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Federal Register / Vol. 86, No. 138 / Thursday, July 22, 2021 / Proposed Rules
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BILLING CODE 451027P

6. Regulatory Alternatives Executive Orders 12866 and 13563
direct agencies to assess all costs and benefits of available regulatory alternatives. Executive Order 13563
directs agencies to propose or adopt a regulation only upon a reasoned determination that its benefits justify its costs; tailor the regulation to impose the least burden on society, consistent with achieving the regulatory objectives; and in choosing among alternative regulatory approaches, select those approaches that maximize net benefits.
Executive Order 13563 further recognizes that some benefits are difficult to quantify and provides that, where appropriate and permitted by law, agencies may consider and discuss qualitatively values that are difficult or impossible to quantify.

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The Department notes that due to the prescriptive nature of Executive Order 14026, the Department does not have the discretion to implement alternatives that would violate the text of the Executive order, such as the adoption of a higher or lower minimum wage rate.
However, the Department considered several alternatives to discretionary proposals set forth in this NPRM.
First, as explained above, the Department has proposed to define the term United States, when used in a geographic sense, to mean the 50 States, the District of Columbia, Puerto Rico, the Virgin Islands, Outer Continental Shelf lands as defined in the Outer Continental Shelf Lands Act, American Samoa, Guam, the Commonwealth of the Northern Mariana Islands, Wake Island, and Johnston Island. This proposed definition would confer
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broader geographic scope of Executive Order 14026 than did the Departments prior rulemaking implementing Executive Order 13658, which the Department interpreted to only apply to contracts performed in the 50 States and the District of Columbia.
The Department considered defining the term United States to exclude contracts performed in the territories listed above, consistent with the discretionary decision made in the Departments prior rulemaking implementing Executive Order 13658.
Such an alternative would result in fewer contracts covered by Executive Order 14026 and fewer workers entitled to an initial $15 hourly minimum wage for work performed on or in connection with such contracts. This would result in a smaller income transfer to workers.
The Department rejected this alternative
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Table 11: Costs and Transfer Payments in Year 1, Firms with Affected Workers, as Share of Firm Revenue and Payroll , 2020$
Employer Employer Employer Costs and Revenue Payroll Costs and Costs and Transfers NAICS
Millions Millions Transfers Transfers as Share as Share a a of $1,000s of Payroll Revenue $4,167
0.071%
$809
0.365%
11
$2,949
$4,494
0.002%
$564
0.014%
21
$79
$411,211
0.001%
$48,815
0.004%
22
$2,152
$52,328
0.255%
$10,458
1.276%
23
$133,412
$312,190
0.015%
$38,312
0.120%
31-33
$45,992
$34,114
0.001%
$1,741
0.023%
42
$406
$17,090
0.396%
$1,556
4.350%
44-45
$67,706
$49,210
0.386%
$12,921
1.471%
48-49
$190,078
$206,290
0.010%
$46,393
0.047%
51
$21,602
$9,096
0.114%
$1,359
0.766%
52
$10,403
$6,212
0.009%
$1,073
0.050%
53
$542
$92,801
0.213%
$36,934
0.535%
54
$197,526
$23
0.005%
$58
0.002%
55
$1
$47,639
1.010%
$22,553
2.134%
56
$481,297
$17,564
0.138%
$5,931
0.410%
61
$24,322
$28,422
0.285%
$11,158
0.726%
62
$81,000
$54,885
0.044%
$17,194
0.140%
71
$24,067
72
$11,440
1.164%
$3,294
4.043%
$133,183
81
$9,186
0.263%
$2,273
1.063%
$24,158
$1,368,361
$263,395
0.108%
0.560%
$1,473,765
-a SUSB 2017. Inflated to 2020$ using the GDP deflator.