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[House Report 106-946]
[From the U.S. Government Publishing Office]

106th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     106-946

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  AMENDING THE CONSUMER PRODUCTS SAFETY ACT TO PROVIDE THAT LOW-SPEED 
      ELECTRIC BICYCLES ARE CONSUMER PRODUCTS SUBJECT TO SUCH ACT

                                _______
                                

October 6, 2000.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

  Mr. Bliley, from the Committee on Commerce, submitted the following

                              R E P O R T

                        [To accompany H.R. 2592]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Commerce, to whom was referred the bill 
(H.R. 2592) to amend the Consumer Products Safety Act to 
provide that low-speed electric bicycles are consumer products 
subject to such Act, having considered the same, report 
favorably thereon with an amendment and recommend that the bill 
as amended do pass.

                                CONTENTS

                                                                   Page
Amendment........................................................     2
Purpose and Summary..............................................     2
Background and Need for Legislation..............................     2
Hearings.........................................................     3
Committee Consideration..........................................     4
Committee Votes..................................................     4
Committee Oversight Findings.....................................     4
Committee on Government Reform Oversight Findings................     4
New Budget Authority, Entitlement Authority, and Tax Expenditures     4
Committee Cost Estimate..........................................     5
Congressional Budget Office Estimate.............................     5
Federal Mandates Statement.......................................     6
Advisory Committee Statement.....................................     7
Constitutional Authority Statement...............................     7
Applicability to Legislative Branch..............................     7
Section-by-Section Analysis of the Legislation...................     7
Changes in Existing Law Made by the Bill, as Reported............     7

                               Amendment

    The amendment is as follows:
    Strike all after the enacting clause and insert the 
following:

SECTION 1. CONSUMER PRODUCT SAFETY ACT.

  The Consumer Product Safety Act (15 U.S.C. 2051 et seq.) is amended 
by adding at the end the following:
                     ``low-speed electric bicycles
  ``Sec. 38. (a) Notwithstanding any other provision of law, low-speed 
electric bicycles are consumer products within the meaning of section 
3(a)(1) and shall be subject to the Commission regulations published at 
section 1500.18(a)(12) and part 1512 of 16 C.F.R.
  ``(b) For the purpose of this section, the term `low-speed electric 
bicycle' means a two- or three-wheeled vehicle with fully operable 
pedals and an electric motor of less than 750 watts (1 h.p.), whose 
maximum speed on a paved level surface, when powered solely by such a 
motor while ridden by an operator who weighs 170 pounds, is less than 
20 mph.
  ``(c) To further protect the safety of consumers who ride low-speed 
electric bicycles, the Commission may promulgate new or amended 
requirements applicable to such vehicles as necessary and appropriate.
  ``(d) This section shall supersede any State law or requirement with 
respect to low-speed electric bicycles to the extent that such State 
law or requirement is more stringent than the Federal law or 
requirements referred to in subsection (a).''.

SEC. 2. MOTOR VEHICLE SAFETY STANDARDS.

  For purposes of motor vehicle safety standards issued and enforced 
pursuant to chapter 301 of title 49, United States Code, a low-speed 
electric bicycle (as defined in section 38(b) of the Consumer Product 
Safety Act) shall not be considered a motor vehicle as defined by 
section 30102(6) of title 49, United States Code.

                          Purpose and Summary

    The purpose of this bill is to amend the Consumer Product 
Safety Act to provide that low-speed electric bicycles are 
consumer products subject to that act. The bill removes low-
speed electric bicycles from the definition of ``motor 
vehicle'' within the jurisdiction of the Department of 
Transportation, where such bicycles are required to be 
regulated in the same manner as motorcycles. The bill then 
amends the Consumer Product Safety Act to transfer jurisdiction 
over electric bicycles to the Consumer Product Safety 
Commission (CPSC), where those bicycles would be regulated 
similarly to human powered bicycles.

                  Background and Need for Legislation

    Over 500,000 electric bicycles are in use worldwide, with 
the market rapidly evolving over the last several years. 
Electric bicycles generate no pollution, are almost silent, and 
can greatly increase the recreational and transportation 
options for commuters.
    Some electric bicycles provide motorized assistance 
pedaling, although they cannot be operated solely by motor 
power. These bicycles, like all non-powered bicycles, are 
regulated by the Consumer Product Safety Commission (CPSC). 
Other electric bicycles can be operated solely by the electric 
motor, but still use light weight frames, are used in a manner 
similar to non-powered bicycles, and have maximum motorized 
speeds not greater than those typical of a reasonably athletic 
bicyclist.
    An average person can pedal a regular bicycle for perhaps 
90 minutes at 13 miles per hour, with professional bike riders 
maintaining speeds above 25 miles per hour for several hours. 
This is comparable to most electric bicycles, which can only 
average approximately 12 miles per hour without pedaling for 90 
minutes, with top speeds of 16-18 miles per hour for an average 
sized adult. In contrast, even most small sized gasoline-
powered mopeds can sustain a speed of 30 miles per hour or more 
for several hours without refueling.
    Typical users of low-speed electric bicycles include older 
and disabled riders who do not have the physical strength to 
ride up hills without motorized assistance, law enforcement 
agencies who use electric powered bicycles to increase their 
patrol range, and commuters who cannot afford automobile 
transportation or who work in traffic congested areas. 
According to a 1995 Nationwide Personal Transportation Survey, 
the average length for a bicycling trip is just under 2 miles, 
with an average speed of just under 13 miles per hour. Using 
electric power for starting and climbing inclines can greatly 
increase this range. According to the League of American 
Bicyclists, a California Air Resources Board study found that 
when a volunteer group was provided with electric bicycles and 
trained in their use, the volunteers used the bicycles for over 
20% of all trips over a period of many months.
    Low-speed electric bicycles are currently regulated by the 
Department of Transportation by the National Highway Traffic 
Safety Administration (NHTSA). Section 30111 of title 49, U.S. 
Code, requires the Secretary of Transportation to prescribe 
motor vehicle safety standards. The term ``motor vehicle'' is 
defined by section 30102(6) as ``a vehicle driven or drawn by 
mechanical power and manufactured primarily for use on public 
streets, roads, and highways * * *.'' NHTSA testified in a May 
Subcommittee hearing that this definition of motor vehicle 
includes low-speed electric bicycles which can be operated 
independently of pedaling. Thus, NHTSA believes that it is 
required by statute to impose its full motor vehicle safety 
standards on low-speed electric bikes, even if they are used in 
the same manner as human-powered bicycles.
    If NHTSA were to strictly enforce its regulations for 
electric bicycles, the bikes would be required to have a number 
of safety features, such as brake lights, turn signals, 
automotive grade headlights, rear view mirrors, and license 
plates, that are prohibitively costly, unwieldy, or consume too 
much power for a low-speed electric bicycle. The League of 
American Bicyclists testified that the application of motor 
vehicle regulations to power-assisted bicycles would increase 
the retail price of these bicycles by at least $200-$300 and 
make them less manageable and more unwieldy for consumers.
    NHTSA testified in May that they believe Congress should 
amend the Consumer Product Safety Act to provide that low-speed 
motorized bicycles are consumer products subject to the 
jurisdiction of the CPSC. Since low-speed electric bicycles are 
designed not to exceed the maximum speed of a human-powered 
bicycle, and they are typically used in the same manner as 
human-powered bicycles, electric bicycles should be regulated 
in the same manner and under the same agency (the CPSC) as 
human-powered bicycles.

                                Hearings

    The Subcommittee on Telecommunications, Trade, and Consumer 
Protection held a legislative hearing on H.R. 2592 on May 16, 
2000. The Subcommittee received testimony from: The Honorable 
Ann Brown, Chairman, Consumer Product Safety Commission; The 
Honorable Mary Sheila Gall, Commissioner, Consumer Product 
Safety Commission; The Honorable Thomas H. Moore, Commissioner, 
Consumer Product Safety Commission; Ms. Rosalyn G. Millman, 
Deputy Administrator, National Highway Traffic Safety 
Administration; and Dr. Malcolm Currie, President & C.E.O., 
Currie Technologies.

                        Committee Consideration

    On September 14, 2000, the Subcommittee on 
Telecommunications, Trade, and Consumer Protection was 
discharged from the further consideration of H.R. 2592. The 
Full Committee met in open markup session on September 14, 
2000, and ordered H.R. 2592 reported to the House, with an 
amendment, by a voice vote, a quorum being present.

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires the Committee to list the record votes 
on the motion to report legislation and amendments thereto. 
There were no record votes taken in connection with ordering 
H.R. 2592 reported. A motion by Mr. Bliley to order H.R. 2592 
reported to the House, with an amendment, was agreed to by a 
voice vote.
    The following amendment was agreed to by a voice vote:

    An amendment by Mr. Rogan providing that low-speed electric 
bicycles are not considered motor vehicles for purposes of 
motor vehicle safety standards issued and enforced pursuant to 
chapter 301 of title 49, United States Code.

                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee held a legislative 
hearing and made findings that are reflected in this report.

           Committee on Government Reform Oversight Findings

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, no oversight findings have been 
submitted to the Committee by the Committee on Government 
Reform.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    In compliance with clause 3(c)(2) of rule XIII of the Rules 
of the House of Representatives, the Committee finds that H.R. 
2592, a bill to amend the Consumer Products Safety Act to 
provide that low-speed electric bicycles are consumer products 
subject to such Act, would result in no new or increased budget 
authority, entitlement authority, or tax expenditures or 
revenues.

                        Committee Cost Estimate

    The Committee adopts as its own the cost estimate prepared 
by the Director of the Congressional Budget Office pursuant to 
section 402 of the Congressional Budget Act of 1974.

                  Congressional Budget Office Estimate

    Pursuant to clause 3(c)(3) of rule XIII of the Rules of the 
House of Representatives, the following is the cost estimate 
provided by the Congressional Budget Office pursuant to section 
402 of the Congressional Budget Act of 1974:

                                     U.S. Congress,
                               Congressional Budget Office,
                                   Washington, DC, October 5, 2000.
Hon. Tom Bliley,
Chairman, Committee on Commerce,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 2592, a bill to 
amend the Consumer Products Safety Act to provide that low-
speed electric bicycles are consumer products subject to such 
act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Charles 
Betley (for federal costs), and Shelley Finlayson (for the 
state and local impact).
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

H.R. 2592--A bill to amend the Consumer Products Safety Act to provide 
        that low-speed electric bicycles are consumer products subject 
        to such act

    Summary: This bill would assign to the Consumer Product 
Safety Commission (CPSC) jurisdiction for regulating the safety 
of low-power electric bicycles. Low-power electric bicycles are 
defined by the bill as bicycles or tricycles with an electric 
motor of less than one horsepower or 750 watts and a maximum 
speed of 20 mph on a level surface. The bill also would preempt 
state laws affecting such vehicles that are more stringent than 
the Consumer Products Safety Act, since some states have 
classified low-speed electric bicycles under their motor 
vehicle laws. The bill would not affect direct spending or 
receipts; therefore, pay-as-you-go procedures would not apply. 
CBO estimates that implementing and enforcing new regulations 
under the bill would cost less than $500,000 per year, subject 
to the availability of appropriated funds.
    H.R. 2592 contains an intergovernmental mandate as defined 
in the Unfunded Mandates Reform Act (UMRA) because it would 
preempt any state law or regulation that has more stringent 
requirements for the regulation of low-speed electric bicycles 
than those required under the bill. Although data are limited, 
CBO estimates that complying with these mandates would not 
exceed the threshold established by the act ($55 million in 
2000, adjusted annually for inflation). The bill would not 
impose any private-sector mandates as defined in UMRA.
    Estimated cost to the Federal Government: Currently, the 
National Highway Traffic Safety Administration (NHTSA) 
regulates ``motor-driven cycles,'' which are defined as 
motorcycles and mopeds with less than five horsepower. By 
assigning jurisdiction of low-power electric bicycles to the 
CPSC, NHTSA may expend fewer resources on regulating a 
relatively low-risk transportation vehicle, but would still be 
responsible for enforcing safety regulations for motor-driven 
cycles that have gasoline engines, that are capable of speeds 
greater than 20 mph, or that have more than one horsepower. 
Additional costs to the federal government would occur should 
the CPSC decide that, to assure consumer safety, low-power 
electric bicycles require new regulations. CBO estimates that 
discretionary costs for implementing potential new safety 
regulations would be less than $500,000 per year. The costs of 
this legislation fall within budget function 550 (health).
    Pay-as-you-go considerations: None.
    Estimated impact on State, Local, and Tribal Governments: 
H.R. 2592 contains an intergovernmental mandate as defined in 
UMRA. The bill would expressly preempt state laws and 
regulations governing low-speed electric bicycles that contain 
more stringent requirements than those established by the 
Consumer Product Safety Commission. Because states vary 
significantly in their regulation of consumer products and 
information about the operation of such programs is limited, 
CBO cannot determine with certainty the effect of this bill on 
state budgets. However, because the state statutes we reviewed 
largely regulate the use of low-speed electric bicycles in 
traffic, not the standards by which they are produced, CBO 
estimates that any costs to states, primarily lost revenue from 
fines, would likely to minimal and would not exceed the 
threshold established by UMRA ($55 million in 2000, adjusted 
annually for inflation).
    Estimated impact on the private sector: The bill would 
authorize the CPSC to expand the existing regulations for 
bicycles to include new regulations for low-speed electric 
bicycles. Industry experts stated that, should the CPSC decide 
to regulate low-speed bicycles in the same category as 
bicycles, those requirements would be less burdensome for 
manufacturers than existing requirements under NHTSA. Thus, CBO 
expects that the bill would impose no new private-sector 
mandates.
    Estimate prepared by: Federal Costs: Charles Betley; Impact 
on State, Local, and Tribal Governments: Shelley Finlayson; and 
Impact on the Private Sector: Jean Wooster.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                   Constitutional Authority Statement

    Pursuant to clause 3(d)(1) of rule XIII of the Rules of the 
House of Representatives, the Committee finds that the 
Constitutional authority for this legislation is provided in 
Article I, section 8, clause 3, which grants Congress the power 
to regulate commerce with foreign nations, among the several 
States, and with the Indian tribes.

                  Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act.

             Section-by-Section Analysis of the Legislation

Section 1. Consumer Product Safety Act

    This section classifies low-speed electric bicycles as 
consumer products within the meaning of the Consumer Products 
Safety Act, making them subject to regulation and oversight by 
the Consumer Product Safety Commission. Low-speed electric 
bicycles are defined as two- or three-wheeled vehicles with 
fully operable pedals and an electric motor of less than 750 
watts (1 h.p.), whose maximum speed on a paved level surface, 
when powered solely by such a motor while ridden by an operator 
who weighs 170 pounds, is less than 20 mph. This definition 
derives from the Department of Transportation's definition of 
electric bicycles used in the Bicycle Transportation and 
Pedestrian Walkways provisions of section 217(j) of title 23 of 
the U.S. Code, which provides that the term ``electric 
bicycle'' means any bicycle or tricycle with a low-powered 
electric motor weighing under 100 pounds, with a top motor-
powered speed not in excess of 20 miles per hour. Any State 
laws or requirements governing low-speed electric bicycles that 
are more stringent than those of the Commission are superseded.

Section 2. Motor vehicle safety standards

    This section clarifies that in transferring jurisdiction 
over low-speed electric bicycles to the Consumer Product Safety 
Commission, those bicycles will no longer be regulated as motor 
vehicles and subject to the jurisdiction of the Department of 
Transportation and the National Highway Traffic Safety 
Administration.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

             SECTION 38 OF THE CONSUMER PRODUCT SAFETY ACT

                      low-speed electric bicycles

  Sec. 38. (a) Notwithstanding any other provision of law, low-
speed electric bicycles are consumer products within the 
meaning of section 3(a)(1) and shall be subject to the 
Commission regulations published at section 1500.18(a)(12) and 
part 1512 of 16 CFR.
  (b) For the purpose of this section, the term ``low-speed 
electric bicycle'' means a two- or three-wheeled vehicle with 
fully operable pedals and an electric motor of less than 750 
watts (1 h.p.), whose maximum speed on a paved level surface, 
when powered solely by such a motor while ridden by an operator 
who weighs 170 pounds, is less than 20 mph.
  (c) To further protect the safety of consumers who ride low-
speed electric bicycles, the Commission may promulgate new or 
amended requirements applicable to such vehicles as necessary 
and appropriate.
  (d) This section shall supersede any State law or requirement 
with respect to low-speed electric bicycles to the extent that 
such State law or requirement is more stringent than the 
Federal law or requirements referred to in subsection (a).

                                  
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