E460 CONGRESSIONAL RECORD — Extensions of Remarks April 28, 2021 US CANNABIS COUNCIL, LAW ENFORCEMENT actions are documented in secure bank- Washington, DC, April 19, 2021. ACTION PARTNERSHIP, ing records. Banks can assist with in- Hon. , Medford, MA, March 17, 2021. vestigations by flagging suspicious ac- Member of Congress, RE SAFE Banking Act—Position: Support. tivity and alerting authorities to busi- Washington, DC. Hon. ED PERLMUTTER, Hon. , nesses that may be involved in orga- Member of Congress, nized crime. Financial records are used Member of Congress, Washington, DC. Washington, DC. Hon. NYDIA M. VELA´ ZQUEZ, to locate people, estimate the size of an Hon. NYDIA M. VELAZQUEZ, Member of Congress organization, and build cases against Member of Congress, Washington, DC. hardened criminals. A well-known ex- Washington, DC. Hon. STEVE STIVERS, ample is Al Capone, who, after a life- Hon. WARREN DAVIDSON, Member of Congress, time of notoriety, was finally arrested Member of Congress, Washington, DC. for tax-evasion. When marijuana busi- Washington, DC. Hon. WARREN DAVIDSON, nesses have to work with cash, banks DEAR REPRESENTATIVES PERLMUTTER, Member of Congress, have limited ability to flag suspicious VELAZQUEZ, STIVERS AND DAVIDSON: On Washington, DC. activity—and otherwise legal busi- behalf of the Cannabis DEAR REPRESENTATIVES PERLMUTTER, nesses are more likely to be overrun by Council (USCG), I write to you to sup- VELA´ ZQUEZ, STIVERS, AND DAVIDSON: port the swift passage of H.R. 1996, also Thank you for the opportunity to once cartels in the absence of a paper trail. I’m not one for fear mongering—what known as the SAFE Banking Act. again participate in this historic dis- I testify to is rooted in experience and The SAFE Banking Act addresses a cussion of the SAFE Banking Act. research. Any police officer who has crucial problem within the emerging LEAP’s previous executive director, worked the street or investigated cannabis industry: access to regulated Major Neill Franklin (Ret.), was hon- enough robberies will testify to the financial services. As states continue ored to have testified in the sub- same regarding any business forced to to legalize cannabis, opening new eco- committee hearing in 2019 and we handle large amounts of cash. nomic opportunities for business own- would like to affirm our ongoing sup- The SAFE Banking Act presents us ers, one problem continues to persist— port of this important bill. with an opportunity to help stabilize Black Americans and other racial mi- I spent 21 years in law enforcement, the marijuana industry and enhance norities are precluded from the state- and upon leaving, I continued to serve public safety. I believe it is my respon- legal industry due to a lack of financ- the public. My mission has always sibility as a lifelong public servant to ing and barriers to entry. been, and will always be, to promote stay involved in this legislation to the By protecting banking institutions safety and justice. As the executive di- very end. that extend financial services to the rector of the Law Enforcement Action Thank you for your time and for cannabis industry, existing operators Partnership (LEAP), a nonpartisan, bringing the SAFE Banking Act to a and minority-owned businesses seeking nonprofit of police prosecutors, judges vote. access into the industry benefit from and other criminal justice profes- sionals, I’ve helped ensure our mission Respectfully, access to institutional capital. Indeed, LIEUTENANT DIANE today’s situation is reminiscent of a is to mobilize the voice of law enforce- ment in support of policies that will GOLDSTEIN (Ret.), previous era in which minorities were Executive Director, make us all safer. routinely redlined out of access to Law Enforcement Action Partnership (LEAP). At a time when more than a dozen banking credit, capital, and cash. The states have voted to regulate and con- SAFE Banking Act would alleviate the MOUNTAIN WEST trol marijuana, and dozens more have problem of minority equity and access CREDIT UNION ASSOCIATION, implemented programs for medical with the cannabis industry in crucial Denver, CO, March 18, 2021. marijuana, it is beyond time for the Congressman ED PERLMUTTER. ways. Further, it protects the 321,000 federal government to update the Washington, DC. employees directly affected by the can- banking system to support these demo- DEAR CONGRESSMAN PERLMUTTER: I write nabis industry’s lack of access and cratic choices. to you today in support of the Secure and whose retirement, insurance, and bank- When my predecessor testified in Fair Enforcement (SAFE) Banking Act of 2021. This legislation provides important pro- ing accesses are constantly in peril. 2019, he told the story of a dispensary It is imperative that the SAFE Bank- tections for our credit unions that wish to owner from Orange County, California, provide financial services to legal entities in ing Act is passed by the House of Rep- who was kidnapped, tortured, perma- resentatives. In doing so, the House their states. nently mutilated, and left for dead. By As financial services providers serving would take a meaningful first step in the grace of God, he survived this des- nearly 4 million members in Arizona, Colo- establishing a more equitable cannabis picable act of violence, but the condi- rado and Wyoming, credit unions play a cen- industry within the US, ensuring mi- tions under which marijuana industry tral role in our communities by fulfilling norities that were most affected by the workers risk similar victimization per- banking needs that may not be otherwise War on Drugs are properly represented. available. Currently, however, we cannot sist. serve an industry that generates several bil- The US Cannabis Council voices its The conditions persist because one of support for H.R. 1996 and commends the lion dollars in sales and tax revenues—the the fastest growing markets in the recreational cannabis industry—without sub- bill authors and Speaker PELOSI for country has nowhere to legally put its stantial risk due to ongoing uncertainty your and her attention to this impor- money. When thieves know a business over federal enforcement of the Controlled tant issue. is operating in cash, it becomes a fairly Substances Act. This has become not only a Sincerely, simple matter to target the owners and states’ rights issue, but an important public STEVEN W. HAWKINS, safety issue. Without access to standard Interim President & CEO, employees. Suddenly, something as mundane as making a tax payment be- banking services, some of these companies U.S. Cannabis Council. have had to come up with alternative solu- comes a potentially lethal situation. tions. Many are unable to undertake the f This lack of regulatory framework is most basic functions of successful busi- precisely why voters have made the nesses, such as paying vendors, employees, SUPPORTING H.R. 1996 drug legal in some parts of the coun- and taxes, but instead have large amounts of try. Underground markets enrich money unsecured, unaccountable and at risk HON. WARREN DAVIDSON criminals at the expense of everyone’s for abuse. The SAFE Banking Act would provide the OF safety. We cannot simply acknowledge safe harbor we need as financial services pro- IN THE HOUSE OF REPRESENTATIVES marijuana is now legal in some states or look the other way while it happens; viders to service this growing industry and Wednesday, April 28, 2021 protect our members and the taxpayers of we have to build a model for how to our states. This is a matter independent of Mr. DAVIDSON. Madam Speaker, I include keep people safe while voters decide to the question of legalization of cannabis and in the RECORD the following letters of endorse- move the industry above-ground. is about ensuring that legal businesses have ment for H.R. 1996, the SAFE Banking Act of Police agencies can access financial the basic financial services they need for 2021. records more easily when the trans- compliance and accountability.

VerDate Sep 11 2014 06:50 Apr 29, 2021 Jkt 019060 PO 00000 Frm 00002 Fmt 0626 Sfmt 0634 E:\CR\FM\A28AP8.002 E28APPT1 ctelli on DSK11ZRN23PROD with REMARKS April 28, 2021 CONGRESSIONAL RECORD — Extensions of Remarks E461 Thank for your leadership on this issue. level for credit unions that choose to provide against criminal enterprises. To that extent, We hope Congress will take swift action to financial services to state-authorized MRBs we fully support the key elements of the address this matter and pass the SAFE and ancillary businesses that may serve SAFE Banking Act that comport with our Banking Act without delay. those businesses in states where such activ- association’s policy as outlined in this letter Sincerely, ity is legal. While H.R. 1996 does not address and that is contained in our policy resolu- SCOTT EARL, every issue on this front, it seeks to provide tion (see attachment). We also thank Rep. President/CEO, a safe harbor for financial institutions that Perlmutter, Rep. Stivers, Sen. Merkley, Sen. Mountain West Credit Union Association. wish to serve such businesses and would be Daines and all of their colleagues for leading an important step towards improving clarity on this issue. NATIONAL ASSOCIATION OF and addressing what is often perceived as I have asked our policy director, Brian FEDERALLY-INSURED CREDIT misalignment between federal and state Egan, to follow up with your offices should UNIONS, laws. It is with this in mind that NAFCU you have any questions, comments or con- Arlington, VA, April 19, 2021. urges you to support the SAFE Banking Act cerns. Please consider our members and pro- Re H.R. 1996, the SAFE Banking Act of 2021. of 2021 when it comes before the House. fessional staff as resources to you and your Thank you for your attention to this im- teams. Hon. , portant issue. We look forward to continuing Thank you again for your consideration on Speaker, House of Representatives, to work with you on this and other issues of this matter. Washington, DC. importance to credit unions. Should you Sincerely, Hon. KEVIN MCCARTHY, have any questions or require any additional SHAUN SNYDER, Minority Leader, House of Representatives, information, please do not hesitate to con- Executive Director, Washington, DC. tact me or Sarah Jacobs, NAFCU’s Associate National Association of State Treasurers DEAR SPEAKER PELOSI AND LEADER MCCAR- Director of Legislative Affairs. (NAST). THY: I write to you today on behalf of the Na- Sincerely, tional Association of Federally-Insured Cred- BRAD THALER, NATIONAL ASSOCIATION OF REALTORS, it Unions (NAFCU) in conjunction with the Vice President of Legislative Affairs. Washington, DC, March 18, 2021. House’s scheduled vote on H.R. 1996, the Hon. ED PERLMUTTER, SAFE Banking Act of 2021, to urge the House NATIONAL ASSOCIATION OF House of Representatives, to support this legislation. NAFCU advo- STATE TREASURERS, Washington, DC. cates for all federally-insured not-for-profit Washington, DC, April 14, 2021. Hon. NYDIA M. VELA´ ZQUEZ, credit unions that, in turn, serve over 124 Hon. , House of Representatives, million consumers with personal and small Chair, Committee on Banking, Washington, DC. business financial service products. U.S. Senate, Washington, DC. Hon. STEVE STIVERS, As you are aware, the vast majority of Hon. , House of Representatives, states have authorized varying degrees of Chair, Committee on Financial Services, Washington, DC. marijuana use, ranging from limited medical House of Representatives, Washington, DC. Hon. WARREN DAVIDSON, use to decriminalization and recreational Hon. PAT TOOMEY, House of Representatives, use at the state-level. NAFCU has heard Ranking Member, Committee on Banking, Washington, DC. from a number of our member credit unions U.S. Senate, Washington, DC. DEAR REPRESENTATIVES PERLMUTTER, STIV- in these states that they are being ap- Hon. PATRICK MCHENRY, ERS, VELA´ ZQUEZ, AND DAVIDSON: On behalf of proached by their members, or potential Ranking Member, Committee on Financial Serv- the 1.4 million members of the National As- members, that have a small business in or ices, House of Representatives, Washington, sociation of REALTORS (NAR) and its affil- are serving the legal cannabis industry in DC. iate, the Institute of Real. Estate Manage- their state and are seeking banking services DEAR SENATOR BROWN, SENATOR TOOMEY, ment (IREM), thank you for introducing the for their small business. REPRESENTATIVE WATERS AND REPRESENTA- ‘‘Secure and Fair Enforcement (SAFE) Bank- As the cultivation, sale, distribution, and TIVE MCHENRY: On behalf of the nation’s ing Act of 2021.’’ This bipartisan bill provides possession of marijuana remains illegal at State Treasurers, I wanted to thank you for a clear framework for cannabis businesses to the federal level under Schedule I of the Con- your leadership on critical state finance access financial services. As more states le- trolled Substances Act, the majority of cred- issues and to express our support for the Se- galize cannabis use, the industry continues it unions remain hesitant to provide finan- cure and Fair Enforcement (SAFE) Banking to rapidly grow, with more than $10 billion cial services to these members and their Act of 2021 (H.R. 1996). While we do not take in sales and $1 billion in state tax revenue al- small businesses. While the 2013 memo from any formal position on efforts to expand the ready recorded. However, the barriers keep- U.S. Deputy Attorney General James M. legality of cannabis—medical or rec- ing these state-legal businesses from access- Cole (‘‘Cole Memo’’) and the 2014 guidance reational—our association remains con- ing federally-insured banks can impede their from FinCEN have attempted to provide cerned by the ancillary effects posed by le- ability to grow while raising safety issues in clarity to financial institutions, uncertainty gitimate participants in the industry lacking their communities. remains for financial institutions in this reliable access to the federally regulated Thirty-six states have legalized cannabis area. Guidance can be rescinded at any time banking system. for medical or recreational use, a number and in fact, former Attorney General Jeff By July of this year, 15 states and the Dis- that is expected to continue to go up in the Sessions took action in 2018 to essentially re- trict of Columbia will have legalized adult coming years. Despite this, current federal scind the ‘‘Cole Memo.’’ For financial insti- use cannabis, and 36 states will have legal- law prevents federally-insured banks from tutions, such as credit unions, there are ad- ized access to medical cannabis. Nonetheless, working with cannabis businesses, as well as ditional regulatory challenges that com- conflicts between federal banking laws and ancillary businesses that provide them with pound the uncertainty of providing financial state cannabis laws create unsafe conditions goods and services—including real estate services to state-authorized marijuana-re- where many cannabis related businesses rely professionals who have cannabis business lated businesses (MRBs). These go beyond on cash-only business models, despite other- owners as their clients. As a result, those just concerns about criminal or civil pen- wise fully complying with their state’s states are struggling to address significant alties, but also extend to requirements re- health and safety rules. Unbanked cannabis challenges to public safety and the regu- lated to proper Suspicious Activity Report businesses are frequently unable to write latory compliance issues that arise with (SAR) and anti-money laundering (AML) fil- checks, make and receive electronic pay- cash-only businesses. ings as required under the Bank Secrecy Act, ments, utilize payroll providers, accept debit The SAFE Banking Act takes an impor- access to federal deposit insurance and a or credit cards, or pay taxes through a finan- tant step toward enabling financial services Federal Reserve master account, and even cial institution. The condition makes tax for legitimate cannabis-related businesses by potential issues with the Internal Revenue collection more difficult and burdensome for specifying that their proceeds will not be Service (IRS). Missteps in these areas could both businesses and governments, and sub- considered unlawful under federal money prove devastating to an institution. It stantially increases the likelihood of tax laundering laws, thus allowing these busi- should be noted that these risks also exist fraud. The inability to access banking serv- nesses access to federally-insured banking when providing financial services to ancil- ices not only directly impacts cannabis busi- institutions. Further, it directs the Finan- lary businesses that provide products and nesses, but also the secondary service pro- cial Crimes Enforcement Network (FinCEN) services to MRBs and fall within the credit viders in our states who do business with and federal banking regulators to issue guid- union’s field of membership, even if the them. ance and exam procedures for banks working state-authorized MRB does not The National Association of State Treas- with cannabis businesses. As the legal state- NAFCU does not have, and is not taking, a urers continues to support commonsense fed- cannabis industry grows, the connections to position on the broader question of the legal- eral laws and regulations to provide essen- other types of industries—including real es- ization or decriminalization of marijuana at tial banking services to legitimate cannabis tate—will grow as well. any degree at the federal or state level. How- businesses, promote public safety and finan- State-legal cannabis businesses require ever, we do support Congress taking the cial transparency, and facilitate tax and fee real estate—farmland, warehouses, and steps found in H.R. 1996 to provide greater collection without compromising federal en- storefronts—creating multiple contacts to clarity and legal certainty at the federal forcement of anti-money laundering laws other industries and businesses, each of

VerDate Sep 11 2014 06:50 Apr 29, 2021 Jkt 019060 PO 00000 Frm 00003 Fmt 0626 Sfmt 0634 E:\CR\FM\A28AP8.005 E28APPT1 ctelli on DSK11ZRN23PROD with REMARKS E462 CONGRESSIONAL RECORD — Extensions of Remarks April 28, 2021 which is affected by current laws keeping and by sharing their rich culture and traditions First Lt. Somers met her physician husband, their money out of the bank system. The with neighbors and friends. In Illinois’ Third Captain Joseph Aloysius Ballard, while serving SAFE Banking Act provides clarity for busi- District, which has one of the largest con- at the Chanute Field Army Hospital in Illinois. ness owners, banks, and regulators in the cannabis industry while promoting safety centrations of Palestinian, Jordanian, and Syr- They married on April 2, 1948. Dr. and Mrs. and ensuring further growth to the U.S. ian Americans in the country, the Arab Amer- Ballard made their home in Lexington, Ken- economy. ican community is a fundamental part of our tucky, where they raised eight children and REALTORS thank you for your diligent civic life and culture. were active members of Christ the King work to help provide access and clarity to le- Unfortunately, Arab Americans continue to Church. Mrs. Ballard had 17 grandchildren gitimate businesses in those states that have face misconceptions, bigotry, and anti-Arab and 11 great-grandchildren, with 2 more ex- legalized cannabis, which in turn will boost hate. These civil rights abuses, and instances pected in July. In 2015, at the age of 95, Mrs. economic growth in real estate and other in- of harmful stereotyping and bullying, must be Ballard threw out the first pitch at the Lex- dustries around the country. combatted through education, awareness, and Sincerely, ington Legends Military Appreciation Night to CHARLIE OPPLER, legislation. highlight Kentucky’s women veterans. 2021 President, Arab Americans join all Americans in the It is my honor to recognize this amazing pa- National Association of REALTORS. desire to see a peaceful and diverse society, triot, celebrate her life, and appreciate her for f where every individual is treated equally and her service and sacrifice to our nation during feels safe; we must continue to work towards World War II. As a part of ‘‘The Greatest Gen- RECOGNIZING GITANJALI RAO, a future where every American is able to live eration’’, Mrs. Ballard was an important part of COLORADO’S 4TH DISTRICT CON- free from discrimination. the war effort to preserve the freedoms that GRESSIONAL APP CHALLENGE I am proud to celebrate the extraordinary we enjoy today. I am forever grateful for WINNER contributions Arab Americans have made to Americans like Mary Somers Ballard. this country, and I am deeply honored to rec- ognize National Arab American Heritage HON. f OF COLORADO month this April. IN THE HOUSE OF REPRESENTATIVES f DISTRACTED DRIVING AWARENESS Wednesday, April 28, 2021 PERSONAL EXPLANATION MONTH Mr. BUCK. Madam Speaker, I rise today to recognize Ms. Gitanjali Rao for being selected HON. HON. OF ILLINOIS as Colorado’s 4th District Congressional App OF ILLINOIS Challenge Winner. With one in five pre-teens IN THE HOUSE OF REPRESENTATIVES IN THE HOUSE OF REPRESENTATIVES in the U.S. reporting being cyberbullied, Wednesday, April 28, 2021 cyberbullying others, or having seen Mrs. BUSTOS. Madam Speaker, I was un- Wednesday, April 28, 2021 cyberbullying, Ms. Rao’s app ‘‘Kindly’’ serves able to vote on the Legislative Day of April 19, Mr. KRISHNAMOORTHI. Madam Speaker, I as a preventative measure to help protect 2021. For the purposes of supporting human America’s children from this unfortunately rise today to join thousands of organizations rights around the world, had I been present for and individuals around the country in observa- common harassment. the roll call vote H. Res. 130—Condemning Ms. Rao, a student at STEM School High- tion of Distracted Driving Awareness Month. the continued violation of rights and freedoms Ten years ago, a mother who lost her daugh- lands Ranch and TIME’s 2020 Kid of the Year, of the people of Hong Kong by the People’s created the app ‘‘Kindly’’, a one-of-a-kind app ter to a distracted driving crash successfully Republic of China and the Government of the petitioned this body to have April officially des- that uses artificial intelligence algorithms to Hong Kong Special Administrative, I would detect and prevent cyberbullying at an early ignated as Distracted Driving Awareness have cast the following vote: Month. Unfortunately, we are still dealing with stage. Ms. Rao’s commitment to young people Roll Call 121: Yea. affected by cyberbullying is a credit to her. Her the impact of distracted driving on our road- f hard work and ingenuity are showcased ways. through this thoughtful, innovative app. She IN MEMORY OF MARY SOMERS Research shows that using electronic de- has shown true leadership in her community, BALLARD vices increases cognitive distraction. This can and her app will help defeat cyberbullying be deadly on the road, where a split-second around the country. HON. ANDY BARR distraction can cause a crash. Approximately On behalf of the 4th Congressional District OF KENTUCKY 3,142 people died in distraction affected driv- of Colorado, I extend my best wishes to Ms. IN THE HOUSE OF REPRESENTATIVES ing crashes in 2019—that’s eight people every Rao. Madam Speaker, it is an honor to recog- Wednesday, April 28, 2021 day dying from a completely preventable nize Ms. Rao for her great accomplishments. cause—and this number is widely believed to f Mr. BARR. Madam Speaker, I rise today to be undercounted. honor the life of Mrs. Mary Somers Ballard. During the COVID–19 pandemic, the roads IN HONOR OF NATIONAL ARAB Mrs. Ballard was born in Holyoke, Massachu- have become much more dangerous. Motor AMERICAN HERITAGE MONTH setts on July 22nd, 1919. She passed away vehicle deaths in 2020 are estimated to be the on April 14, 2021. highest in 13 years, despite dramatic drops in Mrs. Ballard was a descendant of two of the HON. miles driven Americans stayed home. While co-founders of Rhode Island. She was a proud OF ILLINOIS it’s too early to have a full understanding of New Englander who trained in nursing at IN THE HOUSE OF REPRESENTATIVES what caused this increase in the number of Mercy Hospital in Springfield, Massachusetts. people dying in crashes, distraction certainly Wednesday, April 28, 2021 She enrolled at Boston University and worked played a part. Ms. NEWMAN. Madam Speaker, I rise to at Massachusetts General Hospital. At the age celebrate April as Arab American Heritage of 23, she entered the U.S. Army Nurse Recognizing these dangerous trends, I’m Month and honor the outstanding contributions Corps, 811th Air Evacuation Squadron. When proud to be the leader of the SAFE TO DRIVE that Arab Americans have made to this coun- asked why she joined the military, she said Act with my colleagues MIKE GALLAGHER and try. ‘‘We were at war. I joined the Army Air Corps . SAFE TO DRIVE incentivizes For over a century, Arab Americans have because I thought I could make a contribu- states to pass laws eliminating distraction on been an integral part of virtually every aspect tion.’’ First Lieutenant Somers served two our roadways. I hope my colleagues will join of American society, including medicine, law, years in England. Following D–Day, she cared me in supporting passage of this legislation. business, education, technology, government, for the wounded soldiers in hospital flights I encourage all motorists to commit to driv- military service, and culture. The incredible from France and Germany to England. Mrs. ing attentively and safely, without the distrac- contributions and heritage of Arab Americans Somers was stationed with U.S. troops behind tion of cell phones or other devices. I also have helped us build a better nation. enemy lines during the Battle of the Bulge and hope my colleagues will join me this month in Men and women of Arab descent have entered Paris the day after its liberation. After raising awareness about this important issue. strengthened their communities through in- the war, she remained in the reserves until Do it for all of our constituents. Their lives are volvement in community service and public life she married. more valuable than any call, email, or text.

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