[Federal Register Volume 81, Number 31 (Wednesday, February 17, 2016)]
[Notices]
[Pages 8038-8040]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-03195]


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DEPARTMENT OF AGRICULTURE

Grain Inspection, Packers and Stockyards Administration


Request for Extension and Revision of a Currently Approved 
Information Collection

AGENCY: Grain Inspection, Packers and Stockyards Administration, USDA.

ACTION: Notice and request for comments.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, this 
notice announces Grain Inspection, Packers and Stockyards 
Administration's (GIPSA) intention to request that the Office of 
Management and Budget approve a 3-year extension and revision of a 
currently approved information collection in support of the reporting 
and recordkeeping requirements for the Swine Contract Library program.

DATES: Written comments must be submitted on or before April 18, 2016.

ADDRESSES: We invite you to submit comments on this notice. You may 
submit comments by any of the following methods:
     Internet: Go to http://www.regulations.gov. Follow the 
online instructions for submitting comments.
     Mail, hand deliver, or courier to R. Dexter Thomas, GIPSA, 
USDA, 1400 Independence Avenue SW., Room 2530-S, Washington, DC 20250-
3604.
     Fax to (202) 690-2173.
    Instructions: All comments should refer to the date and page number 
of this issue of the Federal Register. The information collection 
package, public comments, and other documents relating to this action 
will be available for public inspection in the above office during 
regular business hours. Please

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call GIPSA's Management and Budget Services at (202) 720-7486 to 
arrange a viewing of these documents.

FOR FURTHER INFORMATION CONTACT: Catherine M. Grasso, Program Analyst, 
Litigation and Economic Analysis Division at (202) 720-7201 or 
[email protected].

SUPPLEMENTARY INFORMATION: The Grain Inspection, Packers and Stockyards 
Administration is responsible for maintaining the Swine Contract 
Library, which is authorized by the Livestock Mandatory Reporting (LMR) 
Act of 1999, and requires that certain packers submit hog procurement 
contracts and delivery estimates to GIPSA. The LMR was reauthorized on 
October 5, 2006, September 27, 2010, and September 30, 2015, for an 
additional 5 years each time.
    Title: Swine Contract Library.
    OMB Number: 0580-0021.
    Expiration Date of Approval: July 31, 2016.
    Type of Request: Extension and revision of a currently approved 
information collection.
    Abstract: The information collection and recordkeeping requirements 
for the Swine Contract Library are essential to maintaining the 
mandatory library of swine marketing contracts and reporting the number 
of swine contracted for delivery. Currently 32 packers are required to 
file contracts and report certain information on hog deliveries for a 
total of 54 plants that they either operate or at which they have swine 
slaughtered. We expect the overall number of plants and packers to 
remain relatively constant, but the specific packers required to report 
will vary with consolidation and construction in the industry.
    Packers are required to report information for individual plants. 
The information collection burden estimate provided below is based on 
time and cost requirements at the plant level. Consequently, packers 
that report for more than one plant would bear a cost that would be a 
multiple of the per-plant estimates.
    We understand from discussions with packers complying with current 
reporting requirements that reporting packers have adapted pre-existing 
data and information systems to provide the required information.
    There are two types of information collections required for the 
Swine Contract Library.
    The first information collection requirement consists of submitting 
example contracts. Initially, a packer submits example contracts 
currently in effect or available for each swine processing plant that 
is subject to the regulations. Subsequently, a packer submits example 
contracts for any offered, new, or amended contracts that vary from 
previously submitted contracts in regard to the base price 
determination, the application of a ledger or accrual account, carcass 
merit premium and discount schedules (including the determination of 
the lean percent or other merit of the carcass that is used to 
determine the amount of the premiums and discounts and how those 
premiums and discounts are applied), or the use and amount of 
noncarcass merit premiums or discounts. The initial submission of 
example contracts requires more time than subsequent filings of new 
contracts or changes, as packers initially need to review all their 
contracts to identify the unique types that need to be represented by 
an example contract submitted to GIPSA.
    Thereafter, subsequent filings require a minimal amount of effort 
on the part of packers, as only example contracts that represent a new 
or different type need to be filed with GIPSA. Form P&SP-342 ``Contract 
Submission Cover Sheet,'' must accompany each contract submission to 
identify the contract, the plan for which the contract is valid, and 
the contact person.
    Packers are required to submit both written and verbal contracts. 
Packers must document verbal contracts which adds to their existing 
recordkeeping systems in order to comply with this requirement. 
Optional form P&SP-343 ``Verbal Contract Optional Documentation 
Sheet,'' provides a format to document the verbal agreement.
    The second information collection requirement is a monthly filing 
of summary information on form P&SP 341, Monthly Report: Estimates of 
Swine To Be Delivered Under Contract. The form for the monthly filing 
is simple and brief. For new packers required to start reporting, this 
data should be available in the packers' existing record system. We 
encourage electronic submission and provide the necessary information 
on procedures to submit data to GIPSA electronically.
    The estimates of time requirements used for the burden estimates 
below were developed in consultation with GIPSA personnel knowledgeable 
in the industry's recordkeeping practices. The estimates also reflect 
our experience in assembling large amount of data during the course of 
numerous investigations involving use of data collected from the 
industry. Estimates of time requirements and hourly wage costs for 
developing electronic recordkeeping and reporting systems are based on 
our experience in developing similar systems in consultation with our 
automated information systems staff.

(1) Contract Submission Cover Sheet (Form P&SP-342)

    Estimate of Burden: Reporting burden for submission of contracts is 
estimated to include 4 hours per plant for an initial review of all 
contracts to categorize them into types and identify unique examples, 
plus an additional 0.25 hours per unique contract identified during the 
initial review to submit an example of that contract. After the initial 
filing, the reporting burden is estimated to include 0.25 hours per 
plant to submit an example of each new or amended contract.
    Respondents: Packers required to report information for the Swine 
Contract Library.
    Estimated Number of Respondents: 32 packers (total of 54 plants).
    Estimated Number of Responses per Plant: Number of responses per 
plant varies. Some plants could have no contracts, while others could 
have up to 80 contracts. We receive an average of six example contracts 
per plant per year for offered contracts and for amended existing or 
available contracts.
    Estimated Total Annual Burden on Respondents: Initial filing: 5.5 
total hours for the initial filing of examples of existing contracts by 
all plants newly subject to the regulations combined. Based on changes 
in the industry, we anticipate one new plant to become subject to the 
regulations each year. Calculated as follows: 4 hours per plant for 
initial review x 1 new plant = 4 hours for initial review; 0.25 hours 
per contract x 6

example contracts per plant x 1 new plant = 1.5 hours; 4 hours + 1.5 
hours = 5.5 total hours.

    Thereafter, 81 total hours annually for all subsequent filing of 
example contracts by all plants combined, based on an average of 6 
newly offered or amended contracts annually.

Calculated as follows: 0.25 hours per contract x 6 example contracts 
per plant x 54 plants = 81 hours.

    Total Cost: Initial filing $138 for one expected new plant. 
Calculated as follows: 5.5 hours x $25 per hour = $138
    Thereafter: $2025 annually for all plants combined for submission 
of subsequent filings. Calculated as follows: 81 hours x $25 per hour = 
$2,025

(2) Monthly Report: Estimate of Swine To Be Delivered Under Contract 
(Form P&SP-341)

    Estimate of Burden: The reporting burden for compiling data, 
completing

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and submitting the form is estimated to average 2 hours per manually 
prepared and submitted (by mail or facsimile) report and 1 hour per 
electronically prepared and submitted report. There would be an 
estimated additional one-time set up burden of 1 hour at a cost of $60 
per plant for a packer that chose to create a spreadsheet or database 
for recordkeeping and preparation of monthly estimates. There would be 
an estimated additional 2 hour burden at a cost of $60 per hour or $120 
per plant for a packer to develop procedures to extract and format the 
required information and to develop an interface between the packer's 
electronic recordkeeping system and GIPSA's system. The hourly rate for 
the development of electronic tools is assumed to be high due to the 
need to use personnel with specialized computer skills.
    Respondents: Packers required to report information for the Swine 
Contract Library.
    Estimated Number of Respondents: 32 packers (total of 54 plants).
    Estimated Number of Responses per Plant: 12 (1 per month for 12 
months).
    Estimated Total Annual Burden on Respondents: 1,296 hours for all 
plants combined provided all plants used manual compiling, preparation, 
and submission.

    Calculated as follows: 2 hours per response x 54 plants x 12 
responses per plant = 1,296

    648 hours for all plants combined provided all plants use 
electronic compiling, preparation, and submission. Calculated as 
follows: 1 hour per response x 54 plants x 12 responses per plant = 648 
hours.
    Total Cost: $32,400 annually for all plants combined provided all 
use manual submission. Calculated as follows: 1,296 x $25 per hour = 
$32,400
    $16,200 annually for all plants combined provided all were to 
completely utilize electronic preparation and submission. Calculated as 
follows: 648 hours x $25 per hour = $16,200
    Additional $180 one-time set-up cost provided all plants newly 
subject to the Regulations were to completely utilize electronic 
systems for preparation and submission. Calculated as follows: 1 hour 
build spreadsheet/database + 2 hours develop electronic interface = 3 
hours. 3 hours total development x $60 per hour x 1 new plant = $180
    The Paperwork Reduction Act also requires GIPSA to measure the 
recordkeeping burden. Under the Packers and Stockyards Act and its 
existing regulations, each packer is required to maintain and make 
available upon request any records necessary to verify information on 
all transactions between the packer and producers from whom the packer 
obtains swine for slaughter. Records that packers are required to 
maintain under existing regulations would meet the requirements for 
verifying the accuracy of information required to be reported for the 
Swine Contract Library. These records include original contracts, 
agreements, receipts, schedules, and other records associated with any 
transaction related to the purchase, pricing, and delivery of swine for 
slaughter under the terms of marketing contracts. Additional annual 
costs of maintaining records would be nominal since packers are 
required to store and maintain such records as a matter of normal 
business practice and in conformity with existing regulations.
    As required by the Paperwork Reduction Act (44 U.S.C. 
3506(c)(2)(A)) and its implementing regulations (5 CFR 1320.8(d)(1)), 
GIPSA specifically requests comment to:
    (a) Evaluate whether the proposed collection of information is 
necessary for the proper performance of the functions of the agency, 
including whether the information will have practical utility;
    (b) Evaluate the accuracy of the agency's estimate of the burden of 
the proposed collection of information, including the validity of the 
methodology and assumptions used;
    (c) Enhance the quality, utility, and clarity of the information to 
be collected; and
    (d) Minimize the burden on the collection of information on those 
who are to respond, including through the use of appropriate automated, 
electronic, mechanical, or other technological collection techniques or 
other forms of information technology.
    All responses to this notice will be summarized and included in the 
request for the Office of Management and Budget approval. All comments 
will also become a matter of public record.

    Authority: 44 U.S.C. 3506 and 5 CFR 1320.8.

Larry Mitchell,
Administrator, Grain Inspection, Packers and Stockyards Administration.
[FR Doc. 2016-03195 Filed 2-16-16; 8:45 am]
 BILLING CODE 3410-EN-P