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From: sema@sema.org [mailto:sema@sema.org]
Sent: Monday, September 25, 2000 11:02 PM
To: sema@sema.org
Subject: URGENT LEGISLATIVE ALERT: Congress Moves to Enact Tough New
Vehicle Equipment Legislation
Please forward this message to everyone you know in the automotive
industry. We need your support!
URGENT LEGISLATIVE ALERT
Congress Moves to Enact Tough New Vehicle Equipment Legislation
In response to vehicle equipment safety concerns raised by the recent
Firestone tire recalls, the U.S. Congress is moving quickly to enact
legislation that could affect manufacturers, dealers and installers of all
automotive equipment. These bills would dramatically increase reporting
requirements for all automotive product safety defects, add new
recordkeeping requirements, create tougher recall rules, institute
increased civil penalties and severe new criminal penalties for
non-compliance and direct the National Highway Traffic Safety
Administration (NHTSA) to update its Federal tire standard.
SEMA is concerned that Congress, facing an early October adjournment, is
rushing through complicated and controversial legislation (S.B. 3059/H.R.
5164). These bills would radically alter defect notification and
recordkeeping requirements without considering the full ramifications on
businesses like yours. This is troubling given the bills' serious criminal
implications. Accordingly, we urge you to contact your legislators in
Washington, D.C. to urge further study and evaluation of this important
vehicle equipment safety legislation.
Key new obligations under S. 3059/H.R. 5164:
- Vehicle equipment manufacturers may not certify compliance with federal
standards unless compliance has been established through testing or
engineering.
- Statutory time period for safety recalls of vehicle equipment increased
from 8 to 10 years (3 to 5 years for tires.)
- Vehicle equipment manufacturers must report overseas recall orders,
accidents and trends that result in injury or death, as well as legal
actions and warranty complaints to the Department of Transportation (DOT).
- The DOT may share confidential vehicle equipment manufacturer information
with foreign governments, without clearly guaranteeing the confidentiality
of product information.
- The DOT may require recordkeeping and reporting on foreign and domestic
consumer complaints, equipment defect information and communications
between dealers and manufacturers relating to equipment safety- related
defects or recalls.
- Civil penalties for non-compliance with federal vehicle safety and recall
standards would increase from $1,000 to $5,000 for each violation, while
the maximum fine would rise from $800,000 to as much as $15,000,000. No
maximum fine would apply in instances of willful and intentional violation.
- New criminal penalties would be enacted making a director, officer, or
"agent" of a manufacturer (possibly dealers and installers) subject to a
fine of up to $50,000, 15 years in jail or both for willful and knowing
violations.
Contact your Senators and Congressional Representative to urge further
study of this legislation.
For assistance in determining who your legislators are, please contact the
Capitol Hill operator at 202/225-3121 or you can access this information
via the internet at http://www.sema.org/fedleg/legislatorrequest. We have
included links to sample letters for your use:
http://www.sema.org/fedleg/stateredhot/senatorletter0900.html for a sample
letter to your Senator.
http://www.sema.org/fedleg/stateredhot/houseletter0900.html for a sample
letter to your Representative.
If you have any questions, please contact Steve McDonald at
stevemac@sema.org or Brian Caudill at brianc@sema.org
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