Common Cents Act
Latest Action
Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
Official Summary
Common Cents Act This bill generally ends the production of the penny and requires rounding to the nearest amount divisible by five for the payment or transfer of cash. The Department of the Treasury must stop producing the penny, except to meet collector needs. The penny shall continue to be legal tender. Any person selling goods or services in a cash transaction, entering into other transfers of cash, or paying cash wages to an employee must round the payment up or down in accordance with the bill. The bill takes effect one year after the date of enactment.
GovScope Watchdog™
AI Government Intelligence™The Common Cents Act proposes to end the production of the penny by the U.S. Department of the Treasury, except for collector needs, while maintaining the penny as legal tender. It mandates rounding cash transactions, including sales, transfers, and wages, to the nearest five cents. The bill is set to take effect one year after enactment and aims to modify cash handling practices in the United States.
This bill would stop penny production and require rounding cash payments to the nearest five cents, impacting cash transactions nationwide starting one year after enactment.
- The Department of the Treasury must cease producing pennies except for collector purposes.
- Pennies will remain legal tender despite the end of production.
- Cash transactions, including sales, transfers, and wage payments, must be rounded to the nearest five cents.
- The bill becomes effective one year after it is enacted.
- The bill is currently in process, having been received in the Senate and referred to the Committee on Banking, Housing, and Urban Affairs.
['U.S. Department of the Treasury (reduced coin production costs)', 'Retailers and businesses handling cash transactions (simplified cash handling)', 'Consumers engaging in cash transactions', 'Employees paid in cash wages']
['Implementation challenges related to rounding rules for cash transactions and wage payments', 'Potential need for public education on rounding procedures', 'Oversight of compliance with rounding requirements', 'Impact on accounting and cash management systems for businesses', 'No full text available to assess detailed enforcement or exceptions']
The bill was introduced in the House during the 119th Congress and has been received in the Senate, where it was read twice and referred to the Committee on Banking, Housing, and Urban Affairs. It addresses ongoing discussions about the cost and utility of producing low-denomination coins and cash transaction efficiency.
Hidden impact flags detected: 2
GovScope reviewed 2 policy-risk categories. Hover for a quick definition. Click detected flags for bill-specific details.
['Potential reduction in production costs for the Treasury due to ending penny minting except for collectors.', 'Possible changes in consumer and business behavior regarding cash payments and pricing strategies.', 'Reduced handling and circulation of pennies in the economy.', 'Need for updates to cash register systems and accounting practices to accommodate rounding.']
The full bill text is not available, limiting detailed analysis of enforcement mechanisms, exceptions, or detailed implementation guidelines. Oversight will be important to ensure compliance with rounding rules and to monitor any unintended economic impacts. Transparency about the Treasury's management of remaining penny stock and collector coin production will be relevant.
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