Congress Considering Replacing The Dollar Bill With Dollar Coins, Could Save Taxpayers $4.4 Billion

Congress Considering Replacing The Dollar Bill With Dollar Coins, Could Save Taxpayers $4.4 Billion
World
Like Us On Facebook
Like Us On Facebook

Congress is kicking around the idea of replacing the dollar bill with dollar coins, as federal auditors have determined that the move could save taxpayers roughly $4.4 billion over the next 30 years.

Experts say that while it would be expensive to replace machines, the fact that coins can stay in circulation for up to 30 years, while paper bills only have four to five year lifespans, outweigh the initial costs.

‘We’ve never bitten the bullet to remove the $1 bill as every other Western economy has done,’ said former director of the U.S. Mint Philip Diehl said. ‘If you did, it would have the same success the Canadians have had.’

Supporters of the idea frequently point our northern neighbor as an example of switchover than went well. Canada introduced its now popular $1 piece, affectionately nicknamed the ‘Loonie,’ and found it so popular that the country also went to a $2 coin called the ‘Toonie.’

‘I don’t know anyone who would go back to the $1 and $2 bills,’ Rep. Bill Huizenga of Michigan said at a House subcommittee exploring ways to change how money is produced in this country.

Meanwhile, vending machine operators have long championed the use of $1 coins because they don’t jam the machines, cutting down on repair costs and lost sales.

Still, at a time when cost-cutting measures seem to be something of a necessity, few Americans seem to be behind the idea of replacing lightweight paper bills with heavier coins.

In the past five years, the U.S. Mint has produced 2.4 billion Presidential $1 coins, but most are stored by the Federal Reserve, and production was suspended about a year ago.

Strong opposition to the change has been seen in Congress as well. Rep. Lacy Clay of Missouri, another member of the subcommittee, said men don’t like carrying a bunch of coins around in their pocket or in their suits. And Rep. Carolyn Maloney of New York said that $1 coins have proved too hard to distinguish from quarters.

‘If the people don’t want it and they don’t want to use it,’ she said, ‘why in the world are we even talking about changing it?’

But the Government Accountability Office’s Lorelai St. James say the benefits of the switchover are hard to argue against and that they would only come through if the dollar bill is completely eliminated and the public educated about the benefits of the switch.

‘We continue to believe that replacing the note with a coin is likely to provide a financial benefit to the government,’ she said.

It seems, however, that the more likely option is that production methods of existing coins will be changed. As it stands, it take more than 2 cents to make a penny and more than 11 cents to make a nickel, thanks to rising prices of copper and nickel.

The subcommittee also heard suggestions to replace these more expensive metals with a combination of steel, aluminum and zinc, which would cost considerably less. Rep. Steve Stivers of Ohio put that number at nearly $200 million a year.

Congress approved a similar measure nearly 50 years when they took precious silver out of dimes and quarters as well as cut down production of 50-cent coins by half.

The U.S. Mint is expected to present a report in mid-December that will detail the results of nearly 18 months of work exploring a variety of new metal compositions and evaluating test coins for attributes as hardness, resistance to wear, availability of raw materials and costs.

Richard Peterson, the Mint’s acting director, noted that ‘several promising alternatives’ were found.

Jordan Shepherd | Elite.

Share Tweet
React
Like Us On Facebook
Like Us On Facebook

Julian Sonny

From the sandy beaches of Hawaii, to the streets of New York: Julian has seen it all. His lifetime of travels has given him a broad scope of knowledge and an eclectic taste unlike any other in the tri-state area. Julian has often been compared to cultural icon, The Rock, because of his unequivocal work ethic and warrior-like stature.

More In World

World Sean Levinson

Men In Pakistan Make Curry Using Over 100 Dead Bodies They Dug Up

Pakistan has decided that 2014 is probably a good time to officially declare cannibalism a crime. The two proposed laws were inspired by brothers Mohammad Arif Ali, 35, and Mohammad Farman Ali, 30, who were found last April to have dug up over 100 dead bodies from a local graveyard to feast upon. Residents of […]

World John Haltiwanger

4 Reasons Why You Won’t Catch Ebola On The Subway

Ebola has now arrived in New York City, which has prompted fears about the potential of the disease to spread across the city. It’s understandable that this news would be frightening to people. After all, New York is the most populous city in the country, and Ebola is a foreign disease with no cure. Not […]

World Sean Levinson

High School Shooting In Washington Leaves Two Dead And Four Injured

A high school student fatally shot himself and one other student at a Washington school just north of Seattle this morning. Up to four others were injured, all of whom are students. Shots were reported to have been fired at Marysville-Pilchuck High School at around 10:45 am. The Seattle Times reports that the shooter, believed […]

World Sean Levinson

Cellist Eerily Plays A Duet With Her Own Brainwaves (Video)

Chicago Symphony Orchestra cellist Katinka Kleijn has composed a duet combining her cello with the sound her brainwaves make. She did this by way of an EPOC Neuroheadset, an electroencephalography (EEG) device containing 14 sensors that records the speed, volume and depth of her brain activity, the Chicago Reader reports. Sound engineer Ryan Ingebritsen and […]

World Emily Arata

You Can Now Buy A $2,000 UGG Rug That’s As Cozy As It Is Ridiculous

If you’re in the market for a new rug, look no further than UGG’s just-introduced home collection. The selection of luxury furnishings includes a $2,000 Classic Leather-Bound Rug made from “sumptuous” wool. In case the price doesn’t throw you off, the rug’s fine print mentions it can’t be exposed to sunlight or washed. Instead, this […]

Also On Elite

World

Police Think Black Foster Teen Is A Burglar, Pepper Spray Him In His Home

North Carolina police pepper sprayed a black teenager in his own home when they thought he was robbing the white family that lives there. Ricky and Stacy Tyler, along with their four children, moved to Fuquay-Varina last July, according to ABC-11, so some neighbors might still be unaware that one of their kids is a […]

Women

16 Insane Things Men Should Stop Thinking Women Do, Because We Don’t

Women and men will forever remain a mystery to one another. No matter how many “Entourage” or “Sex and The City” episodes we watch, we’ll never truly understand the inner workings of the opposite sex. Because deep down, past all the games and the sex, there are deep-rooted misunderstandings that many times resonate in oppressive […]

Humor

This ‘Enlightened’ R&B Song Shows Men Are All About Equal Loving (Video)

Most love songs follow a fairly simple formula: Some male singer tells a girl about all her attractive qualities before hinting at what he’d do to her in bed, and every artist ends up making far too much money for a song that’s been produced a million times. There’s also usually a piano involved. However, […]

Humor

College Bro Tries To Backflip Off A Roof And Loses To Gravity (Video)

Philosophers have pondered the meaning of life for thousands of years and, even though I don’t claim to be smarter than the greatest minds of our time, I do think the explanation is a lot simpler than most people make it out to be. As far as I’m concerned, if you can successfully pull off […]

Sports

The Bengals Will Make A $1M Donation In Honor Of Devon Still’s Sky-High Jersey Sales

The overall response to the heartwarming story of Devon Still and his 4-year-old, cancer-stricken daughter, Leah, keeps getting better. In a statement on the team’s website, the Cincinnati Bengals announced that since the franchise made a pledge to donate proceeds from sales of the $100 replica jerseys to causes against cancer, Still’s jersey sales have nearly […]

Sports

NFL Player Made The Ultimate Fantasy Team By Drafting Real People Who Make A Difference

A lot of people in San Francisco are getting excited about 49ers receiver Stevie Johnson’s potential with quarterback Colin Kaepernick this season. But, you should be more excited about his brand new “Fantasy Work” concept, where he awards Twitter followers for specific tasks either completed or missed at the workplace and rewards them points accordingly. […]