The House Financial Services Subcommittee on Consumer Protection and Financial Institutions held a hearing on Wednesday to discuss the challenges of offering banking services to cannabis-related businesses in states where marijuana has been legalized.  POLITICO Pro reports the subcommittee was well attended with “lobbyists and other stakeholders forming a line that wrapped around the corner from the committee hearing room.” CUNA offered testimony and expressed its support for federal legislation that would clarify the ability of financial institutions to serve these businesses.  Only one witness testified in opposition.

Your League also weighed in with lawmakers on this important topic.  In a letter to the committee, Todd Mason, President/CEO of the Maine Credit Union League, stated,

“In states like Maine where cannabis-based businesses are legal, it is difficult to offer financial services to these entities because of conflicting federal law. This is detrimental to public safety and interests. Without access to financial institutions, these business are forced to operate on a cash-basis inviting crime, and reducing the government’s ability to monitor and tax the transactions they conduct. Credit unions want to provide marijuana businesses access to safe and affordable financial services, but doing so comes with great risk. For most, this risk is too big to bear.”

Democrats in the House seem eager to address cannabis banking and a committee vote on a legislative solution could occur soon.  The League will keep our members apprised on this matter and continue advocating for a federal fix.