HOUSE BILL No. 4796

 

May 30, 2013, Introduced by Reps. Talabi, Slavens, Brunner, Smiley, Cavanagh, Lane, Schor, Kivela, Dianda, Driskell, Banks, Brinks, Knezek, Hovey-Wright, Geiss, Stanley, Brown, Cochran, Durhal, Haugh, Irwin, Lipton, Barnett, Yanez, Faris and Nathan and referred to the Committee on Regulatory Reform.

 

     A bill to amend 1978 PA 368, entitled

 

"Public health code,"

 

by amending section 5493 (MCL 333.5493), as added by 2007 PA 159,

 

and by adding sections 5495, 5496, 5497, and 5498.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 5493. (1) Except as otherwise provided in subsection (2),

 

subsections (2) and (3), a person who violates this part is subject

 

to the following:

 

     (a) If the person is not an individual consumer and the

 

violation is the person's first offense under this part, a civil

 

fine of not more than $100.00 per item not to exceed $5,000.00

 

total.

 

     (b) If a person is not an individual consumer and the

 

violation is the person's second offense under this part, a civil

 


fine of not more than $500.00 per item not to exceed $25,000.00

 

total.

 

     (c) If the person is not an individual consumer and the

 

violation is the person's third or subsequent offense under this

 

part, a civil fine of not more than $1,000.00 per item not to

 

exceed $50,000.00 total.

 

     (d) If a person knowingly violates this part and the person is

 

not an individual consumer, a civil fine equal to 3 times the

 

amounts in subdivision (c).

 

     (2) A civil fine imposed under this section shall be waived if

 

it is determined that a person acted in good faith to be in

 

compliance with this part, pursued compliance with due diligence,

 

and promptly corrected any noncompliance after discovery of the

 

violation.

 

     (3) This section does not apply to a violation described in

 

section 5497.

 

     Sec. 5495. (1) Except as otherwise provided in this section,

 

before offering for sale in this state a children's product that

 

contains a chemical of greatest concern, a manufacturer or

 

distributor shall submit to the department a written statement as

 

described in subsection (2). However, if the children's product is

 

already being offered for sale in this state by the manufacturer or

 

distributor when the chemical of greatest concern is listed by the

 

department, the manufacturer or distributor shall submit the

 

statement described in subsection (2) by 180 days after the date on

 

which the chemical of greatest concern is listed.

 

     (2) A manufacturer or distributor shall include all of the

 


following in the written statement required under subsection (1):

 

     (a) The manufacturer's or distributor's name, address,

 

telephone number, and electronic mail address.

 

     (b) Identification of the children's product.

 

     (c) The chemicals of greatest concern contained in the

 

children's product.

 

     (d) The amount of each chemical of greatest concern contained

 

in the children's product.

 

     (e) The purpose of each chemical of greatest concern contained

 

in the children's product.

 

     (3) The following are exempt from subsection (1):

 

     (a) A retailer, unless the retailer is also a manufacturer or

 

distributor, or both.

 

     (b) Uses of chemicals of greatest concern for industrial or

 

manufacturing purposes.

 

     (c) Motor vehicles or their component parts, except that the

 

use of chemicals of greatest concern in detachable car seats is not

 

exempt.

 

     (d) Chemicals of greatest concern generated solely as

 

combustion by-products or that are present in combustible fuels.

 

     (4) The department may extend the deadline for submission of

 

the written statement under subsection (1) for 1 or more specified

 

uses of a chemical of greatest concern in a children's product if

 

the department determines that more time is needed by the

 

manufacturer or distributor to comply.

 

     (5) Except as otherwise provided in this section, by July 1,

 

2014 and annually thereafter, a manufacturer shall report to the

 


department whether a screening information data set, as specified

 

by the organization for economic co-operation and development, or

 

equivalent information exists for each chemical intentionally added

 

to a children's product that the manufacturer sold in this state in

 

the current or prior calendar year.

 

     (6) A manufacturer or distributor of a children's product sold

 

in this state is exempt from subsection (1) and a manufacturer is

 

exempt from subsection (5) if the quantity of that children's

 

product sold in this state by that manufacturer or distributor in

 

the prior calendar year or to be sold in the current calendar year

 

is 3,000 units or less.

 

     (7) Not more than 30 days after receipt of information in a

 

written statement or report under this section, the department

 

shall post the information on its website in an easily

 

understandable form.

 

     Sec. 5496. The department, in consultation with the department

 

of environmental quality, may promulgate rules under the

 

administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to

 

24.328, to implement this part.

 

     Sec. 5497. (1) If a manufacturer or distributor violates a

 

requirement of section 5495 or rules promulgated to implement

 

section 5495 and the violation continues for more than 90 days, the

 

department may take enforcement action, assess administrative fines

 

under subsection (2), and request the attorney general to initiate

 

proceedings to enjoin the sale of children's products in this state

 

by that manufacturer or distributor.

 

     (2) Subject to subsection (3), a manufacturer or distributor

 


that violates section 5495 or rules promulgated to implement

 

section 5495 is subject to the following:

 

     (a) For a first violation, an administrative fine of not more

 

than $5,000.00.

 

     (b) For a second violation, an administrative fine of not more

 

than $25,000.00.

 

     (c) For a third or subsequent violation, an administrative

 

fine of not more than $50,000.00.

 

     (d) For a knowing violation, an administrative fine of not

 

more than $150,000.00.

 

     (3) The department shall waive an administrative fine under

 

this section if the manufacturer or distributor acts in good faith

 

to comply with section 5495 and rules promulgated to implement

 

section 5495, pursues compliance with due diligence, and promptly

 

corrects any noncompliance after discovery of the violation.

 

     Sec. 5498. (1) The children's safe products fund is created

 

within the state treasury.

 

     (2) The department shall transmit all administrative fines

 

collected under this part to the state treasurer for deposit into

 

the fund. The state treasurer may receive money or other assets

 

from any other source for deposit into the fund. The state

 

treasurer shall direct the investment of the fund and shall credit

 

to the fund interest earnings from fund investments. Money in the

 

fund at the close of the fiscal year shall remain in the fund and

 

shall not lapse to the general fund. The department shall be the

 

administrator of the fund for auditing purposes.

 

     (3) The department shall expend money from the fund, upon

 


appropriation, only for the purpose of administering and carrying

 

out duties required by this part.

 

     Enacting section 1. This amendatory act may be referred to as

 

the "safe children's products act".

 

     Enacting section 2. This amendatory act does not take effect

 

unless Senate Bill No. ____ or House Bill No. 4795(request no.

 

02666'13 *) of the 97th Legislature is enacted into law.