The Household Eligibility and Application Process of the Coupon Program for Individuals Residing in Nursing Homes and Households that Utilize Post Office Boxes; Waiver, 22120-22124 [E8-8869]

Agencies

• DEPARTMENT OF COMMERCE
• National Telecommunications and Information Administration

[Federal Register Volume 73, Number 80 (Thursday, April 24, 2008)]
[Proposed Rules]
[Pages 22120-22124]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-8869]


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DEPARTMENT OF COMMERCE

National Telecommunications and Information Administration

47 CFR Part 301

[Docket Number: 080324461-8462-01]
RIN 0660-AA17


The Household Eligibility and Application Process of the Coupon 
Program for Individuals Residing in Nursing Homes and Households that 
Utilize Post Office Boxes; Waiver

AGENCY: National Telecommunications and Information Administration, 
Commerce.

ACTION: Notice of proposed rulemaking; request for comments.

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SUMMARY: In this document, the National Telecommunications and 
Information Administration (NTIA) proposes certain changes affecting 
section 301.3 of its Digital-To-Analog Converter Box Coupon Program 
rules set forth at 47 CFR 301.3. Specifically, NTIA proposes to waive 
the ``eligible household'' and application requirements in section 
301.3(a), and section 301.3(e), for individuals residing in nursing 
homes or other senior care facilities, subject to the alternative 
application requirements specified herein. NTIA also proposes to amend 
section 301.3(a)(2) to permit an otherwise eligible household that 
utilizes a post office box for mail receipt to apply for and receive 
coupons subject to providing satisfactory proof of physical residence.

DATES: Comments must be submitted by 5 p.m. EST, no later than June 9, 
2008.

ADDRESSES: Comments via mail should be submitted to: Milton Brown, 
Office of the Chief Counsel, National Telecommunications and 
Information Administration, 1401 Constitution Avenue, Room 4713, 
Washington, DC 20230. Comments may also be sent by facsimile to (202) 
501-8013. Electronic comments may be submitted to coupon@ntia.doc.gov 
or to Regulations.gov at www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Milton Brown at (202) 482-1816.

SUPPLEMENTARY INFORMATION: The Digital Television Transition and Public 
Safety Act of 2005 (the Act), among other things, authorized NTIA to 
create a Digital-to-Analog Converter Box Coupon Program (Coupon 
Program) to assist consumers who wish to continue receiving broadcast 
programming over the air using analog-only televisions not connected to 
cable or satellite service after the February 17, 2009, deadline for 
full power stations to convert to digital-only transmissions.\1\ 
Specifically, Section 3005 of the Act directed NTIA to implement and 
administer a program through which eligible U.S. households may obtain 
via the United States Postal Service a maximum of two coupons of $40 
each to be applied towards the purchase of Coupon-Eligible Converter 
Boxes (CECB). To implement the Coupon Program, NTIA issued regulations 
on March 15, 2007.\2\
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    \1\ Title III of Pub. L. No. 109-171, 120 Stat. 4, 21 (2006).
    \2\See 47 CFR Part 301.
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    Since NTIA began accepting applications for coupons on January 1, 
2008, the Program has received a number of applications submitted by, 
or on behalf of, individuals residing in nursing homes and from 
applicants who utilize a post office box for mail receipt. Because 
these applicants do not meet the current eligibility criteria under the 
Coupon Program regulations, these applications have been denied.

I. Nursing Home Residents

    NTIA recognizes that our Nation's seniors, including those residing 
in nursing homes and other senior care facilities, constitute a 
vulnerable community that may rely on free, over-the-air television to 
a greater degree than other members of the public.\3\ For this reason, 
seniors may have a greater need for converter boxes to continue 
receiving broadcast programming over the air using analog-only 
television sets. To date, NTIA has implemented the Coupon Program in a 
manner that strives to assure that no Americans lose television service 
as a result of the digital transition, and NTIA is committed to 
ensuring that the Program also addresses the particular needs of this 
vulnerable segment of the population as well. The eligibility 
requirements of the program, however, do not permit seniors living in 
nursing homes to avail themselves of the Coupon Program.
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    \3\ See Testimony of John M.R. Kneuer, Assistant Secretary for 
Communications and Information, Before the Committee on Commerce, 
Science and Transportation, United States Senate (Oct. 17, 2007) 
(recognizing seniors as a targeted group that depends on over-the-
air television to a greater extent than the general population), 
available at https://www.ntia.doc.gov/ntiahome/congress/2007/Kneuer_
SenateCommerce_101707.htm.
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    To permit seniors residing in nursing homes to participate in the 
program, NTIA proposes to waive the current household eligibility and 
application process set forth at 47 CFR 301.3 and to permit these 
individuals to apply for and receive one coupon under certain

[[Page 22121]]

circumstances. However, NTIA must be assured that coupons are 
distributed to verifiable residents of these facilities and that the 
Coupon Program is administered effectively within the existing 
resources Congress has made available and in a manner that minimizes 
waste, fraud and abuse. NTIA requests comments on its proposal to waive 
its eligibility requirements for nursing home residents.
    The addition of nursing home residents to the program presents 
particular administrative challenges. NTIA is concerned about whether 
information is readily available that would allow the agency to confirm 
that the individual making the coupon request (or on whose behalf the 
request is made) actually resides in a nursing home. NTIA seeks 
comments on ways to address these and other administrative challenges.
    In addition, information the agency has gathered from organizations 
representing both residents and operators of senior care facilities 
indicates that the majority of residents of such facilities face 
cognitive, mobility, and economic barriers to requesting and using 
coupons. Many nursing home residents would therefore likely require the 
assistance of another person to order a coupon, purchase the box for 
them using the coupon, and install the converter box. NTIA seeks 
comment on how best to address the role of such assistive personnel in 
our waiver process while still protecting against the potential 
increased risk of waste, fraud, or abuse.

A. Identification of Nursing Homes or Other Senior Care Facilities

    In order to plan and administer the Coupon Program effectively and 
efficiently, NTIA must be able to determine how many additional coupon 
requests will be added by operation of the proposed waiver. Moreover, 
NTIA must be able to ensure to the extent possible that such requests 
are being made by or on behalf of, and coupons are being issued to, 
legitimately qualified individuals who need converter boxes. NTIA 
recognizes that the terms ``nursing home'' and ``senior care facility'' 
are somewhat generic. There are many facilities that care for elderly 
residents that may be considered nursing homes in the general sense. 
These include assisted living facilities, continuing care retirement 
communities, and convalescent rest homes. For these reasons, NTIA 
believes it is necessary to define in some way the scope of facilities 
whose residents will qualify for the waiver (Eligible Nursing Home). 
NTIA seeks comments on how it should define eligible nursing homes for 
the purpose of the proposed waiver.
    There are databases available to assist NTIA in identifying 
Eligible Nursing Homes. For example, the U.S. Department of Health and 
Human Services (HHS) Center for Medicare and Medicaid Services (CMS) 
determines a nursing facility's eligibility to participate in the 
Medicare program based on a state's certification of compliance and a 
facility's compliance with civil rights requirements.\4\ CMS maintains 
an Online Survey, Certification and Reporting (OSCAR), in cooperation 
with the state long-term care surveying agencies.\5\ NTIA proposes to 
use a facility's inclusion in the CMS OSCAR database as a baseline 
criterion to establish the eligibility of a facility for the waiver 
proposed here.
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    \4\ See generally 42 CFR Part 403.
    \5\ OSCAR is a compilation of all the data elements collected by 
surveyors during the inspection survey conducted at nursing 
facilities for the purpose of certification for participation in the 
Medicare and Medicaid programs. The institutional files are 
available at https://www.cms.hhs.gov/HealthPlanRepFileData/05_
Inst.asp.
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    However, NTIA recognizes that not all nursing homes in the United 
States are included within the OSCAR database. Accordingly, NTIA 
solicits comments on ways to ensure that all appropriate facilities not 
otherwise in the OSCAR database are identified and included in our 
waiver standards. To that extent, NTIA requests that nursing home 
associations, state certifying agencies, and other senior care groups 
provide as much information as possible to enable NTIA to ensure that 
the Program reaches nursing homes with residents that would benefit 
from the Coupon Program. NTIA also seeks information on the number of 
nursing home residents that would actually need coupons to purchase 
converter boxes in order to continue receiving broadcast programming 
over the air using analog-only televisions not connected to cable, 
satellite, or other pay television service, and the impact on the cost 
of administering the program.

B. Administration of Coupon Program for Nursing Home Residents

    To mitigate risks associated with the lack of readily available 
information to authenticate requests from or on behalf of nursing home 
residents, NTIA proposes an exception to our existing coupon 
eligibility and application requirements that would enable residents of 
Eligible Nursing Homes to apply for and receive coupons subject to 
certain additional information requirements not otherwise applicable to 
eligible households. Specifically, NTIA proposes to permit coupon 
applications to be submitted by, or on behalf of, a resident of an 
Eligible Nursing Home using any of the following three methods, 
provided that only one application may be submitted for any individual:
    1. Individual: An individual residing in an Eligible Nursing Home 
(Nursing Home Resident) may apply for one (1) coupon on his own behalf. 
In such circumstances, the coupon applicant would be required to 
include: (i) his or her name, date of birth, and Social Security Number 
(SSN); (ii) the name and address of the Eligible Nursing Home; and 
(iii) a certification from the Nursing Home Resident as to whether he 
or she receives television exclusively over the air or through cable, 
satellite or other pay television service. In accordance with the 
Privacy Act of 1974, disclosure of an individual's SSN for purposes of 
this waiver process is voluntary; however additional information to 
verify the resident's identity will be solicited if the individual 
chooses not to disclose the SSN.\6\ Such additional process may delay 
the resident's receipt of a coupon.
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    \6\ The Privacy Act of 1974 provides that it ``shall be unlawful 
for any Federal, State or local government agency to deny to any 
individual any right, benefit, or privilege provided by law because 
of such individual's refusal to disclose his social security 
number.'' 5 U.S.C. 552a.
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    2. Person Designated to Act on a Nursing Home Resident's Behalf: 
Alternately, a person designated to act on behalf of a Nursing Home 
Resident may request one (1) coupon for that resident. In that case, 
the coupon application would be required to include all of the 
information specified in Option 1 above, and, in addition, the person 
requesting the coupon on the Nursing Home Resident's behalf must 
supply: (i) his own name, address, Social Security Number, and date of 
birth; and (ii) evidence that he is empowered to act on the behalf of 
the resident (e.g., power of attorney or birth certificate indicating 
familial relationship).
    3. An Administrator of a Nursing Home or Other Senior Care 
Facility: Finally, provided that an application has not already been 
submitted under either of the foregoing options, an administrator of an 
Eligible Nursing Home may also request one (1) coupon on behalf of a 
Nursing Home Resident of his facility. As in Option 2, the 
administrator would be required to provide for each resident for whom 
the request is being made all of the information specified in Option 1 
above. In addition, the administrator would

[[Page 22122]]

also be required to provide: (i) the name and address of the residents' 
Eligible Nursing Home; (ii) the administrator's own name, Social 
Security Number, and date of birth; and (iii) a copy of each facility's 
operating license indicating the administrator's authorization to 
administer the Eligible Nursing Home.
    NTIA intends to audit periodically the use of coupons obtained 
through any of these methods to ensure that the coupon was used to 
provide a converter box for the resident's personal use. Due to the 
potentially high risk of fraud and lack of other identifying 
information for individuals in this population, NTIA proposes to 
collect the Social Security Numbers and dates of birth from nursing 
home residents and their representatives. This information provides a 
unique identifier for each resident. NTIA will only use the Social 
Security Number for identification, verification and tracking purposes 
for the Coupon Program. This information will be collected and 
maintained in a manner meeting the highest level of security required 
for personally identifiable information. The information collected will 
be limited to that which is necessary to identify the individual, and, 
if necessary, conduct an audit of the Coupon Program or the nursing 
home facility. Similar information is routinely collected from families 
and legal designees conducting business for individuals in senior care 
facilities.
    NTIA requests comments on other methods or information that the 
agency can use to verify the legitimacy of requests made by or on 
behalf of Nursing Home Residents. NTIA also seeks comments on methods 
to track and prevent duplicate requests and identify patterns of 
fraudulent behavior.

C. Applicability of Other Provisions of the Coupon Program Rule

    Consistent with section 301.4(d) of the Coupon Program regulations, 
NTIA proposes to send coupons to Nursing Home Residents via U.S. Postal 
Service to the address of the Eligible Nursing Home specified in the 
application. In the case of a request from an administrator on behalf 
of a Nursing Home Resident, NTIA proposes to mail the coupon directly 
to the requesting administrator at the address provided for the 
facility in the application.
    NTIA proposes that a coupon issued pursuant to this waiver process 
may only be used to purchase a CECB to be connected to a television set 
individually-owned by the Nursing Home Resident on whose behalf the 
application was made. CECBs purchased with coupons issued under this 
process may not be connected to television sets owned by the nursing 
home or senior care facility.
    The Coupon Program does not intend to reimburse individuals, family 
members, nursing home administrators or others who may be designated to 
act on behalf of residents for any costs these individuals may incur in 
obtaining coupons or providing other assistance related to obtaining 
and installing converter boxes.
    NTIA proposes that all other provisions of the Coupon Program rules 
would apply to Nursing Home Residents.

II. Applicants Utilizing Post Office Boxes for Mail Receipt

    As noted above, since NTIA began accepting applications for coupons 
on January 1, 2008, it has received and denied applications from a 
number of consumers that utilize a post office box for mail receipt. 
NTIA has become aware through the appeals process, however, that many 
applicants have sound reasons for utilizing a post office box for mail 
receipt. For example, a number of consumers appealing denials expressed 
concerns about the risk of identity theft as a result of stolen mail 
received via home delivery as the reason that they receive mail 
utilizing a post office box. As a consequence, NTIA believes it is 
appropriate to revisit our regulations concerning the treatment of 
applications using post office boxes.
    In developing the Coupon Program regulations, NTIA carefully 
considered mechanisms to deter waste, fraud, and abuse in the Program. 
In a number of studies of government benefit programs, most recently in 
its examination of fraud associated with Hurricane Katrina and Rita 
disaster benefits distributed by the Federal Emergency Management 
Agency (FEMA), the Government Accountability Office (GAO) noted that 
preventive controls are the most effective and efficient means to 
minimize waste, fraud, and abuse.\7\ GAO has specifically cited the 
misuse of post office boxes by applicants for benefits and recommended 
that preventive controls in a benefits program should, at a minimum, 
require that application data be validated against other government or 
third-party sources to determine whether an applicant has provided 
accurate information on their identity and place of residence.\8\ 
Specifically, GAO recommended that applicants should be required to 
provide their actual address.\9\
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    \7\ Hurricanes Katrina and Rita Disaster Relief: Improper 
Fraudulent Individual Assistance Payments Estimated to be Between 
$600 Million and $1.4 Billion, Testimony, GAO-06-844T (GAO 2006 
Testimony) (June 14, 2006); Hurricanes Katrina and Rita: 
Unprecedented Challenges Exposed the Individuals and Households 
Program to Fraud and Abuse; Actions Needed to Reduce Such Programs 
in Future, Report to Congressional Committees, GAO-06-1013 (Sept. 
2006); Hurricanes Katrina and Rita Disaster Relief: Prevention is 
the Key to Minimizing Fraud, Waste, and Abuse in Recovery Efforts, 
Testimony, GAO-07-418T (GAO 2007 Testimony) (Jan. 29, 2007).
    \8\ GAO 2007 Testimony, supra n. 3, at 4-5. See also Benefit 
Fraud with Post Office Boxes, Letter to Representative Gallegly, 
GAO/HEHS-97-54R (Feb. 21, 1997).
    \9\ GAO stated ``[w]hile not all payments made to post office 
boxes are improper or potentially fraudulent, the number of 
potentially fraudulent payments could be substantially reduced if 
FEMA put in place procedures to instruct disaster recipients to 
provide actual street addresses of damaged property when claiming 
disaster assistance.'' GAO 2006 Testimony, supra n. 3, at 5.
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    Accordingly, the current Coupon Program regulations require 
applicants to provide a United States Postal Service mailing address in 
all but a few instances, such as applicants residing on Indian 
reservations, Alaskan Native Villages, and other rural areas to which 
the U.S. Postal Service does not deliver to residential addresses. 
Consistent with GAO's recommendation, the Coupon Program regulations 
make it clear that these applicants may be required to provide 
additional proof of their physical residence. Moreover, as GAO 
recommended, the address of each applicant is checked by NTIA's 
contractor against a third-party database to assist in validating 
eligibility.
    NTIA now proposes to amend section 301.3(a) of its regulations to 
permit a household utilizing a post office box for mail receipt to 
become eligible to apply for and receive coupons if it can provide 
proof of physical residence as proof of the application process. NTIA 
believes that requiring proof of physical residence will balance the 
need for preventive controls to protect the Program from waste, fraud, 
and abuse with the goal of the Program to provide assistance to those 
consumers that will need a converter box to continue receiving 
broadcast programming over the air using analog-only televisions.
    Specifically, NTIA proposes that an applicant that utilizes a post 
office box for mail receipt must provide one or more of the following 
documents to satisfy the requirement for proof of physical residence: a 
valid driver's license containing the applicant's physical address; a 
utility bill (water, gas, electric, oil, cable, or landline telephone 
(i.e., not wireless or pager) bearing the applicant's name and physical 
address and issued within the sixty (60) days immediately preceding the 
date the coupon application is

[[Page 22123]]

submitted; a government-issued property tax bill for the applicant's 
residence; an unexpired homeowner's or renter's insurance policy for 
the applicant's residence; an unexpired residential lease or rental 
agreement with the applicant's name and physical address. NTIA will 
only use this information for identification, verification and tracking 
purposes for the Coupon Program. This information will be collected and 
maintained in a manner meeting the highest level of security required 
for personally identifiable information. Similar information is 
routinely collected by governmental agencies to verify residency.\10\
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    \10\ See e.g., Cal. Welfare and Institutions Code Sec.  14007.1 
(Deering 2007); D.C. Code Ann. Sec.  39-309 (LexisNexis 2008); Ky. 
Rev. Stat. Ann. Sec.  186.010 (LexisNexis 2008); N.C. Gen. Stat. 
Sec.  20-7 (2007)
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    NTIA requests comments on other methods by which it can verify the 
physical address of an applicant that utilizes a post office box for 
mail receipt. NTIA also seeks other information and estimates of the 
number of consumers with post office boxes that will apply for coupons 
if the proposed rule is implemented.

Executive Order 12866

    This proposed rule has been determined to be significant for 
purposes of Executive Order 12866; and therefore, has been reviewed by 
the Office of Management and Budget (OMB). In accordance with Executive 
Order 12866, an Economic Analysis was completed, outlining the costs 
and benefits of implementing this program. The complete analysis is 
available from NTIA upon request.

Executive Order 12988

    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. NTIA has determined that the rule meets the applicable 
standards provided in section 3 of the Executive Order, to minimize 
litigation, eliminate ambiguity, and reduce burden.

Congressional Review Act

    This rule has been determined to be major under the Congressional 
Review Act, 5 U.S.C. 801 et seq.

Regulatory Flexibility Act

    As required by the Regulatory Flexibility Act, 5 U.S.C. 603. NTIA 
has prepared an Initial Regulatory Flexibility Analysis (IRFA) of the 
possible significant economic impact on small entities of the policies 
and rules addressed in this Notice. The IRFA is set forth in Appendix 
A. Written public comments are requested on the IRFA. These comments 
must be filed in accordance with the same filing deadlines as comments 
filed in response to this Notice and must have a separate and distinct 
heading designating them as a response to the IRFA.

Information Collection and Recording Requirements

    This document contains proposed information collection 
requirements. In accordance with the Paperwork Reduction Act of 1995 
(44 U.S.C. chapter 35), NTIA invites comments on this information 
collection and intends to request approval for it from the Office of 
Management and Budget (OMB). To successfully administer this program, 
NTIA requests approval of the collection of information for the 
proposed coupon application process and requirements for Nursing Home 
Residents as well as for applicant utilizing a post office box for mail 
receipt. Comments on the information collection and recordkeeping 
requirements in this proposed rule must be received by June 23, 2008.
    Comments are invited on (a) whether the collections of information 
are necessary for the proper performance of the functions of the 
agency, including whether the information will have practical utility; 
(b) the accuracy of the agency's estimate of burden including the 
validity of the methodology and assumptions used; (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 those 
who are to respond, including through the use of appropriate automated, 
electronic, mechanical, or other technological collection techniques or 
other forms of information technology.
    Comments on the information collection and recordkeeping 
requirements in this proposed rule may be sent to Milton Brown, Office 
of the Chief Counsel, National Telecommunications and Information 
Administration, 1401 Constitution Avenue, Room 4713, Washington, DC 
20230.
    1.) Title: Waiver Application for the Digital-to-Analog Converter 
Box Coupon.
    Type of Request: New Collection.
    Estimate of Burden: Public reporting burden for this collection of 
information is estimated to average .50 hours (30 minutes) per 
respondent.
    Respondents: Individuals residing in nursing homes and other senior 
care facilities, representatives of such individuals, and 
administrators of nursing homes or other senior care facilities.
    Estimated Number of Respondents: 420,000.
    Estimated Number of Responses per Respondent: 1.
    Estimated Total Annual Burden on Respondents: .50 hours.
    2.) Title: Proof of Physical Residence for the Digital-to-Analog 
Converter Box Coupon Application.
    Type of Request: New Collection.
    Estimate of Burden: Public reporting burden for this collection of 
information is estimated to average .50 hours (30 minutes) per 
respondent.
    Respondents: Individuals that utilize post office boxes for 
residential mail receipt.
    Estimated Number of Respondents: 340,000.
    Estimated Number of Responses per Respondent: 1.
    Estimated Total Annual Burden on Respondents: .50 hour.
    All responses to this information collection and recordkeeping 
notice will be summarized and included in the request for OMB approval. 
All comments will also become a matter of public record.

Executive Order 12372

    No intergovernmental consultation with State and local officials is 
required because this rule is not subject to the provisions of 
Executive Order 12372, Intergovernmental Consultation.

Unfunded Mandates

    This rule contains no federal mandates under the regulatory 
provision of Title II of the Unfunded Mandates Reform Act of 1995 for 
State, local and tribal governments or the private sector. Thus, this 
rule is not subject to the requirements of sections 202 and 205 of the 
Unfunded Mandates Reform Act of 1995.

National Environmental Policy Act

    It has been determined that this rule does not constitute a major 
federal action significantly affecting the quality of the human 
environment, and in accordance with the National Environmental Policy 
Act of 1969 (42 U.S.C. 4321 et seq.) (NEPA), an Environmental Impact 
Statement is not required.

Government Paperwork Elimination Act

    NTIA is committed to compliance with the Government Paperwork 
Elimination Act, which requires Government agencies to provide the 
public the option of submitting information or transacting business 
electronically to the maximum extent possible.

[[Page 22124]]

Executive Order 12630

    This rule does not contain policies that have takings implications.

Executive Order 13132

    This rule does not contain policies having federalism implications 
requiring preparation of Federalism Impact Statement.

Authority:

    Title III of the Deficit Reduction Act of 2005, Pub. L. 109-171, 
120 Stat. 4, 21 (Feb.8, 2005).

    Dated: April 18, 2008.
Meredith Attwell Baker,
Acting Assistant Secretary for Communications and Information.

APPENDIX A

INITIAL REGULATORY FLEXIBILITY ANALYSIS

    As required by the Regulatory Flexibility Act (RFA) of 1989, as 
amended, NTIA has prepared an Initial Regulatory Flexibility 
Analysis (IRFA) addressing the economic impact on small entities 
that might result from this Notice of Proposed Rulemaking (NPRM). 
NTIA requests written public comments on this IRFA. Comments must be 
identified as responses to the IRFA and must be filed by the 
deadlines for comments on the Notice provided above. NTIA will 
consider all timely comments in drafting our final Regulatory 
Flexibility Analysis and in making its decision on a final rule. 
NTIA will send a copy of the Notice, including this IRFA, to the 
Chief Counsel for Advocacy of the Small Business Administration.
    This analysis addresses six issues: (1) a description of the 
reasons why action by NTIA is being considered; (2) the proposed 
rule's objectives and legal basis; (3) a description of and, where 
feasible, an estimate of the number and types of small entities 
affected by the proposed rule; (4) a description of the projected 
reporting, record-keeping and other compliance requirements of the 
proposed rule, including an estimate of the classes of small 
entities which will be subject to the requirement; and (5) the 
relevant rules that could duplicate, overlap, or conflict with the 
proposed rule. The following sections provide details on each of 
these issues.
    A. Need for, Objectives of, the Proposed Rule
    This proposed waiver to NTIA's TV Converter Box Coupon 
Programregulations will permit individuals residing in nursing homes 
to be eligible to receive coupons for the purchase of digital-to-
analog converter boxes. The proposed rule also permits households 
utilizing a post office box for mail receipt to provide proof of 
physical residence, so that they can become eligible to apply for 
and receive coupons.
    B. Legal Basis
    The legal basis for any action taken pursuant to this proposed 
rule is contained in the Digital Television Transition and Public 
Safety Act of 2005 (the Act).\11\ Specifically, section 3005 of the 
Act directs NTIA to implement and administer a program through which 
eligible U.S. households may obtain a maximum of two coupons, $40 
each, to be applied towards the purchase of a digital-to-analog 
converter box.
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    \11\ Title III of Pub. L. No. 109-171, 120 Stat. 4, 21 (2006).
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    C. Description and Estimate of the Number of Small Entities to 
Which the Proposed Rules May Apply
    The RFA directs agencies to provide a description of and, where 
feasible, an estimate of the number of small entities that may be 
affected by the proposed rules.\12\ The RFA generally defines the 
term ``small entity'' to include ``small business,'' ``small 
organization,'' or ``small governmental jurisdiction.''\13\ 
According to the Small Business Administration (SBA), Nursing Care 
Facilities and Continuing Care Retirement Communities must have 
receipts of $12.5 million or less in order to qualify as a small 
business concern.\14\ SBA provided, however, that Homes for the 
Elderly and Other Residential Care Facilities must have receipts of 
$6.5 million or less to qualify as a small business concern.\15\ 
NTIA does not have data on the number of these facilities that would 
qualify as a small business concern. NTIA also does not have data on 
the number of residents of these small businesses that would take 
advantage of the Coupon Program.
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    \12\ 5 U.S.C. Sec.  603(b)(3), 604(a)(3).
    \13\ 5 U.S.C. Sec.  601(6).
    \14\ 13 CFR Sec.  121.201
    \15\ 13 CFR Sec.  121.201
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    D. Description of Projected Reporting, Recordkeeping and Other 
Compliance Requirements
    There are no projected reporting, recordkeeping or other 
compliance requirements associated with this proposed rule. Nursing 
facility administrators should be aware, however, that NTIA intends 
to audit periodically the use of coupons obtained to ensure that the 
coupon was used to provide a converter box for the resident's 
personal use.
    E. Steps Taken to Minimize Significant Economic Impact on Small 
Entities, and Significant Alternatives Considered
    The proposed rule has no significant economic impact on small 
entities. Participation in this program is voluntary, thus any 
economic impact would not be caused by the proposed rule as small 
entities are not required to participate in the program. NTIA also 
notes that this program may not be attractive to many nursing care 
facilities or homes for the elderly, small or otherwise, because 
residents may receive television service through one of the 
multichannel video programming distributors, such as cable or 
satellite service. In fact, nursing care facilities or homes for the 
elderly are only implicated in this program if an administrator 
chooses to apply for a coupon on behalf of a resident. Although it 
would take an approximately 30 minutes to submit the application on 
the resident's behalf, there is no indication that this time 
commitment would a significant economic impact to nursing care 
facilities or homes for the elderly that are considered ``small 
entities.''
    The proposed rule provides two alternatives to minimize any 
economic impact on nursing care facilities or homes for the elderly. 
Nursing home residents may apply for coupons directly, thereby 
eliminating any cost or time by the nursing facility. Alternatively, 
the proposed rule permits a person other than a nursing home 
employee acting on behalf of the nursing home resident to apply for 
the coupon. This option would also remove any cost or time on behalf 
of a nursing care facility or home for the elderly.
    It should be noted that an alternative currently exists which 
permits seniors living in nursing homes to obtain converter boxes as 
a result of the Coupon Program. Family members or friends of seniors 
living in nursing homes may apply for coupons under the current 
regulations and use those coupons to purchase converter boxes for 
seniors living in nursing homes. Of course, the regulations only 
permit households to apply for up to two coupons, and they will not 
be permitted to apply for additional coupons beyond those permitted 
under the regulations. This alternative, while available to some, 
does not address those seniors living in nursing homes that do not 
have family members or friends willing or able to apply for coupons.
    NTIA also considered other options to ensure that nursing home 
residents receive converter boxes. For example, NTIA considered 
purchasing the boxes directly and distributing them to nursing home 
residents. This option, however, would be administratively difficult 
to implement. NTIA has also approached industry regarding providing 
assistance to vulnerable groups that may need converter boxes. NTIA 
will continue reaching out to industry in this regard; however, this 
approach does not provide certainty that seniors living in nursing 
homes will receive converter boxes prior to the transition.
    F. Federal Rules That May Duplicate, Overlap, or Conflict With 
the Proposed Rules
    NTIA is not aware of any federal rules that may duplicate, 
overlap or conflict with the proposed rule.
    The preceding analysis indicates that the expected burden on 
small entities to implement the proposed rule would be minimal.

[FR Doc. E8-8869 Filed 4-23-08; 8:45 am]
BILLING CODE 3510-60-S