Cannabis banking bill advances in US House committee

March 28, 2019

DENVER (AP) — Legislation that would provide federal protection for financial institutions that serve state-authorized marijuana and ancillary businesses passed a U.S. House committee on Thursday.

The House Financial Services Committee voted 45-15 to advance the proposed bill after amending it to include provisions to provide a safe harbor for insurance companies and improve access of financial services to minority- and women-owned cannabis businesses.

“This is a historic and critical step forward for the nation’s burgeoning cannabis industry,” Steve Hawkins, executive director of the Marijuana Policy Project, said in a statement. “Regardless of where members stand on legalization, they can agree that it is in the public interest to make banking available to cannabis businesses in states where it is legal.”

The proposal was originally introduced by Reps. Ed Perlmutter of Colorado and Denny Heck of Washington state, both Democrats, and Ohio Republicans Steve Stivers and Warren Davidson. It now goes to the full House for consideration, the Marijuana Business Daily reported .

Banks generally balk at servicing the marijuana industry for fear it could expose them to legal trouble from the federal government, which still considers marijuana illegal.

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