HLS 12RS-4234
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Regular Session, 2012
HOUSE STUDY REQUEST NO. 5
BY REPRESENTATIVE CROMER
COMMITTEE STUDIES: Urges and requests the House Committee on Ways and Means
and House Committee on Commerce to study issues surrounding the potential
adoption of silver and gold coinage issued by the federal government as legal tender
in La.
A STUDY REQUEST1
To urge and request the House Committee on Ways and Means and House Committee on2
Commerce to study the issues surrounding the potential adoption of silver and gold3
coinage issued by the federal government as legal tender in Louisiana.4
WHEREAS, silver and gold coins of the United States are designated "legal tender"5
under Article I of the Constitution of the United States; and 6
WHEREAS, the Supreme Court of the United States in Lane County v. Oregon, 747
U.S. (7 Wallace) 71, 76-78 (1869), and Hagar v. Reclamation District No. 108, 111 U.S.8
701, 706 (1884), has ruled that states may adopt whatever currency they desire for the9
purpose of performing their sovereign governmental functions, including the adoption of10
silver and gold coin, while at the same time refusing to employ a currency which is not11
redeemable in silver and gold coin but which congress has designated "legal tender"; and12
WHEREAS, actions over the last four years by the Board of Governors of the Federal13
Reserve System with respect to debasement of the United States dollar to a magnitude which14
approaches a degree of currency debasement which has throughout history resulted in15
hyperinflation and economic and political collapse; and16
WHEREAS, an adequate system of governmental finance and a sound and robust17
private economy cannot be maintained in the absence of a sound currency; and 18
WHEREAS, the Legislature of Louisiana exists to enact laws and policies which19
protect and support the welfare, safety, and property rights of the citizens of Louisiana; and20 HLS 12RS-4234
HSR NO. 5
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WHEREAS, in the event of hyperinflation, depression, or other economic calamity1
related to the breakdown of the Federal Reserve System, for which this state is not prepared,2
Louisiana's governmental finances and private economy will be thrown into chaos, with3
gravely detrimental effects upon the lives, health, and property of Louisiana's citizens; and4
WHEREAS, the adoption of a currency to serve as an alternative to the currency5
distributed by the Federal Reserve System in the event of a disruption or failure of the6
Federal Reserve System is a policy which should be examined by each state for the7
protection of its citizens; and8
WHEREAS, the issues surrounding the potential adoption of an alternative currency9
are complex and would require a level of study which would be challenging within a Regular10
Session of the Legislature. 11
THEREFORE, the Legislature of Louisiana does hereby urge and request the House12
Committee on Ways and Means and House Committee on Commerce to study the issues13
surrounding the potential adoption of silver and gold coinage issued by the federal14
government as legal tender in Louisiana and to report findings and recommendations to the15
House of Representatives by February 1, 2013.16
BE IT FURTHER RESOLVED that the committee studies shall be completed by17
January 1, 2013. The chairmen of the committees shall issue a either a joint report or18
individual report of findings and recommendations generated as a result of the studies. The19
report shall be provided to each member of the House of Representatives. 20
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Cromer HSR No. 5
Urges and requests the House Committee on Ways and Means and House Committee on
Commerce to study the issues surrounding the potential adoption of silver and gold coinage
issued by the federal government as legal tender in La.