The Biden administration will soon propose easing federal restrictions on cannabis by reclassifying the drug for the first time in 50 years, the Associated Press and other media outlets reported today. Under the proposal, marijuana would be reclassified so it is no longer a strictly controlled Schedule I drug but instead a Schedule III drug, which would expand the availability of cannabis for medicinal purposes. Examples of Schedule III drugs include Tylenol with codeine and testosterone.
In a statement, ABA President and CEO Rob Nichols said that while the association takes no position on the legalization of cannabis, it’s important for policymakers to know that any potential decision to reclassify cannabis has no bearing on the legal issues around banking it.
“Cannabis would still be largely illegal under federal law, and that is a line many banks in this country will not cross,” Nichols said. “The solution is the bipartisan SAFER Banking Act, which would allow banks to provide services to the cannabis industry in those states where it’s now legal. Passing that legislation in Congress would address the ongoing legal limbo around cannabis banking, while enhancing public safety, tax collection and transparency.”
