Senate panel to mark up cannabis banking bill this month

The Senate Banking Committee said it would meet Sept. 27 to consider ICBA-advocated legislation to establish a safe harbor from federal sanctions for financial institutions that serve cannabis-related businesses in states where cannabis is legal.

SAFE Banking Act: Introduced by a bipartisan group of lawmakers led by Sens. Jeff Merkley (D-Ore.) and Steve Daines (R-Mont.) and Reps. Dave Joyce (R-Ohio) and Earl Blumenauer (D-Ore.), the ICBA-advocated Secure and Fair Enforcement (SAFE) Banking Act would open the traditional banking system to cannabis-related businesses to enhance public safety and address regulatory compliance concerns.

Background: Legal uncertainty has forced cannabis-related businesses to operate mostly in cash, which presents a significant public safety risk. The SAFE Banking Act would help eliminate this risk in states that have legalized cannabis for medical or recreational use. Similar legislation has passed the House seven times.

ICBA View: ICBA is the first national banking trade group to support the SAFE Banking Act and to testify before Congress on its behalf. When the Senate committee met earlier this year for a hearing on cannabis banking challenges, ICBA re-released its poll conducted by Morning Consult last year that found 65% of voters support the policy.