Pritzker: $100 Million Milestone in Cannabis Revenue Collected, At Least $16 Million Going to Local Governments

SPRINGFIELD - Following the legalization of adult-use cannabis on January 1, 2020, the Illinois Department of Revenue (IDOR) has collected over $100 million in tax revenue connected to adult-use cannabis sales. Last week, IDOR finalized its September collections and found the state took in $69.7 million through the Cannabis Regulation Fund, and $36.1 million from state and local sales taxes since January 1, 2020. September collections reflect August sales, meaning this activity took place over 8 months.

“Thanks to those who have carefully overseen this brand-new industry’s successful launch in Illinois, revenue is flowing to local governments, to drug treatment programs and law enforcement, and being reinvested in our communities hit hardest by the failed policies of the past,” said IDOR Director David Harris.

Under the new law, nearly 50% of revenues collected through the Cannabis Regulation Fund will be either reinvested through the Restore, Reinvest and Renew (R3) Program in communities that have been disproportionately impacted by the justice system or directed to address substance abuse and prevention, and mental health concerns. The innovative R3 program recently announced $31.5 million in grant opportunities to organizations working in historically underserved communities across Illinois.

IDOR also announced that of the $105.9 million collected, at least $16.1 million will be directed to county and local governments with more on the way. Beginning July 1st, counties and local governments could begin imposing an additional levy on adult-use cannabis sales occurring under their jurisdiction. Once certified, IDOR will begin distributing this additional funding on a monthly basis to local governments; the first distribution, based on July sales, is expected to total nearly $3 million.

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