United States: The House of Representatives passes the SAFE Banking Act for the sixth time

The U.S. House of Representatives passed the bill on Friday Secure and Fair Enforcement (SAFE) Banking Act, that would allow banking institutions and financial institutions to work with legal cannabis companies at the state level, for the sixth time.

The legislation had been included as an amendment to the innovation bill America COMPETES. The text had already been approved as a standalone bill as recently as April last, and as part of the bill on defense spending for 2022, but it was omitted from the final version of the bill.

Democratic Representative Ed Perlmutter, primary sponsor of the bill, said in a statement that «cannabis-related businesses—both large and small—and their employees desperately need access to the banking system and capital in order to operate efficiently and safely and to be competitive in the rapidly growing global cannabis market.»

The amendment was also sponsored by Democratic Representatives Nydia M. Velázquez, Barbara Lee, and Earl Blumenauer, as well as Republican Representatives Warren Davidson and David Joyce. The amendment was approved by a vote of 262 to 168.

The approval of the amendment was also welcomed by the president of the Credit Union National Association, Jim Nussle, who stated that the bill «addresses an important public safety issue by allowing legitimate businesses to access financial services.».

The proposal still has to survive the conference process between the House and the Senate. Some lawmakers in the Senate, including Senate Majority Leader Chuck Schumer and Democratic Senator Cory Booker, have said they may not support the amendment. They would prefer to adopt broader reforms related to federal cannabis laws.

The bill has 180 co-sponsors, including 26 Republicans, but Perlmutter and Joyce have indicated that they will continue to push for the bill’s passage, particularly as an amendment to other legislation that is set to be passed.