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Committee advances bill to exempt small 'cottage' cosmetic makers from state registration
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Summary
A Louisiana House committee reported HB 930 favorably with amendments after testimony that the bill would exempt small 'cottage' cosmetic manufacturers (wholesale threshold described as $100,000) from certain Louisiana Department of Health registration requirements while leaving federal rules and sales taxes intact.
A Louisiana House committee on Tuesday advanced House Bill 930, a measure that would create a "cottage cosmetic" exemption to state registration and certain fees for very small cosmetic manufacturers.
Representative Turner, presenting the bill authored by Representative Coates, said the change would let small makers who handle "relatively innocuous" skin products avoid the state-level registration process while remaining subject to federal law and local taxes. Committee staff and the sponsor described the wholesale threshold for the exemption as $100,000 in annual sales.
The bill's sponsor and department witnesses told the committee that the measure is intended to align state rules with recent federal changes and to clarify regulatory requirements for backyard and farm-based makers who sell lotions, balms and other non-medicinal skin products. "This would create a new exempt class of small manufacturers that are only handling relatively innocuous types of products," Brian Warren, chief of specialty operations in the Louisiana Department of Health's Bureau of Sanitarian Services, said in testimony.
Small-business testimony emphasized the economic impact for local makers. Andrea Anderson, a Livingston Parish goat-milk soapmaker, said inconsistent guidance from state and parish offices hindered her ability to expand into handcrafted cosmetics after the federal Modernization of Cosmetics Regulation Act (MOCRA) took effect. "Representative Coates listened to my concerns and reached out to LDH," Anderson said. She urged the committee to pass HB 930 so farms and small boutiques can legally wholesale handcrafted lotions and similar products.
Retail concerns about the $100,000 wholesale cap were raised during testimony. One small retailer asked where the $100,000 figure came from and whether high-markup products could upset downtown storefronts. Sponsor and witnesses said the cap applies to wholesale sales and that MOCRA’s federal small-business exemption is substantially larger; they said producers would still need to follow federal good manufacturing practices and proper labeling.
Committee staff presented two sets of technical amendments (identified in committee as sets 2190 and 2180) clarifying participation criteria for cottage cosmetic facilities and the regulation of sellers who sell directly to consumers. The committee adopted the technical amendments without objection.
Representative Dickerson moved to report HB 930 favorably with amendments; with no objection the motion carried and the bill was reported from committee as amended.
The committee record includes support from the Pelican Institute and a written submission from LDH; no formal roll-call vote was recorded in committee minutes for this motion. The committee deferred no action and moved on to other business.
What happens next: With the committee report, HB 930 is eligible for floor consideration; the committee and witnesses said further clarifications of scope and compliance are expected to be addressed between committee work and any floor debate.
