[House Document 106-235]
[From the U.S. Government Publishing Office]



106th Congress, 2d Session - - - - - - - - - - - House Document 106-235


 
  CONSUMER PRODUCT SAFETY COMMISSION ENHANCED ENFORCEMENT ACT OF 2000

                               __________

                                MESSAGE

                                  FROM

                   THE PRESIDENT OF THE UNITED STATES

                              TRANSMITTING

A LEGISLATIVE PROPOSAL THAT WOULD INCREASE THE PENALTIES THAT THE 
  CONSUMER PRODUCT SAFETY COMMISSION (CPSC) COULD IMPOSE UPON 
  MANUFACTURERS, DISTRIBUTORS, AND RETAILERS OF CONSUMER PRODUCTS WHO DO 
  NOT INFORM THE CPSC WHEN THE COMPANY HAS REASON TO BELIEVE IT HAS SOLD 
  A PRODUCT THAT DOES NOT MEET FEDERAL SAFETY STANDARDS OR COULD 
  OTHERWISE CREATE A SUBSTANTIAL PRODUCT HAZARD




    May 15, 2000.--Message and accompanying papers referred to the 
            Committee on Commerce and ordered to be printed

                               __________

                    U.S. GOVERNMENT PRINTING OFFICE
79-011                     WASHINGTON : 2000


To the Congress of the United States:
    I am pleased to transmit today for immediate consideration 
and prompt enactment the ``Consumer Product Safety Commission 
Enhanced Enforcement Act of 2000.'' This legislative proposal 
would increase the penalties that the Consumer Product Safety 
Commission (CPSC) could impose upon manufacturers, 
distributors, and retailers of consumer products who do not 
inform the CPSC when the company has reason to believe it has 
sold a product that does not meet Federal safety standards or 
could otherwise create a substantial product hazard. The 
proposal would also improve product recalls by enabling the 
CPSC to choose an alternative remedy in a recall if the CPSC 
finds that the remedy selected by the manufacturer is not in 
the public interest.
    Under current consumer product safety laws, manufacturers, 
distributors, and retailers of consumer products are required 
to inform the CPSC whenever they have information that one of 
their products: (1) Fails to comply with a CPSC product safety 
standard; (2) contains a defect that could create a substantial 
product hazard; or (3) creates an unreasonable risk of serious 
injury or death. After a company reports this information to 
the CPSC, the CPSC staff initiates an investigation in 
cooperation with the company. If the CPSC concludes that the 
product presents a substantial product hazard and that a recall 
is in the public interest, the CPSC staff will work with the 
company to conduct a product safety recall. The sooner the CPSC 
hears about a dangerous product, the sooner the CPSC can act to 
remove the product from store shelves and inform consumers 
about how to eliminate the hazard. That is why it is critical 
that companies inform the CPSC as soon as they are aware that 
one of their products may present a serious hazard to the 
public.
    Unfortunately, in about half the cases involving the most 
significant hazards--where the product can cause death or 
serious injury--companies do not report to the CPSC. In those 
cases, the CPSC must get safety information from other sources, 
including its own investigators, consumers, or tragically, from 
hospital emergency room reports or death certificates. 
Sometimes years can pass before the CPSC learns of the product 
hazard, although the company may have been aware of it all 
along. During that time, deaths and injuries continue. Once the 
CPSC becomes aware of the hazard, many companies continue to be 
recalcitrant, and the CPSC staff must conduct its own 
independent investigation. This often includes finding and 
investigating product incidents and conducting extensive 
laboratory testing. This process can take a long time, which 
means that the most dangerous products remain on store shelves 
and in consumers' homes longer, placing children and families 
at continuing risk.
    The Consumer Product Safety Commission can currently assess 
civil penalties against companies who fail to report a 
dangerous product. Criminal penalties are also available in 
particularly serious cases. In fact, in 1999, the CPSC assessed 
10 times the amount of civil penalties assessed 10 years ago. 
But, even with this more vigorous enforcement, too many 
companies still do not report, especially in cases involving 
serious harm.
    This legislative proposal would enhance the CPSC's civil 
and criminal enforcement authority. It would provide an added 
incentive for companies to comply with the law so that we can 
get dangerous products out of stores and consumers' homes more 
quickly.
    My legislative proposal would also help to make some 
product recalls more effective by allowing the CPSC to choose 
an alternative remedy if the CPSC finds that the manufacturer's 
chosen remedy is not in the public interest. Under current law, 
a company with a defective product that is being recalled has 
the right to select the remedy to be offered to the public. My 
proposal would continue to permit the company to select the 
remedy in a product recall. My proposal would also, however, 
allow the CPSC to determine--after an opportunity for a 
hearing--that the remedy selected by the company is not in the 
public interest. The CPSC may then order the company to carry 
out an alternative program that is in the public interest.
    The Consumer Product Safety Commission helps to keep 
America's children and families safe. This legislative proposal 
would help the CPSC be even more effective in protecting the 
public from dangerous products. I urge the Congress to give 
this legislation prompt and favorable consideration.
                                                William J. Clinton.
    The White House, May 12, 2000.
    
    
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