US House Passes SAFE Banking Act

On Monday night, the U.S. House of Representatives took up and passed H.R. 1996. Known as the Secure and Fair Enforcement (SAFE) Banking Act, H.R. 1996 provides protections to financial institutions that serve state legal cannabis-based businesses and is supported by both CUNA and MnCUN.

Specifically, H.R. 1996 would provide a safe harbor for:

• Financial institutions accepting deposits from, extending credit, or providing payment services to an individual, or business engaged in legal marijuana-related commerce; and
• Credit unions and their employees who are not aware if their members or customers are involved in such businesses.

​“This historic, bipartisan legislation will address a public safety issue facing consumers, businesses, and financial institutions around the country,” said CUNA President/CEO Jim Nussle.
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“MnCUN supports having protections in place for credit unions that might want to serve businesses in the current medicinal market in Minnesota or future markets that may emerge,” said MnCUN President & CEO Mark D. Cummins. “We’d like to thank the House for passing the bill and will continue to encourage our Senators to support its passage in that body.”

The bill passed the House on a strong bipartisan vote of 321-101, with 7 of Minnesota’s 8 members of the House voting in support. The Senate version of the bill was introduced last month and both Minnesota Senators Klobuchar and Smith are listed as co-sponsors.