Small Biz: Say NO to Plastic Bag Bans

Some local communities across America have taken it upon themselves to enact a ban on retail use of plastic shopping bags. That's not sitting too well with the small business community and they're working to have their voice heard in the Michigan Legislature.

One of the state’s leading small business organizations, the National Federation of Independent Business (NFIB), told a Senate committee at mid-week that local governments should be prohibited from attempts to regulate or ban plastic bags.

Charlie Owens is the State Director for the NFIB, and he contends, “Small businesses are already overwhelmed with state and federal regulatory requirements as well as already existing local rules.” He argues, “Heaping yet another recordkeeping and compliance burden on them is not a wise economic development policy for local governments or the state.”

Owens’ testimony was in response to efforts by some cities and local governments in Michigan to pass a local ordinance that would ban or regulate plastic bags, cups or other disposable packaging and containers within their jurisdiction. Proposed ordinances would ban stores from giving plastic bags to customers and/or impose a fee for each plastic or paper bag they distribute. In response, Senator Jim Stamas has introduced Senate Bill 853 that would prohibit local governments from passing these kinds of laws.

Owens says, “While the intentions may be honorable, placing these requirements on citizens and businesses in a local area just encourages job providers to locate elsewhere or move out of that area when they have the opportunity.” He points out that “Often these kind of local efforts begin with a lofty goal and end with a fee and regulation scheme that becomes just another way for local governments to tax residents and businesses and provide government jobs for those who would enforce the ordinance.”

Owens also testified that this local approach to regulation that varies from one local jurisdiction to the next creates an inefficient patchwork quilt of rules that is especially confusing to small business. Owens urged the Senate Commerce Committee to support the Stamas bill.

The bill was voted out by the Committee to the Senate floor for further action. Stay tuned on this one.

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