A Day Late and a Dollar Short Report
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campaign for healthier solutions • february 2015 A DAY LATE AND A DOLLAR SHORT Discount Retailers Are Falling Behind on Safer Chemicals A DAY LATE AND A DOLLAR SHORT Discount Retailers Are Falling Behind on Safer Chemicals campaign for healthier solutions • february 2015 Lead Author Steve Taylor Coming Clean Contributors & Reviewers bahati ansari www.nontoxicdollarstores.org Los Jardines Institute 2615 camino Del rio south, suite 400 Jose bravo san Diego, ca 92108 Campaign for Healthier Solutions (619) 838-6694 Helga Garza The Campaign for Healthier Solutions seeks Los Jardines Institute to work with discount retailers (dollar stores) Suguet Lopez to help them protect their customers and Lideres Campesinas the communities in which they operate, and Richard Moore grow their own businesses, by implementing Environmental Justice Health Alliance corporate policies to identify and phase out for Chemical Policy Reform harmful chemicals in the products they sell. yudith nieto The Campaign is a collaborative project Texas Environmental Justice Advocacy including many partners that is led by: Services Michele Roberts Coming Clean, a national environmental health Environmental Justice Health Alliance collaborative that unites community organizers, for Chemical Policy Reform scientists, advocates, business leaders, commu- nications specialists, and diverse issue experts Judy Robinson Coming Clean in common work to transform the chemical and fossil fuel industries so they are sources of health, Joaquín Sánchez Los Jardines Institute economic sustainability, and justice rather than of pollution, disease, and planetary harm. Mike Schade Visit www.comingcleaninc.org. Safer Chemicals, Healthy Families bev thorpe The Environmental Justice Health Alliance Clean Production Action for Chemical Policy Reform, a network of grassroots organizations throughout the country, Mily Treviño-Sauceda supports diverse movement towards safe chemi- Lideres Campesinas cals and clean energy that leaves no community Dee Treviño or worker behind. Visit www.EJ4All.org. Texas Environmental Justice Advocacy Services The information and recommendations presented in this report do not necessarily Science Reviewer reflect the views and opinions of the Ted Schettler, MD, MPH contributors or reviewers. Science and Environmental Health Network The ratings included in this report do not provide a measure of health risk or chemical exposure associated with any individual product, or any individual element or related chemical. Design HealthyStuff.org ratings provide only a relative David Gerratt measure of high, medium, and low levels of NonprofitDesign.com concern for several hazardous chemicals or chemical elements in an individual product in © february 2015, coming clean comparison to criteria established in the site methodology. Cover Photo © Joaquín Sánchez T itle Page This report is available online at © Juan Parras www.nontoxicdollarstores.org. TABLE of CONTENTS 2 Executive Summary © y udith CHAPTER ONE 4 Toxic Chemicals and Our Health n ieto CHAPTER TWO 6 Dollar Stores and Environmental Justice CHAPTER THREE 9 Hazardous Chemicals Found in Dollar Store Products © Joaquín Sánchez CHAPTER FOUR 14 Dollar Stores Are Big Business CHAPTER FIVE 15 Smart Companies Are Responding CHAPTER SIX 17 Baby Steps Aren’t Enough © CHAPTER SEVEN y 19 Essential Elements of a Corporate Chemical Policy udith n ieto CHAPTER EIGHT 21 Our Recommendations: Common-Sense Solutions 22 Resources 23 Endnotes © APPENDIX A y udith 25 Methods n ieto Appendix b 26 Five Essential Practices for Retailers, Brand Owners and Suppliers campaign for healthier solutions • A DAY LATE AND A DOLLAR SHORT | 1 executive summary © y udith n ieto iscount retailers (commonly called “dollar stores”) which are critical to overall health and to withstanding make up a significant portion of the U.S. retail chemical exposures. In many of these communities, dollar sector. The four largest chains—Dollar General, stores are often the only store selling essential household Dollar Tree, Family Dollar (tentatively acquired by goods, including food. These factors place a higher level Dollar Tree on January 22, 2015), and 99 Cents of responsibility on dollar stores to ensure they are not DOnly—operate over 21,500 U.S. stores, more than selling products that contain harmful chemicals. Walmart, with total annual sales of more than $36 billion. Although the largest dollar store chains have taken some Many communities served by dollar stores are predomi- initial steps to address toxic chemicals in the products they nantly communities of color or low-income communities sell, mostly in response to federal and state requirements, that are already disproportionately exposed to chemical their failure to adopt and disclose comprehensive plans of hazards and health effects linked to chemical exposures. action is leaving their customers, and their own businesses, Residents in these areas often have reduced access to quality at risk. Recent events, and new testing of dollar store medical care, fresh and healthy food, and public services, products, show that these chains need to do more. 2 | A DAY LATE AND A DOLLAR SHORT • campaign for healthier solutions • A 2012 report found that 39% of vinyl packaging shifting landscape, leaving their customers and investors sold by discount retailers contained levels of cadmium exposed to potential harm and liability. or lead that violate state laws.1 • 99 Cents Only will pay over $2 million in 2015 for The largest dollar store chains are in a unique position improper storage and disposal of hazardous products, to benefit the health and welfare of many communities of and was fined $409,490 in 2010 by the U.S. Environ- color and low-income communities where they operate, mental Protection Agency (EPA) for selling unregis- and grow and benefit their own businesses, by providing tered and mislabeled pesticides in household cleaning safer products. What has been missing in the discount products. In the latter case, EPA’s Administrative Law retail sector so far—with the exception of a few important Judge declared that the company’s management has but limited actions—has been sustained focus on this issue a “culture of indifference.”2 at the top corporate leadership level and broad corporate • In 2014, Dollar Tree had to remove toy Clingy Darts policies to identify and phase out harmful chemicals from its stores after the product was found to contain across supply chains. high levels of a toxic phthalate chemical.3 Given the failure of the largest dollar store chains to join WHICH DOLLAR stORE CHAIN their competitors—including Walmart and Target—in adopting comprehensive policies to know, disclose, and will seize the opportunity to become the address chemicals of concern throughout their supply leader in providing safer products in the chains, it is not surprising that new testing of 164 dollar store products for just a few hazardous chemicals found competitive discount retail sector? some disturbing results. Key findings include: As the market increasingly moves to full disclosure of chemicals in products and to safer chemicals, one or • 81% of the products tested (133 of 164) contained at more dollar store chains will likely emerge as the leaders least one hazardous chemical above levels of concern, in providing nontoxic products and will therefore be best compared to existing voluntary toy standards and positioned to thrive in the competitive discount sector. mandatory toy packaging and electronics standards;4 The question is: which dollar store chain will seize • 38% of the products tested (63 of 164) contained the opportunity? the toxic plastic PVC (vinyl); • 32% of vinyl products tested for phthalates (12 of 38) Successful strategies to replace harmful chemicals in contained levels of regulated phthalates above the everyday products with safer alternatives are already well Consumer Product Safety Commission (CPSC) limit documented, and are already being implemented by many for children’s products;5 companies, states, or municipalities. Model policies, tech- • At least 71% of the products tested from each dollar nical resources, and expert assistance are available to help store chain contained one or more hazardous chemicals the dollar store chains identify and disclose chemicals above levels of concern.6 in their supply chains, and require vendors to move to proven safer alternatives. There is a growing movement by mainstream retail and manufacturing brands to adopt chemical management Simple, common-sense actions can better protect dollar policies to identify, disclose, and replace chemicals of store customers and their families from the most hazardous concern in the products they make or sell with safer alter- chemicals, while positioning discount retailers as sustain- natives.7 Companies that are phasing out toxic chemicals ability leaders committed to safe products and vibrant reduce the risk of fines, lost sales, and reduced market local economies. share; create long-term value for shareholders; and remain competitive by responding to increasing consumer de- mand for safer products. Dollar stores are lagging in this campaign for healthier solutions • A DAY LATE AND A DOLLAR SHORT | 3 CHAPTER ONE TOXIC CHEMICALS AND OUR Health © Juan Parras ates of chronic diseases and health conditions • Major birth defects are now the leading cause of linked to chemical exposures have risen sharply infant death; the rate of some birth defects are increas- across the United States over the past several ing, e.g.