Statement of Administration Policy: S. 3037 - Money Laundering Enforcement Amendments of 1990

(Senate)
(Riegle (D) Michigan)

The Administration supports Senate passage of S. 3037, but will seek an amendment to delete Title V, which would require the redesign of United States coins. The Administration opposes Title V because:

—  Stable coin designs are important symbols of a sound and stable national economy and of a continuity of'national purpose.

—  The public does not support the redesign of U.S. coinaae.

—  Public confusion will result from concurrent circulation of coins having two designs.

—  Redesign will not produce any appreciable revenue to the Treasury.

—  The initial redesign commemorating the Bicentennial of the United States Constitution is inappropriate because the Constitution has already been commemorated bv the mintiner of a commemorative coin.

The Administration recommends that legislation proposed by the Department of the Treasury, the Numismatic Public Enterprise Fund Act, be substituted for Title V of the bill.

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This draft Statement of Administration Policy was developed by the Legislative Reference Division (Jukes) in coordination with the Department of the Treasury (Carro), CEA, and HTF (Hannon and Dickey).

Titles I and II of s. 3037 provide penalties for money laundering that the Administration has previously supported.

Title III provides for increased disclosures to consumers by financial institutions. Treasury and CEA do not object to this title.

Title IV provides deterrents and penalties for counterfeiting. Treasury supports it.

Legislative Reference Division Draft
10/3/90 — 3:00 p.m.