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Label Surcharge Fund Update
May 15, 2019
Jason Leggatt, LJA President
Slide 1
Outline
• History
• Fund Overview
• Current Status
• Results of 2014 PFDMA Sessions
• Next Steps
Slide 2
History
• Stakeholder discussion 2006 (manufacturers, USCG & UL)
• UL Bulletin requests industry feedback on surcharge proposal
(dtd Jun 6, 2006)
• Majority response is favorable & surcharge collections
commence (Oct 1, 2006)
• Formally established by UL Bulletin to manufacturers (dtd Jan
16, 2007)
• LSF continuation affirmed by PFDMA letter (dtd Jul 1, 2015)
• Funded OIOV work (Paul Werth & Chuck Hawley) 2015/2016
• No funded initiatives since that time
Slide 3
Fund Overview
• Label surcharge collected by USCG
recognized labs as a function of actual
production volume
• Rate & Application
• Recreational and Commercial Inherently Buoyant PFD’s (Type
II, Type III, Level 50, Level 70 & Level 100) are subject to a
Label Fee Surcharge of $0.0035 per label (i.e. $3.50 cents for
every 1,000 devices produced)
• Recreational and Commercial Inflatable PFD’s (all Types &
Levels) are subject to a Label Fee Surcharge of $0.05 per label
(i.e. $50.00 for every 1,000 devices produced)
Slide 4
Current Status
Slide 5
As of end of the April 2019 ---
• Total income: $2XX,XXX
• Total spent $,
• Obligations: $0*
• Balance: $120,723
*No active projects or initiatives
**Operating Guidelines updated Mar 15, 2019
Current Status
Slide 6
2006
(4th
Qtr)
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Opening Balance $- $25,18 $41,89 $83,86 $81,56 $72,81 $36,02 $62,96 $102,8
Credits $25,18 $68,94 $66,90 $58,72 $71,93 $61,47 $62,75 $68,95 $52,79
Debits $- $(52,2 $(24,9 $(61,0 $(80,6 $(98,2 $(35,8 $(29,0 $-
Ending Balance $25,18 $41,89 $83,86 $81,56 $72,81 $36,02 $62,96 $102,8 $155,6 $171,9 $229,1
$(100,000)
$(75,000)
$(50,000)
$(25,000)
$-
$25,000
$50,000
$75,000
$100,000
$125,000
$150,000
$175,000
$200,000
$225,000
2014 PFDMA Session
Slide 7
2014 PFDMA Session
Slide 8
Outcome – Research
Slide 9
• Human subject testing optimization
(anatomical testing)
• Youth/child/infant buoyancy
requirement
• Inflatable PFDs for youth and
children
• Old/new RTD design, testing and
validation
• SOLAS RTD adjustments and
equivalence / Level 100 RTD (use
SOLAS RTD as the “gauge” for all
require RTD test programs)
• Infant manikin research
Outcome – Standard Development
Slide 10
Slide 11
• Hosting an ISO/TC188/SC1 Personal Safety Equipment meeting in US
• Fund immersion suit harmonization project (CGSB?)
• Fund commercial device (lifejacket) harmonization project (CGSB?)
• Development of requirements for infant life jackets
• Finalize the aggregate performance model as a tool for aggregate in-water
performance assessment only
Outcome – Standard Development
Outcome – Public Education
Slide 12
Outcome – Public Education
Slide 13
• Industry funded common website platform for public service info
(“Safe Choice”):
• Read the Label
• Understanding the New Standard
• Interpreting New Labels
• Other USCG / TCMS work
• POS interactive development / delivery – common POS platform
for PFD selection info
Outcome – Market Outreach
Slide 14
2015/2016 OIOV
Slide 15
• OIOV Workshop by Paul Werth Oct 28-29, 2019
• Purpose: To guide the development of a campaign
that will assist consumers in their selection of life
jackets based on new industry standards and to
facilitate their understanding of the new life
jacket labels
2015/2016 OIOV
Slide 16
2015/2016 OIOV
Slide 17
Next Steps
Slide 18
• New LSF Sub-Committee appointed by LJA
Finance Committee / approved by LJA Board
• Jump-start OIOV?
• Prioritize initiatives
• Hire a Project Manager to drive operations?
Questions
Speaker info:
Jason Leggatt
President
Life Jacket Association
info@lifejacketassociation.org
www.lifejacketassociation.org
Slide 19

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Label Surcharge Fund Update and Next Steps

  • 1. Label Surcharge Fund Update May 15, 2019 Jason Leggatt, LJA President Slide 1
  • 2. Outline • History • Fund Overview • Current Status • Results of 2014 PFDMA Sessions • Next Steps Slide 2
  • 3. History • Stakeholder discussion 2006 (manufacturers, USCG & UL) • UL Bulletin requests industry feedback on surcharge proposal (dtd Jun 6, 2006) • Majority response is favorable & surcharge collections commence (Oct 1, 2006) • Formally established by UL Bulletin to manufacturers (dtd Jan 16, 2007) • LSF continuation affirmed by PFDMA letter (dtd Jul 1, 2015) • Funded OIOV work (Paul Werth & Chuck Hawley) 2015/2016 • No funded initiatives since that time Slide 3
  • 4. Fund Overview • Label surcharge collected by USCG recognized labs as a function of actual production volume • Rate & Application • Recreational and Commercial Inherently Buoyant PFD’s (Type II, Type III, Level 50, Level 70 & Level 100) are subject to a Label Fee Surcharge of $0.0035 per label (i.e. $3.50 cents for every 1,000 devices produced) • Recreational and Commercial Inflatable PFD’s (all Types & Levels) are subject to a Label Fee Surcharge of $0.05 per label (i.e. $50.00 for every 1,000 devices produced) Slide 4
  • 5. Current Status Slide 5 As of end of the April 2019 --- • Total income: $2XX,XXX • Total spent $, • Obligations: $0* • Balance: $120,723 *No active projects or initiatives **Operating Guidelines updated Mar 15, 2019
  • 6. Current Status Slide 6 2006 (4th Qtr) 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Opening Balance $- $25,18 $41,89 $83,86 $81,56 $72,81 $36,02 $62,96 $102,8 Credits $25,18 $68,94 $66,90 $58,72 $71,93 $61,47 $62,75 $68,95 $52,79 Debits $- $(52,2 $(24,9 $(61,0 $(80,6 $(98,2 $(35,8 $(29,0 $- Ending Balance $25,18 $41,89 $83,86 $81,56 $72,81 $36,02 $62,96 $102,8 $155,6 $171,9 $229,1 $(100,000) $(75,000) $(50,000) $(25,000) $- $25,000 $50,000 $75,000 $100,000 $125,000 $150,000 $175,000 $200,000 $225,000
  • 9. Outcome – Research Slide 9 • Human subject testing optimization (anatomical testing) • Youth/child/infant buoyancy requirement • Inflatable PFDs for youth and children • Old/new RTD design, testing and validation • SOLAS RTD adjustments and equivalence / Level 100 RTD (use SOLAS RTD as the “gauge” for all require RTD test programs) • Infant manikin research
  • 10. Outcome – Standard Development Slide 10
  • 11. Slide 11 • Hosting an ISO/TC188/SC1 Personal Safety Equipment meeting in US • Fund immersion suit harmonization project (CGSB?) • Fund commercial device (lifejacket) harmonization project (CGSB?) • Development of requirements for infant life jackets • Finalize the aggregate performance model as a tool for aggregate in-water performance assessment only Outcome – Standard Development
  • 12. Outcome – Public Education Slide 12
  • 13. Outcome – Public Education Slide 13 • Industry funded common website platform for public service info (“Safe Choice”): • Read the Label • Understanding the New Standard • Interpreting New Labels • Other USCG / TCMS work • POS interactive development / delivery – common POS platform for PFD selection info
  • 14. Outcome – Market Outreach Slide 14
  • 15. 2015/2016 OIOV Slide 15 • OIOV Workshop by Paul Werth Oct 28-29, 2019 • Purpose: To guide the development of a campaign that will assist consumers in their selection of life jackets based on new industry standards and to facilitate their understanding of the new life jacket labels
  • 18. Next Steps Slide 18 • New LSF Sub-Committee appointed by LJA Finance Committee / approved by LJA Board • Jump-start OIOV? • Prioritize initiatives • Hire a Project Manager to drive operations?
  • 19. Questions Speaker info: Jason Leggatt President Life Jacket Association info@lifejacketassociation.org www.lifejacketassociation.org Slide 19