Bennett Introduces Bill to Give CPSC Authority to Delay Enactment of CPSIA

[Former_Member]

SO IMPORTANT to call your Senators and tell them to support this Bill as well! Text of press release is as follows:


Senator Bennett Introduces Bill to Give CPSC Authority to Delay the Enactment of
the Consumer Product Safety Improvement Act

Says Congress must craft a compromise to protect businesses while still
improving child safety

WASHINGTON, D.C. - Senator Bob Bennett (R-Utah) today introduced a bill
that would give the Consumer Product Safety Commission (CPSC) the
discretion to postpone the enactment of the Consumer Product Safety
Improvement Act (CPSIA) and give Congress and the commission time to
evaluate the effects of this legislation and the unintended consequences
that would harm small businesses and thrift enterprises.

"I believe it is important to improve our children's safety and protect
them from harmful lead products," said Bennett. "We must, however, craft
a compromise before this well-intended law wreaks havoc upon many of our
small businesses and those in the thrift industry that serve the lower
income families in our country."

CPSIA is scheduled to go into effect on February 10, 2009. The act
requires manufacturers to use accredited third-party laboratories to
certify the safety of their products made for children 12 years of age
and under. Resellers are exempt from the testing requirements of the
legislation, but they are not exempt from the penalties associated with
violating the legislation. Violations can result in criminal punishments
of up to five years in prison and $250,000 in fines, and civil penalties
up to $15,000,000.

Bennett met with Acting Commissioner Nancy Nord last week to discuss the
unintended consequences of the legislation. That same day, the
commission postponed the testing and certification requirements for one
year to have more time to finalize the rules and issue clearer guidance
on how businesses should comply with the law.

"I've heard from many Utahns who are very concerned that parts of the
act are going to put them out of business and harm those who benefit
from their products and services," added Bennett. "At a time when we are
debating how to stimulate the economy and keep businesses afloat, we
should not overlook this problem that has the potential to cost our
economy millions of dollars in litigation costs and many, many jobs if
it is not implemented in the right way. During an economic downturn like
the one we are experiencing, thrift stores and others that sell used
goods are going to be more important than ever."

The Bennett bill would provide the time needed to solve the problems
associated with the act without compromising safety protections for our
children. The commission would continue to have the authority to keep
our children safe from hazardous substances under the Federal Hazardous
Substances Act.

For more information on CPSIA, visit the Consumer Product Safety
Commission web site at http://www.cpsc.gov/about/cpsia/cpsia.html
<http://www.cpsc.gov/about/cpsia/cpsia.html> .

Below is Senator Bennett's entire speech submitted into the
Congressional Record upon introduction of the bill:

I rise to introduce important legislation today.

Last year, this body passed the Consumer Product Safety Improvement Act.
Overall, I think this was a good bill, and will contribute to improving
our children's safety.

However, as is the case sometimes, we are now learning about some of the
unintended consequences arising from that legislation. I've heard from
Utahns who are very concerned that parts of the act are going to put
them out of business and harm those who benefit from their products and
services.

Next week, as part of the Consumer Product Safety Improvement Act, a new
lead standard for products goes into effect. The act makes it illegal to
sell products that contain more lead than the new standard allows
classifying those products as banned hazardous substances. The new
standard should help protect our children from the harmful effects of
lead poisoning.

The act also requires manufacturers to use accredited third-party
laboratories to certify the safety of their products made for children
ages 12 and under. If you don't test the product, you can't sell it.
This makes perfect sense.

But here's the problem: while resellers of those products are exempt
from the testing requirements of the legislation, they are not exempt
from the penalties associated with violating the act. Violations can
result in criminal punishment of up to $250,000 and five years in
prison, and civil liability up to $15 million. All of this is scheduled
to go into effect on February 10 of this year-less than one week from
today.

However, the Consumer Product Safety Commission understands there are
problems associated with the act. I met with Acting Commissioner Nancy
Nord last Friday about these issues. We discussed both the act's
potential problems and the importance of maintaining public safety.
That same day, her organization postponed the testing and certification
requirements of the act for one year. They needed additional time to
finalize the rules, and issue clearer guidance on how businesses should
comply with the law. Congress gave them the discretion to do this.

However, and this is the problem, the Consumer Product Safety Commission
doesn't have the discretion to postpone the actual standard-how much
lead is legally allowable in certain products. So you have a situation
where the agency is not enforcing the standard by requiring testing and
certification while at the same time the companies that have products in
their inventory that exceed the lead standard are subject to both
criminal and civil penalties. As one who ran his own business, I can
tell you that this makes no sense.

The legislation that I introduce here today will remedy this seeming
contradiction. My legislation gives the commission the authority, if it
determines necessary, to also delay implementing the new lead standards
until they have finalized the rules and begin to enforce the law. If the
commission were to exercise those authorities, it would give both
Congress and the Consumer Product Safety Commission enough time to
really evaluate the effects of this legislation, particularly on our
small businesses and thrift enterprises, and implement something that
actually makes sense.

You must understand that I am not opposed to the new lead standards or
keeping our children safe. My bill is not mandating a year delay; it's
simply giving the commission that authority. In the meantime, we must
craft some sort of compromise before this well-intended law wreaks havoc
upon many of our small businesses and those in the thrift industry that
serve the lower income in our country.

Let me explain some of the problems associated with the CPSIA. Some of
my constituents who are concerned about this bill are running small
businesses out of their homes to supplement their family income during
these difficult economic times. One constituent, Katie Erwin, recently
wrote to my office to tell me her personal experience. She designs and
makes baby dresses that are sold on the Internet. Her dresses require
the use of many fabrics, buttons, snaps, and elastic materials. She has
done her research into what her business will have to do after the CPSIA
becomes law. Even though she only uses materials that have been proven
to have safe lead content, she has to have her end product tested. Not
just each dress, but each element of each dress. At $75 per test, one
dress could end up costing $750. She told us that, in order to be
compliant, the dresses would be so expensive that she'd never make a
profit. And that is if she could even sell the more expensive dresses.
Other small and home-based businesses tell the same story. Many fear
going out of business, and don't know how to cope with the new
enforcement.

The Ogden Rescue Mission in northern Utah has two thrift stores that
have been around for decades selling used goods. The owner has made it
clear that he will stop selling any children's products on February 10
because he doesn't want to break the law or be held liable for
inadvertently selling a now-illegal product. Companies risk losing their
insurance if they accidentally sell an unsafe product. With the new
standards required by the Consumer Product Safety Improvement Act, the
chance of that happening is almost certain. I have to believe that
larger thrift stores like Deseret Industries, the Salvation Army, and
Goodwill Industries will all have similar concerns once the act is fully
understood and implemented.

Remember, these companies are going to be subject to criminal penalties
and civil liabilities for products they sell that exceed the standard,
including the resellers whom the law exempts from the testing and
certification requirements. Again, five years in prison, $250,000 in
criminal penalties and $15 million in civil penalties.

At a time when we are debating how to stimulate the economy and keep
businesses afloat, we should not overlook this problem that has the
potential to cost our economy millions of dollars in litigation costs
and many, many jobs if it is not implemented in the right way. During an
economic downturn like the one we are experiencing, thrift stores and
others that sell used goods are going to be more important than ever.
Let's make sure they are able to serve our communities by providing the
commission with the tools necessary to work out the problems associated
with implementing the CPSIA.

I hope the Senate expeditiously considers my legislation. I think this
approach makes sense, and will ultimately help the commission to better
implement this law. I understand others may have different approaches to
resolving the same problem, and I would invite a discussion of this
issue during the coming weeks with my colleagues so we can fix it
quickly before we do irreparable damage to businesses across the
country. Thank you.

[honoluluhoneybaby]

Thanks for posting!!!!! Do you have a bill number?????????

[honoluluhoneybaby]

Never mind -- got it! It's S.389 - A bill to establish a conditional stay of the ban on lead in children's products, and for other purposes.

[Former_Member]

That is the best understanding of the problem that I have ever heard from a member of Congress on CPSIA! This guy is great!

Write and demand that your Senators support S.389.

[Former_Member]

Sorry the post was so long but I thought it was really well written. The guy seems really level-headed and logical - something totally lacking in this fight.

[Former_Member]

And anyone on Twitter please retweet!

[Former_Member]

Calling thanks!!

[bubbletime]

mark

[honoluluhoneybaby]

BTW, the bill was referred to same committee -- Committee on Commerce, Science, and Transportation -- as Sentor DeMint's legislation:

S.389
Title: A bill to establish a conditional stay of the ban on lead in children's products, and for other purposes.
Sponsor: Sen Bennett, Robert F. [UT] (introduced 2/5/2009) Cosponsors (None)
Latest Major Action: 2/5/2009 Referred to Senate committee. Status: Read twice and referred to the Committee on Commerce, Science, and Transportation.

[Former_Member]

I thought there already was a "stay of execution" until 2010 so the cpsia could re-think. I am so confused.

[Former_Member]

sorry, I guess I should have read the whole post. Interesting that Bennett voted yes on this bill in the first place.

[Former_Member]

Thanks for posting... I'll call when the baby wakes up!

[meredithdillman]

Thanks for posting this!

This is the bill
http://www.govtrack.us/congress/bill.xpd?bill=s111-389

DeMint's
http://www.govtrack.us/congress/bill.xpd?bill=s111-374

[Former_Member]

Thank you for sharing!!!

[Former_Member]

This is important! Has everybody called both their senators about this?

[Former_Member]

marking - and thank you, allthenumbers!