Press Release

FOR IMMEDIATE RELEASE
September 18, 2008

CONTACT: Leslie Shedd
(202) 225-5565

Lucas Introduces Bill to Reduce Deficit, Reinstate the Original 5 Cent Coin

Washington, DC - Congressman Frank Lucas has introduced H.R 6942, the “5 Cent Restoration Act,” a bill that will replace the nickel and return to the use of the original 5 cent coin, also known as the half-dime.  The half-dime is smaller in size and requires less metal to produce, lowering its cost and potentially saving the federal government millions of dollars.

The half-dime, introduced in 1792, was one of the original coins used in the United States.  In 1873, pressured by powerful nickel lobbyists, Congress did away with the half-dime and replaced it with the nickel-based 5 cent piece we use today.  However, with the rising expense of nickel, the cost to produce and ship our current nickel-based 5 cent piece is approximately nine cents.

“Fiscal irresponsibility seems to go hand-in-hand with the federal government,” stated Lucas.  “It’s time that we to find ways to decrease the amount of taxpayer money we spend each year.  At a cost of 9.5 cents to produce and ship, there is a $58.5 million loss passed on to the taxpayers each year.  This is one more example of irresponsible spending by the federal government and one more reason why our national deficit has risen to over $9 trillion.  It costs the federal government almost twice as much to make the nickel as it is worth and we cannot continue to spend that money.”

Once introduced, H.R. 6942 will be referred to the House Financial Services Committee for consideration.  While there is not much time remaining in the 110th Congress, it will highlight the issue for further discussion next year. 

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