Records of Things of Value to Retailers, and Occasional Letter Reports from Industry Members Regarding Information on Sponsorships, Advertisements, Promotions, etc., under the FAA Act

Forms and Documents

Document Name	Status
1513-0077 Supporting Statement (08-2019).docx Supporting Statement A	2019-08-13

IC Document Collections

IC ID	Document Title	Status
221090	Occasional Letter Reports from Industry Members Regarding Information on Sponsorships, Advertisements, Promotions, etc., under the FAA Act	Modified
16087	Records of Things of Value to Alcohol Beverage Retailers under the FAA Act (TTB REC 5190/1)	Modified

ICR Details

OMB Control No: 1513-0077	ICR Reference No: 201908-1513-004
Status: Active	Previous ICR Reference No: 201604-1513-007
Agency/Subagency: TREAS/TTB	Agency Tracking No: ICN 74 - 9/12
Title: Records of Things of Value to Retailers, and Occasional Letter Reports from Industry Members Regarding Information on Sponsorships, Advertisements, Promotions, etc., under the FAA Act
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 10/07/2019
	Date Received in OIRA: 08/29/2019
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	10/31/2022	36 Months From Approved	10/31/2019
Responses	59,950	0	25,010
Time Burden (Hours)	80	0	21
Cost Burden (Dollars)	0	0	0

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Abstract: The Federal Alcohol Administration Act (FAA Act) at 27 U.S.C. 205 generally prohibits alcohol beverage producers, importers, or wholesalers from offering inducements to alcohol retailers—giving things of value or conducting certain types of advertisements, promotions, or sponsorships—unless such an action is specifically exempted by regulation. Under that FAA Act authority, the Alcohol and Tobacco Tax and Trade Bureau (TTB) regulations in 27 CFR Part 6, “Tied-House,” describe exceptions to the general FAA Act prohibition on offering inducements to retailers and also describe things that are considered to be “things of value” for purposes of determining whether an inducement has been offered. Among other provisions, those regulations require alcohol beverage industry members to keep records concerning things of value furnished to retailers, identifying the item and the retailer receiving it, along with the industry member's cost and any charges to the retailer for the item. Industry members may use usual and customary business records to satisfy that recordkeeping requirement, and such records must be retained for 3 years, available for TTB inspection. In addition, the part 6 regulations provide that TTB may require, as part of a trade practice investigation, a letterhead report from an alcohol industry member regarding any advertisements, promotions, sponsorships, or other activities conducted by, on behalf of, or benefiting the industry member. This information collection is necessary to detect and prevent unfair trade practices as defined by the FAA Act, and ensure compliance with the Act’s trade practice exceptions and limitations.

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Authorizing Statute(s): US Code: 27 USC 205 Name of Law: Federal Alcohol Administration Act
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	84 FR 23157	05/21/2019
30-day Notice:	Federal Register Citation:	Citation Date:
	84 FR 45622	08/29/2019
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 2

IC Title	Form No.	Form Name
Occasional Letter Reports from Industry Members Regarding Information on Sponsorships, Advertisements, Promotions, etc., under the FAA Act
Records of Things of Value to Alcohol Beverage Retailers under the FAA Act (TTB REC 5190/1)

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	59,950	25,010	0	0	34,940	0
Annual Time Burden (Hours)	80	21	0	0	59	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: There are no program changes associated with this information collection. As for adjustments, due to a change in agency estimates resulting from continued growth in the number of alcohol industry members, TTB is increasing the number of annual respondents and responses to the recordkeeping portion of this information collection, from 25,000 to 59,940. However, because the required records are usual and customary records kept during the normal course of business, per the OMB regulations at 5 CFR 1320.3(b)(2), the total annual burden for the recordkeeping collection remains zero. (TTB is removing the 1 hour of annual burden previously reported as a place holder for this usual and customary record collection requirement.) As for adjustments to the reporting portion of this information collection, due to a change in agency estimates resulting from a TTB reevaluation of the time involved in compiling such reports, TTB is increasing the per-response burden for the occasional letterhead reports, from 2 hours per response to 8 hours. This increase results in an increase in the estimated total annual burden for this information collection request from 20 hours to 80. The number of annual respondents to the reporting portion of this collection remains the same at 10.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 08/29/2019

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