OSHA Irate Over House Ergonomics Vote

Officials at the U.S. Department of Labor are irate that Congress is again stepping in to control the agency's rush to adopt national ergonomic workplace rules. The agency isn't commenting publicly on last week's vote by the House Appropriations Committee to bar the agency from spending a nickel to implement ergonomics rules during the coming fiscal year. However, insiders are saying that the agency is attempting to persuade the White House to get into the fray.

The House panel voted 32-22, largely along party lines, to adopt an amendment to the Labor appropriations bill offered by Cong. Anne Northrup of Kentucky that says: "None of the funds made available in this act my be used by the Occupational Safety and Health Administration to promulgate, issue, implement, administer, or enforce any proposed, temporary, or final standard on ergonomic protection."

The committee then approved funding for OSHA at $381 million, $44 million below the president's request. The spending measure is part of the larger appropriations bill for the Labor, Health and Education departments totaling $327 billion.

Some Democrats sympathetic to OSHA's cause said they will challenge the provision on the House floor later this month.

OSHA, under pressure from organized labor, issued a 1,000-page proposed rule on ergonomic (repetitive motion) disorders last November. The rule, which applies to all manufacturers and up to 5.5 million workplaces nationwide, could cost U.S. firms between $8 billion and $18 billion. Key provisions would require employers to set up a comprehensive ergonomics program if just one musculoskeletal disorder (MSD) is reported; and require manufacturers to compensate employees with MSDs 90 percent of pay and 100 percent of benefits during their absence from work.

Nationally, MSDs are down 17 percent over three years. Opponents argue that the federal government should wait until an $890,000 scientific study of the causes of MSDs is available later this year. In August 1999, the House narrowly approved legislation requiring OSHA to wait for the scientific study results.

The tactic of denying funding for ergonomics regulations has been used in North Carolina, where the General Assembly last year inserted a provision in the state budget bill stipulating that the state Department of Labor couldn't use any funds to implement an ergonomics regulation.
Read more about the ergonomics issue.

Crime-Fighting Grants: Cong. Bob Etheridge(D-2nd) announced $1.6 million in grants for crime-prevention initiatives in seven counties in his Triangle district. The money was approved by Congress last year and provided to the Governor's Crime Commission by federal agencies, including the Justice Department and the Department of Education. The grants are: Harnett County: 11th Judicial District, drug diversion and education, $88,835.25; City of Dunn, Connect 2000, $20,000; Johnston County: Harbor Inc., Victim's Services, $129,208.50; Johnston County Schools, Juvenile Partnership Project, $218,514.50; Lee County: Haven Inc. Lee County, Victim's Services, $133,371; Lee Co. Sheriff's Dept., Communications, $29,269.50; Nash County: Sheriff's Dept., Drug Control, $39,999.74; Sampson County: U Care Inc., Victim's Services, $178,789.76; Clinton Police Dept., Communications, $23,999.90; Wake County: Wake County Schools, Helping Hands Project, $99,999.99; N.C. Coalition Against Sexual Assault, Victim's Services, $113,437.01; Wake Teen Medical Services, Juvenile Delinquency Prevention, $83,109.75; Family Violence Prevention Center, Victim's Services, $59,540.86; Rolesville Police Dept., Communications, $10,833.75; Wendell Police Dept., Communications, $11,301; Wilson County: County Youth Outreach, Juvenile Delinquency Prevention, $100,000; Wesley Shelter, Victim's Services, $191,458.01; Wilson Police Dept., Communications, $72,008.25. Meanwhile, Jones County will receive $1.4 million from FEMA to buy 11 homes destroyed last year by flooding from Hurricane Floyd, Sen. John Edwards (D-N.C.).said. Under the voluntary buyout program, the homes will be demolished and the land, which is in 100-year flood plains, will become publicly owned open space. The money is part of an emergency aid package approved by Congress last year. FEMA will pay 75 percent of the cost and the state is responsible for the rest.

Reports Show Economy Slowing: Two economic reports issued on Wednesday confirm that the economy's rate of growth is slowing down. The Conference Board reported that the index of leading economic indicators declined by 0.1 percent in April, and the Department of Commerce said that housing sales declined by 5.8 percent. "Growth is slowing like a car in a school zone: Its engine is still revved up, but the vehicle itself is traveling at a lower speed," the NAM said. "These numbers confirm the emergence of a slowdown, especially in the wake of last week's data showing a decline in orders and slower consumer spending. The leading indicators demonstrate that the slowdown is broad-based. There was a decrease in new orders for consumer goods, pointing to a falling off in demand, while building permits declined, indicating that higher interest rates are slowing construction. The fall in home sales shows that there will be fewer home purchases and less construction in the face of higher mortgage rates. In the face of this new evidence, nobody can seriously argue that the rate increases have failed to slow the economy. There is now virtually no danger that the economy will overheat," the NAM concluded.

House Actions: The House Ways and Means Committee on May 25 approved a bill, H.R. 8, to phase-out the federal estate and gift tax over the next 10 years. Congress passes a similar bill last year but it was vetoed by President Clinton. . . .The House voted 420-2 on May 25 in support of a measure to abolish the 3 percent telephone excise tax, which was first imposed in 1898. The excise tax currently is imposed on both home and business phone bills for local and long-distance service. It was originally enacted as a temporary tax, but has been raised, lowered and extended over the past 102 years. Repeal of the excise tax was one of the majority recommendations submitted to Congress last month by the Advisory Commission on Electronic Commerce (ACEC).

Census Count Improving: Census Bureau Director Kenneth Prewitt reported Thursday that in every region of the country 90 percent or more of U.S. housing units have been accounted for -- meaning that a census form has been received for a unit or it has been identified as vacant. Some 66 percent of households mailed in their questionnaires, and field efforts to obtain information from households that did not respond are about 70 percent complete.

E-tail Sales Soaring: The data for retail e-commerce sales in the first quarter of this year show that e-retail or e-tail continues to strengthen and grow, the U.S. Commerce Department said Thursday in a report. E-tail sales increased from $5.198 billion in the fourth quarter of 1999 to $5.260 billion in the first quarter of this year, an increase of 1.2 percent. Over the same period, total retail sales including e-tail declined 8.9 percent, from $821.35 billion in the fourth quarter of last year to $747.84 billion in the first quarter of this year. The fall in retail sales from the fourth to the first quarters is normal, reflecting the end of holiday buying. The continued growth of e-tail commerce indicates that on-line retail purchasing is not merely or primarily an end-of-year holiday phenomenon. The relative strength of online retail commerce, compared to all retail sales, was evident across industry categories, including computers, autos, books, sporting goods and catalogue sellers. E-tail commerce represents a very small share of all retail sales, 0.70 percent in the first quarter. However, this compares to 0.63 percent in the fourth quarter of 1999. Therefore, e-tail's share of all retail sales grew 10 percent from the fourth quarter to the first quarter.

Corporate Support for Wetlands: U.S. Department of Commerce Secretary William M. Daley on Thursday inaugurated the National Corporate Wetlands Restoration Partnership, a new first-of-its-kind public-private program combining corporate contributions with federal and state funds to restore the nation's environmentally valuable wetlands and other aquatic habitats. The Gillette Company and the National Association of Manufacturers, founding partners of the program, worked with the federal office of Coastal America to create the National Corporate Wetlands Restoration Partnership. The partnership expands a program initiated in Massachusetts last year by Gillette, the Massachusetts Executive Office of Environmental Affairs and the U.S. Environmental Protection Agency. The program was extended to all New England states earlier this year. Secretary Daley said, "Recognizing the value of this unique public-private partnership, Gillette and the National Association of Manufacturers have agreed to take the program nationwide working through the Coastal America Partnership. These efforts epitomize the benefits that can be accomplished through public-private partnerships that bring together our collective resources to meet a common goal." The Massachusetts Partnership now has 17 corporate partners who have contributed a total of $1 million in funds and in-kind services. One restoration project is already underway in Massachusetts, and several others are in the planning stage.


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