Medical cannabis regulations advance from Nebraska legislative committee

Yahoo

01-05-2025

Supporters of medical cannabis helped two measures reach the 2024 general election ballot, Initiatives 437 and 438. Some spoke during a public hearing at the University of Nebraska at Omaha on Oct. 25, 2024. (Zach Wendling/Nebraska Examiner)
LINCOLN — A legislative bill designed to help implement medical cannabis in Nebraska narrowly advanced from committee Thursday in the waning days of the 2025 session.
Legislative Bill 677, from State Sen. Ben Hansen of Blair, advanced 5-3 from the General Affairs Committee. It would set up a clearer state regulatory scheme for the medical cannabis system that voters overwhelmingly approved in November. Just two weeks ago, the bill failed to advance 3-5 after no committee member tried to adopt a narrowing amendment.
A new 'compromise' amendment adopted Thursday passed with one major change: up to 2 ounces of cannabis flower or bud could be sold to a qualified patient or caregiver.
Smoking would not be allowed, and post-traumatic stress would not be a qualified medical condition, similar to the most recent version of LB 677 from Hansen.
The latest changes won over conservative State Sens. Rick Holdcroft of Bellevue and Stan Clouse of Kearney, who voted to advance the bill with three Democrats, State Sens. John Cavanaugh of Omaha, Dan Quick of Grand Island and Victor Rountree of Bellevue.
State Sens. Bob Andersen of north-central Sarpy County, Barry DeKay of Niobrara and Jared Storm of David City, all Republicans in the officially nonpartisan body, again opposed LB 677.
Hansen, a Republican, said Thursday's action is the 'first step of a few to move the ball forward, but instead of it being stagnant, it's like you finally gave it a kick.'
Crista Eggers, executive director of Nebraskans for Medical Marijuana, whose son would benefit under the law, said LB 677's advancement to the legislative floor was an 'extremely huge win' for patients and advocates who have fought for more than a decade for the measure.
That timeline includes three ballot campaigns, multiple court cases and numerous legislative bills, including the most recent bill in 2021, which stalled by one vote.
'I think today we saw that the determination and the grit and the hurdles and the setbacks, they've all been worth it,' Eggers told reporters. 'We are extremely happy.'
Hansen has said getting LB 677 passed this spring is critical to prevent the 'Wild West,' as it's unclear what would happen without state funds or clearer enacting legislation for the new Nebraska Medical Cannabis Commission that voters also created. The law allows patients to possess up to 5 ounces of medical cannabis with a physician's recommendation.
The Legislature's budget-writing Appropriations Committee plans to provide an extra $30,000 to the Nebraska Liquor Control Commission, at the executive director's request, to cover additional duties that his staff will jointly take on with the Medical Cannabis Commission.
The three commissioners on the Liquor Control Commission also serve on the Medical Cannabis Commission. LB 677, as amended, would explicitly allow commission staff to share resources in carrying out each group's respective responsibilities.
Storm and Andersen again led opposition to LB 677 during a committee meeting over concerns it represented 'big marijuana' and that the proposal, as advanced, essentially enables recreational marijuana, which Hansen denies.
Andersen called the latest iteration of LB 677 among the 'most liberal' and asked how lawmakers could rectify LB 677 with the position of Nebraska Attorney General Mike Hilgers that the Legislature should not act on any medical marijuana legislation.
Holdcroft and Cavanaugh, the chair and vice chair of the General Affairs Committee, repeatedly pushed back and said they had to do something for the voters and that Hilgers' opinion was just that, an opinion.
Part of the concern is that passing LB 677 could nullify the pending appeal to the Nebraska Supreme Court over whether the ballot measures should have been allowed to be voted on. In Lancaster County District Court, Hilgers lost.
This week, in an interview with Nebraska Public Media, Hilgers described the situation as a 60-yard or 65-yard game-winning field goal when there was 'clearly' an offensive player offside or who had a false start, or some other penalty. In his analogy, Hilgers is the referee.
'It has to be done the right way or it shouldn't count,' Hilgers said in that interview.
Holdcroft in March, questioning a representative of the AG's Office opposing LB 677 at the bill's public hearing, said he felt Hilgers 'wants us to keep this law stupid, where he can find some loopholes in it and make it illegal.'
'The Legislature just isn't that kind of body,' Holdcroft said at the time.
DeKay questioned whether LB 677 could lead to the 'black market,' because of a patient's immunity from possessing cannabis regardless of the source. Hansen's bill would tax medical cannabis the same as other products — 5.5 cents per $1, prior to local sales taxes.
Cavanaugh, a lawyer, said black markets thrive on uncertainty and that if DeKay, Andersen or Storm wanted to stop that, then they should support LB 677.
'I am in favor of this because the voters voted for it, and this makes it safe, regulated and accessible,' Cavanaugh said, though he said he wished the bill also allowed PTSD as a qualifying condition.
Clouse indicated that he still would have some amendments coming to the bill — the specifics of which he didn't share. He has said he wants to allow the governor to appoint up to two more outside members in addition to the two he can already appoint. The governor also already appoints the three commissioners to the Liquor Control Commission.
Outside appointees, Clouse said, could perhaps include law enforcement or supply chain representatives. LB 677 would require at least one appointee to be a health care practitioner. Members would serve six-year terms.
Gov. Jim Pillen this week appointed Lorelle Mueting, the prevention director of Heartland Family Service, which, among other things, connects people to substance abuse treatment, and Dr. Monica Oldenburg, an anesthesiologist, to the commission. Both women opposed recent medical cannabis proposals in Nebraska, Oldenburg in 2019 and Mueting in March.
The General Affairs Committee will host hearings on the appointments this session.
At one point during the sometimes contentious afternoon meeting, Holdcroft said he wasn't going to convince Andersen or Storm and called the vote. Holdcroft said the full Legislature deserved to be able to debate LB 677, with a chance of passage.
Other changes advanced as part of the amended LB 677, from what voters decided in November, include limiting a qualified 'health care practitioner' to licensed physicians, osteopathic physicians, physician assistants or nurse practitioners and practitioners. Medical providers could not recommend cannabis unless they have treated the patient for at least six months or if the provider primarily practices in Nebraska.
Currently, a provider just has to be licensed anywhere in the country and follow the law to write a recommendation.
Under existing statute, which has been the case since December, Nebraskans can use medical cannabis with a doctor's recommendation for any ailment.
The amendment would limit 'qualifying medical conditions' to 15 ailments, similar to a list drafted by former State Sen. Anna Wishart of Lincoln with the Nebraska Medical Association on a previous bill:
Amyotrophic lateral sclerosis.
Autism with frequent self-injurious or aggressive behavior.
Cancer.
Crohn's disease or ulcerative colitis.
Epilepsy or epileptic seizures.
Hepatitis C that causes moderate to severe nausea or cachexia.
Human immunodeficiency virus (HIV) or acquired immune deficiency syndrome (AIDS).
Huntington's disease.
Parkinson's disease.
Spinal cord injury or disease with residual neurologic deficits.
Terminal illness with a probable life expectancy of under one year.
Tourette's syndrome.
A serious medical condition or related treatment that causes severe nausea or cachexia.
Severe and persistent muscle spasms caused by multiple sclerosis, spinal cord injury or muscular dystrophy.
Severe or chronic pain lasting longer than six months that is not adequately managed, in the opinion of a health care practitioner, despite treatment attempts using either conventional medications other than opioids or opiates or physical interventions.
Acceptable forms of cannabis would include edibles, concentrates, ointments, transdermal patches or creams, nebulizers and vaporizer cartridges or pens. Products intended for smoking, such as bongs or joints, could not be sold.
Andersen and Storm said Nebraskans would just buy the flower or bud and make joints, which Cavanaugh and Holdcroft said would not be permitted.
Eggers, Hansen and Holdcroft all noted the path ahead wouldn't be easy, with Eggers describing it as a 'huge journey' and Holdcroft saying he anticipated an 'uphill battle.'
Hansen said that it was still too early to tell whether he could get 33 votes and pass the bill over the finish line. That's the minimum amount of votes needed under the Nebraska Constitution to amend a state law enacted by voters, regardless of a promised filibuster. Unlike other ballot measures this spring, supporters asked for companion legislation to beef up the proposal.
Holdcroft said he would argue in favor of the measure but would 'reserve' his vote to see how the debate goes.
This Saturday in La Vista, Sunday in Omaha and Monday in Lincoln, Holdcroft, Hansen and Cavanaugh will host public forums for the public to weigh in on medical cannabis. Eggers said Thursday also represented that senators were listening to voters on this issue and encouraged any Nebraskans to get engaged.
Much of the next two weeks will be consumed by debate on the state budget. LB 677 is expected to be debated to its maximum debate limit across three stages of debate, lasting a combined 13 hours, leaving a tight timeline for LB 677 to become law.
The bill would need to pass by June 2, in case it is vetoed by the governor, who has so far declined to weigh in on the bill but has joined Hilgers in saying the two have reservations.
Hansen noted Hilgers' opposition is nothing new but that Hilgers, a former state senator and speaker of the Legislature, is a friend whom he trusts on many things.
'This is just one thing we differ on,' Hansen told the Nebraska Examiner.
Hansen continued: 'I think he might know the legalities more than I do, but I know what the people want and what they deserve and what they voted for. We kind of have to meld those two things together somehow.'
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