Direct Investment Surveys: BE-577, Direct Transactions of U.S. Reporter With Foreign Affiliate, 10454-10456 [06-1877]
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10454
Federal Register / Vol. 71, No. 40 / Wednesday, March 1, 2006 / Proposed Rules
airworthiness agreement. In keeping
with this bilateral airworthiness
agreement, the DGAC kept us informed
of the situation described above. We
have examined the DGAC’s findings,
reviewed all available information, and
determined that AD action is necessary
for products of this type design that are
certificated for operation in the United
States. For this reason, we are proposing
this AD, which would require
inspecting the two headrest bushings for
proper installation and installing
Mecanindus pins to secure the
bushings. The proposed AD would
require you to use the service
information described previously to
perform these actions.
Costs of Compliance
About 459 Sicma Aero Seat third
occupant attendant seat assemblies, 133
Series, of the affected design are
installed on 698 airplanes of U.S.
registry. We estimate that it would take
about 0.5 hour per seat assembly to
perform the proposed actions, and that
the average labor rate is $65 per work
hour. The Mecanindus pins cost $99.88
each, however, Sicma has advised us
that they will supply the parts at no
cost. Based on the labor rate to install
the parts, the total cost of the proposed
AD to U.S. operators would be about
$14,918.
erjones on PROD1PC61 with PROPOSALS
Authority for This Rulemaking
Title 49 of the United States Code
specifies the FAA’s authority to issue
rules on aviation safety. Subtitle I,
section 106, describes the authority of
the FAA Administrator. Subtitle VII,
Aviation Programs, describes in more
detail the scope of the Agency’s
authority.
We are issuing this rulemaking under
the authority described in subtitle VII,
part A, subpart III, section 44701,
‘‘General requirements.’’ Under that
section, Congress charges the FAA with
promoting safe flight of civil aircraft in
air commerce by prescribing regulations
for practices, methods, and procedures
the Administrator finds necessary for
safety in air commerce. This regulation
is within the scope of that authority
because it addresses an unsafe condition
that is likely to exist or develop on
products identified in this rulemaking
action.
Regulatory Findings
We determined that this proposed AD
would not have federalism implications
under Executive Order 13132. This
proposed AD would not have a
substantial direct effect on the States, on
the relationship between the national
Government and the States, or on the
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14:37 Feb 28, 2006
Jkt 208001
distribution of power and
responsibilities among the various
levels of government.
For the reasons discussed above, I
certify that the proposed regulation:
1. Is not a ‘‘significant regulatory
action’’ under Executive Order 12866;
2. Is not a ‘‘significant rule’’ under the
DOT Regulatory Policies and Procedures
(44 FR 11034, February 26, 1979); and
3. Would not have a significant
economic impact, positive or negative,
on a substantial number of small entities
under the criteria of the Regulatory
Flexibility Act.
We prepared a regulatory evaluation
of the estimated costs to comply with
this proposed AD. See the ADDRESSES
section for a location to examine the
regulatory evaluation.
List of Subjects in 14 CFR Part 39
Air transportation, Aircraft, Aviation
safety, Safety.
The Proposed Amendment
Under the authority delegated to me
by the Administrator, the Federal
Aviation Administration proposes to
amend 14 CFR part 39 as follows:
PART 39—AIRWORTHINESS
DIRECTIVES
1. The authority citation for part 39
continues to read as follows:
Authority: 49 U.S.C. 106(g), 40113, 44701.
§ 39.13
[Amended]
2. The FAA amends § 39.13 by adding
the following new airworthiness
directive:
Sicma Aero Seat: Docket No. FAA–2005–
22959; Directorate Identifier 2005–NE–
40–AD.
Comments Due Date
(a) The Federal Aviation Administration
(FAA) must receive comments on this
airworthiness directive (AD) action by May 1,
2006.
These third occupant seats are installed on,
but not limited to, Airbus A319, A320, and
A321 series airplanes.
Unsafe Condition
(d) This proposed AD results from Sicma’s
determination that missing or incorrectly
secured bushings could loosen and cause
disengagement of the headrest from the seat
during a high-energy stop of the airplane,
possibly injuring the seat occupant. We are
proposing this AD to prevent disengagement
of the headrest from the seat during a highenergy stop of the airplane that could injure
the seat occupant.
Compliance
(e) You are responsible for having the
actions required by this AD performed within
the compliance times specified unless the
actions have already been done.
Installing Protective Fairings
(f) Within 30 days after the effective date
of this AD, visually check the installation of
the two headrest bushings and install
Mecanindus pins, part number GPMECAE2–
5x5, to secure the bushings. Use the
instructions in paragraph 2 of Sicma Aero
Seat Service Bulletin 133–25–006, dated May
12, 1999, to perform the visual inspection
and install the pins.
Alternative Methods of Compliance
(g) The Manager, Boston Aircraft
Certification Office, has the authority to
approve alternative methods of compliance
for this AD if requested using the procedures
found in 14 CFR 39.19.
Related Information
(h) DGAC airworthiness directive 2000–
042 (AB), dated January 26, 2000, also
addresses the subject of this AD.
Issued in Burlington, Massachusetts, on
February 23, 2006.
Peter A. White,
Acting Manager, Engine and Propeller
Directorate, Aircraft Certification Service.
[FR Doc. E6–2849 Filed 2–28–06; 8:45 am]
BILLING CODE 4910–13–P
DEPARTMENT OF COMMERCE
Affected ADs
(b) None.
Bureau of Economic Analysis
Applicability
(c) This AD applies to Sicma Aero Seat
third occupant seat assemblies, 133 Series,
with the part numbers (P/Ns) and serial
numbers (SNs) in the following Table 1:
15 CFR Part 806
TABLE 1.—APPLICABLE SEAT
ASSEMBLIES
[Docket No. 060131020–6020–01]
RIN 0691–AA57
Direct Investment Surveys: BE–577,
Direct Transactions of U.S. Reporter
With Foreign Affiliate
Bureau of Economic Analysis,
Commerce.
ACTION: Notice of Proposed Rulemaking.
AGENCY:
Seat P/N
Seat SN
130622–070 .......................
130622–070–1 ...................
1330622–070–2 .................
130622–100 .......................
130622V100–1 ..................
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1
1
1
1
through
through
through
through
through
Sfmt 4702
212.
212.
6.
13.
16.
SUMMARY: This proposed rule amends
regulations of the Bureau of Economic
Analysis, Department of Commerce
(BEA) to set forth the reporting
E:\FR\FM\01MRP1.SGM
01MRP1
Federal Register / Vol. 71, No. 40 / Wednesday, March 1, 2006 / Proposed Rules
requirements for the quarterly BE–577,
Direct Transactions of U.S. Reporter
With Foreign Affiliate. The BE–577
survey is conducted quarterly and is a
sample survey that obtains data on
transactions and positions between
U.S.-owned foreign business enterprises
and their U.S. parents.
To address the current needs of data
users while at the same time keeping the
respondent burden as low as possible,
BEA proposes modification of items on
the survey form and in the reporting
criteria. Changes are proposed to bring
the BE–577 forms and related
instructions into conformity with the
2004 BE–10, Benchmark Survey of U.S.
Direct Investment Abroad, and to
exclude data that have recently begun to
be collected on other Government
surveys.
Comments on these proposed
rules will receive consideration if
submitted on or before 5 p.m. May 1,
2006.
DATES:
You may submit comments,
identified by RIN 0691–AA57, and
referencing the agency name (Bureau of
Economic Analysis), by any of the
following methods:
• Federal eRulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
For agency, select ‘‘Commerce
Department—all.’’
• E-mail: Obie.Whichard@bea.gov.
• Fax: Office of the Chief,
International Investment Division, (202)
606–5318.
• Mail: Office of the Chief,
International Investment Division, U.S.
Department of Commerce, Bureau of
Economic Analysis, BE–50, Washington,
DC 20230.
• Hand Delivery/Courier: Office of
the Chief, International Investment
Division, U.S. Department of Commerce,
Bureau of Economic Analysis, BE–50,
Shipping and Receiving, Section M100,
1441 L Street, NW., Washington, DC
20005.
Public Inspection: Comments may be
inspected at BEA’s offices, 1441 L
Street, NW., Room 7006, between 8:30
a.m. and 5 p.m., Eastern Time Monday
through Friday.
FOR FURTHER INFORMATION CONTACT: Obie
G. Whichard, Chief, International
Investment Division (BE–50), Bureau of
Economic Analysis, U.S. Department of
Commerce, Washington, DC 20230;
phone (202) 606–9890.
SUPPLEMENTARY INFORMATION: This
proposed rule would amend 15 CFR
part 806.14 to set forth the reporting
requirements for the BE–577, Direct
Transactions of U.S. Reporter With
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ADDRESSES:
VerDate Aug<31>2005
14:37 Feb 28, 2006
Jkt 208001
Foreign Affiliate. The Department of
Commerce, as part of its continuing
effort to reduce paperwork and
respondent burden, invites the general
public and other Federal agencies to
comment on proposed and/or
continuing information collections, as
required by the Paperwork Reduction
Act of 1995.
Description of Changes
The BE–577 survey is a mandatory
survey and is conducted quarterly by
BEA under the International Investment
and Trade in Services Survey Act (22
U.S.C. 3101–3108). BEA will send BE–
577 survey forms to potential
respondents each quarter; responses
will be due within 30 days after the
close of each fiscal quarter, except for
the final quarter of the fiscal year, when
reports will be due within 45 days.
To reduce respondent burden, BEA
proposes to increase the exemption
level for reporting from $30 million to
$40 million. The exemption level is
stated in terms of the foreign affiliate’s
assets, sales, and net income. BEA
expects this change to result in a
decrease of approximately 1,800
affiliates reported on the BE–577 from
the total of about 15,500 now required
to be reported. The decrease in the
number of reportable affiliates due to
raising the exemption level will offset
the increase in reportable affiliates due
to natural growth since the exemption
level was last increased (from $20 to $30
million) in 2000.
In addition, BEA is proposing a few
changes to the survey form and
instructions. BEA proposes to:
1. Revise the survey form and
instructions to bring them into
conformity with the most recent BE–10
benchmark survey instructions for
reporting capital gains and losses.
2. Collect information on payments to
and receipts from foreign affiliates for
interest, royalties and license fees and
other private services gross of any taxes
withheld, to align reporting of these
items with current international
statistical standards for balance of
payments accounts. Previously, this
information was collected net of taxes
withheld.
3. Modify the survey instructions to
indicate that positions and transactions
in financial derivatives contracts that
are reported on or derived from the
Treasury Department’s recently
instituted International Capital Form D,
Report of Holdings of, and Transactions
in, Financial Derivatives Contracts with
Foreign Residents should be excluded
from BE–577 reports.
4. Remove the requirement for
reporting certain affiliated insurance
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Fmt 4702
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10455
transactions that have been problematic
to collect on the BE–577. BEA plans to
move the reporting requirement for
these transactions to specialized
services surveys that BEA conducts in
the near future.
Survey Background
The Bureau of Economic Analysis
(BEA), U.S. Department of Commerce,
will conduct the survey under the
International Investment and Trade in
Services Survey Act (22 U.S.C. 3101–
3108), hereinafter, ‘‘the Act.’’ Title 22
United States Code, Section 3103(a)(1)
of the Act requires that with respect to
United States direct investment abroad,
the President shall conduct a data
collection program to obtain current
information on international capital
flows and other information related to
international investment and trade in
services including information that may
be necessary for computing and
analyzing the United States balance of
payments, the employment and taxes of
United States parents and affiliates, and
the international investment and trade
in services position of the United States.
In Section 3 of Executive Order
11961, the President delegated authority
granted under the Act as concerns direct
investment to the Secretary of
Commerce, who has redelegated it to
BEA. The quarterly survey of U.S. direct
investment abroad is a sample survey
that covers all foreign affiliates above a
size-exemption level. The survey
collects data on transactions and
positions between U.S.-owned foreign
business enterprises and their U.S.
parents. The sample data are used to
derive quarterly universe estimates from
similar data reported in the BE–10,
Benchmark Survey of U.S. Direct
Investment Abroad, which is taken
every five years. The data are used in
the preparation of the U.S. international
transactions accounts, input-output
accounts, and national income and
product accounts. The data are needed
to measure the size and economic
significance of U.S. direct investment
abroad, measure changes in such
investment, and assess its impact on the
U.S. and foreign economies. The data
are disaggregated by country and
industry of foreign affiliate.
Executive Order 12866
This proposed rule has been
determined to be not significant for
purposes of E. O. 12866.
Executive order 13132
This proposed rule does not contain
policies with Federalism implications
sufficient to warrant preparation of a
E:\FR\FM\01MRP1.SGM
01MRP1
10456
Federal Register / Vol. 71, No. 40 / Wednesday, March 1, 2006 / Proposed Rules
erjones on PROD1PC61 with PROPOSALS
Federalism assessment under E.O.
13132.
Paperwork Reduction Act
This proposed rule contains a
collection-of-information requirement
subject to review and approval by the
Office of Management and Budget
(OMB) under the Paperwork Reduction
Act. The requirement has been
submitted to OMB for approval as a
revision to a collection currently
approved under OMB control number
0608–0004.
Notwithstanding any other provisions
of the law, no person is required to
respond to, nor shall any person be
subject to a penalty for failure to comply
with, a collection-of-information subject
to the requirements of the Paperwork
Reduction Act unless that collection
displays a currently valid OMB control
number.
The survey, as proposed, is expected
to result in the filing of about 13,500
foreign affiliate reports by an estimated
1,500 U.S. parent companies. A parent
company must file one form per
affiliate. BEA proposes to change the
survey in two ways—first, to collect
information on payments to and receipts
from foreign affiliates for interest,
royalties and license fees and other
private services gross rather than, as in
the past, net of any taxes withheld, and
second, to remove the requirement for
reporting certain affiliated insurance
transactions that have been problematic
to collect on the BE–577. (BEA plans to
move the reporting requirement for
these transactions to specialized
services surveys that BEA conducts in
the near future.) The respondent burden
for this collection of information is
estimated to vary from 0.5 hour to 4
hours per response, with an average of
1.25 hours per response, including time
for reviewing instructions, searching
existing data sources, gathering and
maintaining the data needed, and
completing and reviewing the collection
of information. Because reports are filed
4 times per year, 54,000 responses
annually are expected. Thus, the total
annual respondent burden of the survey
is estimated at 67,500 hours (13,500
respondents times 4 times 1.25 hours
average burden). This estimate is the
same as the burden hours currently
carried for this collection in the OMB
inventory.
Comments are requested concerning:
(a) Whether the proposed collection of
information is necessary for the proper
performance of the functions of the
agency, including whether the
information will have practical utility;
(b) the accuracy of the burden estimate;
(c) ways to enhance the quality, utility,
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14:37 Feb 28, 2006
Jkt 208001
and clarity of the information collected;
and (d) ways to minimize the burden of
the collection of information on the
respondents, including the use of
automated collection techniques or
other forms of information technology.
Comments should be addressed to:
Director, Bureau of Economic Analysis
(BE–1), U.S. Department of Commerce,
Washington, DC 20230, fax: 202–606–
5311; and the Office of Management and
Budget, O.I.R.A., Paperwork Reduction
Project 0608–0004, Attention PRA Desk
Officer for BEA, via the Internet at
pbugg@omb.eop.gov, or by fax at 202–
395–7245.
Regulatory Flexibility Act
The Chief Counsel for Regulation,
Department of Commerce, has certified
to the Chief Counsel for Advocacy,
Small Business Administration (SBA),
under the provisions of the Regulatory
Flexibility Act (5 U.S.C. 605(b)), that
this proposed rulemaking, if adopted,
will not have a significant economic
impact on a substantial number of small
entities. Although the BE–577 survey
does not itself collect data on the size
of the U.S. companies that must
respond, data collected on related BEA
surveys indicate that about 100 of the
estimated 1,500 U.S. parent companies
that must respond to the BE–577 survey
are small businesses according to the
standards established by the Small
Business Administration. The
exemption level for the BE–577 survey
is set in terms of the size of a U.S.
company’s foreign affiliates (foreign
companies owned 10 percent or more by
the U.S. company); if a foreign affiliate
has assets, sales, or net income greater
than the exemption level, it must be
reported. Usually, the U.S. parent
company that is required to file the
report is many times larger than its
largest foreign affiliate.
The 100 U.S. businesses that meet the
SBA small business standards tend to
have few foreign affiliates, and the
foreign affiliates that they do own are
small. With the proposed increase in the
exemption level for the BE–577 survey
from $30 million to $40 million (stated
in terms of the foreign affiliate’s assets,
sales, and net income), small U.S.
businesses will be required to file fewer
reports for their foreign affiliates than
would be required in the absence of this
increase. The estimated annual cost to a
U.S. business reporting for five or fewer
foreign affiliates is estimated to be less
than $1,000.
List of Subjects in 15 CFR Part 806
International transactions, Economic
statistics, U.S. investment abroad,
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Frm 00004
Fmt 4702
Sfmt 4702
Penalties, Reporting and recordkeeping
requirements.
Dated: February 21, 2006.
J. Steven Landefeld,
Director, Bureau of Economic Analysis.
For the reasons set forth in the
preamble, BEA proposes to amend 15
CFR part 806 as follows:
PART 806—DIRECT INVESTMENT
SURVEYS
1. The authority citation for 15 CFR
part 806 is revised to read as follows:
Authority: 5 U.S.C. 301; 22 U.S.C. 3101–
3108; and E.O. 11961 (3 CFR, 1977 Comp.,
p. 86), as amended by E.O. 12318 (3 CFR,
1981 Comp., p. 173) and E.O. 12518 (3 CFR,
1985 Comp., p. 348).
§ 806.14
[Amended]
2. Section 806.14 (e) is amended by
deleting ‘‘$30,000,000’’ and inserting
‘‘$40,000,000’’ in its place.
[FR Doc. 06–1877 Filed 2–28–06; 8:45 am]
BILLING CODE 3510–06–P
SOCIAL SECURITY ADMINISTRATION
20 CFR Parts 404 and 416
[Regulation Nos. 4 and 16]
RIN 0960–AG05
Optometrists as Acceptable Medical
Sources to Establish a Medically
Determinable Impairment
Social Security Administration.
Notice of proposed rulemaking.
AGENCY:
ACTION:
SUMMARY: We propose to revise the
Social Security and Supplemental
Security Income (SSI) disability
regulations regarding sources of
evidence for establishing a medically
determinable impairment under titles II
and XVI of the Social Security Act (the
Act). The revised regulations would
expand the situations in which we
consider licensed optometrists to be
‘‘acceptable medical sources’’.
DATES: To be sure that your comments
are considered, we must receive them
by May 1, 2006.
ADDRESSES: You may give us your
comments by: using our Internet site
facility (i.e., Social Security Online) at
https://policy.ssa.gov/erm/rules.nsf/
Rules+Open+To+Comment or the
Federal eRulemaking Portal at https://
www.regulations.gov; e-mail to
regulations@ssa.gov; telefax to (410)
966–2830; or letter to the Commissioner
of Social Security, P.O. Box 17703,
Baltimore, MD 21235–7703. You may
also deliver them to the Office of
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]]>Agencies
[Federal Register Volume 71, Number 40 (Wednesday, March 1, 2006)]
[Proposed Rules]
[Pages 10454-10456]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 06-1877]
=======================================================================
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DEPARTMENT OF COMMERCE
Bureau of Economic Analysis
15 CFR Part 806
[Docket No. 060131020-6020-01]
RIN 0691-AA57
Direct Investment Surveys: BE-577, Direct Transactions of U.S.
Reporter With Foreign Affiliate
AGENCY: Bureau of Economic Analysis, Commerce.
ACTION: Notice of Proposed Rulemaking.
-----------------------------------------------------------------------
SUMMARY: This proposed rule amends regulations of the Bureau of
Economic Analysis, Department of Commerce (BEA) to set forth the
reporting
[[Page 10455]]
requirements for the quarterly BE-577, Direct Transactions of U.S.
Reporter With Foreign Affiliate. The BE-577 survey is conducted
quarterly and is a sample survey that obtains data on transactions and
positions between U.S.-owned foreign business enterprises and their
U.S. parents.
To address the current needs of data users while at the same time
keeping the respondent burden as low as possible, BEA proposes
modification of items on the survey form and in the reporting criteria.
Changes are proposed to bring the BE-577 forms and related instructions
into conformity with the 2004 BE-10, Benchmark Survey of U.S. Direct
Investment Abroad, and to exclude data that have recently begun to be
collected on other Government surveys.
DATES: Comments on these proposed rules will receive consideration if
submitted on or before 5 p.m. May 1, 2006.
ADDRESSES: You may submit comments, identified by RIN 0691-AA57, and
referencing the agency name (Bureau of Economic Analysis), by any of
the following methods:
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments. For agency, select
``Commerce Department--all.''
E-mail: Obie.Whichard@bea.gov.
Fax: Office of the Chief, International Investment
Division, (202) 606-5318.
Mail: Office of the Chief, International Investment
Division, U.S. Department of Commerce, Bureau of Economic Analysis, BE-
50, Washington, DC 20230.
Hand Delivery/Courier: Office of the Chief, International
Investment Division, U.S. Department of Commerce, Bureau of Economic
Analysis, BE-50, Shipping and Receiving, Section M100, 1441 L Street,
NW., Washington, DC 20005.
Public Inspection: Comments may be inspected at BEA's offices, 1441
L Street, NW., Room 7006, between 8:30 a.m. and 5 p.m., Eastern Time
Monday through Friday.
FOR FURTHER INFORMATION CONTACT: Obie G. Whichard, Chief, International
Investment Division (BE-50), Bureau of Economic Analysis, U.S.
Department of Commerce, Washington, DC 20230; phone (202) 606-9890.
SUPPLEMENTARY INFORMATION: This proposed rule would amend 15 CFR part
806.14 to set forth the reporting requirements for the BE-577, Direct
Transactions of U.S. Reporter With Foreign Affiliate. The Department of
Commerce, as part of its continuing effort to reduce paperwork and
respondent burden, invites the general public and other Federal
agencies to comment on proposed and/or continuing information
collections, as required by the Paperwork Reduction Act of 1995.
Description of Changes
The BE-577 survey is a mandatory survey and is conducted quarterly
by BEA under the International Investment and Trade in Services Survey
Act (22 U.S.C. 3101-3108). BEA will send BE-577 survey forms to
potential respondents each quarter; responses will be due within 30
days after the close of each fiscal quarter, except for the final
quarter of the fiscal year, when reports will be due within 45 days.
To reduce respondent burden, BEA proposes to increase the exemption
level for reporting from $30 million to $40 million. The exemption
level is stated in terms of the foreign affiliate's assets, sales, and
net income. BEA expects this change to result in a decrease of
approximately 1,800 affiliates reported on the BE-577 from the total of
about 15,500 now required to be reported. The decrease in the number of
reportable affiliates due to raising the exemption level will offset
the increase in reportable affiliates due to natural growth since the
exemption level was last increased (from $20 to $30 million) in 2000.
In addition, BEA is proposing a few changes to the survey form and
instructions. BEA proposes to:
1. Revise the survey form and instructions to bring them into
conformity with the most recent BE-10 benchmark survey instructions for
reporting capital gains and losses.
2. Collect information on payments to and receipts from foreign
affiliates for interest, royalties and license fees and other private
services gross of any taxes withheld, to align reporting of these items
with current international statistical standards for balance of
payments accounts. Previously, this information was collected net of
taxes withheld.
3. Modify the survey instructions to indicate that positions and
transactions in financial derivatives contracts that are reported on or
derived from the Treasury Department's recently instituted
International Capital Form D, Report of Holdings of, and Transactions
in, Financial Derivatives Contracts with Foreign Residents should be
excluded from BE-577 reports.
4. Remove the requirement for reporting certain affiliated
insurance transactions that have been problematic to collect on the BE-
577. BEA plans to move the reporting requirement for these transactions
to specialized services surveys that BEA conducts in the near future.
Survey Background
The Bureau of Economic Analysis (BEA), U.S. Department of Commerce,
will conduct the survey under the International Investment and Trade in
Services Survey Act (22 U.S.C. 3101-3108), hereinafter, ``the Act.''
Title 22 United States Code, Section 3103(a)(1) of the Act requires
that with respect to United States direct investment abroad, the
President shall conduct a data collection program to obtain current
information on international capital flows and other information
related to international investment and trade in services including
information that may be necessary for computing and analyzing the
United States balance of payments, the employment and taxes of United
States parents and affiliates, and the international investment and
trade in services position of the United States.
In Section 3 of Executive Order 11961, the President delegated
authority granted under the Act as concerns direct investment to the
Secretary of Commerce, who has redelegated it to BEA. The quarterly
survey of U.S. direct investment abroad is a sample survey that covers
all foreign affiliates above a size-exemption level. The survey
collects data on transactions and positions between U.S.-owned foreign
business enterprises and their U.S. parents. The sample data are used
to derive quarterly universe estimates from similar data reported in
the BE-10, Benchmark Survey of U.S. Direct Investment Abroad, which is
taken every five years. The data are used in the preparation of the
U.S. international transactions accounts, input-output accounts, and
national income and product accounts. The data are needed to measure
the size and economic significance of U.S. direct investment abroad,
measure changes in such investment, and assess its impact on the U.S.
and foreign economies. The data are disaggregated by country and
industry of foreign affiliate.
Executive Order 12866
This proposed rule has been determined to be not significant for
purposes of E. O. 12866.
Executive order 13132
This proposed rule does not contain policies with Federalism
implications sufficient to warrant preparation of a
[[Page 10456]]
Federalism assessment under E.O. 13132.
Paperwork Reduction Act
This proposed rule contains a collection-of-information requirement
subject to review and approval by the Office of Management and Budget
(OMB) under the Paperwork Reduction Act. The requirement has been
submitted to OMB for approval as a revision to a collection currently
approved under OMB control number 0608-0004.
Notwithstanding any other provisions of the law, no person is
required to respond to, nor shall any person be subject to a penalty
for failure to comply with, a collection-of-information subject to the
requirements of the Paperwork Reduction Act unless that collection
displays a currently valid OMB control number.
The survey, as proposed, is expected to result in the filing of
about 13,500 foreign affiliate reports by an estimated 1,500 U.S.
parent companies. A parent company must file one form per affiliate.
BEA proposes to change the survey in two ways--first, to collect
information on payments to and receipts from foreign affiliates for
interest, royalties and license fees and other private services gross
rather than, as in the past, net of any taxes withheld, and second, to
remove the requirement for reporting certain affiliated insurance
transactions that have been problematic to collect on the BE-577. (BEA
plans to move the reporting requirement for these transactions to
specialized services surveys that BEA conducts in the near future.) The
respondent burden for this collection of information is estimated to
vary from 0.5 hour to 4 hours per response, with an average of 1.25
hours per response, including time for reviewing instructions,
searching existing data sources, gathering and maintaining the data
needed, and completing and reviewing the collection of information.
Because reports are filed 4 times per year, 54,000 responses annually
are expected. Thus, the total annual respondent burden of the survey is
estimated at 67,500 hours (13,500 respondents times 4 times 1.25 hours
average burden). This estimate is the same as the burden hours
currently carried for this collection in the OMB inventory.
Comments are requested concerning: (a) Whether the proposed
collection of information is necessary for the proper performance of
the functions of the agency, including whether the information will
have practical utility; (b) the accuracy of the burden estimate; (c)
ways to enhance the quality, utility, and clarity of the information
collected; and (d) ways to minimize the burden of the collection of
information on the respondents, including the use of automated
collection techniques or other forms of information technology.
Comments should be addressed to: Director, Bureau of Economic Analysis
(BE-1), U.S. Department of Commerce, Washington, DC 20230, fax: 202-
606-5311; and the Office of Management and Budget, O.I.R.A., Paperwork
Reduction Project 0608-0004, Attention PRA Desk Officer for BEA, via
the Internet at pbugg@omb.eop.gov, or by fax at 202-395-7245.
Regulatory Flexibility Act
The Chief Counsel for Regulation, Department of Commerce, has
certified to the Chief Counsel for Advocacy, Small Business
Administration (SBA), under the provisions of the Regulatory
Flexibility Act (5 U.S.C. 605(b)), that this proposed rulemaking, if
adopted, will not have a significant economic impact on a substantial
number of small entities. Although the BE-577 survey does not itself
collect data on the size of the U.S. companies that must respond, data
collected on related BEA surveys indicate that about 100 of the
estimated 1,500 U.S. parent companies that must respond to the BE-577
survey are small businesses according to the standards established by
the Small Business Administration. The exemption level for the BE-577
survey is set in terms of the size of a U.S. company's foreign
affiliates (foreign companies owned 10 percent or more by the U.S.
company); if a foreign affiliate has assets, sales, or net income
greater than the exemption level, it must be reported. Usually, the
U.S. parent company that is required to file the report is many times
larger than its largest foreign affiliate.
The 100 U.S. businesses that meet the SBA small business standards
tend to have few foreign affiliates, and the foreign affiliates that
they do own are small. With the proposed increase in the exemption
level for the BE-577 survey from $30 million to $40 million (stated in
terms of the foreign affiliate's assets, sales, and net income), small
U.S. businesses will be required to file fewer reports for their
foreign affiliates than would be required in the absence of this
increase. The estimated annual cost to a U.S. business reporting for
five or fewer foreign affiliates is estimated to be less than $1,000.
List of Subjects in 15 CFR Part 806
International transactions, Economic statistics, U.S. investment
abroad, Penalties, Reporting and recordkeeping requirements.
Dated: February 21, 2006.
J. Steven Landefeld,
Director, Bureau of Economic Analysis.
For the reasons set forth in the preamble, BEA proposes to amend 15
CFR part 806 as follows:
PART 806--DIRECT INVESTMENT SURVEYS
1. The authority citation for 15 CFR part 806 is revised to read as
follows:
Authority: 5 U.S.C. 301; 22 U.S.C. 3101-3108; and E.O. 11961 (3
CFR, 1977 Comp., p. 86), as amended by E.O. 12318 (3 CFR, 1981
Comp., p. 173) and E.O. 12518 (3 CFR, 1985 Comp., p. 348).
Sec. 806.14 [Amended]
2. Section 806.14 (e) is amended by deleting ``$30,000,000'' and
inserting ``$40,000,000'' in its place.
[FR Doc. 06-1877 Filed 2-28-06; 8:45 am]
BILLING CODE 3510-06-P
