U.S. Chambers Asks Senate to Block Federalism Bill

Washington, D.C.—The U.S. Chamber of Commerce expressed alarm today at a Senate Government Affairs Committee vote to report S. 1214, the Federalism Accountability Act of 1999.

"Unless this bill is substantially rewritten, it would put an extraordinary burden on Congressional power to regulate interstate commerce." U.S. Chamber President and CEO Thomas J. Donohue said.

According to Donohue, S. 1214 could lead to a patchwork of state legislation and regulation that will increase costs to consumers and decrease the competitiveness of American made goods in international markets.

The Chamber is also concerned that issues of federalism are being used by the trial lawyers to prevent Congress from addressing lawsuit abuse and other national issues at the Federal level.

"The American Trial Lawyers Association has made stopping Federal legal reform one of their highest legislative priorities," Donohue noted. "As written, S. 1214 would help the trial lawyers achieve that goal."

He added, "The Chamber stands ready to work with sponsors of this legislation, but until the business community's concerns are met, it is asking Senators to oppose S. 1214."

The U.S. Chamber of Commerce is the world's largest business federation, representing more than three million businesses and organizations of every size, sector, and region.

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