Cannabis legalized in Illinois

New Year’s Day marked the beginning of a new era for cannabis in Illinois, which became the 11th U.S. state to legalize cannabis for adults, this time through a government initiative rather than through a popular referendum. In a significant gesture, Juliana Stratton, the state’s lieutenant governor, was one of the first clients after the clinics opened.

Lt. Gov. Juliana Stratton makes a purchase as Sunnyside Lakeview opens in the first few minutes after recreational cannabis became legal in Illinois https://t.co/PAoC24PVg6 pic.twitter.com/4SQnvf7K7e

— Brian Cassella (@briancassella) January 1, 2020

New Rules in Illinois

Effective January 1, 2020, the Cannabis and cannabis products are legal for any adult over the age of 21. Illinois residents are permitted to purchase and possess up to 30 grams of cannabis flowers, 5 grams of concentrates, and 500 mg of THC contained in cannabis-infused products; these limits are cumulative. Nonresidents are limited to half of these amounts as long as they have a valid ID or passport.

Patients may possess up to 70 grams (2½ ounces) at home and grow up to 5 cannabis plants, as long as they are kept in a secure location. The legalization of cannabis has not changed the rules for enrolling in the program medical marijuana of the government.

Sales began on January 1 at 6 a.m., drawing large crowds to the doors of the 35 dispensaries currently authorized. For now, only certain medical dispensaries have been granted a license to distribute «recreational» cannabis. Retail quantities will therefore likely be limited to prevent severe shortages, at least initially, and flower will be prioritized for medical users.

Long lines on a cold morning in Logan Square and Lakeview as customers wait on the first day of recreational cannabis sales in Illinois: https://t.co/PAoC24PVg6 pic.twitter.com/15i2bEtZUA

— Brian Cassella (@briancassella) January 1, 2020

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Cannabis may only be consumed at home and is prohibited in public places. Cannabis may be transported by car, as long as it is in a closed and reasonably secure container. However, it will be prohibited to carry it on one’s person in certain places, such as schools or daycare centers. Any violation involving possession or use will be punishable by a fine of 50$ for a first offense and 100$ for a second offense within 30 days.

An industry that is set to grow

Sales will initially be limited by the number of dispensaries—only 10, for example, in the Chicago area, which has more than 2 million residents of legal age to consume cannabis. However, 75 dispensaries could open by May, along with the necessary licenses for growers and processors (extractors or manufacturers of finished products). Illinois’ goal is to open 110 dispensaries by the end of 2021.

The cannabis lounge will be permitted in the state, but will not be allowed to serve food.

Cannabis will be taxed based on its THC content: 10% for products containing less than 35% of THC and 25% for those containing more, and 20% on all infused products. Medical cannabis will continue to be tax-exempt.

Cannabis sales could generate up to $57 million in tax revenue by the end of 2020, and more than $375 million by 2024. The lion’s share will go to the state and will be used to address the «economic disinvestment, violence, and historical overreliance on the criminal justice system» caused by the cannabis ban.

This money will thus fund grants for economic development or violence prevention services in historically marginalized areas.