LB 316 (2025) Hemp-Intoxicant Ban Failed Cloture

LB 316 (2025) sponsored by Sen. Kathleen Kauth (Omaha-Millard) and prioritized by Sen. Jared Storm (David City) would have redefined most hemp products as "marijuana" and prohibited raw hemp above 0.3% THC of any kind, capping processed hemp at 0.3% THC by total weight or 10 milligrams per package, effective January 1, 2026. Advanced 33-13 first round but passed over on May 30, 2025 when Sen. Kauth withdrew it after failing to secure 33 cloture votes. ⚠️ Revised hemp-restriction bill pending in 2026 session; outcome uncertain.

Legal Disclaimer: This information reflects Nebraska cannabis law as of June 2026 and is for educational purposes only. It is not legal advice. Laws and regulations change — always verify current rules with the Nebraska Medical Cannabis Commission (administered within the Nebraska Liquor Control Commission); Nebraska Department of Agriculture (industrial hemp); Nebraska Department of Health and Human Services (DHHS, medical-licensure overlay) or a qualified attorney. Cannabis remains illegal under federal law.

Last verified: May 2026

The Bill’s Provisions

LB 316 (2025) would have:

Redefined most "hemp" products as "marijuana" for state-law purposes.
Prohibited raw hemp above 0.3% THC of any kind — not just delta-9 THC, but total THC including delta-8, delta-10, THCA, HHC, THC-O.
Capped processed hemp products at 0.3% THC by total weight OR 10 milligrams THC per package, whichever is lower.
Effective date: January 1, 2026.
Ban delta-8 THC, hemp-derived delta-9 edibles above 10 mg per package, and THCA flower.
Effectively eliminate the Nebraska hemp-derived-intoxicant retail market.

The Sponsors

Sen. Kathleen Kauth (R-Omaha-Millard, District 31) was the primary sponsor. Kauth has been a consistent voice for restrictive cannabis and hemp policy. Sen. Jared Storm (R-David City) prioritized the bill, providing his "speaker priority" designation that ensured floor consideration.

The First-Round Vote — 33-13

LB 316 advanced 33-13 on first round, exceeding the simple-majority threshold for advancement. The 33-vote tally appeared to satisfy the cloture requirement on its face.

The May 30, 2025 Cloture Failure

When Sen. Kauth attempted to invoke cloture on the bill on May 30, 2025, she failed to secure the necessary 33 votes — meaning that some senators who had voted to advance the bill on first round withdrew support at the cloture stage. Kauth withdrew the bill ("passed over") rather than face a definitive cloture defeat.

The shift from first-round support to cloture withdrawal is a recurring pattern in the Nebraska unicameral: senators may vote to advance a bill to permit floor debate without committing to final passage. The 33-vote cloture trap functions as the ultimate filter.

The Hemp-Industry Lobby

Nebraska’s hemp-industry coalition mobilized substantial lobbying against LB 316:

Bill Hawkins (Nebraska Hemp Company) — leading public spokesperson.
Hemp retailers, vape-store owners, smoke-shop operators, and gas-station owners testifying about livelihood impact.
Sen. John Cavanaugh (D-Omaha) cited estimates of ~$10 million annual sales taxes and ~2,000 Nebraska jobs in industry.
National hemp-industry organizations including the U.S. Hemp Roundtable.

The 2026 Pending Successor

A revised hemp-restriction bill is pending in the 2026 Nebraska session. As of May 2026, the bill’s specific provisions and prospects have not been fully developed. The 2026 session is a 60-day "short session" focused on budget adjustments; comprehensive policy bills face a higher procedural barrier.

The federal H.R. 5371 § 781 cap effective November 12, 2026 (0.4 mg THC per package nationally) may render state-level hemp-restriction bills moot for many product categories. A Nebraska state-law restriction effective January 1, 2026 would have preempted the federal cap by ~10 months; a 2026 state-law restriction effective in 2027 or later would arrive after the federal cap. See federal cliff page.

The Hilgers Parallel Track

While LB 316 was pending, AG Hilgers ramped up cease-and-desist enforcement under the Consumer Protection Act and Pure Food Act. The legislative-failure-but-administrative-action pattern is unusual: AG Hilgers achieved through enforcement letters what the legislature was unable to achieve through statute. See Hilgers enforcement page.

LB 28 (2023) Predecessor

LB 28 (2023) was an earlier Nebraska hemp-intoxicant ban proposal that died in committee without floor consideration. The 2023 effort lacked the priority designation that gave LB 316 floor access in 2025.

The Industry’s Future

The Nebraska hemp-derived-intoxicant industry faces three sequential pressures:

2026 NE legislative session — revised hemp-restriction bill pending.
AG Hilgers cease-and-desist enforcement continues regardless of legislative outcome.
November 12, 2026 federal cliff — 0.4 mg THC per package nationally would eliminate most current hemp-derived intoxicant products including in Nebraska.

The combination effectively guarantees substantial industry contraction within 12-18 months of May 2026.