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Lawmakers Push Congressional Leaders To Include Marijuana Businesses In Coronavirus Relief Bill

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A bipartisan group of 34 members of Congress is calling on House leadership to include language in the next coronavirus stimulus bill to allow marijuana businesses to access federal disaster relief that is available to other industries.

“The state-legal cannabis industry is a major contributor to the U.S. economy and workforce, employing over 240,000 workers across 33 states and four territories, and generating $1.9 billion in state and local taxes in 2019,” the lawmakers wrote. “State-legal cannabis businesses need access to CARES Act programs to ensure they have the financial capacity to undertake the public health and worker-focused measures experts are urging businesses to take.”

Rep. Earl Blumenauer (D-OR) led the effort to build support for the letter, which was released on Friday. A similar letter to Senate leadership, led by Sen. Jacky Rosen (D-NV), is also in the works and is expected to be released in the coming days.

As it stands, the federal Small Business Administration (SBA) maintains that cannabis companies—as well as those that “indirectly” work with the industry like accounting and law firms—are ineligible for its loan and lending programs, including those pegged to the COVID-19 pandemic.

Industry stakeholders and lawmakers have emphasized that while many cannabis shops remains open as state-designated essential services during the outbreak, the market is at economic risk as governments issue shelter-in-place orders and encourage social distancing. As a major sector of state economies that employ tens of thousands of workers, the marijuana industry needs SBA access during the crisis, they say.

“Like other businesses with continued operations, cannabis businesses have met the moment by preserving access to treatment for patients with chronic conditions, donating protective clothing, and manufacturing equipment for medical use. However, unlike other small businesses, cannabis businesses are not eligible for the CARES Act programs,” the lawmakers wrote, referring to a prior coronavirus aid package that was enacted last month.

“The COVID-19 outbreak is no time to permit federal policy to stand in the way of the reality that millions of Americans in states across the country face daily—that state-legal cannabis businesses are sources of economic growth and financial stability for thousands of workers and families, and need our support,” they said. “Given the nature of the epidemic, we must ensure that everyone has the capacity to carry out the recommended public health and worker-focused measures. Without doing that, we risk undercutting the public health efforts nationwide.”

Joining Blumenauer in leading the letter are Reps. Barbara Lee (D-CA), Don Young (R-AK) and Tom McClintock (R-CA).

House Speaker Nancy Pelosi (D-CA) wants to see separate language increasing marijuana businesses’ access to banking services included in an upcoming COVID-19 bill, Rep. Ed Perlmutter (D-CO) said last week after presenting that issue before the Democratic caucus.

“Workers at state-legal cannabis businesses are no different from workers at any other small business—they show up to work every day, perform their duties, and most importantly, work to provide for their families,” the 34 lawmakers wrote to her and Minority Leader Kevin McCarthy (R-CA) on Friday. “This lack of access will undoubtedly lead to unnecessary layoffs, reduced hours, pay cuts, and furloughs for the workers of cannabis businesses who need support the most.”

Rosen, whose pending Senate letter calling for SBA access for marijuana businesses is still being circulated for signatures, has long pushed the issue outside of the coronavirus pandemic, raising it during a committee hearing last year, for example.

The senator led a separate letter earlier this month, asking Appropriations Committee leadership to insert language extending SBA access to small marijuana businesses in upcoming annual spending legislation.

The new House letter makes clear that relief needs to come sooner, however.

“Cannabis businesses are essential to many communities around the country. We cannot be selective about which small businesses receive relief as the COVID-19 pandemic cripples our economy,” Blumenauer told Marijuana Moment. “This is yet another example of the federal government falling behind the states on cannabis. While we continue our fight to reform discriminatory, harmful, and out-of-touch cannabis policies, the fight for the state-legal cannabis industry, which employs hundreds of thousands of Americans, continues.”

In a letter to state treasurers that was delivered earlier this month, a coalition of marijuana industry associations urged the officials to pressure their congressional delegations to include SBA access for cannabis firms in future coronavirus legislation. They also want the states to explore providing separate loan and lending programs for the market.

Colorado Gov. Jared Polis (D) also recently sent a letter asking a congressman from his state to take up the issue with his colleagues and ensure SBA access for the cannabis industry.

Meanwhile, although hemp businesses are eligible for certain SBA programs since the crop was federally legalized under the 2018 Farm Bill, industry associations sent a letter to the head of the agency on Monday, urging SBA to extend access to a series of other coronavirus relief loans to farmers who cultivate hemp.

Lawmakers are also making a different kind of COVID-related cannabis push concerning veterans access to marijuana. In a letter led by Sen. Elizabeth Warren (D-MA) last week, members of the Massachusetts congressional delegation urged the head of the U.S. Department of Veterans Affairs to allow its doctors to issue verbal recommendations for medical cannabis amid the pandemic.

Read the full text of the lawmakers’ letter below:

Marijuana Businesses COVID … by Marijuana Moment on Scribd

Veterans Marijuana Research Bill Would Have Minimal Cost, Congressional Analysts Say In Seemingly Flawed Report

Image element courtesy of Tim Evanson.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.

Kyle Jaeger is Marijuana Moment's Los Angeles-based associate editor. His work has also appeared in High Times, VICE and attn.

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Minnesota Marijuana Legalization Bill Approved By Seventh House Committee

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Another day, another House committee approval of a bill to legalize marijuana in Minnesota.

On Saturday, a seventh panel cleared the proposal from House Majority Leader Ryan Winkler (D), Speaker Melissa Hortman (D) and other lawmakers since it was filed in February.

The bill would allow adults 21 and older to purchase and possess up to 1.5 ounces of cannabis and cultivate up to eight plants, four of which could be mature.

The House State Government Finance and Elections Committee is the latest panel to advance the legislation, by a vote of 7-5,—just days after the House Judiciary Finance and Civil Law Committee gave it the green light.

Winkler said before the vote that the goal of the bill is “to end the criminal prohibition of cannabis in Minnesota [and] to acknowledge that the criminal enforcement of cannabis in Minnesota is part of a broader war on drugs that has disproportionately impacted communities of color, especially black Minnesotans.”

“We seek to provide criminal justice reform and make sure that those adversely affected through the criminal sanctions of the war on drugs have an opportunity to have their records expunged,” he said, “and to have an opportunity to participate in the upside, the opportunity of a new cannabis market—to right past wrongs.”

Before this latest hearing, the House Environment and Natural Resources Finance and Policy Committee, the Agriculture Finance and Policy Committee, the Workforce and Business Development Finance and Policy Committee, the Labor, Industry, Veterans and Military Affairs Finance and Policy Committee and the Commerce Finance and Policy Committee each advanced the measure.

The next stop will be the Education Finance Committee. Winkler recently said that he expects the legislation to go through any remaining panels by the end of April, with a floor vote anticipated in May.


Marijuana Moment is already tracking more than 1,000 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

Still, even if the legislation does make it all the way through the House, it’s expected to face a significant challenge in the Republican-controlled Senate, where lawmakers have signaled that they’re more interested in revising the state’s existing medical cannabis program than enacting legalization of adult use.

After the New York legislature approved a recreational cannabis legalization bill—which the governor promptly signed into law—Winkler said that Minnesota is “falling behind a national movement towards progress.”

“MN has some of the worst criminal justice disparities in the country, and legalizing cannabis & expunging convictions is a first step towards fixing that,” he tweeted.

The majority leader’s bill as introduced was identical to a proposal he filed last year, with some minor technical changes. Winkler, who led a statewide listening to gather public input ahead of the measure’s introduction, called it the “best legalization bill in the country” at the time. It did not advance in that session, however.

Under the legislation, social equity would be prioritized, in part by ensuring diverse licensing and preventing the market from being monopolized by corporate players. Prior marijuana records would also be automatically expunged.

On-site consumption and cannabis delivery services would be permitted under the bill. And unlike in many legal states, local municipalities would be banned from prohibiting marijuana businesses from operating in their areas.

Retail cannabis sales would be taxed at 10 percent. Part of that revenue would fund a grant program designed to promote economic development and community stability.

The bill calls for the establishment of a seven-person Cannabis Management Board, which would be responsible for regulating the market and issuing cannabis business licenses. It was amended in committee month to add members to that board who have a social justice background.

People living in low-income neighborhoods and military veterans who lost honorable status due to a cannabis-related offense would be considered social equity applicants eligible for priority licensing.

Cannabis retails sales would launch on December 31, 2022.

Gov. Tim Walz (D) is also in favor of ending marijuana prohibition, and in January he called on lawmakers to pursue the reform as a means to boost the economy and promote racial justice. He did not include a request to legalize through his budget proposal, however.

Walz did say in 2019 that he was directing state agencies to prepare to implement reform in anticipation of legalization passing.

Winkler, meanwhile, said in December that if Senate Republicans don’t go along with the policy change legislatively, he said he hopes they will at least let voters decide on cannabis as a 2022 ballot measure.

Heading into the 2020 election, Democrats believed they had a shot of taking control of the Senate, but that didn’t happen.

The result appears to be partly due to the fact that candidates from marijuana-focused parties in the state earned a sizable share of votes that may have otherwise gone to Democrats, perhaps inadvertently hurting the chances of reform passing.

In December, the Minnesota House Select Committee On Racial Justice adopted a report that broadly details race-based disparities in criminal enforcement and recommends a series of policy changes, including marijuana decriminalization and expungements.

Marijuana Banking Bill Will Get A House Floor Vote Next Week, Majority Leader Confirms

Photo courtesy of WeedPornDaily.

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.
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Marijuana Banking Bill Will Get A House Floor Vote Next Week, Majority Leader Confirms

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A bipartisan bill to protect banks that service state-legal marijuana businesses from being penalized by federal regulators has been formally scheduled to receive a House floor vote on Monday, a calendar released by Majority Leader Steny Hoyer’s (D-MD) office confirms.

Marijuana Moment reported on the expected development earlier Friday after obtaining an email that was sent to stakeholders by a staffer for Rep. Ed Perlmutter (D-CO), the bill’s sponsor, seeking letters of support for the Secure and Fair Enforcement (SAFE) Banking Act ahead of the anticipated vote.

The bill is now now officially listed on the majority leader’s agenda of legislation for Monday.

This will mark the first floor action on a cannabis reform bill this Congress. The standalone legislation cleared the House with bipartisan support in 2019, and its language was also included in two coronavirus relief packages that the chamber approved. The proposal did not advance in any form in the Senate under GOP control, however.

With Democrats now in control of the House, Senate and White House, industry stakeholders are optimistic that the legislation stands a solid chance of becoming law this year.

The SAFE Banking Act was reintroduced in the House last month, and it currently has 168 cosponsors—more than one-third of the chamber. Days later, it was refiled in the Senate, where Sens. Jeff Merkley (D-OR) and Steve Daines (R-MT) are the chief sponsors.


Marijuana Moment is already tracking more than 1,000 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

The legislation would ensure that financial institutions could take on cannabis business clients without facing federal penalties. Fear of sanctions has kept many banks and credit unions from working with the industry, forcing marijuana firms to operate on a cash basis that makes them targets of crime and creates complications for financial regulators.

Because the bill will be taken up under the process known as suspension of the rules, it will need a two-thirds supermajority to pass—an achievable threshold given the level of support it got during the earlier 2019 vote. No floor amendments will be allowed under the procedure.

Rep. Matt Gaetz (R-FL) said in a tweet on Friday that he’ll “be voting for the SAFE Banking Act in the House” and that it’s “absurd that Marijuana business cannot fully access the US financial system.” He did not comment on the timing of a vote, however.

After it passed the House last Congress, advocates and stakeholders closely watched for any action to come out of the Senate Banking Committee, where it was referred after being transmitted to the chamber. But then-Chairman Mike Crapo (R-ID) did not hold a hearing on the proposal, despite talk of negotiations taking place regarding certain provisions.

Crapo said he opposed the reform proposal, but he signaled that he might be more amenable if it included certain provisions viewed as untenable to the industry, including a 2 percent THC potency limit on products in order for cannabis businesses to qualify to access financial services as well as blocking banking services for operators that sell high-potency vaping devices or edibles that could appeal to children.

Sen. Sherrod Brown (D-OH), who took the top seat in that panel after Democrats secured a majority in the Senate, told reporters in February that he’s “willing” to move the cannabis banking bill, “but with it needs to come sentencing reform.”

The current Senate version of the SAFE Banking Act has 32 cosponsors.

When legislative leaders announced that the SAFE Banking Act was getting a House vote in 2019,  there was pushback from some advocates who felt that Congress should have prioritized comprehensive reform to legalize marijuana and promote social equity, rather than start with a measure viewed as primarily friendly to industry interests.

Rep. Earl Blumenauer (D-OR), co-chair of the Congressional Cannabis Caucus and an original cosponsor of the bill, said last month that the plan is to pass the banking reform first this session because it “is a public safety crisis now,” and it’s “distinct—as we’ve heard from some of my colleagues—distinct from how they feel about comprehensive reform.”

Meanwhile, congressional lawmakers are simultaneously preparing to introduce legislation to end federal cannabis prohibition.

Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ) are in the process of crafting a legalization bill, and they’ve already met with advocates to get feedback on how best to approach the policy change.

Schumer said this week that the legislation will be introduced and placed on the floor “soon.”

On the House side, Judiciary Chairman Jerrold Nadler (D-NY) said recently that he plans to reintroduced his legalization bill, the Marijuana Opportunity, Reinvestment and Expungement (MORE) Act, which cleared the chamber last year but did not advance in the Senate under GOP control.

Biden’s Already On Board With Federal Marijuana Legalization Even If He Doesn’t Use That Word, Booker Says

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Washington Senate Replaces Drug Decriminalization Bill With Revised Measure To Reinstate Penalties

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A bill that would have formally decriminalized drugs in Washington State was gutted on the Senate floor on Thursday, with lawmakers approving a dramatically revised version that instead reinstates criminal penalties following a state Supreme Court ruling that overturned prohibition.

The action sets up a possible showdown with more progressive Democrats in the House of Representatives who have said they won’t vote for legislation that returns to a criminal war on drugs.

Washington has been without a law against drug possession since a divided state Supreme Court abruptly struck it down February, after ruling that a narrow portion of the decades-old law was unconstitutional. Lawmakers have since scrambled to address the decision—which has halted drug arrests and prosecutions across the state and freed dozens of people incarcerated on drug possession charges—before the legislative session ends on April 25.

On the Senate floor on Thursday evening, a bill that originally would have left drug possession decriminalized was amended to instead make possession a gross misdemeanor, a crime punishable by up to a year in jail and a $5,000 fine—a change that led its lead sponsor to vote against the measure.

Prior to the court decision, drug possession was classified as a felony.

Senators passed the amended version of the bill, SB 5476, on a 28–20–1 vote. It next proceeds to the House, where it’s scheduled for an initial hearing in the Appropriations Committee on Monday, with possible committee action slated for Wednesday, April 21.

Watch the senators discuss the drug penalties legislation, around 1:01:33 into the video below: 

As amended, the Senate-passed bill represents a moderate reform to Washington’s now-invalidated felony law against possession. It requires the prosecutors divert people for first- and second-time possession charges to evaluation and treatment programs, and allows for the possibility of further diversions with a prosecutor’s approval.

“I think that this striking amendment will help move us forward as we continue negotiations in these final 10 days with the body across the way toward having a response that will provide services and treatment and help for people who are struggling with substance use disorder,” Sen. Jamie Pedersen (D), who brought the amendment, said on the Senate floor.

The bill in its original form represented a more significant shift away from the drug war. It would have imposed no penalties for possession of small, “personal use” amounts of drugs, instead routing people to evaluation and treatment services for substance use disorder.

Some senators who initially supported SB 5476 ultimately changed their vote after the misdemeanor amendment was adopted. The bill’s original sponsor, Sen. Manka Dhingra (D) said she could no longer support the proposal.

“The way we are doing this, I’m glad there’ll be opportunities for diversion, but it needs to be not through the criminal justice system,” Dhingra said during floor debate. “I understand this is my bill, I understand my name is on there, but I will be voting no on this today.”

Many senators who weighed in on the bill Thursday said it was important that the legislature pass something before the session end, given the sweeping impact of February’s state Supreme Court decision, State v. Blake. In a statement issued after the floor vote, Senate Majority Leader Andy Billig (D) said that not passing a state law on drug possession “means a patchwork of local ordinances that will be confusing to Washingtonians and won’t provide equal justice across the state.”

Generally speaking, state drug laws are understood to preempt those of Washington’s cities and counties. With the state law against possession gone, localities could establish their own laws and penalties, and some have already begun doing so.

“The bill we passed today is not the final word on the subject,” Billig said in a statement. “It is a compromise that keeps this important legislation moving so that we can do our duty as the representatives of the people of our whole state.”

Representatives in the House, however, have indicated more openness to leaving drug possession decriminalized this session. On Thursday, lawmakers in favor of broader drug reform introduced a new bill, HB 1578, which would expand treatment and recovery services and reclassify low-level possession as a civil infraction, punishable by a fine of up to $125 and no possibility of jail time.


Marijuana Moment is already tracking more than 1,000 cannabis, psychedelics and drug policy bills in state legislatures and Congress this year. Patreon supporters pledging at least $25/month get access to our interactive maps, charts and hearing calendar so they don’t miss any developments.

Learn more about our marijuana bill tracker and become a supporter on Patreon to get access.

Of all the measures currently in play this session, the new bill is the one that most closely resembles neighboring Oregon’s drug decriminalization measure passed by voters in November. But its path forward is uncertain: HB 1578 would need to pass both chambers of the legislature in less than two weeks.

Likewise, it remains unclear how the House will receive the Senate-passed bill, SB 5476, in its new form. More progressive members of the Democratic caucus have said they won’t vote for legislation that reimposes criminal penalties for simple possession, but it’s not certain they’ll be able to muster enough support to pass a decriminalization measure.

If House lawmakers were to amend the Senate bill before passing it, the legislation would need to go to a conference committee, where members of both chambers would iron out differences in the two versions of the bills.

Earlier this year, before the Supreme Court’s decision, a House committee passed a separate bill, HB 1499, that would have ended criminal penalties for personal use amounts of drugs and instead routed people to evaluation and treatment. It would have also significantly expanded the state’s outreach and recovery programs for people with drug use disorders. That measure failed to proceed further after missing a legislative deadline last month.

HB 1499, for its part, stemmed from an effort to put a drug decriminalization initiative on Washington’s ballot last year. Supporters pivoted to a push through the legislature after pressing pause on their signature-gathering campaign after COVID-19 first broke out in the Seattle area early last year.

Advocates for reform have noted that the state’s criminal enforcement of drug possession laws has had a strong bias against people of color, particularly the state’s Black, brown and Indigenous communities.

In her comments on the Senate floor, Dhingra echoed that point, arguing that the Blake decision presents a chance for lawmakers to finally begin to address those racial disparities.

“I will say that the Supreme Court did provide us with an opportunity,” she said, “an opportunity to really think about what we as a state and as a nation have been doing in regards to the war on drugs, and to really think critically of the impact that this has had very, very specifically on Brown and Black families.”

“The racial impact of our drug laws cannot be understated,” Dhingra continued. “When we take a look at mass incarceration, when we take a look at families with a single mom who is bringing up her children, when we take a look at parents who cannot find a job because of their criminal history, cannot find housing, cannot seek recovery, it comes down to the manner in which we have been enforcing our drug laws.”

Rep. Roger Goodman (D), the lead sponsor of the new House measure, HB 1578, which would make possession a civil infraction, didn’t immediately respond to a request for comment on Thursday evening. In an interview with Marijuana Moment last month, however, he called the Blake decision “both a blessing and a curse.”

“It’s an opportunity for us to come up with a more effective approach that does less harm,” he said, “but we don’t have the opportunity to be deliberate and inclusive in conversations with interested parties, so it’s not as well thought-out a proposal as it would be otherwise. It has to be an interim measure.”

Just five years ago, few state legislatures would have dreamed of letting drugs remain decriminalized after a court decision like Blake. Now attitudes are beginning to shift.

“There’s this phenomenon called discontinuous change,” Goodman told Marijuana Moment, “where nothing happens and nothing happens and nothing happens, and then the Berlin Wall falls down. We’re getting to that place in drug policy where it’s a tipping point.”

Oregon voters ended prohibition of low-level drug possession at the ballot during last November’s election, which has contributed to the national conversation.

In both Maine and Vermont, lawmakers have also recently unveiled legislation last month to decriminalize small amounts of illegal drugs. Last month, a Rhode Island Senate committee held a hearing on legislation that would end criminal penalties for possessing small amounts of drugs and replace them with a $100 fine.

In New Jersey, meanwhile, Gov. Phil Murphy (D) said last month that he’s “open-minded” on decriminalizing all drugs.

California Bill To Legalize Possession Of Psychedelics Clears Second Senate Committee

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