S 795 IS as Amended by the May 5, 1999 Senate markup session.
The Senator Hollings amended text as edited by MINA is shown
in red Italic type.
106th CONGRESS
1st Session
S. 795
To amend the Fastener Quality Act to strengthen the protection against the sale of mismarked, misrepresented, and counterfeit fasteners and eliminate unnecessary requirements, and for other purposes.
IN THE SENATE OF THE UNITED STATES
April 14, 1999
Mr. MCCAIN (for himself, Mr. HOLLINGS, Mr. FIRST, Mr. BURNS, and Mr.
BREAUX) introduced the following bill; which was read twice and
referred to the Committee on Commerce, Science, and Transportation
A BILL
To amend the Fastener Quality Act to strengthen the protection against the sale of mismarked, misrepresented, and counterfeit fasteners and eliminate unnecessary requirements, and for other purposes.</B>
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Fastener Quality Act Amendments Act of 1999'.
SEC. 2. FINDINGS AND PURPOSE.
Section 2 of the Fastener Quality Act (15 U.S.C. 5401) is amended to read as follows:
`SEC. 2. FINDINGS.
`The Congress finds that--
`(1) the United States fastener industry is a significant contributor to the global economy, employing thousands of workers in hundreds of communities;
`(2) the American economy uses billions of fasteners each year;
`(3) state-of-the-art manufacturing and improved quality assurance systems have dramatically improved fastener quality, so virtually all fasteners sold in commerce meet or exceed the consensus standards for the uses to which they are applied;
`(4) a small number of mismarked, misrepresented, and counterfeit fasteners do enter commerce in the United States; and
`(5) multiple criteria for the identification of fasteners exist, including grade identification markings and manufacturer's insignia, to enable purchasers and users of fasteners to accurately evaluate the characteristics of individual fasteners.'.
SEC. 3. DEFINITIONS.
Section 3 of the Fastener Quality Act (15 U.S.C. 5402) is amended to read as follows:
`SEC. 3. DEFINITIONS.
`As used in this Act, the term--
`(1) `accredited laboratory' means a fastener testing facility used to perform end-of-line testing required by a consensus standard or standards to verify that a lot of fasteners conforms to the grade identification marking called for in the consensus standard or standards to which the lot of fasteners has been manufactured, and which--
`(A) meets the requirements of ISO/IEC Guide 25, including revisions from time to time, or another document approved by the Director under section 10(c); and
`(B) has been accredited by a laboratory accreditation body that meets the requirements of ISO/IEC Guide 58, including revisions from time to time, or another document approved by the Director under section 10(d);
`(2) `consensus standard' means the provisions of a document that describes fastener characteristics published by a consensus standards organization or a Federal agency, and does not include a proprietary standard;
`(3) `consensus standards organization' means the American Society for Testing and Materials, the American National Standards Institute, the American Society of Mechanical Engineers, the Society of Automotive Engineers, the International Organization for Standardization, any other organization identified as a United States consensus standards organization or a foreign and international consensus standards organization in the Federal Register at 61 Fed. Reg. 50582-83 (September 26, 1996), and any successor organizations thereto;
`(4) `Director' means the Director of the National Institute of Standards and Technology;
`(5) `distributor' means a person who purchases fasteners
for the purpose of reselling them at wholesale to unaffiliated
persons
within the United States (an original equipment manufacturer and its dealers
shall be considered affiliated persons for
purposes of this Act);
`(6) `fastener' means a metallic screw, nut, bolt, or stud
having internal or external threads, with a nominal diameter of 6
millimeters or greater,
in the case of such items described in metric terms, or 1/4 inch or
greater, in the case of such items described in terms of the English
system of measurement, or a load-indicating washer, that is
through-hardened or represented as meeting a consensus standard that
calls for through-hardening, and that is grade identification marked or
represented as meeting a consensus standard that requires grade
identification marking, except that such term does not include any
screw, nut, bolt, stud, or load-indicating washer that is--
`(A) part of an assembly;
`(B) in a package containing no more than 100 of any one screw, nut, bolt, stud, or load-indicating washer at the time of sale;
`(C) produced and marked as ASTM A 307 Grade A, or a successor standard thereto;
`(D) produced in accordance with ASTM F 432, or a successor standard thereto;
`(E) specifically manufactured for use on an aircraft if the quality and suitability of those fasteners for that use has been approved--
`(i) by the Federal Aviation Administration; or
`(ii) by a foreign airworthiness authority as described in part 21.29, 21.500, 21.502, or 21.617 of title 14 of the Code of Federal Regulations;
`(F) manufactured in accordance with a fastener quality assurance system; or
`(G) manufactured to a proprietary standard, whether or not such proprietary standard directly or indirectly references a consensus standard or any portion thereof;
`(7) `fastener quality assurance system' means--
`(A) a system that meets the requirements, including revisions from time to time, of--
`(i) International Organization for Standardization (ISO) Standard 9000, 9001, 9002, or TS16949;
`(ii) Quality System (QS) 9000 Standard;
`(iii) Verband der Automobilindustrie e. V. (VDA) 6.1 Standard; or
`(iv) Aerospace Basic Quality System Standard AS9000; or
`(B) any fastener manufacturing system--
`(i) that has as a stated goal the prevention of defects through continuous improvement;
`(ii) that seeks to attain the goal stated in clause (i) by incorporating--
`(I) advance quality planning;
`(II) monitoring and control of the manufacturing process;
`(III) product verification embodied in a comprehensive written control plan for product and process characteristics, and process controls (including process influence factors and statistical process control), tests, and measurement systems to be used in production; and
`(IV) the creation, maintenance, and retention of electronic, photographic, or paper records required by the control plan regarding the inspections, tests, and measurements performed pursuant to the control plan; and
`(I) is subject to certification in accordance with the requirements of ISO/IEC Guide 62, including revisions from time to time, (or another document approved by the Director under section 10(a)) by a third party who is accredited by an accreditation body in accordance with the requirements of ISO/IEC Guide 61, including revisions from time to time, (or another document approved by the Director under section 10(b)); or
`(II) undergoes regular or random evaluation and assessment by the end user or end users of the screws, nuts, bolts, studs, or load-indicating washers produced under such fastener manufacturing system to ensure that such system meets the requirements of clauses (i) and (ii);
`(8) `grade identification marking' means any grade-mark or
property class symbol appearing on a fastener purporting to indicate that
the lot of fasteners conforms to a specific consensus standard,
but such term does not include a manufacturer's insignia or part number;
`(9) `importer' means a distributor located within the United
States who contracts for the initial purchase of fasteners manufactured
outside the United States;
`lot' means a quantity of fasteners of one part number fabricated by the same production process from the same coil or heat number of metal as provided by the metal manufacturer;
`manufacturer' means a person who fabricates fasteners for sale in commerce;
`proprietary standard' means the provisions of a document that describes characteristics of a screw, nut, bolt, stud, or load-indicating washer and is issued by a person who--
`(A) uses screws, nuts, bolts, studs, or load-indicating washers in the manufacture, assembly, or servicing of its products; and
`(B) with respect to such screws, nuts, bolts, studs, or washers, is a developer and issuer of descriptions that have characteristics similar to consensus standards and that bear such user's identification;
`record of conformance' means a record or records for each lot of fasteners sold or offered for sale that contains--
`(A) the name and address of the manufacturer;
`(B) a description of the type of fastener;
`(D) the nominal dimensions of the fastener (including diameter and length of bolts or screws), thread form, and class of fit;
`(E) the consensus standard or specifications to which the lot of fasteners has been manufactured, including the date, number, revision, and other information sufficient to identify the particular consensus standard or specifications being referenced;
`(F) the chemistry and grade of material;
`(G) the coating material and characteristics and the
applicable consensus standard or specifications for
such coating; and
`(H) the results or a summary of results of any tests
performed for the purpose of verifying that a lot of fasteners conforms
to its grade identification marking or to the grade identification the
lot of fasteners is represented to meet;
`represent' means to describe one or more of a fastener's purported characteristics in a document or statement that is transmitted to a purchaser through any medium;
`Secretary' means the Secretary of Commerce;
`specifications' means the required characteristics identified in the contractual agreement with the manufacturer or to which a fastener is otherwise produced, except that the term does not include proprietary standards; and
`through-harden' means heating above the transformation temperature followed by quenching and tempering for the purpose of achieving uniform hardness.'.
SEC. 4. SALE OF FASTENERS.
(a) IN GENERAL- Sections 4 through 7 of the Fastener Quality Act (15 U.S.C. 5403 through 5406) are repealed, and the following new section is inserted after section 3 of such Act:
`SEC. 4. SALE OF FASTENERS.
`(a) GENERAL RULE- It shall be unlawful for a manufacturer or
distributor, in conjunction with the
sale or offer for sale of
fasteners from a single lot, to knowingly misrepresent or
falsify--
`(1) the record of conformance for the lot of fasteners;
`(2) the identification, characteristics, properties, mechanical or performance marks, chemistry, or strength of the lot of fasteners; or
`(3) the manufacturer's insignia.
`(b) REPRESENTATIONS- A direct or indirect reference to a consensus standard to represent that a fastener conforms to particular requirements of the consensus standard shall not be construed as a representation that the fastener meets all the requirements of the consensus standard.
`(c) SPECIFICATIONS- A direct or indirect contractual reference to a consensus standard for the purpose of identifying particular requirements of the consensus standard that serve as specifications shall not be construed to require that the fastener meet all the requirements of the consensus standard.
`(d) USE OF ACCREDITED LABORATORIES- In the case of fasteners manufactured solely to a consensus standard or standards, end-of-line testing required by the consensus standard or standards, if any, for the purpose of verifying that a lot of fasteners conforms with the grade identification marking called for in the consensus standard or standards to which the lot of fasteners has been manufactured shall be conducted by an accredited laboratory.'.
(b) EFFECTIVE DATE- Section 4(d) of the Fastener Quality Act, as added by subsection (a), shall take effect 2 years after the date of enactment of this Act.
SEC. 5. MANUFACTURERS' INSIGNIAS.
Section 8 of the Fastener Quality Act (15 U.S.C. 5407) is redesignated as section 5 and is amended--
(1) by amending subsection (a) to read as follows:
`(a) GENERAL RULE- Unless the specifications provide otherwise,
fasteners that are required
by the applicable consensus standard or
standards to bear an insignia identifying
their manufacturer shall not
be offered for sale or sold in commerce unless--
`(1) the
fasteners bear such an insignia; and
`(2) the manufacturer has complied with the insignia recordation requirements established under subsection (b).'; and
(2) in subsection (b), by striking `and private label' and all that follows and inserting `described in subsection (a).'.
SEC. 6. REMEDIES AND PENALTIES.
Section 9 of the Fastener Quality Act (15 U.S.C. 5408) is
redesignated as section 6 and is amended--
(1) in subsection (b)(1), by striking "to have violated" and
all that follows and inserting "to have --
(A) negligently violated section 7 or any regulation
under section 7 shall be liable to the United States for a civil penalty
of not more than $10,000 for each violation;
(B) committed gross negligence in violating section 7 or
any regulation under section 7 shall be liable to the United States for a
civil penalty
of not more than $35,000 for each violation;
(C) recklessly or intentionally violated section 7 or
any regulations under section 7 shall be liable to the United States for a
civil penalty
of not more than $50,000 for each violation;
(D) violated section 4(a) or
any regulation under section 4(a) shall be liable to the United States for a
civil penalty
of not more than $50,000 for each violation; and
(E) violated any other provision of this
Act or any other regulation under this Act shall be liable to the
United States for a civil penalty
of not more than $25,000 for each violation.
by striking `of this section' in subsection (b)(3) and inserting `of this subsection';
by inserting `arbitrate,' in subsection (b)(4) after `Secretary may';
in subsection (d)--
(A) by inserting `(1)' after `ENFORCEMENT- '; and
(B) by adding at the end the following:
`(2) The Secretary shall establish and maintain a hotline system to facilitate the reporting of alleged violations of this Act, and the Secretary shall evaluate allegations reported through that system and report any credible allegations to the Attorney General.'.
SEC. 7. RECORDKEEPING REQUIREMENTS.
Section 10 of the Fastener Quality Act (15 U.S.C. 5409) is redesignated as section 7 and is amended by striking subsections (a) and (b) and inserting the following:
`Manufacturers and importers
shall retain the record of conformance for fasteners for 5 years, on
paper or in photographic or electronic format in a manner that allows
for verification of authenticity. Upon request of a distributor who
has purchased a fastener, or a person who has purchased a fastener
for use in the production of a commercial product, the manufacturer
or importer
of the fastener shall make available information in the record of
conformance to the requester.'.
SEC. 8. RELATIONSHIP TO STATE LAWS.
Section 11 of the Fastener Quality Act (15 U.S.C. 5410) is redesignated as section 8.
SEC. 9. CONSTRUCTION.
Section 12 of the Fastener Quality Act (15 U.S.C. 5411) is redesignated as section 9 and is amended by striking `in effect on the date of enactment of this Act'.
SEC. 10. CERTIFICATION AND ACCREDITATION.
Sections 13 and 15 of the Fastener Quality Act (15 U.S.C. 5412 and 5414) are repealed, and the following new section is added at the end of that Act:
`SEC. 10. CERTIFICATION AND ACCREDITATION.
`(a) CERTIFICATION- A person publishing a document setting forth guidance or requirements for the certification of manufacturing systems, including fastener manufacturing systems, by an accredited third party may petition the Director to approve such document for use as described in section 3(7)(B)(iii)(I). The Director shall act upon a petition within 180 days after its filing, and shall approve such petition if the document provides equal or greater rigor and reliability as compared to ISO/IEC Guide 62.
`(b) ACCREDITATION- A person publishing a document setting forth guidance or requirements for the approval of accreditation bodies to accredit third parties described in subsection (a) may petition the Director to approve such document for use as described in section 3(7)(B)(iii)(I). The Director shall act upon a petition within 180 days after its filing, and shall approve such petition if the document provides equal or greater rigor and reliability as compared to ISO/IEC Guide 61.
`(c) LABORATORY ACCREDITATION- A person publishing a document setting forth guidance or requirements for the accreditation of laboratories may petition the Director to approve such document for use as described in section 3(1)(A). The Director shall act upon a petition within 180 days after its filing, and shall approve such petition if the document provides equal or greater rigor and reliability as compared to ISO/IEC Guide 25.
`(d) APPROVAL OF ACCREDITATION BODIES- A person publishing a document setting forth guidance or requirements for the approval of accreditation bodies to accredit laboratories may petition the Director to approve such document for use as described in section 3(1)(B). The Director shall act upon a petition within 180 days after its filing, and shall approve such petition if the document provides equal or greater rigor and reliability as compared to ISO/IEC Guide 58.'.
SEC. 11. APPLICABILITY.
At the end of the Fastener Quality Act, as amended by section 10, add the following:
`SEC. 11. APPLICABILITY.
`The requirements of this Act shall be applicable only to fasteners fabricated 180 days or more after the date of the enactment of this Act, except that if a manufacturer or distributor of fasteners fabricated before that date prepares a record of conformance for such fasteners, representations about such fasteners shall be subject to the requirements of this Act.'.
SEC. 12. ADVISORY COMMITTEE.
Section 14 of the Fastener Quality Act (15 U.S.C. 5413) is redesignated as section 12.
END