Illinois revised timelines and guidelines

[Bababooey]

That would be nice, to see rec cannabis and/or home growing.
But it took over a decade for mmj to be passed, so im not going to be holding my breath waiting for recreational.
Could it happen in 3 years? Maybe, a real outside shot. But im thinking more like 7-8 years, wouldnt be surprised if it took 10 years...

 

[amannamedtruth]

I think itll happen sooner than 7-8. I could imagine it being a real consideration once the pilot program gets closer to sunset.

 

[Bababooey]

If the pilot program goes well, helps a lot of patients, that will be good. Rec mj around the country is gaining momentum, in 2-3 years we might have what, another 4-5 states with recreational cannabis laws?

Here's an article from the washington post about how medical and recreational cannabis in the us is really tamping down on mexican cartels' cannabis profits. Which is not a bad thing, certainly, except when their farmers respond by planting poppies instead of cannabis, and thus cheap heroin is flooding into the US. Or maybe it's from afghanistan, from poppy fields that the US military is sorta, kinda protecting, maybe, because before when they cracked down on poppy production, that pissed a lot of farmers off (loss of income, amazingly drugs command a higher price than cotton go figure) and they became sympathetic to the taliban.
The article implies it was good timing for the cartels as well, because US cops and DEA are cracking down on pill mills and prescription drug abuse. Deny the opiate addicts in the doctor's office, they'll go to the black market for their fix.
What is that saying, the more things change, the more they stay the same?


http://www.washingtonpost.com/world...dfc590-2123-4cc6-b664-1e5948960576_story.html

 

[amannamedtruth]

I just have a feeling that we are gonna see how behind we are of the times, and then it'll be real quick.

 

[growteam]

I just have a feeling that we are gonna see how behind we are of the times, and then it'll be real quick.

I have the same feeling.

 

[Bababooey]

First medical pot lawsuit filed in Illinois

First medical pot lawsuit filed in Illinois

The conflict between the states and the federal government when it comes to legalized medical marijuana may play out in an Illinois court.

What is believed to be the first lawsuit regarding medical marijuana licenses in Illinois was filed Friday in downstate Coles County by a business that lost out in its bid to get a license to grow medical marijuana.

The business, Shiloh Agronomics LLC contends that the company it lost out to, Shelby County Community Services Inc., was improperly given the license because it is a nonprofit organization that receives tax benefits from the Internal Revenue Service, a federal agency.

“The concern is that because Shelby County Community Services is a federally recognized 501(c)(3) tax-exempt entity, it is not eligible to apply for a permit to engage in an activity that violates federal law,” said Jude Sullivan, whose father, James Sullivan, holds a large stake in Shiloh Agronomics.

A representative for Shelby County Community Services did not respond to requests for comment. A state spokesman declined to comment on the allegations made in the lawsuit.

The Shelbyville nonprofit provides services and employment to people with developmental disabilities. The group’s executive director has said the marijuana farm could provide more jobs, according to local media. The group also provides substance-abuse counseling.

But once the IRS gets wind of Shelby County Community Service’s foray into the medical marijuana industry, it could determine the Illinois group is not eligible for the tax exemption, said attorney Adam Fayne, who does not represent the nonprofit or the company suing it but has worked with other marijuana license applicants.

Involvement in the medical marijuana industry, even if it’s legal in Illinois, means a violation of federal law and the IRS’ requirement that nonprofit groups be “equated with the public good.”

“Violations of law are the antithesis of the public good,” according to an IRS document.

“This sort of exemplifies the conflict, the dichotomy, between state and federal law,” Fayne said. “While this organization may have the best of intentions, the federal government isn’t going to support its endeavor.”

Other lawsuits over the distribution of licenses to grow and sell medical marijuana are expected.

Former Gov. Pat Quinn left office without announcing who could grow and sell Illinois pot despite his administration producing a list of businesses recommended to land the coveted licenses to grow and sell medical marijuana.

Gov. Bruce Rauner reviewed those recommendations and issued the licenses earlier this month.

 

[Bababooey]

Another lawsuit over the licensing process

Another lawsuit over the licensing process

A new lawsuit challenges medical marijuana licensing in Illinois, claiming that the state failed to follow its own requirements for deciding who would get to grow and sell the drug.

In response, Gov. Bruce Rauner's administration agreed that the evaluation process started by former Gov. Pat Quinn's office was flawed, and pledged to cooperate with any court review of the program.

"We understood and acknowledged that the process the Quinn administration applied would likely expose the State to significant and costly litigation," Rauner's office stated in an email. "We believe the steps we took to fix the errors in the Quinn selection process reduce, but cannot entirely eliminate, the risk of litigation.

"We will fully participate in any judicial review of the selection process and comply with any orders issued by a court as it relates to this particular applicant or any other applicant that seeks a judicial review," the statement said.

The suit, filed by PM Rx LLC of Chicago, seeks a court order to prevent the state from issuing a final cultivation center license to competitor Cresco Labs LLC, to require the state to rescore the applications for court approval or to declare PM Rx the high scorer in District 21 in Kankakee.

The suit was filed Tuesday in Cook County and names the defendant as Philip Nelson, acting director of the state Department of Agriculture, which oversees the licensing of marijuana grow centers.

On Feb. 2, the Rauner administration named Cresco Labs as the winner of three of 21 cultivation center licenses statewide. Since then, Cresco has been seeking up to $30 million from investors, according to documents filed with the suit, even though all investors were to be identified ahead of time as part of each application.


The suit claims that Cresco scored lower than PM Rx but ended up with a higher score after a Cresco representative met with Quinn, despite a ban on regulators meeting with applicants during the selection process.

A spokesman for the former governor released a statement that said Quinn "did not have any meetings with any medical marijuana applicants to discuss their licensing applications.

"Furthermore, Governor Quinn had no involvement in the scoring and evaluation of applicants," spokesman Bill Morgan said, adding that state agencies handled the process. "Governor Quinn did not know the names or scores of any license applicants at any time."

In a statement, the company said: "We are not going to comment on the efforts of a company that is attempting to achieve in court what it failed to do with the State. Cresco Labs submitted comprehensive and thorough applications exceeding all of the State's very stringent requirements, and we stand behind our applications."

The suit cites a prior statement from Rauner's office identifying four problem areas with the evaluation process by Quinn's administration, which included "arbitrary scoring 'cut-offs' that ... effectively eliminated certain applicants."

Cresco did not address whether the Quinn meeting took place.

PM Rx claims in the suit that it spent at least $1 million to prepare its application, had secured a commitment letter from an investor for $10 million for the project and had $500,000 in liquid assets as required.

Cresco Labs President Joe Caltabiano said Wednesday that his firm met the state deadline for securing $2 million in bonds and paying $200,000 in permit fees for each of three licenses it won for cultivation centers in Kankakee, Joliet and just outside downstate Lincoln.

He said Cresco raised $4 million in equity last fall, as reflected in federal financial filings, and planned to begin building its facilities within a month and be operating within six months as required by the state.

Cresco was seeking additional investors as a commonly accepted business tactic to spread the investment risk, Caltabiano said, adding that any new investors would have to go through the same criminal background check as initial investors.

Earlier this month, another cultivation center license seeker, Shiloh Agronomics LLC, filed what was believed to be the first lawsuit over the licensing process. It claimed that Shelby County Community Services should not have gotten the license to grow pot near Champaign, because it is a not-for-profit entity that pledges not to violate federal law.

A state law took effect last year to make growing and selling marijuana legal for patients with any of about three dozen specified medical conditions, though the drug remains illegal under federal law. No medical cannabis is expected to be available in Illinois until summer because of delays in implementing the program.

 

[Bababooey]

CC permit given up in District 1, who wants to apply?

CC permit given up in District 1, who wants to apply?

A business that won three permits to grow medical marijuana in Illinois is giving up at least one of the licenses after not paying the required fees, state and local officials confirmed.

The end of the deal reflects the financial pressures the industry is facing because so few patients have signed up or been approved for medical cannabis, a local official said.

Green Thumb Industries LLC, also known as GTI, had an option to buy land in rural Dixon for one of its three cultivation centers but has canceled the contract, said John Thompson, president of Lee County Development Association, a party to the contract.

A GTI spokeswoman said the company would defer comment until state officials made an announcement. A spokeswoman for the Illinois Department of Agriculture, which oversees the cultivation center licenses, confirmed that GTI missed Wednesday's deadline to pay state fees and submit proof of a surety bond and notified the state that it "will not move forward with their permit for District 1."

While the politicians have their hand out at every opportunity and
GTI was also awarded licenses to grow cannabis in Rock Island and Oglesby. Regulators required that license winners pay a $200,000 fee and secure a $2 million surety bond or escrow account for each permit by Wednesday. The warehouses for growing pot, which are expected to cost millions of dollars to build and operate, must be up and running within six months, or the license holders may forfeit the bond money to the state.

Thompson said GTI officials told him they did not want to pay the expense for all three permits in part because the market in Illinois is so small, with only about 1,000 confirmed patients so far.

“I know they had concerns about how deep the market was,” Thompson said. “A lot (of investors) are thinking, do we want to put this much money into it if the market isn’t there?”

A competitor, IPP of Glenview, apparently had fewer qualms, and bought and started developing an adjacent property for a cultivation center in Dixon last fall, Thompson said. IPP did not get the license, but may be line for it if it becomes available again, he said.

Dixon Mayor James Burke confirmed Thompson’s account, saying he hoped IPP would get the license to provide jobs in the area.


State lawmakers legalized medical marijuana effective last year, but implementation of the program has been beset by delays. Former Gov. Pat Quinn’s administration failed to award the licenses before he left office in January.

Gov. Bruce Rauner took office questioning Quinn’s handling of the program, and promising a thorough review of the process. Rauner’s office announced 18 cultivation license winners this month, with two more under review, and has awarded 54 licenses for dispensaries, with several more under review.

At least two lawsuits challenging the state's licensing procedures have been filed by medical marijuana applicants who did not get licenses.

 

[rootfingers]

Thanks for the post, Bababooey. This will probably change, but for now, I have to agree with some of these big investors pulling back. The way the law is written, there is no legal market for it.

 

[shithawk420]

im in Dixon.I hope they do something soon so that i can get a job but it wont be anytime soon.we need these jobs really bad.

 

[Bababooey]

PharmaCann raised 20 million from investors (min 50K each)

PharmaCann raised 20 million from investors (min 50K each)

What, no prisons out your way?

Ilinois regulators Monday awarded a medical marijuana growing license to PharmaCann LLC, to replace a firm that gave up its license in the northwestern part of the state.

The approval means that PharmaCann, based in Oak Park, has won approval for two grow centers and four dispensaries statewide, more than any other business in the state.

Green Thumb Industries LLC gave up its license to grow marijuana in Dixon last week after it didn't come up with the required $2 million surety bond or escrow account and the $200,000 permit fee. Local officials said Green Thumb, which also has licenses to operate two other grow centers, expressed concerns about the cost of the license while only about 1,000 patients have been approved to get medical marijuana.

GTI officials said their decision to give up the license had nothing to do with a lack of financial resources.

GTI "strategically decided not to accept the license for market reasons and to narrow the focus of its business to two cultivation markets," spokeswoman Rebecca Rausch wrote in an email.

PharmaCann qualified for the license as the second highest scorer in the District, and now has 15 business days to come up with the money, the Illinois Department of Agriculture announced.

A PharmaCann representative could not be reached.

District 1 covers Carroll, Ogle, Lee and Whiteside counties, west of DeKalb. In August, the village board of Hillcrest, just south of Rockford, unanimously approved a resolution for PharmaCann to locate the proposed cultivation center there.

In the fall, federal documents show, PharmaCann reported selling $20 million in securities, with a minimum $50,000 purchase from outside investors.

Regulators are still reviewing applications for three cultivation center licenses in Cook County and in District 2, which covers DeKalb, DuPage, Kane, Lake and McHenry counties.