September 10th CPSIA Hearing – Watch it online!

At long last, Henry Waxman has finally agreed to hold a hearing about the CPSIA.  Great!  Except that only ONE witness is scheduled to testify: the new CPSC Chairman Inez Tenenbaum.  How a hearing on the CPSIA can be of any benefit to Congress (and the citizens they represent) without including testimony from the affected parties, is beyond me.  You can watch the hearing online here.

We owe a huge debt of gratitude to Rick Woldenberg for his tireless dedication to this cause, and for keeping us informed and updated through his blog.  You can read the latest about the hearing here.  Rick collected more than 110 letters protesting the committee’s decision to hold a hearing without testimony from small businesses.  Because I was out of town, my letter was sent late (probably too late for inclusion) but I will post it here anyway.  I strongly recommend checking out the letters – it is an impressive collection.  Here’s mine:

September 9, 2009

The Honorable Henry Waxman, Chairman

The Honorable Bobby Rush, Subcommittee Chairman

House Energy and Commerce Committee

2125 Rayburn House Office Building

Washington, DC 20515

The Honorable Joe Barton, Ranking Member

The Honorable George Radanovich, Subcommittee Ranking Member

House Energy and Commerce Committee

2322A Rayburn House Office Building

Washington, DC 20515

Dear Chairmen and Ranking Members:

I am at a loss to comprehend how the Committee hearing set for September 10, 2009 in which the Hon. Inez Tenenbaum, Chairman of the U.S. Consumer Product Safety Commission (CPSC), is scheduled to testify on the implementation of the Consumer Product Safety Improvement Act (CPSIA) can be of any benefit to Congress or the citizens you represent without additional testimony from affected parties, especially the small businesses devastated by this law.

These overly-broad regulations have wreaked havoc on small businesses, crafters, and artisans producing a wide array of safe, domestically made products.  These products are good for our kids and good for our economy.  Thousands of letters to this committee and to the CPSC have detailed “unintended consequences” including business closures, like mine.  I would argue that the implementation of CPSIA has made my children significantly less safe.  Consider:

• Because of CPSIA, the CPSC is now busy issuing yard sale regulations, advising the ALA to sequester old library books, writing “handbooks” explaining that only used clothing without zippers, snaps, buttons or screen prints are fit be donated, reused or sold, as well as producing lengthy legalese detailing (without any clarity) the difference between a ball point pen intended to be used by a child vs. one intended to be used by an adult, but which may appeal to a child.  All this, instead of using the Commission’s resources to police the marketplace for real dangers.
• Because of the CPSIA (inspired by the 2007-8 toy recalls) Mattel (one of the offenders) has received approval to test their own products in-house, while everyone else is subjected to expensive (and objective) third-party testing.  How does that make my kids safer?  Not to mention, how is this good government practice: the offender is rewarded with less competition (through small business closures), and cost-cutting self-policing, while the innocent get regulated out of business?

The few steps the CPSC has taken to ease implementation have questionable relevance, as State Attorneys General retain the right to enforce the law as Congress wrote it – and as it remains today – unchanged due to this committee’s unwillingness to fix the obvious and fatal flaws.

I urge you to reconsider.  Hold hearings in good faith with real testimony from those affected.  Rework the law to allow the CPSC the latitude to focus its resources on actual risks, allow small businesses to achieve compliance by using compliant component parts, and require State Attorneys General wishing to enforce the law, to do so only according to the CPSC’s interpretation of the law, as businesses cannot reasonably be accountable to fifty different interpretations of the law.

Sincerely,

Jennifer Swab DeGrace

Owner, Designer

Jen Lynn Designs (closed since 2/10/09)

Congress just lost their CPSIA scapegoat

As Congress follows Henry Waxman’s lead, insisting that the CPSC has the authority to use “common sense” in implementing the CPSIA, new CPSC decisions and Commissioner’s own statements again make it clear they have no such power.

All three CPSC members’ statements on yesterday’s decision to deny the exemption of crystal and glass beads underline the inflexibility of this law, which has stripped the CPSC of its authority to use risk-based analysis in their determinations. Their statements included the following excerpts:

From Chairwoman Inez Tenenbaum:

“… In making a determination, I was mindful that the statute does not use the term “harmful” amount or another term which would allow staff to utilize a risk based approach. …Thus while Commission staff recognized that most crystal and glass beads do not appear to pose a serious health risk to children, because ingested crystal beads that leach lead will result in some lead absorption, the request for an exclusion must be denied.” “…the statutory language…does not allow for the consideration of risk.”

From Commissioner Thomas Moore:

“… To allow this exception to our enforcement activities is simply not supportable under the strict standards of the CPSIA.”

From Commissioner Nancy Nord:

“… Because the statute does not give us the ability to be flexible, I cannot vote to grant an exclusion in this case. However, not granting an exclusion will result in the removal of safe products from the marketplace, causing significant economic injury. Therefore I believe there is only one equitable solution available to us and that is to grant a stay of enforcement for a limited time while Congress considers the unintended consequences of the CPSIA, e.g. products banned that have no real safety issues; economic hardship that is unnecessary to achieve consumer safety; and in this case, 10-year old girls being told by the Federal Government that they cannot have rhinestones on their jeans.”

Their full statements are available here:

Commissioners’ Statements on the Request from the Fashion Jewelry Trade Association to Exclude Crystal and Glass Beads in Children’s Products from the Lead Content Limits Under Section 101(b)(1) of the CPSIA:
Chairman Tenenbaum <http://www.cpsc.gov/pr/tenenbaum071709.pdf>
Commissioner Moore <http://www.cpsc.gov/pr/moore071709.pdf>
Commissioner Nord <http://www.cpsc.gov/pr/nord071709.pdf>

Past commission statements had already made the point that their hands were tied by the CPSIA, so what’s different now? Congress can no longer blame Republican Nancy Nord for CPSIA problems. Obama appointee, Inez Tenenbaum is the new Chairwoman. Ms. Tenenbaum’s statement agrees that there is no wiggle room in the CPSIA to “utilize a risk based approach”.  Congress just lost their scapegoat.

As Chairman of the House committee with jurisdiction over the CPSIA, it’s way past time for Henry Waxman to step up and fix this legislative disaster. Holding hearings with testimony from affected parties would be a good place to start.

On July 7th, Henry Waxman publicly agreed to hold hearings on the CPSIA during an appearance on The Diane Rehm Show, but he has since cancelled those hearings yet again. Apparently, he can make time to promote his own book, but not to save and/or restore thousands of US jobs with the stroke of a pen, or insure the integrity of legislation he supports.

Please contact your representatives and urge them to push for CPSIA hearings and reform, especially if they are on the House Energy and Commerce Committee:

Henry Waxman (chair) D-CA (30th Dist)
John Dingell (chair emeritus) D-MI (15th Dist)
Edward Markey D-MA (7th Dist)
Rick Boucher D-VA (9th Dist)
Frank Pallone, Jr D-NJ (6th Dist)
Bart Gordon D-TN (6th Dist)
Bobby Rush D-IL (1st Dist)
Anna Eshoo D-CA (14th Dist)
Bart Stupak D-MI (1st Dist)
Eliot Engel D-NY (17th Dist)
Gene Green D-TX (29th Dist)
Diana DeGette D-CO (1st Dist)
Lois Capps D-CA (23rd Dist)
Michael Doyle D-PA (14th Dist)
Jane Harman D-CA (36th Dist)
Janice Schakowsky D-IL (9th Dist)
Charles Gonzalez D-TX (20th Dist)
Jay Inslee D-WA (1st Dist)
Tammy Baldwin D-WI (2nd Dist)
Mike Ross D-AR (4th Dist)
Anthony Weiner D-NY (9th Dist)
Jim Matheson D-UT (2nd Dist)
GK Butterfield D-NC (1st Dist)
Charlie Melancon D-LA (3rd Dist)
John Barrow D-GA (12th Dist)
Baron Hill D-IN (9th Dist)
Doris Matsui D-CA (5th Dist)
Donna Christensen D-VI
Kathy Castor D-FL (11th Dist)
John Sarbanes D-MD (3rd Dist)
Christopher Murphy D-CT (5th Dist)
Zack Space D-OH (18th Dist)
Jerry McNerney D-CA (11th Dist)
Betty Sutton D-OH (13th Dist)
Bruce Braley D-IA (1st Dist)
Peter Welch D-VT
Joe Barton (ranking member) R-TX (6th Dist)
Ralph Hall R-TX (4th Dist)
Fred Upton R-MI (6th Dist)
Cliff Stearns R-FL (6th Dist)
Nathan Deal R-GA (9th Dist)
Ed Whitfield R-KY (1st Dist)
John Shimkus R-IL (19th Dist)
John Shadegg R-AZ (3rd Dist)
Roy Blunt R-MO (7th Dist)
Steve Buyer R-IN (4th Dist)
George Radanovich R-CA (19th Dist)
Joseph Pitts R-PA (16th Dist)
Mary Bono Mack R-CA (45th Dist)
Greg Walden R-OR (2nd Dist)
Lee Terry R-NE (2nd Dist)
Mike Rogers R-MI (8th Dist)
Sue WIlkins Myrick R-NC (9th Dist)
John Sullivan R-OK (1st Dist)
Tim Murphy R-PA (18th Dist)
Michael Burgess R-TX (26th Dist)
Marsha Blackburn R-TN (7th Dist)
Phil Gingrey R-GA (11th Dist)
Steve Scalise R-LA (1st Dist)

Keep writing, emailing and calling.  Many livelihoods depend on it!

Welcome support for CPSIA fighters

A couple of recent publications worthy of note (great articles to share and inform):

Getting the Lead Out Kills Small Businesses, Doesn’t Save Children 7/15/09
by H. Sterling Burnett and Michael Hand
National Center for Policy Analysis (NCPA)

EDITORIAL: Lead in the head, Safety regulations kill jobs 7/16/09
The Washington Times
(thanks to @NAM_Shopfloor for tweeting the link to this editorial)

Note: the Washington Times editorial may reach a larger audience unfamiliar with the vast negative implications of the CPSIA.  Consider leaving a comment there with your story, and/or praise the media for (finally) reporting on this issue responsibly.

Also, I have added a list of “CPSIA Information Resources” in the right column of the “CPSIA News” category.  I rely on these sources and I know you will find them helpful.

Tell Henry Waxman what you think of the CPSIA!

I’ve been Tweeting about it all day, but here are some details.  Tomorrow 7/7, Representative Henry Waxman, Chair of the House Energy and Commerce Committee will be on The Diane Rehm Show on NPR.  As Chairman, Mr. Waxman has considerable authority over the fate of the CPSIA, so this is a unique opportunity to ask him why he refuses to acknowledge the need for an amendment.

The Show’s stated topic:

Representative Henry Waxman, Congressman Henry Waxman, 30th District, California chairs the House Energy and Commerce Committee. He offers his perspective on health care and climate change legislation and explains how Congress really works.

Please call in to the show (1-800-433-8850) to question Mr. Waxman directly.  You can also send your question/comment via email (drshow@wamu.org)

Here is the email I sent this evening (I attempted to frame it within the context of the stated show topic):

Dear Ms. Rehm,
I am a huge fan of your show and listen often.  Thank you for the excellent work you do.

As a Liberal/Progressive mom, I imagine Mr. Waxman and I support many of the same causes.  But how can we trust Congress to reshape health care and energy when we have seen “how Congress really works” through their enactment of lemons like the Consumer Product Safety Improvement Act of 2008?

As a result of that seriously flawed legislation:
- Childrens books printed before 1985 are banned
- Used kids clothing must be sent to the landfill instead of being donated or consigned
- Domestic crafters selling handmade products (like myself) have been shut down
- Big toy companies actually guilty of selling tainted toys have been rewarded by the bankruptcy of their smaller competition, who simply don’t have the economies of scale to support the cost of the redundant testing, certification and permanent labeling specifically mandated by the sweeping new regulations

If these were “unintended consequences” why hasn’t Congress fixed them with a common-sense amendment?  My children are no safer as a result of this law, and their mom is out of business.  With a track record like this, I shudder to think of what my kid’s health care will look like after Congress gets a hold of it.

Sincerely,
Jennifer DeGrace

Nearly extinct. Add Yours.

If you make or sell products that are negatively impacted by the CPSIA, like me, you are probably tired of writing to your Congressional representatives blogging, tweeting and generally informing the public of what a disaster the CPSIA is for fans of all things handmade and second-hand.  Let’s face it, it sucks to be the bearer of bad news, and it can be exhausting (rather like beating your head against a wall) to interact with public officials.  I’m not saying we can abandon all that, but here is a welcome change of venue, courtesy of Colleen Jamison at www.TheNaturalToyBox.com:

Email Colleen (see her website above for contact info, or find her at Twitter: @naturaltoybox) a photo of a product you make, sell or buy (yes, you can participate as a consumer) that cannot survive the CPSIA in its current form and will therefore soon be extinct.  Include a paragraph or two (or a link to it) about the impact of the CPSIA on you, your household or your business.  Every day, Colleen will feature a soon-to-be-extinct product via Twitter, and the group of products and stories will be compiled as a powerfully moving message to lawmakers and the still largely unaware public.

Please take a few minutes to email Colleen your story and product.  I sent her a link to this page.

Here is a photo of one of my formerly best-selling hair bows.  Imagine the testing cost for all the various ribbon types in this one bow design.  Multiply that by hundreds of designs, most available in three to five different sizes, and each of those available attached to a wide variety of clips, barrettes and pony elastics.  The possible iterations are endless.  Customization, luxurious detail, and a continually growing product offering (based on seasonal fashion trends) were all hallmarks of my business, and are all reasons it is impossible for me to comply with CPSIA testing, certification and labeling regulations.

This excerpt from my February 2009 letter to President Obama describes my situation:

I have had to close my hair accessory business because testing is simply not an attainable option for a small producer of custom products. Congress has made it painfully clear how expendable and insignificant they consider my plight through their profound lack of response to my repeated requests for CPSIA reform. But I believe my situation is representative of thousands, and worth a closer look.

If family integrity is revered at all, the entrepreneurial efforts of mothers providing their families with needed income while home caring for their children should be valued and encouraged, not ignored, disparaged, or regulated out of existence. And it goes well beyond moms like me, working from home. My local consignment shop, a 26 year old family business, has stopped selling children’s items – previously the largest portion of their sales. I’m afraid to sell my own kids’ outgrown clothing, which typically funds their next year’s wardrobe. Our school district and local library are biting their nails, waiting, hoping for reasonable reform before the stay of enforcement expires. Even many domestic manufacturers far larger than myself can’t afford to comply with testing requirements and are on the brink of collapse. Personally, I have lost my disposable income, and with it, my ability to stimulate the local economy. Multiply these experiences by tens of thousands across the country.

And while businesses hobble along, crippled by the CPSIA, close up completely, or operate unknowingly in violation (risking significant liability) Congress deflects responsibility and plays politics with the CPSC. The complete unwillingness of Democratic lawmakers to even concede there is more to the story than big business vs. children’s safety is excruciatingly disheartening to me as a liberal, forsaken by my own party.

The complete letter is here.  A week or two ago (about 4 months after sending this letter to the President) I received a card from the White House in response.  It thanked me for communicating with the President, but made clear that no one had read my letter yet, as they are very busy.

Thanks Colleen, for your work to amend the CPSIA.  It will obviously require a continued and tireless effort on all our parts.

Join the Handmade Toy Alliance in fighting the CPSIA

I’m pleased to pass along this message from the HTA, an organization that has been instrumental in bringing together the small and independent artisans, crafters and businesses negatively impacted by the CPSIA:

Open Letter to crafters, small businesses, and supporters of handmade (please feel free to post this on your own blog):

You may already be aware that the Handmade Toy Alliance has become a non-profit organization with a mission not only to continue to work toward change in the Consumer Product Safety Improvement Act, but first and foremost to support crafters and small businesses in the children’s industry on an ongoing basis. Or maybe you have yet to learn who we are. If that’s the case, you can learn all about us at handmadetoyalliance.org.

Joining the HTA is not just about fighting the CPSIA; it’s about you and growing your business. As makers and sellers of small batch products for children, we came together out of an imminent need to fight for our right to remain in business. Along the way it became clear that no organization existed to support people like us. So we thought- “Why not be that support system?”

At the start we were ignored by the CPSC and Congress. Nevertheless, our energy and commitment remained steadfast, and as our numbers grew, our collective voice became and continues to be important and respected in the CPSIA debate, proving that a small group of concerned citizens really can change the world. It’s only natural that we use that voice to continue our work, and offer valuable resources to your business.

There are a number of ways that HTA membership can benefit your business, all of which are listed here: http://www.handmadetoyalliance.org/join-the-handmade-toy-alliance/ In this post, I’d like to talk about my favorite, and in my opinion–hands down–the most important tangible benefit.

Sure you’ll help in the fight for a better CPSIA by joining the HTA, and your support is greatly needed and appreciated. But did you know that membership also includes built in marketing for your business? For my small business, this alone makes the membership dues well worth it. Dues by the way, can be as low as $35 a year.

As a small business owner, I’m sure you’re well aware of the ever rising costs of PR and advertising. As an HTA member you’ll benefit from a low cost approach to growing your business. You’ll receive a profile page on the HTA website, with a description of your services, and photos of you and your products, linked to your own website. The site is regularly visited by members of the press as well as parents and others interested in handmade products. Your inclusion will improve search engine rankings, and open up the opportunity for members of the press to learn more about you, as well as increase your pool of potential customers.

In addition to your profile page, you will be given the opportunity to participate in affordable cooperative advertising, as well as a featured business write up on the Handmade Toy Alliance blog. As we grow there will continue to be new marketing ideas and you’ll be on the ground floor.

We are all part of a small and still largely untapped niche in the children’s industry. Every day millions search for unique gifts and other items for their children. By joining the HTA you become part of an alliance of innovative businesses ready to serve this unique segment of the market.

Since its inception, the HTA has been member driven. Rather than act as a large untouchable force, we want to continue to be approachable and accessible as peers. HTA members hold a diverse range of talents and knowledge, and we’ve been quite successful at tapping into this pool for the benefit of us all. As an HTA member, you get to both give and receive, thus you become a part of the process that shapes the future of this alliance. But rest assured if you’re too busy to be involved in this process. Participating in the development of the alliance is optional. You decide how much or how little you want to be involved, if at all, while still reaping the benefits offered.

Please consider becoming a member of the HTA . More information and a sign up form can be found here: http://www.handmadetoyalliance.org/join-the-handmade-toy-alliance/ For the low cost of membership you’ll be joining with a unique group of businesses that hold in common the fact that we all offer something truly special to the children’s industry, and a unique talent for working together to bring novel ideas into fruition.

Yours truly,

Cecilia Leibovitz
Craftsbury Kids
President, Handmade Toy Alliance
http://www.handmadetoyalliance.org

Follow the HTA on twitter:
http://www.twitter.com/toyalliance

Check out our latest press:
http://www.handmadetoyalliance.org/press-coverage

Today’s House Committee Hearing: CPSIA Impacts Small Business

Roll the video!  If I hadn’t seen it with my own eyes, I’m not sure I’d have believed it.  The “House Small Business Committee, Subcommittee on Investigations and Oversight hearing on The Consumer Product Safety Improvement Act and Small Business” actually went forward today.  This is big news, as previous Congressional hearings regarding the CPSIA had been scheduled and cancelled to the point of insanity(/politics).  Real people actually went to DC by invitation to explain to the committee, face to face, why it is impossible for small businesses to comply with the CPSIA.  Their stories are compelling (if all too familiar) and you can view all testimony on YouTube or read the pdfs. Video of Laurel Schreiber’s presentation is showcased below.  I thought her written testimony was excellent.

It took far too long, but getting the hardship of small businesses introduced into the public record is a critical step on the road to reason.

A huge thank you to all those who testified!  Your effort helps all those negatively impacted by the CPSIA.

CPSIA: Act Now- Your Email TODAY Matters!

Tomorrow, Thursday, May 14, 2009, 10:00 AM the first Congressional hearing on the impact of the CPSIA on Small Business is scheduled.  Finally.

Yes, it’s short notice, but I encourage as many negatively impacted small and micro-businesses as possible to email their story to be entered into the Congressional record.  This is our chance to officially and directly explain to Congress what the CPSIA is doing to our small businesses.  They can no longer claim they aren’t aware of the issues once it is on the official record, so make your story known!

Email your story of CPSIA-induced business challenges TODAY, Wednesday, May 13 (preferably in .pdf format to the committee staffer organizing the hearing: erik.lieberman@mail.house.us.gov.  Please use a subject line that makes the urgency obvious, like, “Submission of Testimony for the House Subcommittee on Investigations and Oversight: The Consumer Product Safety Improvement Act and Small Business”.

Click here to see a blurb about the hearing and list of speakers (scroll about halfway down on the page).  I’m excited to see that Star Bright Baby (a member of the Handmade Toy Alliance) and an Etsy seller are among the speakers listed.

Here is the letter I sent in.  I was unsure of the correct format for these things, but I decided that sending something was better than sending nothing at all.

May 13, 2009
1040 Sagebrook Way
Webster, NY 14580

Chairman Bart Stupak
Subcommittee on Oversight and Investigations
2268 Rayburn House Office Building
Washington, DC 20515

Subject: Testimony for the House Subcommittee on Investigations and Oversight: CPSIA and Small Business – Hearing scheduled for May 14, 2009

Dear Chairman Stupak and Subcommittee members:

I opened my online hair accessory boutique, Jen Lynn Designs, in September of 2006.  This business has allowed me to contribute to our family income, on a flexible schedule, while I am home caring for my two young children.  I have worked hard to develop safe, quality products, a sound business and loyal customer base.

My kids’ safety and security is my highest priority.  That is why, facing the unmanageable provisions of the CPSIA, I shut down my store on February 10, 2009, just as all the work I have put into building it was starting to pay off.  I believe my hair accessories are safe – and according to my domestic suppliers – made with compliant materials.  But I can’t afford the required testing to prove it.

Operating in violation of the testing, certification and labeling requirements poses a risk to my family that I am unwilling to accept, especially considering the large fines and jail time associated.  So I have decided to close, (until and unless the law is changed) and endure the financial hit rather than expose my family to potential liability. I implore Congress to urgently make changes to the CPSIA, allowing responsible small domestic businesses to survive and go on supplying the safe, quality products families have come to rely on from crafters and artisans like myself.

Please consider the following fatal flaws in the CPSIA for micro-businesses:

• Testing and certification requirements are impossible for small producers to comply with.  I can see no circumstances under which accepted lead testing methods would be affordable for a business my size, with an extensive and diverse product line of made-to-order and customized items, many of which are unique.
• Labeling requirements necessitate laborious internal recordkeeping impossible for a one-person shop to absorb.  The labeling requirements not only present logistical and cost challenges (where exactly shall I place a permanent label on a 2” wide hair bow?) but also unmanageable back-end tracking.  For example, when one roll of red ribbon runs out, I get another.  That ribbon may be used in 50 different hair bow designs, and may be combined with as many as 10 other ribbons in a single bow. Tracking each ribbon/component back to its source/lot/batch per completed item would require more hours (not to mention specialized software) than a one-person shop can reasonably allocate to recordkeeping.
• Enforcement stays imposed by the CPSC offer no protection from State Attorneys General inclined to enforce the CPSIA as written – as they are explicitly empowered to do within the CPSIA.  A legislative fix is required.

Thank you for your attention to this critical issue.

Sincerely,

Jennifer Swab DeGrace
Jen Lynn Designs
jen@jenlynndesigns.com

CPSIA: Durbin Points Finger, Makes Party Proud

Don’t MAKE me write another letter…

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