Senators urge Congressional leaders to include SAFE Banking Act in NDAA

U.S. Sen. Jacky Rosen (D-NV) is among a group of Senators urging members of the House and Senate Armed Services Committees to keep the Secure and Fair Enforcement (SAFE) Banking Act in the National Defense Authorization Act for Fiscal Year 2022 (NDAA).

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The SAFE Banking Act would allow banking access to licensed cannabis businesses operating in states like Nevada that have legalized the sale of marijuana. Current federal law restricts legally operating businesses from accessing basic banking services and products such as depository and checking accounts, credit cards, and checks. As a result, these businesses are forced to operate as cash-only.

The bill passed the House of Representatives five times, most recently as an amendment to the NDAA in September. The House passed the SAFE Banking Act as standalone legislation by a 220-vote margin in April, including a majority of both Republicans and Democrats.

“In anticipation of the Senate passing the Fiscal Year 2022 (FY22) National Defense Authorization Act (NDAA) following the Thanksgiving state work period, we, as members of the Senate Armed Services Committee, write to request that the final conference bill retain the text of the SAFE Banking Act of 2021,” Rosen and the Senators wrote to the committee leaders.

Along with Rosen, the letter was Sens. Gary Peters (D-MI), Angus King (I-ME), Kevin Cramer (R-ND), and Mark Kelly (D-AZ).

“The Secure and Fair Enforcement Banking Act (SAFE Banking Act), as included in the House-passed NDAA, would allow banks, credit unions, and other financial institutions to offer banking services to legally-operating cannabis businesses without fear of punishment by federal regulators. More than thirty states and the District of Columbia have legalized marijuana for medical use, and sixteen allow adult recreational use. However, financial institutions are often reluctant to transact with cannabis-related businesses, even in states that have some form of legalized cannabis, due to legal and regulatory risks arising from inconsistent federal and state laws. Enacting the SAFE Banking Act via the NDAA would support a rapidly growing industry that creates jobs, supports small businesses, and raises revenue in states that have chosen to legalize cannabis while reducing safety risks,” the letter continued.