Agency Information Collection Activities; Proposed Collection; Comment Request, 42806-42810 [2015-17764]

Download as PDF mstockstill on DSK4VPTVN1PROD with NOTICES 42806 Federal Register / Vol. 80, No. 138 / Monday, July 20, 2015 / Notices $26 billion represent an important segment of the federal funds market that is not currently captured by the FR 2420 report, and collecting their borrowing transactions is necessary for understanding unsecured money markets. As noted above, the minimum asset-size threshold for reporting by U.S. institutions on the FR 2420 is being raised to $18 billion in order to balance the need to capture this information with the reporting burden on smaller institutions. This higher minimum threshold will eliminate the need for daily reporting for many smaller institutions. Furthermore, including a supervisory component to the FR 2420 report is not expected to increase, in itself, the burden on institutions required to file an FR 2420 since all report submissions are subject to control, audit, and governance protocols. Utilization of the FR 2420 report for supervisory purposes will complement existing liquidity monitoring reports and allow the Federal Reserve to reduce reporting requirements in those reports. Specifically, with regard to the interaction between the FR 2420 and FR 2052, the Federal Reserve has reviewed the current and proposed reports and confirms there is no duplicated information or material overlaps between these reports. A subset of the FR 2420 pricing data was already being collected on the FR 2052a as part of supervisory liquidity monitoring. Going forward, information contained on the FR 2420 will replace certain information currently gathered on the FR 2052a, as these data elements will be dropped from the FR 2052a collection. Pricing information on the FR 2052b will not change, as that data is not similar to FR 2420 data. However, the amended FR 2420 will offer greater insight on the borrowing costs for these firms’ liabilities. Pricing information, when used in tandem with liquidity data, is an area that supervisors review when gauging a firm’s overall liquidity profile. Rapid changes in pricing can indicate a firm is entering a period of constrained market access and subsequent liquidity stress. For institutions whose primary regulator is not the Federal Reserve and who do not file FR 2052 reports, the FR 2420 data is intended primarily for monetary policy purposes. The Federal Reserve does not plan to share these data with other agencies. Clarifications and Other Issues One trade organization asked for clarification on several definitions, including counterparty types, embedded options on CDS, borrowings from GSEs VerDate Sep<11>2014 16:30 Jul 17, 2015 Jkt 235001 and FHLBs, deposits from non-financial corporations, and the office identifier on Part B. Each of these definitions will be updated with further clarification in the reporting instructions. The organization also asked for a formal process for Frequently Asked Questions. The Federal Reserve will have a process to document reporting questions and communicate these to reporters. Lastly, the organization asked for the Reporting Central application to be open for testing as soon as possible. The application will be available for testing at least one month before the implementation dates. One commenter provided additional comments outside the scope of the data collection proposal that focused on the calculation of the published rates. Board of Governors of the Federal Reserve System, July 15, 2015. Robert deV. Frierson, Secretary of the Board. [FR Doc. 2015–17713 Filed 7–17–15; 8:45 am] BILLING CODE 6210–01–P FEDERAL RETIREMENT THRIFT INVESTMENT BOARD Sunshine Act; Notice of Meeting 9:00 a.m. (Eastern Time) July 27, 2015. PLACE: 10th Floor Board Meeting Room, 77 K Street NE., Washington, DC 20002. STATUS: Parts will be open to the public and parts closed to the public. MATTERS TO BE CONSIDERED: TIME AND DATE: Open to the Public 1. Approval of the Minutes of the June 25, 2015 Board Member Meeting 2. Monthly Reports (a) Monthly Participant Activity Report (b) Legislative Report 3. Quarterly Reports (a) Investment Policy Report (b) Vendor Financials (c) Audit Status (d) Budget Review (e) Project Activity Report 4. Withdrawal Options 5. Mutual Fund Window Project and Policy 6. Investment Consultant Memo 7. Impact of Proposed Changes to G Fund 8. Investment Advice Discussion Closed to the Public 9. Litigation 10. Security 11. Personnel Kimberly Weaver, Director, Office of External Affairs, (202) 942–1640. Frm 00020 Fmt 4703 [FR Doc. 2015–17870 Filed 7–16–15; 4:15 pm] BILLING CODE 6760–01–P FEDERAL TRADE COMMISSION Agency Information Collection Activities; Proposed Collection; Comment Request Federal Trade Commission (‘‘FTC’’ or ‘‘Commission’’). ACTION: Notice. AGENCY: The FTC intends to ask the Office of Management and Budget (‘‘OMB’’) to extend through November 30, 2018, the current Paperwork Reduction Act (‘‘PRA’’) clearance for the information collection requirements in the FTC Red Flags, Card Issuers, and Address Discrepancies Rules 1 (‘‘Rules’’). That clearance expires on November 30, 2015. DATES: Comments must be submitted by September 18, 2015. ADDRESSES: Interested parties may file a comment online or on paper by following the instructions in the Request for Comment part of the SUPPLEMENTARY INFORMATION section below. Write ‘‘Red Flags Rule, PRA Comment, Project No. P095406’’ on your comment, and file your comment online at https://ftcpublic.commentworks.com/ ftc/RedFlagsPRA by following the instructions on the web-based form. If you prefer to file your comment on paper, mail or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC–5610 (Annex J), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex J), Washington, DC 20024. FOR FURTHER INFORMATION CONTACT: Requests for additional information should be addressed to Steven Toporoff, Attorney, Bureau of Consumer Protection, (202) 326–2252, Federal Trade Commission, 600 Pennsylvania Avenue, Washington, DC 20580. SUPPLEMENTARY INFORMATION: SUMMARY: I. Overview of the Rules CONTACT PERSON FOR MORE INFORMATION: PO 00000 Dated: July 16, 2015. James Petrick, General Counsel, Federal Retirement Thrift Investment Board. Sfmt 4703 The Red Flags Rule requires financial institutions and certain creditors to develop and implement written Identity 1 16 E:\FR\FM\20JYN1.SGM CFR 681.1; 16 CFR 681.2; 16 CFR part 641. 20JYN1 Federal Register / Vol. 80, No. 138 / Monday, July 20, 2015 / Notices Theft Prevention Programs (‘‘Program’’). The Card Issuers Rule requires credit and debit card issuers (‘‘card issuers’’) to assess the validity of notifications of address changes under certain circumstances. The Address Discrepancy Rule provides guidance on what users of consumer reports must do when they receive a notice of address discrepancy from a nationwide consumer reporting agency (‘‘CRA’’). Collectively, these three anti-identity theft provisions are intended to prevent impostures from misusing another person’s personal information for a fraudulent purpose. The Rules implement sections 114 and 315 of the Fair Credit Reporting Act (‘‘FCRA’’), 15 U.S.C. 1681 et seq., to require businesses to undertake measures to prevent identity theft and increase the accuracy of consumer reports. Since promulgation of the original Rule, President Obama signed the Red Flag Program Clarification Act of 2010 (‘‘Clarification Act’’), which narrowed the definition of ‘‘creditor’’ for purposes of the Red Flags Rule. Specifically, the Clarification Act limits application of the Red Flags Rule to creditors that regularly and in the ordinary course of business: (1) Obtain or use consumer reports, directly or indirectly, in connection with a credit transaction; (2) furnish information to consumer reporting agencies in connection with a credit transaction; or (3) advance funds to or on behalf of a person, based on a person’s obligation to repay the funds to or on behalf of a person, based on a person’s obligation to repay the funds or on repayment from specific property pledged by or on the person’s behalf. This third prong does not include a creditor that advances funds on behalf of a person for expenses incidental to a service provided by the creditor to that person. mstockstill on DSK4VPTVN1PROD with NOTICES II. Description of Collection of Information A. FCRA Section 114 The Red Flags Rule requires financial institutions and covered creditors to develop and implement a written Program to detect, prevent, and mitigate identity theft in connection with existing accounts or the opening of new accounts. Under the Rule, financial institutions and certain creditors must conduct a periodic risk assessment to determine if they maintain ‘‘covered accounts.’’ The Rule defines the term ‘‘covered account’’ as either: (1) A consumer account that is designed to permit multiple payments or transactions, or (2) any other account for VerDate Sep<11>2014 16:30 Jul 17, 2015 Jkt 235001 which there is a reasonably foreseeable risk of identity theft. Each financial institution and covered creditor that has covered accounts must create a written Program that contains reasonable policies and procedures to identify relevant indicators of the possible existence of identity theft (‘‘red flags’’); detect red flags that have been incorporated into the Program; respond appropriately to any red flags that are detected to prevent and mitigate identity theft; and update the Program periodically to ensure it reflects change in risks to customers. The Red Flags Rule also requires financial institutions and covered creditors to: (1) Obtain approval of the initial written Program by the board of directors; a committee thereof or, if there is no board, an appropriate senior employee; (2) ensure oversight of the development, implementation, and administration of the Program; and (4) exercise appropriate and effective oversight of service provider arrangements. In addition, the Rules implement the section 114 requirement that card issuers generally must assess the validity of change of address notifications. Specifically, if the card issuer receives a notice of change of address for an existing account and, within a short period of time (during at least the first 30 days), receives a request for an additional or replacement card for the same account, the issuer must follow reasonable policies and procedures to assess the validity of the change of address. B. FCRA Section 315 In implementing section 315 of the FCRA, the Rules require each user of consumer reports to have reasonable policies and procedures in place to employ when the user receives a notice of address discrepancy from a CRA. Specifically, each user of consumer reports must develop reasonable policies and procedures to: (1) Enable the user to form a reasonable belief that a consumer report relates to the consumer about whom it has requested the report, when the user receives a notice of address discrepancy; and (2) furnish an address for the consumer that the user has reasonably confirmed is accurate to the CRA from which it receives a notice of address discrepancy, if certain conditions are met. III. Burden Estimates Under the PRA, 44 U.S.C. 3501–3521, Federal agencies must get OMB approval for each collection of information they conduct or sponsor. ‘‘Collection of information’’ includes PO 00000 Frm 00021 Fmt 4703 Sfmt 4703 42807 agency requests or requirements to submit reports, keep records, or provide information to a third party. 44 U.S.C. 3502(3); 5 CFR 1320.3(c). The figures below reflect FTC staff’s estimates of the hours burden and labor costs to complete the tasks described above that fall within reporting, disclosure, or recordkeeping requirements. FTC staff believes that the Rules impose negligible capital or other non-labor costs, as the affected entities are likely to have the necessary supplies and/or equipment already (e.g., offices and computers) for the information collection described herein. Overall estimated burden hours regarding sections 114 and 315, combined, total 2,296,863 hours and the associated estimated labor costs are $92,465,982. Staff assumes that affected entities will already have in place, independent of the Rule, equipment and supplies necessary to carry out the tasks necessary to comply with it. A. FCRA Section 114 1. Estimated Hours Burden—Red Flags Rule As noted above, the Rule requires financial institutions and certain creditors with covered accounts to develop and implement a written Program. Under the FCRA, financial institutions over which the FTC has jurisdiction include state chartered credit unions and certain insurance companies. Although narrowed by the Clarification Act, the definition of ‘‘creditor’’ still covers a broad array of entities. Moreover, the Clarification Act does not set forth any exemptions from Rule coverage. Rather, application of the Rule depends upon an entity’s course of conduct, not its status as a particular type of business. For these reasons, it is difficult to determine precisely the number of creditors subject to the FTC’s jurisdiction. There are numerous small businesses under the FTC’s jurisdiction that may qualify as ‘‘creditors,’’ and there is no formal way to track them. Nonetheless, FTC staff estimates that the Rule’s requirement to have a written Program affects 6,298 financial institutions 2 and 162,295 creditors.3 2 The total number of financial institutions is derived from an analysis of state credit unions and insurers within the FTC’s jurisdiction using 2012 Census data (‘‘County Business Patterns,’’ U.S.) and other online industry data. 3 The total number of creditors (162,295) is derived from an analysis of 2012 Census data and industry data for businesses or organizations that market goods and services to consumers or other businesses or organizations subject to the FTC’s jurisdiction, reduced by entities not likely to: (1) E:\FR\FM\20JYN1.SGM Continued 20JYN1 42808 Federal Register / Vol. 80, No. 138 / Monday, July 20, 2015 / Notices To estimate burden hours for the Red Flags Rule under section 114, FTC staff divided affected entities into two categories, based on the nature of their business: (1) Entities that are subject to high risk of identity theft and (2) entities that are subject to a low risk of identity theft, but have covered accounts that will require them to have a written Program. a. High-Risk Entities FTC staff estimates that high-risk entities 4 will each require 25 hours to create and implement a written Program, with an annual recurring burden of one hour. FTC staff anticipates that these entities will incorporate into their Program policies and procedures that they likely already have in place. Further, FTC staff estimates that preparation for an annual report will require each high-risk entity four hours initially, with an annual recurring burden of one hour. Finally, FTC staff believes that many of the highrisk entities, as part of their usual and customary business practice, already take steps to minimize losses due to fraud, including conducting employee training. Accordingly, only relevant staff need be trained to implement the Program: For example, staff already trained as part of a covered entity’s antifraud prevention efforts do not need to be re-trained as incrementally needed. FTC staff estimates that training connected with the implementation of a Program of a high-risk entity will require four hours, and annual training thereafter will require one hour. Thus, estimated hours for high-risk entities are as follows: • 101,328 high-risk entities subject to the FTC’s jurisdiction at an average annual burden of 13 hours per entity [average annual burden over 3-year clearance period for creation and implementation of a Program ((25+1+1)/ 3), plus average annual burden over 3year clearance period for staff training ((4+1+1)/3), plus average annual burden over 3-year clearance period for preparing an annual report ((4+1+1)/3)], for a total of 1,317,264 hours. mstockstill on DSK4VPTVN1PROD with NOTICES b. Low-Risk Entities Entities that have a minimal risk of identity theft,5 but that have covered Obtain credit reports, report credit transactions, or advance loans; and (2) entities not likely to have covered accounts under the Rule. 4 High-risk entities include, for example, financial institutions within the FTC’s jurisdiction and utilities, motor vehicle dealerships, telecommunications firms, colleges and universities, and hospitals. 5 Low-risk entities include, for example, public warehouse and storage firms, nursing and residential care facilities, automotive equipment VerDate Sep<11>2014 16:30 Jul 17, 2015 Jkt 235001 accounts, must develop a Program; however, they likely will only need a streamlined Program. FTC staff estimates that such entities will require one hour to create such a Program, with an annual recurring burden of five minutes. Training staff of low-risk entities to be attentive to future risks of identity theft should require no more than 10 minutes in an initial year, with an annual recurring burden of five minutes. FTC staff further estimates that these entities will require, initially, 10 minutes to prepare an annual report, with an annual recurring burden of five minutes. Thus, the estimated hours burden for low-risk entities is as follows: • 60,974 low risk entities that have covered account subject to the FTC’s jurisdiction at an average annual burden of approximately 37 minutes per entity [average annual burden over 3-year clearance period for creation and implementation of streamlined Program ((60+5+5)/3), plus average annual burden over 3-year clearance period for staff training ((10+5+5)/3), plus average annual burden over 3-year clearance period for preparing annual report ((10+5+5)/3], for a total of 37,600 hours. 2. Estimated Hours Burden—Card Issuers Rule As noted above, section 114 also requires financial institutions and covered creditors that issue credit or debit cards to establish policies and procedures to assess the validity of a change of address request, including notifying the cardholder or using another means of assessing the validity of the change of address. • FTC staff estimates that the Rule affects as many as 16,301 6 card issues within the FTC’s jurisdiction. FTC staff believes that most of these card issuers already have automated the process of notifying the cardholder or are using another means to assess the validity of the change of address, such that implementation will pose no further burden. Nevertheless, taking a conservative approach, FTC staff estimates that it will take each card issuer 4 hours to develop and implement policy and procedures to assess the validity of a change of address request for a total burden of 65,204 hours. rental and leasing firms, office supplies and stationery stores, fuel dealers, and financial transactions processing firms. 6 Card issuers within the FTC’s jurisdiction include, for example, state credit unions, general retail merchandise stores, colleges and universities, and telecoms. PO 00000 Frm 00022 Fmt 4703 Sfmt 4703 Thus, the total average annual estimated burden for Section 114 is 1,420,068 hours. 3. Estimated Cost Burden—Red Flags and Card Issuers Rules The FTC staff estimates labor costs by applying appropriate estimated hourly cost figures to the burden hours described above. It is difficult to calculate with precision the labor costs associated with compliance with the Rule, as they entail varying compensation levels of management (e.g., administrative services, computer and information systems, training and development) and/or technical staff (e.g., computer support specialists, systems analysts, network and computer systems administrators) among companies of different sizes. FTC staff assumes that for all entities, professional technical personnel and/or management personnel will create and implement the Program, prepare the annual report, and train employees, at an hourly rate of $54.7 Based on the above estimates and assumptions, the total annual labor costs for all categories of covered entities under the Red Flags and Card Issuers Rules for Section 114 is $76,683,672 (1,420,068 hours x $54). B. FCRA Section 315—The Address Discrepancy Rule As discussed above, the Rule’s implementation of Section 315 provides guidance on reasonable policies and procedures that a user of consumer reports must employ when a user receives a notice of address discrepancy from a CRA. Given the broad scope of users of consumer reports, it is difficult to determine with precision the number of users of consumer reports that are subject to the FTC’s jurisdiction. As noted above, there are numerous small businesses under the FTC’s jurisdiction, and there is no formal way to track them; moreover, as a whole, the entities under the FTC’s jurisdiction are so varied that there are no general sources that provide a record of their existence. Nonetheless, FTC staff estimates that the Rule’s implementation of section 315 affects approximately 1,875,275 users of 7 This estimate is based on mean hourly wages found at http://www.bls.gov/news.release/ ocwage.t01.htm (‘‘Occupational Employment and Wages—May 2014,’’ U.S. Department of Labor, released March 2015, Table 1 (‘‘National employment and wage data from the Occupational Employment Statistics survey by occupation, May 2014’’) for the various managerial and technical staff support exemplified above (administrative service managers, computer & information systems managers, training & development managers, computer systems analysts, network & computer systems analysts, computer support specialists). E:\FR\FM\20JYN1.SGM 20JYN1 Federal Register / Vol. 80, No. 138 / Monday, July 20, 2015 / Notices consumer reports subject to the FTC’s jurisdiction.8 Commission staff estimates that approximately 10,000 of these users will receive notice of a discrepancy, in the course of their usual and customary business practices, and thereby have to furnish to CRAs an address confirmation.9 For section 315, as detailed below, FTC staff estimates that the average annual burden during the three-year period for which OMB clearance is sought will be 876,795 hours with an associated labor cost of $15,782,310. 1. Estimated Hours Burden Prior to enactment of the Address Discrepancy Rule, users of consumer reports could compare the address on a consumer report to the address provided by the consumer and discern for themselves any discrepancy. As a result, FTC staff believes that many users of consumer reports have developed methods of reconciling address discrepancies, and the following estimates represent the incremental amount of time users of consumer reports may require to develop and comply with the policies and procedures for when they receive a notice of address discrepancy. mstockstill on DSK4VPTVN1PROD with NOTICES a. Customer Verification Given the varied nature of the entities under the FTC’s jurisdiction, it is difficult to determine precisely the appropriate burden estimates. Nonetheless, FTC staff estimates that it would require an infrequent user of consumer reports no more than 16 minutes to develop and comply with the policies and procedures that it will employ when it receives a notice of address discrepancy, while a frequent user might require one hour. Similarly, FTC staff estimates that, during the remaining two years of clearance, it may take an infrequent user no more than one minute to comply with the policies and procedures it will employ when it receives a notice of address discrepancy, while a frequent user might require 45 minutes. Taking into account these extremes, FTC staff estimates that, during the first year, it will take users of consumer reports under the FTC’s jurisdiction an average of 38 minutes 8 This estimate is derived from an analysis of Census databases of U.S. businesses based on NAICS codes for businesses in industries that typically use consumer reports from CRAs described in the Rule, which total 1,875,275 users of consumer reports subject to the FTC’s jurisdiction. 9 Report to Congress Under Sections 318 and 319 of the Fair and Accurate Credit Transactions of 2003, Federal Trade Commission, 80 (Dec. 2004) available at http://www.ftc.gov/reports/facta/ 041209factarpt.pdf. VerDate Sep<11>2014 16:30 Jul 17, 2015 Jkt 235001 [the midrange between 16 minutes and 60 minutes] to develop and comply with the policies and procedures that they will employ when they receive a notice of address discrepancy. FTC staff also estimates that the average recurring burden for users of consumer reports to comply with the Rule will be 23 minutes [the midrange between one minute and 45 minutes]. Thus, for these 1,875,275 entities, the average annual burden for each of them to perform these collective tasks will be 28 minutes [(38 + 23 + 23) ÷ 3]; cumulatively, 875,128 hours. b. Address Verification For the estimated 10,000 users of consumer reports that will additionally have to furnish to CRAs an address confirmation upon notice of a discrepancy, staff estimates that these entities will require, initially, 30 minutes to develop related policies and procedures. But, these 10,000 affected entities likely will have automated the process of furnishing the correct address in the first year of a three-year PRA clearance cycle. Thus, allowing for 30 minutes in the first year, with no annual recurring burden in the second and third years of clearance, yields an average annual burden of 10 minutes per entity to furnish a correct address to a CRA, for a total of 1,667 hours. 2. Estimated Cost Burden FTC staff assumes that the policies and procedures for compliance with the address discrepancy part of the Rule will be set up by administrative support personnel at an hourly rate of $18.10 Based on the above estimates and assumptions, the total annual labor cost for the two categories of burden under section 315 is $15,782,310. C. Burden Totals for FCRA Sections 114 and 315 Cumulatively, then, estimated burden is 2,296,863 hours (1,420,068 hours for section 114 and 876,795 hours for section 315) and $92,465,982 ($76,683,672 and $15,782,310) in associated labor costs. IV. Request for Comment You can file a comment online or on paper. For the FTC to consider your comment, we must receive it on or before [60 days after publication]. Write: ‘‘Red Flags Rule, PRA Comment, Project 10 This estimate—rounded to the nearest dollar —is based on mean hourly wages for all management occupations found within the ‘‘Bureau of Labor Statistics, Economic News Release,’’ March 25, 2015, Table 1, ‘‘National employment and wage data from the Occupational Employment Statistics survey by occupation, May 2014.’’ http:// www.bls.gov/news.release/ocwage.t01.htm. PO 00000 Frm 00023 Fmt 4703 Sfmt 4703 42809 No. P095406’’ on your comment. Your comment—including your name and your state—will be placed on the public record of this proceeding, including, to the extent practicable, on the public Commission Web site, at http://ftc.gov/ os/publiccomments.shtm. As a matter of discretion, the Commission tries to remove individual’s home contact information from comments before placing them on the Commission Web site. Because your comment will be made public, you are solely responsible for making sure that your comment does not include any sensitive personal information, like anyone’s Social Security number, date of birth, driver’s license number, or other state identification number of foreign country equivalent, passport number, financial account number, or credit or debit card number. You are also solely responsible for making sure that your comment does not include any sensitive health information, like medical records or other individually identifiable health information. In addition, do not include any ‘‘[t]rade secret or any commercial or financial information . . . which is privileged or confidential]’’ as provided in Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 4.10(a)(2). In particular, don’t include competitively sensitive information such as costs, sales statistics, inventories, formulas, patterns devices, manufacturing processes, or customer names. If you want the Commission to give your comment confidential treatment, you must file it in paper form, with a request for confidential treatment, and you have to follow the procedure explained in FTC Rule 4.9(c), 16 CFR 4.9(c).11 Your comment will be kept confidential only if the FTC General Counsel, in his or her sole discretion, grants your request in accordance with the law and the public interest. Postal mail addressed to the Commission is subject to delay due to heightened security screening. As a result, we encourage you to submit your comments online. To make sure that the Commission considers your online comment, you must file it at https:// ftcpublic.commentworks.com/ftc/ RedFlagsPRA, by following the instructions on the web-based form. When this Notice appears at http:// www.regulations.gov/#!home, you also 11 In particular, the written request for confidential treatment that accompanies the comment must include the factual and legal basis for the request, and must identify the specific portions of the comment to be withheld from the public record. See FTC Rule 4.9(c), 16 CFR 4.9(c). E:\FR\FM\20JYN1.SGM 20JYN1 42810 Federal Register / Vol. 80, No. 138 / Monday, July 20, 2015 / Notices may file a comment through that Web site. If you file your comment on paper, write ‘‘Red Flags Rule PRA, Project No. P095406’’ on your comment and on the envelope, and mail or deliver it to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite CC–5610 (Annex J), Washington, DC 20024. If possible, submit your paper comment to the Commission by courier or overnight service. The FTC Act and other laws that 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 on or before September 18, 2015. For information on the Commission’s privacy policy, including routine uses by the Privacy Act, see http:// www.ftc.gov/ftc/privacy.htm. David C. Shonka, Principal Deputy General Counsel. [FR Doc. 2015–17764 Filed 7–17–15; 8:45 am] BILLING CODE 6750–01–P FEDERAL TRADE COMMISSION [File No. 141 0207] Dollar Tree, Inc. and Family Dollar Stores, Inc.; Analysis of Proposed Consent Orders To Aid Public Comment Federal Trade Commission. Proposed consent agreement. AGENCY: ACTION: The consent agreement in this matter settles alleged violations of federal law prohibiting unfair methods of competition. The attached Analysis to Aid Public Comment describes both the allegations in the draft complaint and the terms of the consent orders— embodied in the consent agreement— that would settle these allegations. DATES: Comments must be received on or before August 3, 2015. ADDRESSES: Interested parties may file a comment at https:// ftcpublic.commentworks.com/ftc/ dollartreeconsent online or on paper, by following the instructions in the Request for Comment part of the SUPPLEMENTARY INFORMATION section below. Write ‘‘Dollar Tree, Inc. and Family Dollar Stores, Inc.—Consent Agreement; File No. 141–0207’’ on your comment and file your comment online at https://ftcpublic.commentworks.com/ ftc/dollartreeconsent by following the instructions on the web-based form. If mstockstill on DSK4VPTVN1PROD with NOTICES SUMMARY: VerDate Sep<11>2014 16:30 Jul 17, 2015 Jkt 235001 you prefer to file your comment on paper, write ‘‘Dollar Tree, Inc. and Family Dollar Stores, Inc.—Consent Agreement; File No. 141–0207’’ on your comment and on the envelope, and mail your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC–5610 (Annex D), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex D), Washington, DC 20024. FOR FURTHER INFORMATION CONTACT: Sean Pugh, Bureau of Competition, (202–326–3201), 600 Pennsylvania Avenue NW., Washington, DC 20580. SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule 2.34, 16 CFR 2.34, notice is hereby given that the above-captioned consent agreement containing consent orders to cease and desist, having been filed with and accepted, subject to final approval, by the Commission, has been placed on the public record for a period of thirty (30) days. The following Analysis to Aid Public Comment describes the terms of the consent agreement, and the allegations in the complaint. An electronic copy of the full text of the consent agreement package can be obtained from the FTC Home Page (for July 2, 2015), on the World Wide Web, at http://www.ftc.gov/ os/actions.shtm. You can file a comment online or on paper. For the Commission to consider your comment, we must receive it on or before August 3, 2015. Write ‘‘Dollar Tree, Inc. and Family Dollar Stores, Inc.—Consent Agreement; File No. 141– 0207’’ on your comment. Your comment—including your name and your state—will be placed on the public record of this proceeding, including, to the extent practicable, on the public Commission Web site, at http:// www.ftc.gov/os/publiccomments.shtm. As a matter of discretion, the Commission tries to remove individuals’ home contact information from comments before placing them on the Commission Web site. Because your comment will be made public, you are solely responsible for making sure that your comment does not include any sensitive personal information, like anyone’s Social Security number, date of birth, driver’s license number or other state identification number or foreign country equivalent, passport number, financial account number, or credit or debit card number. You are also solely responsible PO 00000 Frm 00024 Fmt 4703 Sfmt 4703 for making sure that your comment does not include any sensitive health information, like medical records or other individually identifiable health information. In addition, do not include any ‘‘[t]rade secret or any commercial or financial information which . . . is privileged or confidential,’’ as discussed in Section 6(f) of the FTC Act, 15 U.S.C. § 46(f), and FTC Rule 4.10(a)(2), 16 CFR § 4.10(a)(2). In particular, do not include competitively sensitive information such as costs, sales statistics, inventories, formulas, patterns, devices, manufacturing processes, or customer names. If you want the Commission to give your comment confidential treatment, you must file it in paper form, with a request for confidential treatment, and you have to follow the procedure explained in FTC Rule 4.9(c), 16 CFR § 4.9(c).1 Your comment will be kept confidential only if the FTC General Counsel, in his or her sole discretion, grants your request in accordance with the law and the public interest. Postal mail addressed to the Commission is subject to delay due to heightened security screening. As a result, we encourage you to submit your comments online. To make sure that the Commission considers your online comment, you must file it at https:// ftcpublic.commentworks.com/ftc/ dollartreeconsent by following the instructions on the web-based form. If this Notice appears at http:// www.regulations.gov/#!home, you also may file a comment through that Web site. If you file your comment on paper, write ‘‘Dollar Tree, Inc. and Family Dollar Stores, Inc.—Consent Agreement; File No. 141–0207’’ on your comment and on the envelope, and mail your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC–5610 (Annex D), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex D), Washington, DC 20024. If possible, submit your paper comment to the Commission by courier or overnight service. Visit the Commission Web site at http://www.ftc.gov to read this Notice and the news release describing it. The FTC Act and other laws that the 1 In particular, the written request for confidential treatment that accompanies the comment must include the factual and legal basis for the request, and must identify the specific portions of the comment to be withheld from the public record. See FTC Rule 4.9(c), 16 CFR § 4.9(c). E:\FR\FM\20JYN1.SGM 20JYN1

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[Federal Register Volume 80, Number 138 (Monday, July 20, 2015)]
[Notices]
[Pages 42806-42810]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-17764]


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FEDERAL TRADE COMMISSION


Agency Information Collection Activities; Proposed Collection; 
Comment Request

AGENCY: Federal Trade Commission (``FTC'' or ``Commission'').

ACTION: Notice.

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SUMMARY: The FTC intends to ask the Office of Management and Budget 
(``OMB'') to extend through November 30, 2018, the current Paperwork 
Reduction Act (``PRA'') clearance for the information collection 
requirements in the FTC Red Flags, Card Issuers, and Address 
Discrepancies Rules \1\ (``Rules''). That clearance expires on November 
30, 2015.
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    \1\ 16 CFR 681.1; 16 CFR 681.2; 16 CFR part 641.

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DATES: Comments must be submitted by September 18, 2015.

ADDRESSES: Interested parties may file a comment online or on paper by 
following the instructions in the Request for Comment part of the 
SUPPLEMENTARY INFORMATION section below. Write ``Red Flags Rule, PRA 
Comment, Project No. P095406'' on your comment, and file your comment 
online at https://ftcpublic.commentworks.com/ftc/RedFlagsPRA by 
following the instructions on the web-based form. If you prefer to file 
your comment on paper, mail or deliver your comment to the following 
address: Federal Trade Commission, Office of the Secretary, 600 
Pennsylvania Avenue NW., Suite CC-5610 (Annex J), Washington, DC 20580, 
or deliver your comment to the following address: Federal Trade 
Commission, Office of the Secretary, Constitution Center, 400 7th 
Street SW., 5th Floor, Suite 5610 (Annex J), Washington, DC 20024.

FOR FURTHER INFORMATION CONTACT: Requests for additional information 
should be addressed to Steven Toporoff, Attorney, Bureau of Consumer 
Protection, (202) 326-2252, Federal Trade Commission, 600 Pennsylvania 
Avenue, Washington, DC 20580.

SUPPLEMENTARY INFORMATION: 

I. Overview of the Rules

    The Red Flags Rule requires financial institutions and certain 
creditors to develop and implement written Identity

[[Page 42807]]

Theft Prevention Programs (``Program''). The Card Issuers Rule requires 
credit and debit card issuers (``card issuers'') to assess the validity 
of notifications of address changes under certain circumstances. The 
Address Discrepancy Rule provides guidance on what users of consumer 
reports must do when they receive a notice of address discrepancy from 
a nationwide consumer reporting agency (``CRA''). Collectively, these 
three anti-identity theft provisions are intended to prevent impostures 
from misusing another person's personal information for a fraudulent 
purpose.
    The Rules implement sections 114 and 315 of the Fair Credit 
Reporting Act (``FCRA''), 15 U.S.C. 1681 et seq., to require businesses 
to undertake measures to prevent identity theft and increase the 
accuracy of consumer reports.
    Since promulgation of the original Rule, President Obama signed the 
Red Flag Program Clarification Act of 2010 (``Clarification Act''), 
which narrowed the definition of ``creditor'' for purposes of the Red 
Flags Rule. Specifically, the Clarification Act limits application of 
the Red Flags Rule to creditors that regularly and in the ordinary 
course of business: (1) Obtain or use consumer reports, directly or 
indirectly, in connection with a credit transaction; (2) furnish 
information to consumer reporting agencies in connection with a credit 
transaction; or (3) advance funds to or on behalf of a person, based on 
a person's obligation to repay the funds to or on behalf of a person, 
based on a person's obligation to repay the funds or on repayment from 
specific property pledged by or on the person's behalf. This third 
prong does not include a creditor that advances funds on behalf of a 
person for expenses incidental to a service provided by the creditor to 
that person.

II. Description of Collection of Information

A. FCRA Section 114

    The Red Flags Rule requires financial institutions and covered 
creditors to develop and implement a written Program to detect, 
prevent, and mitigate identity theft in connection with existing 
accounts or the opening of new accounts. Under the Rule, financial 
institutions and certain creditors must conduct a periodic risk 
assessment to determine if they maintain ``covered accounts.'' The Rule 
defines the term ``covered account'' as either: (1) A consumer account 
that is designed to permit multiple payments or transactions, or (2) 
any other account for which there is a reasonably foreseeable risk of 
identity theft. Each financial institution and covered creditor that 
has covered accounts must create a written Program that contains 
reasonable policies and procedures to identify relevant indicators of 
the possible existence of identity theft (``red flags''); detect red 
flags that have been incorporated into the Program; respond 
appropriately to any red flags that are detected to prevent and 
mitigate identity theft; and update the Program periodically to ensure 
it reflects change in risks to customers.
    The Red Flags Rule also requires financial institutions and covered 
creditors to: (1) Obtain approval of the initial written Program by the 
board of directors; a committee thereof or, if there is no board, an 
appropriate senior employee; (2) ensure oversight of the development, 
implementation, and administration of the Program; and (4) exercise 
appropriate and effective oversight of service provider arrangements.
    In addition, the Rules implement the section 114 requirement that 
card issuers generally must assess the validity of change of address 
notifications. Specifically, if the card issuer receives a notice of 
change of address for an existing account and, within a short period of 
time (during at least the first 30 days), receives a request for an 
additional or replacement card for the same account, the issuer must 
follow reasonable policies and procedures to assess the validity of the 
change of address.

B. FCRA Section 315

    In implementing section 315 of the FCRA, the Rules require each 
user of consumer reports to have reasonable policies and procedures in 
place to employ when the user receives a notice of address discrepancy 
from a CRA. Specifically, each user of consumer reports must develop 
reasonable policies and procedures to: (1) Enable the user to form a 
reasonable belief that a consumer report relates to the consumer about 
whom it has requested the report, when the user receives a notice of 
address discrepancy; and (2) furnish an address for the consumer that 
the user has reasonably confirmed is accurate to the CRA from which it 
receives a notice of address discrepancy, if certain conditions are 
met.

III. Burden Estimates

    Under the PRA, 44 U.S.C. 3501-3521, Federal agencies must get OMB 
approval for each collection of information they conduct or sponsor. 
``Collection of information'' includes agency requests or requirements 
to submit reports, keep records, or provide information to a third 
party. 44 U.S.C. 3502(3); 5 CFR 1320.3(c). The figures below reflect 
FTC staff's estimates of the hours burden and labor costs to complete 
the tasks described above that fall within reporting, disclosure, or 
recordkeeping requirements. FTC staff believes that the Rules impose 
negligible capital or other non-labor costs, as the affected entities 
are likely to have the necessary supplies and/or equipment already 
(e.g., offices and computers) for the information collection described 
herein.
    Overall estimated burden hours regarding sections 114 and 315, 
combined, total 2,296,863 hours and the associated estimated labor 
costs are $92,465,982. Staff assumes that affected entities will 
already have in place, independent of the Rule, equipment and supplies 
necessary to carry out the tasks necessary to comply with it.

A. FCRA Section 114

1. Estimated Hours Burden--Red Flags Rule
    As noted above, the Rule requires financial institutions and 
certain creditors with covered accounts to develop and implement a 
written Program. Under the FCRA, financial institutions over which the 
FTC has jurisdiction include state chartered credit unions and certain 
insurance companies.
    Although narrowed by the Clarification Act, the definition of 
``creditor'' still covers a broad array of entities. Moreover, the 
Clarification Act does not set forth any exemptions from Rule coverage. 
Rather, application of the Rule depends upon an entity's course of 
conduct, not its status as a particular type of business. For these 
reasons, it is difficult to determine precisely the number of creditors 
subject to the FTC's jurisdiction. There are numerous small businesses 
under the FTC's jurisdiction that may qualify as ``creditors,'' and 
there is no formal way to track them. Nonetheless, FTC staff estimates 
that the Rule's requirement to have a written Program affects 6,298 
financial institutions \2\ and 162,295 creditors.\3\
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    \2\ The total number of financial institutions is derived from 
an analysis of state credit unions and insurers within the FTC's 
jurisdiction using 2012 Census data (``County Business Patterns,'' 
U.S.) and other online industry data.
    \3\ The total number of creditors (162,295) is derived from an 
analysis of 2012 Census data and industry data for businesses or 
organizations that market goods and services to consumers or other 
businesses or organizations subject to the FTC's jurisdiction, 
reduced by entities not likely to: (1) Obtain credit reports, report 
credit transactions, or advance loans; and (2) entities not likely 
to have covered accounts under the Rule.

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[[Page 42808]]

    To estimate burden hours for the Red Flags Rule under section 114, 
FTC staff divided affected entities into two categories, based on the 
nature of their business: (1) Entities that are subject to high risk of 
identity theft and (2) entities that are subject to a low risk of 
identity theft, but have covered accounts that will require them to 
have a written Program.
a. High-Risk Entities
    FTC staff estimates that high-risk entities \4\ will each require 
25 hours to create and implement a written Program, with an annual 
recurring burden of one hour. FTC staff anticipates that these entities 
will incorporate into their Program policies and procedures that they 
likely already have in place. Further, FTC staff estimates that 
preparation for an annual report will require each high-risk entity 
four hours initially, with an annual recurring burden of one hour. 
Finally, FTC staff believes that many of the high-risk entities, as 
part of their usual and customary business practice, already take steps 
to minimize losses due to fraud, including conducting employee 
training. Accordingly, only relevant staff need be trained to implement 
the Program: For example, staff already trained as part of a covered 
entity's anti-fraud prevention efforts do not need to be re-trained as 
incrementally needed. FTC staff estimates that training connected with 
the implementation of a Program of a high-risk entity will require four 
hours, and annual training thereafter will require one hour.
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    \4\ High-risk entities include, for example, financial 
institutions within the FTC's jurisdiction and utilities, motor 
vehicle dealerships, telecommunications firms, colleges and 
universities, and hospitals.
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    Thus, estimated hours for high-risk entities are as follows:
     101,328 high-risk entities subject to the FTC's 
jurisdiction at an average annual burden of 13 hours per entity 
[average annual burden over 3-year clearance period for creation and 
implementation of a Program ((25+1+1)/3), plus average annual burden 
over 3-year clearance period for staff training ((4+1+1)/3), plus 
average annual burden over 3-year clearance period for preparing an 
annual report ((4+1+1)/3)], for a total of 1,317,264 hours.
b. Low-Risk Entities
    Entities that have a minimal risk of identity theft,\5\ but that 
have covered accounts, must develop a Program; however, they likely 
will only need a streamlined Program. FTC staff estimates that such 
entities will require one hour to create such a Program, with an annual 
recurring burden of five minutes. Training staff of low-risk entities 
to be attentive to future risks of identity theft should require no 
more than 10 minutes in an initial year, with an annual recurring 
burden of five minutes. FTC staff further estimates that these entities 
will require, initially, 10 minutes to prepare an annual report, with 
an annual recurring burden of five minutes.
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    \5\ Low-risk entities include, for example, public warehouse and 
storage firms, nursing and residential care facilities, automotive 
equipment rental and leasing firms, office supplies and stationery 
stores, fuel dealers, and financial transactions processing firms.
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    Thus, the estimated hours burden for low-risk entities is as 
follows:
     60,974 low risk entities that have covered account subject 
to the FTC's jurisdiction at an average annual burden of approximately 
37 minutes per entity [average annual burden over 3-year clearance 
period for creation and implementation of streamlined Program 
((60+5+5)/3), plus average annual burden over 3-year clearance period 
for staff training ((10+5+5)/3), plus average annual burden over 3-year 
clearance period for preparing annual report ((10+5+5)/3], for a total 
of 37,600 hours.
2. Estimated Hours Burden--Card Issuers Rule
    As noted above, section 114 also requires financial institutions 
and covered creditors that issue credit or debit cards to establish 
policies and procedures to assess the validity of a change of address 
request, including notifying the cardholder or using another means of 
assessing the validity of the change of address.
     FTC staff estimates that the Rule affects as many as 
16,301 \6\ card issues within the FTC's jurisdiction. FTC staff 
believes that most of these card issuers already have automated the 
process of notifying the cardholder or are using another means to 
assess the validity of the change of address, such that implementation 
will pose no further burden. Nevertheless, taking a conservative 
approach, FTC staff estimates that it will take each card issuer 4 
hours to develop and implement policy and procedures to assess the 
validity of a change of address request for a total burden of 65,204 
hours.
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    \6\ Card issuers within the FTC's jurisdiction include, for 
example, state credit unions, general retail merchandise stores, 
colleges and universities, and telecoms.
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    Thus, the total average annual estimated burden for Section 114 is 
1,420,068 hours.
 3. Estimated Cost Burden--Red Flags and Card Issuers Rules
    The FTC staff estimates labor costs by applying appropriate 
estimated hourly cost figures to the burden hours described above. It 
is difficult to calculate with precision the labor costs associated 
with compliance with the Rule, as they entail varying compensation 
levels of management (e.g., administrative services, computer and 
information systems, training and development) and/or technical staff 
(e.g., computer support specialists, systems analysts, network and 
computer systems administrators) among companies of different sizes. 
FTC staff assumes that for all entities, professional technical 
personnel and/or management personnel will create and implement the 
Program, prepare the annual report, and train employees, at an hourly 
rate of $54.\7\
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    \7\ This estimate is based on mean hourly wages found at http://www.bls.gov/news.release/ocwage.t01.htm (``Occupational Employment 
and Wages--May 2014,'' U.S. Department of Labor, released March 
2015, Table 1 (``National employment and wage data from the 
Occupational Employment Statistics survey by occupation, May 2014'') 
for the various managerial and technical staff support exemplified 
above (administrative service managers, computer & information 
systems managers, training & development managers, computer systems 
analysts, network & computer systems analysts, computer support 
specialists).
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    Based on the above estimates and assumptions, the total annual 
labor costs for all categories of covered entities under the Red Flags 
and Card Issuers Rules for Section 114 is $76,683,672 (1,420,068 hours 
x $54).

B. FCRA Section 315--The Address Discrepancy Rule

    As discussed above, the Rule's implementation of Section 315 
provides guidance on reasonable policies and procedures that a user of 
consumer reports must employ when a user receives a notice of address 
discrepancy from a CRA. Given the broad scope of users of consumer 
reports, it is difficult to determine with precision the number of 
users of consumer reports that are subject to the FTC's jurisdiction. 
As noted above, there are numerous small businesses under the FTC's 
jurisdiction, and there is no formal way to track them; moreover, as a 
whole, the entities under the FTC's jurisdiction are so varied that 
there are no general sources that provide a record of their existence. 
Nonetheless, FTC staff estimates that the Rule's implementation of 
section 315 affects approximately 1,875,275 users of

[[Page 42809]]

consumer reports subject to the FTC's jurisdiction.\8\ Commission staff 
estimates that approximately 10,000 of these users will receive notice 
of a discrepancy, in the course of their usual and customary business 
practices, and thereby have to furnish to CRAs an address 
confirmation.\9\
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    \8\ This estimate is derived from an analysis of Census 
databases of U.S. businesses based on NAICS codes for businesses in 
industries that typically use consumer reports from CRAs described 
in the Rule, which total 1,875,275 users of consumer reports subject 
to the FTC's jurisdiction.
    \9\ Report to Congress Under Sections 318 and 319 of the Fair 
and Accurate Credit Transactions of 2003, Federal Trade Commission, 
80 (Dec. 2004) available at http://www.ftc.gov/reports/facta/041209factarpt.pdf.
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    For section 315, as detailed below, FTC staff estimates that the 
average annual burden during the three-year period for which OMB 
clearance is sought will be 876,795 hours with an associated labor cost 
of $15,782,310.
1. Estimated Hours Burden
    Prior to enactment of the Address Discrepancy Rule, users of 
consumer reports could compare the address on a consumer report to the 
address provided by the consumer and discern for themselves any 
discrepancy. As a result, FTC staff believes that many users of 
consumer reports have developed methods of reconciling address 
discrepancies, and the following estimates represent the incremental 
amount of time users of consumer reports may require to develop and 
comply with the policies and procedures for when they receive a notice 
of address discrepancy.
a. Customer Verification
    Given the varied nature of the entities under the FTC's 
jurisdiction, it is difficult to determine precisely the appropriate 
burden estimates. Nonetheless, FTC staff estimates that it would 
require an infrequent user of consumer reports no more than 16 minutes 
to develop and comply with the policies and procedures that it will 
employ when it receives a notice of address discrepancy, while a 
frequent user might require one hour. Similarly, FTC staff estimates 
that, during the remaining two years of clearance, it may take an 
infrequent user no more than one minute to comply with the policies and 
procedures it will employ when it receives a notice of address 
discrepancy, while a frequent user might require 45 minutes. Taking 
into account these extremes, FTC staff estimates that, during the first 
year, it will take users of consumer reports under the FTC's 
jurisdiction an average of 38 minutes [the midrange between 16 minutes 
and 60 minutes] to develop and comply with the policies and procedures 
that they will employ when they receive a notice of address 
discrepancy. FTC staff also estimates that the average recurring burden 
for users of consumer reports to comply with the Rule will be 23 
minutes [the midrange between one minute and 45 minutes].
    Thus, for these 1,875,275 entities, the average annual burden for 
each of them to perform these collective tasks will be 28 minutes [(38 
+ 23 + 23) / 3]; cumulatively, 875,128 hours.
b. Address Verification
    For the estimated 10,000 users of consumer reports that will 
additionally have to furnish to CRAs an address confirmation upon 
notice of a discrepancy, staff estimates that these entities will 
require, initially, 30 minutes to develop related policies and 
procedures. But, these 10,000 affected entities likely will have 
automated the process of furnishing the correct address in the first 
year of a three-year PRA clearance cycle. Thus, allowing for 30 minutes 
in the first year, with no annual recurring burden in the second and 
third years of clearance, yields an average annual burden of 10 minutes 
per entity to furnish a correct address to a CRA, for a total of 1,667 
hours.
 2. Estimated Cost Burden
    FTC staff assumes that the policies and procedures for compliance 
with the address discrepancy part of the Rule will be set up by 
administrative support personnel at an hourly rate of $18.\10\ Based on 
the above estimates and assumptions, the total annual labor cost for 
the two categories of burden under section 315 is $15,782,310.
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    \10\ This estimate--rounded to the nearest dollar --is based on 
mean hourly wages for all management occupations found within the 
``Bureau of Labor Statistics, Economic News Release,'' March 25, 
2015, Table 1, ``National employment and wage data from the 
Occupational Employment Statistics survey by occupation, May 2014.'' 
http://www.bls.gov/news.release/ocwage.t01.htm.
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C. Burden Totals for FCRA Sections 114 and 315

    Cumulatively, then, estimated burden is 2,296,863 hours (1,420,068 
hours for section 114 and 876,795 hours for section 315) and 
$92,465,982 ($76,683,672 and $15,782,310) in associated labor costs.

IV. Request for Comment

    You can file a comment online or on paper. For the FTC to consider 
your comment, we must receive it on or before [60 days after 
publication]. Write: ``Red Flags Rule, PRA Comment, Project No. 
P095406'' on your comment. Your comment--including your name and your 
state--will be placed on the public record of this proceeding, 
including, to the extent practicable, on the public Commission Web 
site, at http://ftc.gov/os/publiccomments.shtm. As a matter of 
discretion, the Commission tries to remove individual's home contact 
information from comments before placing them on the Commission Web 
site.
    Because your comment will be made public, you are solely 
responsible for making sure that your comment does not include any 
sensitive personal information, like anyone's Social Security number, 
date of birth, driver's license number, or other state identification 
number of foreign country equivalent, passport number, financial 
account number, or credit or debit card number. You are also solely 
responsible for making sure that your comment does not include any 
sensitive health information, like medical records or other 
individually identifiable health information. In addition, do not 
include any ``[t]rade secret or any commercial or financial information 
. . . which is privileged or confidential]'' as provided in Section 
6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 
4.10(a)(2). In particular, don't include competitively sensitive 
information such as costs, sales statistics, inventories, formulas, 
patterns devices, manufacturing processes, or customer names.
    If you want the Commission to give your comment confidential 
treatment, you must file it in paper form, with a request for 
confidential treatment, and you have to follow the procedure explained 
in FTC Rule 4.9(c), 16 CFR 4.9(c).\11\ Your comment will be kept 
confidential only if the FTC General Counsel, in his or her sole 
discretion, grants your request in accordance with the law and the 
public interest.
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    \11\ In particular, the written request for confidential 
treatment that accompanies the comment must include the factual and 
legal basis for the request, and must identify the specific portions 
of the comment to be withheld from the public record. See FTC Rule 
4.9(c), 16 CFR 4.9(c).
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    Postal mail addressed to the Commission is subject to delay due to 
heightened security screening. As a result, we encourage you to submit 
your comments online. To make sure that the Commission considers your 
online comment, you must file it at https://ftcpublic.commentworks.com/ftc/RedFlagsPRA, by following the instructions on the web-based form. 
When this Notice appears at http://www.regulations.gov/#!home, you also

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may file a comment through that Web site.
    If you file your comment on paper, write ``Red Flags Rule PRA, 
Project No. P095406'' on your comment and on the envelope, and mail or 
deliver it to the following address: Federal Trade Commission, Office 
of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, 
Suite CC-5610 (Annex J), Washington, DC 20024. If possible, submit your 
paper comment to the Commission by courier or overnight service.
    The FTC Act and other laws that 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 on or before September 18, 
2015. For information on the Commission's privacy policy, including 
routine uses by the Privacy Act, see http://www.ftc.gov/ftc/privacy.htm.

David C. Shonka,
Principal Deputy General Counsel.
[FR Doc. 2015-17764 Filed 7-17-15; 8:45 am]
 BILLING CODE 6750-01-P