Here’s how it works: In June of last year, Rep. Peter Roksam (r-IL) introduced legislation authorizing a commemorative coin honoring the Lions Club, a service organization based in Oak Brook, IL – part of Roksam’s district.
The legislation dictates that proceeds from the coin sales be used to pay for the cost of producing the coins, but adds: “all surcharges received by the Secretary from the sale of coins issued under this Act shall be promptly paid by the Secretary to the Lions Clubs International Foundation for the purposes.”
In other words, assuming the costs of production are covered, the legislation will steer federal funds to an organization in Roksam’s home district. No earmarks required.
There's a long list of other commemorative coins, issued at repugican instigation (the coins all seem to emanate from the House).