[Federal Register Volume 66, Number 239 (Wednesday, December 12, 2001)]
[Notices]
[Pages 64274-64280]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-30727]


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DEPARTMENT OF LABOR

Occupational Safety and Health Administration

[Docket No. NRTL95-F-1]


Nationally Recognized Testing Laboratories, Proposed Revised Fee 
Schedule

AGENCY: Occupational Safety and Health Administration (OSHA), Labor.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: This notice provides the proposed revised schedule of fees to 
be charged by the Occupational Safety and Health Administration (OSHA) 
to Nationally Recognized Testing Laboratories (NRTLs). As provided 
under 29 CFR 1910.7, OSHA charges fees for specific types of services 
if provides to NRTLs. These services are: Processing applications for 
the initial recognition of an organization as an NRTL, or for expansion 
or renewal of an existing NRTL's recognition, and performing audits 
(post-recognition reviews) of NRTLs to determine whether they continue 
to meet the requirements for recognition. The fees charged to NRTLs 
first went into effect on October 1, 2000.
    Annually, OSHA reviews the costs to the Government of providing the 
services to determine whether any changes to the fees are warranted. In 
this notice, we detail the projected costs of providing those services 
during calendar year 2002 and the resulting changes in the fees 
currently being charged. OSHA publishes this notice because it has 
determined that those changes are warranted.

DATES: The new fees shown in this notice will go into effect on January 
1, 2002. Written comments must be received on or before December 27, 
2002.

ADDRESSES: Submit written comments concerning this notice to: Docket 
Office, Docket NRTL95-F-1, U.S. Department of Labor, Occupational 
Safety and Health Administration, Room N2625, 200 Constitution Avenue, 
NW., Washington, DC 20210; telephone: (202) 693-2350. Commenters may 
transmit written comments of 10 pages or less in length by facsimile to 
(202) 693-1648. Submit request for extensions concerning this notice 
to: Office of Technical Programs and Coordination Activities, NRTL 
Program, Occupational Safety and Health Administration, U.S. Department 
of Labor, Room N3653, 200 Constitution Avenue, NW., Washington, DC 
20210.

FOR FURTHER INFORMATION CONTACT: Bernard Pasquet, Office of Technical 
Programs and Coordination Activities at the above address, or phone 
(202) 693-2110. Our web page includes information about the NRTL 
Program (see http://www.osha-slc.gov/dts/otpca/nrtl/index.html or see 
http://www.osha.gov and select ``Programs'').

SUPPLEMENTARY INFORMATION:

Notice of Changes in Fees

    The Occupational Safety and Health Administration (OSHA) hereby 
gives notice that it proposes to revise the current fees that the 
Agency charges to Nationally Recognized Testing Laboratories (NRTLs). 
OSHA is taking this action as a result of its annual review of the 
fees, as provided under 29 CFR 1910.7(f). This review has shown that 
the costs of providing the services covered by the fees have changed 
sufficiently to warrant revisions to the current Fees Schedule. OSHA 
promulgated the rule that established the fees on July 31, 2000 (65 FR 
46797-46819). The first Fee Schedule, i.e., the fees, went into effect 
on October 1, 2000. For those unfamiliar with OSHA's Program, we 
provide a brief overview below.
    Many of OSHA's safety standards require equipment or products that 
are going to be used in the workplace to be tested and certified to 
help assure they

[[Page 64275]]

can be used safety. Products or equipment that have been tested and 
certified must have a certification mark on them. An employer may rely 
on the certification mark, which shows the equipment or product has 
been tested and certified in accordance with OSHA requirements. In 
order to ensure that the testing and certification is done 
appropriately, OSHA implemented the NRTL Program. The NRTL Program 
establishes the criteria that an organization must meet in order to be 
and remain recognized as an NRTL.
    The NRTL Program requirements are set forth under 29 CFR 1910.7, 
``Definition and requirements for a nationally recognized testing 
laboratory.'' To be recognized by OSHA, an organization must: (1) Have 
the appropriate capability to test, evaluate, and approve products to 
assure their safe use in the workplace; (2) be completely independent 
of the manufacturers, vendors, and major users of the products for 
which OSHA requires certification; (3) have internal programs that 
ensure proper control of the testing and certification process; and (4) 
have effective reporting and complaint handling procedures.
    OSHA requires NRTL applicants (i.e., organizations seeking initial 
recognition as an NRTL) to provide detailed information about their 
programs, processes and procedures in writing when they apply for 
initial recognition. OSHA reviews the written information and conducts 
an on-site assessment to determine whether the organization meets the 
requirements of 29 CFR 1910.7. OSHA uses a similar process when an NRTL 
(i.e., an organization already recognized) applies for expansion or 
renewal of its recognition. In addition, the Agency conducts annual 
audits to ensure that the recognized laboratories maintain their 
programs and continue to meet the recognition requirements.
    Currently, there are 18 NRTLs operating over 45 recognized sites in 
the U.S., Canada, Europe, and the Far East.

Program Costs

    In preparing the proposed fee schedule presented in this notice, 
OSHA has evaluated the total resources that it has committed to the 
NRTL Program overall and has then estimated the costs that are involved 
solely with the application approval and the periodic review (i.e., 
audit) functions. It is these costs alone that OSHA seeks to recover 
through its fees. Personnel costs are the wages, salary, and fringe 
benefits costs of the staff positions involved and the number of full 
time equivalent (FTE) personnel devoted to the NRTL approval and review 
activities. These estimates also include travel and other costs of 
these activities. The Agency believes these estimates are fair and 
reasonable.
    Based on the total estimated costs and the total estimated FTE, 
OSHA has calculated an estimated equivalent cost per hour (excluding 
travel). This equivalent cost per hour includes both the direct and 
indirect cost per hour for ``direct staff'' members, who are the staff 
that perform the application, on-site, and legal reviews and the other 
activities involved in application processing and audits. In Figure 1, 
direct costs are expenses for direct staff members, and indirect costs 
are expenses for support and management staff, equipment, and other 
costs that are involved in the operation of the program. Support and 
management staff consists of program management and secretarial staff. 
Equipment and other costs are intended to over items such as computers, 
telephones, building space, utilities, and supplies, that are necessary 
or used in performing the services covered by the proposed fees. 
Although essential to the services provided, these indirect costs are 
not readily linked to the specific activities involved in application 
processing and audits and, as explained later, are therefore allocated 
to the activities based on direct staff costs.
    Figure 1 is an itemization of the estimated costs and the 
equivalent cost per hour calculated. OSHA believes that the costs shown 
fairly reflect the full cost of providing the services to NRTLs. This 
figure shows how we calculated the estimated equivalent cost per hour 
(excluding travel).

                            Figure 1.--Current Estimated Annual Costs of NRTL Program
----------------------------------------------------------------------------------------------------------------
                                                                                   Aver.cost per
                        Cost description                             Est. FTE     FTE (including    Total est.
                                                                                      fringe)          costs
----------------------------------------------------------------------------------------------------------------
Direct Staff Costs..............................................             4.7         $97,830        $459,800
Travel..........................................................              na              na          50,000
Indirect Staff & Other Costs....................................              na              na      \1\ 73,050
                                                                 -----------------------------------------------
    Total Est. Program Costs....................................  ..............  ..............         582,850
                                                                 ===============================================
Avg. direct staff cost/hr ($459,800  4.7 FTE  x  2,080    ..............  ..............              47
 hours).........................................................
Equivalent avg. direct staff cost/hr ($532,850  4.7 FTE   ..............  ..............           54.50
 x  2,080 hours) (includes direct & indirect costs).............
----------------------------------------------------------------------------------------------------------------
\1\ This amount consists of $34,800 of indirect staff costs and $38,250 for equipment and other costs.

    The use of an ``equivalent average direct staff cost per hour'' 
measure is a convenient method of allocating indirect costs to each of 
the services for which OSHA will charge fees. The same result is 
obtained if direct staff costs are first calculated and then indirect 
costs are allocated based on the value, i.e., dollar amount, of the 
direct staff costs, which is an approach that is consistent with 
Federal accounting standards. To illustrate, assume a direct staff 
member spends 10 hours on an activity; the direct staff costs would 
then be calculated as follows:

Direct staff costs = 10 hours  x  $40/hour = $400

    The $40/hour is the direct staff cost/hour amount shown in Figure 
1. The indirect costs would be allocated by first calculating the ratio 
of indirect costs to direct staff costs, again using the costs shown in 
Figure 1. This ratio would be as follows:

Indirect costs/direct staff costs = $76,300/$352,200 = 0.217

Next, the indirect costs would be calculated based on the $400 estimate 
of direct staff costs:

Indirect costs = $400  x  0.217 = $87

Finally, the total costs of the activity are calculated:

Total costs = direct staff costs + indirect costs = $400 + $87 = $487


[[Page 64276]]


Taking into account the rounding shown in Figure 1, the actual amount 
calculated would be $490.
    After estimating program costs, the Agency then estimated the time 
it spends on specific activities or functions. These estimates reflect 
the Agency's actual experience in performing the services covered by 
the fees. OSHA calculated time estimates for each major service 
category. These categories are: initial applications, expansion and 
renewal applications, and audits. OSHA further divided some categories 
into the major activities performed and estimated the staff time and 
travel costs for each of these activities. The Agency then calculated 
the cost of each major activity using the time estimates, the 
equivalent cost per hour, and the estimate of travel costs. These costs 
then serve as the basis for the fees later shown in the proposed fee 
schedule. Examples of the calculations are shown in Figures 2, 3, 4, 
and 5.

           Figure 2.--Estimated Costs for Initial Application
------------------------------------------------------------------------
                                                           Average cost
             Major activity                Average hours        \1\
------------------------------------------------------------------------
Initial Application Review; staff time:               80          $4,360
 (includes review by office and field
 staff).................................
On-Site Assessment--first day:
    Staff time (includes 16 hours                     28           1,526
     preparation, 4 hours travel, 8
     hours at site).....................
    Travel..............................  ..............             670
                                         -------------------------------
        Total (per site, per assessor)..  ..............           2,196
                                         ===============================
On-Site Assessment--addnl. day:                        8             436
    Staff time..........................
    Travel amount (to cover per diem)...  ..............              70
                                         -------------------------------
        Total (per site, per assessor)..  ..............             506
                                         ===============================
Final Report & Federal Register notice;              120           6,540
 staff time (includes work performed by
 field staff and office staff)..........
------------------------------------------------------------------------
\1\ Average cost for staff time equal average hours  x  equivalent
  average direct staff cost/hr ($54.50).


  Figure 3.--Estimated Cost for Expansion Application (Additional Site)
------------------------------------------------------------------------
                                                           Average cost
             Major activity                Average hours        \1\
------------------------------------------------------------------------
Application Review (expansion for site);              16            $870
 staff time: (includes review by office
 and field staff).......................
On-Site Assessment--first day:
    Staff time: (includes 8 hours                     20           1,090
     preparation, 4 hours travel, 8
     hours at site).....................
    Travel..............................  ..............             670
                                         -------------------------------
        Total (per site, per assessor)..  ..............           1,760
                                         ===============================
On-Site Assessment--addnl. day:
    Staff time..........................               8             436
    Travel amount: (to cover per diem)..  ..............              70
                                         -------------------------------
        Total (per site, per assessor)..  ..............             506
                                         ===============================
Final Report & Federal Register notice;               48           2,616
 staff time: (includes work performed by
 field staff and office staff)..........
------------------------------------------------------------------------
\1\ Average cost for staff time equal average hours  x  equivalent
  average direct staff cost/hr ($54.50).


     Figure 4.--Estimated Costs for Renewal or Expansion (Other Than
                      Additional Site) Application
------------------------------------------------------------------------
                                                           Average cost
             Major activity                Average hours        \1\
------------------------------------------------------------------------
Application Review (renewal or expansion               2            $109
 other than additional site); staff
 time: (includes review by office and
 field staff)...........................
On-Site Assessment--first day:
    Staff time: (includes 8 hours                     20           1,090
     preparation, 4 hours travel, 8
     hours at site).....................
    Travel..............................  ..............             670
                                         -------------------------------
        Total (per site, per assessor)..  ..............           1,760
                                         ===============================
On-Site Assessment--addnl. day:
    Staff time..........................               8             436
    Travel amount: (to cover per diem)..  ..............              70
                                         -------------------------------
        Total (per site, per assessor)..  ..............             506
                                         ===============================
Final Report & Federal Register notice;               48           2,616
 staff time: (includes work performed by
 field staff and office staff, if there
 is an on-site assessment)..............
Final Report & Federal Register notice;               28           1,526
 staff time: (includes work performed by
 field staff and office staff, if there
 is no on-site assessment)..............
------------------------------------------------------------------------
\1\ Average cost for staff time equal average hours  x  equivalent
  average direct staff cost/hr ($54.50).


[[Page 64277]]


              Figure 5.--Estimated Costs for On-Site Audit
------------------------------------------------------------------------
             Major activity                Average hours   Average cost*
------------------------------------------------------------------------
Pre-site Review; staff time: (field                    8            $436
 staff only)............................
On-Site Audit--first day:
    Staff time: (includes 4 hours                     12             654
     travel)............................
    Travel..............................  ..............             670
                                         -------------------------------
        Total (per site, per assessor)..  ..............           1,324
                                         ===============================
Final Report; staff time: (includes work              16             872
 performed by field staff)..............
                                         -------------------------------
    Total costs.........................  ..............       \2\ 2,632
------------------------------------------------------------------------
\1\ Average cost for staff time equal average hours  x  equivalent
  average direct staff cost/hr ($54.50).
\2\ Based on a one day audit. The costs for any additional days are the
  same as the per-day costs for an assessment.

    In deriving the fee amounts shown in the fee schedule, OSHA has 
generally rounded the costs shown in Figures 2, 3, 4, and 5, up or 
down, to the nearest $50 or $100 amount.
    OSHA believes that the amounts shown in the proposed schedule 
reflect the Agency's current reasonable estimation of the costs 
involved for the services rendered to NRTLs. As previously mentioned, 
OSHA is not attempting to recover the entire cost of the NRTL Program 
through the proposed fees but only the costs of providing these 
services.

What Has Changed

    The following table shows the major changes that we have made to 
the fee schedule, comparing the amount of the current fee to the fee in 
proposed fee schedule shown later in this notice. Following the table, 
we explain each of the changes.

                                     Table of Major Changes to Fees Schedule
----------------------------------------------------------------------------------------------------------------
                                                  Current fee    Proposed fee    Change in fee amount  (current
              Description of fee                    amount          amount               minus proposed)
----------------------------------------------------------------------------------------------------------------
Initial Application Fee.......................          $3,900          $4,400  $3,900-$4,400 = $500 (increase).
Expansion Application Fee (additional site)...           1,550             850  $1,550-$850 = $700 (reduction).
Expansion Application Fee (additional test               1,550             110  $1,550-$110 = $1,440
 standards).                                                                     (reduction).
Assessment--Initial Application (per site--              5,900           6,500  $5,900-$6,500 = $600 (increase).
 Submit With Application).
Review & Evaluation Fee (per 10 standards)                 *50      10  $500-$10 = $490 per ten
 (for standards already recognized for NRTLs                                     standards (reduction).
 or not requiring on-site review).
Final Report/Register Notice Fee--Renewal or             4,300           2,600  $4,300-$2,600 = $1,700
 Expansion Application (if OSHA performs on-                                     (reduction).
 site assessment).
Final Report/Register Notice Fee--Renewal or             4,300           1,500  $4,300-$1,500 = $2,800
 Expansion Application (if OSHA performs No on-                                  (reduction).
 site assessment).\5\
----------------------------------------------------------------------------------------------------------------
\*\ Per standard.
\\ Per ten standards.

    The current Expansion Application Fee was based upon an NRTL 
submitting an application that included adding a site and a set of 
standards to its recognition. Many past expansion applications that we 
had received were so structured, and the fees were estimated on the 
basis of receiving similar such applications. However, more recently, 
NRTLs have opted to submit an expansion application covering a limited 
number of test standards and did not couple this request with an 
expansion for an additional site. In addition, the current expansion 
application fee was estimated on the basis of the NRTL submitting 
documentation to justify its capabilities for performing testing in an 
area outside its present scope of recognition. However, if the testing 
falls within its current capabilities, the application consists of a 
letter listing the test standards for which it is seeking recognition. 
The review of this letter is similar to the review we perform for a 
renewal request. If OSHA must review substantial documentation, e.g., 
if the standard falls outside the NRTL's current testing capabilities, 
or if OSHA has not previously recognized the standard for any NRTL, the 
current per standard fee of $50 covers the necessary staff work to 
grant the expansion request for the particular standard. If on the 
other hand OSHA must perform minimal review in determining whether to 
grant the request for a standard, the rate is $10 for every ten or 
fewer standards. As a result, we have split the expansion application 
fee essentially into two fees and adjusted the review and evaluation 
fee to reflect the work involved for the scenarios just described.
    As shown in Figure 1 and later in the proposed fee schedule, the 
hourly cost charged for staff time will be $54.50, or about 11% higher 
than the hourly rate of $49 in our current fee schedule, which is 
available on our web site. The $49 was based upon staff salary and 
fringe and other program costs during 1999, whereas the $54.50 is based 
upon projected costs during 2002. Therefore, the 11% increase reflects 
changes that have accumulated over a three year period, or about 3.6% 
compounded annually, which is consistent with annual salary adjustments 
provided to Federal employees.

Fee Schedule and Description of Fees

    OSHA proposes the following fee schedule:

[[Page 64278]]



 Table A. Fee Schedule--Nationally Recognized Testing Laboratory Program (NRTL Program) Fee Schedule (Effective
                                              January 1, 2002) \10\
----------------------------------------------------------------------------------------------------------------
                                   Activity or category (fee charged
         Type of service             per application unless noted                     Fee amount
                                              otherwise)
----------------------------------------------------------------------------------------------------------------
Application Processing..........  Initial Application Review \1\....  $4,400.
                                  Expansion Application Fee (per      $850.
                                   additional site) \1\.
                                  Renewal Application Fee or          $110.
                                   Expansion (other) Application Fee
                                   \1\.
                                  Assessment--Initial Application     $6,500.
                                   (per site--Submit with
                                   Application) 2 4.
                                  Assessment--Initial Application     $1,500 + travel expenses.
                                   (per person, per site--first day--
                                   Billed After Assessment) 2 7 8.
                                  Assessment--Expansion or Renewal    $1,100 + travel expenses.
                                   Application (per person, per
                                   site--first day) 3 8.
                                  Assessment--each addnl. day (per    $440 + travel expenses.
                                   person, per site) 2 3 8.
                                  Review & Evaluation Fee \5\ ($10    $10 per 10 standards or $55 per standard.
                                   per 10 standards if standards
                                   already recognized for NRTLs or
                                   require minimal review; else $55
                                   per standard).
                                  Final Report/Register Notice--      $6,550.
                                   Initial Application \5\.
                                  Final Report/Register Notice Fee--  $2,600.
                                   Renewal or Expansion Application
                                   (if OSHA performs on-site
                                   assessment) \5\.
                                  Final Report/Register Notice Fee--  $1,500.
                                   Renewal or Expansion Application
                                   (if OSHA performs No on-site
                                   assessment) \5\.
Audits..........................  On-site Audit (per person, per      $1,950 + travel expenses.
                                   site--first day) \6\.
                                  On site Audit (per person, per      $440 + travel expenses.
                                   site--each addnl. day) \6\.
                                  Office Audit (per site) \6\.......  $440.
Miscellaneous...................  Supplemental Travel (per site--for  $1,000.
                                   sites located outside the 48
                                   contiguous States, including the
                                   District of Columbia) \4\.
                                  Late Payment \9\..................  $55.
----------------------------------------------------------------------------------------------------------------

Notes to OSHA Fee Schedule for NRTLs

    1. Who must pay the Application Review Fees, and when must they be 
paid?
    If you are applying for initial recognition as an NRTL, you must 
pay the Initial Application Review fee and include this fee with your 
initial application. If you are an NRTL and applying for an expansion 
or renewal of recognition, you must pay the Expansion Application 
Review fee or Renewal Application Review fee, as appropriate, and 
include the fee with your expansion or renewal application.
    2. What Assessment Fees do you submit for an initial application, 
and when must they be paid?
    If you are applying for initial recognition as an NRTL, you must 
pay $6,500 for each site for which you wish to obtain recognition, and 
you must include this amount with your initial application. We base 
this amount on two assessors performing a three day assessment at each 
site. After we have completed the assessment work, we will calculate 
our assessment fee based on the actual staff time and travel costs 
incurred in performing the assessment. We will calculate this fee at 
the rate of $1,500 for the first day and $440 for each additional day, 
plus actual travel expenses, for each assessor. Actual travel expenses 
are based on government per diem and travel fares. We will bill or 
refund the difference between the amount you pre-pair, $6,500/site, and 
this fee. We will reflect this difference in the final bill that we 
will send to you at the time we publish the preliminary Federal 
Register notice announcing the application.
    3. What assessment fees do you submit for an expansion or renewal 
application, and when must they be paid?
    If you are an NRTL and applying solely for an expansion or renewal 
of recognition, you do not submit any assessment fee with your 
application. If we need to perform an assessment for the expansion or 
renewal request, we will bill you for the fee after we perform the 
assessment for the actual staff time and travel costs we incurred in 
performing the assessment. We will assess this fee at the rate of 
$1,100 for the first day and $440 for each additional day, plus actual 
travel expenses, for each assessor. Actual travel expenses are based on 
government per diem and travel fares.
    4. When do I pay the Supplemental Travel fee?
    You must include this fee when you submit an initial application 
for recognition and the site you wish to recognized is located outside 
the 48 contiguous U.S. states (including the District of Columbia). The 
current supplemental travel fee is $1,000. We will factor in this 
prepayment when we bill for the actual costs of the assessment, as 
described in our note #2 above. See note 7 for possible refund of 
Assessment fees.
    5. When do I pay the Review and Evaluation and the appropriate 
Final Report/Register Notice fees?
    We will bill an applicant or an NRTL for the appropriate fees at 
the time we publish the preliminary Federal Register notice to announce 
the application. We will bill at the rate of $10 per 10 standards 
reviewed, or fraction thereof, for those standard and provide 
appropriate explanation.
    6. When do I pay the Audit fee?
    We will bill the NRTL for this fee (on-site or office, as deemed 
necessary) after completion of the audit. We will calculate our fee 
based on actual staff time and travel costs incurred in performing the 
audit. We will calculate this fee at the rate of $1,950 for the first 
day and $440 for each additional day, plus actual travel expenses for 
each auditor. Actual travel expenses are based on government per diem 
and travel fares.
    7. When and how can I obtain a refund for the fees that I paid?
    If you are applying for initial recognition as an NRTL, we will 
refund the assessment fees that we have collected if you withdraw your 
application before we have traveled to your site to perform the on-site 
assessment. We will also credit your account for any amount we owe you 
if the assessment fees we have collected are greater than the actual 
costs of the assessment. Other than these two cases, we will not refund 
or grant credit for

[[Page 64279]]

any other fees that are due or that we have collected.
    8. What rate does OSHA use to charge for staff time?
    OSHA has estimated an equivalent staff cost per hour that it uses 
for determining the fees that are shown in the Fee Schedule. This 
hourly rate takes into account the costs for salary, fringe benefits, 
equipment, supervision and support for each ``direct staff'' member, 
that is, the staff that perform the main activities identified in the 
Fee Schedule. The rate is an average of these amounts for each of these 
direct staff members. The current estimated equivalent staff costs per 
hour = $54.5.
    9. What happens if I do not pay the fees that I am billed?
    As explained above, if you are an applicant, we will send you a 
final bill for the fees at the time we publish the preliminary Federal 
Register notice. If you do not pay the bill by the due date, we will 
assess the Late Payment fee shown in the Fee Schedule. This late 
payment fee represents one hour of staff time at the equivalent staff 
cost per hour (see note 8). If we do not receive payment within 60 days 
of the bill date, we will cancel your application. As also explained 
above, if you are an NRTL, we will send you a bill for the audit fee 
after completion of the audit. If you do not pay the fee by the due 
date, we will assess the Late Payment Fee shown in the Fee Schedule. If 
we do not receive payment within 60 days of the bill date, we will 
publish a Federal Register notice stating our intent to revoke 
recognition.
    10. How do I know whether this is the most Current Fee Schedule?
    You should contact OSHA's NRTL Program (202-693-2110) or visit the 
program's web site to determine the effective date of the most current 
Fee Schedule. Access the site by selecting ``Subject Index'' or 
``Programs'' at www.osha.gov. Any application processing fees are those 
in effect on the date you submit your application. Audit fees are those 
in effect on the date we begin our audit. Any pending application 
(i.e., an application that OSHA has not yet completed processing) will 
be subject only to the fees for the activities that OSHA begins on or 
after the effective date of the initial fee schedule.
    The fee schedule shows the current activities for which OSHA plans 
to charge fees. In evaluating the changes to the fee schedule, OSHA has 
considered the following: (1) Actual expenditures of the 2001 fiscal 
year, and (2) estimated costs of the 2002 fiscal year.
    The following is a description of the tasks and functions currently 
covered by each type of fee category, e.g., application fees, and the 
basis used to charge each fee.
    Application Fees: This fee reflects the technical work performed by 
office and field staff in reviewing application documents to determine 
whether an applicant submitted complete and adequate information. The 
application review does not include a review of the test standards 
requested, which is reflected in the review and evaluation fee. 
Application fees would be based on average costs per type of 
application. OSHA uses an average costs since the amount of time spent 
on the application review does not vary greatly by type of application. 
This is based on the premise that the number and type of documents 
submitted will generally be the same for a given type of application. 
Experience has shown that most applicants follow the application guide 
that OSHA provides to them.
    Assessment Fees: This fee is different for initial and for 
expansion or renewal applications. It is based on the number of days 
for staff preparatory and on-site work and related travel. Three types 
of fees are shown, and each one would be charged per site and per 
person. The two fees for the first day reflect time for office 
preparation, time at the applicant's facility, and an amount to cover 
travel in the 48 contiguous states. A supplemental travel amount (to be 
included with the fee schedule) is assessed for travel outside this 
area. These travel amounts are only estimates for purposes of 
submitting the initial fees. The applicant or NRTL is billed actual 
expenses, based on government per diem and travel fares. Any difference 
between actual travel expenses and the travel amounts in the fee 
schedule are reflected in the final bill or refund sent to the 
applicant or NRTL.
    Similar to the application fee, the office preparation time 
generally involves the same types of activities. Actual time at the 
facility may vary, but the staff devote at least a full day for 
traveling and for performing the on-site work. The fee for the 
additional day reflects time spent at the facility and an amount for 
one day's room and board.
    Review and Evaluation Fee: This fee is charged per test standard 
(which is part of an applicant's proposed scope of recognition). The 
fee reflects the fact that staff time spent in the office review of an 
application varies mainly in accordance with the number of test 
standards requested by the applicant. In generally, the fee is based on 
the estimated time necessary to review test standards to determine 
whether each one is ``appropriate,'' as defined in 29 CFR 1910.7, and 
covers equipment for which OSHA mandates certification by an NRTL. The 
fee also covers time to determine the current designation and status 
(i.e., active or withdrawn) of a test standard by reviewing current 
directories of the applicable test standard organization. Furthermore, 
it includes time spent discussing the results of the application review 
with the applicant. The actual time spent will vary depending on 
whether an applicant requests test standards that have previously been 
approved for other NRTLs. When the review is minimal, these activities 
take approximately 2 hours for every 10 or fewer standards. When the 
review is more substantial, the estimated average review time per 
standard is one hour for each standard, which translates to $55 per 
standard. Substantial review will occur when the standard has not been 
previously recognized for any NRTL or when the NRTL is proposing to do 
testing outside its current scope of recognition.
    Final Reports/Register Notice Fees: Each of these fees are charged 
per application. The fee reflects the staff time to prepare the report 
of the on-site review (i.e., assessment) of an applicant's or an NRTL 
facility. The fee also reflects the time spent making the final 
evaluation of an application, preparing the required Federal Register 
notices, and responding to comments received due to the preliminary 
finding notice. These fees are based on average costs per type of 
application, since the type and content of documents prepared are 
generally the same for each type of applicant. There is a separate fee 
when OSHA performs no on-site assessment. In these cases, the NRTL 
Program staff perform an office assessment and prepare a memo to 
recommend the expansion or renewal.
    Audit (Post-Recognition Review) Fees: These fees reflect the time 
for office preparation, time at the facility and travel, and time to 
prepare the audit report on the on-site audit. A separate fee is shown 
for an office audit conducted in lieu of an actual visit. Each fee is 
per site and does not generally vary for the same reasons described for 
the assessment fee and because the audit is generally limited to one 
day. As previously described, the audit fee would include amounts for 
travel, and similar to assessments, OSHA will bill the NRTL for actual 
travel expenses.
    Miscellaneous Fees: The sample fee schedule only shows the average 
cost for one full day of staff time. OSHA would use this fee primarily 
in cases of refunding the assessment fee. OSHA will also charge a fee 
for late payment

[[Page 64280]]

of the annual audit fee. The amount for the late fee is based on 1 hour 
of staff time.

Proposed Decision

    OSHA has performed its annual review of the fees it currently 
charges to Nationally Recognized Testing Laboratories, as provided 
under 29 CFR 1910.7(f). Based on this review, OSHA has determined that 
certain fees warrant change, as detailed in this notice. As a result, 
OSHA proposes to revise those current fees by adopting the Nationally 
Recognized Testing Laboratory Program Fees Schedule shown as Table A 
above, which would become effective on January 1, 2002. As provided in 
our regulations, this proposed fee schedule would remain in effect 
until superseded by another fee schedule. OSHA would give the public an 
opportunity to comment on any future changes to the fees, as we are 
doing through this notice.
    OSHA welcomes public comments, in sufficient detail, as to whether 
it should adopt the proposed Nationally Recognized Testing Laboratory 
Program Fees Schedule shown as Table A above. Your comment should 
consist of pertinent written documents and exhibits. To consider it, 
OSHA must receive the comment at the address provided above (see 
ADDRESS no later than the last date for comments (see DATES above). 
Should you need more time to comment, OSHA must receive your written 
request for extension at the address provided above (also see ADDRESS 
no later than the last date for comments (also see DATES above). You 
must include your reason(s) for any request for extension. OSHA will 
limit an extension to 15 days unless the requester justifies a longer 
period. We may deny a request for extension if it is frivolous or 
otherwise unwarranted. You may obtain or review documents related to 
the establishment of the fees and all submitted comments, as received, 
by contacting the Docket Office, Room N2625, Occupational Safety and 
Health Administration, U.S. Department of Labor, at the above address. 
You should refer to Docket No. NRTL95-F-1, the permanent record of 
public information on OSHA NRTL Program fees.
    The NRTL Program staff will review all timely comments and, after 
resolution of issues raised by these comments, will recommend the final 
version of the NRTL Program Fees Schedule to the Assistant Secretary. 
The Agency will publish a public notice of its final version of the 
Fees Schedule in the Federal Register, as provided under 29 CFR 1910.7.

    Signed at Washington, DC, this 30th day of November, 2001.
John L. Henshaw,
Assistant Secretary.
[FR Doc. 01-30727 Filed 12-11-01; 8:45 am]
BILLING CODE 4510-26-P