U.S. House of Representatives approves SAFE Banking Act... again

On Tuesday, the U.S. House of Representatives once again approved the SAFE Banking Act, which would allow banks to work with cannabis businesses without fear of penaltyg. This is the second time this year - and the fifth time since 2019 - that the House has approved the legislation, which still has to be considered by the Senate.

The House of Representatives has already adopted the banking reform of cannabis by a strong bipartisan vote of 321-101 last April, but the Senate subsequently failed to take up the issue.

This time, the amendment was included in a larger bill on national defense, a further strategy to try and get the measure passed by the upper house of Congress.

Bringing the two together may seem odd, but Colorado Democratic Representative Ed Perlmutter, who was the main force behind the cannabis legislation, has always emphasized the safety aspects of the legislation.

The SAFE Banking Act, he tweeted this week, «will strengthen the security of our financial system and keep bad actors like cartels out. Most importantly, it will reduce the risk of violent crime in our communities.»

#SAFEBanking will strengthen the security of our financial system & keep bad actors like cartels out.

Most importantly, it will reduce the risk of violent crime in our communities.

It's passed the House 5 times. We cannot wait any longer to address this public safety threat. https://t.co/inwnn6ouR1

- Ed Perlmutter (@RepPerlmutter) September 22, 2021

ADVERTISING

Prospects for Senate passage now look brighter than in previous years, partly because Democrats now have tight control of the Senate.

Legal cannabis businesses have been fighting for years to gain access to traditional financial services such as checking accounts, payroll accounts and lines of credit. The CEO of US Cannabis Council, Steven Hawkins, who is also Executive Director of the Marijuana Policy Project, based in Washington DC, urged Congress to pass the cannabis banking measure.

«More than $17 billion worth of legal cannabis was sold in the U.S. last year, the vast majority through cash transactions,» Hawkins said in a statement released Tuesday.

«Forcing legitimate, well-regulated cannabis businesses to conduct most of their business in cash is anachronistic and a clear threat to public safety.»