Agency Information Collection Activities; Proposed Collection; Comment Request; Extension, 75271-75273 [2022-26623]
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Federal Register / Vol. 87, No. 235 / Thursday, December 8, 2022 / Notices
operating environment affect the
financial institution’s financial
condition and operational resilience as
discussed in the strategic planning
section. Management should also
consider the extent to which the
financial institution’s activities may
increase the risk of negative financial
impact from other operational risk,
liability, or litigation. Management
should implement adequate measures to
account for these risks where material.
By order of the Board of Governors of the
Federal Reserve System.
Ann E. Misback,
Secretary of the Board.
[FR Doc. 2022–26648 Filed 12–7–22; 8:45 am]
all of Cleveland, Ohio; Benjamin
Mackovak, Bratenahl, Ohio, and Martin
Adams, Naples, Florida, each a
managing member of Strategic Value
Bank Partners, LLC and Strategic Value
Private Partners, LLC; as a group acting
in concert, to acquire additional voting
shares of Bay Community Bancorp, and
thereby indirectly acquire additional
voting shares of Community Bank of the
Bay, both of Oakland, California.
Board of Governors of the Federal Reserve
System.
Margaret McCloskey Shanks,
Deputy Secretary of the Board.
[FR Doc. 2022–26708 Filed 12–7–22; 8:45 am]
BILLING CODE P
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BILLING CODE 6210–01–P
FEDERAL RESERVE SYSTEM
FEDERAL TRADE COMMISSION
Change in Bank Control Notices;
Acquisitions of Shares of a Bank or
Bank Holding Company
Agency Information Collection
Activities; Proposed Collection;
Comment Request; Extension
The notificants listed below have
applied under the Change in Bank
Control Act (Act) (12 U.S.C. 1817(j)) and
§ 225.41 of the Board’s Regulation Y (12
CFR 225.41) to acquire shares of a bank
or bank holding company. The factors
that are considered in acting on the
applications are set forth in paragraph 7
of the Act (12 U.S.C. 1817(j)(7)).
The public portions of the
applications listed below, as well as
other related filings required by the
Board, if any, are available for
immediate inspection at the Federal
Reserve Bank(s) indicated below and at
the offices of the Board of Governors.
This information may also be obtained
on an expedited basis, upon request, by
contacting the appropriate Federal
Reserve Bank and from the Board’s
Freedom of Information Office at
https://www.federalreserve.gov/foia/
request.htm. Interested persons may
express their views in writing on the
standards enumerated in paragraph 7 of
the Act.
Comments regarding each of these
applications must be received at the
Reserve Bank indicated or the offices of
the Board of Governors, Ann E.
Misback, Secretary of the Board, 20th
Street and Constitution Avenue NW,
Washington, DC 20551–0001, not later
than December 23, 2022.
A. Federal Reserve Bank of San
Francisco (Joseph Cuenco, Assistant
Vice President, Formations &
Transactions) 101 Market Street, San
Francisco, California:
1. Strategic Value Investors, LP;
Strategic Value Bank Partners, LLC;
Strategic Value Private Investors, LP;
Strategic Value Private Partners, LLC,
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17:36 Dec 07, 2022
Jkt 259001
Federal Trade Commission.
Notice.
AGENCY:
ACTION:
The Federal Trade
Commission (‘‘FTC’’ or ‘‘Commission’’)
is seeking public comment on its
proposal to extend for an additional
three years the Office of Management
and Budget clearance for information
collection requirements of its Affiliate
Marketing Rule, which applies to
certain motor vehicle dealers, and its
shared enforcement with the Consumer
Financial Protection Bureau (‘‘CFPB’’) of
the provisions (subpart C) of the CFPB’s
Regulation V regarding other entities
(‘‘CFPB Rule’’). The current clearance
expires on February 28, 2023.
DATES: Comments must be received on
or before February 6, 2023.
ADDRESSES: Interested parties may file a
comment online or on paper by
following the instructions in the
Request for Comments part of the
SUPPLEMENTARY INFORMATION section
below. Write ‘‘Paperwork Reduction Act
Comment: FTC File No. P072108’’ on
your comment, and file your comment
online at https://www.regulations.gov 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 (Annex J),
Washington, DC 20024.
SUMMARY:
PO 00000
Frm 00056
Fmt 4703
Sfmt 4703
75271
FOR FURTHER INFORMATION CONTACT:
David Walko, Attorney, Division of
Privacy and Identity Protection, Bureau
of Consumer Protection, Federal Trade
Commission, 600 Pennsylvania Avenue
NW, Washington, DC 20580, (202) 326–
2880.
SUPPLEMENTARY INFORMATION:
Title: Affiliate Marketing Rule (16
CFR part 680).
OMB Control Number: 3084–0131.
Type of Review: Extension of
currently approved collection.
Background:
As required by section 3506(c)(2)(A)
of the PRA, 44 U.S.C. 3506(c)(2)(A), the
FTC is providing this opportunity for
public comment before requesting that
the Office of Management and Budget
extend the existing clearance for the
information collection requirements
contained in the Affiliate Marketing
Rule.
The Dodd-Frank Wall Street Reform
and Consumer Protection Act (‘‘DoddFrank Act’’) was enacted on July 21,
2010.1 The Dodd-Frank Act transferred
to the CFPB most of the FTC’s
rulemaking authority for the Affiliate
Marketing provisions of the Fair Credit
Reporting Act (‘‘FCRA’’).2 The FTC
retained rulemaking authority for its
Affiliate Marketing Rule (16 CFR part
680) solely for motor vehicle dealers
described in section 1029(a) of the
Dodd-Frank Act as predominantly
engaged in the sale and servicing of
motor vehicles, the leasing and
servicing of motor vehicles, or both.3
Additionally, the FTC shares
enforcement authority with the CFPB
for provisions of Regulation V subpart C
(12 CFR 1022.20 through 1022.27) that
apply to entities other than those
specified above.4
As mandated by section 214 of the
Fair and Accurate Credit Transactions
Act (‘‘FACT Act’’), Public Law 108–159
(Dec. 6, 2003), the Affiliate Marketing
1 Public
Law 111–203, 124 Stat. 1376 (2010).
U.S.C. 1681 et seq.
3 See Dodd-Frank Act, at section 1029 (a), (c).
4 While the FTC shares enforcement authority
with the Federal Reserve System, Commodity
Futures Trading Commission, National Credit
Union Administration, Office of the Comptroller of
the Currency, and the Federal Deposit Insurance
Corporation, for the Consumer Financial Protection
Bureau’s counterpart affiliate sharing rule,
Regulation V (subpart C), 12 CFR 1022.20 through
1220.27, the CFPB has assumed 95% of the burden
associated with its affiliate sharing rule. See
Consumer Financial Protection Bureau, Agency
Information Collection Activities: Submission for
OMB Review; Comment Request, 85 FR 52559
(2020); CFPB Supporting Statement, Fair Credit
Reporting Act (Regulation V) 12 CFR 1022, OMB
Control Number: 3170–0002 (2020). In addition, the
CFPB has estimated that the burden associated with
Regulation V’s affiliate sharing provisions is de
minimis.
2 15
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Federal Register / Vol. 87, No. 235 / Thursday, December 8, 2022 / Notices
Rule (‘‘Rule’’) requires covered entities
to provide consumers with notice and
an opportunity to opt out of the use of
certain information before sending
marketing solicitations. The Rule
generally provides that, if a company
communicates certain information about
a consumer (eligibility information) to
an affiliate, the affiliate may not use it
to make or send solicitations to the
consumer unless the consumer is given
notice and a reasonable opportunity to
opt out of such use of the information
and does not opt out.
To minimize compliance costs and
burdens for entities, particularly any
small businesses that may be affected,
the Rule contains model disclosures and
opt-out notices that may be used to
satisfy the statutory requirements. The
Rule also gives covered entities
flexibility to satisfy the notice and optout requirement. Covered entities may
send the consumer a free-standing optout notice to satisfy the Rule’s
requirements or add the opt-out notice
to privacy notices already provided to
consumers, such as those provided in
accordance with the provisions of Title
V, subtitle A of the Gramm Leach Bliley
Act (‘‘GLBA’’).5 As a result, the time
necessary to prepare or incorporate an
opt-out notice is likely to be minimal
because covered entities may either use
the model disclosure verbatim or base
their own disclosures upon it.
Moreover, verbatim adoption of the
model notice does not constitute a PRA
‘‘collection of information.’’ 6 The Rule
also provides that affiliated companies
may send a joint disclosure to
consumers, thereby eliminating the
need for each affiliate to send a separate
disclosure. Staff anticipates that
affiliated entities will choose to send a
joint notice, which will reduce the
number of notices required under the
Rule.
Burden Statement
Under the PRA, 44 U.S.C. 3501–3521,
the FTC is requesting that OMB renew
the clearance (OMB Control Number
3084–0131) for the information
collection burden associated with the
Rule. Staff estimates that there are
approximately 46,525 franchise/new car
and independent/used car dealers in the
U.S.7 Applying an estimated rate of
affiliation of 16.75%, staff estimates that
there are approximately 7,793 motor
vehicle dealerships in affiliated families
that may be subject to the Rule’s affiliate
sharing obligations. Staff further
estimates an average of five businesses
per family or affiliated relationship, and
anticipates that affiliated entities will
choose to send a joint notice as
permitted by the Rule. Therefore, staff
estimates that approximately 1,559
business families would be subject to
the Rule.
Staff assumes that all or nearly all
motor vehicles subject to the Rule’s
provisions are also subject to the
Commission’s Privacy of Consumer
Financial Information Rule under the
Gramm-Leach-Bliley Act (16 CFR part
313) (‘‘Privacy Rule’’). Entities that are
subject to the Commission’s GLBA
Privacy Rule already provide privacy
notices to their customers. Absent an
exception, financial institutions must
provide an initial privacy notice at the
time the customer relationship is
established and then annually so long as
the relationship continues. 15 U.S.C.
6803. Staff’s estimates assume that in all
or nearly all cases covered institutions
will choose to incorporate the affiliate
marketing opt-out notice into the initial
and annual GLBA privacy notices. In
2015, Congress, as part of the FAST Act,
amended the GLBA to provide an
exception under which financial
institutions that meet certain conditions
are not required to provide annual
Hours per
respondent
Hourly wage and labor category
$59.31 Management Employees .....................................................................
$48.01 Technical Staff .....................................................................................
5 15
U.S.C. 6801 et seq.
public disclosure of information originally
supplied by the Federal Government to the
recipient for purpose of disclosure to the public is
not included within [the definition of collection of
information].’’ 5 CFR 1320.3(c)(2).
7 See Notice of Proposed Rulemaking Motor
Vehicle Dealers Trade Regulation Rule, 87 FR
42012, 42031 (July 13, 2022), available at https://
www.ftc.gov/legal-library/browse/federal-registernotices/16-cfr-part-463-motor-vehicle-dealers-traderegulation-rule-nprm. This figure is based on
estimates made by the U.S. Census Bureau. See U.S.
Census Bureau, All Sectors: County Business
Patterns, including ZIP Code Business Patterns, by
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6 ‘‘The
VerDate Sep<11>2014
17:36 Dec 07, 2022
Jkt 259001
Total hourly
labor cost
2
2
Legal Form of Organization and Employment Size
Class for the U.S., States, and Selected Geographies:
2019, https://data.census.gov/cedsci/
table?q=CBP2019.CB1900CBP&
n=44111%3A44112&tid=CBP2019.CB1900CBP
&hidePreview=true&nkd=EMPSZES∼001,LFO∼001
(listing 21,427 establishments for ‘‘new car
dealers,’’ NAICS code 44111, and 25,098
establishments for ‘‘used car dealers,’’ NAICS code
44112).
8 Fixing America’s Surface Transportation Act
(‘‘FAST Act’’), Public Law 114–94, 129 Stat. 1312,
section 75001 (Dec. 4, 2015) (amending 15 U.S.C.
6803 to exempt financial institutions from the
annual notice requirement if they meet certain
PO 00000
Frm 00057
Fmt 4703
Sfmt 4703
notices to customers.8 Staff seeks
comment on how the use of this
exception by institutions that are
required to provide an affiliate
marketing notice will impact the burden
estimates for these entities. Institutions
that claim the FAST Act exemption and
forego sending required annual privacy
notices in some years will nonetheless
be required to send a separate affiliate
marketing notice to comply with their
obligations under the Rule.
Staff estimates that the 1,559 covered
motor vehicle business families will
spend on average about 5 hours per year
to comply with the Affiliate Sharing
Rule beyond their separate obligations
under the Privacy Rule, yielding a total
annual hours of burden of 7,795 hours.
Staff’s estimates take into account the
time necessary to determine compliance
obligations; create the notice and optout, in either paper or electronic form;
and disseminate the notice and opt-out.
Staff’s estimates presume that the
availability of model disclosures and
opt-out notices will simplify the
compliance review and implementation
processes, thereby significantly
reducing the compliance burden.
Staff estimates the associated labor
cost by adding the hourly mean private
sector wages for managerial, technical,
and clerical work and multiplying that
sum by the estimated number of hours.
The private sector hourly wages for
these classifications are $59.31, $48.01,
and $20.88, respectively.9 Estimated
hours spent for each category are 2, 2,
and 1, respectively. Multiplying each
occupation’s hourly wage by the
associated time estimate, yields the
annual labor cost burden per respondent
which is then multiplied by the
estimated number of respondents to
determine the cumulative annual labor
cost burden: $367,176 per year.
$118.62
96.02
Number of
respondents
1,559
........................
Approx. total
annual labor
costs
$184,929
149,695
criteria, and if they have not changed their policies
and practices with regard to disclosing nonpublic
personal information from the policies and
practices that were disclosed in the most recent
disclosure sent to consumers).
9 The classifications used are ‘‘Management
Occupations’’ for managerial employees,
‘‘Computer and Mathematical Science
Occupations’’ for technical staff, and ‘‘Office and
Administrative Support’’ for clerical workers. See
National Occupational Employment and Wage
Estimates—May 2021, U.S. Bureau of Labor
Statistics, released March 31, 2022: https://
www.bls.gov/oes/current/oes_nat.htm.
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Federal Register / Vol. 87, No. 235 / Thursday, December 8, 2022 / Notices
Hours per
respondent
Hourly wage and labor category
$20.88 Clerical Workers ..................................................................................
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Because the FACT Act and the Rule
contemplate that the affiliate marketing
notice can be included in the GLBA
notices, the capital and non-labor cost
burden on regulated entities would be
greatly reduced. Covered entities
typically already provide notices to
their customers so there are no new
capital or non-labor costs, as the
Affiliate Marketing notice may be
consolidated into their annual privacy
notice. Thus, staff estimates that any
capital or non-labor costs associated
with compliance for these entities are de
minimis.
Request for Comments
Pursuant to section 3506(c)(2)(A) of
the PRA, 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 maintaining records and
providing disclosures to consumers. All
comments must be received on or before
February 6, 2023.
You can file a comment online or on
paper. For the FTC to consider your
comment, we must receive it on or
before February 6, 2023. Write
‘‘Paperwork Reduction Act Comment:
FTC File No. P072108’’ on your
comment. Your comment—including
your name and your state—will be
placed on the public record of this
proceeding, including the https://
www.regulations.gov website.
Due to the public health emergency in
response to the COVID–19 outbreak and
the agency’s heightened security
screening, postal mail addressed to the
Commission will be subject to delay. We
encourage you to submit your comments
online through the https://
www.regulations.gov website.
If you prefer to file your comment on
paper, write ‘‘Paperwork Reduction Act
Comment: FTC File No. P072108’’ on
your comment and on the envelope, and
mail your comment to the following
address: Federal Trade Commission,
VerDate Sep<11>2014
17:36 Dec 07, 2022
Jkt 259001
Total hourly
labor cost
Frm 00058
Fmt 4703
Approx. total
annual labor
costs
1
20.88
........................
32,552
........................
........................
........................
367,176
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. If possible,
submit your paper comment to the
Commission by courier or overnight
service.
Because your comment will become
publicly available at https://
www.regulations.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
PO 00000
Number of
respondents
Sfmt 4703
has been posted publicly at
www.regulations.gov, we cannot redact
or remove your comment 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 February 6, 2023. 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.
Josephine Liu,
Assistant General Counsel for Legal Counsel.
[FR Doc. 2022–26623 Filed 12–7–22; 8:45 am]
BILLING CODE 6750–01–P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Centers for Disease Control and
Prevention
[Docket No. CDC–2022–0070]
Availability of Final Guidelines for
Examining Unusual Patterns of Cancer
and Environmental Concerns
Centers for Disease Control and
Prevention (CDC), Department of Health
and Human Services (HHS).
ACTION: General notice.
AGENCY:
The Centers for Disease
Control and Prevention (CDC) and the
Agency for Toxic Substances and
Disease Registry (ATSDR), located
within the Department of Health and
Human Services (HHS) announces the
availability of the final Guidelines for
Examining Unusual Patterns of Cancer
and Environmental Concerns (2022
Guidelines). The 2022 Guidelines
provide updates to the 2013 publication,
Investigating Suspected Cancer Clusters
and Responding to Community
Concerns: Guidelines from the CDC and
the Council of State and Territorial
Epidemiologists (CSTE). The updates
provide state, tribal, local, and territorial
health departments guidance for a
SUMMARY:
E:\FR\FM\08DEN1.SGM
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Agencies
[Federal Register Volume 87, Number 235 (Thursday, December 8, 2022)]
[Notices]
[Pages 75271-75273]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-26623]
=======================================================================
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
Agency Information Collection Activities; Proposed Collection;
Comment Request; Extension
AGENCY: Federal Trade Commission.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The Federal Trade Commission (``FTC'' or ``Commission'') is
seeking public comment on its proposal to extend for an additional
three years the Office of Management and Budget clearance for
information collection requirements of its Affiliate Marketing Rule,
which applies to certain motor vehicle dealers, and its shared
enforcement with the Consumer Financial Protection Bureau (``CFPB'') of
the provisions (subpart C) of the CFPB's Regulation V regarding other
entities (``CFPB Rule''). The current clearance expires on February 28,
2023.
DATES: Comments must be received on or before February 6, 2023.
ADDRESSES: Interested parties may file a comment online or on paper by
following the instructions in the Request for Comments part of the
SUPPLEMENTARY INFORMATION section below. Write ``Paperwork Reduction
Act Comment: FTC File No. P072108'' on your comment, and file your
comment online at https://www.regulations.gov 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 (Annex
J), Washington, DC 20024.
FOR FURTHER INFORMATION CONTACT: David Walko, Attorney, Division of
Privacy and Identity Protection, Bureau of Consumer Protection, Federal
Trade Commission, 600 Pennsylvania Avenue NW, Washington, DC 20580,
(202) 326-2880.
SUPPLEMENTARY INFORMATION:
Title: Affiliate Marketing Rule (16 CFR part 680).
OMB Control Number: 3084-0131.
Type of Review: Extension of currently approved collection.
Background:
As required by section 3506(c)(2)(A) of the PRA, 44 U.S.C.
3506(c)(2)(A), the FTC is providing this opportunity for public comment
before requesting that the Office of Management and Budget extend the
existing clearance for the information collection requirements
contained in the Affiliate Marketing Rule.
The Dodd-Frank Wall Street Reform and Consumer Protection Act
(``Dodd-Frank Act'') was enacted on July 21, 2010.\1\ The Dodd-Frank
Act transferred to the CFPB most of the FTC's rulemaking authority for
the Affiliate Marketing provisions of the Fair Credit Reporting Act
(``FCRA'').\2\ The FTC retained rulemaking authority for its Affiliate
Marketing Rule (16 CFR part 680) solely for motor vehicle dealers
described in section 1029(a) of the Dodd-Frank Act as predominantly
engaged in the sale and servicing of motor vehicles, the leasing and
servicing of motor vehicles, or both.\3\ Additionally, the FTC shares
enforcement authority with the CFPB for provisions of Regulation V
subpart C (12 CFR 1022.20 through 1022.27) that apply to entities other
than those specified above.\4\
---------------------------------------------------------------------------
\1\ Public Law 111-203, 124 Stat. 1376 (2010).
\2\ 15 U.S.C. 1681 et seq.
\3\ See Dodd-Frank Act, at section 1029 (a), (c).
\4\ While the FTC shares enforcement authority with the Federal
Reserve System, Commodity Futures Trading Commission, National
Credit Union Administration, Office of the Comptroller of the
Currency, and the Federal Deposit Insurance Corporation, for the
Consumer Financial Protection Bureau's counterpart affiliate sharing
rule, Regulation V (subpart C), 12 CFR 1022.20 through 1220.27, the
CFPB has assumed 95% of the burden associated with its affiliate
sharing rule. See Consumer Financial Protection Bureau, Agency
Information Collection Activities: Submission for OMB Review;
Comment Request, 85 FR 52559 (2020); CFPB Supporting Statement, Fair
Credit Reporting Act (Regulation V) 12 CFR 1022, OMB Control Number:
3170-0002 (2020). In addition, the CFPB has estimated that the
burden associated with Regulation V's affiliate sharing provisions
is de minimis.
---------------------------------------------------------------------------
As mandated by section 214 of the Fair and Accurate Credit
Transactions Act (``FACT Act''), Public Law 108-159 (Dec. 6, 2003), the
Affiliate Marketing
[[Page 75272]]
Rule (``Rule'') requires covered entities to provide consumers with
notice and an opportunity to opt out of the use of certain information
before sending marketing solicitations. The Rule generally provides
that, if a company communicates certain information about a consumer
(eligibility information) to an affiliate, the affiliate may not use it
to make or send solicitations to the consumer unless the consumer is
given notice and a reasonable opportunity to opt out of such use of the
information and does not opt out.
To minimize compliance costs and burdens for entities, particularly
any small businesses that may be affected, the Rule contains model
disclosures and opt-out notices that may be used to satisfy the
statutory requirements. The Rule also gives covered entities
flexibility to satisfy the notice and opt-out requirement. Covered
entities may send the consumer a free-standing opt-out notice to
satisfy the Rule's requirements or add the opt-out notice to privacy
notices already provided to consumers, such as those provided in
accordance with the provisions of Title V, subtitle A of the Gramm
Leach Bliley Act (``GLBA'').\5\ As a result, the time necessary to
prepare or incorporate an opt-out notice is likely to be minimal
because covered entities may either use the model disclosure verbatim
or base their own disclosures upon it. Moreover, verbatim adoption of
the model notice does not constitute a PRA ``collection of
information.'' \6\ The Rule also provides that affiliated companies may
send a joint disclosure to consumers, thereby eliminating the need for
each affiliate to send a separate disclosure. Staff anticipates that
affiliated entities will choose to send a joint notice, which will
reduce the number of notices required under the Rule.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 6801 et seq.
\6\ ``The public disclosure of information originally supplied
by the Federal Government to the recipient for purpose of disclosure
to the public is not included within [the definition of collection
of information].'' 5 CFR 1320.3(c)(2).
---------------------------------------------------------------------------
Burden Statement
Under the PRA, 44 U.S.C. 3501-3521, the FTC is requesting that OMB
renew the clearance (OMB Control Number 3084-0131) for the information
collection burden associated with the Rule. Staff estimates that there
are approximately 46,525 franchise/new car and independent/used car
dealers in the U.S.\7\ Applying an estimated rate of affiliation of
16.75%, staff estimates that there are approximately 7,793 motor
vehicle dealerships in affiliated families that may be subject to the
Rule's affiliate sharing obligations. Staff further estimates an
average of five businesses per family or affiliated relationship, and
anticipates that affiliated entities will choose to send a joint notice
as permitted by the Rule. Therefore, staff estimates that approximately
1,559 business families would be subject to the Rule.
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\7\ See Notice of Proposed Rulemaking Motor Vehicle Dealers
Trade Regulation Rule, 87 FR 42012, 42031 (July 13, 2022), available
at https://www.ftc.gov/legal-library/browse/federal-register-notices/16-cfr-part-463-motor-vehicle-dealers-trade-regulation-rule-nprm. This figure is based on estimates made by the U.S. Census
Bureau. See U.S. Census Bureau, All Sectors: County Business
Patterns, including ZIP Code Business Patterns, by Legal Form of
Organization and Employment Size Class for the U.S., States, and
Selected Geographies: 2019, https://data.census.gov/cedsci/
table?q=CBP2019.CB1900CBP&n=44111%3A44112&tid=CBP2019.CB1900CBP&hideP
review=true&nkd=EMPSZES~001,LFO~001 (listing 21,427 establishments
for ``new car dealers,'' NAICS code 44111, and 25,098 establishments
for ``used car dealers,'' NAICS code 44112).
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Staff assumes that all or nearly all motor vehicles subject to the
Rule's provisions are also subject to the Commission's Privacy of
Consumer Financial Information Rule under the Gramm-Leach-Bliley Act
(16 CFR part 313) (``Privacy Rule''). Entities that are subject to the
Commission's GLBA Privacy Rule already provide privacy notices to their
customers. Absent an exception, financial institutions must provide an
initial privacy notice at the time the customer relationship is
established and then annually so long as the relationship continues. 15
U.S.C. 6803. Staff's estimates assume that in all or nearly all cases
covered institutions will choose to incorporate the affiliate marketing
opt-out notice into the initial and annual GLBA privacy notices. In
2015, Congress, as part of the FAST Act, amended the GLBA to provide an
exception under which financial institutions that meet certain
conditions are not required to provide annual notices to customers.\8\
Staff seeks comment on how the use of this exception by institutions
that are required to provide an affiliate marketing notice will impact
the burden estimates for these entities. Institutions that claim the
FAST Act exemption and forego sending required annual privacy notices
in some years will nonetheless be required to send a separate affiliate
marketing notice to comply with their obligations under the Rule.
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\8\ Fixing America's Surface Transportation Act (``FAST Act''),
Public Law 114-94, 129 Stat. 1312, section 75001 (Dec. 4, 2015)
(amending 15 U.S.C. 6803 to exempt financial institutions from the
annual notice requirement if they meet certain criteria, and if they
have not changed their policies and practices with regard to
disclosing nonpublic personal information from the policies and
practices that were disclosed in the most recent disclosure sent to
consumers).
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Staff estimates that the 1,559 covered motor vehicle business
families will spend on average about 5 hours per year to comply with
the Affiliate Sharing Rule beyond their separate obligations under the
Privacy Rule, yielding a total annual hours of burden of 7,795 hours.
Staff's estimates take into account the time necessary to determine
compliance obligations; create the notice and opt-out, in either paper
or electronic form; and disseminate the notice and opt-out. Staff's
estimates presume that the availability of model disclosures and opt-
out notices will simplify the compliance review and implementation
processes, thereby significantly reducing the compliance burden.
Staff estimates the associated labor cost by adding the hourly mean
private sector wages for managerial, technical, and clerical work and
multiplying that sum by the estimated number of hours. The private
sector hourly wages for these classifications are $59.31, $48.01, and
$20.88, respectively.\9\ Estimated hours spent for each category are 2,
2, and 1, respectively. Multiplying each occupation's hourly wage by
the associated time estimate, yields the annual labor cost burden per
respondent which is then multiplied by the estimated number of
respondents to determine the cumulative annual labor cost burden:
$367,176 per year.
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\9\ The classifications used are ``Management Occupations'' for
managerial employees, ``Computer and Mathematical Science
Occupations'' for technical staff, and ``Office and Administrative
Support'' for clerical workers. See National Occupational Employment
and Wage Estimates--May 2021, U.S. Bureau of Labor Statistics,
released March 31, 2022: https://www.bls.gov/oes/current/oes_nat.htm.
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Approx. total
Hourly wage and labor category Hours per Total hourly Number of annual labor
respondent labor cost respondents costs
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$59.31 Management Employees..................... 2 $118.62 1,559 $184,929
$48.01 Technical Staff.......................... 2 96.02 .............. 149,695
[[Page 75273]]
$20.88 Clerical Workers......................... 1 20.88 .............. 32,552
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.............. .............. .............. 367,176
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Because the FACT Act and the Rule contemplate that the affiliate
marketing notice can be included in the GLBA notices, the capital and
non-labor cost burden on regulated entities would be greatly reduced.
Covered entities typically already provide notices to their customers
so there are no new capital or non-labor costs, as the Affiliate
Marketing notice may be consolidated into their annual privacy notice.
Thus, staff estimates that any capital or non-labor costs associated
with compliance for these entities are de minimis.
Request for Comments
Pursuant to section 3506(c)(2)(A) of the PRA, 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 maintaining records and providing disclosures to
consumers. All comments must be received on or before February 6, 2023.
You can file a comment online or on paper. For the FTC to consider
your comment, we must receive it on or before February 6, 2023. Write
``Paperwork Reduction Act Comment: FTC File No. P072108'' on your
comment. Your comment--including your name and your state--will be
placed on the public record of this proceeding, including the https://www.regulations.gov website.
Due to the public health emergency in response to the COVID-19
outbreak and the agency's heightened security screening, postal mail
addressed to the Commission will be subject to delay. We encourage you
to submit your comments online through the https://www.regulations.gov
website.
If you prefer to file your comment on paper, write ``Paperwork
Reduction Act Comment: FTC File No. P072108'' 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 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. If possible, submit your paper
comment to the Commission by courier or overnight service.
Because your comment will become publicly available at https://www.regulations.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 publicly at www.regulations.gov, we cannot redact or remove
your comment 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 February 6,
2023. 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.
Josephine Liu,
Assistant General Counsel for Legal Counsel.
[FR Doc. 2022-26623 Filed 12-7-22; 8:45 am]
BILLING CODE 6750-01-P