[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 2045 Introduced in Senate (IS)]
1st Session
S. 2045
To reform the Consumer Product Safety Commission to provide greater
protection for children's products, to improve the screening of
noncompliant consumer products, to improve the effectiveness of
consumer product recall programs, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 12, 2007
Mr. Pryor (for himself and Mr. Inouye) introduced the following bill;
which was read twice and referred to the Committee on Commerce,
Science, and Transportation
_______________________________________________________________________
A BILL
To reform the Consumer Product Safety Commission to provide greater
protection for children's products, to improve the screening of
noncompliant consumer products, to improve the effectiveness of
consumer product recall programs, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``CPSC Reform Act of
2007''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Amendment of Consumer Product Safety Act.
Sec. 3. Reauthorization.
Sec. 4. Personnel.
Sec. 5. Full Commission requirement; interim quorum.
Sec. 6. Submission of copy of certain documents to Congress.
Sec. 7. Public disclosure of information.
Sec. 8. Rulemaking.
Sec. 9. Prohibition on stockpiling under other Commission-enforced
statutes.
Sec. 10. Third party certification of children's products.
Sec. 11. Tracking labels for products for children.
Sec. 12. Substantial product hazard reporting requirement.
Sec. 13. Corrective action plans.
Sec. 14. Identification of manufacturer by importers, retailers, and
distributors.
Sec. 15. Repeated importation offenses.
Sec. 16. Prohibited acts.
Sec. 17. Penalties.
Sec. 18. Preemption.
Sec. 19. Sharing of information with Federal, State, local, and foreign
agencies.
Sec. 20. Bonding.
Sec. 21. Enforcement by State attorneys general.
Sec. 22. Whistleblower protection for manufacturers' employees.
Sec. 23. Ban on children's products containing lead; lead paint rule.
Sec. 24. Cost-benefit analysis under the Poison Prevention Packaging
Act of 1970.
Sec. 25. Completion of upholstered furniture rulemaking.
SEC. 2. AMENDMENT OF CONSUMER PRODUCT SAFETY ACT.
Except as otherwise expressly provided, whenever in this Act an
amendment or repeal is expressed in terms of an amendment to, or repeal
of, a section or other provision, the reference shall be considered to
be made to a section or other provision of the Consumer Product Safety
Act (15 U.S.C. 2051 et seq.).
SEC. 3. REAUTHORIZATION.
(a) In General.--Section 32 (15 U.S.C. 2081) is amended--
(1) by redesignating subsection (c) as subsection (d); and
(2) by striking subsections (a) and (b) and inserting the
following:
``(a) There are authorized to be appropriated to the Commission for
the purpose of carrying out the provisions of this Act and any other
provision of law the Commission is authorized or directed to carry
out--
``(1) $80,000,000 for fiscal year 2009;
``(2) $88,500,000 for fiscal year 2010;
``(3) $96,800,000 for fiscal year 2011;
``(4) $106,480,000 for fiscal year 2012;
``(5) $117,128,000 for fiscal year 2013;
``(6) $128,841,000 for fiscal year 2014; and
``(7) $141,725,000 for fiscal year 2015.
``(b) There are authorized to be appropriated to the Commission for
the purpose of renovation, repair, reconstruction, re-equipping, and
making other necessary capital improvements to the Commission's
research, development, and testing facility (including bringing the
facility into compliance with applicable environmental, safety, and
accessibility standards), $20,000,000 for fiscal years 2009 and 2010.
``(c) There are authorized to be appropriated to the Commission for
research, in cooperation with the National Institute of Science and
Technology, the Food and Drug Administration, and other relevant
Federal agencies into safety issues related to the use of
nanotechnology in consumer products, $1,000,000 for fiscal years 2009
and 2010.''.
SEC. 4. PERSONNEL.
(a) Professional Staff.--The Consumer Product Safety Commission
shall increase the number of fulltime personnel employed by the
Commission to at least 500 by October 1, 2013.
(b) Professional Career Path.--The Commission shall develop and
implement a professional career development program for professional
staff to encourage retention of career personnel and provide
professional development opportunities for Commission employees.
(c) Change of Employment Status by Political Appointees.--An
individual who is employed by the Commission as a political appointee
(as defined in section 9803 of title 5, United States Code) may not be
appointed to a position in the competitive service under chapter 51 of
title 5, United States Code, or the Senior Executive Service under
subchapter II of chapter 31 of such title, by the Commission less than
1 year after termination of the individual's employment by the
Commission as a political appointee unless the appointment is
authorized by unanimous vote of the Commission.
(d) Personnel in Immediate Office of Commissioners.--The Commission
may not reduce the number of fulltime employees in the immediate office
of a commissioner unless the reduction is authorized by unanimous vote
of the Commission.
SEC. 5. FULL COMMISSION REQUIREMENT; INTERIM QUORUM.
(a) Number of Commissioners.--
(1) In general.--The Congress finds that it is necessary,
in order for the Consumer Product Safety Commission to function
effectively and carry out the purposes for which the Consumer
Product Safety Act was enacted, for the full complement of 5
members of the Commission to serve and participate in the
business of the Commission and urges the President to nominate
members to fill any vacancy in the membership of the Commission
as expeditiously as practicable.
(2) Repeal of limitation.--Title III of Public Law 102-389
is amended by striking the first proviso in the item captioned
``Consumer Product Safety Commission, salaries and expenses''
(15 U.S.C. 2053 note).
(b) Temporary Quorum.--Notwithstanding section 4(d) of the Consumer
Product Safety Act (15 U.S.C. 2053(d)), 2 members of the Consumer
Product Safety Commission, if they are not affiliated with the same
political party, shall constitute a quorum for the transaction of
business for the 9-month period beginning on the date of enactment of
this Act.
SEC. 6. SUBMISSION OF COPY OF CERTAIN DOCUMENTS TO CONGRESS.
(a) In General.--Notwithstanding any rule, regulation, or order to
the contrary, the Commission shall comply with the requirements of
section 27(k) of the Consumer Product Safety Act (15 U.S.C. 2076) with
respect to budget recommendations, legislative recommendations,
testimony, and comments on legislation submitted by the Commission to
the President or the Office of Management and Budget after the date of
enactment of this Act.
(b) Reinstatement of Requirement.--Section 3003(d) of Public Law
104-66 (31 U.S.C. 1113 note) is amended--
(1) by striking ``or'' after the semicolon in paragraph
(31);
(2) by redesignating paragraph (32) as (33); and
(3) by inserting after paragraph (31) the following:
``(32) section 27(k) of the Consumer Product Safety Act (15
U.S.C. 2076(k)); or''.
SEC. 7. PUBLIC DISCLOSURE OF INFORMATION.
Section 6 (15 U.S.C. 2055) is amended--
(1) by inserting ``A manufacturer or private labeler shall
submit any such mark within 15 calendar days after the date on
which it receives the Commission's offer.'' after ``paragraph
(2).'' in subsection (a)(3); and
(2) by striking subsection (b) and inserting the following:
``(b)(1) Except as provided by paragraph (3) of this subsection,
prior to its public disclosure of any information obtained under this
Act, or to be disclosed to the public in connection therewith (unless
the Commission finds that the public health and safety requires
otherwise), the Commission shall, to the extent practicable, notify and
provide a summary of the information to, each manufacturer or private
labeler of any consumer product to which such information pertains, if
the manner in which such consumer product is to be designated or
described in such information will permit the public to ascertain
readily the identity of such manufacturer or private labeler, and shall
provide such manufacturer or private labeler not less than 15 days to
submit comments to the Commission as to the veracity of such
information.
``(2) In disclosing any information under this subsection, the
Commission may, and upon the request of the manufacturer or private
labeler shall, include with the disclosure any comments or other
information or a summary thereof submitted under paragraph (1) by such
manufacturer or private labeler as an addendum.
``(3) Paragraphs (1) and (2) of this subsection do not apply to the
public disclosure of information about any consumer product--
``(i) with respect to which the Commission has
filed an action under section 12;
``(ii) with respect to which the Commission has
issued a complaint under section 15(c) or (d) alleging
that such product presents a substantial product
hazard; or
``(iii) which the Commission has reasonable cause
to believe is in violation of section 19 (relating to
prohibited acts).
``(4) The Commission may not disclose the names or addresses of
consumers pursuant to its authority under this section.''.
SEC. 8. RULEMAKING.
(a) ANPR Requirement.--
(1) In general.--Section 9 (15 U.S.C. 2058) is amended--
(A) by striking ``shall be commenced'' in
subsection (a) and inserting ``may be commenced'';
(B) by striking ``in the notice'' in subsection (b)
and inserting ``in a notice'';
(C) by striking ``unless, not less than 60 days
after publication of the notice required in subsection
(a), the'' in subsection (c) and inserting ``unless
the'';
(D) by inserting `` or notice of proposed
rulemaking'' after ``advance notice of proposed
rulemaking'' in subsection (c); and
(E) by striking ``an advance notice of proposed
rulemaking under subsection (a) relating to the product
involved,'' in the third sentence of subsection (c) and
inserting ``the notice''.
(2) Conforming amendment.--Section 5(a)(3) (15 U.S.C.
2054(a)(3)) is amended by striking ``an advance notice of
proposed rulemaking or''.
(b) Rulemaking Under Federal Hazardous Substances Act.--
(1) In general.--Section 3(a) of the Federal Hazardous
Substances Act (15 U.S.C. 1262(a)) is amended to read as
follows:
``(a) In General.--Whenever in the judgment of the Commission such
action will promote the objectives of this Act by avoiding or resolving
uncertainty as to its application, the Commission may by regulation
declare to be a hazardous substance, for the purposes of this Act, any
substance or mixture of substances, which it finds meets the
requirements section 2(f)(1)(A).''.
(2) Procedure.--
(A) Section 2(q)(2) of the Federal Hazardous
Substances Act (15 U.S.C. 1261(q)(2)) is amended by
striking ``Proceedings for the issuance, amendment, or
repeal of regulations pursuant to clause (B) of
subparagraph (1) of this paragraph shall be governed by
the provisions of sections 701(e), (f), and (g) of the
Federal Food, Drug, and Cosmetic Act: Provided, That
if'' and inserting ``Proceedings for the issuance,
amendment, or repeal of regulations pursuant to clause
(B) of subparagraph (1) of this paragraph shall be
governed by the provisions of subsections (f) through
(i) of section 3 of this Act, except that if''.
(B) Section 3(a)2 of the Federal Hazardous
Substances Act (15 U.S.C. 1262(a)2) is amended to read
as follows:
``(2) Proceedings for the issuance, amendment, or repeal of
regulations under this subsection and the admissibility of the record
of such proceedings in other proceedings, shall be governed by the
provisions of subsections (f) through (i) of this section.''.
(3) ANPR requirement.--Section 3 of the Federal Hazardous
Substances Act (15 U.S.C. 1262) is amended--
(A) by striking ``shall be commenced'' in
subsection (f) and inserting ``may be commenced'';
(B) by striking ``in the notice'' in subsection
(g)(1) and inserting ``in a notice''; and
(C) by striking ``unless, not less than 60 days
after publication of the notice required in subsection
(f), the'' in subsection (h) and inserting ``unless
the''.
(4) Other conforming amendments.--The Federal Hazardous
Substances Act (15 U.S.C. 1261 et seq.) is amended--
(A) by striking paragraph (d) of section 2 and
inserting the following:
``(d) The term `Commission' means the Consumer Product
Safety Commission.'';
(B) by striking ``Secretary'' each place it appears
and inserting ``Commission'' except--
(i) in section 10(b) (15 U.S.C. 1269);
(ii) in section 14 (15 U.S.C. 1273); and
(iii) in section 21(a) (15 U.S.C. 1276(a));
(C) by striking ``Department'' each place it
appears, except in section 14(b), and inserting
``Commission'';
(D) by striking ``he'' and ``his'' each place they
appear in reference to the Secretary and inserting
``it'' and ``its'', respectively;
(E) by striking ``Secretary of Health, Education,
and Welfare'' each place it appears in section 10(b)
(15 U.S.C. 1269(b) and inserting ``Commission'';
(F) by striking ``Secretary of Health, Education,
and Welfare'' each place it appears in section 14 (15
U.S.C. 1273) and inserting ``Commission'';
(G) by striking ``Department of Health, Education,
and Welfare'' in section 14(b) (15 U.S.C. 1273(b)) and
inserting ``Commission'';
(H) by striking ``Consumer Product Safety
Commission'' each place it appears and inserting
``Commission''; and
(I) by striking ``(hereinafter in this section
referred to as the `Commission')'' in section 20(a)(1)
(15 U.S.C. 1275(a)(1)).
SEC. 9. PROHIBITION ON STOCKPILING UNDER OTHER COMMISSION-ENFORCED
STATUTES.
Section 9(g)(2) (15 U.S.C. 2058(g)(2)) is amended--
(1) by inserting ``or to which a rule under any other law
enforced by the Commission applies,'' after ``applies,''; and
(2) by striking ``consumer product safety'' the second,
third, and fourth places it appears.
SEC. 10. THIRD PARTY CERTIFICATION OF CHILDREN'S PRODUCTS.
(a) In General.--Section 14(a) (15 U.S.C. 2063(a)) is amended--
(1) by redesignating paragraph (2) as paragraph (5) and
indenting the margin of such paragraph, as so redesignated, 2
ems from the left margin;
(2) by resetting paragraph (1) as a new paragraph indented
2 ems from the left margin;
(3) by striking ``Every manufacturer'' in paragraph (1) and
inserting ``Except as provided in paragraph (2), every
manufacturer'';
(4) by designating the second and third sentences of
subsection (a) as paragraphs (3) and (4), respectively, and
indenting the margin of such paragraphs, as so designated, 2
ems from the left margin;
(5) by inserting after paragraph (1) the following:
``(2) Every manufacturer of a children's product (and the
private labeler of such product if it bears a private label)
which is subject to a consumer product safety standard under
this Act, or a rule under this or any other Act enforced by the
Commission declaring a consumer product a banned hazardous
product, shall--
``(A) have the product tested by a nongovernmental
independent third party qualified to perform such tests
or testing programs; and
``(B) issue a certification which shall--
``(i) certify that such product conforms to
such consumer product safety standard or is not
a banned hazardous product under such rule; and
``(ii) specify the consumer product safety
standard or such rule.'';
(6) by striking ``Such certificate shall'' in paragraph (3)
as redesignated by paragraph (1) and inserting ``A certificate
required under this subsection shall''; and
(7) in paragraph (5), as redesignated by paragraph (1)--
(A) by striking ``required by paragraph (1) of this
subsection'' and inserting ``required by paragraph (1)
or (2) (as the case may be)''; and
(B) by striking ``requirement under paragraph (1)''
and inserting ``requirement under paragraph (1) or (2)
(as the case may be)''.
(b) Section 14(b) (15 U.S.C. 2063(b)) is amended--
(1) by resetting paragraph (1) an indented paragraph 2 ems
from the left margin;
(2) by designating the second sentence as paragraph (2) and
indenting the margin of such paragraph, as so designated, 2 ems
from the left margin; and
(3) in paragraph (2), as so designated, by striking ``Any
test or'' and inserting ``Except as provided in paragraph (3),
any test or''.
(c) Definition of Children's Products and Independent Third
Party.--Section 14 (15 U.S.C. 2063) is amended by adding at the end the
following:
``(d) Application to Other Consumer Products; Certifier Standards;
Audit.--
``(1) In general.--The Commission--
``(A) as soon as practicable after the date of
enactment of the CPSC Reform Act of 2007 shall by
rule--
``(i) establish protocols and standards--
``(I) for credentialing independent
third parties qualified to perform
tests or testing programs under this
section; and
``(II) for verifying that products
tested by such independent third
parties comply with consumer product
safety standards and with applicable
product standards under other Acts
enforced by the Commission;
``(ii) prescribe eligibility, inspection,
and certification standards for independent
third party entities engaged in certifying
compliance under subsection (a)(2) for
children's products or products to which the
Commission extends the certification
requirements of that subsection;
``(iii) establish requirements for testing,
no less frequently than biennially, of random
samples of products certified under this
section to determine whether they meet the
requirements for certification;
``(iv) establish requirements for periodic
audits of such entities by the Governmental
Accountability Office or a nongovernmental
auditing organization; and
``(v) establish a program by which
manufacturers may label products as compliant
with the certification requirements of
subsection (a)(2); and
``(B) may by rule extend the certification
requirements of subsection (a)(2) to other consumer
products or to classes or categories of consumer
products;
``(2) Effective date of requirements.--The certification
and testing requirements of subsection (a)(2) of this section,
as amended by the CPSC Reform Act of 2007, shall take effect 30
days after the date of enactment of that Act and shall apply
without regard to whether the Commission has issued guidance or
a rule under paragraph (1)(A) of this subsection.''.
``(e) Definitions.--In this section:
``(1) Children's product.--The term `children's product'
means a product (other than a medication, drug, or food)
designed or intended for use by, or care of, a child under 7
years of age that is introduced into the interstate stream of
commerce. In determining whether a product is intended for use
by a child under 7 years of age, the following factors shall be
considered:
``(A) A statement by a manufacturer about the
intended use of such product, including a label on such
product, if such statement is reasonable.
``(B) The context and manner of the advertising,
promotion, and marketing associated with the product.
``(C) Whether the product is commonly recognized by
consumers as being intended for use by a child under 7
years of age.
``(D) The Age Determination Guideline issued by the
Consumer Product Safety Commission in September 2002
and any subsequent version of such Guideline.
``(2) Independent third party.--The term `independent third
party', with respect to a testing entity, means an independent
testing entity that is physically separate from any
manufacturer or private labeler whose product will be tested by
such entity, and is not owned, managed, controlled, or directed
by such manufacturer or private labeler.''.
(d) Label and Certification.--Not later than 1 year after the date
of the enactment of this Act, the Consumer Product Safety Commission
shall prescribe a rule in accordance with section 14(a)(5) and (d) of
the Consumer Product Safety Act (15 U.S.C. 2063(a)(5) and (d)) for
children's products (as defined in subsection (e) of such section).
(e) Prohibition on Imports of Children's Products Without Third
Party Testing Certification.--Section 17(a) (15 U.S.C. 2066(a)) is
amended--
(1) by striking ``or'' at the end of paragraph (4);
(2) by striking ``(g).'' in paragraph (5) and inserting a
``(g); or''; and
(3) by adding at the end the following:
``(6) is a children's product, as that term is defined in
section 14(e), (or a product for which the Commission, under
section 14(d)(1), has required certification under section
14(a)(2)) that is not accompanied by a certificate from an
independent third party as required by section 14(a)(2).''.
SEC. 11. TRACKING LABELS FOR PRODUCTS FOR CHILDREN.
Section 14(a) of the Consumer Product Safety Act (15 U.S.C.
2063(a)), as amended by section 10(a), is further amended by adding at
the end thereof the following:
``(6) The manufacturer of a children's product or other
consumer product (as may be required by the Commission in its
discretion after a rulemaking proceeding) shall place
distinguishing marks on the product or its packaging that will
enable the ultimate purchaser to ascertain the source, date,
and cohort (including the batch, run number, or other
identifying characteristic) of production of the product by
reference to those marks.''.
SEC. 12. SUBSTANTIAL PRODUCT HAZARD REPORTING REQUIREMENT.
Section 15(b) (15 U.S.C. 2064(b)) is amended--
(1) by striking ``consumer product distributed in
commerce,'' and inserting ``consumer product (or other product
or substance over which the Commission has jurisdiction under
this or any other Act) distributed in commerce,'';
(2) by redesignating paragraphs (2) and (3) as paragraphs
(3) and (4), respectively; and
(3) by inserting after paragraph (1) the following:
``(2) fails to comply with any rule or standard promulgated
by the Commission under this or any other Act;''.
SEC. 13. CORRECTIVE ACTION PLANS.
Section 15(d) (15 U.S.C. 2064(d)) is amended--
(1) by inserting ``(1)'' after ``Action
Plan.--'';
(2) by redesignating paragraphs (1), (2), and (3) as
subparagraphs (A), (B), and (C);
(3) by striking ``more (A)'' in subparagraph (C), as
redesignated, and inserting ``more (i)'';
(4) by striking ``or (B)'' in subparagraph (C), as
redesignated, and inserting ``or (ii)'';
(5) by striking ``whichever of the following actions the
person to whom the order is directed elects:'' and inserting
``any one or more of the following actions it determines to be
in the public interest:'';
(6) by inserting ``(2)'' before ``An order'';
(7) by striking ``satisfactory to the Commission,'' and
inserting ``for approval by the Commission,''; and
(8) by adding at the end the following:
``(3)(A) If the Commission approves an action plan, it shall
indicate its approval in writing.
``(B) If the Commission finds that an approved action plan is not
effective, or that the manufacturer, retailer, or distributor is not
executing an approved action plan effectively, the Commission may by
order amend, or require amendment of, the action plan.
``(C) If the Commission determines, after notice and opportunity
for comment, that a manufacturer, retailer, or distributor has failed
to comply substantially with its obligations under its action plan, the
Commission may revoke its approval of the action plan. Upon receipt of
notice of a revocation of the action plan, the manufacturer, retailer,
or distributor shall cease further distribution in commerce of the
product to which the action plan applies.''.
SEC. 14. IDENTIFICATION OF MANUFACTURER BY IMPORTERS, RETAILERS, AND
DISTRIBUTORS.
Section 16 (15 U.S.C. 2065) is amended by adding at the end thereof
the following:
``(c) Upon request by an officer or employee duly designated by the
Commission--
``(1) every importer, retailer, or distributor of a
consumer product (or other product or substance over which the
Commission has jurisdiction under this or any other Act) shall
identify the manufacturer of that product by name, address, or
such other identifying information as the officer or employee
may request; and
``(2) every manufacturer shall identify by name, address,
or such other identifying information as the officer or
employee may request--
``(A) each retailer or distributor to which it
supplied a given consumer product (or other product or
substance over which the Commission has jurisdiction
under this or any other Act);
``(B) each subcontractor involved in the production
or fabrication or such product or substance; and
``(C) each subcontractor from which it obtained a
component thereof.''.
SEC. 15. REPEATED IMPORTATION OFFENSES.
Section 17 (15 U.S.C. 2066) is amended by adding at the end thereof
the following:
``(i) The Commission may--
``(1) designate as a repeat offender, after notice and an
opportunity for a hearing, any person found by the Commission
to have committed multiple violations of subsection (a); and
``(2) refer any such person to United States Customs and
Border Protection with a recommendation that the person's
import license be terminated in accordance with that agency's
procedures.''.
SEC. 16. PROHIBITED ACTS.
(a) Sale of Recalled Products.--Section 19(a) (15 U.S.C. 2068(a))
is amended--
(1) by striking paragraph (1) and inserting the following:
``(1) sell, offer for sale, manufacture for sale,
distribute in commerce, or import into the United States any
consumer product, or other product or substance that is
regulated under any other Act enforced by the Commission, that
is--
``(A) not in conformity with an applicable consumer
product safety standard under this Act, or any similar
rule under any such other Act;
``(B) subject to voluntary corrective action taken
by the manufacturer, in consultation with the
Commission, of which action the Commission has notified
the public; or
``(C) subject to an order issued under section 12
or 15 of this Act, designated a banned hazardous
substance under the Federal Hazardous Substances Act
(15 U.S.C. 1261 et seq.);'';
(2) by striking ``or'' after the semicolon in paragraph
(7);
(3) by striking ``and'' after the semicolon in paragraph
(8);
(4) by striking ``insulation).'' in paragraph (9) and
inserting ``insulation);''; and
(5) by striking ``18(b).'' in paragraph (10) and inserting
``18(b); or''.
(b) Export of Recalled Products.--
(1) In general.--Section 18 (15 U.S.C. 2067) is amended by
adding at the end thereof the following:
``(c) Notwithstanding any other provision of law, the Commission
may prohibit a person from exporting from the United States for purpose
of sale any consumer product, or other product or substance that is
regulated under any other Act enforced by the Commission, that the
Commission determines, after notice to the manufacturer--
``(1) is not in conformity with an applicable consumer
product safety standard under this Act or with a similar rule
under any such other Act;
``(2) is subject to an order issued under section 12 or 15
of this Act or designated as a banned hazardous substance under
the Federal Hazardous Substances Act (15 U.S.C. 1261 et seq.);
or
``(3) is subject to voluntary corrective action taken by
the manufacturer, in consultation with the Commission, of which
action the Commission has notified the public and would have
been subject to mandatory corrective action under this or
another Act enforced by the Commission if voluntary corrective
action had not been taken by the manufacturer.''.
(2) Penalty.--Section 19(a) (15 U.S.C. 2068(a)), as amended
by subsection (a), is further amended--
(A) by striking ``or'' after the semicolon in
paragraph (10);
(B) by striking ``37.'' in paragraph (11) and
inserting ``37; or''; and
(C) by adding at the end thereof the following:
``(12) violate an order of the Commission under section
18(c).''.
(3) Conforming amendments to other acts.--
(A) Federal hazardous substances act.--Section
5(b)(3) of the Federal Hazardous Substances Act (15
U.S.C. 1264(b)(3)) is amended by striking ``substance
presents an unreasonable risk of injury to persons
residing in the United States,'' and inserting
``substance is prohibited under section 18(c) of the
Consumer Product Safety Act,''.
(B) Flammable fabrics act.--Section 15 of the
Flammable Fabrics Act (15 U.S.C. 1202) is amended by
adding at the end thereof the following:
``(d) Notwithstanding any other provision of law, the Consumer
Product Safety Commission may prohibit a person from exporting from the
United States for purpose of sale any fabric, related material, or
product that the Commission determines, after notice to the
manufacturer--
``(1) is not in conformity with an applicable consumer
product safety standard under the Consumer Product Safety Act
or with a rule under this Act;
``(2) is subject to an order issued under section 12 or 15
of that Act or designated as a banned hazardous substance under
the Federal Hazardous Substances Act (15 U.S.C. 1261 et seq.);
or
``(3) is subject to voluntary corrective action taken by
the manufacturer, in consultation with the Commission, of which
action the Commission has notified the public and would have
been subject to mandatory corrective action under this or
another Act enforced by the Commission if voluntary corrective
action had not been taken by the manufacturer.''.
(c) False Certification of Compliance With Testing Laboratory
Standard.--Section 19(a) (15 U.S.C. 2068(a)), as amended by subsection
(b)(2), is further amended--
(1) by striking ``or'' after the semicolon in paragraph
(11);
(2) by striking ``18(c).'' in paragraph (12) and inserting
``18(c); or''; and
(3) by adding at the end thereof the following:
``(13) sell, offer for sale, distribute in commerce, or
import into the United States any consumer product bearing a
false certification mark of compliance with a standard
established by a nationally recognized testing laboratory.''.
(d) Misrepresentation of Information in Investigation.--Section
19(a) (15 U.S.C. 2068(a)), as amended by subsection (c), is further
amended--
(1) by striking ``or'' after the semicolon in paragraph
(12);
(2) by striking ``laboratory.'' in paragraph (13) and
inserting ``laboratory; or''; and
(3) by adding at the end thereof the following:
``(14) to misrepresent to any officer or employee of the
Commission the scope of consumer products subject to an action
required under section 12 or subsection (c) or (d) of section
15, or to make a material misrepresentation to such an officer
or employee in the course of an investigation under this
Act.''.
(e) Certificates of Compliance With Mandatory Standards.--Section
19(a)(6) (15 U.S.C. 2068(a)(6)) is amended to read as follows:
``(6) fail to furnish a certificate required by this Act or
any other Act enforced by the Commission, or to issue a false
certificate if such person in the exercise of due care has
reason to know that the certificate is false or misleading in
any material respect; or to fail to comply with any rule under
section 14(c);''.
SEC. 17. PENALTIES.
(a) Civil Penalties.--
(1) In general.--Section 20(a) (15 U.S.C. 2069(a)) is
amended--
(A) by striking ``$5,000'' and inserting
``$250,000'';
(B) by striking ``$1,250,000'' each place it
appears and inserting ``$100,000,000''; and
(3) by striking ``December 31, 1994,'' in paragraph (3)(B)
and inserting ``December 31, 2011,''.
(2) Federal hazardous substances act.--Section 15(c) of the
Federal Hazardous Substances Act (15 U.S.C. 1264(c)) is
amended--
(A) by striking ``$5,000'' in paragraph (1) and
inserting ``$250,000'';
(B) by striking ``$1,250,000'' each place it
appears in paragraph (1) and inserting
``$100,000,000''; and
(3) by striking ``December 31, 1994,'' in paragraph (6)(B)
and inserting ``December 31, 2011,''.
(3) Flammable fabrics act.--Section 5(e) of the Flammable
Fabrics Act (15 U.S.C. 1194(e)) is amended--
(A) by striking ``$5,000'' in paragraph (1) and
inserting ``$250,000'';
(B) by striking ``$1,250,000'' in paragraph (1) and
inserting ``$100,000,000''; and
(3) by striking ``December 31, 1994,'' in paragraph (5)(B)
and inserting ``December 31, 2011,''.
(b) Criminal Penalties.--
(1) In general.--Section 21(a) (15 U.S.C. 2070(a)) is
amended to read as follows:
``(a) Violation of section 19 of this Act is punishable by--
``(1) imprisonment for not more than 1 year for a knowing
violation of that section, or
``(2) imprisonment for not more than 5 years for a knowing
and willful violation of that section, and
``(3) a fine determined under section 3571 of title 18,
United States Code.''.
(2) Directors, officers, and agents.--Section 21(b) (15
U.S.C. 2070(b)) is amended--
(A) by striking ``and willfully''; and
(B) by striking ``19, and who has knowledge of
notice of noncompliance received by the corporation
from the Commission,'' and inserting ``19''.
(3) Under the federal hazardous substances act.--Section
5(a) of the Federal Hazardous Substances Act (15 U.S.C.
1264(a)) is amended to read as follows:
``(a) In General.--Violation of section 4 of this Act is punishable
by--
``(1) imprisonment for not more than 1 year for a knowing
violation of that section;
``(2) imprisonment for not more than 5 years for a knowing
and willful violation of that section; and
``(3) a fine determined under section 3571 of title 18,
United States Code.''.
(c) Civil Penalty Criteria.--Within a year after the date of
enactment of this Act, the Consumer Product Safety Commission shall
initiate a rulemaking to establish criteria for the imposition of civil
penalties under section 20 of the Consumer Product Safety Act (15
U.S.C. 2069) authorized by that section, including factors to be
considered in establishing the amount of such penalties, such as repeat
violations, degree of risk to the public, nature of the hazard, the
precedential value of prior adjudicated penalties, and other
circumstances.
(d) Criminal Penalties To Include Asset Forfeiture.--Section 21 (15
U.S.C. 2070) is amended by adding at the end thereof the following:
``(c)(1) In addition to the penalty provided by subsection (a), the
penalty for a criminal violation of this Act or any other Act enforced
by the Commission may include the forfeiture of assets associated with
the violation.
``(2) In this subsection, the term `criminal violation' means a
violation of this Act of any other Act enforced by the Commission for
which the violator is sentenced to pay a fine, be imprisoned, or
both.''.
SEC. 18. PREEMPTION.
(a) In General.--Section 26 (15 U.S.C. 2075) is amended--
(1) by striking ``Whenever'' in subsection (a) and
inserting ``Except as provided in subsections (c) and (d),
whenever''; and
(2) by adding at the end thereof the following:
``(d) Rule for Post-2007 Consumer Product Safety Standards.--No
consumer product safety standard promulgated by the Commission after
the date of enactment of the CPSC Reform Act of 2007, or any other
action taken by the Commission after that date, shall preempt any State
or local law to an extent greater than permitted under subsection (a),
as limited by subsection (c)''.
(b) Mattress Flammability Standard Preamble Not Preemptive.--
Notwithstanding section N of the preamble to the Final Rule: Standard
for the Flammability (Open Flame) of Mattress Sets promulgated by the
Consumer Product Safety Commission (71 Fed. Reg. 13496), part 1633 of
title 16, Code of Federal Regulations, does not limit the rights of a
State or political subdivision thereof under section 26 (b) or (c) of
the Consumer Product Safety Act (15 U.S.C. 2075 (b) or (c),
respectively).
SEC. 19. SHARING OF INFORMATION WITH FEDERAL, STATE, LOCAL, AND FOREIGN
GOVERNMENT AGENCIES.
Section 29 (15 U.S.C. 2078) is amended by adding at the end thereof
the following:
``(f)(1) The Commission may make information obtained by the
Commission under section 6 available to any Federal, State, local, or
foreign government agency upon the prior certification of an
appropriate official of any such agency, either by a prior agreement or
memorandum of understanding with the Commission or by other written
certification, that such material will be maintained in confidence and
will be used only for official law enforcement or consumer protection
purposes, if--
``(A) the agency has set forth a bona fide legal basis for
its authority to maintain the material in confidence;
``(B) the materials are to be used for purposes of
investigating, or engaging in enforcement proceedings related
to, possible violations of--
``(i) laws regulating the manufacture, importation,
distribution, or sale of defective or unsafe consumer
products, or other practices substantially similar to
practices prohibited by any law administered by the
Commission;
``(ii) a law administered by the Commission, if
disclosure of the material would further a Commission
investigation or enforcement proceeding; or
``(iii) with respect to a foreign law enforcement
agency, with the approval of the Attorney General,
other foreign criminal laws, if such foreign criminal
laws are offenses defined in or covered by a criminal
mutual legal assistance treaty in force between the
government of the United States and the foreign law
enforcement agency's government; and
``(C) the foreign government agency is not from a foreign
state that the Secretary of State has determined, in accordance
with section 6(j) of the Export Administration Act of 1979 (50
U.S.C. App. 2405(j)), has repeatedly provided support for acts
of international terrorism, unless and until such determination
is rescinded pursuant to section 6(j)(4) of that Act (50 U.S.C.
App. 2405(j)(4)).
``(2)(A) Except as provided in subparagraph (B) of this
paragraph, the Commission shall not be required to disclose
under section 552 of title 5, United States Code, or any other
provision of law--
``(i) any material obtained from a foreign
government agency, if the foreign government agency has
requested confidential treatment, or has precluded such
disclosure under other use limitations, as a condition
of providing the material;
``(ii) any material reflecting a consumer complaint
obtained from any other foreign source, if that foreign
source supplying the material has requested
confidential treatment as a condition of providing the
material; or
``(iii) any material reflecting a consumer
complaint submitted to a Commission reporting mechanism
sponsored in part by foreign government agencies.
``(B) Nothing in this subsection shall authorize the
Commission to withhold information from the Congress or prevent
the Commission from complying with an order of a court of the
United States in an action commenced by the United States or
the Commission.
``(3) In this subsection, the term `foreign government agency'
means--
``(A) any agency or judicial authority of a foreign
government, including a foreign state, a political subdivision
of a foreign state, or a multinational organization constituted
by and comprised of foreign states, that is vested with law
enforcement or investigative authority in civil, criminal, or
administrative matters; and
``(B) any multinational organization, to the extent that it
is acting on behalf of an entity described in subparagraph
(A).''.
SEC. 20. BONDING.
The Act (15 U.S.C. 2051 et seq.) is amended by adding at the end
thereof the following:
``bond authority
``Sec. 39. The Commission, in a rulemaking proceeding, may require
manufacturers or distributors of a consumer product, a category or
class of consumer products, or any product or substance regulated under
any other law enforced by the Commission, to post a bond (or other
security acceptable to the Commission) in an amount sufficient to cover
the costs of an effective recall of the product or substance, or, in
the case of an imported product or substance, to cover the costs of
holding the product or substance at the port and destruction of the
product should such action be required by the Commission under this
Act.''.
SEC. 21. ENFORCEMENT BY STATE ATTORNEYS GENERAL.
The Act (15 U.S.C. 2051 et seq.) is amended by inserting after
section 26 the following:
``enforcement by state attorneys general
``Sec. 26A. (a) Except as provided in subsection (f), a State, as
parens patriae, may bring a civil action on behalf of its residents in
an appropriate State or district court of the United States to enforce
the provisions of this Act or any other Act enforced by the Commission,
to obtain damages, restitution, or other compensation on behalf of such
residents, or to obtain such further and other relief as the court may
deem appropriate, whenever the attorney general of the State has reason
to believe that the interests of the residents of the State have been
or are being threatened or adversely affected by a manufacturer,
distributor, or retailer entity that violates this Act or a regulation
under this Act.
``(b) The State shall serve written notice to the Commission of any
civil action under subsection (a) at least 60 days prior to initiating
such civil action. The notice shall include a copy of the complaint to
be filed to initiate such civil action, except that if it is not
feasible for the State to provide such prior notice, the State shall
provide such notice immediately upon instituting such civil action.
``(c) Upon receiving the notice required by subsection (b), the
Commission may intervene in such civil action and upon intervening--
``(1) be heard on all matters arising in such civil action;
and
``(2) file petitions for appeal of a decision in such civil
action.
``(d) For purposes of bringing any civil action under subsection
(a), nothing in this section shall prevent the attorney general of a
State from exercising the powers conferred on the attorney general by
the laws of such State to conduct investigations or to administer oaths
or affirmations or to compel the attendance of witnesses or the
production of documentary and other evidence.
``(e) In a civil action brought under subsection (a)--
``(1) the venue shall be a judicial district in which--
``(A) the manufacturer, distributor, or retailer
operates; or
``(B) the manufacturer, distributor, or retailer
was authorized to do business;
``(2) process may be served without regard to the
territorial limits of the district or of the State in which the
civil action is instituted; and
``(3) a person who participated with a manufacturer,
distributor, or retailer in an alleged violation that is being
litigated in the civil action may be joined in the civil action
without regard to the residence of the person.
``(f) If the Commission has instituted a civil action or an
administrative action for violation of this Act, no State attorney
general, or official or agency of a State, may bring an action under
this subsection during the pendency of that action against any
defendant named in the complaint of the Commission for any violation of
this Act alleged in the complaint.
``(g) If the attorney general of the State prevails in any civil
action under subsection (a), it can recover reasonable costs and
attorney fees from the manufacturer, distributor, or retailer.''.
SEC. 22. WHISTLEBLOWER PROTECTION FOR MANUFACTURERS' EMPLOYEES.
The Act (15 U.S.C. 2051 et seq.), as amended by section 20, is
further amended by adding at the end the following:
``whistleblower protection for manufacturers' employees
``Sec. 40. (a) No manufacturer, private labeler, distributor, or
retailer may discharge an employee or otherwise discriminate against an
employee with respect to compensation, terms, conditions, or privileges
of employment because the employee (or any person acting pursuant to a
request of the employee)--
``(1) provided, caused to be provided, or is about to
provide or cause to be provided to the employer, the Federal
Government, or the attorney general of a State information
relating to any violation or alleged violation of any order,
regulation, or consumer product safety standard under this Act
or any other law enforceable by the Commission (or by the
attorney general of a State under section 21);
``(2) testified or is about to testify in such a
proceeding; or
``(3) assisted or participated or is about to assist or
participate in such a proceeding.
``(b)(1) If the Commission, or the attorney general of a State,
proceeds with an action against a manufacturer, private labeler,
distributor, or retailer for a violation of this Act or any other Act
enforced by the Commission, on the basis of information provided by
such an employee, the employee shall receive at least 15 percent but
not more than 25 percent of any civil penalty assessed and collected by
the Commission, or attorney general, for the violation, depending upon
the extent to which the information provided by the employee
substantially contributed to the enforcement action, as determined by
the Commission.
``(2) If the Commission's action is based primarily on disclosures
of specific information (other than information provided by the
employee) relating to allegations or transactions in a criminal, civil,
or administrative hearing, in a congressional, administrative, or
Government Accountability Office report, hearing, audit, or
investigation, or from the news media, the Commission may award such
sums as it considers appropriate to the employee, but in no case more
than 10 percent of the civil penalty assessed and collected, taking
into account the significance of the information and the role of the
employee.
``(3) In the case of an action brought by the attorney general of a
State under section 21, the amount of any civil penalty to which such
an employee may be entitled shall be determined by the Commission,
subject to the limitations in paragraph (1) and (2), in consultation
with the attorney general that brought the action.
``(c)(1) A person who believes that he or she has been discharged
or otherwise discriminated against by any person in violation of
subsection (a) may, not later than 90 days after the date on which such
violation occurs, file (or have any person file on his or her behalf) a
complaint with the Commission alleging such discharge or discrimination
and identifying the person responsible for such act. Upon receipt of
such a complaint, the Commission shall notify, in writing, the person
named in the complaint of the filing of the complaint, of the
allegations contained in the complaint, of the substance of evidence
supporting the complaint, and of the opportunities that will be
afforded to such person under paragraph (2).
``(2)(A) Not later than 60 days after the date of receipt of a
complaint filed under paragraph (1) and after affording the person
named in the complaint an opportunity to submit to the Commission a
written response to the complaint and an opportunity to meet with a
representative of the Commission to present statements from witnesses,
the Commission shall conduct an investigation and determine whether
there is reasonable cause to believe that the complaint has merit and
notify, in writing, the complainant and the person alleged to have
committed a violation of subsection (a) of the Commission's findings.
If the Commission concludes that there is a reasonable cause to believe
that a violation of subsection (a) has occurred, the Commission shall
accompany the Commission's findings with a preliminary order providing
the relief prescribed by paragraph (3)(B). Not later than 30 days after
the date of notification of findings under this paragraph, either the
person alleged to have committed the violation or the complainant may
file objections to the findings or preliminary order, or both, and
request a hearing on the record. The filing of such objections shall
not operate to stay any reinstatement remedy contained in the
preliminary order. Any such hearing shall be conducted expeditiously.
If a hearing is not requested in such 30-day period, the preliminary
order shall be deemed a final order that is not subject to judicial
review.
``(B)(i) The Commission shall dismiss a complaint filed under this
subsection and shall not conduct an investigation otherwise required
under subparagraph (A) unless the complainant makes a prima facie
showing that any behavior described in paragraphs (1) through (4) of
subsection (a) was a contributing factor in the unfavorable personnel
action alleged in the complaint.
``(ii) Notwithstanding a finding by the Commission that the
complainant has made the showing required under clause (i), no
investigation otherwise required under subparagraph (A) shall be
conducted if the employer demonstrates, by clear and convincing
evidence, that the employer would have taken the same unfavorable
personnel action in the absence of that behavior.
``(iii) The Commission may determine that a violation of subsection
(a) has occurred only if the complainant demonstrates that any behavior
described in paragraphs (1) through (4) of subsection (a) was a
contributing factor in the unfavorable personnel action alleged in the
complaint.
``(iv) Relief may not be ordered under subparagraph (A) if the
employer demonstrates by clear and convincing evidence that the
employer would have taken the same unfavorable personnel action in the
absence of that behavior.
``(3)(A) Not later than 120 days after the date of conclusion of
any hearing under paragraph (2), the Commission shall issue a final
order providing the relief prescribed by this paragraph or denying the
complaint. At any time before issuance of a final order, a proceeding
under this subsection may be terminated on the basis of a settlement
agreement entered into by the Commission, the complainant, and the
person alleged to have committed the violation.
``(B) If, in response to a complaint filed under paragraph (1), the
Commission determines that a violation of subsection (a) has occurred,
the Commission shall order the person who committed such violation--
``(i) to take affirmative action to abate the violation;
``(ii) to reinstate the complainant to his or her former
position together with the compensation (including back pay)
and restore the terms, conditions, and privileges associated
with his or her employment; and
``(iii)