The Secure and Fair Enforcement (SAFE) Banking Act was reestablished in the House of Representatives today. This expense, which was presented byReps Ed Perlmutter (D-CO), Steve Stivers (R-OH), Nydia Velazquez (D-NY), and Warren Davidson (R-OH), would offer a safe harbor for banks and other banks dealing with state-legal marijuana organizations.
“Thousands of employees and businesses across this country have been forced to deal in piles of cash for far too long,” statedRep Perlmutter. “It is time to enact SAFE Banking to align federal and state laws and reduce the public safety risk in our communities. I appreciate the partnership of the cannabis industry and businesses across this country who have added their voice to this effort. The SAFE Banking Act is an important first step to treating cannabis businesses like legal, legitimate businesses and beginning to reform our federal cannabis laws.”
In the last Congress, this legislation was the very first marijuana policy reform expense given the flooring of the House in current history with 206 co-sponsors, and was the very first to be authorized by either chamber of Congress with a frustrating bipartisan vote of 321-103 in September 2019. The expense relocated to the Senate however was postponed due to the start of the coronavirus pandemic. The House likewise authorized 2 different pandemic relief expenses in 2015 that consisted of the legislation’s language.
“At a time when small businesses need all the support they can get, and after cannabis businesses specifically have been providing essential services and generating significant tax revenues for states and the federal government with little to no financial relief, it is more imperative than ever to get the SAFE Banking Act passed into law,” stated Aaron Smith, co-founder and CEO of the National Cannabis Industry Association (NCIA).
“Lack of access to banking services continues to create serious unnecessary issues for public safety, transparency, and access to traditional lending that smaller operators desperately need. These businesses are contributing billions of dollars to the national economy every year, and need to be treated like any other legal regulated industry. We are grateful to the sponsors of this legislation who have generated strong and consistent bipartisan support year after year, and we are confident that it has a clear path to approval again.”
The NCIA stated in a declaration that the SAFE Banking Act would secure banks from federal prosecution for supplying banking and other services to marijuana organizations that remain in compliance with state law, along with assistance address severe public health and security issues triggered by running in primarily cash-only environments. NCIA stated, “The legislation would make traditional lending more accessible for the cannabis industry, helping alleviate the lack of access to capital that has presented major hurdles for smaller businesses. It would also mandate a study on diversity in the cannabis industry. The latest version makes clear that protections would extend to financial services providers working with the hemp industry as well.”