Michigan does not require a license for selling eggs obtained from flocks of fewer than 3,000 laying hens if the sales are made directly to consumers. Any other sales, including those transacted with consumers by internet, mail, or consignment, are only allowed if the seller holds a $175 license.
Minnesota assesses an annual inspection fee, based on number of eggs sold, which costs from $12.50 to $312. A food handler license is also required for certain sales. The cost of a food handler license is based on the gross annual food sales and ranges from a fee of $77 for establishments with gross annual food sales of less than $50,000 to a fee of $2,001 for establishments with gross food sales of over $25 million. Producers may sell eggs directly from their farm, to individual customers, without meeting any licensing, registration, or inspection requirements. Producers may also sell eggs at farmers’ markets without licensing or registration, but the eggs must be candled, labeled with the producer’s name and address and kept at a temperature of 45° F or colder. Producers with fewer than 3,000 hens may sell eggs to grocery stores, restaurants or other food businesses without a license if they register with the Minnesota Department of Agriculture (MDA). There is no fee for registration and no routine inspection of the producer, although MDA may inspect the premises if they receive a complaint about the producer.
Currently, Wisconsin egg handlers must hold a food processing plant license (potentially hazardous foods category) with the license fee based on annual sales and ranging from a fee of $95 for establishments with annual sales of less than $25,000 to a fee of $835 for food processors with annual sales of at least $250,000. Wisconsin currently also requires egg producers who sell eggs directly to consumers at venues other than their farms or through a community-supported agriculture business, such as at a farmers’ market, to hold a retail food establishment license. The fee for a retail food establishment license issued by DATCP ranges from $45 to $685, depending on the scope of the establishment and its total annual sales, with small egg producers typically paying $45. If the retail sales occur in jurisdictions where local health agents are under contract with the department to conduct retail food establishment inspections, the fees may differ. This ATCP 88 rule now features exemptions from the food processing plant license requirement for producers who sell eggs from small flocks directly to consumers at specified venues, and producers who sell only nest-run eggs to egg handlers. This approach is consistent with that taken in neighboring states to minimize regulatory costs for small-scale direct-sale egg producers.
USDA grading standards are adopted in each of our neighboring states and those standards generally require that eggs sold to retailers must be Grade B or better. Illinois, Iowa, and Minnesota require candled eggs to be stored at 45° F or colder. Michigan requires eggs to be held and transported at no more than 45° F ambient temperature beginning 36 hours after the time of laying. Illinois requires nest-run eggs to be held at 60° F or less at all times. Since temperature control is an essential means of protecting the public from egg-borne illnesses, the Wisconsin rule requires eggs handled by licensed operators to be kept at 45° F or colder before and after packing and during transport, and 41° F or colder for retail sale. Wisconsin egg producers who are exempted under 2013 Wisconsin Act 245 from the requirement to hold a food processing plant license must hold at eggs at 41° F or colder for retail sale. Illinois, Iowa and Minnesota require record-keeping associated with graded-egg sales and retention of these records for varying lengths of time. Wisconsin's rule is consistent with neighboring states in this regard.
Summary of Factual Data and Analytical Methodologies
In developing this rule, DATCP reviewed rules which governed eggs in other states, reviewed the federal rules related to eggs, and sought input from federal egg regulators and egg industry personnel.
Effect on Small Business
This rule is expected to have a positive impact on small-scale egg producers, as it removes the requirement to obtain a food processing plant license to gather and pack eggs from their flock that are later sold to consumers at farmers’ markets and on egg sales routes, and removes the requirement to hold a retail food establishment license for sales of eggs to consumers at the egg producer’s farm or through a community-supported agriculture business. Egg producers selling nest-run eggs to an egg handler will be required to register with DATCP, which will require a very small expenditure of time and, for some producers, postage, but these producers will not be required to hold a food processing plant license. The rule will not increase licensing fees. Some licensed egg handling operations may need to upgrade facilities, e.g. sinks, walls, temperature monitoring devices, in order to meet requirements in the rule. The rule will have no economic impact on local governmental units or public utility rate-payers.
DATCP Contact
Peter Haase, Director
Bureau of Food Safety and Inspection
Department of Agriculture, Trade and Consumer Protection
P.O. Box 8911
Madison, WI 53708-8911
_____________________________________________________________________________
Section 1. ATCP 70.02 (16) (h) and (i) are created to read:
ATCP 70.02 (16) (h) The collection, packing and storage of eggs from a flock of not more than 150 laying birds by an egg producer who only sells the eggs directly to consumers at the premises where the eggs were laid, at a farmers’ market, or on an egg-sales route.
ATCP 70.02 (16) (i) The collection, packaging, and storage of nest-run eggs, as defined in s. ATCP 88.01, from a flock of laying birds by an egg producer who is registered with the department in accordance with s. ATCP 88.02 and who sells the nest-run eggs to an egg handler. Section 2. ATCP 70.04 (17) is created to read:
ATCP 70.04 (17) Egg handling facilities. Egg handling facilities shall meet the requirements in ss. ATCP 88.06 and ATCP 88.08. Section 3. ATCP 70.06 (11) is created to read:
ATCP 70.06 (11) Equipment and utensils in egg handling facilities. Equipment for candling, grading and weighing eggs shall meet the requirements of s. ATCP 88.12 (5). Section 4. ATCP 70.09 (8) is created to read:
ATCP 70.09 (8) Egg cleaning and storage. Cleaning and storage of eggs shall be done in compliance with the requirements of s. ATCP 88.20. Section 5. ATCP 70.10 (6) is created to read:
ATCP 70.10 (6) Egg packaging and labeling. The packaging and labeling of eggs shall be done in compliance with the requirements of ss. ATCP 88.32, ATCP 88.34, and ATCP 88.38. Section 6. ATCP 75 (appendix) (3-201.11) (H) is created to read:
ATCP 75 (appendix) (3-201.11)(H) Eggs shall be: (1) from an egg handler complying with the requirements of ATCP 88 and holding a food processing plant license under s. 97.29, Stats., (2) From an egg handler complying with the law of another state, or
(3) Sold directly to the consumer by an egg producer exempted under s.97.28, Stats., and s. ATCP 88.02 and selling nest-run or washed, candled, graded, sized, or packaged eggs from a flock of not more than 150 laying birds owned by the producer. Section 7. ATCP 75 (appendix) (3-202.13) is amended to read:
ATCP 75 (appendix) (3-202.13) Eggs.
Eggs shall be received clean and sound and may not exceed the restricted egg tolerances
Section 8. ATCP 88 is repealed and recreated to read:
EGGS
Subchapter I-General Provisions
ATCP 88.01 Definitions.
ATCP 88.02 Licensing and registration.
ATCP 88.04 Federal registrations and records.
Subchapter II-Egg Facilities
ATCP 88.06 Egg handling and storage facilities.
ATCP 88.08 Egg handling rooms.
ATCP 88.10 Operations water.
Subchapter III-Equipment and Utensils
ATCP 88.12 Equipment and utensil requirements.
ATCP 88.14 Cleaning and sanitizing equipment and utensils.
Subchapter IV-Egg Handling Operations
ATCP 88.16 Personnel standards.
ATCP 88.18 Temperature standards.
ATCP 88.20 Egg cleaning and storage operations.
ATCP 88.22 Candling.
ATCP 88.24 Grading standards for chicken eggs.
ATCP 88.26 Minimum tolerance standards.
ATCP 88.28 Restricted eggs.
ATCP 88.30 Shell egg protection.
Subchapter V-Packing and Labeling
ATCP 88.32 Egg packing.
ATCP 88.34 Egg labeling.
ATCP 88.36 Labeling of baluts.
ATCP 88.38 Deceptive practices.
Subchapter VI-Recordkeeping, Recall Planning, and Enforcement
ATCP 88.40 Dealers buying eggs from producers; receipts.
ATCP 88.42 Recall plan.
ATCP 88.44 Enforcement.
SUBCHAPTER I
GENERAL PROVISIONS
ATCP 88.01 Definitions. In this chapter:
(1) “Ambient temperature” means the temperature of the air surrounding eggs or packages of eggs.
