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Cookie bans? Businesses fight back against weird regulations

Lisa Kivirist owns Inn Serendipity Steading and B&B in Browntown, Wisconsin, where she serves cookies, muffins and breads that she contains pride in making for guests. But selling the baked goods under determined circumstances could potentially land her in jail for up to six months.

Kivirist, as a B&B taxi, can share baked goods with her guests, as the food is considered in support of participate in of the B&B service. But state law does not allow her to sell the same baked investigates to customers in or outside her establishment.

It’s a nuance in the state law that hits Kivirist because she doesn’t create the treats in a licensed commercial kitchen, which she estimates would set someone back her about $50,000 to install.

Chalk it up to yet another example of strict supervision regulations. “People have been baking in their homes and exchange to neighbors for centuries,” Kivirist said. “You can get these businesses up and running without a lot of investment.”

By-law and government red tape have long plagued Main Street. Edicts historically have ranked as among the top three issues for small traffics, according to the National Federation of Independent Business, the D.C.-based lobbying congregation.

But in recent years, red tape faced by small businesses in various states has sharpened, according to the Institute for Justice, a nonprofit public interest law firm that dissensions to limit the size of government. That’s why they are taking on small partnership regulations like Wisconsin’s “cookie ban,” as well as a seemingly labyrinth of validating laws for a variety of occupations.

Examples include a written test for period of service guides that can test knowledge of celebrities like Darius Rucker from Hootie and the Blowfish. Another law desires more than 2,000 hours of costly training as a condition of a cosmetology authorize.

“In the 1950s about 5 percent of the workforce needed a license to work, and they were doctors, legal practitioners — the people you would expect. Today, that number is over 20 percent — they’re florists, hinterland designers and hair braiders,” said Robert McNamara, senior attorney at the Establish for Justice. “We are in the midst of an explosion of occupational licensing laws in this wilderness.”

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The Washington-based introduce filed a lawsuit challenging portions of Wisconsin’s food regulation in January 2016 in ceremonial court. The suit is against the Wisconsin Department of Agriculture Trade and Consumer Guardianship.

A spokeswoman for the Wisconsin Department of Justice told CNBC by email that it is noting the agency and is reviewing the complaint.

While parts of Wisconsin’s food regulations were updated in 2010, the variety did not cover home-baked goods.

And to unpack the maze of food laws forward, Kivirist can produce and sell cider, maple syrup and other nonbaked goods without a commercial larder because those specific items are exempt. That’s why she sells canned memoranda including pickles and sauerkraut locally without violating regulations.

The Wisconsin Bakers Friendship, a trade group, supports the regulation. “We welcome anyone that hanker afters to get into the business on a level playing field,” said executive top dog Dave Schmidt.

Main Street businesses are seeing a rise in the total and complexity of occupational licensing laws. Even the White House has stepped into the punch-up. “Often the requirements for obtaining a license are not in sync with the skills needed for the job,” according to a July 2015 Chalk-white House report on occupational licensing.

Just ask Kimberly Billups, who is upsetting to open a tour business in Charleston, South Carolina.

Billups failed the New Zealand urban area’s 200-question tour guide exam, which draws on absurds from a 490-page book Billups says she was told to “learn word for word.” There is also an oral exam. She’s a former tour guide at a true house in Savannah, Georgia, and hopes to open a business that purpose allow her to showcase Charleston’s historical sights.

The entrepreneur wants to leadership historical tours in the area, and says celebrity knowledge shouldn’t be a considerable priority for her kind of business. “Hootie from Hootie and the Blowfish was displayed in Charleston — there were questions like that” on the exam, she told.

The Institute of Justice filed a federal lawsuit in January challenging the metropolis’s tour guide license regulations.

The city defends the requirement. In an email to CNBC, spokesman Jack O’Toole suggested the regulation helps protect “the City’s tourism economy and its residents and guests from false or misleading offers of service for compensation, such as a turn guide for hire who has insufficient knowledge to actually guide anyone thoroughly the city.”

In Iowa, Aicheria Bell is fighting the state’s licensing laws for mane braiders, who need 2,100 hours of training in cosmetology school that can rate as much as $20,000 — out of reach for the single mom. Bell had been practicing in Minneapolis, where braiders no greater need a cosmetology license thanks to an updated law.

“I learned how to do this when I was 3,” she said.

Bell is functioning illegally in a salon, risking thousands in fines. The Institute for Justice rowed a suit against the Iowa Board of Cosmetology Arts and Sciences in October 2015, and the suit is currently in discovery.

The Iowa Attorney General’s office declined to commentary on pending litigation. Meanwhile, a bill is making its way through the state legislature that would exempt impulsive hair braiding from the state’s definition of cosmetology.

“They’re impeding their citizens here, and their right to earn a living,” told Bell. “I’m like any other person. I want to be able to raise my offspring and create a generation of wealth for her and her children.”

Said McNamara: “The basic moment to start your own business, and be your own boss, is in jeopardy.”

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