SAFE Banking Act of 2026
- Bill Number
- H.R. 9471
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Finance and Financial Sector
- Status
- Introduced
- Latest Action
- 2026-06-25: Referred to the Committee on Financial Services, and in addition to the Committees on the Judiciary, and Veterans' Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- Last Updated
- 2026-07-09T22:34:59Z
AI-Generated Summary
Summary of H.R. 9471: Secure And Fair Enforcement Banking Act of 2026 (SAFE Banking Act of 2026)
Purpose
This legislation aims to shield financial institutions from federal penalties when they provide banking and related services to businesses involved in marijuana activities that comply with state, tribal, or local laws. It addresses barriers faced by these businesses in accessing financial services due to the conflict between federal prohibitions on marijuana and state-level allowances.
Key Provisions
- Safe Harbor for Depository Institutions (Section 3): Prohibits federal banking regulators from terminating deposit insurance, penalizing, or discouraging banks for serving state-sanctioned marijuana businesses or their service providers. This extends to new institutions seeking charters.
- Protections for Financial Services (Sections 4 and 5): Treats proceeds from compliant state-sanctioned marijuana activities as not unlawful under federal money laundering laws (e.g., 18 U.S.C. §§ 1956 and 1957). Shields banks, insurers, Federal Reserve Banks, and Federal Home Loan Banks from liability for providing services or investing related income. Includes protections against forfeiture of collateral interests.
- Suspicious Activity Reports (Section 6): Requires updates to Treasury guidance on reporting suspicious transactions involving these businesses to align with the Act's goals while maintaining reporting obligations.
- Guidance and Procedures (Section 7): Mandates uniform guidance from the Federal Financial Institutions Examination Council for banks serving these businesses, including rules for accepting legacy cash deposits.
- Hemp-Related Businesses (Sections 8 and 14): Directs regulators to update guidance for hemp businesses (which are already legal federally) and applies most Act provisions to them similarly.
- Mortgage Loans (Section 9): Requires income from compliant marijuana businesses to be treated like other legal income when qualifying for federally backed single-family mortgage loans. Implements changes via agency notices and guides.
- Account Termination Rules (Section 10): Limits regulators' ability to order banks to close customer accounts unless based on unsafe practices or specific violations (not primarily reputational risk). Requires written justifications and customer notices in most cases.
- Diversity and Inclusion (Sections 11–12): Requires annual reports from regulators on access for minority-owned, veteran-owned, women-owned, and small businesses in this sector. Mandates a GAO study on barriers to entry.
- GAO Study on Reports (Section 13): Directs a study on the effectiveness of suspicious transaction reports in identifying links to transnational crime in marijuana-legal areas.
Significant Changes to Existing Law
- Introduces safe harbors and liability protections that override aspects of the Controlled Substances Act and Bank Secrecy Act for compliant state activities.
- Amends suspicious activity reporting requirements under 31 U.S.C. § 5318(g).
- Modifies treatment of income for mortgage eligibility under federal housing programs.
- Restricts certain supervisory actions by federal banking agencies.
Potential Impacts
- On Government Agencies: Federal banking regulators (e.g., FDIC, Federal Reserve, OCC) must update guidance and examination processes; limits their enforcement discretion in this area. GAO conducts required studies.
- On Citizens and Businesses: Enables state-legal marijuana and hemp businesses to access banking, loans, and insurance more easily, potentially reducing cash-only operations. Affects mortgage borrowers using such income.
- On International Relations: No direct provisions; focuses solely on domestic federal-state interactions.
Main Stakeholders Affected
- Depository institutions (banks, credit unions) and related entities (insurers, community development financial institutions).
- State-sanctioned marijuana businesses, service providers, and hemp-related businesses.
- Federal banking regulators and agencies (e.g., Treasury, VA, USDA, Fannie Mae, Freddie Mac).
- Minority-owned, veteran-owned, women-owned, and small businesses in these sectors.
- GAO and congressional committees for oversight.
Notable Legal, Constitutional, or Political Implications
- Creates a framework to navigate federal-state conflicts on marijuana without altering its federal illegal status, potentially raising issues of federal preemption.
- Includes rules of construction preserving regulators' general authority and law enforcement capabilities for non-compliant activities.
- Bipartisan introduction suggests cross-party support for addressing practical banking access issues.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Joyce, David P. [R-OH-14]
Cosponsors (7)
Rep. Himes, James A. [D-CT-4], Rep. Davidson, Warren [R-OH-8], Rep. Velázquez, Nydia M. [D-NY-7], Rep. Mast, Brian J. [R-FL-21], Rep. Correa, J. Luis [D-CA-46], Rep. Reschenthaler, Guy [R-PA-14], Rep. Titus, Dina [D-NV-1]
Recent Actions
- 2026-06-25: Referred to the Committee on Financial Services, and in addition to the Committees on the Judiciary, and Veterans' Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2026-06-25: Referred to the Committee on Financial Services, and in addition to the Committees on the Judiciary, and Veterans' Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2026-06-25: Referred to the Committee on Financial Services, and in addition to the Committees on the Judiciary, and Veterans' Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2026-06-25: Introduced in House
- 2026-06-25: Introduced in House
Bill Versions
- Secure And Fair Enforcement Banking Act of 2026 — issued 2026-06-25 — PDF (38 pages)