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Federal Register / Vol. 86, No. 152 / Wednesday, August 11, 2021 / Rules and Regulations facility, the cost came to $9.61.49 Thus, for an LNG or LHG facility, we estimated the total cost of assembling a 0.5-inch binder for an Operations Manual or Emergency Manual to be $9.50.50 These are the costs associated
with producing one copy of an Operations Manual or an Emergency Manual we estimated that they cost the same to assemble. For an MTR facility Operations Manual, we estimated the total cost to assemble to be $16.21.51 All
43927

binder assembly costs are shown in table 7. In the NPRM, in contrast, we estimated the cost to assemble an LNG/
LHG binder at $9.25 and the cost to assemble the MTR facility binder at $15.52.52

TABLE 7COST TO ASSEMBLE 0.5-INCH BINDERS FOR LNG/LHG AND MTR FACILITIES
0.5-Inch binder assembly costs Binder LNG/LHG
MTR

As amendments to both Operations Manuals and Emergency Manuals are usually 5 pages, in the NPRM we estimated the cost of paper to total $0.06 53 and the cost of printing to total $0.22.54 Due to rounding, those figures do not change when expressed in 2020
dollar terms.55 The estimated total cost of amendments, other than labor and shipping, is $0.28 per amendment.
These costs are the same regardless of
Print
$3.71
3.71

Printing
$0.63
0.63

whether the amendment is for an LNG
or LHG facility or an MTR facility.
Due to the difference in labor costs between LNG/LHG facilities and MTR
facilities, the labor costs for assembling amendments differs for facilities of different types. As stated previously, we found the labor cost to be $70.65 per hour for LNG/LHG facilities and $106.82 for MTR facilities. We found that printing 5 pages and assembling
Labor
$2.26
2.26

$2.90
9.61

Total $9.50
16.21

them for mailing took 1.25 minutes 0.02 hours. Hence, we estimated the labor costs for LNG/LHG facilities at $1.41 and for MTR facilities at $2.14.56 57 The total cost of creating a 5-page amendment for an LNG/LHG
facility is $1.69 per document and for MTR facility is $2.42. 58 59 These costs are detailed in table 8. In the NPRM, we estimated the associated costs at $1.60
and $2.28.60

TABLE 8COST TO ASSEMBLE 5-PAGE AMENDMENTS FOR LNG/LHG AND MTR FACILITIES
5-Page amendment assembly costs Facility type
Paper
LNG/LHG
MTR

In addition to the cost of assembling each manual and amendment, we also considered shipping and handling costs.
We calculated shipping and handling costs for both scenarios because, currently, there are situations when only one copy of a document needs to be mailed and other situations when two are needed.61
Because it is a legal requirement for these facilities to send their documents
49 0.09

hours multiplied by $106.82 equals $9.61.
cost of binder + $0.63 cost of blank paper + $2.26 printing cost + $2.90 labor cost of assembly = $9.50.
51 $3.71 cost of binder + $0.63 cost of blank paper + $2.26 printing cost + $9.61 labor cost of assembly = $16.21.
52 These numbers can be found in table 5 of the NPRM.
53 The mean cost of a 500-page ream of paper based on 5 prices at different retailers was found to be $6.25. Dividing $6.25 by 500 yields a per-sheet price of 1.25 cents per page. Multiplying 1.25 by 5
yields 6.25 cents, which is rounded down to 6
cents.
54 From table 6 in the NPRM.
55 $0.06 1.013 = $0.06078, rounded to $0.06.
$0.22 1.013 = $0.2228, rounded to $0.22.

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50 $3.71

VerDate Sep<11>2014

17:21 Aug 10, 2021

Jkt 253001

$0.06
0.06

to the COTP, we assumed that the manuals and amendments are sent with a mail service that permits tracking. We also assumed that facilities use a costeffective ground shipping method.62 As of June 7, 2021, there were 41 COTP
zones.63 All of these sites are clustered around shipping points in order to ensure COTPs can perform their functions. Hence, no facility should be very far, geographically, from a shipping
56 $70.65

multiplied by 0.02 equals $1.41.
multiplied by 0.02 equals $2.14.
58 $0.06 cost of paper plus $0.22 cost to print pages plus $1.41 labor cost to assemble equals $1.69.
59 $0.06 cost of paper plus $0.22 cost to print pages plus $2.00 labor cost to assemble equals $2.42.
60 From table 6 in the NPRM.
61 For example, currently, when documents are initially submitted to the Coast Guard, two copies of each are currently required to be sent, but when documents are required to be re-submitted to the Coast Guard to correct inadequacies, only one copy of a document needs to be sent.
62 The exact amount of time depends on the relevant applicable section of the regulations: 33
CFR 127.019b and 145.325c give facilities a time 57 $106.82

PO 00000

Frm 00019

Fmt 4700

Sfmt 4700

Printing $0.22
0.22

Labor $1.41
2.14

Total $1.69
2.42

point. We assumed that the manuals and amendments are sent via a shipping service such as UPS or FedEx. We assumed shipping distances to correspond to zone 2 distances in the UPS and FedEx pricing guides, as this is the closest shipping distance price point.64 Current regulations require that two copies be submitted to the COTP.

period of 30 days to file, 33 CFR 145.320a1 and 145.320b1 give facilities 45 days to file, and 33
CFR 145.325b gives facilities 60 days to file.
63 ArcGIS has a website listing the full set of 41
zones https hub.arcgis.com/datasets/
geoplatform::us-coast-guard-uscg-captain-of-theport-zones/explore?showTable=true, downloaded July 6, 2021.
64 The UPS pricing guide used was 2020 UPS
Rate and Service Guide, Daily Rates, updated October 5, 2020 https www.ups.com/assets/
resources/media/daily_rates.pdf, downloaded July 8, 2021; the FedEx price guide was Federal Express Service Guide, January 6, 2020, updated September 28, 2020 https www.fedex.com/
content/dam/fedex/us-united-states/services/
Service_Guide_2020.pdf, downloaded July 7, 2021.

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