The cannabis banking bill will protect banks that service state-legal marijuana businesses from being penalized by federal regulators. The office of Majority Leader Steny Hoyer said that the bill is formally on the schedule to receive a House floor vote on Monday.

The bill is officially on the agenda of legislation for Monday. A floor debate should happen sometime after 2:30 PM. If a recorded vote is requested, that is anticipated to take place between 6:30 and 8:00 PM.

This is the first-floor action on a cannabis reform bill this Congress. The cannabis banking bill is a standalone legislation. It cleared the House back in 2019. Two coronavirus relief packages that the chamber approved includes the bills language. However, the proposal did not advance through the Senate under GOP control.

Advocates and industry stakeholders are optimistic that the legislation stands a chance at becoming law this year. Due to the Democrats in control of the House, Senate, and White House it is a possibility.

SAFE Banking Act

Last month the SAFE Banking Act was reintroduced in the House and it has 168 cosponsors. A few days later it was refiled in the Senate. In the Senate Jeff Merkley (D-OR) and Steve Daines (R-MT) are the chief sponsors.

This legislation will ensure that financial institutions could work with cannabis business clients without facing federal penalties. Typically, fear of sanctions keeps many banks and credit unions from working with the marijuana industry. This has forced the industry to operate on a cash-only basis. This also makes it more difficult for financial regulators and makes marijuana businesses a target of crime.

Legislatures plan to file the bill under “suspension of the rules”. Because of this, it will need a two-thirds supermajority to pass. This is achievable given the level of support it received in 2019. There will be no floor amendments under the procedure.

After Democrats secured a majority in the Senate, Sen. Sherrod Brown (D-OH) took the top seat in the Senate Banking Committee. In February, he told reporters that he is “willing to move the cannabis banking bill, but with it needs to come sentencing reform”.

All in all the current Senate version of the SAFE Banking Act has 32 cosponsors.

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