[Federal Register Volume 64, Number 109 (Tuesday, June 8, 1999)] [Notices] [Pages 30474-30476] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 99-14479] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF COMMERCE Census Bureau Annual Retail Trade Survey ACTION: Proposed collection; comment request. ----------------------------------------------------------------------- SUMMARY: The Department of Commerce, as part of its continuing effort to reduce paperwork and respondent burden, invites the general public and other Federal agencies to take this opportunity to comment on proposed and/or continuing information collections, as required by the Paperwork Reduction Act of 1995, Public Law 104-13 (44 U.S.C. 3506(c)(2)(A)). DATES: Written comments must be submitted on or before August 9, 1999. ADDRESSES: Direct all written comments to Linda Engelmeier, Departmental Forms Clearance Officer, Department of Commerce, Room 5033, 14th and Constitution Avenue, NW, Washington, DC 20230. FOR FURTHER INFORMATION CONTACT: Requests for additional information or [[Page 30475]] copies of the information collection instrument(s) and instructions should be directed to Ronald L. Piencykoski, Bureau of the Census, Room 2626-FOB 3, Washington, D.C. 20233-6500, (301) 457-2660. SUPPLEMENTARY INFORMATION: I. Abstract The Annual Retail Trade Survey (ARTS) provides a sound statistical basis for the formation of policy by other government agencies. It provides continuing and timely national statistics on retail trade augmenting the period between economic censuses and is a continuation of similar retail trade surveys conducted each year since 1951 (except 1954). The data collected--annual sales, purchases, end-of-year inventories, and accounts receivables--are applicable to a variety of public and business needs. The estimates of purchased merchandise are used by the Bureau of Economic Analysis (BEA) to estimate trade margins on commodities sold in calculating the personal consumption portion of the Gross Domestic Product (GDP). Accounts receivable balances are used by the Federal Reserve Board in measuring consumer credit. Businesses use these data to determine market share and to compare results. The ARTS sample consists of all firms operating retail establishments within the U.S. whose probability of selection is determined by sales size, as reported in the Monthly Retail Trade Survey (MRTS). An additional panel of cases who report only in the annual survey are also canvassed. Estimates developed in the ARTS are used to benchmark the monthly sales and inventories series. We currently publish retail sales and inventory estimates on the Standard Industrial Classification (SIC) basis. Starting in the spring of 2001, we will publish on the North American Industry Classification System (NAICS). The SIC definition of retail trade and the NAICS definition of retail trade are substantially different. The SIC defines retailers as establishments engaged in selling merchandise for personal or household consumption and rendering services incidental to the sale of the goods. NAICS distinguishes retailers from wholesalers based on what the establishment does rather than to whom the establishment sells. Retailers are defined as those establishments that sell merchandise and attract customers using methods such as advertising, point-of-sale location, and display of merchandise. A store retailer has a selling place open to the public, merchandise on display or available through sales clerks, facilities for making cash or credit card transactions, and service provided to retail customers. NAICS will change the information that is currently available with reclassifications, definitional changes, and movement of activities in or out of retail trade. Conversion from the SIC to NAICS will significantly affect selected industries within the retail trade. --A new sector called Accommodation and Food Services is created and will be canvassed in the ARTS. Restaurants move from retail trade into this new sector. We will continue to collect monthly sales from restaurants and publish a separate Food Services Total. Accommodations will move from the Service Annual Survey into the ARTS and will be collected and published under this new sector --The redefinition of the boundary between the retail and wholesale sectors, as described above, will move establishments from the wholesale sector to the retail sector. Preliminary results from the 1997 Economic Census indicate about 15 percent of establishments classified under SIC in the wholesale sector will move to the retail sector under NAICS. We expect the most movement in Automotive parts, accessories, and tire stores; computer and software stores; Farm supplies dealers; Office supplies and stationery stores; and Fuel oil dealers --Retail Bakeries (without seating) will move to the manufacturing sector --Pawn Shops will move to the finance sector --Mobile Home Dealers, which are currently included in Building Materials, will be included in Miscellaneous Store Retailers --Computer and Software Stores will be recognized as separate industries under NAICS because of growing interest among public and private data users --The Durable and Nondurable aggregate totals will be eliminated from publication under NAICS --Under NAICS, we will discontinue collecting inventories from the food service subsector. We will collect and publish inventories only for the Retail Sector --Under NAICS, all auxiliary facilities such as warehouses are classified based on the primary activity. Under SIC, warehouses are classified based on the industry classification of the establishments they primarily serve. We will continue to publish the warehouse inventory of retailers in its respective kind-of-business In addition to the change to NAICS, the Census Bureau will begin collecting Internet sales separately starting in 2000 for data years 1998 and 1999. Currently, online sales are included with catalog sales in our overall retail estimates. With the dramatic growth of sales on the Internet, and the impact of those sales on retail activity, we propose to add several new questions to our survey instruments. We plan to ask all firms if and when they began selling through an Internet site and to separately report the value of their Internet sales included in total sales for data years 1998 and 1999. The ARTS will ensure that sales transactions ordered and paid for online are captured and published separately and made available to the public in early 2001. We are also proposing more detailed questions of our non-store retailers, one asking for a dollar volume breakout along major merchandise lines for both total and Internet sales, and another concerning the amount of Internet sales destined for shipment outside the United States. In addition to these Internet questions, we also plan to ask computer stores and non-store retailers to provide a percentage breakout of their total sales by class of customer. We will of course test all proposed questions with a sample of respondents to determine the feasibility and to estimate any additional reporting burden. II. Method of Collection We will collect this information by mail, FAX and telephone follow- up. III. Data OMB Number: 0607-0013. Form Number: SA-44, SA-44A, SA-45, SA-44C, SA-45C, and SA-721 under NAICS. B-151, B-151A, B-151D, B-153, and B-153D under SIC. Type of Review: Regular Submission. Affected Public: Retail Businesses. Estimated Number of Respondents: 20,960 under NAICS. 23,700 under SIC. Estimated Time Per Response: .4333 hrs (26 minutes) under NAICS .4142 hrs (25 minutes) under SIC. Estimated Total Annual Burden Hours: 9,082 hours under NAICS 9,817 hours under SIC. Estimated Total Annual Cost: The cost to the respondent is estimated to be $160,388, based on an annual response burden of 9,082 hours and a rate of $17.66 per hour to complete the form. Respondent's Obligation: Mandatory. Legal Authority: Title 13, U.S.C., Sections 182, 224, and 225. IV. Request for Comments Comments are invited on: (a) Whether the proposed collection of information is necessary for the proper performance of the functions of the agency, including [[Page 30476]] whether the information shall have practical utility; (b) the accuracy of the agency's estimate of the burden (including hours and cost) of the proposed collection of information; (c) ways to enhance the quality, utility, and clarity of the information to be collected; and (d) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology. Comments submitted in response to this notice will be summarized and/or included in the request for OMB approval of this information collection; they also will become a matter of public record. Dated: June 2, 1999. Linda Engelmeier, Departmental Forms Clearance Officer, Office of the Chief Information Officer. [FR Doc. 99-14479 Filed 6-7-99; 8:45 a.m.] BILLING CODE 3510-07-P