May 2, 2024
Senate Committee Approves MBA-Supported Measures
The Senate Insurance and Banking Committee approved two MBA-supported bills Tuesday.
House Bill 2756, sponsored by Rep. Michael O’Donnell, R-St. Louis, would eliminate residential property from the Property Assessed Clean Energy program.
House Bill 2780, sponsored by Rep. Justin Hicks, R-Lake St. Louis, includes the 2022 amendments to the Uniform Commercial Code, among other provisions that were added on the House floor. MBA thanks Chairwoman Sen. Sandy Crawford, R-Buffalo, for hearing both bills.
Both bills now move to the Senate floor for debate. However, it’s unknown when Senate debate could occur. Members of the Freedom Caucus stalled legislative action in the chamber this week as they filibustered legislation to renew the Federal Reimbursement Allowance tax that helps fund the state’s Medicaid program. The filibuster ended before 3:30 a.m. today, and the Senate adjourned until Monday.
Next week could potentially be contentious as senators begin debating the appropriations bills for the state budget. Although none of the Freedom Caucus’ demands were met during their filibuster this week, they could hold up proceedings for the state budget, which must be approved by Friday, May 10. The legislative session ends Friday, May 17.
CFPB, DOT to Hold Hearing on Airline, Credit Card Rewards Programs
The Consumer Financial Protection Bureau and the U.S. Department of Transportation will host a hearing on airline and credit card rewards programs at 9 a.m. Thursday, May 9. Industry representatives, labor leaders and consumer advocates will discuss competition issues and challenges that consumers experience with airline and credit card rewards programs.
“This hearing is a complete farce,” said MBA President and CEO Jackson Hataway. “Senators are not making any traction on their attempts to impose government mandates for credit card routing networks, so this so-called ‘hearing’ is the latest attempt by the CFPB to circumvent legislative procedures.”
The CFPB and DOT will livestream the hearing. Individuals wishing to provide a live, one-minute, virtual comment about airline or credit card rewards can email PE_events@cfpb.gov for additional details.
DEA to Ease Federal Marijuana Restrictions
News outlets reported this week that the U.S. Drug Enforcement Administration is proposing to ease federal restrictions on marijuana by reclassifying the drug. Reclassifying marijuana from a controlled Schedule I drug to a Schedule III drug, such as Tylenol with codeine, would expand the availability of marijuana for medicinal purposes.
The DEA’s proposal, which still needs to be reviewed by the White House Office of Management and Budget, would not legalize marijuana for recreational use. Once OMB reviews the proposal, DEA will publish its proposed rule for public comment.
Despite this announcement, marijuana remains illegal under federal law. Even if DEA is successful in reclassifying the drug for medicinal purposes, it will still be illegal for recreational use and still poses legal issues concerning banking.
In Missouri, cannabis is legal for both medical and recreational use. The bipartisan SAFER Banking Act currently in Congress would allow banks to provide financial services to the cannabis industry. Passing this legislation also increases public safety, tax collection and transparency with the cannabis industry.
Submit Banking Leadership Missouri Applications by Friday
The deadline to submit applications for MBA’s
2024-25 Banking Leadership Missouri program is tomorrow, Friday, May 3. The 12-month program is designed specifically for bankers with broader responsibilities, those in a management role or bankers who have potential for senior management. The program begins in June 2024 and concludes June 2025. A maximum of 25 Missouri bankers will be selected to participate in the tenth class of Banking Leadership Missouri.