Federal Register / Vol. 78, No. 225 / Thursday, November 21, 2013 / Proposed Rules 69793 

‘‘grandfather’’ exception for taxes in 

effect on December 30, 1987. By itself 

the term ‘‘in effect’’ could mean enacted 

but not imposed, or enacted and 

actually being collected. The conference 

report to the Federal Aviation 

Reauthorization Act of 1996 clarifies 

congressional intent toward the scope of 

this exception: 

The conferees want to clarify that if a local 

fuel tax was enacted or adopted before 

December 30, 1987, but for which collections 

were not made until some significant period 

of time after December 30, 1987, it shall not 

be grandfathered pursuant to this section and 

all proceeds of such a tax must be used for 

the capital or operating costs of the airport, 

the local airport system, or pursuant to 

paragraph (3) of subsection (a). 

Accordingly, the fact that an 

ordinance permitting taxes on aviation 

fuel existed in 1987 is not sufficient to 

exempt the tax from the revenue use 

requirements. A tax ordinance is 

grandfathered only if collection of the 

tax revenues on the sale of aviation fuel 

was initiated before December 30, 1987 

or within a relatively short period after 

that date. If tax collections begin later, 

then the proceeds must be used for the 

purposes in sections 47107(b) and 

47133. 

Compliance 

Airport sponsors. An airport sponsor 

applying for an AIP grant agrees to 

comply with a number of standard grant 

assurances, which are published on 

FAA’s Airports Web site. See http://

www.faa.gov/airports/aip/grant_

assurances/. Grant Assurance no. 25, 

Airport Revenues, incorporates the 

provisions of 49 U.S.C. 47107(b) in each 

AIP grant agreement. So, executing a 

grant application involves assuring FAA 

that fuel taxes collected on aviation fuel 

will only be used for certain aviation 

purposes. Neither section 47107(b) nor 

section 47133 limits this requirement to 

taxes imposed by the airport sponsor; 

the assurance applies to any state or 

local government tax on aviation fuel. 

As FAA noted in a 2009 letter to the 

Hall County Airport Authority, 

Nebraska, regarding proposed state 

legislation to tax aviation fuel: 

* * * enactment of the [state] legislation to 

permit general use of the proceeds from the 

aviation fuel tax could jeopardize continued 

federal funding of airport and noise 

abatement projects at Federally-assisted 

airports throughout the [state]. 

Non-sponsor state and local 

governments. Title 49 U.S.C. 47133 

contains a prohibition on use of aviation 

fuel tax proceeds for general purposes. 

This is a direct and self-implementing 

statutory requirement, and does not rely 

on contract terms, as does section 

47107(b). Congress has provided two 

means for Federal enforcement of the 

terms of section 47133: Civil penalty 

authority in 49 U.S.C. 46301(a), and 

application to U.S. district court for 

judicial enforcement pursuant to 49 

U.S.C. 47111(f). 

Prospective application. In 

determining that a clarification of 

agency policy on use of aviation fuel tax 

proceeds is warranted, FAA is mindful 

that entities affected by this policy may 

not have fully understood the scope of 

Federal requirements in the past. 

Accordingly, it is FAA’s intention to 

apply any final clarification of policy 

adopted in this proceeding 

prospectively, and to allow affected 

parties a reasonable time to bring state 

and local government taxes into 

compliance. 

Request for comments. The 

clarification of policy proposed in this 

notice is intended to clarify FAA’s 

interpretation of statutory requirements 

for use of airport revenue. In view of the 

potential interests of aircraft operators, 

aviation service providers, the aviation 

fuel industry, state and local taxing 

authorities and others in the Federal 

requirements applicable to aviation fuel 

taxes, this notice requests public 

comment on the proposed policy 

clarification. 

Clarification of the Revenue Use Policy 

on Use of Proceeds From Taxes on 

Aviation Fuel 

In consideration of the foregoing, FAA 

proposes to amend the Policy and 

Procedures Concerning the Use of 

Airport Revenue, published in the 

Federal Register at 64 FR 7696 on 

February 16, 1999, as follows: 

1. Section II, Definitions, paragraph 

B.2, is revised to read: 

State or local taxes on aviation fuel (except 

taxes in effect on December 30, 1987) are 

considered to be airport revenue subject to 

the revenue-use requirement. However, 

revenues from state taxes on aviation fuel 

may be used to support state aviation 

programs, and as airport revenue can be used 

for noise mitigation purposes, on or off the 

airport. 

2. In Section IV, Statutory 

Requirements for the Use of Airport 

Revenue, renumber paragraphs D and E 

as paragraphs E and F, and add a new 

paragraph D to read as follows: 

D. Use of Proceeds From Taxes on Aviation 

Fuel. 

1. Federal law limits use of the proceeds 

from a state or local government tax on 

aviation fuel to the purposes permitted in 

those sections, as described in IV.A. of this 

Policy. Proceeds from tax on aviation fuel 

may be used for any purpose for which other 

airport revenues may be used, and may also 

be used for a state aviation program. 

2. Airport sponsors that are subject to an 

AIP grant agreement have agreed, as a 

condition of receiving a grant, that the 

proceeds from a state or local government tax 

on aviation fuel will be used only for the 

purposes listed in paragraph 1. This 

commitment is not limited to taxes on 

aviation fuel imposed by the airport operator, 

and includes taxes on aviation fuel imposed 

by state government and other local 

jurisdictions. 

3. The Federal limits on use of aviation 

fuel tax proceeds apply at an airport that is 

the subject of Federal assistance (as defined 

in Section II.b.2 of this Policy), whether or 

not the airport is currently subject to the 

terms of an AIP grant agreement, and 

regardless of the state or local jurisdiction 

imposing the tax. 

4. The limits on use of aviation fuel tax 

revenues established by section 47107(b) and 

section 47133: 

a. Apply to a tax imposed by either a state 

government or a local government taxing 

authority; 

b. Apply to any tax on aviation fuel, 

whether the tax is imposed only on aviation 

fuel or is imposed on other products as well 

as aviation fuel. However, the limits on use 

of revenues apply only to the amounts of tax 

collected specifically for the sale, purchase or 

storage of aviation fuel, and not to the 

amounts collected for transactions involving 

products other than aviation fuel under the 

same general tax law; 

c. apply to taxes on all aviation fuel 

dispensed at an airport, regardless of where 

the taxes on the sale of fuel at the airport are 

collected; and 

d. apply to a new assessment or imposition 

of a tax on aviation fuel, even if the tax could 

have been imposed earlier under a statute 

enacted before December 30, 1987. 

Issued in Washington, DC on November 14, 

2013. 

Randall S. Fiertz, 

Director, Office of Airport Compliance and 

Management Analysis. 

[FR Doc. 2013–27860 Filed 11–19–13; 11:15 am] 

BILLING CODE 4910–13–P 

CONSUMER PRODUCT SAFETY 

COMMISSION 

16 CFR Part 1115 

[CPSC Docket No. CPSC–2013–0040] 

Voluntary Remedial Actions and 

Guidelines for Voluntary Recall 

Notices 

AGENCY: Consumer Product Safety 

Commission. 

ACTION: Notice of proposed rulemaking. 

SUMMARY: In this document, the 

Consumer Product Safety Commission 

(Commission, CPSC, or we) proposes an 

interpretive rule to set forth principles 

and guidelines for the content and form 

of voluntary recall notices that firms 

provide as part of corrective action 


wreier-aviles on DSK5TPTVN1PROD with PROPOSALS
69794 Federal Register / Vol. 78, No. 225 / Thursday, November 21, 2013 / Proposed Rules 

plans under Section 15 of the Consumer 

Product Safety Act (CPSA). The 

Commission has issued regulations 

interpreting the requirements of section 

15 of the CPSA. The existing regulations 

provide for notice to the public of the 

corrective action that a firm agrees to 

undertake. The regulations, however, do 

not provide any guidance regarding the 

information that should be included in 

a recall notice issued as part of a 

corrective action plan agreement. The 

proposed rule would set forth the 

Commission’s expectations for 

voluntary remedial actions and recall 

notices, bearing in mind that certain 

elements of product recalls vary and 

each notice should be tailored 

appropriately. The proposed rule also 

would provide that, when appropriate, 

a corrective action plan negotiated 

under our regulations may include 

compliance program-related 

requirements. 

DATES: Submit comments by February 4, 

2014. 

ADDRESSES: Comments, identified by 

Docket No. CPSC–2013–0040, may be 

submitted electronically or in writing: 

Electronic Submissions: Submit 

electronic comments to the Federal 

eRulemaking Portal at: http://

www.regulations.gov. Follow the 

instructions for submitting comments. 

The Commission is no longer directly 

accepting comments submitted by 

electronic mail (email), except through 

www.regulations.gov. The Commission 

encourages you to submit electronic 

comments by using the Federal 

eRulemaking Portal, as described above. 

Written Submissions: Submit written 

submissions in the following way: Mail/ 

Hand delivery/Courier (for paper, disk, 

or CD–ROM submissions), preferably in 

five copies, to: Office of the Secretary, 

Consumer Product Safety Commission, 

Room 820, 4330 East-West Highway, 

Bethesda, MD 20814; telephone (301) 

504–7923. 

Instructions: All submissions received 

must include the agency name and 

docket number for this rulemaking. All 

comments received may be posted 

without change, including any personal 

identifiers, contact information, or other 

personal information provided, to 

http://www.regulations.gov. Do not 

submit confidential business 

information, trade secret information, or 

other sensitive or protected information 

that you do not want to be available to 

the public. If furnished at all, such 

information should be submitted in 

writing. 

Docket: For access to the docket to 

read background documents or 

comments received, go to: http://

www.regulations.gov, and insert the 

docket number, CPSC 2013–0040, into 

the ‘‘Search’’ box, and follow the 

prompts. 

FOR FURTHER INFORMATION CONTACT: 

Howard Tarnoff, Project Manager, Office 

of Compliance and Field Operations, 

U.S. Consumer Product Safety 

Commission, 4330 East-West Highway, 

Bethesda, MD 20814; email: htarnoff@

cpsc.gov. 

SUPPLEMENTARY INFORMATION: 

I. Background 

The Consumer Product Safety 

Improvement Act of 2008, Public Law 

110–314, 122 Stat. 3016 (2008) (CPSIA), 

amended the CPSA to strengthen the 

CPSC’s authority to recall products and 

to notify the public effectively about the 

scope of a recall and available remedies. 

Section 214 of the CPSIA required the 

Commission to establish guidelines and 

requirements for mandatory recall 

notices ordered by the Commission or 

by a United States District Court under 

the CPSA. Section 214 also required that 

a recall notice include certain specific 

information, unless the Commission 

determines otherwise. 15 U.S.C. 2064(i). 

This information includes, but is not 

limited to, descriptions of the product, 

hazard, injuries, deaths, actions being 

taken, and remedy; identification of the 

manufacturer and retailers; 

identification of relevant dates; and any 

other information the Commission 

deems appropriate. 

Although Section 214 applies only to 

mandatory recalls, the House Committee 

considering the legislation explicitly 

expressed an expectation that similar 

information would be provided, as 

applicable and to the greatest extent 

possible, in the notices issued in 

voluntary recalls. H.R. Rep. No. 110–501 

at 40 (2008) (House Report). The 

Commission agrees with this statement, 

and believes that whether a product 

hazard is addressed in the context of a 

mandatory recall or a voluntary recall, 

the need to inform and encourage 

affected consumers to act is similar. 

As required by Section 214(c) of the 

CPSIA, the Commission promulgated a 

final rule setting forth requirements and 

guidelines for mandatory recall notices. 

75 Fed. Reg. 3355 (Jan. 21, 2010). That 

rule does not address voluntary recall 

notices related to corrective action 

agreements with the Commission. 

Although no mandatory recall notices 

have been announced since issuance of 

the mandatory recall notice rule in 

January 2010, the CPSC has worked 

cooperatively with regulated companies 

on more than 1,000 voluntary corrective 

action programs and the associated 

recall notices. 

Commission regulations provide that 

‘‘the Commission will attempt to protect 

the public from substantial product 

hazards by seeking . . . voluntary 

remedies,’’ including ‘‘corrective action 

plans.’’ 16 CFR 1115.20. The regulation 

states: ‘‘[c]orrective actions shall 

include, as appropriate: . . . (xi) An 

agreement that the Commission may 

publicize the terms of the plan to the 

extent necessary to inform the public of 

the nature and extent of the alleged 

substantial product hazard and of the 

actions being undertaken to correct the 

alleged hazard presented.’’ The 

corrective action plan regulations do not 

address the form or content of the notice 

issued by the Commission as a 

component of a corrective action plan. 

II. Basis for Proposed Rule 

The portion of the proposed rule 

regarding recall notices is based upon a 

recommendation from a House Report 

that voluntary recall notices should 

contain information similar to that 

required for mandatory recall notices 

(see H.R. Rep. No. 110–501 at 40 (2008)) 

and upon many years of Commission 

experience with recalls and recall 

effectiveness. The proposal also is based 

on related agency expertise and on the 

information contained in agency recall 

guidance materials, including the Recall 

Handbook (http://www.cpsc.gov/

PageFiles/106141/8002.pdf) and the 

requirements and guidelines for 

mandatory recall notices (16 CFR part 

1115, subpart C). 

The Commission believes that an 

interpretive rule setting forth the 

Commission’s principles and guidelines 

regarding the content of voluntary recall 

notices will result in: (1) Greater 

efficiencies during recall negotiations, 

(2) greater predictability for the 

regulated community in working with 

the agency to develop voluntary recall 

notice content, and (3) timelier issuance 

of recall announcements to the public. 

In addition, the proposed rule reflects 

technological advances. The tools 

available to improve recall effectiveness 

through broader dissemination of 

important recall information have 

expanded significantly in recent years. 

The Commission believes that specific 

reference to these tools should be 

included in a voluntary recall notice 

rule. For example, firms and the 

Commission now have access to various 

social media resources, such as a blog, 

Twitter, YouTube, a widget, mobile 

phone application, and Flickr, which 

can be used to increase the number of 

consumers who respond to safety 

information. 


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Federal Register / Vol. 78, No. 225 / Thursday, November 21, 2013 / Proposed Rules 69795 

Negotiated corrective actions give the 

Commission the opportunity to tailor 

remedies to a particular situation and 

the associated health and safety risks 

presented. The proposed rule would 

include language that would permit, in 

appropriate situations and at the 

Commission’s discretion, the 

Commission to pursue compliance 

program requirements in the course of 

negotiating corrective action plans. The 

proposed rule contemplates that if 

appropriate, a corresponding reference 

to compliance program requirements 

may be included in the related 

voluntary recall notice. Inclusion of 

compliance program requirements as an 

element of voluntary corrective action 

plans would echo compliance program 

requirements incorporated as part of 

recent civil penalty settlement 

agreements. 

III. Description of the Proposed Rule 

In general, the proposed rule would 

establish a new subpart D, titled, 

‘‘Principles and Guidelines for 

Voluntary Recall Notices,’’ in part 1115 

of title 16 of the Code of Federal 

Regulations and would add a new 

paragraph to 16 CFR 1115.20. 

1. Proposed § 1115.20(a)—Legally 

Binding 

The Commission proposes to revise 

§ 1115.20(a) to state that, once a firm 

voluntarily agrees to undertake a 

corrective action plan, the firm is legally 

bound to fulfill the terms of the 

agreement. The Commission has the 

authority to order mandatory recalls of 

products, and, as noted earlier, the 

CPSIA increased the Commission’s 

ability to undertake mandatory recalls of 

defective or violative products. 

However, in the interests of the public 

and most importers, manufacturers, 

wholesalers, and retailers, almost all 

recalls overseen by the Commission are 

jointly conducted by firms and the 

Commission on a voluntary basis. Part 

of the process of a voluntary recall 

includes the Commission and the firm 

agreeing to a corrective action plan that 

details the steps the firm will take 

including, but not limited to, the type of 

remedy it will offer to the public. 

Currently, § 1115.20(a) defines a 

corrective action plan as ‘‘a document, 

signed by a subject firm, which sets 

forth the remedial action which the firm 

will voluntarily undertake to protect the 

public, but which has no legally binding 

effect.’’ The result is that the 

Commission is prohibited from 

enforcing the terms of a corrective 

action plan if a recalcitrant firm violates 

the terms of its corrective action plan. 

In addition, the Commission has 

encountered firms that have deliberately 

and unnecessarily delayed the timely 

implementation of the provisions of 

their correction action plans. 

Accordingly, proposed § 1115.20(a) 

would provide the Commission with the 

necessary tools to compel a 

noncompliant or dilatory firm to carry 

out the terms of its voluntarily agreed 

upon corrective action plan. 

In addition, amended § 1115.20(a) 

would make clear to firms wishing to 

conduct a voluntary recall that the 

Commission’s preferred remedies are 

refunds, repairs and replacements, and 

that firms wishing to use other remedies 

shall have the burden of demonstrating 

that those alternatives will be as 

effective as the preferred remedies. 

2. Proposed § 1115.20(a)(1)(xiii)— 

Admissions 

Amended § 1115.20(a)(1)(xiii) would 

provide the Commission with additional 

flexibility concerning admissions in 

corrective action plans. Eliminating the 

phrase, ‘‘If desired by the subject firm,’’ 

and revising the sentence to include the 

following language later in the sentence 

‘‘if agreed to by all parties’’ facilitates an 

opportunity for the Commission to 

negotiate and agree to appropriate 

admissions in each particular corrective 

active plan. 

3. Proposed § 1115.20(a)(5)—Compliant 

Remedies 

Proposed § 1115.20(a)(5) would 

describe the Commission’s intent that 

any remedial actions set forth in a 

corrective action plan be compliant with 

all applicable CPSC rules, regulations, 

standards, or bans. This revision is 

intended to make that expectation 

specific. 

4. Proposed § 1115.20(a)(1)(xv) and 

§ 1115.20(b)—Compliance Programs 

Proposed § 1115.20(a)(1)(xv) would 

add compliance program-related 

requirements as possible components of 

a corrective action plan. Proposed 

§ 1115.20(b) would provide examples of 

the types of circumstances that such 

compliance program-related 

requirements, in the Commission’s 

discretion, may be proposed as 

appropriate elements of a voluntary 

corrective action plan. Such 

circumstances might include, but are 

not limited to: Multiple previous recalls 

and/or violations of CPSC requirements 

over a relatively short period of time; 

failure to timely report substantial 

product hazards on previous occasions; 

or evidence of insufficient or ineffectual 

procedures and controls for preventing 

the manufacturing, importation, and/or 

distribution of dangerously defective or 

violative products. 

The proposed rule sets forth the types 

of enforcement actions in which the 

Commission may address violations of a 

voluntary compliance program 

agreement including, but not limited to: 

Seeking an injunction or specific 

performance as well as pursuing all 

applicable sanctions under the CPSA. 

In addition, proposed § 1115.20(b) 

would provide examples of the types of 

provisions that may be included in a 

voluntary compliance program 

agreement including, but not limited to: 

Maintaining and enforcing a system of 

internal controls and procedures to 

ensure that a firm promptly, completely, 

and accurately reports required 

information about its products to the 

Commission; ensuring that information 

required to be disclosed by the firm to 

the Commission is recorded, processed, 

and reported, in accordance with 

applicable law; establishing an effective 

program to ensure the firm remains in 

compliance with safety statutes and 

regulations enforced by the 

Commission; providing firm employees 

with written standards and policies, 

compliance training, and the means to 

report compliance-related concerns 

confidentially; ensuring that prompt 

disclosure is made to the firm’s 

management of any significant 

deficiencies or material weaknesses in 

the design or operation of such internal 

controls that are reasonably likely to 

affect adversely, in any material respect, 

the firm’s ability to report to the 

Commission; providing the Commission 

with written documentation, upon 

request, of the firm’s improvements, 

processes, and controls related to the 

firm’s reporting procedures; or making 

available all information, materials, and 

personnel deemed necessary to the 

Commission to evaluate the firm’s 

compliance with the terms of the 

agreement. 

Current § 1115.20(b) regarding 

consent order agreements would be redesignated to § 1115.20(c). 

5. Proposed § 1115.20(c)(1)(xii)— 

Admissions 

Proposed § 1115.20(c)(1)(xii) would 

amend 16 CFR 1115.20(b)(1)(xii) to 

provide the Commission with additional 

flexibility concerning admissions in 

consent order agreements. Eliminating 

the phrase, ‘‘If desired by the subject 

firm,’’ and revising the sentence to 

include the following language later in 

the sentence ‘‘if agreed to by all parties’’ 

facilitates an opportunity for the 

Commission to negotiate and agree to 

appropriate admissions in each 

particular consent order agreement.’’ 


wreier-aviles on DSK5TPTVN1PROD with PROPOSALS
69796 Federal Register / Vol. 78, No. 225 / Thursday, November 21, 2013 / Proposed Rules 

6. Proposed § 1115.30—Purpose 

Proposed § 1115.30 would describe 

the purpose for a new subpart D, 

‘‘Principles and Guidelines for 

Voluntary Recall Notices,’’ which is to 

see that every voluntary recall notice 

helps consumers and other affected 

persons identify the product to which a 

recall notice pertains, understand the 

actual or potential hazards presented by 

the product, understand the remedies 

available to consumers concerning the 

product, and take appropriate action in 

response to the notice. The proposed 

rule would provide principles 

concerning the content and form of 

voluntary recall notices and guidelines 

concerning the expected content of all 

such recall notices, drafted by 

Commission staff and the recalling firm. 

7. Proposed § 1115.31—Applicability 

Proposed § 1115.31 would explain 

that the principles and guidelines in 

subpart D apply to manufacturers 

(including importers), retailers, and 

distributors of consumer products. 

8. Proposed § 1115.32—Definitions 

Proposed § 1115.32 would define 

certain terms used in subpart D. The 

proposed definitions in this section are 

based on the Commission’s experience 

with recalls under section 15. This 

section would define ‘‘electronic 

medium’’ to encompass the various 

methods of communicating recall 

information electronically and would 

define ‘‘voluntary recall notice’’ as the 

means of notifying consumers and 

others of the voluntary remedial actions 

applicable to a consumer product. 

Additionally, proposed § 1115.32 would 

state that the definitions in section 3 of 

the CPSA (15 U.S.C. 2052) apply. 

9. Proposed § 1115.33—Voluntary 

Recall Notice Principles 

Proposed § 1115.33 would provide 

general principles and describe the 

Commission’s policies pertaining to 

recall notices. The proposed principles 

are similar to the guidelines for 

mandatory recall notices codified at 16 

CFR 1115.26, with certain exceptions. In 

general, proposed § 1115.33(a) would 

state principles that are important for 

recall notices to be effective. For 

example, proposed § 1115.33(a)(1) 

would state that a recall notice should 

provide information that enables 

consumers and other affected persons to 

identify the recalled product and take 

appropriate action. 

Proposed § 1115.33(a)(2) through 

(a)(5) would state the purpose of a 

voluntary recall notice, provide 

guidance on the form of the voluntary 

recall notice, and set forth the principal 

forms of notice. Proposed 

§ 1115.33(a)(2) is similar to 16 CFR 

1115.26(a)(2), but would reference the 

Associated Press (AP) Stylebook as the 

guide for the language and format of 

voluntary recall notices. CPSC staff has 

used the AP Stylebook for decades to 

develop the template used for the 

drafting of recall press releases. Staff’s 

experience is that most media outlets 

are familiar with or use the rules set 

forth in the AP Stylebook within their 

own media organization. Thus, media 

organizations are more likely to 

disseminate information contained in a 

press release that comports with the AP 

Stylebook. 

Proposed § 1115.33(a)(5) is similar to 

16 CFR 1115.26(a)(5) but specifically 

identifies the methods to be used to 

publicize a voluntary recall notice. 

These methods are clearly listed as a 

press release or recall alert, a 

prominently displayed in-store poster, 

and a Web site posting, as well as two 

additional forms of publication from the 

subsequent list of voluntary recall 

notice forms delineated in § 1115.33 

(b)(1)(i)–(vi). In an effort to provide 

clarity regarding the types of methods a 

firm should use, this proposed change 

describes the five preferred categories of 

methods for disseminating the voluntary 

recall information to broad audiences. 

Proposed § 1115.33(b)(1) is similar to 

16 CFR 1115.26(b)(1) but would include 

‘‘electronic’’ and ‘‘electronic medium’’ 

as general forms for a voluntary recall 

notice and would identify additional 

specific forms of, and means for, 

communicating a voluntary recall notice 

as acceptable, such as radio news 

release; video news release; b-roll 

package; YouTube; Instagram, or Vine 

video; and social media sites, such as 

Facebook, Google+, Twitter, Pinterest, 

Tumblr, Flickr, and blogs, as examples. 

Guidance from the Office of 

Management and Budget calls for 

agencies to format public 

communications for mobile platforms, 

such as smartphones, tablets, and 

similar devices. The reference to 

‘‘electronic’’ and ‘‘electronic medium’’ 

forms of the press release is intended to 

promote the use of communications 

using digital and mobile platforms. In 

addition, this section seeks to reflect the 

common practice in recent years for 

CPSC staff to request that recalling firms 

use their own social media platforms to 

communicate directly with customers 

about voluntary recalls. This low-cost 

mechanism of informing customers is 

designed to enhance the likelihood that 

customers will learn about the recall 

and pursue the remedy offered and that 

these firms use video and other 

electronic media for this purpose. 

Proposed § 1115.33(b)(2) is similar to 

16 CFR 1115.26(b)(2) and would 

recognize that a direct recall notice is 

the most effective form of a recall 

notice. The proposed rule would state 

that when firms have contact 

information for consumers, or when 

contact information is reasonably 

obtainable, firms shall issue direct recall 

notices. Proposed § 1115.33(b)(2) 

includes ‘‘electronic medium’’ and 

‘‘hard copy’’ as possible forms of direct 

voluntary recall notice. 

Because firms often lack specific 

contact information, most recall notices 

are disseminated to broad audiences. In 

contrast, a direct recall notice is sent 

directly to specific, identifiable 

consumers of the recalled product. In 

most instances, these consumers are the 

purchasers of the recalled product. In 

other instances, the purchasers may 

have given the product to other 

consumers, as a gift, for example. In the 

latter case, if the purchaser received the 

recall notice, the purchaser will 

generally know to whom the purchaser 

gave the product and could contact the 

recipient about the recall notice. In 

either case, the persons exposed to the 

product and its hazard will be more 

likely to receive and respond to a direct 

recall notice than a broadly 

disseminated recall notice. The 

proposed rule reflects the Commission’s 

expectation that firms will take 

reasonable steps to obtain direct 

customer contact information from third 

parties for purposes of issuing direct 

voluntary recall notices, rather than rely 

solely on information contained in the 

firm’s own records. 

Proposed § 1115.33(b)(3) is similar to 

16 CFR 1115.26(b)(3) and would discuss 

Web site recall notices, stating that 

recall notices should be posted on the 

Web site’s first entry point. The recall 

notices should be clear, prominent, and 

interactive, allowing consumers and 

others to obtain recall information and 

request a remedy. 

Proposed § 1115.33(c) is similar to 16 

CFR 1115.26(c) and would provide that 

the recall notice (including the press 

release, call center scripts, in-store 

posters and social media 

communications) should be in 

languages in addition to English, 

whenever appropriate, to adequately 

inform the public of a product recall. 

The proposed rule recognizes that a 

language in addition to English may be 

necessary to communicate information 

regarding defective or violative products 

when factors such as product labeling 

and marketing location indicate that a 

significant number of individuals who 

could potentially be affected by the 

recall do not speak or read English. The 


wreier-aviles on DSK5TPTVN1PROD with PROPOSALS
Federal Register / Vol. 78, No. 225 / Thursday, November 21, 2013 / Proposed Rules 69797 

proposed rule provides that the 

Commission’s Spanish translation of a 

press release should be used on a 

recalling firm’s Web site and other 

agreed-upon locations. 

10. Proposed § 1115.34—Voluntary 

Recall Notice Content Guidelines 

Proposed § 1115.34 is similar to 16 

CFR 1115.27 and would set forth 

guidelines for the content of voluntary 

recall notices. The objectives of a recall 

include locating the recalled products, 

removing the recalled products from the 

distribution chain and from consumers, 

and communicating information to the 

public about the recalled product and 

the remedy offered to consumers. A 

voluntary recall notice should motivate 

firms and media to publicize the recall 

information widely, and the notice 

should motivate consumers to act on the 

recall for the sake of safety. 

Proposed § 1115.34(a) would provide 

that a voluntary recall notice should 

include the word ‘‘recall’’ in the 

heading and text. For many years, the 

Commission staff’s Recall Handbook has 

directed firms to use the term ‘‘recall’’ 

in the heading and text. The word 

‘‘recall’’ draws media and consumer 

attention to the notice and to the 

information contained in the notice. In 

addition, use of the term ‘‘recall’’ draws 

attention to the notice more effectively 

than omitting the term or using an 

alternative term. A recall notice must be 

read to be effective. Drawing attention to 

the notice through the use of the word 

‘‘recall’’ increases the likelihood that the 

notice will be read and will help 

effectuate the purposes of the CPSA and 

Consumer Product Safety Improvement 

Act. 

Proposed § 1115.34(b) is similar to 16 

CFR 1115.27(b) and would provide that 

the voluntary recall notice contain the 

date of the notice’s release, issuance, 

posting, or publication. 

Proposed § 1115.34(c) sets forth the 

content for voluntary recall notice 

headlines and does not correspond to 

any provision in 16 CFR 1115.27. A 

protocol for drafting voluntary recall 

notice headlines will support the 

Commission’s efforts to achieve fairness, 

accuracy, and newsworthiness of recall 

press releases. 

Overseas firms will sometimes engage 

an entity with U.S.-based operations to 

manage the logistics of a recall; that 

entity should be identified in the 

Remedy section of the voluntary recall 

notice as the entity to be contacted by 

the consumer to obtain the remedy. The 

headline should include the name of the 

U.S.-based entity responsible for 

effectuating the recall remedy for 

consumers, reflecting staff’s goal of 

issuing a voluntary recall notice that 

will provide consumers with clear and 

consistent information regarding the 

manner in which to pursue the recall 

remedy. 

In unique cases, it may be appropriate 

for the headline to identify the U.S.- 

based entity that is managing the 

logistics of the recall, as well as specify 

the name of the overseas manufacturer. 

In other unique cases, such as when the 

overseas manufacturer is directly 

handling all elements of the corrective 

action plan, it may be appropriate for 

the headline to identify only the 

overseas manufacturer of the recalled 

product. These cases are the exception 

and not the rule. 

Proposed § 1115.34(d) is similar to 16 

CFR 1115.27(c) and would provide that 

the voluntary recall notice should 

include a description of the product, 

including model name and number, 

SKU number, and the names of the 

product and other information needed 

to describe the product, such as the 

product’s color, identifying tags, or 

labels. Proposed § 1115.34(d) also 

contains a paragraph describing the type 

and quality of photographs that should 

be provided by the recalling firm, if 

requested by the Commission, for the 

product photographs to comport with 

the established standards for the size of 

photographs on the CPSC’s Web site. 

Proposed § 1115.34(e) is similar to 16 

CFR 1115.27(d) and would provide that 

the voluntary recall notice should 

contain a clear and concise statement of 

the actions that a firm is taking 

concerning the product so that 

consumers and others are aware of, and 

understand, the firm’s actions and the 

options that will be available to the 

consumer to address the defective or 

violative product. 

Proposed § 1115.34(f) is similar to 16 

CFR 1115.27(e) and would provide that 

the voluntary recall notice should state 

the approximate number of units 

covered by the recall, including all 

product units manufactured, imported, 

and/or distributed in commerce. This 

information communicates to the 

consumer whether the product was 

widely produced and distributed or sold 

only in limited numbers. 

Proposed § 1115.34(g) is similar to 16 

CFR 1115.27(f) and would provide that 

the description of the alleged substantial 

product hazard should allow consumers 

to recognize the risks of potential injury 

or death associated with the product, 

the problem giving rise to the recall, and 

the type of hazard or risk at issue (e.g., 

burn, laceration). Proposed 

§ 1115.34(g)(1) and (g)(2) are similar to 

16 CFR 1115.27(g)(1) and (g)(2) and 

would specify what the description 

should include. For example, the 

description should include the product 

defect, fault, failure, flaw, and/or 

problem giving rise to the recall. 

Proposed § 1115.34(g)(3) does not have 

a corresponding provision in 16 CFR 

1115.27. This proposed section provides 

that the description of the alleged 

substantial product hazard should state 

that the hazard ‘‘can’’ occur in instances 

where there have been injuries and 

incidents associated with the product. 

Consistent with the AP Stylebook, the 

proposed rule states that the words 

‘‘could,’’ ‘‘may,’’ or ‘‘potential’’ should 

not be used in the Hazard section of the 

release when there are documented 

incidents or injuries. 

Proposed § 1115.34(h) is similar to 16 

CFR 1115.27(g) and would state that the 

voluntary recall notice should identify 

the firm conducting the recall and also 

underscore the CPSA definition of the 

term ‘‘manufacturer’’ to include an 

importer. 

Proposed § 1115.34(i) is similar to 16 

CFR 1115.27(h) and addresses how the 

manufacturer should be identified (e.g., 

legal name, location of headquarters, 

Web domain, or other reasonably 

accessible electronic medium). 

Identifying ‘‘significant retailers’’ will 

help consumers determine whether the 

consumer might have the product. In 

the absence of a statutory definition, 

and based on experience with recalls, 

the Commission believes that a 

significant retailer can be determined on 

the basis of several factors, and 

proposed § 1115.34(j), which is similar 

to 16 CFR 1115.27(i), would describe 

those factors. 

First, under proposed § 1115.34(j), a 

product’s retailer is significant if the 

retailer was the exclusive retailer of the 

product. Identifying an exclusive 

retailer can help consumers determine 

whether they have the product, based 

on whether they have shopped at that 

retailer. 

Second, a product’s retailer is 

significant if the retailer was an 

importer of the product. As an importer, 

a retailer will typically have more 

information and greater access to 

information about a product than a 

retailer that was not an importer. 

Third, a product’s retailer is 

significant if the retailer is a nationwide 

or regionally located retailer with 

multiple locations. Retailers with 

multiple locations nationwide or 

regionally are likely to have sold more 

units of the product or may have sold 

the product to more consumers than 

retailers without such multiple physical 

locations. Therefore, nationwide and 

regional retailers are likely to be more 


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familiar to consumers than retailers that 

have only a limited physical presence. 

Fourth, a retailer with a significant 

market presence, as measured by units 

sold or held for purposes of sale or 

distribution in commerce, also is a 

significant retailer. This category would 

include, for example, retailers who have 

a significant sales volume through 

Internet sales rather than sales at 

physical locations. A retailer that has 

sold, or held for purposes of sale or 

distribution, a significant number of the 

total manufactured, imported, or 

distributed units of the product, will 

have sold the product to, and affected, 

more consumers than a retailer who 

sold fewer units of the product. 

Fifth, a product’s retailer is 

significant, if identification of the 

retailer is in the public interest. Recalls 

and products vary from one to the next, 

and identifying certain retailers who do 

not otherwise satisfy the categories 

described above still may have public 

and consumer benefits. Deeming a 

retailer to be significant in the public 

interest reflects the flexibility needed to 

seek the best possible recall 

effectiveness under specific 

circumstances. 

Proposed § 1115.34(k) is similar to 16 

CFR 1115.27(j) and would provide that 

the voluntary recall notice should 

include a description of the region 

where the product was sold or held for 

purposes of sale or distribution in 

commerce to assist consumers in 

determining whether they have the 

product at issue. 

Proposed § 1115.34(l) is similar to 16 

CFR 1115.27(k) and would provide that 

the voluntary recall notice should state 

the month and year in which the 

manufacture of the product began and 

ended and the month and year in which 

the retail sales began and ended for each 

make and model of the product covered 

by the recall notice to assist consumers 

in determining whether they have the 

product at issue. 

Proposed § 1115.34(m), which is 

similar to 16 CFR 1115.27(l), would 

provide that the voluntary recall notice 

should state the approximate price of 

the product or a price range. Price 

information will help consumers 

identify the product and inform them 

about refund remedies, as applicable. 

Proposed § 1115.34(n), which is 

similar to 16 CFR 1115.27(m), addresses 

the description in the voluntary recall 

notice of all incidents, injuries, and 

deaths associated with the product 

conditions or circumstances giving rise 

to the recall. The notice should provide 

the ages and states of residence of 

persons killed. This section also 

provides for prompt conveyance to the 

Commission of information relating to 

any product-related fatality or a 

significant number of additional 

product-related incidents that a firm 

receives after the initial recall notice. In 

addition, this section provides that the 

information should be reflected 

promptly in an update to the notice on 

the firm’s Web site and the 

Commission’s Web site. 

Proposed § 1115.34(o), which is 

similar to 16 CFR 1115.27(n), would 

provide that the voluntary recall notice 

should provide a description of each 

remedy available to the consumer, the 

actions required of the consumer to 

obtain each remedy, and any 

information needed by the consumer to 

obtain each remedy. As reflected in this 

section, potential remedies include, but 

are not limited to: forwarding the 

product to the manufacturer, returning 

the product to the retailer, or scheduling 

an in-home repair. Proposed 

§ 1115.34(o) also provides that where 

the listing of model names and model 

and/or serial numbers of a recalled 

product is extensive, complicated, or 

not conducive to inclusion in the 

voluntary recall notice, the notice 

should refer customers to the recalling 

firm’s Web site or call center. 

This proposed section would also 

provide that any changes to the process 

or nature of the remedy contemplated 

by the firm after the issuance of the 

voluntary recall notice should be 

communicated immediately to the 

Commission and reflected in an agreedupon update to the notice on the firm’s 

Web site and the CPSC’s Web site. 

Updated remedy information also 

should be transmitted to consumers in 

a manner consistent with the 

communication of the initial voluntary 

recall notice. 

Proposed § 1115.34(p) reflects 

inclusion in a voluntary recall notice of 

information regarding compliance 

program-related actions agreed to by the 

recalling firm as a component of its 

corrective action plan. This section does 

not correspond to any provision in 16 

CFR 1115.27. 

Proposed § 1115.34(q) is similar to 16 

CFR 1115.27(o) and provides that the 

voluntary recall notice should contain 

any other information that the 

Commission and the recalling firm 

deem appropriate. 

11. Proposed § 1115.35—Multiple 

Products or Models 

Proposed § 1115.35 is similar to 16 

CFR 1115.28 and provides that the 

voluntary recall notice for each product 

or model covered by the recall notice 

comports with the guidelines set forth 

in this subpart. 

IV. Administrative Procedure Act 

The Administrative Procedure Act 

(APA) requires publication of a general 

notice of proposed rulemaking for most 

rules. 5 U.S.C. 553(b). However, this 

requirement does not apply to 

interpretive rules and general 

statements of policy. Id. 553(b)(A). This 

proposed rule would provide guidance 

about the content of voluntary recall 

notices, and amend 16 CFR 1115.20 of 

the Commission’s existing interpretive 

rule regarding corrective action plans to 

provide that, where appropriate, a 

corrective action plan may include 

compliance program-related 

requirements. The proposed rule would 

not establish any mandatory 

requirements. 

Because both corrective action plans 

and related voluntary recall notices 

require agency and firm consensus, 

notice and comment could provide 

valuable feedback to improve the 

efficacy and usefulness of the guidance 

to be contained in the rule. As 

proposed, the rule reflects agency 

experience and practice; and is intended 

to help address product hazards and 

promote the timely, accurate, and 

complete disclosure of information 

necessary to protect public health and 

safety. Additional information regarding 

stakeholder experience in framing and 

communicating corrective action plans 

and related voluntary recall notices 

could assist CPSC in refining related 

interpretive rule guidance, with a goal 

of protecting public health and safety. 

Thus, although the APA does not 

require the Commission to begin this 

rulemaking with a notice of proposed 

rulemaking, the Commission is 

providing an opportunity for public 

comment. 

V. Effective Date 

The APA generally requires that the 

effective date of a rule be at least 30 

days after publication of the final rule. 

Id. 553(d). However, an earlier effective 

date is permitted for interpretive rules 

and statements of policy. Id. Thus, this 

proposed rule is excepted from the APA 

effective date requirement. Id. 553(d)(2). 

Because CPSC is giving notice and 

soliciting comment (even though notice 

and comment procedures are not 

required), the public and potentially 

affected firms will have significant 

advance notice of the agency’s proposed 

guidance. Moreover, implementation of 

the rule will not result in the imposition 

of new, mandatory requirements. 

Stakeholders necessarily are involved in 

the negotiations that precede corrective 

action plans and associated recall 

notices, and they would benefit from the 


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additional information about agency 

policy and staff expectations to be 

contained in the rule when finalized. 

Therefore, the Commission proposes 

that the effective date be the date of 

publication of a final rule in the Federal 

Register. 

VI. Regulatory Flexibility Act 

Under section 603 of the Regulatory 

Flexibility Act (RFA), when the APA 

requires an agency to publish a general 

notice of proposed rulemaking, the 

agency must prepare an initial 

regulatory flexibility analysis assessing 

the economic impact of the proposed 

rule on small entities. 5 U.S.C. 603(a). 

As noted, the Commission is proposing 

an interpretive rule that would provide 

guidance concerning the content of 

voluntary recall notices and further 

would provide that, when appropriate, 

corrective action plans may include 

compliance program-related 

requirements. Although the Commission 

is choosing to issue the rule through 

notice and comment procedures, the 

APA does not require a proposed rule. 

Therefore, no initial regulatory 

flexibility analysis is required under the 

RFA. Moreover, the proposed rule 

would not establish any mandatory 

requirements and would not impose any 

obligations on small entities (or any 

other entity or party). 

VII. Paperwork Reduction Act 

The proposed rule would not impose 

any information collection 

requirements. It sets out proposed 

guidelines for the content of recall 

notices that are issued as part of 

corrective action agreements negotiated 

between Commission staff and firms. 

Accordingly, the rulemaking is not 

subject to the Paperwork Reduction Act, 

44 U.S.C. sections 3501 through 3520. 

VIII. Environmental Considerations 

The Commission’s regulations address 

whether we are required to prepare an 

environmental assessment or an 

environmental impact statement. These 

regulations provide a categorical 

exclusion for certain CPSC actions that 

normally have ‘‘little or no potential for 

affecting the human environment.’’ 16 

CFR 1021.5(c)(1). This proposed rule 

falls within the categorical exclusion. 

List of Subjects in 16 CFR Part 1115 

Administrative practice and 

procedure, Business and industry, 

Consumer protection, Reporting and 

recordkeeping requirements. 

Therefore, the Commission proposes 

to amend Title 16 of the Code of Federal 

Regulations as follows: 

PART 1115—SUBSTANTIAL PRODUCT 

HAZARD REPORTS 

■ 1. The authority for part 1115 

continues to read as follows: 

Authority: 15 U.S.C. 2061, 2064, 2065, 

2066(a), 2068, 2069, 2070, 2071, 2073, 2076, 

2079, and 2084. 

■ 2. In § 1115.20 revise paragraphs (a) 

and (a)(1)(xiii); add paragraphs (a)(1)(xv) 

and (a)(5); redesignate paragraph (b) as 

paragraph (c) and add new paragraph 

(b); and revise newly redesignated 

paragraph (c)(1)(xii) to read as follows: 

§ 1115.20 Voluntary remedial actions. 

* * * * * 

(a) Corrective action plans. A 

corrective action plan is a document, 

signed by a subject firm, which is 

legally binding and sets forth the 

remedial action which the firm will 

voluntarily undertake to protect the 

public. Refunds, repairs and 

replacements are preferred remedies. 

Firms that wish to use other remedies 

shall have the burden of demonstrating 

that those alternatives will be as 

effective as the preferred remedies. The 

Commission reserves the right to seek 

broader corrective action if it becomes 

aware of new facts or if the corrective 

action plan does not sufficiently protect 

the public. 

(1) * * * 

(xiii) The following statement or its 

equivalent, if agreed to by all parties: 

‘‘The submission of this corrective 

action plan does not constitute an 

admission by (the subject firm) that 

either reportable information or a 

substantial product hazard exists.’’ 

* * * * * 

(xv) Compliance program-related 

requirements. 

* * * * * 

(5) All remedial actions undertaken 

pursuant to a corrective action plan 

shall be compliant with all applicable 

CPSC rules, regulations, standards, or 

bans. 

(b) Voluntary compliance program 

agreements under section 15 of CPSA. A 

voluntary compliance program 

agreement is a provision in a voluntary 

corrective action plan (or a separate 

agreement, as appropriate) executed by 

a subject firm and the Commission that 

incorporates a specific written plan for 

future steps to be taken by the firm to 

assure that it meets the requirements of 

the agency’s laws and regulations. 

Violation of a voluntary compliance 

program agreement may result in a 

formal Commission enforcement action, 

including all applicable sanctions set 

forth in the Consumer Product Safety 

Act. A violation may also result in legal 

action by the Commission to enforce the 

terms of a compliance agreement such 

as seeking an injunction or specific 

performance, as appropriate. 

(1) The Commission always retains 

broad discretion to seek a voluntary 

compliance program agreement. Under 

certain circumstances, it may be 

appropriate for the Commission to seek 

agreements with firms to implement a 

compliance program, including but not 

limited to, the following: 

(i) Multiple previous recalls and/or 

violations of Commission requirements 

over a relatively short period of time; 

(ii) Failure to timely report substantial 

product hazards on previous occasions; 

or 

(iii) Evidence of insufficient or 

ineffectual procedures and controls for 

preventing the manufacturing, 

importation, and/or distribution of 

dangerously defective or violative 

products. 

(2) The provisions in a voluntary 

compliance program agreement may 

vary depending on the nature and 

circumstances of a firm’s behavior that 

led the Commission to determine that 

such an agreement is in the public 

interest. The following provisions, 

among others as appropriate, may be 

included in a written voluntary 

compliance program agreement: 

(i) Maintain and enforce a system of 

internal controls and procedures to 

ensure that the firm promptly, 

completely, and accurately reports 

required information about its products 

to the Commission; 

(ii) Ensure that information required 

to be disclosed by the firm to the 

Commission is recorded, processed, and 

reported, in accordance with applicable 

law; 

(iii) Establish an effective program to 

ensure the firm remains in compliance 

with safety statutes and regulations 

enforced by the Commission; 

(iv) Provide firm employees with 

written standards and policies, 

compliance training, and the means to 

report compliance-related concerns 

confidentially; 

(v) Ensure that prompt disclosure is 

made to the firm’s management of any 

significant deficiencies or material 

weaknesses in the design or operation of 

such internal controls that are 

reasonably likely to affect adversely, in 

any material respect, the firm’s ability to 

report to the Commission; 

(vi) Provide the Commission with 

written documentation, upon request, of 

the firm’s improvements, processes, and 

controls related to the firm’s reporting 

procedures; or 

(vii) Make available all information, 

materials, and personnel deemed 


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necessary to the Commission to evaluate 

the firm’s compliance with the terms of 

the agreement. 

(c) Consent order agreements under 

section 15 of CPSA. 

* * * * * 

(1) * * * 

(xii) The following statement or its 

equivalent, if agreed to by all parties: 

‘‘The signing of this consent order 

agreement does not constitute an 

admission by (the Consenting Party) that 

either reportable information or a 

substantial product hazard exists.’’ 

■ 3. Add a new Subpart D to read as 

follows: 

Subpart D—Voluntary Recall Notices 

Secs. 

1115.30 Purpose. 

1115.31 Applicability. 

1115.32 Definitions. 

1115.33 Voluntary recall notice principles. 

1115.34 Voluntary recall notice content 

guidelines. 

1115.35 Multiple products or mode. 

Subpart D—Voluntary Recall Notices 

§ 1115.30 Purpose. 

(a) This section sets forth the 

information that should be included in 

a voluntary recall notice and the manner 

in which the notice should be 

distributed. 

(b) The Commission establishes these 

guidelines to help ensure that every 

voluntary recall notice effectively helps 

consumers and other persons to: 

(1) Identify the specific product to 

which the voluntary recall notice 

pertains; 

(2) Understand the product’s actual or 

potential hazards to which the 

voluntary recall notice pertains and 

information relating to such hazards; 

(3) Understand all remedies available 

to consumers concerning the product to 

which the voluntary recall notice 

pertains; and 

(4) Take appropriate actions in 

response to the notice. 

§ 1115.31 Applicability. 

This subpart applies to manufacturers 

(including importers), retailers, and 

distributors of consumer products (as 

those terms are defined herein and in 

the Consumer Product Safety Act 

(CPSA)), and other products or 

substances that are regulated under the 

CPSA, or any other Act enforced by the 

Commission. 

§ 1115.32 Definitions. 

In addition to the definitions given in 

Section 3 of the CPSA (15 U.S.C. 2052), 

the following definitions apply: 

(a) Direct voluntary recall notice 

means a voluntary recall notice that is 

communicated, sent, or transmitted 

directly to specifically identified 

consumers. 

(b) Electronic means technology 

having electrical, digital, magnetic, 

wireless, optical, electromagnetic, voicerecording systems, or similar 

capabilities. 

(c) Electronic medium means an 

electronic method of communication 

(including, but not limited to, Web site, 

electronic mail, telephonic system, text 

messaging, tweeting, magnetic disk, CD– 

ROM), pursuant to which the intended 

recipient can effectively access the 

information provided and as to which 

the firm can provide, upon request, 

evidence of delivery. 

(d) Firm means a manufacturer 

(including importer), retailer, or 

distributor, as those terms are defined in 

the CPSA. 

(e) Voluntary recall notice means a 

notification to consumers and others of 

the voluntary remedial action applicable 

to a consumer product or other products 

or substances that are regulated under 

the CPSA, or any other Act enforced by 

the Commission. 

§ 1115.33 Voluntary recall notice 

principles. 

(a) General. (1) A voluntary recall 

notice should provide sufficient 

information and motivation for 

consumers and other persons to identify 

the product and its actual or potential 

hazards, and to respond and take the 

stated action. A voluntary recall notice 

should clearly and concisely state the 

potential for injury or death. 

(2) A voluntary recall notice should 

be written in language designed for, and 

readily understood by, the targeted 

consumers or other persons. The 

language should be simple and should 

avoid or minimize the use of highly 

technical or legal terminology. The 

language and formatting of a voluntary 

recall notice in the form of a press 

release should comport with the most 

current edition of the Associated Press 

Stylebook. 

(3) A voluntary recall notice should 

be targeted and tailored to the specific 

product and circumstances. In 

determining the form and content of a 

voluntary recall notice, the manner in 

which the product was advertised and 

marketed should be considered. 

(4) A direct voluntary recall notice is 

the most effective form of voluntary 

recall notice. 

(5) Voluntary recall notices should be 

made using: 

(i) A press release or Recall Alert; 

(ii) A prominently displayed in-store 

poster; 

(iii) A Web site posting; and 

(iv) At least two additional methods 

of publication not included in (i) 

through (iii) above from the voluntary 

recall notice forms provided in 

Subsection (b) of this section. 

(b) Form of voluntary recall notice. (1) 

Possible forms. A voluntary recall notice 

may be written, electronic, or in any 

other form agreed upon by the 

Commission and the firm. Voluntary 

recall notices may be transmitted using 

an electronic medium and in hard copy 

form. Acceptable forms of, and means 

for, communicating voluntary recall 

notices include, but are not limited to: 

(i) Letter, Web site posting, electronic 

mail, RSS feed, or text message; 

(ii) Press release or recall alert; 

(iii) Video news release, radio news 

release, b-roll package, YouTube, 

Instagram, or Vine video; 

(iv) Newspaper, magazine, catalog, or 

other publication; 

(v) Advertisement, newsletter, and 

service bulletin; and 

(vi) Social media, including, but not 

limited to, Facebook, Google+, Twitter, 

Pinterest, Tumblr, Flickr, and blogs. 

(2) Direct voluntary recall notice. A 

direct voluntary recall notice shall be 

used for each consumer for whom a firm 

has direct contact information, or when 

such information is reasonably 

obtainable from third parties, such as 

retailers, or from the firm’s internal 

records, regardless of whether the 

information was collected for product 

registration, sales records, catalog 

orders, billing records, marketing 

purposes, warranty information, loyal 

purchaser clubs, or other such purposes. 

Direct contact information includes, but 

is not limited to: Name and address, 

telephone number, and electronic mail 

address. Direct voluntary recall notices 

may be transmitted using an electronic 

medium and in hard copy form. Direct 

voluntary recall notices should include 

in a readily-apparent location, a 

prominent and conspicuous statement 

(e.g., by using large, bold, red typeface), 

which includes the term ‘‘Safety 

Recall,’’ and which otherwise highlights 

the importance of the communication. 

(3) Web site recall notice. A Web site 

recall notice should be visible on a Web 

site’s first entry point, such as a home 

page, should be clear and prominent, 

and should be interactive, by permitting 

consumers and other persons to obtain 

recall information and request a remedy 

directly on the Web site. 

(4) Social media notice. A social 

media notice should be prominently 

placed and should remain prominently 

placed for at least 48 hours after initial 

placement. 

(c) Languages. All voluntary recall 

notices should be in the English 


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language. In addition, a voluntary recall 

notice should be translated into 

additional languages, if, in the 

Commission’s discretion, such 

translations are necessary or appropriate 

to adequately inform consumers or the 

public. Such voluntary recall notice 

translations should be transmitted in the 

same manner as, and along with, the 

English language voluntary recall 

notice. In circumstances requiring 

voluntary recall notice translations, the 

recalling firm should provide consumer 

recall support (such as call center 

scripts, in-store posters and other 

communications) in both English and 

the applicable translation. Where 

Spanish, in addition to English, is the 

appropriate language for a voluntary 

recall notice, the recalling firm should 

use the Commission’s Spanish 

translation of the recall press release on 

its Web site and other agreed-upon 

locations. 

§ 1115.34 Voluntary recall notice content 

guidelines. 

Every voluntary recall notice should 

include the information set forth below: 

(a) Terms. A voluntary recall notice 

should include the word ‘‘recall’’ in the 

heading and text. 

(b) Date. A voluntary recall notice 

should include its date of release, 

issuance, posting, or publication. 

(c) Headline. The headline (or 

equivalent language in an electronic 

medium) on the voluntary recall notice 

should be brief and should 

communicate: The name of the firm 

conducting the recall; the type of 

product being recalled; the hazard; the 

name of the U.S.-based manufacturer, 

importer, or retailer responsible for 

effectuating the remedy for consumers; 

and the name of the retailer, if the firm 

is the exclusive retailer of the product. 

The headline may include a reference to 

the nature of the remedy (such as 

refund, repair or replacement). 

(d) Description of product. A 

voluntary recall notice should include a 

clear and concise statement of the 

information that will enable consumers 

and other persons to readily and 

accurately identify the specific product 

and distinguish the product from 

similar products. The information 

should allow consumers to determine 

readily whether they have, or may have 

been exposed to the product. To the 

extent applicable to a product, 

descriptive information that should 

appear on a voluntary recall notice 

should include, but not be limited to: 

(1) The product’s name, including 

informal and abbreviated names, by 

which customers and other persons 

should know or recognize the product; 

(2) The product’s intended or targeted 

use population (e.g., infants, children, 

or adults); 

(3) The product’s colors and sizes; 

(4) The product’s model names and 

numbers, serial numbers, date codes, 

stock keeping unit (SKU) numbers, and 

tracking labels, including their exact 

locations on the product; 

(5) Identification and exact locations 

of product tags, labels, and other 

identifying parts, and a statement of the 

specific identifying information found 

on each part; and 

(6) Product photographs. Upon 

request by the Commission, a firm 

should provide to the Commission, 

digital, color photographs that are of 

high resolution and quality, in a format 

that is consistent with applicable 

Commission specifications. Effective 

notification may require multiple 

photographs and photographic angles. 

(e) Description of action being taken. 

A voluntary recall notice should contain 

a clear and concise statement of the 

actions that a firm is taking concerning 

the product. These actions may include, 

but are not limited to, one or more of 

the following: Stop sale and distribution 

in commerce; recall to the distributor, 

retailer, or consumer level; repair; 

request return, and provide a 

replacement; and request a return, and 

provide a refund or credit. 

(f) Statement of number of product 

units. A voluntary recall notice should 

state the approximate number of 

product units covered by the recall, 

including all product units 

manufactured, imported, and/or 

distributed in commerce. 

(g) Description of alleged substantial 

product hazard. A voluntary recall 

notice should contain a clear and 

concise description of the product’s 

actual or potential hazards that result 

from the product condition or 

circumstance giving rise to the recall. 

The description should enable 

consumers and other persons to readily 

identify the reasons that a firm is 

conducting a recall. The description 

should also enable consumers and other 

persons to readily identify and 

understand the risks and potential 

injuries or deaths associated with the 

product conditions and circumstances 

giving rise to the recall. The description 

should include: 

(1) The product defect, fault, failure, 

or flaw, and/or problem giving rise to 

the recall; 

(2) The type of hazard or risk, 

including, by way of example only, 

burn, fall, choking, laceration, 

entrapment, or death; and 

(3) A statement that the hazard ‘‘can’’ 

occur when there have been incidents or 

injuries associated with the recalled 

product. 

(h) Identification of recalling firm. A 

voluntary recall notice should identify 

the firm conducting the recall by stating 

the firm’s legal name and commonly 

known trade name, the city and state of 

its headquarters, and Web domain or 

other effective and reasonably accessible 

electronic mechanism through which 

consumers and others can communicate 

with the firm. The notice should state 

whether the recalling firm is a 

manufacturer (including importer), 

retailer, or distributor. 

(i) Identification of manufacturer. A 

voluntary recall notice should identify 

each manufacturer (including importer) 

of the product and the country of 

manufacture. Under the definition in 

section 3(a)(11) of the CPSA (15 U.S.C. 

2052(a)(11)), a ‘‘manufacturer’’ means 

‘‘any person who manufactures or 

imports a consumer product.’’ If a 

product has been manufactured outside 

of the United States, a voluntary recall 

notice should identify the foreign 

manufacturer and the United States 

importer. A voluntary recall notice 

should identify the manufacturer by 

stating the manufacturer’s legal name 

and the city and state of its 

headquarters, or, if a foreign 

manufacturer, the foreign 

manufacturer’s legal name and the city 

and country of its headquarters. 

(j) Identification of significant 

retailers. A voluntary recall notice 

should identify each significant retailer 

of the product. A recall notice should 

identify such a retailer by stating the 

retailer’s commonly known trade name. 

Under the definition in Section 3(a)(13) 

of the CPSA (15 U.S.C. 2052(a)(13)), a 

‘‘retailer’’ means ‘‘a person to whom a 

consumer product is delivered or sold 

for purposes of sale or distribution by 

such person to a consumer.’’ A 

product’s retailer is ‘‘significant’’ if, 

upon the Commission’s information and 

belief, any one or more of the 

circumstances set forth below is present 

(the Commission may request 

manufacturers (including importers), 

retailers and distributors to provide 

information relating to these 

circumstances): 

(1) The retailer was the exclusive 

retailer of the product; 

(2) The retailer was an importer of the 

product; 

(3) The retailer has multiple stores 

nationwide or regionally; 

(4) The retailer sold, or held for 

purposes of sale or distribution in 

commerce, a significant number of the 

total manufactured, imported, or 

distributed units of the product; or; 


wreier-aviles on DSK5TPTVN1PROD with PROPOSALS
69802 Federal Register / Vol. 78, No. 225 / Thursday, November 21, 2013 / Proposed Rules 

(5) Identification of the retailer is in 

the public interest. 

(k) Region. Where necessary or 

appropriate to assist consumers in 

determining whether they have the 

product at issue, a description of the 

region where the product was sold, or 

held for purposes of sale or distribution 

in commerce, should be provided. 

(l) Dates of manufacture and sale. A 

voluntary recall notice should state the 

month and year in which the 

manufacture of the product began and 

ended, and the month and year in 

which the retail sales of the product 

began and ended. These dates should be 

included for each make and model of 

the product. 

(m) Price. A voluntary recall notice 

should state the approximate retail price 

or price range of the product. 

(n) Description of incidents, injuries 

and deaths. A voluntary recall notice 

should contain a clear and concise 

summary description of all incidents 

(including, but not limited to, property 

damage), injuries, and deaths associated 

with the product, conditions or 

circumstances giving rise to the recall, 

as well as a statement of the number of 

such incidents, injuries, and deaths. The 

description should allow consumers 

and other persons to understand readily 

the nature and extent of the incidents 

and injuries. A voluntary recall notice 

should provide the age and state of 

residence of all persons killed. 

(1) If, after the issuance of the 

voluntary recall notice, the firm receives 

information that a significant number of 

additional incidents, or one or more 

fatalities associated with the product 

have occurred, such information should 

be reflected in an update to the notice 

on the firm’s Web site. 

(2) The firm should immediately 

notify the Commission of all newly 

reported injuries and/or fatalities in 

order to permit the issuance of an 

updated voluntary recall notice. 

(o) Description of remedy. A 

voluntary recall notice should contain a 

clear and concise statement, readily 

understandable by consumers and other 

persons, of: 

(1) Each remedy available to a 

consumer for the product conditions or 

circumstances giving rise to the recall. 

Remedies include, but are not limited 

to, refunds, product repairs, product 

replacements, rebates, coupons, gifts, 

premiums, and other incentives. 

(2) All specific actions that a 

consumer must take to obtain each 

remedy, including, but not limited to, 

the following: Instructions on how to 

participate in the recall. These actions 

may include, but are not limited to, 

contacting a firm, removing the product 

from use, discarding the product, 

forwarding the product to the 

manufacturer, returning the product to 

the retailer, scheduling an in-home 

repair, or removing or disabling a part 

of the product. 

(3) All specific information that a 

consumer needs to obtain each remedy 

and to obtain all information about each 

remedy. This information may include, 

but is not limited to, the following: 

Manufacturer, retailer, and distributor 

contact information (such as name, 

address, telephone, and facsimile 

number, email address, and Web site 

address); whether telephone calls will 

be toll-free or collect; and telephone 

number days and hours of operation, 

including time zone. If inclusion of all 

model names and model and serial 

numbers in the voluntary recall notice 

is complicated or extensive, the 

voluntary recall notice should refer 

consumers to the recalling firm’s Web 

site, call center, or similar customer 

service resource. 

(4) If, after the issuance of the 

voluntary recall notice, the firm intends 

to change the process or nature of the 

remedy, this information should be 

promptly communicated to the 

Commission. Changes to the process or 

nature of the remedy should be reflected 

in an update to the voluntary recall 

notice agreed to by the Commission and 

the firm. The updated voluntary recall 

notice should be posted promptly on the 

firm’s Web site and the Commission’s 

Web site and otherwise transmitted to 

consumers in a manner consistent with 

the communication of the initial 

voluntary recall notice. 

(p) Compliance program. A voluntary 

recall notice may contain a reference to 

applicable compliance programs or 

requirements, as appropriate. 

(q) Other information. A voluntary 

recall notice should contain such other 

information as the Commission and the 

recalling firm deem appropriate. 

§ 1115.35 Multiple products or mode. 

For each product or model covered by 

a voluntary recall notice, the notice 

should comport with the guidelines set 

forth in § 1115.34. 

Dated: November 14, 2013. 

Todd A. Stevenson, 

Secretary, Consumer Product Safety 

Commission. 

[FR Doc. 2013–27656 Filed 11–20–13; 8:45 am] 

BILLING CODE 6355–01–P 

AGENCY FOR INTERNATIONAL 

DEVELOPMENT 

22 CFR Part 226 

RIN 0412–AA71 

Partner Vetting in USAID Assistance; 

Correction 

AGENCY: Agency for International 

Development. 

ACTION: Notice of proposed rulemaking; 

correction. 

SUMMARY: USAID is allowing an 

additional 15 days to provide comments 

on its proposed Partner Vetting in 

USAID Assistance Rule. There was a 

technical error in the email address, 

provided in the Notice of Proposed 

Rulemaking that was published in the 

Federal Register on August 29, 2013, for 

receipt of public comments on the 

proposed rule. The technical error in the 

email address prevented comments that 

were submitted through that email 

address from being reviewable by 

USAID. As a result, USAID, with the 

approval of the Office of Management 

and Budget, is issuing a correction 

notice allowing public comment on the 

proposed rulemaking for an additional 

15 days. The proposed rulemaking is 

unchanged from the original publication 

in August 2013 and amends the 

regulation governing the administration 

of USAID-funded assistance awards to 

implement a Partner Vetting System 

(PVS). 

FOR FURTHER INFORMATION CONTACT: 

George Higginbotham, Telephone: 202– 

712–1948; Email: ghigginbotham@

usaid.gov. 

Correction 

In the Federal Register of August 29, 

2013, in FR Doc. 2013–20846, on page 

53375, in the second column, correct 

the email address to which comments 

should be submitted. Electronic 

comments should be sent to the 

following email: m.rulemaking@

usaid.gov. Comments must be submitted 

on or before December 6, 2013. 

Dated: November 8, 2013. 

Angelique M. Crumbly, 

Agency Regulatory Official, U.S. Agency for 

International Development. 

[FR Doc. 2013–27921 Filed 11–20–13; 8:45 am] 

BILLING CODE P 


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