FTC Administrative Activities 2021 Supporting Statement (Part A)

Federal Trade Commission
Supporting Statement for FTC Administrative Activities
OMB Control No. 3084-0169
The Federal Trade Commission (“FTC” or “Commission”) is seeking renewal of its
existing clearance under the Paperwork Reduction Act (“PRA”), 44 U.S.C. §§ 3501-3521, for
Administrative Activities. This clearance addresses: (a) requests to the Commission under Parts
1 and 4 of the Commission’s Rules of Practice; (b) the FTC’s consumer complaint systems; and
(c) the FTC’s program evaluation activities. Each section below is broken into subsections
relating to these subject matter areas. The largest share of the burden for this clearance is
attributable to collections of information associated with the FTC’s consumer complaint
reporting systems.
Summary of Changes from Previously Approved Collection:
•

The largest share of the burden for this clearance is attributable to collections of
information associated with the FTC’s consumer complaint reporting systems. Based on
the average number of complaints received annually for the three years prior to the
clearance period, FTC staff anticipates a reduction in consumer complaint activity over
the course of the next three-year clearance period. This yields a reduction in the burden
associated with the Information Collection titled “Complaint Systems” from 1,166,994 to
452,131 hours annually.
Information Collection: Complaint Systems
Responses
Burden Hours
Current Cleared Totals

19,929,191

1,166,994

Requested 3-Year Burden

7,750,841

452,131

Difference (+/-)

(-12,178,330)

(-714,863)

•

The FTC has experienced a reduction in complaint volumes during the prior three years
following a temporary increase in Do-Not Call complaints over the course of the prior
three-year clearance (2018-2020). These revised estimates are in line with historical
trends following a temporary increase in complaint activity from 2015 to 2017.

•

There are no program changes or adjustments as a part of this renewal.

JUSTIFICATION
1) Necessity for Collecting the Information
a) Requests to the Commission
The Federal Trade Commission Act (“FTC Act”), 15 U.S.C. §§ 41 et seq., authorizes the
Federal Trade Commission to collect information for the purpose of responding to requests for

Commission action. Procedures relating to these collections are found in Parts 1 and 4 of the
Commission’s Rules of Practice.
Pursuant to Part 1 of the FTC’s rules of practice, any person, partnership, or corporation
may request advice from the Commission or FTC staff regarding a course of action the requester
contemplates. See 16 C.F.R. §§ 1.1-1.3. Under Rule 1.2, the request should state the question
that the requester wants resolved, disclose the identity of the companies and other persons
involved, cite the provision of law under which the question arises, and state all facts the
requester believes to be material. Such information is necessary for the Commission or FTC
staff to render responsive advice.
The FTC’s ethics regulations require former FTC employees who are seeking ethical
clearance to participate in FTC matters to submit screening affidavits to facilitate resolution of
their requests. See Commission Rule 4.1(b), 16 C.F.R. § 4.1(b). Requests to participate must
include, among other things, a description of the proceeding in which participation is
contemplated; the name of the Commission office or division in which the former employee was
employed and the position the employee occupied; and a statement whether, while employed by
the Commission, the former employee participated in any proceeding or investigation concerning
the same company, individual, or industry currently involved in the matter in question. These
requirements prevent the improper use of confidential nonpublic information acquired while
working at the FTC.
The Commission’s procedural rules also authorize outside parties to request employee
testimony, through compulsory process or otherwise, and to request documentary material
through compulsory process in cases or matters to which the agency is not a party. FTC Rule
4.11(e), 16 C.F.R. § 4.11(e). These rules require persons seeking testimony or material from the
Commission to submit a statement in support of the request. The statement must set forth the
party’s interest in the case or matter, the relevance of the desired testimony or material, and a
discussion of whether it is reasonably available from other sources. If testimony is sought, the
statement shall also contain a general summary of the testimony and a discussion of whether
Commission records could be produced and used in its place. The required information is
necessary to evaluate the request.
b) Complaint Systems
The FTC’s Bureau of Consumer Protection (“BCP”) allows consumers to report fraud,
identity theft, and National Do Not Call Registry violations through telephone hotlines and three
online consumer report forms. 1 Consumers may call a hotline phone number or log on to the
FTC’s website to report violations using the applicable reporting forms. The provision of this
information is voluntary and helps BCP staff to carry out the agency’s consumer protection
These online forms also include related variations that constitute the same basic “collection of information”:
(1) Spanish language versions also available at www.ftc.gov and (2) the www.econsumer.gov complaint form
utilized for cross-border complaints.
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mission. The FTC is also mandated by Congress under the Identity Theft and Assumption
Deterrence Act of 1998, 18 U.S.C. §§ 1001 et seq., to serve as the central clearinghouse for
identity theft complaints.
c) Program Evaluations
As described below, the FTC conducts evaluations of its competition advocacy program
and its merger divestiture orders.
Competition Advocacy Program. The FTC’s Competition Advocacy Program draws on
the Commission’s expertise in competition and consumer protection matters to encourage federal
and state legislatures, courts, and other state and federal agencies to consider the effects of
proposed actions on consumers and competition. Each year, the FTC sends approximately 20
letters or written comments to different state and federal government officials to provide
guidance on the likely competitive effects of various laws or regulations. Occasionally, the FTC
sends letters to certain private organizations, such as a trade or professional association, whose
policymaking activities may affect consumers or competition.
The FTC’s Office of Policy and Planning (“OPP”) evaluates the effectiveness of these
advocacy comments by soliciting feedback from selected comment recipients. Respondents’
participation is voluntary. Requests for feedback typically ask the respondents whether they
agree or disagree with a statement concerning the advocacy comment that they received. These
questions inquire as to the applicability, value, persuasive influence, public effect, and
informative value of the FTC’s comments. Respondents also have an opportunity to provide
additional remarks related either to the written comments received or the FTC’s advocacy
program in general. This process provides important information to enhance the effectiveness of
the competition advocacy program.
Statutory authority for the advocacy program is found in part in sections 6(a) and (f) of
the FTC Act, which authorize the FTC “to gather and compile information concerning, and to
investigate from time to time the organization, business, conduct, practices, and management of
any person, partnership, or corporation engaged in or whose business affects commerce,” and “to
make public from time to time such portions of the information obtained by it hereunder as are in
the public interest.” 2 These provisions authorize the Commission to participate in proceedings
conducted by other agencies, and to petition other agencies to implement rulemakings. 3
Divestiture Review. To resolve competitive concerns in mergers and acquisitions, the
Commission may order divestiture of assets to an acquirer approved by the Commission. In

2

15 U.S.C. §§ 46(a), (f).

See, e.g., A & B Freight Lines v. FTC, 1980-1 Trade Cas. (CCH) & 63,127 (D.D.C. 1980), aff’d. per
curiam, No. 80-1264 (D.C. Cir. Jan 26, 1981), cert. denied, 452 U.S. 962 (1981).
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order to assess the effectiveness of these divestitures, the FTC’s Bureau of Competition’s
Compliance Division conducts relatively brief follow-up calls with acquirers of divested assets.
2) Use of the Information
a) Requests to the Commission
The Commission seeks information from members of the public who submit requests for
Commission action to facilitate an appropriate response to their requests. For example,
information submitted to the Commission pursuant to FTC Rule 4.1(b) enables the Commission
to determine whether it should permit a person or entity to participate in an FTC matter. In
addition, information submitted pursuant to Rule 4.11(e) requests enables FTC staff to determine
how to best allocate agency resources (e.g., staff may deny a request for testimony from an FTC
employee where it appears that such testimony would not be in the public interest).
b) Complaint Systems
The FTC’s Consumer Response Center (“CRC”) processes complaints received by
telephone and submitted online and stores them in Consumer Sentinel, a secure online database
available only to law enforcement. The forms and survey are used to improve public access to
the CRC. Consumers may call a hotline phone number or may log on to the FTC’s web site to
register a complaint using the applicable complaint form.
c) Program Evaluations
Competition Advocacy Program. The information gathered from recipients of advocacy
comments is used internally to assess the effectiveness of the FTC’s advocacy program. This
information is also used to target limited advocacy resources most efficiently. The ability to
learn from survey results has furthered the success of the FTC’s advocacy program, as
demonstrated by a 2016 award by the International Competition Network to the FTC for its
advocacy work involving disruptive technologies and the sharing economy. 4
Divestiture Review. The information obtained by the FTC’s Bureau of Competition as a
result of its follow-up conversations with acquirers of divested assets under Commission merger
orders will be used to assess the effectiveness of the orders and refine future remedies, where
necessary and appropriate.

THE WORLD BANK 2015-2016 Competition Advocacy Contest, How to Build a Culture of Competition for
Private Sector Development and Economic Growth (2016).
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3) Consideration of the Use of Information Technology to Reduce Burden
The Commission employs electronic options for filing and data collection whenever
possible, consistent with the purposes of the Government Paperwork Elimination Act, 44 U.S.C.
§ 3504 note (“GPEA”).
a) Requests to the Commission
Requests for Commission action under the Commission’s procedural rules are filed
electronically and on paper. 16 C.F.R. § 4.2(d)(2).
b) Complaint Systems
The CRC offers consumers the ability to submit consumer reports via internet, mail, or
telephone, but most consumers file consumer reports and complaints with the Commission via
the internet or by telephone. When the Commission invites consumers to provide feedback
regarding their experience filing a report, it does so via the same means through which the report
was filed.
c) Program Evaluations
Commission Advocacy Program. Staff typically sends requests for feedback
electronically. Where staff requests feedback by U.S. mail, staff includes a self-addressed
stamped envelope for responses.
Divestiture Review. Staff employ direct telephone conversations with the acquirers of
divested assets to obtain information as part of divestiture reviews. Engaging in real time
discussion enables both staff and acquirers to ask follow-up questions and seek additional
clarification as necessary.
4) Efforts to Identify Duplication/Availability of Similar Information
a) Requests to the Commission
FTC staff has not identified any other sources that would provide the information
necessary to review and respond to requests to the Commission pursuant to its Rules of Practice.
It is important that requesters certify that they are making a full disclosure of relevant
information to allow the Commission to respond effectively to requests for advisory opinions,
clearance to participate in FTC matters, or to provide documents or testimony from Commission
employees.

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b) Complaint Systems
Commission staff have not identified any other sources that would provide the
information necessary to evaluate the effectiveness of the Commission’s complaint systems.
c) Program Evaluations
Commission staff have not identified any other sources that would provide the
information obtained through its program evaluation functions for its advocacy and divestiture
review programs. Information regarding the efficacy of the Commission’s advocacy program
and the impacts of its divestiture orders are not readily available through other means.
5) Efforts to Minimize Burden on Small Businesses
a) Requests to the Commission
The Commission’s Rules of Practice are designed to impose the minimum burden
necessary on persons submitting requests for Commission action. The Commission’s rules
require submitters to provide only the information necessary to develop an informed response.
b) Consumer Reporting Systems
FTC consumer reporting forms are designed to impose the minimum burden necessary on
persons who submit consumer reports about fraud, identity theft, Do Not Call violations, and
other issues. Contacting the CRC with a consumer report is entirely voluntary, and consumers
have full discretion in determining how much information to provide with their report. In
addition, to facilitate consumer reporting, the FTC provides an online complaint assistant to walk
consumers through the reporting process at ReportFraud.ftc.gov and offers expanded hours of
operation for its hotline to better serve consumers and small businesses throughout the United
States.
c) Program Evaluations
Competition Advocacy Program. Requests for feedback on the efficacy of the
Commission’s advocacy program are unlikely to impose burden on small businesses. These
requests are typically targeted to state, federal, and local policymakers (e.g., state legislators and
federal regulators), but may occasionally be sent to private entities whose policymaking activities
may affect consumers or competition.
Divestiture Review. Surveys conducted as part of the Commission’s divestiture review
process are unlikely to impose burden on small businesses. The acquirers of divested assets are
typically not small businesses. To the extent that small businesses are involved in a divestiture
review, the Commission has minimized the potential burden on survey recipients. Participation
is voluntary, and the time involved to prepare for and participate in survey phone calls is limited.

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6) Consequences of Conducting Collection Less Frequently
a) Requests to the Commission
The required information is necessary to evaluate requests for Commission action
pursuant to its procedural rules. If the information required was collected less frequently, the
FTC’s ability to evaluate requests to participate in Commission matters and requests for
documents or testimony would be undermined. In addition, the Commission’s efforts to prevent
the misuse of nonpublic information would be hampered.
b) Complaint Systems
The requested information allows the FTC to evaluate the efficacy of its complaint
reporting systems. If the FTC is unable to collect timely information on consumer complaints
and customer satisfaction, the agency will lack critical input to effectively: (1) address consumer
education needs nationwide; (2) target companies and individuals actively defrauding the public;
and (3) review industry compliance with the numerous statutes and regulations enforced by the
FTC.
The consumer complaint data collected through the complaint forms is the foundation of
the FTC’s highly successful Consumer Sentinel Network. The Consumer Sentinel Network
allows federal, state and local law enforcement organizations common access to a secure
database containing over 20 million complaints, including victims of consumer fraud and identity
theft. To date, Consumer Sentinel has over 2,900 members, including international law
enforcement agencies. The continuous collection of consumer complaint data is critical to the
Consumer Sentinel Network’s sustained success.
The FTC is also mandated by Congress under the Identity Theft and Assumption
Deterrence Act of 1998, 18 U.S.C. § 1028 note, to be the central clearinghouse for identity theft
complaints. The FTC’s efforts in this regard serve to fulfill its statutory obligation.
c) Program Evaluations
Competition Advocacy Program. Responses are more accurate and useful when feedback
is solicited soon after an advocacy letter is sent to a recipient. If the FTC were to collect this
information less frequently, staff likely would receive fewer responses and the information
received would be less reliable.
Divestiture Review. The information is collected infrequently. Staff attempts to conduct
the first phone call approximately a year after the divestiture is completed, and conducts followup phone calls thereafter only if required. If these calls were not made, staff would not
necessarily become aware of issues that arise with a particular divestiture.

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7) Circumstances Requiring Collection Inconsistent With Guidelines
This collection of information is consistent with all applicable guidelines contained in 5
C.F.R. § 1320.5(d)(2).
8) Consultation Outside the Agency
The FTC sought public comment on its request to OMB for a three-year extension of the
current PRA clearance for this information collection, as required by 5 C.F.R. § 1320.8(d). See
86 Fed. Reg. 1971 (Jan. 11, 2021). No comments were received. The FTC is providing a second
opportunity for public comment while seeking OMB approval to extend this PRA clearance.
9) Payments or Gifts to Respondents
Not applicable.
(10) & (11)

Assurances of Confidentiality/Matters of a Sensitive Nature

Information collected by the FTC for a law enforcement purpose is subject to the
confidentiality provisions of Sections 6(f) and 21 of the Federal Trade Commission Act, 15
U.S.C. §§ 46(f), 57b-2, as applicable. Moreover, it is the FTC’s general policy not to publish or
divulge the name of a complaining party except as required by law or by the FTC’s rules. For
example, the FTC may disclose the identity of a consumer complainant in the course of referring
the complaint to other legal authorities. See FTC Rule of Practice 2.2(c), 16 C.F.R. § 2.2(c).
The FTC may share certain consumer complaints with the company that is the subject of
the complaint, if the FTC determines that such sharing would help resolve the consumer’s
complaint. Identity theft information also may be disclosed to financial institutions that have
signed a confidentiality agreement with the FTC. The FTC shares this information to fulfill its
statutory obligation under the Identity Theft and Assumption Deterrence Act of 1998, 18 U.S.C.
§ 1028 note. 5 Finally, the Commission may post trend reports based on aggregate data from
consumer fraud and identity theft complaints on the FTC.gov website, at
https://www.ftc.gov/enforcement/data-visualizations/explore-data. However, the Commission
does not release personally identifying information in these reports.
Information collected by the FTC is maintained and safeguarded in accordance with the
requirements of the Federal Information Security Modernization Act of 2014, 44 U.S.C. §§ 3551
et seq., and applicable OMB and NIST guidance. Notice to individuals about the FTC’s
information collection authority, purpose, and routine uses of their information is provided under
the Privacy Act of 1974, 5 U.S.C. § 552a, as applicable, and in system of records notices
In part, the Act requires that the FTC establish procedures to refer complaints to appropriate entities, which
may include “(A) the three major national consumer reporting agencies; and (B) appropriate law enforcement
agencies for potential law enforcement action.”

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published pursuant to the Act, including the safeguards that apply to such information. See
https://www.ftc.gov/site-information/privacy-policy/privacy-act-systems.
(12)

Burden Estimate
Estimated annual hours burden: 452,318 hours
Estimated annual cost burden: $26,890
a)

Requests to the Commission: 110 hours

FTC staff bases its estimates for requests to the Commission on the average number of
requests received in recent years. Based on this experience, staff estimates that the FTC receives
annually approximately 30 requests for clearance submitted by former FTC employees to
participate in certain matters and screening affidavits submitted by partners or legal or business
associates of former employees pursuant to Rule 4.1(b), 16 C.F.R. § 4.1(b). There are also
procedures set out in Rule 4.11(e) for agency review of outside requests for Commission
employee testimony, through compulsory process or otherwise, in cases or matters to which the
agency is not a party. Rule 4.11(e) requires that a person who seeks such testimony submit a
statement in support of the request. That statement must include the party’s interest in the given
case or matter, the relevance of testimony or material sought, and a discussion of whether it is
reasonably available from other sources. Staff estimates that agency personnel receive
approximately 15 such requests per year.
The Commission estimates that the above along with other miscellaneous requests
including requests for Commission or staff advisory opinions total approximately 55 requests per
year. Staff estimates respondents will incur, on average, approximately 2 hours of burden to
submit a request, resulting in a cumulative 110 burden hours per year (55 requests × 2 burden
hours).
Annual cost burden:
The Commission determines estimated labor costs by applying applicable wage rates to
the burden hours discussed above. Commission staff estimates that executives and attorneys for
a requester typically prepare and submit requests for Commission action. Based on an estimated
average wage of $145/hour for executive and attorney wages, staff estimates a total annual cost
burden of $15,950 (110 hours × $145). Staff estimates that requesters would incur no capital,
start-up, operation, maintenance, or other similar costs associated with submitting covered
requests.
b)

Complaint Systems: 452,131 annual hours

Consumer Response Center (CRC)
Consumers can submit reports about fraud and other violations of law via telephone or
through the FTC’s website to the CRC. Both methods collect the same types of data; telephone
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counselors request the same information that consumers would enter on the applicable forms
available on the FTC’s website. For telephone users, FTC staff estimates that it takes
approximately 6.1 minutes per call to gather the necessary information. FTC staff estimates that
it takes a consumer approximately 4.8 minutes to enter information on the Commission’s online
complaint form.
Complaints Concerning the National Do Not Call Registry
Consumer can submit reports regarding potential violations of the FTC’s Telemarketing
Sales Rule, 16 C.F.R. Part 310, and compliance with the National Do Not Call Registry. To
facilitate reporting, the FTC maintains both an online form and a toll free hotline with an
automated voice response system. The form and voice response system prompt consumers to
provide necessary information, including the phone number that was called, whether the call was
prerecorded, the date and time of the call, their contact information, and any additional comments
regarding their complaint. FTC staff estimates consumers are likely to spend approximately 3
minutes for filing a report by phone and 2.5 minutes for online complaints.
Identity Theft
Identity theft reports generally require the FTC to collect more information than is typical
for general consumer reports such as fraud complaints, including description of actions
complainants have taken with credit bureaus, companies, and law enforcement, and the
identification of multiple suspects. 6 In addition, the FTC’s IdentityTheft.gov website provides
consumers with enhanced features to allow consumers to create a personal recovery plan and
various steps to implement it. For consumers who create a personalized recovery plan, FTC staff
estimates that consumers will need 15 minutes, on average, to complete the complaint form,
create an IdentityTheft.gov account, and to review their personalized recovery plan. For
consumers who file a complaint but do not opt to create a personalized recovery plan, FTC staff
estimates that consumers will need approximately 8.5 minutes, on average, to complete the
online identity theft reporting form. For consumers who choose to report identity theft via
phone, FTC staff estimates that it takes approximately 6 minutes per call to file an identity theft
report. 7
CRC Surveys
The FTC conducts satisfaction surveys to obtain information about the support that the
CRC provides to consumers. Each consumer surveyed is asked several questions chosen from a
list prepared by staff. The questions request information about the overall effectiveness of the
Executive Order 13681, Improving the Security of Consumer Financial Transactions (October 17, 2014),
mandated that the FTC establish a complaint reporting system for Identity Theft victims on IdentityTheft.gov.
6

A substantial portion of identity theft-related calls typically consists of counseling consumers on other steps
they should consider taking to obtain relief (which may include directing consumers to a revised online complaint
form). The time needed for counseling is excluded from this estimate.

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call center and online complaint intake forms. For the online survey, half of the questions ask
consumers to rate CRC performance on a scale or request a yes-or-no response. The second half
of the online survey asks more open-ended questions seeking a short answer. In addition, the
CRC may survey a sample of consumers immediately after they file their complaints regarding
the services they received. Staff estimates that each respondent will require 4.3 minutes to
answer the questions during the phone survey and about 3.1 minutes for the online survey
(approximately 20-30 seconds per question).
In addition, the FTC uses ForeSee, Inc. for online customer satisfaction surveys on
ReportFraud.ftc.gov. It randomly selects consumers to take part in a brief survey to provide
feedback about the Web site. Staff estimates the brief survey will require 6.5 minutes per
respondent. This estimate and others relating to ForeSee surveys are included under “Misc. and
fraud-related consumer complaints (Web chat)” in the table below.
Consumer Sentinel Network Survey
The following table details FTC staff estimates of burden for these various collections of
information, including the surveys. These estimates are based on the average number of
complaints received annually for the previous three years from 2017-2019, and represent FTC
staff’s projections for the next three-year clearance period. The FTC has experienced a reduction
in complaint volumes during the prior three years following a temporary increase in Do-Not Call
complaints over the course of the prior three-year clearance. As a result, these estimates
represent a reduction in overall complaint volumes from the prior clearance, and are more in line
with the Commission’s historical experience.
Activity
Misc. and fraud-related
consumer complaints (phone)
Misc. and fraud-related
consumer complaints (online)
Misc. and fraud-related
consumer complaints (Web
chat)
Identity theft (Web chat)
Do-Not-Call related
consumer complaints (phone)
Do-Not-Call related
consumer complaints (online)
Identity theft complaints
(phone)
Identity theft complaints
(online) (those who create a
personal recovery plan)

#Respondents
338,831

#Minutes/Activity Total Hours
6.1
34,448

604,335

4.8

48,347

28,558

6.5

3,094

52,908
678,314

6.5
3.0

5,732
33,916

5,473,341

2.5

228,056

86,983

6.0

8,690

235,176

15.0

58,794

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Identity theft complaints
(online) (those who complete
online form but do not create
a personal recovery plan)
Identity Theft (Web chat)
CRC Customer Satisfaction
Questionnaire (phone)
CRC Customer Satisfaction
Questionnaire (online) –
ReportFraud.ftc.gov
CRC Customer Satisfaction
Questionnaire (online) –
IdentityTheft.gov
Totals

165,388

8.5

23,430

52,596
7,442

6.5
4.3

5,698
533

22,241

3.1

1,149

4,728

3.1

244

7,750,841

452,131

Annual cost burden:
The cost per respondent to file a complaint is negligible. Participation is voluntary and
will not require any labor expenditures by respondents. There are no capital, start-up, operation,
maintenance, or other similar costs for respondents.
c)

Program Evaluations: 77 hours

Competition Advocacy Program: 5 hours
As explained in Section 1(c), FTC staff sends requests for feedback to selected advocacy
comment recipients to help evaluate the effectiveness of the Commission’s advocacy program.
The Commission may send questionnaires to up to 20 respondents per year. These requests
solicit feedback on topics including the influence and effectiveness of advocacy comments. They
also provide respondents with an opportunity to provide additional remarks regarding the
comments they received and advocacy comments in general. The responses are used to guide the
FTC’s selection and prioritization of future competition advocacy opportunities.
FTC staff estimates that, on average, respondents will need 15 minutes or less to respond.
Thus, staff estimates a cumulative burden of 5 burden hours (20 respondents per year × 15
minutes per respondent). Staff does not intend to conduct any follow-up to these requests that
would require the participation of respondents.
Annual cost burden: FTC staff estimates an hourly labor cost of $100 for the time spent
by respondents (primarily, staff at state and federal agencies or members of federal and state
legislatures and their staff). Thus, staff estimates a total labor cost of $25 for each response (15
minutes × $100 per hour). Assuming 20 respondents will respond to requests for feedback on an
annual basis, staff estimates cumulative yearly labor costs will be approximately $500 (20

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respondents × $25 per response). FTC staff estimates that respondents would incur no capital,
start-up, operation, maintenance, or other similar costs for respondent to these questionnaires.
Divestiture Review: 72 hours
The Commission issues, on average, 15-17 orders in merger cases per year that require
divestitures or other remedies. Bureau of Competition (BC) staff monitors and evaluates the
effectiveness of these remedies by interviewing purchasers of the divested assets within the first
year after the divestiture is completed. 8
BC staff interviews representatives of the buyers to ask whether all assets required to be
divested were, in fact, divested; whether the buyer has used the divested assets to enter the
market of concern to the Commission and, if so, the extent to which the buyer is participating in
the market; whether the divestiture met the buyer’s expectations; and whether the buyer believes
the divestiture has been successful. In a few cases, BC staff may also interview monitors, if
appropriate. In these interviews, staff seeks to learn about pricing and other basic facts regarding
competition in the markets of concern, and participation is voluntary.
For interviews with purchasers of divested assets, responding companies designate the
company representative most likely to have the necessary information; typically, a company
executive and an attorney represent the company. Each interview takes less than one hour to
complete. BC staff further estimates that it takes each participant no more than one hour to
prepare for the interview. Accordingly, staff estimates that, for each interview with purchasers of
divested assets, staff estimates that two individuals (typically a company executive and an
attorney) will devote two hours each (one hour preparing and one hour participating) to
responding to questions for a total of four hours. Assuming that staff evaluates approximately 17
divestitures per year during the three-year clearance period, staff estimates that the total hours
burden will be approximately 68 hours per year (17 divestiture reviews × 4 hours for preparing
and participating). Staff may include approximately two monitor interviews a year. Interviews
of monitors typically involve only the monitor and staff estimates that monitors will devote
approximately one hour to complete the interview and no more than one hour to prepare for the
interview. This yields a burden of 4 hours for interviews with monitors (2 interviews × 2 hours
for preparing and participating). This yields a total burden of 72 burden hours per year.
Annual cost burden:
Using the burden hours estimated above, staff estimates that the total annual labor cost,
based on an estimated average of $145/hour for executive and attorney wages, would be $10,440
In rare instances when staff has difficulty reaching the buyer (for example, the initial buyer has either sold
the divested assets or has dissolved in bankruptcy), staff will attempt to contact the then current owners of the assets
if one exists. Even so, the information gathered during the interviews with successor owners will be very similar to
what staff would seek from the initial buyer.
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(72 hours × $145). There are no capital, start-up, operation, maintenance, or other similar costs
to respondents.
(13)

Estimated Capital and other Non-Labor Costs

There are no capital, start-up, operation, maintenance, or other similar costs to the
respondents.
(14)

Estimated Cost to Federal Government

Internal costing is based on the following assumed hourly wages for FTC staff, inclusive
of benefits: attorneys ($94/hour); paralegals ($63/hour); secretarial ($41/hour).
a)

Requests to the Commission: $16,500

Pursuant to Rule 4.1(b), the FTC receives approximately 30 requests for clearance
submitted by former FTC employees to participate in certain matters and screening affidavits
submitted by partners or legal or business associates of former employees. Staff spends roughly
2 hours of attorney time, in addition to 15 minutes of paralegal or secretarial support to resolve
each request, resulting in an annual cost of approximately $6,000.
The Commission’s rules also provide for agency review of outside requests for
Commission employee testimony through compulsory process or otherwise, requests for advisory
opinions, and requests for documentary material pursuant to compulsory process in cases or
matters to which the agency is not a party. Rule 4.11(e) requires that a person who seeks
testimony or material must submit a statement in support of the request. Staff estimates that
agency personnel receive approximately 3 requests seeking employee testimony each year. Staff
estimates that requests solely for FTC employee testimony will require approximately two hours
of staff attorney time plus 15 minutes of paralegal or secretarial support on each request.
Combined, that results in an approximate yearly cost of approximately $600-700 per year to
resolve requests for employee testimony.
Staff estimates that agency personnel receive approximately 25 other requests in a given
year seeking advisory opinions or documentary materials. 9 FTC staff projects these requests will
require on average four hours of attorney time and 15 minutes of paralegal or secretarial support
to resolve. Cumulatively, for 25 requests, this totals approximately $9,700 - $9,800 per year.

Responding to requests for materials can cost more than responding to requests simply for Commission
employee testimony since they generally require several hours of paralegal and staff attorney time to collect and
review documents.

9

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b)

Complaint Systems: $13,600,000

The total annual contract cost to the agency for its consumer complaint intake system
discussed above is approximately $13,600,000.
c)

Program Evaluations: $6,600

Competition Advocacy Program. FTC staff solicits feedback from up to 20 selected
advocacy comment recipients each year to help evaluate the effectiveness of the Commission’s
advocacy program. These solicitations for feedback require approximately 3 attorney hours and
7 paralegal hours. Analysis of the survey data and incorporation into written work product such
as the Commission’s annual Performance Plan, internal memoranda, and other documents
require approximately 20 attorney hours. FTC staff estimates that conducting surveys associated
with its advocacy program will require approximately $2,600 of attorney and paralegal time per
year.
Divestiture Review. The total annual cost to the agency for the information collection is
approximately $4,000. Each of the 17 annual reviews require approximately 3.0 hours by a staff
attorney. This includes about an hour to prepare for the call, the time for the call, and
approximately one hour to write up the results.
(15)

Changes in Burden

The largest share of the burden for this clearance is attributable to collections of
information associated with the FTC’s consumer complaint reporting systems. The changes in
burden estimates for the renewal period result from a decrease in FTC staff’s estimates of the
number of complaints that are anticipated for the period. The FTC’s burden estimates are based
on the average number of complaints received annually for the previous three years from 20172019, and represent FTC staff’s projections for the next three-year clearance period. The FTC
has experienced a reduction in complaint volumes during the prior three years following a
temporary increase in Do-Not Call complaints over the course of the prior three-year clearance
(2018-2020). As a result, these estimates represent a reduction in overall complaint volumes
from the prior clearance, and are more in line with the Commission’s historical experience. See
subsection (b) below for further details.
a)

Applications to the Commission:

There is no change.
b)

Complaint Systems:

The estimated annual hour burden relating to consumer complaint systems is adjusted
downward from 1,166,994 in 2018 to 452,131 in 2021, because of a reduction in the number of
consumer complaints received in the previous three years. FTC staff estimated in 2018 that the
FTC would receive approximately 19,929,191 per year during the 2018-2020 clearance period.
15

Instead, the Commission received on average 7,750,841 during that period. This rate of
complaints more accurately reflects the historical average for complaints received following a
temporary increase from 2015-2018. FTC staff’s new lower estimate for complaint activity has
resulted in an overall reduction in burden relating to consumer complaint systems for the renewal
period.
c)

Program Evaluations:

Competition Advocacy Program: There is no change.
Divestiture Review: There is no change.
(16)

Plans for Tabulation and Publication

a)

Requests to the Commission

Staff has no plans to publish any tabulations of the submitted information.
b)

Complaint Systems

The agency posts annual Data Books based on aggregate data from consumer fraud and
identity theft reports on the FTC.gov website, at https://www.ftc.gov/enforcement/datavisualizations/explore-data. The information in these reports includes the total number of
complaints by state and top complaint categories. There is also a counterpart annual analysis of
National Do Not Call Registry complaints. The agency may also create ad hoc reports containing
the aggregated data for specific industry sectors or geographic regions in response to requests
from Congress.
c)

Program Evaluations

Competition Advocacy Program. FTC staff anticipates periodic tabulation of responses
to prepare internal memoranda. Although FTC staff has no specific plans for publication,
external publication of the data in some format in the future is possible. Data from past surveys
has infrequently been published, for example, in an Organisation for Economic Cooperation and
Development presentation 10 and a law review article. 11
Divestiture Review. Staff does not anticipate tabulating results of the divestiture followups for publication.
See United States Note for OECD Roundtable on Evaluation of the Actions and Resources of Competition
Authorities (May 25, 2007), available at http://www.ftc.gov/sites/default/files/attachments/us-submissions-oecd-andother-international-competition-fora/evalauth.pdf.
10

Arnold C. Celnicker, The Federal Trade Commission’s Competition and Consumer Advocacy Program, 33
ST. LOUIS UNIVERSITY LAW JOURNAL 379 (1989).

11

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(17)

Display of the Expiration Date for OMB Approval

Not applicable. The expiration date will be displayed on relevant forms.
(18)

Exceptions to the Certification for Paperwork Reduction Act Submissions

The FTC certifies that this collection of information is consistent with the requirements of
5 C.F.R. § 1320.9, and the related provisions of 5 C.F.R. § 1320.8(b)(3), and is not seeking an
exception to these certification requirements.

17