Post by Wyldcomfort on May 10, 2007 21:55:18 GMT -5
No. 90
Thursday May 10, 2007 Page A-16
ISSN 1523-567X
Regulation & Law
Product Safety
Some Agreements Reached on ATV Bill,
CFA Advocate, Industry Counsel Tell Panel
Discussions that have been going on since last December have yielded
agreement on some provisions of draft legislation that would regulate
all-terrain vehicle safety, but there are still issues to be settled, a
consumer advocate and a lawyer for the ATV industry told the Senate
Commerce Committee's Subcommittee on Consumer Affairs, Insurance and
Automotive Safety May 9.
Subcommittee Chairman Mark Pryor (D-Ark.) said that following a hearing
held June 2006, the subcommittee asked the Consumer Federation of
America, the American Academy of Pediatrics, and lawyers for ATV
manufacturers to sit down and try to iron out requirements that could be
used in a bill to help reduce the increasing number of deaths and
injuries associated with the use of ATVs. Rachel Weintraub, product
safety director for CFA and David P. Murray, of the Washington, D.C. law
firm of Willkie Farr & Gallagher LLP, gave Pryor a report on the
discussion that showed mixed results.
Weintraub said the meetings have been "positive and productive."
Agreements have been reached on requiring helmets for youth model ATVs,
training requirements, a Government Accountability Office study on CPSC
compliance efforts, and the need for more CPSC funding for ATV
regulation.
Too Much Focus on 'New Entrants.'
But Weintraub said CFA is concerned that much of the industry's efforts
are focused on dealing solely with "new entrant" ATVs being imported
from China and Taiwan.
Murray testified that these lower priced imported models do not meet any
of the voluntary safety requirements that domestic ATV manufacturers
comply with. And these new entrant vehicles, he said, are grabbing a
larger share of the market every year.
In 2005 there were 250,000 units sold compared with only half that in
2004. About 400,000 units were sold in 2006, Murray said, and in 2007 it
is projected that the new entrant vehicles will reach half a million in
sales.
"This will flood the market with substandard ATVs," Murray said. "The
CPSC is unable to take action against most of these companies. Federal
legislation is urgently needed. A federal law would allow the CPSC to
impose fines and work with U.S. Customs to stop noncomplying ATVs from
getting through the ports." Murray said the draft legislation is fair,
balanced and should be initiated soon as possible.
Requirements Called 'Weak.'
But Weintraub said beyond the legislation's narrow focus on new entrant
ATVs, CFA is also concerned because the bill would require ATVs to meet
provisions contained in a voluntary standard developed by the American
National Standard Institute and the Specialty Vehicle Industry
Association, which she said, "are far too weak to curb the rising tide
of ATV deaths and injuries."
These requirements were developed by manufacturers as part of voluntary
Action Plans they submitted earlier to the CPSC, Weintraub said. But
there is no way to assess the effectiveness of the action plans, she
said, because CPSC will not release that information to the public.
Weintraub also said CFA is concerned that the manufacturers are shifting
away from requirements based on the size of the engine and moving toward
speed requirements. The industry originally set a limitation that would
not let dealers sell an ATV with an engine size over 90 cc's for use by
children under 16. That requirement is being dropped in favor of
limitations based on speed.
Murray said the industry has found that as children grow up they do not
want an ATV with a 90cc engine because it is to small. So manufacturers
are selling ATVs with specific speed settings for different age ranges.
Weintraub said there is no data to show that children are safer using
this approach.
CFA and the ATV makers also still disagree on the need for a mandatory
ban on the sale of three wheel ATVs for use by children. CFA contends
these models are still causing deaths and injuries and wants existing
units recalled.
Still Room for Discussion
Both Weintraub and Murray said there is still room for more discussion,
and negotiations have not yet reached a point of diminishing returns.
"We came to agreement on some issues," Weintraub said. "We decided to
give information to the subcommittee staff and let them tell us what the
next step is."
Murray said there are areas where they agree on principle but not sure
if solutions are feasible.
"This year a half million noncomplying ATVs will enter the market from
China and Taiwan," Murray said. "So core components of this bill need to
be enacted. We don't want to slow down the bill because of disagreement
on certain issues."
By John M. Whalen
Thursday May 10, 2007 Page A-16
ISSN 1523-567X
Regulation & Law
Product Safety
Some Agreements Reached on ATV Bill,
CFA Advocate, Industry Counsel Tell Panel
Discussions that have been going on since last December have yielded
agreement on some provisions of draft legislation that would regulate
all-terrain vehicle safety, but there are still issues to be settled, a
consumer advocate and a lawyer for the ATV industry told the Senate
Commerce Committee's Subcommittee on Consumer Affairs, Insurance and
Automotive Safety May 9.
Subcommittee Chairman Mark Pryor (D-Ark.) said that following a hearing
held June 2006, the subcommittee asked the Consumer Federation of
America, the American Academy of Pediatrics, and lawyers for ATV
manufacturers to sit down and try to iron out requirements that could be
used in a bill to help reduce the increasing number of deaths and
injuries associated with the use of ATVs. Rachel Weintraub, product
safety director for CFA and David P. Murray, of the Washington, D.C. law
firm of Willkie Farr & Gallagher LLP, gave Pryor a report on the
discussion that showed mixed results.
Weintraub said the meetings have been "positive and productive."
Agreements have been reached on requiring helmets for youth model ATVs,
training requirements, a Government Accountability Office study on CPSC
compliance efforts, and the need for more CPSC funding for ATV
regulation.
Too Much Focus on 'New Entrants.'
But Weintraub said CFA is concerned that much of the industry's efforts
are focused on dealing solely with "new entrant" ATVs being imported
from China and Taiwan.
Murray testified that these lower priced imported models do not meet any
of the voluntary safety requirements that domestic ATV manufacturers
comply with. And these new entrant vehicles, he said, are grabbing a
larger share of the market every year.
In 2005 there were 250,000 units sold compared with only half that in
2004. About 400,000 units were sold in 2006, Murray said, and in 2007 it
is projected that the new entrant vehicles will reach half a million in
sales.
"This will flood the market with substandard ATVs," Murray said. "The
CPSC is unable to take action against most of these companies. Federal
legislation is urgently needed. A federal law would allow the CPSC to
impose fines and work with U.S. Customs to stop noncomplying ATVs from
getting through the ports." Murray said the draft legislation is fair,
balanced and should be initiated soon as possible.
Requirements Called 'Weak.'
But Weintraub said beyond the legislation's narrow focus on new entrant
ATVs, CFA is also concerned because the bill would require ATVs to meet
provisions contained in a voluntary standard developed by the American
National Standard Institute and the Specialty Vehicle Industry
Association, which she said, "are far too weak to curb the rising tide
of ATV deaths and injuries."
These requirements were developed by manufacturers as part of voluntary
Action Plans they submitted earlier to the CPSC, Weintraub said. But
there is no way to assess the effectiveness of the action plans, she
said, because CPSC will not release that information to the public.
Weintraub also said CFA is concerned that the manufacturers are shifting
away from requirements based on the size of the engine and moving toward
speed requirements. The industry originally set a limitation that would
not let dealers sell an ATV with an engine size over 90 cc's for use by
children under 16. That requirement is being dropped in favor of
limitations based on speed.
Murray said the industry has found that as children grow up they do not
want an ATV with a 90cc engine because it is to small. So manufacturers
are selling ATVs with specific speed settings for different age ranges.
Weintraub said there is no data to show that children are safer using
this approach.
CFA and the ATV makers also still disagree on the need for a mandatory
ban on the sale of three wheel ATVs for use by children. CFA contends
these models are still causing deaths and injuries and wants existing
units recalled.
Still Room for Discussion
Both Weintraub and Murray said there is still room for more discussion,
and negotiations have not yet reached a point of diminishing returns.
"We came to agreement on some issues," Weintraub said. "We decided to
give information to the subcommittee staff and let them tell us what the
next step is."
Murray said there are areas where they agree on principle but not sure
if solutions are feasible.
"This year a half million noncomplying ATVs will enter the market from
China and Taiwan," Murray said. "So core components of this bill need to
be enacted. We don't want to slow down the bill because of disagreement
on certain issues."
By John M. Whalen