Agency Information Collection Activities; Proposed Collection; Comment Request; Extension, 39700-39701 [E8-15660]
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programs, staff estimates that, industrywide, funeral homes should incur no
more than 40,600 hours related to
training specific to the Rule each year.
This estimate is consistent with staff’s
assumption for the current clearance
that an ‘‘average’’ funeral home consists
of approximately five employees (fulltime and part-time employment
combined), but with no more than four
of them having tasks specifically
associated with the Funeral Rule. Staff
retains its estimate that each of the four
employees (three directors and a clerical
employee) per firm would each require
one-half hour, at most, per year, for such
training. Thus, total estimated time for
training is 40,600 hours (4 employees
per firm × 1/2 hour × 20,300 providers).
Estimated annual cost burden:
$3,524,000 in labor costs and $1,226,000
in non-labor costs.
Labor costs: Labor costs are derived
by applying appropriate hourly cost
figures to the burden hours described
above. The hourly rates used below are
averages.
Clerical personnel, at an estimated
hourly rate of $13, can perform the
recordkeeping tasks required under the
Rule. Based on the estimated hour
burden of 20,300 hours, the estimated
labor cost burden for recordkeeping is
$263,900.
The two and one-half hours required
of each provider, on average, to update
price lists should consist of
approximately one and one-half hours
of managerial or professional time, at an
estimated $27.50 per hour, and one hour
of clerical time, at $13 per hour, for a
total of $54.25 per provider 8 [($27.50
per hour × 1.5 hours) + ($13.00 per hour
× 1 hour)]. Thus, the estimated total
labor cost burden for maintaining price
lists is $1,101,275 ($54.25 per provider
× 20,300 providers).
The incremental cost to the 13% of
small funeral providers not previously
providing written documentation of the
goods and services selected by the
consumer, as previously noted, is 2,639
hours. Assuming managerial or
professional time for these tasks at
approximately $27.50 per hour, the
8 Based on the National Compensation Survey:
Occupational Wages in the United States, June
2006, U.S. Department of Labor, Bureau of Labor
Statistics (June 2007) (‘‘BLS National Compensation
Survey’’) (citing the mean hourly earnings for
funeral directors as $22.11/hour), available at
https://www.bls.gov/ncs/ocs/sp/ncbl0910.pdf. As in
the past, staff has increased this figure on the
assumption that the owner or managing director,
who would be paid at a slightly higher rate, would
be responsible for making pricing decisions.
Clerical estimates are derived from the above source
data, applying roughly a mid-range of mean hourly
rates for potentially applicable clerical types, e.g.,
bookkeeping, file clerks, new accounts clerks, data
entry.
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associated labor cost would be
$72,572.50 (2,639 hours × $27.50 per
hour).
As previously noted, staff estimates
that 48,000 hours of managerial or
professional time is required annually to
respond to telephone inquiries about
prices. The cost of 48,000 hours of
managerial or professional time for
responding to telephone inquiries about
prices at $27.50 per hour, is $1,320,000
(48,000 hours × $27.50 per hour).
The cost of training licensed and nonlicensed funeral home staff to comply
with the Funeral Rule is two hours per
funeral home, with four employees of
varying ranks each spending one-half
hour on training. Consistent with
estimates in the current clearance, the
Commission is assuming that three
funeral directors, at hourly wages of
$27.50, $20, and $15, respectively, as
well as one clerical or administrative
staff member, at $13 per hour, require
such training, for a total burden of
40,600 hours (20,300 funeral homes × 2
hours total per establishment), and
$766,325 [($27.50 + $20 + $15 + $13) ×
1/2 hour per employee × 20,300 funeral
homes].
The total labor cost of the three
disclosure requirements imposed by the
Funeral Rule is $2,493,847.50
($1,101,275 + $72,572.50 + $1,320,000).
The total labor cost for recordkeeping is
$263,900. The total labor cost for
disclosures, recordkeeping and training
is $3,524,000 ($263,900 for
recordkeeping + $766,325 for training +
$2,493,847.50 for disclosures), rounded
to the nearest thousand.
Capital or other non-labor costs: The
Rule imposes minimal capital costs and
no current start-up costs. The Rule first
took effect in 1984 and the revised Rule
took effect in 1994, so funeral providers
should already have in place capital
equipment to carry out tasks associated
with Rule compliance. Moreover, most
funeral homes already have access, for
other business purposes, to the ordinary
office equipment needed for
compliance, so the Rule likely imposes
minimal additional capital expense.
Compliance with the Rule, however,
does entail some expense to funeral
providers for printing and duplication
of price lists. Assuming that two price
lists per funeral/cremation are created
by industry to adhere to the Rule,
4,800,000 copies per year are made for
a total cost of $1,200,000 (2,400,000
funerals per year × 2 copies per funeral
× $.25 per copy). In addition, the
estimated 2,639 providers not already
providing written documentation of
funeral arrangements apart from the
Rule will incur additional printing and
copying costs. Assuming that those
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providers use the standard two-page
form shown in the Compliance Guide, at
twenty-five cents per page, at an average
of twenty funerals per year, the added
cost burden would be $26,390 (2,639
providers × 20 funerals per year × 2
pages per funeral × $.25). Thus,
estimated non-labor costs are
$1,226,000, rounded to the nearest
thousand.
William Blumenthal,
General Counsel.
[FR Doc. E8–15659 Filed 7–9–08; 8:45 am]
BILLING CODE 6750–01–P
FEDERAL TRADE COMMISSION
Agency Information Collection
Activities; Proposed Collection;
Comment Request; Extension
Federal Trade Commission.
Notice.
AGENCY:
ACTION:
SUMMARY: The information collection
requirements described below will be
submitted to the Office of Management
and Budget (‘‘OMB’’) for review, as
required by the Paperwork Reduction
Act. The Federal Trade Commission
(‘‘FTC’’ or ‘‘Commission’’) is seeking
public comments on its proposal to
extend through October 31, 2011, the
current OMB clearance for information
collection requirements contained in its
Negative Option Rule. That clearance
expires on October 31, 2008.
DATES: Comments must be filed by
September 8, 2008.
ADDRESSES: Interested parties are
invited to submit written comments.
Comments should refer to ‘‘Negative
Option Rule: FTC File No. P789003’’ to
facilitate the organization of comments.
A comment filed in paper form should
include this reference both in the text
and on the envelope and should be
mailed or delivered to the following
address: Federal Trade Commission,
Office of the Secretary, Room H–135
(Annex J), 600 Pennsylvania Ave., NW.,
Washington, DC 20580. The FTC is
requesting that any comment filed in
paper form be sent by courier or
overnight service, if possible, because
U.S. postal mail in the Washington area
and at the Commission is subject to
delay due to heightened security
precautions. Moreover, because paper
mail in the Washington area and at the
Agency is subject to delay, please
consider submitting your comments in
electronic form, as prescribed below. If,
however, the comment contains any
material for which confidential
treatment is requested, it must be filed
in paper form, and the first page of the
E:\FR\FM\10JYN1.SGM
10JYN1
Federal Register / Vol. 73, No. 133 / Thursday, July 10, 2008 / Notices
document must be clearly labeled
‘‘Confidential.’’ 1
Comments filed in electronic form
should be submitted by using the
following Weblink: https://
secure.commentworks.com/ftcNegativeOptionRule (and following the
instructions on the Web-based form). To
ensure that the Commission considers
an electronic comment, you must file it
on the web-based form at the Weblink:
https://secure.commentworks.com/ftcNegativeOptionRule. If this notice
appears at https://www.regulations.gov,
you may also file an electronic comment
through that Web site. The Commission
will consider all comments that
regulations.gov forwards to it.
The FTC Act and other laws the
Commission administers permit the
collection of public comments to
consider and use in this proceeding as
appropriate. The Commission will
consider all timely and responsive
public comments that it receives,
whether filed in paper or electronic
form. Comments received will be
available to the public on the FTC Web
site, to the extent practicable, at https://
www.ftc.gov. As a matter of discretion,
the FTC makes every effort to remove
home contact information for
individuals from the public comments it
receives before placing those comments
on the FTC Web site. More information,
including routine uses permitted by the
Privacy Act, may be found in the FTC’s
privacy policy at https://www.ftc.gov/ftc/
privacy.shtm.
FOR FURTHER INFORMATION CONTACT:
Requests for additional information
should be addressed to Jock Chung,
Attorney, Division of Enforcement,
Bureau of Consumer Protection, Federal
Trade Commission, 600 Pennsylvania
Avenue, NW., Washington, DC 20580,
(202) 326–2984.
SUPPLEMENTARY INFORMATION: Under the
Paperwork Reduction Act (‘‘PRA’’), 44
U.S.C. 3501–3520, federal agencies must
obtain approval from OMB for each
collection of information they conduct
or sponsor. ‘‘Collection of information’’
means agency requests or requirements
that members of the public submit
reports, keep records, or provide
information to a third party. 44 U.S.C.
3502(3); 5 CFR 1320.3(c). As required by
section 3506(c)(2)(A) of the PRA, the
FTC is providing this opportunity for
jlentini on PROD1PC65 with NOTICES
1 FTC
Rule 4.2(d), 16 CFR 4.2(d). The comment
must be accompanied by an explicit request for
confidential treatment, including the factual and
legal basis for the request, and must identify the
specific portions of the comment to be withheld
from the public record. The request will be granted
or denied by the Commission’s General Counsel,
consistent with applicable law and the public
interest. See FTC Rule 4.9(c), 16 CFR 4.9(c).
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16:58 Jul 09, 2008
Jkt 214001
public comment before requesting that
OMB extend the existing paperwork
clearance for the information collection
requirements contained in the
Commission’s Use of Prenotification
Negative Option Plans Rule (‘‘Negative
Option Rule’’ or ‘‘Rule’’), 16 CFR Part
425 (OMB Control Number 3084–0104).
The FTC invites comments on: (1)
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;
(2) the accuracy of the agency’s estimate
of the burden of the proposed collection
of information, including the validity of
the methodology and assumptions used;
(3) ways to enhance the quality, utility,
and clarity of the information to be
collected; and (4) 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, e.g., permitting electronic
submission of responses. All comments
should be filed as prescribed in the
ADDRESSES section above, and must be
received on or before September 8,
2008.
The Negative Option Rule governs the
operation of prenotification subscription
plans. Under these plans, sellers notify
subscribers that they will ship
merchandise, such as books, compact
discs, or tapes, automatically and bill
the subscribers for the merchandise if
the subscribers do not expressly reject
the merchandise beforehand within a
prescribed time. The Rule protects
consumers by: (a) requiring that
promotional materials disclose the
terms of membership clearly and
conspicuously; and (b) establishing
procedures for the administration of
such ‘‘negative option’’ plans.
Estimated annual hours burden:
13,000 hours rounded to the nearest
thousand.
Staff estimates that approximately 158
existing clubs each require annually
about 75 hours to comply with the
Rule’s disclosure requirements, for a
total of 11,850 hours (158 clubs × 75
hours). These clubs should be familiar
with the Rule, which has been in effect
since 1974, with the result that the
burden of compliance has declined over
time. Moreover, a substantial portion of
the existing clubs likely would make
these disclosures absent the Rule
because they have helped foster longterm relationships with consumers.
Approximately 7 new clubs come into
being each year. These clubs require
approximately 120 hours to comply
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Fmt 4703
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39701
with the Rule, including start up-time.
Thus, the cumulative PRA burden for
new clubs is about 840 hours. Combined
with the estimated burden for
established clubs, the total burden is
12,690 hours or 13,000, rounded to the
nearest thousand.
Estimated annual cost burden:
$511,000, rounded to the nearest
thousand (solely related to labor costs).
Based on recent data from the Bureau
of Labor Statistics, the average
compensation for advertising managers
is approximately $44 per hour.
Compensation for office and
administrative support personnel is
approximately $15 per hour. Assuming
that managers perform the bulk of the
work, while clerical personnel perform
associated tasks (e.g., placing
advertisements and responding to
inquiries about offerings or prices), the
total cost to the industry for the Rule’s
paperwork requirements would be
approximately $510,510 [(65 hours
managerial time x 158 existing clubs ×
$44 per hour) + (10 hours clerical time
× 158 existing clubs × $15 per hour) +
(110 hours managerial time × 7 new
clubs × $44 per hour) + (10 hours
clerical time × 7 new clubs × $15)].
Because the Rule has been in effect
since 1974, the vast majority of the
negative option clubs have no current
start-up costs. For the few new clubs
that enter the market each year, the
costs associated with the Rule’s
disclosure requirements, beyond the
additional labor costs discussed above,
are de minimis. Negative option clubs
already have access to the ordinary
office equipment necessary to achieve
compliance with the Rule. Similarly, the
Rule imposes few, if any, printing and
distribution costs. The required
disclosures generally constitute only a
small addition to the advertising for
negative option plans. Because printing
and distribution expenditures are
incurred to market the product
regardless of the Rule, adding the
required disclosures results in marginal
incremental expense.
William Blumenthal,
General Counsel.
[FR Doc. E8–15660 Filed 7–9–08; 8:45 am]
BILLING CODE 6750–01–P
E:\FR\FM\10JYN1.SGM
10JYN1
Agencies
[Federal Register Volume 73, Number 133 (Thursday, July 10, 2008)]
[Notices]
[Pages 39700-39701]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-15660]
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
Agency Information Collection Activities; Proposed Collection;
Comment Request; Extension
AGENCY: Federal Trade Commission.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The information collection requirements described below will
be submitted to the Office of Management and Budget (``OMB'') for
review, as required by the Paperwork Reduction Act. The Federal Trade
Commission (``FTC'' or ``Commission'') is seeking public comments on
its proposal to extend through October 31, 2011, the current OMB
clearance for information collection requirements contained in its
Negative Option Rule. That clearance expires on October 31, 2008.
DATES: Comments must be filed by September 8, 2008.
ADDRESSES: Interested parties are invited to submit written comments.
Comments should refer to ``Negative Option Rule: FTC File No. P789003''
to facilitate the organization of comments. A comment filed in paper
form should include this reference both in the text and on the envelope
and should be mailed or delivered to the following address: Federal
Trade Commission, Office of the Secretary, Room H-135 (Annex J), 600
Pennsylvania Ave., NW., Washington, DC 20580. The FTC is requesting
that any comment filed in paper form be sent by courier or overnight
service, if possible, because U.S. postal mail in the Washington area
and at the Commission is subject to delay due to heightened security
precautions. Moreover, because paper mail in the Washington area and at
the Agency is subject to delay, please consider submitting your
comments in electronic form, as prescribed below. If, however, the
comment contains any material for which confidential treatment is
requested, it must be filed in paper form, and the first page of the
[[Page 39701]]
document must be clearly labeled ``Confidential.'' \1\
---------------------------------------------------------------------------
\1\ FTC Rule 4.2(d), 16 CFR 4.2(d). The comment must be
accompanied by an explicit request for confidential treatment,
including the factual and legal basis for the request, and must
identify the specific portions of the comment to be withheld from
the public record. The request will be granted or denied by the
Commission's General Counsel, consistent with applicable law and the
public interest. See FTC Rule 4.9(c), 16 CFR 4.9(c).
---------------------------------------------------------------------------
Comments filed in electronic form should be submitted by using the
following Weblink: https://secure.commentworks.com/ftc-
NegativeOptionRule (and following the instructions on the Web-based
form). To ensure that the Commission considers an electronic comment,
you must file it on the web-based form at the Weblink: https://
secure.commentworks.com/ftc-NegativeOptionRule. If this notice appears
at https://www.regulations.gov, you may also file an electronic comment
through that Web site. The Commission will consider all comments that
regulations.gov forwards to it.
The FTC Act and other laws the Commission administers permit the
collection of public comments to consider and use in this proceeding as
appropriate. The Commission will consider all timely and responsive
public comments that it receives, whether filed in paper or electronic
form. Comments received will be available to the public on the FTC Web
site, to the extent practicable, at https://www.ftc.gov. As a matter of
discretion, the FTC makes every effort to remove home contact
information for individuals from the public comments it receives before
placing those comments on the FTC Web site. More information, including
routine uses permitted by the Privacy Act, may be found in the FTC's
privacy policy at https://www.ftc.gov/ftc/privacy.shtm.
FOR FURTHER INFORMATION CONTACT: Requests for additional information
should be addressed to Jock Chung, Attorney, Division of Enforcement,
Bureau of Consumer Protection, Federal Trade Commission, 600
Pennsylvania Avenue, NW., Washington, DC 20580, (202) 326-2984.
SUPPLEMENTARY INFORMATION: Under the Paperwork Reduction Act (``PRA''),
44 U.S.C. 3501-3520, federal agencies must obtain approval from OMB for
each collection of information they conduct or sponsor. ``Collection of
information'' means agency requests or requirements that members of the
public submit reports, keep records, or provide information to a third
party. 44 U.S.C. 3502(3); 5 CFR 1320.3(c). As required by section
3506(c)(2)(A) of the PRA, the FTC is providing this opportunity for
public comment before requesting that OMB extend the existing paperwork
clearance for the information collection requirements contained in the
Commission's Use of Prenotification Negative Option Plans Rule
(``Negative Option Rule'' or ``Rule''), 16 CFR Part 425 (OMB Control
Number 3084-0104).
The FTC invites comments on: (1) 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; (2) the accuracy of the agency's estimate of the burden of the
proposed collection of information, including the validity of the
methodology and assumptions used; (3) ways to enhance the quality,
utility, and clarity of the information to be collected; and (4) 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, e.g., permitting electronic
submission of responses. All comments should be filed as prescribed in
the ADDRESSES section above, and must be received on or before
September 8, 2008.
The Negative Option Rule governs the operation of prenotification
subscription plans. Under these plans, sellers notify subscribers that
they will ship merchandise, such as books, compact discs, or tapes,
automatically and bill the subscribers for the merchandise if the
subscribers do not expressly reject the merchandise beforehand within a
prescribed time. The Rule protects consumers by: (a) requiring that
promotional materials disclose the terms of membership clearly and
conspicuously; and (b) establishing procedures for the administration
of such ``negative option'' plans.
Estimated annual hours burden: 13,000 hours rounded to the nearest
thousand.
Staff estimates that approximately 158 existing clubs each require
annually about 75 hours to comply with the Rule's disclosure
requirements, for a total of 11,850 hours (158 clubs x 75 hours). These
clubs should be familiar with the Rule, which has been in effect since
1974, with the result that the burden of compliance has declined over
time. Moreover, a substantial portion of the existing clubs likely
would make these disclosures absent the Rule because they have helped
foster long-term relationships with consumers.
Approximately 7 new clubs come into being each year. These clubs
require approximately 120 hours to comply with the Rule, including
start up-time. Thus, the cumulative PRA burden for new clubs is about
840 hours. Combined with the estimated burden for established clubs,
the total burden is 12,690 hours or 13,000, rounded to the nearest
thousand.
Estimated annual cost burden: $511,000, rounded to the nearest
thousand (solely related to labor costs).
Based on recent data from the Bureau of Labor Statistics, the
average compensation for advertising managers is approximately $44 per
hour. Compensation for office and administrative support personnel is
approximately $15 per hour. Assuming that managers perform the bulk of
the work, while clerical personnel perform associated tasks (e.g.,
placing advertisements and responding to inquiries about offerings or
prices), the total cost to the industry for the Rule's paperwork
requirements would be approximately $510,510 [(65 hours managerial time
x 158 existing clubs x $44 per hour) + (10 hours clerical time x 158
existing clubs x $15 per hour) + (110 hours managerial time x 7 new
clubs x $44 per hour) + (10 hours clerical time x 7 new clubs x $15)].
Because the Rule has been in effect since 1974, the vast majority
of the negative option clubs have no current start-up costs. For the
few new clubs that enter the market each year, the costs associated
with the Rule's disclosure requirements, beyond the additional labor
costs discussed above, are de minimis. Negative option clubs already
have access to the ordinary office equipment necessary to achieve
compliance with the Rule. Similarly, the Rule imposes few, if any,
printing and distribution costs. The required disclosures generally
constitute only a small addition to the advertising for negative option
plans. Because printing and distribution expenditures are incurred to
market the product regardless of the Rule, adding the required
disclosures results in marginal incremental expense.
William Blumenthal,
General Counsel.
[FR Doc. E8-15660 Filed 7-9-08; 8:45 am]
BILLING CODE 6750-01-P