Justification for Reducing FTC Previously Cleared Burden Estimate

Because the Federal Trade Commission (“FTC”) has shared enforcement jurisdiction for this
rule with the Consumer Financial Protection Board (“CFPB”) under the Dodd-Frank Act, the
CFPB has incorporated into its recently submitted burden estimates for affected rules either onehalf of the FTC’s pre-existing cleared burden estimates or, when applicable to a given rule, onehalf of the FTC’s previously cleared estimates net of burden estimates for motor vehicle dealer
respondents (the latter which the FTC will continue to wholly assume within its burden
estimates). OMB recently granted emergency clearance to the CFPB for this and other rules
affected by the Dodd-Frank Act amendments. Given that, if the FTC continued to carry in its
PRA burden inventory its previously cleared estimates for the affected rules, it would result in a
partial double-counting of burden in a cumulative sense. Accordingly, the FTC is submitting
this proposed burden estimate reduction to correct that outcome.