[Congressional Record Volume 141, Number 204 (Tuesday, December 19, 1995)]
[House]
[Pages H15108-H15111]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




SMITHSONIAN INSTITUTION SESQUICENTENNIAL COMMEMORATIVE COIN ACT OF 1995

  Mr. CASTLE. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 2627), to require the Secretary of the Treasury to mint 
coins in commemoration of the sesquicentennial of the founding of the 
Smithsonian Institution, as amended.
  The Clerk read as follows:

                               H.R. 2627

       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 ``Smithsonian Institution 
     Sesquicentennial Commemorative Coin Act of 1995''.

     SEC. 2. COIN SPECIFICATIONS.

       (a) Denominations.--The Secretary of the Treasury 
     (hereafter in this Act referred to as the ``Secretary'') 
     shall mint and issue the following coins in commemoration of 
     the founding of the Smithsonian Institution:
       (1) $5 gold coins.--Not more than 100,000 5 dollar coins, 
     which shall--
       (A) weigh 8.359 grams;
       (B) have a diameter of 0.850 inches; and
       (C) contain 90 percent gold and 10 percent alloy.
       (2) $1 silver coins.--Not more than 650,000 1 dollar coins, 
     which shall--
       (A) weigh 26.73 grams;
       (B) have a diameter of 1.500 inches; and
       (C) contain 90 percent silver and 10 percent copper.
       (b) Platinum Coins.--The Secretary may mint and issue not 
     more than 100,000 5 dollar platinum coins instead of the gold 
     coins required under subsection (a)(1) in accordance with 
     such specifications as the Secretary determines to be 
     appropriate.
       (c) Legal Tender.--The coins minted under this Act shall be 
     legal tender, as provided in section 5103 of title 31, United 
     States Code.
     
[[Page H15109]]

       (d) Numismatic Items.--For purposes of section 5134 of 
     title 31, United States Code, all coins minted under this Act 
     shall be considered to be numismatic items.

     SEC. 3. SOURCES OF BULLION.

       (a) Gold.--The Secretary shall obtain gold for minting 
     coins under this Act pursuant to the authority of the 
     Secretary under other provisions of law.
       (b) Silver.--The Secretary shall obtain silver for minting 
     coins under this Act only from stockpiles established under 
     the Strategic and Critical Materials Stock Piling Act.

     SEC. 4. DESIGN OF COINS.

       (a) Design Requirements.--
       (1) In general.--The design of the coins minted under this 
     Act shall be emblematic of the scientific, educational, and 
     cultural significance and importance of the Smithsonian 
     Institution.
       (2) Designation and inscriptions.--On each coin minted 
     under this Act there shall be--
       (A) a designation of the value of the coin;
       (B) an inscription of the year ``1996'';
       (C) inscriptions of the words ``Liberty'', ``In God We 
     Trust'', ``United States of America'', and ``E Pluribus 
     Unum''; and
       (D) an inscription of the following phrase from the 
     original bequest of James Smithson: ``for the increase and 
     diffusion of knowledge''.
       (b) Selection.--The design for the coins minted under this 
     Act shall be--
       (1) selected by the Secretary after consultation with the 
     Board of Regents of the Smithsonian Institution and the 
     Commission of Fine Arts; and
       (2) reviewed by the Citizens Commemorative Coin Advisory 
     Committee.

     SEC. 5. ISSUANCE OF COINS.

       (a) Quality of Coins.--Coins minted under this Act shall be 
     issued in uncirculated and proof qualities.
       (b) Mint Facility.--Only 1 facility of the United States 
     Mint may be used to strike any particular combination of 
     denomination and quality of the coins minted under this Act.
       (c) Period for Issuance.--The Secretary may issue coins 
     minted under this Act only during the 1-year period beginning 
     on August 1, 1996.

     SEC. 6. SALE OF COINS.

       (a) Sale Price.--The coins issued under this Act shall be 
     sold by the Secretary at a price equal to the sum of--
       (1) the face value of the coins;
       (2) the surcharge provided in subsection (d) with respect 
     to such coins; and
       (3) the cost of designing and issuing the coins (including 
     labor, materials, dies, use of machinery, overhead expenses, 
     marketing, and shipping).
       (b) Bulk Sales.--The Secretary shall make bulk sales of the 
     coins issued under this Act at a reasonable discount.
       (c) Prepaid Orders.--
       (1) In general.--The Secretary shall accept prepaid orders 
     for the coins minted under this Act before the issuance of 
     such coins.
       (2) Discount.--Sale prices with respect to prepaid orders 
     under paragraph (1) shall be at a reasonable discount.
       (d) Surcharges.--All sales shall include a surcharge of--
       (1) $35 per coin for the $5 coin; and
       (2) $10 per coin for the $1 coin.

     SEC. 7. GENERAL WAIVER OF PROCUREMENT REGULATIONS.

       (a) In General.--Except as provided in subsection (b), no 
     provision of law governing procurement or public contracts 
     shall be applicable to the procurement of goods and services 
     necessary for carrying out the provisions of this Act.
       (b) Equal Employment Opportunity.--Subsection (a) shall not 
     relieve any person entering into a contract under the 
     authority of this Act from complying with any law relating to 
     equal employment opportunity.

     SEC. 8. DISTRIBUTION OF SURCHARGES.

       (a) In General.--All surcharges received by the Secretary 
     from the sale of coins issued under this Act shall be 
     promptly paid by the Secretary to the Smithsonian Institution 
     for the following purposes:
       (1) 85 percent of the amount transferred shall be available 
     for such purposes as the Board of Regents of the Smithsonian 
     Institution determines to be appropriate.
       (2) 15 percent of the amount transferred shall be dedicated 
     to the support of the operation and activities of the 
     National Numismatic Collection at the National Museum of 
     American History.
       (b) Audits.--The Comptroller General of the United States 
     shall have the right to examine such books, records, 
     documents, and other data of the Smithsonian Institution as 
     may be related to the expenditures of amounts paid under 
     subsection (a).

     SEC. 9. FINANCIAL ASSURANCES.

       (a) No Net Cost to the Government.--The Secretary shall 
     take such actions as may be necessary to ensure that minting 
     and issuing coins under this Act will not result in any net 
     cost to the United States Government.
       (b) Payment for Coins.--A coin shall not be issued under 
     this Act unless the Secretary has received--
       (1) full payment for the coin;
       (2) security satisfactory to the Secretary to indemnify the 
     United States for full payment; or
       (3) a guarantee of full payment satisfactory to the 
     Secretary from a depository institution whose deposits are 
     insured by the Federal Deposit Insurance Corporation or the 
     National Credit Union Administration Board.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Delaware [Mr. Castle] and the gentleman from New York [Mr. Flake] each 
will be recognized for 20 minutes.
  The Chair recognizes the gentleman from Delaware [Mr. Castle].
  Mr. CASTLE. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, today I rise in support of H.R. 2627, the Smithsonian 
Sesquicentennial commemorative coin bill. This bill has received very 
broad based support in this body as represented by its more than 300 
cosponsors. It is also supported by the numismatic collectors and their 
representatives on the Citizens Commemorative Coin Advisory Committee.
  Mr. Speaker, apart from the significance of the Smithsonian 
anniversary, the designation of 15 percent of the surcharge proceeds to 
benefit the numismatic collection at the Museum of American History is 
another reason for this support. The Smithsonian has agreed to have its 
coins be the first to be governed by the rules and restrictions set 
down in H.R. 2614, the Commemorative Coin Reform Act of 1995. As a 
consequence, providing the mint can prepare in time, they may also have 
the benefit of issuing the first platinum coinage in U.S. history.
  Mr. Speaker, the Commemorative Coin program is clearly in trouble, 
largely because too many unpopular coins are being produced. The 
mintage level of 800,000 silver $1 coins in the Livingston bill caused 
some discussion during subcommittee markup. Amendments of 400,000 and 
500,000 were both offered, and the ultimate compromise amendment 
offered to this bill is for a mintage level of 650,000 $1 silver coins. 
This number was reached following representations by the CCCAC 
membership and the Mint reaffirming their belief that the unique 
marketing ability of the Smithsonian justifies a higher authorization 
than 400,000 or 500,000 coins.
  The proponents of this bill have observed the rules of the Banking 
Committee by obtaining more than 290 cosponsors. This bill also 
demonstrates that the Banking Committee rules are not simply a block to 
all coin legislation, and that if a group follows the rules, they have 
an opportunity to get a coin.
  Mr. Speaker, our actions today should not be taken as an invitation 
for more coin projects to advance; 1996 is already at least fully 
subscribed, no more coins can be considered for that year.
  In the coming years, we will continue to press for full compliance 
with Banking Committee rules and if necessary we will recommend that 
they be tightened should it appear that more coins are being proposed 
than the market will absorb.
  I urge this body to immediately adopt H.R. 2627.
  Mr. Speaker, I reserve the balance of my time.
  Mr. YATES. Mr. Speaker, will the gentleman yield?
  Mr. CASTLE. I yield to the gentleman from Illinois.
  Mr. YATES. Mr. Speaker, would it not be nice if the Smithsonian were 
open so that the general public, the Americans who are visiting 
Washington, were able to see the marvelous collection of coins that the 
Smithsonian usually has on display for them?
  Mr. CASTLE. Mr. Speaker, I do not disagree with the gentleman at all, 
but I do not think this is the time to get into the discussion of why 
the Smithsonian is not open today. That may happen starting in about 20 
minutes or so. But perhaps this is not the time. Hopefully, by the time 
we pass this bill it will be open and we will be able to see that.
  Mr. Speaker, I reserve the balance of my time.
  Mr. FLAKE. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I rise in support of H.R. 2627, the Smithsonian 
Institution Sesquicentennial Commemorative Coin Act of 1995. I also 
support the manager's amendment, which was reached in bipartisan 
agreement with strong input from Representative Kennedy from 
Massachusetts. Furthermore, I commend all parties involved in this 
effort, including Chairman Castle, Mr. Kennedy, the Mint, the 
Smithsonian, and the Citizens Commemorative Coin 

[[Page H15110]]
Advisory Committee. I would also be remiss if I did not thank Mr. 
Livingston and our former colleague Mr. Mineta.
  This act celebrates one of our Nation's most celebrated treasures, 
and will commemorate 150 years of excellence in the arts, sciences, and 
history. The Smithsonian has chronicled its own history, and I would 
like to state for the Record a brief account from the Smithsonian's 
history annals:

       In 1826, James Smithson, a British scientist, drew up his 
     last will and testament, naming his nephew as beneficiary. 
     Smithson stipulated that, should the nephew die without 
     heirs--as he would in 1835--the estate should go ``to the 
     United States of America, to found at Washington, under the 
     name of the Smithsonian Institution, an establishment for the 
     increase and diffusion of knowledge among men.''
       The motives behind Smithson's bequest remain mysterious. He 
     never traveled to the United States and seems to have had no 
     correspondence with anyone here. Some have suggested that his 
     bequest was motivated in part by revenge against the 
     rigidities of British society, which had denied Smithson, who 
     was illegitimate, the right to use his father's name. Others 
     have suggested it reflected his interest in the Enlightenment 
     ideals of democracy and universal education.
       Smithson died in 1829, and six years later, President 
     Andrew Jackson announced the bequest to Congress. On July 1, 
     1836, Congress accepted the legacy bequeathed to the nation 
     and pledged the faith of the United States to the charitable 
     trust. In September 1838, Smithson's legacy, which amounted 
     to more than 100,000 gold sovereigns, was delivered to the 
     mint at Philadelphia. Recoined in U.S. currency, the gift 
     amounted to more than $500,000.
       After eight years of sometimes heated debate, an Act of 
     Congress signed by President James K. Polk on Aug. 10, 1846, 
     established the Smithsonian Institution as a trust to be 
     administered by a Board of Regents and a Secretary of the 
     Smithsonian.

  Mr. Speaker, this is the first legislation to be considered under the 
rubric of legislation passed just 2 weeks ago under the guidance of 
Chairman Castle. I could not think of a better bill to mark our new 
process minting commemorative coins, and I hope that the collecting 
community, and the general public, will benefit from this new process. 
H.R. 2627 shows that the Citizens Commemorative Coin Advisory Committee 
process works, and that the Banking Committee will only consider CCCAC 
coin recommendations with the cosponsorship of two-thirds of the House.
  In closing, let me say that during the subcommittee markup, I was 
prepared to offer an amendment to allow the minting of no more than 
500,000 silver coins, which was the original recommendation of CCCAC. 
Valid concerns from Mr. Kennedy were debated, and after discussion we 
finally arrived at a mintage level of 650,000 silver dollars coins. In 
the future, I strongly urge the Mint and CCCAC to resolve discrepancies 
early, and to report to Congress firm recommendations.
  Mr. Speaker, I strongly support this bill, and urge all of colleagues 
to do the same.
   Mr. Speaker, I yield such time as he may consume to the gentleman 
from Maryland [Mr. Hoyer].
  Mr. HOYER. Mr. Speaker, I thank the gentleman from New York, my good 
friend Mr. Flake, for yielding me this time.
  I rise in very strong support of this legislation. I rise for a 
reason in addition to that. The American public is angry with us today, 
as well, in my opinion, they ought to be.

                              {time}  1145

  The American public sees, on a very regular basis, the confrontation 
between Members on this floor and on the Senate floor and between the 
Congress and the President. They conclude, all too often, that all we 
do here is fight with one another; that we cannot, as adults, as 
reasonable, rational representatives of our various constituencies, 
come together and do things that make sense.
   Mr. Speaker, I rise, therefore, to not only note that this 
legislation is important legislation that will not only commemorate, 
but will assist the work of one of the great institutions in this 
country, the Smithsonian Institution. My friend, who is in charge of 
funding the Smithsonian Institution, in exile, I should say, he and the 
gentleman from Ohio [Mr. Regula] are in charge. The fact of the matter 
is that it is one of the great institutions of the world, as the 
gentleman from Illinois [Mr. Yates] so well observes.
  I want to, therefore, rise and congratulate and express appreciation 
to one of the very decent and able Members of this House, the gentleman 
from Delaware [Mr. Castle], the former Governor of the State of 
Delaware. The gentleman, frankly, is the kind of representative every 
American wants to have. A thoughtful, hard-working, conscientious, 
honest individual. Not only in addressing this issue, which is a 
relatively minor issue, but some of the great issues that confront this 
House.

  The gentleman from Delaware and I have had the opportunity of working 
together over the last few months on this particular piece of 
legislation. As he observed, there is a problem. The numismatic 
community has observed the problem of overissuance of coins and, 
therefore, the glutting of the market and the threatening of the value 
of each one of the issues.
  The gentleman from Delaware has been concerned about that. The 
gentleman from New York [Mr. Flake] has expressed his concern about 
that. The gentleman from New York and the gentleman from Delaware 
together are individuals who did and do work with one another and on 
both sides of the aisle to try to make good common sense, and turn that 
into good public policy. I think they have done that in this bill.
  Mr. Speaker, I also want to thank the gentleman from Massachusetts 
[Mr. Kennedy]. He is the former chairman of this committee and is very 
interested and knowledgeable about the whole issue of the authorization 
of the minting of coins. He has addressed this issue, and I appreciate 
very much, as the gentleman from New York has observed, his agreement 
to compromise between the 800,000 that the Smithsonian thought was a 
viable number and the 500,000 that the numismatic committee originally 
recommended, and then modified their recommendation because of the 
ability of the Smithsonian to market its coins.
  Mr. Speaker, I want to thank the gentleman from Massachusetts, the 
gentleman from Delaware, and the gentleman from New York.
  I would close, Mr. Speaker, in support of this legislation by simply 
mentioning one additional individual. John Berry, formerly of my staff, 
now works at Smithsonian and he has been very interested in this 
particular piece of legislation. I thank him for the energy and the 
tenaciousness that he has shown and congratulate him on the success of 
the passage of this legislation.
  Mr. FLAKE. Mr. Speaker, if the gentleman from Delaware [Mr. Castle] 
does not have any additional speakers, and before the gentleman and I 
get our own coins here with all of these marvelous commendations, I am 
prepared to yield back.
  Mr. CASTLE. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, we do not have additional speakers. I know the gentleman 
from Louisiana [Mr. Livingston] is trying to get here. He is in a press 
conference, and the gentleman will submit a statement later as sponsor 
of the legislation.
  Mr. Speaker, I would like very much to thank the gentleman from New 
York [Mr. Flake] for his very interesting history lesson on the 
Smithsonian, which I think is a good lesson for schoolchildren and 
people who may have heard it across the country. It is one that maybe 
even not a lot of Members know and understand.
  Mr. Speaker, I also thank the gentleman from Maryland [Mr. Hoyer] for 
his very kind words and his work throughout this, and I thank the 
gentleman from New York for all the exceptional hard work that he and 
his staff do and the cooperation to allow us to get legislation like 
this done. If I thought it was that simple, I would suggest that we 
take over the budget. But we will leave it alone at this point.
  Mr. LIVINGSTON. Mr. Speaker, as a member of the Smithsonian Board of 
Regents, I rise in support of H.R. 2627, which authorizes the minting 
of a coin to commemorate the Smithsonian Institution's 150th 
anniversary.
  I appreciate Chairman Castle and Ranking Member Flake for moving so 
quickly in subcommittee so that we can enact this bill in time for next 
year's anniversary. I also appreciate Full Committee Chairman Leach and 
Ranking Member Gonzalez for their work in moving the bill to the House 
floor.

[[Page H15111]]

  The Institution is planning a number of events beginning in January 
1996 to celebrate 150 years of providing education, research, and 
exhibitions to the American public and the world. The proceeds 
generated from this coin program will help finance a travelling 
exhibition, which will take many of our national treasures ``off the 
mall'' and display them in cities across the country. Many Americans 
who are unable to come to Washington will be able to enjoy a 
blockbuster exhibition of 350 treasured Smithsonian artifacts including 
the Apollo 14 space capsule, a hat belonging to Abraham Lincoln, and a 
Wright Brothers biplane.
  This coin bill will also devote 15 percent of the proceeds to the 
numismatic collection at the National Museum of American History 
helping coin collectors invest in their own history. This provision 
will insure that the Smithsonian coin will have the support of the coin 
collecting community.
  I am pleased that the interested members were able to compromise on 
the number of coins to be minted under this bill. While I am 
disappointed that we are not authorizing the full 800,000 coins as 
supported by the Citizens Advisory Committee, I am glad that we could 
compromise on the 650,000 level. The marketing opportunities provided 
through Smithsonian's magazine and catalogue coupled with the support 
of the coin collecting community, will ensure that the Secretary of 
Treasury will quickly sell the authorized level of coins.
  This coin bill complies with H.R. 2614, the Commemorative Coin 
Authorization and Reform Act of 1995, which passed the House on 
December 5, 1995. The Smithsonian will audit all proceeds from the coin 
and the Comptroller General will have the right to review the audit. 
The Smithsonian will not receive any funding until the Treasury has 
recovered all costs associated with minting the coin. This bill has the 
support of the U.S. Mint and the congressionally established Citizens 
Commemorative Coin Advisory Committee, and the numismatic community.
  I urge my colleagues to support H.R. 2627, and I yield back the 
balance of my time.
  Mr. FLAKE. Mr. Speaker, I yield back the balance of my time.
  Mr. CASTLE. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Bunn of Oregon). The question is on the 
motion offered by the gentleman from Delaware [Mr. Castle] that the 
House suspend the rules and pass the bill, H.R. 2627, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

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