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Vermont Department of Health emergency manufactured‑food rule adopted; cottage‑food exemption raised to $30,000

August 07, 2025 | Legislative Committee on Administrative Rules/LCAR, Joint, Committees, Legislative , Vermont


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Vermont Department of Health emergency manufactured‑food rule adopted; cottage‑food exemption raised to $30,000
Natalie Weil, policy adviser at the Vermont Department of Health, told the Legislative Committee on Administrative Tools on Aug. 7, 2025, that the department filed an emergency Manufactured Food Rule (25EO1) that became effective July 1 to implement changes required by Act 42 of 2025.
Weil said the emergency rule and a concurrently proposed permanent rule include new definitions for cottage food operations and related terms, an exemption for cottage food operators with gross annual sales up to $30,000 from licensure requirements (replacing a prior $6,500 threshold for home‑kitchen baker exemptions), an annual exemption filing and annual training requirement for license‑exempt manufacturers, and a process for operators to request department determinations about whether a product qualifies as a cottage food. Weil said, “The proposed rule is in the public comment period with a public hearing scheduled on August 29.”
The department reported it worked with licensed food manufacturers, licensed home bakers and previously exempt processors while drafting the rule. Committee members and staff clarified that emergency rules are effective for up to 180 days and are not required to include a public hearing or formal comment period; the department is pursuing a permanent rule concurrently to provide a full public comment record.
Colleen, food production advisor at the Vermont Food Venture Center in Hardwick, urged caution. She said the exemption will lower barriers for small businesses but raised food‑safety and traceability concerns, especially for higher‑risk products such as pickles, jams and jellies. Colleen said, “Consumers deserve to know where their food was produced and if it was in a home kitchen or not,” and noted that frequent health inspections provide education and lot‑tracking practices that aid recalls.
Committee members moved to approve Rule 25EO1 as amended by the department; Senator Bongards moved the motion and the committee approved it by voice vote. Committee record notes a change memo dated Aug. 4 with mostly grammatical edits and one substantive adjustment (section 4.106.14 revised to align the rule to statutory language in Act 42), which the department said tracks the statute. The department expects LCAR to hear testimony on the final proposed permanent rule around December or January.

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