House Passes Chairwoman McClain’s Common Cents Act to End Wasteful Penny Production

WASHINGTON —Today, the House of Representatives passed House Republican Conference Chairwoman Lisa McClain's (R-Mich.) Common Cents Act. This legislation permanently ends production of the penny for general circulation. “Washington has a spending problem, and it shows up in places big and small,” Chairwoman McClain said. “If the federal government is spending nearly four cents to make a penny worth one cent, something is broken. House Republicans are proving that common sense still has a place in government by cutting waste and protecting taxpayer dollars.” President Trump directed the Treasury Department to end production of new pennies after the cost of producing each coin reached 3.69 cents. The Common Cents Act permanently codifies that policy while allowing the U.S. Mint to continue producing limited collectible pennies. Existing pennies may still be used for all cash transactions, and businesses may continue providing exact change. Payments made electronically, by credit card, check, gift card, or other non-cash methods are still charged to the exact cent. The legislation establishes a national framework for cash transactions when exact change is unavailable. It also authorizes the Treasury Department to use a lower-cost composition for the nickel if testing demonstrates it reduces production costs without significantly affecting coin-operated machines.