Perlmutter, driving force behind cannabis banking bill, to retire

WASHINGTON — Rep. Ed Perlmutter of Colorado, one of Congress’s loudest advocates for cannabis banking legislation, will not seek reelection in 2022.

Perlmutter, 68, is the latest House Democrat to announce retirement plans in recent weeks.

A member of the House Financial Services Committee, Perlmutter has been a driving force behind the push to allow federally regulated financial institutions to work with cannabis firms in states that have legalized the substance.

Perlmutter is the 26th House Democrat so far to bow out of politics before the 2022 midterm election. He was reelected in 2020 with more than 59% of the vote, and his congressional district, Colorado’s 7th, was considered a relatively safe Democratic seat. But the coming midterm elections are expected to be historically tough for President Biden’s party.

“After much thought and consideration, I have decided not to run for reelection,” Perlmutter said in a press release. “I’ve never shied away from a challenge but it’s time for me to move on and explore other opportunities.”

Perlmutter was the author and sponsor of the Secure and Fair Enforcement (SAFE) Banking Act, first passed by a bipartisan House majority in 2019 and several times since as both a standalone bill and as part of a must-pass defense spending bill.

But the SAFE Banking Act has yet to face a Senate vote. Once blocked by former Senate Banking Chair Mike Crapo, R-Idaho, the legislation has taken a back seat since the 2020 elections in favor of Democrats' push for broader cannabis legalization.

Few in Washington today expect broader legalization to succeed while Senate filibuster rules require that most legislation gets at least 60 votes to pass. If Democrats cannot accomplish broad cannabis legalization, they may fall back on a narrower bill that clears the way for banks to work with cannabis firms, analysts say.

Perlmutter’s announcement said his office was proud to have elevated “the public safety risk of the cash-only cannabis industry here in [Colorado] and across the country.”