to become an eligible
applicant by informing the Department within 5 business days of
the conclusion of the scoring process. The declination must be
submitted on forms approved by the Department.
(c) If at the conclusion of the scoring process period
there are 2 or more eligible applicants, the Department may
distribute the remaining available licenses by lot, subject to
the following:
(1) The Department shall publish a list of eligible
applicants at least 5 business days before the day the

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remaining available licenses are distributed.
(2) The drawing by lot for all remaining available
licenses shall occur on the same day.
(3) For each BLS Region, the Department shall draw a
number of eligible applicants equal to 5 times the number
of remaining eligible applicants.
(4) Within each BLS Region, the first eligible
applicant drawn shall have the first right to a remaining
available license. The second eligible applicant drawn
shall have the second right to a remaining available
license. The same pattern shall continue for each
subsequent eligible applicant drawn.
(5) The process for distributing remaining available
licenses shall be recorded by the Department in a format at
its discretion.
(6) If upon being selected for a remaining available
license the eligible applicant has a principal officer that
is a principal officer in more than 10 Early Approval Adult
Use Dispensing Organization Licenses, Early Approval Adult
Use Dispensing Organization Licenses at secondary sites,
Conditional Adult Use Dispensing Organization Licenses, or
Adult Use Dispensing Organization Licenses, the licensees
and the eligible applicant listing principal officer must
choose which license to abandon pursuant to subsection (d)
of Section 15-36 and notify the Department in writing
within 5 business days. If the eligible applicant or

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licensees do not notify the Department as required, the
Department shall refuse to issue all remaining available
licenses obtained by lot in all BLS Regions to the eligible
applicant.
(7) All remaining available licenses that are
abandoned shall be distributed to the next eligible
applicant drawn by lot. If there are no additional eligible
applicants, the license shall be awarded to the applicant
receiving the next highest number of application points in
the BLS Region.
(410 ILCS 705/20-35)
Sec. 20-35. Cultivation center agent identification card.
(a) The Department of Agriculture shall:
(1) establish by rule the information required in an
initial application or renewal application for an agent
identification card submitted under this Act and the
nonrefundable fee to accompany the initial application or
renewal application;
(2) verify the information contained in an initial
application or renewal application for an agent
identification card submitted under this Act, and approve
or deny an application within 30 days of receiving a
completed initial application or renewal application and
all supporting documentation required by rule;
(3) issue an agent identification card to a qualifying

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agent within 15 business days of approving the initial
application or renewal application;
(4) enter the license number of the cultivation center
where the agent works; and
(5) allow for an electronic initial application and
renewal application process, and provide a confirmation by
electronic or other methods that an application has been
submitted. The Department of Agriculture may by rule
require prospective agents to file their applications by
electronic means and provide notices to the agents by
electronic means.
(b) An agent must keep his or her identification card
visible at all times when on the property of the cultivation
center at which the agent is employed.
(c) The agent identification cards shall contain the
following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
identification card;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the holder;
(4) a photograph of the cardholder; and
(5) the legal name of the cultivation center employing
the agent.
(d) An agent identification card shall be immediately

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returned to the cultivation center of the agent upon
termination of his or her employment.
(e) Any agent identification card lost by a cultivation
center agent shall be reported to the Department of State
Police and the Department of Agriculture immediately upon
discovery of the loss.
(f) The Department of Agriculture shall not issue an agent
identification card if the applicant is delinquent in filing
any required tax returns or paying any amounts owed to the
State of Illinois.
(g) An agent may begin employment at a cultivation center
while the agent's identification card application is pending.
Upon approval, the Department shall issue the agent's
identification card to the cultivation center agent applicant.
If denied, the cultivation center and the applicant shall be
notified and the applicant must cease all activity at the
cultivation center immediately.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/20-50)
Sec. 20-50. Cultivator taxes; returns.
(a) A tax is imposed upon the privilege of cultivating and
processing adult use cannabis at the rate of 7% of the gross
receipts from the sale of cannabis by a cultivator to a
dispensing organization. The sale of any adult use product that
contains any amount of cannabis or any derivative thereof is

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subject to the tax under this Section on the full selling price
of the product. The proceeds from this tax shall be deposited
into the Cannabis Regulation Fund. This tax shall be paid by
the cultivator who makes the first sale and is not the
responsibility of a dispensing organization, qualifying
patient, or purchaser.
(b) In the administration of and compliance with this
Section, the Department of Revenue and persons who are subject
to this Section: (i) have the same rights, remedies,
privileges, immunities, powers, and duties, (ii) are subject to
the same conditions, restrictions, limitations, penalties, and
definitions of terms, and (iii) shall employ the same modes of
procedure as are set forth in the Cannabis Cultivation
Privilege Tax Law and the Uniform Penalty and Interest Act as
if those provisions were set forth in this Section.
(c) The tax imposed under this Act shall be in addition to
all other occupation or privilege taxes imposed by the State of
Illinois or by any municipal corporation or political
subdivision thereof.
(d) Notwithstanding any other provision of law, no special
district may levy a tax upon the cultivation and processing of
adult use cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/25-35)
(Section scheduled to be repealed on July 1, 2026)

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Sec. 25-35. Community College Cannabis Vocational Training
Pilot Program faculty participant agent identification card.
(a) The Department shall:
(1) establish by rule the information required in an
initial application or renewal application for an agent
identification card submitted under this Article and the
nonrefundable fee to accompany the initial application or
renewal application;
(2) verify the information contained in an initial
application or renewal application for an agent
identification card submitted under this Article, and
approve or deny an application within 30 days of receiving
a completed initial application or renewal application and
all supporting documentation required by rule;
(3) issue an agent identification card to a qualifying
agent within 15 business days of approving the initial
application or renewal application;
(4) enter the license number of the community college
where the agent works; and
(5) allow for an electronic initial application and
renewal application process, and provide a confirmation by
electronic or other methods that an application has been
submitted. Each Department may by rule require prospective
agents to file their applications by electronic means and
to provide notices to the agents by electronic means.
(b) An agent must keep his or her identification card

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visible at all times when in the enclosed, locked facility, or
facilities for which he or she is an agent.
(c) The agent identification cards shall contain the
following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
identification card;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the holder;
(4) a photograph of the cardholder; and
(5) the legal name of the community college employing
the agent.
(d) An agent identification card shall be immediately
returned to the community college of the agent upon termination
of his or her employment.
(e) Any agent identification card lost shall be reported to
the Department of State Police and the Department of
Agriculture immediately upon discovery of the loss.
(f) An agent may begin employment at a Community College
Cannabis Vocational Training Pilot Program while the agent's
identification card application is pending. Upon approval, the
Department shall issue the agent's identification card to the
Community College Cannabis Vocational Training Pilot Program
participant agent applicant. If denied, the Community College
Cannabis Vocational Training Pilot Program and the participant

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applicant shall be notified and the applicant must cease all
activity at the cultivation center immediately.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/30-35)
Sec. 30-35. Craft grower agent identification card.
(a) The Department of Agriculture shall:
(1) establish by rule the information required in an
initial application or renewal application for an agent
identification card submitted under this Act and the
nonrefundable fee to accompany the initial application or
renewal application;
(2) verify the information contained in an initial
application or renewal application for an agent
identification card submitted under this Act and approve or
deny an application within 30 days of receiving a completed
initial application or renewal application and all
supporting documentation required by rule;
(3) issue an agent identification card to a qualifying
agent within 15 business days of approving the initial
application or renewal application;
(4) enter the license number of the craft grower where
the agent works; and
(5) allow for an electronic initial application and
renewal application process, and provide a confirmation by
electronic or other methods that an application has been

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submitted. The Department of Agriculture may by rule
require prospective agents to file their applications by
electronic means and provide notices to the agents by
electronic means.
(b) An agent must keep his or her identification card
visible at all times when on the property of a cannabis
business establishment, including the craft grower
organization for which he or she is an agent.
(c) The agent identification cards shall contain the
following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
identification card;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the holder;
(4) a photograph of the cardholder; and
(5) the legal name of the craft grower organization
employing the agent.
(d) An agent identification card shall be immediately
returned to the cannabis business establishment of the agent
upon termination of his or her employment.
(e) Any agent identification card lost by a craft grower
agent shall be reported to the Department of State Police and
the Department of Agriculture immediately upon discovery of the
loss.

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(f) An agent may begin employment at a craft grower
organization while the agent's identification card application
is pending. Upon approval, the Department shall issue the
agent's identification card to the craft grower organization
agent applicant. If denied, the craft grower organization and
the applicant shall be notified and the applicant must cease
all activity at the craft grower organization immediately.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/35-30)
Sec. 35-30. Infuser agent identification card.
(a) The Department of Agriculture shall:
(1) establish by rule the information required in an
initial application or renewal application for an agent
identification card submitted under this Act and the
nonrefundable fee to accompany the initial application or
renewal application;
(2) verify the information contained in an initial
application or renewal application for an agent
identification card submitted under this Act, and approve
or deny an application within 30 days of receiving a
completed initial application or renewal application and
all supporting documentation required by rule;
(3) issue an agent identification card to a qualifying
agent within 15 business days of approving the initial
application or renewal application;

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(4) enter the license number of the infuser where the
agent works; and
(5) allow for an electronic initial application and
renewal application process, and provide a confirmation by
electronic or other methods that an application has been
submitted. The Department of Agriculture may by rule
require prospective agents to file their applications by
electronic means and provide notices to the agents by
electronic means.
(b) An agent must keep his or her identification card
visible at all times when on the property of a cannabis
business establishment including the cannabis business
establishment for which he or she is an agent.
(c) The agent identification cards shall contain the
following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
identification card;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the holder;
(4) a photograph of the cardholder; and
(5) the legal name of the infuser organization
employing the agent.
(d) An agent identification card shall be immediately
returned to the infuser organization of the agent upon

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termination of his or her employment.
(e) Any agent identification card lost by a transporting
agent shall be reported to the Department of State Police and
the Department of Agriculture immediately upon discovery of the
loss.
(f) An agent may begin employment at an infuser
organization while the agent's identification card application
is pending. Upon approval, the Department shall issue the
agent's identification card to the infuser organization agent
applicant. If denied, the infuser organization and the
applicant shall be notified and the applicant must cease all
activity at the infuser organization immediately.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/40-30)
Sec. 40-30. Transporting agent identification card.
(a) The Department of Agriculture shall:
(1) establish by rule the information required in an
initial application or renewal application for an agent
identification card submitted under this Act and the
nonrefundable fee to accompany the initial application or
renewal application;
(2) verify the information contained in an initial
application or renewal application for an agent
identification card submitted under this Act and approve or
deny an application within 30 days of receiving a completed

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initial application or renewal application and all
supporting documentation required by rule;
(3) issue an agent identification card to a qualifying
agent within 15 business days of approving the initial
application or renewal application;
(4) enter the license number of the transporting
organization where the agent works; and
(5) allow for an electronic initial application and
renewal application process, and provide a confirmation by
electronic or other methods that an application has been
submitted. The Department of Agriculture may by rule
require prospective agents to file their applications by
electronic means and provide notices to the agents by
electronic means.
(b) An agent must keep his or her identification card
visible at all times when on the property of a cannabis
business establishment, including the cannabis business
establishment for which he or she is an agent.
(c) The agent identification cards shall contain the
following:
(1) the name of the cardholder;
(2) the date of issuance and expiration date of the
identification card;
(3) a random 10-digit alphanumeric identification
number containing at least 4 numbers and at least 4 letters
that is unique to the holder;

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(4) a photograph of the cardholder; and
(5) the legal name of the transporting organization
employing the agent.
(d) An agent identification card shall be immediately
returned to the transporting organization of the agent upon
termination of his or her employment.
(e) Any agent identification card lost by a transporting
agent shall be reported to the Department of State Police and
the Department of Agriculture immediately upon discovery of the
loss.
(f) An application for an agent identification card shall
be denied if the applicant is delinquent in filing any required
tax returns or paying any amounts owed to the State of
Illinois.
(g) An agent may begin employment at a transporting
organization while the agent's identification card application
is pending. Upon approval, the Department shall issue the
agent's identification card to the transporting agent
applicant. If denied, the transporting organization and the
applicant shall be notified and the applicant must cease all
activity at the transporting organization immediately.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/55-20)
Sec. 55-20. Advertising and promotions.
(a) No cannabis business establishment nor any other person

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or entity shall engage in advertising that contains any
statement or illustration that:
(1) is false or misleading;
(2) promotes overconsumption of cannabis or cannabis
products;
(3) depicts the actual consumption of cannabis or
cannabis products;
(4) depicts a person under 21 years of age consuming
cannabis;
(5) makes any health, medicinal, or therapeutic claims
about cannabis or cannabis-infused products;
(6) includes the image of a cannabis leaf or bud; or
(7) includes any image designed or likely to appeal to
minors, including cartoons, toys, animals, or children, or
any other likeness to images, characters, or phrases that
is designed in any manner to be appealing to or encourage
consumption by persons under 21 years of age.
(b) No cannabis business establishment nor any other person
or entity shall place or maintain, or cause to be placed or
maintained, an advertisement of cannabis or a cannabis-infused
product in any form or through any medium:
(1) within 1,000 feet of the perimeter of school
grounds, a playground, a recreation center or facility, a
child care center, a public park or public library, or a
game arcade to which admission is not restricted to persons
21 years of age or older;

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(2) on or in a public transit vehicle or public transit
shelter;
(3) on or in publicly owned or publicly operated
property; or
(4) that contains information that:
(A) is false or misleading;
(B) promotes excessive consumption;
(C) depicts a person under 21 years of age
consuming cannabis;
(D) includes the image of a cannabis leaf; or
(E) includes any image designed or likely to appeal
to minors, including cartoons, toys, animals, or
children, or any other likeness to images, characters,
or phrases that are popularly used to advertise to
children, or any imitation of candy packaging or
labeling, or that promotes consumption of cannabis.
(c) Subsections (a) and (b) do not apply to an educational
message.
(d) Sales promotions. No cannabis business establishment
nor any other person or entity may encourage the sale of
cannabis or cannabis products by giving away cannabis or
cannabis products, by conducting games or competitions related
to the consumption of cannabis or cannabis products, or by
providing promotional materials or activities of a manner or
type that would be appealing to children.
(b-5) Paragraphs (1), (2), and (3) of subsection (b) do not

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apply if the cannabis business establishment is advertising via
marketing directed toward an application on an
Internet-capable electronic device, including, but not limited
to, a cellular telephone, and the application:
(1) is limited to installation and use on an
Internet-capable electronic device by an individual who is
21 years of age or older; and
(2) includes a permanent mechanism to opt out of using
or installing the application, including, but not limited
to, deleting the application.
(b-10) Paragraphs (1), (2), and (3) of subsection (b) do
not apply to a newspaper, as defined in Section 5 of the Notice
by Publication Act. A cannabis business establishment shall not
advertise in a newspaper if more than 30 percent of the
newspaper's readership is reasonably expected to be under the
age of 21.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/55-21)
Sec. 55-21. Cannabis product packaging and labeling.
(a) Each cannabis product produced for sale shall be
registered with the Department of Agriculture on forms provided
by the Department of Agriculture. Each product registration
shall include a label and the required registration fee at the
rate established by the Department of Agriculture for a
comparable medical cannabis product, or as established by rule.

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The registration fee is for the name of the product offered for
sale and one fee shall be sufficient for all package sizes.
(b) All harvested cannabis intended for distribution to a
cannabis enterprise must be packaged in a sealed, labeled
container.
(c) At point of sale, any Any product containing cannabis
shall be packaged in a sealed or resealable, odor-proof, and
child-resistant cannabis container consistent with current
standards, including the Consumer Product Safety Commission
standards referenced by the Poison Prevention Act.
(d) All cannabis-infused products shall be individually
wrapped or packaged at the original point of preparation. The
packaging of the cannabis-infused product shall conform to the
labeling requirements of the Illinois Food, Drug and Cosmetic
Act, in addition to the other requirements set forth in this
Section.
(e) Each cannabis product shall be labeled before sale and
each label shall be securely affixed to the package and shall
state in legible English and any languages required by the
Department of Agriculture:
(1) the name and post office box of the registered
cultivation center or craft grower where the item was
manufactured;
(2) the common or usual name of the item and the
registered name of the cannabis product that was registered
with the Department of Agriculture under subsection (a);

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(3) a unique serial number that will match the product
with a cultivation center or craft grower batch and lot
number to facilitate any warnings or recalls the Department
of Agriculture, cultivation center, or craft grower deems
appropriate;
(4) the date of final testing and packaging, if
sampled, and the identification of the independent testing
laboratory;
(5) the date of harvest and "use by" date;
(6) the quantity (in ounces or grams) of cannabis
contained in the product;
(7) a pass/fail rating based on the laboratory's
microbiological, mycotoxins, and pesticide and solvent
residue analyses, if sampled;
(8) content list.
(A) A list of the following, including the minimum
and maximum percentage content by weight for
subdivisions (e)(8)(A)(i) through (iv):
(i) delta-9-tetrahydrocannabinol (THC);
(ii) tetrahydrocannabinolic acid (THCA);
(iii) cannabidiol (CBD);
(iv) cannabidiolic acid (CBDA); and
(v) all other ingredients of the item,
including any colors, artificial flavors, and
preservatives, listed in descending order by
predominance of weight shown with common or usual

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names.
(B) The acceptable tolerances for the minimum
percentage printed on the label for any of subdivisions
(e)(8)(A)(i) through (iv) shall not be below 85% or
above 115% of the labeled amount.
(f) Packaging must not contain information that:
(1) is false or misleading;
(2) promotes excessive consumption;
(3) depicts a person under 21 years of age consuming
cannabis;
(4) includes the image of a cannabis leaf;
(5) includes any image designed or likely to appeal to
minors, including cartoons, toys, animals, or children, or
any other likeness to images, characters, or phrases that
are popularly used to advertise to children, or any
packaging or labeling that bears reasonable resemblance to
any product available for consumption as a commercially
available candy, or that promotes consumption of cannabis;
(6) contains any seal, flag, crest, coat of arms, or
other insignia likely to mislead the purchaser to believe
that the product has been endorsed, made, or used by the
State of Illinois or any of its representatives except
where authorized by this Act.
(g) Cannabis products produced by concentrating or
extracting ingredients from the cannabis plant shall contain
the following information, where applicable:

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(1) If solvents were used to create the concentrate or
extract, a statement that discloses the type of extraction
method, including any solvents or gases used to create the
concentrate or extract; and
(2) Any other chemicals or compounds used to produce or
were added to the concentrate or extract.
(h) All cannabis products must contain warning statements
established for purchasers, of a size that is legible and
readily visible to a consumer inspecting a package, which may
not be covered or obscured in any way. The Department of Public
Health shall define and update appropriate health warnings for
packages including specific labeling or warning requirements
for specific cannabis products.
(i) Unless modified by rule to strengthen or respond to new
evidence and science, the following warnings shall apply to all
cannabis products unless modified by rule: "This product
contains cannabis and is intended for use by adults 21 and
over. Its use can impair cognition and may be habit forming.
This product should not be used by pregnant or breastfeeding
women. It is unlawful to sell or provide this item to any
individual, and it may not be transported outside the State of
Illinois. It is illegal to operate a motor vehicle while under
the influence of cannabis. Possession or use of this product
may carry significant legal penalties in some jurisdictions and
under federal law.".
(j) Warnings for each of the following product types must

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be present on labels when offered for sale to a purchaser:
(1) Cannabis that may be smoked must contain a
statement that "Smoking is hazardous to your health.".
(2) Cannabis-infused products (other than those
intended for topical application) must contain a statement
"CAUTION: This product contains cannabis, and intoxication
following use may be delayed 2 or more hours. This product
was produced in a facility that cultivates cannabis, and
that may also process common food allergens.".
(3) Cannabis-infused products intended for topical
application must contain a statement "DO NOT EAT" in bold,
capital letters.
(k) Each cannabis-infused product intended for consumption
must be individually packaged, must include the total milligram
content of THC and CBD, and may not include more than a total
of 100 milligrams of THC per package. A package may contain
multiple servings of 10 milligrams of THC, indicated by
scoring, wrapping, or by other indicators designating
individual serving sizes. The Department of Agriculture may
change the total amount of THC allowed for each package, or the
total amount of THC allowed for each serving size, by rule.
(l) No individual other than the purchaser may alter or
destroy any labeling affixed to the primary packaging of
cannabis or cannabis-infused products.
(m) For each commercial weighing and measuring device used
at a facility, the cultivation center or craft grower must:

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(1) Ensure that the commercial device is licensed under
the Weights and Measures Act and the associated
administrative rules (8 Ill. Adm. Code 600);
(2) Maintain documentation of the licensure of the
commercial device; and
(3) Provide a copy of the license of the commercial
device to the Department of Agriculture for review upon
request.
(n) It is the responsibility of the Department to ensure
that packaging and labeling requirements, including product
warnings, are enforced at all times for products provided to
purchasers. Product registration requirements and container
requirements may be modified by rule by the Department of
Agriculture.
(o) Labeling, including warning labels, may be modified by
rule by the Department of Agriculture.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/55-28)
Sec. 55-28. Restricted cannabis zones.
(a) As used in this Section:
"Legal voter" means a person:
(1) who is duly registered to vote in a municipality
with a population of over 500,000;
(2) whose name appears on a poll list compiled by the
city board of election commissioners since the last

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preceding election, regardless of whether the election was
a primary, general, or special election;
(3) who, at the relevant time, is a resident of the
address at which he or she is registered to vote; and
(4) whose address, at the relevant time, is located in
the precinct where such person seeks to file a notice of
intent to initiate a petition process, circulate a
petition, or sign a petition under this Section.
As used in the definition of "legal voter", "relevant time"
means any time that:
(i) a notice of intent is filed, pursuant to subsection
(c) of this Section, to initiate the petition process under
this Section;
(ii) the petition is circulated for signature in the
applicable precinct; or
(iii) the petition is signed by registered voters in
the applicable precinct.
"Petition" means the petition described in this Section.
"Precinct" means the smallest constituent territory within
a municipality with a population of over 500,000 in which
electors vote as a unit at the same polling place in any
election governed by the Election Code.
"Restricted cannabis zone" means a precinct within which
home cultivation, one or more types of cannabis business
establishments, or both has been prohibited pursuant to an
ordinance initiated by a petition under this Section.

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(b) The legal voters of any precinct within a municipality
with a population of over 500,000 may petition their local
alderman, using a petition form made available online by the
city clerk, to introduce an ordinance establishing the precinct
as a restricted zone. Such petition shall specify whether it
seeks an ordinance to prohibit, within the precinct: (i) home
cultivation; (ii) one or more types of cannabis business
establishments; or (iii) home cultivation and one or more types
of cannabis business establishments.
Upon receiving a petition containing the signatures of at
least 25% of the registered voters of the precinct, and
concluding that the petition is legally sufficient following
the posting and review process in subsection (c) of this
Section, the city clerk shall notify the local alderman of the
ward in which the precinct is located. Upon being notified,
that alderman, following an assessment of relevant factors
within the precinct, including but not limited to, its
geography, density and character, the prevalence of
residentially zoned property, current licensed cannabis
business establishments in the precinct, the current amount of
home cultivation in the precinct, and the prevailing viewpoint
with regard to the issue raised in the petition, may introduce
an ordinance to the municipality's governing body creating a
restricted cannabis zone in that precinct.
(c) A person seeking to initiate the petition process
described in this Section shall first submit to the city clerk

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notice of intent to do so, on a form made available online by
the city clerk. That notice shall include a description of the
potentially affected area and the scope of the restriction
sought. The city clerk shall publicly post the submitted notice
online.
To be legally sufficient, a petition must contain the
requisite number of valid signatures and all such signatures
must be obtained within 90 days of the date that the city clerk
publicly posts the notice of intent. Upon receipt, the city
clerk shall post the petition on the municipality's website for
a 30-day comment period. The city clerk is authorized to take
all necessary and appropriate steps to verify the legal
sufficiency of a submitted petition. Following the petition
review and comment period, the city clerk shall publicly post
online the status of the petition as accepted or rejected, and
if rejected, the reasons therefor. If the city clerk rejects a
petition as legally insufficient, a minimum of 12 months must
elapse from the time the city clerk posts the rejection notice
before a new notice of intent for that same precinct may be
submitted.
(c-5) Within 3 days after receiving an application for
zoning approval to locate a cannabis business establishment
within a municipality with a population of over 500,000, the
municipality shall post a public notice of the filing on its
website and notify the alderman of the ward in which the
proposed cannabis business establishment is to be located of

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the filing. No action shall be taken on the zoning application
for 7 business days following the notice of the filing for
zoning approval.
If a notice of intent to initiate the petition process to
prohibit the type of cannabis business establishment proposed
in the precinct of the proposed cannabis business establishment
is filed prior to the filing of the application or within the
7-day period after the filing of the application, the
municipality shall not approve the application for at least 90
days after the city clerk publicly posts the notice of intent
to initiate the petition process. If a petition is filed within
the 90-day petition-gathering period described in subsection
(c), the municipality shall not approve the application for an
additional 90 days after the city clerk's receipt of the
petition; provided that if the city clerk rejects a petition as
legally insufficient, the municipality may approve the
application prior to the end of the 90 days. If a petition is
not submitted within the 90-day petition-gathering period
described in subsection (c), the municipality may approve the
application unless the approval is otherwise stayed pursuant to
this subsection by a separate notice of intent to initiate the
petition process filed timely within the 7-day period.
If no legally sufficient petition is timely filed, a
minimum of 12 months must elapse before a new notice of intent
for that same precinct may be submitted.
(c-10) Notwithstanding any other provision of law, if, at

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the time the clerk posts the notice of intent or within the
90-day petition-gathering period under subsection (c), a
disaster proclamation issued by the Governor under Section 7 of
the Illinois Emergency Management Agency Act is in effect and
the municipality is within the disaster area, the municipality
may pass an ordinance suspending the petition-gathering period
for the duration of the disaster proclamation. On the day after
the expiration of the disaster proclamation, the
petition-gathering period shall continue at the point at which
it was suspended. Any such delay shall suspend action on the
application under subsection (c).
(d) Notwithstanding any law to the contrary, the
municipality may enact an ordinance creating a restricted
cannabis zone. The ordinance shall:
(1) identify the applicable precinct boundaries as of
the date of the petition;
(2) state whether the ordinance prohibits within the
defined boundaries of the precinct, and in what
combination: (A) one or more types of cannabis business
establishments; or (B) home cultivation;
(3) be in effect for 4 years, unless repealed earlier;
and
(4) once in effect, be subject to renewal by ordinance
at the expiration of the 4-year period without the need for
another supporting petition.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)

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(410 ILCS 705/55-30)
Sec. 55-30. Confidentiality.
(a) Information provided by the cannabis business
establishment licensees or applicants to the Department of
Agriculture, the Department of Public Health, the Department of
Financial and Professional Regulation, the Department of
Commerce and Economic Opportunity, or other agency shall be
limited to information necessary for the purposes of
administering this Act. The information is subject to the
provisions and limitations contained in the Freedom of
Information Act and may be disclosed in accordance with Section
55-65.
(b) The following information received and records kept by
the Department of Agriculture, the Department of Public Health,
the Department of State Police, and the Department of Financial
and Professional Regulation for purposes of administering this
Article are subject to all applicable federal privacy laws, are
confidential and exempt from disclosure under the Freedom of
Information Act, except as provided in this Act, and not
subject to disclosure to any individual or public or private
entity, except to the Department of Financial and Professional
Regulation, the Department of Agriculture, the Department of
Public Health, and the Department of State Police as necessary
to perform official duties under this Article and to the
Attorney General as necessary to enforce the provisions of this

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Act. The following information received and kept by the
Department of Financial and Professional Regulation or the
Department of Agriculture may be disclosed to the Department of
Public Health, the Department of Agriculture, the Department of
Revenue, the Department of State Police, or the Attorney
General upon proper request:
(1) Applications and renewals, their contents, and
supporting information submitted by or on behalf of
dispensing organizations, cultivation centers, craft
growers, infuser organizations, Community College Cannabis
Vocational Program licensees, or transporters in
compliance with this Article, including their physical
addresses; however, this does not preclude the release of
ownership information of cannabis business establishment
licenses, or information submitted with an application
required to be disclosed pursuant to subsection (f);
(2) Any plans, procedures, policies, or other records
relating to dispensing organization security; and
(3) Information otherwise exempt from disclosure by
State or federal law.
Illinois or national criminal history record information,
or the nonexistence or lack of such information, may not be
disclosed by the Department of Financial and Professional
Regulation or the Department of Agriculture, except as
necessary to the Attorney General to enforce this Act.
(c) The name and address of a dispensing organization

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licensed under this Act shall be subject to disclosure under
the Freedom of Information Act. The name and cannabis business
establishment address of the person or entity holding each
cannabis business establishment license shall be subject to
disclosure.
(d) All information collected by the Department of
Financial and Professional Regulation in the course of an
examination, inspection, or investigation of a licensee or
applicant, including, but not limited to, any complaint against
a licensee or applicant filed with the Department and
information collected to investigate any such complaint, shall
be maintained for the confidential use of the Department and
shall not be disclosed, except as otherwise provided in this
Act. A formal complaint against a licensee by the Department or
any disciplinary order issued by the Department against a
licensee or applicant shall be a public record, except as
otherwise provided by law. Complaints from consumers or members
of the general public received regarding a specific, named
licensee or complaints regarding conduct by unlicensed
entities shall be subject to disclosure under the Freedom of
Information Act.
(e) The Department of Agriculture, the Department of State
Police, and the Department of Financial and Professional
Regulation shall not share or disclose any Illinois or national
criminal history record information, or the nonexistence or
lack of such information, to any person or entity not expressly

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authorized by this Act.
(f) Each Department responsible for licensure under this
Act shall publish on the Department's website a list of the
ownership information and address of each cannabis business
establishment licensee licensees under the Department's
jurisdiction. The ownership information published shall
include current versions of the following documents submitted
by cannabis business establishments that received a license
under the Department's jurisdiction: (i) Tables of
Organization, Ownership and Control as provided under Section
15-50; (ii) the identity of every person having a financial or
voting interest of 5% or greater in a cultivation center
operation as provided under paragraph (17) of subsection (a) of
Section 20-15; (iii) the identity of every person having a
financial or voting interest of 5% or greater in a craft grower
operation as provided under paragraph (17) of subsection (a) of
Section 30-10; and (iv) the identity of every person having a
financial or voting interest of 5% or greater in an infuser
operation as provided under paragraph (16) of subsection (a) of
Section 35-10. The list shall include, but is not limited to:
the name of the person or entity holding each cannabis business
establishment license; and the address at which the entity is
operating under this Act. This list shall be published and
updated monthly.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)

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(410 ILCS 705/55-35)
Sec. 55-35. Administrative rulemaking.
(a) No later than 180 days after the effective date of this
Act, the Department of Agriculture, the Department of State
Police, the Department of Financial and Professional
Regulation, the Department of Revenue, the Department of
Commerce and Economic Opportunity, and the Treasurer's Office
shall adopt permanent rules in accordance with their
responsibilities under this Act. The Department of
Agriculture, the Department of State Police, the Department of
Financial and Professional Regulation, the Department of
Revenue, and the Department of Commerce and Economic
Opportunity may adopt rules necessary to regulate personal
cannabis use through the use of emergency rulemaking in
accordance with subsection (gg) of Section 5-45 of the Illinois
Administrative Procedure Act. The General Assembly finds that
the adoption of rules to regulate cannabis use is deemed an
emergency and necessary for the public interest, safety, and
welfare.
(b) The Department of Agriculture rules may address, but
are not limited to, the following matters related to
cultivation centers, craft growers, infuser organizations, and
transporting organizations with the goal of ensuring a fair and
competitive marketplace and protecting against diversion and
theft, without imposing an undue burden on the cultivation
centers, craft growers, infuser organizations, or transporting

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organizations:
(1) oversight requirements for cultivation centers,
craft growers, infuser organizations, and transporting
organizations;
(2) recordkeeping requirements for cultivation
centers, craft growers, infuser organizations, and
transporting organizations;
(3) security requirements for cultivation centers,
craft growers, infuser organizations, and transporting
organizations, which shall include that each cultivation
center, craft grower, infuser organization, and
transporting organization location must be protected by a
fully operational security alarm system;
(4) standards for enclosed, locked facilities under
this Act;
(5) procedures for suspending or revoking the
identification cards of agents of cultivation centers,
craft growers, infuser organizations, and transporting
organizations that commit violations of this Act or the
rules adopted under this Section;
(6) rules concerning the intrastate transportation of
cannabis from a cultivation center, craft grower, infuser
organization, and transporting organization to a
dispensing organization;
(7) standards concerning the testing, quality,
cultivation, and processing of cannabis; and

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(8) any other matters under oversight by the Department
of Agriculture as are necessary for the fair, impartial,
stringent, and comprehensive administration of this Act;
and .
(9) standards for distribution and sale to other
licensed business establishments, including percentage
requirements for distribution and sale to other business
establishments with common ownership.
(c) The Department of Financial and Professional
Regulation rules may address, but are not limited to, the
following matters related to dispensing organizations, with
the goal of ensuring a fair and competitive marketplace and
protecting against diversion and theft, without imposing an
undue burden on the dispensing organizations:
(1) oversight requirements for dispensing
organizations;
(2) recordkeeping requirements for dispensing
organizations;
(3) security requirements for dispensing
organizations, which shall include that each dispensing
organization location must be protected by a fully
operational security alarm system;
(4) procedures for suspending or revoking the licenses
of dispensing organization agents that commit violations
of this Act or the rules adopted under this Act;
(5) any other matters under oversight by the Department

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of Financial and Professional Regulation that are
necessary for the fair, impartial, stringent, and
comprehensive administration of this Act; .
(6) standards for distribution and sale to other
cannabis business establishments, including percentage
requirements for distribution and sale to other cannabis
business establishments with common ownership.
(d) The Department of Revenue rules may address, but are
not limited to, the following matters related to the payment of
taxes by cannabis business establishments:
(1) recording of sales;
(2) documentation of taxable income and expenses;
(3) transfer of funds for the payment of taxes; or
(4) any other matter under the oversight of the
Department of Revenue.
(e) The Department of Commerce and Economic Opportunity
rules may address, but are not limited to, a loan program or
grant program to assist Social Equity Applicants access the
capital needed to start a cannabis business establishment. The
names of recipients and the amounts of any moneys received
through a loan program or grant program shall be a public
record.
(f) The Department of State Police rules may address
enforcement of its authority under this Act. The Department of
State Police shall not make rules that infringe on the
exclusive authority of the Department of Financial and

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Professional Regulation or the Department of Agriculture over
licensees under this Act.
(g) The Department of Human Services shall develop and
disseminate:
(1) educational information about the health risks
associated with the use of cannabis; and
(2) one or more public education campaigns in
coordination with local health departments and community
organizations, including one or more prevention campaigns
directed at children, adolescents, parents, and pregnant
or breastfeeding women, to inform them of the potential
health risks associated with intentional or unintentional
cannabis use.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/55-85)
Sec. 55-85. Medical cannabis.
(a) Nothing in this Act shall be construed to limit any
privileges or rights of a medical cannabis patient including
minor patients, primary caregiver, medical cannabis
cultivation center, or medical cannabis dispensing
organization under the Compassionate Use of Medical Cannabis
Program Act, and where there is conflict between this Act and
the Compassionate Use of Medical Cannabis Program Act as they
relate to medical cannabis patients, the Compassionate Use of
Medical Cannabis Program Act shall prevail. Where there is

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conflict between this Act and the Compassionate Use of Medical
Cannabis Program Act as they relate to cannabis business
establishments, this Act shall prevail.
(b) Dispensary locations that obtain an Early Approval
Adult Use Dispensary Organization License or an Adult Use
Dispensary Organization License in accordance with this Act at
the same location as a medical cannabis dispensing organization
registered under the Compassionate Use of Medical Cannabis
Program Act shall maintain an inventory of medical cannabis and
medical cannabis products on a monthly basis that is
substantially similar in variety and quantity to the products
offered at the dispensary during the 6-month period immediately
before the effective date of this Act.
(c) Beginning June 30, 2020, the Department of Agriculture
shall make a quarterly determination whether inventory
requirements established for dispensaries in subsection (b)
should be adjusted due to changing patient need.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/60-10)
Sec. 60-10. Tax imposed.
(a) Beginning September 1, 2019, a tax is imposed upon the
privilege of cultivating cannabis at the rate of 7% of the
gross receipts from the first sale of cannabis by a cultivator.
The sale of any product that contains any amount of cannabis or
any derivative thereof is subject to the tax under this Section

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on the full selling price of the product. The Department may
determine the selling price of the cannabis when the seller and
purchaser are affiliated persons, when the sale and purchase of
cannabis is not an arm's length transaction, or when cannabis
is transferred by a craft grower to the craft grower's
dispensing organization or infuser or processing organization
and a value is not established for the cannabis. The value
determined by the Department shall be commensurate with the
actual price received for products of like quality, character,
and use in the area. If there are no sales of cannabis of like
quality, character, and use in the same area, then the
Department shall establish a reasonable value based on sales of
products of like quality, character, and use in other areas of
the State, taking into consideration any other relevant
factors.
(b) The Cannabis Cultivation Privilege Tax imposed under
this Article is solely the responsibility of the cultivator who
makes the first sale and is not the responsibility of a
subsequent purchaser, a dispensing organization, or an
infuser. Persons subject to the tax imposed under this Article
may, however, reimburse themselves for their tax liability
hereunder by separately stating reimbursement for their tax
liability as an additional charge.
(c) The tax imposed under this Article shall be in addition
to all other occupation, privilege, or excise taxes imposed by
the State of Illinois or by any unit of local government.

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(d) Notwithstanding any other provision of law, no special
district may levy a tax upon the cultivation of cannabis.
(Source: P.A. 101-27, eff. 6-25-19.)
(410 ILCS 705/65-10)
Sec. 65-10. Tax imposed.
(a) Beginning January 1, 2020, a tax is imposed upon
purchasers for the privilege of using cannabis at the following
rates:
(1) Any cannabis, other than a cannabis-infused
product, with an adjusted delta-9-tetrahydrocannabinol
level at or below 35% shall be taxed at a rate of 10% of the
purchase price;
(2) Any cannabis, other than a cannabis-infused
product, with an adjusted delta-9-tetrahydrocannabinol
level above 35% shall be taxed at a rate of 25% of the
purchase price; and
(3) A cannabis-infused product shall be taxed at a rate
of 20% of the purchase price.
(b) The purchase of any product that contains any amount of
cannabis or any derivative thereof is subject to the tax under
subsection (a) of this Section on the full purchase price of
the product.
(c) The tax imposed under this Section is not imposed on
cannabis that is subject to tax under the Compassionate Use of
Medical Cannabis Program Act. The tax imposed by this Section

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is not imposed with respect to any transaction in interstate
commerce, to the extent the transaction may not, under the
Constitution and statutes of the United States, be made the
subject of taxation by this State.
(d) The tax imposed under this Article shall be in addition
to all other occupation, privilege, or excise taxes imposed by
the State of Illinois or by any municipal corporation or
political subdivision thereof.
(e) The tax imposed under this Article shall not be imposed
on any purchase by a purchaser if the cannabis retailer is
prohibited by federal or State Constitution, treaty,
convention, statute, or court decision from collecting the tax
from the purchaser.
(f) Notwithstanding any other provision of law, no special
district may levy a tax upon purchasers for the use of
cannabis.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
Section 50. The Illinois Vehicle Code is amended by
changing Sections 11-502.1 and 11-502.15 as follows:
(625 ILCS 5/11-502.1)
Sec. 11-502.1. Possession of medical cannabis in a motor
vehicle.
(a) No driver, who is a medical cannabis cardholder, may
use medical cannabis within the passenger area of any motor

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vehicle upon a highway in this State.
(b) No driver, who is a medical cannabis cardholder, a
medical cannabis designated caregiver, medical cannabis
cultivation center agent, or dispensing organization agent may
possess medical cannabis within any area of any motor vehicle
upon a highway in this State except in a secured, sealed or
resealable, odor-proof, and child-resistant medical cannabis
container that is inaccessible.
(c) No passenger, who is a medical cannabis card holder, a
medical cannabis designated caregiver, or medical cannabis
dispensing organization agent may possess medical cannabis
within any passenger area of any motor vehicle upon a highway
in this State except in a secured, sealed or resealable,
odor-proof, and child-resistant medical cannabis container
that is inaccessible.
(d) Any person who violates subsections (a) through (c) of
this Section:
(1) commits a Class A misdemeanor;
(2) shall be subject to revocation of his or her
medical cannabis card for a period of 2 years from the end
of the sentence imposed; and
(3) (4) shall be subject to revocation of his or her
status as a medical cannabis caregiver, medical cannabis
cultivation center agent, or medical cannabis dispensing
organization agent for a period of 2 years from the end of
the sentence imposed.

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(Source: P.A. 101-27, eff. 6-25-19; revised 8-6-19.)
(625 ILCS 5/11-502.15)
Sec. 11-502.15. Possession of adult use cannabis in a motor
vehicle.
(a) No driver may use cannabis within the passenger area of
any motor vehicle upon a highway in this State.
(b) No driver may possess cannabis within any area of any
motor vehicle upon a highway in this State except in a secured,
sealed or resealable, odor-proof, child-resistant cannabis
container that is inaccessible.
(c) No passenger may possess cannabis within any passenger
area of any motor vehicle upon a highway in this State except
in a secured, sealed or resealable, odor-proof,
child-resistant cannabis container that is inaccessible.
(d) Any person who knowingly violates subsection (a), (b),
or (c) of this Section commits a Class A misdemeanor.
(Source: P.A. 101-27, eff. 6-25-19.)
Section 99. Effective date. This Act takes effect upon
becoming law.".