Nebraska Approves First State-Licensed Medical Cannabis Cultivation Amid Regulatory Hurdles

Nebraska has taken a significant step toward launching its medical cannabis program, with the state’s Medical Cannabis Commission unanimously approving the first legal marijuana cultivation at MahāMotā Cultivation Company in Raymond. This marks the debut of state-sanctioned cannabis growing in Nebraska, following months of commission meetings and regulatory groundwork. Starting Wednesday, the commission will also begin accepting applications for product manufacturers, further expanding the program’s infrastructure

Under current regulations, Nebraska will license up to four product manufacturers, 12 transporters, and 12 dispensaries. However, other licensed cultivators are facing challenges. KRL Med LLC, led by former State Senator Kent Rogert, has encountered a halt in progress due to a zoning dispute in Washington County. Rogert explained to the commission that, despite initially receiving guidance that his operation qualified for an agricultural exemption, the county administrator later reversed course, stating that only hemp—not marijuana—qualified. "Every day that goes by, we’re losing time and availability," Rogert told commissioners

The commission showed support for KRL Med LLC by voting to extend its license for another six months, allowing the group time to resolve its zoning issue. Meanwhile, other cultivators are also navigating regulatory obstacles. Meadowlark Medicinals postponed its inspection, and Midwest Cultivator Group, the fourth licensed entity, received approval to relocate from Omaha to Gretna after facing shifting zoning requirements. Company leader Robert Wagner expressed readiness to proceed once inspections are cleared, stating the plan to launch with a minimal viable product

The commission’s decision to begin accepting product manufacturer applications was made after a split vote, with Commissioner Jim Elworth emphasizing the need to avoid further delays. "I’m just very concerned about waiting that much longer," Elworth said. However, interim chair Lorelle Mueting voted against, citing concerns about fee collection and the longer application window compared to previous rounds. Applicants will be allowed to update or withdraw their submissions later, as regulations and fee structures are finalized

Nebraska’s medical cannabis regulations are still awaiting final signatures from Attorney General Mike Hilgers and Governor Jim Pillen. Hilgers, a vocal opponent of medical marijuana, has not yet signed the rules, raising the possibility of further delays. The issue is also becoming a focal point for the 2026 elections, with Democratic candidate Jocelyn Brasher attending the recent commission meeting and stating, "That people and patients in Nebraska deserve more than delay, confusion and dysfunction currently happening under Attorney General Mike Hilgers."

OG Lab notes that Nebraska’s incremental progress on medical cannabis signals a cautious but tangible shift in state policy. While regulatory and zoning challenges remain, the commission’s actions set the stage for the first legal cannabis cultivation and product manufacturing in Nebraska, with the next developments hinging on final regulatory approvals and local cooperation