More than 100 members of Congress have co-sponsored a bill resolving banking issues caused by conflicting federal and state marijuana laws.
Offered by Democratic Rep. Ed Perlmutter, Colorado Democrat, the Secure and Fair Enforcement (SAFE) Banking Act has amassed the support of 108 co-sponsors, including nine Republicans, since being filed Thursday on Capitol Hill.
Most states have legalized marijuana for medicinal or recreational purposes, but financial institutions are often reluctant to work with state-licensed pot businesses given the plant’s placement on the federal government’s list of controlled substances.
“The SAFE Banking Act is focused solely on taking cash off the streets and making our communities safer,” Mr. Perlmutter said in a statement. “Only Congress can provide the certainty financial institutions need to start banking legitimate marijuana businesses — just like any other legal business — and reduce risks for employees, businesses and communities across the country.”
“There are reputational risks associated with any small business,” added Rep. Warren Davidson, an Ohio Republican backing the bill. “And barring legally recognized small businesses from our financial institutions threatens the very pillars of liberty and freedom our country was founded on.”
Colorado became the first state in the country to let adults purchase marijuana for recreational purposes in accordance with a ballot measure passed in 2012, and Mr. Perlmutter, a congressman elected in 2006, has introduced various iterations of the SAFE Banking Act since 2013.
Reintroduced on the heels of a House subcommittee hearing last month about banking and the marijuana industry — the first hearing of its kind ever held by Congress — the latest version of the SAFE Banking Act differs from earlier drafts in that it provides extra legal protections for certain businesses and refines the definition of “cannabis-related legitimate business,” according to Mr. Perlmutter’s office.
Thirty-three states have legalized the medicinal use of marijuana, including 10 that permit adults to use pot for recreational purposes.
Several bills previously introduced during the 116th Congress would effectively end marijuana prohibition if passed, and multiple lawmakers seeking the Democratic Party’s nomination to run against President Trump in 2020 said they would support federally legalizing the plant.
• Andrew Blake can be reached at ablake@washingtontimes.com.
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