Coin Export Rules Eased

Regulations designed by the United States Mint to prohibit the export of large amounts of coins for profiteering have been eased to make room for random coins that enter the scrap stream.

The Institute of Scrap Recycling Industries Inc. (ISRI) used the public comment period to ask the U.S. Mint to change the original language of its rule on exporting nickels and pennies, and “in response to ISRI’s comments on the interim rule issued in December 2006, the Mint changed the regulation,” according to an ISRI announcement. Says Steve Hirsch, associate counsel of ISRI, “This was one of those occasions where the process worked.”

Adds Hirsch, “We had noted the interim rule and several of our members had expressed concerns to ISRI staff. Inevitably, a few coins will get into the scrap stream, even if you search it thoroughly.” Hirsch notes that scrapped automobiles in particular often have loose coins tucked into seating areas.

Upon being contacted by ISRI, the U.S. Mint was “very responsive and I am pleased with the result,” says Hirsch.

The new preamble to the final rule specifically notes: “The Institute of Scrap Recycling Industries Inc., a trade association for the recycling industry, submitted a comment suggesting that an exception be added for the unintended exportation, melting, and treatment of 5-cent and one-cent coins that occurs incidental to the recycling of other materials, such as scrap automobiles and construction and demolition debris. We agree that such melting should not be prohibited, and have added an exception for coins incidentally present in recycled scrap.”

The final version of the rule continues to prohibit the shipping of coins for the intended purpose of melting them down to recover the value of the zinc or other metals.

“The Mint had issued that interim ruling because the value of metal content in pennies and nickels has risen to the point where it was worth more than [one or five cents],” notes Hirsch.