Federal Register - June 23, 2021
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Source: Federal Register
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Federal Register / Vol. 86, No. 118 / Wednesday, June 23, 2021 / Rules and Regulations
production volume of the home-based firms. All of the firms in this second group have existing warning labels on their products, but not necessarily labels that are compliant with the requirements of ASTM F2194, as specified in 16 CFR part 1218, and would therefore, have to make label modifications. Given that these firms are used to working with warning labels, we estimate that the time required to make any modifications now or in the future would be about 1 hour per model. Based on an evaluation of supplier product lines, each entity supplies an average of 2 models of infant sleep products;
therefore, the estimated burden associated with labels for this second group is 1 hours per model 125
entities 2 models per entity = 250
hours.
The total burden hours attributable to warning labels is the sum of the burden hours for both entity groups: Very small home-based manufacturers 8,400
burden hours + non-home-based manufacturers and importers 250
burden hours = 8,650 burden hours. We estimate the hourly compensation for the time required to create and update labels is $33.71 U.S. Bureau of Labor Statistics, Employer Costs for Employee Compensation, December 2020, Supplementary table 1, total compensation for all sales and office workers in goods-producing private industries: https www.bls.gov/web/
ecec/ecsuptc.pdf. Therefore, the estimated annual cost to industry associated with the labeling requirements is $291,591.50 $33.71 per hour 8,650 hours = $291,591.50. No operating, maintenance, or capital costs are associated with the collection.
ASTM F2194 section 9 requires instructions to be supplied with the product. As already noted, the proposed Safety Standard for Infant Sleep Products requires infant sleep products to meet these requirements. Under the OMBs regulations 5 CFR 1320.3b2, the time, effort, and financial resources necessary to comply with a collection of information that would be incurred by persons in the normal course of their activities are excluded from a burden estimate, where an agency demonstrates that the disclosure activities required to comply are usual and customary.
We are unaware of infant sleep products that generally require use instructions but lack such instructions.
However, it is possible that the 1,200
home-based manufacturers of infant hammocks, baby nests, and in-bed sleepers may not supply instruction manuals as part of their normal course of activities. Based on information collected for the infant slings
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rulemaking, staff tentatively estimates that each small entity supplying homemade infant hammocks, baby nests, or in-bed sleepers might require 50 hours to develop an instruction manual to accompany their products.
These firms typically supply only one infant sleep product model. Therefore, the costs of designing an instruction manual for these firms could be as high as $2,022,600 50 hours per model 1
model per entity 1,200 entities =
$2,022,600. However, this cost estimate may overestimate the annual cost to industry because many home-based firms might not pay average U.S.
domestic wage rates. Not all firms would incur these costs every year, but new firms that enter the market would incur these costs, and this is a highly fluctuating market. Other firms are estimated to have no burden hours associated with instruction manuals because any burden associated with supplying instructions with infant sleep products would be usual and customary and not within the definition of burden under the OMBs regulations.
Based on this analysis, CPSC staff estimates that the final rule for infant sleep products would impose a burden to industry of 68,650 hours at a cost of $2,314,191.50 annually. In compliance with the Paperwork Reduction Act of 1995 44 U.S.C. 3507d, we have submitted the information collection requirements of this final rule to the OMB.
XVII. Congressional Review Act
XVI. Preemption
Administrative practice and procedure, Audit, Consumer protection, Reporting and recordkeeping requirements, Third party conformity assessment body.
Section 26a of the CPSA, 15 U.S.C.
2075a, provides that when a consumer product safety standard is in effect and applies to a product, no state or political subdivision of a state may either establish or continue in effect a standard or regulation that prescribes requirements for the performance, composition, contents, design, finish, construction, packaging, or labeling of such product dealing with the same risk of injury unless the state requirement is identical to the federal standard. Section 26c of the CPSA also provides that states or political subdivisions of states may apply to the Commission for an exemption from this preemption under certain circumstances. Section 104b of the CPSIA deems rules issued under that provision consumer product safety standards. Therefore, once this final rule for infant sleep products issued under section 104 of the CPSIA takes effect, the rule will preempt in accordance with section 26a of the CPSA.
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The Congressional Review Act CRA;
5 U.S.C. 801808 states that, before a rule may take effect, the agency issuing the rule must submit the rule, and certain related information, to each House of Congress and the Comptroller General. 5 U.S.C. 801a1. The submission must indicate whether the rule is a major rule. The CRA states that the Office of Information and Regulatory Affairs OIRA determines whether a rule qualifies as a major rule. Pursuant to the CRA, OIRA
designated this rule as not a major rule, as defined in 5 U.S.C. 8042. A
major rule is one that the Administrator of OIRA finds has resulted in, or is likely to result in: A
An annual effect on the economy of $100,000,000 or more; B a major increase in costs or prices for consumers, individual industries, Federal, State, or local government agencies, or geographic regions; or C a significant adverse effects on competition, employment, investment, productivity, innovation, or on the ability of United States-based enterprises to compete with foreignbased enterprises in domestic and export markets. 5 U.S.C. 8042. To comply with the CRA, CPSC will submit the required information to each House of Congress and the Comptroller General.
List of Subjects 16 CFR Part 1112
16 CFR Part 1130
Administrative practice and procedure, Business and industry, Consumer protection, Reporting and recordkeeping requirements.
16 CFR Part 1236
Consumer protection, Imports, Incorporation by reference, Infants and children, Labeling, Law enforcement, and Toys.
For the reasons discussed in the preamble, the Commission amends Title 16 of the Code of Federal Regulations as follows:
PART 1112REQUIREMENTS
PERTAINING TO THIRD PARTY
CONFORMITY ASSESSMENT BODIES
1. The authority citation for part 1112
continues to read as follows:
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23JNR2