Those thinking that the cannabis industry is a get-quick-rich plan are most likely to be severely disappointed. A long list of obstacles hinder cannabis businesses from over regulation to over taxation, at all levels of government. The lack of access to banking services is one major hurdle for hard working entrepreneurs that are foundational pioneers in the burgeoning industry. The lack of a bank account poses enough problems, but without the business loans and other programs available to other industries, growth is severely stifled.
Thanks to the diligence of advocates, we won a major victory by passing the Secure and Fair Enforcement (SAFE) Act at the United States House this year, but unfortunately the much-needed banking bill faces a tough path in the Senate. Passage in the Senate will take a strong lobbying effort by the cannabis community after Idaho Senator Mike Crapo, while open to passing banking legislation, announced his opposition to the SAFE banking Act, as Marijuana Moment reported:
A powerful Senate committee chairman said on Wednesday the he opposes House-passed marijuana banking legislation and laid out potential changes he would like to see to the bill before he takes it up in his panel.
Among other amendments being floated for public feedback is a 2 percent THC potency limit on products in order for cannabis businesses to qualify to access financial services as well as blocking banking services for operators that sell high-potency vaping devices or edibles that could appeal to children.
“I remain firmly opposed to efforts to legalize marijuana on the federal level, and I am opposed to legalization in the State of Idaho,” Sen. Mike Crapo (R-ID), who chairs the Senate Banking Committee, said in a press release. “I also do not support the SAFE Banking Act that passed in the House of Representatives. I have significant concerns that the SAFE Banking Act does not address the high level potency of marijuana, marketing tactics to children, lack of research on marijuana’s effects, and the need to prevent bad actors and cartels from using the banks to disguise ill-gotten cash to launder money into the financial system. I welcome input from all interested parties on how to thoughtfully address these concerns.”
Regardless of one’s stance on cannabis legalization, everyone should support banking access for industry participants. The SAFE Banking Act will help businesses grow, creating more jobs and generating more revenue. Public safety and prompt tax payments will also improve if banking services are fully legalized. The lack of banking services hurts small and medium businesses the most and these mom-and-pops and craft cannabis boutiques need our support, both with our dollars and our political activism.
The future of the cannabis industry depends upon our community shopping with local companies and urging our elected officials, especially United States Senators, to treat the industry like any other business sector. It certainly seems like Idahoans need to contact Senator Crapo and it is imperative that we make our voices heard. We’ve come a long way, we just need to remain vigilant and keep making progress for the cannabis community step by step, piece by piece, law by law.