Chairman Bobby L. Rush Subcommittee on Commerce, Trade and Consumer Protection
Markups of H.R. 3655, the Bereaved Consumer's Bill of Rights Act
H.R. 3993, the Calling Card Consumer Protection Act H.R. 4805, the Formaldehyde Standards for Composite Wood Products Act

The Subcommittee on Commerce, Trade, and Consumer Protection will now come to order. Today, the Subcommittee is meeting to consider H.R. 3655, the "Bereaved Consumer's Bill of Rights Act"; H.R. 4805, the "Formaldehyde Standards for Composite Wood Products Act," and H.R. 3993, the "Calling Card Consumer Protection Act".

Pursuant to Rule 9, the Chairman and ranking Member will each have 5 minutes for opening statements and any other committee member desiring to make an opening statement may take up to 3 minutes.

I now yield to myself for 5 minutes for the purpose of making an opening statement.

We will consider three bills today. Our subcommittee has held legislative hearings on these bills. I will introduce the Manager's Amendment on each of these bills.

The first bill up for consideration is H.R. 3655, the Bereaved Consumer's Bill of Rights Act. I authored this bill, which was introduced on September 25, 2009.

H.R. 3655 directs the Federal Trade Commission (FTC) to promulgate rules requiring ALL cemetery, crematoria, and mausoleum owners to provide clear and conspicuous disclosures and pricing information about their products and services, including costly pre-need contracts, memorials, burial rights, grave liners, and vaults. These owners would also be required to produce and retain existing records pertaining to the location, date, and rights associated with each internment, inurnment, or entombment of human remains.

H.R. 3655 makes misrepresentations of Federal, state, and local requirements and the improper tying of goods and services out to be violations of the FTC Act regarding unfair or deceptive acts or practices.

H.R. 3655 does not preempt state laws or actions. It would enable states' attorney generals to bring civil actions on behalf of state residents in federal District Court for compliance enforcement and for money damages and restitution as deemed appropriate by the Court.

This is a good bill that establishes federal minimums to protect vulnerable consumers from being taken advantage of and levels the playing field between discrete segments of the funeral goods and services industry, which consumers perceive as being a single "one-stop shop" marketplace. Accordingly, I respectfully urge my colleagues to support the Bereaved Consumer's Bill of Rights Act.

The second bill that the Subcommittee will take up is H.R. 4805, the "Formaldehyde Standards and Composite Wood Products Act."  As we heard at our hearing last week, this legislation would achieve two very important goals:  protecting American consumers and protecting American jobs.  It would do so by setting a federal standard, based on requirements already set by the State of California, to limit the amount of formaldehyde that can be emitted from composite wood products.
 
H.R. 4805 will provide a level playing field for American manufacturers in competing against importers, who currently do not have to meet these standards unless they sell in California.  Consequently, badly needed manufacturing and other jobs are going overseas, and American consumers are less safe.
 
And speaking of protecting Americans, this bill would ensure that there is not a needless repeat of the disaster with the FEMA trailers used after Hurricane Katrina – which made SO, SO many people sick, unnecessarily.

I would like to again commend Rep. Matsui for championing the "Formaldehyde Standards for Composite Wood Products Act." I respectfully urge my colleagues to support this bill to ensure that we are doing everything we can for both consumers and businesses.

The third and final bill we will take up today, H.R. 3993, the "Calling Card Consumer Protection Act," comes before us in the form of a bipartisan Manager's Amendment. I would like to thank Mr. Engel for his leadership and for introducing this critical piece of legislation. 
 
The Manager's Amendment makes a number of technical and substantive changes to the bill.  Allow me to highlight the most significant changes. The Amendment affords the FTC flexibility to develop disclosures that will benefit consumers and allow users of prepaid calling cards to comparison shop.
 
H.R. 3993 would exclude from the definition of "prepaid calling card distributor" certain retail merchants and persons who merely engage in the transport or delivery of prepaid calling cards. Further, the Amendment includes a new preemption section that is similar to the language included in the bill as it passed the House in the 110th Congress.  Under the Amendment, State laws that contain requirements regarding disclosures on calling cards or packaging would be preempted.

In addition to provisions currently in the bill that require the FTC to consult with the Federal Communications Commission (FCC), the Amendment adds that should the FCC should initiate a rulemaking on disclosures for prepaid calling cards, it must coordinate with the FTC. Finally, the Amendment requires the FTC, in consultation with the FCC, to conduct a study of the prepaid wireless industry. I respectfully urge my colleagues to support the bipartisan Manager's Amendment that is being offered today on H.R. 3993.

With that, I yield back the balance of my time and I recognize now the Ranking Member of the Subcommittee for the purposes of opening statements, Mr. Whitfield, the gentleman from Kentucky.