Common Cents Act
What changed between versions
Cash transaction rounding changed from mandatory ('shall round') to voluntary ('may round'), with an added condition that exact change cannot be provided at the time of the transaction. A new rule of construction explicitly states nothing in the Act requires any person to round a payment.
New subsection (b) allows rounding in favor of the customer: up when the business pays the customer in cash, down when the customer pays the business in cash. This is a broader authority than the original bill provided.
New Section 5 requires the Federal Reserve Board to submit a strategic plan within 90 days addressing penny supply stability at commercial coin terminals, including an assessment of impact on low-income communities, older consumers, and unbanked/underbanked individuals. Follow-up progress reports are due at 6, 18, and 30 months.
Added 'including a financial institution' to the entities covered by rounding provisions, expanding applicability beyond just sellers of goods and services.
The numismatic exception for penny production was simplified: the original required net receipts to equal or exceed total production costs, while the engrossed version simply allows continued production and sale as numismatic items without that cost-recovery requirement.
New subsection (c) specifically addresses employer cash payments to employees: if an employer chooses to round, it must round up to the nearest 5-cent increment. No rounding is required if the payment is already exact.
The 1-year deadline for ceasing penny production was removed. The engrossed version simply states the Secretary 'shall cease production of one-cent coins for general circulation' without a specific date, and removes the separate effective date provision that previously set rounding to take effect 1 year after enactment.
New provisions allow the 5-cent coin (nickel) to have a modified composition: an inner layer of zinc and outer layer of nickel, with weight between 4 and 6 grams (compared to the standard 5 grams for the copper-nickel alloy). The Secretary may prescribe the specific zinc-to-nickel ratio subject to cost reduction and minimal impact on coin-accepting machines.
New Section 6 defines 'covered committees' (House Financial Services and Senate Banking) and 'financial institution' (any non-individual engaging in financial activities under section 4(k) of the Bank Holding Company Act).
New Section 4 provides that adhering to the rounding provisions does not violate any Federal, State, Tribal, or local law, regulation, or standard. However, it explicitly carves out minimum wage, overtime pay, and paid leave requirements from this protection.
