Bill Text: IL HB5523 | 2021-2022 | 102nd General Assembly | Introduced

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Bill Title: Creates the Local Cannabis Licensing Act. Provides that a county or municipality may issue licenses for temporary events, cannabis clubs, and cannabis tours that will allow for the sale and consumption of cannabis or cannabis-infused products and for the sale of cannabis paraphernalia at such temporary events, clubs, or tours. Requires ordinances with specified regulations of such temporary events, cannabis clubs, and cannabis tours be adopted before any licenses are issued. Allows tours of cannabis craft grower or cultivation center facilities. Limits home rule powers. Amends the Cannabis Regulation and Tax Act and Smoke Free Illinois Act to make conforming changes. Effective immediately.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Introduced - Dead) 2022-02-18 - Rule 19(a) / Re-referred to Rules Committee [HB5523 Detail]

Download: Illinois-2021-HB5523-Introduced.html

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102ND GENERAL ASSEMBLY State of Illinois 2021 and 2022 HB5523 Introduced , by Rep. La Shawn K. Ford SYNOPSIS AS INTRODUCED:
New Act
410 ILCS 82/35
410 ILCS 705/10-25
410 ILCS 705/10-35
410 ILCS 705/55-25
Creates the Local Cannabis Licensing Act. Provides that a county or municipality may issue licenses for temporary events, cannabis clubs, and cannabis tours that will allow for the sale and consumption of cannabis or cannabis-infused products and for the sale of cannabis paraphernalia at such temporary events, clubs, or tours. Allows tours of cannabis craft grower or cultivation center facilities. Requires ordinances with specified regulations of such temporary events, cannabis clubs, and cannabis tours before any licenses are issued. Limits home rule powers. Amends the Cannabis Regulation and Tax Act and Smoke Free Illinois Act making conforming changes. Effective immediately.
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A BILL FOR
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AN ACT concerning local government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 1. Short title. This Act may be cited as the Local
Cannabis Licensing Act.
Section 5. Definitions. As used in this Act:
"Cannabis business establishment", "cannabis",
"cannabis-infused product", "cannabis paraphernalia", "craft
grower", "cultivation center", "dispensing organization", and
"dispensing organization agent" have the meanings given to
those terms in the Cannabis Regulation and Tax Act.
"Cannabis club" means a public or private restaurant, bar,
or other business licensed under Section 15 that allows
communal consumption of cannabis or cannabis-infused products
on premises.
"Governmental unit" means a county or municipality.
Section 10. Temporary event licenses.
(a) The consumption and sale of cannabis, cannabis-infused
products, or cannabis paraphernalia at a temporary event is
subject to regulation by a municipality, for events within the
municipality, and a county, for events outside of a
municipality.

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(b) A person conducting a temporary event for the
consumption and sale of cannabis, cannabis-infused products,
or cannabis paraphernalia must hold a temporary event license
issued by the governmental unit for the premises at which the
temporary event is conducted.
(c) An applicant for a temporary event license under this
Section must:
(1) apply for the license in the manner required by
ordinance of the governmental unit;
(2) provide proof that the applicant is 21 years of
age or older; and
(3) submit a plan to the governmental unit, in a form
and manner prescribed by the governmental unit, detailing
how persons under 21 years of age will be prevented from
gaining access to the premises at which the temporary
event is to be conducted.
(d) The premises at which an applicant intends to conduct
a temporary event may not be located:
(1) in an area that is zoned exclusively for
residential use; or
(2) within 1,000 feet of a public or private
elementary or secondary school.
(e) An applicant for a temporary event license under this
Section and the premises at which the temporary event is to be
conducted must meet the requirements of any ordinance adopted
by the governmental unit under this subsection.

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(1) Before a governmental unit may issue any temporary
event license under this Section, the governmental unit
must adopt an ordinance that includes:
(A) application and licensure fees for a license
issued under this Section;
(B) the maximum term of a license issued under
this Section;
(C) a prohibition on licenses issued under this
Section from being continuously issued for a single
location;
(D) a requirement that cannabis sold on a premises
for which a license has been issued under this Section
will be sold by a cannabis business establishment;
(E) allowing the consumption of cannabis or
cannabis-infused products in designated areas of a
premises for which a license has been issued under
this Section;
(F) a requirement that each enclosed portion of a
premises for which a license has been issued under
this Section where cannabis or cannabis-infused
products are smoked, aerosolized, or vaporized must
have a ventilation system that:
(i) exhausts smoke, aerosols, and vapors from
that portion of the premises; and
(ii) is designed and terminated in accordance
with building code standards for the applicable

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occupancy classification; and
(G) a requirement that a premises for which a
license has been issued under this Section must meet
any public health and safety standards and industry
best practices established by the governmental unit by
rule or ordinance.
(H) a requirement that a licensee under this
Section meet the definition of a Social Equity
Applicant under the Cannabis Regulation and Tax Act.
(2) The governmental unit may not adopt an ordinance
or rule that:
(A) prohibits a person that holds a license issued
under this Section from adopting policies that allow
persons attending the temporary event to bring
cannabis, cannabis-infused products, or cannabis
paraphernalia into the temporary event; or
(B) imposes public health or safety standards on
temporary events if those standards serve no purpose
other than deterring the consumption of cannabis or
cannabis-infused products at a temporary event.
(f) License fees adopted under this Section must be
reasonably related to the cost of inspecting and regulating
the temporary event.
Section 15. Cannabis clubs.
(a) The consumption of cannabis or cannabis-infused

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products at a cannabis club is subject to regulation by a
municipality, for cannabis clubs within the municipality, and
a county, for cannabis clubs outside of a municipality.
(b) A person operating a cannabis club must hold a
cannabis club license issued by the governmental unit for the
premises at which the consumption occurs.
(c) An applicant for a cannabis club license under this
Section must:
(1) apply for the license in the manner required by
ordinance of the governmental unit; and
(2) provide proof that the applicant is 21 years of
age or older.
(d) The premises at which an applicant intends to have a
cannabis club may not be located:
(1) in an area that is zoned exclusively for
residential use; or
(2) within 1,000 feet of a public or private
elementary or secondary school.
(e)(1) An applicant for a cannabis club license under this
Section and the premises at which the cannabis club is to be
located must meet the requirements of any ordinance adopted by
the governmental unit under this subsection. The ordinance
must include:
(A) a requirement that a person that holds a license
must renew the license annually;
(B) fees for the application, licensure, and renewal

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of licensure for a license;
(C) a restriction on the consumption of cannabis or
cannabis-infused products to designated enclosed areas of
a premises for which a license has been issued;
(D) a prohibition of the production, propagation, and
processing of cannabis, cannabis-infused products, or
cannabis paraphernalia on a premises for which a license
has been issued;
(E) a requirement that cannabis, cannabis-infused
products, or cannabis paraphernalia sold on a premises for
which a license has been issued shall be sold by a
dispensing organization;
(F) a requirement that each enclosed portion of a
premises for which a license has been issued under this
Section where cannabis or cannabis-infused products are
smoked, aerosolized, or vaporized must have a ventilation
system that:
(i) exhausts smoke, aerosols, and vapors from that
portion of the premises; and
(ii) is designed and terminated in accordance with
building code standards for the applicable occupancy
classification; and
(G) a requirement that a premises for which a license
has been issued under this Section must meet any public
health and safety standards and industry best practices
established by the governmental unit by rule or ordinance.

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(H) a requirement that a licensee under this Section
meet the definition of a Social Equity Applicant under the
Cannabis Regulation and Tax Act.
(2) The governmental unit may not adopt an ordinance or
rule that:
(A) prohibits a person that holds a license issued
under this Section from adopting policies that allow
persons present at the cannabis club to bring cannabis,
cannabis-infused products, or cannabis paraphernalia into
the cannabis club; or
(B) imposes public health or safety standards on
cannabis clubs if those standards serve no purpose other
than deterring the consumption of cannabis or
cannabis-infused products at a cannabis club.
(f) License fees adopted under this Section must be
reasonably related to the cost of inspecting and regulating
the cannabis club.
(g) If any provision of this Section conflicts with
paragraph (8) of Section 35 of the Smoke Free Illinois Act
relating to a dispensing organization, the provisions of
paragraph (8) of Section 35 of the Smoke Free Illinois Act
prevail.
Section 20. Cannabis tours.
(a) A craft grower or cultivation center may offer tours
to the public of its licensed facility if the craft grower or

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cultivation center meets the definition of a Social Equity
Applicant under the Cannabis Regulation and Tax Act.
(b) A tour may be offered only to persons who are 21 years
of age or older.
(c) A craft grower or cultivation center that offers tours
under this Section may enter into a contract with a dispensing
organization to allow a dispensing organization agent to sell
cannabis, cannabis-infused products, or cannabis paraphernalia
during the tour on the premises of the craft grower or
cultivation center offering the tour.
(d) The governmental unit may:
(1) require a craft grower or cultivation center to
submit to the governmental unit, in a form and manner
prescribed by the governmental unit, a plan that details
how the craft grower or cultivation center will:
(A) prevent persons who are under 21 years of age
from entering the premises of the craft grower or
cultivation center during a tour; and
(B) ensure the health and safety of persons taking
a tour; or
(2) adopt ordinances or rules as necessary to carry
out the provisions of this Section.
Section 25. Home rule. A home rule unit may not regulate or
license temporary events, cannabis clubs, or cannabis tours in
a manner inconsistent with this Act. This Act is a limitation

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under subsection (i) of Section 6 of Article VII of the
Illinois Constitution on the concurrent exercise by home rule
units of powers and functions exercised by the State.
Section 900. The Smoke Free Illinois Act is amended by
changing Section 35 as follows:
(410 ILCS 82/35)
Sec. 35. Exemptions. Notwithstanding any other provision
of this Act, smoking is allowed in the following areas:
(1) Private residences or dwelling places, except when
used as a child care, adult day care, or healthcare
facility or any other home-based business open to the
public.
(2) Retail tobacco stores as defined in Section 10 of
this Act in operation prior to the effective date of this
amendatory Act of the 95th General Assembly. The retail
tobacco store shall annually file with the Department by
January 31st an affidavit stating the percentage of its
gross income during the prior calendar year that was
derived from the sale of loose tobacco, plants, or herbs
and cigars, cigarettes, pipes, or other smoking devices
for smoking tobacco and related smoking accessories. Any
retail tobacco store that begins operation after the
effective date of this amendatory Act may only qualify for
an exemption if located in a freestanding structure

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occupied solely by the business and smoke from the
business does not migrate into an enclosed area where
smoking is prohibited. A retail tobacco store may, with
authorization or permission from a unit of local
government, including a home rule unit, or any non-home
rule county within the unincorporated territory of the
county, allow the on-premises consumption of cannabis in a
specially designated areas.
(3) (Blank).
(4) Hotel and motel sleeping rooms that are rented to
guests and are designated as smoking rooms, provided that
all smoking rooms on the same floor must be contiguous and
smoke from these rooms must not infiltrate into nonsmoking
rooms or other areas where smoking is prohibited. Not more
than 25% of the rooms rented to guests in a hotel or motel
may be designated as rooms where smoking is allowed. The
status of rooms as smoking or nonsmoking may not be
changed, except to permanently add additional nonsmoking
rooms.
(5) Enclosed laboratories that are excluded from the
definition of "place of employment" in Section 10 of this
Act. Rulemaking authority to implement this amendatory Act
of the 95th General Assembly, if any, is conditioned on
the rules being adopted in accordance with all provisions
of the Illinois Administrative Procedure Act and all rules
and procedures of the Joint Committee on Administrative

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Rules; any purported rule not so adopted, for whatever
reason, is unauthorized.
(6) Common smoking rooms in long-term care facilities
operated under the authority of the Illinois Department of
Veterans' Affairs or licensed under the Nursing Home Care
Act that are accessible only to residents who are smokers
and have requested in writing to have access to the common
smoking room where smoking is permitted and the smoke
shall not infiltrate other areas of the long-term care
facility. Rulemaking authority to implement this
amendatory Act of the 95th General Assembly, if any, is
conditioned on the rules being adopted in accordance with
all provisions of the Illinois Administrative Procedure
Act and all rules and procedures of the Joint Committee on
Administrative Rules; any purported rule not so adopted,
for whatever reason, is unauthorized.
(7) A convention hall of the Donald E. Stephens
Convention Center where a meeting or trade show for
manufacturers and suppliers of tobacco and tobacco
products and accessories is being held, during the time
the meeting or trade show is occurring, if the meeting or
trade show:
(i) is a trade-only event and not open to the
public;
(ii) is limited to attendees and exhibitors that
are 21 years of age or older;

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(iii) is being produced or organized by a business
relating to tobacco or a professional association for
convenience stores; and
(iv) involves the display of tobacco products.
Smoking is not allowed in any public area outside of
the hall designated for the meeting or trade show.
This paragraph (7) is inoperative on and after October
1, 2015.
(8) A dispensing organization, as defined in the
Cannabis Regulation and Tax Act, authorized or permitted
by a unit local government to allow on-site consumption of
cannabis, if the establishment: (1) maintains a specially
designated area or areas for the purpose of heating,
burning, smoking, or lighting cannabis; (2) is limited to
individuals 21 or older; and (3) maintains a locked door
or barrier to any specially designated areas for the
purpose of heating, burning, smoking or lighting cannabis.
(9) Temporary events, cannabis clubs, or cannabis
tours licensed under the Local Cannabis Licensing Act.
(Source: P.A. 101-593, eff. 12-4-19.)
Section 905. The Cannabis Regulation and Tax Act is
amended by changing Sections 10-25, 10-35, and 55-25 as
follows:
(410 ILCS 705/10-25)

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Sec. 10-25. Immunities and presumptions related to the use
of cannabis by purchasers.
(a) A purchaser who is 21 years of age or older is not
subject to arrest, prosecution, denial of any right or
privilege, or other punishment including, but not limited to,
any civil penalty or disciplinary action taken by an
occupational or professional licensing board, based solely on
the use of cannabis if (1) the purchaser possesses an amount of
cannabis that does not exceed the possession limit under
Section 10-10 and, if the purchaser is licensed, certified, or
registered to practice any trade or profession under any Act
and (2) the use of cannabis does not impair that person when he
or she is engaged in the practice of the profession for which
he or she is licensed, certified, or registered.
(b) A purchaser 21 years of age or older is not subject to
arrest, prosecution, denial of any right or privilege, or
other punishment, including, but not limited to, any civil
penalty or disciplinary action taken by an occupational or
professional licensing board, based solely for (i) selling
cannabis paraphernalia if employed and licensed as a
dispensing agent by a dispensing organization; (ii) being in
the presence or vicinity of the use of cannabis or cannabis
paraphernalia as allowed under this Act; or (iii) possessing
cannabis paraphernalia.
(c) Mere possession of, or application for, an agent
identification card or license does not constitute probable

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cause or reasonable suspicion to believe that a crime has been
committed, nor shall it be used as the sole basis to support
the search of the person, property, or home of the person
possessing or applying for the agent identification card. The
possession of, or application for, an agent identification
card does not preclude the existence of probable cause if
probable cause exists based on other grounds.
(c-5) Except as provided in Section 11-205.15 of the
Illinois Vehicle Code, in any criminal proceeding, no finding
or determination of probable cause to believe a crime has been
committed shall be based solely on evidence of the following
facts and circumstances, either individually or in combination
with each other: (i) the odor of cannabis; (ii) the odor of
burnt cannabis; (iii) the possession or the suspicion of
possession of cannabis in amount authorized under this Act;
(iv) the possession of multiple containers of cannabis without
evidence of cannabis in amounts in excess of those authorized
by this Act; or (v) the presence of cash or currency in
proximity to cannabis.
(d) No person employed by the State of Illinois shall be
subject to criminal or civil penalties for taking any action
in good faith in reliance on this Act when acting within the
scope of his or her employment. Representation and
indemnification shall be provided to State employees as set
forth in Section 2 of the State Employee Indemnification Act.
(e) No law enforcement or correctional agency, nor any

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person employed by a law enforcement or correctional agency,
shall be subject to criminal or civil liability, except for
willful and wanton misconduct, as a result of taking any
action within the scope of the official duties of the agency or
person to prohibit or prevent the possession or use of
cannabis by a person incarcerated at a correctional facility,
jail, or municipal lockup facility, on parole or mandatory
supervised release, or otherwise under the lawful jurisdiction
of the agency or person.
(f) For purposes of receiving medical care, including
organ transplants, a person's use of cannabis under this Act
does not constitute the use of an illicit substance or
otherwise disqualify a person from medical care.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
(410 ILCS 705/10-35)
Sec. 10-35. Limitations and penalties.
(a) This Act does not permit any person to engage in, and
does not prevent the imposition of any civil, criminal, or
other penalties for engaging in, any of the following conduct:
(1) undertaking any task under the influence of
cannabis when doing so would constitute negligence,
professional malpractice, or professional misconduct;
(2) possessing cannabis:
(A) in a school bus, unless permitted for a
qualifying patient or caregiver pursuant to the

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Compassionate Use of Medical Cannabis Program Act;
(B) on the grounds of any preschool or primary or
secondary school, unless permitted for a qualifying
patient or caregiver pursuant to the Compassionate Use
of Medical Cannabis Program Act;
(C) in any correctional facility;
(D) in a vehicle not open to the public unless the
cannabis is in a reasonably secured, sealed or
resealable container and reasonably inaccessible while
the vehicle is moving; or
(E) in a private residence that is used at any time
to provide licensed child care or other similar social
service care on the premises;
(3) using cannabis:
(A) in a school bus, unless permitted for a
qualifying patient or caregiver pursuant to the
Compassionate Use of Medical Cannabis Program Act;
(B) on the grounds of any preschool or primary or
secondary school, unless permitted for a qualifying
patient or caregiver pursuant to the Compassionate Use
of Medical Cannabis Program Act;
(C) in any correctional facility;
(D) in any motor vehicle;
(E) in a private residence that is used at any time
to provide licensed child care or other similar social
service care on the premises;

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(F) (blank) in any public place; or
(G) knowingly in close physical proximity to
anyone under 21 years of age who is not a registered
medical cannabis patient under the Compassionate Use
of Medical Cannabis Program Act;
(4) smoking cannabis in any place where smoking is
prohibited under the Smoke Free Illinois Act;
(5) operating, navigating, or being in actual physical
control of any motor vehicle, aircraft, watercraft, or
snowmobile while using or under the influence of cannabis
in violation of Section 11-501 or 11-502.1 of the Illinois
Vehicle Code, Section 5-16 of the Boat Registration and
Safety Act, or Section 5-7 of the Snowmobile Registration
and Safety Act;
(6) facilitating the use of cannabis by any person who
is not allowed to use cannabis under this Act or the
Compassionate Use of Medical Cannabis Program Act;
(7) transferring cannabis to any person contrary to
this Act or the Compassionate Use of Medical Cannabis
Program Act;
(8) the use of cannabis by a law enforcement officer,
corrections officer, probation officer, or firefighter
while on duty; nothing in this Act prevents a public
employer of law enforcement officers, corrections
officers, probation officers, paramedics, or firefighters
from prohibiting or taking disciplinary action for the

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consumption, possession, sales, purchase, or delivery of
cannabis or cannabis-infused substances while on or off
duty, unless provided for in the employer's policies.
However, an employer may not take adverse employment
action against an employee based solely on the lawful
possession or consumption of cannabis or cannabis-infused
substances by members of the employee's household. To the
extent that this Section conflicts with any applicable
collective bargaining agreement, the provisions of the
collective bargaining agreement shall prevail. Further,
nothing in this Act shall be construed to limit in any way
the right to collectively bargain over the subject matters
contained in this Act; or
(9) the use of cannabis by a person who has a school
bus permit or a Commercial Driver's License while on duty.
As used in this Section, "public place" means any place
where a person could reasonably be expected to be observed by
others. "Public place" includes all parts of buildings owned
in whole or in part, or leased, by the State or a unit of local
government. "Public place" includes all areas in a park,
recreation area, wildlife area, or playground owned in whole
or in part, leased, or managed by the State or a unit of local
government. "Public place" does not include a private
residence unless the private residence is used to provide
licensed child care, foster care, or other similar social
service care on the premises.

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(b) Nothing in this Act shall be construed to prevent the
arrest or prosecution of a person for reckless driving or
driving under the influence of cannabis, operating a
watercraft under the influence of cannabis, or operating a
snowmobile under the influence of cannabis if probable cause
exists.
(c) Nothing in this Act shall prevent a private business
from restricting or prohibiting the use of cannabis on its
property, including areas where motor vehicles are parked.
(d) Nothing in this Act shall require an individual or
business entity to violate the provisions of federal law,
including colleges or universities that must abide by the
Drug-Free Schools and Communities Act Amendments of 1989, that
require campuses to be drug free.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19;
102-98, eff. 7-15-21.)
(410 ILCS 705/55-25)
Sec. 55-25. Local ordinances. Unless otherwise provided
under this Act or under the Local Cannabis Licensing Act or
otherwise in accordance with State law:
(1) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may enact reasonable zoning
ordinances or resolutions, not in conflict with this Act
or rules adopted pursuant to this Act, regulating cannabis

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business establishments. No unit of local government,
including a home rule unit or any non-home rule county
within the unincorporated territory of the county, may
prohibit home cultivation or unreasonably prohibit use of
cannabis authorized by this Act.
(2) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may enact ordinances or rules not
in conflict with this Act or with rules adopted pursuant
to this Act governing the time, place, manner, and number
of cannabis business establishment operations, including
minimum distance limitations between cannabis business
establishments and locations it deems sensitive, including
colleges and universities, through the use of conditional
use permits. A unit of local government, including a home
rule unit, may establish civil penalties for violation of
an ordinance or rules governing the time, place, and
manner of operation of a cannabis business establishment
or a conditional use permit in the jurisdiction of the
unit of local government. No unit of local government,
including a home rule unit or non-home rule county within
an unincorporated territory of the county, may
unreasonably restrict the time, place, manner, and number
of cannabis business establishment operations authorized
by this Act.
(3) A unit of local government, including a home rule

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unit, or any non-home rule county within the
unincorporated territory of the county may authorize or
permit the on-premises consumption of cannabis at or in a
dispensing organization or retail tobacco store (as
defined in Section 10 of the Smoke Free Illinois Act)
within its jurisdiction in a manner consistent with this
Act. A dispensing organization or retail tobacco store
authorized or permitted by a unit of local government to
allow on-site consumption shall not be deemed a public
place within the meaning of the Smoke Free Illinois Act.
(4) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may not regulate the activities
described in paragraph (1), (2), or (3) in a manner more
restrictive than the regulation of those activities by the
State under this Act. This Section is a limitation under
subsection (i) of Section 6 of Article VII of the Illinois
Constitution on the concurrent exercise by home rule units
of powers and functions exercised by the State.
(5) A unit of local government, including a home rule
unit or any non-home rule county within the unincorporated
territory of the county, may enact ordinances to prohibit
or significantly limit a cannabis business establishment's
location.
(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)
Section 999. Effective date. This Act takes effect upon

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becoming law.