November 18, 2005

WASHINGTON - Congressman Tom Petri expressed outrage on the House floor today that House-Senate negotiations on transportation appropriations have resulted in an agreement which will reverse some consumer protections included in this summer's transportation authorization bill to prevent unethical practices by household movers.

"For years I have worked to provide relief to the many citizens from all across this country who call my office seeking help because they have been victimized and find they have nowhere to turn," Petri told his colleagues. "The most egregious of these situations is where a moving company holds all of their earthly possessions until they pay thousands of dollars in excess of the original estimate - basically extortion. These people find themselves in a strange city, with no goods and no recourse."

Petri said that laws governing interstate movers of household goods are normally the responsibility of the federal government, but that because, until recently, the U.S. Department of Transportation had only three people assigned to handle complaints resulting from 1.5 million interstate moves each year, the Congress had decided to explicitly allow states to participate in the enforcement of consumer protection laws governing such moves.

However, the Conference Report resulting from House- Senate negotiations over each chamber's transportation appropriations bills includes provisions stating that state authorities will only be able to initiate actions against certain carriers and that all others will be protected, no matter what their actions may be. "We are putting up roadblocks when we should be tearing them down," Petri said.

"Inclusion of these provisions is wrong on so many levels," Petri told his colleagues. "It is an affront to all authorizing committees that language just negotiated - after years of discussion - can be cast aside and changed in an appropriations bill. It is wrong that those who did not get what they wanted - which were rejected both in the Senate and in conference - can then get another bite at the apple and basically hijack the consumer protection provisions this Congress approved in July."

"What we are doing is once again leaving the little guy unprotected, with nowhere to turn, with no recourse as their lives are in ruins. Couldn't we, for a change, stand up for the consumer against industry and correct an injustice?" Petri said. "It is a sad day when we make it more difficult, and not less, for our citizens to get the recourse they deserve."

Petri's consumer protections provisions were included in the transportation authorization bill signed into law in August to determine national transportation policy. The transportation appropriations bill being voted on today actually provides the money to carry out the transportation policy.

Congressman Petri's Floor Statement
H.R. 3058 -- FY2006 Transportation/Treasury Appropriations5
Conference Report
November 18, 2005

Mr. Speaker,

I want to express my outrage that this conference report substantially weakens provisions providing greater consumer protection for victims of unscrupulous movers that were part of the transportation bill that was signed into law less than 4 months ago.

Let me first say thank you to Chairman Knollenberg and also to the Speaker -- and I want to thank the staff as well -- for the consideration they have given to the authorizing committees and for providing such strong support for as long as was possible. I appreciate your efforts.

But it is simply wrong that this conference report contains provisions that were specifically rejected by the Senate when it was considering its transportation bill earlier this year and that were rejected during the conference on the transportation bill this summer.

For years I have worked to provide relief to the many citizens from all across this country who call my office seeking help because they have been victimized and find they have nowhere to turn. The most egregious of these situations is where a moving company holds all of their earthly possessions until they pay thousands of dollars in excess of the original estimate -- basically extortion. These people find themselves in a strange city, with no goods and no recourse.

The Department of Transportation is simply not suited to police the 1.5 million interstate moves that occur each year. Until recently, a total of 3 people were assigned to handle complaints and could do little about them. States, which want to get involved and oversee intrastate moves with little controversy, have been told by the courts that they have no jurisdiction since this is interstate commerce.

So SAFETEA-LU created a partnership with the states by allowing them to enforce federal consumer protections rules -- a model that works well in other areas.

It is disheartening that only a few months after these new authorities were put in place -- before they could really even take effect -- some in the Senate have seen fit to reopen these provisions and basically neuter the consumer protection provisions included in SAFETEA-LU.

Most shockingly, state authorities will only be able to initiate actions against certain carriers and all others are protected -- no matter what their actions may be. We are putting up roadblocks when we should be tearing them down.

Mr. Speaker, inclusion of these provisions is wrong on so many levels. It is an affront to all authorizing committees that language just negotiated -- after years of discussion - - can be cast aside and changed in an appropriations bill. It is wrong that those who did not get what they wanted -- were rejected both in the Senate and in conference -- can then get another bite at the apple and basically hijack the consumer protection provisions this Congress approved in July.

What we are doing is once again leaving the little guy unprotected, with nowhere to turn, with no recourse as their lives are in ruins. Couldn't we, for a change, stand up for the consumer against industry and correct an injustice? It is a sad day when we make it more difficult, and not less, for our citizens to get the recourse they deserve.

This was not a move on the part of the House. Again, thanks to Chairman Knollenberg, the leadership, the Senate Commerce Committee and others who fought this hijacking. It is unfortunate for consumers across the nation that we were not able to beat back this assault.

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