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Legislative & Regulatory Alerts - 05/06 Archive

 2006 Alerts Archive:   2005 Alerts Archive: 

Student Work-Hours Deviation
Reminder:  WIC Program Changing Infant Formula Companies Minimum Wage Poster
Federal Meth Law
Beware Handwashing Signs Warning
Seafood Country of Origin Labeling
Minimum Wage
Item Pricing Enforcement
Liquor Price Reductions
Reminder to Post MIOSHA Form 300A
Food Allergen Posters
Bottle Deposit Fund Reimbursement Forms

Meth Law Signs
Bioterrorism Recordkeeping Requirements
student work-hours deviation
EBT Scams
Item Pricing
Cold Medication Restrictions

FinCEN Issues Advisory to MSBs
New USERRA Poster 
Country of Origin Labeling for Fish and Shellfish
New Mandatory Food Stamp Requirement for WIC Vendors
Problem with Bridge Card Benefit update for Feb. 1, 2005

 

2006 Alerts Archive:

MGA secures student work-hours deviation for the holiday season.

[OCTOBER, 2006]  To help its members with holiday staffing needs, MGA requested a deviation in the hours standard for youth employment.  The Michigan Department of Labor & Economic Growth's' (DLEG) Wage and Hour Division approved the appeal this month.

This year's deviation allows  16- and 17-year old employees to work until midnight from November 17, 2006 through January 2, 2007 if the following conditions are met:

  Adult supervision is provided at all times while a minor is working.

  The employment is in compliance with the provisions of Act 90, including the requirements of work permits obtained before employment; required rest periods; and employment that is not hazardous or injurious to the minor's health or well-being.

  Hours worked in a week don't exceed 48 hours of work and school combined.

  The hours worked in a day may not exceed 10 hours per day, or more than a weekly average of 8 hours per day.

  A work week doesn't exceed six days.

  The written permission of a parent or guardian must be on file at the place of employment.

  Records required by Act 90 must be maintained and available for inspection by an authorized representative of the Michigan Department of Department of Labor & Economic Growth, including a record of meal or rest periods provided to minors working more than a five-hour shift.

  No minor may be discharged, demoted, or otherwise discriminated against because of the refusal of a parent or guardian to provide written permission to work deviated hours.

  A copy of this approval or evidence of current MGA membership is retained at the job site where the teenager is employed.

  This approval does not apply to any member not currently in compliance with the Youth Employment Standards Act and will be revoked for any member who fails to comply with a corrective action notice issued by DLEG; or is found to be in violation of any provision of Act 90 during the approved deviation period.

"The Youth Employment Standards Act was amended in 2001 to allow 16- and 17 year-olds to work until 11:30 p.m. on Fridays and Saturdays and during school vacation periods without a deviation," said MGA president Linda Gobler.  "However, many of our retailers are open until midnight.  This deviation gives MGA retailers greater scheduling flexibility during the busy holiday shopping season."  For more information, contact MGA at 1-800-947-6237.  

Reminder:  WIC Program Changing Infant Formula Companies November 1

[OCTOBER, 2006]  Per the June WIC Newsletter, the WIC Program is changing infant formula companies starting November 1, 2006.  On that date, Mead Johnson will become the new company to provide formulas for the Michigan WIC Program.

While this transition occurs, you will see WIC coupons for both the current infant formulas (Ross)  and for the new brands.  You must carry both the current formulas as well as beginning to carry the new formulas, as WIC begins the transition November 1, 2006.

NEW MINIMUM STOCK REQUIREMENTS BEGINNING NOVEMBER 1, 2006.  PLEASE NOTE YOU WILL HAVE UNTIL DECEMBER 1, 2006 TO HAVE ALL MEAD JOHNSON PRODUCTS.   YOU MAY HAVE A COMBINATION OF THE CURRENT PRODUCTS ( SIMILAC WITH IRON AND ISOMIL) AND THE NEW PRODUCTS AS LONG AS YOUR COMBINED STOCK MEETS THE NUMBER OF CANS, UNTIL DECEMBER 1, 2006.

PRODUCT

SIZES

MINIMUM STOCK

ENFAMIL LIPIL WITH IRON

13 OZ. CONCENTRATE,
12.9 OZ. POWDER


32 CANS CONCENTRATE
AND
10 CANS POWDER

PROSOBEE LIPIL IRON FORTIFIED 13 OZ. CONCENTRATE,
12.9 OZ. POWDER

AS OF NOVEMBER 1, 2006, THE NEW REQUIRED INFANT FORMULAS ARE:

ENFAMIL LIPIL WITH IRON

PROSOBEE LIPIL IRON FORTIFIED

Other new infant formulas that you may see on WIC coupons, after November 1, 2006, are for:

Enfamil Lactofree LIPIL
Enfamil Gentlease LIPIL and
Enfamil with Iron

If you have any questions, please contact the Vendor Relations Unit at 517-335-8937. Back to Top

Minimum Wage & Poster Requirement Update

[September 2006]  Governor Granholm signed the minimum wage bill that creates a new youth wage.  To remind you, the new wages are as follows:

bulletBeginning October 1, 2006, the youth wage will be $5.91 and the regular minimum wage will be $6.95.
bulletBeginning July 1, 2007, the youth wage will be $6.08 and the regular minimum wage will be $ 7.15.
bulletBeginning July 1, 2008, the youth wage will be $6.29 and the regular minimum wage will be $ 7.40.

NOTE:  A training wage of not less than $4.25 an hour may be paid to a new employee who is less than 20 years of age for the first 90 days of that employee's employment. [Section 408.384b - Minimum Wage Law Back to Top

Required Posting:
[September 29, 2006] Hot off the press...the Department of Labor and Economic Growth has just mailed out 218,000 posters outlining the requirements of the new minimum wage and youth wage (Public Act 375 of 2006).  You will find the poster on the reverse side of the "Michigan Employer Advisor" newsletter.  The state is NOT going to be enforcing the posting requirement immediately.

Minimum Wage Posters are now available for download from the Wage and Hour Division website.  A summary of what Michigan's Minimum Wage and Overtime Law covers is also available.  Back to Top

Phase Two of the Federal Combat Meth Law Takes Effect September 30th

[September 2006]  On March 9, 2006, President Bush signed into law the USA Patriot Act Reauthorization.  Contained with the USA Patriot Act is the Combat Methamphetamine Epidemic Elimination Act (CMEEA), which places significant restrictions on retail sales of over-the-counter pseudoephedrine (PSE) products.

The federal law does not mirror Michigan's "Meth Law".  It is important to remember that whichever law is the strictest is the law the prevails. The April issue of the Michigan Food News provided a a side by side comparison of federal and state Meth laws and their impact on Michigan retailers.  Click Here to download a copy of this comparison.

The federal Combat Meth Act that took effect in April 2006 requires retailers to train store personnel by September 30, 2006.  A summary of federal training & certification requirements, federal logbook requirements and restriction on access was printed in the August issue of the Michigan Food NewsClick Here to download a copy of Phase Two requirements.  Back to Top

Beware of Handwashing Signs Warning

[AUGUST 2006]  According to the Michigan Department of Agriculture, a business called “Michigan Food Service Compliance Center” has been mailing official-looking flyers to food establishments around the state including grocery stores, restaurants, and even nursing homes with food preparation facilities selling “approved handwashing posters.”  The flyers quote sections of the FDA Food Code and the Michigan Food Law of 2000.  The wording in the “Advisory” indicates that an operator risks being closed down or fined up to $2500 unless they have handwashing posters that meet the “exact specifications” of the Food Code and that the posters “should not be self-made”.  This company claims their posters meet these specifications and they are charging $19.95 plus shipping.  The Attorney General’s office has been notified about their unscrupulous business practices.  One other company is already under a cease and desist order.

While handwashing signs are, indeed, required by the FDA Food Code, they are a non-critical item that would not result in such harsh penalties as a $2500 fine or shut down.  Please note that Section 6-301.14 of the Food Code did change as follows:

bullet FROM: Requiring that a sign or poster notifying all food employees to wash their hands be provided at all HANDWASHING LAVATORIES.
 
bullet TO:  Requiring that a sign or poster notifying all food employees to wash their hands be provided at all HANDWASHING SINKS.

The Food Code does not specify any particular size that the sign should be, only that it should be clearly visible to food employees.  A sign that simply states “Always wash hands with soap and warm running water before returning to work” will meet the requirements of the code.

Where to get handwashing signs:
MGA currently has handwashing signs for lavatories available free of charge to MGA members.  Call Nora Hale at 800.947.6237 x 25 or email her at nora@michigangrocers.org to order signs.

We have created a sign that can be used at other handwashing sinks (PDF format). The National Food Service Management Institute NFSMI also has a number of Food Safety posters, including handwashing posters, that can be downloaded free from their website.  Back to Top

Mandatory Seafood Country of Origin Labeling Enforcement Begins

[AUGUST 2006] The United States Department of Agriculture (USDA) has begun enforcing the mandatory seafood country of origin labeling law that became effective in April of 2005.

Although the regulations have been in effect for over a year, USDA says it will now begin in earnest to enforce the law.

USDA negotiated enforcement programs with local inspectors in Michigan and 13 other states. USDA officials will conduct the audits in other states.

All retailers must ensure that covered seafood commodities (fresh and frozen unprocessed fish and shellfish) are labeled properly with the country of origin and method of production (wild caught or farm-raised) and that records of such information are maintained.

According to USDA, during the training period, it found confusion on whether some less common products were covered. For example:

bullet Not covered: turtles, fish heads, alligator, frog legs, turtle, caviar.
bullet Covered: cephalopods like squid, octopus, eel.

Click Here to read guidelines to help you comply.  Back to Top

Governor Signs Legislation to Increase Minimum Wage

[MARCH, 2006]  On March 28, Governor Jennifer Granholm signed legislation to increase the state’s $5.15 per hour minimum wage in three steps over the next two years.  Michigan’s minimum wage will increase as follows:

bullet

Effective October 1, 2006 - $6.95 per hour

bullet

Effective July 1, 2007 - $7.15 per hour

bullet

Effective July 1, 2008 – 7.40 per hour

 

The training wage of $4.25 per hour remains the same and may be paid to employees 16-19 years of age for the first 90 calendar days of their employment.

 

The law contains no cost of living adjustments beyond that point and does not create new fines or penalties for employers.

 

The minimum wage has not been increased since 1997.  For the last nine years, Michigan Grocers Association and other business groups have successfully stopped repeated attempts to increase the minimum wage.  However, recent organized labor efforts to put a proposal to increase the minimum wage on the November 2006 ballot forced the Legislature to reconsider the issue.  The ballot initiative would have amended the Michigan Constitution and guaranteed annual inflationary increases in the minimum wage. Back to Top

Attorney General Steps-Up Enforcement of Item Pricing Law

[MARCH, 2006]  MGA members are reminded to continue to be vigilant in their compliance with the state’s Item Pricing law. On Wednesday, March 1, Michigan Attorney General Mike Cox announced that his office was taking legal action against Wal-Mart for its violation of the Item Pricing statute. The resulting publicity will increase both regulators’ and the public’s attention on the issue so your own Item Pricing compliance will likely come under increased scrutiny.  The Attorney General’s announcement included consumer complaint phone numbers and instructions for consumers to obtain a free wallet-sized Item Pricing Bill of Rights Card.  Back to Top

Liquor Control Commission Sets Criteria for Price Reductions on Spirits Act 228 for SDD Licensees

Liquor Control Commission Sets Criteria for Price Reductions on Spirits Act 228 for SDD Licensees

[MARCH, 2006]  Bulletin No. 3096-17

Date: February 16, 2006
To: Specially Designated Distributor Licensees, Executive Staff
From: Michigan Liquor Control Commission
Subject: Price Reductions on Spirit Products

The Michigan Liquor Control Commission, at its administrative meeting of February 15, 2006, adopted the following Administrative Order regarding price reductions on spirit products in accordance with MCL 436.1229(2).

The February 15, 2006 Order details the conditions and procedures to be followed on requests to reduce the selling price for spirits below the minimum selling price in order to dispose of inventory.

Failure to comply with the above will result in enforcement action by the Commission.

If you have any questions please contact Jeff Jones at 517-322-1227 or email at jjones@michigan.gov.

Order 3096-97
“P. A. 288 of 2005 authorizes the Michigan Liquor Control Commission (Commission) to approve a Specially Designated Distributor (SDD) licensee to reduce the retail price of spirit products below the minimum retail selling price established by the Commission for those products.

Pursuant to Public Act 288 of 2005, MCL 436.1229 was amended to provide, in part:

“(2) The commission may, by rule or order, allow a specially designated distributor to sell alcoholic liquor at less than the minimum retail selling price in order to dispose of inventory at a price and under conditions and procedures established through that rule or order”

Acting under the foregoing authority, the Commission hereby Orders that the following conditions and procedures be applied to a request received from an SDD licensee to reduce the selling price for spirits below the minimum selling price in order to dispose of inventory; the Commission further Orders that its Order of February 6, 2001 regarding special price reductions by SDD licensees for discontinued products be amended:

1. Price reductions may be requested by an individual SDD licensee only on products which have not been purchased by that licensee from the Commission for a period of six (6) months prior to making the request for a price reduction.

2. Price reductions will not be allowed for the top 30 statewide codes.

3. With the exception of the top 30 statewide codes, price reductions are available for any spirit product sold by the Commission regardless of its current status, i.e. no longer offered for sale by the Commission or currently listed.

4. The SDD licensee may not reorder a product in the same bottle size for which a price reduction has been granted by the Commission for a period of one (1) year after receiving approval for a price reduction by the Commission.

5. Value added items are eligible for a price reduction. However, if approved for a price reduction, that product may not be reordered in its regular or any other packaging in the same bottle size by the SDD licensee receiving the approval for a period of one (1) year after the approval is granted.

6. The maximum price reduction that may be made is 75% of the minimum retail shelf price that is currently in effect for the requested product or that was in effect for that product when last offered for sale by the Commission. The Commission’s reduced retail shelf price will indicated on the Approval for Price Reduction on Liquor form.

7. The allowable period of price reduction will be three (3) months from the date of approval for the price reduction and will be indicated on the Approval for Price Reduction issued by the Commission. An SDD licensee may apply for an additional price reduction period at any time.

8. An SDD licensee desiring to make a price reduction shall submit a request to the Commission on Form LC-88, “Request for Price Reduction on Liquor”. The request must specifically list those products, sizes, quantities, and percentage of reduction the licensee wishes to offer the products at a reduced price.

9. The Commission Order for the “Approval for Price Reduction on Liquor” must be posted in a prominent place where the reduced liquor is being displayed during the period when price reductions are in effect.

10. Pursuant to the provisions of MCL 436.2025, a licensee shall not give away alcoholic liquor.

11. The Commission, at its discretion, may refuse to approve any request for a special price reduction.

It is further the Order of the Commission that the procedures and policy contained herein shall have immediate effect.”  Back to Top

MIOSHA Reminds Employers to Post Form 300A from February 1 to April 30.

[FEBRUARY, 2006]  MIOSHA requires employers with 11 or more employees to log and maintain records of work-related injuries and illnesses, and to make those records available during MIOSHA inspections of the workplace.  Employers are required to post the total number of job-related injuries and illnesses on MIOSHA Form 300A, Summary of Work Related Injuries and Illnesses, that occurred during the previous calendar year from February 1 to April 30. 

Visit MGA’s Required Postings Page to download Form 300A and other required postings or call Nora Hale at 800.947.6237 x 25 if you need forms faxed or mailed to you. Back to Top  

FMI offers free Food Allergen Posters and Fact Sheet

[JANUARY, 2006]  The 2005 FDA Food Code requires managers to demonstrate their knowledge of the eight major allergens and the symptoms of an allergic reaction. This poster provides the necessary information and is available in English and Spanish. Prepare your managers by displaying this poster in every store. Click Here to download the poster in English and Click Here to download the poster in Spanish. For more information, contact Larry Edwards at 202-220-0659 or email

In addition, FMI has developed a Fact Sheet identifying the eight major food allergens and the acceptable ways to identify them on packages. To download the fact sheet free of charge, Click Here

FDA issues new Food and Cosmetic Guidance Documents to answer questions on the new Food Allergen Labeling Act.  Back to Top