A bipartisan group of twenty-one state governors sent a letter to Congress leaders urging them to support the Secure and Fair Enforcement (SAFE) Banking Act. This bill would allow legal cannabis businesses to have access to traditional banking services such as payroll and checking accounts for the first time in US history. If passed, this would put an end to the cannabis industry’s cash only environment, which poses significant public safety risks including some businesses’ vulnerability to robbery and theft. Further it would reduce the burden on state and local government agencies that must collect tax and fee payments in person and in cash.
“We urge you to pass the SAFE Banking Act of 2021 or similar legislation that would provide a safe harbor for depository institutions that provide a financial product or service to a state-licensed cannabis business in states that have legalized cannabis,” the governors determined in their letter.
On April 19th, the SAFE Banking Act was passed by the House of Representatives and will now face the Democratic-majority Senate for a vote.
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