Vote Smart's Synopsis:

Vote to pass a bill that authorizes California to license and regulate limited charter banks and credit unions, from which cannabis businesses can receive financial services.

Highlights:

• Authorizes the state to issue licenses to cannabis charter banks or credit unions for the purpose of providing financial services to businesses in the cannabis industry (Sec. 1).

• Authorizes such banks to provide checking accounts, credit cards, debit cards, and electronic payment services to cannabis business account holders (Sec. 1).

• Authorizes such banks to issue special purpose checks to cannabis business account holders to be used for the following purposes (Sec. 1):

• To pay fees or taxes to the state or local jurisdiction;

• To pay rent on leased property;

• To pay vendors for providing cannabis goods or services; and

• To purchase bonds or other forms of investment in California businesses.

• Authorizes such banks to provide accounts to people and entities other than cannabis businesses (Sec. 1).

• Prohibits such banks from engaging in banking activity with any other financial institution that lacks a limited purpose charter issued for this purpose (Sec. 1).

Full Bill Text