Locke Lord: Latest Senate Coronavirus Relief Bill Omits Cannabis Banking Protection

Locke Lord: Latest Senate Coronavirus Relief Bill Omits Cannabis Banking Protection
Once again, the Senate appears to be punting on much-needed banking and insurance reform for the cannabis industry.  The SAFE Banking Act would allow banks and insurance companies to offer their services to marijuana-related businesses without violating federal law. As we discussed here, it’s had solid support in the House—a standalone bill passed the House with bipartisan support last year and the text of the bill was included in the House’s proposed stimulus package in May 2020.

LATEST SENATE CORONAVIRUS RELIEF BILL OMITS CANNABIS BANKING PROTECTION

Douglas Sargent

But the Senate has been a different story. The standalone bill continues to stagnate in the Senate Banking Committee and the Senate’s latest round of coronavirus legislation released this week does not include the text of the SAFE Banking Act or any other protections for the cannabis industry. While not unexpected, this move is another blow to proponents of cannabis banking reform.

While it is still possible the Senate agrees to add the SAFE Banking Act language to a merged relief bill during bicameral negotiations, we believe that is unlikely. Rep. Lou Correa’s (D-CA) assessment from May still seems prescient. “I think it’s sure to die in the Senate,” said Rep. Correa. “Mr. McConnell has said, in many words and many ways, ‘I’m not interested in moving any legislation of this sort forward.’”

We will continue to report on cannabis banking legislation and other events affecting the industry on our blog. Also, visit our COVID-19 Resource Center for up-to-date information to help you stay informed of the legal issues related to COVID-19.

Cannabis Law Journal – Editorial Board Members

Editor – Sean Hocking

Author Bios

Canada
Matt Maurer – Minden Gross
Jeff Hergot – Wildboer Dellelce LLP

Costa Rica
Tim Morales – The Cannabis Industry Association Costa Rica

Nicaragua
Elvin Rodríguez Fabilena

USA

General
Julie Godard
Carl L Rowley -Thompson Coburn LLP

Arizona
Jerry Chesler – Chesler Consulting

California
Ian Stewart – Wilson Elser Moskowitz Edelman & Dicker LLP
Otis Felder – Wilson Elser Moskowitz Edelman & Dicker LLP
Lance Rogers – Greenspoon Marder – San Diego
Jessica McElfresh -McElfresh Law – San Diego
Tracy Gallegos – Partner – Fox Rothschild

Colorado
Adam Detsky – Knight Nicastro
Dave Rodman – Dave Rodman Law Group
Peter Fendel – CMR Real Estate Network
Nate Reed – CMR Real Estate Network

Florida
Matthew Ginder – Greenspoon Marder
David C. Kotler – Cohen Kotler

Illinois
William Bogot – Fox Rothschild

Massachusetts
Valerio Romano, Attorney – VGR Law Firm, PC

Nevada
Neal Gidvani – Snr Assoc: Greenspoon Marder
Phillip Silvestri – Snr Assoc: Greenspoon Marder

Tracy Gallegos – Associate Fox Rothschild

New Jersey

Matthew G. Miller – MG Miller Intellectual Property Law LLC
Daniel T. McKillop – Scarinci Hollenbeck, LLC

New York
Gregory J. Ryan, Esq. Tesser, Ryan & Rochman, LLP
Tim Nolen Tesser, Ryan & Rochman, LLP
Cadwalader, Wickersham & Taft LLP

Oregon
Paul Loney & Kristie Cromwell – Loney Law Group
William Stewart – Half Baked Labs

Pennsylvania
Andrew B. Sacks – Managing Partner Sacks Weston Diamond
William Roark – Principal Hamburg, Rubin, Mullin, Maxwell & Lupin
Joshua Horn – Partner Fox Rothschild

Washington DC
Teddy Eynon – Partner Fox Rothschild