21st Century Dollar Act

I 117TH CONGRESS 1ST SESSION H. R. 3506 To support the role of the United States dollar as the primary global reserve currency, and for other purposes. IN THE HOUSE OF REPRESENTATIVES MAY 25, 2021 Mr. HILL (for himself and Mr. HIMES) introduced the following bill; which was referred to the Committee on Financial Services A BILL To support the role of the United States dollar as the primary global reserve currency, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘21st Century Dollar 4 Act’’. 5 SEC. 2. STATEMENT OF UNITED STATES POLICY REGARD- 6 ING THE DOLLAR. 7 It is the policy of the United States to facilitate the 8 position of the dollar as the primary global reserve cur- 9 rency, including through vigorous support of— 10 VerDate Sep 11 2014 22:32 Jun 23, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3506.IH H3506 kjohnson on DSK79L0C42PROD with BILLS 2 •HR 3506 IH (1) deep, open, and transparent financial mar- 1 kets; 2 (2) continuous improvements to domestic and 3 international payment methods that facilitate dollar 4 transactions; 5 (3) sound macroeconomic governance and a 6 rules-based system of international trade; and 7 (4) clear and realistic objectives in the deploy- 8 ment of financial restrictions arising from national 9 security considerations. 10 SEC. 3. REPORT ON DOLLAR STRATEGY. 11 (a) IN GENERAL.—The Secretary of the Treasury (in 12 this Act referred to as the ‘‘Secretary’’) shall establish a 13 strategy that implements the policy described in section 14 2. 15 (b) CONSULTATION.—The Secretary shall, as appro- 16 priate, consult with the Board of Governors of the Federal 17 Reserve System when establishing the strategy pursuant 18 to subsection (a). 19 (c) REPORT.—Not later than 180 days after the date 20 of the enactment of this section, the Secretary shall sub- 21 mit to the Committee on Financial Services of the House 22 of Representatives and the Committee on Banking, Hous- 23 ing, and Urban Affairs of the Senate a report that de- 24 scribes— 25 VerDate Sep 11 2014 22:32 Jun 23, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3506.IH H3506 kjohnson on DSK79L0C42PROD with BILLS 3 •HR 3506 IH (1) the strategy established by the Secretary 1 pursuant to subsection (a); 2 (2) key measures taken by the Secretary to im- 3 plement the strategy; 4 (3) any legislative recommendations that would 5 strengthen the ability of the United States to ad- 6 vance the policy described in section 2; 7 (4) a description of efforts by major foreign 8 central banks, including the People’s Bank of China, 9 to create an official digital currency, as well as any 10 risks to the national interest of the United States 11 posed by such efforts; 12 (5) the status of efforts to assess or develop an 13 official United States digital currency by the Board 14 of Governors of the Federal Reserve System; and 15 (6) any implications for the strategy established 16 by the Secretary pursuant to subsection (a) arising 17 from the relative state of development of an official 18 digital currency by the United States and other na- 19 tions, including the People’s Republic of China. 20 (d) RENMINBI ASSESSMENT.—The report described 21 in subsection (c) shall— 22 (1) evaluate the role of the renminbi in inter- 23 national payments and foreign exchange reserves; 24 VerDate Sep 11 2014 22:32 Jun 23, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3506.IH H3506 kjohnson on DSK79L0C42PROD with BILLS 4 •HR 3506 IH (2) assess currency-related policies in China, in- 1 cluding— 2 (A) the provision of Chinese government- 3 backed assets; 4 (B) the extension of credit abroad by the 5 Chinese government; and 6 (C) the development of cross-border pay- 7 ment systems as tools to advance strategic ob- 8 jectives of the government of the People’s Re- 9 public of China; and 10 (3) recommend policy options aimed at miti- 11 gating medium-term and long-term risks to the na- 12 tional interest of the United States that may arise 13 as a result of the internationalization of the 14 renminbi. 15 (e) ANNUAL UPDATES.—After submitting an initial 16 report in accordance with subsection (c), the Secretary 17 shall submit, to the Committee on Financial Services of 18 the House of Representatives and the Committee on 19 Banking, Housing, and Urban Affairs of the Senate, an 20 updated version of such report each year. 21 VerDate Sep 11 2014 22:32 Jun 23, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3506.IH H3506 kjohnson on DSK79L0C42PROD with BILLS 5 •HR 3506 IH SEC. 4. SUNSET. 1 Section 3 shall have no force or effect after the date 2 that is 7 years after the date of the enactment of this 3 Act. 4 Æ VerDate Sep 11 2014 22:32 Jun 23, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6301 E:\BILLS\H3506.IH H3506 kjohnson on DSK79L0C42PROD with BILLS