Is Feb. 10 financial doomsday for thousands?

Antaletriangle · 01-10-2009, 01:05 PM

http://www.worldnetdaily.com/index.p...w&pageId=85542

By Chelsea Schilling
© 2009 WorldNetDaily

New law could force companies into ruin

Jacobsen Books in Clinton, Wis.
A new government regulation scheduled to take effect next month has thousands of retailers, thrift stores and small businesses worried they will be forced to permanently close their doors – and destroy their merchandise.

The law is expected to have such a devastating impact that Feb. 10 is now unofficially known as "National Bankruptcy Day."

Congress passed the Consumer Product Safety Improvement Act of 2008, or HR 4040, a retroactive rule mandating that all items sold for use by children under 12 must be tested by an independent party for lead and phthalates, which are chemicals used to make plastics more pliable.

All untested items, regardless of lead content, are to be declared "banned hazardous products.'' The CPSC has already determined the law applies to every children's item on shelves, not just to items made beginning Feb. 10.
Then on the other hand mercury and other toxic substances are deemed safe in water and food items-how transparent is this?
The regulations could force thousands of businesses – especially smaller ones that cannot afford the cost of lead testing – to throw away truckloads of children's clothing, books, toys, furniture and other children's items and even force them to close their doors.

Will Obama bring the end of prosperity? Get the book that shows how higher taxes will doom the economy – if we let it happen.

Children's books

Valerie Jacobsen and her husband, Paul, support their family of 13 by selling literature at Jacobsen Books in Clinton, Wis. Her family has contracts with local libraries to buy and sell overstocked books – an arrangement that draws income for both parties.

However, Jacobsen told WND that lead testing is estimated to cost $100 to $400 for each of her used children's books because she does not buy in bulk, and each batch of merchandise is required to be tested.

"There's a big difference between me and Wal-Mart or Toys 'R' Us," she said. "They'll have a batch of 50,000. Everything I have is a batch of one because I don't know its history. I'm looking at a testing cost of about $1.2 million. I would normally sell my full inventory of all children's products for probably $15,000. So, it's effectively a ban."

Valerie Jacobsen

The Consumer Product Safety Commission states that lead testing requirements apply to children's books, cassettes and CDs, printed game boards, posters and other printed goods used for children's education. While it does claim some printing inks will be exempt, paper, cardboard, bindings, glues, laminates and other inks are still subject to regulation and require testing.

Jacobsen said that unless the new law is repealed or substantially modified, it could devastate her family business.

"I don't want to stop selling children's books on Feb. 9," she said. "I need that income. We provide a lot of reading for a lot of little kids. I went into this business because I thought that books were good for children's mental development. That opinion hasn't changed. And the government's ruling is essentially saying they're hazardous for children's mental development because they might contain lead. We just have no evidence that they do."

Children's second-hand clothing

Jacobsen said she often shops at second-hand stores for her 11 children because she can buy quality clothing at low prices.

"Over the years I have always tried to make the most of our money, so we'll go to Goodwill," she said. "To be honest, I'd rather go to Goodwill and get a brand-name item that's hardly been worn and pay $3.99 for it than to go to Wal-Mart and pay $13.99 for something that in six weeks from now is not going to worth anything."

But now some thrift and consignment stores are in a panic over the new regulation because it extends to children's clothing, shoes and other items as well.

Cindy Retmier owns a consignment store called Jordan's Closet in El Dorado Hills, Calif. She told KXTV News 10 that the law could close her business.

"[W]e've been passing kids clothing down for centuries," she said. "Now all of sudden you can't do it because there might be too much lead in one item out of a thousand? I mean it's ridiculous they've taken it to the extent they've taken it right now."

Goodwill

She estimates testing for each of her clothing articles to run between $300 and $1,500. The Consumer Product Safety Commission said it may consider exempting clothing and toys made from natural materials such as wool or wood, but paint and dyes on the products are still required to be tested.

"We only sell stuff for an average of $10 so, of course that doesn't make sense," Ritmier said.

Even Goodwill Industries told the station it may be forced to stop selling clothing and other children's items if testing is too expensive. The move could affect consumers who donate items for tax write-offs if the stores are not able to sell them.

"A huge hit for us and a huge hit for consumers that are trying to save a dollar in this economy," Goodwill's Mark Klingler told KXTV. "We'll have to analyze it. It may involve not selling if we can't realistically test everything."

Likewise, Shauna Sloan, founder of the Salt Lake City-based Kid to Kid Franchise, which sells used children's clothing in 75 stores across the country, told the Los Angeles Times his business could end.

"We will have to lock our doors and file for bankruptcy," he said.

Small toy businesses

All children's toys and furniture also fall under strict requirements for independent lead and phthalate testing. Some small toy businesses say lead testing alone costs more than $4,000 per item – a price some say only large companies like Mattel and Fisher Price can afford to pay.

"The only people who can do that now are the ones who actually put this scare into effect and actually caused the problem," Amy Evan's, owner of Baby's Boutique in Chico, Calif., told CBS' KHSL.

Home-based and small businesses

Shelsie Hall told KXTV she makes hair bows and jewelry for children and sells them online to support her family.

Now her small business is threatened by the measure because those products must be tested.

"[M]y items sell for $4 to $10 and I make a lot of different things. So I couldn't just test one; I would have to test every item," she said.

One blogger who identifies herself as "Tina" has a home-based business making and selling cloth diapers online. She said a U.S. lab quoted a price of $75 to test each component of her diapers.

"I have at least two different fabrics, thread, snaps and elastic in a diaper," she wrote. "$375 to test each different combination of fabrics/snaps/thread/size combinations? That is insane."

She continued, "I am but one of many micro-manufacturers who will be forced to give up the American dream of owning my own business because of this legislation."

Tina said retailers purchase inventory with loans secured by the value of that inventory.

"What happens to these lenders and retailers when the value of that inventory goes to zero?" she asked. "It is conceivable, at least to me, that retailers will be the next group in front of Congress asking for a bailout."

The act's broad wording could extend to children's items sold on eBay, Craig's List, Amazon. Critics also say landfills will be hit hard if stores, distributors and families simply throw their untested items away rather than face prosecution. And new clothing, toys, furniture and books at large retailers could become more expensive to cover third-party testing costs.

Tentative exemptions

While the Consumer Product Safety Commission administers the law, it may only be changed by Congress. Some exemptions approved Tuesday by the commission's two members, but not formally adopted, include the following:

Items with lead parts that a child cannot access;
Clothing, toys and other goods made of natural materials such as cotton and wood; and
Electronics that are impossible to make without lead.
But the tentative exemptions do little to reassure most businesses and families who will be affected by the law. Final rules are not scheduled for approval until after Feb. 10, when the rules take effect.

Taking action

Rep. Bobby Rush, D-Il., sponsored the measure along with 106 co-sponsors. In the House of Representatives, 424 members voted for the act, nine voted "present" and a single member voted against it – Rep. Ron Paul, R-Texas.

In the Senate, the totals were 89 for, eight "present" and three against – Sens. Tom Coburn, R-Okla., Jim DeMint, R-S.C., and Jon Kyl, R-Ariz.

President George Bush signed it into law on Aug. 14, 2008.

The measure raises the CPSC budget each year until 2015, at which time the agency's budget would be $156 million. It also allows state attorneys general to take civil action against those who violate the strict regulations.

While some may continue to sell their children's products and disobey the law, Jacobsen told WND she's not taking any chances at her bookstore.

"Would I ever get caught? Probably not," she said. "But they are talking about $100,000 fines and jail terms of up to five years. I'm not comfortable operating with that law on the books."

Instead, she said she will fight the measure and raise public awareness.

"I'm planning to put a chain across our children's department and put up a sign that says, "Banned hazardous material,'" she said. "I'll ask my customers as they come in to please write their congressmen, call senators and get the word out there. I will tell them, 'I can let you in now,' but four weeks from now, I won't be able to do that."

Jacobsen's plans don't stop there.

"I am going to go to my legislator's office, and I'm going to take my children's books there," she said. "I'm going to ask him, 'Do you want me to put these in the landfill? Do you want me to burn these?' What am I going to do with them? I can't just warehouse them until they come to their senses."

She suggested the public begin writing and calling lawmakers and demanding exemptions to the law.

"I think the whole thing should be trashed, personally," she said. "It was so short-sighted. People who were doing the importing of lead are going to be rewarded when little companies like mine go under. When you take everything on a retailer's shelf and tell them they cannot sell it, that's bankruptcy."

Swanny · 01-10-2009, 05:19 PM

That's madness

mntruthseeker · 01-10-2009, 05:30 PM

I am furious ! I am passing this all over and hope people will do something.

what wont these crooks think of next? they sure know how to hurt the poor. I love going to the thrift stores, just to look around.
You never know what you can fine. I spend alot of money for my grandkids on 2nd hand clothes Especially jackets..........

.

Connecting with Sauce · 01-10-2009, 08:48 PM

Of course selling items would not be allowed... maybe exchanging items is ok? bartering...

Or if everyone just ignored it! ... and carried on as 'normal' hopefully all this meddling will wake more people up. Sounds pretty similar to Codex which is being implemented in a similar time frame...

Egg · 01-10-2009, 09:01 PM

'And no man shall buy or sell less he has upon him the mark' or some thing along those lines I believe? food, clothes and medicines soon to be restricted?

.... Not to mention Codex A.

Fookers, 2009 is looking bleak.

Humble Janitor · 01-11-2009, 05:19 PM

It's one thing for government to pass laws but enforcing them is an even bigger boondoggle. I expect to see small businesses fighting back against this. Ron Paul could be their spokesperson since he voted against it. I don't like this one law one bit.

Egg · 01-11-2009, 05:27 PM

Quote:

Originally Posted by Humble Janitor

It's one thing for government to pass laws but enforcing them is an even bigger boondoggle. I expect to see small businesses fighting back against this. Ron Paul could be their spokesperson since he voted against it. I don't like this one law one bit.

There will be ahuge rise in jobs for career government workers out of this in the near future. Inspections, audits, enforcement, this is the tip of the ice berg.
I don't like it one bit either, as its a dangerous road to be travelling down.

Avid · 01-11-2009, 06:34 PM

We had the CE mark put on products for safety control years ago - but this is OTT!
Where are the official 'test labs'? Is there any competition for testing services? Have all the labs to be certified - and by whom?
In UK lots of 'cowboy' test labs went to the wall, trying to cash in on legislation. There are still some fair and honest lab facilities who do testing (without exorbitant rates), try your equivalent of 'Office of Fair Trading' if there is such a body in USA - to give you a list of fair trading labs to choose from.
Don't give up - if you've had your stuff tested - advertise it!!!
Oh deary me - what with Codex and loads of other limitations by the FDA etc, it would appear that the governing bodies are deliberately 'shooting themselves in the foot' - WHY??? Who profits?

01-10-2009, 01:05 PM	#1
Antaletriangle Avalon Senior Member Join Date: Sep 2008 Location: U.K. Posts: 3,380	Is Feb. 10 financial doomsday for thousands? http://www.worldnetdaily.com/index.p...w&pageId=85542 By Chelsea Schilling © 2009 WorldNetDaily New law could force companies into ruin Jacobsen Books in Clinton, Wis. A new government regulation scheduled to take effect next month has thousands of retailers, thrift stores and small businesses worried they will be forced to permanently close their doors – and destroy their merchandise. The law is expected to have such a devastating impact that Feb. 10 is now unofficially known as "National Bankruptcy Day." Congress passed the Consumer Product Safety Improvement Act of 2008, or HR 4040, a retroactive rule mandating that all items sold for use by children under 12 must be tested by an independent party for lead and phthalates, which are chemicals used to make plastics more pliable. All untested items, regardless of lead content, are to be declared "banned hazardous products.'' The CPSC has already determined the law applies to every children's item on shelves, not just to items made beginning Feb. 10. Then on the other hand mercury and other toxic substances are deemed safe in water and food items-how transparent is this? The regulations could force thousands of businesses – especially smaller ones that cannot afford the cost of lead testing – to throw away truckloads of children's clothing, books, toys, furniture and other children's items and even force them to close their doors. Will Obama bring the end of prosperity? Get the book that shows how higher taxes will doom the economy – if we let it happen. Children's books Valerie Jacobsen and her husband, Paul, support their family of 13 by selling literature at Jacobsen Books in Clinton, Wis. Her family has contracts with local libraries to buy and sell overstocked books – an arrangement that draws income for both parties. However, Jacobsen told WND that lead testing is estimated to cost $100 to $400 for each of her used children's books because she does not buy in bulk, and each batch of merchandise is required to be tested. "There's a big difference between me and Wal-Mart or Toys 'R' Us," she said. "They'll have a batch of 50,000. Everything I have is a batch of one because I don't know its history. I'm looking at a testing cost of about $1.2 million. I would normally sell my full inventory of all children's products for probably $15,000. So, it's effectively a ban." Valerie Jacobsen The Consumer Product Safety Commission states that lead testing requirements apply to children's books, cassettes and CDs, printed game boards, posters and other printed goods used for children's education. While it does claim some printing inks will be exempt, paper, cardboard, bindings, glues, laminates and other inks are still subject to regulation and require testing. Jacobsen said that unless the new law is repealed or substantially modified, it could devastate her family business. "I don't want to stop selling children's books on Feb. 9," she said. "I need that income. We provide a lot of reading for a lot of little kids. I went into this business because I thought that books were good for children's mental development. That opinion hasn't changed. And the government's ruling is essentially saying they're hazardous for children's mental development because they might contain lead. We just have no evidence that they do." Children's second-hand clothing Jacobsen said she often shops at second-hand stores for her 11 children because she can buy quality clothing at low prices. "Over the years I have always tried to make the most of our money, so we'll go to Goodwill," she said. "To be honest, I'd rather go to Goodwill and get a brand-name item that's hardly been worn and pay $3.99 for it than to go to Wal-Mart and pay $13.99 for something that in six weeks from now is not going to worth anything." But now some thrift and consignment stores are in a panic over the new regulation because it extends to children's clothing, shoes and other items as well. Cindy Retmier owns a consignment store called Jordan's Closet in El Dorado Hills, Calif. She told KXTV News 10 that the law could close her business. "[W]e've been passing kids clothing down for centuries," she said. "Now all of sudden you can't do it because there might be too much lead in one item out of a thousand? I mean it's ridiculous they've taken it to the extent they've taken it right now." Goodwill She estimates testing for each of her clothing articles to run between $300 and $1,500. The Consumer Product Safety Commission said it may consider exempting clothing and toys made from natural materials such as wool or wood, but paint and dyes on the products are still required to be tested. "We only sell stuff for an average of $10 so, of course that doesn't make sense," Ritmier said. Even Goodwill Industries told the station it may be forced to stop selling clothing and other children's items if testing is too expensive. The move could affect consumers who donate items for tax write-offs if the stores are not able to sell them. "A huge hit for us and a huge hit for consumers that are trying to save a dollar in this economy," Goodwill's Mark Klingler told KXTV. "We'll have to analyze it. It may involve not selling if we can't realistically test everything." Likewise, Shauna Sloan, founder of the Salt Lake City-based Kid to Kid Franchise, which sells used children's clothing in 75 stores across the country, told the Los Angeles Times his business could end. "We will have to lock our doors and file for bankruptcy," he said. Small toy businesses All children's toys and furniture also fall under strict requirements for independent lead and phthalate testing. Some small toy businesses say lead testing alone costs more than $4,000 per item – a price some say only large companies like Mattel and Fisher Price can afford to pay. "The only people who can do that now are the ones who actually put this scare into effect and actually caused the problem," Amy Evan's, owner of Baby's Boutique in Chico, Calif., told CBS' KHSL. Home-based and small businesses Shelsie Hall told KXTV she makes hair bows and jewelry for children and sells them online to support her family. Now her small business is threatened by the measure because those products must be tested. "[M]y items sell for $4 to $10 and I make a lot of different things. So I couldn't just test one; I would have to test every item," she said. One blogger who identifies herself as "Tina" has a home-based business making and selling cloth diapers online. She said a U.S. lab quoted a price of $75 to test each component of her diapers. "I have at least two different fabrics, thread, snaps and elastic in a diaper," she wrote. "$375 to test each different combination of fabrics/snaps/thread/size combinations? That is insane." She continued, "I am but one of many micro-manufacturers who will be forced to give up the American dream of owning my own business because of this legislation." Tina said retailers purchase inventory with loans secured by the value of that inventory. "What happens to these lenders and retailers when the value of that inventory goes to zero?" she asked. "It is conceivable, at least to me, that retailers will be the next group in front of Congress asking for a bailout." The act's broad wording could extend to children's items sold on eBay, Craig's List, Amazon. Critics also say landfills will be hit hard if stores, distributors and families simply throw their untested items away rather than face prosecution. And new clothing, toys, furniture and books at large retailers could become more expensive to cover third-party testing costs. Tentative exemptions While the Consumer Product Safety Commission administers the law, it may only be changed by Congress. Some exemptions approved Tuesday by the commission's two members, but not formally adopted, include the following: Items with lead parts that a child cannot access; Clothing, toys and other goods made of natural materials such as cotton and wood; and Electronics that are impossible to make without lead. But the tentative exemptions do little to reassure most businesses and families who will be affected by the law. Final rules are not scheduled for approval until after Feb. 10, when the rules take effect. Taking action Rep. Bobby Rush, D-Il., sponsored the measure along with 106 co-sponsors. In the House of Representatives, 424 members voted for the act, nine voted "present" and a single member voted against it – Rep. Ron Paul, R-Texas. In the Senate, the totals were 89 for, eight "present" and three against – Sens. Tom Coburn, R-Okla., Jim DeMint, R-S.C., and Jon Kyl, R-Ariz. President George Bush signed it into law on Aug. 14, 2008. The measure raises the CPSC budget each year until 2015, at which time the agency's budget would be $156 million. It also allows state attorneys general to take civil action against those who violate the strict regulations. While some may continue to sell their children's products and disobey the law, Jacobsen told WND she's not taking any chances at her bookstore. "Would I ever get caught? Probably not," she said. "But they are talking about $100,000 fines and jail terms of up to five years. I'm not comfortable operating with that law on the books." Instead, she said she will fight the measure and raise public awareness. "I'm planning to put a chain across our children's department and put up a sign that says, "Banned hazardous material,'" she said. "I'll ask my customers as they come in to please write their congressmen, call senators and get the word out there. I will tell them, 'I can let you in now,' but four weeks from now, I won't be able to do that." Jacobsen's plans don't stop there. "I am going to go to my legislator's office, and I'm going to take my children's books there," she said. "I'm going to ask him, 'Do you want me to put these in the landfill? Do you want me to burn these?' What am I going to do with them? I can't just warehouse them until they come to their senses." She suggested the public begin writing and calling lawmakers and demanding exemptions to the law. "I think the whole thing should be trashed, personally," she said. "It was so short-sighted. People who were doing the importing of lead are going to be rewarded when little companies like mine go under. When you take everything on a retailer's shelf and tell them they cannot sell it, that's bankruptcy."

01-10-2009, 05:19 PM	#2
Swanny I dont need a label ! Join Date: Sep 2008 Location: The Shire of Wilt Posts: 2,889	Re: Is Feb. 10 financial doomsday for thousands? That's madness

01-10-2009, 05:30 PM	#3
mntruthseeker Avalon Senior Member Join Date: Sep 2008 Location: Minnesota Posts: 2,482	Re: Is Feb. 10 financial doomsday for thousands? I am furious ! I am passing this all over and hope people will do something. what wont these crooks think of next? they sure know how to hurt the poor. I love going to the thrift stores, just to look around. You never know what you can fine. I spend alot of money for my grandkids on 2nd hand clothes Especially jackets...........

01-10-2009, 08:48 PM	#4
Connecting with Sauce Avalon Senior Member Join Date: Sep 2008 Location: Chelmsford, Essex Posts: 650	Re: Is Feb. 10 financial doomsday for thousands? Of course selling items would not be allowed... maybe exchanging items is ok? bartering... Or if everyone just ignored it! ... and carried on as 'normal' hopefully all this meddling will wake more people up. Sounds pretty similar to Codex which is being implemented in a similar time frame...

01-10-2009, 09:01 PM	#5
Egg Banned Join Date: Dec 2008 Posts: 727	Re: Is Feb. 10 financial doomsday for thousands? 'And no man shall buy or sell less he has upon him the mark' or some thing along those lines I believe? food, clothes and medicines soon to be restricted? .... Not to mention Codex A. Fookers, 2009 is looking bleak.

01-11-2009, 05:19 PM	#6
Humble Janitor Avalon Senior Member Join Date: Sep 2008 Posts: 3,201	Re: Is Feb. 10 financial doomsday for thousands? It's one thing for government to pass laws but enforcing them is an even bigger boondoggle. I expect to see small businesses fighting back against this. Ron Paul could be their spokesperson since he voted against it. I don't like this one law one bit.

01-11-2009, 06:34 PM	#8
Avid Avalon Senior Member Join Date: Sep 2008 Location: UK Posts: 660	Re: Is Feb. 10 financial doomsday for thousands? We had the CE mark put on products for safety control years ago - but this is OTT! Where are the official 'test labs'? Is there any competition for testing services? Have all the labs to be certified - and by whom? In UK lots of 'cowboy' test labs went to the wall, trying to cash in on legislation. There are still some fair and honest lab facilities who do testing (without exorbitant rates), try your equivalent of 'Office of Fair Trading' if there is such a body in USA - to give you a list of fair trading labs to choose from. Don't give up - if you've had your stuff tested - advertise it!!! Oh deary me - what with Codex and loads of other limitations by the FDA etc, it would appear that the governing bodies are deliberately 'shooting themselves in the foot' - WHY??? Who profits?