Starting your Alaska Food Business Successfully. Southeast Alaska Farm & Fish to School Conference Juneau, AK April 2-3, 2015

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1 Starting your Alaska Food Business Successfully Southeast Alaska Farm & Fish to School Conference Juneau, AK April 2-3, 2015

2 Ways to get started Exemptions (no permit required) Rent a kitchen Build your own kitchen

3 All Food Business Owners must have: Business Licenses Alaska Business License: sinesslicensing/ Cost: $50.00 per year City or Local Business License: Check with your city to determine if there is a city business license or registration requirement for sales taxes. Cost: Varies

4 All Food Business Owners must meet: Local, DEC, FDA, and/or USDA requirements, depending on the types of food produced.

5 Types of Food Production: Cottage Foods Temporary markets and events Mobile Food Units Basic Permitted Food Business Acidified Foods Meat & Raw Meat Products Poultry Dairy & Milk Products

6 Working Under Cottage Foods On June 25, 2012 new Alaska Food Code regulations were adopted to allow the sale of non-potentially hazardous foods directly to the consumer without a permit if certain conditions are met.

7 Cottage Foods: Alaska DEC FSS Requirements Keep and provide detailed knowledge about the ingredients of the food product and how it was processed, prepared and packaged. Have the food product recipe or formulation available in case there is ever a concern about the safety of the product. For pickled or dried product the producer needs to have information available about the ph or water activity.

8 Cottage Foods: Requirements Continued Process, prepare, package, and sell the product only in Alaska. Sell directly to the consumer by an individual who knows what ingredients were used to make the product and how the food was prepared and packaged. This individual must be able to answer consumers questions about the product, including whether allergens are present in the food product

9 Cottage Foods: Requirements Continued Do not distribute or sell the product to stores, restaurants, by mail order, or on consignment. Keep total gross receipts of sales of food items to show gross sales do not exceed $25,000 within a calendar year. If the food is not prepared in a permitted, approved, or inspected kitchen, inform the consumer by a card, placard, sign, or label placed in a conspicuous area that states the following: THESE PRODUCTS ARE NOT SUBJECT TO STATE INSPECTION

10 Cottage Foods: Requirements Continued Label packaged food with either: an Alaska Business License number OR the name, physical address, and telephone number of the individual who prepared the food. This allows DEC to trace the product back to the producer if there is a problem or complaint.

11 Cottage Foods Resources Alaska DEC Home Based Food Businesses website: Food.html Alaska Cooperative Extension Service: Guide to Operating a Successful Home-based Food Business: h/index.xml

12 Temporary Food Permits for Farmers Markets & Events This type of permit is intended for short term events, farmers markets and fairs.

13 AK DEC FSS Temporary Permit Event Length Cost 1 day events $ day events $ day events $ day events $ day events (Farmers Markets) $ Note: Free for non-profits and schools. Cost doubles if permit applications are received less than 1 or 2 weeks (depending on event length) before the event.

14 Temp Event: Food Worker Card Alaska DEC (Statewide): er/ Cost: $10.00

15 Liability Insurance Vendors with DEC Temporary Food (Farmers Market) Permits will likely need to carry a $500,000 liability insurance policy. Call your local agents for pricing.

16 Resources Alaska DEC: ome.html

17 Plan Review Process Understand process and business plan Evaluate risk Determine requirements

18 Plan Review Process Basic Facility Requirements: Three -compartment sink Hand sink Mop/Utility Sink Restrooms Equipment/Space for Menu/Process Finishes (walls, floors, ceilings)

19 Mobile Food Units: Food Trucks Push Cart Mobile Unit Not Self-contained Mobile Unit Self-contained Mobile Retail Vendor

20 Mobile Food Units Checklist Item Average Cost DEC FSS Plan Review $ DEC FSS Annual Permit Alaska Motor Vehicle Registration Auto Insurance Liability Insurance Certified Food Protection Manager Certification Food Work Cards Traceback & Product Records Water Sampling $ (annually) $ (bi-annually) Varies Varies $ $ (Good for 5 years) $10.00 per card (3 years) None just time Varies

21 Mobile Food Units: Resources Alaska DEC Department of Food Safety and Sanitation: od/carts.html

22

23 Basic Permitted Food Business Non-potentially hazardous foods such as baked goods.

24 Basic Food Bus. Checklist Item DEC FSS Plan Review DEC FSS Annual Permit Cost $ $ (one-time) $ $ (annually) Product Liability Insurance Varies ($ ) FDA Food Facility Registration Certified Food Protection Manager s Certification Alaska Food Worker Card (for additional employees) Free $ (good for 5 years) $10.00 per person (good for 3 years)

25 Basic Food Business Cont. Item Nutrition Labeling Recall Plan & Trace back records Fire Marshall for building Water & Wastewater Reqs. For building Cost Varies ~$ or more Free but takes time Hopefully None! None

26 Plan Review Process Understand process and business plan Evaluate risk Determine requirementss

27 Acidified Foods Acidified foods are low-acid foods to which acid(s) or acid food(s) are added 8 ; they have a water activity greater than 0.85 and have a finished equilibrium ph of 4.6 or below (21 CFR 114.3(b)). Examples: Pickled Beets Pickles (pickled vegetables) Salsas Does not include fermented foods (sauerkraut, kim chee, water kiefer)

28 Acidified Foods Commercial production of these foods must comply with FDA Regulations: CFR Chapter 21 Part 114 (21 CFR 114) unless operating under the Alaska DEC Cottage Foods Exemptions. /scripts/cdrh/cfdocs/cfcfr/cfrsearch.cfm?cfrpart=114

29 Acidified Foods Checklist Item Scheduled Process Better Process Control School Cost Varies $ DEC FSS Plan Review $ DEC FSS Annual Permit $ FDA Food Facility Registration FDA Process Filing Free Free

30 Acidified Foods Checklist Continued Item Nutrition Labeling Recall Plan Cost $ Free but time intensive Product Liability Insurance Varies, expect >$ annually Fire Marshall (for building) Water/Waste water requirements (for building) Free Free

31 Meat & Raw Meat Products Oversight by USDA (not AK DEC FSS) Examples: Slaughter of animals Making raw sausages, etc. Jerky Etc.

32 Types of sales Direct to Consumer Sold on the hoof (uninspected) Only saleable direct to consumer. No resale allowed. USDA Inspected Plant carries out slaughter. Saleable direct to consumer or wholesale. Build/Permit your own USDA inspected facility. Saleable direct to consumer or wholesale.

33 Poultry Exemptions 1000 limit exemption A person may slaughter or process on his or her premises poultry that he or she raised and they may distribute such poultry without mandatory inspection (when specific criteria are met) For more information: g/documents/usdapoultry_slaughter_exe mption_0406.pdf

34 Eggs Farmer to consumer no regulations Producer to intermediary- DEC and DNR regulations

35 Egg Labeling Statement of identity Grade and size/weight Numeric count Name and address of producer. If can be found in phone book only City, State and Zip The words Keep Refrigerated Safe Handling Instructions

36 Poultry Poultry Slaughter Exemptions 1. Healthy when slaughtered. 2. Slaughter, processing and transportation under sanitary conditions that produce a sound and safe product for human consumption (not adulterated). 3. Not misbranded and identified as exempt. 4. Operate under only one exemption. 5. No interstate commerce. 6. Cannot bear the USDA mark of inspection Sell only to consumers, restaurants, hotels, retail stores, and institutions.

37 Rabbits

38 Seafood

39 Wild Mushrooms Wild Mushrooms; not an inspected product. Common and usual name of product

40 Chaga

41 Dairy and Milk Production: Office of the State Veterinarian html Regulations for dairy and milk: 18 AAC 32 Articles 1 & 2

42 Raw Milk Raw milk may not be sold in the State of Alaska Raw milk cheeses are permitted as long as all requirements are met under Alaska DEC 18 AAC 32 Article 2: Milk, Milk Products and Reindeer Slaughtering and Processing: Cheese

43 Thank you! QUESTIONS?!?!?!

44 Contact Information Lorinda Lhotka Alaska Department of Environmental Conservation Food Safety and Sanitation Program 610 University Avenue Fairbanks, AK (907)