62681 Federal Register / Vol. 81, No. 176 / Monday, September 12, 2016 / Proposed Rules 
144 FR 66466 (Nov. 19, 1979). 
242 U.S.C. 6294. EPCA also requires the 
Department of Energy (DOE) to develop test 
procedures that measure how much energy appliances use, and to determine the representative average cost a consumer pays for different types of energy. SE–M2/95A.1308/07, Issue 4, dated June 
2008. 
(h) New Requirement of This AD: 
Maintenance or Inspection Program Revision 
Within 3 months the effective date of this 
AD: Revise the maintenance program or 
inspection program, as applicable, to incorporate the structural inspections and inspection intervals defined in Airbus A300 ALS Part 2, Damage-Tolerant Airworthiness Limitation Items, Revision 02, dated October 
3, 2014. The initial compliance time for the ALI tasks identified in Airbus A300 ALS Part 2, Damage-Tolerant Airworthiness Limitation Items, Revision 02, dated October 3, 2014, is at the applicable times specified in Airbus A300 ALS Part 2, Damage-Tolerant Airworthiness Limitation Items, Revision 02, dated October 3, 2014, or within 3 months after the effective date of this AD, whichever occurs later. Accomplishing the applicable initial ALI tasks constitutes terminating action for the requirements of paragraphs (g) of this AD for that airplane only. 
(i) No Alternative Actions and Intervals 
After the maintenance or inspection 
program has been revised as required by 
paragraph (h) of this AD, no alternative actions (e.g., inspections) or intervals may be 
used unless the actions or intervals are approved as an AMOC in accordance with the procedures specified in paragraph (j)(1) of this AD. 
(j) Other FAA AD Provisions 
The following provisions also apply to this 
AD: 
(1) Alternative Methods of Compliance 
(AMOCs): The Manager, International 
Branch, ANM–116, Transport Airplane 
Directorate, FAA, has the authority to approve AMOCs for this AD, if requested using the procedures found in 14 CFR 39.19. In accordance with 14 CFR 39.19, send your request to your principal inspector or local Flight Standards District Office, as appropriate. If sending information directly to the International Branch, send it to ATTN: Dan Rodina, Aerospace Engineer, International Branch, ANM–116, FAA, Transport Airplane Directorate, 1601 Lind Avenue SW., Renton, WA 98057–3356; telephone 425–227–2125; fax 425–227–1149. Information may be emailed to: 9-ANM-116- AMOC-REQUESTS@faa.gov. 
(i) Before using any approved AMOC, 
notify your appropriate principal inspector, or lacking a principal inspector, the manager of the local flight standards district office/ certificate holding district office. The AMOC approval letter must specifically reference this AD. 
(ii) AMOCs approved previously for AD 
2011–10–17 are approved as AMOCs for the corresponding provisions of this AD. 
(2) Contacting the Manufacturer: As of the 
effective date of this AD, for any requirement in this AD to obtain corrective actions from a manufacturer, the action must be accomplished using a method approved by the Manager, International Branch, ANM– 116, Transport Airplane Directorate, FAA; or the European Aviation Safety Agency (EASA); or Airbus’s EASA Design Organization Approval (DOA). If approved by 
the DOA, the approval must include the DOA-authorized signature. 
(k) Related Information 
(1) Refer to Mandatory Continuing 
Airworthiness Information (MCAI) EASA 
Airworthiness Directive 2014–0124R1, dated June 23, 2015, for related information. This MCAI may be found in the AD docket on the Internet at http://www.regulations.gov by 
searching for and locating Docket No. FAA– 2016–9066. 
(2) For service information identified in 
this AD, contact Airbus SAS, Airworthiness Office—EAW, 1 Rond Point Maurice Bellonte, 31707 Blagnac Cedex, France; telephone +33 5 61 93 36 96; fax +33 5 61 93 44 51; email account.airworth- eas@airbus.com; Internet http:// 
www.airbus.com. You may view this service 
information at the FAA, Transport Airplane Directorate, 1601 Lind Avenue SW., Renton, WA. For information on the availability of this material at the FAA, call 425–227–1221. 
Issued in Renton, Washington, on August 
24, 2016. 
John P. Piccola, Jr., Acting Manager, Transport Airplane 
Directorate, Aircraft Certification Service. 
[FR Doc. 2016–21149 Filed 9–9–16; 8:45 am] 
BILLING CODE 4910–13–P 
FEDERAL TRADE COMMISSION 
16 CFR Part 305 
RIN 3084–AB15 
Energy Labeling Rule 
AGENCY : Federal Trade Commission 
(‘‘FTC’’ or ‘‘Commission’’). 
ACTION : Notice of proposed rulemaking. 
SUMMARY : The Commission proposes 
amendments to the Energy Labeling 
Rule to require labels for portable air conditioners, large-diameter and high- speed small diameter ceiling fans, and instantaneous electric water heaters. Additionally, it proposes eliminating certain marking requirements for plumbing products. 
DATES : Written comments must be 
received on or before November 14, 2016. 
ADDRESSES : Interested parties may file a 
comment online or on paper, by following the instructions in the Request for Comment part of the 
SUPPLEMENTARY INFORMATION section 
below. Write ‘‘Energy Labeling Amendments (16 CFR part 305) (Project No. R611004)’’ on your comment, and file your comment online at https://ftcpublic.commentworks.com/ftc/ plumbingnprm, by following the 
instructions on the web-based form. If you prefer to file your comment on paper, mail your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC–5610 (Annex E), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex E), Washington, DC 20024. 
FOR FURTHER INFORMATION CONTACT : 
Hampton Newsome, Attorney, (202) 326–2889, Division of Enforcement, Bureau of Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue NW., Washington, DC 20580. 
SUPPLEMENTARY INFORMATION : 
I. Background 
The Commission issued the Energy 
Labeling Rule (‘‘Rule’’) in 1979,1 
pursuant to the Energy Policy and Conservation Act of 1975 (EPCA).
2The 
Rule requires energy labeling for major home appliances and other consumer products to help consumers compare competing models. It also contains labeling requirements for refrigerators, refrigerator-freezers, freezers, dishwashers, water heaters, clothes washers, room air conditioners, furnaces, central air conditioners, heat pumps, plumbing products, lighting products, ceiling fans, and televisions. 
The Rule requires manufacturers to 
attach yellow EnergyGuide labels to many of the covered products and prohibits retailers from removing these labels or rendering them illegible. In addition, it directs sellers, including retailers, to post label information on Web sites and in paper catalogs from which consumers can order products. EnergyGuide labels for most covered products contain three key disclosures: Estimated annual energy cost, a product’s energy consumption or energy efficiency rating as determined by DOE test procedures, and a comparability range displaying the highest and lowest energy costs or efficiency ratings for all similar models. For cost calculations, the Rule specifies national average costs for applicable energy sources (e.g., electricity, natural gas, oil) as calculated by DOE. Under the Rule, the Commission periodically updates comparability range and annual energy cost information based on manufacturer 
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316 CFR 305.10. 
4The comments received in response to the 2015 
NPRM are here: https://www.ftc.gov/policy/public- 
comments/initiative-601. The comments included: Association of Home Appliance Manufacturers (AHAM) (#00016); CSA Group (#00007); California Investor Owned Utilities (California IOUs) (#00019); Earthjustice (‘‘Joint Commenters’’) (#00018); International Association of Plumbing and Mechanical Officials (IAPMO) (#00022); NSF International (#00005); and Plumbing Manufacturers International (PMI) (#00006). 
5See 78 FR 40403 (July 5, 2013); 42 U.S.C. 6292. 
Portable air conditioners are movable units, unlike room air conditioners, which are permanently installed on the wall or in a window. 
6See 42 U.S.C. 6294(a)(3). 
7See 78 FR at 40404–05; Technical Support 
Document: Energy Efficiency; Program for Consumer Products and Commercial and Industrial Equipment: Portable Air Conditioners. U.S. Department of Energy—Office of Energy Efficiency and Renewable Energy (Feb. 18, 2015), http://www.regulations.gov/#!documentDetail;D=EERE- 2013-BT-STD-0033-0007. 
8To effect new labeling requirements, the 
proposed amendments insert the term ‘‘portable air conditioner’’ next to ‘‘room air conditioner’’ into appropriate sections of 305.2 (definitions), 305.3 (description of covered products), 305.7 (determinations of capacity), 305.8 (submission of data), 305.11 (labeling for appliances), and 305.20 (catalog requirements). 
9DOE published a proposed test procedure on 
February 25, 2015 (80 FR 10212). 
10Under EPCA, any energy representations on the 
label must reflect the DOE test results. 42 U.S.C. 6293(c). 
11See 42 U.S.C. 6295(l). data submitted pursuant to the Rule’s 
reporting requirements.3 
II. Proposed Amendments to the Energy Labeling Rule 
The Commission seeks comments on 
issues related to recent DOE regulatory actions or new issues raised by commenters in response to a November 2, 2015 Notice of Proposed Rulemaking (‘‘2015 NPRM’’ or ‘‘NPRM’’) (80 FR 67351), including portable air conditioner labeling, large-diameter and high-speed small-diameter ceiling fan labels, electric instantaneous water heater labeling, and plumbing disclosures changes.
4 
A. Portable Air Conditioners 
Background: In the 2015 NPRM, the 
Commission sought comment on labeling for portable air conditioners (portable ACs) in response to a DOE proposal designating portable air conditioners as covered products under EPCA.
5Given the similarity of portable 
air conditioners to room air conditioners (room ACs), the Commission proposed requiring the same or similar labeling 
for the two products. In addition, the Commission proposed requiring such labels after DOE completes its portable air conditioner test procedure rulemaking. 
In support of this position, the 
Commission stated that labels for this product category are likely to assist consumers in their purchasing decisions. It is also stated such labels would be economically and technologically feasible.
6Portable air 
conditioners are common in the marketplace, use energy equivalent to already-covered room air conditioners, and vary in their energy use. Specifically, DOE has reported that the aggregate energy use of portable ACs has been increasing as these units have become popular in recent years.
7DOE also estimated that these products have 
a large efficiency rating range (approximately 8.2–14.3 Energy Efficiency Ratio (EER)). In addition, DOE estimated average per-household annual electricity consumption for these products at approximately 650 kWh/yr (750 kWh/yr for EER 8.2, and 400 kWh/ yr for EER 14.3). Thus, the Commission stated in the 2015 NPRM that energy labeling for these products is likely to assist consumers with their purchasing decisions by allowing them to compare competing models’ energy costs. In addition, because these products closely resemble room air conditioners, which are currently labeled under the Rule, the burdens and benefits of labeling these products should not differ significantly from those already applicable to room air conditioners. 
Therefore, the Commission proposed 
requiring labels for portable air conditioners identical to the current room air conditioner label in content and format. The proposed amendments included the DOE’s proposed definition of ‘‘portable air conditioner’’ in section 305.3.
8These amendments would 
include separate ranges for portable air 
conditioners in the Rule’s appendices, which the Commission would publish after data becomes available. The Commission did not propose combining the ranges with room air conditioners, stating that it was not clear whether consumers routinely compare portable air conditioners to room air conditioners. In addition, consistent with requirements applicable to room air conditioners, the Commission proposed establishing reporting requirements identical to DOE’s for these products. The Commission also explained that it would not make a final determination on labeling until DOE issued a final test procedure and defined ‘‘portable air conditioner.’’
9 
The NPRM stated that the Commission would provide manufacturers adequate time to test their products and report energy data before they must begin complying with any labeling requirements.
10 Comments: Commenters generally 
supported requiring EnergyGuide labels for portable air conditioners. For instance, the Joint Commenters agreed that requiring EnergyGuide labels for portable air conditioners will likely assist consumers in making purchasing decisions and be economically and technologically feasible. As discussed below, the commenters also addressed the comparative information for these labels and the timing of the potential requirements. Although commenters generally supported labeling for portable ACs, they differed about the comparability information on the label. AHAM agreed with the Commission’s initial proposal not to combine ranges for portable and room air conditioners. The Joint Commenters disagreed and specifically recommended a second range bar comparing room and portable air conditioners of similar capacity. They explained that consumer questions posted on shopping Web sites suggest that many consumers directly compare the two product types and use portable units in a manner similar to room air conditioners. In addition, some retailers market portable air conditioners as energy-efficient alternatives to room air conditioners. 
Commenters also addressed the 
timing of DOE’s test procedure and the FTC’s labeling requirement. The California IOUs agreed that FTC should wait until DOE finalizes the test procedure for portable air conditioners before requiring an EnergyGuide label. They explained that the DOE procedure is likely to include new metrics to address portable air conditioners’ performance comparability, peak- demand performance, and actual usage. AHAM strongly urged the Commission to align the label implementation date to coincide with DOE’s compliance date for energy conservation standards. Given the considerable burdens associated with designing products to meet such standards, AHAM noted that EPCA sets a five-year lead-in period for manufacturers to comply.
11During that 
period, companies must ensure that new and existing products meet the applicable standard. According to AHAM, the pre-development, development, and tooling phases for new product launches can take years and require extensive company resources, time, and coordination. AHAM cautioned that any requirement to distribute labels prior to the DOE standards compliance date will require companies to divert resources from developing new, more efficient 
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12AHAM also explained that it will take 
significant time for manufactures to determine the 
list of active models and, out of those models, identify those that qualify as ‘‘basic models’’ under DOE and FTC regulations. 
13Finally, AHAM noted that the testing and 
labeling involved would be more burdensome than the estimates included in the Paperwork Reduction Act analysis of the 2015 NPRM. Specifically, AHAM estimated: 32 hours per model for testing (8 hours × 4 units, as well as up to 4 hours for 
preparing the data); 40 hours per model for 
reporting; and 40 hours per model for label preparation. It is unclear whether AHAM’s reporting burden estimate refers to annual certification reports or to new model reports. Annual reports include all models under current production (including models previously reported to the database). It is also unclear whether an estimate of 40 hours for label drafting is per model rather than, perhaps more justifiably, per product type or per manufacturer. As noted in the Paperwork Reduction Act discussion below, the Commission seeks clarification regarding these estimates. 
1480 FR at 67357. 1581 FR at 35251. DOE also noted ‘‘the many 
similarities between room ACs and portable ACs in 
design, cost, functionality, consumer utility, and applications.’’ See 81 FR at 35250. 
16The Commission proposes to group the ranges 
by size only and not by product configuration (e.g., reverse cycle or louvered sides). 
17Consistent with the Commission’s recent 
decision on room air conditioners, the portable AC label would appear on the product box, not the unit itself. In addition, the portable AC label would disclose the Combined Energy Efficiency Ratio (CEER). 80 FR 67285, 67292 (Nov. 2, 2015). 1881 FR 48620 (July 25, 2016). In its proposed test 
procedure Notice, DOE described a HSSD fan as a model that has a blade thickness of less than 3.2 mm at the edge or a maximum tip speed greater than applicable limits set out by DOE and does not otherwise qualify as ‘‘a very small-diameter ceiling fan, highly-decorative ceiling fan or belt-driven ceiling fan.’’ DOE also explained that ‘‘HSSD ceiling fans generally operate at much higher speeds (in terms of RPM) than standard or hugger ceiling fans, and are installed in commercial applications.’’ 81 FR 1688, 1700, and 1703 (Jan. 13, 2016). 
1981 FR at 48645. 
2079 FR 40542 (July 11, 2014). products.12In addition, in AHAM’s 
view, if FTC requires labels before this 
date, manufacturers would have to test and label all the low-efficiency models they plan to discontinue because such models do not meet the DOE standards.
13 
Discussion: Consistent with the 
comments, the Commission continues to conclude that labeling for portable air conditioners will aid consumers in their purchasing decisions. On June 1, 2016 (81 FR 35242), DOE issued a final test procedure for these products, thus establishing a means to test and label them. 
However, the content and timing of 
DOE’s new test procedure raises several new issues. First, in its test procedure notice, DOE explained that its test procedures do not generate comparable results for portable and room air conditioners. In response to stakeholder concerns about this inconsistency, DOE plans to consider amending the room air conditioner procedure to address this issue. However, it is not clear when this change will occur. In the meantime, the inconsistent results might lead consumers to draw inaccurate conclusions regarding comparative yearly energy cost estimates. However, such problems will arise only if consumers consider portable and room air conditioners to be reasonable substitutes for one another. The Commission raised this issue in the NPRM. In declining to propose combined portable AC and room AC comparability ranges, the Commission stated that ‘‘it is not clear whether consumers routinely compare portable air conditioners to room air conditioners when shopping.’’
14As discussed above, 
commenters split in their opinions on this issue. AHAM, without elaboration, agreed with the Commission’s proposal to keep the ranges separate. In contrast, the Joint Commenters, citing several examples, asserted that consumers do, in fact, make such comparisons. Likewise, DOE stated in its recent test procedure Notice that ‘‘comparative ratings between room ACs and portable ACs [are] desirable,’’ implying that consumers do compare these products.
15Given the possibility that 
the two labels would lead consumers to make inaccurate comparisons between portable AC and room AC models, the Commission proposes waiting to issue final portable air conditioner labels until the two test procedures are harmonized. In addition, once such harmonized data is available, the Commission proposes combining range categories for portable ACs and room ACs given commenter evidence suggesting consumers do, in fact, compare the two product types.
16The 
Commission seeks comment on all aspects of this proposal.
17 
Second, the Commission seeks 
comment on the timing and content of reporting requirements for portable air conditioners. The NPRM indicated that the Commission would simply follow DOE’s reporting requirements for these products. However, at this time, DOE has not established such provisions. Given the current absence of DOE reporting requirements, commenters should address the types of information that FTC should collect pending DOE reporting rules. 
Finally, now that DOE has issued a 
final test procedure and is proceeding to set a compliance date for efficiency standards, the Commission seeks input 
on the overall timing of label requirements. The 2015 NPRM explained the Commission would establish labeling requirements sometime after the test procedure’s publication. However, industry commenters, citing significant burdens associated with testing and labeling, urged the Commission to synchronize any new labeling requirements with the DOE standards compliance date. In light of these concerns, the Commission seeks comments on whether the final label requirement should coincide with the future DOE standards compliance date or the Commission should require the new labels sooner. 
B. Large-Diameter and High-Speed 
Small Diameter Ceiling Fan Labels 
The Commission recently issued 
updated ceiling fan labels, which the Commission will require on all fan boxes within two years. In publishing the new label, the Commission excluded large-diameter fans (i.e., 84 inches or 
greater in diameter) and high-speed small-diameter (HSSD) fans because the new DOE test procedure prescribes significantly different operating assumptions (hours per day) for these models.
18The DOE test procedure 
dictates a 6.4-hour per day operating assumption for standard fans but a 12- hour per day figure for large-diameter and HSSD models.
19As a result, the 
DOE test yields substantially different yearly cost estimates for fans with the same power consumption. Absent adequate disclosures alerting consumers to the different operating assumptions on these models, the resulting inconsistencies could be confusing or even misleading. Accordingly, the Commission seeks comment on the need for, and content of, large-diameter and HSSD fan labels. Commenters should address whether EnergyGuide labels or other required labels for these two fan types are necessary to help consumers make purchasing decisions, whether consumers commonly compare these fan types to more conventional fans, and, if so, what information is necessary on the labels or other disclosures to prevent confusion. 
C. Electric Instantaneous Water Heaters 
The Commission also proposes to 
require EnergyGuide labels for electric 
instantaneous water heaters. Although the current Rule includes such products in the ‘‘water heater’’ definition (section 305.3), DOE’s test procedure has not included provisions for measuring the annual energy consumption of electric instantaneous models. Therefore, the Commission has not required labels for such products. However, DOE has updated its test procedure to include such a measurement.
20Accordingly, the 
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2142 U.S.C. 6294(a)(2)(E). 
22The commenters recommended that, consistent 
with EPCA’s requirements (42 U.S.C. 
6294(a)(2)(E)(i) and 42 U.S.C. 6294(a)(2)(F)(i)), the Commission retain the flow rate and water use disclosures for these products to continue to help consumers with their purchasing decisions. The commenters also explained that the ‘‘M’’ designation, a now obsolete reference to metric that was in the standard’s title when Congress first required marking, has since been removed from the titles of both standards. 23CSA noted that Canada does not require a 
similar federal marking requirement, and that this has not harmed Canadian residents. 
24At the time the Commission promulgated the 
marking regulations, no such third-party requirements existed. According to the commenters, third-party certification also requires a small certification mark on the product as well as periodic product and manufacturing facilities auditing to ensure ongoing compliance. Additionally, certifiers maintain public listings on their Web sites, which allows verification of product compliance. Commission proposes to amend the 
Rule to require labeling, and publish comparability ranges for use on these products in a final Rule. The labels will follow the same format and content as other covered water heaters. The final Rule will require manufacturers to begin using labels on their products within 180-days of the final Rule. 
D. Plumbing ASME Reference Update 
Background: The Commission also 
proposed to update the marking and 
labeling requirements in Section 305.16 to reference the current ASME standards for showerheads and faucets (‘‘A112.18.1’’), as well as water closets and urinals (‘‘A112.19.2’’). The proposed change would update these references by removing the letter ‘‘M,’’ which appeared in older, obsolete versions of the standards’ titles (e.g., ‘‘A112.18.1M’’). Under the proposal, the Rule would require the markings to read ‘‘A112.18.1’’ and ‘‘A112.19.2’’ respectively, making them consistent with the current designations referenced in existing DOE water efficiency standards (10 CFR part 430). EPCA directs the Commission to amend the labeling requirements to be consistent with any revisions to these ASME standards, unless the Commission finds such amendments would be inconsistent with EPCA’s purposes and labeling requirements.
21In the proposal, 
the Commission indicated it had found no such inconsistency. Given the routine nature of this change and the minimal impact it would have on consumers, the Commission proposed 
providing manufacturers with two years to revise the marking on their affected plumbing products to include the updated reference. 
Comments: In response, plumbing 
manufacturers and standards organizations, including CSA, IAPMO, PMI, and NSF, recommended the Commission remove this marking requirement for showerheads and faucets (A112.18.1), as well as water closets and urinals (A112.19.2).
22The 
commenters offered several different reasons. First, NSF and PMI argued that consumers are unaware of the marking’s relevance. They explained that consumers do not associate the ASME markings with product performance. 
PMI and CSA also noted that the Energy Labeling Rule does not require such markings for most other covered products, such as appliances, subject to similar standards.
23Second, the 
commenters (e.g., IAPMO, NSF) asserted 
that existing requirements, as well any revisions to them, impose unnecessary and unreasonable burdens without any corresponding benefit. NSF explained that the marking requirements are particularly burdensome for products that have limited surface space. Third, according to the commenters, the Rule’s marking requirements are no longer necessary because the ASME standards themselves no longer require such 
markings and all applicable plumbing codes now impose similar disclosures and require manufacturers to third-party certify their products to the current applicable standard.
24 
Discussion: The Commission agrees 
with commenters that the required marking appears to have outlived its usefulness, and that its removal likely will have no negative impact on consumers or other market participants. In addition, as noted in the comments, the current revisions of both ASME standards no longer require these markings. Because the NPRM did not seek comments on this substantial change, the Commission has provided amendatory language in this Notice and seeks comment on this issue. 
III. Request for Comment 
You can file a comment online or on 
paper. For the Commission to consider 
your comment, we must receive it on or before November 14, 2016. Write ‘‘Energy Labeling Amendments (16 CFR part 305) (Project No. R611004)’’ on your comment. Your comment— including your name and your state— will be placed on the public record of this proceeding, including, to the extent practicable, on the public Commission Web site, at https://www.ftc.gov/policy/ public-comments. As a matter of 
discretion, the Commission tries to remove individuals’ home contact information from comments before placing them on the Commission Web site. Because your comment will be made 
public, you are solely responsible for 
making sure that your comment does not include any sensitive personal information, such as anyone’s Social Security number, date of birth, driver’s license number or other state identification number or foreign country equivalent, passport number, financial account number, or credit or debit card number. You are also solely responsible for making sure that your comment does not include any sensitive health information, such as medical records or other individually identifiable health information. In addition, do not include any ‘‘[t]rade secret or any commercial or financial information which is . . . privileged or confidential,’’ as discussed in section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 4.10(a)(2). In particular, do not include competitively sensitive information such as costs, sales statistics, inventories, formulas, patterns, devices, manufacturing processes, or customer names. 
If you want the Commission to give 
your comment confidential treatment, you must file it in paper form, with a request for confidential treatment, and you must follow the procedure explained in FTC Rule 4.9(c), 16 CFR 4.9(c). Your comment will be kept confidential only if the FTC General Counsel grants your request in accordance with the law and the public interest. 
Postal mail addressed to the 
Commission is subject to delay due to heightened security screening. As a result, we encourage you to submit your comments online. To make sure that the Commission considers your online comment, you must file it at https://ftcpublic.commentworks.com/ftc/ plumbingnprm, by following the 
instruction on the Web-based form. If this Notice appears at http://www.regulations.gov, you also may file 
a comment through that Web site. 
If you prefer to file your comment on 
paper, mail your comment to the 
following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC–5610 (Annex E), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex E), Washington, DC 20024. If possible, submit your paper comment to the Commission by courier or overnight service. 
Visit the Commission Web site at 
http://www.ftc.gov to read this NPRM 
and the news release describing it. The 
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25The proposed changes to plumbing should 
impose no additional burden beyond existing 
estimates because such changes either impose no or de minimis additional burdens, or manufacturers should be able to incorporate the proposed changes into their normally scheduled package or label revisions without incurring additional burdens beyond those already accounted for. 
26The PRA analysis for this rulemaking focuses 
strictly on the information collection requirements created by and/or otherwise affected by the amendments. Unaffected information collection provisions have previously been accounted for in past FTC analyses under the Rule and are covered by the current PRA clearance from OMB. 27For portable ACs, the estimate assumes 3 units 
tested at 8 hours apiece consistent with DOE requirements, with an additional 4 hours for data analysis. See DOE’s Compliance Certification 
Management System at https://www.regulations.doe.gov/ccms. 28The mean hourly wages that follow are drawn 
from ‘‘Occupational Employment and Wages—May 2015,’’ Bureau of Labor Statistics (‘‘BLS’’), U.S. Department of Labor, Table 1, released March 30, 2016 (‘‘National employment and wage data from the Occupational Employment Statistics survey by occupation, May 2015’’), available at http://www.bls.gov/news.release/ocwage.t01.htm. FTC Act and other laws that the 
Commission administers permit the collection of public comments to consider and use in this proceeding, as appropriate. The Commission will consider all timely and responsive public comments that it receives on or before November 14, 2016. You can find more information, including routine uses permitted by the Privacy Act, in the Commission’s privacy policy, at http://www.ftc.gov/ftc/privacy.htm. Because written comments appear adequate to present the views of all interested parties, the Commission has not scheduled an oral hearing regarding these proposed amendments. Interested parties may request an opportunity to present views orally. If such a request is made, the Commission will publish a document in the Federal Register stating the time and place for such oral presentation(s) and describing the procedures that will be followed. Interested parties who wish to present oral views must submit a hearing request, on or before October 4, 2016, in the form of a written comment that describes the issues on which the party wishes to speak. If there is no oral hearing, the Commission will base its decision on the written rulemaking record. 
IV. Paperwork Reduction Act 
The current Rule contains 
recordkeeping, disclosure, testing, and 
reporting requirements that constitute information collection requirements as defined by 5 CFR 1320.3(c), the definitional provision within the Office of Management and Budget (OMB) regulations that implement the Paperwork Reduction Act (PRA). OMB has approved the Rule’s existing information collection requirements through May 31, 2017 (OMB Control No. 3084–0069). The proposed amendments make changes in the Rule’s labeling requirements that will increase the PRA burden as detailed below.
25 
Accordingly, FTC staff will submit this notice of proposed rulemaking and associated Supporting Statement to OMB for review under the PRA.
26 Burden estimates below are based on 
Census data, DOE figures and estimates, general knowledge of manufacturing practices, and trade association advice and figures. The FTC estimates that there are about 450 basic models (i.e., units with essentially identical physical and electrical characteristics) affected by these amendments, including 100 electric instantaneous water heater models, 130 large-diameter and 70 high- speed small diameter fan models, and 150 portable air conditioner models. In addition, FTC staff estimates that there are 6 instantaneous water heater manufacturers, 20 ceiling fan manufacturers (of large-diameter and high-speed small diameter models), and 45 portable air conditioner manufacturers. The FTC estimates that there are approximately 2,700,000 ceiling fan units (of the type relevant here), 1,000,000 portable air conditioner units, and 100,000 electric instantaneous water heaters shipped each year in the U.S. 
Reporting: FTC staff estimates that the 
average reporting burden for manufacturers will be approximately two minutes to enter label data per basic model. Subject to further public comment, including AHAM clarification regarding its reporting burden estimate, the FTC estimates that annual reporting burden is approximately 15 hours [(2 minutes × 450 models)]. 
Labeling: The FTC additionally seeks 
further public comment on its burden estimate for labeling, including AHAM clarification of its proffered estimate for portable AC labeling. Provisionally, and tied to prior FTC burden estimates for labeling focused on the time to affix product labels, FTC staff estimates burden to be six seconds per unit; accordingly, 6,334 hours (six seconds × 3,800,000 total annual product shipments). 
Testing: Manufacturers will require 
approximately 3 hours to test each new basic ceiling fan model, 24 hours for each water heater, and 36 hours for portable air conditioners.
27The FTC 
estimates that, on average, 50% of the total basic models are tested each year. Accordingly, the estimated annual testing burden for the three affected products categories is 4,200 hours [ceiling fans—300 hours (3 hours × 200 
× .5); water heaters—1,200 hours (24 
hours × 100 × .5); and PACs—2,700 
hours (36 hours × 150 × .5)]. Recordkeeping: The Rule also requires 
ceiling fan manufacturers to keep records of test data generated in performing the tests to derive information included on labels. The FTC estimates that it will take manufacturers one minute per record (i.e., per model) to store the data. 
Accordingly, the estimated annual recordkeeping burden would be approximately 8 hours, rounded up (1 minute × 450 basic models). 
Catalog Disclosures: Based upon FTC 
staff research concerning the number of manufacturers and online retailers, staff estimates that there are an additional 300 catalog sellers who are subject to the Rule’s catalog disclosure requirements. Staff estimates further that these sellers each require approximately 3 hours per year to incorporate the data into their catalogs. This estimate is based on the assumptions that entry of the required information takes on average one minute per covered product and that the average online catalog contains approximately 200 covered products relevant here. Given that there is great variety among sellers in the volume of products that they offer online, it is very difficult to estimate such numbers with precision. In addition, this analysis assumes that information for all 200 covered products is entered into the catalog each year. This is a conservative assumption because the number of incremental additions to the catalog from year to year is likely to be much lower after initial start-up efforts have been completed. Thus, the total annual disclosure burden for all catalog sellers of ceiling fans covered by the Rule is 900 hours (300 sellers × 3 hours). 
Thus, estimated annual burden 
attributable to the proposed amendments is 11,457 hours (15 hours for reporting + 6,334 hours for affixing labels + 4,200 hours for testing + 8 hours for recordkeeping + 900 disclosure hours for catalog sellers). 
Annual Labor Costs 
Staff derived labor costs by applying 
assumed hourly wages
28to the burden 
hours described above. In calculating 
labor costs, the FTC assumes that electrical engineers perform test procedures, electronic equipment installers affix labels, and data entry workers enter label data, catalog 
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29See 75 FR at 41712 (July 19, 2010). disclosures, and perform recordkeeping. 
Average hourly wages for these labor categories, based on BLS data, are as follows: (1) Electrical engineers ($46.80); (2) electronic equipment installers ($24.22); and (3) data entry workers ($15.79). 
Based on the above estimates and 
assumptions, the total annual labor cost for the five different categories of burden under the Rule, applied to the affected product categories, is derived as follows: 
Reporting (Data Entry): 15 hours (450 basic 
models × 2 minutes) × $15.79/hour (data 
entry workers) = $237 
Labeling (Affixing Labels): 6,334 hours × 
$24.22 (electronic equipment installers) = 
$153,409 
Testing: 4,200 hours × $46.80/hour (electrical 
engineers) = $196,560 
Recordkeeping: 8 hours × $15.79/hour (data 
entry workers) = $126 
Catalog Disclosures: 1,200 hours × $15.79/ 
hour (data entry workers) = $18,948 
Thus, the total annual labor cost is 
approximately $369,280. 
Estimated annual non-labor cost 
burden: Manufacturers are not likely to 
require any significant capital costs to 
comply with the proposed amendments. Industry members, however, will incur the cost of printing labels for each covered unit. The estimated label cost, based on $.03 per label, is $114,000 (3,800,000 × $.03). 
Total Estimate: Accordingly, the 
estimated total hour burden of the proposed amendments is 11,457 with associated labor costs of $369,280 and annualized capital or other non-labor costs totaling $114,000. 
Pursuant to section 3506(c)(2)(A) of 
the PRA, the FTC invites comments on: (1) Whether the proposed information collection is necessary, including whether the information will be practically useful; (2) the accuracy of our burden estimates, including whether the methodology and assumptions used are valid; (3) ways to enhance the quality, utility, and clarity of the information to be collected; and (4) ways to minimize the burden of the collection of information. All comments should be filed as prescribed in the 
ADDRESSES section above, and must be 
received on November 14, 2016. 
Comments on the proposed 
recordkeeping, disclosure, and reporting requirements subject to review under the PRA should additionally be submitted to OMB. If sent by U.S. mail, they should be addressed to Office of Information and Regulatory Affairs, Office of Management and Budget, Attention: Desk Officer for the Federal Trade Commission, New Executive Office Building, Docket Library, Room 10102, 725 17th Street NW., 
Washington, DC 20503. Comments sent to OMB by U.S. postal mail, however, are subject to delays due to heightened security precautions. Thus, comments instead should be sent by facsimile to (202) 395–5806. 
V. Regulatory Flexibility Act 
The Regulatory Flexibility Act (RFA), 
5 U.S.C. 601 through 612, requires that 
the Commission provide an Initial Regulatory Flexibility Analysis (IRFA) with a proposed rule and a Final Regulatory Flexibility Analysis (FRFA), if any, with the final rule, unless the Commission certifies that the rule will not have a significant economic impact on a substantial number of small entities. See 5 U.S.C. 603 through 605. 
The Commission does not anticipate 
that the proposed rule will have a significant economic impact on a substantial number of small entities. The Commission recognizes that some of the affected manufacturers may qualify as small businesses under the relevant thresholds. However, the Commission does not expect that the economic impact of the proposed amendments will be significant because these amendments involved routine labeling requirements commonly implemented by the affected entities and the burden of the requirements is not large as discussed in the Paperwork Reduction Act section of this Notice. 
FTC staff estimates that the 
amendments will apply to 200 online and paper catalog sellers of covered products and about 71 product manufacturers. Staff expects that 
approximately 150 qualify as small businesses, all of which are online or paper catalog sellers. 
Accordingly, this document serves as 
notice to the Small Business Administration of the FTC’s certification of no effect. To ensure the accuracy of this certification, however, the Commission requests comment on whether the proposed rule will have a significant impact on a substantial number of small entities, including specific information on the number of entities that would be covered by the proposed rule, the number of these companies that are small entities, and the average annual burden for each entity. Although the Commission certifies under the RFA that the rule proposed in this notice would not, if promulgated, have a significant impact on a substantial number of small entities, the Commission has determined, nonetheless, that it is appropriate to publish an IRFA in order to inquire into the impact of the proposed rule on small entities. Therefore, the Commission has prepared the following analysis: 
A. Description of the Reasons That 
Action by the Agency Is Being Taken 
The Commission is proposing 
expanded product coverage and additional improvements to the Rule to help consumers in their purchasing decisions for high efficiency products. 
B. Statement of the Objectives of, and 
Legal Basis for, the Proposed Rule 
The objective of the rule is to improve 
the effectiveness of the current labeling program. The legal basis for the Rule is the Energy Policy and Conservation Act (42 U.S.C. 6292 et seq). 
C. Small Entities to Which the Proposed 
Rule Will Apply 
Under the Small Business Size 
Standards issued by the Small Business Administration, appliance manufacturers qualify as small businesses if they have fewer than 1,000 employees (for other household appliances the figure is 500 employees). Catalog sellers qualify as small businesses if their sales are less than $8.0 million annually. FTC staff estimates that there are approximately 150 catalog sellers subject to the proposed rule’s requirements that qualify as small businesses.
29The FTC 
seeks comment and information regarding the estimated number or nature of small business entities for which the proposed rule would have a significant economic impact. 
D. Projected Reporting, Recordkeeping 
and Other Compliance Requirements 
The changes under consideration 
would slightly increase reporting or recordkeeping requirements associated with the Commission’s labeling rules as discussed above. The amendments likely will increase compliance burdens by extending the labeling requirements to portable air conditioners, instantaneous electric water heaters, and certain ceiling fan types. The Commission assumes that the label design change will be implemented by data entry workers and underlying testing done by electrical engineers. 
E. Duplicative, Overlapping, or 
Conflicting Federal Rules 
The Commission has not identified 
any other federal statutes, rules, or policies that would duplicate, overlap, or conflict with the proposed rule. The Commission invites comment and information on this issue. 
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F. Significant Alternatives to the 
Proposed Rule 
The Commission seeks comment and 
information on the need, if any, for alternative compliance methods that, consistent with the statutory requirements, would reduce the economic impact of the rule on small entities. For example, the Commission is currently unaware of the need to adopt any special provisions for small entities. However, if such issues are identified, the Commission could consider alternative approaches such as extending the effective date of these amendments for catalog sellers to allow them additional time to comply beyond the labeling deadline set for manufacturers. Nonetheless, if the comments filed in response to this 
notice identify small entities that are affected by the proposed rule, as well as alternative methods of compliance that would reduce the economic impact of the rule on such entities, the Commission will consider the feasibility of such alternatives and determine whether they should be incorporated into the final rule. 
VI. Communications by Outside Parties 
to the Commissioners or Their Advisors 
Written communications and 
summaries or transcripts of oral communications respecting the merits of this proceeding, from any outside party to any Commissioner or Commissioner’s advisor, will be placed on the public record. See 16 CFR 
1.26(b)(5). 
VII. Proposed Rule List of Subjects in 16 CFR Part 305 
Advertising, Energy conservation, 
Household appliances, Labeling, 
Reporting and recordkeeping requirements. 
For the reasons discussed above, the 
Commission proposes to amend part 305 of title 16, Code of Federal Regulations, as follows: 
PART 305—ENERGY AND WATER USE 
LABELING FOR CONSUMER PRODUCTS UNDER THE ENERGY POLICY AND CONSERVATION ACT (‘‘ENERGY LABELING RULE’’) 
■1. The authority citation for Part 305 
continues to read as follows: 
Authority: 42 U.S.C. 6294. 
■2. In § 305.2, redesignate paragraph 
(l)(23) as (l)(24), add new paragraph (l)(23), and revise paragraph (p) to read as follows: 
§ 305.2 Definitions. 
* * * * * (l) * * * 
(23) Portable air conditioners, 
* * * * * 
(p) Energy efficiency rating means the 
following product-specific energy usage 
descriptors: Annual fuel utilization efficiency (AFUE) for furnaces; energy efficiency ratio (EER) for room air conditioners and portable air conditioners; seasonal energy efficiency ratio (SEER) for the cooling function of central air conditioners and heat pumps; heating seasonal performance factor (HSPF) for the heating function of heat pumps; airflow efficiency for ceiling fans; and, thermal efficiency (TE) for pool heaters, as these descriptors are determined in accordance with tests prescribed under section 323 of the Act (42 U.S.C. 6293). These product-specific energy usage descriptors shall be used in satisfying all the requirements of this part. 
* * * * * 
■3. In § 305.3, add paragraph (z) to read 
as follows: 
§ 305.3 Description of covered products. 
* * * * * 
(z) Portable air conditioner means a 
portable encased assembly, other than a 
‘‘packaged terminal air conditioner,’’ ‘‘room air conditioner,’’ or ‘‘dehumidifier,’’ that delivers cooled, conditioned air to an enclosed space, and is powered by single-phase electric current. It includes a source of refrigeration and may include additional means for air circulation and heating. 
■4. Amend § 305.7 by revising 
paragraph (f) to read as follows: 
§ 305.7 Determinations of capacity. 
* * * * * 
(f) Room air conditioners and portable 
air conditioners. The capacity shall be the cooling capacity in Btu’s per hour, as determined according to appendix F to 10 CFR part 430, subpart B, but rounded to the nearest value ending in hundreds that will satisfy the relationship that the value of EER used in representations equals the rounded value of capacity divided by the value of input power in watts. If a value ending in hundreds will not satisfy this relationship, the capacity may be rounded to the nearest value ending in 50 that will. 
* * * * * 
■5. In § 305.8, revise paragraph (b)(1) to 
read as follows: 
§ 305.8 Submission of data. 
* * * * * 
(b)(1) All data required by § 305.8(a) 
except serial numbers shall be 
submitted to the Commission annually, on or before the following dates: Product category Deadline 
for data 
submission 
Refrigerators ............................... Aug. 1. 
Refrigerators-freezers ................. Aug. 1. 
Freezers ...................................... Aug. 1. 
Central air conditioners .............. July 1. 
Heat pumps ................................ July 1. 
Dishwashers ............................... June 1. 
Water heaters ............................. May 1. 
Room and portable air condi-
tioners.July 1. 
Furnaces ..................................... May 1. 
Pool heaters ............................... May 1. 
Clothes washers ......................... Oct. 1. 
Fluorescent lamp ballasts ........... Mar. 1. 
Showerheads .............................. Mar. 1. 
Faucets ....................................... Mar. 1. 
Water closets .............................. Mar. 1. 
Ceiling fans ................................. Mar. 1. 
Urinals ......................................... Mar. 1. 
Metal halide lamp fixtures .......... Sept. 1. 
General service fluorescent 
lamps.Mar. 1. 
Medium base compact fluores-
cent lamps.Mar. 1. 
General service incandescent 
lamps.Mar. 1. 
Televisions .................................. June 1. 
* * * * * 
■6. Amend § 305.11 by revising the 
section heading and paragraphs (f)(5) and (8) to read as follows: 
§ 305.11 Labeling for refrigerators, 
refrigerator-freezers, freezers, dishwashers, clothes washers, water heaters, room air conditioners, portable air conditioners, and pool heaters. 
* * * * * 
(f) * * * 
(5) Unless otherwise indicated in this 
paragraph, estimated annual operating 
costs for refrigerators, refrigerator- freezers, freezers, clothes washers, dishwashers, room air conditioners, portable air conditioners, and water heaters are as determined in accordance with §§ 305.5 and 305.10. Thermal efficiencies for pool heaters are as determined in accordance with § 305.5. Labels for clothes washers and dishwashers must disclose estimated annual operating cost for both electricity and natural gas as illustrated in the sample labels in appendix L to this part. Labels for dual-mode refrigerator- freezers that can operate as either a refrigerator or a freezer must reflect the estimated energy cost of the model’s most energy-intensive configuration. 
* * * * * 
(8) Labels for refrigerators, 
refrigerator-freezers, freezers, 
dishwashers, clothes washers, and water heaters must contain the model’s estimated annual energy consumption as determined in accordance with § 305.5, and as indicated on the sample labels in appendix L to this part. Labels 
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for room air conditioners, portable air 
conditioners, and pool heaters must contain the model’s energy efficiency rating or thermal efficiency, as applicable, as determined in accordance with § 305.5 and as indicated on the sample labels in appendix L to this part. 
* * * * * 
■7. Amend § 305.13 by revising 
paragraph (a) to read as follows: 
§ 305.13 Labeling for ceiling fans. 
(a) Ceiling fans.—(1) Content. Any 
covered product that is a ceiling fan 
shall be labeled clearly and conspicuously on the package’s principal display panel with the following information on the label consistent with the sample label in Appendix L to this part: 
(i) Headlines, including the title 
‘‘EnergyGuide,’’ and text as illustrated in the sample labels in Appendix L to this part; 
(ii) The product’s estimated yearly 
energy cost based on [12 hours per day for fans greater than 84 inches in diameter and for high velocity small- diameter fans, and 6.4 hours for all other covered models] hours use per day and 12 cents per kWh; 
(iii) The product’s airflow expressed 
in cubic feet per minute and determined pursuant to § 305.5 of this part; 
(iv) The product’s energy use 
expressed in watts and determined pursuant to § 305.5 of this part as indicated in the sample label in appendix L of this part; 
(v) The statement ‘‘Based on 12 cents 
per kWh and [12 hours per day for fans greater than 84 inches in diameter and for high velocity small-diameter fans, and 6.4 hours for all other covered models] use per day’’; 
(vi) The statement ‘‘Your cost 
depends on rates and use’’; 
(vii) The statement ‘‘All estimates 
based on typical use, excluding lights’’; 
(viii) The statement ‘‘The higher the 
airflow, the more air the fan will move;’’ 
(ix) The statement ‘‘Airflow 
Efficiency: ___Cubic Feet Per Minute 
Per Watt’’; 
(x) The address ftc.gov/energy; 
(xi) For fans less than 19 inches in 
diameter, the label shall display a cost 
range of $10 to $50 along with the statement underneath the range ‘‘Cost Range of Similar Models (18″ or 
smaller)’’; 
(xii) For fans from 19 or more inches 
and less than 84 inches in diameter, the label shall display a cost range of $3 to $34 along with the statement underneath the range ‘‘Cost Range of Similar Models (19″–83″). 
(xiii) For fans more than 83 inches in 
diameter, the label shall display a cost range of $49 to $734 along with the statement underneath the range ‘‘Cost Range of Similar Models (greater than 83″).’’ 
(xiv) For high velocity, small diameter 
fans, the label shall display a cost range of $8 to $85 along with the statement underneath the range ‘‘Cost Range of Similar Models.’’ 
(xv) Placement of the labeled product 
on the scale proportionate to the lowest and highest estimated annual energy costs as illustrated in the Sample Labels in appendix L. When the estimated annual energy cost of a given model falls outside the limits of the current range for that product, the manufacturer shall place the product at the end of the range closest to the model’s energy cost. 
(xvi) The ENERGY STAR logo as 
illustrated on the ceiling fan label illustration in Appendix L for qualified products, if desired by the manufacturer. Only manufacturers that have signed a Memorandum of Understanding with the Department of Energy or the Environmental Protection Agency may add the ENERGY STAR logo to labels on qualifying covered products; such manufacturers may add the ENERGY STAR logo to labels only on those products that are covered by the Memorandum of Understanding; 
(2) Label size, color, and text font. The 
label shall be four inches wide and three inches high. The label colors shall be black text on a process yellow or other neutral contrasting background. The text font shall be Arial or another equivalent font. The label’s text size, format, content, and the order of the required disclosures shall be consistent with the ceiling fan label illustration of appendix L of this part. 
(3) Placement. The ceiling fan label 
shall be printed on or affixed to the principal display panel of the product’s packaging. 
(4) Additional information. No marks 
or information other than that specified in this part shall appear on this label, except a model name, number, or similar identifying information. 
(5) Labeling for ‘‘multi-mount’’ fans. 
For ‘‘multi-mount’’ fan models that can be installed either extended from the ceiling or flush with the ceiling, the label content must reflect the lowest efficiency (cubic feet per watt) configuration. Manufacturers may provide a second label depicting the efficiency at the other configuration. 
* * * * * 
■8. Amend § 305.16 by revising 
paragraphs (a)(3), (a)(4), (b)(3), and (b)(4) 
to read as follows: § 305.16 Labeling and marking for 
plumbing products. 
(a) * * * 
(3) The package for each showerhead 
and faucet shall disclose the 
manufacturer’s name and the model number. 
(4) The package or any label attached 
to the package for each showerhead or faucet shall contain at least the following: The flow rate expressed in gallons per minute (gpm) or gallons per cycle (gpc), and the flow rate value shall be the actual flow rate or the maximum flow rate specified by the standards established in subsection (j) of section 325 of the Act, 42 U.S.C. 6295(j). Each flow rate disclosure shall also be given in liters per minute (L/min) or liters per cycle (L/cycle). 
(b) * * * 
(3) The package, and any labeling 
attached to the package, for each water 
closet and urinal shall disclose the flow rate, expressed in gallons per flush (gpf), and the water use value shall be the actual water use or the maximum water use specified by the standards established in subsection (k) of section 325 of the Act, 42 U.S.C. 6295(k). Each flow rate disclosure shall also be given in liters per flush (Lpf). 
(4) With respect to any gravity tank- 
type white 2-piece toilet offered for sale or sold before January 1, 1997, which has a water use greater than 1.6 gallons per flush (gpf), any printed matter distributed or displayed in connection with such product (including packaging and point-of-sale material, catalog material, and print advertising) shall include, in a conspicuous manner, the words ‘‘For Commercial Use Only.’’ 
* * * * * 
§ 305.20 [Amended] 
■9. In § 305.20, remove the term ‘‘room 
air conditioners’’ wherever it appears 
and add, in its place, the term ‘‘room and portable air conditioners.’’ 
■10. Add Appendix D6 to read as 
follows: 
Appendix D5 to Part305—Water 
Heaters—Instantaneous–Electric 
RANGE INFORMATION  
Capacity Range of estimated 
annual energy costs 
(dollars/year) Capacity 
(maximum 
flow rate); 
gallons per 
minute (gpm) Low High 
‘‘Very Small’’— 
less than 1.6 * * 
‘‘Low’’—1.7 to 
2.7 ................. * * 
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117 CFR 229.601. 
217 CFR 249.20f. 
317 CFR 239.40. 
417 CFR 232.11. 
517 CFR 232.102. 
617 CFR 232.105. 
717 CFR 232.10 et seq. 
8See Electronic Filing, Processing and 
Information Dissemination System, Release No. 33– 
6519 (Mar. 30, 1984) [49 FR 12707]. 
9See Rulemaking for EDGAR System, Release No. 
33–7855 (Apr. 24, 2000) [65 FR 24788]. Filers also may submit unofficial copies of filings in Portable Document Format (‘‘PDF’’). See Rule 104 of 
Regulation S–T [17 CFR 232.104]. 
10See Business and Financial Disclosure 
Required by Regulation S–K, Release No. 33–10064 (Apr. 13, 2016) [81 FR 23916] (‘‘S–K Concept Release’’). The Division of Corporation Finance is reviewing the disclosure requirements in Regulation S–K [17 CFR 229 et seq.] and Regulation S–X [17 CFR 210 et seq.], and is considering ways to improve the disclosure regime for the benefit of both public companies and investors. 
11The S–K Study was mandated by Section 108 
of the Jumpstart Our Business Startups Act. See Public Law 112–106, Sec. 108, 126 Stat. 306 (2012). RANGE INFORMATION —Continued 
Capacity Range of estimated 
annual energy costs 
(dollars/year) Capacity 
(maximum 
flow rate); 
gallons per 
minute (gpm) Low High 
‘‘Medium’’—2.8 
to 3.9 ............. * * 
‘‘High’’—over 4.0 * * 
■11. Revise Appendix E to read as 
follows: 
Appendix E to Part 305—Room and 
Portable Air Conditioners 
RANGE INFORMATION  
Manufacturer’s 
rated cooling 
capacity in 
Btu’s/hr Range of estimated 
annual energy costs 
(dollars/year) 
Low High 
Less than 6,000 
Btu ................. * * 
6,000 to 7,999 
Btu ................. * * 
8,000 to 13,999 
Btu ................. * * 
14,000 to 19,999 
Btu ................. * * 
20,000 and 
more Btu ....... * * 
* No data submitted. 
By direction of the Commission. 
Donald S. Clark, 
Secretary. 
[FR Doc. 2016–21783 Filed 9–9–16; 8:45 am] 
BILLING CODE 6750–01–P 
SECURITIES AND EXCHANGE 
COMMISSION 
17 CFR Parts 229, 232, 239 and 249 
[Release Nos. 33–10201; 34–78737; File No. 
S7–19–16] 
RIN 3235–AL95 
Exhibit Hyperlinks and HTML Format 
AGENCY : Securities and Exchange 
Commission. 
ACTION : Proposed rule. 
SUMMARY : We are proposing 
amendments that would require 
registrants that file registration statements and periodic and current reports that are subject to the exhibit requirements under Item 601 of Regulation S–K, or that file on Forms F– 10 or 20–F, to include a hyperlink to each exhibit listed in the exhibit index of these filings. To enable the inclusion of such hyperlinks, the proposed amendments would also require that registrants submit all such filings in HyperText Markup Language (‘‘HTML’’) format. 
DATES : Comments should be received on 
or before October 27, 2016. 
ADDRESSES : Comments may be 
submitted by any of the following methods: 
Electronic Comments 
•Use the Commission’s Internet 
comment form (http://www.sec.gov/ 
rules/proposed.shtml); or 
•Send an email to rule-comments@
sec.gov. Please include File Number S7– 
19–16 on the subject line; or 
•Use the Federal eRulemaking Portal 
(http://www.regulations.gov). Follow the instructions for submitting comments. 
Paper Comments 
•Send paper comments to Brent J. 
Fields, Secretary, Securities and 
Exchange Commission, 100 F Street NE., Washington, DC 20549–1090. 
All submissions should refer to File 
Number S7–19–16. This file number should be included on the subject line if email is used. To help us process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s Internet Web site (http://www.sec.gov/rules/ proposed.shtml). Comments are also available for Web site viewing and printing in the Commission’s Public Reference Room, 100 F Street NE., Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. All comments received will be posted without change; we do not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. 
Studies, memoranda or other 
substantive items may be added by the Commission or staff to the comment file during this rulemaking. A notification of the inclusion in the comment file of any such materials will be made available on the SEC’s Web site. To ensure direct electronic receipt of such notifications, sign up through the ‘‘Stay Connected’’ option at www.sec.gov to receive 
notifications by email. 
FOR FURTHER INFORMATION CONTACT : N. 
Sean Harrison, Special Counsel, at (202) 551–3430, in the Office of Rulemaking, Division of Corporation Finance, U.S. Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549. 
SUPPLEMENTARY INFORMATION : We are 
proposing amendments to Item 601 of Regulation S–K,1Forms 20–F2and F– 
10,3and Rules 11,41025and 1056of 
Regulation S–T.7 
I. Introduction 
Since the Commission’s 
implementation of the Electronic Data Gathering, Analysis, and Retrieval system (‘‘EDGAR’’) in 1984 to automate the receipt, processing, and dissemination of documents required to be filed under the federal securities laws,
8we have sought to make EDGAR 
more efficient and comprehensive. For example, in 2000, we adopted rule and form amendments in connection with the modernization of EDGAR that allowed registrants to file EDGAR documents in the HTML format.
9In 
addition, we expanded the permissible use of hyperlinks in EDGAR filings to allow filers to hyperlink to other documents within the same filing and to hyperlink to documents contained in other filings in the EDGAR database. Recently, we issued a concept release examining the business and financial information Regulation S–K requires registrants to disclose, how this information is presented, where and how this information is disclosed and how we can leverage technology as part of these efforts.
10The S–K Concept 
Release was a product of the staff’s work on the Disclosure Effectiveness Initiative, which is part of a comprehensive evaluation of the Commission’s disclosure requirements recommended in the staff’s Report on Review of Disclosure Requirements in Regulation S–K (‘‘S–K Study’’).
11In 
furtherance of the objectives of the Disclosure Effectiveness Initiative, we are proposing rule amendments to Item 
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