Supporting Statement_C-404_112806 Part B.wpd

SUPPORTING STATEMENT - Part B

Collections of Information Employing Statistical Methods

1. Universe and Respondent Selection

The sample of about 8,200 permit-issuing places was selected in 2003 from a universe of about 19,450 places to provide monthly estimates of construction authorized by building permits. In addition, about 625 of the non-sampled places were asked to report monthly because of the cooperative agreements we have with several state agencies.

All places in the consolidated metropolitan statistical areas and selected metropolitan statistical areas were selected with certainty. The remaining places were stratified by state, into two strata based on the number of housing units authorized in 2000, 2001, and 2002. In each state, all places that authorized housing units during the period greater than or equal to a predetermined number of units were selected with certainty. The other places were selected at the rate of 1 in 10. We multiply data for the certainty places by 1 and data for the noncertainty places by 10 to generate monthly estimates for states and the United States. The monthly response rate is about 67 percent.

The remaining places are canvassed annually. At the end of the year, nonrespondents to the monthly survey are also asked to provide any missing data. The data from the annual respondents are combined with the data from the monthly respondents to produce an annual total. After conducting the annual survey, the overall response rate is 83 percent.

2. Procedures for Collecting Information

Monthly, we currently collect this information by mail for about 8,200 permit-issuing jurisdictions and electronically for 625 jurisdictions. Annually, we collect this information by mail for about 10,625 jurisdictions.

3. Methods to Maximize Response

We send form letters (Attachments C - F) and additional survey forms as part of the annual survey to delinquent monthly and annual respondents. We periodically contact nonrespondents by telephone to solicit their participation. We also ask State Data Centers for their assistance with name and address updates as well as help obtaining data for prior time periods for places that are currently delinquent to the survey.

4. Testing of Procedures

We completed an evaluation of the BPS as required by the Statistical Policy Directive on Compilation, Release, and Evaluation of Principal Federal Economic Indicators; this evaluation was submitted to the OMB in August 2005. No changes to the data collection or data processing procedures are currently planned.

5. Contacts for Statistical Aspects and Data Collection

The Manufacturing and Construction Division plans and coordinates the survey. This includes the design of the reporting forms, sample selection, instructions for collecting and editing the information, preparation of table formats, and tabulation and release of the data.

The contact person for questions relating to the statistical aspects of the survey is

Mr. Paul L. Hsen, Assistant Chief for Research and Methodology. He can be reached on (301) 763-4586.

The contact person for questions relating to the collection and analysis of the data is Mrs. Erica Filipek, Chief of the Residential Construction Branch. She can be reached on (301) 763-5161.

Attachments:

1. Form C-404, “Report of Privately-Owned Residential Building or Zoning Permits Issued”

2. Letters of Support

3. C-404-L1 - Letter for annual survey respondents

4. C-404-L2 - Letter for monthly survey respondents not reporting five or more months during the year

5. C-404-L3 - Letter for monthly survey respondents not reporting 1 - 4 months of the year

6. C-404-L4 - Second request to delinquent annual respondents