New bill would let marijuana shops use banks

New bill would let marijuana shops use banks

Pot shops would have access to banks under new legislation in the Senate.

The Marijuana Business Access to Banking Act, introduced Thursday in the Senate, would allow marijuana companies to store their money in banks.

Dispensaries are currently blocked from the banking system. Even though a number of states have legalized the use of medical and recreational marijuana, it is still illegal under federal law.

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This pot paradox has forced many marijuana businesses to keep their cash in their stores because banks are prohibited from doing businesses with them.

The marijuana legislation would wipe away these prohibitions. The senators say this would improve safety and streamline taxes in the industry.

Sen. Jeff MerkleyJeffrey (Jeff) Alan MerkleyWashington governor to make Iowa debut Hillicon Valley: Facebook, Google struggle to block terrorist content | Cambridge Analytica declares bankruptcy in US | Company exposed phone location data | Apple starts paying back taxes to Ireland Overnight Energy: Pruitt taps man behind 'lock her up' chant for EPA office | Watchdog to review EPA email policies | Three Republicans join climate caucus MORE (D-Ore.), one of the sponsors of the bill, called the present rule an “invitation to crime.”

“Current federal laws are making marijuana businesses sitting ducks for violent crimes and perpetuating negative stereotypes,” said Sen. Ron WydenRonald (Ron) Lee WydenLobbying world Hillicon Valley: Trump claims 'no deal' to help Chinese company ZTE | Congress briefed on election cyber threats | Mueller mystery - Where's indictment for DNC hack? | Zuckerberg faces tough questions in Europe Senator presses DOD to secure agency’s publicly accessible web pages MORE (D-Ore.), another sponsor of the bill.

Sens. Cory GardnerCory Scott GardnerSenate GOP urges Trump administration to work closely with Congress on NAFTA Trump makes Manchin top target for midterms Wyden: I object to Trump’s DHS cyber nomination over demands for Stingray information MORE (R-Colo.), Michael BennetMichael Farrand BennetGOP, Dem lawmakers come together for McCain documentary Overnight Health Care — Sponsored by PCMA — Trump official won't OK lifetime limits on Medicaid Hillicon Valley: White House eliminates top cyber post | Trump order looks to bolster agency CIOs | Facebook sees spike in violent content | Senators push NIH on tech addiction | House to get election security briefing MORE (D-Colo.) and Patty MurrayPatricia (Patty) Lynn MurrayOvernight Health Care — Sponsored by PCMA — Trump official won't OK lifetime limits on Medicaid Dems warn against changes to federal family planning program Overnight Health Care: Drug company under scrutiny for Michael Cohen payments | New Ebola outbreak | FDA addresses EpiPen shortage MORE (D-Wash.) are also backing the legislation.

Marijuana groups said the bill would be a step in the right direction.

“Without banks, many of our members are forced to operate entirely in cash, which puts their employees at risk for crime,” said Aaron Smith, executive director of the National Cannabis Industry Association. “The legal marijuana industry is worth nearly $3 billion nationwide. We shouldn’t be forced to carry that around in duffel bags.”