A bipartisan group of U.S. House lawmakers has reintroduced legislation that would allow banks, credit unions and other financial institutions to provide services to state-legal marijuana businesses without fear of federal punishment.
The Secure and Fair Enforcement Banking Act of 2026, commonly known as the SAFE Banking Act, was filed by Representatives Dave Joyce (R-OH), Jim Himes (D-CT), Warren Davidson (R-OH), Nydia Velázquez (D-NY), Brian Mast (R-FL), Lou Correa (D-CA), Guy Reschenthaler (R-PA) and Dina Titus (D-NV). The proposal was filed the same day as a Senate companion bill was filed by Senator Jeff Merkley (D-OR) and is cosponsored by Senators Lisa Murkowski (R-AK), Steve Daines (R-MT) and Elizabeth Warren (D-MA).
The measure is designed to address a long-running issue facing the marijuana industry: Many cannabis businesses remain unable to access traditional banking services because marijuana remains federally illegal. As a result, businesses operating legally under state law are often forced to rely heavily on cash, raising concerns over public safety, transparency and business growth.
“State-licensed cannabis businesses employ thousands of Americans and generate significant tax revenue, yet many remain effectively shut out of the traditional banking system,” said Joyce, co-chair of the Congressional Cannabis Caucus. Joyce said forcing businesses to operate largely in cash “opens the doors for illegal activity like money laundering and organized crime.”
Himes said the legislation would end what he called an “unfair prohibition” on state-legal marijuana businesses using basic financial services, arguing that cash-only operations put businesses, employees and customers at unnecessary risk.
Under the bill, federal banking regulators would be barred from prohibiting or discouraging financial institutions from serving state-legal marijuana businesses. Regulators also could not terminate or limit a bank’s federal deposit insurance primarily because it works with a legal cannabis business, pressure a bank to downgrade or end services to the industry, or take certain adverse actions on loans connected to a marijuana business.
The legislation would also provide protections against criminal prosecution and asset forfeiture for financial institutions and others that serve state-legal cannabis businesses. Those protections would extend to Community Development Financial Institutions and Minority Depository Institutions.
Supporters say the bill would not legalize marijuana federally, but would instead create a safe harbor for banks and other financial service providers working with businesses that comply with state cannabis laws.
The American Bankers Association praised the bill’s reintroduction, with President and CEO Rob Nichols saying the conflict between state and federal marijuana laws has left many legal businesses operating in cash, creating “significant public safety risks.”
The SAFE Banking Act has previously passed the House seven times with bipartisan support, but has yet to be enacted into law.
The House filing comes as lawmakers in both chambers continue to pursue marijuana banking reform amid broader federal cannabis policy debates.
