The Depression had alot to do with it. Many other coins had off years as well with the cent being the only coin to have continuous mintage throughout the Depression. Notice that no nickels and dimes were minted in 1932 and 1933, no quarters in 1931, no halves in 1930, 1931, and 1932, and no dollars in 1929, 1930, 1931, 1932, and 1933. Also note that the commemorative program was virtually dead from 1929-1933.
The original proposal was for a commemorative series of a medal, half dollar, stamps and events at historical Washington sites to celebrate the 200th anniversary of Washington's birth. The 1926 Sesquicentennial Exposition wound up be a money loser so plans for a commemorative event were essentially cancelled. In 1930, Herbert Hoover vetoed a bill for a commemorative half dollar, with his main reasoning being that the many commem programs of the 20s created too much nonstandard coinage that might lead to public confusion and the rule that a coin design could not be changed after less than 25 years. Plan B was to change the design of the circulating
half dollar to be a commemoration of Washington. The Commission of Fine Arts held a competition for the design and the one submitted by Laura Gardin Fraser(wife of
Buffalo nickel designer
James Earle Fraser) was chosen.
Legislation was submitted in 1931 to change the design to a quarter dollar instead. Included in the legislation was language to bypass the 25 year requirement- the SLQ was arbitrarily deemed an "unsatisfactory design" due to striking issues. Since the denomination was now changed, the Treasury Secretary ordered that a new design competition be conducted, over the objections of the Commission of Fine Arts. The design of
John Flanagan was chosen in the second competition. It has been rumored throughout the years that Fraser's design was not used because "powers that be" did not want a woman to win the competition but no hard evidence exists for this theory. If you want to see Fraser's original design, it was recycled for a $5 gold commem in 1999 commemorating the 200th anniversary of Washington's death.