SB 2408: Expand cottage food operators sales cap

By Mississippi Center for Public Policy
February 13, 2020

Senate Bill 2408, sponsored by Sen. Melanie Sojourner, would raise the cap on annual sales for those in the cottage food industry to $50,000 and expressly permit operators to advertise on social media. A bill to raise the salary cap to $35,000 already passed the House.

Currently, cottage food operators are capped at $20,000. This is the third lowest cap in the country, and only serves to discourage an individual from earning additional income. Neighboring Arkansas and Tennessee have no cap. 

Also, the Department of Health had interpreted vague language in the current law that restricts internet sales to mean an individual could not share pictures on social media. Soon, cottage food operators began to receive notices from the department. They have since said they’ve stopped that practice, but the uncertainty remains. This will clarify for cottage food operators that they can, indeed, share images of food they make on social media. 

An identical bill passed the House last year, but died in the Senate without a vote. 

There has not been evidence to suggest that lightly regulated states pose a threat to public health as some like to indicate. The limitations really just serve to limit competition for established businesses. By eliminating restrictions in Mississippi, we can give consumers new options, grow the economy, and encourage entrepreneurship. 

MCPP has reviewed this legislation and finds that it is aligned with our principles and therefore should be supported. 

Read SB 2408 here 

Track the status of this bill and all bills in our legislative tracker


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