California's Cottage Food Law (AB 1616) | A Comprehensive Guide for Starting Your Home-Based Food Business

Learn how California's Cottage Food Law (AB 1616) enables you to legally start a home-based food business. This comprehensive guide covers allowed foods, legal requirements, and benefits for aspiring cottage food entrepreneurs

Understanding California's Cottage Food Law (AB 1616)

In an effort to empower small food businesses and bolster local economies, California enacted the Cottage Food Law (AB 1616) in 2012. This legislation allows individuals to legally prepare and sell certain non-potentially hazardous foods made in their home kitchens. Here's a comprehensive summary of what the law entails and how it benefits aspiring home-based food entrepreneurs.

What is the Cottage Food Law?

The Cottage Food Law permits the production and sale of specific types of low-risk foods from a home kitchen, known as a Cottage Food Operation (CFO). These foods are considered non-potentially hazardous because they are unlikely to support the growth of harmful bacteria.

Key Provisions of AB 1616

1. Allowed Food Products

Cottage food products are limited to non-potentially hazardous foods, including:

• Baked goods: Breads, cookies, pastries without cream or meat fillings.
• Jams, jellies, and preserves: Must comply with federal standards.
• Dried fruits and herbs.
• Granola, cereals, and trail mixes.
• Honey and sweet sorghum syrup.
• Popcorn and popcorn balls.
• Vinegar and mustard.
• Roasted coffee and dried tea.
• Candies: Such as brittle and toffee.
• Nut mixes and nut butters.

The California Department of Public Health maintains a full list of approved cottage food products.

2. Classification of Cottage Food Operations

Class A CFOs

• Sales Type: Direct sales only (e.g., from home, farmers' markets).
• Requirement: Must register with the local environmental health agency and complete a self-certification checklist.
• Inspections: Not subject to routine inspections unless a complaint is filed.

Class B CFOs

• Sales Type: Direct and indirect sales (e.g., to local shops, restaurants).
• Requirement: Must obtain a permit from the local environmental health agency.
• Inspections: Subject to annual inspections and inspections in response to complaints.

3. Annual Gross Sales Limits

To qualify as a CFO, operators must not exceed the following annual gross sales:

• 2013: Up to $35,000.
• 2014: Up to $45,000.
• 2015 and beyond: Up to $50,000.

4. Health and Safety Requirements

• Training: Operators must complete a food processor training course within three months of registering or permitting.
• Sanitation: Adherence to specific sanitary procedures, including:
  • No concurrent domestic activities during food preparation.
  • Exclusion of infants, small children, and pets from the kitchen during preparation.
  • Proper handwashing and utensil cleaning practices.
• Water Source: Water used must meet potable drinking water standards.

5. Labeling Requirements

All cottage food products must have labels that include:

• Statement: "Made in a Home Kitchen" in at least 12-point type.
• Product Name: Common or descriptive name of the food item.
• Operator Information: Name and address of the CFO.
• Registration/Permit Number: And the name of the county issuing it.
• Ingredients: Listed in descending order by weight.
• Allergen Disclosure: As required by federal law.

Zoning and Permits

• Residential Use: CFOs are allowed in residential dwellings and are considered a permitted use of residential property.
• Local Regulations: Cities and counties cannot prohibit CFOs but may regulate aspects like spacing, traffic, parking, and noise.
• Building Codes: CFOs are exempt from certain commercial building codes but must comply with health and safety standards.

Benefits of the Cottage Food Law

• Economic Opportunities: Lowers barriers to entry for small-scale entrepreneurs.
• Local Economies: Encourages buying and selling within the community.
• Food Access: Increases availability of homemade and artisanal food products.
• Regulatory Clarity: Provides a clear framework for legal home-based food businesses.

Considerations for Cottage Food Operators

• Stay Informed: Regulations may vary by county; always check local requirements.
• Maintain Compliance: Keep up with training, labeling, and safety practices.
• Plan for Growth: If you approach sales limits, consider scaling up to a commercial kitchen.

Conclusion

California's Cottage Food Law (AB 1616) offers a valuable opportunity for home-based food entrepreneurs to turn their culinary passions into profitable businesses. By understanding and adhering to the law's requirements, you can safely and legally share your homemade goods with appreciative customers.

For more information, visit the California Department of Public Health's Cottage Food Operations page or consult your local health department.