WHY DO LEGALIZERS KEEP BLOCKING POT BANKING?

• Author: Sullum, Jacob
• Position: DRUGS

SENATE MAJORITY LEADER Chuck Schumer claims to favor repealing the federal ban on marijuana. The New York Democrat nevertheless helped sink legislation that would have removed federal obstacles to banking services for state-licensed marijuana businesses.

Even stranger, the Drug Policy Alliance (DPA), which has long supported marijuana legalization, joined Schumer in demanding that the Secure and Fair Enforcement (SAFE) Banking Act be excised from the National Defense Authorization Act for fiscal year 2022, which President Joe Biden signed into law on December 27. "We have less than 72 hours to keep the SAFE Banking Act OUT of this omnibus bill," Maritza Perez, the DPA's director of national affairs, warned in a December 3 "urgent action" alert, "and the only way to stop it is if advocates like you speak up right away."

Schumer insisted that a legalization bill he planned to introduce in April take precedence over piecemeal reforms. The DPA likewise worried that passing the SAFE Banking Act would relieve pressure for broader changes. "Don't Let Congress Prioritize Marijuana Profits Over People," it said.

The SAFE Banking Act, which Rep. Ed Perlmutter (D-Colo.) reintroduced in March 2021, would protect financial institutions that serve "cannabis-related legitimate businesses" from criminal prosecution, regulatory penalties, and civil forfeiture. It passed the House in April 2021 by a 3-to-l margin with support from 106 Republicans. An amendment adding it to the must-pass defense bill was approved by a voice vote in September. But Schumer...