LINCOLN — The Nebraska Legislature has passed its first-ever bill addressing a state medical cannabis program, which regulators highlight as essential for making the medicine available to Nebraskans. Lawmakers voted 46-2 in favor of Legislative Bill 1235, spearheaded by the General Affairs Committee. This bill grants the voter-created regulatory commission the authority to set fees and generate revenue, paving the way for the Nebraska Medical Cannabis Commission to potentially hire its first dedicated staff, following budget adjustments approved in LB 1071 with a 35-13 vote.
Legislative Developments and Patient Accessibility
While the commission did not formally endorse or oppose LB 1235, legislators indicated that the measure was introduced on its behalf. Initially, the legislation aimed to expand the commission’s authority to regulate patients, caregivers, and medical providers—an authority not outlined in the ballot measure that was passed by 67% of voters in 2024. These provisions, however, were ultimately removed.
In the same 2024 election, 71% of voters approved the possession of up to 5 ounces of medical cannabis for qualified patients and their caregivers with a healthcare practitioner’s recommendation. Nevertheless, legislators estimate it may take at least another year for medical cannabis to reach patients. Once available, the medicine will not be subject to sales taxes under current law.
Crista Eggers, executive director of Nebraskans for Medical Marijuana, described the passage of LB 1235 as “one very small step” towards a viable program, emphasizing the work that remains to ensure patient access. “Until we see that day, we cannot call it success,” she stated.
Future Legislation Requirements
Eggers noted the necessity of passing LB 933, which would protect healthcare practitioners who recommend medical cannabis to patients or caregivers, an integral element for the program’s functionality. This bill, proposed by State Sen. John Cavanaugh of Omaha, received preliminary approval with a 30-7 vote but requires additional passage to become law.
Ultimately, LB 1235 includes key components such as:
- Establishing a salary of $12,500 for medical cannabis commissioners.
- Creating a dedicated state cash fund for legislative funding, fees, gifts, and grants related to medical cannabis.
- Authorizing the commission to set application fees for cultivators, manufacturers, and dispensaries, potentially as high as $50,000.
- Mandating background checks for applicants seeking registered medical cannabis establishment licenses.
Spearheaded by Gov. Jim Pillen’s recommendations, state budget changes will allocate an additional $1.38 million to the Nebraska Liquor Control Commission, which oversees the Medical Cannabis Commission. An additional $1 million is set for the next fiscal year.
Medical Cannabis Commissioner Lorelle Mueting referred to LB 1235 as a “first step,” while retired district judge and Commissioner J. Michael Coffey acknowledged the delays were not deliberate, attributing them to practical hurdles faced due to legislative processes. “It appears there may be a light at the end of the tunnel,” Coffey remarked, with Mueting adding, “Fingers crossed.”