NCIA Today: Episode #4 – COVID-19 Resources, #IndustryEssentials Webinars, And More!

Welcome to NCIA Today – tune in for our latest episode!

 

Host Bethany Moore, NCIA’s Communications Manager and host of NCIA’s weekly Podcast ‘NCIA’s Cannabis Industry Voice‘ brings you an in-depth look at what is happening across the country in federal cannabis policy reform and with NCIA.

From the top, Bethany discusses the newly-launched NCIA #IndustryEssentials series. Webinars that arenʻt just about getting some big-name talking heads on a Zoom call. This new series provides insights you canʻt find anywhere else, from experts who will surprise and delight you with their in-depth knowledge on relevant industry topics.

We check in with NCIA Social Media Manager, Vince Chandler, to hear some of the recent highlights from the Internet about cannabis policy reform, cannabis & COVID-19, and more. Our resident digital expert also breaks down the ways that NCIA is looking to help our members improve their engagement and reach online.

Executive Director Aaron Smith joins Bethany on NCIA Today to discuss the unacceptable exclusion of cannabis from federal coronavirus relief efforts, especially surprising given that cannabis has been deemed essential. Join Aaron is calling Congress today and ask that they support The Emergency Cannabis Small Business Health and Safety Act.

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Meet The Team: Tahir Johnson – NCIA’s Business Development Manager

With April 2020 marking a full year that I fully transitioned to working in the cannabis industry, it’s amazing to reflect on the past twelve months and the journey that brought me here. This time last year I decided to leave my job as an investment advisor for one of the largest banks in the country to turn full-time as a patient counselor at a medical dispensary in Maryland. I had started out there part-time but after just a few months I was certain that I had found my true calling in cannabis. The more I learned about policy, the medical benefits of the plant, and the history of the war on drugs the more I knew that I wanted to make a positive impact and to help shape the future of the industry. 

My first inclination that cannabis could be a viable industry had come years earlier in 2013 when I was still a financial advisor and saw GW Pharmaceuticals, a company that produced a cannabis-derived prescription drug, issue its Initial Public Offering. I was aware that medical cannabis had been legalized in California and a handful of other states by that time but never imagined I would end up working in the space. 

In 2018 shortly after Maryland introduced its medical program, my dad was diagnosed with an inflammatory disorder, and I recalled from a research report that I did in college that chronic pain was one of the top conditions that medical cannabis was used to treat. I encouraged him to get a medical cannabis recommendation and when he expressed concern, I offered to get mine as well to support him. Through that experience, I was introduced to the legal cannabis industry and began to pursue multiple opportunities from starting ancillary businesses and entering pitch competitions to applying for a license as a social equity applicant. 

As fate would have it I also met Kaliko Castille in April last year when he was in town for MCBA’s Lobby Day. I already knew about everything NCIA does to advance and advocate for the industry and thought that a role at this organization would be a dream come true. I let him know that I had applied for my current role which was just recently posted, not knowing that as Head of Growth at the time, the position would be in his department. Thankfully, I must have made a great first impression. 

With our Cannabis Business Summit taking place just weeks after I started at NCIA in July of last year, I was able to jump in feet first. Since then I’ve had the opportunity to interact with thousands of cannabis business owners and employees from every sector of the industry learning about their goals, success stories, and the challenges that they face. I’ve had the opportunity to see our Government Relations and Policy teams in action in Washington and interact with members of Congress. Nothing was more exciting than having a front-row seat as we watched the SAFE Banking Act, the first piece of stand-alone cannabis legislation pass in the House of Representatives, and knowing that I had worked alongside the team that made it happen! 

Given my background in finance, I often think about the economic impact that COVID-19 has had not only on the U.S. economy, but the cannabis industry specifically. I am so proud to be a part of NCIA and the work that we are doing to make sure that #CannabisIsEssential; asking that congressional leadership address the exclusion of state-legal cannabis and ancillary businesses from the recently passed CARES Act and the way that we are supporting our members. In addition to our federal efforts, our new digital marketing options will help our members get exposure for their businesses during a time where social distancing has put most conferences and events on hold.

Over the past few weeks I’ve had the opportunity to speak with many of our members and I know that our industry is resilient and will rise above this crisis. I’m hoping that the pandemic is over soon enough to see everyone out at the Midwest Cannabis Business Conference on my birthday weekend, August 26-27.

 

COVID-19 Cannabis Coalition In Action: Securing Financial Relief

By Michelle Rutter Friberg, NCIA’s Deputy Director of Government Relations

In the age of COVID19, advocacy, activism, and lobbying have had to adapt and mobilize quickly, as have all professions during this difficult time. Last week, NCIA along with a group of coalition members teamed up to write and send nearly 100 letters to governors, state treasurers, and cannabis industry regulators letters asking them to help secure financial relief that cannabis businesses are being denied by the federal government amid the coronavirus outbreak.

Our coalition sent two letters: the first was delivered to state treasurers and governors and asked that they speak to their congressional delegations about including a provision in the next COVID-19 legislative relief package that would make state-legal cannabis businesses eligible for Small Business Administration (SBA) assistance. As state officials, they know that these businesses are a legitimate part of the local economy and community, creating good-paying jobs and providing what have widely been deemed essential services to citizens.

The letter also asked that these officials consider creating a state-based lending or loan guarantee program for cannabis businesses; specifically, the creation of a program to fill the gap created by cannabis business ineligibility for the SBA’s Paycheck Protection Program and Economic Injury Disaster Loans. Those programs provide short-term liquidity to businesses and workers to assist with operating expenses, healthcare costs, paid sick leave, other benefits required under federal relief packages, and to help out with ensuring business continuity in the event of an economic disaster. That letter was signed by NCIA, Cannabis Trade Federation, Global Alliance for Cannabis Commerce, Marijuana Policy Project, Minority Cannabis Business Association, and National Cannabis Roundtable.

The second letter was sent to state regulators of medical cannabis programs in eleven different states. Our coalition asked that these states:

  • Deem medical cannabis businesses essential
  • Allow home delivery with online and phone ordering
  • Allow curbside pickup from existing dispensaries, with online ordering
  • Allow doctors to issue recommendations and renewals via telemedicine
  • Temporarily eliminate or reduce caregiver application fees
  • Honor medical cannabis documentation within 90 days of expiration
  • Temporarily amend existing regulations to ensure adequate staffing

NCIA was proud to work with the same coalition aforementioned, as well as Americans for Safe Access and NORML to send those letters.

It appears that our efforts are not going unnoticed, either– we have received word from at least one state treasurer’s office that they will draft and send a letter on the subject to their congressional delegation. Other states are attempting to set up Small Business COVID-19 Relief funds. The Massachusetts Cannabis Control Commission also voted unanimously last week to send a letter to the state’s congressional delegation asking them to include the cannabis industry in future federal coronavirus aid packages. Massachusetts is notably the only state with a legal adult-use market — which reached $420 million in sales last year — to disallow those dispensaries from operating during this time. A number of dispensaries have since sued Gov. Charlie Baker (R-MA) to reopen the adult-use market.

In Colorado, Governor Jared Polis (D) wrote a letter to Congressman Jared Crow (D-CO), who sits on the House Small Business Committee. He urged the Congressman to do everything in his power to help this industry, writing, “In an ideal world, Congress would include a provision in an upcoming bill guaranteeing that all state-legal cannabis businesses, direct and indirect, will be eligible for these loans. In the alternative, I hope that you can at least work with your colleagues to ensure that Indirect Marijuana Businesses will be eligible for the loans.” Governor Polis also noted that this ineligibility “could have a devastating effect on our business community and tens of thousands of employees.” If you are a Colorado resident, we encourage you to reach out to the Governor’s office and thank them for their support.

That’s not all NCIA is working on, though — we are virtually lobbying congressional offices day and night to ensure that the next COVID-19 package includes relief for businesses involved in the cannabis industry. We are receiving positive feedback and will continue to explore any and every avenue to help our member businesses during this time. Wherever you are reading this from, I hope you, your family, and your business associates are all safe and healthy. We are still fighting for you in Washington, D.C.! 

Meet The Team: Michelle Rutter Friberg – Deputy Director of Government Relations

by Michelle Rutter Friberg, NCIA’s Deputy Director of Government Relations

I grew up in rural King George County, Virginia, where I lived until I went to college. Let me just say: if you had asked me in high school where I saw my career going, I would not have guessed the cannabis industry! But, it turns out life had other plans for me.

When I began my time at James Madison University (go Dukes!), my major was undeclared. As time went on, I decided to study Political Science with a minor in History. I learned about our government, political theory, lobbying, and focused primarily on domestic politics. Working on all those papers and assignments for class during my undergraduate studies was where my knowledge of cannabis policy began.

When I was told one day that I could choose any topic to do a research project in one of my PoliSci classes, I somehow came across cannabis. It seemed too easy to write about — you’re telling me this drug is Schedule I but has never killed anyone? But from then on, every time I got to choose a topic, it was cannabis, so I began learning more and more. By the time I graduated, I had a decent understanding of the history behind prohibition, but my mind had turned to the same question everyone I knew was having: what was I going to do now that I had graduated? At the time, the Great Recession had unemployment close to 10%, so I did what many college-aged kids do: spent a month traveling around western Europe! Side note, my favorite city that I visited on that trip was Amsterdam, but not just because of the accessibility to cannabis! 

When I came home, it was time to find a job. Eventually, I was lucky enough to be offered a job at a government affairs company in Alexandria, Virginia, where I researched state and local regulations for various clients. After a little more than a year, one of my coworkers mentioned in passing that a gentleman from the cannabis industry was coming in the next day to talk about our services. Before I could stop myself, I asked if I could sit in on the meeting. Lucky for me, they said yes, and that’s where the story of my career in cannabis began. 

The gentleman who came in was (and still is!) NCIA’s Director of Government Relations, Mike Correia. While the company I worked for pitched him on their services, all I could focus on was Mike who elaborated on the incredible work NCIA was doing, about how he was a one-man government relations team and working from home. All I heard was: this guy is going to need to hire someone, and I knew it had to be me! After talking to my boss and getting his blessing to reach out to Mike, we set up a time to grab a drink and talk more about the industry. Lucky for me, Mike and I were like old friends catching up, and though NCIA didn’t have the budget at the time to hire another government relations staffer, he said he would keep me in mind. About six months later, NCIA was ready to expand the D.C. team and I applied for the job of government relations coordinator. Words can’t explain to you how happy I was when I received the offer to join NCIA’s team in October 2014.

A lot has happened since I was hired almost six years ago. Nine more states have elected to implement adult-use cannabis programs, and many others have opted to allow for medical marijuana or CBD. The way I was received on Capitol Hill with chuckles about “munchies” or “weed” are long gone, as NCIA and the cannabis industry are now received like any other business sector in D.C. We passed appropriations amendments in both chambers, planned many lobby days for our members, and passed the SAFE Banking Act out of the House of Representatives, just to name a few accomplishments. I went from government relations coordinator, to government relations manager, and worked hard to recently become NCIA’s deputy director of government relations. Not only that, but our government relations team has grown, and what was once just Mike, then Mike and I, has now become Mike, Michelle, and Maddy. The “3Ms” as we are often called are my best friends.

I remember thinking when I started with NCIA: what am I supposed to do now that I’ve gotten my dream job? Now, all these years later, I can tell you: I’m just getting started.

Webinar Recording: In the Weeds – Cannabis Advocacy from the Statehouse to Capitol Hill

Watch this recent webinar from March 31 for a lively discussion about how to leverage your company, customers, and industry partners to achieve your state, local, and federal advocacy goals. Whether cannabis is already legal in your state or on the path to being so, learn the advocacy basics to ensure the industry’s, and your company’s, long-term success.

This panel of industry experts discuss:

– What types of activities and interactions with government officials trigger lobbyist registration requirements;
– Best practices for forming coalitions to achieve your advocacy goals, whether at the ballot box or in the statehouse;
– How to form a PAC or other advocacy vehicle; and
– What types of gifts to public officials may be off-limits because of the nature of your cannabis business.

Speakers

Moderator: D. Michael Stroud, Jr.
Partner at Nossaman LLP
Michael Stroud, Jr. brings more than 15 years of legal and legislative policy expertise in border security, infrastructure, national security, tax, transportation, trade, state and local municipal government, and water and wastewater utility. He has advised clients on federal campaign and lobby laws, gift rules, ethics compliance and investigations. Michael has also led efforts on appropriations legislation to obtain legislative changes to advance clients’ interests in the cannabis industry.

Amber Maltbie
Partner at Nossaman LLP
Maltbie is a campaign finance and election law attorney who advises clients in the cannabis industry, including trade associations, private, and publicly traded companies. She advises them on the permissibility of making contributions at the state and local level, preparing and filing campaign finance reports, tracking and notifying public officials who have received client gifts. She has helped develop a banking relationship and facilitated getting its PAC banked. She also advises on support and promotion of ballot measures and legislative advocacy. Amber’s practice covers all 50 states.

William Powers
Partner  at Nossaman LLP
William Powers focuses his practice on political law and campaign finance issues. Drawing on his decade-long career in government, including as a top enforcement official at the Federal Election Commission (FEC), Bill helps clients navigate laws related to campaign finance, lobbying, ethics, gift and gratuities and pay-to-play. His clients include companies and nonprofits at the cutting edge of their industries, and he brings a collaborative and flexible approach in helping them achieve their advocacy goals in elections, the legislative arena, and the ballot measure and initiative process.

 

Update On the Prospects of Federal Relief for the Cannabis Industry

by Michelle Rutter Friberg, NCIA’s Deputy Director of Government Relations

The last few weeks have been difficult for everyone, and most people are justifiably concerned about what the future holds for their health, safety, and livelihoods. This is certainly the case in the cannabis industry, so we wanted to provide an update about where things stand regarding cannabis businesses and federal relief.

As the debate over the most recent federal coronavirus aid package was raging, NCIA and our allies were working tirelessly to urge members of Congress to make legal cannabis businesses eligible for loans and direct payments. A coalition of trade groups also sent a letter to congressional leadership and key committees specifically asking them to include cannabis businesses in consideration for loans through the Small Business Administration.

Unfortunately – but understandably – lawmakers were more concerned with providing assistance to all Americans in need as quickly as possible, and did not incorporate many requests related to special issues and disproportionately impacted industries. However, we received a lot of positive feedback from a number of congressional offices.

As things currently stand, individual cannabis industry employees who filed taxes last year should be eligible for the direct household payments included in the latest relief legislation as long as they meet the standard criteria. It may also be possible for states to use some of the funds they receive from the federal government to support the industry. But for the time being, cannabis businesses are not eligible for SBA loans or direct federal funding.

This battle is far from over though. Congress is in recess until the end of April, at which point efforts will commence on approving the next stage of coronavirus relief funding. Rest assured, NCIA’s dedicated Government Relations and Public Policy team is working night and day to make sure that the cannabis industry is included in the next round of funding so that we can continue to provide our communities – particularly medical cannabis patients – with the safe and reliable access they need. In addition to pushing for SBA loans and direct funding eligibility, we are also exploring ways to remedy some of the other financial problems caused by outdated federal policies, as well as urging state governments and regulators to continue to allow some form of cannabis access for the duration of the pandemic response.

At a time when cannabis businesses are being increasingly recognized as a vital component of public health and economic well-being, they deserve to be treated fairly and have access to the same benefits other businesses are receiving. We will keep you posted on any developments, and please contact your members of Congress to respectfully request that they explicitly include the cannabis industry in future federal aid packages.

 

How To Stay Politically Engaged in the Age of COVID-19

Photo By CannabisCamera.com

by Michelle Rutter Friberg, NCIA’s Deputy Director of Government Relations

Over the last few weeks, life in America has changed, and will remain so for the foreseeable future. However, even though most of us are practicing social distancing and working from home, there are still ways to remain politically engaged during this election year. Whether you use these tips to talk to members of Congress about COVID-19 or cannabis legislation, we encourage you to continue to communicate with your elected officials.

Here are a few ways you can do that from the comfort (and safety) of your own home:

Call your legislators

In the age of technology, we are lucky to have so many different ways to communicate with each other. Arguably, one of the most effective ways to contact your representatives and senators is by calling their offices. You can check out NCIA’s website for some do’s and don’t’s of calling, and if you need your elected officials’ contact information, you can find it here. Pro-tip: try calling your legislators’ district offices – they are usually less inundated with calls than their D.C. counterparts.

Go old school: write a letter (or an email)

Sometimes it’s nice to be able to sit with your thoughts and write them down – plus, it’s also a great way to pass some time while at home. Put those skills to work and consider writing your elected officials a letter or an email. Remember to always keep it professional, but also be sure to include your personal story.

Get more tips for writing letters and emails to elected officials.

Stay informed: read the news, a book, or listen to a podcast

As citizens, we all have a duty to stay informed, and this is a great time to delve into some new content! You can settle in with your favorite cannabis product and a good book (politics, history, or whatever you like!), or hop online to check out the news or go down a Wikipedia rabbit hole. If reading isn’t your thing, try searching for a new podcast – we recommend NCIA’s Cannabis Industry Voice. One rule, though – always make sure whatever you’re consuming is from a reliable source.

Check out Harvard’s tips for spotting fake news.

Join a campaign

While no campaigns are knocking on doors right now, there are still opportunities to get involved with one and help out from home. With 2020 being an election year, it’s important to remember that you don’t have to volunteer to help with the presidential race, either – you can help a local or state candidate, or a member of Congress. You can volunteer for the RNC, or if you’d prefer, help out the DCCC. Making phone calls for a candidate is also a great way to get some social interaction!

Follow your elected officials on social media

Once you’ve identified who your elected officials (or candidates) are, find them on Facebook, Twitter, and Instagram. Not only is this another great way to get in touch with them, it’s also a way to stay informed as many of them are holding virtual town halls and “live” sessions. When interacting with these accounts, always remember to remain respectful. 

Here at NCIA, we are all encouraged by our members and their dedication to patients, consumers, and overall public health, and we will continue to serve and advocate for you, even during these difficult times. COVID-19 will not last forever, and we will soon be back in the halls of Congress talking to members and their staff about the importance of reforming our outdated cannabis policies. Until then, stay home, stay safe, and stay healthy! 

 

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.

CLICK TO LEARN MORE

 

Committees And Coalitions: Legislative Update On The SAFE Banking Act 

by Michelle Rutter Friberg, Deputy Director of Government Relations

Photo By CannabisCamera.com

While you may not have seen or heard much news recently about the SAFE Banking Act (H.R. 2215, S. 1152), NCIA has been hard at work behind the scenes gathering intel, lobbying offices, and educating lawmakers and their staff. The bill is currently stalled in the Senate, however, there have been many discussions between lawmakers, committee staff, and advocates to encourage the legislation’s swift passage through the chamber. This week, let’s recap where the bill stands currently and what we’re doing to get the bill to the next step in the legislative process.

In September, the SAFE Banking Act (H.R. 2215) became the first piece of cannabis reform legislation to ever pass out of the United States House of Representatives by an astounding bipartisan vote of 321-103. The first iteration of the bill, named the Marijuana Businesses Access to Banking Act, was introduced to the 113th Congress back in 2013 and has made a long journey to get to this point in the legislative process.

After the SAFE Banking Act passed the House, its journey continued in the more conservative, Republican-controlled Senate. NCIA and other advocates. Then, just before Christmas, Senate Banking Committee Chairman Mike Crapo (R-ID) issued a press release detailing his opposition to cannabis policy reform — including the SAFE Banking Act as it’s currently written. In the release, Chairman Crapo said, 

“I remain firmly opposed to efforts to legalize marijuana on the federal level, and I am opposed to legalization in the State of Idaho. I also do not support the SAFE Banking Act that passed in the House of Representatives. Significant concerns remain that the SAFE Banking Act does not address the high level potency of marijuana, marketing tactics to children, lack of research on marijuana’s effects, and the need to prevent bad actors and cartels from using the banks to disguise ill-gotten cash to launder money into the financial system.” 

NCIA is continuing to work with Sen. Crapo, congressional and committee staff, coalition partners, and the bill’s cosponsors to ensure that all parties have the materials and information that they need in order to solve this pressing public safety issue and pass the SAFE Banking Act. 

But, that’s not all we’re working on for SAFE Banking! In addition, NCIA and a coalition of more than 30 national and state cannabis industry organizations sent a letter last month to Sen. Crapo urging him to advance the House-approved version of a bill aimed at addressing the state-legal cannabis industry’s lack of access to banking and other financial services. 

NCIA has collected over a thousand signatures from cannabis and ancillary businesses on a similar letter that is on its way to Sen. Crapo’s office this week. Lastly, but perhaps most importantly, NCIA is currently in the process of taking a deep-dive into Sen. Crapo’s concerns that he listed in December, and replying to them line-by-line to ensure that he and his staff have all of the relevant information necessary to pass this bill out of Committee and send it to the Senate Floor. 

We will continue working on your behalf in D.C., but here are a few ways you can help, too:

  • If your business is not yet a member of NCIA, the best way you can help this effort is by joining today so that our team in D.C. can start the year off stronger than ever in our efforts to move sensible banking reform through the Senate and to the president’s desk.

  • Make sure you’ve signed up to attend one of our upcoming Cannabis Caucuses, happening nationwide in March, where you can get updated on the latest with the SAFE Banking Act and all of our other congressional priorities.

  • Mark your calendar for May 19-21 for NCIA’s 10th Annual Cannabis Industry Lobby Days! Registration will be opening soon, so keep an eye out for more information on how you can join us in Washington, D.C. to make 2020 the biggest year yet for cannabis policy reform! 

While we still have work to do in the Senate, the NCIA team is excited about the opportunities ahead for 2020! Thank you to the nearly 2,000 member businesses of NCIA that help make this critical work possible.

 

What is Happening in D.C.? Come see for yourself!

by Madeline Grant, NCIA Government Relations Manager

There has been a lot of cannabis action in the 116th Congress and that is not an accident — it’s time for cannabis policy reform!

We’ve seen historical hearings, votes, and mark-ups take place with the help of our champions on Capitol Hill. We need to continue to support these efforts and support Members of Congress who fight for cannabis reform. So… how can you help to impact reform in Washington, D.C.? 

Mark your calendars for NCIA’s 10th Annual Cannabis Industry Lobby Days on May 19-21! There is no better way to network with other NCIA members, meet with congressional staff and members, attend events, and most importantly tell YOUR stories on Capitol Hill.

What you don’t want to miss out on…

NCIA’s 2nd Annual VIP DAY(taking place during the day of May 19) for NCIA PAC Leadership Circle Members! To participate you must be a member of the PAC Leadership Circle by contributing to the NCIA-PAC. The NCIA-PAC maintains no overhead costs so that 100% of donations are used to support industry-friendly candidates and build the political influence of our emerging business sector. For more information on joining and participating in this exclusive day please email Vanessa at Vanessa@thecannabisindustry.org

Below are a few examples of what VIP Day consists of…

-Luncheon with Members of Congress
-Meetings with Members of Congress
-Meetings with committees of jurisdiction
-Networking with NCIA’s politically active members
-Capitol Hill briefings with Hill staffers and professionals

Pictured: Congresswoman Katie Porter (CA-45), NCIA’s Director of Government Relations, Michael Correia, and Maddy Grant, NCIA’s Government Relations Manager. Last year, Rep. Porter attended our VIP Luncheon. 

 

Call For Signatures: Move The SAFE Banking Act Through Senate Committee

The National Cannabis Industry Association, in collaboration with other cannabis-related organizations, drafted a letter to Senate Banking Committee Chairman Mike Crapo (R-ID), urging him to move the House version of the SAFE Banking Act through committee and to the Senate floor for a vote. 

The letter also addressed serious concerns the industry finds with one of Sen. Crapo’s suggested amendments to limit the provisions of the SAFE Banking Act to products containing less than 2% THC.

Now we need the help of businesses in the cannabis industry to join us in letting Chairman Crapo know how important it is to move the SAFE Banking Act through Committee this session of Congress. Please follow the link below to add your name to the growing list of industry voices calling for fair and safe banking access.

SIGN THE LETTER NOW

 

Supporting Our Cannabis Champions

by Madeline Grant, NCIA Government Relations Manager

With all the action in the 116th Congress so far, NCIA strives to support as many cannabis champions on Capitol Hill as possible. It is key to keep Members of Congress that support cannabis reform in the halls of Congress, as they will continue to push the momentum forward through legislation, committee activity, and education. Our NCIA-PAC Leadership Circle members make this support possible, as their contributions go straight towards Members of Congress. Below are a few events and fundraisers where we utilized PAC funds to support our issues and Members on the Hill.

 

NCIA staff attended Congressman Ed Perlmutter’s fundraiser in celebration of the passage of the Secure and Fair Enforcement (SAFE) Banking Act on the House side. Rep. Perlmutter is the lead sponsor of the SAFE Banking Act and because of his leadership and hard work over the years, we are seeing more success this congress than ever before!

As we are approaching the Holiday season, Members of Congress are getting festive. NCIA hosted Congressman McNerny’s Holiday Party. Our D.C. staff is making use of our new office, as we’ve hosted a handful of holiday parties this year full of conversations, hot chocolate, and cookies for all. 

Another festive holiday party hosted at our D.C. office with Congressman Earl Blumenauer. The Congressman gave everyone a mini fruit cake, a famous annual tradition in the Blumenauer office. With all the momentum this congress, Congressman Blumenauer has been one of our biggest champions in cannabis reform. 

Mike and I attended Rep. Porter’s lunch fundraiser this year. It is always a pleasure discussing policy issues with the congresswoman. As a freshman Member of Congress, Rep. Porter has been fighting for the cannabis industry since day 1. We had the pleasure of meeting the Congresswoman when she entered into California’s 45th district race and continue to support her with NCIA’s PAC funds. 

Our Director of Government Relations, Michael Correia, attended Rep. Lee’s birthday this past July. He was able to spend some time with Speaker Pelosi and Rep. Lee while discussing cannabis reform. As you know, the momentum in the 116th congress has been momentous so it’s important to thank the Members of Congress that helped make it happen.

 

How do we support our champions?

NCIA’s Political Action Committee (PAC) supports our champions on Capitol Hill. With NCIA-PAC funds we are able to contribute PAC dollars to the Members of Congress above and many more. These funds go to their campaigns to help them get reelected and stay to fight for us on Capitol Hill. If you are interested in learning more or getting involved with the NCIA-PAC, please send an email to Madeline@TheCannabisIndustry.org. Thank you to our PAC Leadership Circle members that help support cannabis reform on Capitol Hill- without you, we would not be able to support our champions. 

MORE Act Approved by House Judiciary Committee

by Morgan Fox, NCIA’s Media Relations Director

It’s been quite a year for cannabis policy reform in Congress, with an unprecedented number of bills introduced, landmark hearings in both chambers, and the overwhelming passage in the House of Representatives of the SAFE Banking Act – the first standalone cannabis bill to receive a floor vote. Momentum continues to build, and today’s victory marks the latest and potentially most far-reaching to date. 

In a vote of 24-10, the House Judiciary Committee approved a bill that would effectively end marijuana prohibition on Wednesday. The Marijuana Opportunity Reinvestment and Expungement (MORE) Act of 2019, or H.R. 3884, was introduced by House Judiciary Committee Chairman Jerrold Nadler (D-NY) and currently has 55 cosponsors. 

This is the first time that a congressional committee has held a vote on – let alone approved – a comprehensive bill to make cannabis legal. Perhaps even more significantly, this bill recognizes and works to address the disproportionate impact prohibition has had on marginalized communities and people of color while helping to increase access and opportunity in the legal cannabis industry – an unmistakable sign that the debate over legalization is moving from “if” to “how.”

The MORE Act would federally decriminalize cannabis by removing it from the Controlled Substances Act, and would require the expungement of past federal cannabis convictions. The bill would establish a Cannabis Justice Office to administer a program to reinvest resources in the communities that have been most heavily impacted by prohibition, funded by a 5% tax on state-legal cannabis commerce. It would also allow the Small Business Administration to provide loans and grants to cannabis-related businesses and support state and local equity licensing programs, and would permit doctors within the Veterans Affairs system to recommend medical cannabis to patients in accordance with applicable state laws, among other provisions.

The full text of the bill is available here.

While this bill does not contain an explicit regulatory structure for cannabis after it is descheduled, Chairman Nadler said in a press conference the day before the markup vote that it was possible amendments could be added to the bill as it moves through the House. NCIA’s dedicated in-house government relations team will be working to include provisions based on recommendations we released last month outlining a federal regulatory structure for different types of cannabis and hemp products through existing federal agencies so that cannabis products can be effectively regulated similarly to alcohol and other consumables. Even without a clearly defined plan for regulation, the passage of this bill would be a huge win for the cannabis industry and a victory for justice.

The MORE Act is the most comprehensive cannabis policy reform measure to progress this far in the legislative process, and support is growing in Congress. Last week, a Pew Research Center survey showed that a record 67% of Americans are in favor of making cannabis legal, and the ongoing efforts of advocates and forward-thinking lawmakers is convincing an increasing number of legislators to listen to the people on this issue. Reformers are winning new allies every day. 

With luck, we may even see a floor vote on the MORE Act in this legislative year, though certain political realities and current events unrelated to cannabis may make that difficult. And even if the House approves this legislation, we still have the Senate to convince. However, every step forward is helping to bring the end of prohibition closer, and we are picking up speed.

 

NCIA’s Safe Vaping Task Force Submits Testimony

Last week, the Center for Disease Control (CDC) identified a probable proximate cause of recent vaping injuries and deaths. Simultaneously, the United States Senate (HELP Committee) noticed a hearing for tomorrow (Wednesday) on the vaping crisis, where CDC officials will testify.

NCIA Policy Council’s Safe Vaping Task Force has submitted testimony for the record, which can be found here.

For weeks, NCIA’s Policy Council has been calling for de-scheduling and regulation at the federal level to displace the illegal, untested, unregulated illicit market. It’s time for Congress to act. We can no longer sit by and watch as people are sickened by unregulated, untested, and dangerous products from the illicit market.

Read NCIA’s Submitted Testimony

Post-Recess Predictions: Looking Into The Crystal Ball

by Andrew Kline, NCIA’s Director of Public Policy

Kids are back in school. The weather is starting to cool off. Congress’s August recess has come to a close. And it’s time to get back to the business of marijuana reform. 

As 2019 starts to wind down and we gear up for 2020, it’s a great time to reflect on what we’ve accomplished, what challenges lie ahead, and what we think we can accomplish in the coming months.

Will we see Congressional action on myriad marijuana bills pending before Congress? Will we see new marijuana-related bills being introduced? Will Senate Republicans allow a floor vote on any marijuana-related legislation? Will House Democrats reach a consensus on marijuana-related priorities? Will the Presidential candidates reach consensus on the right approach for marijuana? The answer to all of these questions is… maybe. And the reason is not just that Republicans have been historically opposed to marijuana-related legislation. It’s because there is no consensus on the right approach. No consensus on a policy issue in Congress? Shocking, huh? 

We’re starting to see this divide in Congress, with Democrats sponsoring legislation that de-schedules marijuana and Republicans supporting more incremental approaches like SAFE Banking and the STATES Act. Who will win the battle of the ages? It’s anyone’s guess. And while NCIA supports incremental approaches, they are plainly suboptimal. Below, I lay out two scenarios that are simultaneously at play. But first, let’s take a step back. 

There’s no industry with a more impressive growth rate – and more potential than cannabis. Period. Whether you’re talking THC, CBD, CBN, or CBG, it’s all the rage. Recently, analysts called for $200 billion in yearly sales within a decade. And Congress should care about this issue because of the economics alone. But – and this is a big but, in order for the industry to reach those economic goals, or anything close to it, one thing must happen: The United States has to legalize all forms of cannabis at the federal level. And by federal legalization, I mean de-scheduling. And for those of you less familiar with Washington speak, “de-scheduling” means:

  • Removing cannabis from the authority of the DEA
  • Removing cannabis from a list of illegal drugs that have no medicinal benefits like heroin, LSD, and meth
  • Legalizing cannabis at the federal level so that there is no conflict with state laws
  • Legalizing cannabis at the federal level so that banks no longer a risk of federal money laundering charges by doing business with the industry
  • Legalizing cannabis at the federal level so that the federal tax code permits businesses to take small business deductions
  • And providing FDA and the Department of Treasury with regulatory authority like they do with alcohol, tobacco, prescriptions drugs, dietary supplements, and foods

There is no other long-term viable option for the cannabis community. 

My role at the National Cannabis Industry Association (NCIA) is to lead public policy development for the industry. We’re working hard – on and off Capitol Hill – on comprehensive reforms that begin with de-scheduling. And if you’re committed to the growth of the industry, then you should join us. The Policy Council that I lead needs cannabis professionals to help us develop policies that support the best possible climate for entrepreneurs. If you care about being able to materialize the financial opportunity here, then you should care about creating the public policy climate that will allow the industry to really flourish. 

Make no mistake about it: We’ve come an incredibly long way in the U.S. since the mid-90s when no state had legalized medical or adult-use marijuana, and support for legalization stood at roughly 25%. Today, two-thirds of respondents to Gallup’s annual poll favor legalizing recreational marijuana, with about 90% in support of medicinal cannabis. 33 states have approved medical cannabis in some capacity. Of these 33 states, a third (11) also allow adult-use consumption. 

So, where is the federal government on this? Here are two possible scenarios.

Scenario One is that Congress passes some sort of incremental legislation in the near term. 

There is a lot of cannabis-related activity going on in Washington D.C. these days. And there is good reason to believe that Congress will pass some form of cannabis legislation in the 116th Congress. But, if that happens, it’s likely to be an incremental approach – like SAFE Banking or the STATES Act – which provide protection for state-legal cannabis businesses from federal encroachment.

There was a hearing in the Senate Banking Committee on SAFE banking last month. Yes, you heard that right. There was a full committee hearing, chaired by a conservative Republican from Idaho. And Republican Senator Corey Gardner from Colorado testified in support of SAFE banking legislation. Senator Gardner is also a champion of the STATES Act, another incremental approach. This is an amazing feat, but does it mean that republican leadership has seen the light on cannabis? Maybe. 

Or, maybe they just know the Presidential election will be decided by slim margins and the republicans can’t cede the marijuana issue to the democrats. Banking would be an easy win. And they wouldn’t have to support full federal legalization to support banking. 

We also know that the House is poised to pass something soon. They have 206 co-sponsors for SAFE Banking. An impressive number. Word on the street is that that bill could move as quickly as this month in the House.

And think about this. Dozens of Attorneys General recently sued big pharma for knowingly selling opioids that are highly addictive and actually killing thousands of people annually. At the same time, three dozen Attorneys General sent a letter to Congress, asking that they pass the SAFE Banking Act for cannabis. Quite amazing. 

Where there’s smoke, there’s fire, right? With all of this legislative activity, a bill must be coming to the floor, right? Maybe. 

Mitch McConnell is not a cannabis fan, and he controls the legislative calendar in the Senate. But, hemp is a huge industry in Kentucky and NCIA has worked to have protections for hemp and CBD added to the SAFE Banking Act, so Mitch McConnell may now care more than he did just a month ago. 

So, I do think that it’s likely that we will see some kind of legislative compromise on incremental reform soon. And all signs appear to point to SAFE banking. 

But, it’s unlikely that any such compromise will include de-scheduling. 

And unless cannabis is made federally legal through de-scheduling, banks still risk federal money laundering charges by doing business with the industry, the federal tax code would still prohibit cannabis businesses from taking small business deductions, and possession of cannabis would still be federally illegal, setting people up for continued arrests for federal crimes that are state-legal in 33 states across the country. The economic impact of anything short of de-scheduling will continue to cripple any real small business growth. 

So, while I actually think that we may see some legislative action in the coming weeks, it will likely not be the “end all be all” that some of us have been working toward. And it might not be enough to pacify investors or key constituencies. 

But, it’s also possible that even small marijuana reform might not happen anytime soon. 

So, here is scenario two: We don’t see any real movement in the coming weeks, notwithstanding some positive signs, for a handful of reasons:

  • Republicans generally aren’t fans of cannabis. Republicans have historically had a more negative view of cannabis than Democrats or Independents. In Gallup’s October 2018 poll, 75% of Democrats and 71% of Independents favored broad-based legalization, which compares to “just” 53% of Republicans – the party that controls the White House and Senate. And Senate Majority Leader Mitch McConnell, no friend to the industry, controls all of the cards in the Senate.
  • CBD regulations are stuck in a bureaucratic morass at FDA. Lawmakers are also taking their cues from the U.S. Food and Drug Administration (FDA), which has been contemplating how to regulate CBD for months. THC regulation will be harder. Much harder. And once Congress de-schedules, the FDA and Department of Treasury need to be ready to regulate. That is not tomorrow. Or next week. Or next month.
  • The U.S. Treasury is raking it in. Because cannabis businesses can’t take normal business deductions because of arcane tax rules, companies are paying an effective tax rate of more than 80%. So, the IRS is collecting massive taxes from businesses that are federally illegal. Once cannabis becomes federally legal, businesses can take normal deductions and pay less than half of the current tax rate. This would cost the U.S. treasury billions.

So, it’s possible that Congress does nothing in the short term.

No matter what, NCIA will continue to fight, on and off the Hill, for comprehensive reforms. And while we would be happy in the short term with some incremental relief, only de-scheduling solves myriad problems facing this burgeoning industry. It’s time for Congress to act. And there is no time like the present to get the ball rolling. NCIA will soon be releasing a white paper on how we believe that marijuana should be regulated at the federal level. And that plan starts with de-scheduling. We hope that Congressional leaders will take note. 

2019 By The Numbers (So Far!)

August recess is winding down, and soon, Members of Congress will return to D.C. for the remainder of the year. This year, however, was a benchmark year for cannabis policy, and we still have four months left to go! Let’s take a look back on how 2018 compared to 2019 (so far!). 

2:

Number of Congressional hearings held on cannabis issues in the 115th Congress (2017-2018)

6:

The number of Congressional hearings as of August 2019 in the following committees:

House Small Business Committee
House Veterans Affairs Committee (2)
House Financial Services Committee
Senate Banking Committee
House Judiciary Committee

95:

The number of cosponsors the House version of the SAFE Banking Act garnered during the entire 115th Congress. 

206:

The number of cosponsors on H.R. 1595, the SAFE Banking Act, just in the first seven months of 2019.

0:

The number of Congressional markups held on a cannabis bill in the 115th Congress.

1:

The number of Congressional markups held on a cannabis bill in the 116th Congress. In March 2018, the House Financial Services Committee marked up H.R. 1595: the SAFE Banking Act. It passed out of Committee by a vote of 45-15. 

$108,550:

Total NCIA-PAC dollars raised for the 115th Congress (2017-2018)

$61,780:

Total NCIA-PAC dollars raised in the first 7 months of 2019. Our goal to raise $100,000 by the end of the year, so make sure you learn more about the NCIA-PAC here! 

We have been busy this year advocating for pro-cannabis policy reform and will continue pounding the pavement on Capitol Hill. We look forward to all of the successes yet to come in 2019 and beyond! 

Looking Back On Ten Years Of Cannabis Reform – The Road Behind, The Struggle Ahead

By Morgan Fox, NCIA Media Relations Director

NCIA’s Media Relations Director, Morgan Fox

August in Washington D.C. means heat, which is probably a big reason why lawmakers take the month off and return to their home states before coming back to confront the issues of the day. With this Congress – which has been more supportive of cannabis policy reform than any in history – out on recess, it seems like a good time to reflect on how far we’ve come as a movement and as an industry, we well as to recognize how much farther we still need to go.

I’ve been working exclusively on cannabis issues for more than a decade, and when I started my first job in the field at the Marijuana Policy Project all those years ago, the landscape looked much different. At the time, there were only a handful of states with effective medical cannabis laws, and no states where it was legal for adults. Opponents would consistently claim that cannabis has no medical value with a straight face, and people would believe them. The nonsensical argument that providing medicine to sick people would somehow lead all teenagers to become addicted to hard drugs often ruled the day and frequently delayed reform efforts. Access to cannabis, even in states with good laws, was limited and hard fought. Cannabis consumption by anyone except the most seriously, visibly ill people was largely portrayed as criminal and immoral.

Now, cannabis is legal for adults in 11 states, D.C., and two territories; 33 states and several territories have comprehensive medical cannabis laws; and nearly every state allows cannabis in some form. Tens of millions of people can now safely access cannabis without fear of arrest. Dozens of states are looking at cannabis policy reform legislation every year, and we can expect to see several ballot initiative campaigns taking place next year.

As more and more states have regulated cannabis in some way, new legal markets have emerged, allowing the industry to grow and thrive in many ways. At the start of my involvement, there were a shockingly small number of cannabis businesses, and the problems they faced were quite different than what we tend to deal with today. Non-existent access to banking was of trivial concern when the threat of raids by armed federal agents was a daily concern. Videos of jack-booted thugs pointing rifles at disabled patients and dragging dozens of plants out of smashed windows were commonplace. Long prison sentences for cultivators and providers were the norm.

New state laws and increasing public acceptance helped to ease the crackdown on the cannabis industry, but the real game changer came in the form of an unexpected federal policy directive. In 2013, Deputy Attorney General James Cole issued a directive to federal prosecutors, telling them not to target businesses or individuals who were in compliance with state cannabis laws. Known as the Cole Memo, this directive did not carry the force of law and did not prevent the enforcement of federal prohibition. Some Department of Justice employees took it more seriously than others. However, it did drastically reduce the number of prosecutions of state-legal cannabis businesses, and gave people enough confidence to really pull out all the stops. Since then, the industry has grown and professionalized by leaps and bounds. Huge trade shows, once unheard-of, are now commonplace and attracting people from a wide range of professions. Businesses no longer hide in the shadows, but are actively competing for exposure. There are now more than ten thousand licensed plant-touching businesses in the U.S., and many thousands more ancillary businesses working in the cannabis space. According to a recent report by Leafly, more than 200,000 jobs have been created by the legal cannabis industry.

One of the most important changes to happen over the years is the increased and deeper focus on justice in the cannabis reform movement, including equity in the cannabis industry. Legalization has always been about freedom and justice, but it has largely been talked about in the general sense of the injustice of criminalizing people for consuming a substance that is objectively safer than alcohol. The disproportionate harms inflicted on people of color and the destructive impact that prohibition has had on entire communities for generations were well known to many, but it wasn’t until the ACLU released its groundbreaking report that these facts started gaining more attention in the public sphere. It has still taken far too long for this issue to come to the forefront of the cannabis policy debate, but things are moving in the right direction. Most modern legalization legislation now contains provisions related to expungement, community reinvestment, and equity in the emerging cannabis industry, and indeed these are now required in order to be taken seriously by voters, activists, and policymakers. But it wasn’t always so. 

During the ballot initiative campaign for Amendment 64, which would go on to pass in November 2012 and make Colorado the first state in the nation to regulate cannabis for adults, polling showed that including even a limited provision to expunge minor cannabis convictions would have killed the chances of victory. Fast forward to this year, where legislation to make cannabis legal in New Jersey stalled because it did not go far enough to address the disparate harms caused by the war on cannabis. Illinois, the first state to regulate cannabis through its legislature, included language in its legalization bill which passed earlier this year that will expunge the vast majority of marijuana convictions and will help to ensure that people of color can take advantage of the opportunities being created by the legal cannabis market. And even Congress is starting to come around, with multiple active bills containing restorative justice provisions being considered and a House subcommittee holding a groundbreaking hearing on the issue this summer.

Speaking of Congress, the differences between now and then could not be more stark. Until somewhat recently, there was little appetite for addressing cannabis policy reform, and tremendous opposition from both sides of the aisle. While states continued to pass cannabis legislation, most federal lawmakers wouldn’t go near the subject except to shut it down. Even those whose own states had passed good laws were actively undermining their constituents. In 2014, an amendment was added to the annual spending bill that codified the protections outlined in the Cole Memo, but only for medical cannabis programs. Despite this provision being included in all subsequent budgets, it was never extended to adult use programs. Progress on stand-alone bills related to cannabis was generally slow and did not receive serious consideration in either chamber.

This Congress has been extremely different. Dozens of cannabis bills addressing all sorts of issues have been introduced, often with bipartisan support. Hearings have actually been held and taken seriously in the House and Senate, often with mostly supportive testimony. The SAFE Banking Act, which would provide safe harbor for financial institutions to work with cannabis businesses and increase access to capital for small businesses and disenfranchised communities, has seen unprecedented movement and support this year. In the House, it has 206 cosponsors and was approved with a bipartisan vote in the Financial Services Committee. It now waits to be called for a vote, which it will likely win. In the Senate, despite some lingering opposition, key committee heads and Republican leaders are softening their stances and held an informational hearing on the bill last month. More comprehensive bills such as the Marijuana Justice Act, the FAIR Act and the MORE Act are being given more attention than we’ve ever seen for legislation that would deschedule cannabis. It seems that politicians are finally catching up to public opinion and are more comfortable with supporting reform in the open.

Some of the credit for this can be given to the media. When discussing this topic, I always like to relate a story told to me by my first boss in cannabis policy reform. In the late 2000’s, he called CNN’s newsroom to pitch a story about a new positive cannabis study. He identified himself and his organization at the beginning of the call, which prompted the person on the other end to start laughing so hard they had to put my boss on hold. When they finally returned, they greeted him by saying “OK, Mr. Marijuana. How can we help you?” Needless to say, the story did not get picked up.

For years, we’ve had to deal with a media environment where cannabis policy reform was treated as a joke at best, and as a horrible scourge at worst. Stories were riddled with bad puns (I can’t count the number of times I’ve seen the phrases “blunt truth” or “clearing the smoke” or “hazy proposition” in headlines), or only referred to cannabis as “pot” or something equally stigmatizing. Many of them took prohibitionists at their word as they spewed falsehoods and fear, while giving limited or no space to reformers. Most major media outlets were not even interested in looking at the issue to begin with.

All that has changed. Cannabis is finally being taken seriously, and news organizations are devoting massive resources to covering it and even creating cannabis beats for dedicated journalists. Dozens, if not hundreds, of cannabis-specific publications are now available, with advertisers clambering for space in them. The coverage is much more fair, and the puns are (mostly) gone. Changes in the way the media talks about cannabis have certainly had a positive impact on how the public, and by extension lawmakers, thinks about this issue.

It can be tempting to look at all this progress and pat ourselves on the back for a job well done, and in some senses it is deserved. Tens of thousands of otherwise law-abiding individuals around the country will no longer be saddled with the disastrous consequences of having a criminal record every year. Hundreds of thousands are gainfully employed in an industry that is steadily displacing the illicit market while making cannabis safer and less stigmatized. The federal government is getting closer and closer to making real progress on cannabis issues. Support for legalization is a ubiquitous topic in the 2020 presidential field and has become almost a prerequisite for being considered as a serious candidate. Two-thirds of Americans think cannabis should be legal for adults. All of this is a world away from where we were a decade ago, and the benefits being reaped because of the hard work of advocates are significant. 

But we have a long way yet to go.

There are still roughly half a million cannabis arrests in the U.S. annually, mostly at the state level. The majority of states have yet to regulate cannabis for adults, and support for doing so in many of them is still very weak. Advocates and industry leaders need to redouble their efforts to reach out to lawmakers, voters, stakeholders and communities, and work with them to pass sensible cannabis legislation. Even states with relatively good laws still need help: home cultivation is still illegal in Washington state, for example, and Vermont and D.C. do not yet have regulated cannabis markets or legal sales.

State and local restorative justice efforts have had limited success, to put it generously. Funds intended for community reinvestment have been diverted or delayed, and equity programs are sometimes being exploited by predatory operators. High application fees, arbitrary license caps, criminal record bans and other unnecessary barriers of entry are preventing marginalized people from becoming a part of this industry. Decreasing arrests, while vitally important, cannot be the only gain made by disproportionately impacted communities as we continue to reform our cannabis laws.

Despite growing support for change in Congress, cannabis is still a relatively low priority for most federal lawmakers. Without constant pressure on them, reform will come slowly or not at all. NCIA’s in-house federal lobbying team, as well as outreach efforts like our annual Cannabis Industry Lobby Days, help keep this conversation going at the Capitol and sway legislators to our side. Federal legalization is far from inevitable, and we are committed to maintaining and increasing our efforts to make sure it happens.

But we need your help. Now is the time to get involved, get active, and help end prohibition once and for all while we build a responsible, competitive, and inclusive cannabis industry. We still have much work to do, but if the accomplishments of the last decade tell us anything, it’s that we can do this together.

 

How To Get Involved In National Politics This August – Without A Plane Ticket!

by Michelle Rutter, NCIA Government Relations Manager

Maybe it’s the heat and humidity of D.C. that drives people out of the Beltway – after all, our nation’s capital was built on a swamp! But each year during the month of August, Congress “recesses” or goes home. Traditionally, this time has been used for Members to return home to their districts and meet with constituents and, of course, campaign for re-election. This makes August a quiet month in D.C., but it’s a great time for you and your colleagues to get involved with the political process, engage with Members of Congress, and educate them on cannabis policy. 

Since this year has been one for the history books when it comes to cannabis policy in Washington, D.C., we want to make sure your Representative and Senators hear from you during recess. Here are some ways to get involved with the political process – without having to travel to DC! 

Attend a town hall

During August recess members of congress tend to hold town halls during their district work periods. Go to https://townhallproject.com/, type in your zip code and find town halls in your district. If there are some being held, prepare a question or two to ask your Representative or Senators and get them on the record about cannabis policy!

Invite Members of Congress to tour your business

Even though cannabis is arguably more mainstream than it’s ever been, many elected officials still have not had the chance to experience what the responsible and legal cannabis industry looks like firsthand. Whether you’re involved with growing, processing, or dispensing cannabis, or operate an ancillary business, offering a tour to a Member of Congress and/or their staff is absolutely invaluable to them. Reach out to your elected officials’ district office and ask if they would be interested in a tour – they are likely more curious than you would expect!

Schedule a meeting with the Member’s district office

August recess means Members of Congress are home for an entire month and is a great opportunity to meet with them and their staff! There are very few things more compelling than a personal story when talking to elected officials, so whether your experience has been with the benefits of medical cannabis, the unfair tax burden of 280E, or the struggle for traditional banking, so be sure to schedule an appointment with your district office to tell that story. Find out who your Representative and Senators are and visit their website to see where their district office is located.

Call your Representative and Senators

Although Congress leaves D.C. during the August recess, that doesn’t mean the phones stop ringing! Call their D.C. and district offices to urge them to support our priority legislation. You can find out who your Representative and Senators are and how to call them here.

Whether you’re talking to a Member of Congress or their staff at an event, or just giving their office a call to ask for their support, remember these easy tips:

  • Know what you want to say. Write down or get familiar with some talking points that you want to relay. For example, you can include asking the elected official to cosponsor a specific bill, tell your personal story about your cannabis business, or simply just share your views on cannabis policy.
  • Nicely introduce yourself. If on the phone, state your name, address and telephone number so they can submit your comments into the congressional system.
  • Identify yourself as a concerned voter. Make sure that they understand that you are a concerned voter and tell them “I would like to express my support for the SAFE Banking Act, HR 1595/S. 1200”.

We all have a responsibility to educate and engage with elected officials in order to change the perception surrounding cannabis. August recess is the perfect opportunity to get involved with federally elected officials without having to leave home! If you need advice, help, or materials to assist you, remember to contact NCIA’s Washington, D.C. office by emailing Michelle@TheCannabisIndustry.org.

 

Re-Cap of House Judiciary Hearing on Marijuana Laws in America

On Wednesday, for the first time ever, lawmakers in the House of Representatives held a hearing to address the disproportionate ways in which marijuana prohibition has negatively impacted people of color and marginalized communities. The hearing, entitled “Marijuana Laws in America: Racial Justice and the Need for Reform,” was called by the House Judiciary Subcommittee on Crime, Terrorism, and Homeland Security and exclusively featured testimony from witnesses in favor of sweeping cannabis policy reforms.

Notably, none of the members of the subcommittee or witnesses advocated for keeping cannabis illegal.

Rep. Tom McClintock (R-CA) participated as acting subcommittee Ranking Member, and began his opening statement by saying, “Marijuana decriminalization may be one of the very few issues upon which bipartisan agreement can still be reached in this session.” He added, “it ought to be crystal clear to everyone that our laws have not accomplished their goals.”

Chairwoman of the subcommittee, Rep. Karen Bass (D-CA), also gave strong opening remarks: “The collateral consequences of even an arrest for marijuana can be devastating. These exclusions create an often permanent second class status for millions of Americans. Like drug war enforcement itself, these consequences fall disproportionately on people of color.”

While there seemed to be a consensus on reforming our outdated cannabis laws, how to reform them was more murky than anything else. Essentially all of the Republicans who spoke during the hearing iterated their support for the Strengthening the Tenth Amendment Through Entrusting States (STATES) Act, while Democrats on the subcommittee stressed the need for reforms that address equity, inclusivity, and diversity — which the STATES Act does not address in any way.

NCIA’s written testimony, submitted at the hearing by Rep. Steve Cohen (D-TN), urges Congress to remove cannabis from the Controlled Substances Act (commonly known as de-scheduling); to enact legislation repairing the damage prohibition has inflicted on communities of color; and to begin the process of regulating cannabis products at the federal level. However, NCIA also recognizes that the STATES Act (and other incremental reforms) deserve the support of the industry, given that it addresses many of the problems plaguing cannabis businesses today.

On behalf of the largest and most-diverse membership base of any cannabis trade association in the U.S., NCIA’s team in D.C. is continuing to work with allies in Congress to end federal prohibition and replace it with federal jurisdiction that benefits an inclusive, diverse, and legal cannabis industry.

NCIA thanks our nearly 2,000 members who have made this progress possible. If your business is not yet a member of NCIA, please join the movement today.

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!

Contact Your Representative Now!

Here are some talking points to use on your call:

    • 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.

 

VIDEO: Looking Back On NCIA’s 9th Annual Cannabis Industry Lobby Days

On May 21-23, 2019, NCIA held it’s 9th Annual Cannabis Industry Lobby Days in Washington, D.C. with more than 250 NCIA members who represent the cannabis industry all across the country. NCIA’s Executive Director Aaron Smith highlights some of issues we brought to the halls of Congress to educate House Members and Senators, as well as our brand-new VIP Day for PAC Leadership Circle Members.

“One way that I think really demonstrates the leadership that NCIA has here on Capitol Hill and the way that we’ve moved the dial in Congress is that between all of the events at Lobby Days, over 20 members of Congress showed up to speak, attend, and mingle with NCIA Members.” – Aaron Smith, NCIA Executive Director and Co-Founder

Thanks to everyone who joined us in our nation’s capital to bring the advocacy, education, and community to our federal legislators and lawmakers.


Mark your calendars for next year’s 10th Annual Lobby Days happening May 19-21, 2020!
(Due to the COVID-19 pandemic, this has been moved to September 2022.)
Be sure to check out the full photo album from this year’s Lobby Days!
 

NCIA’s 9th Annual Lobby Days – Strength in Numbers, Power in Progress

Just two short weeks ago, NCIA hosted our 9th Annual Cannabis Industry Lobby Days. This impactful event brought over 250 NCIA members to our nation’s capital to advocate and lobby on important issues facing our industry like access to financial services, amending IRC Section 280E, and addressing social equity.

Over the course of 48 hours, attendees met with nearly 300 congressional offices to share their stories and experiences, and dropped off informational materials to 200 offices that we did not schedule meetings with. In addition to these meetings, we had two briefings, held a PAC fundraiser, and hosted our first-ever VIP Day for members of our Leadership Circle. Let’s take a look at some of the highlights from this important event:

To kick off our first-ever VIP Day, we held a briefing at the House of Representatives entitled “SAFE Banking: Where We Are, and Where We’re Going,” where Congressman Ed Perlmutter (D-CO), the lead sponsor of HR 1595, the Secure and Fair Enforcement (SAFE) Banking Act, kicked off the day. On the panel was Tanner Daniel of the American Bankers Association, Becky Dansky of SARBA, and Gail Rand of ForwardGro, while attendees included NCIA members, congressional staff, and members of the press.

 

 

 

 

 

 

 

Following the briefing on banking, VIP Day attendees were shuttled to a luncheon featuring Reps. Joe Neguse (D-CO), Katie Porter (D-CA), Gil Cisneros (D-CA), and Steven Horsford (D-NV). All of these members of Congress are freshman who support cannabis reform, and talked about the importance of advocacy and the use of political action committees like the NCIA-PAC that they rely on.

 

 

 

 

 

 

 

After lunch, VIP Day attendees were shuttled back to Capitol Hill, where teams met personally with members of Congress, committees of jurisdiction, and congressional leadership.

 

 

 

 

 

 

 

Our first ever VIP Day was a huge success, and we thank the members of NCIA’s PAC Leadership Circle for their dedication to advocacy.

Lobby Days then officially started with a Welcome Reception attended by other advocates in Washington, D.C., NCIA members, and even congressional staff!

 

 

 

 

 

 

 

The following day, the work really began at our breakfast training. There, attendees met with the groups that they would be in for the day, were taught talking points on various bills and issues, and learned about how to use the app that housed all of their meeting information.

 

 

 

 

 

 

 

Washington, D.C. is full of great photo ops, so after our breakfast training, all of our attendees shuttled over to the Capitol… and snapped a few selfies, of course!

 

 

 

 

 

 

 

Meetings on Capitol Hill went from 12pm to 4pm. Each of NCIA’s 54 lobbying teams had at least four meetings over that course of time. Some groups were even lucky enough to sit down with members of Congress to talk about the issues that affect them and their businesses the most.

 

 

 

 

 

 

 

The day concluded with a fundraiser for the NCIA-PAC. This year’s event was wildly successful, as we had 15 members of the House of Representatives (Reps. Porter (D-CA), Charlie Crist (D-FL), Josh Harder (D-CA), Earl Blumenauer (D-OR), Ruben Gallego (D-AZ), Salud Carbajal (D-CA), Jared Huffman (D-CA), Jason Crow (D-CO), Brendan Boyle (D-PA), Diana DeGette (D-CO), Denny Heck (D-WA), Barbara Lee (D-CA), Dina Titus (D-NV), Susie Lee (D-NV), Matt Gaetz (R-FL)) attend and speak, as well as Sen. Jeff Merkley (D-OR).

 

 

 

 

 

 

 

The final day of Lobby Days began with a standing-room-only briefing that focused on NCIA’s new white paper titled “Increasing Equity in the Cannabis Industry” that our Policy Council worked on with the Minority Cannabis Business Association (MCBA). Opening remarks were given by MCBA’s President, Shanita Penny along with the Principal of Greenbridge Corporate Counsel, Board Vice-Chair of the National Cannabis Industry Association, and Co-Chair of the Minority Cannabis Business Association Policy Committee, Khurshid Khoja. We were also joined by two members of the Congressional Hispanic Caucus, Rep. Lou Correa (D-CA), and Rep. Ruben Gallego (D-AZ).

 

 

 

 

 

 

 

Lobby Days wrapped up with small groups dropping off folders with informational materials to congressional offices that we were unable to schedule meetings with. While some may think these drop-ins are ineffective, they actually prove to be incredibly helpful long after our attendees go home.

The dates for NCIA’s 10th Annual Cannabis Industry Lobby Days have already been chosen, so mark your calendars for our biggest year yet, happening May 19-21, 2020!

Be sure to check out the full photo album from this year’s Lobby Days!

As “4/20” Ends, Advocacy Ramps Up

This last weekend, cannabis advocates and supporters gathered in cities across the country to celebrate what is known as “4/20,” a cultural celebration of cannabis.

Michigan’s Hash Bash

In several states like Michigan, the celebration was particularly exciting because of recently passed adult-use laws. Earlier this month, NCIA’s Business Development Manager, Clarissa Kriek, attended the 48th annual festival in Ann Arbor called “Hash Bash.” Since 1972, activists have gathered on these grounds to rally and demand policy reforms. Considering this was the first Hash Bash since legalization, it was a particularly memorable occasion

Clarissa gave an inspirational speech on stage about the long, hard battle to legalize cannabis in Michigan, which culminated in the passing of Prop 1 in November 2018. Approximately 15,000 people gathered to celebrate this historic event at the University of Michiganʻs Diag, including Congresswoman Debbie Dingell, who spoke about her late husband and how she believed he could have benefitted from cannabis to help treat his prostate cancer but that federal prohibition has stifled research.

National Cannabis Policy Summit

In the nation’s capital, advocacy was as prominent as celebration at the 4th annual National Cannabis Festival, which was preceded by its sister event, the National Cannabis Policy Summit. These events brought thousands of people from around the country to the District of Columbia to bring attention to the harms caused by prohibition but also to celebrate the victories of the movement in an atmosphere of cooperation, innovation, and culture. Dozens of lawmakers, industry leaders, and policy experts – including NCIA’s Michelle Rutter – shared opinions and advice about how we can make cannabis legal in a way that incorporates fairness and justice.

Advancing the reform of outdated cannabis laws is building in momentum, and public support for medical and adult-use cannabis is at its highest levels ever. In the halls of Congress, we’re seeing the reform measures that are important to our industry gain co-signers on both sides of the aisle. It’s an exciting time for ending the war on drugs.

Whether the date is April 20 or September 20, every day is an opportunity to be an advocate of the legal, regulated cannabis industry. From access to banking and tax reform, to social equity and veterans access, now is the time to speak up and tell your stories about how these key pieces of legislation will help your business thrive.

NCIA’s 9th Annual Cannabis Industry Lobby Days

While NCIA’s government relations team works year-round on the industry’s behalf to advocate for access to banking, fair tax policy, and states’ abilities to determine their own cannabis policies, for example, NCIA’s Annual Lobby Days is the most impactful opportunity to participate in democracy. As we prepare for hundreds of meetings on Capitol Hill on May 21-23, it’s crucial that cannabis industry professionals come together to send a powerful message to lawmakers. The industry is here to stay, and it is our industry’s responsibility to keep it that way.

 

The Ending Federal Marijuana Prohibition Act and Marijuana Data Collection Act

Several new bills that support cannabis policy reform have been introduced in recent weeks. Last month, NCIA saw two bills reintroduced from last year, The Ending Federal Marijuana Prohibition Act and the Marijuana Data Collection Act, both of which received bipartisan support in the House of Representatives. In last year’s session, both bills had more than 30 co-sponsors each. The Ending Federal Marijuana Prohibition Act was first introduced in the House in 2011 in the 112th Congress.

This session’s pair of bills were introduced by Rep. Tulsi Gabbard (D-HI) and Rep. Don Young (R-AK).

The Ending Federal Marijuana Prohibition Act (H.R. 1588) would remove cannabis from the Controlled Substances Act and effectively allow states to determine their own cannabis policies and put an end to federal cannabis prosecutions. This is important for myriad reasons. First, it protects decisions that states have made to legalize marijuana, reflecting the will of the people and their elected representatives. Ending prohibition will also protect public safety by normalizing banking and other professional services. It will also save taxpayer monies by ending the “war on drugs” as it relates to federal enforcement of marijuana laws. Most significantly, it will allow important medical research to be conducted, free from fear of federal interference. NCIA is proud to include The Ending Federal Marijuana Prohibition Act in our priority legislation, and we look forward to working with members of Congress to build support for the bill.

The Marijuana Data Collection Act (H.R. 1587) would require the National Academy of Sciences to study and report on the status of state cannabis programs and their impact on public health, safety, and the economy. This is a critical first step in normalizing research into marijuana, including how state legalization has financially benefited states, how it has allowed for law enforcement to focus on more important public safety priorities, and how scientific research can benefit medicinal patients nationwide.

On March 7, a press conference hosted by NORML Executive Director Erik Altieri was held at the House Triangle of the U.S. Capitol to announce the bills. NCIA’s Government Relations team attended and captured photos of this historic announcement.

If you’re interested in lobbying in support of this bill, or any others, make sure you register for NCIA’s 9th Annual Cannabis Industry Lobby Days in Washington, D.C. on May 21-23 so that you can tell congressional offices your personal story. There’s strength in numbers, and we can’t do it without you!

Today’s SAFE Banking Act Committee Markup

[updated 11:00 AM ET, Thu March 28]

Today, H.R. 1595, the Secure and Fair Enforcement (SAFE) Banking Act of 2019, received a markup by the House Financial Services Committee and passed in a vote of 45-15. This is the first time in history that a cannabis banking bill has reached this point in the legislative process. As a reminder, a markup is the process by which a congressional committee debates, amends, and rewrites proposed legislation.

Now that the bill has passed out of the House Financial Services Committee, it will continue in the legislative process and be sent to the House Judiciary Committee. It is unclear whether or not the Judiciary Committee will waive its rights to the legislation. If the Committee does waive its rights, the SAFE Banking Act will then be referred to the powerful House Rules Committee before receiving a floor vote from the full House.

If you remember, HR 1595: the Secure and Fair Enforcement (SAFE) Banking Act was just introduced in the House of Representatives by Reps. Ed Perlmutter (D-CO) and Denny Heck (D-WA) less than two weeks ago. In a stunning, historic surprise, the legislation was introduced with a whopping 108 original cosponsors, and that number has already risen to 151.

There were multiple amendments agreed upon by the committee, however, most were technical and required minimal change. Of note, however, included an amendment from Rep. Ed Perlmutter which would add provisions requiring the federal government to track and issue recommendations on how to expand financial services to minority-owned and women-owned cannabis businesses. Rep. Katie Porter (D-CA) also introduced an amendment that would provide the same protections to de novo financial institutions, which was agreed to. In addition, one of the bill’s lead sponsors, Rep. Steve Stivers (R-OH) offered an amendment that would give much needed clarity for insurers that wish to provide financial services in states that have legalized cannabis.

As a refresher, the SAFE Banking Act would prevent 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 a depository institution’s access to the Deposit Insurance Fund. The bill would also protect ancillary businesses that work with the cannabis industry from being charged with money laundering and other financial crimes, and requires the Financial Institution Examination Council to develop guidance to help credit unions and banks understand how to lawfully serve cannabis businesses.

Interested in helping with these efforts? You can:

Call your representative and ask them to cosponsor HR 1595: the SAFE Banking Act. If they’re already a cosponsor, thank them for their support. You can find out how to contact your member of Congress and find some helpful tips here.

Make sure you’re planning to attend NCIA’s 9th Annual Cannabis Industry Lobby Days, being held in Washington, DC May 21-23, 2019!

 

 

 

SAFE Banking Act Introduced in House of Representatives

Here at NCIA’s Washington, D.C. office, we’ve been alluding to this moment for quite awhile, and it’s finally happened!

Last week, HR 1595: the Secure and Fair Enforcement (SAFE) Banking Act was introduced in the House of Representatives by Reps. Ed Perlmutter (D-CO) and Denny Heck (D-WA). In a stunning, historic surprise, the legislation was introduced with a whopping 106 original cosponsors. That means that a quarter of the entire House of Representatives understands that the cannabis banking issue is untenable and must be addressed.

As a refresher, the SAFE Banking Act would prevent 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 a depository institution’s access to the Deposit Insurance Fund.

The bill would also protect ancillary businesses that work with the cannabis industry from being charged with money laundering and other financial crimes, and requires the Financial Institution Examination Council to develop guidance to help credit unions and banks understand how to lawfully serve cannabis businesses.

Draft legislation of the SAFE Banking Act received a historic hearing in the House Consumer Protection and Financial Institutions Subcommittee last month. NCIA submitted written testimony along with the personal stories about the burdens and safety concerns created by the current banking situation from nearly 100 cannabis industry professionals.

Now that the bill has been formally introduced, NCIA will continue to build support for the legislation by gathering additional cosponsors, and then pushing for a committee mark-up in the spring.

Interested in helping with these efforts? You can:

– Call your representative and ask them to cosponsor the HR 1595: the SAFE Banking Act. If they’re already a cosponsor, thank them for their support. You can find out how to contact your member of Congress and find some helpful tips here.

Attend one of NCIA’s upcoming Cannabis Caucus events to get an in-depth federal policy update – register here.

Make sure you’re planning to attend NCIA’s 9th Annual Cannabis Industry Lobby Days, being held in Washington, D.C. on May 21-23, 2019!

 

 

 

New Bills: Marijuana Justice Act, REFER Act, and RESPECT Resolution

by Michelle Rutter, NCIA’s Government Relations Manager

Last week, multiple pieces of legislation and one resolution were introduced to address social equity, diversity, and fairness in the cannabis industry.

The Marijuana Justice Act was introduced in both the House and the Senate by Cannabis Caucus Co-Chair Rep. Barbara Lee (D-CA) and 2020 presidential-hopeful Sen. Cory Booker (D-NJ), respectively. Last session, the House version garnered 43 cosponsors, while the Senate had six in the last session. It is currently the most far-reaching and comprehensive cannabis policy reform legislation being considered in Congress.

The Marijuana Justice act would not only remove cannabis from the Controlled Substances Act schedule and eliminate federal criminal penalties for its possession, cultivation, manufacture, import, and export, but also includes several provisions to address the historically discriminatory enforcement of cannabis laws and sentencing. All federal cannabis use or possession convictions would be expunged under the measure, and a special grant program would be created through the Department of Housing and Urban Development to reinvest in communities that have been most impacted by prohibition. It would also allow Congress to withhold federal funds from states that exhibit racially disproportionate arrest and incarceration rates under their own cannabis laws.

In addition to this bicameral piece of legislation, Rep. Lee also introduced the Restraining Excessive Federal Enforcement & Regulations of Cannabis (REFER) Act in the House. The REFER Act “prohibits the use of funds made available by Congress to a federal department or agency” to intervene in state-legal cannabis programs or penalize financial institutions that service the cannabis industry.

Rep. Lee also introduced the Realizing Equitable & Sustainable Participation in Emerging Cannabis Trades (RESPECT) Resolution, which recognizes that the people most harmed by the racially disparate enforcement of prohibition benefit the least from some of the state and local policies regulating the cannabis market. The resolution urges officials and lawmakers to implement a series of practices when granting licenses for legal cannabis businesses to improve access for these communities to the nascent industry, such as minimal application and license fees, no caps on the number of licenses, increased local control of the licensing process, and removing broad felony and cannabis convictions as automatic disqualifiers for participation.

NCIA is proud to include the Marijuana Justice Act as one of our priority pieces of legislation, and we look forward to working with members of Congress to build support for the bill.

If you’re interested in lobbying in support of this bill, or any others, make sure you register for NCIA’s 9th Annual Cannabis Industry Lobby Days in Washington, D.C. on May 21-23 so that you can tell congressional offices your personal story. There’s strength in numbers, and we can’t do it without you!

VIDEO: Capitol Hill Update On Cannabis Banking Hearing In Congressional Committee

Every day, our Government Relations team is keeping our finger on the pulse of what’s happening on the Hill and how it affects our industry. In this case, we have important news from D.C. about movement to fix the banking crisis faced by cannabis industry operators.

Watch this video to learn more about the historic hearing that took place on February 13 in the Subcommittee on Consumer Protection and Financial Institutions. They held the first ever hearing on marijuana and financial services, entitled: Challenges and Solutions: Access to Banking Services for Cannabis-Related Businesses. Up for discussion was a new version of the Secure and Fair Enforcement (SAFE) Banking Act.


There’s no better way to stay informed and connected with what’s happening in federal policy than by being a member of NCIA – the largest and most influential national trade association representing the legal cannabis industry. We fight on your behalf year-round in the halls of Congress for our industry to be treated fairly like any other legitimate industry in this country.

Be sure to register in advance for our popular Cannabis Caucus event series – tickets are complimentary for NCIA members, and a limited number of non-member tickets are available. Join us throughout the month of March in Los Angeles, San Francisco, Denver, Lansing, and Philadelphia. For more information, visit our website.

And now is the time to start planning your trip to Washington, D.C. to join us on Capitol Hill! For the 9th year in a row, we’re hosting our Annual Cannabis Industry Lobby Days on May 21-23. This is your chance to walk the halls of Congress and make your voice heard about the unfair tax and banking policies that cripple our industry. This event is exclusively for current NCIA members, so if you’d like to join us for what NCIA members say is “the most important and exciting NCIA event of the year,” then now is the time to join NCIA at one of our three levels of membership, and then join us in May in our nation’s capitol.

If you’re already planning to join us, now is a perfect time to read up on our latest Policy Council report to learn more about priorities for our industry in the 116th Congress.

Show Me The Money! Banking Hearing Held In Congress Last Week

by Michelle Rutter, NCIA Government Relations Manager

A week ago today, the House Financial Services Committee made history.

On Wednesday, the Subcommittee on Consumer Protection and Financial Institutions held its first ever hearing on marijuana and financial services, entitled: Challenges and Solutions: Access to Banking Services for Cannabis-Related Businesses. Up for discussion was a new draft of the Secure and Fair Enforcement (SAFE) Banking Act, which is expected to be introduced at the end of the month by Reps. Ed Perlmutter (D-CO) and Denny Heck (D-WA) and Sen. Jeff Merkley (D-OR) in the House and Senate, respectively. Compared to last session’s SAFE Banking Act (H.R. 2215), the discussion draft of this session’s bill has some differences: it adds protections for ancillary businesses providing products or services to a cannabis-related legitimate business; specifies how businesses on tribal land could qualify; and requires the Federal Financial Institution Examination Council to develop guidance to help financial institutions lawfully serve cannabis-related legitimate businesses.

NCIA was proud to work closely with the offices leading the effort, members of the subcommittee, and witnesses leading up to this historic hearing. NCIA submitted written testimony that was introduced for the record by Congressman Ed Perlmutter (D-CO) during the hearing. In addition to submitting our own testimony, NCIA called upon its members to submit their own stories and tell us why the cannabis banking crisis needs to be fixed. By doing so, we were able to submit nearly 100 personal stories that are now a part of the congressional record. Congressman Perlmutter even read three of those testimonies aloud at the hearing!


According to the hearing
documents, “An increasing number of financial institutions have expressed interest in providing banking services to state authorized cannabis-related businesses as nearly all states have authorized various degrees of cannabis use, such as for medical use. However, many financial institutions are refraining from offering banking services to these businesses based on several legal and compliance risks. Furthermore, public safety and other concerns have been expressed by stakeholders, including state and local government officials regarding cannabis-related businesses having difficulties accessing basic banking services, such as depositing large sums of cash from their business activity.”

Witnesses for the majority (Democrats) included :

  • Congressman Ed Perlmutter (D-CO)
  • Fiona Ma, California State Treasurer
  • Maj. Neill Franklin (Ret.), Baltimore City & Maryland State Police Departments and Executive Director, Law Enforcement Action Partnership (LEAP)
  • Rachel Pross, Chief Risk Officer, Maps Credit Union, on behalf of Credit Union National Association (CUNA)
  • Gregory S. Deckard, President, CEO and Chairman, State Bank Northwest, on behalf of Independent Community Bankers of America (ICBA)
  • Corey Barnette, Owner, District Growers Cultivation Center & Metropolitan Wellness Center

The minority (Republicans) invited Jonathan Talcott, partner at Nelson Mullins and board member of Smart Approaches to Marijuana (Project SAM) to speak at the hearing. Interestingly, in 2018, Nelson Mullins was paid $200,000 to lobby on behalf of cannabis company WeedMaps. The company has since found another firm to represent them.

This hearing was an historic and important first step in solving the cannabis banking crisis. In the coming months, we are hopeful that the House Financial Services Committee will hold an additional hearing and potentially even a mark-up on the SAFE Banking Act. You can also take a behind the scenes look at this video from the hearing day.  

While NCIA is making change and advancing our issues every day, there’s still much work to do! Make sure to mark your calendars for our 9th Annual Cannabis Industry Lobby Days in Washington, D.C. on May 21-23 so that you can tell congressional offices your personal story. There’s strength in numbers, and we can’t do it without you!

 

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