Consumer Product Safety Commission Enhanced Enforcement Act

Summary: Revises civil and criminal penalties, including removing the existing cap on the maximum civil penalty that can be assessed to companies that market products in violation of federal consumer product safety regulations.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Consumer Product Safety Commission 
Enhanced Enforcement Act''.

SEC. 2. COMMISSION PUBLIC INTEREST DETERMINATION WITH REGARD TO REPAIR, 
              REPLACEMENT, OR REFUND ACTIONS.

    (a) Product Safety Amendment.--Section 15(d) of the Consumer 
Product Safety Act (15 U.S.C. 2064(d)) is amended--
            (1) by striking ``(d) If'' and inserting ``(d)(1) Except as 
        provided in paragraph (3), if'';
            (2) by striking ``(1)'' and inserting ``(A) Conform or 
        repair.--'';
            (3) by striking ``(2)'' and inserting ``(B) Replacement.--
        '';
            (4) by striking ``(3)'' and inserting ``(C) Refund.--'';
            (5) by striking ``(A) at the time'' and inserting ``(i) at 
        the time'';
            (6) by striking ``(B) at the time'' and inserting ``(ii) at 
        the time'';
            (7) by striking ``An order'' the first place it appears and 
        inserting ``(2) An order'';
            (8) by striking ``paragraph (3).'' and inserting 
        ``paragraph (1)(C)''; and
            (9) by adding at the end thereof the following:
            ``(3) If the Commission determines, after affording 
        opportunity for an informal hearing, that the action elected by 
        a manufacturer, distributor, or retailer under paragraph 
        (1)(A), (B), or (C) is not in the public interest, the 
        Commission shall order the manufacturer, distributor, or 
        retailer to take any other action described in paragraph that 
        the Commission determines to be in the public interest. If the 
        Commission determines that both of the remaining actions for 
        election under paragraph (1) are in the public interest, then 
        the manufacturer, distributor, or retailer shall elect to take 
        one of those actions.''.
    (b) Hazardous Substances Amendment.--Section 15(b) of the Federal 
Hazardous Substances Act (15 U.S.C. 1274(b)) is amended--
            (1) by striking ``Refund.--If'' and inserting ``Refund.--
        Except as provided in paragraph (3), if'';
            (2) by striking ``(1) If'' and inserting ``(A) Repair.--
        If'';
            (3) by striking ``(2)'' and inserting ``(B) Replacment.--
        '';
            (4) by striking ``(3)'' and inserting ``(C) Refund.--'';
            (5) by redesignating subparagraphs (A) and (B) of paragraph 
        (3) as clauses (i) and (ii), respectively;
            (6) by striking ``An order'' the first place it appears and 
        inserting ``(2) An order'';
            (7) by striking ``paragraph (3).'' and inserting 
        ``paragraph (1)(C)''; and
            (8) by adding at the end thereof the following:
            ``(3) If the Commission determines, after affording 
        opportunity for an informal hearing, that the action elected by 
        a manufacturer, distributor, or retailer under paragraph 
        (1)(A), (B), or (C) is not in the public interest, the 
        Commission shall order the manufacturer, distributor, or 
        retailer to take any other action described in paragraph that 
        the Commission determines to be in the public interest. If the 
        Commission determines that both of the remaining actions for 
        election under paragraph (1) are in the public interest, then 
        the manufacturer, distributor, or retailer shall elect to take 
        one of those actions.''.
    (c) Discretionary Remedial Action Under the FHSA.--Section 1274(c) 
of the Federal Hazardous Substances Act (15 U.S.C. 1274(c) is amended--
            (1) by striking ``(2) If'' and inserting ``(2) Except as 
        provided in paragraph (3), if''; and
            (2) adding at the end thereof the following:
            ``(3) If the Commission determines, after affording 
        opportunity for an informal hearing, that the action elected by 
        a manufacturer, distributor, or retailer under paragraph 
        (2)(A), (B), or (C) is not in the public interest, the 
        Commission shall order the manufacturer, distributor, or 
        retailer to take any other action described in paragraph that 
        the Commission determines to be in the public interest. If the 
        Commission determines that both of the remaining actions for 
        election under paragraph (2) are in the public interest, then 
        the manufacturer, distributor, or retailer shall elect to take 
        one of those actions.''.

SEC. 3. CIVIL PENALTIES.

    (a) Product Safety Civil Penalty.--
            (1) Increase; removal of cap on penalty for continuing 
        offense.--Section 20(a)(1) of the Consumer Product Safety Act 
        (15 U.S.C. 2069(a)(1)) is amended--
                    (A) by striking ``$5,000'' and inserting 
                ``$7,000'';
                    (B) by striking ``involved, except that the maximum 
                civil penalty shall not exceed $1,250,000 for any 
                related series of violations.'' and inserting 
                ``involved.''; and
                    (C) by striking ``offense, except that the maximum 
                civil penalty shall not exceed $1,250,000 for any 
                related series of violations.'' and inserting 
                ``offense.''.
            (2) Conforming changes to inflation adjustment.--Section 
        20(a)(3) of that Act (15 U.S.C. 2069(a)(3)) is amended--
                    (A) by striking ``maximum penalty amounts'' in 
                subparagraph (A) and inserting ``penalty'';
                    (B) by striking ``December 1, 1994,'' in 
                subparagraph (B) and inserting ``December 1, 2005,''; 
                and
                    (C) by striking subparagraph (C) and inserting the 
                following:
                    ``(C) The authorized penalty amount shall be 
                prescribed by increasing the amount in paragraph (1) by 
                the cost-of-living adjustment for the preceding five 
                years, rounded to the nearest $1,000.''.
    (b) Hazardous Substances Civil Penalty.--
            (1) Increase; removal of cap on penalty for continuing 
        violations.--Section 5(c)(1) of the Federal Hazardous 
        Substances Act (15 U.S.C. 1264(c)(1)) is amended--
                    (A) by striking ``$5,000'' and inserting 
                ``$7,000'';
                    (B) by striking ``involved, except that the maximum 
                civil penalty shall not exceed $1,250,000 for any 
                related series of violations.'' and inserting 
                ``involved.''; and
                    (C) by striking ``offense, except that the maximum 
                civil penalty shall not exceed $1,250,000 for any 
                related series of violations.'' and inserting 
                ``offense.''.
            (2) Conforming changes to inflation adjustment.--Section 
        5(c)(6) of that Act (15 U.S.C. 1264(c)(6)) is amended--
                    (A) by striking ``maximum penalty amounts'' in 
                subparagraph (A) and inserting ``penalty'';
                    (B) by striking ``December 1, 1994,'' in 
                subparagraph (B) and inserting ``December 1, 2005,''; 
                and
                    (C) by striking subparagraph (C) and inserting the 
                following:
                    ``(C) The authorized penalty amount shall be 
                prescribed by increasing the amount in paragraph (1) by 
                the cost-of-living adjustment for the preceding five 
                years, rounded to the nearest $1,000.''.

SEC. 4. CRIMINAL PENALTIES.

    (a) Product Safety Criminal Penalty.--Section 21 of the Consumer 
Product Safety Act (15 U.S.C. 2070) is amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) In General.--
            ``(1) Knowing violations.--Any individual who knowingly 
        violates section 19 of this Act shall be fined under title 18, 
        United States Code, or be imprisoned not more than 1 year, or 
        both. Any organization (as defined in section 18 of title 18, 
        United States Code) that knowingly violates section 19 of this 
        Act shall be fined under title 18, United States Code.
            ``(2) Knowing and willful violations.--Any individual who 
        knowingly and willfully violates section 19 of this Act shall 
        be fined under title 18, United States Code, or be imprisoned 
        not more than 3 years, or both. Any organization (as defined in 
        section 18 of title 18, United States Code) that knowingly and 
        willfully violates section 19 of this Act shall be fined under 
        title 18, United States Code.'';
            (2) by inserting ``Actions by directors, officers, and 
        agents.--; and
            (3) by striking ``knowingly and willfully'' in subsection 
        (b).
    (b) Hazardous Substances Criminal Penalty.--Section 5(a) of the 
Federal Hazardous Substances Act (15 U.S.C. 1264(a)) is amended to read 
as follows:
    ``(a) In General.--
            ``(1) Knowing violations.--Any individual who knowingly 
        violates section 4 of this Act shall be fined under title 18, 
        United States Code, or be imprisoned not more than 1 year, or 
        both. Any organization (as defined in section 18 of title 18, 
        United States Code) that knowingly violates section 4 of this 
        Act shall be fined under title 18, United States Code.
            ``(2) Knowing and willful violations; repeat offenders.--
        Any individual who knowingly and willfully violates section 4 
        of this Act shall be fined under title 18, United States Code, 
        or be imprisoned not more than 3 years, or both. Any 
        organization (as defined in section 18 of title 18, United 
        States Code) that knowingly and willfully violates section 4 of 
        this Act shall be fined under title 18, United States Code. If 
        an individual or organization commits a second or subsequent 
        violation of section 4 of this Act, then that second or 
        subsequent violation is deemed to be a knowing and willful 
        violation.''.