Nebraska passes first medical cannabis law to make legalization planned for 2024 a reality

L’Nebraska Legislative Assembly voted 46 to 2 in favour of the bill 1235 (LB 1235), a measure designed to provide Nebraska Medical Cannabis Commission, This bill is essential to ensure that the program has real access for patients. This bill is essential if the program is to have real access for patients.

Although Nebraska voters overwhelmingly support medical cannabis in 2024, State officials have repeatedly warned that implementation could take some time. Lawmakers themselves estimate that patients could still have to wait at least a year before the products become available.

A commission without resources

The new bill was introduced through the General Affairs Commission of the Legislative Assembly, and legislators acknowledged that it had been drafted largely at the commission's request. Although the commission neither formally approved nor rejected the bill, the message from regulators was clear: without a funding mechanism, the agency would not be able to function properly.

With LB 1235 now approved, the commission will be able to collect fees and manage dedicated funds, enabling it to start building up its staff and infrastructure.

Commissioner J. Michael Coffey, a retired district judge originally from Omaha, had previously characterized the delays as practical rather than political, pointing out the limits of referendums when it comes to funding.

«There seems to be a glimmer of hope at the end of the tunnel. Fingers crossed.»

What the LB 1235 bill really provides for

LB 1235 has four main components, plus additional provisions relating to the regulation of alcohol and spirits.

Firstly, the bill sets a salary of 12,500 dollars for medical cannabis commissioners, recognizing the workload involved in launching and overseeing the system.

Secondly, it establishes a state treasury fund dedicated to collecting legislative funding, fees, donations, grants and other revenues that can be used specifically for the regulation of medical cannabis.

Third, the bill authorizes the commission to set fees, in particular for farmers, the manufacturers and dispensaries, up to 50,000 dollars, This paves the way for the generation of sustainable operating funds for the program.

Finally, it requires applicants for an approved medical cannabis establishment license to provide fingerprints for a background check, a procedure the commission had already put in place.

Budget financing also approved

Alongside LB 1235, legislators also approved adjustments to the state budget through the bill LB 1071, by 35 votes to 13. These budget modifications, supported by Republican governor Jim Pillen, allocate new funds to the Nebraska Liquor Control Commission, which hosts the Medical Cannabis Commission.

The plan includes 1.38 million dollars for the fiscal year ending June 30, and 1 million dollars for the following fiscal year. These funds could enable the commission to hire its first dedicated staff and begin the slow process of licensing and supervision.

Voters approve medical cannabis in 2024

Nebraska's medical cannabis regulatory framework is a direct result of voter approval in 2024. That year, 67 % of voters supported the referendum measure creating the commission, while 71 % legalized the possession of a maximum of 5 ounces (140 grams) of medical cannabis for patients and caregivers on the recommendation of a healthcare professional.

Under current law, sales of medical cannabis would not be subject to sales tax.

Commissioner Lorelle Mueting, acting chairwoman of the committee, previously described LB 1235 as a «first step».

A job far from finished

For patient advocates, the bill represents progress, but not victory.

Crista Eggers, Executive Director of Nebraskans for Medical Marijuana, called the bill a «very small step», but warned that the state is still "a long way off". far from setting up an operational program.

«There's still so much to do to make this a program that patients can actually access. And until that day comes, we can't speak of success.»

Ms Eggers also mentioned another key measure, the LB 933, which would protect healthcare professionals who recommend medical cannabis. The bill has passed the first stage of debate, but still needs two more votes before the April 17 deadline.