CPSIA – CPSC Shows Its True Colors in the Annals of Absurdity

In a move calculated to test the limits of what I can get you to believe, the CPSC last week conducted a raid in New York City to confiscate imported chocolate Easter eggs to save America from a choking hazard.

CPSIA – Three Dem CPSC Commissioners Accuse Industry (You) of Dosing Kids with Lead

In a revolting display of cowardly fear mongering, the three Democratic CPSC Commissioners yesterday wrote the House Committee on Energy and Commerce and its Subcommittee on Commerce, Manufacturing and Trade to protest the proposed CPSIA amendment.  In this letter, in defense of the lead-in-substrate provisions, the Dems sow fear by suggesting what you might do: “The CPSIA set one of the most protective lead limits for children’s products in the world. The public health community continues to hold its overwhelming consensus: There is no safe level of lead.   We oppose any change in the law that would lead to an increase in the DOSES OF LEAD to which our children are exposed on a daily basis, particularly when the marketplace has for the most part already adjusted to lower lead levels and is well on its way to getting the lead out of children’s products .” [Emphasis added] Hmmmm.  Apparently we evil toymakers, sinister educational product makers, monstrous t-shirt and jeans producers, venal shoemakers, diabolic rhinestone merchants, demonic ATV purveyors, fiendish motocross enthusiasts, vile vending machine operators, corrupt jewelers, slimy resale shop owners, worthless book publishers, perverse pen companies, satanic carpet weavers – we all are just waiting for the CPSC to look the other way so we can “dose” children with lead.   This kind of asinine accusation normally would be something to deride and lampoon in this space, but in this case frankly, it’s not at all funny.  Here you have three CPSC Commissioners with a majority vote (including Chairman Inez Tenenbaum) going national with serious, maligning insults of our values and our integrity.  They can hardly restrain themselves – they go further to assert that we have only “for the most part adjusted” to the new rules – you know, by firing people, cutting products, withdrawing from markets. This is your “leadership” on the Commission.  I want to vomit. CPSC Commissioners are appointed by the Senate.  I wonder if a better word is “planted”. The letters make clear where children have lead exposure risk.  Lead in D.C. tap water, no, that’s fine – what can anybody do about THAT?  House paint, environmental sources – nah!  No, the real problem is industry and its “dosing” through children’s products.  The last line of defense is the CPSIA.  The three Dem Commissioners put it succinctly – change the law and poison children. Better to over-regulate than under-regulate because it’s a zero-sum game, right?  As usual, the Dems don’t mention that THEY CAN’T PRODUCE EVEN ONE INJURY VICTIM FROM LEAD-IN-SUBSTRATE IN CHILDREN’S PRODUCTS.  There are more than 50 million children in this country in the regulated age group and no one can find a single injury victim – EVER. Nonetheless they apparently think it’s perfectly fine to wag their fingers at us and accuse us of unspeakable acts.   Who’d say anything, anyhow?  Won’t get fooled again. . . . I guess we have a hint here how these people might vote on the technological feasibility of 100 ppm.  Giving them an extra year to lower the boom won’t do anything to protect my employees or my customers – they are TELLING US that the die is cast.  That’s because you and I apparently want to “dose” children with lead the first chance we get!  They reinforce the hyperbolic tone by standing pat on the age limits under the CPSIA – we NEED the 12 year old limit.  Why? Because Mommy says so.  Junk science to the rescue! We can’t have kids eating their ATVs, can we? Does anyone wonder why trust in this agency is destroyed beyond repair?  Who in the business community would ever expect to get a fair shake from these consumer group front men?  Government for all us?  Hardly. Defending themselves on a weak point, the Dems contend they are sympathetic to small business. Myself, I can’t measure commitment by limp and syrupy words of consolation – I look at what they do, not what they say.  These people have done precisely ZIPPO for small business after three years of begging, pleading, screaming.  I am tired of hearing about how much they CARE about small business. [Guess who drafted the letter?] As a friend of mine used to say, it’s bullpucky. Here’s a shocker:  I actually agree with one thing these people say – that parents deserve safe products regardless of who makes them. Of course that makes sense (no one cares whether a tortfeasor is a big company or a small company) which is why I want sensible standards that apply equally to everyone. In this case, the government should stop telling us how to run our businesses.  Make a reasonable set of standards based on a real and defined “substantial product hazard” standard and go from there.  This is parent-friendly and quite workable for small business. Of course, my suggestion would make these Democrats much less important and certainly less heroic.  Their letter makes clear who “saved” America – the CPSIA, the Dems in Congress and the Dems on the Commission.  They’re the ones who really CARE.   Won’t get fooled again . . . . Fittingly, the letter wraps up with words dripping with insincerity:  ”Nevertheless, while it is true that no one, including us, wishes to over-regulate, similarly we cannot support under-protecting the American consumer, particularly our nation’s children.” In other words, the Democrat Commissioners are daring Congress to loosen the nose around out necks and are prepared to blame them if anything goes wrong. This also provides cover for zealot Senators who will make sure you have a great opportunity to go bankrupt or remain under the thumb of their out-of-control agency.  I don’t think it’s much of a stretch to say it looks like a conspiracy – Democrats against you. It would be wrong to call this letter disillusioning.  That happened a long time ago.  It also conveys little new information. Anyone truly shocked by this letter by these authors has been asleep at the wheel for the last three years.  This merely confirms or updates what we already knew.  I don’t have a solution to people like this running the show.  I can’t do anything about it.  One of them, Thomas Moore, is now about six months past the end of his term.  Maybe Congress forgot about him.   Pay attention today.  The stakes are high and getting higher.  The CPSC is working against you.  We will need keep fighting to survive.

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CPSIA – Three Dem CPSC Commissioners Accuse Industry (You) of Dosing Kids with Lead

CPSIA – Witness List for April 7th CPSIA Amendment Hearing

Memo to Members of the House Subcommittee on Commerce, Manufacturing and Trade: When you listen to Dr. Dana Best fling around numbers tomorrow, please remember that “bazillions” is not a real number. When she asserts that there are possibly “millions” of injured children from lead-in-substrate, please demand real, auditable data! The Witnesses: Panel 1 Mr. Robert Jay Howell Assistant Executive Director Hazard Identification and Reduction U.S. Consumer Product Safety Commission  Dr. Barbara D. Beck, Ph.D., DABT, FATS Principal Gradient Dr. Dana Best, MD, MPH, FAAP American Academy of Pediatrics  Panel 2 Ms. Erika Z. Jones Partner Mayer Brown On Behalf of the Bicycle Product Suppliers Association   Mr. Paul C. Vitrano General Counsel Motorcycle Industry Council Principal Ms. Sheila A. Millar Partner Keller and Heckman LLP Caroline Cox Research Director Center for Environmental Health Panel 3 Mr. Frederick Locker Locker Greenberg & Brainin PC Mr. Charles A. Samuels Member Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. Mr. Dan Marshall Vice President, Handmade Toy Alliance Co-Owner, Peapods Natural Toys & Baby Care   Ms. Rachel Weintraub Director of Product Safety and Senior Counsel Consumer Federation of America

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CPSIA – Witness List for April 7th CPSIA Amendment Hearing

CPSIA – Another Update on How VERY Safe We Are

I want to bring you up-to-date on the nuclear situation in Japan, but first a quick reminder – none of this matters BECAUSE there is no lead in plutonium or the other radioactive elements being discharged in tremendous mass into the air, water and soil by the disabled Fukushima reactors.

CPSIA – ICPHSO Mock Civil Penalty Jury Exercise

There has been only ONE court decision relating to late reporting penalties, and it was a resounding victory for the government. A juice company lost a case in California in federal court. Since there is no little law on the subject, the presenters today assert that there is no way to predict how a future case might be decided.

The panel today:

• Eric Rubel, Arnold & Porter LLP
• Cheryl Falvey, GC of CPSC
• Sean Laane, Arnold & Porter LLP
• Richard Levie, retired Judge and current arbitrator/mediator
• Mary Murphy, Asst GC, Div. of Compliance, CPSC

The panel presentation was designed as a mock trial. Both sides of the case will be presented, and you can clearly how both sides will portray this incident and both are compelling.

First to present was Mary Murphy on behalf of the government. She emphasized the facts of the injury to the child. This is clearly how you and your company will be made to look worst. This is no surprise and is standard fare for a plaintiff in a lawsuit. She likewise related the prior reporting of the risk or incidents (to the company and to the CPSC) that suggested the hazard.

Needless to say, this is the reason that consumer groups want the database. They want to create a body of evidence to coerce product changes ahead of injuries. Of course, any responsible company monitors market data (such as consumer reports) to do just that sort of thing. The database, however, is fodder for lawsuits and facilitates this kind argument. The likely impact is that the cases of plaintiffs will be strengthened and awards will grow.

Shall we take a trip down memory lane and remind ourselves of the principal source of funding for the consumer groups active in children’s product safety? Are you surprised to know that it is trial lawyers and the plaintiffs bar?

Back to the presentation of Ms. Murphy. She’s doing a good job making the manufacturer look bad, almost venal. She links the injury back to a failure to report. This is because of the asserted critical role of the CPSC in keeping America safe. She poses the question “would this injury have occurred but for the failure to report?” She argues that ten reports from consumers (of the hazard, loose beads on a high chair, not injuries) created an obligation to report based on a substantial risk of injury or death. She likewise anticipates that the defense will be that the manufacturer had no duty to report. She says that the late reporting only took place when the manufacturer’s back was “up against the wall”. Again, Murphy emphasizes her story about the motivation or mental state of the company.

More evidence used against the company included multiple written reports by the CPSC to them of consumer complaints. Ms. Murphy is painting a clear picture of a company that is not acting on a known safety issue. She indicates that the company ignored this information based on poor advice, despite internal admissions that “this was an accident waiting to happen”.

You can see that the facts of this hypothetical case opens manufacturers up to bad behavior portrayals. I applaud the effort to make this clear – you need to take this on board. The facts of this case appear extreme and objectionable. Media and political over-reaction to this kind of corporate behavior sent the REST OF US down the river under the CPSIA.

The defense was offered by Sean Laane. He noted the responsible behavior of the company by repeatedly testing the goods using CPSC standards and CPSC-accredited independent labs. Noted that the CPSC tested the product TWICE after reports of incidents from consumers – and the products passed! [Note that any safety system that overly depends on testing will ALWAYS expose a company to risk if it is distracted from or chooses to ignore contrary information from the market. This is a basic flaw in the reasoning of the consumer groups and the folks behind the CPSIA.] He goes on to note that the CPSC can’t have it both ways, since it never concluded that action was required based on the incidents it was aware of. After all, the CPSC had several reports and did nothing. Claims the CPSC takes a “gotcha” approach because although it claims “late reporting”, it was well-aware of the issue long before the injury – and did nothing.

Laane notes the extensive investment of this company in safety. He questions whether there was a reasonable basis to conclude that there was an unreasonable risk of injury or death. Clearly the CPSC didn’t feel it was an unreasonable risk itself! Also notes that you don’t have to tell the CPSC about information the agency already possesses. Notes repeatedly that the CPSC’s actions or inaction are based on their expertise and fact findings, thus confirming the reasonableness of the company’s approach. Notes that companies have no obligation to make products utterly indestructible.

Laane noted that the person inside the company who called the condition “an accident waiting to happen” was not a QC person or responsible manager. Instead, he was a customer service rep, and relayed that message to the QC department for their evaluation. Child who was injured later fully recovered, and the company chose to immediately initiate a Fast Track recall.

An interesting point made by Levie is that the company’s awareness of similar issues in similar products can be held against them. If they knew or SHOULD HAVE KNOWN about other recalls or notorious injury incidents reflects on their later decisions or inaction. [I am glad I don't make baby monitors . . . . This is a good lesson on the reality of the problem of "emerging hazards". Note that you are going to be judged not just on what you know, but also on what they assert you SHOULD have known.]

CF: One of the most persuasive arguments made by defendants is a track record of reporting to the CPSC. This shows a commitment to safety and cooperation with the CPSC, demonstrating trust that the CPSC will not recall product everytime.

Levie agreed that this fact pattern will also be persuasive to a judge.

All market participants need to think about this kind of issue and how they might fare if they face a similar dilemma.

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CPSIA – ICPHSO Mock Civil Penalty Jury Exercise

CPSIA – Consumer Groups and the CPSIA

Walter Lippmann, founding editor of The New Republic and winner of the Presidential Medal of Freedom in 1964, once cited the components of wartime mythmaking as “the casual fact, the creative imagination, the will to believe, and out of these three elements, a counterfeit of reality.” Hmmm. He might have been talking about lead in children’s products. Mr. Lippmann explained: “Men respond as powerfully to fictions as they do to realities [and] in many cases they help to create the very fictions to which they respond.”

Last week, a number of interested stakeholders met with the staff of the House Energy and Commerce Committee to discuss what to do about the CPSIA. Do I need to explain why the situation is urgent? The list is long, and the victims are basically defenseless. Mass market companies are inconvenienced but not hobbled; small businesses are crushed, confused and scattering into other markets. Consumers, unaware that the federal government has meddled in an unprecedented way with a market upon which they depend, are oblivious to the threat posed by the weakening or departure of their suppliers. And the Dems just smile and tell us this is all for our own good. Don’t worry, they know what’s best!

Various stakeholders tried to explain the many ways this law has caused harm and the reasons why it is appropriate to loosen the noose around the business community’s neck. Scan my remarks, the HTA’s presentation or the words of the AAFA as an example, and you will see how high the stakes are.

No meeting on the CPSIA would be complete without consumer groups chiming in to defend this “perfect” regulatory scheme. In this case, Consumers Union, the Consumer Federation of America and the American Academy of Pediatrics all touted the triumph that is CPSIA. CU spent a fair amount of time asserting that the public database rules adequately protect manufacturers and that the perceived defects in the proposed database plan had already been addressed by the Commission. [See Nord's blog and Northup's blog on this topic.] What, me worry?! CU also noted that there WAS broad support for the CPSIA (back in 2008), as if that were sufficient justification to stick with a clearly defective law. This was nothing more than the Waxmanis’ argument that no further discussion is merited because of the Perfect Legislative Process. Ah, the infallible Congress, how could I forget?

My special friend Rachel Weintraub of CFA took the opportunity to reassure the gathered crowd that the law has done us all a lot of good. [She was careful to not put anything in writing. Given that limitation, I must work off my notes and apologize for any inaccuracies.] Her reasoning relied on the assertion that consumers “thought” that someone issued a “stamp of approval” for children’s products being sold in U.S. markets. This strikes me as “transference”, meaning that this may be how Rachel feels herself or how she feels we the general public OUGHT to feel. In any event, there are a lot of consumers out there, and I rather doubt Rachel is able to know how they all felt. She went on to assert that consumers lost faith int he regulatory system. Ditto. After recounting the many wondrous things the law has engendered, she asked that the law be given more “time to work”.

More time to work? To what end, to finish the job and put everyone out of business . . . other than CFA? OMG.

And then there is my personal favorite, the AAP through their Washington representative Cindy Pelligrini. Ms. Pelligrini has been making trouble over lead for many years. I first encountered her when the 2007 testimony she ghosted for Dr. Dana Best was used to justify the Illinois lead labeling law (see below). For last week’s meeting, the AAP submitted a position paper announcing its unwillingness to support any change to age limits, lead limits or even the consideration of risk by the CPSC. Why do you suppose the AAP cannot support the consideration of risk? Ms. Pelligrini explained in her oral remarks that the AAP felt consideration of risk would be too BURDENSOME ON THE AGENCY. What a heartbreaking scenario, the terrible burden! The AAP is so considerate to think of the quality of life of CPSC Commissioners.

The AAP was able to muster support for tightening the lead limits in the CPSIA to 40 ppm, however. Perish the thought of dropping the 100 ppm standard! When I questioned the process by which this position paper was created by the AAP, Ms. Pelligrini wrote me to explain that it is old news, derived from their January 21, 2009 letter to Henry Waxman. So, apparently, nothing has happened in the last 24 months nor any additional data developed to merit reconsidering their recommendations. I see.

Of course, I recognize that the metabolic impact of lead has not changed because of the development of injury statistics (or, more accurately, the development of no-injury statistics), and in this sense, I suppose, the AAP position need never change. On the other hand, I have previously addressed the issue of science being used as a bludgeon to “prove” preconceived notions. In my post of December 14, I discussed an article entitled “The Truth Wears Off”. It could have been about the story the AAP tells about lead.

Without going into the arguments about the falsity of the AAP’s claims (or at least their fatally misleading nature), I would like to draw your attention to the “detached from reality” position they take on lead limits. They want to establish a limit of 40 ppm for lead. Anyone remember that Mr. Obama’s vegetable garden at the White House was at 93 ppm? The AAP points to research they conducted with the U.S. Geological Survey to come up with this limit. In other words, it is their estimate (however faulty) of background lead “contamination” in our environment. [As if the natural presence of an atomic element constitutes "contamination".]

AAP’s suggested lead limit of 40 ppm is basically below the reliably measurable limit and imposes uncontrollable economic risks on manufacturers. By uncontrollable, I mean that the odds of finding a part or component with lead levels in excess of 40 ppm are pretty good in almost any manufacturing setting – given the disorder, irregularities and complexities of the real world, defects of this nature are not really preventable, at least in a prophylactic way. [This is different than saying anyone is likely to be injured, please note.] Even a Six Sigma company would find this a major challenge. Remember, if you find such a part or component, the entire lot becomes a liability and may have to be discarded, a total loss. The imposition of this kind of manufacturing risk will cause many market departures and other bad economic impacts. You will only have to discard one big lot to get the message – find something less regulated to do.

My word against hers, right? Well, perhaps not. My home state of Illinois is running a test on this point. Illinois has a new law that requires labeling toys (you know, a warning label that Scott Wolfson doesn’t think matters) if they have paint with lead over 40 ppm. Actually, since lead-in-paint is now illegal under federal law at 90 ppm, the Illinois law effectively requires labeling for paint on toys BETWEEN 40 and 90 ppm. Feel safer already? Not everyone does. See the coverage in the Akron Beacon-Journal on such labeling. The headlines of the article says it all: “Label on doll shoes made by Toys R Us subsidiary worries parents. Warning about lead is cause for concern. Company says product is safe, but some experts say children shouldn’t be exposed to even small levels of metal in toys.” The AAP thinks this would be a jolly good rule for the entire economy.

I could go on. [If you are bored, you are welcome to consult my response to the "no safe level of lead" argument in response to Bob Adler's attempt to "prove" this point.] In point of fact, the consumer groups are just trying to gum up the works. There are apparently still some members of Congress (I am not ready to name names) who are “true believers” and according to rumor, are ready to block any sensible effort to fix this law. I guess it’s tough for some people to admit a big screw-up. Keep this in mind the next time you hear the media blame Republicans for “gridlock”.

In any event, you should not feel particularly comfortable just because the Republicans are running the show in the House. The Republicans are in fact very aware of the issues and the details of the problems under the CPSIA and at the CPSC, and are motivated to do something about it. They have the votes and the intent to move something useful forward. However, the Senate is still controlled by populist Democrats who just seem deaf to reason, argument or data. As long as they (or even just one of them) stands in the way of putting this part of the economy back on track, we are stuck. Even with the grudging cooperation of Senate Democrats, we also need the White House to sign the law. And then there’s the persistent zealotry on the CPSC Commission. Many variables and risks remain.

Despite the odds and the death march aspect of this “war”, we must carry on. We must keep fighting, we must keep calling, we must keep protesting. The words of Ronald Reagan ring in my ears:

“I do not believe in a fate that will befall us no matter what we do. . . .

I do believe in a fate that will fall on us if we do nothing.”

We are the People, this is our country. We do not need to be held hostage by a small group of zealots. The task of taking back America did not end at the 2010 midterm elections. If the Dems will not help us, and if the consumer groups are going to be obstructionist to the very last, then we must fight and we must fight with vigor and intensity. No one is going save you . . . but you.

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CPSIA – Consumer Groups and the CPSIA

CPSIA – Wingnuts Against Cadmium

740 days have passed since ANY Democrat in Congress did ANYTHING to help us on the CPSIA. There are 71 days left until Election Day.

On Thursday, in an unannounced Federal Register notice (you all read the Fed. Reg. for fun like me, right?), the CPSC announced that a petition had been filed by four esteemed consumer groups demanding that the CPSC and EPA issue rules against the presence of cadmium in children’s products, especially “toy jewelry”. Not doubt this effort was coordinated with Rep. Jackie Speier (D-CA) to assist her in her reelection effort. The four consumer groups are the Sierra Club, Empire State Consumer Project, Rochesterians Against the Misuse of Pesticides (hmmm) and, our ole’ pal, the Center for Environmental Health. Although the petition has not resulted in action by the agency YET, they have requested comments on the petition. Goodie, something else to waste our time on!

The only reason I know about this event is that Bloomberg.com wrote about it last Wednesday. I am sure you monitor Bloomberg for sneak requests for comment by the agency, just like me. If you go the CPSC website, good luck finding a reference to this important Fed. Reg. publication. Oh well, the CPSIA already legislates that we must be telepathic anyhow.

The cadmium mania has nothing to do with health or safety. Even the wingnuts behind this petition are unable to cite a single injury EVER from cadmium in children’s products. They ask that rules be implemented “before a child dies or is seriously injured”. Well, since this regulation never existed previously and cadmium has been used as a trace component in jewelry for hundreds of years, the argument that this is a “real” risk does not impress me. I hold a degree in engineering but who am I to tell the CPSC how to do math. What do you suppose the probability of injury might be if the instances are ZERO over hundreds of years involving literally trillions of human interactions? Pretty high, I guess . . . .

They better be pretty high, if the CPSC actually cares what the law says. Ha, I gave up on that a long time ago, but for you devotees, here’s the deal. I have written about this many times already – the suthority to recall consumer products derives from the FHSA which restricts the agency’s authority to “imminent hazards”. Section 12(a) of the FHSA provides this definition: “As used in this section, and hereinafter in this Act, the term ‘imminently hazardous consumer product’ means a consumer product which presents imminent and unreasonable risk of death, serious illness, or severe personal injury.” [Emphasis added] Is it even theoretically possible for a consumer product containing cadmium to meet this standard if there are exactly zero documented injuries – ever? Of course, we have been told that “anecdotes are not evidence” . . . unless perhaps a consumer group is dishing out the (imaginary) anecdotes.

And then there’s the mania in the press. The press seems no better able to evaluate this threat than any of the other urban legends underlying the CPSIA. One wonders how they assess other risks . . . like swimming pool deaths. Oh yeah, real deaths are not a problem if the activity is really fun, like swimming which claims hundreds of children’s lives annually. Better to put our resources into cadmium testing – since there are no recorded events of cadmium injury from consumer products. Consider this quote from Bloomberg: “Retailers such as Dress Barn Inc. and Claire’s Boutiques Inc. have recalled necklaces, earrings and bracelets this year after finding cadmium in the products. McDonald’s Corp. offered $3 refunds in June to customers who bought “Shrek” drinking glasses with high levels of cadmium in the paint.” [Emphasis added] I have pointed out ad nauseum that the CPSC admits that the Shrek glasses are SAFE but given that the recall went forward and no one remembers what happened, those glasses had to be really dangerous, right??? According to Bloomberg, that seems to be true.

The petition features the usual hyperbolic description of an imaginary crisis with hysterical references to a “rising tide” of incidents (poisonings) and unfounded accusations of manufacturers “substituting” cadmium for lead. Shame that facts hardly matter anymore. They pull out all the stops to embellish their case. If repeated enough, this kind of reasoning becomes accepted as a truth, just like “no safe levels of lead”. Our “leaders” seem prone to this kind of duping.

My favorite part of the petition is the assertion of the dire threat posed by cadmium. Again, there are no reported injuries from cadmium EVER in consumer products. The CSPC admitted at last February’s ICPHSO meeting that their only toxicological data on cadmium relates to workplace exposure (generally airborne). According to Wikipedia, two big sources of cadmium for humans are food and cigarette smoke. The CPSC has literally NO data on risk from consumer products – principally because there is NO evidence that there is any danger. Given the data, they made the judgment that gathering the data was a waste of money (back when people cared about such things). The most famous incident of widespread cadmium poisoning related to scandalous industrial pollution in Japan over many years. That’s a far cry from the situation confronting America today.

Should we crush the toy jewelry market or pummel the rest of us with high testing costs and other legal disruptions because our regulators are unable to distinguish between industrial pollution in Japan on a massive scale, and enamel or jewerly solder with traces of cadmium in it?

According to the wingnuts, yes, we should.

And I remind you – we have 71 days left until Election Day. I recommend that you give generously to candidates that don’t come from Mars, have some semblance of common sense and commit in blood to oppose the junk science movement that has taken over the CPSC and Congress. Work the neighborhoods, greet people at train stations and then go vote in droves.

If we hurry, we might get something done before the CPSC turns the screw one more rotation.

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CPSIA – Wingnuts Against Cadmium

CPSIA – What Will CPSC Hit Daiso With This Time – Nukes?

Dastardly Daiso, the hapless Japanese chain of dollar stores that probably regrets the day it first heard of the U.S., has been forced to recall yet more items. This recall, their sixth in recent years, involves five items for excessive lead. They are currently under injunction by the CPSC and the U.S. Attorney. Uh-oh.

Excessive lead in kids’ products – that sounds AWFUL, doesn’t it? In the tradition of most modern commentators, I thought I’d write this blogpost without reading the recall notice. After all, I know what it says without reading it, right? Well, at THIS blog, we have standards, you know. My editor INSISTED that I read it.

So I read it, and here are the details. You better sit down . . . the horror of it all . . . there are five items involved: one cloth purse, two pairs of earrings and two necklaces. The total number of units, across all five items, is 190 pieces, or less than 40 per item. And how did dastardly Daiso endanger kids THIS time? “The surface paint on the zippers of the coin purses and the clasps on the jewelry contain high levels of lead.” Whoa! The retail price of these items is about $1.50 each, so the total value of this recall is $285. There were no injuries reported. The CPSC put out a press release so all of America could know how safe they were.

SCIENCE TIME: The presence of lead in the zipper paint and in the clasp does not itself cause any harm. Lead is a neurotoxin, true, but lead must enter your bloodstream to do harm. And if it does manage to get in there (through inhalation of dust or through ingestion of bio-available lead), blood lead levels must rise to a certain point before any harm can possibly occur. Since we all consume lead every day in our food, water and air, the human body clearly can process some lead without harm – it does not simply accumulate. The amount (mass) of lead in these items is probably close to nil. I assert that if you chose to have a meal comprised of only the zippers and clasps from the 190 recalled units (ALL of them), you could not raise your blood lead levels high enough to do damage. AND the impact of lead in blood varies by the age of child. As the child ages, the impact from lead dramatically diminished. This is why Congress chose not to protect my blog readers – they are all adults and out of harm’s way. Lead is principally a problem for the “under 3′s”. The Daiso items are not for children under three, so the odds of harm are excruciating low. And it is utterly inconceivable that one person would eat all of the zipper paint and clasps in this minuscule recall. So, is this a public health crisis? You decide!

Back to Blog Time: Now, let’s think of Daiso and its sorry tale. They have previously been the subject of five recalls of 19 items, totally 698 units, over two years. For this series of “transgressions”, they were whacked with an injunction by the U.S. Attorney against further importing of toys (Tenenbaum: “Now the fine was large, but that wasn’t the big news . . . . We worked closely with the Justice Department on this case, and Daiso has a very high hurdle to jump over to EVER get back in the import business again”). Daiso also was hit with a “get the message” penalty of $2.05 million. This is about $1,000 per unit in penalties for items with a retail value of between $1 and $4 each. That’s gotta get your attention.

So now that Daiso has stepped across the line again, what will the CPSC do? This kind of transgression can’t go unpunished, right? Don’t we live in a society based on retribution today? [We learned it from the Taliban.] Having hit Daiso with a $2.05 million penalty last time, the agency has to set this penalty higher since Daiso obviously is so incorrigible. If the last penalty was $1,000 per unit, maybe the agency should hit them with a penalty of $100,000 per unit to get them to take our laws seriously. Darnit, they CAN’T – that exceeds the maximum penalty of $15 million. Now what?

There’s always jail time. Somebody needs to pay, of course. How can the agency ignore an offense of this scale? 190 units is unforgivable. That’s almost $300 in value! That’s like one iPhone (with a two-year phone contract). We can’t let the people be endangered like that!

They were really good at torture in the Middle Ages – maybe something gory would get Daiso’s attention this time. Capture a manager and have him/her drawn-and-quartered in the public square? The agency could webcast it! There are so many options. The agency needs to do whatever is necessary to keep American kids safe, so I certainly hope they will use their entire arsenal. Waterboarding?

Personally, I am grateful to Congress for not giving the CPSC nukes.

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CPSIA – What Will CPSC Hit Daiso With This Time – Nukes?

CPSIA – CPSC Sets Its Sights On the Real Menace to Society . . . Buttons

In yesterday’s USA Today article entitled “Lead testing can be costly for mom and pop toy shops“, Scott Wolfson, Director of Public Affairs at the CPSC, cited the “positive effects” of the CPSIA on the market. What were those “positive effects” that Wolfson bragged about to the national media? “[Wolfson] notes global suppliers are choosing lead-free buttons for adult and children’s clothing, which is safer for everyone and helps shift the burden from small businesses to suppliers up the line. He says Tenenbaum is trying ‘to find the right balance between compliance and not putting companies out of business.’”

Let’s be clear here, Wolfson is talking about making everyone “safer” by eliminating lead-in-substrate in buttons. He is NOT talking about lead-in-paint. Lead-in-paint has been illegal for decades, and a small number of recalls have occurred for lead-in-paint violations relating to buttons. [No injuries were ever reported, of course, but don't get me started.] Buttons have been recalled for coming loose and violating the small parts rules. This is a REAL hazard to small children. Kids can actually choke on a button and be injured. Wolfson is NOT talking about this issue. He is focusing on other “positive effects” from the law.

Wolfson also took pains to note that the buttons were being removed from adult clothing, too. Did you realize how much danger you were in before the CPSC was able to induce these “positive effects”? I really appreciate Wolfson bringing this to my attention. Thank heavens for our federal protectors!

How many recalls have occurred in the United States for lead-in-substrate in buttons – EVER? According to the CPSC website, ZERO. According to a Google search this morning, I believe this kind of recall has NEVER occurred ANYWHERE IN THE WORLD. And the removal of lead-in-substrate is a positive effect of the law? Is Wolfson responsible to explain this puzzling remark?

So after two years of continuous arguing and the devotion of many tens of thousands of man-hours of work to implement the noxious CPSIA by the federal government and industry alike , the CPSC holds up as its great achievement – buttons. Whew, it’s safe to walk the streets of America again!

Thank you CPSC for seeking the right balance between compliance and NOT putting companies out of business. Yeah, I get it.

Unfortunately, by highlighting something as asinine as buttons as a possible lead hazard, the CPSC fuels a long-simmering public hysteria over latent chemical hazards. No one was previously aware that buttons could kill you from their bound=in lead content, but apparently our federal government is quite concerned about button lead content. Isn’t that what Wolfson said? After all, why would he mention it to USA Today if it wasn’t a problem at all? This kind of remark helps persuade the public that dangers lurk where they can’t see them. Lead must be terrible, right, if the CPSC is so hysterical about it? The conclusion is inescapable.

And let’s not forget the McDonald’s Shrek glasses. Cadmium must also be a terrible problem or else why would our trusted federal government urge recall of the drinking glasses out of “an abundance of caution”? Which are we to believe – the CPSC’s actions in demanding the recall for undisclosed trace levels of cadmium in the enamel on the OUTSIDE of the glasses, or Wolfson’s own written reassurance that the glasses aren’t toxic? And of course, there is the Congressional “inquiry” by Waxman and Stupak as further evidence of the “justifiable” health concern. As the relentless stream of breathless and panicked media stories confirm, the public believes that the recall was justified and therefore that cadmium is a real concern, a silent “killer”. The fact that there has never been a single reported cadmium injury from a consumer product in this country’s history is never discussed.

This kind of reinforcement leads to paranoia about many safe products – and makes doing business in the children’s market in this country exceptionally difficult and unpleasant now. No one trusts us anymore and the only thing we did wrong was elect the wrong people to Congress.

The message that we business people can’t be trusted is clogging the airwaves almost daily. The weekly corporate bashings by Congress and the White House paints a clear picture to the American public. You need only consider the treatment of BP, Toyota, Wellpoint, Massey-Ferguson, GM, Chrysler, evil bankers . . . the list is long. We’re all bad, right? That’s the theme these days.

CPSC leadership also reinforces the notion that corporations must be closely supervised by the federal government. Corporations will cut corners and take chances with your children’s health but for the crusading efforts of this pioneering and courageous safety agency. Remember Tenenbaum’s theme: the CPSC is not a “teething tiger” anymore. With this approach at the CPSC, small wonder then that these are among the USA Today comments:

“Yeah…Tests can be costly, but on the other hand death seems to be pretty costly also. But I guess the determining factor will always be money. Save 10 cents, 10 dollars, 100 dollars at the cost of someone else.“

“Well if they cannot test the products they make to insure that our children are safe. Then its time to start making other items. The simple fact is that the Chinese and our bought and paid for congressmen/congress women have allowed this to happen. My opinion ban all products from China since it is evident that they do not care for the health of our citizens.“

“WE can never ever trust the Chinese. They are the worst people! Why do we do any business with them is beyond me.“

“This is just more gov regulation that the GOP says get’s in the way of the Free Market. Let the Free Market get the lead out on it’s own. Too bad there’s no profits in ‘getting the lead out’. It’s cheaper to use lead as a filler, and hire lobbyists to pay-off congress. We’ve got it all dialed-in in America!“

Thanks for all the help, CPSC. You sure are helping our market. Your efforts will only succeed in driving the good people out of this market, along with their good products, their innovations, their productivity gains and their jobs. And who will be around to help educate your kids and grandkids? Let’s not think about that one. No, no, ignore me for a few more years. This can go on indefinitely. We’ll just take it. We love it. Go ahead.

It’s time for Nero to share the stage with the Democrats. Go on, fiddle while Rome burns.

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CPSIA – CPSC Sets Its Sights On the Real Menace to Society . . . Buttons

CPSIA – Lowest Common Denominator Government

We saw a display of Mr. Obama’s team in action this past week as McDonald’s was cornered into a national recall of a safe product. How did it happen? Did our government rise to the occasion, or simply resume its descent into the abyss?

“Americans want to be safe. And they expect their federal government to protect them. So that is what I’m here to do.” Chairman Inez Tenenbaum, NPR Report “Under Obama, Agencies Step Up Rule-Making”

Last week in a coordinated media extravaganza, an anonymous caller alerted Rep. Jackie Speier (D-CA) to the trace presence of cadmium in Shrek glasses being sold by McDonald’s. In a rapid fire series of events, McDonald’s announced a voluntary recall of the offending Made-in-America glasses “at the urging of the [CPSC] commission ”. The CPSC apparently pushed for the recall of the glasses by McDonald’s after quickly testing the glasses.

[It turns out that there were two "anonymous tipsters", one of whom is Jennifer Taggart, a regular reader of this blog. Ms. Taggart has acknowledged that cadmium levels on the McDonald's glasses are well within California's Proposition 65 restrictions. Prop. 65 is easily the most restrictive and challenging of the myriad local safety regulations.]

Rep. Speier seized the election year opportunity to lecture McDonald’s on safety: “’Our children’s health should not depend on the consciences of anonymous sources. Although McDonald’s did the right thing by recalling these products, we need stronger testing standards to ensure that all children’s products are proven safe before they hit the shelves,’ said Speier. ‘Cadmium is a toxic substance that is extremely dangerous to the developmental health of children. . . . Thanks to this anonymous tip received by my office, the proper agencies were alerted, necessary action was taken by McDonald’s, and the long-term health of millions of children is no longer at risk.’”

Jackie Speier is a Democrat representing the San Francisco area.

A media deluge followed the recall. Typical of the hyperbole is this article from NJ.com: “McDonald’s announced the voluntary recall after small amounts of cadmium were found in the enamel with which character images were painted on the glasses . . . . Long-term exposure to low levels of cadmium from those glasses can cause various health problems, including cancer, bone softening and severe kidney problems. [NJ State Assemblyman Paul] Moriarty, in a news release, demanded an investigation . . . . ‘It’s stunning that in this day and age our children can still come into contact with toxic materials just by using a glass featuring a cartoon character,’ Moriarty said in the release. . . . ” [Emphasis added] AP could not resist the McDonald’s cadmium frenzy that it helped to create: “A recall of 12 million cadmium-tainted ”Shrek” drinking glasses sold by McDonald’s raises questions about the safety of millions of similar cheap promotional products that have been sitting in Americans’ kitchen cabinets for years.”

It all boils down to trust, right? After all, it’s McDonald’s. McDonald’s is America, McDonald’s is children. If you can’t trust McDonald’s, who can you trust?

I will attempt to answer that question.

First – Can you trust McDonald’s?

Yes, absolutely, without reservation. McDonald’s (not a customer of ours, never was) has the best reputation of any company in the toy industry (in my humble opinion) for safety, conscientiousness and attention to detail. McDonald’s is HARDLY asleep at the wheel. Rep. Speier’s remarks are outrageous but for the fact that she is a California Democrat from San Francisco. Consider the source. I believe McDonald’s ten times out of ten against Rep. Speier.

On the other hand, if McDonald’s is so wonderful, why on Earth did they recall these glasses? Okay, you be the CEO of McDonald’s for a moment – what would you do? Fight for the right to sell cadmium-laced glasses? Argue that the glasses are “safe”, that toxic cadmium isn’t harmful? Please, McDonald’s had no choice because it has to protect its brand. Listen to the Moms in the video above. If they don’t trust McDonald’s, they will walk across the street to Wendy’s. McDonald’s has NO CHOICE but to “do the right thing”. The cost of the recall is a secondary concern. Burn, baby, burn.

Second – Can you trust an anonymous tipster?

Why be anonymous if you are acting “heroically”? Well, for one thing, being anonymous means you aren’t accountable if you are wrong. The two tipsters were using XRF guns, acknowledged by the CPSC to be imperfect and best used to screen for possible faults. It might be embarrassing – or expensive – to start a public panic and then be proven wrong. This mess might be seen as your fault and somebody might want you to pay for the expenses. Hmmm.

What if the caller had reason to hide his/her identity? This is the very worrisome scenario. There are many people who might want to rat out a McDonald’s. How about a competitor? Or a spurned supplier? A disgruntled employee or spouse of an employee? This is one of the primary objections I made to the public database – the potential for abuse is rampant. An anonymous tipster very well might be up to no good. McDonald’s loss could be the tipster’s gain – an ill-intentioned tipster in partnership with a self-promoting fear monger in election season (like Jackie Speier) could be a powder keg. [Ed. Note: It is worth noting for clarity's sake that Jennifer Taggart has identified herself so this discussion does not apply to her.]

This could happen to you, too. The CPSIA encourages this kind of rat-me-out frenzy. How many businesses will close or sell out because of this shameful law? Time will tell. In the meantime, the sport of trashing trademarks and company reputations will thrive at the hands of the “anonymous tipsters”.

Third – Can you trust the CPSC?

We ought to be able to trust them. Have they earned this trust?

Here’s a June 4th tweet from Scott Wolfson, Director of Public Affairs: “Scott_Wolfson: Note to reporters: the recalled McDonald’s glasses are not toxic.” Interesting – the CPSC apparently pushed for the recall of safe products. Wolfson is also responsible for the press release detailing this recall: “The designs on the glasses contain cadmium. Long term exposure to cadmium can cause adverse health effects.” Same guy. And Wolfson offered these calming words of reassurance to the AP: “Wolfson said the recalled glasses have ‘far less cadmium’ than the [recently] recalled jewelry. He would not say how much cadmium leached from the glasses in tests, only that it was ‘slightly above the protective level currently being developed by the agency.’”

I believe Mr. Wolfson is the author of the CPSC’s OnSafety blog – here’s how he counseled consumers about the McDonald’s glasses in a recent post: “If you bought these “Shrek Forever After 3D” glasses at McDonald’s – millions of you did – stop using them immediately. . . . The glasses contain low-levels of cadmium. . . . The company has stepped up to do the right thing [in issuing a recall].” [Emphasis added] He also justified the recall of non-toxic glasses in the New York Times as follows: “Both C.P.S.C. and McDonald’s are being highly protective of children in announcing this recall.”

Scott has a way with words, doesn’t he? Makes you wonder what his job is, exactly.

So the CPSC admits that the glasses were safe. Yet the “commission” urged McDonald’s to recall the glasses. Why? Wolfson says implausibly that the CPSC was being “highly protective” in recalling non-toxic glasses. Actually, “Why” may not even be the right question.

Let’s consider the question of “how”. On what legal basis did the CPSC press McDonald’s to take this step? The authority of the agency to demand a recall depends on the presence of a “substantial product hazard”. There is no other basis for the agency to take action – it cannot act on whims or because it is always crabby on Mondays. I have addressed this issue previously in this space, and noted that the authority to initiate a recall is based on the existence of “a product defect which (because of the pattern of defect, the number of defective products distributed in commerce, the severity of the risk, or otherwise) creates a substantial risk of injury to the public.”

If the CPSC’s Director of Public Affairs notifies the press that the product is not toxic, it is incontestably certain that the glasses don’t present a substantial product hazard in this case. For perspective, consider the views of the U.S. factory responsible for the glasses:

“[VP Ron] Biagi . . . added that [in addition to McDonald's] Durand Glass also does material safety tests. ‘We will do nothing (different) because we don’t need to,’ Biagi added. ‘You are always looking for the most healthful way to make a product. What we’re producing today, it is safe.’ Biagi said there are multiple suppliers, domestic and foreign, of the enamel used for the Shrek glasses. Other glass producers use the same product, he said. Late Friday, the company issued a short statement from its CEO for North American operations, Fred Dohn. ‘All the products, whether decorated or undecorated, that Arc International is delivering on the markets meet the highest standards of quality and safety,’ Dohn stated. ‘Arc International is a professional manufacturer that stands behind all its products. We therefore see this as an internal decision by McDonald’s and will be investigating the matter once we receive more information.’”

So what gives? By all appearances, the leadership of the agency substantially exceeded its legal authority in pressuring McDonald’s to recall these glasses. Any problem with that?

I won’t insult your intelligence with a rant about the trustworthiness of the Democrats who are running the shop these days. If you trust Jackie Speier and the like after this sorry tale, I can’t help you.

In closing, let’s recall the words of Ms. Tenenbaum: “Americans want to be safe. And they expect their federal government to protect them. So that is what I’m here to do.” By all appearances, Ms. Tenenbaum was doing exactly what she promised – her agency is wrapping you in bubble wrap whether you need it or not. She says that’s how you want it – no matter that it’s outside her legal authority, well-beyond any notion of common sense and implemented with a complete disregard to economic consequences or the impact on other market participants. It’s okay because the press eats it up . . . and it helps reelect members of Congress. Everybody’s a winner as we sink into the abyss.

Lowest Common Denominator Government. Yes We Can.

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CPSIA – Lowest Common Denominator Government

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