Sponsor
Frank D. Lucas
Representative · R-OK
Representative · R-OK
Official title: To amend title 31 to permit an alternative composition of the 5-cent coin and to eliminate the one-cent coin, and for other purposes.
Introduced July 16, 2025 by Frank D. Lucas · Last progress July 16, 2025
The bill aims to save minting costs and preserve numismatic revenue by ending penny production and updating coin composition, while trading off small cash-transaction rounding impacts and one-time equipment/transition costs that could blunt net savings.
Taxpayers: stopping penny production and changing the 5-cent composition should reduce Mint production and administrative costs, lowering government coinage expenses over time.
Consumers and businesses that use cash: preserving the legal-tender status of existing pennies avoids immediate disruption to commerce, contracts, and everyday transactions.
Coin collectors and the U.S. Mint: allowing continued sale of pennies as numismatic items preserves the collectors' market and potential Mint revenue streams.
Cash consumers (especially low-income individuals): removing pennies will cause rounding in cash transactions, producing small price differences that can cumulatively disadvantage some shoppers.
Vending machine operators, banks, and coin processors: a new 5-cent composition could require retrofitting or recalibration of machines and sorting equipment, creating one-time infrastructure costs.
Small retailers: businesses that price to the cent may incur accounting, pricing, and point-of-sale system adjustment costs when pennies are removed from circulation.
Based on analysis of 2 sections of legislative text.
Allows a zinc-inner/nickel-outer 5-cent coin with adjusted weight ranges and directs the Treasury to stop producing pennies for circulation while preserving their legal-tender status.
Changes the metal composition and allowable weight ranges for the U.S. 5-cent coin and directs the Treasury to stop producing circulating 1-cent coins (pennies), while preserving existing pennies as legal tender and allowing the Mint to sell pennies as collectible items. The Treasury Secretary is given authority to set zinc/nickel composition for the nickel coin subject to cost-saving tests. The bill adjusts statutory coin specifications to permit a zinc-core, nickel-clad 5-cent piece with alternate weight tolerances meant to reduce costs, and eliminates ongoing production of pennies for circulation (but not their legal status).