California Committee Approves Bill to Establish Marijuana Banks and Credit Unions

Legislation that would allow for the creation of a special class of state-chartered banks and credit unions that could service California’s legal marijuana industry has been passed by a key Senate committee.

Filed by Senator Robert Hertzberg (D), Senate Bill 930 was passed recently by the Senate Banking and Financial Institutions Committee in a 6 to 1 vote, sending it to the Senate Appropriations Committee. Passage in the Appropriations Committee would send it to the full Senate. If passed by the Senate, and then the House of Representatives, it would go to Governor Jerry Brown for final consideration.

The proposed law would allow for the creation of special state-chartered banks and credit unions that could legally process transactions by licensed marijuana businesses. These “marijuana banks” would be regulated by the Department of Business Oversight.

Read moreCalifornia Committee Approves Bill to Establish Marijuana Banks and Credit Unions