Social Equity Status is All or Nothing, IDFPR Clarifies
The Illinois Department of Financial and Professional Regulation (IDFPR), the arm of the government in charge of licensing cannabis dispensaries, recently compiled and published their answers to the questions they have received about the application process. The law leaves many issues unresolved, and this resource clarifies a lot of them.
One of the key parts of the statute is the Social Equity portion, with a full fifth of the points on a dispensary application only available for Social Equity applicants. However, how these points would be awarded was still up in the air: Will having more eligible people on your application net you more points? If 75% of the business is owned by Social Equity applicants, will they receive 75% of the points? If we have several team members who live in a Disproportionately Impacted Area or who have an expungable offense, does that improve our chances of getting some points? Et cetera. The IDFPR answered, ruling that applicants would be awarded either all the points or none:
“Points awarded for Exhibit P (Evidence of Status as a Social Equity Applicant) will be awarded on a binary basis in which applicants that qualify will receive 50 points and applicants that do not qualify will receive 0 points. Applicants will not receive additional points for meeting more than one qualifying criterion or for going beyond the required criteria in the Cannabis Regulation and Tax Act.”
With so many points on the line, making a strong case for Social Equity status is critical to a successful application. Illinois Cannabis Attorneys can help you make that determination and judge how it will affect your chances of securing a license. We offer a package analyzing your Social Equity eligibility for a flat fee of $750. Applications are due January 2nd, so time is short! Contact us today to get started ASAP.
Mr. Roberts is the founder and managing member of Scott Roberts Law, a Detroit-based Cannabis Business Law Firm founded in 2014. Scott has spent his entire career representing businesses and helping them comply with municipal, state and local regulations, as well as assisting on transactional corporate and real estate matters. Scott is an accomplished attorney, author and public speaker, having spoke at CannaCon, Cannabis Industrial Marketplace, CannabisAid, and 420 Canna Expo, to name a few. He has also taught Continuing Legal Education on Marijuana business matters, meaning other attorneys see him speak to learn about the nuances of cannabis business law.
