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PROPOSED FEDERAL LEGISLATION
SAFE Banking Act - HR 1996
Sponsor: Rep. Ed Perlmutter (D-CO) – 3/18/21
- A federal regulator cannot terminate or limit the deposit insurance or share insurance of a depository institution […] solely because the depository institution provides or has provided financial services to a cannabis-related legitimate business or service provider…
- prohibit, penalize, or otherwise discourage a depository institution from providing financial services to a cannabis-related legitimate business…
- recommend, incentivize, or encourage a depository institution not to offer financial services to an account holder, or to downgrade or cancel the financial services offered to an account holder solely because [of their involvement with the cannabis industry]…
- take any adverse or corrective supervisory action on a loan made to [a CRB or related person]…
- Federal Financial Institutions Examination Council shall develop uniform guidance and examination procedures for depository institutions that provide financial services to cannabis-related legitimate businesses and service providers.
https://www.congress.gov/bill/117th-congress/house-bill/1996
Sponsors: Sens. Cory Booker (D-NJ), Ron Wyden (D-OR), Chuck Schumer (D-NY)
- Decriminalization of marijuana as a controlled substance. This includes state authority over transportation of product in each state, regulated in the same manner as though product had been produced in that state.
- Three federal regulatory authorities: The Bureau of Alcohol, Tobacco, Firearms, and Explosives; The Department of Health and Human Services; and The Department of Treasury.
- Excise taxes starting at 10% during the first year of legalization, then increasing by 5% to 25% by years 4 and 5.
- Research and studies on the societal impact of marijuana legalization including the efficacy of medical marijuana as a treatment for certain diseases, community reinvestment programs, and expungements for certain cannabis records.
- Establishment of an FDA Center for Cannabis Products to properly regulate all cannabis products including CBD, product standards/safety and recalls; includes the creation of a Cannabis Products Advisory Committee to oversee product regulation.
- CLIMB Act (HR 8200)
- “Capital Lending and Investment for Marijuana Businesses”
- Offers banking protections similar to those in the SAFE Banking Act but goes beyond to include brokerage, credit card, accounting, money transfer services, etc.
- Also includes protections for non-financial services like legal and compliance, IT, packing and logistics, marketing, management consulting, etc.
- All cannabis businesses would be able to list on the national securities exchanges
- https://www.congress.gov/bill/117th-congress/house-bill/8200
- Medical Marijuana and Cannabidiol Research Expansion Act (HR 8454)
- From the bill summary:
- Specifically, the bill directs the Drug Enforcement Administration (DEA) to follow specified procedures to register (1) practitioners to conduct marijuana research, and (2) manufacturers to supply marijuana for the research.
- The bill allows certain registered entities (including institutions of higher education, practitioners, and manufacturers) to manufacture, distribute, dispense, or possess marijuana or cannabidiol (CBD) for the purposes of medical research. […]
- allow physicians to discuss the potential harms and benefits of marijuana and its derivatives (including CBD) with patients;
- https://www.congress.gov/bill/117th-congress/house-bill/8454
- From the bill summary:
States Reform Act - HR 5977
Sponsor: Rep. Nancy Mace (R-SC) – 11/15/21
- Descheduling – Removal of “cannabis” from the Schedule of Controlled Substances
- Expungement – clearing convictions for marijuana-specific non-violent offenses
- Regulation of Marijuana Like Alcohol – FDA
- Regulation of Cannabis like Barley, Hops, and Grain – USDA (similar to hemp)
- Administration Like Alcohol Under Tax and Trade Bureau – Department of Treasury
- Transferring Agency Functions With Regard to Marijuana – DEA to AT[C]FE
- Grandfathering – state-issued licenses will be transferred to federal ones
- Beneficial Ownership threshold – 10% for corporate entities
- Fair Small Business Administration Access – may not be denied to “Cannabis-Related Legitimate Businesses and Service Providers”
- Excise Tax – 3%, over $1 million be paid by electronic funds transfer to a Federal Reserve Bank
- Track-and-Trace – national system under Treasury, inventory monitored by IRS
https://www.congress.gov/bill/117th-congress/house-bill/5977
Marijuana Opportunity Reinvestment and Expungement (MORE) Act - S 2227
Sponsor: Sen. Kamala Harris (D-CA) – 7/23/19
- Decriminalization of cannabis
- Creation of Opportunity Trust Fund and imposition of tax on cannabis products
- Availability of Small Business Administration programs and services to cannabis-related businesses and service providers
- No discrimination in the provision of federal public benefit on the basis of cannabis
- No adverse effect for purposes of immigration law
- Resentencing and expungement
- References in existing law to marijuana or marihuana
- Cannabis offense defined
https://www.congress.gov/bill/116th-congress/senate-bill/2227