This story was originally posted on MyNorthwest.com
Washington lawmakers are considering legislation that would eliminate the need for pennies at the checkout counter by requiring cash transactions to be rounded to the nearest five cents.
House Bill 2334 comes after the U.S. Mint announced it would stop producing new pennies, prompting concerns about a potential coin shortage.
Under the bill, totals ending in one, two, six, or seven cents would be rounded down. Totals ending in three, four, eight, or nine cents would be rounded up. For example, a purchase totaling $10.42 would be rounded down to $10.40. A $10.43 purchase would be rounded up to $10.45.
The rounding would apply only to cash payments. Credit cards, debit cards, electronic payments, and online transactions would not be affected.
The legislation mirrors Canada’s approach after the Royal Canadian Mint stopped making pennies in 2012. Several other states are considering similar measures, and the U.S. Postal Service and many retailers have already adopted the practice.
Representative April Berg of Mill Creek and 15 other Democratic lawmakers are sponsoring the bill. It was prefiled Jan. 8 and referred to the House Finance Committee.
For purchases made with a combination of cash and other payment methods, the state Department of Revenue would establish rules.
If approved, the law would take effect 90 days after the legislature adjourns.
Manda Factor is the host of “Seattle’s Morning News” on KIRO Newsradio. Follow Manda on X and email her here.