Senate Majority leader Chuck Schumer (DNY) said that work is continuing to pass a bipartisan cannabis banking bill. Another Democratic senator urged voters to continue to put pressure on lawmakers as they return to their districts this summer. Despite their optimism, however, the Republican sponsor of the bill and a committee chair are stuck in a blame game that is not going away.
The Secure and Fair Enforcement Banking Act (SAFE) is on hold until at least the end of August, when Congress returns from its August recess. This is a disappointment to advocates and stakeholders that had hoped the bill would be advanced during the summer session as Schumer planned it as part an ambitious legislative agenda. According to a lobbyist, who spoke briefly with him on Wednesday twice, the majority leader told her that “we’re still working on it.”
Don Murphy, of the Marijuana Leadership Campaign, says Schumer gave him a simple answer when he asked in passing what the status was of the legislation. Murphy, speaking to Marijuana Moment Thursday, noted that Schumer declined to blame the GOP for delays when asked.
Murphy replied, “I am looking for a silver lining.” “When the leading Democrat refuses to blame Republicans, that’s progress, it’s a sign of movement.”
There’s a new from @SenateGOP under the Yea column. There are many possible 9th GOP sponsors. @SenSchumer‘s non-comment is all good news #SAFEBanking‘s future. pic.twitter.com/N0eZvgJw1d
Don Murphy (@donmurphy12a 27 July 2023 HTML0)
Marijuana Moment contacted Schumer’s Office for comment but no representative was immediately available.
The Senator Jeff Merkley, D-OR, also spoke to Murphy on Thursday. He encouraged those who were advocating the SAFE Banking legislation to “keep up the good work” and stressed that “passing legislation is dependent upon people outside of the building continuing their input.”
He said, “I’m optimistic that we will work out the details after we return from our August recess.” “But [the Senate Banking Committee] must continue to hear your voices so that this issue can’t be ignored by other businesses in the media.”
Video via a href=”https://twitter.com/donmurphy12a?ref_src=twsrc%5Etfw”>@donmurphy12a/a> a href=”https://t.co/35wp5K2Joy”>https://t.co/35wp5K2Joy/a>. Video via @donmurphy12a https://t.co/35wp5K2Joy pic.twitter.com/ohqZrZh81f
Marijuana Moment July 27, 2020
Merkley’s request that supporters reach out to “the committee” rather than to their senators is a reflection on a major political obstacle that prevented the marijuana bill from progressing during the summer session. It is the disagreement between Banking Committee Chair Sherrod Brown’s (D-OH), and leading SAFE Banking Act sponsor Sen. Steve Daines’ (R-MT) over the next steps.
Brown and Daines have been in a verbal war for several weeks, as frustrations grew over the lack of a committee marking up. Brown has said that Daines must secure more GOP sponsors, while Daines insists that Republicans are ready to pass the legislation through the floor as agreed upon previously.
Brown, who said last week that this bill would not be voted on this week, told Politico, in an article published on Thursday, that the GOP Senator needed to build a larger Republican coalition around the Bill to account for possible Democratic defectors, who could pull their support until a section is either deleted or significantly modified.
Certain Democrats, like Sen. Jack Reed of Rhode Island (D-RI), have raised concerns about Section 10 in the bill. They claim that it undermines broader banking regulation. Republicans consider it a “non starter.”
Daines said Politico Brown’s comment about the need for additional GOP co-sponsors was “100% false.”
He said, “The problem does not lie in Republican votes.” “We reached an agreement but they then retracted it.”
Daines also warned against trying to expand the measure to include social justice reforms, which progressives would love to add. However, his office told Marijuana Moment that the senator was “open” about adding the expungements language as proposed by Schumer.
Brown told Politico, on his part, that given the volatile nature of the negotiations, he does not believe that the ranking member of his committee, Sen. Tim Scott, (R-SC), will ultimately support the bill.
It appears that the Senate will be on recess for the next one month, without any substantive agreement. However, certain key players are still optimistic about the prospects of the Senate when it returns. Supporters received another sign this week that momentum is still present. Sen. Dianne F. Feinstein, D-CA, who has traditionally opposed cannabis reform, cosponsored the SAFE Banking Act.
The bill now has 42 co-sponsors, including eight Republican Members.
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The American Trade Association for Cannabis and Hemp, along with other trade groups representing marijuana businesses from 16 states and Washington D.C., sent a letter last week to Brown and Scott, urging them to “pass the cannabis banking legislation without further delay.”
Schumer stated in a Dear Colleague Letter that was circulated this month that SAFE banking remains a legislative priorities. He also acknowledged that the task “will not easy” and that it will require GOP buy-in.
Sen. John Cornyn, (R-TX), said, meanwhile, that majority leader Schumer’s summer agenda is too ambitious. He expressed serious doubts about marijuana banking, among a list other legislative items Schumer listed in the letter, being advanced in the summer session. He was right about cannabis.
Schumer also recently spoke to a cannabis industry leader, who approached him last month at a non-related event. According to the entrepreneur, Schumer is “confident” that the cannabis banking bill will pass.
Sen. Tommy Tuberville, R-AL, for his part said last month he is a “yes”. He doubts the Democratic leadership’s ability to deliver on their promise.
In its current form, the measure protects banks, credit unions and depository institutions from being penalized for working with cannabis businesses licensed by state regulators.
Other people have suggested other changes they would like to see included in the cannabis bill, such as expanding protections for marijuana industry access all forms of financial service, including representative on major U.S. Stock Exchanges.
Other advocates have criticized the request, saying that it would be inappropriate to assist businesses at a time when efforts to legalize cannabis in Congress are stalled.
In May, a major cannabis lobbying company apologized for sending a letter to the Senate Banking Committee’s leadership regarding the Banking Bill . The letter contained references to China investments that were “inappropriate”. This was a “misguided” attempt to push for changes to the legislation.
Jacky Rosen, a Nevada senator, said recently that the SAFE Banking Act should be passed with a amendment to allow cannabis businesses access to federal Small Business Administration services (SBA).
The legislators will continue “to work in a bipartisan manner” in order to accomplish the task.
In the first months of the new Congress, the majority leader has met with Democratic members and Republican members to discuss marijuana reform proposals which might be able to garner bipartisan support this year.
Sen. Cory Booker, D-NJ, said that lawmakers are trying to “resurrect the cannabis reform package. He acknowledged that the failure to progress a banking solution for the industry would “literally mean that hundreds of companies go out of business.”
Rep. Earl Blumenauer, D-OR, who is the lead sponsor of the House’s version of the SAFE Banking Act said that it was important for advocates and legislators to align on any incremental proposal to end the war on drugs, cautioning against an “all or nothing” mentality.
The American Bankers Association (ABA), which also renewed its call for passage, did the same. All 50 state chapters of the ABA did the same. Insurance and union organizations also wrote to Congress.
This month marks the 10th anniversary of the introduction the first version, now known as SAFE Banking Act.
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Photo by Chris Wallis // Side Pocket Images.
The article Schumer says work continues on Marijuana Banking bill as key senators dispute the reason for delay first appeared on Marijuana Moment.
