[Congressional Record Volume 157, Number 119 (Monday, August 1, 2011)]
[Extensions of Remarks]
[Page E1476]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




  INTRODUCTION OF THE PRESIDENTIAL DOLLAR COIN EFFICIENCY ACT OF 2011

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                        HON. CAROLYN B. MALONEY

                              of new york

                    in the house of representatives

                         Monday, August 1, 2011

  Mrs. MALONEY. Mr. Speaker, I rise today to introduce the 
``Presidential Dollar Coin Efficiency Act of 2011.'' This bill makes 
some changes to a law I was proud to cosponsor back in 2005, the 
``Presidential Dollar Coin Act of 2005.'' At the time, the 
Congressional Budget Office estimated that the bill would reduce the 
deficit by $280 million over the life of the program. However, since 
the law has been in place, it is clear that demand for the dollar coins 
has not been as high as predicted. The Federal Reserve is now spending 
its resources to house excess coin stock that comes back to the reserve 
banks after they have been in circulation.
  The bill I am introducing today will address the problems of a lack 
of coordination between the Fed and Treasury and will remove some of 
the statutory restrictions in the law that keep the two agencies from 
running the program efficiently in an environment of lower demand. But 
the bill will maintain the program which numismatists, citizens, and 
businesses have invested in and which should continue.
  The bill seeks to make changes to the program that will allow it to 
function more efficiently with the goal of reducing the number of coins 
that have to be stored at the Fed. It will also require the Fed and 
Treasury to coordinate administration of the Presidential Dollar Coin 
program by: requiring the two agencies to come up with a plan to reduce 
excess reserves; eliminating the introductory period for unmixed coins; 
capping the number of coins that the Mint can produce based on 
numismatic demand from the year before; removing the requirement that 
the Mint spend money on marketing the coin; and moving up the reporting 
requirement under a law passed last year that gives the Mint the 
authority to research and develop new metals for coins.
  By removing some of the statutory constraints that were placed on the 
Fed and Treasury in the original law, I believe that this worthy 
program can continue in a more limited manner which will reduce excess 
coin stock being housed at the Fed. I urge my colleagues to support 
this legislation.

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