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CITY HALL — A majority of City Council members have signed a letter urging the Illinois General Assembly to regulate hemp businesses soon so they don’t have to.
But state lawmakers remain gridlocked over what to do about the hundreds of city businesses using a loophole in a federal farming bill to sell legal hemp’s small traces of THC as highly concentrated edibles, drinks, vapes and pre-rolled joints.
In a letter spearheaded by Ald. Bennett Lawson (44th), 28 alderpeople wrote that they share a “deep concern” about a “booming gray market” for hemp businesses not currently subject to age restrictions or any of the rules placed on state-licensed dispensaries.
“Illinois remains without any comprehensive framework,” the letter reads. “The lack of regulation not only puts our residents at risk but also creates an uneven playing field for legal cannabis businesses that comply with rigorous state regulators.”
The letter expressed support for a bill introduced by State Sen. Kimberly Lightford that would ban intoxicating hemp products in businesses without a state-issued cannabis license.
A similar bill championed by Gov. JB Pritzker failed to pass after some Democrats, including Mayor Brandon Johnson, criticized the proposal for not giving small business owners a second chance at selling a regulated buzz.
Charles Wu, executive director of the Illinois Hemp Business Association and owner of a hemp “consumption lounge” in Wicker Park, called the letter “political theater.” He described Lightford’s Senate bill as a “monopolization” that’ll close businesses without the capital or good fortune to win a coveted dispensary license.
Many hemp businesses are selling their products at cheaper prices than heavily taxed dispensaries — sometimes right across the street.
“The state-licensed cannabis industry, with deep-pocketed multi-state operators, is using legislative influence to crush independent hemp businesses they see as competition,” Wu said in a statement. “Thousands on the hemp entrepreneurs like myself built a supply chain from scratch, investing in compliance, quality control, and consumer education — all without the benefit of state infrastructure or guidance.”
A label on a pouch of THC-A pre-roll joints at Mary Jane’s Smoke Shop, 5407 S. Harlem Ave., in Garfield Ridge on Jan. 9, 2025. Credit: Colin Boyle/Block Club Chicago
The City Council letter, signed by six members of its Progressive Caucus, could be a bad omen for an effort led by Ald. William Hall (4th), a top ally of Johnson, to regulate hemp at the city level and reap its tax revenue.
Hall held a subject matter hearing about hemp in January where leaders of the city’s business and health departments expressed an eagerness to regulate the products. But besides a 21-plus age restriction, Hall has yet to introduce a plan to regulate the hemp industry locally.
His colleagues who signed the letter now write that city officials “lack the capacity to regulate these products effectively on their own.”
Hall said his plan — to be introduced soon — would cap hemp licenses, which would need approval by the area’s alderperson, and run business owners $50,000-$100,000 with the cost of annual third-party lab testing included.
“The letter is not offensive,” Hall said. “This is an opportunity to continue to have the conversation in the public square.”
But some alderpeople continue to work around Hall to push outright ward-by-ward bans of hemp products similar to one passed in January by Alds. Marty Quinn (13th) and Silvana Tabares (23rd) around the Midway area on the Southwest Side.
Those backing hemp bans in their wards — which have been slowed down in City Council through parliamentary maneuvers — include Alds. Brian Hopkins (2nd), Anthony Beale (9th) and Brendan Reilly (42nd).
At a press conference Hopkins called ahead of Hall’s subject matter hearing, he held up hemp products in packages resembling popular candies.
“We are hearing anecdotal stories from the frontlines of an increasing number of young patients presenting to the emergency department [for] toxicology,” Hopkins said. “This is like we took the synthetic, intoxicating psychedelic compounds and injected them into the mushrooms Jewel sold in the produce section. Would that be legal?”
Right now, there is no requirement for hemp sellers to test their products before selling them. Lawson’s letter calls on the state to ensure “all psychoactive products are subject to the same rigorous standards for testing, labeling and distribution to protect consumers and prevent confusion.”
State Rep. La Shawn Ford, whose efforts have been championed by hemp business associations, said “gridlock” over the issue continues in Springfield but it remains an “active topic of discussion.” Ford is pushing his own bill that would allow businesses to continue to sell intoxicating hemp products under state regulations different from those that apply to dispensaries.
“The state should be in charge of passing something comprehensive,” Ford said. “We’re still too far apart.”
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“}]] The “booming gray market” for intoxicating hemp products lacks “any comprehensive framework,” reads the letter signed by 28 alderpeople. As state lawmakers remain gridlocked over legislation, some alders are pushing outright bans. Read More