Toy recalls fuel momentum toward U.S. safety reforms

WASHINGTON (Reuters) - The head of the U.S. product safety agency came under fire in Congress on Thursday over a wave of recalls of lead-tainted children's toys made in China, with Democrats calling for changes at the federal watchdog.

"Let's face it -- our consumer product safety system is busted and in need of major reform," said Illinois Democratic Sen. Dick Durbin at a Senate subcommittee hearing.

He called for more funding for the Consumer Product Safety Commission (CPSC) and praised legislation that would give the agency more staff, as well as tougher rules to deal with globalized manufacturing and shoddy imported goods.

Arkansas Democratic Sen. Mark Pryor, chairing the hearing, said he was "shocked at how under-funded the CPSC was and how much it had been allowed to wither on the vine."

"The CPSC is an agency that's been overwhelmed" by unsafe foreign-made goods flooding into U.S. markets, even as federal safety oversight has eroded, he said. "We're trying to ramp up funding for the agency over seven years."

CPSC Acting Chairman Nancy Nord said a "summer of recalls" underlined the need for changes at the CPSC, with the agency announcing just minutes before the hearing that another half million China-made toys were being recalled due to lead.

Nord voiced support for some parts of a Senate bill to reform her agency, but she questioned other parts of it.

"These recalls make the case for some of the changes in CPSC's governing statutes that we have proposed, but in amending these statutes, we should be careful not to undermine a system" that has been effective, she said.

Nord was pressed during questioning by Missouri Democratic Sen. Claire McCaskill to say whether or not the CPSC was asking Congress for more money. But Nord would not answer directly.

"Give me more money and we will spend it," Nord said.

McCaskill criticized the agency's performance and suggested more funding and staffing might help. But she said to Nord: "For some reason, you are uncomfortable stating the obvious and it really worries me about this agency."

Florida Democratic Sen. Bill Nelson said he knew why Nord would not answer McCaskill's repeated funding question.

"You're under orders from the White House not to ask for more. Is that right?" Nelson said to Nord.

She replied: "I have never had a conversation with the White House like that."