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LEGISLATURE OF NEBRASKA
ONE HUNDRED EIGHTH LEGISLATURE
FIRST SESSION
LEGISLATIVE BILL 22
Introduced by Wayne, 13.
Read first time January 05, 2023
Committee: Judiciary
1 A BILL FOR AN ACT relating to marijuana; to amend sections 2-505, 2-506,
2 2-509, 28-417, 28-419, 28-439, 77-4301, 77-4302, 77-4303, 77-4304,
3 77-4305, 77-4306, 77-4309, 77-4310.01, and 77-4310.03, Reissue
4 Revised Statutes of Nebraska, and sections 28-401, 28-405, 28-416,
5 28-1354, and 28-1701, Revised Statutes Cumulative Supplement, 2022;
6 to decriminalize use and possession of marijuana; to remove
7 marijuana from the marijuana and controlled substances tax; to
8 rename a fund; to eliminate obsolete provisions; to harmonize
9 provisions; to repeal the original sections; and to outright repeal
10 sections 2-5701, 28-463, 28-464, 28-465, 28-466, 28-467, 28-468, and
11 28-469, Reissue Revised Statutes of Nebraska.
12 Be it enacted by the people of the State of Nebraska,
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1 Section 1. Section 2-505, Reissue Revised Statutes of Nebraska, is
2 amended to read:
3 2-505 (1) Hemp may only be cultivated by a USDA-licensed hemp
4 producer or a person meeting the requirements of section 2-5701 or in
5 compliance with this section.
6 (2) Before a person may be licensed to cultivate hemp under the
7 Nebraska Hemp Farming Act, such person shall submit an application on a
8 form prescribed by the department that includes, but is not limited to,
9 the following:
10 (a) If the applicant is an individual, the applicant's full name,
11 birthdate, mailing address, telephone number, and valid email address;
12 (b) If the applicant is an entity and not an individual, (i) the
13 name of the applicant, mailing address, telephone number, and valid email
14 address, (ii) the full name of each officer, director, partner, member,
15 or owner owning in excess of ten percent of equity or stock in such
16 entity, (iii) the full name of each key participant as defined in 7
17 C.F.R. 990.1, and (iv) the birthdate, title, mailing address, telephone
18 number, and valid email address of each such person or key participant;
19 (c) The proposed acreage to be cultivated or the square footage of a
20 greenhouse or other indoor space to be cultivated;
21 (d) The street address, legal description, location ID, and GPS
22 coordinates for each field, greenhouse, building, or other site where
23 hemp will be cultivated. The site information may be verified by the
24 department; and
25 (e) Maps depicting each site where hemp will be cultivated, with
26 appropriate indications for entrances, field boundaries, and specific
27 locations corresponding to the GPS coordinates provided under subdivision
28 (d) of this subsection.
29 (3) Before a person may be licensed to cultivate hemp under the
30 Nebraska Hemp Farming Act, such person shall submit with the application
31 a nonrefundable application fee as set by the department pursuant to
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1 section 2-508.
2 (4) Before a person may be licensed to cultivate hemp under the
3 Nebraska Hemp Farming Act, such person shall submit a site registration
4 fee as set by the department pursuant to section 2-508. The site
5 registration fee shall be paid for each separate site where the applicant
6 will cultivate hemp. Subsequent modifications to the sites listed in the
7 application shall be submitted on forms prescribed by the department
8 along with a site modification fee and shall only take effect upon
9 written approval of the department. The applicant must certify that all
10 sites where hemp is to be cultivated are under the control of the
11 applicant and that the department shall have unlimited access to all such
12 sites.
13 (5) After the department receives approval by the United States
14 Secretary of Agriculture for the state plan described in section 2-516,
15 an initial cultivator license application may be submitted at any time,
16 except that the department may set a cutoff date for applications ahead
17 of the growing season. An initial cultivator license issued by the
18 department expires on December 31 in the calendar year for which it was
19 issued.
20 (6) A renewal application for a license to cultivate hemp shall be
21 submitted on forms prescribed by the department. A renewal application is
22 due by December 31 and shall be accompanied by the cultivator license fee
23 and the site registration fee for all sites listed in the renewal
24 application. The renewal cultivator license is valid from January 1 or
25 when the license is granted, whichever is later, through December 31 next
26 following.
27 (7) A cultivator license shall lapse automatically upon a change of
28 ownership or location, and a new license must be obtained. The licensee
29 shall promptly provide notice of change in ownership or location to the
30 department.
31 (8) An application and supporting documents submitted to the
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1 department under this section are not public records subject to
2 disclosure pursuant to sections 84-712 to 84-712.09. Such information may
3 be submitted to the United States Department of Agriculture pursuant to
4 the requirements of the federal Agriculture Improvement Act of 2018 or
5 any other federal statute, rule, or regulation, and may be submitted to
6 law enforcement.
7 Sec. 2. Section 2-506, Reissue Revised Statutes of Nebraska, is
8 amended to read:
9 2-506 (1) Except for handling by an approved testing facility, a
10 USDA-licensed hemp producer, or a cultivator licensed under section
11 2-505, a person shall not process, handle, or broker hemp plants or plant
12 parts in this state unless the person meets the requirements of section
13 2-5701 or is in compliance with this section and licensed as a processor-
14 handler or broker under the Nebraska Hemp Farming Act.
15 (2) Before a person may be licensed to process, handle, or broker
16 hemp in this state, such person shall submit an application on a form
17 prescribed by the department that includes, but is not limited to, the
18 following:
19 (a) If the applicant is an individual, the applicant's full name,
20 birthdate, mailing address, telephone number, and valid email address;
21 (b) If the applicant is an entity and not an individual, the name of
22 the applicant, mailing address, telephone number, and valid email
23 address, the full name of each officer and director, partner, member, or
24 owner owning in excess of ten percent of equity or stock in such entity,
25 and the birthdate, title, mailing address, telephone number, and valid
26 email address of each such person;
27 (c) The street address, legal description, location ID, and GPS
28 coordinates for the site where hemp will be processed or handled, if
29 applicable; and
30 (d) Maps depicting the site where hemp will be processed or handled,
31 if applicable, with appropriate indications for entrances and specific
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1 locations corresponding to the GPS coordinates provided under subdivision
2 (c) of this subsection.
3 (3) Before a person may be licensed to process, handle, or broker
4 hemp, such person shall submit with the application a nonrefundable
5 application fee as set by the department pursuant to section 2-508.
6 (4) Before a person may be licensed to process or handle hemp, such
7 person shall submit a site registration fee as set by the department
8 pursuant to section 2-508. The site registration fee shall be paid for
9 each separate site where hemp is processed or handled. Subsequent
10 modifications to the sites listed in the application shall be submitted
11 on forms prescribed by the department along with the site modification
12 fee and shall only take effect upon written approval of the department.
13 The applicant must certify that all sites where hemp is to be processed
14 or handled are under the control of the applicant and that the department
15 shall have unlimited access to all such sites.
16 (5) An initial processor-handler or broker license application may
17 be submitted at any time. An initial processor-handler or broker license
18 issued by the department expires on December 31 in the calendar year for
19 which it was issued.
20 (6) A renewal application for a processor-handler or broker license
21 shall be submitted on forms prescribed by the department. A renewal
22 application is due by December 31 and shall be accompanied by the
23 processor-handler or broker license fee and, if applicable, the site
24 registration fee for all sites listed in the renewal application. The
25 renewal processor-handler or broker license is valid from January 1 or
26 when the license is granted, whichever is later, through December 31 next
27 following.
28 (7) A processor-handler or broker license shall lapse automatically
29 upon a change of ownership or location, and a new license must be
30 obtained. The licensee shall promptly provide notice of change in
31 ownership or location to the department.
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1 (8) A processor-handler licensee who also brokers hemp shall not be
2 required to also obtain a broker license under this section.
3 (9) An application and supporting documents submitted to the
4 department under this section are not public records subject to
5 disclosure pursuant to sections 84-712 to 84-712.09. Such information may
6 be submitted to the United States Department of Agriculture pursuant to
7 the requirements of the federal Agriculture Improvement Act of 2018 or
8 any other federal statute, rule, or regulation, and may be submitted to
9 law enforcement.
10 Sec. 3. Section 2-509, Reissue Revised Statutes of Nebraska, is
11 amended to read:
12 2-509 The Nebraska Hemp Program Fund is established. The fund shall
13 be administered by the department for the purpose of covering the costs
14 of the department in administering sections 2-504 to 2-516 and 2-5701.
15 The fund may receive appropriations by the Legislature, gifts, grants,
16 federal funds, and any other funds both public and private. All fees
17 collected by the department under section sections 2-508 and 2-5701 shall
18 be remitted to the State Treasurer for credit to the fund. Transfers from
19 the Nebraska Hemp Program Fund to the Noxious Weed Cash Fund may be made
20 as provided in section 2-958. Transfers from the Nebraska Hemp Program
21 Fund to the Fertilizers and Soil Conditioners Administrative Fund may be
22 made as provided in section 81-2,162.27. Any money in the fund available
23 for investment shall be invested by the state investment officer pursuant
24 to the Nebraska Capital Expansion Act and the Nebraska State Funds
25 Investment Act.
26 Sec. 4. Section 28-401, Revised Statutes Cumulative Supplement,
27 2022, is amended to read:
28 28-401 As used in the Uniform Controlled Substances Act, unless the
29 context otherwise requires:
30 (1) Administer means to directly apply a controlled substance by
31 injection, inhalation, ingestion, or any other means to the body of a
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1 patient or research subject;
2 (2) Agent means an authorized person who acts on behalf of or at the
3 direction of another person but does not include a common or contract
4 carrier, public warehouse keeper, or employee of a carrier or warehouse
5 keeper;
6 (3) Administration means the Drug Enforcement Administration of the
7 United States Department of Justice;
8 (4) Controlled substance means a drug, biological, substance, or
9 immediate precursor in Schedules I through V of section 28-405.
10 Controlled substance does not include distilled spirits, wine, malt
11 beverages, tobacco, hemp, or any nonnarcotic substance if such substance
12 may, under the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. 301 et
13 seq., as such act existed on January 1, 2014, and the law of this state,
14 be lawfully sold over the counter without a prescription;
15 (5) Counterfeit substance means a controlled substance which, or the
16 container or labeling of which, without authorization, bears the
17 trademark, trade name, or other identifying mark, imprint, number, or
18 device, or any likeness thereof, of a manufacturer, distributor, or
19 dispenser other than the person or persons who in fact manufactured,
20 distributed, or dispensed such substance and which thereby falsely
21 purports or is represented to be the product of, or to have been
22 distributed by, such other manufacturer, distributor, or dispenser;
23 (6) Department means the Department of Health and Human Services;
24 (7) Division of Drug Control means the personnel of the Nebraska
25 State Patrol who are assigned to enforce the Uniform Controlled
26 Substances Act;
27 (8) Dispense means to deliver a controlled substance to an ultimate
28 user or a research subject pursuant to a medical order issued by a
29 practitioner authorized to prescribe, including the packaging, labeling,
30 or compounding necessary to prepare the controlled substance for such
31 delivery;
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1 (9) Distribute means to deliver other than by administering or
2 dispensing a controlled substance;
3 (10) Prescribe means to issue a medical order;
4 (11) Drug means (a) articles recognized in the official United
5 States Pharmacopoeia, official Homeopathic Pharmacopoeia of the United
6 States, official National Formulary, or any supplement to any of them,
7 (b) substances intended for use in the diagnosis, cure, mitigation,
8 treatment, or prevention of disease in human beings or animals, and (c)
9 substances intended for use as a component of any article specified in
10 subdivision (a) or (b) of this subdivision, but does not include devices
11 or their components, parts, or accessories;
12 (12) Deliver or delivery means the actual, constructive, or
13 attempted transfer from one person to another of a controlled substance,
14 whether or not there is an agency relationship;
15 (13) Hemp has the same meaning as in section 2-503;
16 (14)(a) Marijuana means all parts of the plant of the genus
17 cannabis, whether growing or not, the seeds thereof, and every compound,
18 manufacture, salt, derivative, mixture, or preparation of such plant or
19 its seeds, including, but not limited to, tetrahydrocannabinols extracted
20 or isolated from the plant or any product or preparation containing such
21 tetrahydrocannabinols, including, but not limited to, edible products,
22 tinctures, and ointments.
23 (b) Marijuana does not include the mature stalks of such plant,
24 hashish, tetrahydrocannabinols extracted or isolated from the plant,
25 fiber produced from such stalks, oil or cake made from the seeds of such
26 plant, any other compound, manufacture, salt, derivative, mixture, or
27 preparation of such mature stalks, the sterilized seed of such plant