Great Lakes Wire

Michigan Attorney General Dana Nessel has joined a bipartisan coalition of attorneys general advocating for the passage of the SAFER Banking Act of 2025. This legislation aims to provide legal clarity for banks and financial institutions serving state-regulated cannabis businesses, enhancing public safety and improving states' ability to collect taxes and conduct regulatory oversight.

Nessel emphasized the importance of reducing crime risk and improving tax compliance through access to regulated financial services. "By reducing the risk of crime and improving tax compliance through access to regulated financial services, the SAFER Banking Act has the ability to enhance both public safety and transparency," she stated. "With billions in revenue, giving cannabis businesses a secure place to bank isn’t just smart policy – it’s common sense."

The coalition's letter points out that current federal banking restrictions force legitimate cannabis businesses into cash-only operations, creating public safety risks by making them targets for violent crime. The letter also highlights that U.S. legal cannabis retail sales reached $30.1 billion in 2024, supporting approximately 425,000 jobs nationwide.

Currently, 39 states permit medical cannabis use, while 24 states have legalized adult-use cannabis. However, many state agencies face challenges when depositing cannabis-related payments due to financial institutions' hesitance.

The SAFER Banking Act does not encourage legalization in states that have chosen otherwise nor change cannabis's federal legal status. Instead, it provides a safe harbor for depository institutions offering services to covered businesses in compliant states.

Bringing cannabis commerce into regulated banking would enable better monitoring by law enforcement and tax agencies while simplifying compliance with tax laws.

Joining Nessel are attorneys general from Maryland, Ohio, Georgia, Alaska, Arizona, California, Colorado, Connecticut, Delaware, Hawai’i, Illinois, Maine Massachusetts Minnesota Nevada New Jersey New Mexico New York Oklahoma Oregon Pennsylvania Rhode Island South Dakota Utah Vermont Washington West Virginia American Samoa Northern Mariana Islands U.S Virgin Islands District Columbia