Senate hearing on marijuana industry banking issues reveals continued challenges for federal reforms
Many folks seemed quite excited by the Senate Banking Committee’s decision to hold this hearing today, titled “Challenges for Cannabis and Banking: Outside Perspectives,” to discuss the SAFE Banking Act and related issues concerning the banking problems that face the marijuana industry. But just the headlines of two press reports on the hearing suggest my persistent pessimism about the short-term prospects for federal marijuana reforms remains justified:
From The Hill: “Pot banking bill supporters seek path to passage in skeptical Senate“
From CNBC: “Senate cannabis hearing shows challenges to rewriting pot laws despite growing support in Congress“
Both articles provide a helpful review of the hearing, and here is how the CNBC piece gets started:
A much-hyped congressional hearing on easing cannabis banking restrictions served as a reminder Tuesday that reforming pot laws remains an uphill battle in Congress despite growing bipartisan support among lawmakers.
The Senate Committee on Banking, Housing and Urban Affairs hosted a hearing titled “Challenges for Cannabis and Banking: Outside Perspectives.” Lawmakers, industry executives and advocates testified on the challenges cannabis companies face trying to get basic banking services in states where medical or recreational marijuana is legal. They urged lawmakers to change federal laws to give the budding industry access to traditional financial services.
One piece of legislation, the Secure and Fair Enforcement (SAFE) Banking Act, would allow banks, credit unions and other financial institutions to work with the cannabis industry. Some think it could pass because it’s narrowly focused on banking and not other sticky issues like decriminalizing or legalizing pot.
But Tuesday’s hearing showed just how hard getting the bill through the Senate would be. Aside from committee chairman Mike Crapo, R-Idaho, none of the Republican committee members attended the hearing.