Senate Passes Common Cents Act, Sending Penny-Rounding Bill To Trump
By CU Today Staff —
WASHINGTON—The Senate has passed the Common Cents Act, sending legislation establishing a national framework for rounding cash transactions as the penny disappears from circulation to President Trump for his signature.
The Senate approved H.R. 10167 by unanimous consent Monday after the House passed it by voice vote Sept. 14.
The legislation formally directs Treasury to stop producing pennies for general circulation, while existing pennies remain legal tender. When exact change cannot be provided, businesses and financial institutions would be permitted to round cash transactions to the nearest nickel under a uniform national framework; checks, credit cards and other noncash payments would continue to be settled for the exact amount. The measure also allows Treasury to explore a less-expensive composition for the nickel and requires advance notice to Congress before Treasury discontinues another circulating coin.
America’s Credit Unions had pressed Senate leaders last week to pass the House bill, saying it addresses the “practical challenges” created by the end of penny production. The trade group said a national rounding standard would provide greater uniformity for credit unions and merchants operating across jurisdictions. The legislation also requires the Federal Reserve Board to develop a strategic plan and issue periodic reports on coin-terminal operations and the stability of the nation's coin-distribution system.
"Passage of the Common Cents Act brings much-needed federal certainty to an issue that Main Street financial institutions and local businesses have been managing on their own for months," stated America's Credit Unions President/CEO Scott Simpson. Credit unions stepped up during this gap to protect consumers, often absorbing operational costs directly so that everyday families, seniors, and cash-reliant households never lost a cent. A single, nationwide standard for cash rounding gives credit union members clear, consistent rules. We thank lawmakers for taking decisive, bipartisan action to end the guesswork, and we urge the President to sign this legislation into law without delay."
Originally reported by CU Today.