Countdown to Rally: April 1st is only 2 Days Away!

March 30, 2009 by Etienne  
Filed under BLOG, Rally Archive

If you are regularly following our updates you may already be getting a sense of the intense level of activity behind the scenes!   Some of us are already in DC.  Most of us are still wrapping up our daily tasks, whether work or home related, full of anticipation for our respective travels to Washington.

This evening, my 10-old son, my wife and I will pack my suitcase together and talk about the significance of this trip.  Maybe we will take a picture or two?  I hope that he will remember this day for the rest of his life and what it means to stand for what you believe in; I know I will. Like for so many of us, I found the absurdity of this law, combined with the outrageous ‘partisan’ stance of some Democratic leaders, when none is warranted, to have created a sense of a ”personal mission” within me.

Rick and I have discussed on several occasions why we feel so passionate about this issue.  The same answer keeps coming back.  No matter the consequences, we must stay true to the core values we aspire to live by: provide safe and innovative products for our children, work with people who really care about education, abide by the law of the land, be honest in everything we do and be loyal to those who have supported us over the years.  What we have found over the last few months, somewhat to our amazement, is that so many of us across all the industries affected by the CPSIA share the same core beliefs.

The fact that so many are now willing to make a public stand for what is right and not be intimidated by a few politicians who do not understand the implications of the law they passed, refuse to accept responsibility for their mistakes and then try to hide behind grandstanding statements of good intentions, is a feeling worth fighting for!

If you are in a children product related industry, apart from very few exceptions, you make a daily personal commitment  of good intention to make the world a better place.  Providing safe products to our children is not and never was the issue.  The time for stating good intentions is over.  It is time to fix the mess that was created by an extremely poorly written law.  It is time for leaders to be leaders.

See you all in Washington DC.

Etienne

An Unlikely Victim of CPSIA, Heathrow Scientific LLC

March 30, 2009 by Dana  
Filed under BLOG

My name is Jim Woldenberg and I am CEO of a Small Business called Heathrow Scientific LLC (“Heathrow”).  Heathrow designs and manufactures items for use by trained laboratory technicians.  Heathrow products are in use at the NIH, CDC, Pfizer, Merck and most of the major research universities and institutes in the U.S.  Heathrow’s products are also sold around the World, with more than 40% of their sales outside the U.S.  Heathrow does business in more than 80 countries.  Heathrow directly employs 13 individuals in Vernon Hills, Illinois and 1 in Great Britain.

Heathrow recently received a request from one of its U.S. customers to certify that its products meet the standards set forth in the CPSIA.  Why, you may ask, would a company that designs, and manufactures, products for use by trained laboratory technicians, in professional labs, be asked to certify that its products meet standards set forth in a law that deals with safety standards for children’s products?  The answer is that there are many uses for products and this particular customer of Heathrow sells the Heathrow product range into the middle school science classroom marketplace.  Therefore, some of the kids that touch the Heathrow products this company sells may be younger than 12 years of age.  Therefore, they think they need to have on file certification from their suppliers that these products meet the CPSIA standards.

Our products are not designed for use by children.  Heathrow’s sales into the middle school science classroom market are not sufficiently large to pay for us to have our products tested, and in any event, if products are not designed for use by children, they are not subject to the CPSIA.  However, many companies are spooked by the fact that this law has mandatory $100,000 per occurrence fines and felony criminal sanctions.  They do not want to go to jail for selling products that violate the CPSIA, nor can they afford to risk $100,000 per occurrence fines.

So, they will either get their certifications or drop the products.  This means that our products will no longer be available for use by middle school science teachers (who apparently found a use for them in teaching biology, chemistry and other sciences).  Not only will this hurt our company by denying us some sales (which are small but not zero, and clearly more important in this economic environment).  But, eliminating these items from middle schools will not enhance the ability of teachers to help our kids learn.

The shame of all of this is that, despite the price being paid by many actors in this scenario, no one is being made safer.

This law needs some sort of gauge.  A materiality test.  A release valve to ensure that not everything that gets swept up by the overly broad language is criminalized.

We are but one small actor in the saga of the CPSIA, but our story is an important one.  We know of other laboratory supply or equipment manufacturers who have been financially punished by the CPSIA.  And, the laboratory supply industry is relatively small.  There are many other industries being affected by the law, with many more jobs at risk.

Amend the CPSIA and save U.S. jobs.

Sincerely,

Jim Woldenberg

Heathrow Scientific, LLC

Powersports Industry Harmed by CPSIA

March 30, 2009 by Dana  
Filed under BLOG

The powersports industry is caught in the middle of a fight over words between Congress and the Consumer Product Safety Commission about the lead standards in the Consumer Product Safety Improvement Act.  Congress voted the act into legislation last summer and the new lead content limits were implemented February 10th.  Many critics of the legislation believe that a wide range of products have unintentionally been swept up in this legislation, which resulted in a ban of many all-terrain vehicles and off-highway motorcycles designed for youth.

These products present no health risk to children.

In fact, in the scientific evidence submitted, a toxicology expert estimated that any potential lead intake resulting from kids’ exposure to motorcycles and ATVs would be substantially less than the typical daily intakes of lead from food and water.

There is no practical reason for this industry and its customers to be harmed by an unintended effect of this law.  The consequences of this ban are serious.  With these ATVs unavailable to families, we may see more kids on ATVs designed for adults.  We know this leads to crashes.  The CPSC, the ATV industry, consumer groups, safety advocates and parents all agree that it’s critical to keep riders under the age of 16 off of adult-sized ATVs.

Each day this ban continues compounds the severe hardship on families and businesses. It all adds up to potential massive losses for dealers, manufacturers, retailers and others – up to $1 billion in retail economic value annually.  The powersports industry, on behalf of businesses and families across the country who have written hundreds of thousands of letters to Congress and CPSC, continues to urge the CPSC to grant the industry’s request for exclusions based on the evidence presented.

If CPSC believes its hands are tied because of the way the legislation was written, we ask Congress to restore common sense and support two new bills – S. 608 and H.R. 1587 – that would overturn the ban which brought the sales of off-highway motorcycles and ATVs designed for kids 12 and under to an abrupt halt on February 10, 2009.

Sincerely,
Paul Vitrano

Wall Street Journal: Pelosi’s Library Quarantine

March 30, 2009 by Dana  
Filed under In the News

A top story in the “Opinion” section of the Wall Street Journal online tackles the CPSIA and its impact on libraries. An excerpt is below:

It looks like “Jumanji” in local libraries these days, after the classic children’s book about chaos unleashed by the failure to heed warnings. In February, an overzealous law governing lead in products resulted in toys going from store shelves to the trash heap. Now, confusion over how the rules affect children’s books has led some libraries to rope off kids’ sections.

Last summer, the Consumer Product Safety Commission (CPSC) interpreted the 2008 law to include children’s books, though exactly what that means is anyone’s guess. CPSC spokesman Scott Wolfson told the Associated Press that until the agency can give clearer guidance, especially on books published before 1986, public and school libraries “should take steps to ensure that the children aren’t accessing those books.” The agency hurried to say it didn’t mean to tell libraries to toss the books, but that it is “investigating” whether there are unsafe lead levels.

You can read the entire article here.

You Learn Something New Everyday

March 30, 2009 by Dana  
Filed under BLOG

When I first heard about the Consumer Product Safety Improvement Act (CSPIA), I wasn’t too concerned because I knew that our products were already well in compliance of the established levels – even far below them.

I knew this because, from the beginning, we have been committed to meeting global organic standards and sourcing materials that are safe for the environment, for workers, and for babies. So why would a company whose very mission it is to use safe, organic materials have to test for lead?

Upon doing my due diligence, however, I learned that we are affected by the CPSIA. I was astonished and I started doing everything I could to let my Senators and Representatives know how I felt about this law and how it impacts my company.

I sent letters, faxes, and emails only to receive canned responses about how proud they were of this new law or, sadly, no replies at all.  Not once did anyone of them acknowledge my concerns.

I’ll admit that it has been many years since my government civics class, but last time I checked we do vote these people in office and they are not only supposed listen to us, but also represent our interests.

And when I go to the CPSC website and (at last count) see that there are over 60 documents in reference to this one law I wonder if any of these Members of Congress are even paying attention?

Their methodology of sweeping any product intended for children 12 and under into a law, then setting completely unrealistic deadlines and guidelines is deeply flawed. Add to this that the CPSC now has to pick apart this law piece-by-piece in order to determine how to oversee compliance and it doesn’t seem like the ideal way to handle product “safety,” does it? If they actually wanted businesses to comply with the law and products to be “safe” they would have taken a much different approach.

So the question I started to ask was how on earth did this piece of broad-based legislation pass without really much mention?  And with a little bit of research I found some startling information. For reference, you can find information about the origins of the bill here and here. Since Government Tracker claims to not be affiliated with any government agencies and hopefully no public interest groups I feel somewhat confident sharing the link where I learned the information below.

While doing my research, I found an interesting statement regarding HR 4040: Dec 19, 2007:

This bill passed in the House of Representatives by roll call vote. The vote was held under a suspension of the rules to cut debate short and pass the bill, needing a two-thirds majority. This usually occurs for non-controversial legislation. The totals were 407 Ayes, 0 Nays, 25 Present/Not Voting.

Non-controversial legislation? Well, this is news to me!  Maybe at the time this was considered “non-controversial” because no one knew about it, but this law is anything but non-controversial.  Just last week, Nancy Nord (the Acting Chair at the CPSC) was blasted by my Senator from Illinois.  I’m not kidding – the actual title of the post is “Durbin Blasts CPSC Chair for Recent Comments on Criticizing New Consumer Safety Laws”.

There are letters going back and forth between Senators and Representatives and the CPSC and there is name calling and finger pointing yet no progress.

People always say, “you learn something new every day,” and it seems that no matter where I turn in this process, I am learning something new whether I like it or not.

Progress must be made and this law must be changed which is why I feel it is so important to be in Washington at the rally.

Looking forward to meeting many of you in DC!

Jennifer

Chapter One Organics

Josh Serne Asks to Stop the Ban on Motorcycles for Kids

March 29, 2009 by Dana  
Filed under In the News

This video clip says it all:

Countdown to Rally: April 1st is only 3 Days Away

March 29, 2009 by Etienne  
Filed under BLOG

It is Sunday morning in Chicago and the city is under a white cover of snow. Winter is still here!

With a few moments of quiet and peace to reflect upon what may happen over the next few days, my thoughts are focused on a sense of hope and determination.

I have hope that:

  • the few Democratic leaders who are still refusing to allow an open debate will come to their senses;
  • the stories we share are recognized as human testimony instead of individual cases. There are so many sad stories to share of those affected by the overreaching impact of the CPSIA.
  • there will be renewed dialogue and cooperation as we find answers to the questions below:
    • Are these few leaders afraid to hear the truth? Are they afraid they may regain a sense of humanity?
    • Will they miss this unique opportunity to do the right and decent thing?
    • Will they have the courage of their convictions and participate in a true democratic debate?
    • Will they have the strength of character to listen to our collective testimony?
    • Will the White House stand by silently while all this is unfolding?
    • Are President Obama’s eloquent words of a new political leadership real or empty?

I am determined:

  • to share the stories of so many that are being unnecessarily hurt by the unintended consequences of the CPSIA.
  • to speak up for those who do not make the newspapers headlines, whose personal finances and potential bankruptcies do not attract the “bailout’ money of our government.
  • to create a sense of urgency in order to give some relief to all these men and women who are hardworking and committed to their families and communities. Relief for people whose creative and entrepreneurial spirits should not be squashed.
  • to educate the public across the country and within our respective industries enough that they denounce the absurdity of this law and the lack of democratic process associated with its implementation.

I pray that those who have the power to solve the situation do not stay away in the comfort of their “ivory towers” but pay attention to our voices and respond to our request for dialogue.

The sun is now shining in Chicago. Spring is on its way. It is time to teach our children an important life lesson.

It is time to plant the seeds of a better future for all.

Etienne

Calling All Retailers Who Sell Children’s Products!

March 29, 2009 by Dana  
Filed under BLOG

Marianne of Polkadot Patch Boutique is vocal about a retailer’s responsibility as it relates to CPSIA and has allowed us to cross-post the entry below.

It’s time to rally up on April 1st and support the cause to Amend the CPSIA.

With the passage of the Consumer Product Safety Improvement Act (CPSIA), now more than ever, children’s retailers need to band together with their manufacturers and suppliers. Retailers need to be fired up and supporting manufacturers to get the CPSIA law amended in order to save their wholesale businesses, and subsequently many retail businesses.

There is an underlying belief that retailers are out of the loop on this law or that it doesn’t affect them. That couldn’t be any further from the truth. Although some retailers may still not fully comprehend the ramifications of this law on their businesses, they all need to know how much this law directly affects their business via their manufacturers.

Right now more than ever, retailers need to be standing shoulder-to-shoulder with their manufacturers, holding up signs, calling and writing Congressional committee members and spreading news to media outlets and blogs about the far-reaching implications of this poorly written law. Without supporting change for manufacturers, ALL retailers in the children’s industry are in jeopardy.

Whether a retail store is 1000 square feet or 10,000 square feet, the shelves need to be stocked. It doesn’t matter if a store niche is traditional, new age, contemporary, punk, or urban; a variety of products will be needed from numerous manufacturers.

Retailers in traditional brick and mortar stores and in e-commerce stores should be letting their manufacturers know how they will fight to amend this law with them because retailers want products that will appeal to their customer base. Successful business partnerships should strengthen during good…and bad times. And right now, manufacturers need the voices of retailers lobbying for change.

It is mutually beneficial for both retailers and manufacturers to preserve the variety of products being sold. While at this time the general public is largely unaware of the impact of this law on them, it will become apparent to them when their favorite stores are no longer offering a variety of children’s products.

Without an amendment to this law, every children’s retail store stands to become a clone of each other because they will all be left with just a limited selection from the same pool of “compliant” manufacturers and products. That also translates to many niche retailers closing their doors rather than compromising their unique selling proposition to become just another children’s store selling only the same “compliant” products. Imagine the lack of diversity of products on the shelves if the law isn’t amended.

What can retailers do NOW?

1. Communicate with your manufacturers and vendors. Share how you are working alongside them to amend the law. Ask them how you can support them with CPSIA. Discuss with manufacturers what you will need as a retailer to sell their products. There is a lot of confusion with the current stay but retailers are still liable for non-compliant products as well as the manufacturer. Let your manufacturers know AS SOON AS POSSIBLE if you are requiring GCC’s (General Certification of Conformity) or “proof” in the form of an official documentation that their products are in compliance with the lead and phthalates requirements. Have a conversation regarding the manufacturer’s products and determine where each stands in regards to testing, labeling, and general compliance. Be informed and expect your manufacturers to be as well.

2. Be vocal. Tell your customers about CPSIA and spread the word with small manufacturers and fellow retailers who may not be fully aware of the implications of the law. Send them links to the Amend The CPSIA website and other online resources (Ning, Facebook, Change.org) . Encourage everyone to share their concerns regarding the law as loudly and frequently as their voices can be heard.

3. Attend the Amend the CPSIA rally on April 1st if you are able. If you are unable to attend, watch the live video stream on Amend the CPSIA website on April 1st at 10:00 AM EST.
4. Share two correspondences a day and share how this law will affect your business and that of your manufacturers. Use statistics and numbers as much as possible to make the story even more real!

5. In fact, do everything on this list!

The CPSIA rally and briefing on April 1st are critical to get bi-partisan support to amend the law as well as bring even more attention to the cause through media outlets. The collective voices of manufacturers, trade associations, and retailers WILL be heard by Congress.

Each person at the rally will represent hundreds of small businesses (manufacturers and retailers alike) who couldn’t attend in person and the voices will be loud and strong. This rally and briefing will empower many to continue the charge to amend the CPSIA, and we are looking forward to being a part of it

Durbin Blasts CPSC Chair for Recent Comments on Criticizing New Consumer Safety Laws

March 29, 2009 by Dana  
Filed under CPSIA Updates, In the News

[WASHINGTON, D.C.] – Assistant Senate Majority Leader Dick Durbin (D-IL) sent a letter to Nancy Nord, Acting Chairman of the Consumer Product Safety Commission (CPSC) today, expressing concern over recent public comments Nord has made that are critical of new legislation and show her continued resistance to modernizing the much maligned agency.

“Recent comments you have made in the press and in letters to Congress regarding the Consumer Product Safety Improvement Act (CPSIA) show your continued resistance to modernizing your agency and addressing the genuine public concern over unsafe products,” Durbin wrote. You accused a law that significantly strengthens the Commission’s hand as having “taken away our responsibility to look at the risks and make judgments about what is or isn’t safe for American consumers.” You have also agreed with the appalling implication that the law is responsible for the deaths and serious injuries of children who ride adult ATVs and motorbikes. Noticeably absent from the majority of your public remarks is an emphasis on protecting consumer safety, which happens to be the mission of the agency you lead. Your recent comments make clear that your misguided personal views have not changed, even if they contradict the mission of the agency that you lead and the President that you now serve.”

For more about this letter, go to Senator Durbin’s site and scroll down below the above excerpt.

A Quick Guide to What’s Wrong with the CPSIA

1. CPSIA Needs a Concept of Risk Assessment. The new law has absolute standards which are difficult or impossible to modify.Without consideration of quantifiable risk of injury, far too many safe products are swept up into this broad safety legislation.

2. Definition of Children’s Products Too Broad. By defining Children’s Products to include ALL consumer goods intended or designed for use by children up to 12 years of age, the new law incorporates many categories of products not previously subject to regulation or known to present a quantifiable risk of injury to children. There are similar concerns about the definition of Toys in the phthalate ban.

3. Retroactive Application of New Standards is Excessively and Unnecessarily Penal. The retroactive application of the new standards is causing widespread market chaos and significant business losses in a range of industries, including thrift stores, ATV dealerships, educational suppliers, mass market retailers and so on. The retroactive application is virtually unprecedented in the history of the CPSC and is not merited by quantifiable assessment of risk of injury.

4. Implementation Timeline is Unreasonable. The timeline of implementation of the new law left insufficient time to sell off inventory or transition manufacturing standards. Likewise, there was not enough time for the CPSC to manage the deluge of questions, certifications, rulemakings, etc. Lack of preparation time led to larger business losses.

5. Excessive Penalties and Possible Criminal Charges Are Unfair. The historical behavior of Children’s Products companies does not merit such extreme personal and financial risk. Whistleblower provision is equally inappropriate.

6. The Complexity of the Law Will Depress Markets. The many compliance and immediate self-reporting requirements makes compliance with all aspects of the new law unlikely for most companies with more than 50 products in their line.

7. Tracking Labels Will Cost Too Much and Bring Little Benefit. The cost-benefit of this provision is very unfavorable as vast numbers of items which would never be recalled will have to be tracked by lot. This provision will be very disruptive and expensive for most companies.

8. The Sum of the Requirements under the CPSIA Are Penal to Small Business. Large businesses selling through mass market outlets can manage the high expense of compliance with the CPSIA with high volume items. Small businesses will incur much greater costs per item, and will suffer competitively. Many small businesses are suffering because of this law already.

9. Effective Pre-Emption is a “Must”. As many as 38 States have pending or active children’s product safety legislation. The burden of understanding and complying with so many competing legislative schemes exceeds most companies’ capabilities. This explosion of law may reduce inter-state commerce.True pre-emption to restore Federal regulation of children’s product safety is called for.

10. State Attorney General Enforcement of the CPSIA Should be Abolished. Arguments that SAG enforcement increases the number of “cops on the beat” are false. SAGs have no obligation under the law to follow the lead of the CPSC or even tell the CPSC what they are doing. This means that there are now 51 CPSCs, an untenable situation for the business community – very risky!

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