A BILL

          

     To amend title 49, United States Code, to require

     manufacturers of motor vehicles and items of motor

     vehicle equipment to obtain information and maintain

     records about potential safety defects in their foreign

     products that may affect the safety of vehicles and

     equipment in the United States, and for other purposes.



     Be it enacted by the Senate and House of

Representatives of the United States of America in Congress

assembled,

                  TITLE I --MOTOR VEHICLE SAFETY

     SEC. 101.  (a) Subchapter I of Chapter 301 of title 49,

     United States Code, is amended by inserting at the end

     the following new section:

"Sec. 30106. International Cooperation

     "(a) GENERAL AUTHORITY.--The Secretary of

Transportation  may cooperate internationally to enhance

motor vehicle and traffic safety by exchanging information

related to safety defects, noncompliances with motor vehicle

safety standards and regulations, and other matters related

to motor vehicle safety, conducting vehicle safety research,

and updating, developing and promoting improved motor

vehicle safety standards and enforcement procedures.   "(b)

CONFIDENTIAL INFORMATION.-- The Secretary may authorize the

disclosure of confidential commercial information submitted

to the National Highway Traffic Safety Administration, or

incorporated into agency-prepared records, to foreign

government officials who perform counterpart functions to

the National Highway Traffic Safety Administration as part

of cooperative law enforcement or regulatory efforts,

provided that:

     "(1)  The foreign government agency has provided both a

written statement establishing its authority to protect

confidential commercial information from public disclosure

and a written commitment not to disclose any information

provided without the written permission of the sponsor or

written confirmation by the National Highway Traffic Safety

Administration that the information no longer has

confidential status; and

     "(2)  The Secretary determines disclosure would be in

the interest of motor vehicle safety.

     "(c) NON-PUBLIC INFORMATION.--The Secretary may

disclose nonpublic, predecisional documents concerning the

National Highway Traffic Safety Administration's or the

other government agency's regulations or other regulatory

requirements, or other nonpublic information relevant to

either agency's activities, as part of cooperative

regulatory activities, provided that:

     "(1) The foreign government agency has the authority to

protect such nonpublic documents from public disclosure and

will not disclose any documents provided without the written

confirmation by the National Highway Traffic Safety

Administration that the documents no longer have nonpublic

status; and

     "(2) The Secretary determines that the exchange is

reasonably necessary to facilitate cooperative regulatory

activities.

     "(d) LIMIT ON DISCLOSURE.--Any exchange under this

section of confidential commercial information and nonpublic

documents and information does not require that such records

shall be made available to all members of the public."

     (b) The analysis for Chapter 301 is amended by the

addition of the following after the entry for section 30105:

"30106. International Cooperation.".

     SEC.  102.  Section 30115 of title 49, United States

Code, is amended by inserting at the end the following: "A

person shall not affix a certification label or tag to a

motor vehicle or item of motor vehicle equipment unless the

person has performed testing or other engineering analyses

that demonstrate compliance with all applicable motor

vehicle safety standards prescribed under this chapter.".

     SEC. 103.   Sec. 30118 of title 49, United States Code,

is amended as follows:

     (a) In subsections (a), (b) and (c), by inserting ",

original equipment" after "motor vehicle"; and

     (b) In subsection (c), by designating the existing text

as paragraph (1), by redesignating existing paragraphs (1)

and (2) as subparagraphs (A) and (B), respectively, and by

adding the following at the end:

  "(2) A manufacturer shall have a duty to review and

consider information regarding crashes or incidents in

vehicles or equipment where there are fatalities, serious

injuries, or fires, including such information received from

foreign sources, to learn whether the vehicle or equipment

contains a defect or does not comply with a motor vehicle

safety standard, and to advise the Secretary if the

manufacturer has reason to believe that a defect or

noncompliance may exist. ".

SEC. 104.  Section 30120(g)(1) of title 49, United States

  Code, is amended by--

  (1) striking "8 calendar years" and substituting "10

calendar years"; and

  (2) striking "3 calendar years" and substituting "5

calendar years".

  SEC. 105.  Section 30120 of title 49, United States Code,

as amended by section 104 of this Act, is amended by adding

at the end the following:

  "(j) LIMITATION ON SALE OR LEASE OF USED MOTOR VEHICLES.--

(1) A dealer may not sell a used motor vehicle, for purposes

other than resale, or lease a used motor vehicle until the

dealer informs the purchaser or lessee of any notifications

of a defect or noncompliance pursuant to section 30118(b) or

section 30118(c) of this title with respect to the vehicle

that have not been remedied, and either

       "(A) offers to have the defects or noncompliances

       remedied, or

       "(B)  gives the purchaser or lessee a written

       description of the defects or noncompliances,

       including all relevant information from any

       notification pursuant to subsections 30118(b) or

       30118(c) of this title, and  receives a written

       acknowledgment of the offer or description from the

       purchaser or lessee.

  "(2) The requirements of paragraph (1) of this subsection

shall apply after a period of time following issuance of

notifications that the Secretary shall specify.   The

Secretary may extend this period with respect to particular

notifications.

  "(3) In this subsection, notwithstanding section

30102(a)(1) of this title,

       "(A) 'dealer' means a person who sold at least 10

       motor vehicles during the prior 12 months to

       purchasers that in good faith purchased the vehicles

       other than for resale; and

       "(B) 'used motor vehicle' means a motor vehicle that

       has previously been purchased other than for

       resale.".

  SEC. 106.  Section 30120 of title 49, United States Code,

as amended by section 104 and 105 of this Act, is amended by

adding at the end the following new subsection:                  "(k) LIMITATION

ON OPERATION BY OWNERS AND LESSORS OF SCHOOL BUSES AND VEHICLES USED TO TRANSPORT

PASSENGERS FOR COMPENSATION.--"(1) Subject to paragraph (2), a person who owns or

leases a school bus or a motor vehicle used to transport passengers for

compensation and who receives a notice of a defect or noncompliance pursuant to

section 30118(b) or section 30118(c) of this title may not operate the vehicle to

which the notice applies as a school bus or for compensation until the defect or

noncompliance is remedied as required by this section.

  "(2) The requirements of paragraph (1) shall apply after a

period of time following issuance of such notifications that

the Secretary shall specify.  The Secretary may extend this

period with respect to particular notifications.".

  SEC. 107.  Section 30165(a) of title 49, United States

Code, is amended-

  (1) in the first sentence by--

       (A) inserting "(1)" after "PENALTY.--" at the

beginning of the sentence;

       (B) inserting "or" after "30127," and striking "or

30166"; and

       (C)  striking "$1,000" and substituting "$5,000";

  (2) by striking the third sentence; and

  (3) by adding the following new paragraph:

                "(2) A person who violates section 30166 of

            this title or a regulation prescribed  under

            that section is liable to the United States

            Government for a civil penalty for failing or

            refusing to allow or perform an act required

            under that section or regulation.   The maximum

            penalty under this paragraph is $5,000 per

            violation per day.   The maximum penalty under

            this paragraph for a related series of daily

            violations is $500,000.".

  SEC. 108.  Section 30165 is amended by adding at the end

the following:

       "(e) ADMINISTRATIVE PENALTIES.  Whenever on the basis

of any information available the Secretary finds that any

person has violated any of the sections in (a) above or a

regulation prescribed under any of those sections, the

Secretary may assess a civil penalty under this subsection

by an order made after opportunity for a hearing on the

record in accordance with sections 554 and 556 of title 5,

United States Code.  The Secretary shall issue reasonable

rules for discovery and other procedures for hearings under

this subsection. Before issuing such an order, the Secretary

shall give written notice to the person to be assessed an

administrative penalty of the Secretary's proposal to issue

such order and provide such person an opportunity to request

such a hearing on the order, within 30 days of the date the

notice is received by such person.   The penalty amounts

shall not exceed those under (a).  The maximum penalty under

this subsection for a related series of violations is

$1,000,000.  The Secretary may compromise, modify, or remit,

with or without conditions, any administrative penalty which

may be imposed under this subsection."

"(e) ADMINISTRATIVE PENALTIES.  Whenever on the basis of any

information available the Secretary finds that any person

has violated any of the sections in (a) above or a

regulation prescribed under any of those sections, the

Secretary may assess a civil penalty under this subsection

by an order made after opportunity for a hearing on the

record in accordance with sections 554 and 556 of title 5,

United States Code.  The Secretary shall issue reasonable

rules for discovery and other procedures for hearings under

this subsection. Before issuing such an order, the Secretary

shall give written notice to the person to be assessed an

administrative penalty of the Secretary's proposal to issue

such order and provide such person an opportunity to request

such a hearing on the order, within 30 days of the date the

notice is received by such person.   The penalty amounts

shall not exceed those under (a).  The maximum penalty under

this subsection for a related series of violations is

$1,000,000.  The Secretary may compromise, modify, or remit,

with or without conditions, any administrative penalty which

may be imposed under this subsection."

  SEC. 109.  Section 30166 of title 49, United States Code,

is amended by revising subsection (e) to read as follows:

  "(e) RECORDS AND MAKING REPORTS- (1) The Secretary of

Transportation reasonably may require a manufacturer of a

motor vehicle or motor vehicle equipment to keep records,

and a manufacturer, distributor, or dealer to make reports,

to enable the Secretary to decide whether the manufacturer,

distributor, or dealer has complied or is complying with

this chapter or a regulation prescribed or order issued

under this chapter.  This subsection does not impose a

recordkeeping requirement on a distributor or dealer in

addition to those imposed under subsection (f) of this

section and section 30117(b) of this title or a regulation

prescribed or order issued under subsection (f) or section

30117(b).

  "(2) The Secretary of Transportation shall by rule require

a manufacturer of a motor vehicle or motor vehicle equipment

to keep records and to make reports based on information it

has received, upon receiving information, periodically, or

in response to an order or specific requirement to make a

report with regard to crashes or incidents in vehicles and

equipment where there are fatalities, serious injuries or

fires;

  "(3) The Secretary of Transportation shall by rule require

a manufacturer of a motor vehicle or motor vehicle equipment

to keep records and to make reports, upon receiving

information, periodically or in response to an order or

specific requirement to make a report with regard to

warranty or adjustment information related to actual or

potential defects;

  "(4) The Secretary of Transportation reasonably may

require a manufacturer of a motor vehicle or motor vehicle

equipment to provide to the Secretary of Transportation

access to the manufacturer's communications related to

defects and recalls, to the same extent and in the same

manner as accessed by one or more of the manufacturer's

dealers; and

  "(5) The Secretary of Transportation reasonably may

require a person in the business of providing automobile

insurance or resolving claims under insurance policies, to

keep records or to make reports, upon receiving information,

periodically or in response to an order or specific

requirement to make a report regarding crashes or incidents

in vehicles and equipment where there are fatalities,

serious injuries or fires including provision of the vehicle

identification number, insured's names and addresses and

telephone numbers.   This information shall be treated as

confidential information by the Secretary.

  SEC. 110.  Section 30166 of title 49, United States Code,

is amended by adding at the end the following:

  "(l) DEFINITIONS.  In this section, notwithstanding

section 30102 of this title,

  (1) 'dealer' means a person selling and distributing new

motor vehicles or motor vehicle equipment, within or outside

the United States, primarily to purchasers that in good

faith purchase the vehicles or equipment other than for

resale.

  "(2) 'distributor' means a person primarily selling and

distributing motor vehicles or motor vehicle equipment,

within or outside the United States, for resale.

  "(3) 'manufacturer'

       "(A) means a person--

       "(i) manufacturing or assembling motor vehicles or

  motor vehicle equipment; or

       "(ii) importing motor vehicles or motor vehicle

  equipment for resale, and

       "(B) includes

       "(i) persons incorporated within or with their

  principal place of business in the United Sates and their

  direct and indirect domestic and foreign subsidiaries and

  affiliates,

       "(ii) persons with their principal place of business

  in a foreign country, including their direct or indirect

  domestic and foreign subsidiaries and affiliates, any of

  which export motor vehicles or motor vehicle equipment

  into the United States, and

       "(iii) persons with their principal place of

  business in a foreign country, including their direct or

  indirect domestic and foreign subsidiaries and

  affiliates, any of which manufactures or assembles motor

  vehicles or motor vehicle equipment in the United States.

  "(4) 'owner' means an owner within or outside the United

States.

  "(5) 'purchaser' means a purchaser within or outside the

United States.

  "(6) 'person' means any manufacturer, distributor or

dealer as defined above and any other person within the

United States that may have information related to this

chapter.".

  SEC. 111.  Sections 103, 108, 109, and 109 of this Act

shall take effect on the date that is 180 days after the

date of enactment of this Act.

                      TITLE II -- ODOMETERS

  SEC. 201.   Section 32709(a)(1) of title 49, United States

Code, is amended by--

       (1) striking "$2,000" and substituting "$5,000"; and

       (2) striking "$100,000" and substituting

"$1,000,000".

       SEC. 202.   Section 32710(a) of title 49, United

       States Code, is amended by striking    "$1,500" and

       substituting "$10,000".