The Illinois  Department of Financial and Professional Regulation (IDFPR) recently adopted amendments outlining various aspects of the adult use cannabis dispensary licensing process. The new Subparts and Sections to Cannabis Regulation and Tax Act, effective Aug. 20, 2024, have undergone numerous changes since the 1st Notice.

Changes include:

• establishment of fees and credentialing procedures for principal officers, agents, and agents-in-charge
• licensing fees and renewals for dispensing organizations
• provisions for DFPR to grant variances from its rules
• parameters for unprofessional or unethical conduct
• disciplinary procedures
• and appeals of disciplinary actions

The fee for a 2-year dispensing organization license is $60,000, with all licenses expiring on March 31 of even-numbered years. The initial licensing fee may be prorated based on the number of months left until the next renewal period (e.g., a license issued in March of an odd-numbered year, with 12 months left until renewal, will cost $30,000). Fees of $5,000 will be charged for late renewals and for changes of ownership or control. Hardship waivers reducing the licensing fee by 50% for the first renewal cycle only may be granted to dispensing organizations that meet the criteria for social equity applicants (individuals, family members, or residents of communities adversely impacted by past enforcement of cannabis laws) and meet income criteria.

A new Subpart establishing rules for the Responsible Vendor Program (a training course for dispensary employees that addresses health and safety concerns, cannabis laws and regulations, ID verification, safe storage, inventory tracking, and other matters) has also been added, along with another Subpart addressing changes in licensure for dispensing organizations (e.g., ownership changes, reorganizations or relocations). Security requirements, including signage, inventory control, destruction of cannabis and cannabis infused products, and requirements for onsite consumption lounges have been added.

Since 1st Notice, DFPR has added and clarified numerous definitions and also clarified various aspects of the licensing process and the Responsible Vendor Program. For questions or requests for copies contact Craig Cellini by mail at DFPR, 320 W. Washington St., 2nd Floor, Springfield IL 62786, by phone at 217/785-0813, or by email Craig.Cellini@illinois.gov.

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