A Different Kind Of Season: Gearing Up For Appropriations
by Morgan Fox, NCIA’s Director of Media Relations
It’s that time again on Capitol Hill: appropriations season, when Congress determines how to spend – or not spend – your tax dollars for the next year. As you can imagine, this year will be unlike any in recent memory as a cash-strapped nation struggles with how to weather the economic storm caused by the pandemic while finding the funds to support important government functions and programs. Appropriations are also a time when our champions in the legislature are once again introducing sensible cannabis policy reforms through an avenue that historically has been effective. Many of these reforms would actually save taxpayers money!
What’s in:
For the second year in a row, language that prevents the Department of Justice from using resources to target state-legal medical cannabis programs was included in the original language of the commerce, justice and science funding bill. If approved or continued, this would be the sixth year that Congress has told federal law enforcement to leave medical cannabis patients and providers alone.
Language that would prevent the Department of Treasury from using resources to penalize banks and other financial institutions for working with legal cannabis businesses was included in the financial services and general government funding bill. While not as comprehensive as the SAFE Banking Act, which was approved by the House last year and included in its most recent coronavirus relief bill, this provision would give financial services providers more assurances needed to encourage working with the cannabis industry and would help improve public health and safety.
A measure that would protect public colleges and universities from being denied federal funds due to conducting research on cannabis was included in the bill funding agencies related to education, labor, health, and human services. Many institutions have cited the potential loss of funding as a major discouragement to research. This also makes it easier for universities to study cannabis products available in regulated state markets. An additional provision to this bill also prevents federally funded schools from engaging in any advocacy in support of making any Schedule I substances legal.
Additional funding would be made available through the agriculture and FDA appropriations legislation for research, regulation, and consumer protection related to hemp, CBD, and other cannabis components.
Language that asks the Office of Personnel Management to reconsider allowing federal employees to legally consume cannabis in accordance with applicable state laws without fear of retribution was added to the financial services and general government funding bill. While this is non-binding, it would hopefully encourage the federal government to review its employment practices and not punish law-abiding employees who choose to use cannabis outside of work.
What’s not:
A provision that has prevented the District of Columbia from regulating cannabis after voters there approved a ballot initiative making adult use legal in 2014 was left out of the new spending package. So long as it is not added again in either the House or Senate, the nation’s capital will finally be able to fully carry out the intent of the voters more than half a decade after residents decided this issue. Currently, adult possession and limited home cultivation are permitted in the District, but non-medical sales are not.
What could be added:
While the spending bill that funds the Department of Veterans Affairs did not originally contain any cannabis-related provisions, supporters are leaving open the possibility that language which would allow doctors in the VA system to recommend medical cannabis to their patients in accordance with state laws to be included before the process is complete.
Reps. Earl Blumenauer (D-OR) and Tom McClintock (R-CA), joined by Delegate Eleanor Holmes Norton (D-DC), are considering the introduction of a rider which would prevent the Department of Justice from interfering in any state cannabis program, extending the previously-approved protections for medical cannabis programs to regulated adult-use systems that exist in 10 states and counting. This legislation was approved in last year’s House spending bills but was not included in the final legislation.
It is difficult to tell what will happen with the various appropriations bills this session. There is still time for members of the House to amend funding legislation. While the House is moving forward with these bills, the Senate has yet to introduce any of their own. However, the upper chamber is in the process of considering a new coronavirus relief package. NCIA has been working with that chamber to have cannabis banking reform language included in that bill as it was in the last relief bill approved by the House, but it is by no means certain at this point. It is also possible that Congress won’t reach an agreement on the new spending bills and will simply decide to continue with the prior year’s budget outlays, which would at least continue medical cannabis protections for another year.
Stay tuned for more updates and be sure to join us next Wednesday, July 29, for an exclusive members-only fireside chat with NCIA’s dedicated government relations team!
The Importance of PACs and Political Involvement
by Madeline Grant, NCIA’s Government Relations Manager
Like the Olympics, we only have a presidential election every four years. Usually, this means more voters are engaged and paying attention to the political process than normal. It’s more important now than ever for voters to get involved, and there are many ways to do just that. Some people campaign by making phone calls and knocking doors to get out the vote, others simply vote on election day. Some choose to make financial contributions to candidates or issues-based PACs (political action committees) that they care about.
As a trade association, NCIA has a PAC (the NCIA-PAC) that collects and contributes funds to candidates that support cannabis reform on Capitol Hill. In recent years, you may have heard that PACs are considered “special interest” or part of the “D.C. swamp.” Some candidates go so far as to not accept contributions from PACs to their campaigns. However, many small PACs, like the NCIA-PAC, are misrepresented by these characterizations and are fully funded by the hard-working members of their associations. The NCIA-PAC gives our cannabis professionals a united voice in the political process. Keep reading below to learn more about NCIA’s PAC and how you can get involved.
There is a common misconception that political contributions buy votes, however, the reality is that political contributions gain access. Of course, a politician’s goal is to get elected or re-elected and campaign contributions are a vital component of that goal. The NCIA-PAC helps support our champions and politicians that will fight for us on Capitol Hill so that they can continue fighting for our industry in D.C.
Another common misconception people have is that a one-time contribution will get you a friend for life, but unfortunately, that is not always the case. As long as a member stays in office, they will continue to ask for financial support. Think of it like this: supporting the NCIA-PAC lets us support elected officials who support the cannabis industry, and it’s imperative that they continue to be re-elected! Even the smallest donations make an impact.
At this point, you may be asking yourself: why should I support the NCIA-PAC? Well, your dollars support candidates who understand the cannabis industry’s concerns and who focus their attention on issues important to NCIA. A donation also affords you opportunities to collaborate with other concerned and politically active members to ensure our industry’s involvement in the legislative process and provides engagement, support, and information that is helpful to you, our cause, and your business.
NCIA’s government relations team works year-round to build relationships on Capitol Hill and represent the cannabis industry. As a team, we reiterate the importance of access to banking, fixing the 280E tax provision, the necessity of descheduling cannabis, and ensuring that our industry is diverse and equitable, among other issues. Our efforts here in D.C. make an impact, but members of Congress and their staff also need to hear from you. So, we hope you will consider joining us and NCIA’s PAC Leadership Circle at our 2nd Annual VIP Day in Washington D.C., on May 19.
Through a donation of $1,000 dollars or more, you will participate in an exclusive day including briefings, a luncheon and meetings with members of Congress, meetings with committees of jurisdiction, complimentary entry to the NCIA-PAC Fundraiser, and networking with NCIA’s most politically active members. Additionally, you will receive even more benefits all throughout the year, such as complimentary registration for our annual conferences, prominent listing and link to your company website featured on NCIA’s PAC page, customized branding opportunities at NCIA’s Cannabis Business Summit & Expo, and much more. If you are interested in attending VIP Day or hearing more about the NCIA-PAC, please fill out an interest form here or contact Maddy Grant at Madeline@TheCannabisIndustry.org.
Picking Up Speed In The 116th Congress – An Overview Of Our Progress
by Madeline Grant, NCIA’s Government Relations Manager
We’ve seen an extraordinary amount of momentum sweep through Capitol Hill so far this Congress. The U.S. House of Representatives passed the Secure and Fair Enforcement (SAFE) Banking Act of 2019 and the Judiciary Committee marked up the Marijuana Opportunity Reinvestment and Expungement (MORE) Act of 2019. On top of these significant policy gains and historic achievements, we’ve seen an increase in cannabis-related bills, committee hearings, amendments, and markups.
With strong Democratic leadership on the House side, the question of legalizing cannabis has even been put on the table. Conversations are happening in hearings and markups that will help educate lawmakers. For example, as cannabis remains a Schedule I substance, significant federal research is still unattainable. These are the important conversations we are having with lawmakers. The SAFE Banking Act passed with overwhelmingly bipartisan support, with a vote of 321-103. This bill has been supported by the American Bankers Association, the Governors Association, the National Association of Attorneys General, and the credit unions across the country. The McClintock-Blumenauer-Norton amendment, which would prohibit the Department of Justice from interfering with state cannabis programs, passed the House with a vote of 267-165. This historic vote shows just how far we have come and with continued momentum where we can go.
Now, we need your help. It is more important than ever that Congress hears from their constituents. Your stories and experiences are what resonates the most with Hill offices. Now that the SAFE Banking Act passed the house, we need to turn our attention to the Senate.
Please call your U.S. Senators and urge them to support S.1200, the SAFE Banking Act, which prevents federal banking regulators from punishing banks for working with cannabis-related businesses that are obeying state laws or halting their services, taking action on loans made to those businesses, or limiting depository institution’s access to the Deposit Insurance Fund. As you call your Senators, be sure to explain the frustration you have had with a lack of access to banking. Personal stories resonate with our Congressional offices, so take a few minutes to make these important calls.
To find your Senators, click this link and simply enter your address. The office phone number will pop up next to their photos.
Please join us May 19-21, 2020 for our 10th Annual Cannabis Industry Lobby Days in Washington, D.C. Not only will you meet with congressional offices to discuss priority cannabis legislation, but you’ll get to know other NCIA members from around the country. For more information about Lobby Days, contact Maddy Grant and madeline@thecannabisindustry.org.
NCIA-PAC: Elect And Keep Our Champions On Capitol Hill
by Maddy Grant, NCIA Government Relations Manager
How does NCIA keep the momentum going on Capitol Hill? In the 116th Congress we’ve seen progress and support on cannabis issues unlike any Congress before – this is a historic time for cannabis reform!
The Secure and Fair Enforcement (SAFE) Banking Act of 2019, which is now up to 206 cosponsors in the U.S. House of Representatives, up from 95 cosponsors in the 115th Congress, is expected to have a House vote at some point in in July.
The McClintock-Blumenauer-Norton amendment, which would protect ALL cannabis businesses from federal interference, passed the House with a vote of 267-165.
Our very own NCIA member, Dana Chaves, testified in front of the Small Business House Committee and expressed the urgency for our cannabis businesses to get access to financial institutions. These are just a few of the monumental successes we have reached this year – and it’s only June. We see the momentum growing and we need to keep the pressure on.
So what does this have to do with the NCIA-PAC?
Through our NCIA-PAC we are able to fiscally aid supporters of the cannabis industry, not only elected officials, but people running for congressional office. For example, leading up to the midterm election, the NCIA Government Relations team made sure we supported close races where cannabis-friendly candidates were running against cannabis opponents. One race I distinctly recall, Nevada’s third congressional district. Susie Lee, who is a supporter of cannabis, was running against incumbent Congressman Danny Tarkanian, an opponent of cannabis. Michael Correia, NCIA’s Director of Government Relations, and I met with Susie Lee in Las Vegas and we began to discuss how close her race had come and how every single PAC dollar would help her win. At that point, we contributed $1,000 of NCIA-PAC dollars to Susie Lee’s campaign and she beat incumbent Danny Tarkarnian. This is just one race where our contributions made a difference.
Congresswoman Susie Lee from Nevada has been a supporter of cannabis issues and with NCIA-PAC dollars she can continue to represent our industry on Capitol Hill.
This wasn’t the only race that was close in 2016. The NCIA-PAC supported and helped elect 45 cannabis champions to Congress, including 15 Democratic challengers who successfully unseated incumbents who opposed reforming our outdated federal marijuana laws. Many of these races were won on razor-thin margins, which proves how far this support goes to enact change on the Hill. The NCIA-PAC aided to grow our support on Capitol Hill while establishing good relationships and educating Members of Congress.
Freshman member, Congressman Gil Cisenors, has been supportive of cannabis issues on Capitol Hill.
Government Relations Director, Michael Correia, attending Congresswoman Dina Titus fundraiser. Thanks to NCIA-PAC dollars we could attend and thank the Congresswoman for all of her work.
At the 9th Annual Cannabis Industry Lobby Days in May, we had 21 Members of Congress attend our PAC fundraiser. Congressional members showed up and spoke to NCIA members about cannabis issues on Capitol Hill and how supporting their races are crucial to allow them to continue to fight for our issues. Over and over we heard from these members about the importance of getting the right people in office that will fight for what their constituents care about. The NCIA-PAC helps us do just this, and every single dollar helps. It is time to end marijuana prohibition and to hold our congressional leaders accountable to represent the will of their constituents. Help us keep our champions on Capitol Hill and continue to add more! Whether it’s $5 or $5,000, every single dollar counts.
VIDEO: June Policy Update With Aaron Smith, NCIA’s Executive Director
There’s been so much progress on cannabis industry issues so far this year. Hear more about the forward movement and victories we’ve seen in Congress on issues like the SAFE Banking Act, which has passed through the House of Representatives and is now in the Senate, and the House also voted to include protections for adult-use cannabis businesses in legal states through the Department of Justice budget vote process. Plus, Illinois becomes the 11th state to enact adult-use cannabis laws. NCIA’s Co-Founder and Executive Director Aaron Smith joins us to review this positive momentum.
Cannabis Victories: Small Business Committee Hearing and Appropriations Progress
by Michelle Rutter, NCIA’s Government Relations Manager
Last week was arguably the biggest week for cannabis reform in Washington, D.C. — ever.
As we noted last week, the House Committee on Small Business held a hearing entitled “Unlocked Potential? Small Businesses in the Cannabis Industry.” The hearing allowed members of the Committee to learn about the opportunities the legitimate cannabis industry presents for small businesses in states with legal cannabis, as well as entrepreneurs from traditionally underserved communities. The hearing also discussed the challenges also faced by “ancillary” or “indirect” cannabis businesses.
The Chairwoman of NCIA’s Banking Access Committee, Dana Chaves, testified, as well as representatives from the Minority Cannabis Business Association (MCBA), the Veterans Cannabis Coalition (VCC), and The Heritage Foundation. In the testimony NCIA submitted for the record, we wrote, “[SBA] programs were specifically designed to stimulate economic activity and create jobs through small-business enterprises. Offering funding to the emerging regulated cannabis industry, which is mostly comprised of small businesses, would perfectly align with SBA’s primary objective to maintain and strengthen the Nation’s economy.” You can read NCIA’s full testimony here.
In addition to the hearing, there was a resounding, victorious Floor vote that put every single member of the House of Representatives on the record when it comes to cannabis.
Known as the Blumenauer-McClintock-Norton amendment, this provision that was added to the Commerce, Justice, Science, and Related Agencies (CJS) Appropriations Act of 2020, passed by a vote of 267-165 and would prevent any federal funds from being used to target state-legal cannabis programs. The vote was decisive: it had support from all but eight Democrats, and picked up 41 ‘Ayes’ from Republicans.
It is unclear whether or not the amendment will be included in Senate appropriations language, however, it will be an uphill battle. But, having the House of Representatives clearly say that adult-use cannabis programs, businesses, and consumers shouldn’t fear the Department of Justice kicking their doors down cannot be underestimated.
So, thank you to the nearly 2,000 NCIA members who made this victory possible by investing in our unparalleled lobbying team in Washington, D.C. Legislation like this doesn’t pass by itself — it’s a direct result of the forward-thinking members who support our work in D.C. We look forward to celebrating many more victories with you!
We Made History: U.S. House votes to protect cannabis businesses!
Today, the House of Representatives voted in favor of an amendment to the Commerce, Justice, State (CJS) Appropriations Bill that prevents federal interference in state cannabis programs. The NCIA team is beyond excited that we’ve made this incredible progress to protect all state-legal cannabis businesses, including adult-use operators.
This was an historic vote, and is the farthest reaching action Congress has ever taken to reform outdated federal marijuana prohibition policies.
Protections for state medical cannabis programs have been included in the federal budget since 2014. The amendment passed today — introduced by Rep. Earl Blumenauer (D-OR), Rep. Tom McClintock (R-CA), and Del. Eleanor Holmes Norton (D-DC) — would, for the first time, extend those protections to states and territories where cannabis is legal for adults. An additional amendment offered by Rep. Blumenauer that was also attached to the bill would also prevent federal interference in tribal cannabis laws.
I’d be remiss if I didn’t take this opportunity to express gratitude for the nearly 2,000 NCIA members who made this victory possible by investing in our unparalleled lobbying team in Washington, D.C. Legislation like this doesn’t pass by itself — it’s a direct result of the forward-thinking members who support our work in D.C..
If your business is not yet a member of NCIA, please join today in order to ensure we have the resources we need to build upon this momentum and finally enact federal legislation that will allow your business and our industry reach its full potential. NCIA is the only organization with three full-time lobbyists in Washington, D.C. in addition to a well-connected professional advocacy firm. Michael, Michelle, and Maddy have been working the halls of Congress, fighting for state-legal cannabis businesses since long before it was vogue. We could not be more proud of our lobbying team, and we encourage you to follow their progress on these appropriations bills, as well as their important work on the SAFE Banking Act which is also expected to receive a vote in the weeks ahead.
Please also take a few minutes to call your Senators today and ask them to support legislation that would protect state cannabis laws. There is no time to waste because the Senate will be considering appropriations bills with similar marijuana provisions over the Summer. And keep your eye on more news from NCIA’s government relations team – the only full-time government relations team fighting for the legal cannabis industry in Washington.
Action Alert: YES on Blumenauer-Norton-McClintock Amendment #17
This week, the House of Representatives will vote on protecting adult-use cannabis businesses, consumers, and state programs from the federal government and we need your help now.
The Blumenauer-Norton-McClintock amendment states that no funds from the Department of Justice may be used to prevent any adult-use cannabis states from implementing their own laws that authorize the use, distribution, possession, or cultivation of cannabis.
Today, we need you to call your Representative and tell them to VOTE YES on the Blumenauer-Norton-McClintock amendment (#17) to the Commerce, Science, and Justice appropriations bill.
Find your Representative by clicking here and check our Congressional Scorecard to see where your Representative stands on our industry’s issues!
Since 2014, members of Congress have passed annual spending bills that have included a provision protecting medical cannabis businesses, patients, and programs from undue prosecution by the Department of Justice.
The bipartisan Blumenauer-McClintock amendment simply removes the word “medical” from that provision in order to protect those 11 states that have legalized adult-use cannabis for adults over the age of 21.
We urge you to VOTE YES on Amendment #17 to the Commerce, Science, and Justice appropriations bill, which is the bipartisan Blumenauer-McClintock amendment.
Today, more than one in five Americans reside in a jurisdiction where the adult use of cannabis is legal under state law.
Our industry supports hundreds of thousands of jobs, tens of millions in tax revenue, and billions in economic activity – so please, call and help us protect it.
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