Bye-bye, penny? Cong. Lucas' bill to end penny production passes committee

Lucas' Penny Bill Passes out of Committee

Washington, DC (July 24th) – President Trump's call to eliminate production of the penny took a major step forward with the passage of Congressman Frank D. Lucas' legislation – the MINT Act – passing out of the Financial Services Committee. The legislation passed as part of the Common Cents Act authored by House Conference Chair Lisa McClain (R-MI), whose bill text was replaced by the MINT Act.

The Modernize and Improve our National Tender (MINT) Act would cease the production of the penny while ensuring that every penny still in circulation remains as legal tender. It would also allow the Mint to produce the nickel with nickel-plated zinc, giving greater flexibility to producer cheaper coins.

The MINT Act is supported by the United Steelworkers Union – which represents the 250 employees that previously manufactured zinc coin blanks for the penny – saying that the “bill preserves jobs, supports American industry, and delivers savings to taxpayers”.

Congressman Lucas spoke in favor of his bill before it ultimately passed out of committee with bipartisan support. You can watch his remarks by clicking here or on the image below.

SELECTED QUOTES:

"Last year the Mint lost $85 million from one-cent production. This is the 19th consecutive year the Untied States government has lost money keeping the one-cent piece in circulation...

Over time, the value of our currency – paper and coin – continues to drop... We have to make changes to address that...

The one-cent piece has run its course... The world has changed... Let's just be practical and move forward."

BACKGROUND:

• The U.S. Mint spends $3.69 to make and distribute just one penny. Last year, three billion pennies were produced, resulting in losses of over $85 million. 
• 2024 marked the 19th consecutive year that pennies cost more to produce than their worth in buying power.
• Due to inflation, pennies are worth 1/33rd of what they were worth when we put President Lincoln’s face on them in 1909.
• The nickel is also produced at a loss. The fiscal year 2024 unit cost for nickels was almost 14 cents, and the U.S. Mint lost approximately $18 million from nickel production.