6/1/2022 Statement from the Cannabis Business Association of Illinois

6/1/2022 Statement from the Cannabis Business Association of Illinois

STATEMENT FROM THE CANNABIS BUSINESS ASSOCIATION OF ILLINOIS

June 1, 2022

The Illinois Cannabis Business Association welcomes the action by a Cook County judge lifting the legal hold on issuing cannabis dispensary licenses to 185 social equity applicants. While we are pleased with this development, we are disappointed in the decision of the administration to hold these conditional licenses until further guidance is given in the federal residency case, as each delay continues to harm those waiting to enter the industry.

The applicants have put their careers and livelihood on hold in anticipation of these awards, including taking on daunting financial risks to pursue a promise made by the state when the cannabis equity legislation was passed in 2019.

The state must do more to implement policies that provide greater ownership opportunities for minority cannabis entrepreneurs, including set-aside licenses, innovative incubation and co-location programs, and legislation that addresses the challenges for diverse businesses.

The court’s action, and the state’s swift follow up, are both necessary to address ongoing inequities in the licensing process as well as to answer the growing demand for safe recreational cannabis products from consumers across Illinois.

This will allow our industry to become, as anticipated when the law passed, an evolving, growing, thriving industry, instead of the stop and go process that has hindered its true potential.

We are heartened by the court’s action and look forward to celebrating the arrival of these new businesses into the Illinois market.

# # #

Contact:

 

Member Spotlight: INB

Member Spotlight: INB

About INB

 

Katie Hahn

INB, inb.com

Katie Hahn is the Assistant Vice President of Business Solutions at INB, a Springfield-based bank that provides banking services to cannabis businesses in Illinois.

Tell us about your company?

INB has provided a full range of traditional banking services to individuals, businesses and government entities for over 21 years.  INB opened in 1999 with one straightforward expectation: to bring community banks into banking. That meant knowing your customers, being involved in your communities, caring and showing you care by using your resources to help the people you live and work with. INB is headquartered in Springfield, IL and has 13 Illinois branches and a loan production office in Chesterfield, MO. www.inb.com

Can you offer a general overview of the kinds of cannabis clients you serve?

We bank cultivators, dispensaries and many businesses that provide services or other operational items to cannabis operators, such as payroll providers, equipment providers, and investors who have experienced difficulties banking with their traditional banks due to the transactional nature and recipient of their investments.

Katie Hahn, Assistant Vice President-Business Solutions, INB

Katie Hahn is Assistant Vice President of Business Solutions at INB, a Springfield-based bank that provides banking services to cannabis businesses in Illinois.

What role does your company play in servicing the cannabis industry and how did that start?  

INB started its program in 2019 after hearing stories about and researching the movement of cash in the industry. Management believed it could create a program that would provide a secure solution to the movement in cash and give licensed operators access to some traditional banking services previously unavailable to many Illinois cannabis-licensed businesses.

We offer most of our traditional deposit services to licensed operators by working with couriers who specialize in cash-in-transit services designed specifically for the licensed-cannabis trade. We have offered loans on a limited and very conservative basis when there is real estate involved.

 

As a bank working in the cannabis industry – which is still not legalized at the federal level – explain how INB is able to operate here in Illinois.

The US Department of Treasury issued guidance through its Financial Crimes Enforcement Network (FinCEN) that set certain rules for banks who are receiving cash proceeds from or suspected to be tied to cannabis-related sales in states with licensed sales. INB’s primarily regulator, the Office of the Comptroller of the Currency (OCC) is also a division in the US Department of Treasury, each of which do not necessarily condone the open banking of cannabis-related cash, but require the bank to comply with the rules established by FinCEN and other traditional anti-money laundering regulations.

 

Why did INB get involved in the cannabis industry?

There are very few industries facing cash-logistic challenges like the cannabis industry. Banks were built to keep depositors’ money safe and provide financial services to protect the flow of its customers hard-earned gains. Our management team prides itself on finding innovative solutions for our customers and being on the forefront of new technologies and financial solutions. While INB started with a small, community bank charter, it began essentially as a start-up operation in the Capitol City and grew to compete with many older, established financial institutions

 

What excites you about the cannabis industry?

The cannabis industry presented an opportunity to meet new people who also faced unique challenges as they grew their businesses from the ground up in a heavily regulated industry much like the heavily regulated financial industry. The energy our licensed cannabis customers present when they discuss the unique paths to finding capital, building their operations and their difficulties working solely with cash is contagious. We share the excitement and relief that many of our customers experience when they feel the liberation that our cash logistics and banking services provide.

 

What are the biggest challenges facing your business?

There is a lack of diversity of services, which presents monopolies on pricing for certain services. Debit cards remain an issue, despite our continued pursuit with Visa to open their rails to licensed-cannabis operators. Loans are often difficult to extend because they are harder to wind-down if our regulators or the federal government changes its (somewhat) hands-off approach to banks in the cannabis space. We can close checking accounts, but we cannot really just exit loans that easily. This is a challenge for every bank looking to bank the cannabis industry. Loans are also difficult to make without real estate collateral, and the value of the collateral is hard to ascertain for very specialized projects such as cannabis cultivation and dispensaries (no standard appraisal rules or bases for cannabis industry operations).

 

As a company that services cannabis businesses, how has CBAI membership been valuable?

The Association can lobby for many of the obstacles we also face, but the education and access to other resources provide additional avenues for greater knowledge that can benefit our existing customers.

Connect with Katie Hahn and

INB!

 

420

420

Celebrate 420

Celebrate 420 responsibly with CBAI. Check out the special promotions, events and resources hand-curated by our members.

420 EXCLUSIVES

420 Promotions (by Dispensary)

Verilife

Verilife Locations:

Verilife Arlington Heights (Medical & Rec.)

Verilife Galena (Rec Only)

Verilife River North (Rec Only)

Verilife North Aurora (Medical & Rec.)

Verilife Ottawa (Medical & Rec.)

Verilife Romeoville (Medical & Rec.)

Verilife Rosemont (Rec. Only)

Verilife Schaumburg (Rec. Only)

Product Sales:

Thursday 4/14 to Wednesday 4/20 – up to 50% off select matter. items

Gift with Purchase
We’re celebrating 420 all week! Spend $100 at one of our participating dispensaries from April 15 – 20, and you’ll receive a free gift*.

Where’s Bud? 
There are buds hiding in every Verilife dispensary! If you can find bud (flower, that is) or Bud (budtender of course!), you’ll get a free gift*. 

Product Launch 1/2 oz. and 1 oz. matter. flower select strains
1/2oz | $139   /   1oz | $199

Citral Glue | Hybrid
Citral Glue is an extremely potent strain that is derived from Gorilla Glue #4 crossed with Citral Skunk. A heavy yielding plant with resin drenched flowers, its aromas are those of gaseous, pine and citrus notes. Its effects will leave you feeling cerebral and euphoric, but also deeply relaxed.

Purple Sunset | Indica-dominant Hybrid
Dusk is dreaming, isn’t it? The way the light paints the sky and shadows stretch long and lean, it’s the perfect time to wind down. Purple Sunset from matter. is a prime companion for taking the edge off your evening without making yourself sleepy. Floral and fruity, this ease-inducing strain smells as good as it tastes with a spice-and citrus aroma that will linger while you relax.

Sunnyside*

Sunnyside IL Border Stores (Sunnyside Rockford, Danville, South Beloit)
    • 4/11 – 4/24
      • Buy any 4+ Flower, Vape or Concentrate, get 20% off order
      • 40% off Cannadevices Straight Flower Tube, Flower Beaker Bong, & Sidecar Rigs
      • 20% off 2+ Kiva Terra or Kiva Caminos
      • Get a free gift with Cresco purchase
    • 4/18
      • $40 High Supply 1g Cartridges
      • $30 High Supply 500mg Cartridges
    • 4/19
      • Buy 7g Flower, get a free one-hitter
    • 4/20
      • Spend $250+, get a select 8th for $0.01
Sunnyside IL Non-Border Stores (Sunnyside Wrigleyville, Champaign, River North, Schaumburg, Elmwood Park, Buffalo Grove, Naperville)
  • 4/11 – 4/24
    • Save up to 20% off High Supply & Cresco Flower, Vapes, Concentrates
    • 10% off select Flower, Vapes, Concentrates
    • 20% off Kiva Terra or Kiva Caminos
    • 20% off all Grassroots Vape, Flower, Concentrates, & Squeeze
    • 10% off all Ascend items
    • Get a free gift with Cresco purchase
  • 4/18 – 4/24
    • 20% off Rythm Cartridges & Disposables, IncrEdibles, and single Dogwalkers’ Big Dogs
    • 10% off Rhythm 8ths
    • 40% off Cannadevices Straight Flower Tube, Flower Beaker Bong, & Sidecar Rigs
  • 4/18
      • $40 High Supply 1g Cartridges
      • $30 High Supply 500mg Cartridges
  • 4/19
    • Buy 7g Flower, get a free one-hitter
  • 4/20
    • Spend $250+, get a select 8th for $0.01

Thrive

Bong Giveaway!

Customers can enter for a chance to win.  Winner will be announced on 4/20.

Various product sales at all Thrive locations.

Herbal Remedies

Spend & Save (4/15-4/20)

  • 10% off $150+ cannabis purchase
  • 15% off $300+ cannabis purchase
  • 20% off $400+ cannabis purchase
  • 10% off accessories & apparel
  • FREE Herbal Remedies tote with any $200+ purchase

Nature's Care Co.

Locations:  Nature’s Care West Loop, 810 W Randolph St, Chicago, IL 60607

Nature’s Care Rolling Meadows, 975 Rohlwing Rd, Rolling Meadows, IL 60008

4/20 Events, Promotions & More! 

#Lunchbag Customer Event 4/20 – Nature’s Care Co. (Both locations)

    • From 8am to 11pm, you can stop by BOTH of our locations and give back to the community. Nature’s Care has partnered with #Lunchbag to deliver 420 meals to the homeless and displaced community of Chicago and the Chicagoland area. While we pack the lunches, you can decorate a bag or write an encouraging note to put inside! You’ll get an exclusive sticker for your participation.  
  • Rolling Contest 4/20 – Nature’s Care Co. (Both Locations) 
      • From 1pm to 3pm at BOTH store locations, Nature’s Care will have a booth set up for you to show off your rolling chops! Entrants will compete in pairs of two, and each winner will be entered to win a prize basket valued at $400, which includes a special piece of smokewear sponsored by Innocent! 
  • Use Your (pot)HEAD Trivia Hour 4/20 – Nature’s Care Co. (Both Locations) 
        • Starting at 420 on 4/20, Nature’s Care will have our Cannabisseur Experts roaming around BOTH dispensaries, asking fun trivia questions and awarding prizes. You could win big if you know your weed stuff!  
  • Get a limited edition 420 bag! If you make a purchase on 4/20 at EITHER of our locations, Nature’s Care will pack your order in a dope iridescent reusable tote. Get it while supplies last! 

Dispensary 33

D33 Locations

D33 Andersonville (Medical & Recreational)

5001 N Clark St, Chicago, IL 60640

D33 West Loop (Recreational Only)
1152 W Randolph St, Chicago, IL 60607
Product Sales
Various sales running on 4/20 at both locations.
Waldo’s Forever Fest

Waldos Forever Fest presented by Dispensary 33, is taking over Clark Street with headlining performances by Junglepussy, Sudan Archives, Shea Couleè (Live and drag set), Jessy Lanza, Glitter Moneyyy, Trqpiteca more!

Experience 420 the right way with Live Music, Drag Performances, local eats, cannabis-forward vendors, and immersive activations. 

April 23. Andersonville, Chicago | 10AM – 9PM

RSVP HERE

Consume

Consume Locations:

Consume Carbondale (Rec only)

Consume Chicago (Medical & Rec.)

Consume Marion (Medical & Rec.)

Consume Oakbrook Terrace (Rec. only)

Early bird special (1st three hours)

  • 15% off every purchase

4th hour through closing specials:

  • Purchase any 2 pts concentrates for 100.00
  • Purchase 2 tonics or 2 Tonic Fizz and receive the 3rd for 50% off
  • All eighths of flower added to buy more save more!

All day specials

  • $50.00 gift cards drawn throughout the day
  • 15% off store selected disposables and cartridges
  • 20% off all Consume apparel

Mission

Mission Locations:

Mission Calumet City (Rec. only)

Mission South Chicago (Medical &

Rec)

420 EXCLUSIVE DEALS: Beginning 4.17

APRIL DEALS: Discount Will Be Applied At The POS.

  • 20% OFF Your Cartridge Purchase When You Buy 2+ Catridges [Airo Pods are NOT Included].
  • 20% OFF Your Edibles Purchase When You Buy 2+ Edibles.

CULTIVATOR-SPECIFIC DEALS:

[Offer Valid While Supplies Last – Cannot Combine With Every Discount – Discount Is Off The Pre-Tax and Post-Discount Subtotal].

Nature's Treatment IL

Nature’s Treatment Illinois Locations:
NTI Milan (Medical & Rec)
NTI Galesburg (Rec. Only)
420 specials starting this week:
420 Week Food Truck Schedule:
NTI Milan:
Wednesday- Los Primos & Toni’s Smokin’ Grill
Thursday-The Big Cheese
Friday- The Big Cheese
Saturday- TBD
NTI Galesburg (Wednesday only):
Chef Angelica Mangieri and PHAT Belly’s BBQ
All food trucks are starting at 11 a.m.!
Giveaway:
Enter for a chance to win the Snoop Dogg& Ice Cube tickets if you spend over $250.00 4/18 and 4/19.

Member Spotlight: Fox Rothschild, LLP

Member Spotlight: Fox Rothschild, LLP

About Fox Rothschild

 

Bill Bogot

Fox Rothschild, LLP: foxrothschild.com

Bill Bogot is a Partner and Co-Chair of the Cannabis Law Practice at Fox Rothschild LLP based in the firm’s Chicago office. After years spent focused on Illinois’ gaming industry, Bill transitioned to the cannabis space when medical cannabis was approved in 2013. 

Tell us about your company?

Fox Rothschild is a national law firm with 950 lawyers in 28 offices across the country. My focus for years was on the Illinois gaming industry, including working for the Illinois Gaming Board.  When Illinois passed the Compassionate Use of Medical Cannabis Pilot Program Act, which legalized medical marijuana in the state, we realized that the competitive applications for medical marijuana licenses were not too dissimilar from competitive casino licenses, including the background information and all the regulatory requirements that need to be met.  My partners and I, as prior gaming regulators, had a lot of experience with competitive applications and intense regulatory scrutiny.   As a result, we got in on the front end of providing legal services to those seeking medical cannabis licenses in Illinois and other states, and later adult-use cannabis licenses as well.  

What role does your company play in the cannabis industry?

We provide a full spectrum of legal services to a wide range of cannabis-related businesses across the country and here in Illinois. Because we started this work very early on, initially we only worked with smaller-scale entrepreneurs who were exploring the industry. Some of these were family businesses or groups of friends that were trying to build a little team to get their business started. And we became a resource for these groups of folks just starting out. It was great to start here in Illinois because it became a breeding ground for some of the largest multi-state cannabis operators, which we then witnessed blossom and grow into national players.  

Bill Bogot, Partner and Co-Chair of the Cannabis Law Practice, Fox Rothschild, LLP

Bill Bogot is a Partner and Co-Chair of the Cannabis Law Practice at Fox Rothschild LLP based in the firm’s Chicago office. After years spent focused on Illinois’ gaming industry, Bill transitioned to the cannabis space when medical cannabis was approved in 2013. 

What guidance would you give to someone considering entering the cannabis industry?

People entering the industry understandably have so many questions, not only because they’re new to the industry, but because the industry itself is so new and still federally illegal. The biggest piece of advice I give them when dealing with a competitive application process is: be prepared for delays. It’s the unfortunate reality of the cannabis industry across the country, that with the byzantine regulatory structures,  politics and lawsuits, there are invariably delays. We see this of course in the delay in issuing new competitive dispensary licenses in Illinois. The more you’re prepared for it, the better you can manage it.

 

 

What excites you about the cannabis industry?

Because we’ve been involved in it from the start, we’ve really seen the entire industry form and grow around us. I’ve been in law for almost three decades and it’s very satisfying to still be finding solutions to new issues that arise every day, whether it concerns restrictions on advertising, constitutional challenges to agency regulations, or navigating a new state that legalized marijuana.  Every day seems to be a great legal challenge.

It’s also been really satisfying to see our clients grow and succeed. I still remember introductory meetings almost a decade ago with small would-be cannabis license applicants that are now public companies. To be a part of that success is really special.  Now we just need to see that happen again when and if the next round of licenses are finally issued.  There are so many talented applicants being held back right now, but I’m really excited to see them succeed when they are finally licensed. 

Connect with Bill and

Fox Rothschild, LLP!

 

Member Spotlight: Cannabis Facility Construction

Member Spotlight: Cannabis Facility Construction

About Cannabis Facility Construction

 

Andy Poticha

Cannabis Facility Construction, CannabisFacility.net

Andy Poticha is founder & CEO of Northbrook-based Cannabis Facility Construction, which designs and builds dispensaries, cultivation facilities and more in Illinois and across the country

Tell us about your company?

As cannabis has become legal throughout the country, we’ve expanded the projects we do beyond medical dispensaries to include recreational dispensaries, as well as facilities focused on cultivation, craft grow, infusion, processing and extraction. Here in Illinois alone, we’ve built a total of 26 facilities.

What excites you about the cannabis industry?

Because the industry is still very young, the opportunity is incredibly exciting, not only in terms of business growth, but in terms of working with clients to build unique and custom projects. The technology is changing daily as well as the speed and sophistication of processes and best practices.

 What are the biggest challenges you face?

I always say that good designers get inside their client’s head and help them articulate that which they can’t do themselves on paper.  That means the future of dispensaries really depends on the experience our clients want their customers to have: do they want it to be a type of self-serve store or do they want it to feel more high-end and service-focused? Ultimately, I think you’re going to see both: groups that are interested in selling volume and groups that are interested in selling an experience.

We have to remember that, in Illinois, most of the dispensaries that were here seven years ago were medical and were focused more on satisfying the regulatory requirements than visual appeal. So, as a result, they ended up looking a lot like doctor’s offices. Our initial three projects were experiential and wellness focused.  Many others have followed that lead.  Going forward, I think it’s going to be very interesting to see how dispensaries evolve.

What are the biggest challenges facing your business?

The biggest obstacle we’re encountering is the challenge businesses everywhere are facing: supply chain issues as a result of the COVID pandemic. I’ve been in this business for more than 32 years and right now this environment is truly unprecedented, particularly as there is such a high demand for construction work, materials as well as labor.

Connect with Andy Poticha and the

Cannabis Facility Construction team!

 

Andy Poticha
Founder & CEO

Mosaic Construction, LLC • 847.504.0177
Cannabis Facility Construction • 847.504.0177
Design Construction Concepts • 847.498.1676