Why cannabis banking is stuck in the Senate

SAFE
Why cannabis banking hasn’t gotten a full vote

What happened: The SAFER Banking Act, a relatively limited cannabis banking bill, has passed the House multiple times but never got a full floor vote in the Senate.

Some right-leaning cannabis investors — at least the majority on the cesspool of X.com, which I hope is not real life — are certain that Senate Majority Leader Chuck Schumer is the only reason that we don’t have a cannabis banking bill on the books.

But it’s not clear that Schumer would have the votes if he brought the bill to the floor, which is why he hasn’t done so. Senators from both sides of the aisle agree, though they point the blame at each other, as is tradition on Capitol Hill. 

What they’re saying: “We have all of the Democrats on board, but we can't get past the 60 vote threshold,” Sen. Liz Warren (D-Massachusetts) told The Dales Report, since the bill has to pass the 60 vote filibuster threshold. 

“We just need a handful of Republican votes, and they're just not there when it comes time to sit down and vote,” she added. “If he had the votes, he'd put it on the floor.”

And: Sen. Tommy Tuberville (R-AL), a supporter of the bill, also told The Dales Report there weren’t enough votes on his side, either. 

But: Sen. Steve Daines (R-MT), another Republican supporter of the bill, says Former President Donald Trump’s endorsement of cannabis reform might help.

“Let’s get a vote on it. Let’s get an up-or-down vote and put your name on record,” he said. “Are you supporting this or opposing it? I think we’ve got the votes, but it’s going to be an after-election kind of discussion.” 

Back up: I’ve written in the past about the tight-rope that SAFER Banking is trying to walk. It’s perhaps the most politically palatable cannabis reform bill — there’s the small business protection for Republicans, and the cannabis reform for Democrats, without going all the way toward federal decriminalization. 

But some progressive Democrats, like Sen. Raphael Warnock of Georgia, say they won’t vote for a banking bill over broader social justice-minded cannabis reform. 

And some Republican supporters of the bill have indicated they won’t vote for it if it includes those aspects that Warnock demands. Which makes a full floor vote a nonstarter for both parties, at least at the moment. A tight-rope. 

The industry publication Cannabis Business Times has a good list of publicly indicated Senate support for the bill, which includes 44 Democrats and 15 Republicans “likely,” to support the bill if it came to a floor vote. 

That’s still shy of the 60 needed to beat the filibuster, and it’s important to note that this is likely support as evidenced by public statements, not definitive. 

The last word: Without a vetted vote count, all we have is conjecture. And that’s not enough to say definitively that Schumer, or the Democrats, are the only opposition to passing the bill. 

That being said, the buck certainly stops with the Senate Majority Leader. 

But the political calculus for passing SAFE as a standalone bill in this divided Senate is just plain difficult, though crazier things have happened. 

Pop your popcorn for the lame-duck session. We’ll soon find out, either way. 

-JB

“This is just evidence that the Legislature is completely impotent when it comes to taking this thing on and doing this legislatively,” Former Florida State Sen. Jeff Brandes, a Republican, told Politico about why many Republicans in his state don’t support Amendment 3, a ballot measure that would legalize cannabis in the state. 

“They are unwilling to do the hard work because they don’t want the smell of the devil’s lettuce on them.”

But given Trump’s recent endorsement of Amendment 3 — and Gov. Ron DeSantis’ opposition — legalization is becoming a proxy fight between MAGA-land, who generally support cannabis reform, and the traditional religious right, who certainly don’t. 

It’ll be interesting to see who carries the day, and whether it is Trump’s or DeSantis’ voice that will resonate with Florida voters. 

Eaze’s union fight 👀

Supervisors at the California cannabis firm Eaze say they’re getting paid less than the workers they oversee — because they aren’t able to unionize, reports The Guardian. Six hundred delivery drivers with Eaze voted to join the United Food and Commercial Workers Union last year after threatening a strike. 

Illinois says weed isn’t probable cause 🌿

The Illinois Supreme Court ruled on Thursday that the aroma of cannabis isn’t probable cause to search a vehicle, reports The Illinois News Joint. That decision stems from two consolidated cases: People v. Redmond and People v. Molina. 

Aligning hemp and weed ⚖️

A new report from the Reason Foundation, a libertarian think tank, shows why the piecemeal approach to intoxicating hemp regulations leaves consumers at risk. The report recommends harmonizing packaging, labeling, and testing standards for products that contain THC across both hemp and cannabis. Read it here. 

The Bright Green Corporation, a medical cannabis firm, said today that it has been suspended from trading on the Nasdaq. The company’s board will meet on November 15 to discuss a potential reverse stock-split and other moves to shore up the company’s financial position.

Medical cannabis use and brains 🧠

A new study on patients who used medical cannabis for one year found that there was no significant effect on working memory, reward, inhibitory control, and other areas of cognition associated with cannabis use. Previous studies have indicated impacts, though the authors note that this research was conducted on adolescents who used cannabis heavily, rather than adults. The study was published in JAMA.

Gov. Ron DeSantis might be vociferously opposed to legalizing cannabis in Florida. But in a roundabout way, his argument against the Trulieve-sponsored Amendment 3 is a pretty good case for legalizing growing at home in the Sunshine State.

Speaking of Florida, this chart from MJBizDaily shows the top 10 companies in Florida’s medical market in 2022 (the latest we have available). 

Despite DeSantis’ insistence that it is a “monopoly” bill for Trulieve, the company owns about one-quarter of the state’s medical cannabis dispensaries.

For a better justice system, Florida should legalize recreational marijuana. Here’s why. | Tampa Bay Times