Lawmakers Can Save Lives by Passing the SAFE Banking Act
I knew something was wrong the moment I pulled into the parking lot to pick up my son from work. Police officers walked up to my car and told me that an armed robbery and struggle had taken place inside the Tacoma, Washington, cannabis dispensary where my son, Jordan, worked to make extra money.
One of the officers, speaking slowly, said my son was dead, which is every parent’s worst nightmare. Jordan was shot by an armed robber targeting cash. Federal law forces dispensaries in Washington State – and everywhere that cannabis is legally sold for medical and adult use – to conduct most business with cash.
The temptation to steal ready cash from a vulnerable cannabis store is the reason my wonderful 29-year-old son was tragically killed three weeks short of his 30th birthday.
Cannabis dispensaries are prime targets for violent criminals. A deadly shooting in Los Angeles County is just the latest reported incident. Robberies are commonplace everywhere the drug is legally sold. Literal caravans of armed thieves have targeted cannabis businesses – putting staff, customers and the community in harm’s way.
But it doesn’t have to be this way. If the federal government had enabled dispensaries to take cash out of the equation, I believe Jordan would still be with us today. It’s time for Congress to act.
Legislation called the SAFE Banking Act would give legal cannabis businesses like the one where Jordan worked greatly expanded access to banking and payment services that are commonplace in every other industry. Cannabis would no longer be a vulnerable, cash-based business. The U.S. House of Representatives has passed the legislation six times. It’s now the Senate’s turn.
I was heartened to hear recent comments by Sen. Cory Booker (D-NJ), a national leader on cannabis and pivotal voice on the SAFE Banking Act. Senator Booker opened the door to passing what he called SAFE Banking Plus, which would combine banking reforms for the cannabis industry with criminal justice and social equity provisions. That sounds like a good idea.
The bill wouldn’t legalize cannabis at the federal level, but it would make cannabis dispensaries safer by ending their cash-heavy predicament. The bill would require federal banking regulators to provide uniform guidelines for cannabis-related business accounts. Depository institutions would also be protected from civil and criminal sanctions for providing financial services to the nation’s growing number of legally operating cannabis businesses.
Cannabis-related businesses face many obstacles. They often are forced to sell off parts of their businesses or fall victim to predatory lenders because they cannot borrow from commercial banks. SAFE Banking would help legally operating cannabis firms across the nation raise needed capital and grow their services. Cannabis employees have problems that go beyond their personal safety. Many employees have had accounts cancelled and loans rejected because they work in the cannabis industry. The SAFE Banking Act would help correct this as well.
These problems are well known. Banking associations from all fifty states have signed a letter to U.S. Senate and House leaders stressing the SAFE Banking Act’s public safety and regulatory benefits. So too have 24 U.S. Senators. Their bipartisan letter states: “Allowing cannabis businesses operating legally and in compliance with state law to access financial services without federal reprisal would address public safety and compliance challenges, helping communities reduce cash-motivated crimes.”
I can’t bring my son Jordan back, but lawmakers in Washington, D.C., can help our local police and small businesses deter armed assailants like those who took his life. This legislation could save lives. I respectfully urge the Senate to pass the SAFE Banking Act this year.
Dennis Brown is a grieving father, veterans’ advocate and Seattle-area community leader seeking change in federal banking laws.
