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Tuesday, January 6, 2009

New Law Threatens Family Budgets, Environment, & Small Business

At Enkore Kids, your child’s safety has always our first priority since our opening in 2003. All toys and clothing accepted into our store must pass our rigorous system of safety. This includes the staff and myself personally testing the products for loose attachments and more importantly checking the CPSC’s recall website, among other safety measures. We value our relationship with you and your child and take pride in providing your child safe toys and clothing. We are mothers as well and nothing is more important than the safety of our children.



The Consumer Product Safety Improvement Act of 2008 (CPSIA), was created with the intent to toughen safety standards (particular with regards to lead and phthalates). It's key points are (in very abbreviated form as it is a 67 page law):

  • Ban phthalates in all durable child care items for children under 3.
    Progressively restrict lead in all children's items (includes all child equipment, toys, books, school supplies, electronics, clothing, shoes, etc) that is for use by children under 12.
  • As of February 10, 2009, the amount of lead may not exceed 600 ppm.
  • As of August, 2009, the amount may not exceed 300 ppm.
  • As of August, 2011, the amount may not exceed 100 ppm (unless the CPSC determines it is technologically unfeasible, in which case further guidance will be given).
    Beginning in November, 2008, all manufacturers were required to self-test all their skus, by batch or lot, and issue General Certification of Conformity (GCC) to accompany all imports or sales to distributors and retailers, regardless of where the product originates (domestic & foreign).
  • As of February 10, 2009, no items that do not pass these tests (or were not tested) may be manufacturered, sold, or distributed.
  • As of August, 2009, all children's products will be required to have permanent labels affixed to them showing manufacturer information and tracking information so batches and lots can be identified.
  • Also as of August, 2009, all children's products will be required to be tested by a third party accredited lab. No exceptions have been provided for. There are currently 18 accredited labs in the US.

While I support higher safety standards and required testing of potential lead-containing items, this law is seriously flawed in ways that are devestating to all sectors of our society. The major unintended consequence of the law is that all products legally made prior to November, 2008, will be assumed "hazardous" unless they were tested and the manufacturer can produce a GCC to prove it.

The CPSC's "Falvey Opinion" interprets the CPSIA to mean that the law with respect to lead is retroactive. This means unless a person or retailer can prove through testing that their child's item has less than 600 ppm lead as of February 10, 2009, it will be illegal to sell. Then in August, items legally made to contain less than 600 ppm of lead will be illegal to sell as the standard will be reduced to 300 ppm. This mass illegalization of children's products will again occur in August of 2011 when the standard changes to 100 ppm.

This will affect as examples only (not all inclusive):

  • All hand-crafters, work at home manufacturers, and small run manufacturers who will not be able to afford testing, which is estimated to cost between $150-$4000 per component tested, with an average cost of $500. As an example, a cloth diaper may have three components: inner fleece, outer lining, and velcro. At a cost of $500 per component, that would cost $1500 for one batch of cloth diapers using the same materials. Change the color or start on a new bolt of material and testing is required again.
  • Daycare providers as they are required by law to provide "safe" items for the children they care for as defined by the CPSC. As the CPSC's interpretation of the law is that untested items are unsafe unless proven by testing as safe, daycare providers will either need to obtain proof of testing from the manufacturer, test their items, or buy new items. However, they'll be forced to go through this again each time the law reduces the allowable level as the GCC provided doesn't say what the level is.
  • Thrifts, Consignments, and Charities that sell used items will not be able to resell used items without the GCC.
  • You will not be legally allowed to sell your own items on eBay, Craiglist (or any other site), or even hold a yard sale without providing a GCC to the buyer to prove their children's items are in compliance. You will not even be legally allowed to donate or give away these items, even to foreign countries as it is explicitly forbidden to "export" items not proven safe.
  • Hotels, hospitals, and any public play area will have to ensure all their child-related items are tested or replace them as they are provided to the public.
  • Libraries will have to ensure their children's books have been tested or replace them.
    New & Used book stores will likewise have to ensure their books for children are safe or discard them.
  • Schools will have to examine all their child-related items and supplies from books, to science equipment, to paper clips if they are to be used by children 12 and younger. Items not proven tested, will, by CPSC's interpretation of the law, have to be tossed as well.
  • PTA fundraisers that involve handmade crafts for kids will be forbidden.
  • Holiday craft bazaars by your local church will likewise be forbidden for children's products.
  • Trade shows for vintage Barbies, Star Wars Figures, Hotwheels, among others will be illegal.
  • Families looking to save money or be environmental friendly by reusing and recycling children's items will no longer be able to.

Does this sound extreme? Perhaps, but (as the fine for violations is $100,000 per offense and up to 5 years in jail) I am not willing to risk it and neither should you. As ignorance of the law is not often a good defense, it is vital that the word about this law and the CPSC interpretation of the retroactivity of it be spread far and wide to ensure it is fixed before more irrepairable harm is done.

A brief review of the internet by Googling "CPSIA" will show that 1000's of people are already making decisions to liquidate inventory, stop production, and file for bankruptcy. So I ask you to help change this law by:

  • Sign the Save Kids' Clothing Resale Petition! (Also has links to easily send your customizable comments to all your Congressional leglislators.
  • For Maryland Legislators, find phone numbers and websites for more contact information.
  • For other states, Google your representative and senators. It's much more impactful to call and visit personally than to just email.
  • Contact your local level government officials as well and local level Republican and Democrat committee members.
  • Call local radio shows and other media to ask that this issue get the coverage it deserves.
  • Vote for Change, the top 10 ideas will be presented to President Obama after his inaugeration.
  • Post your comments here and on other CPSIA Blogs. There is strength in numbers.
  • Find official information on the CPSIA at the CPSA's website.
  • Read the LA Times Article on the issue, too.

Forward this information to all your friends, especially parents, so they can help, too.

We request an immediate suspension of the CPSIA as written to stop American small businesses from going under in all the confusion until a new law can be thoroughly debated and provide for:

  • Allowing of pre-existing, non-recalled children's items legally manufactured to continue to be legally sold despite future mandated reductions in lead content as it is impossible for the end consumer to know under what standard a particular item was made.
  • Exclusions from testing for small manufacturers and hand-crafters that have historically not had issues with recalls.
  • Exclusions for testing materials that are by their nature, non-toxic such as cotton, wood, etc.
  • Specific exclusions for items that by their nature must have lead in them (ie: bicycle tire valve stem, many electronic components) even though a child under 12 will be using it. Provide for labeling of these components so parents are informed.

Please use these points when speaking with our elected officials because just denouncing a bill without a recommended course of action will likely not get far.

Thank you for reading this and I (and my fellow business owners, families, and other concerned citizens) appreciate your help.

Jennifer Guenther
Enkore Kids
CEO/Mommy
http://www.enkorekids.com/
http://www.enkorestuff.com/

6 comments:

  1. All it takes for tyranny to prevail is for good men (and women) to do nothing...
    -Edmund Burke

    The scariest 9 words in the English language: "I'm from the government and I'm here to help."
    -Ronald Reagan

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  2. Being a grandmother of five I depend on purchasing things at a reduced price from yard sales and resale type stores (like Enkore Kids). My 4 children also grew up clothed in good quality used clothing and played with a selection of used toys. I can't imagine the hardship this new law will impart on people who in todays economic times can't afford to purchase these items new.
    I can't understand how in an environment of recycling to protect our landfills from expanding and keeping from using up all our resources our government now says this is all right.
    I fully support the protection of our children (my grandchildren) by making our manufacturing laws more stringent in the future but it just doesn't make sense to dispose of what we already have just on the chance these items may contain lead or phthalates. Yes testing is possible but on individual used items the cost of testing can easily be more expensive than the item itself.
    I also underestand things like childrens books will also need to be tested if they are intended for children 12 and under. How about public libray books, school text books and day care and school toys and play equipment? Everyone's taxes will increase to pay to either go back and test the existing items or replace them with ones that will be manufactured under the new law requirements. So don't think because your children are over 12 that you won't be impacted with these new requirements if they are judged to be retroactive.
    Please contact your congressmen and senators now before it is too late. Tell them that some exceptions need to be made for items already in use, consignment stores, thrift shops, yard sales, craft shows, and resale on E-Bay and other internet auction sites like Craig's List. Before all these things come to a skreeching halt some type of postponemnt in the implimentation of this new law has to be made. Thanks for listening, Mary Ann

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  3. I am a mother to three girls ages 5 years to newborn and enjoy utilizing these cosignement shops. I also fel pride with getting my 5 year old involved in donating items we no longer need but still can be used by other children that are unable to afford the things I can provie for my children. I also sell on cildrens items on Ebid.net and have a decent inventory that will be worthless if this law is passed.

    We arealrady suffering from a poor economy and this law will make its much worse not to mention the families that rely on Goodwill, charities, and consignmet stores to clothes their children.

    I have already signed a petition urging that the President suspend this law until they can safegaurd the small bussiness owners, crafters, etc. as well as contacting our local news agency to bring light onto this subject. I have also started to spread the word to my customers and friends so they can also take a stand. I plan to also contact our local government agencies (mayor dep, congressman, senate) to inform them that they need to step in. And though in the past there have been laws that passed I may not have agreed on completely, this is my FIRST TIME to actually do something.

    Please, I urge everyone to blog about this, spread the word, contact newspapers and television to cover this. Contact local stores and your local government officials to put a stop to this as it will affect EVERYONE! As stated earlier, I have a 5 yr old girl, a 13 month baby, and my 3rd daughter is due on 2/2/09, as well as my own small bussines. If I can fid the time to do this, ANYONE CAN!!!

    Thanks to Enkore Kids for this insiteful blog, and though I live in Kansas, next time I'm out East I will be stopping by.

    Sincerely,
    Heather M.
    http://us.nine.ebid.net/perl/account.cgi?mo=account-pending

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  4. Just released statement by CPSC
    http://www.cpsc.gov/cpscpub/prerel/prhtml09/09086.html

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  5. Here is some additional information about this law. Good news...http://www.cpsc.gov/cpscpub/prerel/prhtml09/09086.html

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  6. Unfortunately, the press release from the CPSC doesn't help us at all. Though it said that reseller are not required to test existing inventory, the law already made that clear for everyone: resellers & retailers alike. The catching point is that we are still liable for the retro-active nature of the law so items legally made last year may be illegal to sell after February 10. The press release reiterates that, stating:

    "However, resellers cannot sell children’s products that exceed the lead limit and therefore should avoid products that are likely to have lead content, unless they have testing or other information to indicate the products being sold have less than the new limit. Those resellers that do sell products in violation of the new limits could face civil and/or criminal penalties."

    So, without us testing, how do we know we are in compliance?

    With regards to the resale industry, the only change that will help us is to NOT make the law applicable to existing inventory. This is a huge issue, because, Feb 10 the limit goes down to 600ppm for lead and in August, 2009, it goes down to 300ppm (and makes it illegal to sell the items previously legal at 600ppm). Then in August 2011, the law goes down to 100ppm for lead, again, making all previously legal items above that limit illegal.

    This is troubling for new products we sell as well because, the General Certification of Conformity manufacturers are required to send us is not required to state at what level of lead is present, if any. So all inventory will have built in obsolence as the date for the new limit comes close.

    To protect the resale industry, we also need the CPSC to take responsibility for publically recalling products before holding people liable for selling them.

    I appreciate your assistance with this. Thank you!

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