WASHINGTON – Last summer, Downeast Concepts Inc., a company based in Yarmouth, Maine, imported toy rakes containing dangerous levels of lead and distributed 400 of them to stores throughout the nation.

The toys were manufactured in China and entered through Boston. The company discovered the problem on its own after it stepped up testing because of a series of recalls from big-name manufacturers such as Mattel.

The company reported the problem to the Consumer Product Safety Commission, the federal agency that monitors product safety, but the process of getting the products off the market was slower than expected, said Michael Perfetti, spokesman for Downeast Concepts.

The Senate passed a bill on Thursday that would increase staff and funding for the commission and provide stricter testing guidelines for inspection agents. The Consumer Product Safety Modernization Act also would make it more difficult for dangerous products to enter the country and make it easier for the public to learn about hazardous toys that land on store shelves.

The House version of the bill, which contained provisions sponsored by Rep. Tom Allen, D-Maine, passed in December. The House and Senate will now meet to reconcile the two versions before the bill heads to President Bush’s desk.

Key points in the Senate bill include a public database that would let consumers post product complaints online, while companies would be able to respond to the posts. The idea for the database stems from numerous complaints that the Consumer Product Safety Commission has been sluggish in responding to complaints and issuing recalls. The database is similar to one already used by the Department of Transportation, Sen. Susan Collins, R-Maine, said in an interview.

“The current system has failed at preventing toys from reaching American homes in the first place,” Collins said. “The system is backwards. Instead of detecting problems before they hit store shelves, we’re finding them after they reach millions of American homes. That’s where the commission has fallen short.”

In addition to leading an investigation of the toy recalls last summer, Collins sponsored a proposal in the Senate bill that would prevent “port shopping.” Port shopping is when importers whose products are rejected from one port try to sneak their hazardous goods through a different port. The Collins amendment, passed by the Senate, would require port authorities to seize and destroy products that fail initial inspections.

In addition to tightening the procedures for inspection, the bill would direct the commission to develop more detailed guidelines for customs agents to use in screening products. The bill also would increase the commission’s budget and staff and the penalties placed on companies that don’t follow the commission’s guidelines.

To prevent small businesses from being financially harmed through these strict guidelines, Sen. Olympia Snowe, R-Maine, proposed an amendment, which passed, to make the penalties proportional to the size of the company.

Snowe introduced two other amendments, both of which passed. One forces baby products to be tested and certified according to specific safety standards; the other increases the number of commission investigators sent overseas to inspect the production of U.S.-bound products.

But while the Consumer Product Safety Modernization Act was praised as a good first step, others believe it’s not tough enough.

“We support the bill and think the bill is a step in the right direction,” said David Arkush, director of the Congress Watch division of Public Citizen, a nonprofit consumer advocacy group. “But while it is stronger than the House version, I wish it was even stronger and we’re looking forward to working with Congress to make more reforms.”

Reform advocates also are pushing for stricter laws to prevent hazardous chemicals from being included in children’s products.

The Senate bill bans lead and phthalates, a chemical that can cause reproductive defects, from children’s toys, except for trace amounts.

But that’s not all they should ban, said Elisa Boxer-Cook, a Scarborough mother of a 5-year-old boy and a strong advocate for stricter product safety guidelines.

“The federal government is debating this bill, which is great, but they’re not considering any sort of disclosure of the harmful chemicals that are in these products,” Boxer-Cook said in an interview. She refers to chemicals such as Bisphenol-A, which also causes cancer and hormone deficiencies even in small amounts.

“A dozen states are now considering bills to stop these chemicals from being put in toys or to disclose the chemicals,” Boxer-Cook said.

Maine is one of the states attempting to toughen safety laws. A bill that would help to protect children from toxic chemicals in children’s products by forcing public disclosure of the chemicals is being considered in the Legislature. The legislation may go as far as banning the most hazardous chemicals.

Boxer-Cook said she supports this legislation and hopes the federal government will take steps to strengthen its standards to match the high standards in Europe.

“It would be illegal for this teether to be sold in Europe, this teether which still has my son’s teeth marks on it,” Boxer-Cook told a legislative hearing in Augusta on Feb. 28. “Manufacturers overseas often make two versions of the same toy. The one with toxic chemicals in it goes to my child in this country, and the safe version, without toxic chemicals, goes to a European child.”

Banning lead and phthalates is a step closer to Europe’s standards, where toys must be marked by a “CE” to assure their safety.

“This is a big victory for parents of small children,” said Sen. Dianne Feinstein, D-Calif., sponsor of the federal amendment that bans phthalates. “Europe and California have already stepped forward to made sure that toys laden with phthalates are kept away from the hands and mouths of young children. America’s parents should be able to have the same peace of mind that the toys they buy for their children are safe.”

Perfetti, of Downeast Concepts, said he agrees with much of what the federal bill mandates, but would like to see additional guidance to prevent the confusion that results when different states adopt different laws.

“We’d rather dedicate our resources to complying with federal safety laws than trying to figure out the confusing patchwork of laws in all 50 states, many of which are inconsistent,” Perfetti said. “That’s the best way to make sure that every company, large and small, knows what tests to perform and what certifications to obtain to ensure the safest products are sold to all of their customers.”