GOP Warms To Cannabis Reform, Possibly Lending Key Support For Federal Legalization

Federal Cannabis reform is moving closer to reality as the Senate Banking Committee's long-awaited vote on a bipartisan marijuana banking bill becomes imminent.

Senate Banking Committee Chairman Sherrod Brown (D-Ohio) told reporters that they hope to announce something concrete in the next few days.

“I want to see a strong vote come out” of the committee, Brown said. “It helps us with momentum on the floor and the House.”

NBC cited several sources familiar with the talks who concurred that the markup process is expected to take place the week of Sept. 25. The markup process, wherein the committee debates and considers amendments, determines whether the measure will be recommended to the full Senate.

Many Republicans and Democrats on the committee have expressed support for the Secure and Fair Enforcement (SAFE) Banking Act, which has been a major policy priority for Majority Leader Chuck Schumer (D-NY), though he often acknowledged that achieving it "will not be easy" without Republican support. 

GOP Support? It's A Go

Sen. Kevin Cramer, (R-ND), one of eight Republicans who signed on as a co-sponsor, said “I feel pretty good about passing the bill.”

Sen. Steve Daines (R-MT) added to that good feeling. “We’ve got enough votes to get it passed,” and added that he's "cautiously optimistic we may have something before the end of the month.”

Other GOP colleagues joining Daines and Cramer include Sens. Dan Sullivan and Lisa Murkowski of Alaska, Bill Cassidy of Louisiana, Cynthia Lummis of Wyoming, Rand Paul of Kentucky and Susan Collins of Maine. 

Democrats, meanwhile, are hoping to add criminal justice components to the bill once it gets to the Senate floor where it would likely face opposition in the ideologically divided Congress. Nevertheless, cannabis reform advocates say it's essential to provide a space for minority and women-run businesses, as well as those affected by the war on drugs.

Cannabis Scheduling Changes

News that the Dept. of Health and Human Services will provide scheduling recommendations to ease federal restrictions on cannabis has many in the industry feeling cautiously optimistic in general. In addition to other benefits, the move would alleviate cannabis businesses from the onerous IRS Code 280E that prohibits them from taking federal tax deductions and would open cannabis research. 

No doubt cannabis banking, which profoundly affects the industry, is on everyone's mind. Join the conversation at the upcoming Benzinga Cannabis Capital Conference in Chicago on September 27 and 28. All information is available on bzcannabis.com