Common Cents Act

119 HR 3074 EH: Common Cents Act U.S. House of Representatives text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. I 119th CONGRESS2d Session H. R. 3074

IN THE HOUSE OF REPRESENTATIVES AN ACT To direct the Secretary of the Treasury to stop minting the penny, to permit cash transactions to be rounded up or down to the nearest five cents, and for other purposes.

1.Short titleThis Act may be cited as the Common Cents Act.

2.Specifications of 5-cent coins and ceasing production of one-cent coinsSection 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 generalThe 5-cent coin may be a coin with an inner layer of zinc and an outer layer of nickel. (2)CompositionThe Secretary may prescribe the composition of zinc and nickel in the 5-cent coin, subject to testing and evaluation that such composition— (A)reduces the cost incurred to produce such coin; and (B)to the greatest extent practicable, has a minimal adverse impact on machines designed to accept coins.; and (4)by adding at the end the following: (bb)Ceasing production of one-cent coin (1)In generalNotwithstanding 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 tenderAny 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. .

3.Cash transaction rounding (a)In generalAny person, including a financial institution, selling goods or services in a cash transaction or entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction may, if exact change cannot be provided at that time of such transaction, round the covered amount in the following manner: (1)Rounding downExcept as provided in paragraph (2)(B), in any case in which the covered amount ends with 1 cent, 2 cents, 6 cents, or 7 cents as the final digit, the amount of cents in the sum may be rounded down to the nearest amount divisible by 5 for any person seeking to make payment with cash. (2)Rounding up (A)In generalIn any case in which the covered amount ends with 3 cents, 4 cents, 8 cents, or 9 cents as the final digit, the amount of cents in the sum may be rounded up to the nearest amount divisible by 5 for any person seeking to make payment with cash. (B)Small transactionsIn any case in which the covered amount totals $0.01 or $0.02, such amount may be rounded up to $.05 for any person seeking to make payment with cash. (b)Additional authority to roundWith respect to a person, including a financial institution, conducting a cash transaction with a customer of the person, the amount of cents in the sum of the transaction may be rounded, if such rounding is in favor of the customer, as follows: (1)Up to the nearest amount divisible by 5, if the person is paying the customer in cash. (2)Down to the nearest amount divisible by 5, if the customer is paying the person in cash. (c)Employer payments to employees (1)In generalWith respect to an employer providing a cash payment to an employee in an amount that is not divisible by 5 cents, if the employer chooses to round the amount of cents in such payment, the employer shall round the amount of cents in such payment up to the nearest amount divisible by 5 cents. (2)No rounding requirementNothing in this subsection may be construed to require rounding by an employer described in paragraph (1) who provides a cash payment to an employee in an exact amount. (d)ApplicationSubsections (a), (b), and (c) shall not apply to any transaction for which payment is made by any demand or negotiable instrument, electronic fund transfer, check, gift card, money order, credit card, or other like instrument or method. (e)Rule of constructionNothing in this Act may be construed to require any person to round a payment as described in subsections (a) or (b). (f)Covered amount definedIn this section, the term covered amount means— (1)the total transaction amount, including taxes; or (2)in the case of a person selling goods or services in a cash transaction or entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction, the amount of change due to the customer if the customer provides a cash payment that exceeds the total transaction amount, including taxes.

4.Treatment of Federal, State, and Tribal law with respect to cash transaction rounding (a)Federal lawAny person selling goods or services in a cash transaction, including a financial institution, entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction shall not be in violation of any Federal requirement, law, regulation, or standard based on the adherence to the cash rounding provisions described in section 3. (b)State and Tribal lawAny person selling goods or services in a cash transaction, including a financial institution, entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction shall not be in violation of any requirement, law, regulation, or standard of a State, Tribe, or a political subdivision of a State based on the adherence to the cash rounding provisions described in section 3. (c)Rule of constructionNothing in this Act or of any order thereunder shall excuse noncompliance with any Federal, State, Tribal, or local law, regulation, ordinance, or requirement establishing a minimum wage, providing for overtime pay requirements, or providing for paid leave.

5.Strategic plan and report on coin terminal operations and coin distribution stability (a)Strategic Plan and ReportNot later than 90 days after the date of the enactment of this Act, the Board of Governors of the Federal Reserve System shall submit to the covered committees and make publicly available a report that outlines a strategic plan for the acceptance of penny orders and deposits at commercial coin terminals providing services under agreements with the Federal reserve banks nationwide, including— (1)a description of the Board’s approach to limiting disruptions in penny supply and maintaining the stability of and efficiency of the coin distribution system, to the greatest extent practicable; (2)an evaluation of such coin terminals where the Federal reserve banks no longer accept penny deposits or penny orders; (3)an assessment of whether processing penny deposits or penny orders at such coin terminals could mitigate any challenges related to ceasing the production of the penny, including challenges related to the implementation of rounding practices; (4)an assessment by the Secretary of the Treasury, which the Secretary shall conduct and deliver to the Board not less than 60 days after the date of enactment of this Act— (A)on the impact of penny supply and demand disruptions, and rounding practices for check cashing, on low-income communities, older consumers, debanked, unbanked, and underbanked individuals, including feedback from State or local entities; and (B)that includes recommendations to the Congress to address any adverse impacts identified under subparagraph (A); and (4)any additional considerations the Board determines relevant to maintaining penny distribution stability. (b)Evaluation (1)In generalNot later than 6 months after submission of the report required under subsection (a), the Board of Governors of the Federal Reserve System shall submit to the covered committees and make publicly available a report that evaluates the progress of implementing the strategic plan described in subsection (a), including— (A)any material changes to the plan; and (B)any identified or emerging stress in the penny distribution system. (2)Successive reportsThe Board of Governors of the Federal Reserve System shall submit to the covered committees and make publicly available 2 additional reports that evaluate the progress described in paragraph (1) on dates that are not later than— (A)18 months after the submission of the report required under subsection (a); and (B)30 months after the submission of the report required under subsection (a).

6.DefinitionsIn this Act: (1)Covered committeesThe term covered committees means— (A)the Committee on Financial Services of the House of Representatives; and (B)the Committee on Banking, Housing, and Urban Affairs of the Senate. (2)Financial institutionThe term financial institution means any person, other than an individual, the business of which is engaging in financial activities in section 4(k) of the Bank Holding Company Act of 1956 (12 U.S.C. 1843(k)). Passed the House of Representatives July 14, 2026.Kevin F. McCumber,Clerk.

119 HR 3074 IH: Common Cents Act U.S. House of Representatives 2025-04-29 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. I119th CONGRESS1st SessionH. R. 3074IN THE HOUSE OF REPRESENTATIVESApril 29, 2025Mrs. McClain (for herself and Mr. Garcia of California) introduced the following bill; which was referred to the Committee on Financial ServicesA BILLTo 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.

1.Short titleThis Act may be cited as the Common Cents Act.

2.Elimination of production of one-cent coin (a)EliminationNot later than 1 year after the date of enactment of this Act, except as provided in subsection (b) and notwithstanding any other provision of law (including section 5112(a)(6) of title 31, United States Code), the Secretary of the Treasury shall cease production of one-cent coins. (b)Exception (1)In GeneralThe Secretary of the Treasury shall continue to produce one-cent coins as appropriate solely to meet the needs of numismatic collectors of the one-cent coin. (2)SaleAny one-cent coin produced under this subsection shall be sold in accordance with section 5132(a) of title 31 United States Code, and any other provisions of law governing numismatic coins. (3) Net Receipts The net receipts from the sale of any one-cent coin produced under this subsection shall equal or exceed the total cost of production, including variable costs and the appropriate share of fixed costs of production, as determined by the Secretary of the Treasury. (c)No effect on legal tenderAll coins and currencies of the United States, regardless of when coined, printed, or issued, and including one-cent coins, shall continue to be legal tender for all debts, public and private, public charges, taxes, duties, and dues, in accordance with law.

3.Cash transaction rounding (a)In generalNotwithstanding any other provision of law, any person selling goods or services in a cash transaction, entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction, or paying cash wages to an employee as compensation, shall round the payment in the following manner: (1)Rounding downIn any case in which the total transaction amount, including any taxes, ends with 1 cent, 2 cents, 6 cents, or 7 cents as the final digit, the amount of cents in the sum shall be rounded down to the nearest amount divisible by 5 for any person seeking to make payment with legal tender. (2)Rounding upIn any case in which the total transaction amount, including any taxes, ends with 3 cents, 4 cents, 8 cents, or 9 cents as the final digit, the amount of cents in the sum shall be rounded up to the nearest amount divisible by 5 for any person seeking to make payment with legal tender. (b)ExceptionSubsection (a) shall not apply to— (1)transactions in which the total transaction amount, including any taxes, totals $0.01 or $0.02, where such transactions shall be rounded up to $.05 for any person seeking to make payment with legal tender; or (2)any transaction for which payment is made by any demand or negotiable instrument, electronic fund transfer, check, gift card, money order, credit card, or other like instrument or method. (c)Effective dateThis section shall take effect 1 year after the date of enactment of this Act.

119 HR 3074 : Common Cents Act U.S. House of Representatives 2026-07-15 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. IIB119th CONGRESS2d SessionH. R. 3074IN THE SENATE OF THE UNITED STATESJuly 15, 2026Received; read twice and referred to the Committee on Banking, Housing, and Urban AffairsAN ACTTo direct the Secretary of the Treasury to stop minting the penny, to permit cash transactions to be rounded up or down to the nearest five cents, and for other purposes.1.Short titleThis Act may be cited as the Common Cents Act.2.Specifications of 5-cent coins and ceasing production of one-cent coinsSection 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 generalThe 5-cent coin may be a coin with an inner layer of zinc and an outer layer of nickel.(2)CompositionThe Secretary may prescribe the composition of zinc and nickel in the 5-cent coin, subject to testing and evaluation that such composition—(A)reduces the cost incurred to produce such coin; and(B)to the greatest extent practicable, has a minimal adverse impact on machines designed to accept coins.; and(4)by adding at the end the following:(bb)Ceasing production of one-cent coin(1)In generalNotwithstanding 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 tenderAny 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. .3.Cash transaction rounding(a)In generalAny person, including a financial institution, selling goods or services in a cash transaction or entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction may, if exact change cannot be provided at that time of such transaction, round the covered amount in the following manner:(1)Rounding downExcept as provided in paragraph (2)(B), in any case in which the covered amount ends with 1 cent, 2 cents, 6 cents, or 7 cents as the final digit, the amount of cents in the sum may be rounded down to the nearest amount divisible by 5 for any person seeking to make payment with cash.(2)Rounding up(A)In generalIn any case in which the covered amount ends with 3 cents, 4 cents, 8 cents, or 9 cents as the final digit, the amount of cents in the sum may be rounded up to the nearest amount divisible by 5 for any person seeking to make payment with cash.(B)Small transactionsIn any case in which the covered amount totals $0.01 or $0.02, such amount may be rounded up to $.05 for any person seeking to make payment with cash.(b)Additional authority to roundWith respect to a person, including a financial institution, conducting a cash transaction with a customer of the person, the amount of cents in the sum of the transaction may be rounded, if such rounding is in favor of the customer, as follows:(1)Up to the nearest amount divisible by 5, if the person is paying the customer in cash.(2)Down to the nearest amount divisible by 5, if the customer is paying the person in cash.(c)Employer payments to employees(1)In generalWith respect to an employer providing a cash payment to an employee in an amount that is not divisible by 5 cents, if the employer chooses to round the amount of cents in such payment, the employer shall round the amount of cents in such payment up to the nearest amount divisible by 5 cents.(2)No rounding requirementNothing in this subsection may be construed to require rounding by an employer described in paragraph (1) who provides a cash payment to an employee in an exact amount.(d)ApplicationSubsections (a), (b), and (c) shall not apply to any transaction for which payment is made by any demand or negotiable instrument, electronic fund transfer, check, gift card, money order, credit card, or other like instrument or method.(e)Rule of constructionNothing in this Act may be construed to require any person to round a payment as described in subsections (a) or (b).(f)Covered amount definedIn this section, the term covered amount means—(1)the total transaction amount, including taxes; or(2)in the case of a person selling goods or services in a cash transaction or entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction, the amount of change due to the customer if the customer provides a cash payment that exceeds the total transaction amount, including taxes.4.Treatment of Federal, State, and Tribal law with respect to cash transaction rounding(a)Federal lawAny person selling goods or services in a cash transaction, including a financial institution, entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction shall not be in violation of any Federal requirement, law, regulation, or standard based on the adherence to the cash rounding provisions described in section

3.(b)State and Tribal lawAny person selling goods or services in a cash transaction, including a financial institution, entering into any other transaction that results in a payment or transfer of cash between the parties to the transaction shall not be in violation of any requirement, law, regulation, or standard of a State, Tribe, or a political subdivision of a State based on the adherence to the cash rounding provisions described in section

3.(c)Rule of constructionNothing in this Act or of any order thereunder shall excuse noncompliance with any Federal, State, Tribal, or local law, regulation, ordinance, or requirement establishing a minimum wage, providing for overtime pay requirements, or providing for paid leave.5.Strategic plan and report on coin terminal operations and coin distribution stability(a)Strategic Plan and ReportNot later than 90 days after the date of the enactment of this Act, the Board of Governors of the Federal Reserve System shall submit to the covered committees and make publicly available a report that outlines a strategic plan for the acceptance of penny orders and deposits at commercial coin terminals providing services under agreements with the Federal reserve banks nationwide, including—(1)a description of the Board’s approach to limiting disruptions in penny supply and maintaining the stability of and efficiency of the coin distribution system, to the greatest extent practicable;(2)an evaluation of such coin terminals where the Federal reserve banks no longer accept penny deposits or penny orders;(3)an assessment of whether processing penny deposits or penny orders at such coin terminals could mitigate any challenges related to ceasing the production of the penny, including challenges related to the implementation of rounding practices;(4)an assessment by the Secretary of the Treasury, which the Secretary shall conduct and deliver to the Board not less than 60 days after the date of enactment of this Act—(A)on the impact of penny supply and demand disruptions, and rounding practices for check cashing, on low-income communities, older consumers, debanked, unbanked, and underbanked individuals, including feedback from State or local entities; and(B)that includes recommendations to the Congress to address any adverse impacts identified under subparagraph (A); and(4)any additional considerations the Board determines relevant to maintaining penny distribution stability.(b)Evaluation(1)In generalNot later than 6 months after submission of the report required under subsection (a), the Board of Governors of the Federal Reserve System shall submit to the covered committees and make publicly available a report that evaluates the progress of implementing the strategic plan described in subsection (a), including—(A)any material changes to the plan; and(B)any identified or emerging stress in the penny distribution system.(2)Successive reportsThe Board of Governors of the Federal Reserve System shall submit to the covered committees and make publicly available 2 additional reports that evaluate the progress described in paragraph (1) on dates that are not later than—(A)18 months after the submission of the report required under subsection (a); and(B)30 months after the submission of the report required under subsection (a).6.DefinitionsIn this Act:(1)Covered committeesThe term covered committees means—(A)the Committee on Financial Services of the House of Representatives; and(B)the Committee on Banking, Housing, and Urban Affairs of the Senate.(2)Financial institutionThe term financial institution means any person, other than an individual, the business of which is engaging in financial activities in section 4(k) of the Bank Holding Company Act of 1956 (12 U.S.C. 1843(k)).Passed the House of Representatives July 14, 2026.Kevin F. McCumber,Clerk.

119 HR 3074 RH: Common Cents Act U.S. House of Representatives 2025-09-04 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. IBUnion Calendar No. 192119th CONGRESS1st SessionH. R. 3074[Report No. 119–235]IN THE HOUSE OF REPRESENTATIVESApril 29, 2025Mrs. McClain (for herself and Mr. Garcia of California) introduced the following bill; which was referred to the Committee on Financial ServicesSeptember 4, 2025Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printedStrike out all after the enacting clause and insert the part printed in italicFor text of introduced bill, see copy of bill as introduced on April 29, 2025A BILLTo 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.1.Short titleThis Act may be cited as the Common Cents Act.2.Specifications of 5-cent coins and elimination of one-cent coinsSection 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 generalThe 5-cent coin may be a coin with an inner layer of zinc and an outer layer of nickel.(2)CompositionThe 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 generalNotwithstanding 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 tenderAny 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. .September 4, 2025Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed