I previously wrote about the CPSIA, a well meaning but misguided law meant to protect chilren from lead poisoning in toys.  The law was written in response to lead tainted toys that began showing up in the US, primarily from large manufacturers in China.

However, the law prevents small domestic makers and sellers of children’s items, such as crafters and boutiques from doing business.  The testing restrictions are far to expensive for any company making things in relatively small quantities.

The law was about to take effect on February 10th, leaving all kinds of small businesses in jeopardy, but then a “stay of enforcement was announced.”  What’s a “stay of enforcment?”  Essentially it means the law hasn’t changed, but they just aren’t going to arrest you for it.  You can get a great description of this on the Overlayered blog here and here.

I honestly hope they find a way to change the regulation.  You can find a great collection of this and how it impacts small businesses at The Domestic Diva.

Once again, well-meaning legislation has hampered the growth of small business.  In an effort to keep toys free of lead and other chemicals, the US government has unwittingly closed the doors on what many people use to make ends meet in their personal finances, a small business run on the side or on its own.

The portion of the new law, the Consumer Product Safety Information Act, that I’m writing about takes effect February 10th.  Under the law, those who manufacture products targeted at children, must go through a testing procedure and certify that what’s made is safe.  Sounds good, right?  Well, here’s a general timeline of events with the CPSIA and how it has hurt small business.

• China exports toys tainted with lead to the United States, and likely other nations.
• Other recalls and general panic follow.
• The US government issues a knee-jerk reaction, not fully thinking through the impact on small US businesses.
• Small businesses who’ve done nothing wrong, panic. Outrage follows.
• Artists, cottage industry clothing manufactures seek clarification and  face closing.
• Change is sought.
• The Consumer Product Saftey Comission attempts to clarify its stance, but never really offers a full reprieve to small US clothing makers.
• Small clothing and toy makers change under government pressure or go out of business.

I can’t help but think that the “clarification” issued does little to soothe the nerves of people who don’t have the massive budgets to test and certify what they make.  It doesn’t reword the law and almost sounds like a promise to look the other way when it comes to certain situations.  Baring further legislative action, it’s the best we’re going to get.

I’m not a lawyer.  Know the law better than I do?  Are you hit by this new law? Feel free to let me know in the comments below.