Latest news with #LB316
Yahoo
4 days ago
- Business
- Yahoo
Proposal to ban most THC, consumable hemp products in Nebraska delayed until at least 2026
State Sen. Kathleen Kauth of Omaha. Dec. 12, 2024. (Zach Wendling/Nebraska Examiner) LINCOLN — A legislative effort backed by Nebraska Attorney General Mike Hilgers to ban most consumable hemp and other THC products in the state stalled Friday and will now wait until at least 2026. State Sen. Kathleen Kauth of the Millard area, sponsor of Legislative Bill 316, asked that her Legislative Bill 316 be 'passed over' on Friday. She waited to do so until just 10 minutes before a two-hour debate would have ended, a time when Kauth would have needed 33 votes to survive a filibuster. After that, she would have needed 25 votes to pass LB 316 and send it to Gov. Jim Pillen. Kauth had the backing of most of the officially nonpartisan Legislature's 33 Republicans. But Republican State Sen. Ben Hansen of Blair held to his promise to oppose LB 316 if it wasn't amended to explicitly protect medical cannabis products. Kauth tried to address Hansen's concerns and would have, said Hansen. But lawmakers ran out of time, because State Sen. John Cavanaugh of Omaha and other opponents successfully blocked LB 316 from being amended. Hilgers has argued that THC products with delta-8 are already illegal, to which Cavanaugh said Friday that if that's true, a bill isn't needed. Hansen said the current 'environment' with Hilgers, who has opposed medical cannabis and has launched a statewide campaign against delta-8, could be 'hostile.' Hansen said there was language in LB 316 that could 'greatly impact' medical cannabis. 'That's something I cannot have,' Hansen said. 'I think the people passed [medical cannabis] for a specific reason, and I think they are then due to have what they voted for.' Hilgers helped lead opposition to Hansen's proposal for clearer medical cannabis regulations and guardrails with 53 sheriffs. His LB 677 fell short 10 votes of advancing on May 20. Part of Friday's last-ditch effort featured pressure on State Sen. Jane Raybould of Lincoln, who said she was concerned about 'bad actors' in the THC arena but didn't want to take away the health products some Nebraskans rely on. Raybould echoed Hansen that lawmakers should allow a new medical cannabis regulatory commission to proceed with directives for those products. Kauth said multiple times during the debate that her bill had nothing to do with medical cannabis and that more than a dozen amendments from Cavanaugh made it 'impossible' to seek the changes needed to keep her bill moving forward. 'No one is going into anyone's homes and searching their medicine cabinets,' Kauth said. 'That is more hyperbole and hysteria from the left.' State Sen. Jared Storm of David City, who prioritized Kauth's LB 316 for this year's session, encouraged Nebraskans not to buy the 'garbage' products. He repeated that he would never jeopardize 'the health or safety of our citizens of this state, especially children and young adults, for revenue.' LB 316 would prohibit raw hemp above 0.3% tetrahydrocannabinol (THC) of any concentration and with processed hemp prohibit the lesser of 0.3% THC on a total weight basis or 10 milligrams per package, effective Jan. 1. The mature stalks of Cannabis sativa and its fiber, oil, cake and any other naturally derived products would not be considered hemp, leaving a narrow legal path for some hemp-based products such as fibers and textiles. If the bill passed, it would have included a 'consumer safe harbor period' through the end of 2025 to give consumers time to discard any 'illegal hemp' as newly defined under LB 316. Legal products would have faced an additional 10% wholesale tax at the time of purchase. The new excise tax revenue raised would have been directed toward property tax relief. Besides protecting the voter-approved medical cannabis laws, Kauth also worked with State Sen. Tom Brandt of Plymouth to offer an 'affirmative defense' in court if someone could prove they previously legally purchased what would have become 'illegal hemp' under LB 316. That could include a receipt. State Sen. Dan McKeon of Amherst, a Republican who represents a Pleasanton-based hemp company that has offered tours to state senators of its facilities, said there are good actors that lawmakers should be working with. State Sen. Dan Lonowski of Hastings, a close ally of McKeon, said there are no 'good actors.' Nebraska lawmakers again advance ban of most THC, consumable hemp products Kauth read a letter from Hilgers that had said if LB 316 passed, his office would have announced a pause on new civil enforcement actions against 'businesses operating in good faith' for at least 120 days, exactly through the end of 2025. Kauth declined to provide a copy of the letter because LB 316 did not pass. Kauth and Storm said they now hope Hilgers ramps up his legal efforts against THC stores. Many hemp-focused businesses said the broad language in LB 316 would shut down their industry, even as supporters said the bill wouldn't touch them. Kauth said Friday that some businesses that were fighting the changes are essentially 'admitting that they are selling dangerous, untested, unregulated, synthetic pot products.' 'They are pushing the health and well-being of their pocketbook above the health and well-being of Nebraskans,' Kauth said. 'I'm extraordinarily disappointed that that is where we have come.' Cavanaugh, who again led opposition to the bill, said regulations and not a ban were still the best path forward. He said LB 316 would go in the 'opposite direction' of economic development for budding businesses who are 'good actors.' His LB 16, to implement regulations on THC products, did not advance from the Judiciary Committee this year, and lawmakers repeatedly rebuffed his efforts. Cavanaugh repeated Friday that he is 'ready, willing and able to work on a regulatory scheme that will actually do this the right way and answer all the concerns that people have.' State Sen. Terrell McKinney of North Omaha, who also pushed for regulations, said Kauth's bill could cause more harm than good and that the state should let people be adults. 'Why do we have to act as if we're the moral compass for the state? We're senators. We're not people's parents,' said McKinney. State Sen. Margo Juarez of Omaha said she had purchased CBD with hemp in it for her nearly 101-year-old mother, but she didn't have a receipt for the product. Cavanaugh said the proposed defense provision only dealt with individuals, so businesses would have needed to destroy or sell all products by September, when the bill, if passed, would have taken effect. If not, business owners would risk 'countless felonies,' Cavanaugh argued. The debate on LB 316 has seen senators forcefully disagree with what would be banned, with supporters arguing it would only ban 'synthetic' chemically modified hemp or THC, while opponents said the bill would stretch to CBD, creams, ointments and most other products. Part of that is because LB 316 would count the THC level based on all concentrations — delta-8, delta-9, delta-10, etc. — and not just 0.3% delta-9 THCc. Cavanaugh and State Sen. Wendy DeBoer of Omaha have said that it could criminalize possessing a gummy as a felony. Supporters of LB 316, however, say that only chemically modified 'synthetic' products would be banned. Nebraska lawmakers in 2011 already banned 'synthetic' marijuana, such as K-2 or spice. Most hemp or other hemp-derived products require chemical modifications, such as heat. State Sen. Tanya Storer of Whitman said that while, as a conservative, she doesn't think government should be in the way of business or entrepreneurship, government does have a role to protect people 'from things that they couldn't otherwise do for themselves independently.' 'Individuals do not have the capacity to know the processes that go into developing a product. That's what we have things like the FDA for,' Storer said, referring to the U.S. Food and Drug Administration. Cavanaugh, McKinney, Raybould and State Sen. George Dungan of Lincoln repeatedly said that was part of the reason why regulations, not a ban, would be better, treating the products similarly to alcohol, tobacco or other drugs. Kauth said that with lawmakers' failure to move forward, senators must own that the next time someone dies because of the products, they will know: 'We could have stopped it.' LB 316 will return next year one vote away from passing, with eight minutes to go in the third round of debate, though it's unclear what amendments might come. Rescheduling would be up to Speaker John Arch of La Vista. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
7 days ago
- Business
- Yahoo
Nebraska lawmakers again advance ban of most THC, consumable hemp products
State Sen. Kathleen Kauth of the Millard area, left, talks with State Sen. Teresa Ibach of Sumner. Jan. 8, 2025. (Zach Wendling/Nebraska Examiner) LINCOLN — A legislative proposal that would ban most consumable hemp and other THC products in Nebraska advanced Tuesday without amendments as opponents blocked changes. Throughout a four-hour debate on Legislative Bill 316, from State Sen. Kathleen Kauth of the Millard area, only a handful of senators spoke. That's because of pointed opposition from State Sen. John Cavanaugh of Omaha, who filed nearly 30 motions or amendments throughout the bill's life, largely to push senators toward considering regulations instead of a ban. LB 316 advanced 32-15 with 32 of the 33 Republicans voting for it and all 15 Democrats voting against. The Legislature's one nonpartisan progressive was not in attendance. State Sen. Dan McKeon of Amherst, who was 'present, not voting' on advancing the bill, said he did so to wait for possible future changes. He said he recently toured a consumable hemp shop in his district and has concerns about whether the bill could freeze those operations. LB 316 would prohibit raw hemp above 0.3% tetrahydrocannabinol (THC) of any concentration and for processed hemp the lesser of 0.3% THC on a total weight basis or 10 milligrams per package, effective Jan. 1. The mature stalks of Cannabis sativa and its fiber, oil, cake and any other naturally derived products would not be considered hemp, leaving a narrow legal path for some products such as fibers and textiles. If the bill passed, it would include a 'consumer safe harbor period' through the end of 2025 to give consumers time to discard any 'illegal hemp' as newly defined under LB 316. Legal products would face an additional 10% wholesale tax at the time of purchase. Part of Cavanaugh's tactics included a regulatory-focused amendment that he termed a 'compromise.' It would have still banned 'synthetic' cannabinoids of any THC concentration but protected 'hemp-derived' cannabinoids, such as CBD lotions. The Cavanaugh amendment would have required ID checks before purchases, in-state testing, tamper-proof and child-resistant packaging and licensing similar to the Liquor Control Act. Cavanaugh and State Sen. George Dungan of Lincoln said most hemp-derived products require chemical processes, such as heat, to be manufactured. Cavanaugh said the 'synthetic' marijuana that opponents detest as a 'great evil,' including K-2 and spice, was already banned in Nebraska in 2011. 'This is a compromise that allows people, good actors, to continue to act and sell their product in the State of Nebraska, to collect taxes, collect revenue, create jobs, all of these sorts of things,' Cavanaugh said. Cavanaugh's regulatory amendment failed 16-27. State Sen. Stan Clouse of Kearney was the only eventual supporter of LB 316 who supported his proposal. Around Cavanaugh, Kauth is seeking to amend LB 316 to explicitly state her bill would not conflict with voter-approved medical cannabis legalization and regulations in the state, a request of State Sen. Ben Hansen of Blair. The other major change would allow consumers to prove via an 'affirmative defense' in court that they purchased what would become 'illegal hemp' under LB 316 for personal use before September 2025, when the law would take effect. That's a change made to appease State Sen. Tom Brandt of Plymouth. Brandt and Hansen, both Republicans, have so far supported LB 316 under the condition that it be amended in the future. Lawmakers have five legislative days left to do so and are set to adjourn by June 9. Kauth disagrees that most products would be banned and envisions a three-step process for products under her bill: Is the product cannabis? Is it free of any synthetic or modified cannabis? Does the product comply with THC limits of less than 0.3% any THC (the current law is 0.3% delta-9 THC)? If so, Kauth said the products would remain legal. She said the role of government is to put up guardrails and that LB 316 is about 'trying to keep our populace healthy.' 'We are essentially allowing consumers to play Russian roulette every time they go into a store and they can buy a product off the shelves,' Kauth said. 'They're assuming that it is legal. They're assuming that we've already done our jobs.' Kauth was the only supporter to speak in favor of the bill outside of an exchange with Hansen, during which he said promised changes would help protect medical cannabis access. Kauth and the Attorney General's Office, which is pushing LB 316, have said that the measure was never intended to conflict with the medical cannabis laws but worked with Hansen anyway. Hansen confirmed that if the amendment is not attached at the next stage of the debate, he won't vote for the bill. Dungan said that instead of taking a 'scalpel' to THC concerns, supporters approached with a 'hammer.' Part of the reason there are concerns about 'clean' products is the lack of regulations that Cavanaugh sought to add, Dungan said. He said some senators see the word 'chemicals' and 'get all freaked out and they think to themselves, 'Oh my goodness, this is all scary stuff.'' But Dungan said chemical reactions are normal, as simple as putting toast in the toaster. 'I know a lot of people in here have this perception of CBD or delta-8 or THC where it's a classic sort of 'Reefer Madness' idea, that it's a bunch of hippies sitting out on the hill smoking joints,' Dungan said. 'But really, what we're talking about are little old ladies putting cream on their joints.' Dungan, who sits on the Revenue Committee with Kauth, also raised concerns over the revenue loss from fewer sales if LB 316 passes. A fiscal estimate projects at least $2.9 million in lost revenue and about $530,000 in administrative costs over the next two fiscal years. Revenue losses would grow over time, with about $85,000 in annual administrative costs in the future. That's more than the state currently has in its piggy bank after filling, for now, a major projected budget deficit. The state has about $2.6 million left to work with, about $1.5 million of which is expected to be used to raise judges' salaries. LB 316 would require another bill to pass and generate revenue or cut spending. The new excise tax revenue raised by the bill would be directed toward property tax relief. State Sen. Jared Storm of David City, who selected LB 316 as his 2025 priority, has previously said 'effective regulation of this industry is impossible' and that the products are 'garbage' attached to a little bit of cannabidiol (CBD) to vape, smoke or eat. Storm said during the first-round debate he would never jeopardize 'the health or safety of our citizens of this state, especially children and young adults, for revenue.' Other opponents said the bill would enrich a 'felony factory' of the 2025 session, a phrase coined by State Sen. Wendy DeBoer of Omaha, vice chair of the Judiciary Committee. DeBoer said more Nebraskans could be charged with a felony if they possess products under the existing limits of 0.3% delta-9 THC, because the bill would count the 0.3% based on any THC concentration, not just delta-9. State Sen. Carolyn Bosn of Lincoln, a former prosecutor and chair of the Judiciary Committee, said defining hemp as 'marijuana' under LB 316 is about a 'clarification' and not new penalties. Instead, she said it would place hemp products above the legal THC limits on the same criminal scale as marijuana possession — an infraction for less than 1 ounce, a misdemeanor between 1 ounce and 1 pound and a felony for more than 1 pound. Bosn previously said the penalties were a 'clarification.' She had said trying to regulate the drugs was like 'playing Whac-a-Mole.' DeBoer said the 'affirmative defense' indicates that felony charges could be coming because the defense would need to be asserted in court. Cavanaugh said it's not a 'get out of jail free card,' such as in the case of a 'little old lady' who didn't save a receipt. State Sen. Danielle Conrad of Lincoln, as well as Cavanaugh and Dungan, said LB 316 would put Nebraskans out of business and that supporters of the measure weren't listening to Nebraskans who have said they could be harmed, including small business owners and farmers. 'Nebraskans feel like they're being gaslit by this Legislature, and that's because they are,' Conrad said. 'This is politics at its worst.' SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
29-04-2025
- Politics
- Yahoo
‘De facto ban' of most ‘synthetic' consumable hemp products in Nebraska advances
A marijuana plant at the Dakota Herb grow operation near Tea, SD. (John Hult/South Dakota Searchlight) LINCOLN — A legislative proposal to crack down on 'synthetic' consumable hemp or other THC products advanced Monday over some opponents' preference for regulations and not a 'de facto ban.' Legislative Bill 316, from State Sen. Kathleen Kauth of the Millard area, would redefine most 'hemp' products to mean 'marijuana,' putting them legally in line with existing enforcement and penalties. It advances a key priority of Nebraska Attorney General Mike Hilgers to restrict products that exceed 0.3% tetrahydrocannabinol (THC) concentrations, the compound most commonly associated with getting a person high. 'These compounds are masquerading as hemp but are in fact dangerous synthetic chemicals that have never been tested for consumption in humans,' Kauth said during debate. The bill advanced 33-13, though at least two supporters — State Sens. Tom Brandt of Plymouth and Ben Hansen of Blair — said the bill would need to be amended to maintain their support and overcome the 33-vote threshold for a filibuster. Three more centrist Democratic lawmakers declined to take a position on the bill: State Sens. Eliot Bostar of Lincoln, Jason Prokop of Lincoln and Dan Quick of Grand Island. Multiple opponents said they preferred the regulatory regime proposed in LB 16 by State Sen. John Cavanaugh of Omaha, the lead opponent to Kauth's bill. Cavanaugh's bill would need to hitch a ride on a different bill, or 'co-opt' LB 316. Cavanaugh filed more than a dozen amendments to LB 316 to try. 'I'm opposed to hijacking other people's bills, but I put it on here because I think people in this body will agree that we need to do something,' Cavanaugh said. Cavanaugh described the goal of attacking only 'synthetic' products as a 'red herring,' 'misnomer' and 'misdirection' that would cost more than $1.6 million, at least, in state tax revenue at a time the state faces a major projected budget deficit. However, he said his bill could generate $7.7 million with an improved regulatory system. State Sen. Jared Storm of David City, who selected LB 316 as his 2025 priority bill, said he repeatedly asked during a public hearing on Kauth's bill what ingredients are in delta-8 products — a form of THC that is legal in the state under 2018 federal and 2019 state laws. He also asked where the items come from or who is manufacturing them, but 'nobody could ever tell me.' Hilgers was one of 43 lawmakers in 2019 who voted to enact the Nebraska Hemp Farming Act. Storm said 'effective regulation of this industry is impossible' and that the products are 'garbage' attached to a little bit of cannabidiol (CBD) to vape, smoke or eat. Storm said he would never jeopardize 'the health or safety of our citizens of this state, especially children and young adults, for revenue.' State Sen. Brad von Gillern of the Elkhorn area, chair of the Revenue Committee, agreed. LB 316 would prohibit raw hemp above 0.3% THC of any concentration and for processed hemp the lesser of 0.3% THC on a total weight basis or 10 milligrams per package, effective Jan. 1. The mature stalks of Cannabis sativa and its fiber, oil, cake and any other naturally derived products would not be considered hemp, leaving a narrow legal path for fibers and textiles. If the bill passed, it would include a 'consumer safe harbor period' through the end of 2025 to give consumers time to discard any 'illegal hemp' newly defined under LB 316. Legal products would face an additional 10% wholesale tax. Cavanaugh and State Sens. George Dungan of Lincoln and Danielle Conrad of Lincoln, all lawyers, said the bill creates a 'gray zone' where it's unclear what would be legal and what would be a misdemeanor or infraction for possession or a more serious felony crime. They said it could result in a 'de facto ban' as a result. State Sen. Wendy DeBoer of Omaha, a former lawyer and vice chair of the Judiciary Committee that advanced LB 316 in a 5-3 vote, said LB 316 is part of a 'felony factory' where products for lotions, creams or dog chew could lead to felony charges, or in the case of gummy-eating 'grannies' who she said might have such products 'in the back of their medicine cabinet.' DeBoer said a cousin recently sent her a recipe from 'Taste of Home' magazine for slow cooker cannabutter as a joke as LB 316 was set to be debated. 'We're going to make felons of all the grannies that subscribe to 'Taste of Home' magazine,' DeBoer said. Brandt said it was 'ridiculous' that people could face felony criminal possession charges. While he voted for the bill to move forward, he said that if the possession language was not amended, though he could not say to what extent it would need to be changed, he would not support it again. Under state law, marijuana possession of more than 1 ounce but less than 1 pound is a Class III misdemeanor, while greater amounts are a Class IV felony. Smaller amounts can be up to a Class IIIA misdemeanor with up to a $500 fine or jailing for up to seven days for repeated infractions. Brandt said he wanted to target 'active ingredients' and protect Nebraskans who might have old CBD products at home that were legally purchased. 'This is hemp. This is not marijuana, guys,' Brandt said. State Sen. Carolyn Bosn of Lincoln, chair of the Judiciary Committee and a former prosecutor, disagreed with DeBoer and said it was a 'clarification' rather than a new penalty. 'You're playing whack-a-mole with trying to regulate this drug,' Bosn said, saying she opposed any effort to change Kauth's LB 316 toward Cavanaugh's LB 16. Bosn also read information from the AG's Office that of an estimated 300 THC stores in Nebraska, visitors to each of the ones the AG's Office purchased from have found at least one unlawful product. The office has filed at least 15 lawsuits, some settled, in that ongoing push. Cavanaugh said that was why regulations were needed and why 'reputable' shop owners wanted new guardrails. His LB 16, in part, would prohibit sales near schools and require testing. Dungan repeatedly referred to LB 316 as a prohibition-era law, similar to opposition to whiskey or bourbon, that didn't prevent sales but instead created a 'black market.' 'We all know history is a good predictor of the future,' Dungan said. Multiple opponents also tried to describe a link between CBD or hemp and medical cannabis legislation. Storm and others supporting LB 316 have sought to limit permissible medical cannabis forms to manufactured products like tinctures, oils or creams, while outlawing sales of cannabis flowers or buds. Dungan said that was hypocritical. Kauth, Storm and others said LB 316 had nothing to do with medical cannabis and that even more liberal-leaning states have cracked down on THC, hemp and delta-8. Hansen, whose LB 677 would help implement voter-approved medical cannabis, said he is working on an amendment to LB 316 to protect medical cannabis products. He said he isn't swayed one way or another on the bill. But he said that for his support, he wanted to explicitly protect the products. However, getting Hansen's amendment over the finish line could be tricky around Cavanaugh's more than a dozen amendments, and multiple motions to kill the bill if his amendments fail. Kauth has filed two placeholder amendments that could offer a path for changes requested by Brandt and Hansen. State Sen. Margo Juarez of Omaha read a letter from a Nebraskan who reached out that CBD and hemp products targeted under LB 316 gave the person's grandfather a new life, around sleeping pills or other medications, expressing fear that the alternatives could be threatened. 'These aren't people looking to get high,' Juarez read from the letter. 'These are people looking for relief, for dignity and a better quality of life.' SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX