AACUL/CUNA: No reason for Congress to postpone action on cannabis banking options
WASHINGTON, DC (June 6, 2019) — The American Association of Credit Union Leagues (AACUL), which comprises state credit union associations (Leagues) across the country, joined with the Credit Union National Association (CUNA) in writing to Senate Banking Committee leadership Wednesday encouraging them to conduct hearings and discuss safe banking options for legal cannabis-based businesses.
“The lack of legal and regulatory guidance on banking for legitimate cannabis business has created a dangerous and costly environment for all involved since they now must operate on an almost all-cash basis,” the letter reads. “Not only do the employees have to transact with and transmit large amounts of cash daily, often tens of thousands of dollars at a time, but the states must also collect taxes and licensing fees in cash, which increases compliance and administrative costs for the state and the business…we urge you to move forward with hearings to explore remedies to these issues.”
The letter notes the organizations support S. 1200 – Secure And Fair Enforcement Banking Act of 2019 (SAFE Act), the banking related provisions in S.1028 – The Strengthening the Tenth Amendment Through Entrusting States (STATES Act) and would generally support other similar measures the committee may move forward with that would remedy the specific banking issues outlined in the letter.
While AACUL, CUNA, and State Leagues take no position on the legalization or decriminalization of cannabis, the organizations fully support allowing credit unions to serve those businesses in states where it is legal. “This example of 360-degree advocacy underscores the strong bond between AACUL, CUNA, and the Leagues, with credit union advocates across the country collaborating to stand up and support the credit union mission to serve the unbanked and promote community safety,” commented Brad Miller, AACUL Executive Director.
About American Association of Credit Union Leagues (AACUL)
The American Association of Credit Union Leagues (AACUL) is the national association for the state and regional credit union leagues/associations throughout the United States. AACUL’s mission is to leverage the collective power of Leagues to create advocacy wins for credit unions and build a strong network of credit union associations. We do this by providing advocacy support to yield impact, fostering collaboration and professional development for league staff, and representing the League System to the national association and other industry partners in order to protect and advance a vibrant credit union system.
