2017-05-29 Mon

A special act of 2017 is looking to execute a Government Accountability Office study that will find ways of reducing production costs of the Lincoln cent and keep the denomination’s viability constant at the same time. As per the new Act, $1 Federal Reserve notes might be removed from circulation and replaced by dollar coins.

The Cent might be suspended from circulation for at least three years and a GAO study will be conducted to analyse the effects within 6 months. The production cost of Lincoln cent has exceeded its face value for over 10 years. The Jefferson Cent might now be made of 80 percent copper and 20 percent nickel mix instead of 75 percent copper and 25 percent nickel to reduce production costs. Not more than $1 Federal Reserve notes will be released into the Federal Reserve for two years after the new law’s enactment. Dollar coins will have to be struck to support a substitution of coins for notes. Collectable versions of $1 Federal Reserve notes would be permitted.