[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4497 Introduced in Senate (IS)]

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117th CONGRESS
  2d Session
                                S. 4497

  To prohibit retail businesses from refusing cash payments, and for 
                            other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 23, 2022

  Mr. Menendez (for himself and Mr. Cramer) introduced the following 
 bill; which was read twice and referred to the Committee on Banking, 
                       Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
  To prohibit retail businesses from refusing cash payments, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Payment Choice Act of 2022''.

SEC. 2. SENSE OF CONGRESS.

    It is the sense of Congress that every consumer has the right to 
use cash at retail businesses who accept in-person payments.

SEC. 3. RETAIL BUSINESSES PROHIBITED FROM REFUSING CASH PAYMENTS.

    (a) In General.--Subchapter I of chapter 51 of title 31, United 
States Code, is amended by adding at the end the following:
``Sec. 5104. Retail businesses prohibited from refusing cash payments
    ``(a) In General.--Any person engaged in the business of selling or 
offering goods or services at retail to the public with a person 
accepting in-person payments at a physical location (including a person 
accepting payments for telephone, mail, or internet-based transactions 
who is accepting in-person payments at a physical location)--
            ``(1) shall accept cash as a form of payment for sales of 
        less than $2,000 made at such physical location; and
            ``(2) may not charge cash-paying customers a higher price 
        compared to the price charged to customers not paying with 
        cash.
    ``(b) Exceptions.--
            ``(1) In general.--Subsection (a) shall not apply to a 
        person if such person--
                    ``(A) is unable to accept cash because of--
                            ``(i) a sale system failure that 
                        temporarily prevents the processing of cash 
                        payments; or
                            ``(ii) a temporary insufficiency in cash on 
                        hand needed to provide change; or
                    ``(B) provides customers with the means, on the 
                premises, to convert cash into a card that is either a 
                general-use prepaid card, a gift card, or an access 
                device for electronic fund transfers for which--
                            ``(i) there is no fee for the use of the 
                        card;
                            ``(ii) there is not a minimum deposit 
                        amount greater than 1 dollar;
                            ``(iii) amounts loaded on the card do not 
                        expire, as required under paragraph (2);
                            ``(iv) there is no collection of any 
                        personal identifying information from the 
                        customer;
                            ``(v) there is no fee to use the card; and
                            ``(vi) there may be a limit to the number 
                        of transactions on such cards.
            ``(2) Inactivity.--A person seeking exception from 
        subsection (a) may charge an inactivity fee in association with 
        a prepaid card offered by such person if--
                    ``(A) there has been no activity with respect to 
                the card during the 12-month period ending on the date 
                on which the inactivity fee is imposed;
                    ``(B) not more than 1 inactivity fee is imposed in 
                any 1-month period; and
                    ``(C) it is clearly and conspicuously stated, on 
                the face of the mechanism that issues the card and on 
                the card--
                            ``(i) that an inactivity fee or charge may 
                        be imposed;
                            ``(ii) the frequency at which such 
                        inactivity fee may be imposed; and
                            ``(iii) the amount of such inactivity fee.
    ``(c) Right To Not Accept Large Bills.--
            ``(1) In general.--Notwithstanding subsection (a), for the 
        5-year period beginning on the date of enactment of this 
        section, this section shall not require a person to accept cash 
        payments in $50 bills or any larger bill.
            ``(2) Rulemaking.--
                    ``(A) In general.--The Secretary shall issue a rule 
                on the date that is 5 years after the date of the 
                enactment of this section with respect to any bills a 
                person is not required to accept.
                    ``(B) Requirement.--When issuing a rule under 
                subparagraph (A), the Secretary shall require persons 
                to accept $1, $5, $10, $20, and $50 bills.
    ``(d) Enforcement.--
            ``(1) Preventative relief.--Whenever any person has 
        engaged, or there are reasonable grounds to believe that any 
        person is about to engage, in any act or practice prohibited by 
        this section, a civil action for preventive relief, including 
        an application for a permanent or temporary injunction, 
        restraining order, or other order may be brought against such 
        person.
            ``(2) Civil penalties.--Any person who violates this 
        section shall--
                    ``(A) be liable for actual damages;
                    ``(B) be fined not more than $2,500 for a first 
                offense; and
                    ``(C) be fined not more than $5,000 for a second or 
                subsequent offense.
            ``(3) Jurisdiction.--An action under this section may be 
        brought in any United States district court, or in any other 
        court of competent jurisdiction.
            ``(4) Intervention of attorney general.--Upon timely 
        application, a court may, in its discretion, permit the 
        Attorney General to intervene in a civil action brought under 
        this subsection, if the Attorney General certifies that the 
        action is of general public importance.
            ``(5) Authority to appoint court-paid attorney.--Upon 
        application by an individual and in such circumstances as the 
        court may determine just, the court may appoint an attorney for 
        such individual and may authorize the commencement of a civil 
        action under this subsection without the payment of fees, 
        costs, or security.
            ``(6) Attorney's fees.--In any action commenced pursuant to 
        this section, the court, in its discretion, may allow the 
        prevailing party, other than the United States, a reasonable 
        attorney's fee as part of the costs, and the United States 
        shall be liable for costs the same as a private person.
            ``(7) Requirements in certain states and local areas.--In 
        the case of an alleged act or practice prohibited by this 
        section which occurs in a State, or political subdivision of a 
        State, which has a State or local law prohibiting such act or 
        practice and establishing or authorizing a State or local 
        authority to grant or seek relief from such act or practice or 
        to institute criminal proceedings with respect thereto upon 
        receiving notice thereof, no civil action may be brought 
        hereunder before the expiration of 30 days after written notice 
        of such alleged act or practice has been given to the 
        appropriate State or local authority by registered mail or in 
        person, provided that the court may stay proceedings in such 
        civil action pending the termination of State or local 
        enforcement proceedings.
    ``(e) Greater Protection Under State Law.--This section shall not 
preempt any law of a State, the District of Columbia, a Tribal 
government, or a territory of the United States if the protections that 
such law affords to consumers are greater than the protections provided 
under this section.
    ``(f) Rulemaking.--The Secretary shall issue such rules as the 
Secretary determines are necessary to implement this section, which may 
prescribe additional exceptions to the application of the requirements 
described in subsection (a).
    ``(g) Annual Reports on the Geographic Distribution of Automated 
Teller Machines Owned by Federally Insured Depository Institutions.--
Beginning on the date that is 1 year after the date of enactment of 
this section, and annually thereafter, the Federal Deposit Insurance 
Corporation, with respect to depository institutions insured by the 
Corporation, and the National Credit Union Administration, with respect 
to credit unions insured by the National Credit Union Share Insurance 
Fund, shall submit the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Financial Services of the House of 
Representatives a report that provides--
            ``(1) the number of automated teller machines owned and in 
        service by each institution insured by such agency;
            ``(2) the location of each such automated teller machine 
        that is installed at a fixed site; and
            ``(3) the approximate geographic range or radius within 
        which mobile automated teller machines owned by any such 
        institution are deployed.''.
    (b) Clerical Amendment.--The table of contents for chapter 51 of 
title 31, United States Code, is amended by inserting after the item 
relating to section 5103 the following:

``5104. Retail businesses prohibited from refusing cash payments.''.
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