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AAMA's Legislative Counsel, Elliott Portnoy, of Sonnenschein Nath & Rosenthal, leads a team of lawyers and non-lawyer policy professionals that assists AAMA in Congressional, Executive Branch and state legislative and regulatory matters.

Sonnenschein Nath & Rosenthal LLP

 

 

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AAMA is a member of the U.S. Government's

Trade Compliance Center.

The Trade Compliance Center helps American exporters overcome foreign trade barriers and works to ensure that foreign countries comply with their commitments to the United States.  Making America's Trade Agreements Work for You! For more information on how the AAMA can assist you, please contact us today at 847.290.8088.

 

 

 

Government Relations Update

AAMA's Monthly E-Newsletter: Loose Change - May/June, '09

Legislative Update - Federal   
Congress continues to work on passage on the Family Smoking Prevention and Tobacco Control Act (S. 892), legislation that would grant the Food and Drug Administration (FDA) wide latitude to regulate cigarettes and smokeless tobacco products.  Under the bill, which has been on the legislative agenda for the past several years, the FDA would have authority to regulate both cigarette content as well as marketing -- primarily in the context of limiting access to minors.  This proposed bill may well have an impact on the vending side of the equation -- although those regulations would need to be developed and approved by the FDA. 
 
Gaming Update -- State
Substantial efforts are underway in a number of states to authorize terminal or online gaming, largely as a mechanism for closing growing budget gaps.  Below are quick summaries of key state developments:
 
California:  While on the surface things appear to be inactive, considerable negotiations are underway behind the scenes.  Key legislative sponsors are in active discussions with key California Tribal interests to secure their support for a structure that looks similar to the European model.  Early indications are that a more detailed bill will be released and passed quickly in the next 6-8 weeks, assuming that tribal support is present (in order to ensure signature by Governor Schwarzenegger).  With the state in fiscal crisis, revenue is a major driver of the politics in this case.  The currently proposed structure would involve a master licensee, with existing card clubs and tribes authorized to market the games and receiving payment from the state for the participants they bring to the games. 
 
Delaware:  Governor Markell signed legislation last week that authorizes sports booking at horse racetracks in DE, along with table games.  The State Supreme Court must still rule on certain aspects of the legislation particularly with respect to whether the state constitution permits sports wagering as a game of chance.  Unlike a number of states, Delaware's statute expressly permits games of chance, and so the argument for poker asserts that it is a game of chance rather than skill.
 
Illinois:  The Illinois legislature approved terminal gaming at bars, restaurants and other establishments, and it is expected that the Governor will sign the bill into law.  Providers of terminal games, location owners and operators, and potentially vendors, would all need to receive certification from the state gaming authority, a process that may take some time to implement.

Government Relations Update

AAMA's Monthly E-Newsletter: Loose Change - Jan/Feb, '09

NEWS from CPSC
U.S. Consumer Product Safety Commission
Office of Information and Public Affairs
Washington, DC 20207

FOR IMMEDIATE RELEASE
Release #09-121

CPSC Recall Hotline: (800) 638-2772
CPSC Media Contact: (301) 504-7908

CPSC Issues Guidance For Complying With Phthalates Requirements In New Child Safety Law

WASHINGTON, D.C. - Starting on February 10, 2009, children's toys and child care articles cannot contain more that 0.1% of six phthalates (DEHP, DBP, BBP, DINP, DIDP, and DnOPA) regardless of when they were manufactured. The CPSC will abide by a court decision (pdf) issued yesterday ruling that the prohibition on phthalates in the Consumer Product Safety Improvement Act of 2008 applies to products in inventory. Phthalates are a group of chemicals (oily, colorless liquids) that are used among other things to make vinyl and other plastics soft and flexible.

A "children's toy" is defined in the statute as a product intended for a child 12 years of age or younger for use when playing. The Commission has previously stated that it will follow the definition of toy in the mandatory toy standard which exempts such things as bikes, playground equipment, musical instruments, and sporting goods (except for their toy counterparts).

The statute also prohibits phthalates over the limit in "child care articles," which include products that a child 3 and younger would use for sleeping, feeding, sucking or teething. By way of example, a pacifier/teether would be an item that would help a child with sucking or teething; a sippy cup would facilitate feeding; and a crib mattress would facilitate sleeping.

Companies must meet their reporting obligation under federal law and immediately tell the Commission if they learn of a children's toy or child care article that exceeds the new phthalates limits starting on February 10, 2009. Companies also should know that the CPSIA generally prohibits the export for sale of children's products that exceed the new phthalates limits.

 

The agency will be issuing further guidance information next week.


News from AAMA Online

Posted Monday, February 4, 2009 -- 9:53a.m.

Elk Grove Village, IL - Feb 4, '09 - AAMA's Legislative Council, Sonnenschein Nath & Rosenthal reported a recent development on the Consumer Product Safety Act.

 

In response to significant industry concerns and onerous logistical constraints imposed on the Consumer Product Safety Commission (CPSC) under the Consumer Product Safety Improvement Act (CPSIA), the Commission issued a stay of enforcement late Friday, Jan. 31, 2009, delaying enforcement of certain testing and certification requirements for some products.

The stay of enforcement provides limited relief for manufacturers and importers from testing and certification requirements for lead content limits (600 ppm), phthalates limits (1000 ppm) and mandatory toy standards - all of which go into effect on Feb. 10, 2009. Under the stay, which remains in effect until Feb. 10, 2010, manufacturers and importers will not need to test or certify compliance with these new requirements, although they must still comply with the underlying lead and phthalate limits, mandatory toy standards and other requirements imposed by the CPSIA.

 

Significantly, the stay does not apply to testing, certification or compliance with other key requirements of the CPSIA, including:

 

1. Four third-party testing and certification requirements covering children's products subject to:

  • The lead paint and surface coatings ban effective Dec. 21, 2008;

  • The small parts ban effective for certain children's products made after Feb. 15, 2009;

  • The baby crib and pacifier standards effective for products made after Jan. 20, 2009;

  • The lead content limits for children's jewelry that will become effective on March 23, 2009.  

2. Certification requirements applicable to ATVs manufactured after April 13, 2009.

3. Testing and certification requirements that pre-date the CPSIA for automatic garage door openers, bicycle helmets, candles with metal core wicks, lawnmowers, lighters, mattresses and swimming pool slides.

4. Pool and spa drain cover requirements under the Virginia Graeme Baker Pool & Spa Safety Act.

 

The stay will benefit both large and small manufacturers and importers, and will provide the Commission with additional time to issue rules and other guidance for implementation of the testing and certification requirements for the lead content, phthalate and mandatory toy safety standards.

 

The stay does not relieve manufacturers, importers, distributors or retailers - including thrift and secondhand stores - from core product safety obligations.  Stated differently, products sold on or after Feb. 10, 2009, may not contain more than 600 ppm of lead or 1000 ppm of certain phthalates, and must also comply with all other consumer product safety rules, bans and standards in effect at that time.
 

Finally, the CPSC strongly urged state attorneys general to respect and defer to the Commission's judgment and avoid undertaking any state enforcement activity that could thwart the purpose and rationale for the one-year stay.
 

For additional information about the CPSIA, click here.
 

If you have questions about this alert or about other consumer product safety issues, please contact: Christopher 'Kit' Smith 202.408.9231 or kitsmith@sonnenschein.com  or Belinda May at 314.259.5847 or bmay@sonnenschein.com.


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