TIA Joins CA Legislators in Calling for an Economic Impact Analysis of the State’s Pending Green Chemistry Regulations

October 2, 2012

In a letter sent on Monday, October 1st, California legislators urged Governor Jerry Brown to require the Department of Toxic Substances Control (DTSC) to conduct a thorough analysis of the economic impact of its Safer Consumer Products Regulations (SCPR) in order to ensure predictability and transparency in the regulatory arena. The request is in line with provisions of California law SB 617, which will go into effect in less than four months, that a robust economic analysis must be conducted on any new major regulation developed by a department or agency in the state.

For the Toy Industry Association (TIA) and its 550 members, safety is the top priority. We support the concept of green chemistry, and are committed to using sound science that can help improve or reinforce the safety of toys, but California must approach this regulation in a way that is workable and practical for businesses while effective in protecting public health and safety. We strongly support the recommendations made by the Legislators for a thorough economic analysis of the effect the SCPR regulations will have on business. We urge Governor Brown to take action to ensure that decision-makers and the public have critical information regarding how California’s economy and jobs will be affect before these regulations are finalized.

These regulations may saddle toy companies, both large and small, with unpredictable costs related to testing, data collection, complex expert analysis, reporting, etc. Some companies may not have the resources needed for compliance, and could be at risk of being put out of business. Additionally, these regulations could result in price increases across toy categories – which could limit the purchasing options for families looking to buy safe and affordable playthings. Without a thorough economic analysis, it is impossible to determine the level of impact to the toy or any other industry, and these regulations could result in devastating unintended consequences for California consumers and the economy.