69–006

106TH CONGRESS REPT. 106–121 " ! HOUSE OF REPRESENTATIVES 1st Session Part 1

FASTENER QUALITY ACT AMENDMENTS ACT OF 1999

APRIL 29, 1999.—Committed to the Committee of the Whole House on the State of

the Union and ordered to be printed

Mr. SENSENBRENNER, from the Committee on Science,

submitted the following

REPORT

[To accompany H.R. 1183]

[Including cost estimate of the Congressional Budget Office]

The Committee on Science, to whom was referred the bill (H.R.

1183) 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, having considered the same, report favorably thereon

with an amendment and recommend that the bill as amended do

pass.

CONTENTS

Page

I. Purpose of the Bill ...................................................................................... 6

II. Background and Need for the Legislation ................................................ 6

III. Summary of Hearings ................................................................................. 6

IV. Committee Actions ...................................................................................... 8

V. Summary of Major Provisions of the Bill .................................................. 8

VI. Section-By-Section Analysis (By Title and Section) ................................. 9

VII. Committee Views ........................................................................................ 19

VIII. Cost Estimate .............................................................................................. 19

IX. Congressional Budget Office Cost Estimate ............................................. 20

X. Compliance with Public Law 104–4 (Unfunded Mandates) .................... 21

XI. Committee Oversight Findings and Recommendations ........................... 21

XII. Oversight Findings and Recommendations by the Committee on Government Reform and Oversight .............................................................. 21

XIII. Constitutional Authority Statement .......................................................... 21

XIV. Federal Advisory Committee Statement ................................................... 21

XV. Congressional Accountability Act .............................................................. 21

XVI. Changes in Existing Law Made by the Bill, As Reported ....................... 21

XVII. Committee Recommendations .................................................................... 35

XVIII. Exchange of Committee Correspondence .................................................. 36

XIX. Proceedings of Full Committee Markup .................................................... 37
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The amendment is as follows:

Strike out all after the enacting clause and insert in lieu thereof

the following:

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 entities or individuals (an original

equipment manufacturer and its dealers shall be considered affiliated entities

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 loadindicating 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
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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

‘‘(iii) that—

‘‘(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 loadindicating 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) ‘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;

‘‘(10) ‘manufacturer’ means a person who fabricates fasteners for sale in commerce;

‘‘(11) ‘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—
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‘‘(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;

‘‘(12) ‘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;

‘‘(C) the lot number;

‘‘(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; and

‘‘(G) the coating material and characteristics and the applicable consensus standard or specifications for such coating;

‘‘(13) ‘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;

‘‘(14) ‘Secretary’ means the Secretary of Commerce;

‘‘(15) ‘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

‘‘(16) ‘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.

Sections 5 through 7 of the Fastener Quality Act (15 U.S.C. 5404–7) 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 a sale or offer for sale of a fastener, 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.’’.

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, a fastener that

is required by the applicable consensus standard or standards to bear an insignia

identifying its manufacturer shall not be offered for sale or sold in commerce

unless—

‘‘(1) the fastener bears such insignia; and

‘‘(2) the manufacturer has complied with the insignia recordation requirements established under subsection (b).’’; and
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(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)(3), by striking ‘‘of this section’’ and inserting ‘‘of this subsection’’;

(2) in subsection (b)(4), by inserting ‘‘arbitrate,’’ after ‘‘Secretary may’’;

(3) by striking paragraph (3) of subsection (c); and

(4) in subsection (d)—

(A) by inserting ‘‘(1)’’ after ‘‘ENFORCEMENT.—’’; and

(B) by adding at the end the following new paragraph:

‘‘(2) The Secretary, acting through the Director, shall establish and maintain a

hotline system to facilitate the reporting of alleged violations of this Act, and the

Secretary shall investigate credible allegations reported through that system.’’.

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 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 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 14) are repealed, and the following new section is inserted 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, insert the following new section:
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‘‘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 the Fastener Quality Act Amendments of 1999, 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. EFFECTIVE DATE.

Section 4(d) of the Fastener Quality Act, as added by section 4 of this Act, shall

take effect 2 years after the date of enactment of this Act.

I. PURPOSE OF THE BILL

The purpose of the bill is to amend the Fastener Quality Act of

1990 (FQA) to strengthen the protection against the sale of

mismarked, misrepresented, and counterfeit fasteners and eliminate unnecessary requirements, and for other purposes.

II. BACKGROUND AND NEED FOR THE LEGISLATION

Passed by Congress in 1990, the FQA requires all threaded, metallic, through-hardened fasteners of one-quarter inch diameter or

greater, that directly or indirectly reference a consensus standard,

to be tested by a National Institute of Standards and Technology

(NIST) certified laboratory. Despite its enactment in 1990, no implementing regulations for the Act had been finalized until April

14, 1998. The final rule was developed only after legislative

changes amended the Act in 1996.

In 1990, Congress was convinced that foreign manufacturers

were actively engaged in unfair trade practices that resulted in the

dumping of ‘‘substandard’’ fasteners in the United States market.

Most of the problems were associated with the federal procurement

of fasteners at the Defense Industrial Supply Center (DISC) and

National Aeronautics and Space Administration (NASA). It was

concluded that substandard fasteners ‘‘largely’’ originated from foreign companies in Japan, Mexico, Spain, Korea, Taiwan, and Poland, and were the result of attempts to undercut legitimate U.S.

fastener manufactures with products that were manufactured specifically to a lesser standard rather than the result of poor manufacturing processes.

During the 105th Congress, the Science Committee worked in a

bipartisan manner to craft legislation that was enacted into law as

P.L. 105–234. The legislation delays implementation of regulations

under FQA until June 1, 1999 or 120 days after the Secretary of

Commerce issued a report on changes needed to the law, whichever

is later. Two regulations are scheduled to be implemented on June

24, 1999.

III. SUMMARY OF HEARINGS

On February 25, 1999, the Subcommittee on Technology held a

hearing entitled ‘‘Unscrewing the Fastener Quality Act’’ to review

the need for the FQA. Witnesses included: George Parker, Vice

President Association of International Automobile Manufactures,

Inc. Arlington, VA, Ed McIlhon, President Iowa Industrial Products, Inc., Cedar Falls, IA, and Mr. John M. O’Brien, Vice President Federal Screw Works FQA Reform Coalition, Detroit, MI.
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John O’Brien, Vice President Federal Screw Works testified to

the need to develop a new FQA that would ensure the continued

safety of fasteners used for commerce, but would not impose unnecessary and costly burdens on fastener manufacturers or their customers. Mr. O’Brien stated that the FQA as it stands now is flawed

because it forces reliance on testing procedures and protocols that

have been eclipsed by new technology and improved practices. Mr.

O’Brien stated that dramatic advances in manufacturing technology and the implementation of quality assurance systems have

resulted in a reduction in the defect rates in the fastener industry

from the 60,000ppm allowable under the historic consensus standards, to 300ppm or less today. Furthermore, he stated that purchasers of fasteners today have taken on the responsibility of ensuring the quality of products they buy at the beginning of the

transaction—before the fastener reaches the assembly line. Mr.

O’Brien suggested that the thrust of the FQA should be to prevent

the intentional sale or offering for sale of mismarked, substandard

or counterfeit fasteners—not to regulate manufacturing and testing

procedures. Mr. O’Brien agreed with the proposed requirement that

manufacturers register a copyrighted insignia they imprint of fasteners.

Edward J. McIlhon, President Iowa Industrial Products Corporation testified that there is no longer a basis or need for the FQA.

Mr. McIlhon sited the Edgerly Report entitled ‘‘Is there Still A

Basis For The Fastener Quality Act?’’ that concluded that the

major problems identified in the 1988 Congressional investigation

and report have been resolved, and that there is no longer a basis

for the finding that the health and safety of Americans is threatened by the widespread sale of mismarked, substandard and counterfeit fasteners. Mr. McIlhon feels that the current solution offered

by NIST is still unworkable because it is too encumbered by the

original language of the FQA would require redundant and unnecessary testing. Furthermore, he stated that the current Act does

not permit retesting and recertification of fasteners produced before

its date of implementation, and that this could result in a $1 billion

loss to the industry. Mr. McIlhon testified that the current Act’s requirements regarding laboratories are unworkdable, and that because a sufficient number of laboratories have not been available

to conduct the required testing, the implementation of regulations

has been delayed three times. He also mentioned that the current

Act is an impediment to trade with our partners in Europe. Mr.

McIlhon concluded by stating that certain portions of the Act

should be preserved, including; the recording manufacturers’ fastener insignias by the Patent and Trademark Office (PTO) to assure the trace-ability of fasteners after they are placed into service;

the use of accredited laboratories to assure the quality of laboratories involved in testing fasteners under appropriate consensus

and government standards and specifications; the use of grade

identification markings on fasteners as a means of helping original

equipment manufacturers assure that only properly manufactured

and graded fasteners will be used in safety critical applications.

George Parker, Association of International Automobile Manufacturers, Inc. testified that the current FQA would not provide higher

levels of fastener quality, would be a step backward and impose
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costs without benefits. He also stated that although there is not

substantial evidence that there are any fastener quality problems,

the auto industry believes that any potential fastener quality problems that produce safety risks would derive from mismarked, substandard, and counterfeit fasteners. Mr. Parker stated that most

major end users have systems in place to insure that only the highest quality fasteners are used in their products. Mr. Parker concluded by stating that if the Congress believe that a law was needed on general fastener quality, the auto industry recommends that

such a law be directed at deterring the introduction of non-conforming fasteners into commerce and to generally provide commercial and government customers with greater assurance that fasteners meet stated specifications. Finally, Mr. Parker stated that such

a law should recognize the actions major end users take to insure

that only high quality fasteners are used in their products, and

should also recognize the Quality Assurance Systems in place to

produce high quality fasteners.

IV. COMMITTEE ACTIONS

On March 25, 1998, the full committee marked up the legislation

(H.R. 1183) which was introduced by Chairman Sensenbrenner.

The legislation was adopted, as amended (by voice vote) and ordered reported to the full House for consideration (by voice vote).

Amendments to the legislation were offered in the following order:

1. Manager’s En Bloc Amendment offered by Mrs. Morella and

Mr. Barcia to, among other things, make the following changes:

• In the case of fasteners manufactured solely to consensus

standards, the amendment ensures that if end-of-line testing is

required, then the tests shall be conducted by an accredited

laboratory.

• Defines an ‘‘accredited laboratory’’ to be a fastener testing

facility that meets certain guidelines established by the International Organization for Standardization (ISO/IEC) in their

Guide 25 or another document approved by NIST. In addition,

the lab must be accredited by an accreditation body that meets

ISO/IEC Guide 58 or another document approved by NIST. In

order to give manufacturers time to prepare for this requirement, it does not take effect until 2 years after enactment.

• Clarifies that all fasteners manufactured to consensus

standards must bear a trademark that is registered with the

Department of Commerce, unless the specifications indicate

otherwise. In some instances, fastener end-users do not want

any markings on their fasteners because of specific manufacturing processes.

• Eases access to documents contained in the records of conformance by fastener purchasers.

V. SUMMARY OF MAJOR PROVISIONS OF THE BILL

H.R. 1183 modifies the Fastener Quality Act of 1990 (FQA) to

recognize new quality practices in the fastener industry, focuses on

assuring public safety, and imposes the least possible additional

burdens on an already regulated industry. To that end, H.R. 1183

fights fraud by clarifying that anyone intentionally misrepresenting
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the strength or other characteristics of a fastener is subject to the

criminal penalties and civil remedies of the Act; ensures accountability by requiring that virtually all fasteners sold in commerce to

be marked with the registered trademark of their manufacturer;

reduces the burdensome paperwork requirements of the Act by allowing documents to be stored and transmitted in electronic format; and, recognizes industry’s growing utilization of improved

quality assurance and management systems by allowing fasteners

manufactured in accordance with certain quality assurance systems to be deemed in compliance with the requirements of the Act.

VI. SECTION-BY-SECTION ANALYSIS (BY TITLE AND SECTION)

SECTION 1. SHORT TITLE

This section cites the Act as ‘‘The Fastener Quality Act Amendments Act of 1999’’.

SECTION 2. FINDINGS AND PURPOSE

This section amends the findings of the Fastener Quality Act (15

U.S.C. 5401) by stating that—the United States fastener industry

is a significant contributor to the global economy, employing thousands of workers in hundreds of communities; the American economy uses billions of fasteners each year; 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; a small number of mismarked, misrepresented, and counterfeit fasteners do enter commerce in the United

States market, and 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.

SECTION 3. DEFINITIONS

As used in this Act, this section defines the following terms—

(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 manufactured, and which—

(A) meets certain guidelines established by the International Organization for Standardization (ISO/IEC) in

their Guide 25 or another document approved by NIST,

and

(B) has been accredited by an accrediation body that

meets ISO/IEC Guide 58 or another document approved by

NIST.

(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
10

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 entities or individuals (an original equipment manufacturer and its

dealers shall be considered affiliated entities 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 consensus standard that requires grade

identification marking. The term ‘‘fastener’’ 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
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(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

(iii) that—

(I) is subject to certification in accordance with

the requirements of ISO/IEC Guide 62, including

revisions from time to time 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; 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) ‘‘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;

(10) ‘‘manufacturer’’ means a person who fabricates fasteners

for sale in commerce;

(11) ‘‘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
12

(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;

(12) ‘‘record of conformance’’ means a record or records designated 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;

(C) the lot number;

(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; and

(G) the coating material and characteristics and the applicable consensus standard or specifications for such coating;

(13) ‘‘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;

(14) ‘‘Secretary’’ means the Secretary of Commerce;

(15) ‘‘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

(16) ‘‘through-harden’’ means heating above the transformation temperature followed by quenching and tempering

for the purpose of achieving uniform hardness.

Committee views

The Committee intends the definition of the term ‘‘distributor’’ to

mean a person who purchases fasteners for the purpose of reselling

them at wholesale to unaffiliated entities or individuals. To be a

distributor, a person must be involved in the business of trading

in fasteners. The definition makes clear that transactions between

affiliated entities (such as between an original equipment manufacturer [OEM] and its dealers) do not make the OEM a distributor.

The Committee makes this distinction in this bill in order to avoid

the unintended effect of creating a principal-agent or related-company relationship between motor vehicle and other product manufacturers and their dealers. The ‘‘distributor’’ definition makes it

clear that use of the concept of ‘‘affiliation’’ to describe the relationship between manufacturers and their dealers is solely for purposes

of this Act, and is not intended to apply elsewhere.

The Committee intends that the term ‘‘fastener,’’ and therefore

the requirements of the bill, apply only to fasteners themselves and

not to components or products which may contain fasteners. In

other words, once a fastener has been incorporated into a product,

it is no longer a fastener for the purposes of this legislation. The
13

Committee also intends that this provision should be interpreted in

a manner consistent with an interpretation announced by NIST in

a December 10, 1996, memorandum to the Fastener Advisory Committee. In that memorandum, NIST stated that fasteners that are

part of a ‘‘kit containing a disassembled component would not be

subject to the law and regulations.’’

The ‘‘fastener’’ definition also excludes items that are sold in

packages containing no more than 100 of any one screw, nut, bolt,

stud, or washer. This provision applies primarily to spare parts for

older equipment, installation kits for large assemblies, and overhaul kits. Fasteners produced in such small lots could become prohibitively expensive if they were subject to the Act, since compliance costs would be distributed over a much smaller number of fasteners than in the case of typical fastener lots used in new manufacturing. The Committee is concerned that the result of such cost

increases would be the probable elimination of the fasteners from

these kits and the individual sale of the fasteners as separate

parts. If that should occur, customers would probably either forgo

fastener replacement (during assembly rebuild) or locally source

lower cost, non-specification ‘‘hardware store’’ fasteners. This action

would result in the increased possibility of fastener related failures

in these assemblies. The cost premium for packaging small lots of

100 or less would discourage any efforts to circumvent the law

through repackaging of fasteners.

Section 3 exempts from the bill’s coverage those fasteners that

are produced under circumstances that inherently provide adequate assurances of quality. One category of exempted fasteners is

those screws, nuts, bolts, studs, and washers that are produced to

proprietary standards. The definition of ‘‘proprietary standards’’ is

intended to include fastener standards that are developed by private companies that use fasteners in the manufacture, assembly, or

service of their products and that develop fastener standards under

the company’s name.

Manufacturers that develop their own proprietary fastener

standards typically do so as part of ‘‘closed loop’’ procurement systems. Under these systems, manufacturers establish fastener design criteria that are appropriate for the products they manufacture, designate qualified suppliers, and require that suppliers meet

high levels of quality assurance. As the Commerce Department

noted in its February 24 report, such manufacturers ‘‘have very

stringent requirements for their suppliers and adequate controls to

ensure consistent quality and fasteners that meet all the requirements of applicable standards and specifications.’’ The Committee

concurs in the Department’s recommendation that fasteners produced to proprietary standards should be exempt from the law.

The excluded category of fasteners produced to proprietary standards expressly encompasses fasteners produced to private standards that reference, to varying degrees, consensus or government

standards. This provision is included to reverse an interpretation

of the current law by the Commerce Department that would have

treated as ‘‘consensus standards’’ those proprietary standards that

reference (directly or indirectly) any consensus standard. References to consensus standards that are contained within proprietary standards do not bring proprietary fasteners into the stream
14

of commerce for generic fasteners. As the Commerce Department’s

report correctly states, ‘‘fasteners manufactured to specifications

that merely reference consensus or government standards are

made for major end users who are able to ensure they receive precisely the part they seek.’’ Accordingly, no coverage under the

amended Act is needed or intended.

Another category of fasteners that are produced under circumstances that provide adequate assurance of quality is fasteners

produced in accordance with a quality assurance system. Since the

FQA was enacted in 1990, fastener quality assurance procedures

have improved substantially over the lot sampling procedure on

which the current Act was based. Strong evidence has been presented to the Committee that these modern fastener quality assurance systems (QASs) are both considerably more reliable and less

costly than older end-of-production-line sampling and testing techniques. As NIST stated in its April 14, 1998, rule: ‘‘A lower defect

rate means that fewer fasteners are manufactured that fail to comply with relevant standards and specifications, and thus that fewer

defective fasteners will enter into commerce. Public safety is preserved and enhanced * * * ’’

The administrative record for this rulemaking contains strong

evidence that QAS/Statistical Process Control (SPC) systems utilizing continuous monitoring and control in the manufacturing process yields (sic) a substantially lower defect rate than do traditional

manufacturing techniques that rely solely upon end-of-line testing.

SPC is a manufacturing process control monitoring technique used

to reduce variation in the manufacturing process and thereby increase uniformity of the manufactured product. Testimony at the

Public Workshop of February 7, 1997, indicates that the use of

QAS/SPC may reduce the defect rate from the range of thousands

or tens of thousands of parts-per-million experienced by traditional

manufacturing techniques to approximately 100 parts-per-million.

The Committee is concerned that the restrictive language in the

current law may impede the movement of companies toward the

implementation of these advanced quality systems. Therefore, this

bill provides an incentive for fastener manufacturers to adopt quality assurance systems, by relieving fasteners produced in accordance with a QAS from meeting any further requirements.

The bill treats three types of advanced quality systems as QASs.

The first category is those meeting the requirements of ISO Standard 9000, the fundamental international quality system standard.

The second category of qualifying systems includes systems developed by specific industry sectors based on ISO–9000, such as QS–

9000, VDA 6.1, and AS–9000 (quality assurance systems based on

the basic principles of ISO9000, but specifically tailored and refined

for use by a particular industry). These systems are end-user driven, as contrasted with ISO9000, which is manufacturer-driven. The

third category includes systems that meet specified performance

criteria, including the incorporation of advanced quality planning,

monitoring and control of manufacturing processes, use of a written

control plan, record retention, and either ‘‘second-party’’ or ‘‘thirdparty’’ verification. Second-party verification involves evaluation

and assessment of the fasteners manufacturer’s quality procedures
15

by the end user, the party with the strongest incentive to insist on

high quality levels. Third-party certification of a fastener manufacturer’s quality system involves oversight by accredited, independent inspectors. The third-party certification process must meet either (i) the internationally recognized requirements of ISO Guides

61 and 62 or (ii) equivalent requirements, as determined by NIST

through a petitioning process. NIST must approve alternative certification/accreditation requirements that are equally rigorous and

reliable as compared to ISO Guides 61 and 62. Systems that meet

ISO–9000, industry-specific derivatives of that standard, or other

systems that meet the specified performance criteria of the bill are

automatically deemed to be qualifying QASs. The Department’s

role is to determine the equivalence of certain third-party certification processes to the ISO Guide 61/62 process in a timely manner.

SECTION 4. SALE OF FASTENERS

This section establishes that it shall be unlawful for a manufacturer or distributor, in conjunction with a sale or offer for sale of

a fastener, 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.

Subsection (b) establishes that 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 conforms to all the requirements of the consensus standard.

Subsection (c) establishes that 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.

Subsection (d) establishes that in the case of fasteners manufactured solely to consensus standards, if end-of-line testing is required by the consensus standard or standards, then the tests shall

be conducted by an accredited laboratory.

Committee view

The Committee recognizes that many of the original problems

that led to the passage of the FQA in 1990 were attributed to

mismarked or fraudulent fasteners. Section 4 fights fastener fraud

by clarifying that it is unlawful for any manufacturer or distributor

to intentionally misrepresent or falsify the required fastener documentation requirements. Manufacturers of fasteners bear the responsibility to provide proof that the chemical and physical properties of their product are what they are represented to be. Those

who intentionally commit fraud during the sale of fasteners may be

subject to both the criminal penalties and civil remedies detailed

in Section 6 of this bill.

This bill amends the FQA to clarify that all fasteners, whether

foreign or domestic in origin, must be treated the same for pur-
16

poses of complying with the Act. The Committee intends that the

provisions of this bill be implemented in the least trade restrictive

manner as possible.

This section requires the use of accredited laboratories only for

end-of-line testing that is specified in a consensus standard for the

purpose of verifying that a lot of fasteners conforms with the applicable grade identification marking in the standard. In this context,

‘‘end-of-line’’ testing refers to tests conducted on finished fasteners,

as opposed to process controls that check an ongoing production

process.

SECTION 5. MANUFACTURERS’ INSIGNIAS

This section redesignates Section 8 of the Fastener Quality Act

(15 U.S.C. 5407) as section 5.

Subsection (a) establishes the following new general rule—‘‘Unless the specifications provide otherwise, a fastener that is required

by the applicable consensus standard or standards to bear an insignia identifying its manufacturer shall not be offered for sale or sold

in commerce unless—(1) the fastener bears such insignia; and (2)

the manufacturer has complied with the insignia recordation requirements established under subsection (b)’’.

Committee view

The Committee believes that Section 5 ensures manufacturer accountability by requiring most fasteners sold in commerce include

the registered trademark of their manufacturer.

SECTION 6. REMEDIES AND PENALTIES

This section redesignates Section 9 of the Fastener Quality Act

(15 U.S.C. 5408) as section 6.

Subsection (b)(3) is amended to clarify the reference to this subsection.

Subsection (b)(4) is amended to allow the Secretary to arbitrate

civil penalties imposed under this section prior to referral to the

Attorney General.

Paragraph (3) of subsection (c)—which allowed criminal penalties

of up to 2 years in prison for individuals who negligently failed to

maintain the fastener records required by the Act—is stricken.

A new paragraph (2) is added to Subsection (d) as follows:

‘‘(2) The Secretary, acting through the Director, shall establish

and maintain a hotline system to facilitate the reporting of alleged

violations of this Act, and the Secretary shall investigate credible

allegations reported through that system.’’.

Committee view

The Committee recognizes that the fastener industry continues

to do a satisfactory job of monitoring their own manufacturers and

distributors. To assist in this effort, Section 6 directs the Department to establish and maintain a hotline system to facilitate the

reporting of alleged violations of this Act.
17

SECTION 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 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 of the fastener shall make available information in the record of conformance to the requester.’’

Committee view

To ensure accountability, Section 7 requires manufacturers to retain a record of conformance for fasteners for 5 years. The Committee intends for commercial end-users of purchased fasteners to

have access to the documents upon reasonable demand. Finally, the

Committee intends to reduce the burdensome paperwork requirements of the FQA by allowing documents to be stored and transmitted in electronic format.

SECTION 8. RELATIONSHIP TO STATE LAWS

Section 11 of the Fastener Quality Act (15 U.S.C. 5410) is redesignated as section 8.

SECTION 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.’’

SECTION 10. CERTIFICATION AND ACCREDITATION

Sections 13 and 15 of the Fastener Quality Act (15 U.S.C. 5412

and 14) are repealed, and the following new section is inserted at

the end of that Act:

‘‘(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(6)(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(6)(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
18

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 ACCREDITION 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.’’.

Committee view

As discussed in Section 3, systems that meet ISO–9000, industryspecific derivatives of that standard, or other systems that meet

the specified performance criteria of the bill are automatically

deemed to be qualifying QASs. The Committee believes the Department’s role is to determine the equivalence of certain third-party

certification processes to the ISO Guide 61/62 process in a timely

manner.

The Committee recognizes that quality management systems are

dynamic, as are the recognized means of evaluating them. According, Section 10 is intended to give the Director the ability to expand the universe of quality management systems and the means

of evaluating those systems. At the same time, Section 10 requires

that such new systems or evaluation methods be recognized as providing the same or greater rigor and reliability as those referenced

in the bill.

SECTION 11. APPLICABILITY

At the end of the Fastener Quality Act, insert the following new

section:

‘‘The requirements of this Act shall be applicable only to fasteners fabricated 180 days or more after the date of the enactment of

the Fastener Quality Act Amendments of 1999, except that if a

manufacturer or distributor of fasteners fabricated before that date

designates a record of conformance for such fasteners, representations about such fasteners shall be subject to the requirements of

this Act.’’.

Committee view

Recognizing that manufacturers and distributors of fasteners

may have fasteners in stock that were fabricated before enactment

of this legislation, Section 11 allows those fasteners to be represented as in compliance with the FQA if the manufacturer or distributor designates a record of conformance for such fasteners. The

representations about such fasteners shall be subject to the requirements and penalties of this Act.

SECTION 12. EFFECTIVE DATE

Section 4(d) of the Fastener Quality Act, as added by section 4

of this Act, shall take effect 2 years after the date of enactment of

this Act.
19

Committee view

Section 12 states that the requirement for the use of accredited

labs takes effect 2 years after the enactment date of this Act. This

is necessary and appropriate for several reasons. First, although a

number of labs have been accredited by NIST, the committee is not

convinced that a sufficient number of labs are available to do all

required tests within a reasonable time. The 2-year time period allows manufacturers adequate time to locate an accredited lab or to

accredit their own in-house facility if desired.

Second, the committee is concerned that existing business relationships could be disrupted unintentionally without the 2-year

delay. If a manufacturer is currently using a lab that is not accredited, but is providing good results, the committee does not envision

that the manufacturer would be forced to choose another lab immediately. The 2-year delay allows time for the lab to become accredited, if it so chooses, without an interruption in the business relationship.

Finally, the committee wishes to encourage manufacturers to improve their manufacturing quality procedures. Accordingly, if manufacturers currently have internal labs, the 2-year delay gives adequate time to meet the new requirements.

VII. COMMITTEE VIEWS

[Committee Views are included in Section by Section]

VIII. COST ESTIMATE

Rule XIII, clause 3(d)(2) of the House of Representatives requires

each committee report accompanying each bill or joint resolution of

a public character to contain: (1) an estimate, made by such committee, of the costs which would be incurred in carrying out such

bill or joint resolution in the fiscal year in which it is reported and

in each of the five fiscal years following such fiscal year (or for the

authorized duration of any program authorized by such bill or joint

resolution, if less than five years); (2) a comparison of the estimate

of costs described in subparagraph (1) of this paragraph made by

such committee with an estimate of such costs made by any Government agency and submitted to such committee; and (3) when

practicable a comparison of the total estimated funding level for

the relevant program (or programs) with the appropriate levels

under current law. However, House Rule XIII, clause 3(d)(3)(B)

provides that this requirement does not apply when a cost estimate

and comparison prepared by the Director of Congressional Budget

Office under section 403 of the Congressional Budget Act of 1974

has been timely submitted prior to the filing of the report and included in the report pursuant to House Rule XIII, clause 3(c)(3). A

cost estimate and comparison prepared by the Director of the Congressional Budget Office under section 403 of the Congressional

Budget Act of 1974 has been timely submitted prior to the filing

of this report and is included in Section XI of this report pursuant

to House Rule XIII, clause 3(c)(3)

Rule XIII, clause 3(c)(2) of the House of Representatives requires

each committee report that accompanies a measure providing new

budget authority (other than continuing appropriations), new
20

spending authority, or new credit authority, or changes in revenues

or tax expenditures to contain a cost estimate, as required by section 308(a)(1) of the Congressional Budget Act of 1974 and, when

practicable with respect to estimates of new budget authority, a

comparison of the total estimated funding level for the relevant

program (or programs) to the appropriate levels under current law.

H.R. 1183 does not contain any new budget authority, credit authority, or changes in revenues or tax expenditures.

IX. CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

U.S. CONGRESS,

CONGRESSIONAL BUDGET OFFICE,

Washington, DC, April 8, 1999.

Hon. F. JAMES SENSENBRENNER, Jr.,

Chairman, Committee on Science,

House of Representatives, Washington, DC.

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 1183, the Fastener Quality Act Amendments Act of 1999.

If you wish further details on this estimate, we will be pleased

to provide them. The CBO staff contacts are Mark Hadley (for federal costs) and Lesley Frymier (for the private-sector impact).

Sincerely,

DAN L. CRIPPEN, Director.

Enclosure.

H.R. 1183—Fastener Quality Act Amendments Act of 1999

The Fastener Quality Act (Public Law 101–592) imposes testing,

recordkeeping, and disclosure requirements on manufacturers, distributors, and importers of certain screws, bolts, nuts, studs, and

load-bearing washers. H.R. 1183 would change the requirements

for certifying documents and accrediting laboratories that test fasteners.

Based on information from the National Institute of Standards

and Technology (NIST), CBO estimates that NIST would spend less

than $500,000 a year to implement the bill, subject to the availability of appropriated funds. H.R. 1183 would not affect direct spending or receipts; therefore, pay-as-you-go procedures would not

apply.

H.R. 1183 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would

not affect the budgets of state, local, or tribal governments.

The bill would have significant effects on the private sector.

Under current law, regulations to implement the Fastener Quality

Act will go into effect on June 1, 1999. As currently written, those

regulations will impose testing, certification, insignia, and recordkeeping requirements on manufacturers, distributors, importers,

and other private-sector entities in the fastener industry. According

to industry sources, the pending regulations will impose significant

costs on those entities. H.R. 1183 would amend the law that

underlies the new regulations, and NIST would have to modify the

regulations to conform with the provisions of the bill. Based on information provided by government and industry sources, CBO esti-
21

mates that the resulting new regulations would significantly reduce

the requirements imposed on the private sector relative to current

law.

The CBO staff contacts are Mark Hadley for federal costs and

Lesley Frymier for the private-sector impact. This estimate was approved by Robert A. Sunshine, Deputy Assistant Director for Budget Analysis.

X. COMPLIANCE WITH PUBLIC LAW 104–4

H.R. 1183 contains no unfunded mandates.

XI. COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

Rule XIII, clause 3(c)(1) of the House of Representatives requires

each committee report to include oversight findings and recommendations required pursuant to clause 2(b)(1) of rule X. The

Committee has no oversight findings.

XII. OVERSIGHT FINDINGS AND RECOMMENDATIONS BY THE

COMMITTEE ON GOVERNMENT REFORM AND OVERSIGHT

Rule XIII, clause 3(c)(4) of the House of Representatives requires

each committee report to contain a summary of the oversight findings and recommendations made by the House Government Reform

and Oversight Committee pursuant to clause 4(c)(2) of rule X,

whenever such findings and recommendations have been submitted

to the Committee in a timely fashion. The Committee on Science

has received no such findings or recommendations from the Committee on Government Reform and Oversight.

XIII. CONSTITUTIONAL AUTHORITY STATEMENT

Rule XIII, clause 3(d)(1) of the House of Representatives requires

each report of a committee on a bill or joint resolution of a public

character to include a statement citing the specific powers granted

to the Congress in the Constitution to enact the law proposed by

the bill or joint resolution. Article I, section 8 of the Constitution

of the United States grants Congress the authority to enact H.R.

1183.

XIV. FEDERAL ADVISORY COMMITTEE STATEMENT

H.R. 1183 does not establish nor authorize the establishment of

any advisory committee.

XV. CONGRESSIONAL ACCOUNTABILITY ACT

The Committee finds that H.R. 1183 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 (Public Law 104–1).

XVI. 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 omit-
22

ted is enclosed in black brackets, new matter is printed in italic,

existing law in which no change is proposed is shown in roman):

FASTENER QUALITY ACT

* * * * * * *

øSEC. 2. FINDINGS AND PURPOSE.

ø(a) FINDINGS.—The Congress finds that—

ø(1) the American economy uses billions of fasteners each

year;

ø(2) millions of mismarked, substandard, counterfeit, and

other nonconforming fasteners have been sold in commerce to

end-users in the United States, and their use has dramatically

increased the risk of equipment and infrastructure failures;

ø(3) both the military and civilian sectors of the economy

have encountered unnecessary, unwarranted, and dangerous

equipment and construction failures, as well as extraordinary

expenses, as a result of the use of nonconforming fasteners;

ø(4) the purchase and use of nonconforming fasteners stem

from material misrepresentations about such fasteners made

by certain manufacturers, importers, and distributors engaged

in commerce;

ø(5) current fastener standards of measurement evaluate

bolts and other fasteners according to multiple criteria, including strength, hardness, and composition, and provide grade

identification markings on fasteners to make the characteristics of individual fasteners clear to purchasers and users;

ø(6) current tests required by consensus standards, designed

to ensure that fasteners are of standard measure, are adequate

and appropriate for use as standards in a program of highstrength fastener testing;

ø(7) the lack of traceability of fasteners sold in commerce is

a serious impediment to effective quality control efforts; and

ø(8) the health and safety of Americans is threatened by the

widespread sale in commerce of mismarked, substandard, and

counterfeit fasteners, a practice which also harms American

manufacturers, importers, and distributors of safe and conforming fasteners, and workers in the American fastener industry.

ø(b) PURPOSE.—In order to protect public safety, to deter the introduction of nonconforming fasteners into commerce, to improve

the traceability of fasteners in commerce, and generally to provide

commercial and governmental customers with greater assurance

that fasteners meet stated specifications, it is the purpose of this

Act to create procedures for the testing, certification, and distribution of certain fasteners used in commerce within the United

States.

øSEC. 3. DEFINITIONS.

øAs used in this Act, the term—

ø(1) ‘‘alter’’ means to alter—

ø(A) by through-hardening,

ø(B) by electroplating of fasteners, or

ø(C) by machining;
23

ø(2) ‘‘consensus standards organization’’ means the American

Society for Testing and Materials, American National Standards Institute, American Society of Mechanical Engineers, Society of Automotive Engineers, or any other consensus standard-setting organization determined by the Secretary to have

comparable knowledge, expertise, and concern for health and

safety in the field for which such organization purports to set

standards;

ø(3) ‘‘container’’ means any package of fasteners traded in

commerce;

ø(4) ‘‘Director’’ means the Director of the National Institute

of Standards and Technology;

ø(5) ‘‘fastener’’ means—

ø(A) a—

ø(i) screw, nut, bolt, or stud having internal or external threads, or

ø(ii) a load-indicating washer,

with a nominal diameter of 5 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, which contains any quantity of metal and is held out as meeting a standard or

specification which requires through-hardening,

ø(B) a screw, nut, bolt, or stud having internal or external threads which bears a grade identification marking required by a standard or specification, or

ø(C) a washer to the extent that it is subject to a standard or specification applicable to a screw, nut, bolt, or stud

described in subparagraph (B),

except that such term does not include any screw, nut, bolt, or

stud that is produced and marked as ASTM A 307 Grade A or

produced in accordance with ASTM F 432;

ø(6) ‘‘grade identification marking’’ means any symbol appearing on a fastener purporting to indicate that the fastener’s

base material, strength properties, or performance capabilities

conform to a specific standard of a consensus standards organization or government agency;

ø(7) ‘‘importer’’ means a person located within the United

States who contracts for the initial purchase of fasteners manufactured outside the United States for resale or such person’s

use within the United States;

ø(8) ‘‘Institute’’ means the National Institute of Standards

and Technology;

ø(9) ‘‘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 and submitted for inspection and testing at one time;

ø(10) ‘‘manufacturer’’ means a person who fabricates fasteners, or who alters any item so that it becomes a fastener;

ø(11) ‘‘private label distributor’’ means a person who contracts with a manufacturer for the fabrication of fasteners

bearing the distributor’s distinguishing insignia;

ø(12) ‘‘Secretary’’ means the Secretary of Commerce;
24

ø(13) ‘‘standards and specifications’’ means the provisions of

a document published by a consensus standards organization

or a government agency; and

ø(14) ‘‘through-harden’’ means heating above the transformation temperature followed by quenching and tempering

for the purpose of achieving a uniform hardness.¿

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.

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;
25

(5) ‘‘distributor’’ means a person who purchases fasteners for

the purpose of reselling them at wholesale to unaffiliated entities or individuals (an original equipment manufacturer and its

dealers shall be considered affiliated entities 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;
26

(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

(iii) that—

(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) ‘‘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;

(10) ‘‘manufacturer’’ means a person who fabricates fasteners

for sale in commerce;

(11) ‘‘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;

(12) ‘‘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;

(C) the lot number;
27

(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; and

(G) the coating material and characteristics and the applicable consensus standard or specifications for such coating;

(13) ‘‘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;

(14) ‘‘Secretary’’ means the Secretary of Commerce;

(15) ‘‘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

(16) ‘‘through-harden’’ means heating above the transformation temperature followed by quenching and tempering for

the purpose of achieving uniform hardness.

øSEC. 5. TESTING AND CERTIFICATION OF FASTENERS.

ø(a) REQUIREMENT.—(1) No fastener shall be offered for sale or

sold in commerce unless it is part of a lot which—

ø(A) conforms to the standards and specifications to which

the manufacturer represents it has been manufactured; and

ø(B) has been inspected, tested, and certified as provided in

subsections (b), (c), and (d) of this section.

ø(2)(A) Paragraph (1)(B) of this subsection shall not apply to fasteners which are part of a lot of 50 fasteners or less if, within 10

working days after the delivery of such fasteners, or as soon as

practicable thereafter—

ø(i) inspection, testing, and certification as provided in subsections (b), (c), and (d) is carried out; and

ø(ii) written notice detailing the results of such inspection,

testing, and certification is sent (I) to all purchasers of such

fasteners, except retail sellers and retail consumers, and (II) to

any retail seller or retail consumer who, prior to delivery, requests such written notice.

ø(B) If a fastener is sold under this paragraph, each purchaser

of such fastener, except for retail sellers and retail consumers unless such retail sellers and retail consumers request such notice in

advance, shall be provided, contemporaneously with each sale and

delivery, written notice stating that such fastener has not yet been

inspected, tested, and certified as required by this Act.

ø(b) INSPECTION AND TESTING.—(1) The manufacturer of a lot of

fasteners shall cause to be inspected and tested a representative

sample, as provided in paragraph (2) of this subsection, of the fasteners in such lot to determine whether the lot conforms to the

standards and specifications to which the manufacturer represents

it has been manufactured. Such inspection and testing shall be performed by a laboratory accredited in accordance with the proce-
28

dures and conditions specified by the Secretary under section 6.

The standards and specifications to which the manufacturer represents such lot has been manufactured shall be disclosed by the

manufacturer to the laboratory at the time the lot is submitted for

inspection and testing under this paragraph. The manufacturer of

a lot may perform the inspection and testing required by this paragraph in a laboratory which it owns or with which it is otherwise

affiliated, if such laboratory is accredited in accordance with the

procedures and conditions specified by the Secretary under section

6; unless the Secretary finds that, as to a specific type of fastener

and as to a specific type of inspection or testing, a ban on manufacturer ownership or affiliation with the accredited laboratory would

increase the protection of health and safety of the public or industrial workers.

ø(2) The size, selection, and integrity of the sample to be inspected and tested under paragraph (1) shall be governed—

ø(A) by the standards and specifications to which the manufacturer represents the fasteners in the sample have been

manufactured; or

ø(B) if such standards and specifications do not provide for

the size, selection, or integrity of the sample, by sampling

procedures prescribed by the Secretary, who shall to the extent

practicable use consensus testing standards and related

materials.

Nothing in this paragraph shall prohibit a purchaser from requiring the inspection and testing of a greater number of fasteners

from a lot than is specified in the applicable standards and specifications or in the applicable sampling procedures prescribed by the

Secretary.

ø(c) LABORATORY REPORT OF TESTING.—If a laboratory performing the inspection and testing under subsection (b)(1) determines,

as to the characteristics selected under the sampling procedures

prescribed by the Secretary and based on the sample examined,

that a lot conforms to the standards and specifications to which the

manufacturer represents it has been manufactured, the laboratory

shall provide to the manufacturer a written inspection and testing

report with respect to such lot. The report, which shall be in a form

prescribed by the Secretary by regulation, shall—

ø(1) state the manufacturer’s name, the part description, and

the lot number and note the grade identification mark and insignia found on the fastener;

ø(2) reference the standards and specifications disclosed by

the manufacturer with respect to such lot under subsection

(b)(1);

ø(3) list the markings and characteristics selected under the

Secretary’s procedures for testing significant characteristics required by the standards and specifications described in paragraph (2) and specify the results of the inspection and testing

under subsection (b)(1);

ø(4) except as provided in subsection (d), state whether,

based on the samples provided as representative of the lot,

such lot has been found after such inspection and testing to

conform to such standards and specifications; and
29

ø(5) bear the original signature of a laboratory employee or

officer determined by the Secretary to be responsible for the accuracy of the report and of the inspection and testing to which

it relates.

ø(d) ALTERNATIVE PROCEDURE FOR CHEMICAL CHARACTERISTICS.—Notwithstanding the requirements of subsections (b) and (c),

a manufacturer shall be deemed to have demonstrated, for purposes of subsection (a)(1), that the chemical characteristics of a lot

conform to the standards and specifications to which the manufacturer represents such lot has been manufactured if the following

requirements are met:

ø(1) The coil or heat number of metal from which such lot

was fabricated has been inspected and tested with respect to

its chemical characteristics by a laboratory accredited in accordance with the procedures and conditions specified by the

Secretary under section 6.

ø(2) Such laboratory has provided to the manufacturer, either directly or through the metal manufacturer, a written inspection and testing report, which shall be in a form prescribed

by the Secretary by regulation, listing the chemical characteristics of such coil or heat number.

ø(3) The report described in paragraph (2) indicates that the

chemical characteristics of such coil or heat number conform to

those required by the standards and specifications to which the

manufacturer represents such lot has been manufactured.

ø(4) The manufacturer demonstrates that such lot has been

fabricated from the coil or heat number of metal to which the

report described in paragraphs (2) and (3) relates.

In prescribing the form of report required by subsection (c), the

Secretary shall provide for an alternative to the statement required

by subsection (c)(4), insofar as such statement pertains to chemical

characteristics, for cases in which a manufacturer elects to use the

procedure permitted by this subsection.

øSEC. 6. LABORATORY ACCREDITATION.

ø(a) ESTABLISHMENT OF ACCREDITATION PROGRAM.—(1) The Secretary, acting through the Director, shall issue regulations which

shall include—

ø(A) procedures and conditions, including sampling procedures referred to in section 5, for the accreditation by the Institute of laboratories engaged in the inspection and testing of

fasteners under section 5;

ø(B) procedures and conditions (which shall be consistent

with the procedures and conditions established under subparagraph (A)), using to the extent practicable the requirements of

national or international consensus documents intended to govern the operation of accreditation bodies, under which private

entities may apply for approval by the Secretary to engage directly in the accreditation of laboratories in accordance with

the requirements of this Act; and

ø(C) conditions (which shall be consistent with the procedures and conditions established under subparagraph (A)),

under which the accreditation of foreign laboratories by their

governments or organizations recognized by the Director shall
30

be deemed to satisfy the laboratory accreditation requirements

of this section.

ø(2) Upon establishing a laboratory accreditation program under

paragraph (1), the Secretary shall publish a notice in the Federal

Register stating that the Secretary is prepared to accept applications for accreditation of such laboratories.

ø(3) No accreditation provided under the terms of this subsection

shall be effective for a period of greater than 3 years.

ø(b) LABORATORY ACCREDITATION PROCEDURES.—Existing Institute accreditation procedures stated in part 7 of title 15, Code of

Federal Regulations, as in effect on the date of enactment of this

Act, supplemented as the Secretary considers necessary, shall be

used to accredit laboratories under the accreditation program established under subsection (a).

ø(c) ENSURING COMPLIANCE.—(1) The Secretary shall ensure

that—

ø(A) private entities accrediting laboratories under procedures and conditions established under subsection (a)(1)(B)

comply with such procedures and conditions, and

ø(B) laboratories accredited by such private entities, or by

foreign governments pursuant to subsection (a)(1)(C), comply

with the requirements for such accreditation.

ø(2) The Secretary may require any such private entity or laboratory to provide all records and materials that may be necessary to

allow the Secretary to carry out this subsection.

ø(d) OPERATION OF LABORATORY ACCREDITATION PROGRAM.—(1)

The Director may hire such contractors as are necessary to carry

out the accreditation program established under subsection (a).

ø(2) Costs to the Institute and to the Secretary for the establishment and operation of the accreditation program under this section

shall be fully reimbursable to the Institute or to the Secretary, as

appropriate, through fees or other charges for accreditation services

under such program.

ø(e) RECOMMENDATIONS TO CONSENSUS STANDARDS ORGANIZA- TIONS.—The Director shall periodically transmit to appropriate consensus standards organizations any information or recommendations that may be useful in the establishment or application by

such organizations of standards and specifications for fasteners.

øSEC. 7. SALE OF FASTENERS SUBSEQUENT TO MANUFACTURE.

ø(a) DOMESTICALLY PRODUCED FASTENERS.—It shall be unlawful

for a manufacturer to sell any shipment of fasteners covered by

this Act which are manufactured in the United States unless the

fasteners—

ø(1) have been manufactured according to the requirements

of the applicable standards and specifications and have been

inspected and tested by a laboratory accredited in accordance

with the procedures and conditions specified by the Secretary

under section 6; and

ø(2) an original laboratory testing report described in section

5(c) and a manufacturer’s certificate of conformance are on file

with the manufacturer, or under such custody as may be prescribed by the Secretary, and available for inspection.

ø(b) FASTENERS OF FOREIGN ORIGIN.—(1) Except as provided in

paragraph (2) of this subsection, it shall be unlawful—
31

ø(A) for any person to sell to any importer, and

ø(B) for any importer to purchase,

any shipment of fasteners which are manufactured outside the

United States unless delivery of such shipment to such importer is

accompanied by a manufacturer’s certificate as described in subsection (a), an original laboratory testing report described in section 5(c), with respect to each lot from which such fasteners were

taken, and any other relevant lot identification information.

ø(2) The requirement under paragraph (1) of this subsection that

the delivery of such a shipment to such importer be accompanied

by an original laboratory testing report shall not apply in the case

of fasteners imported into the United States—

ø(A) as products manufactured within a nation which is

party to a congressionally-approved free trade agreement with

the United States that is in effect, so long as the Secretary certifies that satisfactory arrangements have been reached by

which purchasers within the United States can readily gain access to an original laboratory testing report for such fasteners;

or

ø(B) as Canadian-origin products under the United StatesCanada Automobile Pact for use as original equipment in the

manufacture of motor vehicles.

ø(c) OPTION FOR IMPORTERS AND PRIVATE LABEL DISTRIBUTORS.— (1) Notwithstanding section 5(a) and subsections (a) and (b) of this

section, delivery of a lot, or portion of a lot, of fasteners may be

made to an importer or private label distributor without the required original copy of the laboratory testing report if—

ø(A) the manufacturer provides to the importer or private

label distributor a manufacturer’s certificate certifying that the

fasteners have been manufactured according to the requirements of the applicable standards and specifications; and

ø(B) the importer or private label distributor assumes responsibility in writing for the inspection and testing of such lot

or portion by a laboratory accredited in accordance with the

procedures and conditions specified by the Secretary under section 6.

ø(2) If the importer or private distributor assumes the responsibility in writing for the inspection and testing of such lot or portion, the provisions of section 5(a) and subsections (a) and (b) of

this section shall apply to the importer or private label distributor

in the same manner and to the same extent as to a manufacturer;

except that the importer or private label distributor shall provide

to the testing laboratory the manufacturer’s certificate described

under paragraph (1) of this subsection.

ø(d) ALTERATIONS SUBSEQUENT TO MANUFACTURE.—(1) Any person who significantly alters a fastener so that such fastener no

longer conforms to the description in the relevant test report issued

under section 5(c), and who thereafter offers for sale or sells such

altered fastener, shall be treated as a manufacturer for purposes

of this Act and shall cause such altered fastener to be inspected

and tested under section 5 or this section as though it were newly

manufactured, unless delivery of such fastener to the purchaser is

accompanied by a written statement noting the original lot number, disclosing the subsequent alteration, and warning that such al-
32

teration may affect the dimensional or physical characteristics of

the fastener.

ø(2) Any person who knowingly sells an altered fastener and who

did not alter such fastener shall provide to the purchaser a copy

of the statement required by paragraph (1).

ø(e) COMMINGLING.—It shall be unlawful for any manufacturer,

importer, or private label distributor to commingle like fasteners

from different lots in the same container, except that such manufacturer, importer, or private label distributor may commingle like

fasteners of the same type, grade, and dimension from not more

than two tested and certified lots in the same container during repackaging and plating operations. Any container which contains

fasteners from two lots shall be conspicuously marked with the lot

identification numbers of both lots.

ø(f) SUBSEQUENT PURCHASER.—If a person who purchases fasteners for any purpose so requests either prior to the sale or at the

time of sale, the seller shall conspicuously mark the container of

the fasteners with the lot number from which such fasteners were

taken.¿

SEC. 4. SALE OF FASTENERS.

(a) GENERAL RULE.—It shall be unlawful for a manufacturer or

distributor, in conjunction with a sale or offer for sale of a fastener,

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-ofline 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.

SEC. ø8.¿ 5. MANUFACTURERS’ INSIGNIAS.

ø(a) GENERAL RULE.—No fastener which is required by the

standards and specifications to which it was manufactured to bear

a raised or depressed insignia identifying its manufacturer or private label distributor shall be offered for sale or sold in commerce

unless the manufacturer or private label distributor of such fastener has complied with the requirements prescribed by the Sec-
33

retary in connection with the program established under subsection

(b) of this section.¿

(a) GENERAL RULE.—Unless the specifications provide otherwise,

a fastener that is required by the applicable consensus standard or

standards to bear an insignia identifying its manufacturer shall not

be offered for sale or sold in commerce unless—

(1) the fastener bears such insignia; and

(2) the manufacturer has complied with the insignia recordation requirements established under subsection (b).

(b) RECORDATION.—The Secretary shall establish, by regulation,

a program to provide for the recordation of the insignias of manufacturers øand private label distributors described in subsection (a),

to ensure the traceability of a fastener to its manufacturer or private label distributor.¿ described in subsection (a).

SEC. ø9.¿ 6. REMEDIES AND PENALTIES.

(a) * * *

(b) CIVIL PENALTIES.—(1) * * *

* * * * * * *

(3) Any person against whom a civil penalty is assessed under

paragraph (2) øof this section¿ of this subsection may obtain review

thereof in the appropriate court of the United States by filing a notice of appeal in such court within 30 days from the date of such

order and by simultaneously sending a copy of such notice by certified mail to the Secretary. The findings and order of the Secretary

shall be set aside by such court if they are found to be unsupported

by substantial evidence, as provided in section 706(2) of title 5,

United States Code.

(4) The Secretary may arbitrate, compromise, modify, or remit,

with or without conditions, any civil penalty which is subject to imposition or which has been imposed under this section prior to referral to the Attorney General under paragraph (5).

* * * * * * *

(c) CRIMINAL PENALTIES.—(1) * * *

* * * * * * *

ø(3) Whoever negligently fails to maintain records relating to a

fastener in violation of this Act or a regulation under this Act shall

be fined under title 18, United States Code, or imprisoned not more

than 2 years, or both.¿

(d) ENFORCEMENT.—(1) The Secretary may designate officers or

employees of the Department of Commerce to conduct investigations pursuant to this Act. In conducting such investigations, those

officers or employees may, to the extent necessary or appropriate

to the enforcement of this Act, exercise such authorities as are conferred upon them by other laws of the United States, subject to

policies and procedures approved by the Attorney General.

(2) The Secretary, acting through the Director, shall establish and

maintain a hotline system to facilitate the reporting of alleged violations of this Act, and the Secretary shall investigate credible allegations reported through that system.

SEC. ø10.¿ 7. RECORDKEEPING REQUIREMENTS.

ø(a) LABORATORIES.—Laboratories which perform inspections and

testing under section 5(b) shall retain for 5 years all records con-
34

cerning the inspection and testing, and certification, of fasteners

under section 5.

ø(b) MANUFACTURERS, IMPORTERS, PRIVATE LABEL DISTRIBUTORS,

AND PERSONS WHO MAKE SIGNIFICANT ALTERATIONS.—Manufacturers, importers, private label distributors, and persons who make

significant alterations shall retain for 5 years all records concerning the inspection and testing, and certification, of fasteners under

section 5, and shall provide copies of any applicable laboratory testing report or manufacturer’s certificate upon request to the subsequent purchaser of fasteners taken from the lot to which such testing report or manufacturer’s certificate relates.¿

Manufacturers 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 of the fastener shall make available information in the record of conformance to the requester.

SEC. ø11.¿ 8. RELATIONSHIP TO STATE LAWS.

Nothing in this Act shall be construed to preempt any rights or

causes of action that any buyer may have with respect to any seller

of fasteners under the law of any State, except to the extent that

the provisions of this Act are in conflict with such State law.

SEC. ø12.¿ 9. CONSTRUCTION.

Nothing in this Act shall be construed to limit or otherwise affect

the authority of any consensus standards organization to establish,

modify, or withdraw any standards and specifications under any

other law or authority øin effect on the date of enactment of this

Act¿.

øSEC. 13. REGULATIONS.

The Secretary shall issue such regulations as may be necessary

to implement this Act.

øSEC. 15. APPLICABILITY.

(a) TRANSITIONAL RULE.—The requirements of this Act shall be

applicable only to fasteners fabricated 180 days or more after the

Secretary issues final regulations required under sections 5, 6, and

8, except that the Secretary may extend such time period if the

Secretary determines that an insufficient number of laboratories

have been accredited to perform the volume of inspection and testing required. Upon any such extension, and every 6 months thereafter during such extension, the Secretary shall submit a report to

the Congress explaining the reasons for such extension and the

steps being taken to ensure the accreditation of a sufficient number

of laboratories.

ø(b) AIRCRAFT EXEMPTION.—

ø(1) IN GENERAL.—The requirements of this Act shall not

apply to fasteners specifically manufactured or altered for use

on an aircraft if the quality and suitability of those fasteners

for that use has been approved by the Federal Aviation Administration, except as provided in paragraph (2).

ø(2) EXCEPTION.—Paragraph (1) shall not apply to fasteners

represented by the fastener manufacturer as having been man-
35

ufactured in conformance with standards or specifications established by a consensus standards organization or a Federal

agency other than the Federal Aviation Administration.¿

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.

The requirements of this Act shall be applicable only to fasteners

fabricated 180 days or more after the date of the enactment of the

Fastener Quality Act Amendments of 1999, 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.

XVII. COMMITTEE RECOMMENDATIONS

On March 25, 1999, a quorum being present, the Committee favorably reported H.R. 1183, The Fastener Quality Amendments Act

of 1999, by a voice vote, and recommends its enacted.
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XVIII. EXCHANGE OF COMMITTEE CORRESPONDENCE

HOUSE OF REPRESENTATIVES,

COMMITTEE ON COMMERCE,

Washington, DC, April 17, 1999.

Hon. F. JAMES SENSENBRENNER, Jr.,

Chairman, Committee on Science,

Rayburn House Office Building, Washington, DC.

DEAR CHAIRMAN SENSENBRENNER: On March 25, 1999, the Committee on Science ordered reported H.R. 1183, the Fastener Quality

Act Amendments Act of 1999, with amendments. As you know, the

Committee on Commerce was named as an additional committee of

jurisdiction and has had a longstanding interest in the issue of fastener quality and the Fastener Quality Act (15 U.S.C. § 5401 et al).

This interest goes back at least to the 100th Congress, at which

time the Committee undertook an investigation of counterfeit and

substandard fasteners. This investigation resulted in the issuance

of a unanimously approved Subcommittee report—‘‘The Threat

from Substandard Fasteners: Is America Losing Its Grip?’’—which

ultimately led to the approval by our respective committees of the

Fastener Quality Act of 1990.

As you know, the legislation, as amended, significantly restructures the Fastener Quality Act and adopts suggestions from both

the Department of Commerce and the affected industries regarding

changes in the Act. These changes must be enacted before June 23,

1999, when the rules promulgated by the Department of Commerce

would otherwise become effective.

In light of the upcoming deadline, I recognize your desire to

bring this legislation before the House in an expeditious manner.

Given our involvement in the process thus far, and your assurance

that we will work to address concerns raised by our minority before

this legislation is considered by the House, I will not exercise the

Committee’s right to a referral. By agreeing to waive its consideration of the bill, however, the Commerce Committee does not waive

its jurisdiction over H.R. 1183. In addition, the Commerce Committee reserves its authority to seek conferees on any provisions of the

bill that are within its jurisdiction during any House-Senate conference that may be convened on this legislation. I ask for your

commitment to support any request by the Commerce Committee

for conferees on H.R. 1183 or similar legislation.

I request that you include this letter as a part of the Committee’s

report on H.R. 1183 and as part of the Record during consideration

of the legislation on the House floor.

Thank you for your attention to these matters.

Sincerely,

TOM BLILEY, Chairman.
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HOUSE OF REPRESENTATIVES, COMMITTEE ON SCIENCE, Washington, DC, April 22, 1999.

Hon. TOM BLILEY,

Chairman, House Committee on Commerce,

Rayburn House Office Building, Washington, DC.

DEAR CHAIRMAN BLILEY: Thank you for your letter of April 17,

1999 regarding H.R. 1183, the Fastener Quality Amendments Act

of 1999.

I appreciate your waiving your Committee’s right to a referral on

this bill so that it can move expeditiously to the floor. I recognize

your historic jurisdiction in this area and will support any request

you may make to have conferees on H.R. 1183 or similar legislation.

The exchange of letters between our two committees will be included in the Committee report on H.R. 1183 and will be made part

of the floor record.

Sincerely,

F. JAMES SENSENBRENNER, Jr.,

Chairman.

XIX. PROCEEDINGS OF THE FULL COMMITTEE MARKUP

THURSDAY, MARCH 25, 1999, HOUSE OF REPRESENTATIVES, COMMITTEE

ON SCIENCE, WASHINGTON, DC

H.R. 1183, Fastener Quality Act Amendments Act of 1999

Chairman SENSENBRENNER. The last bill on our agenda today is

H.R. 1183, a Fastener Quality Act Amendments of 1999. This bill

continues the Science Committee’s commitment to streamlining the

provisions of the Fastener Quality Act. The intent of H.R. 1183 is

to modify the act in a way that recognizes new quality practices in

the fastener industry, focuses on ensuring public safety, and imposes the least possible additional burdens on an already heavily

regulated industry.

To that end, this bill: first, fights fraud by clarifying that anyone

intentionally misrepresenting the strength or other characteristic

of a fastener is subject to the criminal penalties and civil remedies

of the act. Second, it ensures accountability by requiring that virtually all fasteners sold in commerce include the registered trademark of their manufacturer. Third, reduces some of the burdensome paperwork requirements of the act by allowing documents to

be stored and transmitted in electronic format. And fourth, recognizes the industry’s growing utilization of dramatically improved

quality assurance in management systems by allowing fasteners

manufactured in accordance with certain quality systems to be

deemed in compliance with the requirements of the act.

The current law of the Fastener Quality Act of 1990 is unworkable and would cause great disruption to the U.S. economy without

providing any significant public safety benefit. Last Congress, the

Science Committee drafted bipartisan legislation enacted as Public

Law 105–234, that delayed NIST from implementing costly and bureaucratic regulations that were inconsistent with the original Congressional intent of the art.
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So I would urge members to support this legislation, and recognize Mr. Brown for an opening statement.

Mr. BROWN. Mr. Chairman, I am having trouble distinguishing

the green color here as to when the thing is on and off. Could you

have a correction made on that as quickly as possible?

Chairman SENSENBRENNER. If the gentleman will yield. If you

push the red button, then the missiles start flying here. So stay

away from that. [Laughter.]

Mr. BROWN. Mr. Chairman, there is very little I can add to what

you have already said about this bill. It is one we have wrestled

with for a number of years. It will never end up being perfect or

maybe even fully satisfactory to most of the people who are involved. But it is very important, and as we all recall, there was a

time a few years back when it was a matter of urgency and of national security that we do something to improve the quality of fasteners that were used in critical applications in defense, space, and

many other things.

This bill is the best possible approach that I can envision to continuing and improving on this process. I am wholeheartedly in support of it.

Chairman SENSENBRENNER. The gentleman yields back the balance of his time. I am informed that neither the gentlewoman from

Maryland or the gentleman from Michigan have opening statements, and would ask unanimous consent that all members may

insert opening statements in the record at this point. Without objection, it is so ordered.

[The information follows:]
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Chairman SENSENBRENNER. Furthermore, I ask unanimous consent that the bill be considered as read and open to amendment at

any point.

[The information follows:]
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Chairman SENSENBRENNER. I ask that members proceed with

amendments in the order on the roster. The first one is by Mrs.

Morella and Mr. Barcia. The Chair recognizes the gentlewoman

from Maryland to offer her amendment.

Mrs. MORELLA. Thank you very much, Mr. Chairman. I have an

amendment at the desk.

Chairman SENSENBRENNER. The clerk will report the amendment.

The CLERK. ‘‘En bloc amendment to H.R. 1183’’——

Chairman SENSENBRENNER. Without objection, the amendment is

considered as read, and open for amendment at any point.

[The information follows:]
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Chairman SENSENBRENNER. The gentlewoman from Maryland is

recognized for five minutes.

Mrs. MORELLA. Thank you, Mr. Chairman. You know, when I

was first elected, to me a fastener meant something that you used

to enclose clothing and in other manners. But now I understand

through experience and through the Subcommittee and full Committee, that a fastener is defined as a nut, a bolt, a screw, or a

stud. All I can say is I hope Jay Leno doesn’t get word of that.

[Laughter.]

But our Technology Subcommittee held a hearing on this issue

in the last Congress, and also held a hearing in February to discuss

the need for the existing Fastener Quality Act, as well as to consider any changes to the act that may be warranted. At the hearing, the Subcommittee received testimony from fastener manufacturers, distributors, and consumers, and we realized how important

fasteners are.

There is a clear consensus that two factors have dramatically

changed since the passage of the FQA in 1990. First, the implementation of modern manufacturing quality procedures have dramatically increased the quality of fasteners used in U.S. commerce.

In today’s business place, heavy volume fastener users like automobile, aerospace, heavy equipment manufacturers, invent, demand and ensure quality from their suppliers. They have a clear

economic incentive to do so.

Secondly, the implementation of more stringent Government procurement practices have eliminated the military’s problems with

sub-standard or mis-marked fasteners. In fact, the Defense Industrial Supply Center has checked military inventories over the past

four years, found no evidence of faulty fasteners at all.

Recognizing these important developments, H.R. 1183 is intended to modernize the existing 9-year-old act to better reflect the

practices of today’s fastener industry and to ensure that the flow

of the 200 billion fasteners used annually in our Nation’s chain of

commerce not unnecessarily disrupted. The legislation that we are

considering also creates a level playing ground for all fastener

manufacturers, distributors and consumers. It does not drive small

manufacturers out of business, nor does it place U.S. manufacturers at a competitive disadvantage with their foreign competitors.

Mr. Chairman, as Chair of the Technology Subcommittee, I am

pleased to offer this bipartisan en bloc amendment with Mr. Jim

Barcia, the Ranking Member of the Subcommittee. The amendment

makes certain changes to H.R. 1183 as follows: First, in the case

of fasteners manufactured solely to consensus standards, the

amendment ensures that any required end-of-line testing is conducted by an accredited laboratory. An accredited laboratory is defined to include a fastener testing facility that meets certain guidelines established by the International Organization for Standardization, or that is approved by the National Institute of Standards

and Technology. In addition, the definition also requires accreditation by the International Organization for Standardization, or by

NIST.

I could go on, because the amendment then takes additional

steps to ensure traceability by requiring that all fasteners that are

manufactured to consensus standards bear a trademark that’s reg-
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istered with the Department of Commerce. Finally, it ensures disclosure of critical information by requiring fastener manufacturer

to make certain documents available.

I just want to remind members too that without prompt enactment of this legislation, the current FQA regulations are slated to

be implemented on June 24th of this year. So with that in mind,

I ask for swift passage. I yield back, Mr. Chairman.

Chairman SENSENBRENNER. The gentlewoman’s time has expired. Further discussion on the Morella-Barcia amendment, with

the caveat that we are losing our reporting quorum.

The gentleman from Michigan is recognized for five minutes.

Mr. BARCIA. I won’t take the full five minutes. I will try to be

very brief. Mr. Chairman, I want to begin by concurring with Mr.

Brown’s comments about the bipartisan way in which we developed

H.R. 1183 and this en bloc amendment. I also want to thank Chairman Sensenbrenner and Chairwoman Morella for their diligence

and efforts on this very important issue.

Chairwoman Morella has articulately explained the provisions in

the en bloc amendments. I won’t repeat those explanations. The en

bloc amendment ensures that fasteners manufactured to consensus

standards must be tested in accredited labs, that high strength

bolts must carry a manufacturer’s mark except when the end-user

specifies otherwise, and that records on the physical and chemical

properties of fasteners are available to everyone in the supply

chain.

The goal of this en bloc amendment is to ensure the traceability

of fasteners once they leave the manufacturer, and that the testing

of fasteners is reliable and accurate. This en bloc amendment substantially improves H.R. 1183, and addresses some of the most serious concerns that were raised with the text as introduced. H.R.

1183, along with the en bloc amendment, is a product that probably doesn’t entirely satisfy everyone. However, I believe that it reduces the cumbersome regulatory burdens that resulted from the

original Fastener Quality Act. It recognizes advancements made in

manufacturing processes, and attempts to maintain credible standards to ensure that fasteners are of high quality. I urge my colleagues to support this amendment.

Chairman SENSENBRENNER. The gentleman yields back the balance of his time. Further discussion on the Morella-Barcia amendment?

[No response.]

Hearing none, all those in favor signify by saying aye.

Opposed, no.

The ayes appear to have it. The ayes have it, and the amendment is agreed to.

Are there further amendments to the bill?

[No response.]

If not, is there any report language?

[No response.]

If not, the question is on the bill. All those in favor will signify

by saying aye.

Opposed, no.

The ayes appear to have it. The ayes have it. The motion is

agreed to.
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The Chair recognizes the gentleman from Michigan for a motion

to report the bill.

Mr. BARCIA. Thank you, Mr. Chairman. I move that the Committee report the bill, H.R. 1183 as amended. Furthermore, I move to

instruct the staff to prepare the legislative report to make technical

and conforming amendments, and that the Chairman take all necessary steps to bring the bill before the House for its consideration.

Chairman SENSENBRENNER. You have heard the motion. The

question is on reporting the bill. The Chair notes the presence of

a reporting quorum. Those in favor will signify by saying aye.

Opposed, no.

The ayes appear to have it. The ayes have it, and the bill is favorably reported.

Without objection, the bill will be reported as a single amendment in the nature of a substitute reflecting the amendment adopted today. Members will have two subsequent calendar days in

which to submit supplemental minority or additional views on the

measure. Without objection, pursuant to clause 1 of rule 22 of the

rules of the House of Representatives, the Committee authorizes

the Chair to offer such motions as may be necessary in the House

to go to conference on the bill. Without objection, so ordered.

I thank everybody for their patience. We put the timing pretty

good today in getting done just when the bell rang.

The Chair recognizes the gentleman from the California.

Mr. BROWN. Thank you, Mr. Chairman. I ask unanimous consent

that Ms. Sheila Jackson Lee, who is detained in another committee, be allowed to insert her brief statement in the record expressing her appreciation to the great Chairman that we have.

Chairman SENSENBRENNER. Without objection, that is certainly

so ordered.

The Chair will quit while he is ahead, and the Committee is adjourned.

[Whereupon, at 11:18 a.m., the committee was adjourned.]

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