The SAFE Banking Act, legislation that would allow legal cannabis businesses to work with the US financial system, will be left out of the National Defense Authorization Act, Politico reported.
Inclusion in the bill was seen as a promising vehicle to get the banking legislation passed.
Senate Minority Leader Mitch McConnell (R-Ky.) criticized Democrats’ attempts to include any marijuana-related language in the defense bill, according to The Hill.
“We’re talking about a grab bag of miscellaneous pet priorities, like making our financial system more sympathetic to illegal drugs or permitting reform in name only that’s already failed to pass the Senate earlier this year,” he said on the Senate floor.
What is the SAFE banking act?
The bill generally prohibits a federal banking regulator from penalizing a depository institution for providing banking services to a legitimate cannabis-related business. Prohibited penalties include terminating or limiting the deposit insurance or share insurance of a depository institution solely because the institution provides financial services to a legitimate cannabis-related business and prohibiting or otherwise discouraging a depository institution from offering financial services to such a business.
What’s next?
Well it seems Rep. Earl Perlmutter the main sponsor of the SAFE Banking Act in the House is going to try to get the SAFE banking act passed. Lets see!
