CPSIA: Killing Small Businesses?

ETA3: I’m still figuring things out, folks. This is a deep quagmire, and none to easy to sort through what is hype and what is real. Most of my early information was very reactionary in tone, and so is being sifted through carefully, to find which parts are accurate.

ETA2: I’m not removing this post, but I am beginning to think all the information here is not 100% accurate. I am examining the CPSC’s clarification statement it made about the CPSIA, and will be annotating this post accordingly.

ETA: I’m getting ready to sell some of my knitted goods, among them potentially items for children, and can find nowhere whether or not I, as a single entrepreneur, or even as a handcrafter, would be exempt from this or not. If you know whether or not this would affect people like me, please leave me a comment.

This is a post originally written by chichiboulie and posted on Etsy.

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.

Annotation: The CPSC state, “Sellers of used children’s products, such as thrift stores and consignment stores, are not required to certify that those products meet the new lead limits, phthalates standard or new toy standards.”

This is apparently disputed in the blogosphere. Of course they’re not allowed to sell lead coated in phthalates. But they’re not required to go through the certification process or produce certification at the whim of whomever. There is some gray area re: what happens if they are found to be selling something that could be lead coated in phthalates, but there’s so many more areas of non-specification in this act, this one small point isn’t the biggest to worry about.

Moving on.


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

CPSIA: http://www.cpsc.gov/about/cpsia/cpsia.html

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

Further reading:

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