Agency Information Collection Activities; Proposed Collection; Comment Request, 45288-45290 [2017-20846]
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45288
Federal Register / Vol. 82, No. 187 / Thursday, September 28, 2017 / Notices
pursuant to the Home Owners’ Loan Act
(12 U.S.C. 1461 et seq.) (HOLA),
Regulation LL (12 CFR part 238), and
Regulation MM (12 CFR part 239), and
all other applicable statutes and
regulations to become a savings and
loan holding company and/or to acquire
the assets or the ownership of, control
of, or the power to vote shares of a
savings association and nonbanking
companies owned by the savings and
loan holding company, including the
companies listed below.
The applications listed below, as well
as other related filings required by the
Board, are available for immediate
inspection at the Federal Reserve Bank
indicated. The application also will be
available for inspection at the offices of
the Board of Governors. Interested
persons may express their views in
writing on the standards enumerated in
the HOLA (12 U.S.C. 1467a(e)). If the
proposal also involves the acquisition of
a nonbanking company, the review also
includes whether the acquisition of the
nonbanking company complies with the
standards in section 10(c)(4)(B) of the
HOLA (12 U.S.C. 1467a(c)(4)(B)). Unless
otherwise noted, nonbanking activities
will be conducted throughout the
United States.
Unless otherwise noted, comments
regarding each of these applications
must be received at the Reserve Bank
indicated or the offices of the Board of
Governors not later than October 23,
2017.
A. Federal Reserve Bank of Cleveland
(Nadine Wallman, Vice President) 1455
East Sixth Street, Cleveland, Ohio
44101–2566. Comments can also be sent
electronically to
Comments.applications@clev.frb.org:
1. First Mutual Holding Co.,
Lakewood, Ohio; to acquire Doolin
Security Savings Bank, FSB, New
Martinsville, West Virginia.
Board of Governors of the Federal Reserve
System, September 25, 2017.
Yao-Chin Chao,
Assistant Secretary of the Board.
[FR Doc. 2017–20811 Filed 9–27–17; 8:45 am]
BILLING CODE 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 for an additional
SUMMARY:
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three years the current Paperwork
Reduction Act (‘‘PRA’’) clearance for
information collection requirements
contained in the Commission’s Business
Opportunity Rule (‘‘Rule’’). That
clearance expires on January 31, 2018.
DATES: Comments must be submitted by
November 27, 2017.
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 ‘‘Business Opportunity
Rule Paperwork Comment, FTC File No.
P114408’’ on your comment, and file
your comment online at https://
ftcpublic.commentworks.com/ftc/
BusinessOpportunityRulePRA by
following the instructions on the webbased form. If you prefer to file your
comment on paper, mail 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, Washington, DC
20024.
FOR FURTHER INFORMATION CONTACT:
Requests for additional information
should be addressed to Christine M.
Todaro, Attorney, Division of Marketing
Practices, Bureau of Consumer
Protection, Federal Trade Commission,
600 Pennsylvania Avenue NW., CC–
8528, Washington, DC 20580, (202) 326–
3711.
SUPPLEMENTARY INFORMATION: Under the
PRA, 44 U.S.C. 3501–3521, 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 clearance for
the information collection requirements
contained in the Business Opportunity
Rule, 16 CFR part 437 (OMB Control
Number 3084–0142).
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
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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.
The Business Opportunity Rule
requires business opportunity sellers to
furnish to prospective purchasers a
disclosure document that provides
information relating to the seller, the
seller’s business, the nature of the
proposed business opportunity, as well
as additional information regarding any
claims about actual or potential sales,
income, or profits for a prospective
business opportunity purchaser. The
seller must also preserve information
that forms a reasonable basis for such
claims. These disclosure and
recordkeeping requirements are subject
to the PRA.
The Rule is designed to ensure that
prospective purchasers of a business
opportunity receive information that
will help them evaluate the opportunity
that is presented to them. Sellers must
disclose five key items of information in
a simple, one-page document:
• The seller’s identifying information;
• whether the seller makes a claim
about the purchaser’s likely earnings
(and, if the seller checks the ‘‘yes’’ box,
the seller must provide information
supporting any such claims);
• whether the seller, its affiliates or
key personnel have been involved in
certain legal actions (and, if yes, the
seller must provide a separate list of
those actions);
• whether the seller has a
cancellation or refund policy (and, if
yes, the seller must provide a separate
document stating the material terms of
such policies); and
• a list of persons who bought the
business opportunity within the
previous three years.
Misrepresentations and omissions are
prohibited under the Rule, and for sales
conducted in languages other than
English, all disclosures must be
provided in the language in which the
sale is conducted.
PRA Burden Analysis
Subject to public comment to shed
further light, the FTC retains its
respondent population estimates from
its prior OMB clearance for the
information collection requirements
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Federal Register / Vol. 82, No. 187 / Thursday, September 28, 2017 / Notices
under the Rule.1 Thus, FTC staff
estimates there are approximately 3,050
business opportunity sellers covered by
the Rule, including vending machine,
rack display, work-at-home, and other
opportunity sellers. Staff also estimates
that approximately 10% of the 3,050
business opportunity sellers covered by
the Rule reflects an equal amount of
new and departing business entrants
(thus, for simplicity, staff assumes that,
for a given year, there are 2,745 existing
business opportunity sellers plus 305
new entrants to the field). Additionally,
staff estimates that approximately 165 of
business opportunity sellers market
business opportunities in Spanish (in
addition to English) and approximately
95 sellers market in languages other
than English or Spanish 2 (in addition to
English).
A. Estimated Hours Burden
The burden estimates for compliance
will vary depending on the particular
business opportunity seller’s prior
experience with the Rule. Commission
staff estimates that the projected 2,745
existing business opportunity sellers
will require no more than
approximately two hours to update the
disclosure document [5,490 total hours].
Staff further projects that the estimated
305 new business opportunity sellers
will require no more than
approximately five hours to develop the
disclosure document [1,525 total hours].
Both existing and new business
opportunity sellers will require
approximately one hour to file and store
records [3,050 total hours], for a
cumulative total of 10,065 hours [5,490
hours + 1,525 hours + 3,050 hours] per
year to meet the Rule’s disclosure and
recordkeeping requirements.
B. Estimated Labor Cost
Labor costs are determined by
applying applicable wage rates to
associated burden hours. Commission
staff assumes that an attorney likely
would prepare or update the disclosure
1 79
FR 73074 (Dec. 9, 2014).
estimate how many of the 3,050 sellers
market business opportunities in languages other
than English, FTC staff relies upon 2015 United
States Census Bureau (‘‘Census’’) data. https://
factfinder2.census.gov/faces/tableservices/jsf/
pages/productview.xhtml?pid=ACS_12_1YR_
S1601&prodType=table. Calculations based upon
this data reveal that approximately 5.4% of the
United States population speaks Spanish at home
and speaks English less than ‘‘very well.’’
Calculations based upon that same survey reveal
that approximately 3.1% of the United States
population speaks a language other than Spanish or
English at home and speak English less than ‘‘very
well.’’ Staff thus projected that 5.4% of all entities
selling business opportunities market in Spanish
and 3.1% of all entities selling business
opportunities market in languages other than
English or Spanish.
2 To
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document at an estimated hourly rate of
$250. Accordingly, staff estimates that
cumulative labor costs are $2,516,250
[10,065 hours × $250 per hour].
C. Estimated Non-Labor Costs
1. Printing and Mailing of the Disclosure
Document
Business opportunity sellers must
also incur costs to print and distribute
the single-page disclosure document,
plus any attachments. These costs vary
based upon the length of the
attachments and the number of copies
produced to meet the expected demand.
Commission staff estimates that 3,050
business opportunity sellers will print
and mail approximately 1,000
disclosure documents per year at a cost
of $1.00 per document, for a total cost
of $3,050,000. Conceivably, many
business opportunity sellers will elect to
furnish disclosures electronically; thus,
the total cost could be much less.
2. Translating the Required Disclosures
Into a Language Other Than English
The Rule requires that sellers update
their disclosures. The costs associated
with translating the disclosures will
vary depending upon a business
opportunity seller’s prior experience
with the Rule and the language the
seller uses to market the opportunity.
For example, existing and new business
opportunity sellers marketing in
Spanish will not incur costs to translate
the disclosure document as Appendices
A and B to the Rule provide,
respectively, illustrations of the
requisite disclosure documents in
English and Spanish. Existing sellers,
regardless of the non-English language
used to present disclosures, may incur
translation costs to update the
document. New entrants that market
business opportunities in languages
other than English or Spanish (in
addition to an assumed use of
disclosure documents in English) will
incur translation costs to translate
Appendix A from English and to enter
equivalent responses in these other
languages.
As stated above, using assumptions
informed by Census data (see footnote
2), FTC staff estimates that 165 sellers
market business opportunities in
Spanish and an additional 95 sellers
market in languages other than English
or Spanish. This includes an estimated
10 new entrants in the latter subcategory (based on the assumption that
10% yearly of a given group consists of
new entrants with an equal offset for
departing business entities). Those new
entrants will incur initial translation
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45289
costs to draft a disclosure document
consistent with Appendix A to the Rule.
There are 485 words in Appendix A
to the Rule. Therefore, the total cost
burden to translate the disclosure
document for the 10 new business
opportunity sellers marketing in a
language other than English or Spanish
will be approximately $849 [10 sellers ×
(17.5 cents 3 per word × 485 words)].
For purposes of this PRA analysis,
staff assumes that both new and existing
business opportunity sellers marketing
business opportunities in languages
other than English [260 sellers]: (1) Are
marketing in both English and another
language; (2) are not incorporating any
existing materials into their disclosure
document; (3) have been the subject of
civil or criminal legal actions; (4) are
making earnings claims; (5) have a
refund or cancellation policy; and (6)
because of all of the above assumptions,
require approximately 250 words
(approximately one standard, doublespaced page) to translate their updates,
in the case of existing business
opportunity sellers, or supply and
translate their initial disclosures, in the
case of new business opportunity
sellers. Therefore, the total cost to
translate the updates or to translate from
English the initial disclosures is
approximately $11,375 [260 sellers ×
(17.5 cents per word × 250 words)].
Thus, cumulative estimated non-labor
costs are $3,062,224 ($3,050,000 + $849
+ $11,375).
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 November 27, 2017. Write
‘‘Business Opportunity Rule Paperwork
Comment, FTC File No. P114408’’ 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 https://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.
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, or to send them to the
Commission by courier or overnight
service. To make sure that the
3 Staff estimates that it will cost approximately
17.5 cents to translate each word into the language
the sellers use to market the opportunities.
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Federal Register / Vol. 82, No. 187 / Thursday, September 28, 2017 / Notices
Commission considers your online
comment, you must file it at https://
ftcpublic.commentworks.com/ftc/
BusinessOpportunityRulePRA_by
following the instructions on the webbased form. When this Notice appears at
https://www.regulations.gov/#!home, you
also may file a comment through that
Web site.
If you file your comment on paper,
write ‘‘Business Opportunity Rule
Paperwork Comment, FTC File No.
P114408’’ on your comment and on the
envelope, and mail it 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, Washington, DC
20024. If possible, submit your paper
comment to the Commission by courier
or overnight service.
Because your comment will be placed
on the publicly accessible FTC Web site
at https://www.ftc.gov/, you are solely
responsible for making sure that your
comment does not include any sensitive
or confidential information. In
particular, your comment should not
include any sensitive personal
information, such as your or anyone
else’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 for making sure that your
comment does not include any sensitive
health information, such as medical
records or other individually
identifiable health information. In
addition, your comment should not
include any ‘‘trade secret or any
commercial or financial information
which . . . is privileged or
confidential’’—as provided by 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)—
including in particular competitively
sensitive information such as costs,
sales statistics, inventories, formulas,
patterns, devices, manufacturing
processes, or customer names.
Comments containing material for
which confidential treatment is
requested must be filed in paper form,
must be clearly labeled ‘‘Confidential,’’
and must comply with FTC Rule 4.9(c).
In particular, the written request for
confidential treatment that accompanies
the comment must include the factual
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18:44 Sep 27, 2017
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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). Your
comment will be kept confidential only
if the General Counsel grants your
request in accordance with the law and
the public interest. Once your comment
has been posted on the public FTC Web
site—as legally required by FTC Rule
4.9(b)—we cannot redact or remove
your comment from the FTC Web site,
unless you submit a confidentiality
request that meets the requirements for
such treatment under FTC Rule 4.9(c),
and the General Counsel grants that
request.
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 November 27, 2017. For
information on the Commission’s
privacy policy, including routine uses
permitted by the Privacy Act, see
https://www.ftc.gov/site-information/
privacy-policy.
David C. Shonka,
Acting General Counsel.
[FR Doc. 2017–20846 Filed 9–27–17; 8:45 am]
BILLING CODE 6750–01–P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Administration for Children and
Families
[OMB No.: 0970—NEW]
Submission for OMB Review;
Comment Request; Child Care and
Development Fund Quality Progress
Report
Description: Lead Agencies are
required to spend a certain percent of
their Child Care and Development Fund
(CCDF) awards on activities to improve
the quality of child care. Lead Agencies
are also required to invest in at least one
of 10 allowable quality activities
included in the Child Care and
Development Block Grant (CCDBG) Act
of 2014. In order to ensure that States
and Territories are meeting these
requirements, the CCDBG Act and the
CCDF final rule require Lead Agencies
to submit an annual report, identified as
the Quality Progress Report in the CCDF
final rule. The report must describe how
quality funds were expended, including
what types of activities were funded and
PO 00000
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Fmt 4703
Sfmt 4703
measures used to evaluate progress in
improving the quality of child care
programs and services. The QPR
replaces the Quality Performance Report
that was previously an appendix to the
CCDF Plan. The QPR increased
transparency on quality spending and
will continue to gather detailed
information on how States and
Territories are spending their quality
funds, as well as more specific data
points to reflect the requirements in the
CCDBG Act and the CCDF final rule.
In the QPR, Lead Agencies are asked
about the State’s or Territory’s progress
in meeting its goals as reported in the
CCDF Plan, and provide available data
on the results of those activities.
Specifically, this report will: (1) Ensure
accountability for the use of CCDF
quality funds, including a set-aside for
quality infant and toddler care that
begins in FY 2017; (2) track progress
toward meeting State- and Territory-set
indicators and benchmarks for
improvement of child care quality per
what they described in their CCDF
Plans; (3) summarize how the Lead
Agency is building a progression of
professional development for child care
providers as envisioned in the CCDBG
Act of 2014 and CCDF final rule; and (4)
inform federal technical assistance
efforts and decisions regarding strategic
use of quality funds.
The Office of Child Care (OCC) has
given thoughtful consideration to the
comments received during the 60-day
Public Comment Period and has revised
the QPR to better align with the new
program requirements made under the
CCDBG Act of 2014 and the final rule.
The revised document also contains
additional guidance and clarification
where appropriate in order to improve
the quality of information that is being
collected. Note: A correction was also
made to the burden hours. This 30-day
Public Comment Period provides an
opportunity for the public to submit
comments to the Office of Management
and Budget (OMB).
Copies of the proposed collection may
be obtained by writing to the
Administration for Children and
Families, Office of Administration,
Office of Information Services, 370
L’Enfant Promenade SW., Washington,
DC 20447, Attn: ACF Reports Clearance
Officer. All requests should be
identified by the title of the information
collection. Email address:
infocollection@acf.hhs.gov.
Respondents: State and Territory
CCDF Lead Agencies (56).
E:\FR\FM\28SEN1.SGM
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Agencies
[Federal Register Volume 82, Number 187 (Thursday, September 28, 2017)]
[Notices]
[Pages 45288-45290]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-20846]
=======================================================================
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
Agency Information Collection Activities; Proposed Collection;
Comment Request
AGENCY: Federal Trade Commission (``FTC'' or ``Commission'').
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The FTC intends to ask the Office of Management and Budget
(``OMB'') to extend for an additional three years the current Paperwork
Reduction Act (``PRA'') clearance for information collection
requirements contained in the Commission's Business Opportunity Rule
(``Rule''). That clearance expires on January 31, 2018.
DATES: Comments must be submitted by November 27, 2017.
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 ``Business Opportunity
Rule Paperwork Comment, FTC File No. P114408'' on your comment, and
file your comment online at https://ftcpublic.commentworks.com/ftc/BusinessOpportunityRulePRA by following the instructions on the web-
based form. If you prefer to file your comment on paper, mail 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, Washington, DC 20024.
FOR FURTHER INFORMATION CONTACT: Requests for additional information
should be addressed to Christine M. Todaro, Attorney, Division of
Marketing Practices, Bureau of Consumer Protection, Federal Trade
Commission, 600 Pennsylvania Avenue NW., CC-8528, Washington, DC 20580,
(202) 326-3711.
SUPPLEMENTARY INFORMATION: Under the PRA, 44 U.S.C. 3501-3521, 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 clearance for the
information collection requirements contained in the Business
Opportunity Rule, 16 CFR part 437 (OMB Control Number 3084-0142).
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.
The Business Opportunity Rule requires business opportunity sellers
to furnish to prospective purchasers a disclosure document that
provides information relating to the seller, the seller's business, the
nature of the proposed business opportunity, as well as additional
information regarding any claims about actual or potential sales,
income, or profits for a prospective business opportunity purchaser.
The seller must also preserve information that forms a reasonable basis
for such claims. These disclosure and recordkeeping requirements are
subject to the PRA.
The Rule is designed to ensure that prospective purchasers of a
business opportunity receive information that will help them evaluate
the opportunity that is presented to them. Sellers must disclose five
key items of information in a simple, one-page document:
The seller's identifying information;
whether the seller makes a claim about the purchaser's
likely earnings (and, if the seller checks the ``yes'' box, the seller
must provide information supporting any such claims);
whether the seller, its affiliates or key personnel have
been involved in certain legal actions (and, if yes, the seller must
provide a separate list of those actions);
whether the seller has a cancellation or refund policy
(and, if yes, the seller must provide a separate document stating the
material terms of such policies); and
a list of persons who bought the business opportunity
within the previous three years.
Misrepresentations and omissions are prohibited under the Rule, and
for sales conducted in languages other than English, all disclosures
must be provided in the language in which the sale is conducted.
PRA Burden Analysis
Subject to public comment to shed further light, the FTC retains
its respondent population estimates from its prior OMB clearance for
the information collection requirements
[[Page 45289]]
under the Rule.\1\ Thus, FTC staff estimates there are approximately
3,050 business opportunity sellers covered by the Rule, including
vending machine, rack display, work-at-home, and other opportunity
sellers. Staff also estimates that approximately 10% of the 3,050
business opportunity sellers covered by the Rule reflects an equal
amount of new and departing business entrants (thus, for simplicity,
staff assumes that, for a given year, there are 2,745 existing business
opportunity sellers plus 305 new entrants to the field). Additionally,
staff estimates that approximately 165 of business opportunity sellers
market business opportunities in Spanish (in addition to English) and
approximately 95 sellers market in languages other than English or
Spanish \2\ (in addition to English).
---------------------------------------------------------------------------
\1\ 79 FR 73074 (Dec. 9, 2014).
\2\ To estimate how many of the 3,050 sellers market business
opportunities in languages other than English, FTC staff relies upon
2015 United States Census Bureau (``Census'') data. https://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ACS_12_1YR_S1601&prodType=table. Calculations
based upon this data reveal that approximately 5.4% of the United
States population speaks Spanish at home and speaks English less
than ``very well.'' Calculations based upon that same survey reveal
that approximately 3.1% of the United States population speaks a
language other than Spanish or English at home and speak English
less than ``very well.'' Staff thus projected that 5.4% of all
entities selling business opportunities market in Spanish and 3.1%
of all entities selling business opportunities market in languages
other than English or Spanish.
---------------------------------------------------------------------------
A. Estimated Hours Burden
The burden estimates for compliance will vary depending on the
particular business opportunity seller's prior experience with the
Rule. Commission staff estimates that the projected 2,745 existing
business opportunity sellers will require no more than approximately
two hours to update the disclosure document [5,490 total hours]. Staff
further projects that the estimated 305 new business opportunity
sellers will require no more than approximately five hours to develop
the disclosure document [1,525 total hours]. Both existing and new
business opportunity sellers will require approximately one hour to
file and store records [3,050 total hours], for a cumulative total of
10,065 hours [5,490 hours + 1,525 hours + 3,050 hours] per year to meet
the Rule's disclosure and recordkeeping requirements.
B. Estimated Labor Cost
Labor costs are determined by applying applicable wage rates to
associated burden hours. Commission staff assumes that an attorney
likely would prepare or update the disclosure document at an estimated
hourly rate of $250. Accordingly, staff estimates that cumulative labor
costs are $2,516,250 [10,065 hours x $250 per hour].
C. Estimated Non-Labor Costs
1. Printing and Mailing of the Disclosure Document
Business opportunity sellers must also incur costs to print and
distribute the single-page disclosure document, plus any attachments.
These costs vary based upon the length of the attachments and the
number of copies produced to meet the expected demand. Commission staff
estimates that 3,050 business opportunity sellers will print and mail
approximately 1,000 disclosure documents per year at a cost of $1.00
per document, for a total cost of $3,050,000. Conceivably, many
business opportunity sellers will elect to furnish disclosures
electronically; thus, the total cost could be much less.
2. Translating the Required Disclosures Into a Language Other Than
English
The Rule requires that sellers update their disclosures. The costs
associated with translating the disclosures will vary depending upon a
business opportunity seller's prior experience with the Rule and the
language the seller uses to market the opportunity. For example,
existing and new business opportunity sellers marketing in Spanish will
not incur costs to translate the disclosure document as Appendices A
and B to the Rule provide, respectively, illustrations of the requisite
disclosure documents in English and Spanish. Existing sellers,
regardless of the non-English language used to present disclosures, may
incur translation costs to update the document. New entrants that
market business opportunities in languages other than English or
Spanish (in addition to an assumed use of disclosure documents in
English) will incur translation costs to translate Appendix A from
English and to enter equivalent responses in these other languages.
As stated above, using assumptions informed by Census data (see
footnote 2), FTC staff estimates that 165 sellers market business
opportunities in Spanish and an additional 95 sellers market in
languages other than English or Spanish. This includes an estimated 10
new entrants in the latter sub-category (based on the assumption that
10% yearly of a given group consists of new entrants with an equal
offset for departing business entities). Those new entrants will incur
initial translation costs to draft a disclosure document consistent
with Appendix A to the Rule.
There are 485 words in Appendix A to the Rule. Therefore, the total
cost burden to translate the disclosure document for the 10 new
business opportunity sellers marketing in a language other than English
or Spanish will be approximately $849 [10 sellers x (17.5 cents \3\ per
word x 485 words)].
---------------------------------------------------------------------------
\3\ Staff estimates that it will cost approximately 17.5 cents
to translate each word into the language the sellers use to market
the opportunities.
---------------------------------------------------------------------------
For purposes of this PRA analysis, staff assumes that both new and
existing business opportunity sellers marketing business opportunities
in languages other than English [260 sellers]: (1) Are marketing in
both English and another language; (2) are not incorporating any
existing materials into their disclosure document; (3) have been the
subject of civil or criminal legal actions; (4) are making earnings
claims; (5) have a refund or cancellation policy; and (6) because of
all of the above assumptions, require approximately 250 words
(approximately one standard, double-spaced page) to translate their
updates, in the case of existing business opportunity sellers, or
supply and translate their initial disclosures, in the case of new
business opportunity sellers. Therefore, the total cost to translate
the updates or to translate from English the initial disclosures is
approximately $11,375 [260 sellers x (17.5 cents per word x 250
words)].
Thus, cumulative estimated non-labor costs are $3,062,224
($3,050,000 + $849 + $11,375).
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 November 27, 2017. Write
``Business Opportunity Rule Paperwork Comment, FTC File No. P114408''
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 https://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.
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, or to send them to the Commission by courier or
overnight service. To make sure that the
[[Page 45290]]
Commission considers your online comment, you must file it at https://ftcpublic.commentworks.com/ftc/BusinessOpportunityRulePRA_by following
the instructions on the web-based form. When this Notice appears at
https://www.regulations.gov/#!home, you also may file a comment through
that Web site.
If you file your comment on paper, write ``Business Opportunity
Rule Paperwork Comment, FTC File No. P114408'' on your comment and on
the envelope, and mail it 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,
Washington, DC 20024. If possible, submit your paper comment to the
Commission by courier or overnight service.
Because your comment will be placed on the publicly accessible FTC
Web site at https://www.ftc.gov/, you are solely responsible for making
sure that your comment does not include any sensitive or confidential
information. In particular, your comment should not include any
sensitive personal information, such as your or anyone else'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 for making sure that your comment does not include
any sensitive health information, such as medical records or other
individually identifiable health information. In addition, your comment
should not include any ``trade secret or any commercial or financial
information which . . . is privileged or confidential''--as provided by
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)--including in particular competitively sensitive
information such as costs, sales statistics, inventories, formulas,
patterns, devices, manufacturing processes, or customer names.
Comments containing material for which confidential treatment is
requested must be filed in paper form, must be clearly labeled
``Confidential,'' and must comply with FTC Rule 4.9(c). 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). Your comment will be kept
confidential only if the General Counsel grants your request in
accordance with the law and the public interest. Once your comment has
been posted on the public FTC Web site--as legally required by FTC Rule
4.9(b)--we cannot redact or remove your comment from the FTC Web site,
unless you submit a confidentiality request that meets the requirements
for such treatment under FTC Rule 4.9(c), and the General Counsel
grants that request.
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 November 27,
2017. For information on the Commission's privacy policy, including
routine uses permitted by the Privacy Act, see https://www.ftc.gov/site-information/privacy-policy.
David C. Shonka,
Acting General Counsel.
[FR Doc. 2017-20846 Filed 9-27-17; 8:45 am]
BILLING CODE 6750-01-P