[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1576 Introduced in House (IH)]

113th CONGRESS
  1st Session
                                H. R. 1576

 To stimulate the economy, provide for a sound United States dollar by 
  defining a value for the dollar, to remove the authority of Federal 
 Reserve banks to pay earnings on certain balances maintained at such 
                     banks, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 16, 2013

 Mr. Poe of Texas introduced the following bill; which was referred to 
the Committee on Financial Services, and in addition to the Committees 
   on Ways and Means and the Budget, 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

_______________________________________________________________________

                                 A BILL


 
 To stimulate the economy, provide for a sound United States dollar by 
  defining a value for the dollar, to remove the authority of Federal 
 Reserve banks to pay earnings on certain balances maintained at such 
                     banks, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Dollar Bill Act of 2013''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Article I, section 8 of the Constitution of the United 
        States provides that the Congress shall have Power to coin 
        money, regulate the value thereof, and of foreign coin, and fix 
        the standard of weights and measures.
            (2) Congress effectively delegated the power to regulate 
        the value of United States money and foreign money to the 
        Federal Reserve System via the Federal Reserve Act of 1913.
            (3) The value of the United States dollar has fallen 
        dramatically relative to gold, crude oil, other real 
        commodities and major foreign currencies.
            (4) The value of the United States dollar has become 
        unstable and uncertain.
            (5) The Board of Governors of the Federal Reserve System 
        has not produced a stable and reliable value for the United 
        States dollar.
            (6) The Board of Governors of the Federal Reserve System 
        cannot reasonably be expected to produce a stable and reliable 
        value for the United States dollar.
            (7) An unstable dollar slows the growth of the economy by 
        increasing the cost of capital, increasing the risks attendant 
        to long-term capital investment, and increasing the effective 
        rate of the corporate income tax.
            (8) An unstable dollar reduces the real earnings of 
        American workers.
            (9) An unstable dollar reduces the real value of financial 
        assets held by the public.
            (10) An unstable dollar reduces the real value of pension 
        plans and retirement accounts upon which Americans depend for 
        their security.
            (11) An unstable dollar damages the economic and political 
        standing of the United States in the world community.
            (12) An unstable dollar gives rise to anxiety, uncertainty, 
        and risk among the financial markets and the public.

SEC. 3. DIRECTIVES TO THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE 
              SYSTEM.

    (a) In General.--Before the end of the 30-day period beginning on 
the date of the enactment of this Act, the Board of Governors of the 
Federal Reserve System shall designate a specific week (the ``Target 
Week'') starting no earlier than 90 days from the date of the enactment 
of this Act and ending no later than 120 days from the enactment of 
this Act. After designating the Target Week, the Board of Governors of 
the Federal Reserve System shall then employ a random process to select 
a specific day, hour, minute, and second during the Target Week (the 
``Target Moment''), which shall not be publicly disclosed. At the 
Target Moment, the Board of Governors of the Federal Reserve System 
shall make the value of the U.S. dollar equal to the price of gold on 
the exchange operated by the Commodities Exchange, Inc. (COMEX) of the 
New York Mercantile Exchange, Inc., as of the Target Moment and 
maintain the value of the United States dollar within plus or minus 2 
percent of such price (the ``Target Range'') thereafter.
    (b) Target.--The Board of Governors of the Federal Reserve System 
shall maintain the value of the United States dollar within the Target 
Range directly, via open market operations, and not indirectly, as in 
the current practice of targeting the Federal Funds rate.
    (c) Promotion of Stable and Effective Financial Markets.--The Board 
of Governors of the Federal Reserve System shall use the banking and 
bank regulatory powers of the Board to maintain and promote stable and 
effective financial markets during and after the transition to a 
defined value for the United States dollar.

SEC. 4. TAX DEPRECIATION.

    Effective January 1, 2013, all entities that depreciate capital 
assets for tax purposes shall be entitled to 100 percent expensing of 
all capital investment for tax purposes in the year that the investment 
is made.

SEC. 5. DIRECTIVE TO THE CONGRESSIONAL BUDGET OFFICE.

    In addition to the scoring that the Congressional Budget Office 
will do of the tax changes provided in this Act in the normal course of 
events, the Congressional Budget Office shall also calculate the impact 
on Federal revenues on a present value basis. This calculation shall be 
done in the manner that such calculations are done by the Social 
Security Trustees, and shall take into account the following:
            (1) That first year expensing of capital investment 
        accelerates, but does not change the total amount of the 
        depreciation that taxpayers take based upon their investments.
            (2) Capital investments by businesses have historically 
        earned much higher returns than the interest rate on government 
        bonds.

SEC. 6. CONFLICT OF LAWS PROVISION.

    In the event that any provisions of this Act are found to be in 
conflict with those of the Full Employment and Balanced Growth Act of 
1978, the provisions of this Act shall supersede the provisions of such 
Act to the extent of the conflict.

SEC. 7. REMOVAL OF FEDERAL RESERVE BANK AUTHORITY TO PAY EARNINGS ON 
              RESERVES.

    (a) In General.--Section 19(b)(12) of the Federal Reserve Act (12 
U.S.C. 461(b)(12)) is amended--
            (1) in the heading of such paragraph, by striking 
        ``Earnings'' and inserting ``No earnings'';
            (2) in subparagraph (A), by striking ``may receive earnings 
        to be paid by the Federal Reserve bank at least once each 
        calendar quarter, at a rate or rates not to exceed the general 
        level of short-term interest rates'' and inserting ``may not 
        receive earnings paid by the Federal Reserve bank'';
            (3) by striking subparagraph (B); and
            (4) by redesignating subparagraph (C) as subparagraph (B).
    (b) Effective Date.--The amendments made under this section shall 
take effect after the end of the 30-day period beginning on the date of 
the enactment of this Act.
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