Can You Afford the CPSIA Product Testing?

This week Michelle discusses the ramifications of the CPSIA law which mandates product testing on handmade items designed for children. The basis of the law is good – to protect children from dangerous lead poisoning – but many small business owners cannot afford the product testing and will have to close their doors.

Michelle is joined by the founder of Just Be Products, Michelle Pratt-Lienhart. Michelle says she can’t afford the testing on her apparel line and will probably have to stop producing if the law isn’t changed. She also questions why the larger manufacturers are not held responsible for the testing since they are better able to absorb those costs.

Will The CPSIA Affect Your Business?

Welcome to PSTR episode #57

This week Michelle Waters explains the many problems with the CPSIA law which is meant to protect children’s products from having dangerous levels of lead. While the idea of protecting our children from lead is a good one, this law is putting thousands of small businesses out of business because of the expensive required testing of each product and the harsh penalties for violators.

Cecilia Leibovitz is the founder of Craftbury Kids and she sells handmade children’s items and gets inventory from a number of small artists and business owners. She shares how this law is affecting her own business and suggests ways that consumers can fight to get some changes made.

Call Me A Fan Of Commissioner Thomas H. Moore

IAfter reading his statement releasesd today in response to the CPSC’s stay, I think this guy gets it.

Take a peek at his comments, which you can read in context at the CPSC site.

From the outpouring of letters, emails and phone calls to the agency, it is clear that many smaller manufacturers did not know that there were any federal standards that applied to their products, had no idea how to have their products tested and may never have heard of the CPSC,
or if they had, did not think this agency had any relevance to their business. Their reaction made a number of things clear:

  • That the new electronic media channels, particularly the blogs, are tremendously useful tools for disseminating important information to small businesses, but that they can also be a channel for spreading confusing misinformation,
  • That the Commission has not done enough to make the home crafters and other smaller businesses aware of their pre-existing obligations under the law,
  • That the new law (CPSIA) has done what the Commission had not been able to do, get the attention of many, many of these smaller manufacturers with respect to their responsibility to assure the safety of their products, and
  • That the vast majority of these smaller businesses, while they may not know the specific rules that apply to their products, are likely making safe products, or they would have come to our attention.

I think something else that his comments has made clear is that product manufacturers and sellers need to do a better job of researching the regulations and laws that apply to their products and businesses. Even if you “know” that your product is safe, you still need to be aware of and in compliance with the law.

Of course, i know that I’m preaching to the choir here…

CPSC Grants Limited Relief To Children's Product Makers

A one-year stay of enforcement for some testing and certification requirements for manufacturers and importers children’s products has been approved by the Consumer Product Safety Commission, according to a press release published today by the CPSC.

The stay of enforcement provides some temporary, limited relief to the crafters, children’s garment manufacturers and toy makers who had been subject to the testing and certification required under the CPSIA. These businesses will not need to issue certificates based on testing of their products until additional decisions are issued by the Commission. However, all businesses, including, but not limited to, handmade toy and apparel makers, crafters and home-based small businesses, must still be sure that their products conform to all safety standards and similar requirements, including the lead and phthalates provisions of the CPSIA.

Handmade garment makers are cautioned to know whether the zippers, buttons and other fasteners they are using contain lead. Likewise, handmade toy manufacturers need to know whether their products, if using plastic or soft flexible vinyl, contain phthalates.

Note that while these businesses will not need to issue certificates based on testing of their products until Feb. 10, 2010, they will still be responsible for making sure that their products conform to all safety standards as described in CPSIA.

Acting Chairman Nancy Nord has published a statement regarding the stay, as has Commissioner Thomas H. Moore.

If you are affected by this law, I recommend you read the press release thoroughly and submit any questions you may have to the CPSC directly.

Update: Here is an excellent interpretation of what this stay means.

New Legislation Slated To Reform CPSIA

In an effort to protect small businesses Sen. Jim DeMint, R-S.C., plans to introduce legislation to reform the Consumer Product Safety Improvement Act (CPSIA) next week, according to his official website.

DeMint states is his post that the legislation will:

  1. Delay the regulation six months
  2. Allow small manufacturers to use testing and certification performed by their component suppliers
  3. Exempt thrift stores, consignment shops and other resellers
  4. Prevent retro-active enforcement of the act
  5. Provide a one-time good-faith exemption
  6. Require the Consumer Product Safety Commission to provide small businesses with a compliance guide

According to DeMint:

It is my sincere hope that these reforms will ensure that children’s products remain safe and that our small businesses remain afloat. In this time of economic uncertainty it is inexcusable that we are placing small businesses — the proven engine of job creation — in such peril.

I’ll keep you updated when I hear more about the introduction of this legislation and the outcome.

Possible Delay of CPSIA?

I just received word from Kathleen Fasanella that the Consumer Product Safety Commission has posted a stay of enforcement of the Consumer Product Safety Improvement Act on their website. You can read it for yourself, if you’d like.

Basically, it looks like the document states that they are forwarding to the Commission a draft of a notice to delay product testing and certification as required under Section 102 of CPSIA until further notice.

Will keep you updated on what this means for home business owners.

If you’re not sure what Section 102 is or what CPSIA is, read through the posts below.

CPSIA Compent Testing Comments Due Tomorrow!

If you’d like to support amending CPSIA to allow third-party testing of components, you need to send your comments to the Consumer Product Safety Commission by tomorrow.

Renee Holiday posted on TheBabyWearer.com that she has sent a letter to the CPSC and generously provided a copy of her letter. You can copy and paste the letter into your email program and send it as well.

Component testing will help micro-businsess by making the testing and compliance standards accessible. Many of the businesses affected are run by moms who are supporting their families or supplementing their household’s income.

CPSIA Blog-In Day Roundup

CPSIA Blog_in


Of all the posts made today, there are a few that I’d like to point out for your reading pleasure:

Consumer Reports claims there is nothing wrong with CPSIA and their readers, many small business owners, give them an earful.

Information and action kit posted by Etsy. (It’s a PDF file.)

Nico Designs blogger talks about what CPSIA means to her.

Mamatudes posts a call to action

You’ve gotta love the cat vomit analogy from My Aphrodite Jewelry.

Cara at The Household Helper weighs in on the effects to her local thrift store.

Carrie at Natural Moms Talk Radio shares background information on CPSIA after an interview with a small business owner on the topic.

Vancouver Boutique In Danger Of Closing Over CPSIA

Even if you’re still able to continue creating your product, some of your retailers may not be around to sell them. Take a look at the plight of this Vancouver children’s boutique, and similar businesses.

Owner of Boomba Toomba, Mishalla Cannon-DeGagne, plans to try to keep her business open, but has had to rewrite her business plan and may focus only on women’s products if the law goes into effect February 10 without amendment.

According to the article:

Boomba Toomba is one of many small businesses that are bracing themselves for Feb. 10, when new requirements of the Consumer Product Safety Improvement Act (CPSIA) will take effect. The act, drafted in response to the 2007 recall of Chinese-manufactured toys, is designed to monitor and limit the use of lead and phthalates in any item manufactured for children under 12. As of Feb. 10, store owners will be required to check their stock of said items for lead and phthalate levels that exceed the maximum allowed amount. Such testing requires considerable financial backing, which smaller businesses are unable to front.

Take Action Against CPSIA!

From Michelle:

This post is a plea that will go out on hundreds of blogs today as part of a grassroots effort by Etsy Crafters to make an impact on the blogosphere regarding the plight of small child-related product manufacturers.

As parents and concerned citizens I’m sure most of us at one time or another have been confronted with the question of lead poisoning. But have you asked yourself what your government is doing to protect your children from lead contained in toys? The answer? They’re banning toys, taking books from schools and libraries, hurting low income families, killing entrepreneurial spirit and risking putting the economy in an even greater depression than we’ve seen in decades. I’d like to introduce you to their solution: the CPSIA.

Do you know about the CPSIA? No? Then I ask you to take a few minutes to find out about it.

The CPSIA stands for Consumer Product Safety Improvement Act, a new set of laws that will come into effect on 10 February, 2009 and will impact many, many people in a negative way. Make no mistake, this is very real. View it for yourself. If Forbes, the American Library Association and numerous other media are paying attention, perhaps you should too.

How will these new laws affect you? Well, here are a few examples:

To the Parents of Young Students:
Due to the new law, expect to see the cost of school supplies sky rocket. While those paper clips weren’t originally intended for your student to use, they will need to be tested now that your 11-year-old needs them for his school project. This law applies to any and all school supplies (textbooks, pencils, crayons, paper, etc.) being used by children under 12.

To the Avid Reader:
Due to the new law, all children’s books will be pulled from library and school shelves, as there is no exemption for them. That’s okay though, there’s always television. Our children don’t need to learn the love of reading after all.

Article from the American Library Association http://www.wo.ala.org/districtdispatch/?p=1322

To the Lover of All Things Handmade:
Due to the new law, you will now be given a cotton ball and an instruction manual so you can make it yourself since that blanket you originally had your eye on for $50 will now cost you around $1,000 after it’s passed testing. It won’t even be the one-of-a-kind blanket you were hoping for. Items are destroyed in the testing process making one-of-a-kind items virtually impossible. So that gorgeous hand-knit hat you bought your child this past winter won’t be available next winter.

To the Environmentalist:
Due to the new law, all items in non-compliance will now be dumped into our already overflowing landfills. Imagine not just products from the small business owners, but the Big Box Stores as well. You can’t sell it so you must toss it. Or be potentially sued for selling it. You can’t even give them away. If you are caught, it is still a violation.

To the Second-Hand Shopper:
Due to the new law, you will now need to spend $20 for that brand new pair of jeans for your 2-year old, rather than shop at the Goodwill for second hand. Many resale shops are eliminating children’s items all together to avoid future lawsuits.

To the Entrepreneur:
Due to this new law, you will be forced to adhere to strict testing of your unique products or discontinue to make and/or sell them. Small businesses will be likely to be unable to afford the cost of testing and be forced to close up shop. Due to the current economic state, you’ll have to hope for the best when it comes to finding a new job in Corporate America.

To the Antique Toy Collector:
Due to the new law, you’d better start buying now because it’s all going to private collection and will no longer be available to purchase. “Because the new rules apply retroactively, toys and clothes already on the shelf will have to be thrown out if they aren’t certified as safe.” http://online.wsj.com/article/SB123189645948879745.html

To the American Economy:
Already struggling under an economy that hasn’t been this weak in decades, the American economy will be hit harder with the inevitable loss of jobs and revenues from suppliers, small businesses and consumers. The required testing is far too costly and restrictive for small businesses or individuals to undertake.

To the Worldwide Economy:
Due to this new law, many foreign manufacturers have already pulled out of the US market. You can imagine the impact of this on their businesses.

If you think this is exaggerating, here is a recent article from Forbes
http://www.forbes.com/2009/01/16/cpsia-safety-toys-oped-cx_wo_0116olson.html

And for those of you prepared to be stupefied and boggled, The New Law
http://www.cpsc.gov/about/cpsia/cpsia.html

Did you know? If this upsets or alarms you, please react.