Contributed by Thomas “John” Nelson
Alaskans have spoken. The majority of Alaskan voters voted to legalize marijuana and want cannabis to come out of the closet and be recognized as a viable industry. Yet cannabis enthusiasts are stuck somewhere between federal bureaucracy, federal overreach and state lawmakers who are trying to keep up with the growing needs of the cannabis industry.
As a candidate for Congress, it is my responsibility to understand the issues that face Alaskans and offer solutions. If elected to serve in the U.S. House of Representatives, I would go back to represent all Alaskans in Washington, then I need to understand the core issues.
So, I attended the 2018 Cannabis Cup at Settlers Bay Golf Course, to talk with the business owners and pro-cannabis vendors to get their perspective, hear their issues and understand their industry better. The event featured numerous bands, vendors and activities which attracted cannabis enthusiasts from not just Alaska, but people from other states and around the world. I was fascinated at how eager the vendors were to share their knowledge, expertise and experiences. Education was a core focus for many vendors. They want to teach people about the benefits, opportunities and qualities cannabis offers. With a broad range of uses, cannabis is used as a recreational drug (smoked like tobacco), to manufacturing hemp products to offering medical treatment for various ailments with the medicinal properties of CBDs. One focus I specifically wanted to discuss with business owners at the event, is a core issue the cannabis industry faces and that is, “What to do with the money?”
I have a unique perspective. I work in the financial services industry as a financial advisor. I have experience in the banking industry and as a financial professional, I recognize that cannabis is federally regulated as a controlled substance. This prohibits banks from accepting money from any activity in the cannabis industry. Money from the cannabis industry is treated the same as monies from any other illegal activity. Simply put, it is OFF LIMITS!
Cannabis falls under FINCEN rules and regulation. The Financial Crimes Enforcement Network (FINCEN) is a bureau administered by the Department of the Treasury that was created to punish money launderers. Money laundering is described as accepting money from illegal activities (such as the sale of marijuana), which is placed back into circulation. Each year, I take continuing education on ethics as well as anti-money laundering education on how to identify, handle and report suspicious activity. Financial institutions, including banks that clear with the Federal Reserve cannot accept deposits from the cannabis industry, even though states have made cannabis legal.
There are some banks (or credit unions) in states that have legalized cannabis that will look the other way and still accept deposits, but it is at the discretion of the bank and risks the Feds stepping in to seize the assets of the bank, as it is still considered money laundering. States that choose to legalize cannabis also have to change their laws to allow local banks to accept money within the state, but this is easier said than done. Taxes collected are paid in cash and this creates an entirely different set of issues and concerns. If elected to serve in Congress, I will have to address this and many other issues.
Long before cannabis became legal in Alaska, I was an advocate for creating a public bank, modeled like the Bank of North Dakota, that would solve so many issues we face here in Alaska. It would create transparency, provide local banks an alternative to the Federal Reserve for clearing and loaning money back to local banks for economic development projects within Alaska, provide investors a place to invest in industry and if built properly, as long as the public bank didn’t clear through the Federal Reserve, it could accept money from the cannabis industry. That money would then stay in Alaska to support Alaskan projects.
The benefits of a public bank are numerous, and I lend my expertise to solve this and many other issues. But it must be addressed on both the state level and the federal level. It is my pledge to address this back in Washington, if the voters want me to be their voice in Congress. We must work together as Alaskans to solve these and other important issues.
In summary, it is my opinion that the same Alaskan voters that voted to legalize marijuana and bring light a budding industry, may very well be the largest advocating group in Alaska. They are the silent majority. They don’t want government telling them what they can and cannot do in their personal lives. They want to work within the law to bring the cannabis industry on an equal playing field as tobacco or alcohol. But they cannot wait for politicians to solve these issues. They, being you, ALL Alaskans must not just exercise your right to vote, but you must remain engaged in the law-making process after the election. You must tell others to get out to vote (G.O.T.V.) on August 21st in the primary election.
Then you must stay engaged because as one Cannabis Cup attendee “Nick” stated, “Look at what California is doing, and do the opposite!” If you do not get engaged, then someone else will write the law that affects you. Be the change you want to see in Alaska. You must act, or you will be ruled by the majority of people who show up and vote.
One thing is sure, Alaskans have to look out for Alaskans first, and that is my pledge. If elected to serve in Washington, I serve ALL Alaskans fairly. Now, G.O.T.V. on August 21st because it’s time to make a difference!
Your friend,
John
Thomas “John” Nelson
Congressional Candidate for
U.S. House of Representatives