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Illinois Stops Issuing New Cannabis Licenses to Give Industry Time to Grow

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2 months agoon

With over 130 licenses to hand out before hitting the state’s cap of 500 cannabis licenses, Illinois is not looking to hand out any new cannabis industry licenses, Crain’s Chicago Business reports.
Illinois state law allows for up to 500 active cannabis licenses, and there are currently 260 licensed cannabis stores and 103 “conditional license” holders, leaving 137 remaining cannabis licenses that could theoretically be awarded. However, the industry is wrought with difficulties — including competition with the illicit marketplace and an inability to rely on traditional funding opportunities — and most of the cannabis license holders in the state have yet to open their doors for business.
State Rep. La Shawn K. Ford (D), however, said in the report that by freezing new cannabis licenses, the state could help social equity entrepreneurs by giving them time to launch their businesses. Ford also said he’s planning legislation to help social equity entrepreneurs attract investors and raise money.
“What we’re focused on is making sure the current conditional licenses have the ability to scale up and attract investors. That’s the goal.” — Ford, via Crain’s Chicago Business
Meanwhile, Illinois lawmakers this year again failed to take action against intoxicating hemp products, according to the Chicago Tribune, and many cannabis operators believe that consumable hemp products, which are not subject to the same stringent regulations as medical or adult-use cannabis products, undercut the regulated cannabis industry.
After five years of legal recreational cannabis, Illinois has 260 operational retail shops and another 103 entrepreneurs with “conditional licenses” won via permit lottery — meaning there are still 137 dispensary permits left to award before the state hits its cap of 500.
But the 137 dispensary permits are on hold indefinitely, state Rep. La Shawn K. Ford, D-Chicago, told Crain’s.
Ford and other lawmakers are searching for solutions that will allow the struggling 103 retailers with conditional licenses — and other types of marijuana business permits given to “social equity” candidates that have some type of cannabis criminal record — to get off the ground.
Social equity companies are typically mom-and-pop startups that don’t have immediate access to the hundreds of thousands of dollars — sometimes millions — required to get legal marijuana businesses off the ground. Typical business loans are out of the question, since banks essentially refuse to lend to anyone in the marijuana business, and investors have been difficult to come by or only offer sky-high interest rates that industry experts say border on predatory.
The sum result has been that few of the licensed social equity companies in Illinois have been able to get open for business.
To illustrate, the state has issued 88 permits to craft growers, but thus far, only 21 of them are operational, according to Illinois’ Division of Cannabis Regulation.
To remedy the situation, Ford last week formally introduced legislative language he intends to get amended onto a larger bill, which he said would deliver a number of new options for those companies to raise money, build their businesses and finally join the Illinois marijuana market.
“Right now, that has not been a topic of discussion,” Ford said when asked if lawmakers were considering another cannabis license lottery. The last such permit lottery was held in July 2023.
“What we’re focused on is making sure the current conditional licenses have the ability to scale up and attract investors. That’s the goal,” he said.
To that end, Ford introduced a formal amendment to Senate Bill 90, which he said would deliver significant regulatory changes for social equity companies by tweaking rules enforced by the state Department of Financial & Professional Regulation, which oversees dispensaries, and the Department of Agriculture, which oversees cultivators, manufacturers and all other cannabis businesses.
“It’s really a regulatory bill. We’re looking to do everything we can to help social equity get their footing and to bring in principal investors,” Ford said. “That’s another thing that’s been very challenging; they haven’t been able to bring in investors.”
The updates include pushing back license renewal dates for craft growers and product infusers, creating a “hardship waiver” for social equity companies to reduce or eliminate license fees, expanding the canopy size for craft growers to 14,000 square feet from 5,000 square feet, and perhaps critically, would allow social equity businesses to add a new principal officer “for investment purposes,” according to a legislative fact sheet shared by Ford.
“What’s most important is that Springfield has finally made the decision to treat cannabis separate from hemp, in the spirit of helping social equity and regulators,” he said. “The good thing is we have decided to focus on strengthening social equity without a conflict with hemp. Hoping to have a comprehensive hemp bill soon. That’s really huge.”
Cannabis industry advocates and social equity champions said Ford’s bill is a mixed bag, and while the bill is very much welcome, it doesn’t truly address some major underlying issues the legal marijuana industry is facing.
“While we thank Rep. La Shawn Ford for his leadership on this legislation, which contains important reforms we have long advocated for — including expanded access for medical patients, added support for social equity license holders and flexibility for transporters — additional action is needed to prevent further erosion of the legal cannabis market,” Tiffany Ingram, executive director of the Cannabis Business Association of Illinois, said in a statement.
Ingram said what the industry really needs is “meaningful regulations to rein in the parallel intoxicating hemp market, which is undercutting licensed operators, evading health and safety regulations, and generating de minimis revenue for state programs because these products are not taxed at the high rate levied on licensed cannabis products.”
A proposed bill that would have established new rules for the burgeoning hemp THC industry died in January due to disagreement among lawmakers on how exactly to tackle the complex topic.
“Today’s action is a step forward, but the work cannot stop here,” Ingram said last week of Ford’s amendment.
Brendan Shiller, executive director of the Alliance of Independent Cannabis Entrepreneurs, called Ford’s amendment “an important first step,” but also said there’s more that needs to be done for the Illinois social equity program to succeed.
“We are disappointed not to see any regulation addressing the proliferation of illegal cannabis and will continue to remain focused on comprehensive reform and enforcement regarding sales and distribution of illegal cannabis in the upcoming months,” Shiller said.
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Author: mscannabiz.com
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Texans Deserve Choice, Not a Monopoly: Texas Hemp Business Council Urges Lawmakers to Defeat SB 5

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July 29, 2025
[PRESS RELEASE] – AUSTIN, Texas, July 28, 2025 – The Texas Hemp Business Council (THBC) issued the following statement:
“As S.B. 5 heads to the Senate floor during the special session of the 89th Texas Legislature, Lieutenant Governor Dan Patrick and Senators Charles Perry and Roland Gutierrez are actively looking to gift-wrap the entire cannabis market to a few select state-licensed [medical] marijuana companies, one of which already controls over 75% of the market.
“Their claim that the restrictive Texas Compassionate Use Program (TCUP) can replace hemp-derived cannabinoids is misleading and dangerous.
“TCUP currently serves just over 100,000 patients and requires registration, physician prescriptions, higher prices and fewer options. While H.B. 46 was an attempt to improve the program, it does little to expand real access to a restrictive and expensive TCUP program that serves an entirely different purpose than hemp.
“Meanwhile, hemp is legal and regulated under federal and state law and serves millions of adult consumers and veterans who rely on affordable, accessible alternatives for wellness, pain relief and more.
“S.B. 5 would destroy a $10 billion industry that supports over 53,000 jobs and eliminate economic opportunity for thousands of small business owners across the state. All being done under the false flag of ‘safety,’ while the real goal is market control by a politically connected few. This isn’t about protecting public health; it’s about protecting a monopoly.
“Governor Abbott’s veto message was clear: Regulate hemp responsibly; don’t ban it. Texans deserve choice, not coercion. S.B. 5 is prohibition disguised as policy, and lawmakers should reject it. Public opinion, economic data and common sense all point in the same direction: This is a manufactured crisis driven by special interests, not public demand.
“At a time when Texas faces real and pressing challenges like strengthening flood warning systems, redistricting and providing meaningful property tax relief, some Senate leaders are spending this special session pushing a hemp ban Texans clearly don’t want. It’s a clear example of misplaced priorities and misguided policies.
“That’s why THBC and the vast majority of Texans strongly support a common-sense alternative that includes 21-plus age limits, child-resistant packaging and setbacks from schools. It’s the right path forward for public safety, economic freedom and the future of hemp in Texas.”

Author: mscannabiz.com
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featured
Massachusetts Psychiatric Society Endorses Bill To Decriminalize Psilocybin Possession

Published
1 hour agoon
July 29, 2025
“We are encouraged by the growing body of rigorous research exploring the use of psychedelics, including psilocybin in treating treatment-resistant types of mental illness.”
By Jack Gorsline, HorizonMass
Massachusetts psychedelic policy advocates recently marked a significant milestone at a July 15 legislative hearing, which featured testimony on four of the 12 psychedelics-related bills filed this year on Beacon Hill. The hearing was highlighted by a historic, first-ever endorsement of psychedelic decriminalization-specific legislation anywhere by a professional psychiatric society: The Massachusetts Psychiatric Society (MPS).
Among the bills addressed at the hearing of the Joint Committee on the Judiciary was H.1726, sponsored by state Rep. Homar Gómez (D), which seeks to decriminalize the possession of psilocybin.
Another proposal, H.1624 from state Rep. Mike Connolly (D), proposes a psychedelics task force to consider equity in psychedelic access.
H.1858, from state Rep. Marc Lombardo (R), aims to reduce legal penalties for psilocybin possession by imposing a $100 fine for quantities under one gram, effectively decriminalizing small amounts.
And S.1113, sponsored by state Sen. Cindy Friedman (D), directs the Department of Public Health (DPH) to create a trial program for medically supervised psilocybin therapy, specifically excluding ownership by “cannabis industry organizations, psychedelic molecule development companies or pharmaceutical companies.”
Massachusetts Psychiatric Society supports psychedelics measures
The endorsement from the Massachusetts Psychiatric Society, a professional organization representing approximately 1,400 psychiatrists across the state, was a notable development.
Dr. Jhilam Biswas, speaking on behalf of the MPS, stated, “I’m here today to express the society’s support for H.1624, H.1726, H.1858 and S.1113, bills that allow for the dismissal of complaints for the simple possession of psilocybin, provided that if the individual meets clear safety-based criteria, which is being over the age of 21, not operating a vehicle and not endangering of children.”
Dr. Biswas clarified that the society’s support was not a “blanket endorsement of recreational psychedelic use,” noting its opposition to last November’s Ballot Question 4, which members believed was “too far reaching and lacked necessary safeguards.” She emphasized, “While we know there is promising research happening in psychedelic medicines in the field of psychiatry and medicine, broad and premature access to many different substances without caution is not only dangerous, but does impact the research community.”
In contrast, Dr. Biswas described the current bills as a “more balanced and responsible approach,” applying “narrowly to define situations to adults over 21 who are not driving and not endangering children, and whose action caused no harm to others.” She added, “It gives courts more discretion and it maintains important public safety protections while avoiding any unnecessary criminal penalties.”
The MPS also acknowledged the amount of research into psychedelics for mental illness treatment.
“Moreover, we are encouraged by the growing body of rigorous research exploring the use of psychedelics, including psilocybin in treating treatment-resistant types of mental illness,” Dr. Biswas said. “Institutions like our local EMC hospitals and research centers in Massachusetts are leading these studies with promising early outcomes.” She concluded by urging legislators to view these bills “not just at, this as criminal justice reform, but as a public health opportunity.”
According to the organization Mass Healing, the MPS’s endorsement of these three psilocybin decriminalization proposals marks the first time any branch of the American Psychiatric Association (APA) has endorsed psychedelics legislation of any kind.
Curiously, the MPS’s recent endorsement contrasts with testimony provided at a previous psychedelics bill hearing last month. Outgoing MPS President Dr. Nassir Ghaemi opposed H.2506, which sought to decriminalize possession of up to 50 grams of dried psilocybin mushrooms, stating he was speaking “on his own behalf, as well as that of the society.”
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Former Yes on 4 campaign staffer Graham Moore also spoke in favor of the bills, acknowledging that the previous measure “went too far for the people of Massachusetts right now.” The advocate championed the current proposals as “much more narrowly tailored,” and emphasized that “people don’t want lives ruined over simple possession, but people also do not want unlimited green light to everybody’s all sorts of psychedelics.”
Moore also refuted claims of increased public health problems in areas that have decriminalized psilocybin, citing Cambridge, Massachusetts, and Colorado as well as the Netherlands, where legal psilocybin availability has not led to widespread abuse due to its non-addictive nature.
Timothy Morris is a Billerica resident who, along with fellow advocate and Mass resident Henry Morgan, submitted H.1726 to state Rep. Gómez. At the hearing, he expressed his gratitude for the process: “I’m thankful that we’re able to get the ball rolling so soon after question 4, as well as for Dr. Biswas’s supporting testimony.”
Morris added, “The fact that Institutions—such as the Massachusetts Psychiatric Society—are beginning to support the decriminalization movement, marks the start of a powerful paradigm shift for related public policy.”
This article is syndicated by the MassWire news service of the Boston Institute for Nonprofit Journalism. If you want to see more reporting like this, make a contribution at givetobinj.org.

Author: mscannabiz.com
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Politics makes strange bedfellows and add in cannabis and you got some interesting news
In a dramatic turn this week, a GOP Senator rides to the rescue of hemp. While as a party they haven’t lined up support cannabis and hemp, GOP Senator Rand Paul (R‑KY) successfully blocked a proposed federal ban on hemp-derived THC products had been inserted into a critical spending bill on agriculture and related funding. The provision sought to redefine hemp by capping total THC—including delta‑8, delta‑10, and THCA—rather than just delta‑9 THC, effectively outlawing most edible hemp products
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Paul argued the language would “destroy hemp farmers in my state” and devastate an emerging national industry, threatening thousands of jobs and billions in revenue. Kentucky, once a leading tobacco-growing state, has become a national leader in hemp production—generating tens of millions annually in cultivation, processing, and manufacturing jobs. His intervention represents a major victory for hemp advocates.

The hemp-derived THC market in the U.S.—centered on delta‑8, delta‑10, and similar compounds—jumped nearly 1,283% from 2020 to 2023, rising from $200.5 million to approximately $2.8 billion. Meanwhile, the broader U.S. legal cannabis (marijuana) industry reached roughly $38.5 billion in 2024, expected to climb to over $44 billion in 2025.
Globally, the industrial hemp market—including fiber, seeds, food and wellness applications—is estimated at $6.6 billion in 2024, and projected to hit $25–26 billion by 2034. North America is a hub for both cannabis and hemp, with legal cannabis valued at $26.6 billion in 2024 and forecast to grow over 10‑fold to $285 billion by 2034.
Industry stakeholders emphasize hemp’s unique position: it’s federally legal under the 2018 Farm Bill, so long as delta‑9 THC remains under 0.3%. Federal safety net distinguishes hemp‑THC products from marijuana, which remains federally illicit despite many states permitting recreational or medical use. Hemp has become increasingly popular, in Texas, Bayou City Hemp Company, the parent of Bayou Beverage, has taken hemp‑derived THC drinks mainstream.
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Senator Paul’s move reflects the intersection of politics, agriculture, and emerging consumer markets. As lawmakers weigh the future of hemp‑THC regulation, the broader cannabis industry—and its relationship with alcohol and public policy—continues its rapid evolution.

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