Republican Congressman Chuck Edwards of North Carolina has expressed strong concerns over a provision in the Fiscal Year 2025 Financial Services and General Government (FSGG) appropriations bill that would offer limited protections for banks working with state-legal marijuana businesses.
The language, secured by subcommittee chairman Rep. Dave Joyce (R-OH), aims to prevent federal regulators from penalizing financial institutions that service cannabis companies operating in compliance with state laws.
During a markup of the spending measure on Wednesday, Rep. Edwards voiced his opposition to the cannabis banking section, arguing that it is not germane to an appropriations bill and amounts to an “affirmative authorization disguised as a limitation.” He also criticized the policy substance, emphasizing that marijuana remains a Schedule I drug under federal law, despite legalization efforts by some states.
The congressman, who previously introduced legislation to cut federal funding from states and tribes that legalize marijuana, stated his belief that the drug should remain illegal due to its potential dangers and harm, particularly to younger individuals. He characterized the banking provision as a “selective” part of the standalone SAFE Banking Act and warned that it would significantly alter American business practices.
While acknowledging the determination of members supporting the provision, Rep. Edwards maintained that an appropriations bill is not the appropriate place for such a measure. He signaled his intention to propose an amendment to remove the section during the full committee or floor proceedings.
The FSGG spending legislation also notably excludes a long-standing rider that has prevented Washington, DC from using local tax dollars to legalize recreational marijuana sales. However, it does include language blocking the use of DC funds for a syringe exchange program, among other local policy interferences.
Information for this story was found via Marijuana Moment, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
