Agency Information Collection Activities; Proposed Collection; Comment Request; Extension, 59923-59925 [2023-18767]
Download as PDF
Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices
Assuming that managers perform the
bulk of the work, and clerical personnel
perform associated tasks (e.g., placing
advertisements and responding to
inquiries about offerings or prices), the
total cost to the industry for the Rule’s
information collection requirements
would be approximately $152,350 [(80
hours managerial time × 25 clubs ×
$70.70 per hour) + (20 hours clerical
time × 25 clubs × $21.90 per hour)].
Because the Rule has been in effect
since 1974, the vast majority of the
negative option clubs have no current
start-up costs. For new clubs entering
the market, the costs associated with the
Rule’s disclosure requirements, beyond
the additional labor costs discussed
above, are de minimis. Negative option
clubs already have access to the
ordinary office equipment necessary to
comply with the Rule. Similarly, the
Rule imposes few, if any, printing and
distribution costs. The required
disclosures generally constitute only a
small addition to the advertising for
negative option plans. Because printing
and distribution expenditures are
incurred to market the product
regardless of the Rule, adding the
required disclosures results in marginal
incremental expense.
lotter on DSK11XQN23PROD with NOTICES1
Request for Comment
Pursuant to section 3506(c)(2)(A) of
the PRA, the FTC invites comments on:
(1) whether the disclosure and
recordkeeping requirements are
necessary, including whether the
information will be practically useful;
(2) the accuracy of our burden estimates,
including whether the methodology and
assumptions used are valid; (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.
For the FTC to consider a comment,
we must receive it on or before October
30, 2023. 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.
You can file a comment online or on
paper. Due to 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 file your comment on paper,
write ‘‘Negative Option Rule; PRA
Comment: FTC File No. P072108’’ on
your comment and on the envelope, and
mail it to the following address: Federal
Trade Commission, Office of the
Secretary, 600 Pennsylvania Avenue
VerDate Sep<11>2014
17:31 Aug 29, 2023
Jkt 259001
NW, Suite CC–5610 (Annex J),
Washington, DC 20580.
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 (1) be filed in paper
form, (2) be clearly labeled
‘‘Confidential,’’ and (3) 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 October 30, 2023. For
information on the Commission’s
privacy policy, including routine uses
permitted by the Privacy Act, see
PO 00000
Frm 00060
Fmt 4703
Sfmt 4703
59923
https://www.ftc.gov/site-information/
privacy-policy.
Josephine Liu,
Assistant General Counsel for Legal Counsel.
[FR Doc. 2023–18769 Filed 8–29–23; 8:45 am]
BILLING CODE 6750–01–P
FEDERAL TRADE COMMISSION
Agency Information Collection
Activities; Proposed Collection;
Comment Request; Extension
Federal Trade Commission.
Notice.
AGENCY:
ACTION:
In accordance with the
Paperwork Reduction Act of 1995
(‘‘PRA’’), 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 in the Trade Regulation
Rule entitled Labeling and Advertising
of Home Insulation (‘‘R-value Rule’’ or
‘‘Rule’’). That clearance expires on
March 31, 2024.
DATES: Comments must be filed by
October 30, 2023.
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 ‘‘R-value Rule; PRA
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.
FOR FURTHER INFORMATION CONTACT:
Hampton Newsome, Attorney, Division
of Enforcement, Federal Trade
Commission, Room CC–9528, 600
Pennsylvania Avenue NW, Washington,
DC 20580, (202) 326–2889.
SUPPLEMENTARY INFORMATION:
Title of Collection: R-value Rule, 16
CFR part 460.
OMB Control Number: 3084–0109.
Type of Review: Extension without
change of currently approved collection.
Abstract: The R-value Rule establishes
uniform standards for the substantiation
and disclosure of accurate, material
product information about the thermal
performance characteristics of home
insulation products. The R-value of an
insulation signifies the insulation’s
SUMMARY:
E:\FR\FM\30AUN1.SGM
30AUN1
59924
Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices
degree of resistance to the flow of heat.
This information tells consumers how
well a product is likely to perform as an
insulator and allows consumers to
determine whether the cost of the
insulation is justified.
Affected Public: Insulation
manufacturers, installers, home
builders, home sellers, insulation
sellers.
Estimated Annual Burden Hours:
100,874 hours.
Estimated Annual Labor Costs:
$2,424,450.68 (solely related to labor
costs).
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
OMB extend the existing clearance for
the information collection requirements
contained in the R-value Rule.
lotter on DSK11XQN23PROD with NOTICES1
Burden Statement
Estimated Annual Burden Hours:
100,874 hours.
The Rule’s requirements include
product testing, recordkeeping, and
third-party disclosures on labels, fact
sheets, advertisements, and other
promotional materials. Based on
information provided by industry and
government sources, FTC staff estimates
that the Rule affects: (1) 150 Insulation
manufacturers and their testing
laboratories; (2) 1,615 installers who sell
home insulation; (3) 1,670,00 new home
sales; and (4) 7,500 retail sellers who
sell home insulation for installation by
consumers.
1. Manufacturers
Under the Rule’s testing requirements,
manufacturers must test each insulation
product for its R-value. Based on past
industry input, FTC staff estimates that
the test takes approximately two hours.
Approximately 15 of the 150 insulation
manufacturers in existence introduce
one new product each year. Their total
annual testing burden is therefore
approximately 30 hours.
FTC staff further estimates that most
manufacturers require an average of
approximately 20 hours per year
regarding third-party disclosure
requirements in advertising and other
promotional materials. Only the five or
six largest manufacturers require
additional time, approximately 80 hours
each. Thus, the annual third-party
disclosure burden for manufacturers is
approximately 3,360 hours [(144
manufacturers × 20 hours) + (6
manufacturers × 80 hours)].
While the Rule imposes
recordkeeping requirements, most
manufacturers and their testing
laboratories keep their testing-related
VerDate Sep<11>2014
17:31 Aug 29, 2023
Jkt 259001
records in the ordinary course of
business. FTC staff estimates that no
more than one additional hour per year
per manufacturer is necessary to comply
with this requirement, for an annual
recordkeeping burden of approximately
150 hours (150 manufacturers × 1 hour).
This yields a total annual burden of
3,540 hours (30 hours for testing + 3,360
hours for third-party disclosures + 150
hours for recordkeeping) for
manufacturers.
2. Installers
Installers are required to show the
manufacturers’ insulation fact sheet to
retail consumers before purchase. They
must also disclose information in
contracts or receipts concerning the Rvalue and the amount of insulation to
install. FTC staff estimates that two
minutes per sales transaction is
sufficient to comply with these
requirements. Approximately 2,000,000
retrofit insulations (an industry source’s
estimate) are installed by approximately
1,615 installers per year, and, thus, the
related annual burden total is
approximately 66,667 hours (2,000,000
sales transactions × 2 minutes). FTC
staff anticipates that one hour per year
per installer is sufficient to cover
required disclosures in advertisements
and other promotional materials. Thus,
the burden for this requirement is
approximately 1,615 hours per year. In
addition, installers must keep records
that indicate the substantiation relied
upon for savings claims. The additional
time to comply with this requirement is
minimal—approximately 5 minutes per
year per installer—for a total of
approximately 135 hours.
This yields a total annual burden of
68,417 hours (66,667 hours for contract
disclosures + 1,615 hours for
promotional material disclosures + 135
hours for recordkeeping) for installers.
3. New Home Sellers
New home sellers must make contract
disclosures concerning the type,
thickness, and R-value of the insulation
they install in each part of a new home.
FTC staff estimates that not more than
30 seconds per sales transaction are
required to comply with this
requirement, for a total annual burden
of approximately 13,917 hours (an
estimated 1,670,000 new home sales per
year 1 × 30 seconds). New home sellers
who make energy savings claims must
also keep records regarding the
substantiation relied upon for those
1 See Table 3b on housing starts for privately
owned units for 2022 at U.S. Census Bureau,
Monthly New Residential Construction—June 2023
(July 19, 2023), https://www.census.gov/
construction/nrc/pdf/newresconst.pdf.
PO 00000
Frm 00061
Fmt 4703
Sfmt 4703
claims. FTC staff believes that the 30
seconds covering disclosures would also
encompass this recordkeeping element.
This yields a total annual burden of
13,917 hours (for disclosures) for new
home sellers.
4. Retail Sellers
The Rule requires that the
approximately 7,500 retailers who sell
home insulation make fact sheets
available to consumers before purchase.
This can be accomplished by, for
example, placing copies in a display
rack or keeping copies in a binder on a
service desk with an appropriate notice.
Replenishing or replacing fact sheets
should require no more than
approximately one hour per year per
retailer, for a total of 7,500 annual
hours, industry-wide.
The Rule also requires specific
disclosures in advertisements or other
promotional materials to ensure that the
claims are fair and not deceptive. This
burden is very minimal because retailers
typically use advertising copy provided
by the insulation manufacturer, and
even when retailers prepare their own
advertising copy, the Rule provides
some of the language to be used.
Accordingly, approximately one hour
per year per retailer should suffice to
meet this requirement, for a total annual
burden of approximately 7,500 hours.
Retailers who make energy savings
claims in advertisements or other
promotional materials must keep
records that indicate the substantiation
they are relying upon. Because few
retailers make these types of
promotional claims and because the
Rule permits retailers to rely on the
insulation manufacturer’s substantiation
data for any claims that are made, the
additional recordkeeping burden is de
minimis. The time calculated for
disclosures, above, would be more than
adequate to cover any burden imposed
by this recordkeeping requirement.
This yields a total annual burden of
15,000 hours (for fact sheet and other
disclosures) for retail sellers.
Estimated Annual Cost Burden:
$2,424,450.68 (solely related to labor
costs).
The total annual labor cost for the
Rule’s information collection
requirements is approximately
$2,424,450.68, derived as follows:
approximately $963 for testing, based on
30 hours for manufacturers (30 hours ×
$32.10 per hour for skilled technical
personnel); $5,420.70 for manufacturers’
and installers’ compliance with the
Rule’s recordkeeping requirements,
based on 285 hours (285 hours × $19.02
per hour for clerical personnel);
$63,907.20 for manufacturers’
E:\FR\FM\30AUN1.SGM
30AUN1
Federal Register / Vol. 88, No. 167 / Wednesday, August 30, 2023 / Notices
compliance with third-party disclosure
requirements, based on 3,360 hours
(3,360 hours × $19.02 per hour for
clerical personnel); and $2,354,159.78
for disclosure compliance by installers,
new home sellers, and retailers (97,199
hours × $24.22 per hour for sales
persons).2
There are no significant current
capital or other non-labor costs
associated with this Rule. Because the
Rule has been in effect since 1980,
members of the industry are familiar
with its requirements and already have
in place the equipment for conducting
tests and storing records. New products
are introduced infrequently. Because the
required disclosures are placed on
packaging or on the product itself, the
Rule’s additional disclosure
requirements do not cause industry
members to incur any significant
additional non-labor associated costs.
lotter on DSK11XQN23PROD with NOTICES1
Request for Comment
Pursuant to Section 3506(c)(2)(A) of
the PRA, the FTC invites comments on:
(1) whether the disclosure and
recordkeeping requirements are
necessary, including whether the
information will be practically useful;
(2) the accuracy of our burden estimates,
including whether the methodology and
assumptions used are valid; (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.
For the FTC to consider a comment,
we must receive it on or before October
30, 2023. 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.
You can file a comment online or on
paper. Due to 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 file your comment on paper,
write ‘‘R-value Rule; PRA Comment:
FTC File No. P072108,’’ on your
comment and on the envelope, and mail
it to the following address: Federal
Trade Commission, Office of the
Secretary, 600 Pennsylvania Avenue
2 The wage rates for skilled technical personnel
(engineering technologists and technicians, except
drafters), clerical personnel (file clerks), and sales
persons (sales and related occupations) are based on
are based on recent data from the Bureau of Labor
Statistics Occupational Employment Statistics
Survey. See U.S. Bureau of Labor Statistics, Table
1. National Employment and Wage Data from the
Occupational Employment and Wage Statistics
Survey by Occupation (May 2022), https://
www.bls.gov/news.release/ocwage.t01.htm.
VerDate Sep<11>2014
17:31 Aug 29, 2023
Jkt 259001
NW, Suite CC–5610 (Annex J),
Washington, DC 20580.
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 (1) be filed in paper
form, (2) be clearly labeled
‘‘Confidential,’’ and (3) 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 October 30, 2023. For
information on the Commission’s
privacy policy, including routine uses
permitted by the Privacy Act, see
PO 00000
Frm 00062
Fmt 4703
Sfmt 4703
59925
https://www.ftc.gov/site-information/
privacy-policy.
Josephine Liu,
Assistant General Counsel for Legal Counsel.
[FR Doc. 2023–18767 Filed 8–29–23; 8:45 am]
BILLING CODE 6750–01–P
FEDERAL TRADE COMMISSION
Agency Information Collection
Activities; Proposed Collection;
Comment Request; Extension
Federal Trade Commission.
Notice.
AGENCY:
ACTION:
The Federal Trade
Commission (‘‘FTC’’ or ‘‘Commission’’)
is seeking public comments on its
proposal to extend for an additional
three years the current Paperwork
Reduction Act (‘‘PRA’’) clearance for
information collection requirements
contained in the Fair Packaging and
Labeling Act regulations (‘‘FPLA
Rules’’). That clearance expires on
March 31, 2024.
DATES: Comments must be filed by
October 30, 2023.
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 ‘‘FPLA Rules, PRA
Comment, P074200’’ 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.
FOR FURTHER INFORMATION CONTACT: Jock
Chung, Attorney, Division of
Enforcement, Bureau of Consumer
Protection, Federal Trade Commission,
Room CC–9543, 600 Pennsylvania
Avenue NW, Washington, DC 20580,
(202) 326–2984.
SUPPLEMENTARY INFORMATION:
Title of Collection: Regulations Under
Section 4 of the Fair Packaging and
Labeling Act (FPLA), 16 CFR parts 500–
503.
OMB Control Number: 3084–0110.
Type of Review: Extension without
change of currently approved collection.
Abstract: The Fair Packaging and
Labeling Act, 15 U.S.C. 1451 et seq., was
enacted to enable consumers to obtain
accurate package quantity information
to facilitate value comparisons and
prevent unfair or deceptive packaging
SUMMARY:
E:\FR\FM\30AUN1.SGM
30AUN1
Agencies
[Federal Register Volume 88, Number 167 (Wednesday, August 30, 2023)]
[Notices]
[Pages 59923-59925]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-18767]
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
Agency Information Collection Activities; Proposed Collection;
Comment Request; Extension
AGENCY: Federal Trade Commission.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: In accordance with the Paperwork Reduction Act of 1995
(``PRA''), 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 in the Trade Regulation Rule
entitled Labeling and Advertising of Home Insulation (``R-value Rule''
or ``Rule''). That clearance expires on March 31, 2024.
DATES: Comments must be filed by October 30, 2023.
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 ``R-value Rule; PRA
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.
FOR FURTHER INFORMATION CONTACT: Hampton Newsome, Attorney, Division of
Enforcement, Federal Trade Commission, Room CC-9528, 600 Pennsylvania
Avenue NW, Washington, DC 20580, (202) 326-2889.
SUPPLEMENTARY INFORMATION:
Title of Collection: R-value Rule, 16 CFR part 460.
OMB Control Number: 3084-0109.
Type of Review: Extension without change of currently approved
collection.
Abstract: The R-value Rule establishes uniform standards for the
substantiation and disclosure of accurate, material product information
about the thermal performance characteristics of home insulation
products. The R-value of an insulation signifies the insulation's
[[Page 59924]]
degree of resistance to the flow of heat. This information tells
consumers how well a product is likely to perform as an insulator and
allows consumers to determine whether the cost of the insulation is
justified.
Affected Public: Insulation manufacturers, installers, home
builders, home sellers, insulation sellers.
Estimated Annual Burden Hours: 100,874 hours.
Estimated Annual Labor Costs: $2,424,450.68 (solely related to
labor costs).
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 OMB extend the existing clearance for the
information collection requirements contained in the R-value Rule.
Burden Statement
Estimated Annual Burden Hours: 100,874 hours.
The Rule's requirements include product testing, recordkeeping, and
third-party disclosures on labels, fact sheets, advertisements, and
other promotional materials. Based on information provided by industry
and government sources, FTC staff estimates that the Rule affects: (1)
150 Insulation manufacturers and their testing laboratories; (2) 1,615
installers who sell home insulation; (3) 1,670,00 new home sales; and
(4) 7,500 retail sellers who sell home insulation for installation by
consumers.
1. Manufacturers
Under the Rule's testing requirements, manufacturers must test each
insulation product for its R-value. Based on past industry input, FTC
staff estimates that the test takes approximately two hours.
Approximately 15 of the 150 insulation manufacturers in existence
introduce one new product each year. Their total annual testing burden
is therefore approximately 30 hours.
FTC staff further estimates that most manufacturers require an
average of approximately 20 hours per year regarding third-party
disclosure requirements in advertising and other promotional materials.
Only the five or six largest manufacturers require additional time,
approximately 80 hours each. Thus, the annual third-party disclosure
burden for manufacturers is approximately 3,360 hours [(144
manufacturers x 20 hours) + (6 manufacturers x 80 hours)].
While the Rule imposes recordkeeping requirements, most
manufacturers and their testing laboratories keep their testing-related
records in the ordinary course of business. FTC staff estimates that no
more than one additional hour per year per manufacturer is necessary to
comply with this requirement, for an annual recordkeeping burden of
approximately 150 hours (150 manufacturers x 1 hour).
This yields a total annual burden of 3,540 hours (30 hours for
testing + 3,360 hours for third-party disclosures + 150 hours for
recordkeeping) for manufacturers.
2. Installers
Installers are required to show the manufacturers' insulation fact
sheet to retail consumers before purchase. They must also disclose
information in contracts or receipts concerning the R-value and the
amount of insulation to install. FTC staff estimates that two minutes
per sales transaction is sufficient to comply with these requirements.
Approximately 2,000,000 retrofit insulations (an industry source's
estimate) are installed by approximately 1,615 installers per year,
and, thus, the related annual burden total is approximately 66,667
hours (2,000,000 sales transactions x 2 minutes). FTC staff anticipates
that one hour per year per installer is sufficient to cover required
disclosures in advertisements and other promotional materials. Thus,
the burden for this requirement is approximately 1,615 hours per year.
In addition, installers must keep records that indicate the
substantiation relied upon for savings claims. The additional time to
comply with this requirement is minimal--approximately 5 minutes per
year per installer--for a total of approximately 135 hours.
This yields a total annual burden of 68,417 hours (66,667 hours for
contract disclosures + 1,615 hours for promotional material disclosures
+ 135 hours for recordkeeping) for installers.
3. New Home Sellers
New home sellers must make contract disclosures concerning the
type, thickness, and R-value of the insulation they install in each
part of a new home. FTC staff estimates that not more than 30 seconds
per sales transaction are required to comply with this requirement, for
a total annual burden of approximately 13,917 hours (an estimated
1,670,000 new home sales per year \1\ x 30 seconds). New home sellers
who make energy savings claims must also keep records regarding the
substantiation relied upon for those claims. FTC staff believes that
the 30 seconds covering disclosures would also encompass this
recordkeeping element.
---------------------------------------------------------------------------
\1\ See Table 3b on housing starts for privately owned units for
2022 at U.S. Census Bureau, Monthly New Residential Construction--
June 2023 (July 19, 2023), https://www.census.gov/construction/nrc/pdf/newresconst.pdf.
---------------------------------------------------------------------------
This yields a total annual burden of 13,917 hours (for disclosures)
for new home sellers.
4. Retail Sellers
The Rule requires that the approximately 7,500 retailers who sell
home insulation make fact sheets available to consumers before
purchase. This can be accomplished by, for example, placing copies in a
display rack or keeping copies in a binder on a service desk with an
appropriate notice. Replenishing or replacing fact sheets should
require no more than approximately one hour per year per retailer, for
a total of 7,500 annual hours, industry-wide.
The Rule also requires specific disclosures in advertisements or
other promotional materials to ensure that the claims are fair and not
deceptive. This burden is very minimal because retailers typically use
advertising copy provided by the insulation manufacturer, and even when
retailers prepare their own advertising copy, the Rule provides some of
the language to be used. Accordingly, approximately one hour per year
per retailer should suffice to meet this requirement, for a total
annual burden of approximately 7,500 hours.
Retailers who make energy savings claims in advertisements or other
promotional materials must keep records that indicate the
substantiation they are relying upon. Because few retailers make these
types of promotional claims and because the Rule permits retailers to
rely on the insulation manufacturer's substantiation data for any
claims that are made, the additional recordkeeping burden is de
minimis. The time calculated for disclosures, above, would be more than
adequate to cover any burden imposed by this recordkeeping requirement.
This yields a total annual burden of 15,000 hours (for fact sheet
and other disclosures) for retail sellers.
Estimated Annual Cost Burden: $2,424,450.68 (solely related to
labor costs).
The total annual labor cost for the Rule's information collection
requirements is approximately $2,424,450.68, derived as follows:
approximately $963 for testing, based on 30 hours for manufacturers (30
hours x $32.10 per hour for skilled technical personnel); $5,420.70 for
manufacturers' and installers' compliance with the Rule's recordkeeping
requirements, based on 285 hours (285 hours x $19.02 per hour for
clerical personnel); $63,907.20 for manufacturers'
[[Page 59925]]
compliance with third-party disclosure requirements, based on 3,360
hours (3,360 hours x $19.02 per hour for clerical personnel); and
$2,354,159.78 for disclosure compliance by installers, new home
sellers, and retailers (97,199 hours x $24.22 per hour for sales
persons).\2\
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\2\ The wage rates for skilled technical personnel (engineering
technologists and technicians, except drafters), clerical personnel
(file clerks), and sales persons (sales and related occupations) are
based on are based on recent data from the Bureau of Labor
Statistics Occupational Employment Statistics Survey. See U.S.
Bureau of Labor Statistics, Table 1. National Employment and Wage
Data from the Occupational Employment and Wage Statistics Survey by
Occupation (May 2022), https://www.bls.gov/news.release/ocwage.t01.htm.
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There are no significant current capital or other non-labor costs
associated with this Rule. Because the Rule has been in effect since
1980, members of the industry are familiar with its requirements and
already have in place the equipment for conducting tests and storing
records. New products are introduced infrequently. Because the required
disclosures are placed on packaging or on the product itself, the
Rule's additional disclosure requirements do not cause industry members
to incur any significant additional non-labor associated costs.
Request for Comment
Pursuant to Section 3506(c)(2)(A) of the PRA, the FTC invites
comments on: (1) whether the disclosure and recordkeeping requirements
are necessary, including whether the information will be practically
useful; (2) the accuracy of our burden estimates, including whether the
methodology and assumptions used are valid; (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.
For the FTC to consider a comment, we must receive it on or before
October 30, 2023. 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.
You can file a comment online or on paper. Due to 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 file your comment on paper, write ``R-value Rule; PRA
Comment: FTC File No. P072108,'' 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.
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 (1) be filed in paper form, (2) be clearly labeled
``Confidential,'' and (3) 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 October 30,
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. 2023-18767 Filed 8-29-23; 8:45 am]
BILLING CODE 6750-01-P