MEDICAL CANNABIS REGULATIONS ADVANCE FROM LEGISLATIVE COMMITTEE

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. 

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BILL ADVANCES TO SLOW ANNUAL INCREASES TO MINIMUM WAGE

LINCOLN- State lawmakers advanced an amended proposal Wednesday to slow annual increases to Nebraska’s minimum wage down to a fixed rate, rather than using the inflationary bumps that voters approved in 2022. Legislative Bill 258, from State Sen. Jane Raybould of Lincoln, advanced 33-16 with a “compromise” from State Sen. Stan Clouse of Kearney setting annual increases to the state minimum wage at 1.75%. Voters in 2022 approved permanent cost-of-living increases each Jan. 1, starting in 2027, based on a calculation of inflation for the Midwest region from the prior August.

Nebraska’s minimum wage will rise to $15 on Jan. 1 regardless of LB 258. The bill would increase the state’s training wage for teen workers and limit it to workers aged 16 to 19 at 75% of the state minimum wage this September, rather than 75% of the federal wage (which is $7.25 and hasn’t changed since 2009). That wage can be paid for up to the first 90 days of employment. As a result, workers aged 14 or 15 would get a new youth minimum wage beginning at $13.50 next January and increasing every five years by 1.5%. The training wage would rise by 1.5% each year. 

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SENATORS SCHEDULE PUBLIC FORUMS ON MEDICAL CANNABIS AND PENDING STATE LEGISLATION

LINCOLN- State lawmakers scheduled three eastern Nebraska public forums this weekend to allow the public to weigh in on medical cannabis and proposed state legislation. State Sens. John Cavanaugh of Omaha, Rick Holdcroft of Bellevue, and Ben Hansen of Blair plan to host the series this Saturday in La Vista, Sunday in Omaha, and Monday in Lincoln. Attendants will be able to hear updates on the status of medical cannabis legislation, namely Hansen’s Legislative Bill 677, and “share their thoughts.”

The schedule is as follows:

• Saturday, May 3, from 1-3 p.m. at the Carpenters Union Hall in La Vista (10761 Virginia Plaza, La Vista).

• Sunday, May 4, from 1-3 p.m., at the University of Nebraska at Omaha Thompson Alumni Center (8800 Dodge St., Omaha).

• Monday, May 5, from 5-7 p.m., at Southeast Community College (8800 O St., Lincoln).

'DE FACTO BAN' OF MOST 'SYNTHETIC' CONSUMABLE HEMP PRODUCTS ADVANCES

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.

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. 

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SCHOOL RETIREMENT, TAX INCENTIVE REDUCTIONS PASS, NARROW DEFICIT BY $136 MILLION

LINCOLN- Lawmakers gave wide final approval Wednesday to two measures designed to shrink the state’s looming budget deficit by $136 million. The two bills are Legislative Bill 650, from State Sen. Brad von Gillern of the Elkhorn area, related to trimming business incentives, and LB 645, from State Sen. Beau Ballard of Lincoln, related to scaling back school retirement contributions based on how well funded the pension plan is. LB 650 passed 40-7. LB 645 passed 45-2.

LB 650 from von Gillern, who chairs the Legislature’s Revenue Committee, would reduce or defund various tax incentives with savings this biennium. LB 645 from Ballard, who chairs the Legislature’s Nebraska Retirement Systems Committee, would reduce annual contributions to the state’s school retirement pension plan — for all employees outside Omaha Public Schools, who have a separate retirement plan — depending on the actuarial funding level of the pension plan. The school plan is currently 99.91% funded.

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BUDGET RELEASED; COMMITTEE QUICKLY RELEASES ADDITIONAL REDUCTION PROPOSALS TO COVER INCREASED SHORTFALL

LINCOLN- Senator Rob Clements, Chair of the Appropriations Committee, announced that the biennial budget developed by the committee following public hearings has been advanced to General File. Additionally, following last week's forecasting board meeting which reduced the state's projected revenues, the committee released a 'menu' of areas and amounts they have identified to help addressed the additional shortfall. The shortfall now stands at roughly $ 390 million in the current fiscal year, and nearly $ 700 million in the out-years. 

Senators will have the long weekend (the legislature is in recess on Friday and Monday) to digest the budget changes before returning on Tuesday morning. The legislature will convene on Tuesday at 9:00AM with debate on the budget likely taking nearly all of the 7 allotted days on the speakers session calendar. As a reminder the budget is required to be presented to the Governor by day 80 of the session, which is slated to be Thursday, May 15th. 

To view the full budget summary, as released by the appropriations committee, please click HERE.

To view the 'menu' of additional reductions developed in response to the additional shortfall, please click HERE

To view the updated 'green sheet' with the state's General Fund status, please click HERE

MINIMUM WAGE WOULD SEE FIXED ANNUAL INCREASES UNDER NEW 'COMPROMISE' AMENDMENT

LINCOLN- State lawmakers seeking to slow down annual minimum wage increases that Nebraska voters approved in 2022 have reached a new deal to avoid the law’s inflationary increases. State Sens. Jane Raybould of Lincoln and Stan Clouse of Kearney said they have found a “compromise” for Raybould’s Legislative Bill 258 that would completely remove permanent annual cost-of-living increases to the state minimum wage, beginning in 2027. 

Under the Clouse amendment, the wage would increase instead by 1.75% annually in perpetuity. Under the current law, workers could see much larger increases. Average inflation for the past five years was 4.18%. Over the past 10 years, it was 2.63%. And over the past 25 years, it was 2.39%, according to data from the U.S. Bureau of Labor Statistics for the Midwest. Raybould said her motivation and why she keeps pushing “passionately” for her measure is to help small businesses and others who might not be able to absorb the cost of rising wages that she said could pass on costs to consumers. 

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'WE NEED MOTHER NATURE': PILLEN ENACTS BURN BAN AMID RAGING FIRE IN NORTH-CENTRAL NEBRASKA

LINCOLN- Gov. Jim Pillen enacted an emergency declaration and statewide burn ban Wednesday amid serious drought conditions and a raging wildfire in north-central Nebraska. By Thursday morning, the fire was 40% contained. That compares to Wednesday afternoon when the “Plum Creek Fire” was 0% contained and had burned 6,631 acres and one cabin (a secondary residence), killed 45 cattle, and destroyed at least eight utility poles, according to state officials.

Pillen addressed the fire from the Nebraska Emergency Management Agency headquarters in Lincoln and signed the burn ban and other proclamations related to the fire. What began Monday afternoon as a controlled burn performed by a private landowner in coordination with the Nebraska Game and Parks Commission, local fire departments, and other partners. However, the fire got out of control, which the Ainsworth fire chief said happened after a sudden shift in wind direction, according to local reporting.

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WAS A CANDIDATE FOR A TOP STATE JOB 'REJECTED' OR NOT?

LINCOLN- A member of the Nebraska Public Employees Retirement Systems Board said Thursday that he resigned earlier this week after Gov. Jim Pillen rejected the “best candidate” to head the agency that oversees state and school retirement plans, but Pillen’s office said he hadn’t “rejected” anyone. It appears to be a case of differing interpretations of state law regarding the hiring process, and clearly represents a new interpretation of the law from the governor’s office.

Allen Simpson of Lincoln, a long-time PERB member who had headed the board’s personnel committee, said that the committee recently recommended the hiring of the current interim director/deputy director of the agency, Tyler Cummings. He would have filled the vacancy left when the past director, former State Treasurer and State Sen. John Murante, resigned in December. Simpson said the PERB search committee followed the same process as it had in hiring the previous three directors — do a search, and then let the governor approve it.

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NEBRASKANS VISIT CAPITOL TO CONNECT WITH SENATORS FOR 'THE PEOPLE'S DAY'

LINCOLN- Driven by concerns that state lawmakers are ignoring their opinions, roughly 50 Nebraskans visited the state Capitol Thursday as part of a new event titled "The People's Day." The People's Day was organized by Nebraska's chapter of the League of Women Voters, in collaboration with more than a dozen other civic groups, including Civic Nebraska, Common Cause, and the American Civil Liberties Union of Nebraska. The object of the day was to show residents how they can access their representatives in the Nebraska Legislature.

The event ran all day from 10 a.m. to 7 p.m., and organizer Rachel Gibson said there was a consistent flow of attendees. She was impressed by the range of people visiting, noting that those who registered represented 23 different Nebraska counties. Experience levels differed too, with some attendees very familiar with the legislative process, while others had never visited the Capitol before, Gibson said.

Gibson said she was prompted to plan the event after listening to the floor debate, where she claimed a lot of "disparaging and incorrect" statements were being made about recent voter-approved ballot initiatives. A growing concern this session is that multiple bills undermine these initiatives and subvert the will of Nebraska voters.

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LAWMAKERS READY TO ELIMINATE NEARLY 40 STATE BOARDS

LINCOLN- Nebraska lawmakers took the first step Thursday toward eliminating nearly 40 different boards or commissions once created through legislative action but which are no longer operating or needed. The Legislature advanced the bill (LB346) introduced by Speaker John Arch of La Vista on behalf of Gov. Jim Pillen on a 42-0 vote on Day 67 of the 90-day legislative session. According to a 2024 report from the Legislative Research Division, there are currently 240 commissions, boards, committees, and other entities created through legislative action. 

Among the boards and commissions set to be eliminated by July 1, 2026, are the Nebraska Potato Development Committee, the Climate Assessment Response Committee, the Nebraska Aquaculture Board, the Natural Gas Fuel Board, the Advisory Council on Public Water Supply, the Breast and Cervical Cancer Advisory Committee, the Governor’s Residence Advisory Committee, Governor’s Keep Nebraska Beautiful Committee, the Palliative Care and Quality of Life Advisory Council, and the Veterinary Prescription Monitoring Program Task Force.

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LAB-GROWN MEAT BAN IS ANOTHER STEP CLOSER TO BECOMING LAW

LINCOLN- A bill banning lab-grown meat from Nebraska advanced Tuesday to its final round in the Legislature after a failed attempt to change the focus instead to labeling. The voice vote ended a two-day debate. Undertones of culture war politics were more on display during the second round of debate in the statehouse. State Sen. Barry DeKay of Niobrara — in a nod to some national Republicans calling similar bans around the country an attempt to stop the “elitist” class from promoting unnatural foods — called lab-grown meat an attempt by groups to undermine Nebraska beef.

Nebraska is marching toward becoming the fourth state to implement a ban on lab-grown meat. Mississippi was the third state to outlaw cell-derived meat. Florida and Alabama have banned cultivating and selling meat grown in laboratories in recent years. Nebraska is the second-largest cattle-producing state in the U.S., behind only Texas. Cattle and other livestock production are among Nebraska’s largest industries, bringing nearly $31.6 billion to the state, according to the Nebraska Department of Agriculture. The Food and Drug Administration approved lab-grown meat for human consumption in 2022.

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MEASURE TO MERGE TWO STATE NATURAL RESOURCE AGENCIES PASSES HURDLE

LINCOLN- A Gov. Jim Pillen-pushed proposal to merge two Nebraska state agencies into a unified department in charge of water resources has moved on to its final lawmaking stage. On Tuesday, Nebraska lawmakers advanced Legislative Bill 317 on a voice vote. It calls for combining the Department of Natural Resources and the Department of Environment and Energy into the new Department of Water, Energy and Environment.

Introduced by State Sen. Tom Brandt of Plymouth, LB 317 would rename the current DEE director as the new DWEE director. The current DNR director would be renamed “Chief Water Officer” under the new department. Pillen, earlier this year, named the merger as one of his legislative priorities, saying his changes would help the state be more proactive instead of reactive with water policy. Upon clearing the second round of debate, Pillen praised LB 317 as a “commonsense” piece of legislation that “reduces the scope of state government operations.” 

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JUDGE ALLOWS CHARGES TO PROCEED AGAINST NOTARY FOR MEDICAL CANNABIS PETITIONS

GRAND ISLAND- The District Court of Hall County decided Tuesday to allow criminal charges against a notary public for “official misconduct” to proceed, overturning a lower court decision. District Judge Andrew Butler, in a 10-page opinion, reversed a previous motion to quash against 24 counts of “official misconduct” — a Class II misdemeanor — against Jacy Todd of York, who was a notary for the successful ballot measures to legalize and regulate medical cannabis last year.

Mark Porto, Todd’s attorney, said that as far as the two can tell, Todd is the first and only person in the state’s history to be criminally charged for alleged mistakes as a notary public. Todd is accused of allegedly notarizing petition pages outside the presence of a petition circulator, Michael Egbert of Grand Island, on 24 different dates, each leading to a separate criminal charge. Todd has repeatedly denied all allegations.

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BILL TO DEFINE MALE, FEMALE IN STATE LAW ADVANCES IN STATE LEGISLATURE

LINCOLN- State lawmakers advanced a proposal Tuesday seeking to define “male” and “female” in state law targeted for K-12 or collegiate bathrooms, sports teams, and locker rooms. Legislative Bill 89, the “Stand With Women Act” from State Sen. Kathleen Kauth of Omaha, advanced 33-16, with all 33 Republicans in the officially nonpartisan Legislature uniting around the measure. LB 89 was introduced on behalf of Gov. Jim Pillen as one of his 2025 priorities.

State Sen. Megan Hunt of Omaha, a nonpartisan progressive, led the opposition to LB 89. She said supporters had a “whole crayon box of life” yet were choosing to use only “two colors” and were acting like “gender cops.” State Sen. Merv Riepe of Ralston filed an amendment seeking to only focus on sports. Riepe has repeatedly said that if the bill were limited to sports, it would have his support. Thirty-three votes are needed to shut off debate and invoke “cloture” after a set amount of time. 

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BILL WOULD EXPAND MINORS' RIGHTS TO SOCIAL SECURITY BENEFITS

LINCOLN- A bill that would mandate the Nebraska Department of Health and Human Services to screen state wards for Social Security benefit eligibility advanced Thursday to the second round of debate in the Legislature. Legislative Bill 275, which State Sen. Megan Hunt of Omaha named her priority legislation, moved forward on a 34-0 vote.

DHHS currently intercepts the Social Security benefits belonging to children in foster care and uses those funds to offset the costs of the youths’ care, according to Hunt’s statement of intent. Her bill would “bring Nebraska in line with federal law to provide further accountability, transparency, and conservation of a portion of the funds in a trust account for the youth’s own use when they exit state care.”

There was little to no debate surrounding the bill Thursday, except for some questioning of its financial impact on the state’s general funds by two Republican lawmakers. Hunt insisted that her amended bill would impact the state budget less than her original proposal, but that it would still give kids in foster care access to more of their Social Security money than they have today.

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FORMER LAWMAKER EXPRESSES CONCERN ABOUT MAJOR CHANGES TO SCHOOL RETIREMENT PLAN

LINCOLN- A bill to reduce contributions to a state teachers retirement plan advanced toward final passage on Thursday despite a stern warning from a former Nebraska lawmaker who once guided state retirement plan policies. The measure, Legislative Bill 645, is designed to help close the state’s projected $457 million budget deficit over two years by reducing the state’s contributions into teacher retirement plans by about $77 million, thus freeing up that money to help close the budget gap.

Former State Sen. Mark Kolterman, who headed the Legislature’s Retirement Systems Committee for seven years, said that using retirement plan funds to balance the budget doesn’t make financial sense, particularly when it’s uncertain if investments will garner enough revenue to maintain retirement funds. “You don’t make reductions in contributions when the economy is moving in the wrong direction,” Kolterman said, noting the recent stock “market tumble.”

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LAWMAKERS UNLIKELY TO LOWER MINIMUM RETIREMENT AGE FOR SCHOOL EMPLOYEES

LINCOLN- Senators and school administrators expressed hesitation Wednesday in lowering, back to age 55, the minimum retirement age at which Nebraska school employees can step down with full benefits. Currently, eligible school employees face what is known as the “Rule of 85,” whereby if someone’s age plus years of service exceeds 85, that person can retire without any reductions in benefits. Employees who started before July 2018 can retire as young as 55, but employees hired after have to wait until at least age 60.

Tim Royers, president of the NSEA, said an amendment to reverse that “poor decision” would have little financial or staffing impact and could incentivize young educators to look ahead to retirement. “Our young educators deserve the same flexibility that I and other veteran teachers enjoy when it comes to deciding when we turn off the classroom lights for the last time,” Royers said at a Wednesday hearing on the proposed amendment, which he supported.

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CONFLICT ARISES DURING DEBATE ON BILL TO EXTEND SNAP ELIGIBILITY LEVELS

LINCOLN- A bill that would extend an expanded eligibility threshold for Nebraska food benefits has advanced to its final lawmaking round, but not before a latecomer amendment that some described as hostile was debated and defeated. Legislative Bill 192, by State Sen. Dan Quick of Grand Island, calls for the elimination of an October expiration on Nebraska’s current eligibility levels for the Supplemental Nutrition Assistance Program (SNAP). Right now, a key qualifier for households is if gross income is at or below 165% of the federal poverty level.

If the Quick bill fails, the lower pre-pandemic income eligibility level of 130% of gross income is set to return. The SNAP program helps qualified recipients buy groceries. The federal government pays 100% of program benefits and 50% of administrative costs. The Nebraska Department of Health and Human Services, which administers the program, estimated that more than 4,000 families that otherwise might be disqualified because of income could remain on SNAP if the eligibility threshold is maintained.

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ATTEMPTS TO CHANGE VOTER-APPROVED INITIATIVES ALARM SENATORS AND VOTER GROUPS

LINCOLN- Despite enduring previous sessions filled with more rancor and chaos, Omaha Sen. Terrell McKinney said 2025's legislative session might be the worst one he's ever taken part in. This, McKinney said, is in response to multiple bills that he said intentionally subvert the will of Nebraska voters, which has become an emerging theme for this session. Five initiatives passed in 2022 and 2024 face multiple attempts to dilute or fully reject the policies voters supported.

Gavin Geis, executive director of nonpartisan government watchdog group Common Cause Nebraska, said he's heard more concerns about lawmakers ignoring the will of voters than any other issue this session. He said the trend has degraded public trust in the Nebraska Legislature, and made people question whether pursuing ballot initiatives are even worth it.

Lawmakers who support the changes to voter-approved measures have largely argued that the Legislature has a constitutional authority to regulate initiatives to mitigate possible unintended consequences in state law. However, some have opted to take a different route, and have questioned the integrity of the initiative campaigns.

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