2015 BE-15 Supporting Statement Part B 08192015

Supporting Statement for the

Annual Survey of Foreign Direct Investment in the United States (BE-15)

OMB Control Number 0608-0034

B. Collections of Information Employing Statistical Methods

1. Describe (including a numerical estimate) the potential respondent universe and any sampling or other respondent selection method to be used. Data on the number of entities in the universe and the corresponding sample are to be provided in tabular form. The tabulation must also include expected response rates for the collection as a whole. If the collection has been conducted before, provide the actual response rate achieved.

The potential respondent universe for the BE-15 annual survey consists of all U.S. business enterprises in which a foreign person owns or controls, directly or indirectly, 10 percent or more of the voting securities of an incorporated U.S. business enterprise, or an equivalent interest of an unincorporated U.S. business enterprise.

Sample selection for the BE-15 annual survey is based primarily on the size of the U.S. affiliate. The size thresholds are stated in terms of total assets, sales or gross operating revenues, and net income after income taxes, whether positive or negative. If any one of the three items exceeds the size threshold, then a report must be filed. See Section A.12. for the filing requirements by form. Estimates of the sample size and response rate below are based on recent BE-15 and BE-12 surveys.

BE-15 Universe, Sample, and Response Rate

	Number of companies	Percent of companies	Percent of assets
Universe	20,500	100%	100%
Sample:
BE-15A filers	1,800	9%	95%
BE-15B filers	1,100	5%	3%
BE-15C filers	1,400	7%	1%
Total Sample	4,300	21%	99%
Total nonsample	16,200	79%	1%
Expected response rate			98%

2. Describe the procedures for the collection, including: the statistical methodology for stratification and sample selection; the estimation procedure; the degree of accuracy needed for the purpose described in the justification; any unusual problems requiring specialized sampling procedures; and any use of periodic (less frequent than annual) data collection cycles to reduce burden.

BE-15 sample selection criteria are explained in B.1. above.

Data for the nonsample portion of the universe as well as for delinquent respondents will be statistically estimated and added to the data of the reported sample affiliates to provide universe estimates. The estimates are derived by extrapolating forward the data collected in the previous annual and benchmark surveys based on changes in the data reported for a matched sample of firms.

In this information collection, more detailed data are collected for larger U.S. affiliates than for smaller ones. BEA estimates data for the smaller U.S. affiliates using statistical methods so that the level of detail is the same regardless of firm size. In general, the estimation is based on relationships among data items for a panel of larger U.S. affiliates in similar industries.

3. Describe the methods used to maximize response rates and to deal with nonresponse. The accuracy and reliability of the information collected must be shown to be adequate for the intended uses. For collections based on sampling, a special justification must be provided if they will not yield "reliable" data that can be generalized to the universe studied.

Several steps will be taken to maximize response rates. First, BEA will provide respondents with advance notice of the survey by mail. The announcement will ask respondents to verify their mailing address and status as a reporter. It will also alert them to the availability of electronic filing.

In March of each year, all companies that have not yet filed using the early filing option in eFile will receive notification by mail of their obligation to file the BE-15 survey. BEA encourages respondents to file electronically but will also post PDF forms online that can be downloaded and filed by mail or fax. Any person specifically contacted by BEA must respond by filing either a completed survey or a Claim for Exemption. Nonrespondents will be sent follow-up notices and, in the event of continued nonresponse, will be referred to the Office of the General Counsel for further action, including possible referral to the Justice Department.

The response rates described in B.1., together with the estimation procedures described in B.2., will provide information of sufficient accuracy and reliability for the intended purpose.

4. Describe any tests of procedures or methods to be undertaken. Tests are encouraged as effective means to refine collections, but if ten or more test respondents are involved OMB must give prior approval.

No tests were conducted (aside from giving respondents the opportunity to comment on proposed changes, as described in A.8. above) as no change was made to the survey forms from the previous (2014) year.

5. Provide the name and telephone number of individuals consulted on the statistical aspects of the design, and the name of the agency unit, contractor(s), grantee(s), or other person(s) who will actually collect and/or analyze the information for the agency.

The survey is designed and conducted within BEA by the Direct Investment Division (DID). For further information, contact Patricia Abaroa, Chief, DID, via email at patricia.abaroa@bea.gov, or by phone at 202-606-9591.

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