Understanding CPSIA

A legislative column by Mike Dwyer, JPMA

Mike Dwyer -- Kids Today, 8/1/2009 12:00:00 AM

There have been several recent announcements regarding the Consumer Product Safety Improvement Act of 2008 and several compliance deadlines are looming. Below is a summary of recent developments.

CPSC Guidance on Section 103 Tracking Label Compliance

On July 20, the Consumer Product Safety Commission voted to issue its guidance statement hoping to provide more clarification on its current interpretation of the statutory requirements and provide guidance on how it intends to enforce Section 103 of the CPSIA requirements on children’s product manufacturers. The tracking label requirement for children’s product packaging and products, if practicable, is required for goods “made on or after August 14, 2009. It does not apply retroactively to such products made before that date,” states the CPSC.

With an enormous variety of marking systems in use for an array of different children’s products, the CPSC recognized that layering additional requirements onto effective existent systems could be unduly burdensome.

The CPSC noted that it expects “manufacturers will use their best judgment to develop markings that best suit their business and product.”

The CPSC importantly recognized the need to allow a reasonable implementation period and deference to good faith efforts of manufacturers at compliance prior to imposition of penalties for non-compliance, will not likely seek penalties if required information was inadvertently omitted.” The issuance of this Guidance Document together with this enforcement policy makes it less likely that the agency will reconsider and grant a pending request to delay for implementation for one year.

CPSC Issues Proposed CPSIA Rule on Durable Infant Product Registration Cards; Comments Due September 14, 2009/ Rule Does Not Apply Until Final

CPSIA Section 104(d) requires the CPSC to start a final consumer product safety rule by August 14, 2009, that requires manufacturers of certain “durable infant or toddler products” to: (1) provide with each product a postage-paid consumer registration form; (2) keep records of consumers who register such products with the manufacturer; and (3) permanently place the manufacturer name and contact information, model name and number, and the date of manufacture on each such product.

Written comments are requested by September 14, 2009. The Commission will consider comments and then issue a Final Rule thereafter. CPSC has proposed an effective date that is 180 days from the issuance of the Final Rule, to allow time to orderly integrate registration schemes into the supply chain.

CPSC proposes that the requirements apply only to manufacturers and importers of record of durable infant or toddler products. The Commission would also like comments on the practical and economic consequences of any decision as to whether the manufacturer or importer should assume the registration obligations, such as the logistics of an importer inserting a registration card when a product is manufactured overseas or, similarly, the logistics of a foreign manufacturer maintaining a database of registration card information received from consumers in the United States.

The CPSIA provides a broad definition of the term durable infant or toddler product — “a durable product intended for use, or that may be reasonably expected to be used, by children under the age of 5 years.”

Product Safety Chief Puts Industry on Notice

According to a story recently filed by the Associated Press, CPSC Chairman Inez Tenenbaum said her agency will get new enforcement tools next month — and she plans to use them in order to protect consumers, especially children.

As of August 14, the maximum civil penalty the agency could impose for violations increases significantly, from $1.8 million to $15 million.

“Those, if the circumstances warrant it and the facts support it, will be used by the CPSC to make sure that people comply with that law,” Tenenbaum told the AP. “I plan to enforce the CPSIA,... and we will follow the statute.”

According to the AP story, Tenenbaum said the industry has had adequate time to prepare for the new requirements.

Those of us in the industry may beg to differ. Confusion over requirements, unjustifiable removal of safe, but untested product from retail, exorbitant costs of product testing, and lack of guidance has put a strain on our industry and many small manufacturers have already gone out of business.

For more information about CPSIA, visit www.cpsc.gov/about/cpsia/cpsia.html or www.jpma.org.