This browser does not support the Video element.
Congress passes bill to change nickel
The U.S. House and Senate have now passed the "Common Cents Act," which ends production of the penny. However, it also allows for the U.S. Mint to start looking for a new way to make nickels. FOX 13's Evan Axelbank reports.
TAMPA, Fla. - The U.S. House and Senate have now passed the "Common Cents Act," which ends production of the penny. However, it also allows for the U.S. Mint to start looking for a new way to make nickels.
Coin production
What we know:
It now costs 13 cents to make a five-cent nickel.
Stephen Howard, the owner of "Coinacopia" just south of Fletcher Avenue in Tampa, says the metallic makeup of the coin has not changed since they were first produced. They are 75% copper and 25% nickel.
The problem is that the cost of nickel, the metal that is used to make nickels, is up by 5% over the last year and 12% year to date.
Collectors used to sell buffalo nickels for 10 cents apiece, but now, they're going for 50 or 60 cents.
Business and bank shifts
What they're saying:
The owner of Coinacopia says you could just get rid of the nickel, and it wouldn't make a difference to him.
"I think it would have zero impact, period. The banks don't want to handle change anymore. It's heavy," said Howard. "They don't make any money having nickels or dimes or quarters or half dollars. They're just providing a service because, constitutionally, it's U.S. Money, and we're allowed to use it to purchase goods. But because the dollar isn't worth what it used to be, a cent or a nickel, even a dime, I don't personally carry change anymore."
The "Common Cents Act" not only eliminates the penny, it allows businesses to round up or down depending on what the price is.
Legislation status pending
What we don't know:
It remains unclear when or if President Donald Trump would sign the Common Cents Act into law, which would be the next step.
If that does happen, the U.S. Mint will be allowed to look for ways to change the metal mixture of the nickel in order to make it cost-effective.
The Source: The information in this story was gathered from Stephen Howard, the owner of Coinacopia, who provided local commentary on coin market values and banking practices, as well as legislative records from the U.S. House and Senate.