Post by niseag on May 1, 2013 6:38:09 GMT 4
By David Schwartz
PHOENIX, April 30 (Reuters) - The Arizona Senate on Tuesday
approved a measure to make gold and silver legal currency in the
state, in a response to what backers said was a lack of
confidence in the international monetary system.
The legislation cleared the Republican-controlled Senate by
an 18-10 vote after being approved by the state House earlier
this month. It now goes to Republican Governor Jan Brewer, who
has not indicated if she will sign it into law or veto it.
The bill calls for Arizona to make gold and silver coins and
bullion legal tender beginning in mid-2014, joining existing
U.S. currency issued by the federal government.
If signed into law, Arizona would become the second state in
the nation to establish these precious metals as legal tender.
Utah approved such legislation in 2011.
More than a dozen states have considered similar legislation
in recent years, according to the National Conference of State
Legislatures.
The use of gold and silver as currency would be strictly
voluntary, with businesses left free to accept the precious
metals as payment for goods and services as they choose.
State Senator Chester Crandell, a Republican and sponsor of
the bill, said the ability to use gold and silver in everyday
life in the state is still a "work in progress" and that more
legislation was needed before it could be viable.
"This is the first step in getting it into the statute so we
can build on it," Crandell said at an earlier hearing on the
bill.
But Democratic state Senator Steve Farley said the bill
could create massive problems for businesses in the state and
government officials trying to administer what would in effect
be a dual monetary system.
"There's no reason for us to do this," Farley told lawmakers
during the final vote on Tuesday. "This is another one of those
things that gets national press for us - and not in a good way."
He also pointed to the recent decline in the value of gold -
which sank to $1,321.35 per ounce on April 16, its lowest price
in more than two years - noting that "anybody who thinks gold or
silver is a really safe place to put your money had better think
again."
The push to establish gold and silver as currency has become
increasingly popular in the United States in recent years among
some hardline fiscal conservatives, with the backing of groups
including the Tea Party movement, American Principles Project
and the Gold Standard Institute.
Keith Weiner, president of the Gold Standard Institute
advocacy group and a supporter of the bill, said the legislation
was needed to counter what he sees as insolvency in the global
monetary system.
"The dollar system and all of the other derivative
currencies, including the euro, are a recipe for worldwide
bankruptcy," Weiner told lawmakers at an earlier hearing, adding
that a "sound and honest money system such as gold and silver"
was needed to bring stability.
PHOENIX, April 30 (Reuters) - The Arizona Senate on Tuesday
approved a measure to make gold and silver legal currency in the
state, in a response to what backers said was a lack of
confidence in the international monetary system.
The legislation cleared the Republican-controlled Senate by
an 18-10 vote after being approved by the state House earlier
this month. It now goes to Republican Governor Jan Brewer, who
has not indicated if she will sign it into law or veto it.
The bill calls for Arizona to make gold and silver coins and
bullion legal tender beginning in mid-2014, joining existing
U.S. currency issued by the federal government.
If signed into law, Arizona would become the second state in
the nation to establish these precious metals as legal tender.
Utah approved such legislation in 2011.
More than a dozen states have considered similar legislation
in recent years, according to the National Conference of State
Legislatures.
The use of gold and silver as currency would be strictly
voluntary, with businesses left free to accept the precious
metals as payment for goods and services as they choose.
State Senator Chester Crandell, a Republican and sponsor of
the bill, said the ability to use gold and silver in everyday
life in the state is still a "work in progress" and that more
legislation was needed before it could be viable.
"This is the first step in getting it into the statute so we
can build on it," Crandell said at an earlier hearing on the
bill.
But Democratic state Senator Steve Farley said the bill
could create massive problems for businesses in the state and
government officials trying to administer what would in effect
be a dual monetary system.
"There's no reason for us to do this," Farley told lawmakers
during the final vote on Tuesday. "This is another one of those
things that gets national press for us - and not in a good way."
He also pointed to the recent decline in the value of gold -
which sank to $1,321.35 per ounce on April 16, its lowest price
in more than two years - noting that "anybody who thinks gold or
silver is a really safe place to put your money had better think
again."
The push to establish gold and silver as currency has become
increasingly popular in the United States in recent years among
some hardline fiscal conservatives, with the backing of groups
including the Tea Party movement, American Principles Project
and the Gold Standard Institute.
Keith Weiner, president of the Gold Standard Institute
advocacy group and a supporter of the bill, said the legislation
was needed to counter what he sees as insolvency in the global
monetary system.
"The dollar system and all of the other derivative
currencies, including the euro, are a recipe for worldwide
bankruptcy," Weiner told lawmakers at an earlier hearing, adding
that a "sound and honest money system such as gold and silver"
was needed to bring stability.
