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420 with CNW — Nebraska’s Judiciary Committee Considers Measures to Legalize, Regulate, Tax Adult-Use Marijuana

The Nebraska Judiciary Committee recently reviewed two proposals aimed at legalizing cannabis for adults aged 21 and older. Senator Justin Wayne introduced LB52, which outlines a regulatory structure for the marijuana industry, including a 25% sales and excise tax on marijuana products. The tax revenue would be allocated to the Education Future Fund.

Additionally, LB52 proposes the creation of the Nebraska Marijuana Enforcement Commission to supervise the sector, administer licenses and impose sanctions for infractions.

Another proposal, LB71, was put forward by Senator Terrell McKinney. This bill also seeks to legalize recreational marijuana but suggests a 16% sales and excise tax on marijuana products. Under LB71, 50% of sales tax revenue would go toward funding the Property Tax Credit Cash Fund and 40% would go toward funding the Education Future Fund. Remaining funds would be allocated to grants for youth outreach, education, prisoner reintegration programs and economic development.

Both proposals aim to remove marijuana from the state’s Controlled Substances Act (CSA). LB52 includes a provision that, starting January 2025, marijuana-related offenses would automatically qualify for clean slate relief, allowing for the removal of certain convictions from criminal records.

McKinney noted that legalizing recreational cannabis could provide significant tax revenue to support property tax reduction and education. He also highlighted the potential to lower the number of inmates in the state, which would lower operating expenses.

Jason Witmer, speaking on behalf of the Nebraska ACLU, backed both proposals, noting that criminalizing marijuana is a waste of tax dollars, negatively affects Black Nebraskans disproportionately, and has no positive effect on public safety. Legalizing cannabis for recreational use, according to Witmer, might result in tax breaks without burdening hardworking Nebraskans more.

Jennifer Henning, mother of a seven-year-old child with severe disabilities, also testified in support of the measures. She clarified that by offering an alternative to pharmaceutical medications such as methadone and ketamine, legalizing marijuana could enhance her son’s quality of life.

On the other hand, Colonel John Buldoc, Nebraska State Patrol superintendent, voiced concerns about the proposals, citing potential risks to public safety. “Based on my extensive experience, cannabis unquestionably impairs one’s ability to drive safely. It is the most prevalent illegal substance detected in the bloodstreams of drivers engaged in collisions,” Buldoc said.

Douglas County sheriff Aaron Hanson also opposed the proposals, stating that neighboring states with legalized adult-use cannabis, such as Missouri and Colorado, have seen increases in traffic fatalities, violent crimes and homicides.

Deputy Solicitor General Zachary Viglianco from the Nebraska Attorney General’s Office shared concerns about health risks associated with cannabis use, including higher chances of cancer, mental health issues and heart attacks.

The committee has yet to take any action on either LB71 or LB52 following the testimonies. The entire cannabis industry, including entities such as Aurora Cannabis Inc. (NASDAQ: ACB) (TSX: ACB), will likely observe how the proposals are considered to glean whether prohibition could soon end in this state as well.

About CNW420

CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of an article each business day at 4:20 p.m. Eastern – a tribute to the time synonymous with cannabis culture. The concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

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