[House Report 119-235]
[From the U.S. Government Publishing Office]


119th Congress }                                         { Report 
                        HOUSE OF REPRESENTATIVES
  1st Session  }                                         { 119-235
======================================================================
 
                           COMMON CENTS ACT

                                _______
                                

 September 4, 2025.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

    Mr. Hill of Arkansas, from the Committee on Financial Services, 
                        submitted the following

                              R E P O R T

                             together with

                             MINORITY VIEWS

                        [To accompany H.R. 3074]

    The Committee on Financial Services, to whom was referred 
the bill (H.R. 3074) to direct the Secretary of the Treasury to 
stop minting the penny, to require cash transactions to be 
rounded up or down to the nearest five cents, and for other 
purposes, having considered the same, reports favorably thereon 
with an amendment and recommends that the bill as amended do 
pass.

                                CONTENTS

                                                                   Page
Purpose and Summary..............................................     2
Background and Need for Legislation..............................     3
Committee Consideration..........................................     4
Related Hearings.................................................     4
Committee Votes..................................................     5
Committee Oversight Findings.....................................     8
Performance Goals and Objectives.................................     8
Committee Cost Estimate..........................................     8
New Budget Authority and CBO Cost Estimate.......................     8
Unfunded Mandates Statement......................................     8
Earmark Statement................................................     8
Federal Advisory Committee Act Statement.........................     9
Applicability to the Legislative Branch..........................     9
Duplication of Federal Programs..................................     9
Section-by-Section Analysis of the Legislation...................     9
Changes in Existing Law Made by the Bill, as Reported............     9
Documents Included by Unanimous Consent..........................    40
Minority Views...................................................    42
    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Common Cents Act''.

SEC. 2. SPECIFICATIONS OF 5-CENT COINS AND ELIMINATION OF ONE-CENT 
                    COINS.

  Section 5112 of title 31, United States Code, is amended--
          (1) in subsection (a)--
                  (A) in paragraph (5), by striking ``weighs 5 grams.'' 
                and inserting the following: ``weighs--
                  ``(A) 5 grams, with respect to such coin that is an 
                alloy of copper and nickel; or
                  ``(B) between 4 and 6 grams, with respect to such 
                coin as described in subsection (c).''; and
                  (B) in paragraph (6)--
                          (i) by striking ``except as provided under 
                        subsection (c) of this section,''; and
                          (ii) by striking ``and weighs 3.11 grams'';
          (2) in subsection (b)--
                  (A) in the sixth sentence--
                          (i) by inserting ``either'' before ``an 
                        alloy''; and
                          (ii) by inserting ``or a composition 
                        described in subsection (c)'' before the 
                        period;
                  (B) by inserting ``with respect to such coins that 
                are an alloy of copper and nickel'' after ``nickel 
                required''; and
                  (C) by striking ``Except'' through ``zinc'' and 
                inserting ``The one-cent coin is composed of copper and 
                zinc'';
          (3) by amending subsection (c) to read as follows:
  ``(c) 5-cent Coin.--
          ``(1) In general.--The 5-cent coin may be a coin with an 
        inner layer of zinc and an outer layer of nickel.
          ``(2) Composition.--The Secretary may prescribe the 
        composition of zinc and nickel in the 5-cent coin, subject to 
        testing and evaluation that such composition reduces the cost 
        incurred to produce such coin.''; and
          (4) by adding at the end the following:
  ``(bb) Elimination of One-cent Coin.--
          ``(1) In general.--Notwithstanding any other provision of 
        law, the Secretary shall cease production of one-cent coins for 
        general circulation, but may continue to produce and issue one-
        cent coins for sale as numismatic items.
          ``(2) No effect on legal tender.--Any one-cent coin that is 
        minted and issued on any date before the date of the enactment 
        of this subsection shall remain legal tender for all debts, 
        public charges, taxes, and dues.''.

                          Purpose and Summary

    H.R. 3074, the Common Cents Act, was introduced on April 
29, 2025 by Republican Representative Lisa McClain (MI-09). 
H.R. 3074 directs the Secretary of the Treasury to cease 
production of pennies within one year of enactment but not 
affect the continued status of the penny as legal tender. The 
bill provides for an exception for numismatic pennies, which 
the U.S. Mint would still be permitted to produce, so long as 
the net receipts from the sale of these numismatic pennies are 
sufficient to cover the total cost of their production.
    Additionally, H.R. 3074 authorizes an alternative 
composition for producing nickels, consisting of a zinc inner 
layer with a nickel outer layer, with the Secretary of the 
Treasury determining the specific zinc-nickel makeup. This new 
composition would be subject to testing and evaluation to 
confirm that it lowers production costs. The bill preserves the 
U.S. Mint's ability to continue producing nickels using the 
current alloy of 75 percent copper and 25 percent nickel.

                  Background and Need for Legislation

    Article I, Section 8, Clause 5 of the U.S. Constitution 
gives Congress the sole authority to coin money, determine its 
value, and establish standard weights and measures.\1\ Congress 
established the U.S. Mint in the Coinage Act of 1792.\2\
---------------------------------------------------------------------------
    \1\U.S. CONST. art. I, Sec. 8, cl. 5.
    \2\Coinage Act of April 2, 1792, https://www.usmint.gov/learn/
history/historical-
documents/coinage-act-of-april-2-1792?srsltid=AfmBOoqhi6CErmZrPfkfTbYI_
rz3yrZGOxOs29nAIAzLEhVSEG8yRe4V (last visited July 8, 2025).
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    On May 22, 2025, the Treasury Department announced it would 
begin efforts to suspend production of the penny, following a 
directive issued by President Trump in February 2025. The U.S. 
Mint received its final supply of penny blanks in June 2025 and 
expects to cease issuing new pennies into circulation by the 
end of 2025.
    Legislative efforts to eliminate the penny from circulation 
in the U.S. date back to the 1980s and have involved 
initiatives from both Democrats and Republicans over the past 
four decades. These efforts have been driven by the penny's 
increasing production costs and diminishing purchasing power.
    According to the US Mint's FY 2024 audit, the unit cost for 
pennies was 3.69 cents, marking the 19th consecutive fiscal 
year the unit cost has remained above the face value. The US 
Mint lost approximately $85.3 million in the 2024 fiscal year 
from penny production. In 2013, then-President Obama also 
explored ending the penny given the costs of production.
    H.R. 3074 provides for an exception for the production of 
numismatic pennies given their important cultural, economic, 
and educational benefits. Commemorative and collectible coins 
celebrate American history, milestones, and notable figures, 
while also allowing coin enthusiasts to expand their 
collections and sustain a robust domestic collectibles market. 
The U.S. Mint generates profits from numismatic coin 
production--$42 million in 2024--which supports its operations 
and are deposited into the Treasury's general fund through 
budget transfers.\3\
---------------------------------------------------------------------------
    \3\THE U.S. MINT, 2024 ANNUAL REPORT (2024).
---------------------------------------------------------------------------
    In 2013, then-President Obama considered legislative 
efforts to eliminate the penny due to its high production 
costs. When asked why the Treasury continues to mint pennies 
even though the cost to mint exceeds their value, he said, 
``any time we're spending money on something people aren't 
going to use, that's something that should change.''\4\
---------------------------------------------------------------------------
    \4\Jonathan Easley, Obama Favors Sacking the Expensive Penny, THE 
HILL, Feb. 14, 2013, https://thehill.com/blogs/blog-briefing-room/news/
142333-obama-favors-sacking-the-expensive-penny/.
---------------------------------------------------------------------------
    Canada, Australia, New Zealand, and Sweden have all 
eliminated their pennies in recent decades to reduce costs and 
improve efficiency in their economies. Canada stopped 
distributing pennies in 2012 due to the coin's production costs 
exceeding its face value.\5\ Australia and New Zealand forged 
similar paths in the early 1990s, withdrawing one- and two-cent 
coins to streamline currency and cut expenses.\6\ Sweden 
eliminated its smallest coins in 1972 to encourage electronic 
payments and simplify cash handling.\7\ In all these countries, 
the removal of low-value coins has led to minimal public 
disruption and cost savings for governments. In all these 
countries, the removal of low-value coins has led to minimal 
public disruption, cost savings for governments, and a gradual 
shift toward digital transactions.
---------------------------------------------------------------------------
    \5\Martha C. White et al., Trump's Coin Toss: What's Going to 
Happen When the U.S. Scraps Pennies?, NASDAQ (May 22, 2025), https://
www.nasdaq.com/articles/trumps-coin-toss-whats-going-happen-when-us-
scraps-pennies.
    \6\Id.
    \7\Id.
---------------------------------------------------------------------------
    However, eliminating the penny may increase demand for the 
nickel, which the U.S. Mint also produces at a per-unit loss. 
The FY 2024 unit cost for nickels was $13.78 cents and the US 
Mint lost approximately $18 million from nickel production. 
Currently, Section 5112 of title 31, U.S.C. mandates that the 
5-cent coin is an alloy of 75 percent copper and 25 percent 
nickel. As of July 16, the spot price per metric ton for nickel 
was $14,836;\8\ the spot price per metric ton for zinc was 
$2,699;\9\ and the spot price per metric ton for copper was 
$9,563.\10\ To reduce costs in nickel production, efforts have 
been made to develop a zinc-based nickel alloy with testing by 
the Mint and private sector indicating that this new 
composition would work with existing coin machinery. While H.R. 
3074 does not require the Treasury Secretary to change the 
nickel's composition, it allows for the production and 
circulation of an alternative zinc-based nickel which will 
likely have lower production costs due to the lower cost of 
zinc.
---------------------------------------------------------------------------
    \8\Nickel Price, BUSINESS INSIDER, July 16, 2025, https://
markets.businessinsider.com/
commodities/nickel-price.
    \9\Zinc Price, BUSINESS INSIDER, July 16, 2025, https://
markets.businessinsider.com/
commodities/zinc-price.
    \10\Copper Price, BUSINESS INSIDER, July 16, 2025, https://
markets.businessinsider.com/
commodities/copper-price.
---------------------------------------------------------------------------

                        Committee Consideration


                             119TH CONGRESS

    H.R. 3074, the Common Cents Act, was introduced on April 
29, 2025 by Representative McClain, with Representative Robert 
Garcia (D-CA) as an original cosponsor. The bill was referred 
solely to the Committee on Financial Services.
    This bill was attached to the June 12, 2025, hearing titled 
``Evaluating the Defense Production Act.''
    On July 23, 2025, the Committee on Financial Services met 
in open session to consider, among others, H.R. 3074. The 
Committee ordered H.R. 3074, as amended, to be favorably 
reported to the House of Representatives.

                            Related Hearings

    Pursuant to clause 3(c)(6) of rule XIII of the Rules of the 
House of Representatives, the following hearing was used to 
develop H.R. 3074:
    The Subcommittee on National Security, Illicit Finance, & 
International Financial Institutions of the Committee on 
Financial Services held a hearing on June 12, 2025 titled 
``Evaluating the Defense Production Act''. The following 
witnesses testified at the February 26, 2025, hearing: Mr. 
William Russell, Director, Contracting and National Security 
Acquisitions, Government Accountability Office, and Mr. Adam G. 
Levin, Analyst in Economic Development Policy, Congressional 
Research Service (CRS).

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee Report to include record 
votes on the motion to report legislation and amendments 
thereto.
    On July 23, 2025, the Committee ordered H.R. 3074, as 
amended, to be reported favorably to the House by a recorded 
vote of 35 yeas and 13 nays. (Record Vote No. FC-187).
    The Committee considered the following amendments to H.R. 
3074:
           Representative McClain offered an amendment 
        in the nature of a substitute, designated as 
        McLain_025, which ceases production of one-cent coins 
        for general circulation, authorizes the production of 
        an alternative zinc-based nickel, preserves the 
        production of numismatic one-cent coins, and maintains 
        the status of one-cent coins as legal tender. This 
        amendment was adopted by a voice vote.
           Representative Maxine Waters (D-CA) offered 
        an amendment (No. 11), designated as HR3074_02. This 
        amendment would require the Secretary of the Treasury 
        to establish a task force to study the impact of 
        ceasing penny production and to submit a report to 
        determine whether such policy is in the public's best 
        interest. This amendment failed by a recorded vote of 
        22 yeas and 25 nays, a quorum being present. (Record 
        Vote No. FC-186).
        
        
                      Committee Oversight Findings

    Pursuant to clause 3(c) of rule XIII of the Rules of the 
House of Representatives, the findings and recommendations of 
the Committee, based on oversight activities under clause 
2(b)(1) of rule X of the Rules of the House of Representatives 
are incorporated in the descriptive portions of this report.

                    Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, the goal of H.R. 3074 is to direct 
the Secretary of the Treasury to cease production of pennies, 
and to allow for the production and circulation of an 
alternative zinc-based nickel due to the lower cost of zinc.

                        Committee Cost Estimate

    Clause 3(d)(1) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison of the 
costs that would be incurred in carrying out H.R. 3074. The 
Committee has requested but not received a cost estimate from 
the Director of the Congressional Budget Office. However, 
pursuant to clause 3(d)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee will adopt as its own 
the cost estimate by the Director of the Congressional Budget 
Office once it has been prepared.

               New Budget Authority and CBO Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause 3(c)(3) of rule XIII of the Rules of 
the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee will adopt as 
its own the cost estimate for the bill prepared by the Director 
of the Congressional Budget Office. However, a cost estimate 
was not made available to the Committee in time for the filing 
of this report. The Chairman of the Committee shall cause such 
estimate to be printed in the Congressional Record upon its 
receipt by the Committee.

                      Unfunded Mandates Statement

    The Committee has requested but not received from the 
Director of the Congressional Budget Office an estimate of the 
Federal mandates pursuant to section 423 of the Unfunded 
Mandates Reform Act. The Chairman of the Committee shall cause 
such estimate to be printed in the Congressional Record upon 
its receipt by the Committee.

                           Earmark Statement

    In compliance with clause 9 of rule XXI of the Rules of the 
House of Representatives, this bill, as reported, contains no 
congressional earmarks, limited tax benefits, or limited tariff 
benefits as defined in clause 9(e), 9(f), or 9(g) of rule XXI.

                Federal Advisory Committee Act Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                Applicability to the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act.

                    Duplication of Federal Programs

    Pursuant to clause 3(c)(5) of rule XIII of the Rules of the 
House of Representatives, the Committee states that no 
provision of the bill establishes or reauthorizes a program of 
the Federal Government known to be duplicative of another 
Federal program, including any program that was included in a 
report to Congress pursuant to section 21 of the Public Law 
111-139 or the most recent Catalog of Federal Domestic 
Assistance.

             Section-by-Section Analysis of the Legislation


Section 1. Short title

    Section 1 provides the short title as the ``Common Cents 
Act''.

Section 2. Specifications of 5-cent coins and elimination of one-cent 
        coins

    Section 2 authorizes an alternative composition for 
producing nickels, consisting of a zinc core with a nickel 
outer layer, with the Secretary of the Treasury determining the 
specific zinc-nickel makeup. Additionally, Section 2 codifies 
the cessation of the production of pennies but does not affect 
the continued status of the penny as legal tender.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italics, and existing law in which no 
change is proposed is shown in roman):

                      TITLE 31, UNITED STATES CODE



           *       *       *       *       *       *       *
SUBTITLE IV--MONEY

           *       *       *       *       *       *       *


CHAPTER 51--COINS AND CURRENCY

           *       *       *       *       *       *       *


SUBCHAPTER II--GENERAL AUTHORITY

           *       *       *       *       *       *       *


Sec. 5112. Denominations, specifications, and design of coins

  (a) The Secretary of the Treasury may mint and issue only the 
following coins:
          (1) a dollar coin that is 1.043 inches in diameter.
          (2) a half dollar coin that is 1.205 inches in 
        diameter and weighs 11.34 grams.
          (3) a quarter dollar coin that is 0.955 inch in 
        diameter and weighs 5.67 grams.
          (4) a dime coin that is 0.705 inch in diameter and 
        weighs 2.268 grams.
          (5) a 5-cent coin that is 0.835 inch in diameter and 
        [weighs 5 grams.] weighs--
                  (A) 5 grams, with respect to such coin that 
                is an alloy of copper and nickel; or 
                  (B) between 4 and 6 grams, with respect to 
                such coin as described in subsection (c). 
          (6) [except as provided under subsection (c) of this 
        section,] a one-cent coin that is 0.75 inch in diameter 
        [and weighs 3.11 grams].
          (7) A fifty dollar gold coin that is 32.7 millimeters 
        in diameter, weighs 33.931 grams, and contains one troy 
        ounce of fine gold.
          (8) A twenty-five dollar gold coin that is 27.0 
        millimeters in diameter, weighs 16.966 grams, and 
        contains one-half troy ounce of fine gold.
          (9) A ten dollar gold coin that is 22.0 millimeters 
        in diameter, weighs 8.483 grams, and contains one-
        fourth troy ounce of fine gold.
          (10) A five dollar gold coin that is 16.5 millimeters 
        in diameter, weighs 3.393 grams, and contains one-tenth 
        troy ounce of fine gold.
          (11) A $50 gold coin that is of an appropriate size 
        and thickness, as determined by the Secretary, weighs 1 
        ounce, and contains 99.99 percent pure gold.
          (12) A $25 coin of an appropriate size and thickness, 
        as determined by the Secretary, that weighs 1 troy 
        ounce and contains .9995 fine palladium.
  (b) The half dollar, quarter dollar, and dime coins are clad 
coins with 3 layers of metal. The 2 identical outer layers are 
an alloy of 75 percent copper and 25 percent nickel. The inner 
layer is copper. The outer layers are metallurgically bonded to 
the inner layer and weigh at least 30 percent of the weight of 
the coin. The dollar coin shall be golden in color, have a 
distinctive edge, have tactile and visual features that make 
the denomination of the coin readily discernible, be minted and 
fabricated in the United States, and have similar metallic, 
anti-counterfeiting properties as United States coinage in 
circulation on the date of enactment of the United States $1 
Coin Act of 1997. The 5-cent coin is either an alloy of 75 
percent copper and 25 percent nickel or a composition described 
in subsection (c). In minting 5-cent coins, the Secretary shall 
use bars that vary not more than 2.5 percent from the percent 
of nickel required with respect to such coins that are an alloy 
of copper and nickel. [Except as provided under subsection (c) 
of this section, the one-cent coin is an alloy of 95 percent 
copper and 5 percent zinc] The one-cent coin is composed of 
copper and zinc. In minting gold coins, the Secretary shall use 
alloys that vary not more than 0.1 percent from the percent of 
gold required. The specifications for alloys are by weight.
  [(c) The Secretary may prescribe the weight and the 
composition of copper and zinc in the alloy of the one-cent 
coin that the Secretary decides are appropriate when the 
Secretary decides that a different weight and alloy of copper 
and zinc are necessary to ensure an adequate supply of one-cent 
coins to meet the needs of the United States.]
  (c) 5-cent Coin.--
          (1) In general.--The 5-cent coin may be a coin with 
        an inner layer of zinc and an outer layer of nickel.
          (2) Composition.--The Secretary may prescribe the 
        composition of zinc and nickel in the 5-cent coin, 
        subject to testing and evaluation that such composition 
        reduces the cost incurred to produce such coin.
  (d)(1) United States coins shall have the inscription ``In 
God We Trust''. The obverse side of each coin shall have the 
inscription ``Liberty''. The reverse side of each coin shall 
have the inscriptions ``United States of America'' and ``E 
Pluribus Unum'' and a designation of the value of the coin. The 
design on the reverse side of the dollar, half dollar, and 
quarter dollar is an eagle. Subject to other provisions of this 
subsection, the obverse of any 5-cent coin issued after 
December 31, 2005, shall bear the likeness of Thomas Jefferson 
and the reverse of any such 5-cent coin shall bear an image of 
the home of Thomas Jefferson at Monticello. The Secretary of 
the Treasury, in consultation with the Congress, shall select 
appropriate designs for the obverse and reverse sides of the 
dollar coin. The coins have an inscription of the year of 
minting or issuance. However, to prevent or alleviate a 
shortage of a denomination, the Secretary may inscribe coins of 
the denomination with the year that was last inscribed on coins 
of the denomination.
  (2) The Secretary shall prepare the devices, models, hubs, 
and dies for coins, emblems, devices, inscriptions, and designs 
authorized under this chapter. The Secretary may, after 
consulting with the Citizens Coinage Advisory Committee and the 
Commission of Fine Arts, adopt and prepare new designs or 
models of emblems or devices that are authorized in the same 
way as when new coins or devices are authorized. The Secretary 
may change the design or die of a coin only once within 25 
years of the first adoption of the design, model, hub, or die 
for that coin. The Secretary may procure services under section 
3109 of title 5 in carrying out this paragraph.
  (e) Notwithstanding any other provision of law, the Secretary 
shall mint and issue, in qualities and quantities that the 
Secretary determines are sufficient to meet public demand, 
coins which--
          (1) are 40.6 millimeters in diameter and weigh 31.103 
        grams;
          (2) contain .999 fine silver;
          (3) have a design--
                  (A) symbolic of Liberty on the obverse side; 
                and
                  (B) of an eagle on the reverse side;
          (4) have inscriptions of the year of minting or 
        issuance, and the words ``Liberty'', ``In God We 
        Trust'', ``United States of America'', ``1 Oz. Fine 
        Silver'', ``E Pluribus Unum'', and ``One Dollar''; and
          (5) have reeded edges.
  (f) Silver Coins.--
          (1) Sale price.--The Secretary shall sell the coins 
        minted under subsection (e) to the public at a price 
        equal to the market value of the bullion at the time of 
        sale, plus the cost of minting, marketing, and 
        distributing such coins (including labor, materials, 
        dies, use of machinery, and promotional and overhead 
        expenses).
          (2) Bulk sales.--The Secretary shall make bulk sales 
        of the coins minted under subsection (e) at a 
        reasonable discount.
          (3) Numismatic items.--For purposes of section 
        5132(a)(1) of this title, all coins minted under 
        subsection (e) shall be considered to be numismatic 
        items.
  (g) For purposes of section 5132(a)(1) of this title, all 
coins minted under subsection (e) of this section shall be 
considered to be numismatic items.
  (h) The coins issued under this title shall be legal tender 
as provided in section 5103 of this title.
  (i)(1) Notwithstanding section 5111(a)(1) of this title, the 
Secretary shall mint and issue the gold coins described in 
paragraphs (7), (8), (9), and (10) of subsection (a) of this 
section, in qualities and quantities that the Secretary 
determines are sufficient to meet public demand, and such gold 
coins shall--
          (A) have a design determined by the Secretary, except 
        that the fifty dollar gold coin shall have--
                  (i) on the obverse side, a design symbolic of 
                Liberty; and
                  (ii) on the reverse side, a design 
                representing a family of eagles, with the male 
                carrying an olive branch and flying above a 
                nest containing a female eagle and hatchlings;
          (B) have inscriptions of the denomination, the weight 
        of the fine gold content, the year of minting or 
        issuance, and the words ``Liberty'', ``In God We 
        Trust'', ``United States of America'', and ``E Pluribus 
        Unum''; and
          (C) have reeded edges.
  (2)(A) The Secretary shall sell the coins minted under this 
subsection to the public at a price equal to the market value 
of the bullion at the time of sale, plus the cost of minting, 
marketing, and distributing such coins (including labor, 
materials, dies, use of machinery, and promotional and overhead 
expenses).
  (B) The Secretary shall make bulk sales of the coins minted 
under this subsection at a reasonable discount.
  (3) For purposes of section 5132(a)(1) of this title, all 
coins minted under this subsection shall be considered to be 
numismatic items.
  (4)(A) Notwithstanding any other provision of law and subject 
to subparagraph (B), the Secretary of the Treasury may change 
the diameter, weight, or design of any coin minted under this 
subsection or the fineness of the gold in the alloy of any such 
coin if the Secretary determines that the specific diameter, 
weight, design, or fineness of gold which differs from that 
otherwise required by law is appropriate for such coin.
  (B) The Secretary may not mint any coin with respect to which 
a determination has been made by the Secretary under 
subparagraph (A) before the end of the 30-day period beginning 
on the date a notice of such determination is published in the 
Federal Register.
  (C) The Secretary may continue to mint and issue coins in 
accordance with the specifications contained in paragraphs (7), 
(8), (9), and (10) of subsection (a) and paragraph (1)(A) of 
this subsection at the same time the Secretary in minting and 
issuing other bullion and proof gold coins under this 
subsection in accordance with such program procedures and coin 
specifications, designs, varieties, quantities, denominations, 
and inscriptions as the Secretary, in the Secretary's 
discretion, may prescribe from time to time.
  (j) General Waiver of Procurement Regulations.--
          (1) In general.--Except as provided in paragraph (2), 
        no provision of law governing procurement or public 
        contracts shall be applicable to the procurement of 
        goods or services necessary for minting, marketing, or 
        issuing any coin authorized under paragraph (7), (8), 
        (9), or (10) of subsection (a) or subsection (e), 
        including any proof version of any such coin.
          (2) Equal employment opportunity.--Paragraph (1) 
        shall not relieve any person entering into a contract 
        with respect to any coin referred to in such paragraph 
        from complying with any law relating to equal 
        employment opportunity.
  (k) The Secretary may mint and issue platinum bullion coins 
and proof platinum coins in accordance with such 
specifications, designs, varieties, quantities, denominations, 
and inscriptions as the Secretary, in the Secretary's 
discretion, may prescribe from time to time.
  (l) Redesign and Issuance of Quarter Dollar in Commemoration 
of Each of the 50 States.--
          (1) Redesign beginning in 1999.--
                  (A) In general.--Notwithstanding the fourth 
                sentence of subsection (d)(1) and subsection 
                (d)(2), quarter dollar coins issued during the 
                10-year period beginning in 1999, shall have 
                designs on the reverse side selected in 
                accordance with this subsection which are 
                emblematic of the 50 States.
                  (B) Transition provision.--Notwithstanding 
                subparagraph (A), the Secretary may continue to 
                mint and issue quarter dollars in 1999 which 
                bear the design in effect before the redesign 
                required under this subsection and an 
                inscription of the year ``1998'' as required to 
                ensure a smooth transition into the 10-year 
                program under this subsection.
                  (C) Flexibility with regard to placement of 
                inscriptions.--Notwithstanding subsection 
                (d)(1), the Secretary may select a design for 
                quarter dollars issued during the 10-year 
                period referred to in subparagraph (A) in 
                which--
                          (i) the inscription described in the 
                        second sentence of subsection (d)(1) 
                        appears on the reverse side of any such 
                        quarter dollars; and
                          (ii) any inscription described in the 
                        third sentence of subsection (d)(1) or 
                        the designation of the value of the 
                        coin appears on the obverse side of any 
                        such quarter dollars.
          (2) Single state designs.--The design on the reverse 
        side of each quarter dollar issued during the 10-year 
        period referred to in paragraph (1) shall be emblematic 
        of 1 of the 50 States.
          (3) Issuance of coins commemorating 5 states during 
        each of the 10 years.--
                  (A) In general.--The designs for the quarter 
                dollar coins issued during each year of the 10-
                year period referred to in paragraph (1) shall 
                be emblematic of 5 States selected in the order 
                in which such States ratified the Constitution 
                of the United States or were admitted into the 
                Union, as the case may be.
                  (B) Number of each of 5 coin designs in each 
                year.--Of the quarter dollar coins issued 
                during each year of the 10-year period referred 
                to in paragraph (1), the Secretary of the 
                Treasury shall prescribe, on the basis of such 
                factors as the Secretary determines to be 
                appropriate, the number of quarter dollars 
                which shall be issued with each of the 5 
                designs selected for such year.
          (4) Selection of design.--
                  (A) In general.--Each of the 50 designs 
                required under this subsection for quarter 
                dollars shall be--
                          (i) selected by the Secretary after 
                        consultation with--
                                  (I) the Governor of the State 
                                being commemorated, or such 
                                other State officials or group 
                                as the State may designate for 
                                such purpose; and
                                  (II) the Commission of Fine 
                                Arts; and
                          (ii) reviewed by the Citizens Coinage 
                        Advisory Committee.
                  (B) Selection and approval process.--Designs 
                for quarter dollars may be submitted in 
                accordance with the design selection and 
                approval process developed by the Secretary in 
                the sole discretion of the Secretary.
                  (C) Participation.--The Secretary may include 
                participation by State officials, artists from 
                the States, engravers of the United States 
                Mint, and members of the general public.
                  (D) Standards.--Because it is important that 
                the Nation's coinage and currency bear 
                dignified designs of which the citizens of the 
                United States can be proud, the Secretary shall 
                not select any frivolous or inappropriate 
                design for any quarter dollar minted under this 
                subsection.
                  (E) Prohibition on certain representations.--
                No head and shoulders portrait or bust of any 
                person, living or dead, and no portrait of a 
                living person may be included in the design of 
                any quarter dollar under this subsection.
          (5) Treatment as numismatic items.--For purposes of 
        sections 5134 and 5136, all coins minted under this 
        subsection shall be considered to be numismatic items.
          (6) Issuance.--
                  (A) Quality of coins.--The Secretary may mint 
                and issue such number of quarter dollars of 
                each design selected under paragraph (4) in 
                uncirculated and proof qualities as the 
                Secretary determines to be appropriate.
                  (B) Silver coins.--Notwithstanding subsection 
                (b), the Secretary may mint and issue such 
                number of quarter dollars of each design 
                selected under paragraph (4) as the Secretary 
                determines to be appropriate, with a content of 
                90 percent silver and 10 percent copper.
                  (C) Sources of bullion.--The Secretary shall 
                obtain silver for minting coins under 
                subparagraph (B) from available resources, 
                including stockpiles established under the 
                Strategic and Critical Materials Stock Piling 
                Act.
          (7) Application in event of the admission of 
        additional states.--If any additional State is admitted 
        into the Union before the end of the 10-year period 
        referred to in paragraph (1), the Secretary of the 
        Treasury may issue quarter dollar coins, in accordance 
        with this subsection, with a design which is emblematic 
        of such State during any 1 year of such 10-year period, 
        in addition to the quarter dollar coins issued during 
        such year in accordance with paragraph (3)(A).
  (m) Commemorative Coin Program Restrictions.--
          (1) Maximum number.--Beginning January 1, 1999, the 
        Secretary may mint and issue commemorative coins under 
        this section during any calendar year with respect to 
        not more than 2 commemorative coin programs.
          (2) Mintage levels.--
                  (A) In general.--Except as provided in 
                subparagraph (B), in carrying out any 
                commemorative coin program, the Secretary shall 
                mint--
                          (i) not more than 750,000 clad half-
                        dollar coins;
                          (ii) not more than 500,000 silver 
                        one-dollar coins; and
                          (iii) not more than 100,000 gold 
                        five-dollar or ten-dollar coins.
                  (B) Exception.--If the Secretary determines, 
                based on independent, market-based research 
                conducted by a designated recipient 
                organization of a commemorative coin program, 
                that the mintage levels described in 
                subparagraph (A) are not adequate to meet 
                public demand for that commemorative coin, the 
                Secretary may waive one or more of the 
                requirements of subparagraph (A) with respect 
                to that commemorative coin program.
                  (C) Designated recipient organization 
                defined.--For purposes of this paragraph, the 
                term ``designated recipient organization'' 
                means any organization designated, under any 
                provision of law, as the recipient of any 
                surcharge imposed on the sale of any numismatic 
                item.
  (n) Redesign and Issuance of Circulating $1 Coins Honoring 
Each of the Presidents of the United States.--
          (1) Redesign beginning in 2007.--Notwithstanding 
        subsection (d) and in accordance with the provisions of 
        this subsection, $1 coins issued during the period 
        beginning January 1, 2007, and ending upon the 
        termination of the program under paragraph (8), shall--
                  (A) have designs on the obverse selected in 
                accordance with paragraph (2)(B) which are 
                emblematic of the Presidents of the United 
                States; and
                  (B) have a design on the reverse selected in 
                accordance with paragraph (2)(A).
          (2) Design requirements.--The $1 coins issued in 
        accordance with paragraph (1)(A) shall meet the 
        following design requirements:
                  (A) Coin reverse.--The design on the reverse 
                shall bear--
                          (i) a likeness of the Statue of 
                        Liberty extending to the rim of the 
                        coin and large enough to provide a 
                        dramatic representation of Liberty 
                        while not being large enough to create 
                        the impression of a ``2-headed'' coin;
                          (ii) the inscription ``$1''; and
                          (iii) the inscription ``United States 
                        of America''.
                  (B) Coin obverse.--The design on the obverse 
                shall contain--
                          (i) the name and likeness of a 
                        President of the United States; and
                          (ii) basic information about the 
                        President, including--
                                  (I) the dates or years of the 
                                term of office of such 
                                President; and
                                  (II) a number indicating the 
                                order of the period of service 
                                in which the President served.
                  (C) Edge-incused inscriptions.--
                          (i) In general.--The inscription of 
                        the year of minting or issuance of the 
                        coin and the inscription ``E Pluribus 
                        Unum'' shall be edge-incused into the 
                        coin.
                          (ii) Preservation of distinctive 
                        edge.--The edge-incusing of the 
                        inscriptions under clause (i) on coins 
                        issued under this subsection shall be 
                        done in a manner that preserves the 
                        distinctive edge of the coin so that 
                        the denomination of the coin is readily 
                        discernible, including by individuals 
                        who are blind or visually impaired.
                  (D) Inscriptions of ``liberty''.--
                Notwithstanding the second sentence of 
                subsection (d)(1), because the use of a design 
                bearing the likeness of the Statue of Liberty 
                on the reverse of the coins issued under this 
                subsection adequately conveys the concept of 
                Liberty, the inscription of ``Liberty'' shall 
                not appear on the coins.
                  (E) Limitation in series to deceased 
                presidents.--No coin issued under this 
                subsection may bear the image of a living 
                former or current President, or of any deceased 
                former President during the 2-year period 
                following the date of the death of that 
                President.
                  (F) Inscription of ``in god we trust''.--The 
                design on the obverse or the reverse shall bear 
                the inscription ``In God We Trust''.
          (3) Issuance of coins commemorating presidents.--
                  (A) Order of issuance.--The coins issued 
                under this subsection commemorating Presidents 
                of the United States shall be issued in the 
                order of the period of service of each 
                President, beginning with President George 
                Washington.
                  (B) Treatment of period of service.--
                          (i) In general.--Subject to clause 
                        (ii), only 1 coin design shall be 
                        issued for a period of service for any 
                        President, no matter how many 
                        consecutive terms of office the 
                        President served.
                          (ii) Nonconsecutive terms.--If a 
                        President has served during 2 or more 
                        nonconsecutive periods of service, a 
                        coin shall be issued under this 
                        subsection for each such nonconsecutive 
                        period of service.
          (4) Issuance of coins commemorating 4 presidents 
        during each year of the period.--
                  (A) In general.--The designs for the $1 coins 
                issued during each year of the period referred 
                to in paragraph (1) shall be emblematic of 4 
                Presidents until each President has been so 
                honored, subject to paragraph (2)(E).
                  (B) Number of 4 circulating coin designs in 
                each year.--The Secretary shall prescribe, on 
                the basis of such factors as the Secretary 
                determines to be appropriate, the number of $1 
                coins that shall be issued with each of the 
                designs selected for each year of the period 
                referred to in paragraph (1).
          (5) Legal tender.--The coins minted under this title 
        shall be legal tender, as provided in section 5103.
          (6) Treatment as numismatic items.--For purposes of 
        section 5134 and 5136, all coins minted under this 
        subsection shall be considered to be numismatic items.
          (7) Issuance of numismatic coins.--The Secretary may 
        mint and issue such number of $1 coins of each design 
        selected under this subsection in uncirculated and 
        proof qualities as the Secretary determines to be 
        appropriate.
          (8) Termination of program.--The issuance of coins 
        under this subsection shall terminate when each 
        President has been so honored, subject to paragraph 
        (2)(E), and may not be resumed except by an Act of 
        Congress.
          (9) Reversion to preceding design.--Upon the 
        termination of the issuance of coins under this 
        subsection, the design of all $1 coins shall revert to 
        the so-called ``Sacagawea-design'' $1 coins.
  (o) First Spouse Bullion Coin Program.--
          (1) In general.--During the same period described in 
        subsection (n), the Secretary shall issue bullion coins 
        under this subsection that are emblematic of the spouse 
        of each such President.
          (2) Specifications.--The coins issued under this 
        subsection shall--
                  (A) have the same diameter as the $1 coins 
                described in subsection (n);
                  (B) weigh 0.5 ounce; and
                  (C) contain 99.99 percent pure gold.
          (3) Design requirements.--
                  (A) Coin obverse.--The design on the obverse 
                of each coin issued under this subsection shall 
                contain--
                          (i) the name and likeness of a person 
                        who was a spouse of a President during 
                        the President's period of service;
                          (ii) an inscription of the years 
                        during which such person was the spouse 
                        of a President during the President's 
                        period of service; and
                          (iii) a number indicating the order 
                        of the period of service in which such 
                        President served.
                  (B) Coin reverse.--The design on the reverse 
                of each coin issued under this subsection shall 
                bear--
                          (i) images emblematic of the life and 
                        work of the First Spouse whose image is 
                        borne on the obverse; and
                          (ii) the inscription ``United States 
                        of America''.
                  (C) Designated denomination.--Each coin 
                issued under this subsection shall bear, on the 
                reverse, an inscription of the nominal 
                denomination of the coin which shall be 
                ``$10''.
                  (D) Design in case of no first spouse.--In 
                the case of any President who served without a 
                spouse--
                          (i) the image on the obverse of the 
                        bullion coin corresponding to the $1 
                        coin relating to such President shall 
                        be an image emblematic of the concept 
                        of ``Liberty''--
                                  (I) as represented on a 
                                United States coin issued 
                                during the period of service of 
                                such President; or
                                  (II) as represented, in the 
                                case of President Chester Alan 
                                Arthur, by a design 
                                incorporating the name and 
                                likeness of Alice Paul, a 
                                leading strategist in the 
                                suffrage movement, who was 
                                instrumental in gaining women 
                                the right to vote upon the 
                                adoption of the 19th amendment 
                                and thus the ability to 
                                participate in the election of 
                                future Presidents, and who was 
                                born on January 11, 1885, 
                                during the term of President 
                                Arthur; and
                          (ii) the reverse of such bullion coin 
                        shall be of a design representative of 
                        themes of such President, except that 
                        in the case of the bullion coin 
                        referred to in clause (i)(II) the 
                        reverse of such coin shall be 
                        representative of the suffrage 
                        movement.
                  (E) Design and coin for each spouse.--A 
                separate coin shall be designed and issued 
                under this section for each person who was the 
                spouse of a President during any portion of a 
                term of office of such President.
                  (F) Inscriptions.--Each bullion coin issued 
                under this subsection shall bear the 
                inscription of the year of minting or issuance 
                of the coin and such other inscriptions as the 
                Secretary may determine to be appropriate.
          (4) Sale of bullion coins.--Each bullion coin issued 
        under this subsection shall be sold by the Secretary at 
        a price that is equal to or greater than the sum of--
                  (A) the face value of the coins; and
                  (B) the cost of designing and issuing the 
                coins (including labor, materials, dies, use of 
                machinery, overhead expenses, marketing, and 
                shipping).
          (5) Issuance of coins commemorating first spouses.--
                  (A) In general.--The bullion coins issued 
                under this subsection with respect to any 
                spouse of a President shall be issued on the 
                same schedule as the $1 coin issued under 
                subsection (n) with respect to each such 
                President.
                  (B) Maximum number of bullion coins for each 
                design.--The Secretary shall--
                          (i) prescribe, on the basis of such 
                        factors as the Secretary determines to 
                        be appropriate, the maximum number of 
                        bullion coins that shall be issued with 
                        each of the designs selected under this 
                        subsection; and
                          (ii) announce, before the issuance of 
                        the bullion coins of each such design, 
                        the maximum number of bullion coins of 
                        that design that will be issued.
                  (C) Termination of program.--No bullion coin 
                may be issued under this subsection after the 
                termination, in accordance with subsection 
                (n)(8), of the $1 coin program established 
                under subsection (n).
          (6) Quality of coins.--The bullion coins minted under 
        this Act shall be issued in both proof and uncirculated 
        qualities.
          (7) Source of gold bullion.--
                  (A) In general.--The Secretary shall acquire 
                gold for the coins issued under this subsection 
                by purchase of gold mined from natural deposits 
                in the United States, or in a territory or 
                possession of the United States, within 1 year 
                after the month in which the ore from which it 
                is derived was mined.
                  (B) Price of gold.--The Secretary shall pay 
                not more than the average world price for the 
                gold mined under subparagraph (A).
          (8) Bronze medals.--The Secretary may strike and sell 
        bronze medals that bear the likeness of the bullion 
        coins authorized under this subsection, at a price, 
        size, and weight, and with such inscriptions, as the 
        Secretary determines to be appropriate.
          (9) Legal tender.--The coins minted under this title 
        shall be legal tender, as provided in section 5103.
          (10) Treatment as numismatic items.--For purposes of 
        section 1 5134 and 5136, all coins minted 
        under this subsection shall be considered to be 
        numismatic items.
  (p) Removal of Barriers to Circulation of $1 Coin.--
          (1) Acceptance by agencies and instrumentalities.--
        Beginning January 1, 2006, all agencies and 
        instrumentalities of the United States, the United 
        States Postal Service, all nonappropriated fund 
        instrumentalities established under title 10, and all 
        transit systems that receive operational subsidies or 
        any disbursement of funds from the Federal Government, 
        such as funds from the Federal Highway Trust Fund, 
        including the Mass Transit Account, shall take such 
        action as may be appropriate to ensure that by the end 
        of the 2-year period beginning on such date--
                  (A) any business operations conducted by any 
                such agency, instrumentality, system, or entity 
                that involve coins or currency will be fully 
                capable of--
                          (i) accepting $1 coins in connection 
                        with such operations; and
                          (ii) other than vending machines that 
                        do not receive currency denominations 
                        higher than $1, dispensing $1 coins in 
                        connection with such operations; and
                  (B) display signs and notices denoting such 
                capability on the premises where coins or 
                currency are accepted or dispensed, including 
                on each vending machine.
This paragraph does not apply with respect to business 
operations conducted by any entity under a contract with an 
agency or instrumentality of the United States, including with 
any nonappropriated fund instrumentality established under 
title 10.
          (2) Publicity.--The Director of the United States 
        Mint, shall work closely with consumer groups, media 
        outlets, and schools to ensure an adequate amount of 
        news coverage, and other means of increasing public 
        awareness, of the inauguration of the Presidential $1 
        Coin Program established in subsection (n) to ensure 
        that consumers know of the availability of the coin.
          (3) Coordination.--The Board of Governors of the 
        Federal Reserve System and the Secretary shall take 
        steps to ensure that an adequate supply of $1 coins is 
        available for commerce and collectors at such places 
        and in such quantities as are appropriate by--
                  (A) consulting, to accurately gauge demand 
                for coins and to anticipate and eliminate 
                obstacles to the easy and efficient 
                distribution and circulation of $1 coins as 
                well as all other circulating coins, from time 
                to time but no less frequently than annually, 
                with a coin users group, which may include--
                          (i) representatives of merchants who 
                        would benefit from the increased usage 
                        of $1 coins;
                          (ii) vending machine and other coin 
                        acceptor manufacturers;
                          (iii) vending machine owners and 
                        operators;
                          (iv) transit officials;
                          (v) municipal parking officials;
                          (vi) depository institutions;
                          (vii) coin and currency handlers;
                          (viii) armored-car operators;
                          (ix) car wash operators; and
                          (x) coin collectors and dealers;
                  (B) submitting an annual report to the 
                Congress containing--
                          (i) an assessment of the remaining 
                        obstacles to the efficient and timely 
                        circulation of coins, particularly $1 
                        coins;
                          (ii) an assessment of the extent to 
                        which the goals of subparagraph (C) are 
                        being met; and
                          (iii) such recommendations for 
                        legislative action the Board and the 
                        Secretary may determine to be 
                        appropriate;
                  (C) consulting with industry representatives 
                to encourage operators of vending machines and 
                other automated coin-accepting devices in the 
                United States to accept coins issued under the 
                Presidential $1 Coin Program established under 
                subsection (n) and any coins bearing any design 
                in effect before the issuance of coins required 
                under subsection (n) (including the so-called 
                ``Sacagawea-design'' $1 coins), and to include 
                notices on the machines and devices of such 
                acceptability;
                  (D) ensuring that--
                          (i) during an introductory period, 
                        all institutions that want unmixed 
                        supplies of each newly-issued design of 
                        $1 coins minted under subsections (n) 
                        and (o) are able to obtain such unmixed 
                        supplies; and
                          (ii) circulating coins will be 
                        available for ordinary commerce in 
                        packaging of sizes and types 
                        appropriate for and useful to ordinary 
                        commerce, including rolled coins;
                  (E) working closely with any agency, 
                instrumentality, system, or entity referred to 
                in paragraph (1) to facilitate compliance with 
                the requirements of such paragraph; and
                  (F) identifying, analyzing, and overcoming 
                barriers to the robust circulation of $1 coins 
                minted under subsections (n) and (o), including 
                the use of demand prediction, improved methods 
                of distribution and circulation, and improved 
                public education and awareness campaigns.
          (4) Bullion dealers.--The Director of the United 
        States Mint shall take all steps necessary to ensure 
        that a maximum number of reputable, reliable, and 
        responsible dealers are qualified to offer for sale all 
        bullion coins struck and issued by the United States 
        Mint.
          (5) Review of co-circulation.--At such time as the 
        Secretary determines to be appropriate, and after 
        consultation with the Board of Governors of the Federal 
        Reserve System, the Secretary shall notify the Congress 
        of its assessment of issues related to the co-
        circulation of any circulating $1 coin bearing any 
        design, other than the so-called ``Sacagawea-design'' 
        $1 coin, in effect before the issuance of coins 
        required under subsection (n), including the effect of 
        co-circulation on the acceptance and use of $1 coins, 
        and make recommendations to the Congress for improving 
        the circulation of $1 coins.
  (q) Gold Bullion Coins.--
          (1) In general.--Not later than 6 months after the 
        date of enactment of the Presidential $1 Coin Act of 
        2005, the Secretary shall commence striking and issuing 
        for sale such number of $50 gold bullion and proof 
        coins as the Secretary may determine to be appropriate, 
        in such quantities, as the Secretary, in the 
        Secretary's discretion, may prescribe.
          (2) Initial design.--
                  (A) In general.--Except as provided under 
                subparagraph (B), the obverse and reverse of 
                the gold bullion coins struck under this 
                subsection during the first year of issuance 
                shall bear the original designs by James Earle 
                Fraser, which appear on the 5-cent coin 
                commonly referred to as the ``Buffalo nickel'' 
                or the ``1913 Type 1''.
                  (B) Variations.--The coins referred to in 
                subparagraph (A) shall--
                          (i) have inscriptions of the weight 
                        of the coin and the nominal 
                        denomination of the coin incused in 
                        that portion of the design on the 
                        reverse of the coin commonly known as 
                        the ``grassy mound''; and
                          (ii) bear such other inscriptions as 
                        the Secretary determines to be 
                        appropriate.
          (3) Source of gold bullion.--
                  (A) In general.--The Secretary shall acquire 
                gold for the coins issued under this subsection 
                by purchase of gold mined from natural deposits 
                in the United States, or in a territory or 
                possession of the United States, within 1 year 
                after the month in which the ore from which it 
                is derived was mined.
                  (B) Price of gold.--The Secretary shall pay 
                not more than the average world price for the 
                gold mined under subparagraph (A).
          (4) Sale of coins.--Each gold bullion coin issued 
        under this subsection shall be sold for an amount the 
        Secretary determines to be appropriate, but not less 
        than the sum of--
                  (A) the market value of the bullion at the 
                time of sale; and
                  (B) the cost of designing and issuing the 
                coins, including labor, materials, dies, use of 
                machinery, overhead expenses, marketing, and 
                shipping.
          (5) Legal tender.--The coins minted under this title 
        shall be legal tender, as provided in section 5103.
          (6) Treatment as numismatic items.--For purposes of 
        section 1 5134 and 5136, all coins minted 
        under this subsection shall be considered to be 
        numismatic items.
  (r) Redesign and Issuance of Circulating $1 Coins Honoring 
Native Americans and the Important Contributions Made by Indian 
Tribes and Individual Native Americans in United States 
History.--
          (1) Redesign beginning in 2008.--
                  (A) In general.--Effective beginning January 
                1, 2008, notwithstanding subsection (d), in 
                addition to the coins to be issued pursuant to 
                subsection (n), and in accordance with this 
                subsection, the Secretary shall mint and issue 
                $1 coins that--
                          (i) have as the designs on the 
                        obverse the so-called ``Sacagawea 
                        design''; and
                          (ii) have a design on the reverse 
                        selected in accordance with paragraph 
                        (2)(A), subject to paragraph (3)(A).
                  (B) Delayed date.--If the date of the 
                enactment of the Native American $1 Coin Act is 
                after August 25, 2007, subparagraph (A) shall 
                be applied by substituting ``2009'' for 
                ``2008''.
          (2) Design requirements.--The $1 coins issued in 
        accordance with paragraph (1) shall meet the following 
        design requirements:
                  (A) Coin reverse.--The design on the reverse 
                shall bear--
                          (i) images celebrating the important 
                        contributions made by Indian tribes and 
                        individual Native Americans to the 
                        development of the United States and 
                        the history of the United States;
                          (ii) the inscription ``$1''; and
                          (iii) the inscription ``United States 
                        of America''.
                  (B) Coin obverse.--The design on the obverse 
                shall--
                          (i) be chosen by the Secretary, after 
                        consultation with the Commission of 
                        Fine Arts and review by the Citizens 
                        Coinage Advisory Committee; and
                          (ii) contain the so-called 
                        ``Sacagawea design'' and the 
                        inscription ``Liberty''.
                  (C) Edge-incused inscriptions.--
                          (i) In general.--The inscription of 
                        the year of minting and issuance of the 
                        coin and the inscription ``E Pluribus 
                        Unum'' shall be edge-incused into the 
                        coin.
                          (ii) Preservation of distinctive 
                        edge.--The edge-incusing of the 
                        inscriptions under clause (i) on coins 
                        issued under this subsection shall be 
                        done in a manner that preserves the 
                        distinctive edge of the coin so that 
                        the denomination of the coin is readily 
                        discernible, including by individuals 
                        who are blind or visually impaired.
                  (D) Reverse design selection.--The designs 
                selected for the reverse of the coins described 
                under this subsection--
                          (i) shall be chosen by the Secretary 
                        after consultation with the Committee 
                        on Indian Affairs of the Senate, the 
                        Congressional Native American Caucus of 
                        the House of Representatives, the 
                        Commission of Fine Arts, and the 
                        National Congress of American Indians;
                          (ii) shall be reviewed by the 
                        Citizens Coinage Advisory Committee;
                          (iii) may depict individuals and 
                        events such as--
                                  (I) the creation of Cherokee 
                                written language;
                                  (II) the Iroquois 
                                Confederacy;
                                  (III) Wampanoag Chief 
                                Massasoit;
                                  (IV) the ``Pueblo Revolt'';
                                  (V) Olympian Jim Thorpe;
                                  (VI) Ely S. Parker, a general 
                                on the staff of General Ulysses 
                                S. Grant and later head of the 
                                Bureau of Indian Affairs; and
                                  (VII) code talkers who served 
                                the United States Armed Forces 
                                during World War I and World 
                                War II; and
                          (iv) in the case of a design 
                        depicting the contribution of an 
                        individual Native American to the 
                        development of the United States and 
                        the history of the United States, shall 
                        not depict the individual in a size 
                        such that the coin could be considered 
                        to be a ``2-headed'' coin.
                  (E) Inscription of ``in god we trust''.--The 
                design on the obverse or the reverse shall bear 
                the inscription ``In God We Trust''.
          (3) Issuance of coins commemorating 1 native american 
        event during each year.--
                  (A) In general.--Each design for the reverse 
                of the $1 coins issued during each year shall 
                be emblematic of 1 important Native American or 
                Native American contribution each year.
                  (B) Issuance period.--Each $1 coin minted 
                with a design on the reverse in accordance with 
                this subsection for any year shall be issued 
                during the 1-year period beginning on January 1 
                of that year and shall be available throughout 
                the entire 1-year period.
                  (C) Order of issuance of designs.--Each coin 
                issued under this subsection commemorating 
                Native Americans and their contributions--
                          (i) shall be issued, to the maximum 
                        extent practicable, in the 
                        chronological order in which the Native 
                        Americans lived or the events occurred, 
                        until the termination of the coin 
                        program described in subsection (n); 
                        and
                          (ii) thereafter shall be issued in 
                        any order determined to be appropriate 
                        by the Secretary, after consultation 
                        with the Committee on Indian Affairs of 
                        the Senate, the Congressional Native 
                        American Caucus of the House of 
                        Representatives, and the National 
                        Congress of American Indians.
          (4) Issuance of numismatic coins.--The Secretary may 
        mint and issue such number of $1 coins of each design 
        selected under this subsection in uncirculated and 
        proof qualities as the Secretary determines to be 
        appropriate.
          (5) Quantity.--The number of $1 coins minted and 
        issued in a year with the Sacagawea-design on the 
        obverse shall be not less than 20 percent of the total 
        number of $1 coins minted and issued in such year.
  (s) Redesign and Issuance of Circulating Quarter Dollar 
Honoring the District of Columbia and Each of the 
Territories.--
          (1) Redesign in 2009.--
                  (A) In general.--Notwithstanding the fourth 
                sentence of subsection (d)(1) and subsection 
                (d)(2) and subject to paragraph (6)(B), quarter 
                dollar coins issued during 2009, shall have 
                designs on the reverse side selected in 
                accordance with this subsection which are 
                emblematic of the District of Columbia and the 
                territories.
                  (B) Flexibility with regard to placement of 
                inscriptions.--Notwithstanding subsection 
                (d)(1), the Secretary may select a design for 
                quarter dollars issued during 2009 in which--
                          (i) the inscription described in the 
                        second sentence of subsection (d)(1) 
                        appears on the reverse side of any such 
                        quarter dollars; and
                          (ii) any inscription described in the 
                        third sentence of subsection (d)(1) or 
                        the designation of the value of the 
                        coin appears on the obverse side of any 
                        such quarter dollars.
          (2) Single district or territory design.--The design 
        on the reverse side of each quarter dollar issued 
        during 2009 shall be emblematic of one of the 
        following: The District of Columbia, the Commonwealth 
        of Puerto Rico, Guam, American Samoa, the United States 
        Virgin Islands, and the Commonwealth of the Northern 
        Mariana Islands.
          (3) Selection of design.--
                  (A) In general.--Each of the 6 designs 
                required under this subsection for quarter 
                dollars shall be--
                          (i) selected by the Secretary after 
                        consultation with--
                                  (I) the chief executive of 
                                the District of Columbia or the 
                                territory being honored, or 
                                such other officials or group 
                                as the chief executive officer 
                                of the District of Columbia or 
                                the territory may designate for 
                                such purpose; and
                                  (II) the Commission of Fine 
                                Arts; and
                          (ii) reviewed by the Citizens Coinage 
                        Advisory Committee.
                  (B) Selection and approval process.--Designs 
                for quarter dollars may be submitted in 
                accordance with the design selection and 
                approval process developed by the Secretary in 
                the sole discretion of the Secretary.
                  (C) Participation.--The Secretary may include 
                participation by District or territorial 
                officials, artists from the District of 
                Columbia or the territory, engravers of the 
                United States Mint, and members of the general 
                public.
                  (D) Standards.--Because it is important that 
                the Nation's coinage and currency bear 
                dignified designs of which the citizens of the 
                United States can be proud, the Secretary shall 
                not select any frivolous or inappropriate 
                design for any quarter dollar minted under this 
                subsection.
                  (E) Prohibition on certain representations.--
                No head and shoulders portrait or bust of any 
                person, living or dead, and no portrait of a 
                living person may be included in the design of 
                any quarter dollar under this subsection.
          (4) Treatment as numismatic items.--For purposes of 
        sections 5134 and 5136, all coins minted under this 
        subsection shall be considered to be numismatic items.
          (5) Issuance.--
                  (A) Quality of coins.--The Secretary may mint 
                and issue such number of quarter dollars of 
                each design selected under paragraph (3) in 
                uncirculated and proof qualities as the 
                Secretary determines to be appropriate.
                  (B) Silver coins.--Notwithstanding subsection 
                (b), the Secretary may mint and issue such 
                number of quarter dollars of each design 
                selected under paragraph (3) as the Secretary 
                determines to be appropriate, with a content of 
                90 percent silver and 10 percent copper.
                  (C) Timing and order of issuance.--Coins 
                minted under this subsection honoring the 
                District of Columbia and each of the 
                territories shall be issued in equal sequential 
                intervals during 2009 in the following order: 
                the District of Columbia, the Commonwealth of 
                Puerto Rico, Guam, American Samoa, the United 
                States Virgin Islands, and the Commonwealth of 
                the Northern Mariana Islands.
          (6) Other provisions.--
                  (A) Application in event of admission as a 
                state.--If the District of Columbia or any 
                territory becomes a State before the end of the 
                10-year period referred to in subsection 
                (l)(1), subsection (l)(7) shall apply, and this 
                subsection shall not apply, with respect to 
                such State.
                  (B) Application in event of independence.--If 
                any territory becomes independent or otherwise 
                ceases to be a territory or possession of the 
                United States before quarter dollars bearing 
                designs which are emblematic of such territory 
                are minted pursuant to this subsection, this 
                subsection shall cease to apply with respect to 
                such territory.
          (7) Territory defined.--For purposes of this 
        subsection, the term ``territory'' means the 
        Commonwealth of Puerto Rico, Guam, American Samoa, the 
        United States Virgin Islands, and the Commonwealth of 
        the Northern Mariana Islands.
  (t) Redesign and Issuance of Quarter Dollars Emblematic of 
National Sites in Each State, the District of Columbia, and 
Each Territory.--
          (1) Redesign beginning upon completion of prior 
        program.--
                  (A) In general.--Notwithstanding the fourth 
                sentence of subsection (d)(1) and subsection 
                (d)(2), quarter dollars issued beginning in 
                2010 shall have designs on the reverse selected 
                in accordance with this subsection which are 
                emblematic of the national sites in the States, 
                the District of Columbia and the territories of 
                the United States.
                  (B) Flexibility with regard to placement of 
                inscriptions.--Notwithstanding subsection 
                (d)(1), the Secretary may select a design for 
                quarter dollars referred to in subparagraph (A) 
                in which--
                          (i) the inscription described in the 
                        second sentence of subsection (d)(1) 
                        appears on the reverse side of any such 
                        quarter dollars; and
                          (ii) any inscription described in the 
                        third sentence of subsection (d)(1) or 
                        the designation of the value of the 
                        coin appears on the obverse side of any 
                        such quarter dollars.
                  (C) Inclusion of district of columbia, and 
                territories.--For purposes of this subsection, 
                the term ``State'' has the same meaning as in 
                section 3(a)(3) of the Federal Deposit 
                Insurance Act.
          (2) Single site in each state.--The design on the 
        reverse side of each quarter dollar issued during the 
        period of issuance under this subsection shall be 
        emblematic of 1 national site in each State.
          (3) Selection of site and design.--
                  (A) Site.--
                          (i) In general.--The selection of a 
                        national park or other national site in 
                        each State to be honored with a coin 
                        under this subsection shall be made by 
                        the Secretary of the Treasury, after 
                        consultation with the Secretary of the 
                        Interior and the governor or other 
                        chief executive of each State with 
                        respect to which a coin is to be issued 
                        under this subsection, and after giving 
                        full and thoughtful consideration to 
                        national sites that are not under the 
                        jurisdiction of the Secretary of the 
                        Interior so that the national site 
                        chosen for each State shall be the most 
                        appropriate in terms of natural or 
                        historic significance.
                          (ii) Timing.--The selection process 
                        under clause (i) shall be completed 
                        before the end of the 270-day period 
                        beginning on the date of the enactment 
                        of the America's Beautiful National 
                        Parks Quarter Dollar Coin Act of 2008.
                  (B) Design.--Each of the designs required 
                under this subsection for quarter dollars shall 
                be--
                          (i) selected by the Secretary after 
                        consultation with--
                                  (I) the Secretary of the 
                                Interior; and
                                  (II) the Commission of Fine 
                                Arts; and
                          (ii) reviewed by the Citizens Coinage 
                        Advisory Committee.
                  (C) Selection and approval process.--
                Recommendations for site selections and designs 
                for quarter dollars may be submitted in 
                accordance with the site and design selection 
                and approval process developed by the Secretary 
                in the sole discretion of the Secretary.
                  (D) Participation in design.--The Secretary 
                may include participation by officials of the 
                State, artists from the State, engravers of the 
                United States Mint, and members of the general 
                public.
                  (E) Standards.--Because it is important that 
                the Nation's coinage and currency bear 
                dignified designs of which the citizens of the 
                United States can be proud, the Secretary shall 
                not select any frivolous or inappropriate 
                design for any quarter dollar minted under this 
                subsection.
                  (F) Prohibition on certain representations.--
                No head and shoulders portrait or bust of any 
                person, living or dead, no portrait of a living 
                person, and no outline or map of a State may be 
                included in the design on the reverse of any 
                quarter dollar under this subsection.
          (4) Issuance of coins.--
                  (A) Order of issuance.--The quarter dollar 
                coins issued under this subsection bearing 
                designs of national sites shall be issued in 
                the order in which the sites selected under 
                paragraph (3) were first established as a 
                national site.
                  (B) Rate of issuance.--The quarter dollar 
                coins bearing designs of national sites under 
                this subsection shall be issued at the rate of 
                5 new designs during each year of the period of 
                issuance under this subsection.
                  (C) Number of each of 5 coin designs in each 
                year.--Of the quarter dollar coins issued 
                during each year of the period of issuance, the 
                Secretary of the Treasury shall prescribe, on 
                the basis of such factors as the Secretary 
                determines to be appropriate, the number of 
                quarter dollars which shall be issued with each 
                of the designs selected for such year.
          (5) Treatment as numismatic items.--For purposes of 
        sections 5134 and 5136, all coins minted under this 
        subsection shall be considered to be numismatic items.
          (6) Issuance.--
                  (A) Quality of coins.--The Secretary may mint 
                and issue such number of quarter dollars of 
                each design selected under paragraph (3) in 
                uncirculated and proof qualities as the 
                Secretary determines to be appropriate.
                  (B) Silver coins.--Notwithstanding subsection 
                (b), the Secretary may mint and issue such 
                number of quarter dollars of each design 
                selected under paragraph (3) as the Secretary 
                determines to be appropriate, with a content of 
                not less than 90 percent silver.
          (7) Period of issuance.--
                  (A) In general.--Subject to paragraph (2), 
                the program established under this subsection 
                shall continue in effect until a national site 
                in each State has been honored.
                  (B) Second round at discretion of 
                secretary.--
                          (i) Determination.--The Secretary may 
                        make a determination before the end of 
                        the 9-year period beginning when the 
                        first quarter dollar is issued under 
                        this subsection to continue the period 
                        of issuance until a second national 
                        site in each State, the District of 
                        Columbia, and each territory referred 
                        to in this subsection has been honored 
                        with a design on a quarter dollar.
                          (ii) Notice and report.--Within 30 
                        days after making a determination under 
                        clause (i), the Secretary shall submit 
                        a written report on such determination 
                        to the Committee on Financial Services 
                        of the House of Representatives and the 
                        Committee on Banking, Housing, and 
                        Urban Affairs of the Senate.
                          (iii) Applicability of provisions.--
                        If the Secretary makes a determination 
                        under clause (i), the provisions of 
                        this subsection applicable to site and 
                        design selection and approval, the 
                        order, timing, and conditions of 
                        issuance shall apply in like manner as 
                        the initial issuance of quarter dollars 
                        under this subsection, except that the 
                        issuance of quarter dollars pursuant to 
                        such determination bearing the first 
                        design shall commence in order 
                        immediately following the last issuance 
                        of quarter dollars under the first 
                        round.
                          (iv) Continuation until all states 
                        are honored.--If the Secretary makes a 
                        determination under clause (i), the 
                        program under this subsection shall 
                        continue until a second site in each 
                        State has been so honored.
          (8) Designs after end of program.--Upon the 
        completion of the coin program under this subsection, 
        the design on--
                  (A) the obverse of the quarter dollar shall 
                revert to the same design containing an image 
                of President Washington in effect for the 
                quarter dollar before the institution of the 
                50-State quarter dollar program; and
                  (B) notwithstanding the fourth sentence of 
                subsection (d)(1), the reverse of the quarter 
                dollar shall contain an image of General 
                Washington crossing the Delaware River prior to 
                the Battle of Trenton.
          (9) National site.--For purposes of this subsection, 
        the term ``national site'' means any site under the 
        supervision, management, or conservancy of the National 
        Park Service, the United States Forest Service, the 
        United States Fish and Wildlife Service, or any similar 
        department or agency of the Federal Government, 
        including any national park, national monument, 
        national battlefield, national military park, national 
        historical park, national historic site, national 
        lakeshore, seashore, recreation area, parkway, scenic 
        river, or trail and any site in the National Wildlife 
        Refuge System.
          (10) Application in event of independence.--If any 
        territory becomes independent or otherwise ceases to be 
        a territory or possession of the United States before 
        quarter dollars bearing designs which are emblematic of 
        such territory are minted pursuant to this subsection, 
        this subsection shall cease to apply with respect to 
        such territory.
  (u) Silver Bullion Investment Product.--
          (1) In general.--The Secretary is authorized to 
        strike and make available for sale such number of 
        bullion coins as the Secretary determines to be 
        appropriate that feature the designs of the quarter 
        dollars and half dollars issued under subsections (x), 
        (y), and (z), that--
                  (A) have a diameter of 3.0 inches and weigh 
                5.0 ounces;
                  (B) contain .999 fine silver;
                  (C) have incused into the edge the fineness 
                and weight of the bullion coin; and
                  (D) bear an inscription of the denomination 
                of such coins, such denominations to be 
                determined by the Secretary as the Secretary 
                determines to be appropriate.
          (2) Fractionals.--The Secretary is authorized to mint 
        and issue so-called ``fractional'' silver bullion coins 
        bearing the designs of the quarter dollars and half 
        dollars issued under subsections (x), (y), and (z) in 
        sizes, weights, fineness, and denominations, and with 
        inscriptions, that the Secretary determines to be 
        appropriate.
          (3) Availability for sale.--Should the Secretary 
        exercise the Secretary's discretion to strike bullion 
        coins under this subsection, the bullion coins minted 
        under paragraph (1) shall become available for sale no 
        sooner than the first day of the calendar year in which 
        the corresponding circulating quarter dollar or half 
        dollar is issued.
          (4) Continuity.--Until the conclusion of the quarter 
        dollar program authorized under subsection (t), the 
        Secretary shall strike and make available for sale such 
        number of bullion coins as the Secretary determines to 
        be appropriate that are likenesses of the quarter 
        dollars issued under subsection (t).
  (v) Palladium Bullion Investment Coins.--
          (1) In general.--The Secretary shall mint and issue 
        the palladium coins described in paragraph (12) of 
        subsection (a) in such quantities as the Secretary may 
        determine to be appropriate to meet demand.
          (2) Source of bullion.--
                  (A) In general.--To the greatest extent 
                possible, the Secretary shall acquire bullion 
                for the palladium coins issued under this 
                subsection by purchase of palladium mined from 
                natural deposits in the United States, or in a 
                territory or possession of the United States, 
                within 1 year after the month in which the ore 
                from which it is derived was mined. If no such 
                palladium is available or if it is not 
                economically feasible to obtain such palladium, 
                the Secretary may obtain palladium for the 
                palladium coins described in paragraph (12) of 
                subsection (a) from other available sources.
                  (B) Price of bullion.--The Secretary shall 
                pay not more than the average world price for 
                the palladium under subparagraph (A).
          (3) Sale of coins.--Each coin issued under this 
        subsection shall be sold for an amount the Secretary 
        determines to be appropriate, but not less than the sum 
        of--
                  (A) the market value of the bullion at the 
                time of sale; and
                  (B) the cost of designing and issuing the 
                coins, including labor, materials, dies, use of 
                machinery, overhead expenses, marketing, 
                distribution, and shipping.
          (4) Treatment.--For purposes of section 5134 and 
        5136, all coins minted under this subsection shall be 
        considered to be numismatic items.
          (5) Quality.--The Secretary may issue collectible 
        versions of the coins described in paragraph (1) in 
        both proof and uncirculated versions, except that, 
        should the Secretary determine that it is appropriate 
        to issue proof or uncirculated versions of such coin, 
        the Secretary shall, to the greatest extent possible, 
        ensure that the surface treatment of each year's proof 
        or uncirculated version differs in some material way 
        from that of the preceding year.
          (6) Design.--Coins minted and issued under this 
        subsection shall bear designs on the obverse and 
        reverse that are close likenesses of the work of famed 
        American coin designer and medallic artist Adolph 
        Alexander Weinman--
                  (A) the obverse shall bear a high-relief 
                likeness of the ``Winged Liberty'' design used 
                on the obverse of the so-called ``Mercury 
                dime'';
                  (B) the reverse shall bear a high-relief 
                version of the reverse design of the 1907 
                American Institute of Architects medal; and
                  (C) the coin shall bear such other 
                inscriptions, including ``Liberty'', ``In God 
                We Trust'', ``United States of America'', the 
                denomination and weight of the coin and the 
                fineness of the metal, as the Secretary 
                determines to be appropriate and in keeping 
                with the original design.
          (7) Mint facility.--Any United States mint, other 
        than the United States Mint at West Point, New York, 
        may be used to strike coins minted under this 
        subsection other than any proof version of any such 
        coin. If the Secretary determines that it is 
        appropriate to issue any proof version of such coin, 
        coins of such version shall be struck only at the 
        United States Mint at West Point, New York.
  (w) Redesign and Issuance of $1 Coins Honoring Innovation and 
Innovators From Each State, the District of Columbia, and Each 
Territory.--
          (1) Redesign beginning in 2019.--
                  (A) In general.--Notwithstanding subsection 
                (d)(1) and subsection (d)(2) and in accordance 
                with the provisions of this subsection, during 
                the 14-year period beginning on January 1, 2019 
                (or such later date as provided under 
                subparagraph (B)(ii)), the Secretary of the 
                Treasury shall mint and issue $1 coins to be 
                known as ``American Innovation $1 coins'', 
                that--
                          (i) have designs on the obverse 
                        selected in accordance with paragraph 
                        (2)(A); and
                          (ii) have a design on the reverse 
                        selected in accordance with paragraph 
                        (2)(B).
                  (B) Continuity provisions.--
                          (i) In general.--Notwithstanding 
                        subparagraph (A), the Secretary shall 
                        continue to mint and issue $1 coins 
                        honoring Native Americans and their 
                        contributions in accordance with 
                        subsection (r).
                          (ii) First coin.--Notwithstanding 
                        subparagraph (A), if the Secretary 
                        finds that it is feasible and cost-
                        effective, the Secretary may mint and 
                        issue a $1 coin in 2018 to introduce 
                        the series of coins described in this 
                        subsection, that--
                                  (I) has the obverse described 
                                under paragraph (2)(A);
                                  (II) has a reverse that bears 
                                the inscription ``United States 
                                of America'' and ``American 
                                Innovators'' and a 
                                representation of the signature 
                                of President George Washington 
                                on the first United States 
                                patent issued;
                                  (III) has the edge-incusing 
                                described under paragraph 
                                (2)(C); and
                                  (IV) the design for which has 
                                reviewed by the Citizens 
                                Coinage Advisory Committee.
                  (C) Definition of territory.--For purposes of 
                this subsection, the term ``territory'' means 
                the Commonwealth of Puerto Rico, Guam, American 
                Samoa, the United States Virgin Islands, and 
                the Commonwealth of the Northern Mariana 
                Islands.
          (2) Design requirements.--Notwithstanding subsection 
        (d)(1) and subsection (d)(2), the $1 coins issued in 
        accordance with paragraph (1)(A) shall meet the 
        following design requirements:
                  (A) Coin obverse.--The common design on the 
                obverse of each coin issued under this 
                subsection shall contain--
                          (i) a likeness of the Statue of 
                        Liberty extending to the rim of the 
                        coin and large enough to provide a 
                        dramatic representation of Liberty;
                          (ii) the inscription ``$1''; and
                          (iii) the inscription ``In God We 
                        Trust''.
                  (B) Coin reverse.--The design on the reverse 
                of each coin issued under this subsection shall 
                bear the following:
                          (i) An image or images emblematic of 
                        one of the following from one of the 50 
                        States, the District of Columbia, or 
                        the territories of the United States:
                                  (I) A significant innovation.
                                  (II) An innovator.
                                  (III) A group of innovators.
                          (ii) The name of the State, the 
                        District of Columbia, or territory, as 
                        applicable.
                          (iii) The inscription ``United States 
                        of America''.
                  (C) Edge-incused inscriptions.--
                          (i) In general.--The inscription of 
                        the year of minting or issuance of the 
                        coin, the mint mark, and the 
                        inscription ``E Pluribus Unum'' shall 
                        be edge-incused into the coin.
                          (ii) Preservation of distinctive 
                        edge.--The edge-incusing of the 
                        inscriptions under clause (i) on coins 
                        issued under this subsection shall be 
                        done in a manner that preserves the 
                        distinctive edge of the coin so that 
                        the denomination of the coin is readily 
                        discernible, including by individuals 
                        who are blind or visually impaired.
          (3) Issuance of coins commemorating innovation or 
        innovators.--
                  (A) Order of issuance.--
                          (i) In general.--The coins issued 
                        under this subsection commemorating 
                        either an innovation, an individual 
                        innovator, or a group of innovators, 
                        from each State, the District of 
                        Columbia, or a territory shall be 
                        issued in the following order:
                                  (I) State.--With respect to 
                                each State, the coins shall be 
                                issued in the order in which 
                                the States ratified the 
                                Constitution of the United 
                                States or were admitted into 
                                the Union, as the case may be.
                                  (II) District of columbia and 
                                territories.--After all coins 
                                are issued under subclause (I), 
                                the coins shall be issued for 
                                the District of Columbia and 
                                the territories in the 
                                following order: the District 
                                of Columbia, the Commonwealth 
                                of Puerto Rico, Guam, American 
                                Samoa, the United States Virgin 
                                Islands, and the Commonwealth 
                                of the Northern Mariana 
                                Islands.
                          (ii) Application in event of the 
                        admission of additional states.--
                        Notwithstanding clause (i), if any 
                        additional State is admitted into the 
                        Union before the end of the 14-year 
                        period referred to in paragraph (1), 
                        the Secretary of the Treasury may issue 
                        a $1 coin with respect to the 
                        additional State in accordance with 
                        clause (i)(I).
                          (iii) Application in the event of 
                        independence or adding of a 
                        territory.--Notwithstanding clause 
                        (i)--
                                  (I) if any territory becomes 
                                independent or otherwise ceases 
                                to be a territory of the United 
                                States before $1 coins are 
                                minted pursuant to this 
                                subsection, the subsection 
                                shall cease to apply with 
                                respect to such territory; and
                                  (II) if any new territory is 
                                added to the United States, $1 
                                coins shall be issued for such 
                                territories in the order in 
                                which the new the territories 
                                are added, beginning after the 
                                $1 coin is issued for the 
                                Commonwealth of the Northern 
                                Mariana Islands.
                  (B) Issuance of coins commemorating four 
                innovations or innovators during each of 14 
                years.--
                          (i) In general.--Four $1 coin designs 
                        as described in this subsection shall 
                        be issued during each year of the 
                        period referred to in paragraph (1) 
                        until 1 coin featuring 1 innovation, an 
                        individual innovator, or a group of 
                        innovators, from each of the States, 
                        the District of Columbia, and 
                        territories has been issued.
                          (ii) Number of coins of each 
                        design.--The Secretary shall prescribe, 
                        on the basis of such factors as the 
                        Secretary determines to be appropriate, 
                        the number of $1 coins that shall be 
                        issued with each of the designs 
                        selected for each year of the period 
                        referred to in paragraph (1).
          (4) Selection of concept and design.--
                  (A) Concept.--With respect to each State, the 
                District of Columbia, and each territory to be 
                honored with a coin under this subsection, the 
                selection of the significant innovation, 
                innovator, or group of innovators to be borne 
                on the reverse of such coin shall be made by 
                the Secretary of the Treasury, after 
                consultation with the Governor or other chief 
                executive of the State, the District of 
                Columbia, or territory with respect to which a 
                coin is to be issued under this subsection.
                  (B) Design.--Each of the designs required 
                under this subsection shall be selected by the 
                Secretary after--
                          (i) consultation with--
                                  (I) the Governor or other 
                                chief executive of the State, 
                                the District of Columbia, or 
                                territory with respect to which 
                                a coin is to be issued under 
                                this subsection; and
                                  (II) the Commission of Fine 
                                Arts; and
                          (ii) review by the Citizens Coinage 
                        Advisory Committee.
                  (C) Selection and approval process.--
                Proposals for designs for $1 coins under this 
                subsection may be submitted in accordance with 
                the design selection and approval process 
                developed by the Secretary in the sole 
                discretion of the Secretary.
                  (D) Standards.--Because it is important that 
                the Nation's coinage and currency bear 
                dignified designs of which the citizens of the 
                United States can be proud, the Secretary shall 
                not select any frivolous or inappropriate 
                design for any $1 coin minted under this 
                subsection.
                  (E) Prohibition on certain representations.--
                No head and shoulders portrait or bust of any 
                person and no portrait of a living person may 
                be included in the design of any coin issued 
                under this subsection.
          (5) Treatment as numismatic items.--For purposes of 
        sections 5134 and 5136, all $1 coins minted under this 
        subsection shall be considered to be numismatic items.
          (6) Issuance of numismatic coins.--The Secretary may 
        mint and issue such number of $1 coins of each design 
        selected under this subsection in uncirculated and 
        proof qualities as the Secretary determines to be 
        appropriate.
          (7) Termination of program.--The issuance of coins 
        under this subsection shall terminate when one 
        innovation, an individual innovator, or a group of 
        innovators, from each State, the District of Columbia, 
        and each territory has been honored and may not be 
        resumed except by an Act of Congress.
  (x) Redesign and Issuance of Quarter Dollars Emblematic of 
Prominent American Women and Commemorating the 19th 
Amendment.--
          (1) Redesign of quarter dollars beginning in 2022.--
                  (A) In general.--Effective beginning January 
                1, 2022, notwithstanding the fourth sentence of 
                subsection (d)(1) and subsection (d)(2), the 
                Secretary of the Treasury shall issue quarter 
                dollars that have designs on the reverse 
                selected in accordance with this subsection 
                which are emblematic of the accomplishment of a 
                prominent American woman.
                  (B) Flexibility with regard to placement of 
                inscriptions.--Notwithstanding subsection 
                (d)(1), the Secretary may select a design for 
                quarter dollars referred to in subparagraph (A) 
                in which--
                          (i) the inscription described in the 
                        second sentence of subsection (d)(1) 
                        appears on the reverse side of any such 
                        quarter dollar; and
                          (ii) any of the inscriptions 
                        described in the third sentence of 
                        subsection (d)(1) or the designation of 
                        the value of the coin appear on the 
                        obverse side of any such quarter 
                        dollar.
                  (C) Single prominent american woman on each 
                quarter dollar.--The design on the reverse side 
                of each quarter dollar issued under this 
                subsection shall be emblematic of the 
                accomplishments and contributions of one 
                prominent woman of the United States, and may 
                include contributions to the United States in a 
                wide spectrum of accomplishments and fields, 
                including but not limited to suffrage, civil 
                rights, abolition, government, humanities, 
                science, space, and arts, and should honor 
                women from ethnically, racially, and 
                geographically diverse backgrounds.
                  (D) Issuance of quarter dollars emblematic of 
                up to five prominent american women each 
                year.--The designs for the quarter dollars 
                issued during each year of the period of 
                issuance described under paragraph (4) shall be 
                emblematic of up to five prominent American 
                women.
                  (E) Selection of prominent american women 
                generally.--The selection of a prominent 
                American woman to be featured under this 
                subsection shall be made by the Secretary--
                          (i) in accordance with a selection 
                        process developed by the Secretary;
                          (ii) after soliciting recommendations 
                        from the general public for prominent 
                        women designs for quarter dollars; and
                          (iii) in consultation with the 
                        Smithsonian Institution American 
                        Women's History Initiative, National 
                        Women's History Museum, and the 
                        Bipartisan Women's Caucus.
          (2) Design generally.--The coins issued in accordance 
        with this subsection shall meet the following design 
        requirements--
                  (A) In general.--All designs under this 
                subsection shall be selected by the Secretary, 
                after consultation with the Commission of Fine 
                Arts and review by the Citizens Coinage 
                Advisory Committee.
                  (B) Obverse.--The design on the obverse of 
                the quarter dollars shall maintain a likeness 
                of George Washington, and be designed in a 
                manner, such as with incused inscriptions, so 
                as to distinguish it from the obverse design 
                used during the previous quarters program.
          (3) Issuance of coins.--The Secretary shall 
        prescribe, on the basis of such factors as the 
        Secretary determines to be appropriate, the number of 
        new designs during each year of the period of issuance, 
        and the number of coins which shall be issued with each 
        of the designs selected for such year.
          (4) Period of issuance.--
                  (A) In general.--The program established 
                under this subsection shall continue in effect 
                until the end of 2025.
                  (B) Continuity.--After 2025, the Secretary 
                may continue to issue coins minted during the 
                program but not yet issued.
  (y) Redesign and Issuance of Coins Emblematic of the United 
States Semiquincentennial.--
          (1) Redesign beginning in 2026.--
                  (A) In general.--
                          (i) Notwithstanding the 4th, 5th, and 
                        6th sentences of subsection (d)(1), the 
                        Secretary may change the design on any 
                        of the coins authorized under this 
                        section and minted for issuance during 
                        the one-year period beginning January 
                        1, 2026, in celebration of the United 
                        States semiquincentennial.
                          (ii) Notwithstanding the 2nd and 3rd 
                        sentences of subsection (d)(1), the 
                        Secretary may place the required 
                        inscriptions on either the obverse or 
                        reverse sides of the coins authorized 
                        for redesign under this subsection.
                  (B) Quarter dollars.--The Secretary may issue 
                quarter dollars in 2026 with up to five 
                different designs emblematic of the United 
                States semiquincentennial. One of the quarter 
                dollar designs must be emblematic of a woman's 
                or women's contribution to the birth of the 
                Nation or the Declaration of Independence or 
                any other monumental moments in American 
                History.
                  (C) Dollars.--The Secretary may, in addition 
                to the coins produced under subsections (r) and 
                (w), mint for issuance during the one-year 
                period beginning January 1, 2026, $1 dollar 
                coins with designs emblematic of the United 
                States semiquincentennial.
                  (D) Designs after end of the program.--
                Beginning in 2027, any coin redesigned under 
                this subsection shall revert to the immediately 
                previous designs, with the exception of the 
                quarter dollar and the half dollar, which shall 
                bear designs in accordance with subsection (z).
                  (E) Redesign definition.--A redesign 
                authorized under this subsection shall not 
                constitute a ``change'' for purposes of 
                subsection (d)(2).
          (2) Selection of designs.--
                  (A) In general.--Each of the designs 
                authorized under this subsection shall be 
                selected by the Secretary after consultation 
                with Commission of Fine Arts and review by the 
                Citizens Coinage Advisory Committee.
                  (B) Design selection process.--Designs shall 
                be developed and selected in accordance with 
                the design selection process developed by the 
                Secretary in consultation with the United 
                States Semiquincentennial Commission and with 
                recommendations from the general public.
  (z) Redesign and Issuance of Quarter Dollars and Half Dollars 
Emblematic of Sports Played by American Youth.--
          (1) Redesign of quarter dollars beginning in 2027.--
                  (A) In general.--Effective beginning January 
                1, 2027, notwithstanding the fourth sentence of 
                subsection (d)(1) and subsection (d)(2), the 
                Secretary shall issue quarter dollars that have 
                designs on the reverse selected in accordance 
                with this subsection which are emblematic of 
                sports played by American youth.
                  (B) Flexibility with regard to placement of 
                inscriptions.--Notwithstanding subsection 
                (d)(1), the Secretary may select a design for 
                quarter dollars referred to in subparagraph (A) 
                in which--
                          (i) the inscription described in the 
                        second sentence of subsection (d)(1) 
                        appears on the reverse side of any such 
                        quarter dollars; and
                          (ii) any of the inscriptions 
                        described in the third sentence of 
                        subsection (d)(1) or the designation of 
                        the value of the coin appear on the 
                        obverse side of any such quarter 
                        dollars.
                  (C) Single sport on each quarter dollar.--The 
                design on the reverse side of each quarter 
                dollar issued under this subsection shall be 
                emblematic of one sport played by American 
                youth.
                  (D) Issuance of quarter dollars emblematic of 
                up to five sports each year.--The designs for 
                the quarter dollars issued during each year of 
                the period referred to in paragraph (5) shall 
                be emblematic of up to five sports.
                  (E) Selection of sports generally.--The 
                Secretary shall select the sports to be honored 
                during each year of the period referred to in 
                paragraph (5) after appropriate outreach and 
                consultation with the public.
          (2) Redesign of half dollars beginning in 2027.--
                  (A) In general.--Effective January 1, 2027, 
                notwithstanding the fourth sentence of 
                subsection (d)(1) and subsection (d)(2), the 
                Secretary shall issue half dollars that have 
                designs on the reverse selected in accordance 
                with this subsection which are emblematic of a 
                sport tailored to athletes with a range of 
                disabilities, including physical impairment, 
                vision impairment and intellectual impairment 
                (referred to in this Act as a ``Paralympic'' 
                sport).
                  (B) Flexibility with regard to placement of 
                inscriptions.--Notwithstanding subsection 
                (d)(1), the Secretary may select a design for 
                half dollars referred to in subparagraph (A) in 
                which--
                          (i) the inscription described in the 
                        second sentence of subsection (d)(1) 
                        appears on the reverse side of any such 
                        half dollars; and
                          (ii) any of the inscriptions 
                        described in the third sentence of 
                        subsection (d)(1) or the designation of 
                        the value of the coin appear on the 
                        obverse side of any such half dollars.
                  (C) Single paralympic sport on each half 
                dollar.--The design on the reverse side of each 
                half dollar issued under this subsection shall 
                be emblematic of one Paralympic sport.
                  (D) Selection of sports.--The selection of a 
                Paralympic sport to be honored with a half 
                dollar under this subsection shall be made by 
                the Secretary after consultation with U.S. 
                Paralympics.
          (3) Design generally.--The coins issued in accordance 
        with this subsection shall meet the following design 
        requirements:
                  (A) In general.--All designs under this 
                subsection shall be selected by the Secretary, 
                after consultation with the Commission of Fine 
                Arts and review by the Citizens Coinage 
                Advisory Committee.
                  (B) Quarter dollar obverse.--The design on 
                the obverse of the quarter dollars shall 
                maintain a likeness of George Washington, and 
                be designed in a manner so as to distinguish it 
                from the obverse design used during the 
                previous quarter dollars program.
                  (C) Half dollar obverse.--The design on the 
                obverse of the half dollar shall maintain a 
                likeness of John Kennedy, and be designed in a 
                manner so as to distinguish it from the obverse 
                design used on the current half dollar.
          (4) Issuance of coins.--
                  (A) Quarter dollar.--The quarter dollar coins 
                bearing designs under this subsection shall be 
                issued at the rate of up to 5 new designs 
                during each year of the period of issuance 
                described under paragraph (5).
                  (B) Half dollar.--The half dollar coins 
                bearing designs under this subsection shall be 
                issued at the rate of 1 new design during each 
                year of the period of issuance described under 
                paragraph (5).
          (5) Period of issuance.--
                  (A) In general.--The program established 
                under this subsection shall continue in effect 
                until the end of 2030.
                  (B) Continuity.--After the date specified in 
                subparagraph (A), the Secretary may continue to 
                issue coins minted during the program but not 
                yet issued.
          (6) Accompanying sports medals.--For every design of 
        a coin honoring a sport issued under this subsection, 
        the Secretary is authorized to design and issue one or 
        more accompanying medals with designs emblematic of the 
        sport honored with the issuance of the coin, and 
        include a surcharge on the sale the medals sold in 
        accordance with this paragraph, in an amount determined 
        by the Secretary, in the Secretary's sole discretion, 
        that may be used for the design and manufacture of the 
        medals described in paragraph (7).
          (7) Olympic medals.--
                  (A) In general.--The Secretary is authorized 
                to design and manufacture medals for award at 
                the 2028 Olympic Games in Los Angeles, 
                California.
                  (B) Working stock.--The Secretary may use 
                Treasury working gold and silver stock in the 
                manufacture of the award medals produced under 
                this subsection.
                  (C) Olympic & paralympic committees.--The 
                Secretary may provide the medals described in 
                this paragraph to the United States Olympic & 
                Paralympic Committee under terms and conditions 
                established by the Secretary.
                  (D) Cooperative marketing and promotion 
                opportunities.--The Secretary is encouraged to 
                seek out cooperative marketing and promotion 
                opportunities, including with the United States 
                Olympic & Paralympic Committee, LA28, and 
                United States Olympic and Paralympic Properties 
                to promote the coins and medals produced under 
                this section.
          (8) Designs after end of program.--Upon the 
        completion or termination of the coin program under 
        this subsection, the designs on the quarter dollar and 
        half dollar shall be as follows:
                  (A) Quarter dollar.--
                          (i) Obverse.--The obverse of the 
                        quarter dollar shall bear a design 
                        containing a likeness of George 
                        Washington.
                          (ii) Reverse.--The reverse of the 
                        quarter dollar shall be of a design 
                        selected by the Secretary after 
                        consultation with the Commission of 
                        Fine Arts and review by the Citizens 
                        Coinage Advisory Committee.
                  (B) Half dollar.--
                          (i) Obverse.--The obverse of the half 
                        dollar shall bear a design containing a 
                        likeness of John Kennedy.
                          (ii) Reverse.--The reverse of the 
                        half dollar shall be of a design 
                        selected by the Secretary after 
                        consultation with the Commission of 
                        Fine Arts and review by the Citizens 
                        Coinage Advisory Committee.
  (aa) Standards and General Provisions for Circulating 
Collectible Coins Under Subsections (x), (y), and (z).--
          (1) Prohibition on certain representations.--No head 
        and shoulders portrait or bust of any person, living or 
        dead, and no portrait of a living person may be 
        included in the design on the reverse of any coin under 
        subsections (x), (y), and (z).
          (2) Treatment as numismatic items.--For purposes of 
        sections 5134 and 5136, all coins and medals minted 
        under subsections (x), (y), and (z) shall be considered 
        to be numismatic items.
          (3) Issuance.--
                  (A) Quality of coins.--The Secretary may mint 
                and issue such number of coins of each design 
                selected under subsections (x), (y), and (z) in 
                uncirculated and proof qualities as the 
                Secretary determines to be appropriate.
                  (B) Coordination.--The Board of Governors of 
                the Federal Reserve System and the Secretary 
                shall take steps to ensure that an adequate 
                supply of coins produced under subsections (x), 
                (y), and (z) are available for commerce and 
                collectors at such places and in such 
                quantities as are appropriate.
                  (C) Number of each coin designs in each 
                year.--Of the coins issued during each year of 
                the period of issuance under subsections (x), 
                (y), and (z), the Secretary shall prescribe, on 
                the basis of such factors as the Secretary 
                determines to be appropriate, the number of 
                coins which shall be issued with each of the 
                designs selected for such year.
                  (D) Special inscriptions or symbol across the 
                coins.--The Secretary is encouraged to develop 
                and include on any coin issued in accordance 
                with subsections (x), (y), or (z), a unifying 
                inscription, privy mark, or other symbol for 
                that particular coin program.
          (4) Legal tender.--The coins minted under subsections 
        (x), (y), and (z) shall be legal tender, as provided in 
        section 5103.
          (5) Marketing and educational campaign.--In an effort 
        to advance the collecting of the coins and medals 
        authorized under subsections (x), (y), and (z), and 
        numismatics in general, the Secretary may develop and 
        execute a marketing, advertising, promotional, and 
        educational program to promote the collecting of the 
        coins and medals authorized under subsections (x), (y), 
        and (z). As part of this program, the Secretary is 
        encouraged to seek out appropriate cooperative 
        marketing opportunities, and to develop ancillary 
        derivative products beyond traditional numismatic 
        products such as sports, women, and youth oriented 
        products appropriate to the particular coin and medal 
        program.
          (6) Quality of medals.--It is the sense of Congress 
        that the medals authorized under subsection (z) be 
        produced in high relief and, if feasible and cost 
        effective, with surface treatments such as frosting and 
        colorization.
  (bb) Elimination of One-cent Coin.--
          (1) In general.--Notwithstanding any other provision 
        of law, the Secretary shall cease production of one-
        cent coins for general circulation, but may continue to 
        produce and issue one-cent coins for sale as numismatic 
        items.
          (2) No effect on legal tender.--Any one-cent coin 
        that is minted and issued on any date before the date 
        of the enactment of this subsection shall remain legal 
        tender for all debts, public charges, taxes, and dues.

           *       *       *       *       *       *       *




                             MINORITY VIEWS

    H.R. 3074 is a bill that ends the production of new pennies 
but does not provide sufficient guidance or consideration of 
how small businesses, local communities, and other stakeholders 
would execute this transition. On February 9, 2025, on a Truth 
Social post, President Trump announced that he directed 
Treasury Secretary Scott Bessent to stop producing new 
pennies.\1\ This represented another unilateral policy 
declaration made outside of the President's authority, as 
Article I, Section 8 of the Constitution declares that 
``Congress shall have power . . . to coin money [and] regulate 
the value thereof.''\2\ The Supreme Court has also recognized 
Congress's coinage power to be exclusive.\3\ However, in 
following Trump's directive, and without a law from Congress, 
on May 22, 2025, Treasury announced it made its last order of 
penny blanks, which are the flat metal discs the U.S. Mint 
turns into coins.\4\ The Mint plans to continue to manufacture 
pennies while the inventory of penny blanks exists.\5\ The Mint 
is expected to stop producing pennies for circulation by early 
2026.\6\
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    \1\X, Department of Government Efficiency Post (Jan. 21, 2025); 
Truth Social, Donald J. Trump (Feb. 9, 2025).
    \2\ArtI.S8.C5.1, Congress's Coinage Power.
    \3\Houston v. Moore, 18 U.S. 1, 49 (1820); Sturges v. 
Crowninshield, 17 U.S. 122, 125 (1819).
    \4\The U.S. will soon mint its last penny, NBC News (May 22, 2025).
    \5\The U.S. will soon mint its last penny, NBC News (May 22, 2025).
    \6\Rounding Up: The Impact of Phasing Out the Penny, Federal 
Reserve Bank of Richmond (July 2025).
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    Although H.R. 3074 directs the Treasury to stop the 
production of pennies, pennies can still be produced and sold 
as numismatic items for coin collecting and existing pennies 
will still be considered legal tender. Under this legislation, 
the Treasury may also determine the composition of zinc and 
nickel in the 5-cent coin, subject to testing and evaluation 
that such composition reduces the cost to produce the 5-cent 
coin.
    Ending the production of pennies raises new challenges as 
the demand of 5-cent coins would increase. Five-cent coins are 
more expensive to produce due to their manufacturing costs, 
metal composition, and inflation and supply chain issues.\7\ 
Each penny costs 3.7 cents to make: 3 cents for production 
costs and 0.7 cents per coin for administrative and 
distribution costs.\8\ Each 5-cent coin costs 13.8 cents: 11 
cents for production costs and 2.8 cents for administrative and 
distribution costs.\9\ The cost of producing 5-cent coins has 
risen by about 20% since 2022 due to the costs of copper and 
nickel.\10\ Five-cent coins are made of 75% copper and 25% 
nickel.\11\ While pennies are made of copper-plated zinc, they 
are only 2.5% copper and 97.5% zinc.\12\ Zinc prices have 
stayed relatively steady since 2016, but copper and nickel 
prices have roughly doubled since then.\13\ Of note, on July 8, 
Trump announced a 50% tariff on copper imports starting on 
August 1.\14\ This move sent prices for copper surging 13% in 
one day up to a record high of $5.69 per pound.\15\ It is not 
clear that the proposed composition for the nickel is the most 
cost effective metal composition.
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    \7\The Future of the US Nickel: Will It Be Next to Go?, Bullion 
Exchanges (Feb. 20, 2025).
    \8\U.S. Mint, 2024 Annual Report (2024).
    \9\U.S. Mint, 2024 Annual Report (2024).
    \10\U.S. Mint, 2024 Annual Report (2024).
    \11\Joshua McMorrow-Hernandez, What Are Nickels Made Of?, 
Gainseville Coins (Nov. 03, 2023).
    \12\Maria Francis, Trump orders Treasury to stop minting pennies: 
How much does it cost to mint a penny?, USA Today (Feb. 10, 2025).
    \13\Chris Isidore, Getting rid of the penny introduces a new 
problem: nickels, CNN (Feb. 10, 2025).
    \14\Trump says 50% tariff on copper imports is coming and threatens 
200% on pharmaceuticals, CNN (July 8, 2025).
    \15\Copper prices have surged to record highs--and they could jump 
higher. Here's why, CNN (July 17, 2025).
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    Furthermore, adopting a new composition for the 5-cent coin 
without implementation standards and timelines for vendors to 
adjust their equipment, such as vending machines, and other 
operations will burden entrepreneurs and small businesses who 
depend on cash transactions. Vending machines rely on 
electromagnetic and weight sensors calibrated to current coin 
specifications. An abrupt change in the 5-cent coin composition 
would render many mechanisms inoperable, requiring operators to 
update or replace equipment at a significant expense. These 
sudden shifts would also impact a range of stakeholders. For 
example, under the Randolph-Sheppard program, individuals who 
are blind or have vision impairment are recruited to manage 
vending facilities and would also be required to grapple with 
the implications of this legislation.\16\ In addition, other 
small businesses that rely heavily on cash, such as laundromats 
and corner stores, might also be particularly affected.\17\
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    \16\National Council of State Agencies for the Blind, About 
Randolph-Sheppard (accessed Aug. 29, 2025).
    \17\Tim Sablik, Insert Coins: The COVID-19 pandemic disrupted the 
supply of many items, including cold hard cash, Fourth Quarter 2020 
(2020).
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    H.R. 3074 does not clearly describe the types of standards 
states and different localities should adopt regarding the 
rounding of cash transactions. A lack of uniform guidance, 
especially for multi-state operations, may cause 
inconsistencies, uncertainty in pricing approaches, legal 
compliance issues, and sales tax calculations.\18\ Without this 
guidance, consumers who use cash to pay may face a ``rounding'' 
tax, as businesses may round transactions to the disadvantage 
of consumers,\19\ which would likely disproportionately affect 
older Americans and low-income individuals.\20\ On the other 
hand, consumers using electronic payments like credit and debit 
transactions would remain unaffected and have their 
transactions executed in exact amounts.\21\
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    \18\Phasing out the penny: Preparing for a currency shift without 
clear rules, pwc (June 23, 2025).
    \19\Yan Zhuang and Erica L. Green, Trump Orders Treasury Secretary 
to Sop Minting Pennies, The New York Times (Feb. 9, 2025).
    \20\Why the end of pennies could trigger a small ``rounding tax, 
AXIOS (July 9, 2025); What the end of the penny means for the economy, 
your piggy bank, and the way America prices items, CNBC (Feb. 10, 
2025); and Tim Sablik, Will the Penny Get Pitched?, Federal Reserve 
Bank of Richmond, Fourth Quarter 2020 (2020).
    \21\Rounding Up: The Impact of Phasing Out the Penny, Federal 
Reserve Bank of Richmond (July 2025).
---------------------------------------------------------------------------
    While there is little research on the impacts to consumers, 
research by the Federal Reserve Bank of Richmond estimates that 
a standard rounding tax could cost consumers approximately $6 
million annually.\22\ During debate of the bill, there was 
bipartisan concern. Rep. Rose stated, ``as my colleagues on the 
other side of the aisle have already expressed, simply 
eliminating the penny without a well-crafted plan for the 
orderly phaseout of the penny won't accomplish that goal and 
could actually make things worse. As it stands, there has been 
no time provided for States, retailers, or consumers to prepare 
for a penniless economy.'' He continued saying, ``One of my 
concerns [surrounding] the current version of the [bill] is 
that it does not provide for a plan for the orderly withdrawal 
of the penny from circulation, which I believe is essential for 
minimizing disruptions from this momentous policy change.''\23\
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    \22\Rounding Up: The Impact of Phasing Out the Penny, Federal 
Reserve Bank of Richmond (July 2025).
    \23\House Committee on Financial Services, Committee Markup, 119th 
Cong. (July 23, 2025).
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           During consideration, Ranking Member Waters 
        offered an amendment to pause the bill's termination of 
        penny production for three years and establish a task 
        force composed of local and state entities to evaluate 
        the impact of stopping penny production on low-income 
        communities, older consumers, and debanked and 
        underbanked groups. The Treasury Secretary is 
        authorized to determine, after considering the 
        taskforce findings, whether stopping production of the 
        penny is in the public interest.
    Unfortunately, this amendment was not adopted. Finally, 
this bill is opposed by the National Automatic Merchandising 
Association and National Federation of the Blind. For the 
reasons stated above, we oppose H.R. 3074.
            Sincerely,
                                   Maxine Waters,
                                           Ranking Member.
                                   Nydia M. Velazquez,
                                   Stephen F. Lynch,
                                   Al Green,
                                   Emanuel Cleaver, II,
                                   Joyce Beatty,
                                   Juan Vargas,
                                   Sylvia R. Garcia,
                                           Members of Congress.

                                  [all]