[Congressional Record Volume 156, Number 156 (Thursday, December 2, 2010)]
[Senate]
[Page S8392]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
OUR NATION'S COINAGE
Mr. DODD. Mr. President, I would like to briefly describe two pieces
of legislation which were before the Committee on Banking, Housing, and
Urban Affairs, and recently secured full approval of the Senate.
The first piece of legislation is H.R. 6162, the Coin Modernization,
Oversight, and Continuity Act of 2010. This bill principally addresses
the issue of how to approach the costs of metals used to make our
Nation's circulating coinage. In recent years, market prices for
various metals--including those used for our Nation's coinage, such as
nickel, copper, and zinc--have risen to such a point that it costs the
U.S. Mint more than a penny to make a penny, and more than a nickel to
make a nickel. By giving the Treasury Secretary the authority to
conduct research and development on metallic materials for all
circulating coinage, as appropriate, and mandating a biennial report on
the status of current coin production costs and an analysis of
alternative content, this legislation will equip the U.S. Mint with the
tools necessary to present detailed legislative recommendations to
Congress. Should the Congress decide to act on any such prospective
recommendations for lower cost metallic materials and combinations,
there could be considerable savings to the taxpayer over time. In
addition, this bill gives the Secretary flexibility in determining the
quality and quantity of gold and silver bullion coins produced. The
Mint has recently taken drastic but prudent measures to meet the
extraordinary demand for silver and gold bullion coins and has
suspended production of its proof and uncirculated versions, which are
of great intrinsic value to collectors and coin enthusiasts. Going
forward, the Mint will be able to simultaneously offer these higher-
quality versions directly to the public while continuing to satisfy
demand for bullion coins.
The second piece of legislation is H.R. 6166, the American Eagle
Palladium Bullion Coin Act of 2010, which authorizes the Secretary to
mint and issue a $25 palladium bullion coin, subject to the submission
of a report to Congress demonstrating sufficient public demand for such
coins and no resultant net cost to taxpayers. Palladium is a sought-
after investment-grade precious metal whose market price is often
reliably above silver and below that of gold and platinum. Other
governments have issued palladium bullion coins before as investment
vehicles and collector's items, and this bill lays the groundwork for
the U.S. Mint to carry out a unique palladium coin program that would
benefit investors and numismatists, and cost nothing to the taxpayer.
The Coin Modernization, Oversight, and Continuity Act of 2010 and the
American Eagle Palladium Bullion Coin Act of 2010 have both passed the
House, and will now await the signature of the President. I am pleased
that these two bills were approved by this body, as they reflect sound
and measured policy towards improving the state of our Nation's
coinage, and thank my colleagues for their help in getting these
measures adopted.
____________________