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CPSIA – That’s all, Folks!

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CPSIA – Kids Don’t Lick ATV’s, Apparently. Who Knew?!

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CPSIA – The Alliance for Children’s Product Safety Endorses CPSIA Amendment

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CPSIA – Dem CPSC Commissioner Bias Against Manufacturers MUST Be Stopped!

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CPSIA – The Hill Publishes My Op-Ed on CPSIA Hearings

Mike Larson: Toy lead ban puts kids on ATVs at risk

By MIKE LARSON
March 27, 2011
Commentary

In a month or so, the snow will be gone, the Twins will again be fighting for a pennant and thousands of families will be hitting the trails on ATVs looking for fun and adventure.

Unfortunately, this year more kids are likely to be riding larger, adult-sized ATVs because thousands of dealers like me can’t sell youth model ATVs or mini bikes.

Why? Because of a ridiculous political fight in Washington, D.C., that is putting our kids in danger.

ATV dealers and others in our industry are caught in the middle of a political tug-of-war because of the Consumer Product Safety Improvement Act (CPSIA), a law that included new, strict standards for lead in toys — but created such a broad definition of “children’s products” that it ended up banning the sale of youth model ATVs, mini-bikes and other off-highway vehicles because they contain small amounts of lead.

Yes, you read that correctly: ATVs and motorcycles designed to meet the size and performance needs of young riders ages 6 to 12 became “banned hazardous substances” under the new law.

Because lead must be ingested in order to be a health risk, the small amounts of lead that are embedded in metal parts, like the frame and the battery terminals to enhance the safety and functionality of these components, pose no risk to kids.

While not one case of lead poisoning can be documented from children riding youth model ATVs, the Consumer Product Safety Commission’s own data shows that more than 90 percent of youth injuries and fatalities occur on larger, adult-size vehicles.

In fact, the CPSC, the ATV industry, safety advocates and parents all agree that it’s critical to keep youth riders off adult-sized ATVs, and have cooperated for years to educate ATV riders that children should ride only ATVs that are the correct size for them.

The CPSC’s own scientists agree that the presence of lead in these products does not present a health hazard to children. CPSC staff wrote to Rep. John Dingell, D-Mich., who helped write the bill:

“The possibility that children will suffer significant lead exposures from [youth model ATVs] appears to be remote at best….A child using an adult ATV as a substitute would face a far graver and more immediate risk than that of the possible lead exposure from the youth ATVs.”

Dingell is now calling for Congress to fix the law.

The CPSC also tried to temporarily address the ban by issuing a stay of enforcement in 2009.

Unfortunately, this hasn’t helped because the many manufacturers and dealers have chosen not to sell the smallest youth model ATVs because of the risks of selling under the stay, and there’s now a limited availability of these products for consumers.

In fact, half of the major ATV manufacturers are no longer selling youth model off-highway vehicles.

The financial impact on our industry has been devastating. Many dealerships throughout the country have closed because of losing the sales of youth-sized machines on top of an already depressed market. Many dealerships have had to lay off workers to stay open. These actions add job losses to an already challenging economic environment.

ATV and motor-sports enthusiasts have sent hundreds of thousands of letters and e-mails to Congress urging an end to the ban. Sen. Amy Klobuchar has pledged her support, and we urge her and other Minnesota members of Congress to take a leadership role in resolving this ridiculous situation. We’ve heard a lot of talk from both Republicans and Democrats that this ban must end, but for two years nothing has been done as politics has prevented Congress from addressing this problem.

Kids aren’t licking or eating their ATVs, but they just might ride adult-sized ATVs thanks to this ban. Congress is putting kids in danger by refusing to address this problem.

Mike Larson is owner of Larsons Cycle in Cambridge, Minn.

Editor’s Postscript: I attended a meeting of stakeholders on January 6th in Washington hosted jointly by Republican and Democratic staff for the House Committee on Energy and Commerce to discuss possible changes to the CPSIA. [I wrote about this meeting a couple times earlier this year.] At this meeting, Cindy Pelligrini of the AAP admitted that the fact that the CPSIA tacitly banned youth model ATVs was fine with her and her employer. Why? As she noted, the AAP has long wanted youth model ATVs banned. Changing the law would only open the door to a reversal of this other policy objective of theirs. In other words, the AAP is using its standing with Democratic legislators to push an agenda with a “double benefit”. Rather than fighting to ban youth model ATVs directly, a battle it would certainly lose, the AAP used the indirect route of overselling a lead standard that they knew ATVs could not meet. ATVs weren’t banned under this law by accident. They were hardly an “unintended consequence.” The damage to Minnesota businesses has been significant under this law. Next time, Ms. Klobuchar should pick her allies more carefully.

Read more here:
CPSIA – Star-Tribune Op-Ed Blasts CPSIA for ATV Effects

According to reports today, the radiation drifting over from Japan is “harmless”. No one should worry one little bit even though the Japanese radioactive material is now on the EAST Coast of the U.S.: “Since last week, the officials have tracked the radioactive plume as it has drifted eastward on prevailing winds from Japan — first to the West Coast and now over the East Coast and the Atlantic, moving toward Europe. . . . On Monday, European officials said the plume had reached the East Coast after drifting over North America. One station that detected the fresh radioactivity is in Charlottesville, Va., officials said.”

This is not a problem, believe me. For one thing, it’s not lead, for heavens sake – it’s only iodine-131, iodine-132, tellurium-132 and cesium 137. You probably put that stuff on your cereal, tough guy!

The radiation levels are so low that the experts won’t release them. They probably don’t want to bother us, the levels are so low. “The global network of the Comprehensive Test Ban Treaty Organization, an arm of the United Nations in Vienna, has detected the movements of the plume. The organization’s mandate is to monitor the global ban on the testing of nuclear arms, and it has more than 60 stations that sniff the air for radiation spikes. The group has declined to make the recent findings public, but it shares its information with 120 member states, some of which have divulged the status of the plume’s movements.”

Experts point out that radioactivity is everywhere, what’s the problem with a little more???

The federal government apparently agrees with this guy: “While the news of these radioactive substances being detected may startle some residents, the EPA has emphasized that the normal daily dose of radiation is 100,000 times higher than the radiation found at these monitoring stations. Every day, people are exposed to radiation unknowingly. Radiation is present in food, air, water, and even our homes, all of which are natural sources of it. Increased exposure to radiation can come from medical procedures and industrial occupations as well.” [Emphasis added]

This is in interesting contrast to lead which as everyone knows is dangerous down to one lone, little atom. I know this because pseudo-scientists like American Academy of Pediatricians (fearful of bicycle licking!) and Consumers Union (terrified about 4th graders playing brass instruments!) have repeated over and over that there is NO safe level for lead. NO safe level, kids! They’re experts so they must know, right??? At least they say they’re experts . . . .

These folks pushed Congressional patsies to impose an outright ban on ANY children’s product that might emit ANY lead into the human body. [Section 101(b) of the CPSIA] The CPSC Commission (really, the Democrats on the Commission) helpfully interpreted Section 101(b) to refer to ANY lead, meaning one atom. Nothing ON EARTH can be exempted on this basis, so nothing has been given a pass under the lame-o exemption provision of the act. Had troubling finding choices in new children’s bikes? Want to buy a youth model ATV? Remember the days when you could buy rhinestones to embellish your children’s shoes or pants or in the form of cheap jewelry? You can thank Section 101(b) for this absurd situation. L&K to the AAP and CU (and let’s not forget the Queen Bee of the zealots, Rachel Weintraub of the CFA) for all this safety!

Thank heavens that AAP, CU and CFA aren’t worried about radioactivity. That means there MUST BE safe levels of radioactivity . . . . I see, Fukushima prefecture spinach or milk isn’t really dangerous – but it will give you a healthy glow!

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CPSIA – Good News and Bad News

I read with interest your March 8th article on the CPSC database entitled “Who’s Afraid of the CPSC?” and was disappointed at the inaccuracies in the piece and your blanket dismissal of the business community’s legitimate concerns about the database. The database has devolved into a divisive partisan issue simply because of the utter refusal of consumer groups and their Congressional allies to acknowledge the flaws in the database as well as the law that established it – the Consumer Product Safety Improvement Act (CPSIA).

I’ll try to address the inaccuracies one-by-one:

Database cost – $3 million or $29 million? The cost figure of $3 million sparked a public dispute between the CPSC Chairman Inez Tenenbaum and her fellow Commissioner Anne Northup at a House hearing last month. In response to Ms. Tenenbaum’s testimony on the cost of the database, Ms. Northup testified that the figure of $3 million had never been shared with the CPSC Commission and that the only database cost figure she was familiar with was $29 million. Interestingly, in April 2010, the Associated Press reported, based on information provided by the CPSC, that the cost of the http://www.saferproducts.gov/ website would be about $20 million, and the CPSC apparently saw no reason to update the media with the good news that the cost had shriveled to $3 million until the February 2011 hearing. . . . Hmmm.

The supposedly noncontroversial CPSIA database. Why didn’t anyone kick up a fuss about the database in 2008? A better question is “Why didn’t Congress listen when the business community protested?” Here’s what I said in a letter to each Congressional conferee dated June 25, 2008: “While we support public notice of recalls, we oppose a national database of reports of injury, illness, death or risk of injury. This forum will not be subject to appropriate findings of fact and thus will be a forum subject to considerable abuse. In a society where tort lawsuits are an ever-present risk for all businesses, a risk that can wipe out a lifetime’s work in a heartbeat, the very real potential for abuse by competitors or mischief-makers far outweighs the public’s ‘right to know’. Once the CPSC has adjudicated a case appropriately, made a reasonable finding of fact and determined the right course of corrective action, public notice would be appropriate.”

I continued to try to make my point to CPSIA Congressional conferees in another letter dated July 21, 2008, just ahead of final consideration of the CPSIA: “CPSC Searchable Database: The well-intentioned idea for complete safety transparency is an open invitation to mischief makers. This is a real threat to our business, as we know from hard experience. The better way is to let the CPSC filter this data first. Please remember, even YouTube will take down videos on request. The proposed law won’t give defenseless toy companies the same recourse as YouTube. Is that an appropriate way to regulate an entire industry?”

It wasn’t only me. Many others in the business community opposed the creation of a database that would contain inaccurate or misleading accusations and complaints. That’s the story of the CPSIA in a nutshell – no one was listening when the law was originally drafted, and now three years later, we are fighting City Hall to restore common sense to federal safety law. Please consider the assertion that consumers really need this database, that it is essential to their children’s safety. In fact, there are many places on the Internet where consumers can and do post their experiences without controversy. Why would a federal database be a greater cause for concern? Well, for one thing, this one is called “SaferProducts.gov” and is sponsored by the federal government. Notwithstanding the lawyer language disclaimers all over the website, it is crystal clear that the public will place a lot of credence in these postings. After all, why would our federal government allow misleading or inaccurate information to be posted on a website called SaferProducts.gov? Ms. Tenenbaum is famous for her defense of “dot gov” websites: “I say don’t believe everything you read on the Internet, except what you read on Web sites that end in dot gov.” [Keynote speech at ICPHSO, February 17, 2010] She may not be the only one who feels this way.

The NHTSA database exists; ergo a CPSIA database is a good idea? The NHTSA database can be distinguished in several important ways: (a) auto accidents are a leading cause of death in this country (consumer products are not), (b) every use of automobiles is known to be hazardous and the risk to human life from reckless use of cars is obviously magnified (not true for consumer products), (c) the auto industry is one of the largest components of our entire economy – we all use cars and many of us owe our livelihoods to automobiles in one way or the other (the average sale of consumer products is far less than a car), and (d) at all levels, the auto industry is highly consolidated among a relatively small number of massive companies that are well-prepared for litigation and regulatory issues (consumer products is not a consolidated market and there are many small companies involved in the trade). I think GM, Ford, Toyota and other multi-billion dollar automakers can handle the burden and risk of a database of consumer deaths and serious injuries from use of their products. Our family business, Learning Resources, on the other hand, ain’t no GM or Toyota. The NHTSA database is NOT an appropriate precedent for consumer products for all of the foregoing reasons.

“One of the ironies in Pompeo and others screaming bloody murder that the database will kill jobs is that most of the appliances likely to get dinged in the database won’t even be American products.” This remark completely misses the point, unfortunately. It is American companies that are going to be hurt by the misinformation in the database, whether those companies are manufacturers, importers, private labelers or retailers. Even worse, thousands of American small businesses are going to be put at risk with no practical means to defend themselves. Is this the “American Way” at work? Who will pay when jobs are lost from companies shifting away from this market or dropping products to limit exposure to liability? This is just going to be another self-inflicted economic injury from misguided and overzealous regulation.

Whether the product is made in China, the U.S. or India, it should not matter from a safety perspective. Companies must ensure that they market safe and appropriate products no matter where the products are made. The reality is that every product can break, and accidents and other bad things happen to good people. The database will be unforgiving and if filled with post-it-and-forget-it garbage, will harm innocent victims – American companies that employ your neighbors and make products for your schools. Unqualified and unverified complaints on SaferProducts.gov WILL induce consumers to take our products away from children – pending a recall that may never be forthcoming . . . because nothing’s wrong.

Chairman Tenenbaum has publicly encouraged consumers to rely on the postings in the database – to draw conclusions on the likelihood of future injury. This is quite alarming, given that Ms. Tenenbaum also testified in a Congressional hearing in February that the agency will likely post unverified or inaccurate information to the database. She admits that this information will be faulty. As she said in testimony, “that’s what the rub is”.

Claims of inaccuracies are low in the soft launch. Given the short life of the database in its test phase and the small population of registered users, reports of few data problems must be greeted with skepticism. Less than 1000 companies have registered with the CPSC for the database, an absurdly small percentage of the number of companies whose products will be in the database. Taking into account that many consumer product companies (such as Disney) will need to register numerous brands, product lines and corporate divisions to ensure that the right data flows to the right paper pusher, the current registrations are even paltrier. If companies are not registered, it is unlikely they are even aware of the soft launch, let alone that there may be inaccurate claims against their products being sponsored by the federal government.

Sadly, we are likely to confirm that the CPSC’s faulty processes are damaging companies only AFTER the damage is done. Let’s not forget that the agency is all set to launch a big “public awareness” campaign for the new database – in other words, the federal government will soon be beating the bushes for consumer complaint submissions. As usual, consumer advocates hype uncertain and unquantifiable losses (someone somewhere might not know about something that COULD have been in the database and later be injured) to distract Congress and the media from the certain losses that will befall companies with damaged reputations. Good for plaintiff lawyers but maybe no one else.

Our small company in Illinois has already experienced a materially inaccurate submission – in the very first “complaint” we faced – and were unable to block it from the database. The anonymous posting concerned a consumer’s “feelings” about one of our products based on a photograph she found on the Internet. Unfortunately, she was clearly wrong and we could prove it. The CPSC wasn’t impressed by our valid CPSIA test reports or photographic evidence of the consumer’s error. I can safely assure you that misleading and inaccurate claims will not only be submitted to the database and but will be posted by the CPSC knowing full well that the claims are untrue. I wrote about my experiences in my blog.

I hope you will reconsider your views on the CPSIA database and weigh more carefully the legitimate concerns of businesses serving the children’s marketplace. We are in this business for a reason – we are devoted to making children’s lives BETTER. The new database will not further our mission, nor will a database filled with garbage benefit consumers. We can do better, and we MUST do better.

Sincerely,

Richard Woldenberg
Chairman
Learning Resources, Inc.
Vernon Hills, IL
My blog: http://www.learningresourcesinc.blogspot.com/

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CPSIA – My Answer to Slate.com on the CPSIA Database

REVIEW & OUTLOOK
MARCH 11, 2011

Get the Lead Out, Sir
Nutty test standards give Obama a real chance to help business.

President Obama has been on a campaign to shake his antibusiness reputation, so a good place to start would be to revisit the Consumer Product Safety Improvement Act, a mess of a law that has put new burdens on small businesses.

In 2008, Congress passed the law in a rush to do something after a scare over lead in toys imported from China. Its problems were quickly apparent, sweeping products from books to bicycles into the dragnet for lead standards. But while businesses pleaded, Democrats stood behind it as a pinnacle of consumer protection while blaming the Consumer Product Safety Commission for any enforcement problems.

The CPSC has done what it can to allay the fiasco of unintended costs and disruptions for small businesses, including staying large portions of the law. But as Commissioner Nancy Nord told House Democrats last year, the language of the bill is drafted in such a way that fixing all the problems is impossible because the “exclusions and exemptions process is not workable.”

Instead of being able to focus energy on products that present real risks to kids, the CPSC’s staff has had to regulate products that pose no harm. The likelihood of a toddler swallowing an all-terrain vehicle, for instance, didn’t stop that product from being swept into the maw.

The law also requires the CPSC to propose the parameters of a third-party lead testing regime, but the issue is so mired in complexity that the commission has yet to set those standards. Under the proposed version of this so-called “15 Month Rule,” Learning Resources Chairman Rick Woldenberg has estimated that supplying multiple testing samples on each of his company’s toys and products will cost his company some $15 million per year.

It gets worse. In August, the lead standard is set to go down to 100 parts per million from the current level of 300 parts per million. Like the earlier step down, the new standard is supposed to be retroactive when it goes into effect, meaning that it will apply to toys and children’s products manufactured before that date, which were perfectly legal when they were made. All five CPSC commissioners have said they don’t believe the new standards should be retroactive when they go into effect this summer.

At a hearing in the House Energy and Commerce Committee in February, California Democrat Henry Waxman defended the law as “necessary to protect kids and families across the country.” We wonder how he figures that, since the incidence of lead poisoning from toys made by domestic manufacturers is nil.

Energy and Commerce Chairman Fred Upton and Subcommittee Chair Mary Bono-Mack have said they will soon introduce a bill that would finally end a regime that has clobbered small businesses with ill-conceived regulations. If Mr. Obama wants to help small business job creation, he could agree that the government doesn’t need to mandate a lead testing protocol for every product known to man.

Read more here:
CPSIA – WSJ’s 8th Editorial Against the CPSIA

I think it is important to note that Mr. Butterfield was making a point he believed in. He was gracious to me and my children before the hearing and I don’t wish to question his intelligence here. I mean no insult or disrespect. Actually, the implication of his question is significant. He had days to study up on this question (he had a copy of my remarks in advance) and relied on Democratic counsel to the committee to analyze this legal point. He and his lawyers got it plainly wrong. As you will see below, Nancy Cowles also fumbled this same ball. The law CLEARLY requires this label of me, and it’s THEIR law (the CPSIA). So what do I conclude? The Dems and the safety zealots don’t understand the workings of the law they so vigorously defend. I believe this speaks directly to the challenge operating businesses face. If the authors don’t get it, how are we supposed to? The answer is self-evident.

The question of WHY they continue to push so hard for a law they don’t understand remains open. I don’t think we can assert that they are bad people or dumb. If that’s the case, and it is, what are they up to? I will chip away at this point in coming days.

Rep. Butterfield on rocks:

Rep. Cassidy on rocks:

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CPSIA – House Hearings Questions about Rock Labels