City of Racine to Discontinue Use of Pennies for Change
Beginning March 1, 2026, the City of Racine will discontinue the use of pennies when returning change for cash payments at City facilities.
The federal government has ended production of the one-cent coin. As a result, financial institutions are no longer replenishing penny inventories, and supplies available to the City are steadily diminishing.
To ensure uninterrupted service at City payment counters, cash transactions requiring change will be rounded to the nearest nickel once existing pennies are exhausted.
How Rounding Will Work
For cash payments only:
- Amounts ending in $0.01 or $0.02 will round down to the nearest nickel.
- Amounts ending in $0.03 or $0.04 will round up to the nearest nickel.
Examples:
- $15.21 → $15.20
- $15.22 → $15.20
- $15.23 → $15.25
- $15.24 → $15.25
Residents may still pay with exact change, including pennies. Payments made by check are not affected. Credit card payments are not rounded but remain subject to a small percentage-based service fee.
Water Utility Payments
If a resident overpays a water utility bill by pennies using cash, the overage will be applied as a credit to the utility account and reflected on the next bill.
Why This Adjustment Is Necessary
Without the ability to obtain additional pennies from financial institutions, the City must transition to a practical alternative that maintains efficient operationsThe fact or condition of functioning or being active. and minimizes transaction delays.
The City remains committed to providing multiple convenient payment options while adapting responsibly to changes in federal currency production.
For questions, residents may contact the Customer Service Department at (262) 636-9171.

