Senate panel sends tougher auto safety requirements to Senate floor

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Senate committee approves auto safety upgrades

WASHINGTON — A Senate committee Wednesday approved a bill that would require automakers to meet new safety standards, impose stiff penalties for companies that fail to quickly report defects and double funding for the government agency overseeing car safety.

The Senate Commerce Committee plan is part of a move by lawmakers to tighten the nation’s auto safety laws following Toyota’s massive recalls.

“This is a critical public safety bill that will affect the lives of millions of Americans on the road,” Sen. Jay Rockefeller, D-W.Va., the committee’s chairman, said.

Congress hopes to approve the safety legislation by the July 4 holiday recess. It represents the most significant reforms to auto safety rules since the Bridgestone/Firestone Inc. tire recalls of a decade ago.

A House committee approved similar legislation last month.

The Senate plan would require automakers to meet new standards related to brake override systems, vehicle black boxes and auto electronics in the aftermath of Toyota Motor Corp.’s recall of more than 8 million vehicles around the globe.

Under the Senate bill, companies could face penalties of up to $300 million for a slow response to a recall. Toyota paid a record $16.4 million fine for its handling of a recall but critics said the penalty was not severe enough.

Safety advocates also have questioned the ability of the National Highway Traffic Safety Administration to protect consumers from complicated safety defects. To address those concerns, NHTSA could see its annual budget grow from $140 million to $280 million in 2013.

Separately, the Senate committee approved the creation of a $120 million grant program for states that enact laws to bar texting and driving and the use of handheld cell phones behind the wheel.

To qualify, states would need to pass new laws or amend existing ones that would prohibit texting and driving, allow law enforcement officers to have the authority to pull over motorists who use their phones behind the wheel and create minimum fines.