Broad interpretation of product lead-testing rule draws wide criticism

By Kelsey Watts and KTVZ.COM news sources

A rising tide of fear and complaints prompted federal regulators Thursday to sharply restrict the impact of new lead-testing laws, saying it won't require thrift stores or other used-item sellers to test children's products before they are sold.

But the Consumer Products Safety Commission (http://www.cpsc.gov/) ruling won't please everyone, as its clarification goes on to say: "However, resellers cannot sell children's products that exceed the lead limit and therefore should avoid products that are likely to have lead content, unless they have testing or other information to indicate the products being sold have less than the new limit."

"Those resellers that do sell products in violation of the new limits could face civil and/or criminal penalties," it adds.

An agency spokeswoman told the Los Angeles Times that means shops, for example, need to be more vigilant about recall notices.

The paper also noted that children's clothing manufacturers still have to comply with the law, meaning they must pay to have such testing done or close their doors. Toy makers also must still comply.

It took three years for Congress to pass it, but just days for a new child safety law to cause business owners in Central Oregon and across the nation to panic over the devastating impact it poses in coming weeks.

"I was just devastated at what I read," Rick Rollefson, who owns the Kids Paradise store in Bend along with his wife, had said Tuesday. "I couldn't believe what I was reading."

Simply put, the law aimed at boosting child safety by requiring all children's products to be tested for lead and certified before they can be sold.

That includes not just toys, which are commonly tested, but all children's products, including clothing, books, sporting goods, feeding/mealtime products, etc.

Most people agree, the "Consumer Product Safety Improvement Act," which goes into effect Feb. 10, intended to put the burden of testing on the shoulders of manufacturers and importers.

However, it's so sweeping, the agency's interpretation potentially included everyone in the chain, including sellers (retailers, resellers, thrift stores, etc.)

It was passed by Congress in August, but it wasn't until November that the Consumer Product Safety Commission issued an advisory, interpreting the law to be retroactive and applicable to anyone who sells any product meant for kids under 12.

While not specifically stated in the CPSIA, business owners are now left with the enormous fallout of the advisory.

"At this point, a big part of the concern is there hasn't been any direction from the Consumer Product Safety Commission or Congress as to how this law is going to be interpreted," said John Laherty, a Bend-based corporate lawyer.

If the law isn't clarified, business owners would be legally required to have all of their inventory lead-tested and certified by Feb. 10 or stop selling it - a concept many local stores say is impossible, and would put them out of business.

In discussing the law with Laherty, he used the example of testing a children's coat.  Each piece of - the lining, the zipper, the buttons, the drawstring - has to be tested individually.

"This testing is financially unbearable for these small companies," Laherty explained.  "We're talking about thousands of dollars for each item that has to be tested."

At Kids Paradise in Bend, Rollefson and his wife sell baby and kids clothes for a few dollars.  But in order to continue doing that, they'd have had to spend tens of thousands of dollars testing every component of every item in their second-hand store. 

Earlier this week, Rollefson was predicting the store would have to close. The couple might have to declare bankruptcy, and possibly lose their home.

"People have been subjected to our store because of the economy, and they love it," Rollefson said.  "They're going to always come back here, but it won't be here any more.  Then what are they going to do?"

Because his products could no longer be sold after Feb. 10 without being certified, he'd have no choice but to dump them in the landfill. 

It was the same struggle facing the owners of Stone Soup, on Bend's Westside.

"Our plan is to prepare for the worst. We plan on closing Feb. 9," said owner Shanna Laherty.   "We're hoping to stay open. A lot of people have e-mailed us, are e-mailing congress, trying to get the word out."

Her husband John had been in touch with congressional offices since they found out about the law last Friday.  Staffers told him they acknowledged the law had potentially unintended consequences, and lawmakers didn't intend to put this burden on retailers and resellers.

Laherty said the national chain Kid 2 Kid, which has 75 locations, might have had to completely go under if this issue wasn't solved.

Even if sellers wanted to test their products themselves, they'd likely have had to buy an X-ray lead testing gun, which costs some $25-30,000 - an unrealistic purchase for any small business.

But if the sellers don't comply, the consequences are enormous.  They could be fined up to $100,000 per book or pair of socks they sell that aren't certified.  On top of that, up to five years in prison on felony charges - a risk no business owner wants to take.

To learn more, visit:

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

A petition drive to keep second-hand kids' clothing stores legal can be found at:

http://www.rallycongress.com/make-second-hand-kids-clothes-legal-/