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"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Analyzing the impact of new technologies and shifting legislation, how did compliance of the new financial technologies, for instance, blockchain and cryptocurrency, evolve? Also, what are the consequences for retail and product industries in the aspects of cybersecurity and consumers’ protection? Kindly write the paper outlining the following and including specific regulations/technological advancement, and effects on operational financial compliance and safety of retail products.

In recent years, blockchain and cryptocurrency technologies have disrupted traditional financial systems, bringing about significant changes in compliance and regulatory frameworks. This article explores how these technologies influence financial regulations and their broader implications for various industries, including retail and cybersecurity. Blockchain and Cryptocurrency: A Brief Overview Blockchain technology, which underpins cryptocurrencies like Bitcoin and Ethereum, is a decentralized ledger that records transactions across a network of computers. Its features—transparency, security, and immutability—pose both opportunities and challenges for financial regulators. Cryptocurrencies, digital assets using cryptography for security, have gained prominence as alternative investment vehicles and payment methods. Impact on Financial Regulation The rise of cryptocurrencies has led to a reevaluation of financial regulations. Traditional financial systems are governed by a range of regulations designed to prevent fraud, money laundering, and other illicit activities. As cryptocurrencies operate outside conventional banking systems, regulators have had to adapt their approaches to address these new challenges. Anti-Money Laundering (AML) and Know Your Customer (KYC) Regulations: Cryptocurrencies have attracted regulatory attention due to their potential for facilitating money laundering and other illegal activities. In response, jurisdictions like the European Union have enacted measures such as the Fifth Anti-Money Laundering Directive (5AMLD), which requires cryptocurrency exchanges and wallet providers to comply with AML and KYC regulations. This includes verifying customer identities and monitoring transactions to prevent illicit activities. Financial Action Task Force (FATF) Guidelines: The FATF, an international body that sets standards for combating money laundering and terrorist financing, has issued guidelines for the cryptocurrency industry. These guidelines mandate that virtual asset service providers (VASPs) adhere to similar regulatory standards as traditional financial institutions, including transaction monitoring and reporting requirements. Regulatory Responses in Different Regions: Different countries have taken varied approaches to cryptocurrency regulation. For instance, the United States has implemented a patchwork of federal and state regulations, with agencies like the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) overseeing different aspects of the market. In contrast, countries like China have imposed strict bans on cryptocurrency trading and mining, reflecting a more cautious stance. Implications for Retail and Product Industries The adoption of cryptocurrencies in retail and product industries introduces both opportunities and risks. As more retailers accept digital currencies as payment, they must navigate new regulatory and cybersecurity challenges. Cybersecurity Concerns: Retailers accepting cryptocurrencies must enhance their cybersecurity measures to protect against potential breaches. Blockchain technology, while secure, is not immune to attacks. Hacks targeting cryptocurrency exchanges and digital wallets have highlighted the need for robust security protocols. Retailers must invest in secure payment systems and educate staff on best practices for managing digital assets. Consumer Protection: The use of cryptocurrencies in retail transactions raises questions about consumer protection. Regulatory bodies are working to establish standards for ensuring fair practices and protecting consumer rights. For example, regulations may require retailers to provide clear information about the risks associated with cryptocurrency transactions and to implement mechanisms for resolving disputes. Impact on Product Safety: In the product sector, the integration of blockchain technology offers potential benefits such as improved traceability and transparency in supply chains. Blockchain can be used to track the provenance of goods, verify authenticity, and ensure compliance with safety standards. However, the technology also necessitates updates to existing regulatory frameworks to address issues related to data privacy and accuracy. Conclusion Blockchain and cryptocurrency technologies are reshaping the financial landscape, prompting significant changes in regulatory frameworks. As these technologies continue to evolve, regulators and industries must adapt to new challenges and opportunities. By staying informed and proactive, stakeholders can navigate the complexities of the digital economy while ensuring compliance and protecting consumer interests.

"================ <TEXT PASSAGE> ======= In recent years, blockchain and cryptocurrency technologies have disrupted traditional financial systems, bringing about significant changes in compliance and regulatory frameworks. This article explores how these technologies influence financial regulations and their broader implications for various industries, including retail and cybersecurity. Blockchain and Cryptocurrency: A Brief Overview Blockchain technology, which underpins cryptocurrencies like Bitcoin and Ethereum, is a decentralized ledger that records transactions across a network of computers. Its features—transparency, security, and immutability—pose both opportunities and challenges for financial regulators. Cryptocurrencies, digital assets using cryptography for security, have gained prominence as alternative investment vehicles and payment methods. Impact on Financial Regulation The rise of cryptocurrencies has led to a reevaluation of financial regulations. Traditional financial systems are governed by a range of regulations designed to prevent fraud, money laundering, and other illicit activities. As cryptocurrencies operate outside conventional banking systems, regulators have had to adapt their approaches to address these new challenges. Anti-Money Laundering (AML) and Know Your Customer (KYC) Regulations: Cryptocurrencies have attracted regulatory attention due to their potential for facilitating money laundering and other illegal activities. In response, jurisdictions like the European Union have enacted measures such as the Fifth Anti-Money Laundering Directive (5AMLD), which requires cryptocurrency exchanges and wallet providers to comply with AML and KYC regulations. This includes verifying customer identities and monitoring transactions to prevent illicit activities. Financial Action Task Force (FATF) Guidelines: The FATF, an international body that sets standards for combating money laundering and terrorist financing, has issued guidelines for the cryptocurrency industry. These guidelines mandate that virtual asset service providers (VASPs) adhere to similar regulatory standards as traditional financial institutions, including transaction monitoring and reporting requirements. Regulatory Responses in Different Regions: Different countries have taken varied approaches to cryptocurrency regulation. For instance, the United States has implemented a patchwork of federal and state regulations, with agencies like the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) overseeing different aspects of the market. In contrast, countries like China have imposed strict bans on cryptocurrency trading and mining, reflecting a more cautious stance. Implications for Retail and Product Industries The adoption of cryptocurrencies in retail and product industries introduces both opportunities and risks. As more retailers accept digital currencies as payment, they must navigate new regulatory and cybersecurity challenges. Cybersecurity Concerns: Retailers accepting cryptocurrencies must enhance their cybersecurity measures to protect against potential breaches. Blockchain technology, while secure, is not immune to attacks. Hacks targeting cryptocurrency exchanges and digital wallets have highlighted the need for robust security protocols. Retailers must invest in secure payment systems and educate staff on best practices for managing digital assets. Consumer Protection: The use of cryptocurrencies in retail transactions raises questions about consumer protection. Regulatory bodies are working to establish standards for ensuring fair practices and protecting consumer rights. For example, regulations may require retailers to provide clear information about the risks associated with cryptocurrency transactions and to implement mechanisms for resolving disputes. Impact on Product Safety: In the product sector, the integration of blockchain technology offers potential benefits such as improved traceability and transparency in supply chains. Blockchain can be used to track the provenance of goods, verify authenticity, and ensure compliance with safety standards. However, the technology also necessitates updates to existing regulatory frameworks to address issues related to data privacy and accuracy. Conclusion Blockchain and cryptocurrency technologies are reshaping the financial landscape, prompting significant changes in regulatory frameworks. As these technologies continue to evolve, regulators and industries must adapt to new challenges and opportunities. By staying informed and proactive, stakeholders can navigate the complexities of the digital economy while ensuring compliance and protecting consumer interests. https://www.fatf-gafi.org/en/publications/Fatfrecommendations/targeted-update-virtual-assets-vasps-2024.html ================ <QUESTION> ======= Analyzing the impact of new technologies and shifting legislation, how did compliance of the new financial technologies, for instance, blockchain and cryptocurrency, evolve? Also, what are the consequences for retail and product industries in the aspects of cybersecurity and consumers’ protection? Kindly write the paper outlining the following and including specific regulations/technological advancement, and effects on operational financial compliance and safety of retail products. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Respond using only the information provided in the context. Do not use any other information or knowledge.

What are some potential consequences of the federal prohibition of marijuana regarding money?

Notwithstanding the foregoing state laws, any activity involving marijuana that is not authorized under the CSA remains a federal crime anywhere in the United States, including in states that have purported to legalize medical or recreational marijuana. The Supreme Court has held that state laws authorizing medical marijuana use do not affect the CSA’s restrictions. Thus, when states “legalize” a federally controlled substance such as marijuana, the sole result is that the substance is no longer controlled under state law. As discussed in another Legal Sidebar, moving marijuana from Schedule I to Schedule III, without other legal changes, would have some impact on marijuana users and businesses but would not bring the state-legal medical or recreational marijuana industry into compliance with federal controlled substances law. Activities that violate the CSA may give rise to federal criminal prosecution. As a practical matter, however, DEA and DOJ lack the resources to prosecute all violations of the CSA. DOJ guidance memoranda from the Obama Administration broadly affirmed federal authority to prosecute such activities but also indicated that DOJ would generally not prioritize prosecution of activities involving medical marijuana that complied with state law. Under the Trump Administration, DOJ rescinded that guidance, instead reaffirming the authority of federal prosecutors to exercise prosecutorial discretion to target federal marijuana offenses “in accordance with all applicable laws, regulations, and appropriations.” DOJ has not issued formal guidance on marijuana policy during the Biden Administration, but Attorney General Merrick Garland has indicated that the agency will not prioritize prosecuting individuals for personal use of marijuana. Notwithstanding the changes in guidance, data from the U.S. Sentencing Commission indicate that the number of federal marijuana trafficking prosecutions decreased every year between FY2018 and FY2022.The reference to appropriations in the DOJ guidance is significant, because in each budget cycle since FY2015, Congress has passed an appropriations rider barring DOJ from using taxpayer funds to prevent states from “implementing their own laws that authorize the use, distribution, possession, or cultivation of medical marijuana.” The appropriations rider thus prohibits federal prosecution of state-legal activities involving medical marijuana. However, it poses no bar to prosecution of activities involving recreational marijuana. Moreover, the rider does not remove criminal liability; it merely prevents enforcement of the CSA in certain circumstances. As the U.S. Court of Appeals for the Ninth Circuit has explained, if Congress repealed the appropriations rider, DOJ would be able to prosecute violations of the CSA that occurred while the rider was in effect, subject to the applicable statute of limitations. Even absent criminal prosecution or conviction, individuals and organizations engaged in marijuanarelated activities in violation of the CSA—including participants in the state-legal cannabis industry— may face collateral consequences arising from the federal prohibition of marijuana. Other federal laws impose legal consequences based on criminal activity, including violations of the CSA. For example, a financial institution handling income from an illegal marijuana business may violate federal anti-money laundering laws. The presence of income from a marijuana-related business may also prevent a bankruptcy court from confirming a bankruptcy plan (though courts have split on the issue). Likewise, marijuana businesses may be ineligible for certain federal tax deductions. (This restriction applies only to activities involving substances in Schedule I or II, so moving marijuana to Schedule III would allow marijuana businesses to deduct business expenses on federal tax filings.)For individuals, participation in the state-legal marijuana industry may have adverse immigration consequences. Violations of the CSA may also affect individuals’ ability to receive certain federal government benefits. In addition, federal law prohibits gun ownership and possession by any person who is an “unlawful user of or addicted to any controlled substance,” with no exception for users of state-legal medical marijuana.

What are some potential consequences of the federal prohibition of marijuana regarding money? Respond using only the information provided in the context. Do not use any other information or knowledge. Notwithstanding the foregoing state laws, any activity involving marijuana that is not authorized under the CSA remains a federal crime anywhere in the United States, including in states that have purported to legalize medical or recreational marijuana. The Supreme Court has held that state laws authorizing medical marijuana use do not affect the CSA’s restrictions. Thus, when states “legalize” a federally controlled substance such as marijuana, the sole result is that the substance is no longer controlled under state law. As discussed in another Legal Sidebar, moving marijuana from Schedule I to Schedule III, without other legal changes, would have some impact on marijuana users and businesses but would not bring the state-legal medical or recreational marijuana industry into compliance with federal controlled substances law. Activities that violate the CSA may give rise to federal criminal prosecution. As a practical matter, however, DEA and DOJ lack the resources to prosecute all violations of the CSA. DOJ guidance memoranda from the Obama Administration broadly affirmed federal authority to prosecute such activities but also indicated that DOJ would generally not prioritize prosecution of activities involving medical marijuana that complied with state law. Under the Trump Administration, DOJ rescinded that guidance, instead reaffirming the authority of federal prosecutors to exercise prosecutorial discretion to target federal marijuana offenses “in accordance with all applicable laws, regulations, and appropriations.” DOJ has not issued formal guidance on marijuana policy during the Biden Administration, but Attorney General Merrick Garland has indicated that the agency will not prioritize prosecuting individuals for personal use of marijuana. Notwithstanding the changes in guidance, data from the U.S. Sentencing Commission indicate that the number of federal marijuana trafficking prosecutions decreased every year between FY2018 and FY2022.The reference to appropriations in the DOJ guidance is significant, because in each budget cycle since FY2015, Congress has passed an appropriations rider barring DOJ from using taxpayer funds to prevent states from “implementing their own laws that authorize the use, distribution, possession, or cultivation of medical marijuana.” The appropriations rider thus prohibits federal prosecution of state-legal activities involving medical marijuana. However, it poses no bar to prosecution of activities involving recreational marijuana. Moreover, the rider does not remove criminal liability; it merely prevents enforcement of the CSA in certain circumstances. As the U.S. Court of Appeals for the Ninth Circuit has explained, if Congress repealed the appropriations rider, DOJ would be able to prosecute violations of the CSA that occurred while the rider was in effect, subject to the applicable statute of limitations. Even absent criminal prosecution or conviction, individuals and organizations engaged in marijuanarelated activities in violation of the CSA—including participants in the state-legal cannabis industry— may face collateral consequences arising from the federal prohibition of marijuana. Other federal laws impose legal consequences based on criminal activity, including violations of the CSA. For example, a financial institution handling income from an illegal marijuana business may violate federal anti-money laundering laws. The presence of income from a marijuana-related business may also prevent a bankruptcy court from confirming a bankruptcy plan (though courts have split on the issue). Likewise, marijuana businesses may be ineligible for certain federal tax deductions. (This restriction applies only to activities involving substances in Schedule I or II, so moving marijuana to Schedule III would allow marijuana businesses to deduct business expenses on federal tax filings.)For individuals, participation in the state-legal marijuana industry may have adverse immigration consequences. Violations of the CSA may also affect individuals’ ability to receive certain federal government benefits. In addition, federal law prohibits gun ownership and possession by any person who is an “unlawful user of or addicted to any controlled substance,” with no exception for users of state-legal medical marijuana.

This task requires you to answer questions based only on the information provided in the prompt. Give your answer in bullet points.

Briefly summarize the IRS's efforts to create a DF system. Include only the important facts.

Individuals may satisfy their income tax obligations by filing a paper return or filing an electronic one (efiling). To e-file, a taxpayer must use software preapproved by the Internal Revenue Service (IRS). Most individual returns are e-filed. For the 2022 tax year (through December 29, 2023), the IRS received 162 million returns, 93% of which (150 million) had been e-filed. Professional preparers submitted 57% of the e-filed returns and self-preparing individuals the other 43%. Historically, the IRS has provided taxpayers with several options for free e-filing, but those options did not include e-filing directly with the IRS through a secure portal on its website, an option known as Direct File (DF). As a result of several recent developments, a DF option is now available as a pilot program during the 2024 filing season. This Insight describes how the pilot DF system came to be and how it is intended to work. Emergence of An IRS Direct-File Option The IRS’s efforts to create a DF system go back to the early 2000s. The initial attempt was a response to a 2001 directive from the Office of Management and Budget to expand e-filing as part of an effort to increase the range of online federal government services. In 2002, concerned about the cost of developing and maintaining a DF system and facing opposition in Congress to such an initiative, the IRS formed a partnership with a number of commercial tax preparation firms to provide free tax preparation and e-filing to lower-income taxpayers through a program known as Free File. Under the agreement establishing the program, member companies were to provide free e-filing to eligible taxpayers through their online platforms, and in return, the IRS would refrain from developing its own DF system. This restriction lasted from 2003 until 2019, when it was dropped from the memorandum of understanding governing the Free File program. There were several reasons for this decision. Historic usage rates for the program had ranged from 3% to 4% of eligible taxpayers. The IRS invested little in promoting and policing the program. Some media reports in 2019 revealed that some member companies had been diverting Free File-eligible taxpayers to the companies’ paid filing services. Interest in the IRS providing a DF service seems to have grown since 2019. The Inflation Reduction Act (IRA, P.L. 117-169) provided the IRS with $15 million to create a direct e-file task force and deliver two reports to Congress by May 16, 2023. The task force was to prepare one report, and an “independent third party” chosen by the IRS was to prepare a second report.

This task requires you to answer questions based only on the information provided in the prompt. Give your answer in bullet points. Briefly summarize the IRS's efforts to create a DF system. Include only the important facts. Individuals may satisfy their income tax obligations by filing a paper return or filing an electronic one (efiling). To e-file, a taxpayer must use software preapproved by the Internal Revenue Service (IRS). Most individual returns are e-filed. For the 2022 tax year (through December 29, 2023), the IRS received 162 million returns, 93% of which (150 million) had been e-filed. Professional preparers submitted 57% of the e-filed returns and self-preparing individuals the other 43%. Historically, the IRS has provided taxpayers with several options for free e-filing, but those options did not include e-filing directly with the IRS through a secure portal on its website, an option known as Direct File (DF). As a result of several recent developments, a DF option is now available as a pilot program during the 2024 filing season. This Insight describes how the pilot DF system came to be and how it is intended to work. Emergence of An IRS Direct-File Option The IRS’s efforts to create a DF system go back to the early 2000s. The initial attempt was a response to a 2001 directive from the Office of Management and Budget to expand e-filing as part of an effort to increase the range of online federal government services. In 2002, concerned about the cost of developing and maintaining a DF system and facing opposition in Congress to such an initiative, the IRS formed a partnership with a number of commercial tax preparation firms to provide free tax preparation and e-filing to lower-income taxpayers through a program known as Free File. Under the agreement establishing the program, member companies were to provide free e-filing to eligible taxpayers through their online platforms, and in return, the IRS would refrain from developing its own DF system. This restriction lasted from 2003 until 2019, when it was dropped from the memorandum of understanding governing the Free File program. There were several reasons for this decision. Historic usage rates for the program had ranged from 3% to 4% of eligible taxpayers. The IRS invested little in promoting and policing the program. Some media reports in 2019 revealed that some member companies had been diverting Free File-eligible taxpayers to the companies’ paid filing services. Interest in the IRS providing a DF service seems to have grown since 2019. The Inflation Reduction Act (IRA, P.L. 117-169) provided the IRS with $15 million to create a direct e-file task force and deliver two reports to Congress by May 16, 2023. The task force was to prepare one report, and an “independent third party” chosen by the IRS was to prepare a second report.

[question] [user request] ===================== [text] [context document] ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Can you explain to me in layman's terms what the SAFE Bet Act is and what it is proposing into law? Answer in a minimum of 200 words.

Rep. Paul Tonko and Sen. Richard Blumenthal announced details of their new Supporting Affordability and Fairness with Every Bet (SAFE) Bet Act during a press conference on Thursday. Bill would create federal oversight of state-run sports betting The overarching idea of the bill is to let states continue to regulate and oversee sports betting but to implement a set of federal minimum standards that state regulators and operators need to meet. States would be required to apply to the Department of Justice in order to get the greenlight to run a regulated market. Those federal standards cover a wide range of topics related to responsible and problem gambling. Unlike Tonko’s previous bill, the Betting on Our Future Act, which sought to ban all electronic advertising of sports betting, this version would allow it, but with several limitations. The bill would prohibit advertising during primetime hours as well as during live sporting events, implement language restrictions on words like “bonus”, “odds boost” and “no-sweat”, prohibit education about how to bet within the advertising and limit celebrity spokespeople from offering suggested bets to users. Bill would introduce affordability checks, limit ads, prohibit AI The legislation also takes a nod from other markets like the U.K. and includes what would be the first mandated affordability checks for sports bettors in the regulated U.S. market. Bettors would not be able to deposit via credit card, they would be limited to five deposits a day and operators would need to run affordability checks on bettors wagering at least $1,000 in a one-day period or $10,000 in a 30-day period. Bettors whose wagering exceeds more than 30% of their income would not be approved to bet. The bill would greenlight several reports, including from the Substance Abuse Mental Health Services Administration (SAMHSA), the Surgeon General’s office and the Center for Disease Control and would also introduce a national self-exclusion list. Finally, the bill would take proactive steps to limit the use of AI by sportsbook operators to track bettor behavior, create personalized betting offers or to generate gambling products like microbes. In-game betting was a major focus of the press conference, with lawmakers and representatives from the National Public Health Institute suggesting that the proliferation of in-game and microbetting was not what the government anticipated when the Supreme Court overturned the Professional and Amateur Sports Protection Act (PASPA). They did not call out DraftKings by name but specifically mentioned DraftKings’s acquisition of Simplebet as an indicator of what they feel is a problem. While Blumenthal also introduced the Gambling Addiction Recovery, Investment and Treatment (GRIT) Act at the start of the year, which would allocate the funds collected on the federal excise tax on sports betting and use them to fund problem gambling initiatives, the subject of funding did not come up during Thursday’s press event. Based on the limited information around the bill, it seems to only apply to sports betting and would not impact other forms of gambling such as casinos, online casinos or the lottery. Trade orgs quick to speak out against SAFE Bet Act Trade groups within the industry were quick to respond to the press conference expressing concerns about the proposed legislation. “Today’s regulated sports wagering operators are contributing billions in state taxes across the U.S., protecting consumers from dangerous neighborhood bookies and illegal offshore websites, and working diligently with over 5,000 state and tribal regulators and other stakeholders to ensure a commitment to responsibility and positive play. Six years into legal sports betting, introducing heavy-handed federal prohibitions is a slap in the face to state legislatures and gaming regulators who have dedicated countless time and resources to developing thoughtful frameworks unique to their jurisdictions, and have continued to iterate as their marketplaces evolve,” said American Gaming Associaton Senior Vice President of Government Relations Chris Cylke. iDEA Growth issued a statement on the measure as well, saying, in part: “iDEA remains committed to working with lawmakers, regulators, and stakeholders to enhance player protections in a way that empowers states and preserves the benefits of a well-regulated, competitive market. We urge Congress to reject this misguided federal mandate and instead support state-based solutions that are already working across the country. The SAFE Bet Act’s blanket, one-size-fits-all requirements on advertising, affordability checks, and artificial intelligence stifle the autonomy of states and tribal governments, many of which have implemented their own robust regulatory frameworks tailored to the needs of their constituents. These measures not only infringe on states’ rights but also risk undermining the operational flexibility that has allowed the legal sports betting industry to thrive, create jobs, and generate critical tax revenue that supports education, infrastructure, and other vital services.” Since the repeal of PASPA, several federal bills have been introduced regarding sports wagering, but none have made much progress or even advanced out of committee.

[question] Can you explain to me in layman's terms what the SAFE Bet Act is and what it is proposing into law? Answer in a minimum of 200 words. ===================== [text] Rep. Paul Tonko and Sen. Richard Blumenthal announced details of their new Supporting Affordability and Fairness with Every Bet (SAFE) Bet Act during a press conference on Thursday. Bill would create federal oversight of state-run sports betting The overarching idea of the bill is to let states continue to regulate and oversee sports betting but to implement a set of federal minimum standards that state regulators and operators need to meet. States would be required to apply to the Department of Justice in order to get the greenlight to run a regulated market. Those federal standards cover a wide range of topics related to responsible and problem gambling. Unlike Tonko’s previous bill, the Betting on Our Future Act, which sought to ban all electronic advertising of sports betting, this version would allow it, but with several limitations. The bill would prohibit advertising during primetime hours as well as during live sporting events, implement language restrictions on words like “bonus”, “odds boost” and “no-sweat”, prohibit education about how to bet within the advertising and limit celebrity spokespeople from offering suggested bets to users. Bill would introduce affordability checks, limit ads, prohibit AI The legislation also takes a nod from other markets like the U.K. and includes what would be the first mandated affordability checks for sports bettors in the regulated U.S. market. Bettors would not be able to deposit via credit card, they would be limited to five deposits a day and operators would need to run affordability checks on bettors wagering at least $1,000 in a one-day period or $10,000 in a 30-day period. Bettors whose wagering exceeds more than 30% of their income would not be approved to bet. The bill would greenlight several reports, including from the Substance Abuse Mental Health Services Administration (SAMHSA), the Surgeon General’s office and the Center for Disease Control and would also introduce a national self-exclusion list. Finally, the bill would take proactive steps to limit the use of AI by sportsbook operators to track bettor behavior, create personalized betting offers or to generate gambling products like microbes. In-game betting was a major focus of the press conference, with lawmakers and representatives from the National Public Health Institute suggesting that the proliferation of in-game and microbetting was not what the government anticipated when the Supreme Court overturned the Professional and Amateur Sports Protection Act (PASPA). They did not call out DraftKings by name but specifically mentioned DraftKings’s acquisition of Simplebet as an indicator of what they feel is a problem. While Blumenthal also introduced the Gambling Addiction Recovery, Investment and Treatment (GRIT) Act at the start of the year, which would allocate the funds collected on the federal excise tax on sports betting and use them to fund problem gambling initiatives, the subject of funding did not come up during Thursday’s press event. Based on the limited information around the bill, it seems to only apply to sports betting and would not impact other forms of gambling such as casinos, online casinos or the lottery. Trade orgs quick to speak out against SAFE Bet Act Trade groups within the industry were quick to respond to the press conference expressing concerns about the proposed legislation. “Today’s regulated sports wagering operators are contributing billions in state taxes across the U.S., protecting consumers from dangerous neighborhood bookies and illegal offshore websites, and working diligently with over 5,000 state and tribal regulators and other stakeholders to ensure a commitment to responsibility and positive play. Six years into legal sports betting, introducing heavy-handed federal prohibitions is a slap in the face to state legislatures and gaming regulators who have dedicated countless time and resources to developing thoughtful frameworks unique to their jurisdictions, and have continued to iterate as their marketplaces evolve,” said American Gaming Associaton Senior Vice President of Government Relations Chris Cylke. iDEA Growth issued a statement on the measure as well, saying, in part: “iDEA remains committed to working with lawmakers, regulators, and stakeholders to enhance player protections in a way that empowers states and preserves the benefits of a well-regulated, competitive market. We urge Congress to reject this misguided federal mandate and instead support state-based solutions that are already working across the country. The SAFE Bet Act’s blanket, one-size-fits-all requirements on advertising, affordability checks, and artificial intelligence stifle the autonomy of states and tribal governments, many of which have implemented their own robust regulatory frameworks tailored to the needs of their constituents. These measures not only infringe on states’ rights but also risk undermining the operational flexibility that has allowed the legal sports betting industry to thrive, create jobs, and generate critical tax revenue that supports education, infrastructure, and other vital services.” Since the repeal of PASPA, several federal bills have been introduced regarding sports wagering, but none have made much progress or even advanced out of committee. https://sbcamericas.com/2024/09/12/safe-bet-act-details/ ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Respond using only the available context. Do not use dictionaries, internal knowledge, or any other resource. If the query is not answerable using the available context, respond with "Sorry, I dunno :(".

I don't really understand this. What is AICOA and how is it different from monopoly and Sherman and stuff?

Yelp’s Self-preferencing Claims AMERICANACTIONFORUM.ORG Yelp brought its lawsuit against Google largely alleging a violation of Section 2 of the Sherman Act, which prohibits the illegal monopolization of a market. To succeed on a Section 2 illegal monopolization claim, a plaintiff must show two elements: 1) that the defendant had monopoly power in a relevant market, and 2) that the firm illegally acquired or maintained that monopoly power using anticompetitive means. While Yelp alleges a few different theories in the case, this paper focuses on the claim that Google is using monopoly power in the general search market to self-preference local search offerings at the expense of rivals such as Yelp. Element 1: Monopoly Power First, Yelp must show that Google has monopoly power in a relevant market. For the type of conduct at issue in this case, Yelp would likely need to show that Google both has monopoly power in the general search market and uses that monopoly power to attempt to monopolize the more specific local search market. The timing of this lawsuit is not a coincidence. In July, the DOJ won its case arguing that Google had illegally monopolized the general search market through the use of default search engine agreements with browsers and smartphone manufacturers. While that specific conduct isn’t at issue here, Yelp will almost certainly point to the finding that Google does, in fact, have monopoly power in general search. This provides Yelp with a strong foundation for its case, and if a court accepts Yelp’s argument, Yelp would simply need to show either that Google has monopoly power in the local search market or that Google has sufficient market power to pose a dangerous probability of monopolizing that market. Yelp’s case isn’t clear cut, however. First, the decision in the DOJ case is not binding here because Yelp is suing in a different jurisdiction, though a district court opinion from another jurisdiction may be a persuasive authority. Even if the judge in the Yelp case defers to the D.C. decision, the D.C. decision largely dismissed arguments about generative AI being a viable alternative to the traditional search engine because, at the time of discovery, the technology didn’t exist commercially. Within the past two years, tools that offer similar search functionality such as ChatGPT have grown significantly, providing an alternative to Google’s general search product and restricting Google’s ability to act as a monopolist. Second, Google will undoubtedly argue that local search is not distinct from general search. Element 2: Anticompetitive Conduct In addition to monopoly power, Yelp will need to show that Google could acquire that monopoly power in the local search market through “willful acquisition…as distinguished from growth or development as a consequence of a superior product, business acumen, or historic accident.” At the core of the complaint, Yelp alleges that “Google has degraded quality, demoted rivals, and grown its monopoly power by (1) inserting Google’s own vertical search results at the top of its horizontal search results page to divert user attention away from organic search results and (2) excluding rivals and their vertical content from that prime placement in the vertical search sections that populate the top of the [search engine results page].” This argument relies on what is known as “self-preferencing,” a legal theory that has become popular in European competition law in recent years, but is largely dismissed by U.S. courts. Courts in the United States have found that even firms with monopoly power generally have no duty to deal with their rivals, as firms AMERICANACTIONFORUM.ORG should be able to choose how they offer their products and services to better compete on the merits. Some tying arrangements can violate the law, but tying arguments generally require a firm to tie the purchase of a product in a market in which the firm has monopoly power to the purchase of a product in another market in which the firm does not have monopoly power. Yet as antitrust scholar Herbert Hovenkamp has explained, these types of tying agreements do not usually reach mere preferential ordering of goods that falls short of prohibitions on dealing. The reason courts generally don’t recognize self-preferencing as a viable theory of harm under the law is because firms use these displays to compete on the merits. If a customer searches for “best local lunch spots near me,” for example, Yelp would still be the top general search result on the website, though Google Places appears at the top of the result with a direct list of restaurants, their reviews, and their locations. Google, by incorporating its own vertical products, provides the user with immediate suggestions to the question, a tool to see how individuals rate the restaurants, and a map to see how far away they are. And if users want a more detailed local search option, they can simply click on the Yelp link right below the vertical offerings. Courts tend to prefer to give firms freedom to design their products as they see fit, largely due to concerns that mandating specific designs could negatively affect competition and consumers. AICOA in an Alternate Universe The American Innovation and Choice Online Act specifically targets the kind of conduct at issue here. First, the bill would designate large technology platforms like Google as covered platforms. Second, the bill would make it illegal to “preference the products, services, or lines of business of the covered platform operator over those of another business user on the covered platform in a manner that would materially harm competition,” along with a variety of other restrictions on harming smaller competitors. Under AICOA, a case against Google would more likely succeed, though it would still present challenges. First, and most important, Yelp couldn’t bring the case directly under the law, as AICOA would require the Department of Justice, the Federal Trade Commission, or a state attorney general to bring a claim. Yelp could still bring private litigation, and perhaps having this law on the books may persuade courts to recognize a self- preferencing claim, but it would not be able to bring an AICOA claim. Second, under AICOA, a plaintiff could largely ignore any discussion of monopoly power. Monopoly power is difficult to demonstrate, and it is extremely costly to adjudicate at trial for all parties involved. It is, however, a critical part to the competition analysis: If a firm lacks the power to profitably raise prices or exclude rivals, it is unlikely that the firm’s behavior would harm competition regardless of how it acts, as alternatives exist and business would go elsewhere. Instead, under AICOA, Google would essentially already be found to have that power, forgoing any analysis of market structure and restrictions on behavior, and would hold instead that the firm is large enough for the courts to be concerned. AMERICANACTIONFORUM.ORG Third, AICOA specifically prohibits self-preferencing, a theory largely not recognized by courts in the United States as described above. Though the legislation includes language about materially harming competition, courts would have flexibility in interpreting that provision. It could simply be a rule of reason analysis in which the court weighs the procompetitive justifications against the anticompetitive harms, but it could also mean that there is some harm to the competitive process, regardless of whether there are procompetitive justifications or even on the net a benefit to competition. Similarly, the legislation would allow defendants to argue an affirmative defense that the conduct was “reasonably tailored and reasonably necessary…to maintain or substantially enhance the core functionality of the covered platform,” but affirmative defenses mean that the defendant has already been found in violation of the law and have the burden of proving by a preponderance of the evidence that the defense applies. In other words, it would be up to the defendant to prove that that the conduct was reasonably tailored and reasonably necessary. This is similar to the burden-shifting analysis under the current anticompetitive conduct element of Section 2 claims – but by requiring the defendant prove that the conduct would “substantially” enhance the core functionality of a product, a firm like Google would have a more difficult time arguing the procompetitive case for conduct that led to vertical integration.

[Respond using only the available context. Do not use dictionaries, internal knowledge, or any other resource. If the query is not answerable using the available context, respond with "Sorry, I dunno :(".] Context: [Yelp’s Self-preferencing Claims AMERICANACTIONFORUM.ORG Yelp brought its lawsuit against Google largely alleging a violation of Section 2 of the Sherman Act, which prohibits the illegal monopolization of a market. To succeed on a Section 2 illegal monopolization claim, a plaintiff must show two elements: 1) that the defendant had monopoly power in a relevant market, and 2) that the firm illegally acquired or maintained that monopoly power using anticompetitive means. While Yelp alleges a few different theories in the case, this paper focuses on the claim that Google is using monopoly power in the general search market to self-preference local search offerings at the expense of rivals such as Yelp. Element 1: Monopoly Power First, Yelp must show that Google has monopoly power in a relevant market. For the type of conduct at issue in this case, Yelp would likely need to show that Google both has monopoly power in the general search market and uses that monopoly power to attempt to monopolize the more specific local search market. The timing of this lawsuit is not a coincidence. In July, the DOJ won its case arguing that Google had illegally monopolized the general search market through the use of default search engine agreements with browsers and smartphone manufacturers. While that specific conduct isn’t at issue here, Yelp will almost certainly point to the finding that Google does, in fact, have monopoly power in general search. This provides Yelp with a strong foundation for its case, and if a court accepts Yelp’s argument, Yelp would simply need to show either that Google has monopoly power in the local search market or that Google has sufficient market power to pose a dangerous probability of monopolizing that market. Yelp’s case isn’t clear cut, however. First, the decision in the DOJ case is not binding here because Yelp is suing in a different jurisdiction, though a district court opinion from another jurisdiction may be a persuasive authority. Even if the judge in the Yelp case defers to the D.C. decision, the D.C. decision largely dismissed arguments about generative AI being a viable alternative to the traditional search engine because, at the time of discovery, the technology didn’t exist commercially. Within the past two years, tools that offer similar search functionality such as ChatGPT have grown significantly, providing an alternative to Google’s general search product and restricting Google’s ability to act as a monopolist. Second, Google will undoubtedly argue that local search is not distinct from general search. Element 2: Anticompetitive Conduct In addition to monopoly power, Yelp will need to show that Google could acquire that monopoly power in the local search market through “willful acquisition…as distinguished from growth or development as a consequence of a superior product, business acumen, or historic accident.” At the core of the complaint, Yelp alleges that “Google has degraded quality, demoted rivals, and grown its monopoly power by (1) inserting Google’s own vertical search results at the top of its horizontal search results page to divert user attention away from organic search results and (2) excluding rivals and their vertical content from that prime placement in the vertical search sections that populate the top of the [search engine results page].” This argument relies on what is known as “self-preferencing,” a legal theory that has become popular in European competition law in recent years, but is largely dismissed by U.S. courts. Courts in the United States have found that even firms with monopoly power generally have no duty to deal with their rivals, as firms AMERICANACTIONFORUM.ORG should be able to choose how they offer their products and services to better compete on the merits. Some tying arrangements can violate the law, but tying arguments generally require a firm to tie the purchase of a product in a market in which the firm has monopoly power to the purchase of a product in another market in which the firm does not have monopoly power. Yet as antitrust scholar Herbert Hovenkamp has explained, these types of tying agreements do not usually reach mere preferential ordering of goods that falls short of prohibitions on dealing. The reason courts generally don’t recognize self-preferencing as a viable theory of harm under the law is because firms use these displays to compete on the merits. If a customer searches for “best local lunch spots near me,” for example, Yelp would still be the top general search result on the website, though Google Places appears at the top of the result with a direct list of restaurants, their reviews, and their locations. Google, by incorporating its own vertical products, provides the user with immediate suggestions to the question, a tool to see how individuals rate the restaurants, and a map to see how far away they are. And if users want a more detailed local search option, they can simply click on the Yelp link right below the vertical offerings. Courts tend to prefer to give firms freedom to design their products as they see fit, largely due to concerns that mandating specific designs could negatively affect competition and consumers. AICOA in an Alternate Universe The American Innovation and Choice Online Act specifically targets the kind of conduct at issue here. First, the bill would designate large technology platforms like Google as covered platforms. Second, the bill would make it illegal to “preference the products, services, or lines of business of the covered platform operator over those of another business user on the covered platform in a manner that would materially harm competition,” along with a variety of other restrictions on harming smaller competitors. Under AICOA, a case against Google would more likely succeed, though it would still present challenges. First, and most important, Yelp couldn’t bring the case directly under the law, as AICOA would require the Department of Justice, the Federal Trade Commission, or a state attorney general to bring a claim. Yelp could still bring private litigation, and perhaps having this law on the books may persuade courts to recognize a self- preferencing claim, but it would not be able to bring an AICOA claim. Second, under AICOA, a plaintiff could largely ignore any discussion of monopoly power. Monopoly power is difficult to demonstrate, and it is extremely costly to adjudicate at trial for all parties involved. It is, however, a critical part to the competition analysis: If a firm lacks the power to profitably raise prices or exclude rivals, it is unlikely that the firm’s behavior would harm competition regardless of how it acts, as alternatives exist and business would go elsewhere. Instead, under AICOA, Google would essentially already be found to have that power, forgoing any analysis of market structure and restrictions on behavior, and would hold instead that the firm is large enough for the courts to be concerned. AMERICANACTIONFORUM.ORG Third, AICOA specifically prohibits self-preferencing, a theory largely not recognized by courts in the United States as described above. Though the legislation includes language about materially harming competition, courts would have flexibility in interpreting that provision. It could simply be a rule of reason analysis in which the court weighs the procompetitive justifications against the anticompetitive harms, but it could also mean that there is some harm to the competitive process, regardless of whether there are procompetitive justifications or even on the net a benefit to competition. Similarly, the legislation would allow defendants to argue an affirmative defense that the conduct was “reasonably tailored and reasonably necessary…to maintain or substantially enhance the core functionality of the covered platform,” but affirmative defenses mean that the defendant has already been found in violation of the law and have the burden of proving by a preponderance of the evidence that the defense applies. In other words, it would be up to the defendant to prove that that the conduct was reasonably tailored and reasonably necessary. This is similar to the burden-shifting analysis under the current anticompetitive conduct element of Section 2 claims – but by requiring the defendant prove that the conduct would “substantially” enhance the core functionality of a product, a firm like Google would have a more difficult time arguing the procompetitive case for conduct that led to vertical integration.] User query: [I don't really understand this. What is AICOA and how is it different from monopoly and Sherman and stuff?]

Only provide the opinions that were given in the context document. If you cannot answer a question using the provided context alone, then say "I'm sorry, but I do not have the context to answer this question."

Based on the document provided, how does the user make the shortcuts menu appear while playing music?

User Manual Version 1.1 Table of Contents Get started 7 What's in the box 7 Charge your watch 8 Set up Versa 3 9 Connect to Wi-Fi 9 See your data in the Fitbit app 10 Unlock Fitbit Premium 11 Advanced health metrics 11 Premium health and wellness reminders 12 Wear Versa 3 13 Placement for all-day wear vs. exercise 13 Fasten the band 14 Handedness 15 Wear and care tips 16 Change the band 16 Remove a band 16 Attach a band 17 Basics 18 Navigate Versa 3 18 Basic navigation 18 Button shortcuts 19 Widgets 22 Adjust settings 23 Display 24 Vibration & audio 24 Goal reminders 24 Quiet modes 24 Shortcuts 25 Check battery level 25 Set up device lock 26 2 Adjust always-on display 26 Turn off the screen 28 Care for Versa 3 28 Apps and Clock Faces 29 Change the clock face 29 Open apps 30 Organize apps 30 Download additional apps 30 Remove apps 30 Update apps 31 Adjust app settings and permissions 31 Voice Assistant 32 Set up Amazon Alexa Built-in 32 Interact with Alexa 32 Check Alexa alarms, reminders, and timers 34 Lifestyle 35 Starbucks 35 Agenda 35 Weather 35 Check the weather 36 Add or remove a city 36 Find Phone 36 Notifications from your phone 38 Set up notifications 38 See incoming notifications 38 Manage notifications 39 Turn off notifications 39 Answer or reject phone calls 40 Respond to messages (Android phones) 41 Timekeeping 42 Use the Alarms app 42 Dismiss or snooze an alarm 42 3 Use the Timer app 43 Activity and Wellness 44 See your stats 44 Track a daily activity goal 45 Choose a goal 45 Track your hourly activity 45 Track your sleep 46 Set a sleep goal 46 Learn about your sleep habits 46 Practice guided breathing 47 Exercise and Heart Health 48 Track your exercise automatically 48 Track and analyze exercise with the Exercise app 49 Track an exercise 49 Customize your exercise settings 50 Check your workout summary 51 Check your heart rate 51 Custom heart-rate zones 53 Earn Active Zone Minutes 53 View your cardio fitness score 53 Work out with Fitbit Coach 54 Share your activity 54 Music 55 Connect Bluetooth headphones or speakers 55 Control music with Versa 3 55 Choose the music source 56 Control music 56 Control music with the Spotify - Connect & Control app 56 Listen to music with the Pandora app (United States only) 57 Listen to music with the Deezer app 57 Fitbit Pay 58 Use credit and debit cards 58 4 Set up Fitbit Pay 58 Make purchases 59 Change your default card 60 Pay for transit 60 Update, Restart, and Erase 62 Update Versa 3 62 Restart Versa 3 62 Shutdown Versa 3 63 Erase Versa 3 63 Troubleshooting 64 Heart-rate signal missing 64 GPS signal missing 64 Can't connect to Wi-Fi 65 Other issues 66 General Info and Specifications 67 Sensors and Components 67 Materials 67 Wireless technology 68 Haptic feedback 68 Battery 68 Memory 68 Display 68 Band size 68 Environmental conditions 69 Learn more 69 Return policy and warranty 69 Regulatory and Safety Notices 70 USA: Federal Communications Commission (FCC) statement 70 Canada: Industry Canada (IC) statement 71 European Union (EU) 72 IP Rating 73 Argentina 74 5 Australia and New Zealand 74 Belarus 74 Botswana 75 China 75 Customs Union 77 Indonesia 77 Israel 77 Japan 77 Kingdom of Saudi Arabia 78 Mexico 78 Moldova 78 Morocco 79 Nigeria 79 Oman 79 Pakistan 79 Philippines 80 Serbia 80 Singapore 80 South Korea 80 Taiwan 82 United Arab Emirates 84 Vietnam 85 Zambia 85 Safety Statement 85 6 Get started Meet Fitbit Versa 3, the health and fitness smartwatch with built-in GPS, Active Zone Minutes, 20+ exercise modes, and music experiences to keep you motivated to move. Take a moment to review our complete safety information at fitbit.com/safety. Versa 3 is not intended to provide medical or scientific data. What's in the box Your Versa 3 box includes: Watch with small band (color and material varies) Charging cable Additional large band The detachable bands on Versa 3 come in a variety of colors and materials, sold separately. 7 Charge your watch A fully-charged Versa 3 has a battery life of 6+ days. Battery life and charge cycles vary with use and other factors; actual results will vary. To charge Versa 3: 1. Plug the charging cable into the USB port on your computer, a UL-certified USB wall charger, or another low-energy charging device. 2. Hold the other end of the charging cable near the port on the back of the watch until it attaches magnetically. Make sure the pins on the charging cable align with the port on the back of your watch. Charge Versa 3 for 12 minutes for 24 hours of battery life. While the watch charges, tap the screen twice or press the button to turn the screen on. The battery level appears for several seconds, then disappears so you can use your watch while it charges. Charging fully takes about 1-2 hours. 8 Set up Versa 3 Set up Versa 3 with the Fitbit app for iPhones and iPads or Android phones. The Fitbit app is compatible with most popular phones and tablets. See fitbit.com/devices to check if your phone or tablet is compatible. To get started: 1. Download the Fitbit app: l Apple App Store for iPhones and iPads l Google Play Store for Android phones 2. Install the app, and open it. l If you already have a Fitbit account, log in to your account > tap the Today tab > your profile picture > Set Up a Device. l If you don't have a Fitbit account, tap Join Fitbit to be guided through a series of questions to create a Fitbit account. 3. Continue to follow the on-screen instructions to connect Versa 3 to your account. When you're done with setup, read through the guide to learn more about your new watch and then explore the Fitbit app. For more information, see help.fitbit.com. Connect to Wi-Fi During setup, you're prompted to connect Versa 3 to your Wi-Fi network. Versa 3 uses Wi-Fi to more quickly transfer music from Pandora or Deezer, download apps 9 from the Fitbit App Gallery, and for faster, more reliable OS updates. Versa 3 can connect to open, WEP, WPA personal, and WPA2 personal Wi-Fi networks. Your watch won't connect to 5GHz, WPA enterprise, or public Wi-Fi networks that require more than a password to connect—for example, logins, subscriptions, or profiles. If you see fields for a username or domain when connecting to the Wi-Fi network on a computer, the network isn't supported. For best results, connect Versa 3 to your home Wi-Fi network. Make sure you know the network password before connecting. For more information, see help.fitbit.com. See your data in the Fitbit app Open the Fitbit app on your phone or tablet to view your activity and sleep data, log food and water, participate in challenges, and more. 10 Unlock Fitbit Premium Fitbit Premium helps you build healthy habits by offering tailored workouts, insights into how your behavior impacts your health, and personalized plans to help you reach your goals. A Fitbit Premium subscription includes health insights and guidance, advanced health metrics, sleep details, customized programs, and 150+ workouts from fitness brands. New Fitbit Premium customers can redeem a free trial. For more information, see help.fitbit.com. Advanced health metrics Know your body better with health metrics in the Fitbit app. This feature helps you view key metrics tracked by your Fitbit device over time so that you can see trends and assess what’s changed. Metrics include: l Oxygen saturation (SpO2) l Skin temperature variation l Heart rate variability l Resting heart rate l Breathing rate Note: This feature is not intended to diagnose or treat any medical condition and should not be relied on for any medical purposes. It is intended to provide information that can help you manage your well-being. If you have any concerns about your health, please talk to a healthcare provider. If you believe you are experiencing a medical emergency, call emergency services. For more information, see help.fitbit.com. 11 Premium health and wellness reminders Set up Premium health and wellness reminders in the Fitbit app, and receive reminders on your watch that encourage you to form and maintain healthy behaviors. For more information, see help.fitbit.com. 12 Wear Versa 3 Wear Versa 3 around your wrist. If you need to attach a different size band, or if you purchased another band, see the instructions in "Change the band" on page 16. Placement for all-day wear vs. exercise When you're not exercising, wear Versa 3 a finger's width above your wrist bone. In general, it's always important to give your wrist a break on a regular basis by removing your watch for around an hour after extended wear. We recommend removing your watch while you shower. Although you can shower while wearing your watch, not doing so reduces the potential for exposure to soaps, shampoos, and conditioners, which can cause long-term damage to your watch and may cause skin irritation. For optimized heart-rate tracking while exercising: l During workouts, try moving the band higher on your wrist to get a better fit. If you experience any discomfort, loosen the band, and if it persists give your wrist a break by taking it off. 13 l Wear your watch on top of your wrist, and make sure the back of the device is in contact with your skin. Fasten the band 1. Place Versa 3 around your wrist. 2. Slide the bottom band through the first loop in the top band. 14 3. Tighten the band until it fits comfortably, and press the peg through one of the holes in the band. 4. Slide the loose end of the band through the second loop until it lies flat on your wrist. Make sure the band isn’t too tight. Wear the band loosely enough that it can move back and forth on your wrist. Handedness For greater accuracy, you must specify whether you wear Versa 3 on your dominant or non-dominant hand. Your dominant hand is the one you use for writing and eating. To start, the Wrist setting is set to non-dominant. If you wear Versa 3 on your dominant hand, change the Wrist setting in the Fitbit app: From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile > Wrist > Dominant. 15 Wear and care tips l Clean your band and wrist regularly with a soap-free cleanser. l If your watch gets wet, remove and dry it completely after your activity. l Take your watch off from time to time. l If you notice skin irritation, remove your watch and contact customer support. For more information, see fitbit.com/productcare. Change the band Versa 3 comes with a small band attached and an additional large, bottom band in the box. Both the top and bottom bands can be swapped with accessory bands, sold separately on fitbit.com. For band measurements, see "Band size" on page 68. Fitbit Sense bands are compatible with Versa 3. Remove a band 1. Turn over Versa 3 and find the band latches. 2. To release the latch, slide the flat button toward the band. 16 3. Gently pull the band away from the watch to release it. 4. Repeat on the other side. Attach a band To attach a band, press it into the end of the watch until you hear a click and it snaps into place. The band with the loops and peg attaches to the top of the watch. 17 Basics Learn how to manage settings, set a personal PIN code, navigate the screen, and care for your watch. Navigate Versa 3 Versa 3 has a color AMOLED touchscreen display and 1 button. Navigate Versa 3 by tapping the screen, swiping side to side and up and down, or pressing the button. To preserve battery, the watch’s screen turns off when not in use, unless you turn on the always-on display setting. For more information, see "Adjust always-on display" on page 26. Basic navigation The home screen is the clock. l Swipe down to see notifications. l Swipe up to see widgets, such as your daily stats, the weather, and a shortcut to start the Relax app. l Swipe left to see the apps on your watch. l Swipe right to open quick settings or return to the previous screen in an app. l Press the button to return to the clock face. 18 Button shortcuts Use the button to quickly access Fitbit Pay, voice assistant, quick settings, or your favorite apps. Press and hold the button Hold the button for 2 seconds to activate a feature of your choice. The first time you use the button shortcut, select which feature it activates. To change which feature activates when you hold the button, open the Settings app on your watch and tap Shortcuts. Tap Press & hold, and select the app you want. 19 Double-press the button Double-press the button to open shortcuts to 4 apps or features. To start, the 4 shortcuts are music controls , quick settings , your voice assistant, and Fitbit Pay . To change these shortcuts, open the Settings app on your watch and tap Shortcuts. Under Double Press, tap the shortcut you want to change. Quick settings Swipe right from the clock face on your watch to access quick settings. 20 Do Not Disturb When the do not disturb setting is on: l Notifications, goal celebrations, and reminders are muted. l The do not disturb icon illuminates in quick settings. You can't turn on do not disturb and sleep mode at the same time. Sleep Mode When the sleep mode setting is on: l Notifications, goal celebrations, and reminders are muted. l The screen's brightness is set to dim. l The Always-On Display clock face is turned off. l The screen stays dark when you turn your wrist. l The sleep mode icon illuminates in quick settings. Sleep mode turns off automatically when you set a sleep schedule. To set a schedule: 1. Open the Settings app and tap Quiet modes. 2. Under Sleep mode, tap Schedule mode > Off- hours. 3. Tap the start or stop time to adjust when the mode turns on and off. Swipe up or down to change the time, and tap the time to select it. Sleep mode automatically turns off at the time you schedule, even if you manually turned it on. You can't turn on do not disturb and sleep mode at the same time. Screen Wake When you set screen wake to automatic , the screen turns on each time you turn your wrist. 21 When you set screen wake to manual, press the button or tap the screen to turn on the display. Brightness Adjust the screen brightness. Always-On Display Turn always-on display on or off. For more information, see "Adjust always-on display" on page 26. Music Volume Adjust the volume of music playing through headphones or speakers paired to your watch. For more information, see "Connect Bluetooth headphones or speakers" on page 55. Widgets Add widgets to your watch to see your daily stats, log your water intake or weight, check the weather forecast, and start a session in the Relax app, and more. To see your widgets, swipe up from the clock face. To add a new widget: 22 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Under More Widgets, tap the icon next to the widget you want to add. 3. Swipe up to the bottom of the page, and tap Done. To turn off a widget: 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Tap the > icon next to the widget you want to adjust. 3. Tap the switch icon next to Show Widget to turn it off. 4. Swipe up to the bottom of the page, and tap Done. To adjust the information you see on a widget: 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Tap the > icon next to the widget you want to adjust. 3. Adjust any settings you want to change. 4. Swipe up to the bottom of the page, and tap Done. To change the order of widgets: 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Press and hold the widget you want to move, and drag it up or down in the list of widgets. When it's in the correct new location, lift your finger. 3. Swipe up to the bottom of the page, and tap Done. Adjust settings Manage basic settings in the Settings app : 23 Display Brightness Change the screen's brightness. Screen wake Change whether the screen turns on when you turn your wrist. Screen timeout Adjust the amount of time before the screen turns off or switches to the always-on display clock face. Always-on display Turn always-on display on or off, and change the type of clock face shown. Vibration & audio Vibration Adjust your watch's vibration strength. Microphone Choose whether your watch can access the microphone. Bluetooth Manage connected Bluetooth devices. Goal reminders Active Zone Minutes goal Turn Active Zone Minutes weekly goal notifications on or off. Quiet modes Focus mode Turn off notifications while using the Exercise app . Do not disturb Turn off all notifications. Sleep mode Adjust sleep mode settings, including setting a schedule for the mode to automatically turn on and off. Alexa notifications Turn Amazon Alexa notifications off. 24 Shortcuts Press & hold Choose the app or feature you want to open when you press and hold the button. Double Press Choose 4 apps or features to appear as shortcuts when you double-press the button. Tap a setting to adjust it. Swipe up to see the full list of settings. Check battery level From the clock face, swipe right. The battery level icon is at the top of the screen. Wi-Fi won't work on Versa 3 when the battery is 25% or less, and you'll be unable to update your device. If your watch's battery is low (fewer than 24 hours remaining), a red battery indicator appears on the clock face. If your watch's battery is critically low (fewer than 4 hours remaining), the battery indicator flashes. When the battery is low: l The screen brightness is set to dim l The vibration strength is set to light l If you’re tracking an exercise with GPS, GPS tracking turns off l Always-on display is turned off l You can't use the voice assistant feature l You can't use quick replies 25 l You can't use music controls l You won't receive notifications from your phone Charge Versa 3 to use or adjust these features. Set up device lock To help keep your watch secure, turn on device lock in the Fitbit app, which prompts you to enter a personal 4-digit PIN code to unlock your watch. If you set up Fitbit Pay to make contactless payments from your watch, device lock is turned on automatically and you're required to set a code. If you don't use Fitbit Pay, device lock is optional. Turn on device lock or reset your PIN code in the Fitbit app: From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile > Device Lock. For more information, see help.fitbit.com. Adjust always-on display Turn on always-on display to show the time on your watch, even when you're not interacting with the screen. Many clock faces and certain apps have an always-on display mode. 26 To turn always-on display on or off, swipe right from the clock face to open quick settings. Tap the always-on display icon . Note that turning on this feature impacts your watch's battery life. When always-on display is turned on, Versa 3 requires more frequent charging. Clock faces without an always-on display mode use a default always-on display clock face. Choose between an analog or digital clock face. Open the Settings app > Display. In the Always-on display section, tap Analog or Digital. Always-on display automatically turns off when your watch's battery is critically low. For more information, see help.fitbit.com. 27 Turn off the screen To turn off your watch's screen when not in use, briefly cover the watch face with your opposite hand, press the buttons, or turn your wrist away from your body. Note that if you turn on the always-on display setting, the screen won't turn off. Care for Versa 3 It's important to clean and dry Versa 3 regularly. For more information, see fitbit.com/productcare. 28 Apps and Clock Faces The Fitbit Gallery offers apps and clock faces to personalize your watch and meet a variety of health, fitness, timekeeping, and everyday needs. Change the clock face The Fitbit Clock Gallery offers a variety of clock faces to personalize your watch. 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Clock Faces > All Clocks. 3. Browse the available clock faces. Tap a clock face to see a detailed view. 4. Tap Select to add the clock face to Versa 3. Save up to 5 clock faces to switch between them: l When you select a new clock face, it’s automatically saved unless you already have 5 saved clock faces. l To see your saved clock faces from your watch, open the Clocks app and swipe to find the clock face you want to use. Tap to select it. l To see your saved clock faces in the Fitbit app, tap the Today tab > your profile picture > your device image > Clock Faces. See your saved clock faces in My Clock Faces. 29 l To remove a clock face, tap the clock face > Remove clock face. l To switch to a saved clock face, tap the clock face > Select. Open apps From the clock face, swipe left to see the apps installed on your watch. To open an app, tap it. Organize apps To change the placement of an app on Versa 3, press and hold an app until it's selected, and drag it to a new location. The app is selected when the icon increases slightly in size and the watch vibrates. Download additional apps 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps > All Apps. 3. Browse the available apps. When you find one you want to install, tap it. 4. Tap Install to add the app to Versa 3. For more information, see help.fitbit.com. Remove apps You can remove most apps installed on Versa 3: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps. 3. In the My Apps tab, tap the app you want to remove. You may have to swipe up to find it. 4. Tap Remove. 30 Update apps Apps update over Wi-Fi as needed. Versa 3 searches for updates when plugged into the charger and in range of your Wi-Fi network. You can also manually update apps: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps. 3. In the My Apps tab, find the app you want to update. You may have to swipe up to find it. 4. Tap the pink Update button next to the app. Adjust app settings and permissions Many apps include options to adjust the notifications, allow certain permissions, and customize what it displays. Note that turning off any app permissions might cause the app to stop functioning. To access these settings: 1. With your watch nearby, in the Fitbit app, tap the Today tab > your profile picture > your device image. 2. Tap Apps or Clock Faces. 3. Tap the app or clock face whose settings you want to change. You may have to swipe up to see some apps. 4. Tap Settings or Permissions. 5. Tap Back or Details when you're done making changes. 31 Voice Assistant Check the weather, set timers and alarms, control your smart home devices, and more by speaking to your watch. Set up Amazon Alexa Built-in 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Amazon Alexa > Sign in with Amazon. 3. Tap Get Started. 4. Log in to your Amazon account or create one if necessary. 5. Follow the on-screen instructions and read about what Alexa can do, and tap Close to return to your device settings in the Fitbit app. To change the language Alexa recognizes or disconnect your Amazon account: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Amazon Alexa. 3. Tap the current language to change it, or tap Logout to stop using Alexa on your watch. Interact with Alexa 1. Open the Alexa app on your watch. Note that the Fitbit app must be running in the background on your phone. 2. Say your request. 32 You don't need to say "Alexa" before speaking your request. For example: l Set a timer for 10 minutes. l Set an alarm for 8:00 a.m. l What's the temperature outside? l Remind me to make dinner at 6:00 p.m. l How much protein is in an egg? l Ask Fitbit to start a run.* l Start a bike ride with Fitbit.* *To ask Alexa to open the Exercise app on your watch, you must first set up the Fitbit skill for Alexa. For more information, see help.fitbit.com. These commands are currently available in English, German, French, Italian, Spanish, and Japanese. Amazon Alexa not available in all countries. For more information, see fitbit.com/voice. Note that saying “Alexa” doesn’t activate Alexa on your watch—you must open the Alexa app on your watch before the microphone turns on. The microphone turns off when you close Alexa, or when your watch’s screen turns off. For added functionality, install the Amazon Alexa app on your phone. With the app, your watch can access additional Alexa skills. For more information, see help.fitbit.com. 33 Check Alexa alarms, reminders, and timers 1. Open the Alexa app on your watch. 2. Tap the alerts icon and swipe up to view your alarms, reminders, and timers. 3. Tap an alarm to turn it on or off. To adjust or cancel a reminder or timer, tap the Alexa icon and say your request. Note that Alexa's alarms and timers are separate from those you set in the Alarms app or Timer app . 34 Lifestyle Use apps to stay connected to what you care about most. See "Apps and Clock Faces" on page 29 for instructions on how to add and delete apps. For more information, see help.fitbit.com. Starbucks Add your Starbucks card or Starbucks Rewards program number in the Fitbit App Gallery in the Fitbit app, and then use the Starbucks app to pay from your wrist. For more information, see help.fitbit.com. Agenda Connect your phone's calendar in the Fitbit app to see upcoming calendar events for today and tomorrow in the Agenda app on your watch. For more information, see help.fitbit.com. Weather See the weather in your current location, as well as 2 additional locations you choose, in the Weather app on your watch. 35 Check the weather Open the Weather app to see conditions in your current location. Swipe up to view the weather in other locations you added. Tap a location to see a more detailed report. You can also add a weather widget to your watch. For more information, see "Widgets" on page 22. If the weather for your current location doesn't appear, check that you turned on location services for the Fitbit app. If you change locations or don't see updated data for your current location, sync your watch to see your new location and latest data in the Weather app or widget. Choose your unit of temperature in the Fitbit app. For more information, see help.fitbit.com. Add or remove a city 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps. 3. In the My Apps tab, tap the gear icon next to Weather. You may need to swipe up to find the app. 4. Tap Add city to add up to 2 additional locations or tap Edit > the X icon to delete a location. Note that you can't delete your current location. Find Phone Use the Find Phone app to locate your phone. Requirements: 36 l Your watch must be connected (“paired”) to the phone you want to locate. l Your phone must have Bluetooth turned on and be within 30 feet (10m) of your Fitbit device. l The Fitbit app must be running in the background on your phone. l Your phone must be turned on. To find your phone: l Open the Find Phone app on your watch. l Tap Find Phone. Your phone rings loudly. l When you locate your phone, tap Cancel to end the ringtone. 37 Notifications from your phone Versa 3 can show call, text, calendar, and app notifications from your phone to keep you informed. Keep your watch within 30 feet of your phone to receive notifications. Set up notifications Check that Bluetooth on your phone is on and that your phone can receive notifications (often under Settings > Notifications). Then set up notifications: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Notifications. 3. Follow the on-screen instructions to pair your watch if you haven't already. Call, text, and calendar notifications are turned on automatically. 4. To turn on notifications from apps installed on your phone, including Fitbit and WhatsApp, tap App Notifications and turn on the notifications you want to see. Note that if you have an iPhone or iPad, Versa 3 shows notifications from all calendars synced to the Calendar app. If you have an Android phone, Versa 3 shows calendar notifications from the calendar app you chose during setup. For more information, see help.fitbit.com. See incoming notifications A notification causes your watch to vibrate. If you don't read the notification when it arrives, you can check it later by swiping down from the top of the screen. 38 If your watch's battery is critically low, notifications won't cause Versa 3 to vibrate or the screen to turn on. Manage notifications Versa 3 stores up to 30 notifications, after which the oldest are replaced as you receive new ones. To manage notifications: l Swipe down from the top of the screen to see your notifications and tap any notification to expand it. l To delete a notification, tap to expand it, then swipe to the bottom and tap Clear. l To delete all notifications at once, swipe to the top of your notifications and tap Clear All. Turn off notifications Turn off certain notifications in the Fitbit app, or turn off all notifications in quick settings on Versa 3. When you turn off all notifications, your watch won't vibrate and the screen won't turn on when your phone receives a notification. To turn off certain notifications: 1. From the Today tab in the Fitbit app on your phone, tap your profile picture > Versa 3 tile > Notifications. 39 2. Turn off the notifications you no longer want to receive on your watch. To turn off all notifications: 1. From the clock face, swipe right to access quick settings. 2. Tap the do not disturb icon . All notifications, including goal celebrations and reminders, are turned off. Note that if you use the do not disturb setting on your phone, you don't receive notifications on your watch until you turn off this setting. Answer or reject phone calls If paired to an iPhone or Android (8.0+) phone, Versa 3 lets you accept or reject incoming phone calls. If your phone is running an older version of the Android OS, you can reject, but not accept, calls on your watch. To accept a call, tap the green phone icon on your watch's screen. Note that you can't speak into the watch—accepting a phone call answers the call on your nearby phone. To reject a call, tap the red phone icon to send the caller to voicemail. The caller's name appears if that person is in your contacts list; otherwise you see a phone number. 40 Respond to messages (Android phones) Respond directly to text messages and notifications from certain apps on your watch with preset quick replies or by speaking your reply into Versa 3. Keep your phone nearby with the Fitbit app running in the background to respond to messages from your watch. To respond to a message: 1. Open the notification you want to respond to. 2. Choose how to reply to the message: l Tap the microphone icon to respond to the message using voice-to- text. To change the language recognized by the microphone, tap Language. After you speak your reply, tap Send, or tap Retry to try again. If you notice a mistake after you send the message, tap Undo within 3 seconds to cancel the message. l Tap the text icon to respond to a message from a list of quick replies. l Tap the emoji icon to respond to the message with an emoji. For more information, including how to customize quick replies, see help.fitbit.com. 41 Timekeeping Alarms vibrate to wake or alert you at a time you set. Set up to 8 alarms to occur once or on multiple days of the week. You can also time events with the stopwatch or set a countdown timer. Note that alarms and timers you set with a voice assistant are separate from the ones you set in the Alarms app and Timer app. For more information, see "Voice Assistant" on page 32. Use the Alarms app Set one-time or recurring alarms with the Alarms app . When an alarm goes off, your watch vibrates. When setting an alarm, turn on Smart Wake to allow your watch to find the best time to wake you starting 30 minutes before the alarm time you set. It avoids waking you during deep sleep so you're more likely to wake up feeling refreshed. If Smart Wake can’t find the best time to wake you, your alarm alerts you at the set time. For more information, see help.fitbit.com. Dismiss or snooze an alarm When an alarm goes off, your watch vibrates. To dismiss the alarm, tap the alarm icon . To snooze the alarm for 9 minutes, tap the snooze icon . Snooze the alarm as many times as you want. Versa 3 automatically goes into snooze mode if you ignore the alarm for more than 1 minute. 42 Use the Timer app Time events with the stopwatch or set a countdown timer with the Timer app on your watch. You can run the stopwatch and countdown timer at the same time. When the screen turns off, your watch continues to display the stopwatch or countdown timer until it ends or you exit the app. For more information, see help.fitbit.com. 43 Activity and Wellness Versa 3 continuously tracks a variety of stats whenever you wear it, including hourly activity, heart rate, and sleep. Data automatically syncs with the Fitbit app throughout the day. See your stats Open the Today app or swipe up from the clock face to see your daily stats, including: Steps Steps taken today and progress toward your daily goal Heart rate Current heart rate and either your heart-rate zone or resting heart rate (if not in a zone) Calories burned Calories burned today and progress toward your daily goal Floors Floors climbed today and progress toward your daily goal Distance Distance covered today and progress toward your daily goal Active Zone Minutes Active Zone Minutes earned today and the number of Active Zone Minutes you're currently earning per minute Exercise Number of days you met your exercise goal this week Sleep Sleep duration and sleep score Hourly activity The number of hours today you met your hourly activity goal Food Calories eaten and calories remaining today Menstrual health Information on the current stage of your menstrual cycle, if applicable Water Water intake logged today and progress toward your daily goal Weight Current weight and your progress toward your weight goal Core temp Your most recent logged temperature 44 Tap a tile to view more details or log an entry (for water, weight, and core temperature). Find your complete history and other information detected by your watch in the Fitbit app. Track a daily activity goal Versa 3 tracks your progress toward a daily activity goal of your choice. When you reach your goal, your watch vibrates and shows a celebration. Choose a goal Set a goal to help you get started on your health and fitness journey. To begin, your goal is to take 10,000 steps per day. Choose to change the number of steps, or pick a different activity goal depending on your device. For more information, see help.fitbit.com. Track progress toward your goal on Versa 3. For more information, see "See your stats" on the previous page. Track your hourly activity Versa 3 helps you stay active throughout the day by keeping track of when you're stationary and reminding you to move. Reminders nudge you to walk at least 250 steps each hour. You feel a vibration and see a reminder on your screen at 10 minutes before the hour if you haven't walked 250 steps. When you meet the 250-step goal after receiving the reminder, you feel a second vibration and see a congratulatory message. 45 For more information, see help.fitbit.com. Track your sleep Wear Versa 3 to bed to automatically track basic stats about your sleep, including your time asleep, sleep stages (time spent in REM, light sleep, and deep sleep), and sleep score (the quality of your sleep). Versa 3 also tracks your estimated oxygen variation throughout the night to help you uncover potential breathing disturbances. To see your sleep stats, sync your watch when you wake up and check the Fitbit app, or swipe up from the clock face on your watch to see your sleep stats. For more information, see help.fitbit.com. Set a sleep goal To start, you have a sleep goal of 8 hours of sleep per night. Customize this goal to meet your needs. For more information, see help.fitbit.com. Learn about your sleep habits With a Fitbit Premium subscription, see more details about your sleep score and how you compare to your peers, which can help you build a better sleep routine and wake up feeling refreshed. For more information, see help.fitbit.com. 46 Practice guided breathing The Relax app on Versa 3 provides personalized guided breathing sessions to help you find moments of calm throughout the day. All notifications are automatically disabled during the session. 1. On Versa 3, open the Relax app . 2. Tap Edit to change the duration of the session or turn off the optional vibration. 3. Tap Start to begin the session. Follow the on-screen instructions. 4. When the session ends, tap Log It to reflect on how you feel, or tap Skip to skip this step. 5. View your summary, and tap Done to close the app. For more information, see help.fitbit.com. 47 Exercise and Heart Health Track activity with the Exercise app and complete guided workouts with the Fitbit Coach app right on your wrist. Check the Fitbit app to share your activity with friends and family, see how your overall fitness level compares to your peers, and more. During a workout, you can play music through the Pandora app or Deezer app on your watch, control music playing in Spotify using the Spotify - Connect & Control app , or control music playing on your phone. 1. Start music playing in an app or on your phone. 2. Open the Exercise or Coach app and start a workout. To control music playing while you exercise, double-press the button. Your shortcuts appear. 3. Tap the music controls icon . 4. To return to your workout, press the button. Note that you need to pair a Bluetooth audio device, such as headphones or a speaker, to Versa 3 to hear music stored on your watch. For more information, see "Music" on page 55. Track your exercise automatically Versa 3 automatically recognizes and records many high-movement activities which are at least 15 minutes long. See basic stats about your activity in the Fitbit app on your phone. From the Today tab , tap the Exercise tile. For more information, see help.fitbit.com. 48 Track and analyze exercise with the Exercise app Track specific exercises with the Exercise app on Versa 3 to see real-time stats, including heart-rate data, calories burned, elapsed time, and a post-workout summary on your wrist. For complete workout stats, and a workout intensity map if you used GPS, tap the Exercise tile in the Fitbit app. Track an exercise 1. On Versa 3, open the Exercise app and swipe to find an exercise. 2. Tap the exercise to choose it. If the exercise uses GPS, you can wait for the signal to connect, or start the exercise and GPS will connect when a signal is available. Note that GPS can take a few minutes to connect. 3. Tap the play icon to begin the exercise, or swipe up to choose an exercise goal or adjust the settings. For more information on the settings, see "Customize your exercise settings" on the next page. 4. Tap the large stat to scroll through your real-time stats. To pause your workout, swipe up and tap the pause icon . 5. When you're done with your workout, swipe up and tap the end icon > End. Your workout summary appears. 6. Tap Done to close the summary screen. Notes: l If you set an exercise goal, your watch alerts you when you’re halfway to your goal and when you reach the goal. l If the exercise uses GPS, "GPS connecting..." appears at the top of the screen. When the screen says "GPS connected" and Versa 3 vibrates, GPS is connected. 49 Using built-in GPS impacts your watch's battery life. When GPS tracking is turned on, Versa 3 can track up to 12 hours of continuous exercise. Customize your exercise settings Customize settings for each exercise type on your watch. Settings include: Heart Zone Notifications Receive notifications when you hit target heart-rate zones during your workout. For more information, see help.fitbit.com Laps Receive notifications when you reach certain milestones during your workout Show Stats Choose what stats you want to see when tracking an exercise GPS Track your route using GPS Auto-Pause Automatically pause a run or bike ride when you stop moving Run Detect Track runs automatically without opening the Exercise app Always-on Display Keep the screen on during exercise Pool Length Set the length of your pool Interval Adjust the move and rest intervals used during interval training 1. On Versa 3, open the Exercise app . 2. Swipe to find an exercise. 50 3. Swipe up from the bottom of the screen, then swipe up through the list of settings. 4. Tap a setting to adjust it. 5. When you're done, swipe down until you see the play icon . Check your workout summary After you complete a workout, Versa 3 shows a summary of your stats. Check the Exercise tile in the Fitbit app to see additional stats and a workout intensity map if you used GPS. Check your heart rate Versa 3 personalizes your heart-rate zones using your heart rate reserve, which is the difference between your maximum heart rate and your resting heart rate. To help you target the training intensity of your choice, check your heart rate and heart-rate zone on your watch during exercise. Versa 3 notifies you when you enter a heart-rate zone. 51 Icon Zone Calculation Description Below Zone Below 40% of your heart rate reserve Below the fat burn zone, your heart beats at a slower pace. Fat Burn Zone Between 40% and 59% of your heart rate reserve In the fat burn zone, you’re likely in a moderate activity such as a brisk walk. Your heart rate and breathing might be elevated, but you can still carry on a conversation. Cardio Zone Between 60% and 84% of your heart rate reserve In the cardio zone, you’re likely doing a vigorous activity such as running or spinning. Peak Zone Greater than 85% of your heart rate reserve In the peak zone, you’re likely doing a short, intense activity that improves performance and speed, such as sprinting or high-intensity interval training. 52 Custom heart-rate zones Instead of using these heart-rate zones, you can create a custom zone in the Fitbit app to target a specific heart-rate range. For more information, see help.fitbit.com. Earn Active Zone Minutes Earn Active Zone Minutes for time spent in the fat burn, cardio, or peak heart-rate zones. To help you maximize your time, you earn 2 Active Zone Minutes for each minute you’re in the cardio or peak zones. 1 minute in the fat burn zone = 1 Active Zone Minute 1 minute in the cardio or peak zones = 2 Active Zone Minutes A few moments after you enter a different heart-rate zone during your exercise, your watch buzzes so that you know how hard you’re working. The number of times your watch vibrates indicates which zone you’re in: 1 buzz = below zone 2 buzzes = fat burn zone 3 buzzes = cardio zone 4 buzzes = peak zone To start, your weekly goal is set to 150 Active Zone Minutes. You’ll receive notifications as you reach your goal. For more information, see help.fitbit.com. View your cardio fitness score View your overall cardiovascular fitness in the Fitbit app. See your cardio fitness score and cardio fitness level, which shows how you compare to your peers. 53 In the Fitbit app, tap the Heart-rate tile and swipe left on your heart-rate graph to see your detailed cardio fitness stats. For more information, see help.fitbit.com. Work out with Fitbit Coach The Fitbit Coach app provides guided bodyweight workouts on your wrist to help you stay fit anywhere. 1. On Versa 3, open the Fitbit Coach app . 2. Swipe to find a workout. 3. Tap the workout you want. To preview the workout, tap the menu icon . Press the button to return to the workout. 4. Tap Start. For more information, see help.fitbit.com. Share your activity After you complete a workout, open the Fitbit app to share your stats with friends and family. For more information, see help.fitbit.com. 54 Music Use apps on your watch to listen to music with Bluetooth headphones or speakers. Connect Bluetooth headphones or speakers Connect up to 8 Bluetooth audio devices to listen to music from your watch. To pair a new Bluetooth audio device: 1. Activate pairing mode on your Bluetooth headphones or speaker. 2. On Versa 3, open the Settings app > Vibration & audio. 3. In the Bluetooth section, tap Manage devices. 4. Swipe up to see the Other devices section. Versa 3 searches for nearby devices. 5. When Versa 3 finds nearby Bluetooth audio devices, it shows a list on the screen. Tap the name of the device you want to pair. When pairing is complete, a check mark appears on the screen. To listen to music with a different Bluetooth device: 1. On Versa 3, open the Settings app > Vibration & audio. 2. In the Bluetooth section, tap the device you want to use, or pair a new device. Then wait for a moment for the device to connect. For more information, see help.fitbit.com. Control music with Versa 3 Control music playing in an app on Versa 3 or on your phone. 55 Choose the music source 1. Double-press the button on Versa 3. Your shortcuts appear. 2. Tap the music controls icon . 3. The icon in the top-left corner shows whether the music source is currently set to your phone or your watch . Tap it to change the music source, then press the button to return to your music controls. Control music 1. While music is playing, double-press the button. Your shortcuts appear. 2. Tap the music controls icon . 3. Play, pause, or tap the arrow icons to skip to the next track or previous track. Tap the volume icon to adjust the volume. Control music with the Spotify - Connect & Control app Use the Spotify - Connect & Control app on Versa 3 to control Spotify on your phone, computer, or other Spotify Connect device. Navigate between playlists, like songs, and switch between devices from your watch. Note that at this time, the Spotify - Connect & Control app only controls music playing on your paired device, so your device must remain nearby and connected to the internet. You need a 56 Spotify Premium subscription to use this app. For more information about Spotify Premium, see spotify.com. For instructions, see help.fitbit.com. Listen to music with the Pandora app (United States only) With the Pandora app on Versa 3, download up to 3 of your most-played Pandora stations or popular curated Workout stations directly to your watch. Note that you need a paid subscription to Pandora and a Wi-Fi connection to download stations. For more information about Pandora subscriptions, see help.pandora.com. For instructions, see help.fitbit.com. Listen to music with the Deezer app With the Deezer app on Versa 3, download your Deezer playlists and Flow directly to your watch. Note that you need a paid subscription to Deezer and a Wi- Fi connection to download music. For more information about Deezer subscriptions, see support.deezer.com. For instructions, see help.fitbit.com. 57 Fitbit Pay Versa 3 includes a built-in NFC chip, which lets you use your credit and debit cards on your watch. Use credit and debit cards Set up Fitbit Pay in the Wallet section of the Fitbit app, and use your watch to make purchases in stores that accept contactless payments. We’re always adding new locations and card issuers to our list of partners. To see if your payment card works with Fitbit Pay, see fitbit.com/fitbit-pay/banks. Set up Fitbit Pay To use Fitbit Pay, add at least 1 credit or debit card from a participating bank to the Wallet section of the Fitbit app. The Wallet is where you add and remove payment cards, set a default card for your watch, edit a payment method, and review recent purchases. 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap the Wallet tile. 3. Follow the on-screen instructions to add a payment card. In some cases, your bank might require additional verification. If you're adding a card for the first time, you might be prompted to set a 4-digit PIN code for your watch. Note that you also need passcode protection enabled for your phone. 4. After you add a card, follow the on-screen instructions to turn on notifications for your phone (if you haven't already done so) to complete the setup. You can add up to 6 payment cards to the Wallet and choose which card to set as the default payment option. 58 Make purchases Make purchases using Fitbit Pay at any store that accepts contactless payments. To determine if the store accepts Fitbit Pay, look for the symbol below on the payment terminal: 1. Open the Wallet app on your watch. 2. If prompted, enter your 4-digit watch PIN code. Your default card appears on the screen. 3. To pay with your default card, hold your wrist near the payment terminal. To pay with a different card, swipe to find the card you want to use, and hold your wrist near the payment terminal. 59 When the payment succeeds, your watch vibrates and you see a confirmation on the screen. If the payment terminal doesn't recognize Fitbit Pay, make sure the watch face is near the reader and that the cashier knows you're using a contactless payment. For added security, you must wear Versa 3 on your wrist to use Fitbit Pay. For more information, see help.fitbit.com. Change your default card 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap the Wallet tile. 3. Find the card you want to set as the default option. 4. Tap Set as Default on Versa 3. Pay for transit Use Fitbit Pay to tap on and off at transit readers that accept contactless credit or debit card payments. To pay with your watch, follow the steps listed in "Use credit and debit cards" on page 58. 60 Pay with the same card on your Fitbit watch when you tap the transit reader at the start and end of your trip. Make sure your device is charged before beginning your trip. 61 Update, Restart, and Erase Some troubleshooting steps may require you to restart your watch, while erasing it is useful if you want to give Versa 3 to another person. Update your watch to receive new Fitbit OS updates. Update Versa 3 Update your watch to get the latest feature enhancements and product updates. When an update is available, a notification appears in the Fitbit app. After you start the update, follow the progress bars on Versa 3 and in the Fitbit app until the update is complete. Keep your watch and phone close to each other during the update. Updating Versa 3 takes several minutes and may be demanding on the battery. We recommend plugging your watch into the charger before starting the update. For more information, see help.fitbit.com. Restart Versa 3 If you can’t sync Versa 3 or you have trouble with tracking your stats or receiving notifications, restart your watch from your wrist: To restart your watch, press and hold the button for 10 seconds until you see the Fitbit logo on the screen, and then release the button. Restarting your watch reboots the device but doesn't delete any data. Versa 3 has small holes on the device for the altimeter, speaker, and microphone. Don’t attempt to restart your device by inserting any items, such as paper clips, into these holes as you can damage Versa 3. 62 Shutdown Versa 3 To turn off your watch, open the Settings app > Shut down. To turn on your watch, press the button. For information about how to store Versa 3 long term, see help.fitbit.com. Erase Versa 3 If you want to give Versa 3 to another person or wish to return it, first clear your personal data: On Versa 3, open the Settings app > About Versa 3 > Factory reset. 63 Troubleshooting If Versa 3 isn't working properly, see our troubleshooting steps below. Visit help.fitbit.com for more information. Heart-rate signal missing Versa 3 continuously tracks your heart rate while you're exercising and throughout the day. If the heart-rate sensor on your watch has difficulty detecting a signal, dashed lines appear. If your watch doesn't detect a heart-rate signal, make sure you're wearing your watch correctly, either by moving it higher or lower on your wrist or by tightening or loosening the band. Versa 3 should be in contact with your skin. After holding your arm still and straight for a short time, you should see your heart rate again. For more information, see help.fitbit.com. GPS signal missing Environmental factors including tall buildings, dense forest, steep hills, and thick cloud cover can interfere with your watch's ability to connect to GPS satellites. If your watch is searching for a GPS signal during an exercise, you’ll see “ GPS connecting ” appear at the top of the screen. If Versa 3 can't connect to a 64 GPS satellite, the watch stops trying to connect until the next time you start a GPS exercise. For best results, wait for Versa 3 to find the signal before you start your workout. If Versa 3 loses the GPS signal during your workout, "GPS lost signal" appears at the top of the screen. Your watch will attempt to reconnect. For more information, see help.fitbit.com. Can't connect to Wi-Fi If Versa 3 can't connect to Wi-Fi, you might have entered an incorrect password, or the password might have changed: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Wi-Fi Settings > Next. 3. Tap the network you want to use > Remove. 65 4. Tap Add Network and follow the on-screen instructions to reconnect the Wi- Fi network. To check if your Wi-Fi network is working correctly, connect another device to your network; if it connects successfully, try again to connect your watch. If Versa 3 still won't connect to Wi-Fi, make sure that you're attempting to connect your watch to a compatible network. For best results, use your home Wi-Fi network. Versa 3 can't connect to 5GHz Wi-Fi, WPA enterprise, or public networks that require logins, subscriptions, or profiles. For a list of compatible network types, see "Connect to Wi-Fi" on page 9. After you verify the network is compatible, restart your watch and try connecting to Wi-Fi again. If you see other networks appear in the list of available networks, but not your preferred network, move your watch closer to your router. For more information, see help.fitbit.com. Other issues If you experience any of the following issues, restart your watch: l Won't sync l Won't respond to taps, swipes, or button press l Won't track steps or other data l Won't show notifications For instructions, see "Restart Versa 3" on page 62. For more information, see help.fitbit.com. 66 General Info and Specifications Sensors and Components Fitbit Versa 3 contains the following sensors and motors: l 3-axis accelerometer, which tracks motion patterns l Altimeter, which tracks altitude changes l Built-in GPS receiver + GLONASS, which tracks your location during a workout l Optical heart-rate tracker l Device temperature sensor (skin temperature variation available through Premium only) l Ambient light sensor l Microphone l Speaker l Vibration motor Materials The band that comes with Versa 3 is made of a flexible, durable elastomer material similar to that used in many sports watches. The housing and buckle on Versa 3 are made of anodized aluminum. While anodized aluminum can contain traces of nickel, which can cause an allergic reaction in someone with nickel sensitivity, the amount of nickel in all Fitbit products meets the European Union's stringent Nickel Directive. Our products may contain trace amounts of acrylates and methacrylates from adhesives used in those products but we work to ensure our products adhere to rigorous design specifications and meet extensive test requirements so as to minimum the potential for reaction to these adhesives. 67 Wireless technology Versa 3 contains a Bluetooth 5.0 radio transceiver, Wi-Fi chip, and NFC chip. Haptic feedback Versa 3 contains a vibration motor for alarms, goals, notifications, reminders, and apps. Battery Versa 3 contains a rechargeable lithium-polymer battery. Memory Versa 3 stores your data, including daily stats, sleep information, and exercise history, for 7 days. See your historical data in the Fitbit app. Display Versa 3 has a color AMOLED display. Band size Band sizes are shown below. Note that accessory bands sold separately may vary slightly. Small band Fits a wrist between 5.5 - 7.1 inches (140 mm - 180 mm) in circumference Large band Fits a wrist between 7.1 - 8.7 inches (180 mm - 220 mm) in circumference 68 Environmental conditions Operating temperature 14° to 113° F (-10° to 45° C) Non-operating temperature -4° to 14° F (-20° to -10° C) 113° to 140°F (45° to 60° C) Charging temperature 32° to 95° F (0° to 35° C) Water resistance Water resistant up to 50 meters Maximum operating altitude 28,000 feet (8,534 m) Learn more To learn more about your watch, how to track your progress in the Fitbit app, and how to build healthy habits with Fitbit Premium, visit help.fitbit.com. Return policy and warranty Find warranty information and the fitbit.com return policy on our website. 69 Regulatory and Safety Notices Notice to the User: Regulatory content for certain regions can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info USA: Federal Communications Commission (FCC) statement Model FB511 FCC ID: XRAFB511 Notice to the User: The FCC ID can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Supplier's Declaration of Conformity Unique Identifier: FB511 Responsible Party – U.S. Contact Information 199 Fremont Street, 14th Floor San Francisco, CA 94105 United States 877-623-4997 FCC Compliance Statement (for products subject to Part 15) This device complies with Part 15 of the FCC Rules. Operation is subject to the following two conditions: 70 1. This device may not cause harmful interference and 2. This device must accept any interference, including interference that may cause undesired operation of the device. FCC Warning Changes or modifications not expressly approved by the party responsible for compliance could void the user’s authority to operate the equipment. Note: This equipment has been tested and found to comply with the limits for a Class B digital device, pursuant to part 15 of the FCC Rules. These limits are designed to provide reasonable protection against harmful interference in a residential installation. This equipment generates, uses and can radiate radio frequency energy and, if not installed and used in accordance with the instructions, may cause harmful interference to radio communications. However, there is no guarantee that interference will not occur in a particular installation. If this equipment does cause harmful interference to radio or television reception, which can be determined by turning the equipment off and on, the user is encouraged to try to correct the interference by one or more of the following measures: l Reorient or relocate the receiving antenna. l Increase the separation between the equipment and receiver. l Connect the equipment into an outlet on a circuit different from that to which the receiver is connected. l Consult the dealer or an experienced radio/TV technician for help. This device meets the FCC and IC requirements for RF exposure in public or uncontrolled environments. Canada: Industry Canada (IC) statement Model/Modèle FB511 IC: 8542A-FB511 Notice to the User: The IC ID can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 71 Avis à l'utilisateur: L'ID de l'IC peut également être consulté sur votre appareil. Pour voir le contenu: Paramètres > À propos de Versa 3 > Mentions légales This device meets the IC requirements for RF exposure in public or uncontrolled environments. Cet appareil est conforme aux conditions de la IC en matière de RF dans des environnements publics ou incontrôlée IC Notice to Users English/French in accordance with current issue of RSS GEN: This device complies with Industry Canada license exempt RSS standard(s). Operation is subject to the following two conditions: 1. this device may not cause interference, and 2. this device must accept any interference, including interference that may cause undesired operation of the device. Cet appareil est conforme avec Industrie Canada RSS standard exempts de licence (s). Son utilisation est soumise à Les deux conditions suivantes: 1. cet appareil ne peut pas provoquer d’interférences et 2. cet appareil doit accepter Toute interférence, y compris les interférences qui peuvent causer un mauvais fonctionnement du dispositif European Union (EU) Simplified EU Declaration of Conformity Hereby, Fitbit, Inc. declares that the radio equipment type Model FB511 is in compliance with Directive 2014/53/EU. The full text of the EU declaration of conformity is available at the following internet address: www.fitbit.com/safety Vereinfachte EU-Konformitätserklärung 72 Fitbit, Inc. erklärt hiermit, dass die Funkgerättypen Modell FB511 die Richtlinie 2014/53/EU erfüllen. Der vollständige Wortlaut der EU-Konformitätserklärungen kann unter folgender Internetadresse abgerufen werden: www.fitbit.com/safety Declaración UE de Conformidad simplificada Por la presente, Fitbit, Inc. declara que el tipo de dispositivo de radio Modelo FB511 cumple con la Directiva 2014/53/UE. El texto completo de la declaración de conformidad de la UE está disponible en la siguiente dirección de Internet: www.fitbit.com/safety Déclaration UE de conformité simplifiée Fitbit, Inc. déclare par la présente que les modèles d’appareils radio FB511 sont conformes à la Directive 2014/53/UE. Les déclarations UE de conformité sont disponibles dans leur intégralité sur le site suivant : www.fitbit.com/safety Dichiarazione di conformità UE semplificata Fitbit, Inc. dichiara che il tipo di apparecchiatura radio Modello FB511 è conforme alla Direttiva 2014/53/UE. Il testo completo della dichiarazione di conformità UE è disponibile al seguente indirizzo Internet: www.fitbit.com/safety IP Rating Model FB511 has a water resistance rating of IPX8 under IEC standard 60529, up to a depth of 50 meters. Model FB511 has a dust ingress rating of IP6X under IEC standard 60529 which indicates the device is dust-tight. Please refer to the beginning of this section for instructions on how to access your product’s IP rating. 73 Argentina C-25002 Australia and New Zealand Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Belarus Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 74 Botswana Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory Info China Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory Info 75 China RoHS 部件名称 Part Name 有毒和危险品 Toxic and Hazardous Substances or Elements Model FB511 铅 (Pb) 水银 (Hg) 镉 (Cd) 六价铬 (Cr(VI)) 多溴化苯 (PBB) 多溴化二苯 醚 (PBDE) 表带和表扣 (Strap and Buckle) O O O O O O 电子 (Electronics) -- O O O O O 电池 (Battery) O O O O O O 充电线 (Charging Cable) O O O O O O 本表格依据 SJ/T 11364 的规定编制 O = 表示该有害物质在该部件所有均质材料中的含量均在 GB/T 26572规定的限量要求以下 (indicates that the content of the toxic and hazardous substance in all the Homogeneous Materials of the part is below the concentration limit requirement as described in GB/T 26572). X = 表示该有害物质至少在该部件的某一均质材料中的含量超出 GB/T 26572规定的限量要 求 (indicates that the content of the toxic and hazardous substance in at least one Homogeneous Material of the part exceeds the concentration limit requirement as described in GB/T 26572). CMIIT ID 2020DJ7882 76 Frequency band: 2400-2483.5 MHz NFC: 13.56MHz Transmitted power: Max EIRP, 14.4dBm Occupied bandwidth: BLE: BLE: 2MHz, BT: 1MHz, NFC: 2.3 kHz, WiFi: 20MHz Modulation system: BLE: GFSK, BT: GFSK (BDR), n/4-DQPSK (EDR), 8PSK (EDR), NFC: ASK, WiFi: DSSS, OFDM CMIIT ID displayed: On packaging Customs Union Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Indonesia 69814/SDPPI/2020 3788 Israel מספראישוראלחוטישלמשרדהתקשורתהוא.74746-51 אסורלהחליףאתהאנטנההמקוריתשלהמכשירולאלעשותבוכלשינויטכניאחר Japan Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 77 201-200606 Kingdom of Saudi Arabia Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Mexico Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info La operación de este equipo está sujeta a las siguientes dos condiciones: 1. Es posible que este equipo o dispositivo no cause interferencia perjudicial y 2. Este equipo o dispositivo debe aceptar cualquier interferencia, incluyendo la que pueda causar su operación no deseada Moldova Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 78 Morocco AGREE PAR L’ANRT MAROC Numéro d’agrément: MR00025102ANRT2020 Date d’agrément: 02/08/2020 Nigeria Connection and use of this communications equipment is permitted by the Nigerian Communications Commission. Oman TRA/TA-R/9745/20 D090258 Pakistan PTA Approved Model No.: FB511 TAC No.: 9.687/2020 Device Type: Smart Watch 79 Philippines Type Accepted No: ESD-RCE-2023407 Serbia Singapore Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info South Korea Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 80 본 제품의 전자파흡수율은 과학기술정보통신부의「전자파 인체보호기준」을 만족합니 다. 본 제품은 국립전파연구원의「전자파흡수율 측정기준」에 따라 최대출력 조건에서 머리 에 근접하여 시험되었으며, 최대 전자파흡수율 측정값은 다음과같습니다. 모델명 (Model) 머리 전자파흡수율 (Head SAR) FB511 0.089 W/kg 클래스 B 장치 (가정 사용을위한 방송 통신 기기) : EMC 등록 주로 가정용 (B 급)으로하고, 모 든 지역에서 사용할 수 있습니다 얻을이 장치. Translation: Class B devices (broadcast communications equipment for home use): EMC registration is mainly for household use (B class) and can be used in all areas get this device. 81 Taiwan 用戶注意：某些地區的法規內容也可以在您的設備上查看。要查看內容： 設定 > 關於 Versa 3 > 法規資訊 Translation: Notice to the User: Regulatory content can also be viewed on your device. Instructions to view content from your menu: Settings > About Versa 3 > Regulatory info 低功率警語: l 取得審驗證明之低功率射頻器材，非經核准，公司、商號或使用者均不得擅自變更 頻率、加大功率或變更原設計之特性及功能。 l 低功率射頻器材之使用不得影響飛航安全及干擾合法通信；經發現有干擾現象時， 應立即停用，並改善至無干擾時方得繼續使用。前述合法通信，指依電信管理法規 定作業之無線電通信。低功率射頻器材須忍受合法通信或工業、科學及醫療用電波 輻射性電機設備之干擾。 Translation: Warning Statement for Low Power Radios: l Without permission granted by the NCC, no company, enterprise, or user is allowed to change the frequency of an approved low power radio-frequency device, enhance its transmitting power or alter original characteristics or performance. l The use of low power RF devices must not affect flight safety or interfere with legal communications: when interference is found, it should be immediately stopped and ameliorated not to interfere before continuing to use it. The legal communications mentioned here refer to radio communications operating in accordance with the provisions of the Telecommunication Law. Low power RF devices need to bear with interference from legal communications or industrial, scientific and medical radio wave radiating equipment 電池警語： 82 此裝置使用鋰電池。 若未遵照下列準則，則裝置內的鋰離子電池壽命可能會縮短或有損壞裝置、發生火災、化學 品灼傷、電解液洩漏及／或受傷的風險。 l 請勿拆解、鑿孔或損壞裝置或電池。 l 請勿取出或嘗試取出使用者不可自行更換的電池。 l 請勿將電池曝露於火焰、爆炸或其他危險中。 l 請勿使用尖銳物品取出電池。 Translation: Battery warning: This device uses a lithium-ion battery. If the following guidelines are not followed, the life of the lithium-ion battery in the device may be shortened or there is a risk of damage to the device, fire, chemical burn, electrolyte leakage and / or injury.. l Do not disassemble, puncture or damage the device or battery. l Do not remove or try to remove the battery that the user cannot replace. l Do not expose the battery to flames, explosions or other hazards. l Do not use sharp objects to remove the battery. Vision Warning 使用過度恐傷害視力 警語 • 使用過度恐傷害視力 注意事項 • 使用30分鐘請休息10分鐘。未滿2歲幼兒不看螢幕，2歲以上每天看螢幕不要超過1 小時 Translation: Excessive use may damage vision 83 Warning: l Excessive use may damage vision Attention: l Rest for 10 minutes after every 30 minutes. l Children under 2 years old should stay away from this product. Children 2 years old or more should not see the screen for more than 1 hour a day. Taiwan RoHS United Arab Emirates Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 84 TRA – United Arab Emirates Dealer ID: DA35294/14 TA RTTE: ER88790/ 20 Model: FB511 Type: Smartwatch Vietnam Zambia ZMB / ZICTA / TA / 2020 / 9 / 78 Safety Statement This equipment has been tested to comply with safety certification in accordance with the specifications of EN Standard: EN60950-1:2006 + A11:2009 + A1:2010 + A12:2011 + A2:2013 & EN62368-1:2014 + A11:2017. 85 ©2020 Fitbit, Inc. All rights reserved. Fitbit and the Fitbit logo are trademarks or registered trademarks of Fitbit in the US and other countries. A more complete list of Fitbit trademarks can be found at http://www.fitbit.com/legal/trademark-list. Third-party trademarks mentioned are the property of their respective owners.

Only provide the opinions that were given in the context document. If you cannot answer a question using the provided context alone, then say "I'm sorry, but I do not have the context to answer this question." Based on the document provided, how does the user make the shortcuts menu appear while playing music? User Manual Version 1.1 Table of Contents Get started 7 What's in the box 7 Charge your watch 8 Set up Versa 3 9 Connect to Wi-Fi 9 See your data in the Fitbit app 10 Unlock Fitbit Premium 11 Advanced health metrics 11 Premium health and wellness reminders 12 Wear Versa 3 13 Placement for all-day wear vs. exercise 13 Fasten the band 14 Handedness 15 Wear and care tips 16 Change the band 16 Remove a band 16 Attach a band 17 Basics 18 Navigate Versa 3 18 Basic navigation 18 Button shortcuts 19 Widgets 22 Adjust settings 23 Display 24 Vibration & audio 24 Goal reminders 24 Quiet modes 24 Shortcuts 25 Check battery level 25 Set up device lock 26 2 Adjust always-on display 26 Turn off the screen 28 Care for Versa 3 28 Apps and Clock Faces 29 Change the clock face 29 Open apps 30 Organize apps 30 Download additional apps 30 Remove apps 30 Update apps 31 Adjust app settings and permissions 31 Voice Assistant 32 Set up Amazon Alexa Built-in 32 Interact with Alexa 32 Check Alexa alarms, reminders, and timers 34 Lifestyle 35 Starbucks 35 Agenda 35 Weather 35 Check the weather 36 Add or remove a city 36 Find Phone 36 Notifications from your phone 38 Set up notifications 38 See incoming notifications 38 Manage notifications 39 Turn off notifications 39 Answer or reject phone calls 40 Respond to messages (Android phones) 41 Timekeeping 42 Use the Alarms app 42 Dismiss or snooze an alarm 42 3 Use the Timer app 43 Activity and Wellness 44 See your stats 44 Track a daily activity goal 45 Choose a goal 45 Track your hourly activity 45 Track your sleep 46 Set a sleep goal 46 Learn about your sleep habits 46 Practice guided breathing 47 Exercise and Heart Health 48 Track your exercise automatically 48 Track and analyze exercise with the Exercise app 49 Track an exercise 49 Customize your exercise settings 50 Check your workout summary 51 Check your heart rate 51 Custom heart-rate zones 53 Earn Active Zone Minutes 53 View your cardio fitness score 53 Work out with Fitbit Coach 54 Share your activity 54 Music 55 Connect Bluetooth headphones or speakers 55 Control music with Versa 3 55 Choose the music source 56 Control music 56 Control music with the Spotify - Connect & Control app 56 Listen to music with the Pandora app (United States only) 57 Listen to music with the Deezer app 57 Fitbit Pay 58 Use credit and debit cards 58 4 Set up Fitbit Pay 58 Make purchases 59 Change your default card 60 Pay for transit 60 Update, Restart, and Erase 62 Update Versa 3 62 Restart Versa 3 62 Shutdown Versa 3 63 Erase Versa 3 63 Troubleshooting 64 Heart-rate signal missing 64 GPS signal missing 64 Can't connect to Wi-Fi 65 Other issues 66 General Info and Specifications 67 Sensors and Components 67 Materials 67 Wireless technology 68 Haptic feedback 68 Battery 68 Memory 68 Display 68 Band size 68 Environmental conditions 69 Learn more 69 Return policy and warranty 69 Regulatory and Safety Notices 70 USA: Federal Communications Commission (FCC) statement 70 Canada: Industry Canada (IC) statement 71 European Union (EU) 72 IP Rating 73 Argentina 74 5 Australia and New Zealand 74 Belarus 74 Botswana 75 China 75 Customs Union 77 Indonesia 77 Israel 77 Japan 77 Kingdom of Saudi Arabia 78 Mexico 78 Moldova 78 Morocco 79 Nigeria 79 Oman 79 Pakistan 79 Philippines 80 Serbia 80 Singapore 80 South Korea 80 Taiwan 82 United Arab Emirates 84 Vietnam 85 Zambia 85 Safety Statement 85 6 Get started Meet Fitbit Versa 3, the health and fitness smartwatch with built-in GPS, Active Zone Minutes, 20+ exercise modes, and music experiences to keep you motivated to move. Take a moment to review our complete safety information at fitbit.com/safety. Versa 3 is not intended to provide medical or scientific data. What's in the box Your Versa 3 box includes: Watch with small band (color and material varies) Charging cable Additional large band The detachable bands on Versa 3 come in a variety of colors and materials, sold separately. 7 Charge your watch A fully-charged Versa 3 has a battery life of 6+ days. Battery life and charge cycles vary with use and other factors; actual results will vary. To charge Versa 3: 1. Plug the charging cable into the USB port on your computer, a UL-certified USB wall charger, or another low-energy charging device. 2. Hold the other end of the charging cable near the port on the back of the watch until it attaches magnetically. Make sure the pins on the charging cable align with the port on the back of your watch. Charge Versa 3 for 12 minutes for 24 hours of battery life. While the watch charges, tap the screen twice or press the button to turn the screen on. The battery level appears for several seconds, then disappears so you can use your watch while it charges. Charging fully takes about 1-2 hours. 8 Set up Versa 3 Set up Versa 3 with the Fitbit app for iPhones and iPads or Android phones. The Fitbit app is compatible with most popular phones and tablets. See fitbit.com/devices to check if your phone or tablet is compatible. To get started: 1. Download the Fitbit app: l Apple App Store for iPhones and iPads l Google Play Store for Android phones 2. Install the app, and open it. l If you already have a Fitbit account, log in to your account > tap the Today tab > your profile picture > Set Up a Device. l If you don't have a Fitbit account, tap Join Fitbit to be guided through a series of questions to create a Fitbit account. 3. Continue to follow the on-screen instructions to connect Versa 3 to your account. When you're done with setup, read through the guide to learn more about your new watch and then explore the Fitbit app. For more information, see help.fitbit.com. Connect to Wi-Fi During setup, you're prompted to connect Versa 3 to your Wi-Fi network. Versa 3 uses Wi-Fi to more quickly transfer music from Pandora or Deezer, download apps 9 from the Fitbit App Gallery, and for faster, more reliable OS updates. Versa 3 can connect to open, WEP, WPA personal, and WPA2 personal Wi-Fi networks. Your watch won't connect to 5GHz, WPA enterprise, or public Wi-Fi networks that require more than a password to connect—for example, logins, subscriptions, or profiles. If you see fields for a username or domain when connecting to the Wi-Fi network on a computer, the network isn't supported. For best results, connect Versa 3 to your home Wi-Fi network. Make sure you know the network password before connecting. For more information, see help.fitbit.com. See your data in the Fitbit app Open the Fitbit app on your phone or tablet to view your activity and sleep data, log food and water, participate in challenges, and more. 10 Unlock Fitbit Premium Fitbit Premium helps you build healthy habits by offering tailored workouts, insights into how your behavior impacts your health, and personalized plans to help you reach your goals. A Fitbit Premium subscription includes health insights and guidance, advanced health metrics, sleep details, customized programs, and 150+ workouts from fitness brands. New Fitbit Premium customers can redeem a free trial. For more information, see help.fitbit.com. Advanced health metrics Know your body better with health metrics in the Fitbit app. This feature helps you view key metrics tracked by your Fitbit device over time so that you can see trends and assess what’s changed. Metrics include: l Oxygen saturation (SpO2) l Skin temperature variation l Heart rate variability l Resting heart rate l Breathing rate Note: This feature is not intended to diagnose or treat any medical condition and should not be relied on for any medical purposes. It is intended to provide information that can help you manage your well-being. If you have any concerns about your health, please talk to a healthcare provider. If you believe you are experiencing a medical emergency, call emergency services. For more information, see help.fitbit.com. 11 Premium health and wellness reminders Set up Premium health and wellness reminders in the Fitbit app, and receive reminders on your watch that encourage you to form and maintain healthy behaviors. For more information, see help.fitbit.com. 12 Wear Versa 3 Wear Versa 3 around your wrist. If you need to attach a different size band, or if you purchased another band, see the instructions in "Change the band" on page 16. Placement for all-day wear vs. exercise When you're not exercising, wear Versa 3 a finger's width above your wrist bone. In general, it's always important to give your wrist a break on a regular basis by removing your watch for around an hour after extended wear. We recommend removing your watch while you shower. Although you can shower while wearing your watch, not doing so reduces the potential for exposure to soaps, shampoos, and conditioners, which can cause long-term damage to your watch and may cause skin irritation. For optimized heart-rate tracking while exercising: l During workouts, try moving the band higher on your wrist to get a better fit. If you experience any discomfort, loosen the band, and if it persists give your wrist a break by taking it off. 13 l Wear your watch on top of your wrist, and make sure the back of the device is in contact with your skin. Fasten the band 1. Place Versa 3 around your wrist. 2. Slide the bottom band through the first loop in the top band. 14 3. Tighten the band until it fits comfortably, and press the peg through one of the holes in the band. 4. Slide the loose end of the band through the second loop until it lies flat on your wrist. Make sure the band isn’t too tight. Wear the band loosely enough that it can move back and forth on your wrist. Handedness For greater accuracy, you must specify whether you wear Versa 3 on your dominant or non-dominant hand. Your dominant hand is the one you use for writing and eating. To start, the Wrist setting is set to non-dominant. If you wear Versa 3 on your dominant hand, change the Wrist setting in the Fitbit app: From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile > Wrist > Dominant. 15 Wear and care tips l Clean your band and wrist regularly with a soap-free cleanser. l If your watch gets wet, remove and dry it completely after your activity. l Take your watch off from time to time. l If you notice skin irritation, remove your watch and contact customer support. For more information, see fitbit.com/productcare. Change the band Versa 3 comes with a small band attached and an additional large, bottom band in the box. Both the top and bottom bands can be swapped with accessory bands, sold separately on fitbit.com. For band measurements, see "Band size" on page 68. Fitbit Sense bands are compatible with Versa 3. Remove a band 1. Turn over Versa 3 and find the band latches. 2. To release the latch, slide the flat button toward the band. 16 3. Gently pull the band away from the watch to release it. 4. Repeat on the other side. Attach a band To attach a band, press it into the end of the watch until you hear a click and it snaps into place. The band with the loops and peg attaches to the top of the watch. 17 Basics Learn how to manage settings, set a personal PIN code, navigate the screen, and care for your watch. Navigate Versa 3 Versa 3 has a color AMOLED touchscreen display and 1 button. Navigate Versa 3 by tapping the screen, swiping side to side and up and down, or pressing the button. To preserve battery, the watch’s screen turns off when not in use, unless you turn on the always-on display setting. For more information, see "Adjust always-on display" on page 26. Basic navigation The home screen is the clock. l Swipe down to see notifications. l Swipe up to see widgets, such as your daily stats, the weather, and a shortcut to start the Relax app. l Swipe left to see the apps on your watch. l Swipe right to open quick settings or return to the previous screen in an app. l Press the button to return to the clock face. 18 Button shortcuts Use the button to quickly access Fitbit Pay, voice assistant, quick settings, or your favorite apps. Press and hold the button Hold the button for 2 seconds to activate a feature of your choice. The first time you use the button shortcut, select which feature it activates. To change which feature activates when you hold the button, open the Settings app on your watch and tap Shortcuts. Tap Press & hold, and select the app you want. 19 Double-press the button Double-press the button to open shortcuts to 4 apps or features. To start, the 4 shortcuts are music controls , quick settings , your voice assistant, and Fitbit Pay . To change these shortcuts, open the Settings app on your watch and tap Shortcuts. Under Double Press, tap the shortcut you want to change. Quick settings Swipe right from the clock face on your watch to access quick settings. 20 Do Not Disturb When the do not disturb setting is on: l Notifications, goal celebrations, and reminders are muted. l The do not disturb icon illuminates in quick settings. You can't turn on do not disturb and sleep mode at the same time. Sleep Mode When the sleep mode setting is on: l Notifications, goal celebrations, and reminders are muted. l The screen's brightness is set to dim. l The Always-On Display clock face is turned off. l The screen stays dark when you turn your wrist. l The sleep mode icon illuminates in quick settings. Sleep mode turns off automatically when you set a sleep schedule. To set a schedule: 1. Open the Settings app and tap Quiet modes. 2. Under Sleep mode, tap Schedule mode > Off- hours. 3. Tap the start or stop time to adjust when the mode turns on and off. Swipe up or down to change the time, and tap the time to select it. Sleep mode automatically turns off at the time you schedule, even if you manually turned it on. You can't turn on do not disturb and sleep mode at the same time. Screen Wake When you set screen wake to automatic , the screen turns on each time you turn your wrist. 21 When you set screen wake to manual, press the button or tap the screen to turn on the display. Brightness Adjust the screen brightness. Always-On Display Turn always-on display on or off. For more information, see "Adjust always-on display" on page 26. Music Volume Adjust the volume of music playing through headphones or speakers paired to your watch. For more information, see "Connect Bluetooth headphones or speakers" on page 55. Widgets Add widgets to your watch to see your daily stats, log your water intake or weight, check the weather forecast, and start a session in the Relax app, and more. To see your widgets, swipe up from the clock face. To add a new widget: 22 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Under More Widgets, tap the icon next to the widget you want to add. 3. Swipe up to the bottom of the page, and tap Done. To turn off a widget: 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Tap the > icon next to the widget you want to adjust. 3. Tap the switch icon next to Show Widget to turn it off. 4. Swipe up to the bottom of the page, and tap Done. To adjust the information you see on a widget: 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Tap the > icon next to the widget you want to adjust. 3. Adjust any settings you want to change. 4. Swipe up to the bottom of the page, and tap Done. To change the order of widgets: 1. From the clock face, swipe up to the bottom of the widgets, and tap Manage. 2. Press and hold the widget you want to move, and drag it up or down in the list of widgets. When it's in the correct new location, lift your finger. 3. Swipe up to the bottom of the page, and tap Done. Adjust settings Manage basic settings in the Settings app : 23 Display Brightness Change the screen's brightness. Screen wake Change whether the screen turns on when you turn your wrist. Screen timeout Adjust the amount of time before the screen turns off or switches to the always-on display clock face. Always-on display Turn always-on display on or off, and change the type of clock face shown. Vibration & audio Vibration Adjust your watch's vibration strength. Microphone Choose whether your watch can access the microphone. Bluetooth Manage connected Bluetooth devices. Goal reminders Active Zone Minutes goal Turn Active Zone Minutes weekly goal notifications on or off. Quiet modes Focus mode Turn off notifications while using the Exercise app . Do not disturb Turn off all notifications. Sleep mode Adjust sleep mode settings, including setting a schedule for the mode to automatically turn on and off. Alexa notifications Turn Amazon Alexa notifications off. 24 Shortcuts Press & hold Choose the app or feature you want to open when you press and hold the button. Double Press Choose 4 apps or features to appear as shortcuts when you double-press the button. Tap a setting to adjust it. Swipe up to see the full list of settings. Check battery level From the clock face, swipe right. The battery level icon is at the top of the screen. Wi-Fi won't work on Versa 3 when the battery is 25% or less, and you'll be unable to update your device. If your watch's battery is low (fewer than 24 hours remaining), a red battery indicator appears on the clock face. If your watch's battery is critically low (fewer than 4 hours remaining), the battery indicator flashes. When the battery is low: l The screen brightness is set to dim l The vibration strength is set to light l If you’re tracking an exercise with GPS, GPS tracking turns off l Always-on display is turned off l You can't use the voice assistant feature l You can't use quick replies 25 l You can't use music controls l You won't receive notifications from your phone Charge Versa 3 to use or adjust these features. Set up device lock To help keep your watch secure, turn on device lock in the Fitbit app, which prompts you to enter a personal 4-digit PIN code to unlock your watch. If you set up Fitbit Pay to make contactless payments from your watch, device lock is turned on automatically and you're required to set a code. If you don't use Fitbit Pay, device lock is optional. Turn on device lock or reset your PIN code in the Fitbit app: From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile > Device Lock. For more information, see help.fitbit.com. Adjust always-on display Turn on always-on display to show the time on your watch, even when you're not interacting with the screen. Many clock faces and certain apps have an always-on display mode. 26 To turn always-on display on or off, swipe right from the clock face to open quick settings. Tap the always-on display icon . Note that turning on this feature impacts your watch's battery life. When always-on display is turned on, Versa 3 requires more frequent charging. Clock faces without an always-on display mode use a default always-on display clock face. Choose between an analog or digital clock face. Open the Settings app > Display. In the Always-on display section, tap Analog or Digital. Always-on display automatically turns off when your watch's battery is critically low. For more information, see help.fitbit.com. 27 Turn off the screen To turn off your watch's screen when not in use, briefly cover the watch face with your opposite hand, press the buttons, or turn your wrist away from your body. Note that if you turn on the always-on display setting, the screen won't turn off. Care for Versa 3 It's important to clean and dry Versa 3 regularly. For more information, see fitbit.com/productcare. 28 Apps and Clock Faces The Fitbit Gallery offers apps and clock faces to personalize your watch and meet a variety of health, fitness, timekeeping, and everyday needs. Change the clock face The Fitbit Clock Gallery offers a variety of clock faces to personalize your watch. 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Clock Faces > All Clocks. 3. Browse the available clock faces. Tap a clock face to see a detailed view. 4. Tap Select to add the clock face to Versa 3. Save up to 5 clock faces to switch between them: l When you select a new clock face, it’s automatically saved unless you already have 5 saved clock faces. l To see your saved clock faces from your watch, open the Clocks app and swipe to find the clock face you want to use. Tap to select it. l To see your saved clock faces in the Fitbit app, tap the Today tab > your profile picture > your device image > Clock Faces. See your saved clock faces in My Clock Faces. 29 l To remove a clock face, tap the clock face > Remove clock face. l To switch to a saved clock face, tap the clock face > Select. Open apps From the clock face, swipe left to see the apps installed on your watch. To open an app, tap it. Organize apps To change the placement of an app on Versa 3, press and hold an app until it's selected, and drag it to a new location. The app is selected when the icon increases slightly in size and the watch vibrates. Download additional apps 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps > All Apps. 3. Browse the available apps. When you find one you want to install, tap it. 4. Tap Install to add the app to Versa 3. For more information, see help.fitbit.com. Remove apps You can remove most apps installed on Versa 3: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps. 3. In the My Apps tab, tap the app you want to remove. You may have to swipe up to find it. 4. Tap Remove. 30 Update apps Apps update over Wi-Fi as needed. Versa 3 searches for updates when plugged into the charger and in range of your Wi-Fi network. You can also manually update apps: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps. 3. In the My Apps tab, find the app you want to update. You may have to swipe up to find it. 4. Tap the pink Update button next to the app. Adjust app settings and permissions Many apps include options to adjust the notifications, allow certain permissions, and customize what it displays. Note that turning off any app permissions might cause the app to stop functioning. To access these settings: 1. With your watch nearby, in the Fitbit app, tap the Today tab > your profile picture > your device image. 2. Tap Apps or Clock Faces. 3. Tap the app or clock face whose settings you want to change. You may have to swipe up to see some apps. 4. Tap Settings or Permissions. 5. Tap Back or Details when you're done making changes. 31 Voice Assistant Check the weather, set timers and alarms, control your smart home devices, and more by speaking to your watch. Set up Amazon Alexa Built-in 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Amazon Alexa > Sign in with Amazon. 3. Tap Get Started. 4. Log in to your Amazon account or create one if necessary. 5. Follow the on-screen instructions and read about what Alexa can do, and tap Close to return to your device settings in the Fitbit app. To change the language Alexa recognizes or disconnect your Amazon account: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Amazon Alexa. 3. Tap the current language to change it, or tap Logout to stop using Alexa on your watch. Interact with Alexa 1. Open the Alexa app on your watch. Note that the Fitbit app must be running in the background on your phone. 2. Say your request. 32 You don't need to say "Alexa" before speaking your request. For example: l Set a timer for 10 minutes. l Set an alarm for 8:00 a.m. l What's the temperature outside? l Remind me to make dinner at 6:00 p.m. l How much protein is in an egg? l Ask Fitbit to start a run.* l Start a bike ride with Fitbit.* *To ask Alexa to open the Exercise app on your watch, you must first set up the Fitbit skill for Alexa. For more information, see help.fitbit.com. These commands are currently available in English, German, French, Italian, Spanish, and Japanese. Amazon Alexa not available in all countries. For more information, see fitbit.com/voice. Note that saying “Alexa” doesn’t activate Alexa on your watch—you must open the Alexa app on your watch before the microphone turns on. The microphone turns off when you close Alexa, or when your watch’s screen turns off. For added functionality, install the Amazon Alexa app on your phone. With the app, your watch can access additional Alexa skills. For more information, see help.fitbit.com. 33 Check Alexa alarms, reminders, and timers 1. Open the Alexa app on your watch. 2. Tap the alerts icon and swipe up to view your alarms, reminders, and timers. 3. Tap an alarm to turn it on or off. To adjust or cancel a reminder or timer, tap the Alexa icon and say your request. Note that Alexa's alarms and timers are separate from those you set in the Alarms app or Timer app . 34 Lifestyle Use apps to stay connected to what you care about most. See "Apps and Clock Faces" on page 29 for instructions on how to add and delete apps. For more information, see help.fitbit.com. Starbucks Add your Starbucks card or Starbucks Rewards program number in the Fitbit App Gallery in the Fitbit app, and then use the Starbucks app to pay from your wrist. For more information, see help.fitbit.com. Agenda Connect your phone's calendar in the Fitbit app to see upcoming calendar events for today and tomorrow in the Agenda app on your watch. For more information, see help.fitbit.com. Weather See the weather in your current location, as well as 2 additional locations you choose, in the Weather app on your watch. 35 Check the weather Open the Weather app to see conditions in your current location. Swipe up to view the weather in other locations you added. Tap a location to see a more detailed report. You can also add a weather widget to your watch. For more information, see "Widgets" on page 22. If the weather for your current location doesn't appear, check that you turned on location services for the Fitbit app. If you change locations or don't see updated data for your current location, sync your watch to see your new location and latest data in the Weather app or widget. Choose your unit of temperature in the Fitbit app. For more information, see help.fitbit.com. Add or remove a city 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Apps. 3. In the My Apps tab, tap the gear icon next to Weather. You may need to swipe up to find the app. 4. Tap Add city to add up to 2 additional locations or tap Edit > the X icon to delete a location. Note that you can't delete your current location. Find Phone Use the Find Phone app to locate your phone. Requirements: 36 l Your watch must be connected (“paired”) to the phone you want to locate. l Your phone must have Bluetooth turned on and be within 30 feet (10m) of your Fitbit device. l The Fitbit app must be running in the background on your phone. l Your phone must be turned on. To find your phone: l Open the Find Phone app on your watch. l Tap Find Phone. Your phone rings loudly. l When you locate your phone, tap Cancel to end the ringtone. 37 Notifications from your phone Versa 3 can show call, text, calendar, and app notifications from your phone to keep you informed. Keep your watch within 30 feet of your phone to receive notifications. Set up notifications Check that Bluetooth on your phone is on and that your phone can receive notifications (often under Settings > Notifications). Then set up notifications: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Notifications. 3. Follow the on-screen instructions to pair your watch if you haven't already. Call, text, and calendar notifications are turned on automatically. 4. To turn on notifications from apps installed on your phone, including Fitbit and WhatsApp, tap App Notifications and turn on the notifications you want to see. Note that if you have an iPhone or iPad, Versa 3 shows notifications from all calendars synced to the Calendar app. If you have an Android phone, Versa 3 shows calendar notifications from the calendar app you chose during setup. For more information, see help.fitbit.com. See incoming notifications A notification causes your watch to vibrate. If you don't read the notification when it arrives, you can check it later by swiping down from the top of the screen. 38 If your watch's battery is critically low, notifications won't cause Versa 3 to vibrate or the screen to turn on. Manage notifications Versa 3 stores up to 30 notifications, after which the oldest are replaced as you receive new ones. To manage notifications: l Swipe down from the top of the screen to see your notifications and tap any notification to expand it. l To delete a notification, tap to expand it, then swipe to the bottom and tap Clear. l To delete all notifications at once, swipe to the top of your notifications and tap Clear All. Turn off notifications Turn off certain notifications in the Fitbit app, or turn off all notifications in quick settings on Versa 3. When you turn off all notifications, your watch won't vibrate and the screen won't turn on when your phone receives a notification. To turn off certain notifications: 1. From the Today tab in the Fitbit app on your phone, tap your profile picture > Versa 3 tile > Notifications. 39 2. Turn off the notifications you no longer want to receive on your watch. To turn off all notifications: 1. From the clock face, swipe right to access quick settings. 2. Tap the do not disturb icon . All notifications, including goal celebrations and reminders, are turned off. Note that if you use the do not disturb setting on your phone, you don't receive notifications on your watch until you turn off this setting. Answer or reject phone calls If paired to an iPhone or Android (8.0+) phone, Versa 3 lets you accept or reject incoming phone calls. If your phone is running an older version of the Android OS, you can reject, but not accept, calls on your watch. To accept a call, tap the green phone icon on your watch's screen. Note that you can't speak into the watch—accepting a phone call answers the call on your nearby phone. To reject a call, tap the red phone icon to send the caller to voicemail. The caller's name appears if that person is in your contacts list; otherwise you see a phone number. 40 Respond to messages (Android phones) Respond directly to text messages and notifications from certain apps on your watch with preset quick replies or by speaking your reply into Versa 3. Keep your phone nearby with the Fitbit app running in the background to respond to messages from your watch. To respond to a message: 1. Open the notification you want to respond to. 2. Choose how to reply to the message: l Tap the microphone icon to respond to the message using voice-to- text. To change the language recognized by the microphone, tap Language. After you speak your reply, tap Send, or tap Retry to try again. If you notice a mistake after you send the message, tap Undo within 3 seconds to cancel the message. l Tap the text icon to respond to a message from a list of quick replies. l Tap the emoji icon to respond to the message with an emoji. For more information, including how to customize quick replies, see help.fitbit.com. 41 Timekeeping Alarms vibrate to wake or alert you at a time you set. Set up to 8 alarms to occur once or on multiple days of the week. You can also time events with the stopwatch or set a countdown timer. Note that alarms and timers you set with a voice assistant are separate from the ones you set in the Alarms app and Timer app. For more information, see "Voice Assistant" on page 32. Use the Alarms app Set one-time or recurring alarms with the Alarms app . When an alarm goes off, your watch vibrates. When setting an alarm, turn on Smart Wake to allow your watch to find the best time to wake you starting 30 minutes before the alarm time you set. It avoids waking you during deep sleep so you're more likely to wake up feeling refreshed. If Smart Wake can’t find the best time to wake you, your alarm alerts you at the set time. For more information, see help.fitbit.com. Dismiss or snooze an alarm When an alarm goes off, your watch vibrates. To dismiss the alarm, tap the alarm icon . To snooze the alarm for 9 minutes, tap the snooze icon . Snooze the alarm as many times as you want. Versa 3 automatically goes into snooze mode if you ignore the alarm for more than 1 minute. 42 Use the Timer app Time events with the stopwatch or set a countdown timer with the Timer app on your watch. You can run the stopwatch and countdown timer at the same time. When the screen turns off, your watch continues to display the stopwatch or countdown timer until it ends or you exit the app. For more information, see help.fitbit.com. 43 Activity and Wellness Versa 3 continuously tracks a variety of stats whenever you wear it, including hourly activity, heart rate, and sleep. Data automatically syncs with the Fitbit app throughout the day. See your stats Open the Today app or swipe up from the clock face to see your daily stats, including: Steps Steps taken today and progress toward your daily goal Heart rate Current heart rate and either your heart-rate zone or resting heart rate (if not in a zone) Calories burned Calories burned today and progress toward your daily goal Floors Floors climbed today and progress toward your daily goal Distance Distance covered today and progress toward your daily goal Active Zone Minutes Active Zone Minutes earned today and the number of Active Zone Minutes you're currently earning per minute Exercise Number of days you met your exercise goal this week Sleep Sleep duration and sleep score Hourly activity The number of hours today you met your hourly activity goal Food Calories eaten and calories remaining today Menstrual health Information on the current stage of your menstrual cycle, if applicable Water Water intake logged today and progress toward your daily goal Weight Current weight and your progress toward your weight goal Core temp Your most recent logged temperature 44 Tap a tile to view more details or log an entry (for water, weight, and core temperature). Find your complete history and other information detected by your watch in the Fitbit app. Track a daily activity goal Versa 3 tracks your progress toward a daily activity goal of your choice. When you reach your goal, your watch vibrates and shows a celebration. Choose a goal Set a goal to help you get started on your health and fitness journey. To begin, your goal is to take 10,000 steps per day. Choose to change the number of steps, or pick a different activity goal depending on your device. For more information, see help.fitbit.com. Track progress toward your goal on Versa 3. For more information, see "See your stats" on the previous page. Track your hourly activity Versa 3 helps you stay active throughout the day by keeping track of when you're stationary and reminding you to move. Reminders nudge you to walk at least 250 steps each hour. You feel a vibration and see a reminder on your screen at 10 minutes before the hour if you haven't walked 250 steps. When you meet the 250-step goal after receiving the reminder, you feel a second vibration and see a congratulatory message. 45 For more information, see help.fitbit.com. Track your sleep Wear Versa 3 to bed to automatically track basic stats about your sleep, including your time asleep, sleep stages (time spent in REM, light sleep, and deep sleep), and sleep score (the quality of your sleep). Versa 3 also tracks your estimated oxygen variation throughout the night to help you uncover potential breathing disturbances. To see your sleep stats, sync your watch when you wake up and check the Fitbit app, or swipe up from the clock face on your watch to see your sleep stats. For more information, see help.fitbit.com. Set a sleep goal To start, you have a sleep goal of 8 hours of sleep per night. Customize this goal to meet your needs. For more information, see help.fitbit.com. Learn about your sleep habits With a Fitbit Premium subscription, see more details about your sleep score and how you compare to your peers, which can help you build a better sleep routine and wake up feeling refreshed. For more information, see help.fitbit.com. 46 Practice guided breathing The Relax app on Versa 3 provides personalized guided breathing sessions to help you find moments of calm throughout the day. All notifications are automatically disabled during the session. 1. On Versa 3, open the Relax app . 2. Tap Edit to change the duration of the session or turn off the optional vibration. 3. Tap Start to begin the session. Follow the on-screen instructions. 4. When the session ends, tap Log It to reflect on how you feel, or tap Skip to skip this step. 5. View your summary, and tap Done to close the app. For more information, see help.fitbit.com. 47 Exercise and Heart Health Track activity with the Exercise app and complete guided workouts with the Fitbit Coach app right on your wrist. Check the Fitbit app to share your activity with friends and family, see how your overall fitness level compares to your peers, and more. During a workout, you can play music through the Pandora app or Deezer app on your watch, control music playing in Spotify using the Spotify - Connect & Control app , or control music playing on your phone. 1. Start music playing in an app or on your phone. 2. Open the Exercise or Coach app and start a workout. To control music playing while you exercise, double-press the button. Your shortcuts appear. 3. Tap the music controls icon . 4. To return to your workout, press the button. Note that you need to pair a Bluetooth audio device, such as headphones or a speaker, to Versa 3 to hear music stored on your watch. For more information, see "Music" on page 55. Track your exercise automatically Versa 3 automatically recognizes and records many high-movement activities which are at least 15 minutes long. See basic stats about your activity in the Fitbit app on your phone. From the Today tab , tap the Exercise tile. For more information, see help.fitbit.com. 48 Track and analyze exercise with the Exercise app Track specific exercises with the Exercise app on Versa 3 to see real-time stats, including heart-rate data, calories burned, elapsed time, and a post-workout summary on your wrist. For complete workout stats, and a workout intensity map if you used GPS, tap the Exercise tile in the Fitbit app. Track an exercise 1. On Versa 3, open the Exercise app and swipe to find an exercise. 2. Tap the exercise to choose it. If the exercise uses GPS, you can wait for the signal to connect, or start the exercise and GPS will connect when a signal is available. Note that GPS can take a few minutes to connect. 3. Tap the play icon to begin the exercise, or swipe up to choose an exercise goal or adjust the settings. For more information on the settings, see "Customize your exercise settings" on the next page. 4. Tap the large stat to scroll through your real-time stats. To pause your workout, swipe up and tap the pause icon . 5. When you're done with your workout, swipe up and tap the end icon > End. Your workout summary appears. 6. Tap Done to close the summary screen. Notes: l If you set an exercise goal, your watch alerts you when you’re halfway to your goal and when you reach the goal. l If the exercise uses GPS, "GPS connecting..." appears at the top of the screen. When the screen says "GPS connected" and Versa 3 vibrates, GPS is connected. 49 Using built-in GPS impacts your watch's battery life. When GPS tracking is turned on, Versa 3 can track up to 12 hours of continuous exercise. Customize your exercise settings Customize settings for each exercise type on your watch. Settings include: Heart Zone Notifications Receive notifications when you hit target heart-rate zones during your workout. For more information, see help.fitbit.com Laps Receive notifications when you reach certain milestones during your workout Show Stats Choose what stats you want to see when tracking an exercise GPS Track your route using GPS Auto-Pause Automatically pause a run or bike ride when you stop moving Run Detect Track runs automatically without opening the Exercise app Always-on Display Keep the screen on during exercise Pool Length Set the length of your pool Interval Adjust the move and rest intervals used during interval training 1. On Versa 3, open the Exercise app . 2. Swipe to find an exercise. 50 3. Swipe up from the bottom of the screen, then swipe up through the list of settings. 4. Tap a setting to adjust it. 5. When you're done, swipe down until you see the play icon . Check your workout summary After you complete a workout, Versa 3 shows a summary of your stats. Check the Exercise tile in the Fitbit app to see additional stats and a workout intensity map if you used GPS. Check your heart rate Versa 3 personalizes your heart-rate zones using your heart rate reserve, which is the difference between your maximum heart rate and your resting heart rate. To help you target the training intensity of your choice, check your heart rate and heart-rate zone on your watch during exercise. Versa 3 notifies you when you enter a heart-rate zone. 51 Icon Zone Calculation Description Below Zone Below 40% of your heart rate reserve Below the fat burn zone, your heart beats at a slower pace. Fat Burn Zone Between 40% and 59% of your heart rate reserve In the fat burn zone, you’re likely in a moderate activity such as a brisk walk. Your heart rate and breathing might be elevated, but you can still carry on a conversation. Cardio Zone Between 60% and 84% of your heart rate reserve In the cardio zone, you’re likely doing a vigorous activity such as running or spinning. Peak Zone Greater than 85% of your heart rate reserve In the peak zone, you’re likely doing a short, intense activity that improves performance and speed, such as sprinting or high-intensity interval training. 52 Custom heart-rate zones Instead of using these heart-rate zones, you can create a custom zone in the Fitbit app to target a specific heart-rate range. For more information, see help.fitbit.com. Earn Active Zone Minutes Earn Active Zone Minutes for time spent in the fat burn, cardio, or peak heart-rate zones. To help you maximize your time, you earn 2 Active Zone Minutes for each minute you’re in the cardio or peak zones. 1 minute in the fat burn zone = 1 Active Zone Minute 1 minute in the cardio or peak zones = 2 Active Zone Minutes A few moments after you enter a different heart-rate zone during your exercise, your watch buzzes so that you know how hard you’re working. The number of times your watch vibrates indicates which zone you’re in: 1 buzz = below zone 2 buzzes = fat burn zone 3 buzzes = cardio zone 4 buzzes = peak zone To start, your weekly goal is set to 150 Active Zone Minutes. You’ll receive notifications as you reach your goal. For more information, see help.fitbit.com. View your cardio fitness score View your overall cardiovascular fitness in the Fitbit app. See your cardio fitness score and cardio fitness level, which shows how you compare to your peers. 53 In the Fitbit app, tap the Heart-rate tile and swipe left on your heart-rate graph to see your detailed cardio fitness stats. For more information, see help.fitbit.com. Work out with Fitbit Coach The Fitbit Coach app provides guided bodyweight workouts on your wrist to help you stay fit anywhere. 1. On Versa 3, open the Fitbit Coach app . 2. Swipe to find a workout. 3. Tap the workout you want. To preview the workout, tap the menu icon . Press the button to return to the workout. 4. Tap Start. For more information, see help.fitbit.com. Share your activity After you complete a workout, open the Fitbit app to share your stats with friends and family. For more information, see help.fitbit.com. 54 Music Use apps on your watch to listen to music with Bluetooth headphones or speakers. Connect Bluetooth headphones or speakers Connect up to 8 Bluetooth audio devices to listen to music from your watch. To pair a new Bluetooth audio device: 1. Activate pairing mode on your Bluetooth headphones or speaker. 2. On Versa 3, open the Settings app > Vibration & audio. 3. In the Bluetooth section, tap Manage devices. 4. Swipe up to see the Other devices section. Versa 3 searches for nearby devices. 5. When Versa 3 finds nearby Bluetooth audio devices, it shows a list on the screen. Tap the name of the device you want to pair. When pairing is complete, a check mark appears on the screen. To listen to music with a different Bluetooth device: 1. On Versa 3, open the Settings app > Vibration & audio. 2. In the Bluetooth section, tap the device you want to use, or pair a new device. Then wait for a moment for the device to connect. For more information, see help.fitbit.com. Control music with Versa 3 Control music playing in an app on Versa 3 or on your phone. 55 Choose the music source 1. Double-press the button on Versa 3. Your shortcuts appear. 2. Tap the music controls icon . 3. The icon in the top-left corner shows whether the music source is currently set to your phone or your watch . Tap it to change the music source, then press the button to return to your music controls. Control music 1. While music is playing, double-press the button. Your shortcuts appear. 2. Tap the music controls icon . 3. Play, pause, or tap the arrow icons to skip to the next track or previous track. Tap the volume icon to adjust the volume. Control music with the Spotify - Connect & Control app Use the Spotify - Connect & Control app on Versa 3 to control Spotify on your phone, computer, or other Spotify Connect device. Navigate between playlists, like songs, and switch between devices from your watch. Note that at this time, the Spotify - Connect & Control app only controls music playing on your paired device, so your device must remain nearby and connected to the internet. You need a 56 Spotify Premium subscription to use this app. For more information about Spotify Premium, see spotify.com. For instructions, see help.fitbit.com. Listen to music with the Pandora app (United States only) With the Pandora app on Versa 3, download up to 3 of your most-played Pandora stations or popular curated Workout stations directly to your watch. Note that you need a paid subscription to Pandora and a Wi-Fi connection to download stations. For more information about Pandora subscriptions, see help.pandora.com. For instructions, see help.fitbit.com. Listen to music with the Deezer app With the Deezer app on Versa 3, download your Deezer playlists and Flow directly to your watch. Note that you need a paid subscription to Deezer and a Wi- Fi connection to download music. For more information about Deezer subscriptions, see support.deezer.com. For instructions, see help.fitbit.com. 57 Fitbit Pay Versa 3 includes a built-in NFC chip, which lets you use your credit and debit cards on your watch. Use credit and debit cards Set up Fitbit Pay in the Wallet section of the Fitbit app, and use your watch to make purchases in stores that accept contactless payments. We’re always adding new locations and card issuers to our list of partners. To see if your payment card works with Fitbit Pay, see fitbit.com/fitbit-pay/banks. Set up Fitbit Pay To use Fitbit Pay, add at least 1 credit or debit card from a participating bank to the Wallet section of the Fitbit app. The Wallet is where you add and remove payment cards, set a default card for your watch, edit a payment method, and review recent purchases. 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap the Wallet tile. 3. Follow the on-screen instructions to add a payment card. In some cases, your bank might require additional verification. If you're adding a card for the first time, you might be prompted to set a 4-digit PIN code for your watch. Note that you also need passcode protection enabled for your phone. 4. After you add a card, follow the on-screen instructions to turn on notifications for your phone (if you haven't already done so) to complete the setup. You can add up to 6 payment cards to the Wallet and choose which card to set as the default payment option. 58 Make purchases Make purchases using Fitbit Pay at any store that accepts contactless payments. To determine if the store accepts Fitbit Pay, look for the symbol below on the payment terminal: 1. Open the Wallet app on your watch. 2. If prompted, enter your 4-digit watch PIN code. Your default card appears on the screen. 3. To pay with your default card, hold your wrist near the payment terminal. To pay with a different card, swipe to find the card you want to use, and hold your wrist near the payment terminal. 59 When the payment succeeds, your watch vibrates and you see a confirmation on the screen. If the payment terminal doesn't recognize Fitbit Pay, make sure the watch face is near the reader and that the cashier knows you're using a contactless payment. For added security, you must wear Versa 3 on your wrist to use Fitbit Pay. For more information, see help.fitbit.com. Change your default card 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap the Wallet tile. 3. Find the card you want to set as the default option. 4. Tap Set as Default on Versa 3. Pay for transit Use Fitbit Pay to tap on and off at transit readers that accept contactless credit or debit card payments. To pay with your watch, follow the steps listed in "Use credit and debit cards" on page 58. 60 Pay with the same card on your Fitbit watch when you tap the transit reader at the start and end of your trip. Make sure your device is charged before beginning your trip. 61 Update, Restart, and Erase Some troubleshooting steps may require you to restart your watch, while erasing it is useful if you want to give Versa 3 to another person. Update your watch to receive new Fitbit OS updates. Update Versa 3 Update your watch to get the latest feature enhancements and product updates. When an update is available, a notification appears in the Fitbit app. After you start the update, follow the progress bars on Versa 3 and in the Fitbit app until the update is complete. Keep your watch and phone close to each other during the update. Updating Versa 3 takes several minutes and may be demanding on the battery. We recommend plugging your watch into the charger before starting the update. For more information, see help.fitbit.com. Restart Versa 3 If you can’t sync Versa 3 or you have trouble with tracking your stats or receiving notifications, restart your watch from your wrist: To restart your watch, press and hold the button for 10 seconds until you see the Fitbit logo on the screen, and then release the button. Restarting your watch reboots the device but doesn't delete any data. Versa 3 has small holes on the device for the altimeter, speaker, and microphone. Don’t attempt to restart your device by inserting any items, such as paper clips, into these holes as you can damage Versa 3. 62 Shutdown Versa 3 To turn off your watch, open the Settings app > Shut down. To turn on your watch, press the button. For information about how to store Versa 3 long term, see help.fitbit.com. Erase Versa 3 If you want to give Versa 3 to another person or wish to return it, first clear your personal data: On Versa 3, open the Settings app > About Versa 3 > Factory reset. 63 Troubleshooting If Versa 3 isn't working properly, see our troubleshooting steps below. Visit help.fitbit.com for more information. Heart-rate signal missing Versa 3 continuously tracks your heart rate while you're exercising and throughout the day. If the heart-rate sensor on your watch has difficulty detecting a signal, dashed lines appear. If your watch doesn't detect a heart-rate signal, make sure you're wearing your watch correctly, either by moving it higher or lower on your wrist or by tightening or loosening the band. Versa 3 should be in contact with your skin. After holding your arm still and straight for a short time, you should see your heart rate again. For more information, see help.fitbit.com. GPS signal missing Environmental factors including tall buildings, dense forest, steep hills, and thick cloud cover can interfere with your watch's ability to connect to GPS satellites. If your watch is searching for a GPS signal during an exercise, you’ll see “ GPS connecting ” appear at the top of the screen. If Versa 3 can't connect to a 64 GPS satellite, the watch stops trying to connect until the next time you start a GPS exercise. For best results, wait for Versa 3 to find the signal before you start your workout. If Versa 3 loses the GPS signal during your workout, "GPS lost signal" appears at the top of the screen. Your watch will attempt to reconnect. For more information, see help.fitbit.com. Can't connect to Wi-Fi If Versa 3 can't connect to Wi-Fi, you might have entered an incorrect password, or the password might have changed: 1. From the Today tab in the Fitbit app, tap your profile picture > Versa 3 tile. 2. Tap Wi-Fi Settings > Next. 3. Tap the network you want to use > Remove. 65 4. Tap Add Network and follow the on-screen instructions to reconnect the Wi- Fi network. To check if your Wi-Fi network is working correctly, connect another device to your network; if it connects successfully, try again to connect your watch. If Versa 3 still won't connect to Wi-Fi, make sure that you're attempting to connect your watch to a compatible network. For best results, use your home Wi-Fi network. Versa 3 can't connect to 5GHz Wi-Fi, WPA enterprise, or public networks that require logins, subscriptions, or profiles. For a list of compatible network types, see "Connect to Wi-Fi" on page 9. After you verify the network is compatible, restart your watch and try connecting to Wi-Fi again. If you see other networks appear in the list of available networks, but not your preferred network, move your watch closer to your router. For more information, see help.fitbit.com. Other issues If you experience any of the following issues, restart your watch: l Won't sync l Won't respond to taps, swipes, or button press l Won't track steps or other data l Won't show notifications For instructions, see "Restart Versa 3" on page 62. For more information, see help.fitbit.com. 66 General Info and Specifications Sensors and Components Fitbit Versa 3 contains the following sensors and motors: l 3-axis accelerometer, which tracks motion patterns l Altimeter, which tracks altitude changes l Built-in GPS receiver + GLONASS, which tracks your location during a workout l Optical heart-rate tracker l Device temperature sensor (skin temperature variation available through Premium only) l Ambient light sensor l Microphone l Speaker l Vibration motor Materials The band that comes with Versa 3 is made of a flexible, durable elastomer material similar to that used in many sports watches. The housing and buckle on Versa 3 are made of anodized aluminum. While anodized aluminum can contain traces of nickel, which can cause an allergic reaction in someone with nickel sensitivity, the amount of nickel in all Fitbit products meets the European Union's stringent Nickel Directive. Our products may contain trace amounts of acrylates and methacrylates from adhesives used in those products but we work to ensure our products adhere to rigorous design specifications and meet extensive test requirements so as to minimum the potential for reaction to these adhesives. 67 Wireless technology Versa 3 contains a Bluetooth 5.0 radio transceiver, Wi-Fi chip, and NFC chip. Haptic feedback Versa 3 contains a vibration motor for alarms, goals, notifications, reminders, and apps. Battery Versa 3 contains a rechargeable lithium-polymer battery. Memory Versa 3 stores your data, including daily stats, sleep information, and exercise history, for 7 days. See your historical data in the Fitbit app. Display Versa 3 has a color AMOLED display. Band size Band sizes are shown below. Note that accessory bands sold separately may vary slightly. Small band Fits a wrist between 5.5 - 7.1 inches (140 mm - 180 mm) in circumference Large band Fits a wrist between 7.1 - 8.7 inches (180 mm - 220 mm) in circumference 68 Environmental conditions Operating temperature 14° to 113° F (-10° to 45° C) Non-operating temperature -4° to 14° F (-20° to -10° C) 113° to 140°F (45° to 60° C) Charging temperature 32° to 95° F (0° to 35° C) Water resistance Water resistant up to 50 meters Maximum operating altitude 28,000 feet (8,534 m) Learn more To learn more about your watch, how to track your progress in the Fitbit app, and how to build healthy habits with Fitbit Premium, visit help.fitbit.com. Return policy and warranty Find warranty information and the fitbit.com return policy on our website. 69 Regulatory and Safety Notices Notice to the User: Regulatory content for certain regions can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info USA: Federal Communications Commission (FCC) statement Model FB511 FCC ID: XRAFB511 Notice to the User: The FCC ID can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Supplier's Declaration of Conformity Unique Identifier: FB511 Responsible Party – U.S. Contact Information 199 Fremont Street, 14th Floor San Francisco, CA 94105 United States 877-623-4997 FCC Compliance Statement (for products subject to Part 15) This device complies with Part 15 of the FCC Rules. Operation is subject to the following two conditions: 70 1. This device may not cause harmful interference and 2. This device must accept any interference, including interference that may cause undesired operation of the device. FCC Warning Changes or modifications not expressly approved by the party responsible for compliance could void the user’s authority to operate the equipment. Note: This equipment has been tested and found to comply with the limits for a Class B digital device, pursuant to part 15 of the FCC Rules. These limits are designed to provide reasonable protection against harmful interference in a residential installation. This equipment generates, uses and can radiate radio frequency energy and, if not installed and used in accordance with the instructions, may cause harmful interference to radio communications. However, there is no guarantee that interference will not occur in a particular installation. If this equipment does cause harmful interference to radio or television reception, which can be determined by turning the equipment off and on, the user is encouraged to try to correct the interference by one or more of the following measures: l Reorient or relocate the receiving antenna. l Increase the separation between the equipment and receiver. l Connect the equipment into an outlet on a circuit different from that to which the receiver is connected. l Consult the dealer or an experienced radio/TV technician for help. This device meets the FCC and IC requirements for RF exposure in public or uncontrolled environments. Canada: Industry Canada (IC) statement Model/Modèle FB511 IC: 8542A-FB511 Notice to the User: The IC ID can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 71 Avis à l'utilisateur: L'ID de l'IC peut également être consulté sur votre appareil. Pour voir le contenu: Paramètres > À propos de Versa 3 > Mentions légales This device meets the IC requirements for RF exposure in public or uncontrolled environments. Cet appareil est conforme aux conditions de la IC en matière de RF dans des environnements publics ou incontrôlée IC Notice to Users English/French in accordance with current issue of RSS GEN: This device complies with Industry Canada license exempt RSS standard(s). Operation is subject to the following two conditions: 1. this device may not cause interference, and 2. this device must accept any interference, including interference that may cause undesired operation of the device. Cet appareil est conforme avec Industrie Canada RSS standard exempts de licence (s). Son utilisation est soumise à Les deux conditions suivantes: 1. cet appareil ne peut pas provoquer d’interférences et 2. cet appareil doit accepter Toute interférence, y compris les interférences qui peuvent causer un mauvais fonctionnement du dispositif European Union (EU) Simplified EU Declaration of Conformity Hereby, Fitbit, Inc. declares that the radio equipment type Model FB511 is in compliance with Directive 2014/53/EU. The full text of the EU declaration of conformity is available at the following internet address: www.fitbit.com/safety Vereinfachte EU-Konformitätserklärung 72 Fitbit, Inc. erklärt hiermit, dass die Funkgerättypen Modell FB511 die Richtlinie 2014/53/EU erfüllen. Der vollständige Wortlaut der EU-Konformitätserklärungen kann unter folgender Internetadresse abgerufen werden: www.fitbit.com/safety Declaración UE de Conformidad simplificada Por la presente, Fitbit, Inc. declara que el tipo de dispositivo de radio Modelo FB511 cumple con la Directiva 2014/53/UE. El texto completo de la declaración de conformidad de la UE está disponible en la siguiente dirección de Internet: www.fitbit.com/safety Déclaration UE de conformité simplifiée Fitbit, Inc. déclare par la présente que les modèles d’appareils radio FB511 sont conformes à la Directive 2014/53/UE. Les déclarations UE de conformité sont disponibles dans leur intégralité sur le site suivant : www.fitbit.com/safety Dichiarazione di conformità UE semplificata Fitbit, Inc. dichiara che il tipo di apparecchiatura radio Modello FB511 è conforme alla Direttiva 2014/53/UE. Il testo completo della dichiarazione di conformità UE è disponibile al seguente indirizzo Internet: www.fitbit.com/safety IP Rating Model FB511 has a water resistance rating of IPX8 under IEC standard 60529, up to a depth of 50 meters. Model FB511 has a dust ingress rating of IP6X under IEC standard 60529 which indicates the device is dust-tight. Please refer to the beginning of this section for instructions on how to access your product’s IP rating. 73 Argentina C-25002 Australia and New Zealand Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Belarus Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 74 Botswana Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory Info China Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory Info 75 China RoHS 部件名称 Part Name 有毒和危险品 Toxic and Hazardous Substances or Elements Model FB511 铅 (Pb) 水银 (Hg) 镉 (Cd) 六价铬 (Cr(VI)) 多溴化苯 (PBB) 多溴化二苯 醚 (PBDE) 表带和表扣 (Strap and Buckle) O O O O O O 电子 (Electronics) -- O O O O O 电池 (Battery) O O O O O O 充电线 (Charging Cable) O O O O O O 本表格依据 SJ/T 11364 的规定编制 O = 表示该有害物质在该部件所有均质材料中的含量均在 GB/T 26572规定的限量要求以下 (indicates that the content of the toxic and hazardous substance in all the Homogeneous Materials of the part is below the concentration limit requirement as described in GB/T 26572). X = 表示该有害物质至少在该部件的某一均质材料中的含量超出 GB/T 26572规定的限量要 求 (indicates that the content of the toxic and hazardous substance in at least one Homogeneous Material of the part exceeds the concentration limit requirement as described in GB/T 26572). CMIIT ID 2020DJ7882 76 Frequency band: 2400-2483.5 MHz NFC: 13.56MHz Transmitted power: Max EIRP, 14.4dBm Occupied bandwidth: BLE: BLE: 2MHz, BT: 1MHz, NFC: 2.3 kHz, WiFi: 20MHz Modulation system: BLE: GFSK, BT: GFSK (BDR), n/4-DQPSK (EDR), 8PSK (EDR), NFC: ASK, WiFi: DSSS, OFDM CMIIT ID displayed: On packaging Customs Union Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Indonesia 69814/SDPPI/2020 3788 Israel מספראישוראלחוטישלמשרדהתקשורתהוא.74746-51 אסורלהחליףאתהאנטנההמקוריתשלהמכשירולאלעשותבוכלשינויטכניאחר Japan Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 77 201-200606 Kingdom of Saudi Arabia Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info Mexico Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info La operación de este equipo está sujeta a las siguientes dos condiciones: 1. Es posible que este equipo o dispositivo no cause interferencia perjudicial y 2. Este equipo o dispositivo debe aceptar cualquier interferencia, incluyendo la que pueda causar su operación no deseada Moldova Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 78 Morocco AGREE PAR L’ANRT MAROC Numéro d’agrément: MR00025102ANRT2020 Date d’agrément: 02/08/2020 Nigeria Connection and use of this communications equipment is permitted by the Nigerian Communications Commission. Oman TRA/TA-R/9745/20 D090258 Pakistan PTA Approved Model No.: FB511 TAC No.: 9.687/2020 Device Type: Smart Watch 79 Philippines Type Accepted No: ESD-RCE-2023407 Serbia Singapore Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info South Korea Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 80 본 제품의 전자파흡수율은 과학기술정보통신부의「전자파 인체보호기준」을 만족합니 다. 본 제품은 국립전파연구원의「전자파흡수율 측정기준」에 따라 최대출력 조건에서 머리 에 근접하여 시험되었으며, 최대 전자파흡수율 측정값은 다음과같습니다. 모델명 (Model) 머리 전자파흡수율 (Head SAR) FB511 0.089 W/kg 클래스 B 장치 (가정 사용을위한 방송 통신 기기) : EMC 등록 주로 가정용 (B 급)으로하고, 모 든 지역에서 사용할 수 있습니다 얻을이 장치. Translation: Class B devices (broadcast communications equipment for home use): EMC registration is mainly for household use (B class) and can be used in all areas get this device. 81 Taiwan 用戶注意：某些地區的法規內容也可以在您的設備上查看。要查看內容： 設定 > 關於 Versa 3 > 法規資訊 Translation: Notice to the User: Regulatory content can also be viewed on your device. Instructions to view content from your menu: Settings > About Versa 3 > Regulatory info 低功率警語: l 取得審驗證明之低功率射頻器材，非經核准，公司、商號或使用者均不得擅自變更 頻率、加大功率或變更原設計之特性及功能。 l 低功率射頻器材之使用不得影響飛航安全及干擾合法通信；經發現有干擾現象時， 應立即停用，並改善至無干擾時方得繼續使用。前述合法通信，指依電信管理法規 定作業之無線電通信。低功率射頻器材須忍受合法通信或工業、科學及醫療用電波 輻射性電機設備之干擾。 Translation: Warning Statement for Low Power Radios: l Without permission granted by the NCC, no company, enterprise, or user is allowed to change the frequency of an approved low power radio-frequency device, enhance its transmitting power or alter original characteristics or performance. l The use of low power RF devices must not affect flight safety or interfere with legal communications: when interference is found, it should be immediately stopped and ameliorated not to interfere before continuing to use it. The legal communications mentioned here refer to radio communications operating in accordance with the provisions of the Telecommunication Law. Low power RF devices need to bear with interference from legal communications or industrial, scientific and medical radio wave radiating equipment 電池警語： 82 此裝置使用鋰電池。 若未遵照下列準則，則裝置內的鋰離子電池壽命可能會縮短或有損壞裝置、發生火災、化學 品灼傷、電解液洩漏及／或受傷的風險。 l 請勿拆解、鑿孔或損壞裝置或電池。 l 請勿取出或嘗試取出使用者不可自行更換的電池。 l 請勿將電池曝露於火焰、爆炸或其他危險中。 l 請勿使用尖銳物品取出電池。 Translation: Battery warning: This device uses a lithium-ion battery. If the following guidelines are not followed, the life of the lithium-ion battery in the device may be shortened or there is a risk of damage to the device, fire, chemical burn, electrolyte leakage and / or injury.. l Do not disassemble, puncture or damage the device or battery. l Do not remove or try to remove the battery that the user cannot replace. l Do not expose the battery to flames, explosions or other hazards. l Do not use sharp objects to remove the battery. Vision Warning 使用過度恐傷害視力 警語 • 使用過度恐傷害視力 注意事項 • 使用30分鐘請休息10分鐘。未滿2歲幼兒不看螢幕，2歲以上每天看螢幕不要超過1 小時 Translation: Excessive use may damage vision 83 Warning: l Excessive use may damage vision Attention: l Rest for 10 minutes after every 30 minutes. l Children under 2 years old should stay away from this product. Children 2 years old or more should not see the screen for more than 1 hour a day. Taiwan RoHS United Arab Emirates Notice to the User: Regulatory content for this region can also be viewed on your device. To view the content: Settings > About Versa 3 > Regulatory info 84 TRA – United Arab Emirates Dealer ID: DA35294/14 TA RTTE: ER88790/ 20 Model: FB511 Type: Smartwatch Vietnam Zambia ZMB / ZICTA / TA / 2020 / 9 / 78 Safety Statement This equipment has been tested to comply with safety certification in accordance with the specifications of EN Standard: EN60950-1:2006 + A11:2009 + A1:2010 + A12:2011 + A2:2013 & EN62368-1:2014 + A11:2017. 85 ©2020 Fitbit, Inc. All rights reserved. Fitbit and the Fitbit logo are trademarks or registered trademarks of Fitbit in the US and other countries. A more complete list of Fitbit trademarks can be found at http://www.fitbit.com/legal/trademark-list. Third-party trademarks mentioned are the property of their respective owners.

Answer the question only based on the below text.

According to this document, summarize any financial figures stated for the 2023 fiscal year.

OVERVIEW The following overview is a high-level discussion of our operating results, as well as some of the trends and drivers that affect our business. Management believes that an understanding of these trends and drivers provides important context for our results for the fiscal year ended March 31, 2024, as well as our future prospects. This summary is not intended to be exhaustive, nor is it intended to be a substitute for the detailed discussion and analysis provided elsewhere in this Form 10-K, including in the “Business” section and the “Risk Factors” above, the remainder of “Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”)” or the Consolidated Financial Statements and related Notes. About Electronic Arts Electronic Arts is a global leader in digital interactive entertainment. We develop, market, publish and deliver games, content and services that can be experienced on game consoles, PCs, mobile phones and tablets. At our core is a portfolio of intellectual property from which we create innovative games and experiences that deliver high-quality entertainment and drive engagement across our network of hundreds of millions of unique active accounts. Our portfolio includes brands that we either wholly own (such as Apex Legends, Battlefield, and The Sims) or license from others (such as the licenses within EA SPORTS FC and EA SPORTS Madden NFL). Through our live services offerings, we offer high-quality experiences designed to provide value to players, and extend and enhance gameplay. These live services include extra content, subscription offerings and other revenue generated in addition to the sale of our full games. We are focusing on building games and experiences that grow the global online communities around our key franchises; deepening engagement through connecting interactive storytelling to key intellectual property; and building re-occurring revenue from scaling our live services and growth in our annualized sports franchises, our console, PC and mobile catalog titles. Financial Results Our key financial results for our fiscal year ended March 31, 2024 were as follows: • Total net revenue was $7,562 million, up 2 percent year-over-year. • Live services and other net revenue was $5,547 million, up 1 percent year-over-year. • Gross margin was 77.4 percent, up 2 percentage points year-over-year. • Operating expenses were $4,334 million, up 1 percent year-over-year. • Operating income was $1,518 million, up 14 percent year-over-year. • Net income was $1,273 million with diluted earnings per share of $4.68. • Net cash provided by operating activities was $2,315 million, up 49 percent year-over-year. • Total cash, cash equivalents and short-term investments were $3,262 million. • We repurchased 10.0 million shares of our common stock for $1,300 million. • We paid cash dividends of $205 million during the fiscal year ended March 31, 2024. Trends in Our Business Live Services Business. We offer our players high-quality experiences designed to provide value to players and to extend and enhance gameplay. These live services include extra content, subscription offerings and other revenue generated in addition to the sale of our full games and free-to-play games. Our net revenue attributable to live services and other was $5,547 million, $5,489 million, and $4,998 million for fiscal years 2024, 2023, and 2022, respectively, and we expect that live services net revenue will continue to be material to our business. Within live services and other, net revenue attributable to extra content was $4,463 million, $4,277 million, and $3,910 million for fiscal years 2024, 2023, and 2022, respectively. Extra content net revenue has increased as more players engage with our games and services, and purchase additional content designed to provide value to players and extend and enhance gameplay. Our most popular live services are the extra content purchased for the Ultimate Team mode associated with our sports franchises, that allows players to collect current and former professional players in order to build and compete as a personalized team, and extra content purchased for our Apex Legends franchise. Live services net revenue generated from extra content purchased within the Ultimate Team mode associated with our sports franchises, a substantial portion of which is derived from Ultimate Team within our global football franchise and from our Apex Legends franchise, is material to our business. 20 Digital Delivery of Games. In our industry, players increasingly purchase games digitally as opposed to purchasing physical discs. While this trend, as applied to our business, may not be linear due to a mix of products during a fiscal year, consumer buying patterns and other factors, over time we expect players to purchase an increasingly higher proportion of our games digitally. As a result, we expect net revenue attributable to digital full game downloads to increase over time and net revenue attributable to sales of packaged goods to decrease. Our net revenue attributable to digital full game downloads was $1,343 million, $1,262 million, and $1,282 million during fiscal years 2024, 2023, and 2022, respectively; while our net revenue attributable to packaged goods sales was $672 million, $675 million, and $711 million in fiscal years 2024, 2023, and 2022, respectively. In addition, as measured based on total units sold on Microsoft’s Xbox One and Xbox Series X and Sony’s PlayStation 4 and 5 rather than by net revenue, we estimate that 73 percent, 68 percent, and 65 percent of our total units sold during fiscal years 2024, 2023, and 2022, were sold digitally. Digital full game units are based on sales information provided by Microsoft and Sony; packaged goods units sold through are estimated by obtaining data from significant retail and distribution partners in North America, Europe and Asia, and applying internal sales estimates with respect to retail partners from which we do not obtain data. We believe that these percentages are reasonable estimates of the proportion of our games that are digitally downloaded in relation to our total number of units sold for the applicable period of measurement. Increases in consumer adoption of digital purchase of games combined with increases in our live services revenue generally results in expansion of our gross margin, as costs associated with selling a game digitally is generally less than selling the same game through traditional retail and distribution channels. Increased Competition. Competition in our business is intense. Our competitors range from established interactive entertainment companies to emerging start-ups. In addition, the gaming, technology/internet, and entertainment industries are converging, and we compete with large, diversified technology companies in those industries. Their greater financial or other resources may provide larger budgets to develop and market tools, technologies, products and services that gain consumer success and shift player time and engagement away from our products and services. In addition, our leading position within the interactive entertainment industry makes us a prime target for recruiting our executives, as well as key creative and technical talent, resulting in retention challenges and increased cost to retain and incentivize our key people. Concentration of Sales Among the Most Popular Games. In our industry, we see a large portion of games sales concentrated on the most popular titles. Similarly, a significant portion of our revenue historically has been derived from games based on a few popular franchises, such as EA SPORTS FC, EA SPORTS Madden NFL, Apex Legends, Battlefield, and The Sims. In particular, we have historically derived a significant portion of our net revenue from our global football franchise, the annualized version of which is consistently one of the best-selling games in the marketplace. We transitioned our global football franchise to a new EA SPORTS FC brand in the second quarter of fiscal 2024. Our continued vision for the future of EA SPORTS FC is to create and innovate across platforms, geographies, and business models to expand our global football experiences and entertain even more fans around the world. Re-occurring Revenue Sources. Our business model includes revenue that we deem re-occurring in nature, such as revenue from our live services, annualized sports franchises (e.g., EA SPORTS FC, EA SPORTS Madden NFL), and our console, PC and mobile catalog titles (i.e., titles that did not launch in the current fiscal year). We have been able to forecast revenue from these areas of our business with greater relative confidence than for new games, services and business models. As we continue to incorporate new business models and modalities of play into our games, our goal is to continue to look for opportunities to expand the re-occurring portion of our business.

System instruction: Answer the question only based on the below text. question: According to this document, summarize any financial figures stated for the 2023 fiscal year. context: OVERVIEW The following overview is a high-level discussion of our operating results, as well as some of the trends and drivers that affect our business. Management believes that an understanding of these trends and drivers provides important context for our results for the fiscal year ended March 31, 2024, as well as our future prospects. This summary is not intended to be exhaustive, nor is it intended to be a substitute for the detailed discussion and analysis provided elsewhere in this Form 10-K, including in the “Business” section and the “Risk Factors” above, the remainder of “Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”)” or the Consolidated Financial Statements and related Notes. About Electronic Arts Electronic Arts is a global leader in digital interactive entertainment. We develop, market, publish and deliver games, content and services that can be experienced on game consoles, PCs, mobile phones and tablets. At our core is a portfolio of intellectual property from which we create innovative games and experiences that deliver high-quality entertainment and drive engagement across our network of hundreds of millions of unique active accounts. Our portfolio includes brands that we either wholly own (such as Apex Legends, Battlefield, and The Sims) or license from others (such as the licenses within EA SPORTS FC and EA SPORTS Madden NFL). Through our live services offerings, we offer high-quality experiences designed to provide value to players, and extend and enhance gameplay. These live services include extra content, subscription offerings and other revenue generated in addition to the sale of our full games. We are focusing on building games and experiences that grow the global online communities around our key franchises; deepening engagement through connecting interactive storytelling to key intellectual property; and building re-occurring revenue from scaling our live services and growth in our annualized sports franchises, our console, PC and mobile catalog titles. Financial Results Our key financial results for our fiscal year ended March 31, 2024 were as follows: • Total net revenue was $7,562 million, up 2 percent year-over-year. • Live services and other net revenue was $5,547 million, up 1 percent year-over-year. • Gross margin was 77.4 percent, up 2 percentage points year-over-year. • Operating expenses were $4,334 million, up 1 percent year-over-year. • Operating income was $1,518 million, up 14 percent year-over-year. • Net income was $1,273 million with diluted earnings per share of $4.68. • Net cash provided by operating activities was $2,315 million, up 49 percent year-over-year. • Total cash, cash equivalents and short-term investments were $3,262 million. • We repurchased 10.0 million shares of our common stock for $1,300 million. • We paid cash dividends of $205 million during the fiscal year ended March 31, 2024. Trends in Our Business Live Services Business. We offer our players high-quality experiences designed to provide value to players and to extend and enhance gameplay. These live services include extra content, subscription offerings and other revenue generated in addition to the sale of our full games and free-to-play games. Our net revenue attributable to live services and other was $5,547 million, $5,489 million, and $4,998 million for fiscal years 2024, 2023, and 2022, respectively, and we expect that live services net revenue will continue to be material to our business. Within live services and other, net revenue attributable to extra content was $4,463 million, $4,277 million, and $3,910 million for fiscal years 2024, 2023, and 2022, respectively. Extra content net revenue has increased as more players engage with our games and services, and purchase additional content designed to provide value to players and extend and enhance gameplay. Our most popular live services are the extra content purchased for the Ultimate Team mode associated with our sports franchises, that allows players to collect current and former professional players in order to build and compete as a personalized team, and extra content purchased for our Apex Legends franchise. Live services net revenue generated from extra content purchased within the Ultimate Team mode associated with our sports franchises, a substantial portion of which is derived from Ultimate Team within our global football franchise and from our Apex Legends franchise, is material to our business. 20 Digital Delivery of Games. In our industry, players increasingly purchase games digitally as opposed to purchasing physical discs. While this trend, as applied to our business, may not be linear due to a mix of products during a fiscal year, consumer buying patterns and other factors, over time we expect players to purchase an increasingly higher proportion of our games digitally. As a result, we expect net revenue attributable to digital full game downloads to increase over time and net revenue attributable to sales of packaged goods to decrease. Our net revenue attributable to digital full game downloads was $1,343 million, $1,262 million, and $1,282 million during fiscal years 2024, 2023, and 2022, respectively; while our net revenue attributable to packaged goods sales was $672 million, $675 million, and $711 million in fiscal years 2024, 2023, and 2022, respectively. In addition, as measured based on total units sold on Microsoft’s Xbox One and Xbox Series X and Sony’s PlayStation 4 and 5 rather than by net revenue, we estimate that 73 percent, 68 percent, and 65 percent of our total units sold during fiscal years 2024, 2023, and 2022, were sold digitally. Digital full game units are based on sales information provided by Microsoft and Sony; packaged goods units sold through are estimated by obtaining data from significant retail and distribution partners in North America, Europe and Asia, and applying internal sales estimates with respect to retail partners from which we do not obtain data. We believe that these percentages are reasonable estimates of the proportion of our games that are digitally downloaded in relation to our total number of units sold for the applicable period of measurement. Increases in consumer adoption of digital purchase of games combined with increases in our live services revenue generally results in expansion of our gross margin, as costs associated with selling a game digitally is generally less than selling the same game through traditional retail and distribution channels. Increased Competition. Competition in our business is intense. Our competitors range from established interactive entertainment companies to emerging start-ups. In addition, the gaming, technology/internet, and entertainment industries are converging, and we compete with large, diversified technology companies in those industries. Their greater financial or other resources may provide larger budgets to develop and market tools, technologies, products and services that gain consumer success and shift player time and engagement away from our products and services. In addition, our leading position within the interactive entertainment industry makes us a prime target for recruiting our executives, as well as key creative and technical talent, resulting in retention challenges and increased cost to retain and incentivize our key people. Concentration of Sales Among the Most Popular Games. In our industry, we see a large portion of games sales concentrated on the most popular titles. Similarly, a significant portion of our revenue historically has been derived from games based on a few popular franchises, such as EA SPORTS FC, EA SPORTS Madden NFL, Apex Legends, Battlefield, and The Sims. In particular, we have historically derived a significant portion of our net revenue from our global football franchise, the annualized version of which is consistently one of the best-selling games in the marketplace. We transitioned our global football franchise to a new EA SPORTS FC brand in the second quarter of fiscal 2024. Our continued vision for the future of EA SPORTS FC is to create and innovate across platforms, geographies, and business models to expand our global football experiences and entertain even more fans around the world. Re-occurring Revenue Sources. Our business model includes revenue that we deem re-occurring in nature, such as revenue from our live services, annualized sports franchises (e.g., EA SPORTS FC, EA SPORTS Madden NFL), and our console, PC and mobile catalog titles (i.e., titles that did not launch in the current fiscal year). We have been able to forecast revenue from these areas of our business with greater relative confidence than for new games, services and business models. As we continue to incorporate new business models and modalities of play into our games, our goal is to continue to look for opportunities to expand the re-occurring portion of our business.

You will only rely on information from the context block, and not on any external or prior knowledge. You will limit your response to 200 words.

Find and summarize key similarities between the IDEA and the NCLB acts.

Introduction The skills, knowledge, and credentials obtained through education are widely believed to be connected to positive occupational and economic outcomes. In recent decades, considerable attention has been devoted to improving educational attainment levels of students with disabilities. Several federal policies have aimed to require educators to pay greater attention to the educational progress and attainment of students with disabilities, and many others provide for a variety of supports with the goal of improving levels of attainment. Data collection efforts have also been launched to allow for better tracking of relevant trends. This report discusses policies aiming to promote educational attainment and examines trends in high school graduation and college enrollment for students with disabilities. It begins with a discussion of the laws related to the education of students with disabilities at the secondary and postsecondary levels. Subsequent sections discuss the existing data on transition-aged students with disabilities, what is currently known about such students, and federal legislation and other factors that may have contributed to changes in students with disabilities’ high school graduation rates and postsecondary enrollment over time. The report offers a brief overview of what is currently known about the U.S. population of students with disabilities in secondary and postsecondary education. It focuses on data gathered in conjunction with federal programs and federally funded studies of nationally representative samples of students with disabilities. It does not attempt to provide an overview or review of existing research on transition-aged students with disabilities or to provide an in-depth examination of the differences between the rights of and services afforded to students with disabilities at the secondary and postsecondary levels. The next sections of the report provide an overview of the education and civil rights laws that aim to support students with disabilities as they work toward completing high school and potentially transition into further educational pursuits. Education Laws Individuals with Disabilities Education Act (IDEA) The IDEA was originally enacted in 1975 (P.L. 94-142) 1 and was most recently reauthorized in 2004. 2 It is the primary federal act providing for special education and related services for children with disabilities between birth and 21 years old.3 Approximately 13% of the K-12 student population received IDEA services in the 2013-2014 school year (SY).4 The IDEA provides states with grants that support the identification, evaluation, and provision of special education services to children with disabilities. States may receive grants under the 1 When P.L. 94-142, the Education for All Handicapped Children Act, was reauthorized in 1990 (P.L. 101-476), its name was changed to the Individuals with Disabilities Education Act (IDEA). 2 The Individuals with Disabilities Education Improvement Act of 2004, P.L. 108-446. 3 For more information, see CRS Report R41833, The Individuals with Disabilities Education Act (IDEA), Part B: Key Statutory and Regulatory Provisions, by Kyrie E. Dragoo and CRS Report R43631, The Individuals with Disabilities Education Act (IDEA), Part C: Early Intervention for Infants and Toddlers with Disabilities, by Kyrie E. Dragoo. 4 U.S. Department of Education, National Center for Education Statistics, Digest of Education Statistics, 2015, Table 204.30, “Children 3 to 21 years old served under Individuals with Disabilities Education Act (IDEA), Part B, by type of disability: Selected years, 1976-77 through 2013-14.” Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 2 condition that, among other requirements, they provide each qualifying student with (1) an individualized education program (IEP) outlining the student’s goals, and the accommodations, special education, and related services that the school will provide to the student, and (2) a free appropriate public education (FAPE) in the least restrictive environment (LRE). This means specially designed instruction to meet students’ needs, provided to the greatest extent possible with their general education peers and at no cost to their families. Beginning with its 1990 reauthorization,5 the IDEA has required that the IEPs of students who are 16 years old or older contain a statement of transition goals and services. Transition services are defined as: A coordinated set of activities for a child with a disability that— (A) is designed to be within a results-oriented process, that is focused on improving the academic and functional achievement of the child with a disability to facilitate the child’s movement from school to post-school activities, including post-secondary education, vocational education, integrated employment (including supported employment), continuing and adult education, adult services, independent living, or community participation; (B) is based on the individual child’s needs, taking into account the child’s strengths, preferences, and interests; and (C) includes instruction, related services, community experiences, the development of employment and other post-school adult living objectives, and, when appropriate, acquisition of daily living skills and functional vocational evaluation. 6 The 1997 and 20047 amendments to the IDEA have supported students with disabilities graduating with regular diplomas and transitioning to postsecondary education by  increasing local education agencies’ (LEAs) accountability for improving the performance of students with IEPs,  emphasizing students’ progress toward meaningful educational and postsecondary goals in the IEP process, and  requiring states to develop IDEA performance goals and indicators, including dropout and graduation rates, and to report to the Secretary of Education (the Secretary) and the public on the progress of the state and of students with disabilities in the state toward these indicators at least every two years. 8 Elementary and Secondary Education Act of 1965 (ESEA) The ESEA was originally enacted in 1965 (20 U.S.C. 6301 et seq.). It was most recently reauthorized by the Every Student Succeeds Act (ESSA; P.L. 114-95) in 2015. The ESEA is the largest source of federal aid to K-12 education, supporting educational and related services for low-achieving and other students attending elementary and secondary schools with high concentrations of students from low-income families. The largest grant program in the ESEA is 5 P.L. 101-476. 6 20 U.S.C. §1401(a)(34). 7 In the 2004 reauthorization of the IDEA, Congress stated in their findings, “As the graduation rates for children with disabilities continue to climb, providing effective transition services to promote successful post-school employment or education is an important measure of accountability for children with disabilities.” (P.L. 108-446, §601 (c)(14)). 8 P.L. 105-17, §612 (a)(16). Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 3 Title I-A. There are a number of educational accountability requirements that states, LEAs, and schools must meet to receive Title I-A funds. For example, amendments to the ESEA enacted under the No Child Left Behind Act of 2001(NCLB; P.L. 107-110) included several educational accountability provisions that aimed to promote the educational progress of all students in schools served. These provisions have subsequently been amended through the ESSA. Over half of public elementary and secondary schools receive Title I-A funds. While students with disabilities benefit from this funding, they are not specifically targeted by it. However, many of the ESEA’s educational accountability provisions do require that schools pay particular attention to students with disabilities and likely have an effect on them. For example, when the ESEA was amended through the NCLB in 2001, provisions were adopted requiring states to develop and implement a state accountability system to ensure that schools and LEAs made progress with respect to student achievement.9 Under the NCLB provisions, student progress was not only systematically measured and monitored for the broad population of K-12 students served under the ESEA but also for specific subgroups of students, of which “students with disabilities” was one. Under NCLB provisions, student proficiency in relation to academic performance standards was regularly tracked in selected subject areas, as were high school graduation rates. The NCLB contained high-stakes accountability provisions featuring varied consequences for schools in which a sufficient percentage of students or subgroups of students, such as students with disabilities, failed to make sufficient academic progress in relation to the academic achievement and high school graduation standards. The accountability provisions of the NCLB, and those in place after the ESEA was amended through the ESSA, emphasize holding all students and all subgroups of students (including students with disabilities) to the same standards and levels of academic achievement, and closing gaps between subgroups of students. To comply with these accountability provisions, schools and school districts are required to pay specific attention to the academic progress and graduation rates of students with disabilities. Higher Education Act of 1965 (HEA) The HEA was originally enacted in 1965 (P.L. 89-329). It was most recently reauthorized in 2008 by the Higher Education Opportunity Act (HEOA; P.L. 110-315) in 2008, which authorized appropriations for most HEA programs through FY2014. Funding is still being provided for HEA programs through appropriations acts. The HEA authorizes student financial aid programs that help students and their families meet the costs of attending postsecondary institutions, a series of targeted grant programs that assist students transitioning into postsecondary education, and grants that support program and institutional development at some colleges and universities. While students with disabilities benefit from many of the HEA’s student financial aid programs, the programs that specifically target support and assistance to students with disabilities are the TRIO Student Support Services (SSS) program10 and Comprehensive Transition and Postsecondary (CTP) programs for students with intellectual disabilities. 11 9 ESEA, §1111(b)(2). 10 Higher Education Act (HEA), P.L. 113-67, §402(D); 20 U.S.C. 1070a–14. 11 P.L. 113-67, §760; 20 U.S.C. 1140. Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 4 The TRIO SSS program served over 200,000 students through grants to over 1,000 projects in SY2015-2016. 12 The program, originally enacted in 1992 through amendments to the HEA, 13 provides support services to primarily low-income first generation college students with the aim of improving their retention, graduation rates, financial and economic literacy, and transfers from two-year to four-year schools.14 TRIO SSS programs are also intended to foster an institutional climate supportive of potentially disconnected students. These include students with disabilities, students who are limited English proficient, students from groups that are traditionally underrepresented in postsecondary education, students who are homeless children and youths, and students who are in foster care or aging out of the foster care system. Under the TRIO SSS program, the U.S. Department of Education (ED) makes competitive grants to Institutions of Higher Education (IHEs) and combinations of IHEs. Grantees must provide statutorily defined services to an approved number of participants. At least two-thirds of participants must be either students with disabilities15 or low-income, first-generation college students. The remaining onethird of participants must be low-income students, students with disabilities, or first-generation college students. Also, at least one-third of the participating students with disabilities must be low-income. The CTP programs for students with intellectual disabilities served approximately 1,000 students through grants to 66 institutions in SY2015-2016. 16 The programs, enacted through the HEOA, provide transition support for students with intellectual disabilities. 17 Under provisions in the HEA, CTP programs for students with intellectual disabilities are not required to lead to a recognized credential (e.g., bachelor’s or associate’s degree, certificate) or adhere to the same durational requirements that regular postsecondary programs must meet (e.g., a certain number of credit-bearing clock hours). Instead, CTP programs require students with intellectual disabilities to receive curriculum advising, participate at least part-time in courses or training with students who do not have intellectual disabilities, and prepare for gainful employment. Civil Rights Laws In addition to the education laws that fund programs for students with disabilities, there are two civil rights laws that protect them in secondary and postsecondary education from discrimination based on their disabilities: Section 504 of the Rehabilitation Act (P.L. 93-112) and the Americans with Disabilities Act of 1990 (ADA; 42 U.S.C. §12101 et seq.). 12 U.S. Department of Education, Student Support Services Program Awards, FY2016, https://www2.ed.gov/programs/ triostudsupp/awards.html. 13 Higher Education Amendments of 1992, P.L. 102-325, §402(a)(2). 14 For more background information, see CRS Report R42724, The TRIO Programs: A Primer, by Cassandria Dortch. 15 “Disability” is defined in §12102 of the Americans with Disabilities Act (ADA; 42 U.S.C. 12101 et seq.). 16 The U.S. Department of Education (ED) tracks the estimated enrollment of the 43 (out of 66) CTP programs that receive TPSID grants (see footnote 17). An estimated 730 students participate in these TPSID programs (an average of approximately 17 students per program). There are an additional 23 CTP programs that do not report student enrollment rates. CRS estimates that if these 23 CTP programs serve an average of 12 or more students, and those students are added to the 730 students served in the TPSID programs, more than 1,000 students would be served by CTP programs in total. 17 A new CTP grant program, the Model Transition Programs for Students with Intellectual Disabilities into Higher Education (TPSID), which is intended to help IHEs create or expand high-quality, inclusive-model CTP programs for students with intellectual disabilities, was included in the Higher Education Opportunity Act of 2008 (HEOA; P.L. 110- 315). Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 5 Section 504 of the Rehabilitation Act18 Section 504 prohibits discrimination on the basis of a disability by protecting the rights of people with disabilities to access programs receiving federal funding. Section 504 also provides for accommodations such as extended time on tests for students with learning disabilities, accessible classrooms for students with orthopedic impairments, and large print or braille materials for students who are visually impaired. These accommodations are available at all levels of schooling—preschool to postsecondary—in schools that receive any federal funding. All children with disabilities attending K-12 public schools who are served under Section 504 are entitled to a FAPE and an individualized accommodations plan, often called a “504 plan.” At the postsecondary level, Section 504 requires IHEs to provide students with disabilities with appropriate academic adjustments and equitable access to educational programs and facilities. ED’s Office for Civil Rights (OCR) reported that in SY2011-2012, more than 6 million K-12 students were served under the IDEA, and slightly less than three-quarters of a million K-12 students were served under Section 504. 19 This means approximately 89% of children with disabilities served by K-12 public schools are served under the IDEA and approximately 11% of students with disabilities served by K-12 public schools are served solely by Section 504.20 At the postsecondary level, however, the IDEA no longer applies to students with disabilities; instead, all students with disabilities attending IHEs that receive federal funding are protected by Section 504. Most IHEs have a 504 coordinator or a disabled student services (DSS) office on campus that coordinates accommodations such as extended time on tests, early course registration, and physical accommodations and access to campus facilities for students with disabilities. Americans with Disabilities Act of 1990 (ADA) The Americans with Disabilities Act of 1990, most recently amended by the ADA Amendments Act of 2008 (together, ADA), 21 includes a conforming amendment to the Rehabilitation Act that broadens the meaning of the term “disability” in both the ADA and Section 504 to protect people who have or are regarded as having a physical or mental disability that impacts one or more major life activities. The ADA provides broad nondiscrimination protection in employment, public services, public accommodations and services operated by private entities, transportation, and telecommunications for individuals with disabilities. The ADA states that its purpose is “to provide a clear and comprehensive national mandate for the elimination of discrimination against individuals with disabilities.” In 2008, in response to Supreme Court and lower court decisions that narrowly interpreted the term “disability,” Congress passed the ADA Amendments Act to, among other things, “carry out the ADA's objectives of providing 'a clear and comprehensive national mandate for the elimination of discrimination' and 'clear, strong, consistent, enforceable standards addressing discrimination' by reinstating a broad scope of protection to be available under the ADA.” Both Section 504 and the ADA require that educational institutions at all levels provide equal access for people with disabilities. The ADA extends the requirements of Section 504 from only institutions receiving federal financial assistance to all institutions, with some exceptions for 18 Section 504 of the Rehabilitation Act of 1973 is commonly referred to simply as “Section 504.” 19 U.S. Department of Education, Office for Civil Rights, Civil Rights Data Collection, 2011-12, http://ocrdata.ed.gov. 20 Because having an IEP and a 504 plan is considered duplicative, students with IEPs usually only have IEPs, and students who have disabilities that do not qualify for IDEA services (e.g., a disability that impacts a child medically or physically but not educationally) have 504 plans. 21 42 U.S.C. §12101 et seq. Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 6 institutions controlled by religious organizations. The ADA impacts schools from pre-K to postsecondary because it extends the rights of people with disabilities to access facilities and receive accommodations, allowing them to participate in the activities of both public and private institutions.

You will only rely on information from the context block, and not on any external or prior knowledge. You will limit your response to 200 words. Find and summarize key similarities between the IDEA and the NCLB acts. Context block: Introduction The skills, knowledge, and credentials obtained through education are widely believed to be connected to positive occupational and economic outcomes. In recent decades, considerable attention has been devoted to improving educational attainment levels of students with disabilities. Several federal policies have aimed to require educators to pay greater attention to the educational progress and attainment of students with disabilities, and many others provide for a variety of supports with the goal of improving levels of attainment. Data collection efforts have also been launched to allow for better tracking of relevant trends. This report discusses policies aiming to promote educational attainment and examines trends in high school graduation and college enrollment for students with disabilities. It begins with a discussion of the laws related to the education of students with disabilities at the secondary and postsecondary levels. Subsequent sections discuss the existing data on transition-aged students with disabilities, what is currently known about such students, and federal legislation and other factors that may have contributed to changes in students with disabilities’ high school graduation rates and postsecondary enrollment over time. The report offers a brief overview of what is currently known about the U.S. population of students with disabilities in secondary and postsecondary education. It focuses on data gathered in conjunction with federal programs and federally funded studies of nationally representative samples of students with disabilities. It does not attempt to provide an overview or review of existing research on transition-aged students with disabilities or to provide an in-depth examination of the differences between the rights of and services afforded to students with disabilities at the secondary and postsecondary levels. The next sections of the report provide an overview of the education and civil rights laws that aim to support students with disabilities as they work toward completing high school and potentially transition into further educational pursuits. Education Laws Individuals with Disabilities Education Act (IDEA) The IDEA was originally enacted in 1975 (P.L. 94-142) 1 and was most recently reauthorized in 2004. 2 It is the primary federal act providing for special education and related services for children with disabilities between birth and 21 years old.3 Approximately 13% of the K-12 student population received IDEA services in the 2013-2014 school year (SY).4 The IDEA provides states with grants that support the identification, evaluation, and provision of special education services to children with disabilities. States may receive grants under the 1 When P.L. 94-142, the Education for All Handicapped Children Act, was reauthorized in 1990 (P.L. 101-476), its name was changed to the Individuals with Disabilities Education Act (IDEA). 2 The Individuals with Disabilities Education Improvement Act of 2004, P.L. 108-446. 3 For more information, see CRS Report R41833, The Individuals with Disabilities Education Act (IDEA), Part B: Key Statutory and Regulatory Provisions, by Kyrie E. Dragoo and CRS Report R43631, The Individuals with Disabilities Education Act (IDEA), Part C: Early Intervention for Infants and Toddlers with Disabilities, by Kyrie E. Dragoo. 4 U.S. Department of Education, National Center for Education Statistics, Digest of Education Statistics, 2015, Table 204.30, “Children 3 to 21 years old served under Individuals with Disabilities Education Act (IDEA), Part B, by type of disability: Selected years, 1976-77 through 2013-14.” Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 2 condition that, among other requirements, they provide each qualifying student with (1) an individualized education program (IEP) outlining the student’s goals, and the accommodations, special education, and related services that the school will provide to the student, and (2) a free appropriate public education (FAPE) in the least restrictive environment (LRE). This means specially designed instruction to meet students’ needs, provided to the greatest extent possible with their general education peers and at no cost to their families. Beginning with its 1990 reauthorization,5 the IDEA has required that the IEPs of students who are 16 years old or older contain a statement of transition goals and services. Transition services are defined as: A coordinated set of activities for a child with a disability that— (A) is designed to be within a results-oriented process, that is focused on improving the academic and functional achievement of the child with a disability to facilitate the child’s movement from school to post-school activities, including post-secondary education, vocational education, integrated employment (including supported employment), continuing and adult education, adult services, independent living, or community participation; (B) is based on the individual child’s needs, taking into account the child’s strengths, preferences, and interests; and (C) includes instruction, related services, community experiences, the development of employment and other post-school adult living objectives, and, when appropriate, acquisition of daily living skills and functional vocational evaluation. 6 The 1997 and 20047 amendments to the IDEA have supported students with disabilities graduating with regular diplomas and transitioning to postsecondary education by  increasing local education agencies’ (LEAs) accountability for improving the performance of students with IEPs,  emphasizing students’ progress toward meaningful educational and postsecondary goals in the IEP process, and  requiring states to develop IDEA performance goals and indicators, including dropout and graduation rates, and to report to the Secretary of Education (the Secretary) and the public on the progress of the state and of students with disabilities in the state toward these indicators at least every two years. 8 Elementary and Secondary Education Act of 1965 (ESEA) The ESEA was originally enacted in 1965 (20 U.S.C. 6301 et seq.). It was most recently reauthorized by the Every Student Succeeds Act (ESSA; P.L. 114-95) in 2015. The ESEA is the largest source of federal aid to K-12 education, supporting educational and related services for low-achieving and other students attending elementary and secondary schools with high concentrations of students from low-income families. The largest grant program in the ESEA is 5 P.L. 101-476. 6 20 U.S.C. §1401(a)(34). 7 In the 2004 reauthorization of the IDEA, Congress stated in their findings, “As the graduation rates for children with disabilities continue to climb, providing effective transition services to promote successful post-school employment or education is an important measure of accountability for children with disabilities.” (P.L. 108-446, §601 (c)(14)). 8 P.L. 105-17, §612 (a)(16). Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 3 Title I-A. There are a number of educational accountability requirements that states, LEAs, and schools must meet to receive Title I-A funds. For example, amendments to the ESEA enacted under the No Child Left Behind Act of 2001(NCLB; P.L. 107-110) included several educational accountability provisions that aimed to promote the educational progress of all students in schools served. These provisions have subsequently been amended through the ESSA. Over half of public elementary and secondary schools receive Title I-A funds. While students with disabilities benefit from this funding, they are not specifically targeted by it. However, many of the ESEA’s educational accountability provisions do require that schools pay particular attention to students with disabilities and likely have an effect on them. For example, when the ESEA was amended through the NCLB in 2001, provisions were adopted requiring states to develop and implement a state accountability system to ensure that schools and LEAs made progress with respect to student achievement.9 Under the NCLB provisions, student progress was not only systematically measured and monitored for the broad population of K-12 students served under the ESEA but also for specific subgroups of students, of which “students with disabilities” was one. Under NCLB provisions, student proficiency in relation to academic performance standards was regularly tracked in selected subject areas, as were high school graduation rates. The NCLB contained high-stakes accountability provisions featuring varied consequences for schools in which a sufficient percentage of students or subgroups of students, such as students with disabilities, failed to make sufficient academic progress in relation to the academic achievement and high school graduation standards. The accountability provisions of the NCLB, and those in place after the ESEA was amended through the ESSA, emphasize holding all students and all subgroups of students (including students with disabilities) to the same standards and levels of academic achievement, and closing gaps between subgroups of students. To comply with these accountability provisions, schools and school districts are required to pay specific attention to the academic progress and graduation rates of students with disabilities. Higher Education Act of 1965 (HEA) The HEA was originally enacted in 1965 (P.L. 89-329). It was most recently reauthorized in 2008 by the Higher Education Opportunity Act (HEOA; P.L. 110-315) in 2008, which authorized appropriations for most HEA programs through FY2014. Funding is still being provided for HEA programs through appropriations acts. The HEA authorizes student financial aid programs that help students and their families meet the costs of attending postsecondary institutions, a series of targeted grant programs that assist students transitioning into postsecondary education, and grants that support program and institutional development at some colleges and universities. While students with disabilities benefit from many of the HEA’s student financial aid programs, the programs that specifically target support and assistance to students with disabilities are the TRIO Student Support Services (SSS) program10 and Comprehensive Transition and Postsecondary (CTP) programs for students with intellectual disabilities. 11 9 ESEA, §1111(b)(2). 10 Higher Education Act (HEA), P.L. 113-67, §402(D); 20 U.S.C. 1070a–14. 11 P.L. 113-67, §760; 20 U.S.C. 1140. Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 4 The TRIO SSS program served over 200,000 students through grants to over 1,000 projects in SY2015-2016. 12 The program, originally enacted in 1992 through amendments to the HEA, 13 provides support services to primarily low-income first generation college students with the aim of improving their retention, graduation rates, financial and economic literacy, and transfers from two-year to four-year schools.14 TRIO SSS programs are also intended to foster an institutional climate supportive of potentially disconnected students. These include students with disabilities, students who are limited English proficient, students from groups that are traditionally underrepresented in postsecondary education, students who are homeless children and youths, and students who are in foster care or aging out of the foster care system. Under the TRIO SSS program, the U.S. Department of Education (ED) makes competitive grants to Institutions of Higher Education (IHEs) and combinations of IHEs. Grantees must provide statutorily defined services to an approved number of participants. At least two-thirds of participants must be either students with disabilities15 or low-income, first-generation college students. The remaining onethird of participants must be low-income students, students with disabilities, or first-generation college students. Also, at least one-third of the participating students with disabilities must be low-income. The CTP programs for students with intellectual disabilities served approximately 1,000 students through grants to 66 institutions in SY2015-2016. 16 The programs, enacted through the HEOA, provide transition support for students with intellectual disabilities. 17 Under provisions in the HEA, CTP programs for students with intellectual disabilities are not required to lead to a recognized credential (e.g., bachelor’s or associate’s degree, certificate) or adhere to the same durational requirements that regular postsecondary programs must meet (e.g., a certain number of credit-bearing clock hours). Instead, CTP programs require students with intellectual disabilities to receive curriculum advising, participate at least part-time in courses or training with students who do not have intellectual disabilities, and prepare for gainful employment. Civil Rights Laws In addition to the education laws that fund programs for students with disabilities, there are two civil rights laws that protect them in secondary and postsecondary education from discrimination based on their disabilities: Section 504 of the Rehabilitation Act (P.L. 93-112) and the Americans with Disabilities Act of 1990 (ADA; 42 U.S.C. §12101 et seq.). 12 U.S. Department of Education, Student Support Services Program Awards, FY2016, https://www2.ed.gov/programs/ triostudsupp/awards.html. 13 Higher Education Amendments of 1992, P.L. 102-325, §402(a)(2). 14 For more background information, see CRS Report R42724, The TRIO Programs: A Primer, by Cassandria Dortch. 15 “Disability” is defined in §12102 of the Americans with Disabilities Act (ADA; 42 U.S.C. 12101 et seq.). 16 The U.S. Department of Education (ED) tracks the estimated enrollment of the 43 (out of 66) CTP programs that receive TPSID grants (see footnote 17). An estimated 730 students participate in these TPSID programs (an average of approximately 17 students per program). There are an additional 23 CTP programs that do not report student enrollment rates. CRS estimates that if these 23 CTP programs serve an average of 12 or more students, and those students are added to the 730 students served in the TPSID programs, more than 1,000 students would be served by CTP programs in total. 17 A new CTP grant program, the Model Transition Programs for Students with Intellectual Disabilities into Higher Education (TPSID), which is intended to help IHEs create or expand high-quality, inclusive-model CTP programs for students with intellectual disabilities, was included in the Higher Education Opportunity Act of 2008 (HEOA; P.L. 110- 315). Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 5 Section 504 of the Rehabilitation Act18 Section 504 prohibits discrimination on the basis of a disability by protecting the rights of people with disabilities to access programs receiving federal funding. Section 504 also provides for accommodations such as extended time on tests for students with learning disabilities, accessible classrooms for students with orthopedic impairments, and large print or braille materials for students who are visually impaired. These accommodations are available at all levels of schooling—preschool to postsecondary—in schools that receive any federal funding. All children with disabilities attending K-12 public schools who are served under Section 504 are entitled to a FAPE and an individualized accommodations plan, often called a “504 plan.” At the postsecondary level, Section 504 requires IHEs to provide students with disabilities with appropriate academic adjustments and equitable access to educational programs and facilities. ED’s Office for Civil Rights (OCR) reported that in SY2011-2012, more than 6 million K-12 students were served under the IDEA, and slightly less than three-quarters of a million K-12 students were served under Section 504. 19 This means approximately 89% of children with disabilities served by K-12 public schools are served under the IDEA and approximately 11% of students with disabilities served by K-12 public schools are served solely by Section 504.20 At the postsecondary level, however, the IDEA no longer applies to students with disabilities; instead, all students with disabilities attending IHEs that receive federal funding are protected by Section 504. Most IHEs have a 504 coordinator or a disabled student services (DSS) office on campus that coordinates accommodations such as extended time on tests, early course registration, and physical accommodations and access to campus facilities for students with disabilities. Americans with Disabilities Act of 1990 (ADA) The Americans with Disabilities Act of 1990, most recently amended by the ADA Amendments Act of 2008 (together, ADA), 21 includes a conforming amendment to the Rehabilitation Act that broadens the meaning of the term “disability” in both the ADA and Section 504 to protect people who have or are regarded as having a physical or mental disability that impacts one or more major life activities. The ADA provides broad nondiscrimination protection in employment, public services, public accommodations and services operated by private entities, transportation, and telecommunications for individuals with disabilities. The ADA states that its purpose is “to provide a clear and comprehensive national mandate for the elimination of discrimination against individuals with disabilities.” In 2008, in response to Supreme Court and lower court decisions that narrowly interpreted the term “disability,” Congress passed the ADA Amendments Act to, among other things, “carry out the ADA's objectives of providing 'a clear and comprehensive national mandate for the elimination of discrimination' and 'clear, strong, consistent, enforceable standards addressing discrimination' by reinstating a broad scope of protection to be available under the ADA.” Both Section 504 and the ADA require that educational institutions at all levels provide equal access for people with disabilities. The ADA extends the requirements of Section 504 from only institutions receiving federal financial assistance to all institutions, with some exceptions for 18 Section 504 of the Rehabilitation Act of 1973 is commonly referred to simply as “Section 504.” 19 U.S. Department of Education, Office for Civil Rights, Civil Rights Data Collection, 2011-12, http://ocrdata.ed.gov. 20 Because having an IEP and a 504 plan is considered duplicative, students with IEPs usually only have IEPs, and students who have disabilities that do not qualify for IDEA services (e.g., a disability that impacts a child medically or physically but not educationally) have 504 plans. 21 42 U.S.C. §12101 et seq. Students with Disabilities: High School to Postsecondary Transition Congressional Research Service R44887 · VERSION 2 · UPDATED 6 institutions controlled by religious organizations. The ADA impacts schools from pre-K to postsecondary because it extends the rights of people with disabilities to access facilities and receive accommodations, allowing them to participate in the activities of both public and private institutions.

Draw your answer from the above text only.

What are the two components of the Orphan Drug Act?

The Orphan Drug Act and FDA Regulations: Setting the Stage for Ensuing Litigation The cost and availability of prescription drugs have been of congressional interest, and expenditures related to the research and development of new drugs are a significant driver of drug costs.1 A 2016 report by the Tufts Center for Drug Development estimated the pretax and preapproval cost of developing a Food and Drug Administration (FDA)-approved prescription drug was $2.6 billion, while a 2016 Department of Health and Human Services (HHS) report estimated a range from $1.2 billion to $2.6 billion.2 Given the extraordinary cost associated with development and marketing of a new drug, manufacturers aim to recover much of their research and development costs through drug sales. Historically, drugs designed to treat rare diseases and conditions received little attention from U.S. drug manufacturers, given the high cost of development and lack of widespread use.3 These drugs became known as “orphan drugs.”4 In the 1970s, there was growing concern about the need for drugs to treat rare diseases; at that time, FDA established two committees to study the “inadequate motivation, and resources, for the development and distribution of drugs for rare diseases.” 5 Congress began investigating and holding hearings on the development of drugs for rare diseases in June 1980.6 As part of this effort, the House Subcommittee on Health and the Environment surveyed a number of federal agencies, universities, and pharmaceutical companies to gather information about various drug products used to treat rare diseases in the United States.7 The results of the survey, published in 1982, showed that so-called orphan drugs were generally not profitable, many were not patentable, and it was difficult for drug sponsors to conduct clinical trials to demonstrate their safety and effectiveness—in part because of the small patient populations they were developed to treat.8 Given the high cost of drug development and approval in the United States, Congress found that “it is not financially feasible, except as a public service, for a pharmaceutical manufacturer to expend research and development funds” on orphan drugs, which are typically used only to treat small subsets of the population.9 So in 1983, Congress enacted the Orphan Drug Act (ODA) as a way to “facilitate the development of drugs for rare diseases or conditions,” 10 primarily by establishing financial incentives—including tax credits, grant funding, and market exclusivity— to encourage pharmaceutical companies to develop and market orphan drugs in the United States.11 The FDA, a division of HHS, administers the ODA. The statute does not explicitly define “orphan drug,” but FDA has issued regulations to define the term as a drug “intended for use in a rare disease or condition,” which is consistent with the statute’s phrasing.12 The ODA contains two main components: (1) orphan-drug designation, as described in Section 360bb, and (2) orphan-drug market exclusivity, as described in Section 360cc. 13 Drug manufacturers may apply to obtain an orphan-drug designation for drugs in development. If granted, orphan-drug designation enables a drug manufacturer to access financial assistance for drug research and development, including tax credits for clinical testing of the drug, grant funding to cover research costs, and a waiver of FDA’s Prescription Drug User Fee if it ultimately submits an application for FDA approval of the drug. 14 If a drug manufacturer receives FDA approval to market a drug designated as an orphan drug, the manufacturer is generally entitled to a seven-year exclusivity period. During the seven-year orphan-drug exclusivity period, the FDA cannot approve an application from a different drug manufacturer for approval15 to market the same drug for the same disease or condition.16 These statutory mechanisms of designation, approval, and exclusivity are intended to work together to promote the research and development of orphan drugs.17 Orphan-Drug Designation Orphan-drug designation allows drug manufacturers18 and sponsors19 to access financial benefits and incentives early in the drug development process, and it also assures orphan-drug exclusivity for a successfully marketed drug, which aids in the recoupment of the sizable upfront investment in drug development.20 A manufacturer or sponsor may apply for an orphan-drug designation at any time during the drug development process, so long as the request is submitted before submitting the application for FDA approval of the drug.21 FDA regulations spell out the specific requirements for the content and format of orphan-drug designation requests,22 discuss how the FDA verifies orphan-drug status23 and alerts drug sponsors of deficiencies, 24 and stipulate the conditions under which the FDA may refuse to grant25 or revoke a designation request. 26 Manufacturers and sponsors may seek an orphan-drug designation if the drug is currently being investigated or will be investigated for a rare disease or condition and the approval or licensing of the drug would be for the “use for such disease or condition.” 27 For purposes of orphan-drug designation, a “rare disease or condition” is one that either (1) affects fewer than 200,000 people in the United States; or (2) affects more than 200,000 people in the United States but for which a manufacturer does not have a “reasonable expectation” of recovering its development costs from sales.28 A manufacturer may seek orphan-drug designation for either a previously unapproved drug, or for a new use of a drug that is already FDA-approved.29 Additionally, if the FDA has already designated and approved an orphan drug for a particular rare disease or condition, a sponsor may receive a subsequent designation for the same drug for the same disease or condition if it can present a “plausible hypothesis” that the second drug is clinically superior to the original.30

The Orphan Drug Act and FDA Regulations: Setting the Stage for Ensuing Litigation The cost and availability of prescription drugs have been of congressional interest, and expenditures related to the research and development of new drugs are a significant driver of drug costs.1 A 2016 report by the Tufts Center for Drug Development estimated the pretax and preapproval cost of developing a Food and Drug Administration (FDA)-approved prescription drug was $2.6 billion, while a 2016 Department of Health and Human Services (HHS) report estimated a range from $1.2 billion to $2.6 billion.2 Given the extraordinary cost associated with development and marketing of a new drug, manufacturers aim to recover much of their research and development costs through drug sales. Historically, drugs designed to treat rare diseases and conditions received little attention from U.S. drug manufacturers, given the high cost of development and lack of widespread use.3 These drugs became known as “orphan drugs.”4 In the 1970s, there was growing concern about the need for drugs to treat rare diseases; at that time, FDA established two committees to study the “inadequate motivation, and resources, for the development and distribution of drugs for rare diseases.” 5 Congress began investigating and holding hearings on the development of drugs for rare diseases in June 1980.6 As part of this effort, the House Subcommittee on Health and the Environment surveyed a number of federal agencies, universities, and pharmaceutical companies to gather information about various drug products used to treat rare diseases in the United States.7 The results of the survey, published in 1982, showed that so-called orphan drugs were generally not profitable, many were not patentable, and it was difficult for drug sponsors to conduct clinical trials to demonstrate their safety and effectiveness—in part because of the small patient populations they were developed to treat.8 Given the high cost of drug development and approval in the United States, Congress found that “it is not financially feasible, except as a public service, for a pharmaceutical manufacturer to expend research and development funds” on orphan drugs, which are typically used only to treat small subsets of the population.9 So in 1983, Congress enacted the Orphan Drug Act (ODA) as a way to “facilitate the development of drugs for rare diseases or conditions,” 10 primarily by establishing financial incentives—including tax credits, grant funding, and market exclusivity— to encourage pharmaceutical companies to develop and market orphan drugs in the United States.11 The FDA, a division of HHS, administers the ODA. The statute does not explicitly define “orphan drug,” but FDA has issued regulations to define the term as a drug “intended for use in a rare disease or condition,” which is consistent with the statute’s phrasing.12 The ODA contains two main components: (1) orphan-drug designation, as described in Section 360bb, and (2) orphan-drug market exclusivity, as described in Section 360cc. 13 Drug manufacturers may apply to obtain an orphan-drug designation for drugs in development. If granted, orphan-drug designation enables a drug manufacturer to access financial assistance for drug research and development, including tax credits for clinical testing of the drug, grant funding to cover research costs, and a waiver of FDA’s Prescription Drug User Fee if it ultimately submits an application for FDA approval of the drug. 14 If a drug manufacturer receives FDA approval to market a drug designated as an orphan drug, the manufacturer is generally entitled to a seven-year exclusivity period. During the seven-year orphan-drug exclusivity period, the FDA cannot approve an application from a different drug manufacturer for approval15 to market the same drug for the same disease or condition.16 These statutory mechanisms of designation, approval, and exclusivity are intended to work together to promote the research and development of orphan drugs.17 Orphan-Drug Designation Orphan-drug designation allows drug manufacturers18 and sponsors19 to access financial benefits and incentives early in the drug development process, and it also assures orphan-drug exclusivity for a successfully marketed drug, which aids in the recoupment of the sizable upfront investment in drug development.20 A manufacturer or sponsor may apply for an orphan-drug designation at any time during the drug development process, so long as the request is submitted before submitting the application for FDA approval of the drug.21 FDA regulations spell out the specific requirements for the content and format of orphan-drug designation requests,22 discuss how the FDA verifies orphan-drug status23 and alerts drug sponsors of deficiencies, 24 and stipulate the conditions under which the FDA may refuse to grant25 or revoke a designation request. 26 Manufacturers and sponsors may seek an orphan-drug designation if the drug is currently being investigated or will be investigated for a rare disease or condition and the approval or licensing of the drug would be for the “use for such disease or condition.” 27 For purposes of orphan-drug designation, a “rare disease or condition” is one that either (1) affects fewer than 200,000 people in the United States; or (2) affects more than 200,000 people in the United States but for which a manufacturer does not have a “reasonable expectation” of recovering its development costs from sales.28 A manufacturer may seek orphan-drug designation for either a previously unapproved drug, or for a new use of a drug that is already FDA-approved.29 Additionally, if the FDA has already designated and approved an orphan drug for a particular rare disease or condition, a sponsor may receive a subsequent designation for the same drug for the same disease or condition if it can present a “plausible hypothesis” that the second drug is clinically superior to the original.30 What are the two components of the Orphan Drug Act? Draw your answer from the above text only.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. [user request] [context document]

Explain in layman's terms the events related to the settlement of the case. Specifically, I want to know why it took so long from the order to mediate in July to a settlement agreement being proposed.

RECITALS A. On January 31, 2012, a federal multidistrict litigation was established in the United States District Court for the Eastern District of Pennsylvania, In re: National Football League Players’ Concussion Injury Litigation, MDL No. 2323. Plaintiffs in MDL No. 2323 filed a Master Administrative Long-Form Complaint and a Master Administrative Class Action Complaint for Medical Monitoring on June 7, 2012. Plaintiffs filed an Amended Master Administrative Long-Form Complaint on July 17, 2012. Additional similar lawsuits are pending in various state and federal courts. B. The lawsuits arise from the alleged effects of mild traumatic brain injury allegedly caused by the concussive and sub-concussive impacts experienced by former NFL Football players. Plaintiffs seek to hold the NFL Parties responsible for their alleged injuries under various theories of liability, including that the NFL Parties allegedly breached a duty to NFL Football players to warn and protect them from the long-term health problems associated with concussions and that the NFL Parties allegedly concealed and misrepresented the connection between concussions and long term chronic brain injury. C. On August 30, 2012, the NFL Parties filed motions to dismiss the Master Administrative Class Action Complaint for Medical Monitoring and the Amended Master Administrative Long-Form Complaint on preemption grounds. Plaintiffs filed their oppositions to the motions on October 31, 2012, the NFL Parties filed reply memoranda of law on December 17, 2012, and plaintiffs filed sur reply memoranda of law on January 28, 2013. Oral argument on the NFL Parties’ motions to dismiss on preemption grounds was held on April 9, 2013. D. On July 8, 2013, prior to ruling on the motions to dismiss, the Court ordered the plaintiffs and NFL Parties to engage in mediation to determine if consensual resolution was possible and appointed retired United States District Court Judge Layn Phillips of Irell & Manella LLP as mediator. E. Over the course of the following two months, the Parties, by and through their respective counsel, engaged in settlement negotiations under the direction of Judge Phillips. On August 29, 2013, the Parties signed a settlement term sheet setting forth the material terms of a settlement agreement. On the same day, the Court issued an order deferring a ruling on the NFL Parties’ motions to dismiss and ordering the Parties to submit, as soon as possible, the full documentation relating to the settlement, along with a motion seeking preliminary approval of the settlement and notice plan. On December 16, 2013, the Court appointed a special master, Perry Golkin (“Special Master Golkin”), to assist the Court in evaluating the financial aspects of the proposed settlement. F. On January 6, 2014, Class Counsel moved the Court for an order, among other things, granting preliminary approval of the proposed settlement and conditionally certifying a settlement class and subclasses. On January 14, 2014, the Court denied that motion without prejudice. G. In conjunction with the January 2014 filing of the proposed settlement agreement, and this Settlement Agreement, the Class and Subclass Representatives filed Plaintiffs’ Class Action Complaint (“Class Action Complaint”) on January 6, 2014. In the Class Action Complaint, the Class and Subclass Representatives allege claims for equitable, injunctive and declaratory relief pursuant to Federal Rules of Civil Procedure 23(a)(1-4) & (b)(2), or, alternatively, for compensatory damages pursuant to Federal Rule of Civil Procedure 23(b)(3), for negligence, negligent hiring, negligent retention, negligent misrepresentation, fraud, fraudulent concealment, medical monitoring, wrongful death and survival, and loss of consortium, all under state law. H. The NFL Parties deny the Class and Subclass Representatives’ allegations, and the allegations in Related Lawsuits, and deny any liability to the Class and Subclass Representatives, the Settlement Class, or any Settlement Class Member for any claims, causes of action, costs, expenses, attorneys’ fees, or damages of any kind, and would assert a number of substantial legal and factual defenses against plaintiffs’ claims if they were litigated to conclusion. I. The Class and Subclass Representatives, through their counsel, have engaged in substantial fact gathering to evaluate the merits of their claims and the NFL Parties’ defenses. In addition, the Class and Subclass Representatives have analyzed the legal issues raised by their claims and the NFL Parties’ defenses, including, without limitation, the NFL Parties’ motions to dismiss the Amended Master Administrative Long-Form Complaint and Master Administrative Class Action Complaint on preemption grounds. J. After careful consideration, the Class and Subclass Representatives, and their respective Counsel, have concluded that it is in the best interests of the Class and Subclass Representatives and the Settlement Class and Subclasses to compromise and settle all Released Claims against the Released Parties for consideration reflected in the terms and benefits of this Settlement Agreement. After arm’s length negotiations with Counsel for the NFL Parties, including through the efforts of the court-appointed mediator and Special Master Golkin, the Class and Subclass Representatives have considered, among other things: (1) the complexity, expense, and likely duration of the litigation; (2) the stage of the litigation and amount of fact gathering completed; (3) the potential for the NFL Parties to prevail on threshold issues and on the merits; and (4) the range of possible recovery, and have determined that this Settlement Agreement is fair, reasonable, adequate, and in the best interests of the Class and Subclass Representatives and the Settlement Class and Subclasses. K. The NFL Parties have concluded, in light of the costs, risks, and burden of litigation, that this Settlement Agreement in this complex putative class action litigation is appropriate. The NFL Parties and Counsel for the NFL Parties agree with the Class and Subclass Representatives and their respective counsel that this Settlement Agreement is a fair, reasonable, and adequate resolution of the Released Claims. The NFL Parties reached this conclusion after considering the factual and legal issues relating to the litigation, the substantial benefits of this Settlement Agreement, the expense that would be necessary to defend claims by Settlement Class Members through trial and any appeals that might be taken, the benefits of disposing of protracted and complex litigation, and the desire of the NFL Parties to conduct their business unhampered by the costs, distraction and risks of continued litigation over Released Claims. L. The Parties desire to settle, compromise, and resolve fully all Released Claims. M. The Parties desire and intend to seek Court review and approval of the Settlement Agreement, and, upon preliminary approval by the Court, the Parties intend to seek a Final Order and Judgment from the Court dismissing with prejudice the Class Action Complaint and ordering the dismissal with prejudice of Related Lawsuits. N. This Settlement Agreement will not be construed as evidence of, or as an admission by, the NFL Parties of any liability or wrongdoing whatsoever or as an admission by the Class or Subclass Representatives, or Settlement Class Members, of any lack of merit in their claims.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. Explain in layman's terms the events related to the settlement of the case. Specifically, I want to know why it took so long from the order to mediate in July to a settlement agreement being proposed. RECITALS A. On January 31, 2012, a federal multidistrict litigation was established in the United States District Court for the Eastern District of Pennsylvania, In re: National Football League Players’ Concussion Injury Litigation, MDL No. 2323. Plaintiffs in MDL No. 2323 filed a Master Administrative Long-Form Complaint and a Master Administrative Class Action Complaint for Medical Monitoring on June 7, 2012. Plaintiffs filed an Amended Master Administrative Long-Form Complaint on July 17, 2012. Additional similar lawsuits are pending in various state and federal courts. B. The lawsuits arise from the alleged effects of mild traumatic brain injury allegedly caused by the concussive and sub-concussive impacts experienced by former NFL Football players. Plaintiffs seek to hold the NFL Parties responsible for their alleged injuries under various theories of liability, including that the NFL Parties allegedly breached a duty to NFL Football players to warn and protect them from the long-term health problems associated with concussions and that the NFL Parties allegedly concealed and misrepresented the connection between concussions and long term chronic brain injury. C. On August 30, 2012, the NFL Parties filed motions to dismiss the Master Administrative Class Action Complaint for Medical Monitoring and the Amended Master Administrative Long-Form Complaint on preemption grounds. Plaintiffs filed their oppositions to the motions on October 31, 2012, the NFL Parties filed reply memoranda of law on December 17, 2012, and plaintiffs filed sur reply memoranda of law on January 28, 2013. Oral argument on the NFL Parties’ motions to dismiss on preemption grounds was held on April 9, 2013. D. On July 8, 2013, prior to ruling on the motions to dismiss, the Court ordered the plaintiffs and NFL Parties to engage in mediation to determine if consensual resolution was possible and appointed retired United States District Court Judge Layn Phillips of Irell & Manella LLP as mediator. E. Over the course of the following two months, the Parties, by and through their respective counsel, engaged in settlement negotiations under the direction of Judge Phillips. On August 29, 2013, the Parties signed a settlement term sheet setting forth the material terms of a settlement agreement. On the same day, the Court issued an order deferring a ruling on the NFL Parties’ motions to dismiss and ordering the Parties to submit, as soon as possible, the full documentation relating to the settlement, along with a motion seeking preliminary approval of the settlement and notice plan. On December 16, 2013, the Court appointed a special master, Perry Golkin (“Special Master Golkin”), to assist the Court in evaluating the financial aspects of the proposed settlement. F. On January 6, 2014, Class Counsel moved the Court for an order, among other things, granting preliminary approval of the proposed settlement and conditionally certifying a settlement class and subclasses. On January 14, 2014, the Court denied that motion without prejudice. G. In conjunction with the January 2014 filing of the proposed settlement agreement, and this Settlement Agreement, the Class and Subclass Representatives filed Plaintiffs’ Class Action Complaint (“Class Action Complaint”) on January 6, 2014. In the Class Action Complaint, the Class and Subclass Representatives allege claims for equitable, injunctive and declaratory relief pursuant to Federal Rules of Civil Procedure 23(a)(1-4) & (b)(2), or, alternatively, for compensatory damages pursuant to Federal Rule of Civil Procedure 23(b)(3), for negligence, negligent hiring, negligent retention, negligent misrepresentation, fraud, fraudulent concealment, medical monitoring, wrongful death and survival, and loss of consortium, all under state law. H. The NFL Parties deny the Class and Subclass Representatives’ allegations, and the allegations in Related Lawsuits, and deny any liability to the Class and Subclass Representatives, the Settlement Class, or any Settlement Class Member for any claims, causes of action, costs, expenses, attorneys’ fees, or damages of any kind, and would assert a number of substantial legal and factual defenses against plaintiffs’ claims if they were litigated to conclusion. I. The Class and Subclass Representatives, through their counsel, have engaged in substantial fact gathering to evaluate the merits of their claims and the NFL Parties’ defenses. In addition, the Class and Subclass Representatives have analyzed the legal issues raised by their claims and the NFL Parties’ defenses, including, without limitation, the NFL Parties’ motions to dismiss the Amended Master Administrative Long-Form Complaint and Master Administrative Class Action Complaint on preemption grounds. J. After careful consideration, the Class and Subclass Representatives, and their respective Counsel, have concluded that it is in the best interests of the Class and Subclass Representatives and the Settlement Class and Subclasses to compromise and settle all Released Claims against the Released Parties for consideration reflected in the terms and benefits of this Settlement Agreement. After arm’s length negotiations with Counsel for the NFL Parties, including through the efforts of the court-appointed mediator and Special Master Golkin, the Class and Subclass Representatives have considered, among other things: (1) the complexity, expense, and likely duration of the litigation; (2) the stage of the litigation and amount of fact gathering completed; (3) the potential for the NFL Parties to prevail on threshold issues and on the merits; and (4) the range of possible recovery, and have determined that this Settlement Agreement is fair, reasonable, adequate, and in the best interests of the Class and Subclass Representatives and the Settlement Class and Subclasses. K. The NFL Parties have concluded, in light of the costs, risks, and burden of litigation, that this Settlement Agreement in this complex putative class action litigation is appropriate. The NFL Parties and Counsel for the NFL Parties agree with the Class and Subclass Representatives and their respective counsel that this Settlement Agreement is a fair, reasonable, and adequate resolution of the Released Claims. The NFL Parties reached this conclusion after considering the factual and legal issues relating to the litigation, the substantial benefits of this Settlement Agreement, the expense that would be necessary to defend claims by Settlement Class Members through trial and any appeals that might be taken, the benefits of disposing of protracted and complex litigation, and the desire of the NFL Parties to conduct their business unhampered by the costs, distraction and risks of continued litigation over Released Claims. L. The Parties desire to settle, compromise, and resolve fully all Released Claims. M. The Parties desire and intend to seek Court review and approval of the Settlement Agreement, and, upon preliminary approval by the Court, the Parties intend to seek a Final Order and Judgment from the Court dismissing with prejudice the Class Action Complaint and ordering the dismissal with prejudice of Related Lawsuits. N. This Settlement Agreement will not be construed as evidence of, or as an admission by, the NFL Parties of any liability or wrongdoing whatsoever or as an admission by the Class or Subclass Representatives, or Settlement Class Members, of any lack of merit in their claims. https://www.nflconcussionsettlement.com/Documents/Class_Action_Settlement_Agreement_with_Exhibits.pdf

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> [user request] <TEXT> [context document]

Clinical prediction models are being developed and used in the diagnosis of neonatal sepsis. Give me a summary of the predictors that are used in the models included in the study. Emphasize the numbers and percentages.

Clinical prediction models to diagnose neonatal sepsis in low-income and middle-income countries: a scoping review Neonatal sepsis causes significant morbidity and mortality worldwide but is difficult to diagnose clinically. Clinical prediction models (CPMs) could improve diagnostic accuracy. Neonates in lowincome and middle-income countries are disproportionately affected by sepsis, yet no review has comprehensively synthesised CPMs validated in this setting. We performed a scoping review of CPMs for neonatal sepsis diagnosis validated in low-income and middle-income countries. From 4598 unique records, we included 82 studies validating 44 distinct models. Most studies were set in neonatal intensive or special care units in middle-income countries and included neonates already suspected of sepsis. Three quarters of models were only validated in one study. Our review highlights several literature gaps, particularly a paucity of studies validating models in low-income countries and the WHO African region, and models for the general neonatal population. Furthermore, heterogeneity in study populations, definitions of sepsis and reporting of models may hinder progress in this field. METHODS We conducted this review according to an a priori published protocol,15 developed with reference to the scoping review guidelines provided by the Joanna Briggs Institute.16 We report methods and results in accordance with the Preferred Reporting Items for Systematic reviews and Meta-Analyses extension for Scoping Reviews (see supplementary appendix).17 Search strategy Eligibility criteria are shown in Table 1. After reviewing the extent and breadth of the literature from our initial searches, we narrowed the scope of our original protocol to focus specifically on studies that validate a CPM to diagnose neonatal sepsis in a LMIC, as defined by the World Bank in 2020. 18 We searched six electronic databases from their inception: Ovid MEDLINE, Ovid Embase, Scopus, Web of Science Core Collection, Global Index Medicus, and the Cochrane Library. Searches were initially performed on 20 December 2019 and updated on 5 September 2022 and 16 June 2024. Search terms were chosen to capture the three domains of the research question (‘neonate’, ‘sepsis’, and ‘clinical prediction model’) through collaboration with a child health specialist librarian. The search strategy was developed for Ovid MEDLINE and adapted for each database (see supplementary appendix). Additional studies were identified by citation analysis and by hand searching the reference lists of included studies. Record screening We imported identified records into EndNote 21 for deduplication.19 Unique records were then uploaded to the Rayyan application for screening by two independent reviewers (DM, HG, MZ, SRN or SS). 20 Titles and abstracts were first examined against the eligibility criteria to determine if each record was potentially eligible for inclusion. Next, full texts of potentially eligible studies were obtained and reviewed to confirm eligibility. Authors were contacted to request full texts where these could not be found online. Conflicts were resolved by discussion amongst the review team. Data extraction and synthesis Data extraction was performed independently by two reviewers for the initial searches (SRN and SS) and by one reviewer for each updated search (SRN or SS). We extracted data on study, participant and model characteristics, and model performance using a pre-piloted data extraction form (see supplementary appendix). Data items were chosen based on the Transparent Reporting of a multivariable prediction model for Individual Prognosis Or Diagnosis (TRIPOD) statement.21 We summarised results by narrative synthesis. Data for quantitative outcomes were not pooled in a meta-analysis as this is beyond the scoping review methodology. Where multiple variations of a model were presented in the same study (e.g. different combinations of predictors presented during model specification), or model performance was presented at multiple classification thresholds, we only included data for the ‘optimal’ or ‘final’ model at a single classification threshold. RESULTS Searches and included studies Searches identified 4598 unique records (Figure 1). From these, 82 studies published between 2003 and 2024 were included, 22-103 and are summarised in Tables 2 and 3. The number of published studies validating a CPM to diagnose neonatal sepsis in LMICs has increased rapidly in recent years (Figure 2). Studies were conducted in 22 individual countries (Figure 3 and Table 4), with the greatest number of studies conducted in the World Health Organization (WHO) South-East Asian Region (n=48, 59%), particularly in India (n=37, 45%). The fewest studies were conducted in the WHO African Region (n=4, 5%). Regarding economic status, 51 studies were conducted exclusively in lower middle-income countries (62%) and 30 exclusively in upper middle-income countries (37%). One study pooled data from both low-income and lower middle-income countries.98 Most studies were set in intensive care or special care admission units (n=64, 78%). The remainder included all live births at study sites (n=12, 15%), neonates presenting to emergency care services (n=3, 4%), all hospitalised neonates (n=1, 1%), or the setting was unclear (n=2, 2%). In total, 24252 neonates were included across all studies. The median number of participants per study was 151 (range 36 to 3303, interquartile range [IQR] 200). Few studies restricted the study population based on gestational age or birthweight, with only 4 studies (5%) specifically investigating preterm neonates and 5 studies (6%) specifically investigating low or very low birthweight neonates. Most studies included neonates clinically suspected of sepsis or with specific maternal risk factors including chorioamnionitis (n=58, 71%). Almost all studies included a positive blood and/or CSF culture in their outcome definition for sepsis (n=75, 91%). Of these, 18 (22% of all studies) also included clinical features or clinical suspicion of sepsis. One study used a consultant neonatologist’s clinical diagnosis of sepsis, 76 one study used the International Classification of Diseases 10th Revision criteria for sepsis,77 and in three studies the outcome was unclear. Model characteristics The 82 included studies performed 109 evaluations validating 44 distinct models (Table 3).22- 25,32,33,40,46,47,49-51,54,56,57,63,68,72,76-78,81,83,86,87,90,92,98-101,103-113 The most frequently validated model was the Hematological Scoring System by Rodwell et al. (n=32, 39% of studies; including studies that made minor modifications to the original model).112 Most models were only validated in one study (n=34, 77% of models). A total of 135 predictors of sepsis were included across all models, of which 82 were clinical parameters (signs, symptoms or risk factors) and 53 were laboratory parameters (see supplementary appendix). The median number of predictors per model was 6 (range 2 to 110, IQR 4). 14 models (32%) included only clinical parameters, 12 models (27%) included only laboratory parameters, and 18 models (41%) included both. The commonest laboratory parameters were white cell count (n=17 models, 39%), C-reactive protein (CRP) (n=16 models, 36%) and platelet count (n=15 models, 34%). The commonest clinical parameters were neonatal fever (n=13 models, 30%) and gestational age (n=11 models, 25%). Most models were developed using logistic regression (n=16 models, 36%) (often with stepwise selection to select predictors) or consisted of a scoring system based on univariable predictor performance or literature review and expert opinion (n=10 models, 23%).

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> Clinical prediction models are being developed and used in the diagnosis of neonatal sepsis. Give me a summary of the predictors that are used in the models included in the study. Emphasize the numbers and percentages. <TEXT> Clinical prediction models to diagnose neonatal sepsis in low-income and middle-income countries: a scoping review Neonatal sepsis causes significant morbidity and mortality worldwide but is difficult to diagnose clinically. Clinical prediction models (CPMs) could improve diagnostic accuracy. Neonates in lowincome and middle-income countries are disproportionately affected by sepsis, yet no review has comprehensively synthesised CPMs validated in this setting. We performed a scoping review of CPMs for neonatal sepsis diagnosis validated in low-income and middle-income countries. From 4598 unique records, we included 82 studies validating 44 distinct models. Most studies were set in neonatal intensive or special care units in middle-income countries and included neonates already suspected of sepsis. Three quarters of models were only validated in one study. Our review highlights several literature gaps, particularly a paucity of studies validating models in low-income countries and the WHO African region, and models for the general neonatal population. Furthermore, heterogeneity in study populations, definitions of sepsis and reporting of models may hinder progress in this field. METHODS We conducted this review according to an a priori published protocol,15 developed with reference to the scoping review guidelines provided by the Joanna Briggs Institute.16 We report methods and results in accordance with the Preferred Reporting Items for Systematic reviews and Meta-Analyses extension for Scoping Reviews (see supplementary appendix).17 Search strategy Eligibility criteria are shown in Table 1. After reviewing the extent and breadth of the literature from our initial searches, we narrowed the scope of our original protocol to focus specifically on studies that validate a CPM to diagnose neonatal sepsis in a LMIC, as defined by the World Bank in 2020. 18 We searched six electronic databases from their inception: Ovid MEDLINE, Ovid Embase, Scopus, Web of Science Core Collection, Global Index Medicus, and the Cochrane Library. Searches were initially performed on 20 December 2019 and updated on 5 September 2022 and 16 June 2024. Search terms were chosen to capture the three domains of the research question (‘neonate’, ‘sepsis’, and ‘clinical prediction model’) through collaboration with a child health specialist librarian. The search strategy was developed for Ovid MEDLINE and adapted for each database (see supplementary appendix). Additional studies were identified by citation analysis and by hand searching the reference lists of included studies. Record screening We imported identified records into EndNote 21 for deduplication.19 Unique records were then uploaded to the Rayyan application for screening by two independent reviewers (DM, HG, MZ, SRN or SS). 20 Titles and abstracts were first examined against the eligibility criteria to determine if each record was potentially eligible for inclusion. Next, full texts of potentially eligible studies were obtained and reviewed to confirm eligibility. Authors were contacted to request full texts where these could not be found online. Conflicts were resolved by discussion amongst the review team. Data extraction and synthesis Data extraction was performed independently by two reviewers for the initial searches (SRN and SS) and by one reviewer for each updated search (SRN or SS). We extracted data on study, participant and model characteristics, and model performance using a pre-piloted data extraction form (see supplementary appendix). Data items were chosen based on the Transparent Reporting of a multivariable prediction model for Individual Prognosis Or Diagnosis (TRIPOD) statement.21 We summarised results by narrative synthesis. Data for quantitative outcomes were not pooled in a meta-analysis as this is beyond the scoping review methodology. Where multiple variations of a model were presented in the same study (e.g. different combinations of predictors presented during model specification), or model performance was presented at multiple classification thresholds, we only included data for the ‘optimal’ or ‘final’ model at a single classification threshold. RESULTS Searches and included studies Searches identified 4598 unique records (Figure 1). From these, 82 studies published between 2003 and 2024 were included, 22-103 and are summarised in Tables 2 and 3. The number of published studies validating a CPM to diagnose neonatal sepsis in LMICs has increased rapidly in recent years (Figure 2). Studies were conducted in 22 individual countries (Figure 3 and Table 4), with the greatest number of studies conducted in the World Health Organization (WHO) South-East Asian Region (n=48, 59%), particularly in India (n=37, 45%). The fewest studies were conducted in the WHO African Region (n=4, 5%). Regarding economic status, 51 studies were conducted exclusively in lower middle-income countries (62%) and 30 exclusively in upper middle-income countries (37%). One study pooled data from both low-income and lower middle-income countries.98 Most studies were set in intensive care or special care admission units (n=64, 78%). The remainder included all live births at study sites (n=12, 15%), neonates presenting to emergency care services (n=3, 4%), all hospitalised neonates (n=1, 1%), or the setting was unclear (n=2, 2%). In total, 24252 neonates were included across all studies. The median number of participants per study was 151 (range 36 to 3303, interquartile range [IQR] 200). Few studies restricted the study population based on gestational age or birthweight, with only 4 studies (5%) specifically investigating preterm neonates and 5 studies (6%) specifically investigating low or very low birthweight neonates. Most studies included neonates clinically suspected of sepsis or with specific maternal risk factors including chorioamnionitis (n=58, 71%). Almost all studies included a positive blood and/or CSF culture in their outcome definition for sepsis (n=75, 91%). Of these, 18 (22% of all studies) also included clinical features or clinical suspicion of sepsis. One study used a consultant neonatologist’s clinical diagnosis of sepsis, 76 one study used the International Classification of Diseases 10th Revision criteria for sepsis,77 and in three studies the outcome was unclear. Model characteristics The 82 included studies performed 109 evaluations validating 44 distinct models (Table 3).22- 25,32,33,40,46,47,49-51,54,56,57,63,68,72,76-78,81,83,86,87,90,92,98-101,103-113 The most frequently validated model was the Hematological Scoring System by Rodwell et al. (n=32, 39% of studies; including studies that made minor modifications to the original model).112 Most models were only validated in one study (n=34, 77% of models). A total of 135 predictors of sepsis were included across all models, of which 82 were clinical parameters (signs, symptoms or risk factors) and 53 were laboratory parameters (see supplementary appendix). The median number of predictors per model was 6 (range 2 to 110, IQR 4). 14 models (32%) included only clinical parameters, 12 models (27%) included only laboratory parameters, and 18 models (41%) included both. The commonest laboratory parameters were white cell count (n=17 models, 39%), C-reactive protein (CRP) (n=16 models, 36%) and platelet count (n=15 models, 34%). The commonest clinical parameters were neonatal fever (n=13 models, 30%) and gestational age (n=11 models, 25%). Most models were developed using logistic regression (n=16 models, 36%) (often with stepwise selection to select predictors) or consisted of a scoring system based on univariable predictor performance or literature review and expert opinion (n=10 models, 23%). https://www.medrxiv.org/content/10.1101/2024.09.05.24313133v2.full.pdf

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> [user request] <TEXT> [context document]

What is the medication Atorvastatin used for and what potential side effects can result from it? Be thorough in your response and make it at least 150 words.

Why is this medication prescribed? Atorvastatin is used together with diet, weight loss, and exercise to reduce the risk of heart attack and stroke and to decrease the chance that heart surgery will be needed in people who have heart disease or who are at risk of developing heart disease. Atorvastatin is also used to decrease the amount of fatty substances such as low-density lipoprotein (LDL) cholesterol ('bad cholesterol') and triglycerides in the blood and to increase the amount of high-density lipoprotein (HDL) cholesterol ('good cholesterol') in the blood. Atorvastatin may also be used to decrease the amount of cholesterol and other fatty substances in the blood in children and teenagers 10 to 17 years of age who have familial heterozygous hypercholesterolemia (an inherited condition in which cholesterol cannot be removed from the body normally). Atorvastatin is in a class of medications called HMG-CoA reductase inhibitors (statins). It works by slowing the production of cholesterol in the body to decrease the amount of cholesterol that may build up on the walls of the arteries and block blood flow to the heart, brain, and other parts of the body. Accumulation of cholesterol and fats along the walls of your arteries (a process known as atherosclerosis) decreases blood flow and, therefore, the oxygen supply to your heart, brain, and other parts of your body. Lowering your blood level of cholesterol and fats with atorvastatin has been shown to prevent heart disease, angina (chest pain), strokes, and heart attacks. How should this medicine be used? Atorvastatin comes as a tablet and suspension (liquid) to take by mouth. The tablet is usually taken once a day with or without food. The suspension is usually taken once a day on an empty stomach (at least 1 hour before or 2 hours after a meal).Take atorvastatin at around the same time every day. Follow the directions on your prescription label carefully, and ask your doctor or pharmacist to explain any part you do not understand. Take atorvastatin exactly as directed. Do not take more or less of it or take it more often than prescribed by your doctor. Your doctor may start you on a low dose of atorvastatin and gradually increase your dose, not more than once every 2 to 4 weeks. If you are taking the suspension, do not use a household spoon to measure your dose. Use a properly marked measuring device such as a medicine spoon or oral syringe. Ask your doctor or pharmacist if you need help getting or using a measuring device. Continue to take atorvastatin even if you feel well. Do not stop taking atorvastatin without talking to your doctor. Other uses for this medicine This medication may be prescribed for other uses; ask your doctor or pharmacist for more information. What special precautions should I follow? Before taking atorvastatin, tell your doctor and pharmacist if you are allergic to atorvastatin, any other medications, or any of the ingredients in atorvastatin tablets and suspension. Ask your pharmacist for a list of the ingredients. Tell your doctor and pharmacist what prescription and nonprescription medications, vitamins, nutritional supplements, and herbal products you are taking or plan to take while taking atorvastatin. Your doctor may need to change the doses of your medications or monitor you carefully for side effects. The following nonprescription products may interact with atorvastatin: cimetidine (Tagamet), and niacin. Be sure to let your doctor and pharmacist know that you are taking these medications before you start taking atorvastatin. Do not start any of these medications while taking atorvastatin without discussing with your healthcare provider. tell your doctor if you have or ever had liver disease. Your doctor will order laboratory tests to see how well your liver is working even if you do not think you have liver disease. Your doctor will probably tell you not to take atorvastatin if you have liver disease or if the tests show you may be developing liver disease. tell your doctor if you drink more than 2 alcoholic beverages daily, if you are 65 years of age or older, and if you have or have ever had muscle aches or weakness, diabetes, seizures, low blood pressure, or thyroid or kidney disease. tell your doctor if you are pregnant or plan to become pregnant. If you become pregnant while taking atorvastatin, stop taking atorvastatin and call your doctor immediately. Atorvastatin may harm the fetus. tell your doctor if you are breastfeeding or plan to breastfeed. You should not breastfeed while you are taking this medication. if you are having surgery, including dental surgery, tell the doctor or dentist that you are taking atorvastatin. If you are hospitalized due to serious injury or infection, tell the doctor who treats you that you are taking atorvastatin. ask your doctor about the safe use of alcoholic beverages while you are taking atorvastatin. Alcohol can increase the risk of serious side effects. What special dietary instructions should I follow? Eat a low-fat, low-cholesterol diet. Be sure to follow all exercise and dietary recommendations made by your doctor or dietitian. You can also visit the National Cholesterol Education Program (NCEP) website for additional dietary information at https://www.nhlbi.nih.gov/health/public/heart/chol/chol_tlc.pdf. Avoid drinking large amounts [more than 1.2 liter (approximately 1 quart) per day] of grapefruit juice while taking atorvastatin. What should I do if I forget a dose? If you miss a dose of the tablet, skip the missed dose and continue your regular dosing schedule. Do not take a double dose to make up for a missed one. If you miss a dose of the suspension, take the missed dose as soon as you remember it. However, if it is less than 12 hours until your next scheduled dose, skip the missed dose and continue your regular dosing schedule. Do not take a double dose to make up for a missed one. What side effects can this medication cause? Atorvastatin may cause side effects. Tell your doctor if any of these symptoms are severe or do not go away: diarrhea heartburn gas joint pain forgetfulness or memory loss confusion Some side effects can be serious. The following symptoms are uncommon, but if you experience any of them, call your doctor or get emergency medical help immediately: muscle pain, tenderness, or weakness lack of energy fever chest pain nausea extreme tiredness weakness unusual bleeding or bruising loss of appetite pain in the upper right part of the stomach flu-like symptoms dark colored urine yellowing of the skin or eyes hoarseness

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> What is the medication Atorvastatin used for and what potential side effects can result from it? Be thorough in your response and make it at least 150 words. <TEXT> Why is this medication prescribed? Atorvastatin is used together with diet, weight loss, and exercise to reduce the risk of heart attack and stroke and to decrease the chance that heart surgery will be needed in people who have heart disease or who are at risk of developing heart disease. Atorvastatin is also used to decrease the amount of fatty substances such as low-density lipoprotein (LDL) cholesterol ('bad cholesterol') and triglycerides in the blood and to increase the amount of high-density lipoprotein (HDL) cholesterol ('good cholesterol') in the blood. Atorvastatin may also be used to decrease the amount of cholesterol and other fatty substances in the blood in children and teenagers 10 to 17 years of age who have familial heterozygous hypercholesterolemia (an inherited condition in which cholesterol cannot be removed from the body normally). Atorvastatin is in a class of medications called HMG-CoA reductase inhibitors (statins). It works by slowing the production of cholesterol in the body to decrease the amount of cholesterol that may build up on the walls of the arteries and block blood flow to the heart, brain, and other parts of the body. Accumulation of cholesterol and fats along the walls of your arteries (a process known as atherosclerosis) decreases blood flow and, therefore, the oxygen supply to your heart, brain, and other parts of your body. Lowering your blood level of cholesterol and fats with atorvastatin has been shown to prevent heart disease, angina (chest pain), strokes, and heart attacks. How should this medicine be used? Atorvastatin comes as a tablet and suspension (liquid) to take by mouth. The tablet is usually taken once a day with or without food. The suspension is usually taken once a day on an empty stomach (at least 1 hour before or 2 hours after a meal).Take atorvastatin at around the same time every day. Follow the directions on your prescription label carefully, and ask your doctor or pharmacist to explain any part you do not understand. Take atorvastatin exactly as directed. Do not take more or less of it or take it more often than prescribed by your doctor. Your doctor may start you on a low dose of atorvastatin and gradually increase your dose, not more than once every 2 to 4 weeks. If you are taking the suspension, do not use a household spoon to measure your dose. Use a properly marked measuring device such as a medicine spoon or oral syringe. Ask your doctor or pharmacist if you need help getting or using a measuring device. Continue to take atorvastatin even if you feel well. Do not stop taking atorvastatin without talking to your doctor. Other uses for this medicine This medication may be prescribed for other uses; ask your doctor or pharmacist for more information. What special precautions should I follow? Before taking atorvastatin, tell your doctor and pharmacist if you are allergic to atorvastatin, any other medications, or any of the ingredients in atorvastatin tablets and suspension. Ask your pharmacist for a list of the ingredients. Tell your doctor and pharmacist what prescription and nonprescription medications, vitamins, nutritional supplements, and herbal products you are taking or plan to take while taking atorvastatin. Your doctor may need to change the doses of your medications or monitor you carefully for side effects. The following nonprescription products may interact with atorvastatin: cimetidine (Tagamet), and niacin. Be sure to let your doctor and pharmacist know that you are taking these medications before you start taking atorvastatin. Do not start any of these medications while taking atorvastatin without discussing with your healthcare provider. tell your doctor if you have or ever had liver disease. Your doctor will order laboratory tests to see how well your liver is working even if you do not think you have liver disease. Your doctor will probably tell you not to take atorvastatin if you have liver disease or if the tests show you may be developing liver disease. tell your doctor if you drink more than 2 alcoholic beverages daily, if you are 65 years of age or older, and if you have or have ever had muscle aches or weakness, diabetes, seizures, low blood pressure, or thyroid or kidney disease. tell your doctor if you are pregnant or plan to become pregnant. If you become pregnant while taking atorvastatin, stop taking atorvastatin and call your doctor immediately. Atorvastatin may harm the fetus. tell your doctor if you are breastfeeding or plan to breastfeed. You should not breastfeed while you are taking this medication. if you are having surgery, including dental surgery, tell the doctor or dentist that you are taking atorvastatin. If you are hospitalized due to serious injury or infection, tell the doctor who treats you that you are taking atorvastatin. ask your doctor about the safe use of alcoholic beverages while you are taking atorvastatin. Alcohol can increase the risk of serious side effects. What special dietary instructions should I follow? Eat a low-fat, low-cholesterol diet. Be sure to follow all exercise and dietary recommendations made by your doctor or dietitian. You can also visit the National Cholesterol Education Program (NCEP) website for additional dietary information at https://www.nhlbi.nih.gov/health/public/heart/chol/chol_tlc.pdf. Avoid drinking large amounts [more than 1.2 liter (approximately 1 quart) per day] of grapefruit juice while taking atorvastatin. What should I do if I forget a dose? If you miss a dose of the tablet, skip the missed dose and continue your regular dosing schedule. Do not take a double dose to make up for a missed one. If you miss a dose of the suspension, take the missed dose as soon as you remember it. However, if it is less than 12 hours until your next scheduled dose, skip the missed dose and continue your regular dosing schedule. Do not take a double dose to make up for a missed one. What side effects can this medication cause? Atorvastatin may cause side effects. Tell your doctor if any of these symptoms are severe or do not go away: diarrhea heartburn gas joint pain forgetfulness or memory loss confusion Some side effects can be serious. The following symptoms are uncommon, but if you experience any of them, call your doctor or get emergency medical help immediately: muscle pain, tenderness, or weakness lack of energy fever chest pain nausea extreme tiredness weakness unusual bleeding or bruising loss of appetite pain in the upper right part of the stomach flu-like symptoms dark colored urine yellowing of the skin or eyes hoarseness https://medlineplus.gov/druginfo/meds/a600045.html

ONLY USE THE DATA I PROVIDE Limit your response to 500 words Organize the response in a FAQs document If you cannot answer using the contexts alone, say "I cannot determine the answer to that due to lack of context"

According to this document, what are the minimum rights that must be guaranteed with regard to employee working hours and conditions?

**Responsible Supplier Policy Background** Virgin Atlantic is a purpose led company and we believe that everyone can take on the world. It underpins everything we do and drives us to do better for our planet, people, customers and communities. As an airline, we know we must lead from the front. Responsibly bringing the benefits of travel, connectivity and exploration to the communities and customers we serve. For us that means tackling our carbon footprint, championing inclusion and being an advocate for change. We work with suppliers who share our values and, like us, see business as a force for good. Ensuring that the products and services we buy are sourced as sustainably as possible, with partners that innovate to improve practices, drive positive impact and bring economic and societal benefits. • Sourcing goods and services in a way that treats the people we work with (directly and indirectly) with respect and dignity • Supporting practices that minimise damage to the environment and natural resources on which we all depend • Promote positive animal welfare standards. Choosing who we work with matters. This policy sets out the standards we adhere to at Virgin Atlantic and that we expect our suppliers to comply with too. Based on best-in-class and internationally agreed standards to reduce our environmental impact, ensure basic human rights and protect animal welfare. Our commitment At Virgin Atlantic, our people with responsibility for procurement and supplier management put sustainable procurement practices at the heart of everything they do. The sustainability criteria outlined in this policy are built into our procurement process, from sourcing and selection to contract award and ongoing contract management. Over time these will increasingly become a prerequisite for all our suppliers. We encourage all suppliers to proactively work to improve practices in relation to these principles, in order to secure new and ongoing contracts with us. We know it’s not always straightforward, but we do expect openness and transparency in our relationships with our suppliers. We support continuous improvement with suppliers who need help in any area of this policy. Ultimate responsibility for this policy is held by our Procurement Director with full endorsement by our Chief Executive Officer. Your commitment We ask our suppliers to commit to the following: • To embrace the policy and assign a senior member of the business to promote skills and compliance. • To set up a documented monitoring process to verify standards are met and continually reviewed to ensure compliance, with a process for corrective actions to be set up and followed through. • To look to impose a policy of similar or higher standards on their own supply chains, including any sub-contractors they work with. The expectation is that each supplier in the supply chain will monitor their own compliance with a view that Virgin Atlantic or Virgin Atlantic Holidays will be able to meaningfully audit any tier in the chain if this is required. • To make their workforce (including those not directly employed by the Supplier i.e. agency staff, contractors and subcontractors) aware of the policy or the supplier’s own policy, if this is to a higher standard, and provide them with the appropriate training and skills to continually improve the supply chain. Minimum requirements We expect all suppliers to meet all requirements in this section. For some suppliers, certain certifications or standards may be minimum requirements (see following sections) and these would be communicated by the contract owner. People • Suppliers should provide safe and fair working conditions for their employees. Standards should, at a minimum, meet national laws. • Suppliers must not use child labour defined as anyone under 15 years of age, or as stipulated in the International Labour Organisation (ILO) C138 Minimum Age Convention. • There is no forced, bonded or compulsory labour. • Workers are not required to lodge ’deposits’ or their identity papers with their employer and are free to leave their employer after reasonable notice. • The company shall respect the right of personnel to a living wage and ensure that wages paid for a normal work week shall always meet at least legal or industry minimum standards and shall be sufficient to meet the basic needs of personnel and to provide some discretionary income. • All workers shall be provided with written and understandable information about their employment conditions before they enter employment. • Employees should be allowed freedom of association and the right to collective bargaining. Where the law restricts freedom of association and collective bargaining, employers should facilitate alternative means of representation by staff. • Employees working hours should comply with national laws and industry standards at a minimum. They should have at least 1 day off in 7 on average, and overtime should be voluntary and comply with local working law legislation. Employees should also be given regular breaks. • Working conditions must be safe and hygienic (bearing in mind any hazards specific to that industry), with access to clean toilets and water for drinking and washing. There should also be access to medical care when needed. • Employees should receive regular health and safety training and guidance, with clear health and safety procedures for all staff in the workplace, including those specific to their role. A senior representative should hold responsibility for the health and safety of all staff, including emergency procedures, and all accidents should be logged. • Accommodation, where provided, shall be clean, safe, and meet the basic needs of the workers. • Employees should not be submitted to harsh or inhumane treatment and all disciplinary procedures should be held on record. • Employees should not suffer discrimination in employment on any grounds including but not limited to: gender, race, age, disability, religion, political affiliation, sexual orientation, medical condition or freedom of association. Environment • Suppliers should comply with local and national environmental legislation. • Suppliers should monitor and reduce the environmental impacts of their business including: o Reducing fossil energy and fuel use, electricity use, and associated greenhouse gas emissions. o Reducing and recycling waste. o Ensuring responsible water management, including water saving measures and protection of supply of clean water to communities where these are affected by supplier operations. o Minimising the use of environmentally damaging chemicals and ensuring responsible disposal to prevent pollution of land and water sources. o Preventing negative business impacts on forests, land use, biodiversity and wild life, and ensuring high-value native eco-systems are maintained. Animal Welfare Suppliers of tourist attractions or hotels featuring animals should avoid any form of animal neglect or cruelty and fully adhere to the minimum standards set out in the ABTA Global Guidelines for Animal Welfare. Business Ethics We have a strict anti-bribery policy and expect our suppliers to uphold high standards of integrity, transparency and governance. At a minimum we expect suppliers: • To comply with all relevant local laws and regulations. • Not to be associated with any group that supports acts of violence or terrorism. • Not to offer, promise, give or receive any bribe or kickback and/or other improper advantage to or from any person, customer or supplier. • Not to make nor offer, directly or indirectly, any payment, gift or other advantage to a Foreign Public Official with the intention of influencing them and obtaining or retaining an advantage in the conduct of business. • To adhere to our anti-facilitation of tax evasion policy and not engage in any activity, practice or conduct which would cause an offence to be committed relating to the prevention of tax evasion and/or the facilitation of tax evasion under the Criminal Finances Act 2017. Priority working practices As part of our relationship with our suppliers there are priority areas of improvement that we want our suppliers to incorporate in support of doing ongoing business together. People • Suppliers should take responsibility for the local community they operate in, maximising social and economic benefits to the local community and minimising negative impacts. • Where medical conditions such as HIV / AIDS, malaria, hepatitis B etc. are a significant issue, employers should raise awareness to their employees on the risks of these medical conditions and assist in providing access to education, treatment and medication where possible. Employers should not subject employees to mandatory testing or ask employees to disclose their medical status. • Employers should not subject employees to mandatory pregnancy or virginity testing or questioning. Environment • Suppliers should have an environmental management system in place, whereby relevant, material environmental impacts are monitored and steps are taken to significantly reduce these. • For all onboard products, suppliers should help us to minimise fuel use and carbon emissions by providing us with lightweight products and packaging (without detriment to the safety or security of that product). • Suppliers should consider the full life cycle of products during design and packaging by aiming to (in order): o Reduce material, to reduce both weight and waste o Source all materials from sustainable, renewable or recycled sources. o Provide durable products that allow for re-use wherever possible o Ensure material can be recycled (providing clear labelling to show the recycling route) • Suppliers should remove or reduce all single use items wherever possible (including, but not limited to plastics), and where alternative materials are used they should come from recycled or otherwise verified sustainable sources. • Suppliers are required to ensure products associated with high rainforest destruction risk (i.e., made from, or consisting of, beef, leather, paper, wood, soy, palm oil or biofuels) are responsibly sourced through transparent supply chains with the appropriate independent certification. • All goods and services should be as resource efficient as possible, e.g. energy efficient lighting and appliances, fuel efficient, hybrid or electriccars, renewable electricity or low water use appliances. • Suppliers should help us reduce the carbon footprint of our products through effective management and reduction of their own carbon footprint through: o Utilising efficient manufacturing processes, and by using materials which do not require excessive energy to extract or produce. o Using local suppliers and running efficient logistical systems that reduce transport of our customers, staff and products as far as possible, to reduce both carbon emissions and local air pollution. o Responsible waste reductions and recycling within their business.

{Query} ========== According to this document, what are the minimum rights that must be guaranteed with regard to employee working hours and conditions? {Task Instructions} ========== ONLY USE THE DATA I PROVIDE Limit your response to 500 words Organize the response in a FAQs document If you cannot answer using the contexts alone, say "I cannot determine the answer to that due to lack of context" {Text Passage} ========== **Responsible Supplier Policy Background** Virgin Atlantic is a purpose led company and we believe that everyone can take on the world. It underpins everything we do and drives us to do better for our planet, people, customers and communities. As an airline, we know we must lead from the front. Responsibly bringing the benefits of travel, connectivity and exploration to the communities and customers we serve. For us that means tackling our carbon footprint, championing inclusion and being an advocate for change. We work with suppliers who share our values and, like us, see business as a force for good. Ensuring that the products and services we buy are sourced as sustainably as possible, with partners that innovate to improve practices, drive positive impact and bring economic and societal benefits. • Sourcing goods and services in a way that treats the people we work with (directly and indirectly) with respect and dignity • Supporting practices that minimise damage to the environment and natural resources on which we all depend • Promote positive animal welfare standards. Choosing who we work with matters. This policy sets out the standards we adhere to at Virgin Atlantic and that we expect our suppliers to comply with too. Based on best-in-class and internationally agreed standards to reduce our environmental impact, ensure basic human rights and protect animal welfare. Our commitment At Virgin Atlantic, our people with responsibility for procurement and supplier management put sustainable procurement practices at the heart of everything they do. The sustainability criteria outlined in this policy are built into our procurement process, from sourcing and selection to contract award and ongoing contract management. Over time these will increasingly become a prerequisite for all our suppliers. We encourage all suppliers to proactively work to improve practices in relation to these principles, in order to secure new and ongoing contracts with us. We know it’s not always straightforward, but we do expect openness and transparency in our relationships with our suppliers. We support continuous improvement with suppliers who need help in any area of this policy. Ultimate responsibility for this policy is held by our Procurement Director with full endorsement by our Chief Executive Officer. Your commitment We ask our suppliers to commit to the following: • To embrace the policy and assign a senior member of the business to promote skills and compliance. • To set up a documented monitoring process to verify standards are met and continually reviewed to ensure compliance, with a process for corrective actions to be set up and followed through. • To look to impose a policy of similar or higher standards on their own supply chains, including any sub-contractors they work with. The expectation is that each supplier in the supply chain will monitor their own compliance with a view that Virgin Atlantic or Virgin Atlantic Holidays will be able to meaningfully audit any tier in the chain if this is required. • To make their workforce (including those not directly employed by the Supplier i.e. agency staff, contractors and subcontractors) aware of the policy or the supplier’s own policy, if this is to a higher standard, and provide them with the appropriate training and skills to continually improve the supply chain. Minimum requirements We expect all suppliers to meet all requirements in this section. For some suppliers, certain certifications or standards may be minimum requirements (see following sections) and these would be communicated by the contract owner. People • Suppliers should provide safe and fair working conditions for their employees. Standards should, at a minimum, meet national laws. • Suppliers must not use child labour defined as anyone under 15 years of age, or as stipulated in the International Labour Organisation (ILO) C138 Minimum Age Convention. • There is no forced, bonded or compulsory labour. • Workers are not required to lodge ’deposits’ or their identity papers with their employer and are free to leave their employer after reasonable notice. • The company shall respect the right of personnel to a living wage and ensure that wages paid for a normal work week shall always meet at least legal or industry minimum standards and shall be sufficient to meet the basic needs of personnel and to provide some discretionary income. • All workers shall be provided with written and understandable information about their employment conditions before they enter employment. • Employees should be allowed freedom of association and the right to collective bargaining. Where the law restricts freedom of association and collective bargaining, employers should facilitate alternative means of representation by staff. • Employees working hours should comply with national laws and industry standards at a minimum. They should have at least 1 day off in 7 on average, and overtime should be voluntary and comply with local working law legislation. Employees should also be given regular breaks. • Working conditions must be safe and hygienic (bearing in mind any hazards specific to that industry), with access to clean toilets and water for drinking and washing. There should also be access to medical care when needed. • Employees should receive regular health and safety training and guidance, with clear health and safety procedures for all staff in the workplace, including those specific to their role. A senior representative should hold responsibility for the health and safety of all staff, including emergency procedures, and all accidents should be logged. • Accommodation, where provided, shall be clean, safe, and meet the basic needs of the workers. • Employees should not be submitted to harsh or inhumane treatment and all disciplinary procedures should be held on record. • Employees should not suffer discrimination in employment on any grounds including but not limited to: gender, race, age, disability, religion, political affiliation, sexual orientation, medical condition or freedom of association. Environment • Suppliers should comply with local and national environmental legislation. • Suppliers should monitor and reduce the environmental impacts of their business including: o Reducing fossil energy and fuel use, electricity use, and associated greenhouse gas emissions. o Reducing and recycling waste. o Ensuring responsible water management, including water saving measures and protection of supply of clean water to communities where these are affected by supplier operations. o Minimising the use of environmentally damaging chemicals and ensuring responsible disposal to prevent pollution of land and water sources. o Preventing negative business impacts on forests, land use, biodiversity and wild life, and ensuring high-value native eco-systems are maintained. Animal Welfare Suppliers of tourist attractions or hotels featuring animals should avoid any form of animal neglect or cruelty and fully adhere to the minimum standards set out in the ABTA Global Guidelines for Animal Welfare. Business Ethics We have a strict anti-bribery policy and expect our suppliers to uphold high standards of integrity, transparency and governance. At a minimum we expect suppliers: • To comply with all relevant local laws and regulations. • Not to be associated with any group that supports acts of violence or terrorism. • Not to offer, promise, give or receive any bribe or kickback and/or other improper advantage to or from any person, customer or supplier. • Not to make nor offer, directly or indirectly, any payment, gift or other advantage to a Foreign Public Official with the intention of influencing them and obtaining or retaining an advantage in the conduct of business. • To adhere to our anti-facilitation of tax evasion policy and not engage in any activity, practice or conduct which would cause an offence to be committed relating to the prevention of tax evasion and/or the facilitation of tax evasion under the Criminal Finances Act 2017. Priority working practices As part of our relationship with our suppliers there are priority areas of improvement that we want our suppliers to incorporate in support of doing ongoing business together. People • Suppliers should take responsibility for the local community they operate in, maximising social and economic benefits to the local community and minimising negative impacts. • Where medical conditions such as HIV / AIDS, malaria, hepatitis B etc. are a significant issue, employers should raise awareness to their employees on the risks of these medical conditions and assist in providing access to education, treatment and medication where possible. Employers should not subject employees to mandatory testing or ask employees to disclose their medical status. • Employers should not subject employees to mandatory pregnancy or virginity testing or questioning. Environment • Suppliers should have an environmental management system in place, whereby relevant, material environmental impacts are monitored and steps are taken to significantly reduce these. • For all onboard products, suppliers should help us to minimise fuel use and carbon emissions by providing us with lightweight products and packaging (without detriment to the safety or security of that product). • Suppliers should consider the full life cycle of products during design and packaging by aiming to (in order): o Reduce material, to reduce both weight and waste o Source all materials from sustainable, renewable or recycled sources. o Provide durable products that allow for re-use wherever possible o Ensure material can be recycled (providing clear labelling to show the recycling route) • Suppliers should remove or reduce all single use items wherever possible (including, but not limited to plastics), and where alternative materials are used they should come from recycled or otherwise verified sustainable sources. • Suppliers are required to ensure products associated with high rainforest destruction risk (i.e., made from, or consisting of, beef, leather, paper, wood, soy, palm oil or biofuels) are responsibly sourced through transparent supply chains with the appropriate independent certification. • All goods and services should be as resource efficient as possible, e.g. energy efficient lighting and appliances, fuel efficient, hybrid or electriccars, renewable electricity or low water use appliances. • Suppliers should help us reduce the carbon footprint of our products through effective management and reduction of their own carbon footprint through: o Utilising efficient manufacturing processes, and by using materials which do not require excessive energy to extract or produce. o Using local suppliers and running efficient logistical systems that reduce transport of our customers, staff and products as far as possible, to reduce both carbon emissions and local air pollution. o Responsible waste reductions and recycling within their business.

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

My weight has gotten out of control ever since I had my daughter. I'm considering gastric bypass surgery. I know that there are risks with every surgery. Summarize what the procedure entails, the risks, how it impacts nutrients and compares to other options.

Roux-en-Y gastric bypass involves creating a small gastric pouch, about the size of an egg, by stapling off the upper section of the stomach and then attaching it to a section of the intestines called the Roux limb. Simply put, this procedure both reshapes the stomach and reroutes the intestines by bypassing a large portion of the small intestine. This procedure promotes weight loss because it… Reduces the amount of food that your stomach can hold Limits the number of calories and nutrients that your body can absorb Changes your gut hormones affecting both appetite and intake Research also shows that the average weight loss associated with the Roux-en-Y gastric bypass is about 70% excess weight, which is about 10% higher than the average weight loss associated with the gastric sleeve. The total amount of weight you lose depends on your type of surgery and the changes you make in your lifestyle habits. Medical benefits of gastric bypass surgery [box] Gastric bypass can help you to reduce your risk of obesity-related health problems including… Gastroesophageal reflux disease Heart disease High blood pressure High cholesterol Hyperlipidemia Relief of musculoskeletal pain Obstructive sleep apnea Type 2 diabetes Stroke Cancer Infertility So, you might be thinking that these medical benefits sound similar to those related to other bariatric surgeries… and you would be right. However, one noted difference in Roux-en-Y gastric bypass is related to the amount of time it takes to see results. Research published in the Texas Heart Institute Journal reveals that it is possible for the blood sugar of a diabetic patient to return to normal following Roux-en-Y gastric bypass before substantial weight loss takes place. It is estimated that approximately 40% of obese patients with type 2 diabetes go into remission within days or weeks after Roux-en-Y Gastric Bypass. So, what about the financial benefits related to bariatric surgery? It’s possible that the high upfront cost of bariatric surgery can be intimidating, but research shows that it can be worth it in the long run (or actually a shorter run than you might think). One study published in the Obesity Reviews reveals that obesity alone, without any other related diseases or conditions, can cost an additional $1723 dollars a year. If you are thinking that isn’t a lot of money… Just wait until you factor in other conditions like diabetes. A study published by the Obesity Society estimated the yearly cost for managing diabetes is about $13,243 dollars. Now that’s a significant amount of money. Historically for bariatric surgery patients, the initial investment averaged about $29,000 for open surgeries in 2004-2007 and $19,000 for laparoscopic surgeries in 2004-2007. Results from a study published by Surgery for Obesity and Related Diseases found that 1 year after bariatric surgery the improvement in the quality of life was similar between the Sleeve Gastrectomy and Gastric Bypass. However, this study found a greater increase in physical functioning after Roux-en-Y Gastric Bypass. Short-term Complications of Gastric Bypass or abdominal surgery can include: Excessive bleeding Infection Adverse reactions to anesthesia Blood clots Perforation Stricture Lung or breathing problems Leaks in your gastrointestinal system Long-Term Complications of Gastric Bypass can include: Bowel obstruction Dumping syndrome Gallstones Hernias Low blood sugar Malnutrition/Nutrient Deficiencies Stomach perforation Ulcers Vomiting One study published by the NCBI found that anywhere from 3% to 20% of patients following Roux-en-Y Gastric Bypass had Long-term complications that could require reoperation. Due to the nature of the surgery and how it impacts absorption of nutrients it is important to be aware of Nutrient Deficiencies that can occur.

"================ <TEXT PASSAGE> ======= Roux-en-Y gastric bypass involves creating a small gastric pouch, about the size of an egg, by stapling off the upper section of the stomach and then attaching it to a section of the intestines called the Roux limb. Simply put, this procedure both reshapes the stomach and reroutes the intestines by bypassing a large portion of the small intestine. This procedure promotes weight loss because it… Reduces the amount of food that your stomach can hold Limits the number of calories and nutrients that your body can absorb Changes your gut hormones affecting both appetite and intake Research also shows that the average weight loss associated with the Roux-en-Y gastric bypass is about 70% excess weight, which is about 10% higher than the average weight loss associated with the gastric sleeve. The total amount of weight you lose depends on your type of surgery and the changes you make in your lifestyle habits. Medical benefits of gastric bypass surgery [box] Gastric bypass can help you to reduce your risk of obesity-related health problems including… Gastroesophageal reflux disease Heart disease High blood pressure High cholesterol Hyperlipidemia Relief of musculoskeletal pain Obstructive sleep apnea Type 2 diabetes Stroke Cancer Infertility So, you might be thinking that these medical benefits sound similar to those related to other bariatric surgeries… and you would be right. However, one noted difference in Roux-en-Y gastric bypass is related to the amount of time it takes to see results. Research published in the Texas Heart Institute Journal reveals that it is possible for the blood sugar of a diabetic patient to return to normal following Roux-en-Y gastric bypass before substantial weight loss takes place. It is estimated that approximately 40% of obese patients with type 2 diabetes go into remission within days or weeks after Roux-en-Y Gastric Bypass. So, what about the financial benefits related to bariatric surgery? It’s possible that the high upfront cost of bariatric surgery can be intimidating, but research shows that it can be worth it in the long run (or actually a shorter run than you might think). One study published in the Obesity Reviews reveals that obesity alone, without any other related diseases or conditions, can cost an additional $1723 dollars a year. If you are thinking that isn’t a lot of money… Just wait until you factor in other conditions like diabetes. A study published by the Obesity Society estimated the yearly cost for managing diabetes is about $13,243 dollars. Now that’s a significant amount of money. Historically for bariatric surgery patients, the initial investment averaged about $29,000 for open surgeries in 2004-2007 and $19,000 for laparoscopic surgeries in 2004-2007. Results from a study published by Surgery for Obesity and Related Diseases found that 1 year after bariatric surgery the improvement in the quality of life was similar between the Sleeve Gastrectomy and Gastric Bypass. However, this study found a greater increase in physical functioning after Roux-en-Y Gastric Bypass. Short-term Complications of Gastric Bypass or abdominal surgery can include: Excessive bleeding Infection Adverse reactions to anesthesia Blood clots Perforation Stricture Lung or breathing problems Leaks in your gastrointestinal system Long-Term Complications of Gastric Bypass can include: Bowel obstruction Dumping syndrome Gallstones Hernias Low blood sugar Malnutrition/Nutrient Deficiencies Stomach perforation Ulcers Vomiting One study published by the NCBI found that anywhere from 3% to 20% of patients following Roux-en-Y Gastric Bypass had Long-term complications that could require reoperation. Due to the nature of the surgery and how it impacts absorption of nutrients it is important to be aware of Nutrient Deficiencies that can occur. https://www.barilife.com/blog/pros-and-cons-of-gastric-bypass/ ================ <QUESTION> ======= My weight has gotten out of control ever since I had my daughter. I'm considering gastric bypass surgery. I know that there are risks with every surgery. Summarize what the procedure entails, the risks, how it impacts nutrients and compares to other options. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

I have an idea for a new product but I need a manufacturer to produce it for me. How do I know someone won't steal my idea, and what kinds of failsafe should I have in place in case they do try to steal my idea?

How does using an NDA with U.S. manufacturers protect your idea? The NDA or no disclosure agreement is a promise to keep your idea secret. They can’t file a patent application because it would publish as a patent or pre-grant publication. They can’t market your invention. These would all be considered a breach of the NDA. But, how do you get manufacturers to sign the NDA? Early on during the conversation, don’t ask the manufacturer to sign a nondisclosure agreement. That will put them on the defensive. They’ll just reject you. Most companies won’t want to sign a non-disclosure agreement immediately. NDAs are viewed as an invitation to a lawsuit since they require them to keep your information confidential. If there is even an appearance of a breach, they are afraid that you will sue them. Rather, a better approach is to see if, in general, they can make your product. Talk about generic matters first. You and the manufacturer can get a feel for each other first to see if you’re a good fit. After a while, you’ll come to a point where you need to share your idea with them. You’ve done your due diligence and you believe that this manufacturer might be a good fit for you. They’ll also want to hear your idea so that they can gain your business. It’s at this point that you should ask them to sign a non-disclosure agreement. How does using an NNN agreement with Chinese manufacturers protect your idea? The NNN agreement works in the same way as the NDA to protect your idea. The Chinese manufacturer is agreeing to protect your idea. But, how do you get a Chinese manufacturer to sign an NDA? First, don’t call it an NDA. Just ask them to sign an NNN agreement which stands for non-disclosure, non-compete, and non-use. It’s their version of the NDA. Because of that, you’ll get less pushback from manufacturers in China since they’re used to signing these agreements. Click here to download a sample NNN Agreement. How does using multiple manufacturers prevent your manufacturers from stealing your idea? You could split up the production of your product amongst 2 or more manufacturers. This only works if your product has multiple components. In this way, no one manufacturer would know what the product is and don’t have all of the information to steal the idea from you. How does documenting your idea prevents a manufacturer from stealing your idea? You should document your idea to protect yourself against the manufacturer. The document we are referring to is an inventor’s notebook. It’s typically a dated running log of your ideas in a bound book. By documenting your ideas in an inventor’s notebook, you can establish which ideas are yours. If the manufacturer claims an idea is theirs, you can prove that you already had that idea by showing them your inventor’s notebook. Let’s see how this plays out in a typical scenario. You’ve done your due diligence and selected a manufacturer. You’ve entered into a nondisclosure agreement then you tell the manufacturer about your idea. As you and the manufacturer brainstorm how to make the product, the manufacturer suggests a feature for the product. They claim that feature as their own. Does that feature belong to the manufacturer? Or do you own the intellectual property? That’s the dispute between the manufacturer and you. By showing them your inventor’s notebook, you can show the manufacturer that you already thought of that feature. You can establish that the feature already belongs to you. The manufacturer might argue that you fabricated the document after the fact. However, it’s harder to do with a running logbook that’s dated. How a patent application prevents your manufacturer from stealing your idea? The patent application provides further proof that you invented a particular idea. In the event the manufacturer suggests a feature for your product, the patent application establishes that feature as your own if it’s already in there. They can’t argue that you fabricated the document after the fact because the USPTO establishes the filing date of that document. How a patent prevents your manufacturer from stealing your idea? A design patent can prevent your manufacturer from using the molds that you paid for to make and sell products to others. If they use your molds, those products would be infringing on your design patent. You can sue them for patent infringement. Moreover, if you get a utility patent, the manufacturer can’t infringe on your utility patent. Otherwise, you would sue them for patent infringement. In order to more effectively protect yourself against manufacturers, the final agreement between you and the manufacturer should include an assignment of all inventions that they come up with while they are working on your project. For example, if they came up with a feature that you like, you should be able to get a patent for that. After all, you paid them money to make products for you. You can read more about this in: Nondisclosure Agreements and other basic agreements.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== I have an idea for a new product but I need a manufacturer to produce it for me. How do I know someone won't steal my idea, and what kinds of failsafe should I have in place in case they do try to steal my idea? {passage 0} ========== How does using an NDA with U.S. manufacturers protect your idea? The NDA or no disclosure agreement is a promise to keep your idea secret. They can’t file a patent application because it would publish as a patent or pre-grant publication. They can’t market your invention. These would all be considered a breach of the NDA. But, how do you get manufacturers to sign the NDA? Early on during the conversation, don’t ask the manufacturer to sign a nondisclosure agreement. That will put them on the defensive. They’ll just reject you. Most companies won’t want to sign a non-disclosure agreement immediately. NDAs are viewed as an invitation to a lawsuit since they require them to keep your information confidential. If there is even an appearance of a breach, they are afraid that you will sue them. Rather, a better approach is to see if, in general, they can make your product. Talk about generic matters first. You and the manufacturer can get a feel for each other first to see if you’re a good fit. After a while, you’ll come to a point where you need to share your idea with them. You’ve done your due diligence and you believe that this manufacturer might be a good fit for you. They’ll also want to hear your idea so that they can gain your business. It’s at this point that you should ask them to sign a non-disclosure agreement. How does using an NNN agreement with Chinese manufacturers protect your idea? The NNN agreement works in the same way as the NDA to protect your idea. The Chinese manufacturer is agreeing to protect your idea. But, how do you get a Chinese manufacturer to sign an NDA? First, don’t call it an NDA. Just ask them to sign an NNN agreement which stands for non-disclosure, non-compete, and non-use. It’s their version of the NDA. Because of that, you’ll get less pushback from manufacturers in China since they’re used to signing these agreements. Click here to download a sample NNN Agreement. How does using multiple manufacturers prevent your manufacturers from stealing your idea? You could split up the production of your product amongst 2 or more manufacturers. This only works if your product has multiple components. In this way, no one manufacturer would know what the product is and don’t have all of the information to steal the idea from you. How does documenting your idea prevents a manufacturer from stealing your idea? You should document your idea to protect yourself against the manufacturer. The document we are referring to is an inventor’s notebook. It’s typically a dated running log of your ideas in a bound book. By documenting your ideas in an inventor’s notebook, you can establish which ideas are yours. If the manufacturer claims an idea is theirs, you can prove that you already had that idea by showing them your inventor’s notebook. Let’s see how this plays out in a typical scenario. You’ve done your due diligence and selected a manufacturer. You’ve entered into a nondisclosure agreement then you tell the manufacturer about your idea. As you and the manufacturer brainstorm how to make the product, the manufacturer suggests a feature for the product. They claim that feature as their own. Does that feature belong to the manufacturer? Or do you own the intellectual property? That’s the dispute between the manufacturer and you. By showing them your inventor’s notebook, you can show the manufacturer that you already thought of that feature. You can establish that the feature already belongs to you. The manufacturer might argue that you fabricated the document after the fact. However, it’s harder to do with a running logbook that’s dated. How a patent application prevents your manufacturer from stealing your idea? The patent application provides further proof that you invented a particular idea. In the event the manufacturer suggests a feature for your product, the patent application establishes that feature as your own if it’s already in there. They can’t argue that you fabricated the document after the fact because the USPTO establishes the filing date of that document. How a patent prevents your manufacturer from stealing your idea? A design patent can prevent your manufacturer from using the molds that you paid for to make and sell products to others. If they use your molds, those products would be infringing on your design patent. You can sue them for patent infringement. Moreover, if you get a utility patent, the manufacturer can’t infringe on your utility patent. Otherwise, you would sue them for patent infringement. In order to more effectively protect yourself against manufacturers, the final agreement between you and the manufacturer should include an assignment of all inventions that they come up with while they are working on your project. For example, if they came up with a feature that you like, you should be able to get a patent for that. After all, you paid them money to make products for you. You can read more about this in: Nondisclosure Agreements and other basic agreements. https://ocpatentlawyer.com/how-to-prevent-your-manufacturer-from-stealing-your-idea/

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> [user request] <TEXT> [context document]

Which one of these should I buy? Money is no object, but fuel efficiency and range are critical to me. Give me enough detail to make a really informed decision.

Here's Every New Electric Vehicle Model for Sale in the U.S. Electric vehicles make up a small percentage of the total automotive market today, but their appeal continues to grow as the automakers expand their range, performance, and style—and as recharging becomes quicker and easier. Shoppers looking for zero-emissions driving now have an expansive list of vehicles to choose from, with a wide variety of body styles and several different price points. Audi e-tron GT 2024 audi rs etron gtAudi Audi's take on the Porsche Taycan bears the name e-tron GT. Sharing its key mechanical bits with Porsche's electric sedan, the e-tron GT wears distinct bodywork and interior decor. Two flavors of Audi's low-slung EV are available: standard e-tron GT and rowdy RS e-tron GT. Both come exclusively with all-wheel drive, courtesy of an electric motor at each axle, and a 93.4-kWh battery pack. The two electric motors in the entry-level e-tron GT work together to produce a combined peak of 522 horsepower, while the RS e-tron GT ups the ante to 637 ponies. Regardless of trim, both variants of Audi's low-slung electric sedan net 249 miles of EPA-estimated range for 2024. Base price: $107,995 EPA fuel economy, combined/city/highway: 85/85/85 MPGe EPA combined range: 249 miles LEARN MORE ABOUT THE E-TRON GT Audi Q4 e-tron 2022 audi q4 50 etron quattro prestigeAudi Bearing the name Q4 e-tron, this Audi compact electric SUV shares components with the Volkswagen ID.4. Befitting its reputation, the four-ringed brand's battery-electric SUV is notably swankier than its more mainstream VW cousin. Rear-drive comes standard, however, all-wheel-drive is optionally available. A 77.0-kWh lithium-ion battery pack affords up to 265 miles of EPA-rated driving range. Those looking for a bit of extra style can opt for the Q4 e-tron Sportback is the fastback equivalent to the brand's squareback Q4 e-tron. Unlike its squarer stablemate, though, the Sportback comes exclusively with all-wheel drive. There's no cheaper and more efficient rear-driver option here. Though the dual-motor setup is more powerful than the single-motor of the entry-level Q4 e-tron squareback, it's also a good deal less efficient. As such, the Sportback's 95 MPGe combined rating is down 8 MPGe to the most efficient Q4 e-tron squareback. Base price: $50,995 EPA fuel economy, combined/city/highway: 103/112/94 MPGe EPA combined range: 265 miles LEARN MORE ABOUT THE Q4 E-TRON Advertisement - Continue Reading Below Audi Q8 e-tron 2024 audi q8 and sq8 etronaudi Last year's Audi e-tron SUV becomes the Q8 e-tron for 2024. A sizable 95.0-kWh lithium-ion battery pack and two electric motors (one at each axle) generate a peak of 402 horsepower and 490 pound-feet of torque. Unfortunately, the Audi's 226 miles of range isn't that impressive. That said, in our testing, the Q8 e-tron hit 60 mph in 5.2 seconds, so it's at least rather quick. An even more powerful 496-hp SQ8 e-tron is also available, however, it manages a mere 73 MPGe combined and offers less range than the standard Q8 e-tron. Audi also offers the Q8 (and SQ8) e-tron in fastback Sportback guise. Though going the Sportback route adds a few grand to the price tag, it also nets an EPA-rated range of up to 296 miles thanks to its additional efficiency. Base price: $75,595 EPA fuel economy, combined/city/highway: 81/80/83 MPGe EPA combined range: 285 miles LEARN MORE ABOUT THE Q8 E-TRON BMW i4 2022 bmw i4 electric sedan in silverBMW The BMW i4 is an electric four-door fastback available in four distinct flavors: the sensible eDrive35, the mid-level eDrive40, the dual-motor xDrive40, and the racy M50. The eDrive i4 variants pack a single rear-axle-mounted electric motor. An 80.7-kWh battery pack supplies enough electricity to take the mid-level eDrive40 more than 300 miles on a full charge, according to the EPA. Opting for the pricier all-wheel-drive i4 M50 allows this Bimmer to race to 60 mph in 3.3 seconds. Alas, the additional power of the M50 drops the i4's driving range down to an EPA-estimated 271 miles. Base price: $53,195 EPA fuel economy, combined/city/highway: 120/122/119 MPGe EPA combined range: 276 miles LEARN MORE ABOUT THE I4 Advertisement - Continue Reading Below BMW i5 2024 bmw i5BMW The i5 is the electric variant of BMW's popular 5-series sedan, and it offers a similar driving experience to its conventionally powered sibling. Two models of i5 are available: the range-optimized eDrive40 and the performance-minded M60 xDrive (a mid-level xDrive40 arrives for 2025). The cabin draws heavily from that of the larger i7, which is a good thing. If you like your electric sedans with a little extra oomph, get the M60 xDrive for its 510-horsepower dual-motor powertrain. Base price: $67,795 EPA fuel economy, combined/city/highway: 105/104/105 MPGe EPA combined range: 295 miles LEARN MORE ABOUT THE I5 BMW i7 2023 bmw i7 xdrive60BMW Flagship luxury and electric motoring converge for BMW with the introduction of the i7. Despite its size, the i7 is fairly efficient in eDrive50 guise, boasting an EPA combined rating of 90 MPGe and up to 321 miles per charge. To get to those maximums though, you’ll have to restrain yourself from ordering the optional 20- or 21-inch wheels, as either one of those reduces range and efficiency slightly. No matter which wheels you choose, you’ll find the i7 is both quick and quiet with an interior that is both plush and ultramodern. Base price: $106,695 EPA fuel economy, combined/city/highway: 90/87/95 MPGe EPA combined range: 321 miles LEARN MORE ABOUT THE I7 Advertisement - Continue Reading Below BMW iX 2022 bmw ix xdrive50 in redJessica Lynn Walker|Car and Driver The BMW iX's design may polarize, but its elegantly appointed interior is sure to impress. As is its all-wheel-drive battery-electric powertrain, which includes two electric motors (one at each axle) that produce a total of 516 horsepower in xDrive50 guise. Those in need of even more power can snag the 610 horsepower iX M60. No matter the trim, the iX packs serious dynamic performance. And yet, it's also surprisingly efficient. Its 83 MPGe combined figure helps this big SUV earn an EPA-rated range of 307 miles. Base price: $88,095 EPA fuel economy, combined/city/highway: 83/83/82 MPGe EPA combined range: 307 miles LEARN MORE ABOUT THE IX Cadillac Lyriq 2023 cadillac lyriqCadillac Cadillac’s first entry into the luxury electric SUV category is the slick-looking Lyriq. It shares its battery tech with other high-profile GM EVs, including the GMC Hummer EV pickup truck, but it wears a more upscale wardrobe. The rear-wheel-drive model offers the most range—up to 314 miles per charge. The all-wheel-drive model adds an additional electric motor to produce a combined 500 horsepower. Unlike Caddy’s sports sedans, the Lyriq’s driving demeanor takes on a more comfortable, cruising-focused feel and the quiet cabin is spacious for both people and cargo. Base price: $58,590 EPA fuel economy, combined/city/highway: 88/95/82 MPGe EPA combined range: 314 miles LEARN MORE ABOUT THE LYRIQ Chevrolet Blazer EV 2024 chevrolet blazer ev rsChevrolet Apart from being a midsize two-row Chevy SUV wearing aggressive styling, the Blazer EV shares little in common with its gas-powered relative. The Blazer EV comes in three trim levels: LT, RS, and SS. Many drivetrain combinations are available, ranging from a mild single-motor front-wheel-drive setup for the base LT to a wild 557-horsepower dual-motor all-wheel-drive fitment for the SS. Base price: $53,195 EPA fuel economy, combined/city/highway: 96/103/88 MPGe EPA combined range: 279 miles

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> Which one of these should I buy? Money is no object, but fuel efficiency and range are critical to me. Give me enough detail to make a really informed decision. <TEXT> Here's Every New Electric Vehicle Model for Sale in the U.S. Electric vehicles make up a small percentage of the total automotive market today, but their appeal continues to grow as the automakers expand their range, performance, and style—and as recharging becomes quicker and easier. Shoppers looking for zero-emissions driving now have an expansive list of vehicles to choose from, with a wide variety of body styles and several different price points. Audi e-tron GT 2024 audi rs etron gtAudi Audi's take on the Porsche Taycan bears the name e-tron GT. Sharing its key mechanical bits with Porsche's electric sedan, the e-tron GT wears distinct bodywork and interior decor. Two flavors of Audi's low-slung EV are available: standard e-tron GT and rowdy RS e-tron GT. Both come exclusively with all-wheel drive, courtesy of an electric motor at each axle, and a 93.4-kWh battery pack. The two electric motors in the entry-level e-tron GT work together to produce a combined peak of 522 horsepower, while the RS e-tron GT ups the ante to 637 ponies. Regardless of trim, both variants of Audi's low-slung electric sedan net 249 miles of EPA-estimated range for 2024. Base price: $107,995 EPA fuel economy, combined/city/highway: 85/85/85 MPGe EPA combined range: 249 miles LEARN MORE ABOUT THE E-TRON GT Audi Q4 e-tron 2022 audi q4 50 etron quattro prestigeAudi Bearing the name Q4 e-tron, this Audi compact electric SUV shares components with the Volkswagen ID.4. Befitting its reputation, the four-ringed brand's battery-electric SUV is notably swankier than its more mainstream VW cousin. Rear-drive comes standard, however, all-wheel-drive is optionally available. A 77.0-kWh lithium-ion battery pack affords up to 265 miles of EPA-rated driving range. Those looking for a bit of extra style can opt for the Q4 e-tron Sportback is the fastback equivalent to the brand's squareback Q4 e-tron. Unlike its squarer stablemate, though, the Sportback comes exclusively with all-wheel drive. There's no cheaper and more efficient rear-driver option here. Though the dual-motor setup is more powerful than the single-motor of the entry-level Q4 e-tron squareback, it's also a good deal less efficient. As such, the Sportback's 95 MPGe combined rating is down 8 MPGe to the most efficient Q4 e-tron squareback. Base price: $50,995 EPA fuel economy, combined/city/highway: 103/112/94 MPGe EPA combined range: 265 miles LEARN MORE ABOUT THE Q4 E-TRON Advertisement - Continue Reading Below Audi Q8 e-tron 2024 audi q8 and sq8 etronaudi Last year's Audi e-tron SUV becomes the Q8 e-tron for 2024. A sizable 95.0-kWh lithium-ion battery pack and two electric motors (one at each axle) generate a peak of 402 horsepower and 490 pound-feet of torque. Unfortunately, the Audi's 226 miles of range isn't that impressive. That said, in our testing, the Q8 e-tron hit 60 mph in 5.2 seconds, so it's at least rather quick. An even more powerful 496-hp SQ8 e-tron is also available, however, it manages a mere 73 MPGe combined and offers less range than the standard Q8 e-tron. Audi also offers the Q8 (and SQ8) e-tron in fastback Sportback guise. Though going the Sportback route adds a few grand to the price tag, it also nets an EPA-rated range of up to 296 miles thanks to its additional efficiency. Base price: $75,595 EPA fuel economy, combined/city/highway: 81/80/83 MPGe EPA combined range: 285 miles LEARN MORE ABOUT THE Q8 E-TRON BMW i4 2022 bmw i4 electric sedan in silverBMW The BMW i4 is an electric four-door fastback available in four distinct flavors: the sensible eDrive35, the mid-level eDrive40, the dual-motor xDrive40, and the racy M50. The eDrive i4 variants pack a single rear-axle-mounted electric motor. An 80.7-kWh battery pack supplies enough electricity to take the mid-level eDrive40 more than 300 miles on a full charge, according to the EPA. Opting for the pricier all-wheel-drive i4 M50 allows this Bimmer to race to 60 mph in 3.3 seconds. Alas, the additional power of the M50 drops the i4's driving range down to an EPA-estimated 271 miles. Base price: $53,195 EPA fuel economy, combined/city/highway: 120/122/119 MPGe EPA combined range: 276 miles LEARN MORE ABOUT THE I4 Advertisement - Continue Reading Below BMW i5 2024 bmw i5BMW The i5 is the electric variant of BMW's popular 5-series sedan, and it offers a similar driving experience to its conventionally powered sibling. Two models of i5 are available: the range-optimized eDrive40 and the performance-minded M60 xDrive (a mid-level xDrive40 arrives for 2025). The cabin draws heavily from that of the larger i7, which is a good thing. If you like your electric sedans with a little extra oomph, get the M60 xDrive for its 510-horsepower dual-motor powertrain. Base price: $67,795 EPA fuel economy, combined/city/highway: 105/104/105 MPGe EPA combined range: 295 miles LEARN MORE ABOUT THE I5 BMW i7 2023 bmw i7 xdrive60BMW Flagship luxury and electric motoring converge for BMW with the introduction of the i7. Despite its size, the i7 is fairly efficient in eDrive50 guise, boasting an EPA combined rating of 90 MPGe and up to 321 miles per charge. To get to those maximums though, you’ll have to restrain yourself from ordering the optional 20- or 21-inch wheels, as either one of those reduces range and efficiency slightly. No matter which wheels you choose, you’ll find the i7 is both quick and quiet with an interior that is both plush and ultramodern. Base price: $106,695 EPA fuel economy, combined/city/highway: 90/87/95 MPGe EPA combined range: 321 miles LEARN MORE ABOUT THE I7 Advertisement - Continue Reading Below BMW iX 2022 bmw ix xdrive50 in redJessica Lynn Walker|Car and Driver The BMW iX's design may polarize, but its elegantly appointed interior is sure to impress. As is its all-wheel-drive battery-electric powertrain, which includes two electric motors (one at each axle) that produce a total of 516 horsepower in xDrive50 guise. Those in need of even more power can snag the 610 horsepower iX M60. No matter the trim, the iX packs serious dynamic performance. And yet, it's also surprisingly efficient. Its 83 MPGe combined figure helps this big SUV earn an EPA-rated range of 307 miles. Base price: $88,095 EPA fuel economy, combined/city/highway: 83/83/82 MPGe EPA combined range: 307 miles LEARN MORE ABOUT THE IX Cadillac Lyriq 2023 cadillac lyriqCadillac Cadillac’s first entry into the luxury electric SUV category is the slick-looking Lyriq. It shares its battery tech with other high-profile GM EVs, including the GMC Hummer EV pickup truck, but it wears a more upscale wardrobe. The rear-wheel-drive model offers the most range—up to 314 miles per charge. The all-wheel-drive model adds an additional electric motor to produce a combined 500 horsepower. Unlike Caddy’s sports sedans, the Lyriq’s driving demeanor takes on a more comfortable, cruising-focused feel and the quiet cabin is spacious for both people and cargo. Base price: $58,590 EPA fuel economy, combined/city/highway: 88/95/82 MPGe EPA combined range: 314 miles LEARN MORE ABOUT THE LYRIQ Chevrolet Blazer EV 2024 chevrolet blazer ev rsChevrolet Apart from being a midsize two-row Chevy SUV wearing aggressive styling, the Blazer EV shares little in common with its gas-powered relative. The Blazer EV comes in three trim levels: LT, RS, and SS. Many drivetrain combinations are available, ranging from a mild single-motor front-wheel-drive setup for the base LT to a wild 557-horsepower dual-motor all-wheel-drive fitment for the SS. Base price: $53,195 EPA fuel economy, combined/city/highway: 96/103/88 MPGe EPA combined range: 279 miles https://www.caranddriver.com/features/g32463239/new-ev-models-us/?utm_source=google&utm_medium=cpc&utm_campaign=dda_ga_cd_ext_prog_org_us_g32463239&utm_source=google&utm_medium=cpc&utm_campaign=dda_ga_cd_md_bm_prog_org_us_20600399402&gad_source=1&gclid=CjwKCAjw_4S3BhAAEiwA_64Yhm8SAofgx5e15GZ4218GmxzQi1fBbihK5U_xLAG0ndpWd_rScc9HYRoCPJ0QAvD_BwE

Any information used should come solely from the provided text. Use no outside information or prior knowledge in your response.

Provide one example of how the change in scheduling would impact low-income people.

Legal Consequences of Rescheduling Marijuana Updated May 1, 2024 On April 30, 2024, news outlets reported that the Drug Enforcement Administration (DEA) planned to move marijuana from Schedule I to Schedule III under the Controlled Substances Act (CSA). The planned change followed an August 2023 recommendation from the Department of Health and Human Services (HHS) that DEA reschedule marijuana from Schedule I to Schedule III. Any change to the status of marijuana via the DEA rulemaking process would not take effect immediately. According to reports, the proposal will be reviewed by the White House Office of Management and Budget and will then be subject to public comment. A previous CRS Insight outlined policy considerations related to rescheduling marijuana. This Legal Sidebar provides additional information on the legal consequences of the possible move of marijuana from Schedule I to Schedule III. Current Legal Status of Cannabis Under the CSA Cannabis and its derivatives generally fall within one of two categories under federal law: marijuana or hemp. Unless an exception applies, the CSA classifies the cannabis plant and its derivatives as marijuana (some provisions of the statute use an alternative spelling, “marihuana”). The CSA definition of marijuana excludes (1) products that meet the legal definition of hemp and (2) the mature stalks of the cannabis plant; the sterilized seeds of the plant; and fibers, oils, and other products made from the stalks and seeds. Marijuana is a Schedule I controlled substance under the CSA. Federal law defines hemp as the cannabis plant or any part of that plant with a delta-9 tetrahydrocannabinol (THC) concentration of no more than 0.3%. The non-psychoactive compound cannabidiol (CBD) falls within the legal definition of hemp. Hemp is not a controlled substance under the CSA. Substances become subject to the CSA through placement in one of five lists, known as Schedules I through V. Congress placed marijuana in Schedule I in 1970 when it enacted the CSA. A lower schedule number carries greater restrictions under the CSA, with controlled substances in Schedule I subject to the most stringent controls. Schedule I controlled substances have no currently accepted medical use. It is illegal to produce, dispense, or possess such substances except in the context of federally approved Congressional Research Service https://crsreports.congress.gov LSB11105 Congressional Research Service 2 scientific studies, subject to CSA regulatory requirements designed to prevent abuse and diversion. Unauthorized activities involving Schedule I controlled substances are federal crimes that may give rise to large fines and significant jail time. DEA is required to set annual production quotas for Schedule I controlled substances manufactured for use in approved research. In addition to the general regulatory framework that applies due to marijuana’s Schedule I status, some provisions of the CSA apply specifically to marijuana. For instance, 21 U.S.C. § 841 imposes mandatory minimum prison sentences for persons convicted of criminal CSA violations involving set quantities of specific controlled substances, including marijuana. In addition, 21 U.S.C. § 823 creates special registration requirements for those who manufacture marijuana for research purposes. In sharp contrast to the stringent federal control of marijuana, in recent decades nearly all the states have changed their laws to permit the use of marijuana (or other cannabis products) for medical purposes. In addition, twenty-four states and the District of Columbia have passed laws removing certain state criminal prohibitions on recreational marijuana use by adults. As the Supreme Court has recognized, states cannot actually legalize marijuana because the states cannot change federal law, and the Constitution’s Supremacy Clause dictates that federal law takes precedence over conflicting state laws. So long as marijuana is a Schedule I controlled substance under the CSA, all unauthorized activities involving marijuana are federal crimes anywhere in the United States, including in states that have purported to legalize medical or recreational marijuana. Nonetheless, Congress has granted the states some leeway to allow the distribution and use of medical marijuana. In each budget cycle since FY2014, Congress has passed an appropriations rider barring the Department of Justice (DOJ) from using taxpayer funds to prevent states from “implementing their own laws that authorize the use, distribution, possession, or cultivation of medical marijuana.” Courts have interpreted the appropriations rider to prohibit federal prosecution of state-legal activities involving medical marijuana. However, it poses no bar to federal prosecution of activities involving recreational marijuana. Moreover, the rider does not remove criminal liability; it merely limits enforcement of the CSA in certain circumstances while the rider remains in effect. While official DOJ policy has varied somewhat across Administrations, recent presidential Administrations have not prioritized prosecution of state-legal activities involving marijuana. Even absent criminal prosecution or conviction, individuals and organizations engaged in marijuanarelated activities in violation of the CSA—including participants in the state-legal marijuana industry— may face collateral consequences arising from the federal prohibition of marijuana. Other federal laws impose legal consequences based on criminal activity, including violations of the CSA. For example, a financial institution handling income from a marijuana business may violate federal anti-money laundering laws. Likewise, Section 280E of the Internal Revenue Code renders marijuana businesses ineligible for certain federal tax deductions. The presence of income from a marijuana-related business may also prevent a bankruptcy court from confirming a bankruptcy plan (though courts have split on the issue). For individuals, participation in the state-legal marijuana industry may have adverse immigration consequences. Violations of the CSA may also affect individuals’ ability to receive certain federal government benefits. In addition, federal law prohibits gun ownership and possession by any person who is an “unlawful user of or addicted to any controlled substance,” with no exception for users of state-legal medical marijuana. Legal Consequences If Marijuana Moved to Schedule III Moving marijuana from Schedule I to Schedule III, without other legal changes, would not bring the state-legal medical or recreational marijuana industry into compliance with federal controlled substances law. With respect to medical marijuana, a key difference between placement in Schedule I and Schedule III is that substances in Schedule III have an accepted medical use and may lawfully be dispensed by Congressional Research Service 3 prescription, while substances in Schedule I cannot. However, prescription drugs must be approved by the Food and Drug Administration (FDA). Although FDA has approved some drugs derived from or related to cannabis, marijuana itself is not an FDA-approved drug. Moreover, if one or more marijuana products obtained FDA approval, manufacturers and distributors would need to register with DEA and comply with regulatory requirements that apply to Schedule III substances in order to handle those products. Users of medical marijuana would need to obtain valid prescriptions for the substance from medical providers, subject to federal legal requirements that differ from existing state regulatory requirements for medical marijuana. Rescheduling marijuana would not affect the medical marijuana appropriations rider. Thus, so long as the current rider remains in effect, participants in the state-legal medical marijuana industry who comply with state law would be shielded from federal prosecution. If the rider were to lapse or be repealed, these persons would again be subject to prosecution at the discretion of DOJ. With respect to the manufacture, distribution, and possession of recreational marijuana, if marijuana were moved to Schedule III, such activities would remain illegal under federal law and potentially subject to federal prosecution regardless of their status under state law. Some criminal penalties for CSA violations depend on the schedule in which a substance is classified. If marijuana were moved to Schedule III, applicable penalties for some offenses would be reduced. However, CSA penalties that apply to activities involving marijuana specifically, such as the quantitybased mandatory minimum sentences discussed above, would not change as a result of rescheduling. DEA is not required to set annual production quotas for Schedule III controlled substances. The prohibition on business deductions in Section 280E of the Internal Revenue Code applies to any trade or business that “consists of trafficking in controlled substances (within the meaning of schedule I and II of the Controlled Substances Act) which is prohibited by Federal law or the law of any State in which such trade or business is conducted.” Because the provision applies only to activities involving substances in Schedule I or II, moving marijuana from Schedule I to Schedule III would allow marijuana businesses to deduct business expenses on federal tax filings. Other collateral legal consequences would continue to attach to unauthorized marijuana-related activities. Considerations for Congress Either Congress or the executive branch has the authority to change the status of marijuana under the CSA. Congress can change the status of a controlled substance through legislation, while the CSA empowers DEA to make scheduling decisions through the notice-and-comment rulemaking process. When considering whether to schedule or reschedule a controlled substance, DEA is bound by HHS’s recommendations on scientific and medical matters. However, DEA has stated that it has “final authority to schedule, reschedule, or deschedule a drug under the Controlled Substances Act.” A proposal from the 118th Congress would provide for congressional review of DEA rescheduling decisions related to marijuana. If Congress wishes to change the legal status of marijuana, it has broad authority to do so before or after DEA makes any final scheduling decision. Several proposals from the 118th Congress would remove marijuana from control under the CSA or move the substance to a less restrictive schedule. If Congress moved marijuana to Schedule III by legislation, it could simultaneously consider whether to change some of the legal consequences of Schedule III status described above. Congress could also legislate to move marijuana to another CSA schedule, which would subject it to controls more or less stringent than those that apply to Schedule III controlled substances. Rescheduling or descheduling marijuana under the CSA could raise additional legal questions. For instance, FDA regulates certain cannabis products under the Federal Food, Drug, and Cosmetic Act, so Congressional Research Service 4 LSB11105 · VERSION 2 · UPDATED Congress might also consider whether to alter that regulatory regime or create some alternative regulatory framework. In addition, relaxing the CSA’s restrictions on marijuana could implicate the United States’ international treaty obligations. While most recent proposals would relax federal regulation of marijuana, Congress could also seek to impose more stringent controls. One proposal from the 118th Congress would withhold certain federal funds from states in which the purchase or public possession of marijuana for recreational purposes is lawful. A proposal from the 117th Congress would have prohibited the use of benefits under the Temporary Assistance for Needy Families block grant at any store that offers marijuana for sale. Other proposals from the 117th Congress sought to address the issues of workplace impairment or driving under the influence of marijuana and other substances.

Any information used should come solely from the provided text. Use no outside information or prior knowledge in your response. Legal Consequences of Rescheduling Marijuana Updated May 1, 2024 On April 30, 2024, news outlets reported that the Drug Enforcement Administration (DEA) planned to move marijuana from Schedule I to Schedule III under the Controlled Substances Act (CSA). The planned change followed an August 2023 recommendation from the Department of Health and Human Services (HHS) that DEA reschedule marijuana from Schedule I to Schedule III. Any change to the status of marijuana via the DEA rulemaking process would not take effect immediately. According to reports, the proposal will be reviewed by the White House Office of Management and Budget and will then be subject to public comment. A previous CRS Insight outlined policy considerations related to rescheduling marijuana. This Legal Sidebar provides additional information on the legal consequences of the possible move of marijuana from Schedule I to Schedule III. Current Legal Status of Cannabis Under the CSA Cannabis and its derivatives generally fall within one of two categories under federal law: marijuana or hemp. Unless an exception applies, the CSA classifies the cannabis plant and its derivatives as marijuana (some provisions of the statute use an alternative spelling, “marihuana”). The CSA definition of marijuana excludes (1) products that meet the legal definition of hemp and (2) the mature stalks of the cannabis plant; the sterilized seeds of the plant; and fibers, oils, and other products made from the stalks and seeds. Marijuana is a Schedule I controlled substance under the CSA. Federal law defines hemp as the cannabis plant or any part of that plant with a delta-9 tetrahydrocannabinol (THC) concentration of no more than 0.3%. The non-psychoactive compound cannabidiol (CBD) falls within the legal definition of hemp. Hemp is not a controlled substance under the CSA. Substances become subject to the CSA through placement in one of five lists, known as Schedules I through V. Congress placed marijuana in Schedule I in 1970 when it enacted the CSA. A lower schedule number carries greater restrictions under the CSA, with controlled substances in Schedule I subject to the most stringent controls. Schedule I controlled substances have no currently accepted medical use. It is illegal to produce, dispense, or possess such substances except in the context of federally approved Congressional Research Service https://crsreports.congress.gov LSB11105 Congressional Research Service 2 scientific studies, subject to CSA regulatory requirements designed to prevent abuse and diversion. Unauthorized activities involving Schedule I controlled substances are federal crimes that may give rise to large fines and significant jail time. DEA is required to set annual production quotas for Schedule I controlled substances manufactured for use in approved research. In addition to the general regulatory framework that applies due to marijuana’s Schedule I status, some provisions of the CSA apply specifically to marijuana. For instance, 21 U.S.C. § 841 imposes mandatory minimum prison sentences for persons convicted of criminal CSA violations involving set quantities of specific controlled substances, including marijuana. In addition, 21 U.S.C. § 823 creates special registration requirements for those who manufacture marijuana for research purposes. In sharp contrast to the stringent federal control of marijuana, in recent decades nearly all the states have changed their laws to permit the use of marijuana (or other cannabis products) for medical purposes. In addition, twenty-four states and the District of Columbia have passed laws removing certain state criminal prohibitions on recreational marijuana use by adults. As the Supreme Court has recognized, states cannot actually legalize marijuana because the states cannot change federal law, and the Constitution’s Supremacy Clause dictates that federal law takes precedence over conflicting state laws. So long as marijuana is a Schedule I controlled substance under the CSA, all unauthorized activities involving marijuana are federal crimes anywhere in the United States, including in states that have purported to legalize medical or recreational marijuana. Nonetheless, Congress has granted the states some leeway to allow the distribution and use of medical marijuana. In each budget cycle since FY2014, Congress has passed an appropriations rider barring the Department of Justice (DOJ) from using taxpayer funds to prevent states from “implementing their own laws that authorize the use, distribution, possession, or cultivation of medical marijuana.” Courts have interpreted the appropriations rider to prohibit federal prosecution of state-legal activities involving medical marijuana. However, it poses no bar to federal prosecution of activities involving recreational marijuana. Moreover, the rider does not remove criminal liability; it merely limits enforcement of the CSA in certain circumstances while the rider remains in effect. While official DOJ policy has varied somewhat across Administrations, recent presidential Administrations have not prioritized prosecution of state-legal activities involving marijuana. Even absent criminal prosecution or conviction, individuals and organizations engaged in marijuanarelated activities in violation of the CSA—including participants in the state-legal marijuana industry— may face collateral consequences arising from the federal prohibition of marijuana. Other federal laws impose legal consequences based on criminal activity, including violations of the CSA. For example, a financial institution handling income from a marijuana business may violate federal anti-money laundering laws. Likewise, Section 280E of the Internal Revenue Code renders marijuana businesses ineligible for certain federal tax deductions. The presence of income from a marijuana-related business may also prevent a bankruptcy court from confirming a bankruptcy plan (though courts have split on the issue). For individuals, participation in the state-legal marijuana industry may have adverse immigration consequences. Violations of the CSA may also affect individuals’ ability to receive certain federal government benefits. In addition, federal law prohibits gun ownership and possession by any person who is an “unlawful user of or addicted to any controlled substance,” with no exception for users of state-legal medical marijuana. Legal Consequences If Marijuana Moved to Schedule III Moving marijuana from Schedule I to Schedule III, without other legal changes, would not bring the state-legal medical or recreational marijuana industry into compliance with federal controlled substances law. With respect to medical marijuana, a key difference between placement in Schedule I and Schedule III is that substances in Schedule III have an accepted medical use and may lawfully be dispensed by Congressional Research Service 3 prescription, while substances in Schedule I cannot. However, prescription drugs must be approved by the Food and Drug Administration (FDA). Although FDA has approved some drugs derived from or related to cannabis, marijuana itself is not an FDA-approved drug. Moreover, if one or more marijuana products obtained FDA approval, manufacturers and distributors would need to register with DEA and comply with regulatory requirements that apply to Schedule III substances in order to handle those products. Users of medical marijuana would need to obtain valid prescriptions for the substance from medical providers, subject to federal legal requirements that differ from existing state regulatory requirements for medical marijuana. Rescheduling marijuana would not affect the medical marijuana appropriations rider. Thus, so long as the current rider remains in effect, participants in the state-legal medical marijuana industry who comply with state law would be shielded from federal prosecution. If the rider were to lapse or be repealed, these persons would again be subject to prosecution at the discretion of DOJ. With respect to the manufacture, distribution, and possession of recreational marijuana, if marijuana were moved to Schedule III, such activities would remain illegal under federal law and potentially subject to federal prosecution regardless of their status under state law. Some criminal penalties for CSA violations depend on the schedule in which a substance is classified. If marijuana were moved to Schedule III, applicable penalties for some offenses would be reduced. However, CSA penalties that apply to activities involving marijuana specifically, such as the quantitybased mandatory minimum sentences discussed above, would not change as a result of rescheduling. DEA is not required to set annual production quotas for Schedule III controlled substances. The prohibition on business deductions in Section 280E of the Internal Revenue Code applies to any trade or business that “consists of trafficking in controlled substances (within the meaning of schedule I and II of the Controlled Substances Act) which is prohibited by Federal law or the law of any State in which such trade or business is conducted.” Because the provision applies only to activities involving substances in Schedule I or II, moving marijuana from Schedule I to Schedule III would allow marijuana businesses to deduct business expenses on federal tax filings. Other collateral legal consequences would continue to attach to unauthorized marijuana-related activities. Considerations for Congress Either Congress or the executive branch has the authority to change the status of marijuana under the CSA. Congress can change the status of a controlled substance through legislation, while the CSA empowers DEA to make scheduling decisions through the notice-and-comment rulemaking process. When considering whether to schedule or reschedule a controlled substance, DEA is bound by HHS’s recommendations on scientific and medical matters. However, DEA has stated that it has “final authority to schedule, reschedule, or deschedule a drug under the Controlled Substances Act.” A proposal from the 118th Congress would provide for congressional review of DEA rescheduling decisions related to marijuana. If Congress wishes to change the legal status of marijuana, it has broad authority to do so before or after DEA makes any final scheduling decision. Several proposals from the 118th Congress would remove marijuana from control under the CSA or move the substance to a less restrictive schedule. If Congress moved marijuana to Schedule III by legislation, it could simultaneously consider whether to change some of the legal consequences of Schedule III status described above. Congress could also legislate to move marijuana to another CSA schedule, which would subject it to controls more or less stringent than those that apply to Schedule III controlled substances. Rescheduling or descheduling marijuana under the CSA could raise additional legal questions. For instance, FDA regulates certain cannabis products under the Federal Food, Drug, and Cosmetic Act, so Congressional Research Service 4 LSB11105 · VERSION 2 · UPDATED Congress might also consider whether to alter that regulatory regime or create some alternative regulatory framework. In addition, relaxing the CSA’s restrictions on marijuana could implicate the United States’ international treaty obligations. While most recent proposals would relax federal regulation of marijuana, Congress could also seek to impose more stringent controls. One proposal from the 118th Congress would withhold certain federal funds from states in which the purchase or public possession of marijuana for recreational purposes is lawful. A proposal from the 117th Congress would have prohibited the use of benefits under the Temporary Assistance for Needy Families block grant at any store that offers marijuana for sale. Other proposals from the 117th Congress sought to address the issues of workplace impairment or driving under the influence of marijuana and other substances. Provide one example of how the change in scheduling would impact low-income people.

This task requires you to draw your answer from the given text only. Do not use any outside resources or prior knowledge. Your answer must be 100 words or less.

What arguments did the US Court of appeals reject?

In April 2024, the Federal Trade Commission (FTC) issued a rule prohibiting most employers from entering into or enforcing non-compete agreements with workers, subject to exceptions for the sale of a business and preexisting non-competes with senior executives. The rule (the Non-Compete Rule) implicates unsettled issues regarding the FTC’s authority to issue substantive competition regulations. Lawsuits challenging the rule followed. In one of those cases, a federal district court has declared the Non-Compete Rule unlawful and barred the FTC from enforcing it nationwide. Shortly before that decision, another court held that a separate challenge to the rule was likely to succeed and preliminarily enjoined the rule’s enforcement against the named plaintiff in that case. A third court has taken a more favorable view of the Non-Compete Rule, denying a motion for a preliminary injunction and concluding that the plaintiff had not established a reasonable probability that the rule exceeds the FTC’s legal authority. This Legal Sidebar provides background on the Non-Compete Rule and associated legal issues, along with an overview of the litigation challenging it. Background The Non-Compete Rule The Non-Compete Rule makes it unlawful to enter into or enforce a non-compete clause with any worker who is not a senior executive. The rule prohibits employers from entering into non-competes with senior executives after the rule’s effective date, but allows employers to enforce preexisting non-competes with senior executives. The rule defines the term “senior executive” to mean a worker who occupied a “policy-making position” and received total compensation of at least $151,164 in the preceding year. The rule’s prohibitions are subject to an exception for non-compete clauses entered into pursuant to a bona fide sale of a business entity, a person’s ownership interest in a business entity, or all or substantially all of a business entity’s operating assets. Congressional Research Service https://crsreports.congress.gov LSB11228 Congressional Research Service 2 The rule defines the term “non-compete clause” to mean a term or condition of employment that “prohibits,” “penalizes,” or “functions to prevent” a worker from seeking or accepting work with a different person after the conclusion of the employment that includes the term or condition. The rule explains that this definition encompasses “de facto” or “functional” non-competes—for example, “forfeiture-for-competition” clauses that extinguish an employer’s obligation to pay promised compensation or benefits if a worker accepts another job. The rule does not, however, categorically prohibit non-disclosure agreements (NDAs) or non-solicitation agreements. The Non-Compete Rule defines the term “worker” to include employees and independent contractors. That term does not include franchisees in the context of a franchisor-franchisee relationship, but does include employees of a franchisor or franchisee. Employers that fall outside of the FTC’s jurisdiction under the FTC Act are not subject to the rule. These employers include certain banks, savings and loan institutions, federal credit unions, common carriers, air carriers, and “persons, partnerships, or corporations insofar as they are subject to the Packers and Stockyards Act.” Corporations that are not “organized to carry on business for [their] own profit or that of [their] members” are also excluded from the FTC Act’s coverage. The rule explains that simply claiming non-profit status under the tax code is not sufficient to qualify for this exclusion. Instead, the FTC evaluates the economic realities of an entity’s activities to determine whether the exclusion applies. The Non-Compete Rule requires employers to provide “clear and conspicuous notice” to workers subject to prohibited non-compete clauses that the clauses “will not be, and cannot legally be” enforced. Legal Authority The FTC relied on Sections 5 and 6(g) of the Federal Trade Commission Act (FTC Act) in promulgating the Non-Compete Rule. Section 5 prohibits “unfair methods of competition” (UMC) and empowers the FTC to enforce that prohibition through adjudication. Section 6 is titled “Additional powers of Commission.” It confers a range of authorities, most of which involve investigations and the publication of reports. The provision also includes Section 6(g), which empowers the FTC to “from time to time classify corporations and . . . to make rules and regulations for the purpose of carrying out” the FTC Act. Sections 5 and 6(g) were both part of the original FTC Act, which Congress enacted in 1914. Since the statute’s enactment, Congress has adopted several laws granting the FTC rulemaking authority over discrete subjects, including the Wool Products Labeling Act, the Textile Fiber Products Identification Act, the Fur Products Labeling Act, the Flammable Fabrics Act, and the Fair Packaging and Labeling Act. The FTC first asserted that Section 6(g) endows it with general substantive rulemaking power in 1962, and the agency adopted a number of trade regulation rules in the years that followed. Some of those rules defined certain conduct as both a UMC and an “unfair or deceptive act or practice” (UDAP)—a separate category of conduct prohibited by Section 5. Other rules relied only on the FTC’s UDAP power. One rule relied solely on the FTC’s competition authority, but was never enforced and has been repealed. In the 1970s, a trade association challenged the FTC’s authority to issue substantive rules under Section 6(g) in National Petroleum Refiners Association v. FTC. The trade association argued that Section 6(g) authorized only procedural rules, emphasizing that the FTC had not asserted substantive rulemaking authority under Section 6(g) until 1962 and that FTC officials had occasionally denied the existence of such authority. The trade association also contended that Congress’s enactment of several statutes granting the FTC specific rulemaking authorities implied that the FTC lacked general rulemaking authority. The U.S. Court of Appeals for the D.C. Circuit rejected those arguments. In affirming the FTC’s power to issue legislative rules under Section 6(g), the court relied on appellate decisions construing similar statutes as authorizing substantive rulemaking, the advantages of rulemaking in effectuating the FTC Congressional Research Service 3 Act’s purposes, and the absence of any limiting language in the statutory text. The D.C. Circuit downplayed the fact that the FTC had not claimed general rulemaking authority until 1962, reasoning that the agency’s earlier interpretation of its legal authority did not warrant judicial deference. The court also concluded that Congress may have provided the FTC with more specific rulemaking authorities based on “uncertainty, understandable caution, and a desire to avoid litigation,” rather than a firm conviction that the FTC lacked general rulemaking authority. Two years after the National Petroleum Refiners decision, Congress enacted the Magnuson-Moss Act, which imposed special procedural requirements for the FTC’s UDAP rules and eliminated the FTC’s authority to issue such rules under Section 6(g). Magnuson-Moss did not by its terms affect the FTC’s authority to issue UMC rules: the statute included a provision disclaiming an intent to affect “any authority of the Commission to prescribe rules (including interpretive rules), and general statements of policy, with respect to unfair methods of competition.” Despite this language in Magnuson-Moss, the FTC’s putative authority to issue UMC rules has been dormant since the enactment of that statute. The Non-Compete Rule marks the first rule promulgated under Section 6(g) since the 1970s and the second rule ever that relies solely upon the FTC’s competition authority.

This task requires you to draw your answer from the given text only. Do not use any outside resources or prior knowledge. Your answer must be 100 words or less. In April 2024, the Federal Trade Commission (FTC) issued a rule prohibiting most employers from entering into or enforcing non-compete agreements with workers, subject to exceptions for the sale of a business and preexisting non-competes with senior executives. The rule (the Non-Compete Rule) implicates unsettled issues regarding the FTC’s authority to issue substantive competition regulations. Lawsuits challenging the rule followed. In one of those cases, a federal district court has declared the Non-Compete Rule unlawful and barred the FTC from enforcing it nationwide. Shortly before that decision, another court held that a separate challenge to the rule was likely to succeed and preliminarily enjoined the rule’s enforcement against the named plaintiff in that case. A third court has taken a more favorable view of the Non-Compete Rule, denying a motion for a preliminary injunction and concluding that the plaintiff had not established a reasonable probability that the rule exceeds the FTC’s legal authority. This Legal Sidebar provides background on the Non-Compete Rule and associated legal issues, along with an overview of the litigation challenging it. Background The Non-Compete Rule The Non-Compete Rule makes it unlawful to enter into or enforce a non-compete clause with any worker who is not a senior executive. The rule prohibits employers from entering into non-competes with senior executives after the rule’s effective date, but allows employers to enforce preexisting non-competes with senior executives. The rule defines the term “senior executive” to mean a worker who occupied a “policy-making position” and received total compensation of at least $151,164 in the preceding year. The rule’s prohibitions are subject to an exception for non-compete clauses entered into pursuant to a bona fide sale of a business entity, a person’s ownership interest in a business entity, or all or substantially all of a business entity’s operating assets. Congressional Research Service https://crsreports.congress.gov LSB11228 Congressional Research Service 2 The rule defines the term “non-compete clause” to mean a term or condition of employment that “prohibits,” “penalizes,” or “functions to prevent” a worker from seeking or accepting work with a different person after the conclusion of the employment that includes the term or condition. The rule explains that this definition encompasses “de facto” or “functional” non-competes—for example, “forfeiture-for-competition” clauses that extinguish an employer’s obligation to pay promised compensation or benefits if a worker accepts another job. The rule does not, however, categorically prohibit non-disclosure agreements (NDAs) or non-solicitation agreements. The Non-Compete Rule defines the term “worker” to include employees and independent contractors. That term does not include franchisees in the context of a franchisor-franchisee relationship, but does include employees of a franchisor or franchisee. Employers that fall outside of the FTC’s jurisdiction under the FTC Act are not subject to the rule. These employers include certain banks, savings and loan institutions, federal credit unions, common carriers, air carriers, and “persons, partnerships, or corporations insofar as they are subject to the Packers and Stockyards Act.” Corporations that are not “organized to carry on business for [their] own profit or that of [their] members” are also excluded from the FTC Act’s coverage. The rule explains that simply claiming non-profit status under the tax code is not sufficient to qualify for this exclusion. Instead, the FTC evaluates the economic realities of an entity’s activities to determine whether the exclusion applies. The Non-Compete Rule requires employers to provide “clear and conspicuous notice” to workers subject to prohibited non-compete clauses that the clauses “will not be, and cannot legally be” enforced. Legal Authority The FTC relied on Sections 5 and 6(g) of the Federal Trade Commission Act (FTC Act) in promulgating the Non-Compete Rule. Section 5 prohibits “unfair methods of competition” (UMC) and empowers the FTC to enforce that prohibition through adjudication. Section 6 is titled “Additional powers of Commission.” It confers a range of authorities, most of which involve investigations and the publication of reports. The provision also includes Section 6(g), which empowers the FTC to “from time to time classify corporations and . . . to make rules and regulations for the purpose of carrying out” the FTC Act. Sections 5 and 6(g) were both part of the original FTC Act, which Congress enacted in 1914. Since the statute’s enactment, Congress has adopted several laws granting the FTC rulemaking authority over discrete subjects, including the Wool Products Labeling Act, the Textile Fiber Products Identification Act, the Fur Products Labeling Act, the Flammable Fabrics Act, and the Fair Packaging and Labeling Act. The FTC first asserted that Section 6(g) endows it with general substantive rulemaking power in 1962, and the agency adopted a number of trade regulation rules in the years that followed. Some of those rules defined certain conduct as both a UMC and an “unfair or deceptive act or practice” (UDAP)—a separate category of conduct prohibited by Section 5. Other rules relied only on the FTC’s UDAP power. One rule relied solely on the FTC’s competition authority, but was never enforced and has been repealed. In the 1970s, a trade association challenged the FTC’s authority to issue substantive rules under Section 6(g) in National Petroleum Refiners Association v. FTC. The trade association argued that Section 6(g) authorized only procedural rules, emphasizing that the FTC had not asserted substantive rulemaking authority under Section 6(g) until 1962 and that FTC officials had occasionally denied the existence of such authority. The trade association also contended that Congress’s enactment of several statutes granting the FTC specific rulemaking authorities implied that the FTC lacked general rulemaking authority. The U.S. Court of Appeals for the D.C. Circuit rejected those arguments. In affirming the FTC’s power to issue legislative rules under Section 6(g), the court relied on appellate decisions construing similar statutes as authorizing substantive rulemaking, the advantages of rulemaking in effectuating the FTC Congressional Research Service 3 Act’s purposes, and the absence of any limiting language in the statutory text. The D.C. Circuit downplayed the fact that the FTC had not claimed general rulemaking authority until 1962, reasoning that the agency’s earlier interpretation of its legal authority did not warrant judicial deference. The court also concluded that Congress may have provided the FTC with more specific rulemaking authorities based on “uncertainty, understandable caution, and a desire to avoid litigation,” rather than a firm conviction that the FTC lacked general rulemaking authority. Two years after the National Petroleum Refiners decision, Congress enacted the Magnuson-Moss Act, which imposed special procedural requirements for the FTC’s UDAP rules and eliminated the FTC’s authority to issue such rules under Section 6(g). Magnuson-Moss did not by its terms affect the FTC’s authority to issue UMC rules: the statute included a provision disclaiming an intent to affect “any authority of the Commission to prescribe rules (including interpretive rules), and general statements of policy, with respect to unfair methods of competition.” Despite this language in Magnuson-Moss, the FTC’s putative authority to issue UMC rules has been dormant since the enactment of that statute. The Non-Compete Rule marks the first rule promulgated under Section 6(g) since the 1970s and the second rule ever that relies solely upon the FTC’s competition authority. What arguments did the US Court of appeals reject?

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> [user request] <TEXT> [context document]

Give a summary, limited in 150 words, about the results of this paper, focusing on the comparisons between the stub design and the quarter wave transformer design.

Design and Analysis of a 170 GHz Antenna for Millimeter-wave Applications ABSTRACT: Microstrip patch antennas are low-profile and robust when mounted on rigid surfaces of the devices making them suitable for communication and millimeter-wave applications. In this paper, an antenna is designed for the resonant frequency of 170 GHz using microstrip technology concerning its miniaturization and cost-effectiveness. The designed antenna is a part of a stray radiation detection system for ECE diagnostic to be installed on fusion research machine ITER. It offers low-directivity to receive radiation from all directions, high bandwidth, low side-lobe-level and return loss of -50 dB, leading to its remarkable utilization in the detection system being designed to protect millimeter wave components of ITER ECE Diagnostic. Power-handling and power-capturing capability of the designed antenna have also been discussed in the paper. Far-field simulations have been performed using CST Microwave Studio software to study the radiation characteristics of the designed antenna. V. RESULTS Impedance matching always ensures the maximum power transfer between the source and the load. Hence, a noble matching circuit is required for a specific design ensuring its better performance. The corporate feed network can use either a quarter-wave transformer or a stub to match patch element impedance to standard 50-ohm input impedance. The preferences mentioned above for our design are configured in Fig. 3. The important properties of the designed system with both configurations are simulated using CST Microwave Studio software and examined below to check their reliability. A. S-Parameter and VSWR The amount of power reflected from the antenna is parametrized by 𝑆11 parameter and Voltage Standing Wave Ratio (VSWR) related to each other by the following relation 𝑆11 = 𝑅𝑒𝑡𝑢𝑟𝑛 𝐿𝑜𝑠𝑠(𝑑𝐵) = -20 log10 ( 𝑉𝑆𝑊𝑅 - 1 𝑉𝑆𝑊𝑅 + 1 ) The antenna bandwidth can also be measured from the VSWR plot over a range of frequencies where its value is ≤ 2. The variation of 𝑆11 over the range of frequencies for quarter-wave transformer and stub configuration is plotted in Fig. 4. At the resonant frequency, i.e., 170 GHz , the minimum value of 𝑆11 is -50 𝑑𝐵 for quarter-wave and -35 𝑑𝐵 for stub configuration. It articulates the impedance matching along the propagation path of the signal and effective power delivery for quarter-wave transformer configuration. B. Side Lobe Level and Beamwidth The performance of an antenna is usually measured in terms of gain and its relative 3D radiation pattern. The radiation pattern is represented by polar plots as shown in Fig. 5(a) and (b), measured in the far-field antenna range as mentioned earlier. It suggests that the main lobe direction is different for both the quarter-wave transformer and the stub configuration for the resonant frequency 170 GHz, which is 260 and 7 0 , respectively. However, they possess approximately the same magnitude of gain depicted in Fig. 5(c) and (d). Gain IEEE measured in both configurations does not include the losses associated with the polarization and impedance mismatching. Far-field characteristics also enable us to investigate two important parameters associated with antenna performance. One is Half-Power beamwidth (also known as angular width), defined as the angular separation of 3dB in the radiation pattern. It deals with the resolution capabilities of the system. And another is the Side-lobe level (SLL), measured by the ratio of the amplitude of the main lobe to that of the side lobe. Low SLL minimizes the false target indication through the side lobes. There is a trade-off between both parameters and one needs to be compromised over the other [21]. We designed a system with a wider reception angle in lieu of high SLL to meet our requirements. The major difference in both the configuration, i.e., stub and quarter-wave transformer, can be noted in Fig. 5. In the case of stub configuration, the value of angular width and SLL parameter are 31.5 0 and -3.6𝑑𝐵, respectively. However, for quarter-wave transformer these are 70.5 0 and -15.5𝑑𝐵. It is evident from here that the parameters such as bandwidth, gain, S-parameter and side-lobe level attain desirable values for antenna array with quarter-wave transformer as a matching circuit. In other words, the quarter-wave transformer dominates over the stub in terms of better impedance matching, which makes it suitable for our desired application. C. Efficiency The power supplied to the system generally dispenses into surface-wave excitation, radiation emission and conductor and dielectric dissipation. Radiation efficiency is defined as the ratio of power radiated to the power inserted into the antenna system which is plotted in Fig. 6 for the 2 × 2 antenna array. It also encompasses the total efficiency of the system that takes into account all 𝐼 2𝑅 losses and the reflections arise due to mismatching between the antenna and the transmission line. For better understanding, we summarized the above-discussed properties of the individual patch antenna and the antenna array (with two different matching circuit configurations) in tabular form in Table 2. Here, we conclude the superiority of the 2×2 antenna array with a quarter-wave 14 transformer over other systems in terms of return loss, bandwidth, efficiency, angular width and SLL. VI. CONCLUSION A 2 × 2 microstrip antenna array has been designed and simulated successfully for the resonant frequency of 170 GHz using CST Microwave Studio software. The dominance of the antenna array over the individual patch has been proved while investigating their properties and power handling capabilities. However, continuous increment in the number of patches of an antenna array enhances its directivity further and decreases its angular width. Hence, the 2 × 2 antenna geometry reasonably satisfies our desired requirements. Significant properties of the designed system such as S-parameter, VSWR, gain, beamwidth, side-lobe level, efficiency have been estimated and discussed. A comparative study of the two matching circuits, i.e., stub and quarterwave transformer, have also been performed. The designed system's power-handling capability is also evaluated to check its reliability. At resonant frequency 170 GHz, the return loss is -50 dB, angular width is 70.5 0 and the gain is 8.6dBi for the designed antenna. The simulation results show that the designed system fulfills required characteristics and is recommended for high-frequency detector applications. The future work is to design a detector system for application in ECE diagnostic components protection, utilizing this designed antenna.

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> Give a summary, limited in 150 words, about the results of this paper, focusing on the comparisons between the stub design and the quarter wave transformer design. <TEXT> Design and Analysis of a 170 GHz Antenna for Millimeter-wave Applications ABSTRACT: Microstrip patch antennas are low-profile and robust when mounted on rigid surfaces of the devices making them suitable for communication and millimeter-wave applications. In this paper, an antenna is designed for the resonant frequency of 170 GHz using microstrip technology concerning its miniaturization and cost-effectiveness. The designed antenna is a part of a stray radiation detection system for ECE diagnostic to be installed on fusion research machine ITER. It offers low-directivity to receive radiation from all directions, high bandwidth, low side-lobe-level and return loss of -50 dB, leading to its remarkable utilization in the detection system being designed to protect millimeter wave components of ITER ECE Diagnostic. Power-handling and power-capturing capability of the designed antenna have also been discussed in the paper. Far-field simulations have been performed using CST Microwave Studio software to study the radiation characteristics of the designed antenna. V. RESULTS Impedance matching always ensures the maximum power transfer between the source and the load. Hence, a noble matching circuit is required for a specific design ensuring its better performance. The corporate feed network can use either a quarter-wave transformer or a stub to match patch element impedance to standard 50-ohm input impedance. The preferences mentioned above for our design are configured in Fig. 3. The important properties of the designed system with both configurations are simulated using CST Microwave Studio software and examined below to check their reliability. A. S-Parameter and VSWR The amount of power reflected from the antenna is parametrized by 𝑆11 parameter and Voltage Standing Wave Ratio (VSWR) related to each other by the following relation 𝑆11 = 𝑅𝑒𝑡𝑢𝑟𝑛 𝐿𝑜𝑠𝑠(𝑑𝐵) = -20 log10 ( 𝑉𝑆𝑊𝑅 - 1 𝑉𝑆𝑊𝑅 + 1 ) The antenna bandwidth can also be measured from the VSWR plot over a range of frequencies where its value is ≤ 2. The variation of 𝑆11 over the range of frequencies for quarter-wave transformer and stub configuration is plotted in Fig. 4. At the resonant frequency, i.e., 170 GHz , the minimum value of 𝑆11 is -50 𝑑𝐵 for quarter-wave and -35 𝑑𝐵 for stub configuration. It articulates the impedance matching along the propagation path of the signal and effective power delivery for quarter-wave transformer configuration. B. Side Lobe Level and Beamwidth The performance of an antenna is usually measured in terms of gain and its relative 3D radiation pattern. The radiation pattern is represented by polar plots as shown in Fig. 5(a) and (b), measured in the far-field antenna range as mentioned earlier. It suggests that the main lobe direction is different for both the quarter-wave transformer and the stub configuration for the resonant frequency 170 GHz, which is 260 and 7 0 , respectively. However, they possess approximately the same magnitude of gain depicted in Fig. 5(c) and (d). Gain IEEE measured in both configurations does not include the losses associated with the polarization and impedance mismatching. Far-field characteristics also enable us to investigate two important parameters associated with antenna performance. One is Half-Power beamwidth (also known as angular width), defined as the angular separation of 3dB in the radiation pattern. It deals with the resolution capabilities of the system. And another is the Side-lobe level (SLL), measured by the ratio of the amplitude of the main lobe to that of the side lobe. Low SLL minimizes the false target indication through the side lobes. There is a trade-off between both parameters and one needs to be compromised over the other [21]. We designed a system with a wider reception angle in lieu of high SLL to meet our requirements. The major difference in both the configuration, i.e., stub and quarter-wave transformer, can be noted in Fig. 5. In the case of stub configuration, the value of angular width and SLL parameter are 31.5 0 and -3.6𝑑𝐵, respectively. However, for quarter-wave transformer these are 70.5 0 and -15.5𝑑𝐵. It is evident from here that the parameters such as bandwidth, gain, S-parameter and side-lobe level attain desirable values for antenna array with quarter-wave transformer as a matching circuit. In other words, the quarter-wave transformer dominates over the stub in terms of better impedance matching, which makes it suitable for our desired application. C. Efficiency The power supplied to the system generally dispenses into surface-wave excitation, radiation emission and conductor and dielectric dissipation. Radiation efficiency is defined as the ratio of power radiated to the power inserted into the antenna system which is plotted in Fig. 6 for the 2 × 2 antenna array. It also encompasses the total efficiency of the system that takes into account all 𝐼 2𝑅 losses and the reflections arise due to mismatching between the antenna and the transmission line. For better understanding, we summarized the above-discussed properties of the individual patch antenna and the antenna array (with two different matching circuit configurations) in tabular form in Table 2. Here, we conclude the superiority of the 2×2 antenna array with a quarter-wave 14 transformer over other systems in terms of return loss, bandwidth, efficiency, angular width and SLL. VI. CONCLUSION A 2 × 2 microstrip antenna array has been designed and simulated successfully for the resonant frequency of 170 GHz using CST Microwave Studio software. The dominance of the antenna array over the individual patch has been proved while investigating their properties and power handling capabilities. However, continuous increment in the number of patches of an antenna array enhances its directivity further and decreases its angular width. Hence, the 2 × 2 antenna geometry reasonably satisfies our desired requirements. Significant properties of the designed system such as S-parameter, VSWR, gain, beamwidth, side-lobe level, efficiency have been estimated and discussed. A comparative study of the two matching circuits, i.e., stub and quarterwave transformer, have also been performed. The designed system's power-handling capability is also evaluated to check its reliability. At resonant frequency 170 GHz, the return loss is -50 dB, angular width is 70.5 0 and the gain is 8.6dBi for the designed antenna. The simulation results show that the designed system fulfills required characteristics and is recommended for high-frequency detector applications. The future work is to design a detector system for application in ECE diagnostic components protection, utilizing this designed antenna. https://arxiv.org/pdf/2208.10075

Use only the information provided in the text to form your response, do not use any external sources or prior knowledge. Give your answers in a numbered list with an explanation or context following each one.

What are the challenges to Hokkaido's economy that can be found in the article?

After the Second World War, Hokkaido drew up 6 Development Plans. These Plans showed the basic development concept and direction. Based on that, important large scale infrastructure projects such as roads, harbors, rail ways, air ports and large scale industrial parks were projected. Then necessary investment amount and their economic and social effects on Hokkaido region were calculated. The Plans were finally decided by the Cabinet after the discussions in Hokkaido Development Council which is operated by Hokkaido Development Agency (now Ministry of Infrastructure, Land and Transport). Targets and contents of the Plans were changed according to the changes of global and Japanese economic situation and Hokkaido’s development stage. The basic development strategy of Hokkaido was to utilize and develop the remaining rich natural resources and support settlement of the people safely and happily. At the first stage just after the war, Hokkaido was expected to become a base of supplying foodstuffs and to accept growing and returning population from former overseas territories. Then later, various large infrastructure projects were planed and implemented for developing her economy and now-a-days development of Hokkaido’s identities has come to be emphasized, such as remaining natural beauty, her northern location and cultural heritages. Today, through the 6 Development Plans, Hokkaido, which has 22% of total Japanese territory but only 4.5% population is enjoying well developed infrastructure compared with other regions. But from the view point of industrial structure, it is still biased to natural resources supply industry. Manufacturing industry has not been developed enough yet. For instance, share of manufacturing industries in the total Hokkaido GDP is less than 10%, compared with more than 20% of Japanese average. More over if we see her manufacturing sector’s structure, in 2005 food processing industry dominated, and share of assembly industry is only 12%, compared with 48% in Japanese average. So far, the basic development strategy for Hokkaido has been characterized by heavy infrastructure investment. It has developed excessive construction industry and they have come to require continuous infrastructure investment. And this situation could not give a good condition for diversifying its industrial structure. Now Hokkaido has faced with the problems decreasing natural forestry and fishery resources. And there are many impoverishing areas which used to depend on coal mine industry. This change of the basic economic and social condition has to be considered in the future program of Hokkaido development. As for fishery industry, 200 mile economic zone system was introduced internationally in 1976. After that, Japanese northern sea fishery, which was used to be main profit sources for Hokkaido fishery industry, was damaged greatly. In the case of coal industry, since around 1960’s, energy revolution progressed rapidly and the shift from coal to oil as energy source happened. Then the important industrial sector, coal industry in Hokkaido started to decline. Hokkaido used to produce 20 million tons of coal annually but in 2002 the last coal mine was closed and the history of coal producing industry in Hokkaido was finished. Some areas, where depended on coal industry were greatly affected by closing mines and still have struggled with their economic decline and collapsing communities. As for the agricultural products, Hokkaido is ranked as No.1 producing place for many products in Japan. Even such situation, global competition has been getting severe and has required the efforts to differentiate them from foreign and other regions’ products. Now Hokkaido’s main development strategy seems to promote the change of her industrial structure to more advanced and high value added ones by not only inviting outside capitals but also fostering indigenous companies. Also, new type tourism industry becomes one of the important target to be promoted. However under the long lasted economic recession, Hokkaido’s regional economy has been weakened and financial condition of many local self-governments is facing with very critical conditions.

System instruction: Use only the information provided in the text to form your response, do not use any external sources or prior knowledge. Give your answers in a numbered list with an explanation or context following each one. Question: What are the challenges to Hokkaido's economy that can be found in the article? Context block: After the Second World War, Hokkaido drew up 6 Development Plans. These Plans showed the basic development concept and direction. Based on that, important large scale infrastructure projects such as roads, harbors, rail ways, air ports and large scale industrial parks were projected. Then necessary investment amount and their economic and social effects on Hokkaido region were calculated. The Plans were finally decided by the Cabinet after the discussions in Hokkaido Development Council which is operated by Hokkaido Development Agency (now Ministry of Infrastructure, Land and Transport). Targets and contents of the Plans were changed according to the changes of global and Japanese economic situation and Hokkaido’s development stage. The basic development strategy of Hokkaido was to utilize and develop the remaining rich natural resources and support settlement of the people safely and happily. At the first stage just after the war, Hokkaido was expected to become a base of supplying foodstuffs and to accept growing and returning population from former overseas territories. Then later, various large infrastructure projects were planed and implemented for developing her economy and now-a-days development of Hokkaido’s identities has come to be emphasized, such as remaining natural beauty, her northern location and cultural heritages. Today, through the 6 Development Plans, Hokkaido, which has 22% of total Japanese territory but only 4.5% population is enjoying well developed infrastructure compared with other regions. But from the view point of industrial structure, it is still biased to natural resources supply industry. Manufacturing industry has not been developed enough yet. For instance, share of manufacturing industries in the total Hokkaido GDP is less than 10%, compared with more than 20% of Japanese average. More over if we see her manufacturing sector’s structure, in 2005 food processing industry dominated, and share of assembly industry is only 12%, compared with 48% in Japanese average. So far, the basic development strategy for Hokkaido has been characterized by heavy infrastructure investment. It has developed excessive construction industry and they have come to require continuous infrastructure investment. And this situation could not give a good condition for diversifying its industrial structure. Now Hokkaido has faced with the problems decreasing natural forestry and fishery resources. And there are many impoverishing areas which used to depend on coal mine industry. This change of the basic economic and social condition has to be considered in the future program of Hokkaido development. As for fishery industry, 200 mile economic zone system was introduced internationally in 1976. After that, Japanese northern sea fishery, which was used to be main profit sources for Hokkaido fishery industry, was damaged greatly. In the case of coal industry, since around 1960’s, energy revolution progressed rapidly and the shift from coal to oil as energy source happened. Then the important industrial sector, coal industry in Hokkaido started to decline. Hokkaido used to produce 20 million tons of coal annually but in 2002 the last coal mine was closed and the history of coal producing industry in Hokkaido was finished. Some areas, where depended on coal industry were greatly affected by closing mines and still have struggled with their economic decline and collapsing communities. As for the agricultural products, Hokkaido is ranked as No.1 producing place for many products in Japan. Even such situation, global competition has been getting severe and has required the efforts to differentiate them from foreign and other regions’ products. Now Hokkaido’s main development strategy seems to promote the change of her industrial structure to more advanced and high value added ones by not only inviting outside capitals but also fostering indigenous companies. Also, new type tourism industry becomes one of the important target to be promoted. However under the long lasted economic recession, Hokkaido’s regional economy has been weakened and financial condition of many local self-governments is facing with very critical conditions.

Please answer the question using only the provided context.

Please summarize the major differences between cash- and tax-basis account as explained in the context provided.

Practice Aid Accounting and Financial Reporting Guidelines for Cash- and Tax-Basis Financial Statements © 2018 Association of International Certified Professional Accountants. All rights reserved. For other uses of this work, please email [email protected] with your request or write to us at 220 Leigh Farm Road, Durham, NC 27707-8110 USA. This document was created by the Association of International Certified Professional Accountants as a free member benefit which may be freely used and shared by members for personal use. All copyright statements should be maintained. © 2018 Association of International Certified Professional Accountants. All rights reserved. 1 Preface Because of the complexities of accounting principles generally accepted in the United States of America (GAAP), many smaller entities have determined that financial statements prepared by applying the cash‐ or tax‐basis of accounting more appropriately suit their needs. Unlike GAAP, little authoritative guidance is available with re‐ spect to the preparation of financial statements when applying the cash‐ or tax‐basis of accounting. Financial statements prepared when applying the cash‐ or tax‐basis of accounting need to have a level of consistency so that they are useful and not misleading to users of the financial statements. Additionally, because financial statements prepared when applying the cash‐ or tax‐basis of accounting are not considered appropriate in form unless the financial statements include informative disclosures similar to those required by GAAP if the financial statements contain items that are the same as, or similar to, those in financial statements prepared in accord‐ ance with GAAP, preparers of full disclosure financial statements prepared when applying the cash‐ or tax‐basis of accounting are often faced with difficult questions. This practice aid is intended to provide preparers of cash‐ and tax‐basis financial statements with guidelines and best practices to promote consistency and for resolving the often difficult questions regarding the preparation of such financial statements. Although this practice aid is the best source for such guidance, it is nonauthorita‐ tive and should not be used as a substitute for the preparer’s professional judgment. This practice aid has not been approved, disapproved, or otherwise acted upon by any senior committee of the AICPA. This practice aid does not contain guidance with respect to performing an audit, review, or compilation of finan‐ cial statements prepared when applying the cash‐ or tax‐basis of accounting. Practitioners engaged to audit such financial statements should refer to Statements on Auditing Standards, including AU‐C section 800, Special Con‐ siderations—Audits of Financial Statements Prepared in Accordance With Special Purpose Frameworks (AICPA, Professional Standards). Practitioners engaged to perform a review or compilation should refer to Statements on Standards for Accounting and Review Services (SSARSs). Likewise, CPAs in public practice who prepare finan‐ cial statements for clients but are not engaged to perform an audit, review, or compilation of such financial statements should refer to SSARSs. Prepared by Michael P. Glynn Senior Technical Manager Audit and Attest Standards Team Edited by Kelly G. McAuliffe Technical Manager Member Learning and Competency 2 © 2018 Association of International Certified Professional Accountants. All rights reserved. Acknowledgments In 1998, the AICPA published the Practice Aid Preparing and Reporting on Cash‐ and Tax‐Basis Financial State‐ ments. That publication was written by Michael J. Ramos, CPA, and edited by the AICPA Accounting and Publica‐ tions Team. That publication served as a basis for the preparation of the original edition of this practice aid. In addition to this practice aid, the AICPA has also published a separate practice aid, Applying OCBOA in State and Local Government Financial Statements, authored by Michael A. (Mike) Crawford, CPA. Mike served as an invaluable resource in the preparation of the original edition of this practice aid. The AICPA also greatly appreciates the invaluable input provided by the late Dr. Thomas A. Ratcliffe in the de‐ velopment of the previous edition of this practice aid. Finally, the AICPA would like to thank the 2011/12 members of the Accounting and Review Services Committee and the 2011/12 members of the AICPA PCPS Technical Issues Committee, who provided invaluable input re‐ garding the content of the original edition of this practice aid. © 2018 Association of International Certified Professional Accountants. All rights reserved. 3 4 © 2018 Association of International Certified Professional Accountants. All rights reserved. Chapter 1 Overview of Cash‐ and Tax‐Basis Financial Statements Introduction Financial statements, including related notes, are a structured representation of historical financial information intended to communicate an entity’s economic resources and obligations at a point in time or the changes therein for a period of time in accordance with a financial reporting framework. fn 1 All financial statements are prepared in accordance with a financial reporting framework. The term financial reporting framework is defined as “a set of criteria used to determine measurement, recognition, presentation, and disclosure of all material items appearing in the financial statements.” fn 2 Examples of financial reporting frameworks are accounting principles generally accepted in the United States of America (GAAP), International Financial Reporting Stand‐ ards promulgated by the International Accounting Standards Board, and special purpose frameworks such as the cash‐, tax, regulatory‐, contractual‐, and other bases that use a definitive set of logical, reasonable criteria that is applied to all material items appearing in the financial statements. The cash‐, tax‐, regulatory‐, and other‐basis of accounting are commonly referred to as other comprehensive bases of accounting. As GAAP becomes increasingly complex and less cost beneficial for private companies, such companies consider issuing cash‐ and tax‐basis financial statements as cost‐effective and useful alternatives. Many of these private companies are small and medium‐sized entities that report to a narrow range of financial statement users. Those users, unlike users of public company financial statements, typically have access to company management and additional financial information beyond that provided in the financial statements. Cash‐ or tax‐basis financial statements may be appropriate whenever the entity is not contractually or otherwise required to issue GAAP financial statements. The following conditions may indicate that financial statements prepared when applying the cash‐ or tax‐basis of accounting is appropriate: • The users of the financial statements—both internal and external to the entity—understand a cash‐ or tax‐basis presentation and find it relevant for their needs. • It is cost‐effective to prepare cash‐ or tax‐basis financial statements. • The operations of the entity are conducive to a cash‐ or tax‐basis presentation. Preparing cash‐ or tax‐basis financial statements has many benefits. A significant benefit is due to the fact that many smaller entities maintain their accounting records on a cash‐ or tax‐basis. Often, accounting and finance personnel responsible for maintaining the books and records can more easily understand the concepts of cash in fn 1 Paragraph .05 of AR‐C section 90, Review of Financial Statements (AICPA, Professional Standards), and paragraph .13 of AU‐C section 200, Overall Objectives of the Independent Auditor and Conduct of an Audit in Accordance With Generally Accepted Auditing Standards (AICPA, Professional Standards). fn 2 See footnote 1. © 2018 Association of International Certified Professional Accountants. All rights reserved. 5 and out as well as tax reporting compared to GAAP. Because the internal records are often maintained on the cash‐ or tax‐basis of accounting, it is easier to prepare the financial statements when applying that same basis. If the financial statements are prepared in accordance with GAAP, the accounting and finance personnel would “true‐up” the financial information through a series of journal entries. Additionally, many users of smaller entity financial statements find cash‐ or tax‐basis financial statements to be more understandable than financial statements prepared in accordance with GAAP because those users are often accustomed to preparing and con‐ sidering budgets on a cash‐basis and understand tax issues. Because many smaller entities are appropriately concerned with minimizing costs and maximizing the resources that are available to fund the operations of the business, resources allocated to accounting and financial report‐ ing are often not sufficient to maintain GAAP basis accounting records and to prepare financial statements in ac‐ cordance with GAAP. Preparing financial statements when applying the cash‐ or tax‐basis of accounting general‐ ly is less costly than preparing GAAP financial statements because of the following: • Less complex measurement requirements. Financial statements prepared when applying the cash‐basis of accounting reflect transactions resulting from cash receipt and disbursement transactions or events. Financial statements prepared when applying the tax‐basis of accounting reflect transactions in the same manner as those transactions are reflected in the entity’s tax return. • Less extensive disclosure requirements. Financial statements prepared when applying the cash‐ or tax‐ basis of accounting do not require all of the extensive disclosures required of GAAP statements because the statements do not include some of the items, events, and transactions that are typically included in GAAP basis financial statements. Observations and Suggestions Often, preparers of cash‐ and tax‐basis financial statements elect to omit substantially all disclosures required by the cash‐ or tax‐basis of accounting. The omission of disclosures is a departure from the cash‐ or tax‐basis of ac‐ counting and, if such disclosures were included in the financial statements, they might influence the user’s con‐ clusions about the entity’s financial position, results of operations, and cash flows. However, the omission may not necessarily result in misleading financial statements provided that the intended users are informed about such matters. • Ability to prepare tax returns and financial statements from the same information. When tax‐basis finan‐ cial statements are issued, a significant portion of the cost can be absorbed by the preparation of the tax return. Additionally, the entity is not required to maintain two sets of accounting records to account for items such as depreciation, bad debts, and consolidation matters. However, in addition to the benefits of financial statements prepared when applying a cash‐ or tax‐basis of ac‐ counting, financial statement preparers should also be aware of the limitations of such financial statements. For example, financial statements prepared when applying the cash‐ or tax‐basis of accounting may not meet the needs of certain users such as regulators and certain lenders. In addition, the cash‐basis of accounting can be easily manipulated by accelerating or delaying the timing of the receipt or disbursement of cash and therefore may not be a comprehensive measure of the entity’s complete economic condition. In practice, the most typical industries in which cash‐ or tax‐basis financial statements are issued include the fol‐ lowing: • Professional services 6 © 2018 Association of International Certified Professional Accountants. All rights reserved. • Medical • Retail • Real estate • Farming/agricultural • Construction • Not‐for‐profit Cash‐Basis of Accounting The cash‐basis of accounting is a basis of accounting that the entity uses to record cash receipts and disburse‐ ments. When applying the cash‐basis of accounting, transactions are recognized based on the timing of cash re‐ ceipts and disbursements. As a result, • revenues are recognized only when cash is received rather than when earned, and • expenses are recognized only when cash is paid rather than when the obligation is incurred. When applying the cash‐basis, cash outflows to purchase an “asset” are not capitalized but instead are recorded as a disbursement as of the date of purchase, so there is no depreciation or amortization. Accruals are not made and prepaid assets are not recorded. The cash‐basis of accounting in its purest form is rarely used but may be appropriate whenever the entity • is interested primarily in sources and uses of cash. • has a limited number of financial statement users. • has relatively simple operations engaged in one primary activity. • does not have significant amounts of debt, capital assets, or other items that would be recognized in ac‐ cordance with the accrual basis. Examples of some entities that may use the cash‐basis of accounting include the following: • Estates • Trusts • Civic ventures • Student activity funds • Political campaigns and committees © 2018 Association of International Certified Professional Accountants. All rights reserved. 7 When applying the cash‐basis of accounting, because the only assets of the entity would be cash and cash equivalents and there would be no liabilities, a balance sheet equivalent is often not presented. The income statement equivalent would report cash receipts and disbursements and other changes in cash and cash equiva‐ lents and disclose any restrictions on ending cash and cash equivalents. Any departure from the presentation of cash and cash equivalent balances and changes in such balances, such as the reporting of long‐term debt arising from cash transactions, the capitalization and depreciation of capital assets acquired with cash, or the reporting of investments or receivables and payables resulting from cash transactions, should be considered a modification to the cash‐basis of accounting. Such deviations require eval‐ uation regarding whether they are appropriate modifications of the cash‐basis of accounting. Appropriate modi‐ fications of the cash‐basis of accounting are discussed in the subsequent section. In‐Substance Two‐Step Transactions or Events in the Cash‐Basis of Accounting The preparer of cash‐basis financial statements may encounter single‐step transactions or events that may not directly involve a cash inflow or outflow but may nevertheless be recorded as an in‐substance two‐step cash transaction or event when applying the cash‐basis of accounting. For example, management of an entity may sign a note from a bank in order to purchase equipment. The bank may then directly pay the vendor for the pur‐ chase of the equipment. Because there was no cash transaction, the entity may not record the single‐step trans‐ action in the financial statements. However, so as not to be misleading to users of the financial statements, the preparer may choose to record the transaction as an in‐substance two‐step transaction. In accordance with that treatment, the journal entries may look as follows: Cash XX,XXX Note Proceeds (Revenue) XX,XXX (To record note proceeds that were paid directly to the vendor) Capital expenditure XX,XXX Cash XX,XXX (To record purchase of equipment) Then, subsequent payments on the note would be recorded as follows: Debt service expenditure XXX Cash XXX (To record principal and interest payment on note payable) Modified Cash‐Basis of Accounting The modified cash‐basis of accounting involves logical and consistent modifications to transactions or events that are derived from cash receipts or cash disbursements. For example, a modification to the cash‐basis of ac‐ counting to report capital assets should involve recording and depreciating only those capital assets that result from cash transactions or events. The modification should not involve the recording and depreciating of donated capital assets because these transactions or events do not involve an inflow or outflow of cash. Once deprecia‐ ble capital assets arising from cash transactions or events are recorded when applying a modified cash‐basis of accounting, such assets should also be depreciated over their estimated useful lives. Depreciating capital assets that were acquired with cash is a logical allocation of the cash‐basis assets’ costs over the assets’ useful lives. 8 © 2018 Association of International Certified Professional Accountants. All rights reserved. An easy way to look at whether a modification is appropriate is to consider whether the transaction or event would have been recorded if the entity was preparing the cash‐basis financial statements. For example, if an en‐ tity purchased a capital asset and was preparing cash‐basis financial statements, the journal entry would look like this: Capital expenditure XXXX Cash XXXX (To record purchase of capital asset) Because cash is part of the journal entry, it would be an appropriate modification to capitalize the asset and de‐ preciate the cost over the estimated useful life of the asset. On the other hand, the recording of trade accounts receivable arising from services provided or goods sold would not be an appropriate modification of the cash‐basis of accounting assuming cash was not received at the time the services were provided or goods were sold. Modifications to the cash‐basis of accounting generally result when cash receipts or cash disbursements provide a benefit or an obligation that covers multiple reporting periods. For example, a preparer may conclude that fi‐ nancial statement users would be misled if cash purchases of capital assets are recorded as disbursements or expenditures in the period in which the assets are purchased. Instead, the preparer may elect to modify the cash‐basis of accounting to record the asset on the balance sheet equivalent and depreciate it over the estimat‐ ed useful life of the asset, thereby, in effect, spreading the benefit of the cash outflow over multiple reporting periods in a manner that has substantial support and is logical and consistent. Questions often arise in the application of a modified cash‐basis of accounting regarding whether reported as‐ sets and liabilities derived from cash transactions or events should ever be written down or written off once they are recorded at their original cash value. Temporary changes in the fair value of an asset or liability should not be recognized in applying a modified cash‐basis of accounting and all recognized assets and liabilities should be measured and reported at their original cash value (net of any accumulated depreciation or amortization, if applicable). If an asset or liability has been permanently impaired and has no future cash value or represents no future obligation against cash, it would be appropriate to write‐down or write‐off such amounts in modified cash‐basis financial statements. A significant challenge to preparing financial statements when applying a modified cash‐basis of accounting is developing the appropriate accounting policy that results in financial statements that meet the needs of the primary users of the statements and consistently applying that policy to cash transactions and events in order to keep the financial statements from being misleading for the purposes for which they are intended. The preparer may find benefit in spelling out the logic behind the cash‐basis modifications and documenting the accounting policy prior to preparation of the basic financial statements. Although there is no single accepted method of applying a modified cash‐basis of accounting, modified cash‐ basis financial statements can be more meaningful if they are comparable with similar financial statements. Some preparers have inappropriately considered the modified cash‐basis of accounting as a “free‐for‐all” propo‐ sition in which they can unilaterally and arbitrarily choose the modifications that they will apply. For example, a preparer may inappropriately decide to prepare financial statements applying a modified cash‐basis of account‐ ing that records assets arising from cash transactions or events, including investments, inventories, and capital assets but does not record short‐term and long‐term liabilities and other obligations arising from cash transac‐ tions. Inconsistent uses of a modified cash‐basis framework should be avoided in general use financial state‐ ments because such inconsistencies will normally result in financial statements that are misleading for general © 2018 Association of International Certified Professional Accountants. All rights reserved. 9 use. Financial statements that are prepared using inconsistent modifications may be appropriate for special pur‐ poses involving limited users but should be labeled as such with clear disclosure and use of descriptive headings. With the needs of the primary financial statement users in mind, when preparing financial statements applying a modified cash‐basis of accounting, the preparer should consider modifying the following cash transactions or events, among others, by the recording of the following: • Receivables resulting from an outflow of cash, such as a cash advance to an employee • Investments in marketable securities acquired with cash • Inventories acquired with cash • Capital assets arising from cash transactions and depreciating the assets where appropriate • Deferred revenue resulting from cash receipts • Liabilities resulting from short‐term cash borrowings • Long‐term notes and other debt arising from cash transactions or events • Any other material assets, liabilities, revenues, and expenses resulting from cash transactions or events If the financial statements are prepared when applying a modified cash‐basis accounting policy in which one or more of the preceding—but not all—are recorded, the preparer should be prepared to defend how the decision to modify or not modify is a logical and consistent application of the accounting policy and does not result in misleading financial statements for the purposes for which they are intended. A number of transactions or events are not appropriate modifications to the cash‐basis of accounting. Generally, these transactions or events should not be recorded when applying a modified cash‐basis of accounting because they do not involve cash inflows or outflows, are illogical, or are not substantially supported in the accounting literature. Common transactions or events that should not be reported in financial statements prepared when applying a modified cash‐basis of accounting include the recording or adjusting of the following: • Capital assets arising from cash transactions or events, but not recording depreciation where appropri‐ ate • Donated capital assets where cash outflows were not involved • Accounts receivable from services provided or goods sold and other accrued receivables • Pledges receivable or other receivables where cash outflows were not involved • Investments for which cash outflows were not involved • Accounts payable for goods or services received where no cash outflow was involved • Accrued income taxes, accrued interest expense, other accrued liabilities where no cash outflow was in‐ volved 10 © 2018 Association of International Certified Professional Accountants. All rights reserved. • Subsequent write ups or write downs to fair value to recognize unrealized gains and losses on marketa‐ ble investments • Derivative instruments where cash inflows or outflows were not involved as well as the mark to market for fair value changes Because modified cash‐basis frameworks do not involve financial statement elements resulting from accruals and noncash transactions or events, it is unlikely that an acceptable modified cash‐basis framework would ever be materially equivalent to GAAP. However, it is important for financial statement preparers to avoid attempting to make certain modifications to GAAP financial statements and then referring to those financial statements as modified cash‐basis financial statements. For example, financial statements that are presented in conformity with GAAP, except that material leases are not capitalized, are not considered modified cash‐basis financial statements. Such financial statements are considered GAAP financial statements with a material departure due to the failure to capitalize material leases. The preparer will need to use judgment in determining if modified “cash‐basis” statements are tantamount to financial statements purported to be prepared in accordance with GAAP with material departures therefrom. Tax‐Basis of Accounting The tax‐basis is a basis of accounting that the entity uses to file its federal income tax or federal information re‐ turn for the period covered by the financial statements. The tax‐basis of accounting is based on the principles and rules for accounting for transactions under the federal income tax laws and regulations. Few new measurement guidelines need to be established because the method is based on tax laws. The tax‐basis of accounting covers a range of alternative bases, from cash to full accrual, depending on the nature of the taxpayer, and in some circumstances, the taxpayer’s elections. An entity need not be a taxable entity to prepare tax‐basis financial statements. Any entity that files a return with the IRS, either an income tax return or an information return, may prepare tax‐basis financial statements. Therefore, not‐for‐profit organizations, C corporations, S corporations, partnerships, limited liability partner‐ ships, limited liability companies, and sole proprietors may all use the tax‐basis of accounting. The tax‐basis of accounting is most useful for small, nonpublic entities whose financial statement users are in‐ terested primarily in the tax aspects of their relationship with the entity. For example, investors in tax‐driven partnerships, such as those commonly employed in the real estate industry, may be primarily interested in the tax consequences of transactions. However, they may want more information than would be provided by a tax return. Determining Whether to Prepare and Issue Cash‐ or Tax‐Basis Financial Statements As long as the entity is not contractually or otherwise required to issue financial statements prepared in accord‐ ance with GAAP or a regulatory or contractual basis of accounting, the entity may prepare and issue cash‐ or tax‐ basis financial statements. Understanding the needs of the financial statement users is an important step in de‐ termining whether to prepare and issue cash‐ or tax‐basis financial statements. If the users of the financial statements understand the presentation, and if the information presented when applying that basis of account‐ ing is relevant to their needs, then the preparer may determine that it is useful and appropriate to prepare and issue cash‐ or tax‐basis financial statements. The following are characteristics of entities that generally are good candidates to prepare cash‐ or tax‐basis financial statements: © 2018 Association of International Certified Professional Accountants. All rights reserved. 11 a. The entity’s creditors do not need or require financial statements prepared in accordance with GAAP. b. The cost of complying with GAAP would exceed the benefits (for example, a small construction contrac‐ tor who would be required to account for long term contracts using the percentage of completion method and would be required to compute deferred taxes). c. The owners are closely involved in the day‐to‐day operations of the business and have a fairly accurate picture of the entity’s financial position. d. The owners are primarily interested in cash flows (for example, a professional corporation of physicians that distributes its cash‐basis earnings through salaries, bonuses, and retirement plan contributions). e. The owners are primarily interested in the tax implications of transactions (for example, partners in a partnership who are concerned about the effects of transactions on their personal tax returns). f. It may not be appropriate to prepare and issue cash‐ or tax‐basis financial statements if the entity is or soon will be required to issue GAAP‐basis financial statements. For example, management of a company that is anticipating selling its business may be required to issue financial statements prepared in accord‐ ance with GAAP. Additionally, financial statements prepared when applying the cash‐ or tax‐basis of accounting should not be is‐ sued if the results are misleading. Cash‐ and tax‐basis financial statements are intended to be a cost‐effective al‐ ternative to GAAP, not a way to deliberately mislead financial statement users. Example Situation In Which it May Not Be Prudent to Issue Tax‐Basis Financial Statements • Long Street Partners has typically issued tax‐basis financial statements because the partners are more interested in the tax treatment of partnership transactions. Outside creditors have also accepted the tax‐basis financial statements as suitable for their needs. During the current year, two events occur that significantly affect the partnership: Several large customers experience financial difficulty and the part‐ nership’s receivables from the customers are in danger of not being collected. If the financial statements were prepared in accordance with GAAP, the partnership would be required to record a valuation al‐ lowance and recognize a bad debt expense. Under the tax rules, the partnership uses the direct write‐off method, so a tax deduction may not be allowed in the current year. • The partnership has acknowledged that it is obligated to perform an environmental remediation at one of its sites. If the financial statements were prepared in accordance with GAAP, the partnership would be required to recognize the liability and a loss. Although the entity may disclose the information in a risks and uncertainties note, under the tax rules, the deduction is not allowed until the amount is paid and therefore would not be included in the income statement equivalent. • Prior to preparing and issuing tax‐basis financial statements, in determining whether the proposed fi‐ nancial reporting framework is appropriate, the preparer may consider the following: — Whether the tax‐basis financial statements continue to be suitable for the users’ needs. In the example, the entity had a long history of issuing tax‐basis financial statements, which were suit‐ 12 © 2018 Association of International Certified Professional Accountants. All rights reserved. able for the needs of the users. The events in the current year merely illustrate the limitations of tax‐basis financial statements. — Appropriateness of disclosure. The preparer may determine to expand on the information in‐ cluded in the notes to the financial statements about these two events. For example, the part‐ nership might disclose the nature of the environmental remediation liability and the amounts involved. — Recognition may be appropriate. Depending on the nature and magnitude of the item, it may be appropriate to recognize it in the financial statements. In this example, the partnership might decide to account for bad debts using the allowance method and to recognize a contingent lia‐ bility for the remediation obligation. This would be a departure from the tax‐basis of accounting and the management of the entity may determine that, in the circumstances, it may be more appropriate to prepare its financial statements in accordance with GAAP. — Consider GAAP financials. As a result of the changed circumstances, financial statements pre‐ pared when applying the cash‐ or tax‐basis of accounting may no longer be appropriate, and the management of the entity may decide to prepare its financial statements in accordance with GAAP. Deciding Between Modified Cash‐ or Accrual Tax‐Basis Financial Statements In some situations it may be difficult to determine whether to issue modified cash‐ or accrual tax‐basis financial statements. Each basis has its own distinct advantages and disadvantages. Modified Cash‐ or Accrual Tax‐Basis Advantages and Disadvantages of Each Advantages Disadvantages Modified Cash‐Basis • Can be simpler to prepare than tax‐ basis • Not affected by changes in tax laws • Interim financial statements are easy to prepare • Recognition and measurement prin‐ ciples are not well‐defined • Not well‐suited for entities that have inventory or complex operations Accrual Tax‐Basis • Better‐suited for entities with inven‐ tory or complex operations • Well‐defined recognition and meas‐ urement criteria • Decisions made for tax reporting purposes may have unintended fi‐ nancial reporting effects • Accounting treatments are affected © 2018 Association of International Certified Professional Accountants. All rights reserved. 13 Advantages Disadvantages by changes in tax laws 14 © 2018 Association of International Certified Professional Accountants. All rights reserved. Chapter 2 Recognition and Measurement Issues in Financial Statements Prepared When Applying the Cash‐ or Tax‐Basis of Accounting The determination of what information should be reported in the financial statements and when to recognize transactions or events (recognition), and how to record transactions or events and at what amounts (measure‐ ment) varies depending on the type of framework used to prepare the financial statements. This chapter in‐ cludes a discussion of recognition and measurement issues for cash‐, modified cash‐, and tax‐basis financial statements. Cash‐Basis and Modified Cash‐Basis Observations and Suggestions In accordance with the master glossary included in the FASB Accounting Standards Codification® , cash equiva‐ lents are short‐term, highly liquid investments that have both of the following characteristics: a. Readily convertible to known amounts of cash b. So near their maturity that they present insignificant risks of changes in value because of changes in in‐ terest rates Generally, only investments with original maturities of three months or less qualify under that definition. Origi‐ nal maturity means original maturity to the entity holding the investment. For example, both a three‐month U.S. Treasury bill and a three‐year U.S. Treasury note purchased three months from maturity qualify as cash equiva‐ lents. However, a Treasury note purchased three years ago does not become a cash equivalent when its remain‐ ing maturity is three months. Examples of items commonly considered to be cash equivalents are Treasury bills, commercial paper, money market funds, and federal funds sold (for an entity with banking operations). The following represents certain significant measurement and recognition issues with respect to the cash‐ and modified‐cash bases of accounting. Investments In accordance with the cash‐basis of accounting, entities would reflect purchases of investments as cash dis‐ bursements and sales of investments as cash receipts in the period that the cash is disbursed or received. In‐ vestments acquired via noncash transactions should not be recorded and unrealized gains and losses should not be recognized. A common modification to the cash‐basis of accounting is to record investments in marketable securities as as‐ sets. If the entity prepared its financial statements in accordance with accounting principles generally accepted in the United States of America (GAAP), the investments would be reflected in the balance sheet. As such, the investments would be initially recorded at cost and subsequent unrealized changes in value would be recorded to reflect the fair value of the investments. Because unrealized gains and losses are not the result of a cash © 2018 Association of International Certified Professional Accountants. All rights reserved. 15 transaction or event, such unrealized gains and losses should not be recorded in financial statements when ap‐ plying a modified cash‐basis of accounting. Instead, the investments would remain on the balance sheet equiva‐ lent at cost unless and until they become worthless or are sold. Receivables Receivables should not be recognized in financial statements prepared when applying the cash basis of account‐ ing unless the receivables result from an outflow of cash. Other receivables such as those arising from sales transactions made on credit should not be recorded. Property and Equipment Under the cash‐basis of accounting, purchases of property and equipment would be reflected in the financial statements as cash disbursements in the period the transaction occurred. The assets would not be capitalized and depreciation would not be recorded. A common modification to the cash‐basis of accounting is to record property and equipment arising from cash transactions as assets. Once the modification is made, the entity should adopt and consistently apply an alloca‐ tion policy (depreciation or amortization) that has substantial support in the accounting literature and is logical. Such policy should also include recording any financing arrangements that are part of a cash transaction. As part of this policy, management of the entity should consider how it would address single‐step transactions or events that may not directly involve a cash inflow or outflow but may nevertheless be recorded as an in‐substance two‐ step cash transaction or event. See chapter 1, “Overview of Cash‐ and Tax‐Basis Financial Statements,” for dis‐ cussion of in‐substance two‐step transactions. Donated assets should not be recognized as “assets” because they are not derived from the use of cash or cash equivalents. It would be appropriate to write off any remaining carrying value of property and equipment once the assets are no longer in use or have been permanently impaired. Bank Overdrafts Bank overdrafts may be netted with other cash balances from the same bank. Bank overdrafts should not be netted against funds held at another financial institution. If the entity has an overall negative cash balance from a financial institution, when applying the cash‐basis of accounting, the negative cash balance would be shown as a liability on the balance sheet equivalent, if one is presented. For example, if the net balance in Bank A is $(1,000) and the net balance in Bank B is $5,000, the balance sheet equivalent would show a cash asset of $5,000 and the $(1,000) overdraft as a liability. If the entity has an overall global negative cash balance, the neg‐ ative cash balance would be shown as negative cash on hand at the end of the period on the statement of cash receipts and disbursements. Borrowings When applying the cash‐basis of accounting, the entity should record all proceeds from borrowings as cash re‐ ceipts when received and then reflect the principal repaid and associated interest as cash disbursements when paid. If a loan provides direct financing of an asset, neither the loan nor the asset should be recorded. However, 16 © 2018 Association of International Certified Professional Accountants. All rights reserved. the principal and interest payments would be reflected as cash disbursements when paid. See chapter 1 for dis‐ cussion of in‐substance two‐step transactions. Tax‐Basis In tax‐basis financial statements, transactions are recognized and measured in the same manner as they are in the entity’s federal tax return. Therefore, the preparer of financial statements when applying the tax‐basis of ac‐ counting is required to understand the federal tax laws applicable to the particular entity. Although this chapter highlights certain common measurement and recognition issues with respect to the tax‐basis of accounting, it is not a substitute for understanding the federal tax laws applicable to the particular entity. Additionally, although the IRS permits all entities to use the accrual method of accounting for tax purposes, many smaller entities can instead elect to use the cash method of accounting for tax purposes. Entities with in‐ ventories are required to use the accrual method for sales and purchases of inventory. Nontaxable Revenues and Nondeductible Expenses Under federal income tax laws, certain revenue is not taxable and certain expenses are not deductible. For ex‐ ample, receipts such as interest on obligations of state and local governments and proceeds from life insurance policies are not taxable. Costs such as premiums paid on officers’ life insurance policies are not deductible. When presenting tax‐basis financial statements, in order to be transparent, preparers of tax‐basis financial statements may recognize nontaxable revenues and nondeductible expenses outside of taxable income. Nontaxable revenues should be recognized when received (cash‐basis) or when earned (accrual basis). Nonde‐ ductible expenses should be reported and charged to expense in the period paid (cash‐basis) or when incurred (accrual basis). Additional Income Taxes for Prior Years An IRS exam may result in additional income taxes being assessed for prior years. Two alternative methods may be used to account for additional taxes for prior years. • The amount may be charged to expense in the current period if there are no corresponding adjustments to the balance sheet equivalent for expenses capitalized or revenue recognized. • The amount may be treated as a prior period adjustment and charged to retained earnings in a manner that is logical and consistent with the equivalent of a presentation in accordance with GAAP. The IRS may disallow amounts charged to expense in prior years and require those amounts to be capitalized and amortized or may require recognition of previously unreported revenue. Such amounts, net of income tax adjustments, should be treated as prior period adjustments. Otherwise, either of the preceding methods is con‐ sidered acceptable. The method used and the amount of additional taxes should be disclosed in the notes to the financial statements. Accounting Changes for Tax Purposes For tax purposes, the effects of an accounting change may be recognized prospectively over a specified number of years. Accounting changes should be treated in the same manner as they are treated in the tax return. © 2018 Association of International Certified Professional Accountants. All rights reserved. 17 S Corporations Income of an S corporation is taxable to its shareholders. Consequently, such a corporation may be required to maintain information on distinct classes of retained earnings. However, in tax‐basis financial statements, S cor‐ porations usually report retained earnings as a single amount and should report distributions to stockholders. Significant Differences Between GAAP and Tax‐Basis There are many differences between the way items are accounted for in accordance with GAAP and the way they are treated under the tax rules. Some of the more common include the following: • Bad debt losses on uncollectible receivables • Inventory capitalization and valuation • Unrealized gains on investment securities • Depreciation and impairment of capital assets • Fair value measurements • Consolidation 18 © 2018 Association of International Certified Professional Accountants. All rights reserved. Chapter 3 Presentation and Disclosure Issues in Financial Statements Prepared When Ap‐ plying the Cash‐ or Tax‐Basis of Accounting The determination of the form and content of the financial statements or which financial statements to present and what to include (presentation and disclosure) varies depending on the financial reporting framework ap‐ plied. Financial statements prepared when applying the cash‐ or tax‐basis of accounting may provide less complex and more understandable alternatives to financial statements prepared in accordance with accounting principles generally accepted in the United States of America (GAAP). However, preparers must be knowledgeable of GAAP disclosure requirements because cash‐ and tax‐basis financial statements should include informative disclosures similar to those required by GAAP if the financial statements contain items that are the same as, or similar to, those in financial statements prepared in accordance with GAAP. Observations and Suggestions Often, preparers of cash‐ and tax‐basis financial statements elect to omit substantially all disclosures required by the cash‐ or tax‐basis of accounting. The omission of disclosures is a departure from the cash‐ or tax‐basis of ac‐ counting and, if such disclosures were included in the financial statements, they might influence the user’s con‐ clusions about the entity’s financial position, results of operations, and cash flows. However, the omission may not necessarily result in misleading financial statements provided that the intended users are informed about such matters. If cash‐ or tax‐basis financial statements contain items for which GAAP would require disclosure, the financial statements may either provide the relevant disclosure that would be required for those items in a GAAP presen‐ tation or provide information that communicates the substance of that disclosure. This may result in substitut‐ ing qualitative information for some of the quantitative information required for GAAP presentations. For exam‐ ple, • disclosure of the repayment terms of significant long‐term borrowings may sufficiently communicate in‐ formation about future principal reduction without providing the summary of principal reduction during each of the next five years. • information about the effects of accounting changes, discontinued operations, and extraordinary items could be disclosed in a note to the financial statements without following the GAAP presentation re‐ quirements in the income statement equivalent or disclosing net‐of‐tax effects. • instead of showing expenses by their functional classifications with respect to the financial statements of a not‐for‐profit organization, a statement of activities could present expenses according to their natu‐ ral classifications, and a note to the financial statements could use estimated percentages to communi‐ cate information about expenses incurred by the major program and supporting services. • instead of showing the amounts of, and changes in, the unrestricted and temporarily and permanently restricted classes of net assets with respect to the financial statements of a not‐for‐profit organization, a © 2018 Association of International Certified Professional Accountants. All rights reserved. 19 statement of assets, liabilities, and net assets could report total net assets or fund balances, a related statement of activities could report changes in those totals, and a note to the financial statements could provide information, using estimated or actual amounts or percentages, about the restrictions on those amounts and on any deferred restricted amounts, describe the major restrictions, and provide infor‐ mation about significant changes in restricted amounts. For financial statements prepared when applying the cash‐ or tax‐basis of accounting, GAAP disclosure require‐ ments that are not relevant to the measurement of the item need not be considered. To illustrate, • fair value disclosures for investments in debt and equity securities would not be relevant when the basis of presentation does not adjust the cost of such securities to their fair value. • disclosures related to actuarial calculations for contributions to defined benefit plans would not be rele‐ vant in financial statements prepared when applying the cash‐ or tax‐basis of accounting. • disclosures related to the use of estimates would not be relevant in a presentation that has no esti‐ mates, such as the cash‐ or modified cash‐basis of accounting. Financial statements prepared when applying the cash‐basis of accounting generally do not include a statement of cash flows. However, depending on the user’s requirements, financial statements prepared when applying a modified cash‐ or the tax‐basis of accounting may include a statement of cash flows. For example, it may be challenging for users to obtain accurate information on operating, investing, and financing activities in single‐ year financial statements prepared when applying the tax‐basis of accounting unless a statement of cash flows is presented. Similar to financial statements prepared in accordance with GAAP, in order to achieve fair presentation, financial statements prepared when applying the cash‐ or tax‐basis of accounting should include all informative disclo‐ sures that are appropriate for the applicable financial reporting framework, including all significant matters that materially affect the financial statements’ use, understanding, and interpretation. Additionally, because financial statements prepared when applying the cash‐ or tax‐basis of accounting have certain inherent presentation and disclosure limitations, in order to enhance the value and usefulness of such fi‐ nancial statements, the preparer may disclose additional information in the notes to the financial statements. For example, donated capital assets would not be included in the balance sheet equivalent in financial state‐ ments prepared when applying a modified cash‐basis of accounting—even if the modification to the cash‐basis of accounting is to record capital expenditures as assets and depreciate them over their estimated useful lives. The preparer may elect to disclose the value of such donated capital assets in the notes to the financial state‐ ments. Presentation—Cash‐Basis Financial Statements Because a balance sheet equivalent would simply show the cash balance and a corresponding equity account, and a statement of cash flows would be repetitive of the statement of cash receipts and disbursements, finan‐ cial statements prepared when applying the cash‐basis of accounting may consist only of a statement of cash re‐ ceipts and disbursements. Although a single statement may be presented, informative disclosures are still nec‐ essary. Additionally, restrictions on cash balances should either be presented on the face of the statement of cash receipts and disbursements or should be disclosed in the notes to the financial statements. 20 © 2018 Association of International Certified Professional Accountants. All rights reserved. Basis of Accounting A required disclosure for all cash‐ and tax‐basis financial statements is the description of the basis of accounting (financial reporting framework), including how that basis of accounting differs from GAAP. Although these dif‐ ferences from GAAP should be qualitatively described, they need not be quantified. This description is important in financial statements prepared when applying a modified cash‐basis of accounting because such financial statements may vary depending on the modifications to the cash‐basis that were made. The description there‐ fore becomes essential to the user’s understanding of the financial statements. The description of the basis of accounting is usually presented in the summary of significant accounting policies section of the notes to the financial statements with a heading such as “Basis of Accounting.” The following ex‐ amples represent how the basis of accounting may be disclosed in the notes to financial statements prepared when applying the cash‐, a modified cash‐, and the tax‐basis of accounting. Example: Basis of Accounting Note—Cash‐Basis of Accounting Basis of Accounting The financial statements of Company X have been prepared on the cash‐basis of accounting, which is a compre‐ hensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). The cash‐basis of accounting differs from GAAP primarily because revenues are recognized when re‐ ceived rather than when earned and expenses are recorded when paid rather than when incurred. The financial statements therefore present only cash and cash equivalents and changes therein in the form of cash receipts and disbursements. Example: Basis of Accounting Note—Modified Cash‐Basis of Accounting Basis of Accounting The financial statements of Company X have been prepared on the cash‐basis of accounting, modified to record assets or liabilities with respect to cash transactions and events that provide a benefit or result in an obligation that covers a period greater than the period in which the cash transaction or event occurred. The modifications result in the recording of investments, inventories, capital assets, and related short‐term and long‐term obliga‐ tions on the statement of financial position. This method of accounting represents a comprehensive basis of ac‐ counting other than accounting principles generally accepted in the United States of America (GAAP). This basis of accounting differs from GAAP primarily because certain revenue and related assets (such as accounts receiva‐ ble and revenue for billed or provided services not yet collected, and other accrued revenue and receivables) have been recognized when received rather than when earned and certain expenses and related liabilities (such as accounts payable and expenses for goods or services received but not yet paid, and other accrued liabilities and expenses) have been recognized when paid rather than when the obligations were incurred. Example: Basis of Accounting Note—Tax‐Basis of Accounting Basis of Accounting The financial statements of Company X have been prepared on the accrual basis of accounting that the Company uses for filing its federal income tax return, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). This basis differs from GAAP primarily be‐ © 2018 Association of International Certified Professional Accountants. All rights reserved. 21 cause the Company expenses the cost of certain types of assets in accordance with IRC Section 179. GAAP re‐ quires that such assets be capitalized and expensed over their estimated useful lives. Summary of Significant Accounting Policies FASB Accounting Standards Codification (ASC) 235, Notes to Financial Statements, requires that financial state‐ ments prepared in accordance with GAAP include a summary of significant accounting policies in the notes to the financial statements. Accordingly, cash‐ and tax‐basis financial statements should include a summary of sig‐ nificant accounting policies in the notes to the financial statements. In addition to the basis of accounting discussed previously, the note should include disclosure of the significant accounting policies used to prepare the financial statements, including policies that involve the following: • A selection from existing acceptable alternatives • Industry specific applications • Unusual or innovative applications of accounting principles Because the cash‐basis of accounting does not include the recognition of noncash assets, liabilities, and noncash transactions, elaborate accounting policy disclosures are usually unnecessary. In financial statements prepared when applying a modified cash‐basis of accounting, such disclosures may include information about the follow‐ ing: • Investments • Inventory • Property and equipment • Income taxes • Consolidation • Related parties and related party transactions • Commitments and contingencies • Uncertainties • Subsequent events • Asset impairments The significant accounting policies note for tax‐basis financial statements should include disclosure of the follow‐ ing: • Whether the basic method of accounting is cash or accrual 22 © 2018 Association of International Certified Professional Accountants. All rights reserved. • The tax filing status of the entity, if other than a taxable corporation (that is, a C corporation) • That revenues and related assets and expenses and related obligations are recognized only when they are reported or deducted for federal income tax purposes • That nontaxable income and nondeductible expenses are included in the determination of the equiva‐ lent of operating results or “net income” • The nature of any optional tax methods of accounting followed • The nature of any important judgments or policies necessary for an understanding of the methods of recognizing revenue and allocating costs to current and future periods • Tax uncertainties including open tax years Also, tax uncertainties should be addressed in financial statements prepared when applying the cash‐ or tax‐ basis of accounting. FASB ASC 740‐10‐50‐15 requires that open tax years be disclosed—even if the reporting en‐ tity is a pass‐through entity or a not‐for‐profit organization. In addition, in financial statements prepared when applying the tax‐basis of accounting, disclosures regarding significant accounting policies may include information about receivables. The following represents guidance on certain other common presentation and disclosure issues with respect to cash‐ and tax‐basis financial statements. Subsequent Events FASB ASC 855, Subsequent Events, sets forth general standards of accounting for and disclosure of events that occur after the balance sheet date but before the financial statements are issued or are available to be issued. The preparer should disclose the date through which subsequent events have been evaluated, which is the date the financial statements are available to be issued. When financial statements prepared when applying the cash‐ or tax‐basis of accounting contain items that are the same as, or similar to, those in financial statements pre‐ pared in accordance with GAAP, such financial statements should contain the disclosures required by FASB ASC 855. Related Party Transactions The existence of related party transactions that are material individually or in the aggregate and the nature and amounts of the transactions and balances should be disclosed. Note that the tax rules may define “related par‐ ty” differently than how it is defined in accordance with GAAP. To avoid confusion on the part of users of the tax‐basis financial statements, the GAAP definition of related party should be considered for all financial report‐ ing purposes. Commitments and Contingencies The existence and nature of material commitments and contingencies should be disclosed in the notes to finan‐ cial statements prepared when applying the cash‐ or tax‐basis of accounting. © 2018 Association of International Certified Professional Accountants. All rights reserved. 23 Pension Plans The existence and nature of a pension plan should be disclosed in the notes to financial statements when apply‐ ing the cash‐ or tax‐basis of accounting. Assets and Liabilities Information disclosed for assets and liabilities commonly includes the following items: • Restricted cash, segregated from cash available for current operations, with a description of the nature of the restriction • The aggregate fair value of investments in marketable securities • Accounts and notes receivable from officers, employees, and affiliates, presented separately with disclo‐ sure of the effective interest rate on notes receivable, and interest income for the period • The major classes of property, plant, and equipment; depreciation expense for the period; the meth‐ od(s) used in computing depreciation; and the aggregate, accumulated depreciation • The method of determining inventory cost (for example, last in, first out and first in, first out) Owners’ Equity The financial statements often include disclosures regarding information on owners’ equity as follows: • For each class of stock, the number of shares authorized, issued, and outstanding; the par or stated val‐ ue; and, in summary form, the pertinent rights and privileges of each outstanding class (if more than one class is outstanding) • The existence of stock option and stock purchase plans • Restrictions on the payment of dividends • Changes for the period in the separate components of owners’ equity A note to the financial statements of a voluntary health and welfare organization that prepares tax‐basis finan‐ cial statements could provide information, using estimated or actual amounts or percentages, about the re‐ strictions on total net assets or fund balances and on any deferred restricted amounts, describe the major re‐ strictions, and provide information about significant changes in restricted amounts. Risks and Uncertainties Financial statements prepared in accordance with GAAP are required to include a number of disclosures with re‐ spect to risks and uncertainties. The following table summarizes these disclosures and how GAAP requirements for disclosing risks and uncer‐ tainties should be addressed in cash‐ and tax‐basis financial statements. The table is not meant to be all‐ inclusive. 24 © 2018 Association of International Certified Professional Accountants. All rights reserved. Observations and Suggestions Often, preparers of cash‐ and tax‐basis financial statements elect to omit substantially all disclosures required by the cash‐ or tax‐basis of accounting. The omission of disclosures is a departure from the cash‐ or tax‐basis of ac‐ counting and, if such disclosures were included in the financial statements, they might influence the user’s con‐ clusions about the entity’s financial position, results of operations, and cash flows. However, the omission may not necessarily result in misleading financial statements provided that the intended users are informed about such matters. GAAP Requirement Summary of Required Disclosures Applicability to Cash‐ or Tax‐ Basis of Accounting Nature of Operations Entities should disclose a de‐ scription of the major products or services the reporting entity sells or provides and its principal markets. This information is use‐ ful because it helps financial statement users understand the nature of the entity’s business and the risks common to that business. This disclosure is relevant to all financial statements prepared in accordance with the cash‐ or tax‐ basis of accounting and should be made. Use of Estimates Financial statements should in‐ clude an explanation that the preparation of financial state‐ ments in accordance with GAAP requires the use of manage‐ ment’s estimates. This disclosure may not be rele‐ vant to some financial state‐ ments prepared in accordance with the cash‐ or tax‐basis of accounting; for example, finan‐ cial statements prepared on the cash‐basis that do not include estimated amounts. Certain Significant Estimates If certain criteria are met, the entity is required to disclose the nature of an uncertainty if it is at least reasonably possible that a change in an estimate will occur in the near term. The purpose of the disclosure is to communicate to financial statement users that there is a reasonable possibility that certain estimated amounts in the current year financial statements will change signifi‐ cantly and affect the subsequent years’ financial statements. If the GAAP disclosure criteria are met, the financial statements should include disclosure of the information required by GAAP. Vulnerability Due to Concentra‐ If certain criteria are met, the If the GAAP disclosure criteria © 2018 Association of International Certified Professional Accountants. All rights reserved. 25 GAAP Requirement Summary of Required Disclosures Applicability to Cash‐ or Tax‐ Basis of Accounting tions financial statements are re‐ quired to include disclosure in‐ formation about its vulnerability due to concentrations; for ex‐ ample, significant volume of business conducted with one customer. are met, the preparer should disclose the information re‐ quired by GAAP. Going Concern A basic premise underlying fi‐ nancial reporting is that a user of the financial statements can as‐ sume that the entity will contin‐ ue as a going concern for a rea‐ sonable period of time. If the preparer concludes that material uncertainties exist such that the entity may not continue as a go‐ ing concern for a reasonable pe‐ riod of time, the financial state‐ ments should include disclosure of such uncertainty. If the preparer concludes that there is substantial doubt about the entity’s ability to continue as a going concern for a reasonable period of time (generally one year from the date of the bal‐ ance sheet equivalent), the pre‐ parer should disclose the going concern considerations in a note to the financial statements. Terminology for Cash‐ and Tax‐Basis Financial Statements There is no requirement to modify financial statement titles in cash‐ or tax‐basis financial statements. However, users of such financial statements should be able to readily identify the basis of accounting used to prepare the financial statements. A common and convenient way of identifying the basis of accounting is through the finan‐ cial statement titles by adding “cash‐basis,” “modified cash‐basis,” or “tax‐basis” after the financial statement ti‐ tle. Cash‐basis financial statements might be titled, for example, • Statement of Assets and Liabilities Arising from Cash Transactions; • Statement of Revenue Collected and Expenses Paid; • Statement of Revenue and Expenses—Cash‐Basis; or • Statement of Cash Receipts and Disbursements. Modified cash‐basis financial statements might be titled, for example, • Statement of Assets and Net Assets—Modified Cash‐Basis; or • Statement of Revenue, Expenses and Changes in Net Assets—Modified Cash‐Basis. Tax‐basis financial statements might be titled, for example, 26 © 2018 Association of International Certified Professional Accountants. All rights reserved. • Statement of Assets, Liabilities, and Capital—Tax‐Basis; • Statement of Operations—Tax‐Basis; or • Statement of Revenue and Expenses—Tax‐Basis. The preceding examples are not meant to be all‐inclusive and are not the only acceptable titles. With respect to the captions to be used with the cash‐, modified cash‐, or tax‐basis financial statements, there is no requirement to modify the standard GAAP financial statement captions. Therefore, captions such as “net in‐ come,” “net loss,” and “retained earnings” are acceptable. However, if modifications are desired (which many preparers prefer as a means of additional emphasis that the financial statements are not prepared in accordance with GAAP), common examples for cash‐basis financial statements are excess of revenue collected over expenses paid and excess of expenses paid over revenue collected. For financial statements prepared when applying a modified cash‐basis of accounting, common modifications are excess of revenue over expenses and excess of ex‐ penses over revenue. With respect to tax‐basis financial statements, modifications with respect to financial statement captions are rarely made. However, modifications, if made, may include retained earnings—tax‐basis and net income—tax‐basis. Consolidation Accounting Professional judgment should be applied to determine which presentation—consolidated, unconsolidated, or combined—provides the most meaningful and relevant information. A preparer should not consolidate entities unless all entities to be consolidated use the same basis of accounting. For example, it would not be appropriate to consolidate an entity that prepares its financial statements using a modified cash‐basis of accounting with its parent who maintains its books and records in accordance with the tax‐basis of accounting. If the modified cash‐ basis of accounting is used, then all consolidated entities should utilize the same modifications to the cash‐basis of accounting. With respect to financial statements prepared when applying the tax‐basis of accounting, consolidation is based on the IRC. Therefore, the consolidation requirements of FASB ASC 810, Consolidation, do not apply. However, if the entity files a consolidated tax return, it should report consolidated results on its tax‐basis financial state‐ ments. In the case of brother‐sister corporations in which each entity maintains its books and records on the tax‐basis of accounting, but a consolidated tax return is not filed, the preparer may prepare combined financial statements because such financial statements may be more useful to users than individual uncombined financial statements. Although the tax consolidation rules are followed, additional disclosures may be necessary to lessen the chance that the financial statements are not misleading. Consider, for example, a 60 percent owned subsidiary that would be consolidated in financial statements prepared in accordance with GAAP but is not consolidated in fi‐ nancial statements prepared when applying the tax‐basis of accounting because the threshold for consolidation under the IRC is 80 percent ownership. Even though the subsidiary is not consolidated, the preparer should con‐ sider which disclosures are appropriate relative to the 60 percent owned subsidiary. Examples of matters that might require disclosure are the ownership and relationship with the subsidiary, related party transactions, guarantees, and commitments. © 2018 Association of International Certified Professional Accountants. All rights reserved. 27 Change From GAAP to Cash‐ or Tax‐Basis A change from GAAP to cash‐ or tax‐basis statements (or vice versa) does not represent a change in accounting principles as described in FASB ASC 250, Accounting Changes and Error Corrections. Therefore, no justification for the change is required, and a cumulative effect adjustment is unnecessary. When only the current year’s cash‐ or tax‐basis statements are presented, there are three ways of presenting opening equity: • Show opening equity as previously reported in accordance with GAAP, with an adjustment to convert to the cash‐ or tax‐basis. • Show opening equity on the as‐adjusted cash‐ or tax‐basis. • Show the effects of the adjustment to convert as a cumulative‐effect adjustment in the income state‐ ment equivalent. If comparative financial statements are presented, the prior periods should be restated and presented on the basis to which the company has changed. Restatement is necessary to ensure comparability between all periods presented. In all cases, the change in accounting basis should be disclosed in the notes to the financial statements. The fol‐ lowing is an example of how such a change in accounting basis could be disclosed in the notes to the financial statements: In 20X1, management adopted a policy of preparing its financial statements on the basis of accounting that it uses to file its federal income tax return. Prior to 20X1, the Company’s financial statements were prepared in accordance with accounting principles generally accepted in the United States of America. Management believes that this change results in more relevant financial reporting that is easier and less costly to understand, apply, and use in the Company’s circumstances and considering the needs of the users of the financial statements. The 20X1 financial statements have been restated to be on the tax‐ basis of accounting. 28 © 2018 Association of International Certified Professional Accountants. All rights reserved. Appendix Illustrative Cash‐ and Tax‐Basis Financial Statements This appendix contains illustrative examples of financial statements prepared when applying the cash‐, modified cash‐, or tax‐basis of accounting for different types of entities. These financial statements are intended to illus‐ trate the significant discussion points in chapters 1–3 of this practice aid. Each financial statement has been an‐ notated to highlight these key points. Name of Entity Type of Entity Basis of Preparation Ceolainn Club Not‐for‐profit Cash Mickey’s Center Not‐for‐profit Modified Cash Donnelly & Oates Limited Liability Partnership Tax (Accrual Basis) Charlton Contractors, Inc. Construction Contractor Tax (Accrual Basis) Margaret Rose 1964 Irrevocable Trust Trust Tax (Accrual Basis) CEOLAINN CLUB FINANCIAL STATEMENTS FOR THE YEARS ENDED JUNE 30, 20X2 AND 20X1 Circumstances include the following: • The financial statements are for a not‐for‐profit membership club. • The financial statements are prepared on the cash‐basis of accounting. • The financial statements are comparative for the years ended June 30, 20X2, and 20X1. The financial statements illustrate the following: • The financial statements include a statement of functional expenses, which is required by accounting principles generally accepted in the United States of America (GAAP). Financial statements prepared when applying the cash‐basis of accounting are not required to include such a statement, but may in‐ stead communicate the substance of that requirement. • GAAP requires not‐for‐profit organizations to report the amount of unrestricted, temporarily restricted, and permanently restricted net assets on the face of the statement of financial position. Because a statement of financial position equivalent is not presented, the illustrative financial statements com‐ municate the substance of the GAAP requirement in the notes to the financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 29 Ceoliann Club Statements of Cash Receipts and Disbursements For the Years Ended June 30, 20X2 and 20X1 June 30, 20X2 June 30, 20X1 Cash received from support activities: Membership dues $ 49,899 $ 46,759 Donations 996 1,125 Programs 7,495 10,645 Total cash received from support activities 58,390 58,529 Cash received from other sources: Interest income 19 30 Other 300 3,720 Total cash received from other sources 319 3,750 TOTAL CASH RECEIVED $ 58,709 $ 62,279 Cash disbursed: Program services $ 29,110 $ 29,484 Supporting services 19,783 19,113 Fundraising 6,288 8,803 TOTAL CASH DISBURSED $ 55,181 $ 57,400 Excess of revenue collected over expenses paid 3,528 4,879 Cash and cash equivalents, beginning of year 39,046 34,167 Cash and cash equivalents, end of year $ 42,574 $ 39,046 See accompanying notes to financial statements. 30 © 2018 Association of International Certified Professional Accountants. All rights reserved. The Ceoliann Club Statements of Functional Expenses Cash‐Basis For the Years Ended June 30, 20X2 and 20X1 Program Services Supporting Services Fundraising Total June 30, 20X2 Program Services Supporting Services Fundraising Total June 30, 20X1 Salaries and benefits $ 23,333 $ 16,440 $ 4,241 $ 44,014 $ 23,633 $15,876 $ 5,937 $ 45,446 Events—special 1,795 1,795 2,513 2,513 Legal and ac‐ counting 2,320 2,320 2,500 2,500 Insurance 313 51 45 409 317 49 63 429 Postage/printing 3,477 3,477 3,398 3,398 Licenses/fees 114 114 464 464 Office expense 612 232 207 1.051 620 224 290 1,134 Miscellaneous 1,375 626 2,001 1,516 1,516 $ 29,110 $19,783 $6,288 $55,181 $29,484 $19,113 $8,803 $57,400 53% 36% 11% 52% 33% 15% See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 31 Ceolainn Club Notes to Financial Statements Cash‐Basis For the Years Ended June 30, 20X2 and 20X1 Note 1—Summary of Significant Accounting Policies Nature of Activities The Ceolainn Club (the Club) is a New York not‐for‐profit organization. The Club’s mission is to promote safe so‐ cial programs for young adults. Basis of Accounting The Club’s financial statements have been prepared on the cash‐basis of accounting, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). The cash‐basis of accounting differs from GAAP primarily because revenues are recognized when received rather than when earned and expenses are recorded when paid rather than when incurred. The financial statements therefore present only cash and cash equivalents and changes therein in the form of cash receipts and dis‐ bursements. Cash and Cash Equivalents The Club considers all highly liquid investments available for current use with an initial maturity of three months or less to be cash equivalents. As of June 30, 20X2, and 20X1, cash and cash equivalents consisted entirely of the adjusted book balance in the Club’s checking account. Net Assets As of June 30, 20X2, and 20X1, all of the Club’s net assets were unrestricted. Income Taxes The Club is exempt from federal and state income taxes under Internal Revenue Code Section 501(c)(7). Accord‐ ingly, no provision for income taxes has been made in the financial statements. Uncertain Tax Positions Federal and state income tax returns for the years 20X0 to date are subject to examination by taxing authorities. Subsequent Events Management has evaluated subsequent events through August 28, 20X2, which is the date the financial state‐ ments were available to be issued. 32 © 2018 Association of International Certified Professional Accountants. All rights reserved. MICKEY’S CENTER FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED AUGUST 31, 20X2 Circumstances include the following: • The financial statements are for a not‐for‐profit charity. • The financial statements are prepared on a modified cash‐basis of accounting. The cash‐basis of ac‐ counting was modified to accrue cash transactions and events that provide a benefit or result in an obli‐ gation that covers a period greater than the period in which the cash transactions or events occurred. Such accruals resulted in the recording of property and equipment as assets on the statement of assets and net assets and subsequent depreciation of those assets over their estimated useful lives. • The financial statements are as of August 31, 20X2, and for the year then ended. The financial statements illustrate the following: • The financial statements include a statement of functional expenses, which is required by accounting principles generally accepted in the United States of America (GAAP). Financial statements prepared when applying a modified cash‐basis of accounting are not required to include such a statement, but may instead communicate the substance of that requirement. • GAAP requires not‐for‐profit organizations to report the amount of unrestricted, temporarily restricted, and permanently restricted net assets on the face of the balance sheet (in the case of the illustrative fi‐ nancial statements prepared on a modified cash‐basis of accounting, such point in time statement is re‐ ferred to as the statement of assets and net assets). The illustrative financial statements do not follow those presentation requirements but instead, communicate their substance by providing relevant in‐ formation in the notes to the financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 33 Mickey’s Center Statement of Assets and Net Assets Modified Cash‐Basis August 31, 20X2 Assets Cash and cash equivalents $ 316,258 Restricted cash (Note 2) 108,084 Property and equipment (net of accumulated de‐ preciation of $35,565) 9,018 $ 433,360 Net Assets Unrestricted net assets (Note 5) 433,360 Net assets $ 433,360 See accompanying notes to financial statements. 34 © 2018 Association of International Certified Professional Accountants. All rights reserved. Mickey’s Center Statement of Revenue, Expenses and Changes in Net Assets Modified Cash‐Basis For the Year Ended August 31, 20X2 Revenue Corporate and foundation contributions $ 536,134 Other contributions 235,920 Exchange club projects 105,302 Unsolicited and other donations 69,754 Total revenue 947,110 Expenses Program services 769,426 Management and general 100,718 Fundraising 55,264 155,982 Total expenses 925,408 Increase in net assets 21,702 Net assets, beginning of year 411,658 Net assets, end of year $ 433,360 See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 35 Mickey’s Center Statement of Functional Expenses Modified Cash‐Basis For the Year Ended August 31, 20X2 Program Services Management and General Fundraising Total Salaries and bene‐ fits $ 451,675 $ 76,781 $ 38,041 $ 566,497 Grant expense 41,291 41,291 Special events 77,790 13,233 91,023 Training 16,029 16,029 Professional ser‐ vices 16,810 16,810 Telephone 14,782 720 428 15,930 Postage/printing 6,176 301 178 6,655 Office supplies 16,597 809 481 17,887 Program materials 16,279 16,279 Depreciation 8,917 435 259 9,611 Rent 58,084 2,831 1,683 62,598 Miscellaneous 61,806 2,031 961 64,798 $ 769,426 $ 100,718 $ 55,264 $ 925,408 83% 11% 6% See accompanying notes to financial statements. 36 © 2018 Association of International Certified Professional Accountants. All rights reserved. Mickey’s Center Notes to Financial Statements Modified Cash‐Basis August 31, 20X2 Note 1—Summary of Significant Accounting Policies Nature of Activities Mickey’s Center (the Center) is a nonprofit corporation incorporated under the Texas Non‐Profit Corporation Act. The purpose of the Center is to use its funds exclusively for charitable, scientific, and educational purposes, especially the prevention of child abuse. Basis of Accounting The financial statements of the Center have been prepared on the cash‐basis of accounting, modified to record assets or liabilities with respect to cash transactions and events that provide a benefit or result in an obligation that covers a period greater than the period in which the cash transactions or events occurred. The modifica‐ tions result in the recording of capital assets on the statement of assets and net assets. Except for depreciation, all transactions are recognized as either revenue or expenses when received or paid in cash. Except for deprecia‐ tion, noncash transactions are not recognized. This basis of accounting represents a comprehensive basis of ac‐ counting other than accounting principles generally accepted in the United States of America (GAAP). This basis of accounting differs from GAAP primarily because certain revenue and related assets have been recognized when received rather than when earned and certain expenses and related liabilities have been recognized when paid rather than when the obligations were incurred. Property and Equipment Property and equipment are recorded at cost and consist of the office building and equipment. Depreciation is computed on the straight‐line method based on estimated useful lives of 30 years and 5 years for the office building and equipment, respectively. Cash Equivalents The Center considers all highly liquid debt instruments with an original maturity of three months or less to be cash equivalents. Contributions The Center records contributions when received in cash. Contributed Services Many individuals volunteer their time to help the Center with its educational activities. During the year ended August 31, 20X2, the Center received approximately 200 volunteer hours that have not been recorded in the statement of revenue, expenses, and changes in net assets. Functional Expenses © 2018 Association of International Certified Professional Accountants. All rights reserved. 37 The costs of providing the various programs, fundraising, and other activities have been summarized on a func‐ tional basis in the statement of functional expenses. Accordingly, certain costs have been allocated among the programs and fundraising activities benefited. Functional expenses are allocated to programs and supporting services based on specific identification. Expenses that relate to more than one program or support activity are allocated based on salary expenditure. Income Taxes The Center is exempt from federal and state income taxes under Internal Revenue Code Section 501(c)(3), ex‐ cept to the extent that it has taxable income from businesses that are not related to its tax exempt purpose. Un‐ related business income, if there was any, would be taxed at the applicable corporate income tax rate. The Cen‐ ter did not have any unrelated business income during the year ended August 31, 20X2, and accordingly, no pro‐ vision for income taxes has been made in the financial statements. The Center is not currently under examination by any taxing jurisdiction. Federal and state taxing authorities no longer have the right to examine tax years prior to 20Y9. For the year ended August 31, 20X2, there were no in‐ terest or penalties associated with tax positions recorded in the accompanying financial statements. Use of Estimates The preparation of financial statements on a modified cash‐basis of accounting requires management to make estimates and assumptions that affect financial statement amounts and disclosures. Actual results could differ from those estimates and assumptions. Subsequent Events In preparing these financial statements, management of the Center has evaluated events and transactions for potential recognition or disclosure through January 20, 20X3, the date the financial statements were available to be issued. Note 2—Restricted Cash The balance represents funds restricted by the board of directors in an amount equal to the balance in the School Initiatives Fund. Note 3—Commitments and Contingencies The land on which the Center’s office is located is being leased on an annual basis at a rate of $1,400 per annum. See Note 4. Note 4—Subsequent Events In September 20X2, the Center entered into a “purchase and sale agreement,” which provided for the purchase of a building in the amount of $230,000 and the assumption of a lease of the land on which the building is locat‐ ed. The building purchase was executed on September 28, 20X2, and was financed in part by a $220,000 note payable to a bank. The terms of the note provide for quarterly interest payments at the bank’s prime rate through the note maturity date. A $100,000 principal payment was due and made in December 20X2, and the remaining balance is due September 20X8. The note is secured by a leasehold deed of trust and security agree‐ ment and an assignment of rents and leases. 38 © 2018 Association of International Certified Professional Accountants. All rights reserved. The assumed lease previously referred to is an operating lease that requires annual payments of $19,600 through September 20X6. The Center has the option to terminate the lease in March 20X9. If the lease is not terminated, the annual payment will be revised to reflect 6 percent of the value of the land, which will be de‐ termined as set forth in the lease agreement. In December 20X2, the Center entered into a construction contract for $138,000 to design and construct certain building and leasehold improvements. Note 5—Internally Restricted Net Assets Net assets internally restricted for the School Initiatives Fund consist of amounts allocated from unrestricted net assets as approved by the board of directors. The internally restricted amounts are to be used for purchasing equipment and establishing programs for educational programs in schools and are not available for other pur‐ poses without approval by the board of directors. Note 6—Allocation of Joint Costs During the year ended August 31, 20X2, the Center conducted activities that included appeals for contributions and incurred joint costs of approximately $46,000. These activities included direct mail campaigns and special events. Approximately 65 percent of these joint costs were allocated to fundraising activities and 35 percent to program services. © 2018 Association of International Certified Professional Accountants. All rights reserved. 39 DONNELLY & OATES LIMITED LIABILITY PARTNERSHIP FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED DECEMBER 31, 20X2 Circumstances include the following: • The financial statements are for a limited liability partnership (LLP) that owns and operates a racquet and swim club. • The financial statements are prepared on basis of accounting that the LLP uses for federal income tax purposes. • The financial statements are as of and for the year ended December 31, 20X2. The financial statements illustrate the following: • The Statement of Revenues and Expenses uses the caption “Revenues in excess of expenses” to portray what a financial statement prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) would describe as “Net income.” There is no prohibition on the use of “Net income” or other GAAP captions within the financial statements. In this situation, the entity has chosen the term because management believes it to be more descriptive. • The financial statements include a Statement of Cash Flows, which is not required for financial state‐ ments prepared when applying the tax‐basis of accounting. However, in this case, the financial state‐ ments include a single year only, thus it would be difficult for financial statement users to obtain accu‐ rately the information on operating, investing and financing activities presented in a statement of cash flows. 40 © 2018 Association of International Certified Professional Accountants. All rights reserved. Donnelly & Oates Limited Liability Partnership Statements of Assets, Liabilities and Partners’ Capital Tax‐Basis December 31, 20X2 Assets Cash 450,944 Accounts receivable 451,194 Inventory 311,214 Prepaid expenses and other assets 24,046 Financing fees, less accumulated amortization of $57,096 259,124 Syndication costs 312,166 Property and equipment, net of accumulated depreci‐ ation of $2,810,112 9,054,554 $ 10,863,242 Liabilities and Partners’ Capital Accounts payable $ 276,502 Accrued payroll and related costs 117,792 Other accrued expenses 23,998 Unearned dues 369,586 Mortgage payable $ 7,566,966 Total liabilities 8,354,844 Partners’ capital 2,508,398 $ 10,863,242 See accompanying notes. © 2018 Association of International Certified Professional Accountants. All rights reserved. 41 Donnelly & Oates Limited Liability Partnership Statement of Revenues and Expenses Tax‐Basis For the Year Ended December 31, 20X2 Revenues Membership dues $ 3,970,334 Initiation fees 389,638 Tennis court fees and lessons 1,103,224 Other income 726,936 Sports shop and café 1,219,740 Total revenues 7,409,872 Expenses Management fee 50,700 Maintenance and operating 504,448 Utilities 391,460 Advertising and promotions 191,088 Payroll and related costs 2,774,706 Insurance 136,984 Administrative 246,906 Real estate taxes 351,246 Cost of sales—sports shop and café 701,800 Total expenses 5,349,338 Net operating income 2,060,534 Partnership expenses (9,572) Interest expense (765,476) Depreciation and amortization (610,094) Loss on sale of equipment (4,240) Revenues in excess of expenses $ 671,152 See accompanying notes. 42 © 2018 Association of International Certified Professional Accountants. All rights reserved. Donnelly & Oates Limited Liability Partnership Statement of Partners’ Capital Tax‐Basis For the Year Ended December 31, 20X2 Limited Part‐ ners Special Limited Partner General Part‐ ner Partners’ Capi‐ tal Balance, December 31, 20X1 $ 1,017,392 $ 1,256,710 $ (69,276) $ 2,204,826 Cash distributions (238,924) (55,138) (73,518) (367,580) Revenues in excess of ex‐ penses 436,254 100,674 134,224 671,152 Balance, December 31, 20X2 $ 1,214,722 $ 1,302,246 $ (8,570) $ 2,508,398 See accompanying notes. © 2018 Association of International Certified Professional Accountants. All rights reserved. 43 Donnelly & Oates Limited Liability Partnership Statement of Cash Flows Tax‐Basis For the Year Ended December 31, 20X2 Cash flows from operating activities Revenues in excess of expenses $ 671,152 Adjustments to reconcile revenues in excess of ex‐ penses to cash flows from operating activities Depreciation and amortization 610,094 Loss on sale of equipment 4,240 (Increase) decrease in: Accounts receivable (23,494) Inventory (102,916) Prepaid expenses 1,472 Accounts payable and accrued expenses 74,992 Unearned dues 32,874 Net cash flows provided by operating activities 1,268,414 Cash flows from investing activities Acquisition of equipment (277,138) Proceeds from sale of equipment 620 Net cash flows used by investing activities (276,518) Cash flows from financing activities Repayment of debt (473,574) Cash distributions to partners (367,580) Net cash flows used by financing activities (841,154) Increase in cash 150,742 Cash at beginning of year 300,202 Cash at end of year $ 450,944 Supplemental disclosures of cash flow information: Cash paid during the year for interest $ 774,170 See accompanying notes. 44 © 2018 Association of International Certified Professional Accountants. All rights reserved. Donnelly & Oates Limited Liability Partnership Notes to Financial Statements Tax‐Basis For the Year Ended December 31, 20X2 Note 1—Summary of Significant Accounting Policies Nature of Operations The Partnership owns and operates a racquet and swim club (the Club) located in Minnesota. The Club has approximately 3,000 members at December 31, 20X2. The Club extends credit to members for the payment of dues and other charges. The Partnership, formed in 19W5, is a limited liability partnership in accordance with the provisions of the Uni‐ form Partnership Act as in effect in the State of Minnesota. The general partner of the Partnership is Tony Donnelly. Basis of Accounting The Partnership’s financial statements are prepared on the accounting basis the Partnership used for federal in‐ come tax purposes, which is a comprehensive basis of accounting other than accounting principles generally ac‐ cepted in the United States of America (GAAP). The Partnership uses the Accelerated Cost Recovery System (ACRS) and Modified Accelerated Cost Recovery System (MACRS) in depreciating its property. Under ACRS and MACRS, depreciation is determined over periods of time that are shorter than those used in accordance with GAAP. Additionally, the income tax methods used to capitalize and amortize amortizable assets differ from those used under GAAP. Syndication costs are carried as an asset of the Partnership and are not amortized. Under GAAP these costs would be deducted from partners’ capital. Cash Equivalents The Partnership considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Concentration of Credit Risk The Partnership places its cash with one banking institution. At times the amount on deposit exceeds the in‐ sured limit of the institution and exposes the Partnership to a collection risk. Inventories Inventories, which consist of merchandise for sale in the sports shop, food, and beverages, are stated at the lower of cost (first in, first out method) or market. Membership Dues and Initiation Fees © 2018 Association of International Certified Professional Accountants. All rights reserved. 45 Membership dues are billed in advance and recorded in accounts receivable and unearned dues. The dues are recognized as revenue in the month earned. Initiation fees are recorded as revenue in the period when the fee is collected. Property and Equipment Property and equipment are carried at depreciated cost. Depreciation is computed using income tax methods. The cost of maintenance and repairs is charged to income as incurred; significant renewals or betterments are capitalized. Financing Fees Financing fees are amortized over the term of the related debt using the straight‐line method. During 20XX, fi‐ nancing fees related to retired debt were written off. The financing fees related to new debt were capitalized. Amortization expense was $12,149 during 20X2. Start‐Up Costs Start‐up costs are amortized over 60 months using the straight‐line method. Income Taxes Income taxes on Partnership income are levied on the partners at the partner level. Accordingly, all profits and losses of the Partnership are recognized by each partner on his respective tax return. Management believes that the Partnership has adequately addressed all relevant tax positions and that there are no unrecorded tax liabilities. Tax returns filed for the tax years ending from December 31, 20Y9, through cur‐ rent are still subject to examination by federal and state tax authorities. Any interest or penalties assessed to the Partnership are recorded in operating expenses. No interest or penalties from federal or state tax authorities were recorded in the accompanying financial statements. Advertising and Promotions Advertising costs are expensed as incurred. For the year ended December 31, 20X2, the Partnership incurred $191,088 in advertising costs. Estimates The preparation of financial statements on the tax‐basis of accounting requires management to make estimates and assumptions that affect the amounts reported on the financial statements and accompanying notes. Actual results could differ from those estimates. Subsequent Events Subsequent events have been evaluated through February 24, 20X3, which is the date the financial statements were available to be issued, and there are no subsequent events requiring disclosure. Note 2—Partnership Organization Profit and Loss Allocations 46 © 2018 Association of International Certified Professional Accountants. All rights reserved. Prior to December 1, 20XX, profits and losses from annual operations were allocated 99 percent to the limited partners and 1 percent to the general partner. Subsequent to November 30, 20XX, and until the Class A limited partners have received distributions of net cash flow equal to their preferred return, profits and losses from annual operations are allocated 65 percent to the Class A limited partners; 15 percent to the special limited partner; and 20 percent to the general partner. After the Class A limited partners have received cumulative distributions of net cash flow equal to their pre‐ ferred return, profits and losses from annual operations will be allocated 45 percent to the Class A limited part‐ ners; 15 percent to the special limited partner; and 40 percent to the general partner. Net Cash Flow Allocation From Operations Subsequent to November 30, 20XX, net cash flow is allocated 65 percent to the Class A limited partners; 15 per‐ cent to the special limited partner; and 20 percent to the general partner until such time as the Class A limited partners have received cumulative distributions equal to their preferred return. The balance of any net cash flow will be distributed 45 percent to the Class A limited partners; 15 percent to the special limited partner; and 40 percent to the general partner. Preferred Return The preferred return means a 9 percent per annum cumulative noncompounded return on the adjusted capital contribution of the Class A limited partners. The adjusted capital contribution means the original capital contri‐ butions are reduced only by distribution from the net proceeds of sale or refinancing. Note 3—Property and Equipment Property and equipment at December 31, 20X2, consisted of the following: Recovery Peri‐ od—Years Land $ 975,720 — Building 9,320,050 7–40 Tenant improvements 1,568,896 5–7 Total cost of property and equip‐ ment being depreciated $ 11,864,666 Less: Accumulated depreciation 2,810,112 Total property and equipment, net $ 9,054,554 Depreciation expense was $597,945 during 20X2. © 2018 Association of International Certified Professional Accountants. All rights reserved. 47 Note 4—Mortgage Payable At December 31, 20X2, debt consisted of the following: Mortgage loan payable in monthly payments of $73,124, including interest at 9.375%, through January 20XY when the interest rate changes to 3.5% above the 3‐ year Treasury base rate. Beginning February 1, 20XY, monthly payments will be ad‐ justed to reflect the new interest rate; the payments will be based upon a 15‐year term. The remaining principal is due January 1, 20XZ. The mortgage is secured by property, equipment, and a personal guaranty. $ 6,778,186 10% unsecured note payable to the special limited partners due in monthly install‐ ments of $16,546, including principal and interest, through February 1, 20XZ, when the unpaid balance is due. 788,780 $ 7,566,966 Scheduled principal payments under these loans are approximately $380,000 per year until February 1, 20XY, when payment terms will be adjusted as described previously. Note 5—Amendment of the Partnership Agreement The Partnership agreement was amended effective November 30, 20XX. The primary purpose of the amend‐ ment was to create a new class of limited partner (the special limited partner) and to change the allocations of profits, losses, and cash distributions. Effective November 30, 20XX, Michael Oates surrendered his 67 limited partnership units in exchange for $1,450,000 and a 15 percent special limited partnership interest. Additionally, as part of this exchange, $200,000 was paid down on the note payable to the special limited partner, the interest rate on this note was reduced to 10 percent from 12 percent, and the term of the note was shortened. Note 6—Transactions With Affiliates At December 31, 20X2, the Partnership owed partners or affiliated entities $788,780. During 20X2 a management fee of $50,700 was paid to a partner. 48 © 2018 Association of International Certified Professional Accountants. All rights reserved. CHARLTON CONTRACTORS, INC. FINANCIAL STATEMENTS AS OF AND FOR THE YEARS ENDED DECEMBER 31, 20X2, AND 20X1 Circumstances include the following: • The financial statements are for a general contractor. The general contractor has elected to be treated as a small business corporation (S corporation) under Internal Revenue Code Section 1362. • The financial statements are prepared on the accrual method of accounting used for federal income tax purposes. • The financial statements are comparative statements as of and for the years ended December 31, 20X2, and 20X1. The financial statements illustrate the following: • The financial statements include a statement of cash flows, which is not required for financial state‐ ments prepared when applying the tax‐basis of accounting. • Information about contract receivables (Note 2), billings in excess of costs on uncompleted contracts (Note 5), and backlog (Note 7) are disclosures typically made in the financial statements of construction contractors. However, the aging summary of contract receivables is not usually disclosed. In this situa‐ tion, the preparer concluded that the information is relevant to the financial statement users. • The information on accounts payable and accruals is not required but has been included because the preparer concluded that users of the financial statements find it meaningful. • Accounting principles generally accepted in the United States of America (GAAP) requires a summary of future minimum lease payments, which usually is presented in a schedule. Because the entity’s lease commitments are not complex, this information has been summarized in narrative form, which is ac‐ ceptable for financial statements prepared on the tax‐basis of accounting. © 2018 Association of International Certified Professional Accountants. All rights reserved. 49 Charlton Contractors, Inc. Statements of Assets, Liabilities and Equity Tax‐Basis December 31, 20X2 and 20X1 20X2 20X1 Assets Current Assets Cash and cash equivalents $ 3,078,966 $ 3,608,930 Accounts receivable—contract (Note 2) 2,409,554 1,422,268 Advances to officers 7,812 — Inventory 287,714 196,200 Total current assets 5,784,046 5,227,398 Property and Equipment Machinery and equipment 1,694,980 1,710,828 Transportation equipment 384,790 395,042 Office furniture and equipment 162,454 163,034 Leasehold improvements 363,798 363,798 Total cost 2,606,022 2,632,702 Accumulated depreciation and amortization (Note 3) (2,362,850) (2,343,812) Net property and equipment 243,172 288,890 Other Assets Cash surrender value of officers’ life insurance 24,454 23,610 Miscellaneous 1,460 20,766 Total other assets 25,914 44,376 Total assets $ 6,053,132 $ 5,560,664 See accompanying notes to financial statements. 50 © 2018 Association of International Certified Professional Accountants. All rights reserved. Charlton Contractors, Inc. Statements of Assets, Liabilities and Equity Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Liabilities and Stockholders’ Equity Current Liabilities Accounts payable and accruals (Note 4) $ 548,646 $ 288,904 Billings in excess of costs on uncompleted con‐ tracts (Note 5) 976,754 445,108 Total current liabilities 1,525,400 734,012 Contributed Capital Common stock, $1,000 par value; 100 shares authorized; 60 shares issued and outstanding 60,000 60,000 Retained Earnings 4,467,732 4,766,652 Total stockholders’ equity 4,527,732 4,826,652 Total liabilities and stockholders’ equity $ 6,053,132 $ 5,560,664 See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 51 Charlton Contractors, Inc. Statements of Operations and Retained Earnings Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Contract revenue $ 7,009,498 $ 8,116,380 Cost of contract revenue Direct costs Materials and supplies 1,710,330 1,729,310 Salaries and wages 1,184,132 1,264,664 Subcontracts 1,670,596 1,838,942 Other 99,486 92,560 4,664,544 4,925,476 Indirect costs 813,520 967,278 5,478,064 5,892,754 Gross profit 1,531,434 2,223,626 General and administrative expenses Salaries and wages 1,298,552 2,139,444 Profit‐sharing plan contribution — 6,138 Other 596,938 539,786 1,895,490 2,685,368 Operating loss (364,056) (461,742) Financing income 88,148 132,590 Net loss (275,908) (329,152) Retained earnings, beginning of year 4,766,652 5,255,804 Distributions to stockholders (23,012) (160,000) Retained earnings, end of year $ 4,467,732 $ 4,766,652 See accompanying notes to financial statements. 52 © 2018 Association of International Certified Professional Accountants. All rights reserved. Charlton Contractors, Inc. Statements of Cash Flows Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Cash flows from operating activities Net loss $ (275,908) $ (329,152) Noncash items included in net loss: Depreciation 45,718 60,204 (Increase) decrease in: Contract receivables (987,286) 2,103,570 Inventory (91,514) (3,260) Cash surrender of officers’ life insurance (844) (1,200) Other assets — (408) Increase (decrease) in: Accounts payable and accruals 259,742 (100,832) Billings in excess of costs on uncompleted contracts 531,646 (895,508) Net cash (used) provided by operat‐ ing activities (518,446) 833,414 Cash flows from investing activities Property and equipment purchases — (60,000) Advances to officers (7,812) — Redemption of certificates of deposit — 2,132,038 Decrease in miscellaneous assets 19,306 — Net cash provided by investing ac‐ tivities 11,494 2,072,038 Cash flows from financing activities Distributions to stockholders (23,012) (160,000) Net (decrease) increase in cash and cash equiva‐ lents (529,964) 2,745,452 Cash and cash equivalents, beginning of year 3,608,930 863,478 Cash and cash equivalents, end of year $ 3,078,966 $ 3,608,930 See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 53 Charlton Contractors, Inc. Notes to Financial Statements Tax‐Basis December 31, 20X2 and 20X1 Note 1—Summary of Significant Accounting Policies Nature of Operations Charlton Contractors is a general contractor primarily engaged in the construction of commercial and multifami‐ ly residential projects in the San Diego metropolitan area. Basis of Accounting The accompanying financial statements have been prepared on the accrual method of accounting used for fed‐ eral income tax purposes, which is a comprehensive basis of accounting other than accounting principles gener‐ ally accepted in the United States of America (GAAP). If the accompanying financial statements were prepared in conformity with GAAP, contract revenue and costs would be recognized under the percentage‐of‐completion method of accounting, an allowance for uncollectible accounts receivable would be established, property and equipment would be depreciated over their estimated useful lives, and the related party lease would be capitalized as an asset and liability. The Corporation has elected to be treated as a small business corporation (S corporation) under Internal Reve‐ nue Code Section 1362. This election provides that, in lieu of corporate income taxes, the taxable items and credits pass directly to the stockholders. Therefore, these financial statements do not include federal or state in‐ come taxes that would otherwise be applicable. The Corporation uses the accrual completed contract method to recognize construction revenue. That method of accounting recognizes contract revenue and costs when a contract is completed or substantially completed. A contract is considered substantially completed when all costs except insignificant items have been incurred and the installation has been accepted by the customer. Contract costs include all direct material and labor costs and those indirect costs related to contract perfor‐ mance, such as rent, depreciation, maintenance, and insurance. Indirect costs are allocated based on contract revenue. General and administrative costs are charged to expenses as incurred. Amounts billed in excess of costs are classified as current liabilities under billings in excess of cost on uncom‐ pleted contracts. Contract retentions are included in contract receivables. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Cash and Cash Equivalents Cash and cash equivalents consist of highly liquid investments with a maturity of three months or less when pur‐ chased. 54 © 2018 Association of International Certified Professional Accountants. All rights reserved. At December 31, 20X2, and 20X1, the Corporation had on deposit with several banks amounts in excess of Fed‐ eral Deposit Insurance Corporation insurance limits. The Corporation has not experienced any losses in such ac‐ counts. The Corporation believes it is not exposed to any significant credit risk on cash and cash equivalents. Contract Receivables Contract receivables, including retentions, are recorded as progress billings and rendered in accordance with the provisions of the contracts. The Corporation uses the direct write‐off method to record uncollectible accounts in compliance with the Internal Revenue Code. Inventory Inventory is valued at the lower of cost, based on the first in, first out method, or market. Property and Equipment Property and equipment are recorded at cost and depreciated using principally accelerated methods. Leasehold improvements are amortized over the life of the related leases or their estimated useful lives, whichever is shorter. Property and equipment are depreciated over the following recovery periods: Machinery and equipment 5 years Transportation equipment 5 years Office furniture and equipment 5–7 years Leasehold improvements 10–31.5 years Expenditures for maintenance and repairs that do not materially extend the lives of the assets are charged to earnings. When property or equipment is sold or otherwise disposed of, the cost and related accumulated de‐ preciation are removed from the respective accounts, and the resulting gain or loss is reflected in earnings. Profit‐Sharing Plan The Corporation adopted a profit‐sharing plan effective November 22, 19V4. Substantially all full‐time employ‐ ees are eligible to participate. The Corporation’s contributions on behalf of its employees are determined annu‐ ally by the board of directors. The Corporation did not make a contribution for 20X2. Profit‐sharing contributions were $6,138 for the year ended December 31, 20X1. Statement of Cash Flows For purposes of the statement of cash flows, cash and cash equivalents include money market accounts and op‐ erating bank accounts. The Corporation did not pay any interest expense for 20X2 and 20X1. Income Taxes © 2018 Association of International Certified Professional Accountants. All rights reserved. 55 The Corporation, with the consent of its shareholders, has elected, in accordance with the Internal Revenue Code, to be treated as an S corporation. In lieu of federal income taxes, the shareholders of an S corporation are taxed on their proportionate share of the corporation’s taxable income. Therefore, no provision for federal in‐ come taxes has been included in these financial statements. California law generally conforms to federal law ex‐ cept for a 1.5 percent tax imposed on S corporation’s earnings. The Corporation is subject to tax in other states. Deferred income taxes have not been recognized in these financial statements because the amount of deferred taxes is not considered material. The Corporation does not recognize a liability for uncertain tax positions until agreement and settlement is reached with the taxing authority. Tax returns filed for the tax years ending from December 31, 20Y9, through current are still subject to examination by federal and state tax authorities. Subsequent Events The Corporation has evaluated subsequent events from the date of the statement of assets, liabilities, and equi‐ ty—tax‐basis through March 12, 20X3, the date on which the financial statements were available to be issued, and determined that there are no items to disclose. Note 2—Contract Receivables An aging summary of contract receivables at December 31, is as follows: 20X2 20X1 Billed Current $ 1,131,718 $ 364,284 30 days 486,854 306,318 60 days 189,138 79,914 90 days and over 129,326 133,272 1,937,036 883,788 Unbilled retentions 456,512 444,252 Unbilled amounts on complet‐ ed contracts 16,006 94,228 Totals $ 2,409,554 $ 1,422,268 56 © 2018 Association of International Certified Professional Accountants. All rights reserved. Completed and uncompleted contract receivables at December 31, are as follows: 20X2 20X1 Completed contracts Billed, including retentions $ 906,052 $ 581,760 Unbilled retentions 116,772 125,206 Unbilled amounts on completed con‐ tracts 16,006 94,228 Uncompleted contracts Uncompleted contracts billed 1,030,984 302,028 Unbilled retentions 339,740 319,046 Totals $ 2,409,554 $ 1,422,268 Receivables written off as uncollectible totaled $30,158 for the year ended December 31, 20X2, and $2,000 for the year ended December 31, 20X1. Recoveries of receivables written off an uncollectible totaled $17,000 for the year ended December 31, 20X1. Note 3—Depreciation and Amortization The accumulated depreciation and amortization balances at December 31, are as follows: 20X2 20X1 Machinery and equipment $ 1,689,162 $ 1,701,064 Transportation equipment 308,130 296,002 Office furniture and equipment 161,612 160,440 Leasehold improvements 203,946 186,306 Totals $ 2,362,850 $ 2,343,812 © 2018 Association of International Certified Professional Accountants. All rights reserved. 57 Note 4—Accounts Payable and Accruals Accounts payable and accruals consist of the following at December 31: 20X2 20X1 Trade accounts payable $ 343,222 $ 157,726 Subcontract payables 156,130 86,104 Accrued payroll 40,626 39,814 Accrued and withheld payroll taxes 3,124 860 Sales tax payable 5,544 4,400 Totals $ 548,646 $ 288,904 Note 5—Billings in Excess of Costs on Uncompleted Contracts Billings in excess of costs on uncompleted contracts at December 31 are as follows: 20X2 20X1 Billings on uncompleted contracts $ 4,320,008 $ 2,258,286 Costs incurred on uncompleted contracts (3,343,254) (1,813,178) Billings in excess of costs on un‐ completed contracts $ 976,754 $ 445,108 Note 6—Commitment Under Lease Agreement On December 15, 20V6, the Corporation signed a lease with its stockholders for an office and production facility located in Mira Mesa, California. The facility lease is for 25 years, terminating December 15, 20YY. The base an‐ nual rent was $343,000 for 20X2 and 20X1. Increases in the base annual rent are to be based on the consumer price index, not to exceed 6 percent. The stockholders pay the real estate taxes and the Corporation pays all maintenance charges and operating costs for the facility. The rental payments include an escalation for increas‐ es in real estate taxes. At December 31, 20X2, the aggregate minimum lease payments under this lease were approximately $2,800,000. Future minimum lease payments are scheduled to be approximately $350,000 for each of the next 5 years. Rent expense for each of the years ended December 31, 20X2, and 20X1 was $353,000. Note 7—Backlog The estimated gross revenue on work to be performed on signed contracts was $3,467,894 at December 31, 20X2, and $4,183,624 at December 31, 20X1. In addition to the backlog of work to be performed, there was gross revenue to be reported in future periods under the accrual completed contract method used by the com‐ pany of $1,548,173 at December 31, 20X2, and $1,668,961 at December 31, 20X1. 58 © 2018 Association of International Certified Professional Accountants. All rights reserved. MARGARET ROSE 1964 IRREVOCABLE TRUST FINANCIAL STATEMENTS AS OF AND FOR THE YEARS ENDED DECEMBER 31, 20X2 AND 20X1 Circumstances include the following: • The financial statements are for an irrevocable trust. • The financial statements are prepared on the cash method of accounting used for federal income tax purposes. • The financial statements are comparative as of and for the years ended December 31, 20X2, and 20X1. The financial statements illustrate the following: • The financial statements do not include a statement of cash flows, which is acceptable for a presenta‐ tion when applying the tax‐basis of accounting. The preparer concluded that a statement of cash flows is not necessary because (1) the users of the financial statements are more interested in asset balances ra‐ ther than cash flows, and (2) if cash flow information is needed, it could easily be derived from the in‐ formation presented. © 2018 Association of International Certified Professional Accountants. All rights reserved. 59 Margaret Rose 1964 Irrevocable Trust Statements of Assets, Liabilities and Corpus Tax‐Basis December 31, 20X2 and 20X1 20X2 20X1 Assets Marketable securities—at cost $ 1,830,087 $ 1,560,681 (market value $2,746,922 and $2,353,519 in 20X2 and 20X1, respectively) Purchased interest 340 — Total assets $ 1,830,427 $ 1,560,681 Liabilities and Corpus Due to beneficiary 157,946 75,302 Total liabilities 157,946 75,302 Corpus 1,672,481 1,485,379 Total liabilities and corpus $ 1,830,427 $ 1,560,681 See accompanying notes. 60 © 2018 Association of International Certified Professional Accountants. All rights reserved. Margaret Rose 1964 Irrevocable Trust Statements of Revenues, Expenses and Corpus Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Revenues Dividends $ 76,139 $ 69,044 Interest 4,729 4,457 Gain (loss) on sale of securities, net 201,370 46,094 Total revenues 282,238 119,595 Expenses Accounting fee 7,500 7,000 Bank custodian fee 3,018 2,588 Investment counsel fee 9,474 7,588 Total expenses 19,992 17,176 Income before provision for income taxes 262,246 102,419 Provision for income taxes 75,144 22,207 Net income 187,102 80,212 Corpus, beginning of year 1,485,379 1,405,167 Corpus, end of year $ 1,672,481 $ 1,485,379 See notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 61 Margaret Rose 1964 Irrevocable Trust Notes to Financial Statements Tax‐Basis For the Years Ended December 31, 20X2 and 20X1 Note 1—Nature of Trust and Significant Accounting Policies Nature of Trust The Margaret Rose 1964 Irrevocable Trust (the Trust) was created on May 5, 1964, by Michael Thomas. Distribu‐ tion of 25 percent of principal is to be made at age 30, and 33 1/3 percent at age 35. After January 1, 19X2, the beneficiary may request annually a noncumulative distribution of the larger of $5,000 or 5 percent of the princi‐ pal as of the end of the year. Upon death of the beneficiary, the Trust is to be distributed according to the terms of her will. The trustee has discretionary power to distribute principal or income, or both. Basis of Accounting The accompanying financial statements have been prepared on the cash method of accounting used for federal income tax purposes, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). Consequently, certain revenues and expenses are recognized in the determination of income in different reporting periods than they would be if the financial statements were prepared in conformity with GAAP. Although income tax rules are used to determine the timing of the re‐ porting of revenues and expenses, nontaxable revenues and nondeductible expenses are included in the deter‐ mination of net income. Use of Estimates The preparation of financial statements in conformity with the cash method of accounting used for federal in‐ come tax purposes requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Marketable Securities Marketable securities are carried at cost. The cost of marketable securities sold is based on cost as determined under the specific identification method. Income Taxes The Trust does not recognize a liability for uncertain tax positions. Tax returns filed for the tax years ending from December 31, 20Y9, through current are still subject to examination by federal and state tax authorities. Subsequent Events In preparing these financial statements, the Trust has evaluated events and transactions for potential recogni‐ tion or disclosure through April 1, 20X3, the date the financial statements were available to be issued, and de‐ termined that there are no items to disclose. 62 © 2018 Association of International Certified Professional Accountants. All rights reserved. Note 2—Marketable Securities At December 31, 20X2, and 20X1, gross unrealized gains and losses pertaining to marketable securities in the portfolio were as follows: Cost Market Value Unrealized Gains Losses 20X2 Equities $ 948,766 $ 1,790,955 $ 854,565 $ 12,376 Fixed income and money market 881,321 955,967 119,362 44,716 Total $ 1,830,087 $ 2,746,922 $ 973,927 $ 57,092 Market Unrealized Cost Value Gains Losses 20X1 Equities $ 891,685 $ 1,611,732 $ 757,910 $ 37,863 Fixed income and money market 668,996 741,787 72,791 — Total $ 1,560,681 $ 2,353,519 $ 830,701 $ 37,863 Note 3—Income Taxes The income tax expense shown in the accompanying financial statements differs from the expense that would result from applying statutory tax rates to income before income taxes primarily because of capital gains. Distributions to beneficiaries are allowed as a deduction from taxable income for the trust in the year in which such distributions are made. The provision for income taxes for the years ended December 31 consists of: 20X2 20X1 Federal $ 63,200 $ 17,874 State 11,944 4,333 Provision for income taxes $ 75,144 $ 22,207

Please answer the question using only the provided context. Please summarize the major differences between cash- and tax-basis account as explained in the context provided. Practice Aid Accounting and Financial Reporting Guidelines for Cash- and Tax-Basis Financial Statements © 2018 Association of International Certified Professional Accountants. All rights reserved. For other uses of this work, please email [email protected] with your request or write to us at 220 Leigh Farm Road, Durham, NC 27707-8110 USA. This document was created by the Association of International Certified Professional Accountants as a free member benefit which may be freely used and shared by members for personal use. All copyright statements should be maintained. © 2018 Association of International Certified Professional Accountants. All rights reserved. 1 Preface Because of the complexities of accounting principles generally accepted in the United States of America (GAAP), many smaller entities have determined that financial statements prepared by applying the cash‐ or tax‐basis of accounting more appropriately suit their needs. Unlike GAAP, little authoritative guidance is available with re‐ spect to the preparation of financial statements when applying the cash‐ or tax‐basis of accounting. Financial statements prepared when applying the cash‐ or tax‐basis of accounting need to have a level of consistency so that they are useful and not misleading to users of the financial statements. Additionally, because financial statements prepared when applying the cash‐ or tax‐basis of accounting are not considered appropriate in form unless the financial statements include informative disclosures similar to those required by GAAP if the financial statements contain items that are the same as, or similar to, those in financial statements prepared in accord‐ ance with GAAP, preparers of full disclosure financial statements prepared when applying the cash‐ or tax‐basis of accounting are often faced with difficult questions. This practice aid is intended to provide preparers of cash‐ and tax‐basis financial statements with guidelines and best practices to promote consistency and for resolving the often difficult questions regarding the preparation of such financial statements. Although this practice aid is the best source for such guidance, it is nonauthorita‐ tive and should not be used as a substitute for the preparer’s professional judgment. This practice aid has not been approved, disapproved, or otherwise acted upon by any senior committee of the AICPA. This practice aid does not contain guidance with respect to performing an audit, review, or compilation of finan‐ cial statements prepared when applying the cash‐ or tax‐basis of accounting. Practitioners engaged to audit such financial statements should refer to Statements on Auditing Standards, including AU‐C section 800, Special Con‐ siderations—Audits of Financial Statements Prepared in Accordance With Special Purpose Frameworks (AICPA, Professional Standards). Practitioners engaged to perform a review or compilation should refer to Statements on Standards for Accounting and Review Services (SSARSs). Likewise, CPAs in public practice who prepare finan‐ cial statements for clients but are not engaged to perform an audit, review, or compilation of such financial statements should refer to SSARSs. Prepared by Michael P. Glynn Senior Technical Manager Audit and Attest Standards Team Edited by Kelly G. McAuliffe Technical Manager Member Learning and Competency 2 © 2018 Association of International Certified Professional Accountants. All rights reserved. Acknowledgments In 1998, the AICPA published the Practice Aid Preparing and Reporting on Cash‐ and Tax‐Basis Financial State‐ ments. That publication was written by Michael J. Ramos, CPA, and edited by the AICPA Accounting and Publica‐ tions Team. That publication served as a basis for the preparation of the original edition of this practice aid. In addition to this practice aid, the AICPA has also published a separate practice aid, Applying OCBOA in State and Local Government Financial Statements, authored by Michael A. (Mike) Crawford, CPA. Mike served as an invaluable resource in the preparation of the original edition of this practice aid. The AICPA also greatly appreciates the invaluable input provided by the late Dr. Thomas A. Ratcliffe in the de‐ velopment of the previous edition of this practice aid. Finally, the AICPA would like to thank the 2011/12 members of the Accounting and Review Services Committee and the 2011/12 members of the AICPA PCPS Technical Issues Committee, who provided invaluable input re‐ garding the content of the original edition of this practice aid. © 2018 Association of International Certified Professional Accountants. All rights reserved. 3 4 © 2018 Association of International Certified Professional Accountants. All rights reserved. Chapter 1 Overview of Cash‐ and Tax‐Basis Financial Statements Introduction Financial statements, including related notes, are a structured representation of historical financial information intended to communicate an entity’s economic resources and obligations at a point in time or the changes therein for a period of time in accordance with a financial reporting framework. fn 1 All financial statements are prepared in accordance with a financial reporting framework. The term financial reporting framework is defined as “a set of criteria used to determine measurement, recognition, presentation, and disclosure of all material items appearing in the financial statements.” fn 2 Examples of financial reporting frameworks are accounting principles generally accepted in the United States of America (GAAP), International Financial Reporting Stand‐ ards promulgated by the International Accounting Standards Board, and special purpose frameworks such as the cash‐, tax, regulatory‐, contractual‐, and other bases that use a definitive set of logical, reasonable criteria that is applied to all material items appearing in the financial statements. The cash‐, tax‐, regulatory‐, and other‐basis of accounting are commonly referred to as other comprehensive bases of accounting. As GAAP becomes increasingly complex and less cost beneficial for private companies, such companies consider issuing cash‐ and tax‐basis financial statements as cost‐effective and useful alternatives. Many of these private companies are small and medium‐sized entities that report to a narrow range of financial statement users. Those users, unlike users of public company financial statements, typically have access to company management and additional financial information beyond that provided in the financial statements. Cash‐ or tax‐basis financial statements may be appropriate whenever the entity is not contractually or otherwise required to issue GAAP financial statements. The following conditions may indicate that financial statements prepared when applying the cash‐ or tax‐basis of accounting is appropriate: • The users of the financial statements—both internal and external to the entity—understand a cash‐ or tax‐basis presentation and find it relevant for their needs. • It is cost‐effective to prepare cash‐ or tax‐basis financial statements. • The operations of the entity are conducive to a cash‐ or tax‐basis presentation. Preparing cash‐ or tax‐basis financial statements has many benefits. A significant benefit is due to the fact that many smaller entities maintain their accounting records on a cash‐ or tax‐basis. Often, accounting and finance personnel responsible for maintaining the books and records can more easily understand the concepts of cash in fn 1 Paragraph .05 of AR‐C section 90, Review of Financial Statements (AICPA, Professional Standards), and paragraph .13 of AU‐C section 200, Overall Objectives of the Independent Auditor and Conduct of an Audit in Accordance With Generally Accepted Auditing Standards (AICPA, Professional Standards). fn 2 See footnote 1. © 2018 Association of International Certified Professional Accountants. All rights reserved. 5 and out as well as tax reporting compared to GAAP. Because the internal records are often maintained on the cash‐ or tax‐basis of accounting, it is easier to prepare the financial statements when applying that same basis. If the financial statements are prepared in accordance with GAAP, the accounting and finance personnel would “true‐up” the financial information through a series of journal entries. Additionally, many users of smaller entity financial statements find cash‐ or tax‐basis financial statements to be more understandable than financial statements prepared in accordance with GAAP because those users are often accustomed to preparing and con‐ sidering budgets on a cash‐basis and understand tax issues. Because many smaller entities are appropriately concerned with minimizing costs and maximizing the resources that are available to fund the operations of the business, resources allocated to accounting and financial report‐ ing are often not sufficient to maintain GAAP basis accounting records and to prepare financial statements in ac‐ cordance with GAAP. Preparing financial statements when applying the cash‐ or tax‐basis of accounting general‐ ly is less costly than preparing GAAP financial statements because of the following: • Less complex measurement requirements. Financial statements prepared when applying the cash‐basis of accounting reflect transactions resulting from cash receipt and disbursement transactions or events. Financial statements prepared when applying the tax‐basis of accounting reflect transactions in the same manner as those transactions are reflected in the entity’s tax return. • Less extensive disclosure requirements. Financial statements prepared when applying the cash‐ or tax‐ basis of accounting do not require all of the extensive disclosures required of GAAP statements because the statements do not include some of the items, events, and transactions that are typically included in GAAP basis financial statements. Observations and Suggestions Often, preparers of cash‐ and tax‐basis financial statements elect to omit substantially all disclosures required by the cash‐ or tax‐basis of accounting. The omission of disclosures is a departure from the cash‐ or tax‐basis of ac‐ counting and, if such disclosures were included in the financial statements, they might influence the user’s con‐ clusions about the entity’s financial position, results of operations, and cash flows. However, the omission may not necessarily result in misleading financial statements provided that the intended users are informed about such matters. • Ability to prepare tax returns and financial statements from the same information. When tax‐basis finan‐ cial statements are issued, a significant portion of the cost can be absorbed by the preparation of the tax return. Additionally, the entity is not required to maintain two sets of accounting records to account for items such as depreciation, bad debts, and consolidation matters. However, in addition to the benefits of financial statements prepared when applying a cash‐ or tax‐basis of ac‐ counting, financial statement preparers should also be aware of the limitations of such financial statements. For example, financial statements prepared when applying the cash‐ or tax‐basis of accounting may not meet the needs of certain users such as regulators and certain lenders. In addition, the cash‐basis of accounting can be easily manipulated by accelerating or delaying the timing of the receipt or disbursement of cash and therefore may not be a comprehensive measure of the entity’s complete economic condition. In practice, the most typical industries in which cash‐ or tax‐basis financial statements are issued include the fol‐ lowing: • Professional services 6 © 2018 Association of International Certified Professional Accountants. All rights reserved. • Medical • Retail • Real estate • Farming/agricultural • Construction • Not‐for‐profit Cash‐Basis of Accounting The cash‐basis of accounting is a basis of accounting that the entity uses to record cash receipts and disburse‐ ments. When applying the cash‐basis of accounting, transactions are recognized based on the timing of cash re‐ ceipts and disbursements. As a result, • revenues are recognized only when cash is received rather than when earned, and • expenses are recognized only when cash is paid rather than when the obligation is incurred. When applying the cash‐basis, cash outflows to purchase an “asset” are not capitalized but instead are recorded as a disbursement as of the date of purchase, so there is no depreciation or amortization. Accruals are not made and prepaid assets are not recorded. The cash‐basis of accounting in its purest form is rarely used but may be appropriate whenever the entity • is interested primarily in sources and uses of cash. • has a limited number of financial statement users. • has relatively simple operations engaged in one primary activity. • does not have significant amounts of debt, capital assets, or other items that would be recognized in ac‐ cordance with the accrual basis. Examples of some entities that may use the cash‐basis of accounting include the following: • Estates • Trusts • Civic ventures • Student activity funds • Political campaigns and committees © 2018 Association of International Certified Professional Accountants. All rights reserved. 7 When applying the cash‐basis of accounting, because the only assets of the entity would be cash and cash equivalents and there would be no liabilities, a balance sheet equivalent is often not presented. The income statement equivalent would report cash receipts and disbursements and other changes in cash and cash equiva‐ lents and disclose any restrictions on ending cash and cash equivalents. Any departure from the presentation of cash and cash equivalent balances and changes in such balances, such as the reporting of long‐term debt arising from cash transactions, the capitalization and depreciation of capital assets acquired with cash, or the reporting of investments or receivables and payables resulting from cash transactions, should be considered a modification to the cash‐basis of accounting. Such deviations require eval‐ uation regarding whether they are appropriate modifications of the cash‐basis of accounting. Appropriate modi‐ fications of the cash‐basis of accounting are discussed in the subsequent section. In‐Substance Two‐Step Transactions or Events in the Cash‐Basis of Accounting The preparer of cash‐basis financial statements may encounter single‐step transactions or events that may not directly involve a cash inflow or outflow but may nevertheless be recorded as an in‐substance two‐step cash transaction or event when applying the cash‐basis of accounting. For example, management of an entity may sign a note from a bank in order to purchase equipment. The bank may then directly pay the vendor for the pur‐ chase of the equipment. Because there was no cash transaction, the entity may not record the single‐step trans‐ action in the financial statements. However, so as not to be misleading to users of the financial statements, the preparer may choose to record the transaction as an in‐substance two‐step transaction. In accordance with that treatment, the journal entries may look as follows: Cash XX,XXX Note Proceeds (Revenue) XX,XXX (To record note proceeds that were paid directly to the vendor) Capital expenditure XX,XXX Cash XX,XXX (To record purchase of equipment) Then, subsequent payments on the note would be recorded as follows: Debt service expenditure XXX Cash XXX (To record principal and interest payment on note payable) Modified Cash‐Basis of Accounting The modified cash‐basis of accounting involves logical and consistent modifications to transactions or events that are derived from cash receipts or cash disbursements. For example, a modification to the cash‐basis of ac‐ counting to report capital assets should involve recording and depreciating only those capital assets that result from cash transactions or events. The modification should not involve the recording and depreciating of donated capital assets because these transactions or events do not involve an inflow or outflow of cash. Once deprecia‐ ble capital assets arising from cash transactions or events are recorded when applying a modified cash‐basis of accounting, such assets should also be depreciated over their estimated useful lives. Depreciating capital assets that were acquired with cash is a logical allocation of the cash‐basis assets’ costs over the assets’ useful lives. 8 © 2018 Association of International Certified Professional Accountants. All rights reserved. An easy way to look at whether a modification is appropriate is to consider whether the transaction or event would have been recorded if the entity was preparing the cash‐basis financial statements. For example, if an en‐ tity purchased a capital asset and was preparing cash‐basis financial statements, the journal entry would look like this: Capital expenditure XXXX Cash XXXX (To record purchase of capital asset) Because cash is part of the journal entry, it would be an appropriate modification to capitalize the asset and de‐ preciate the cost over the estimated useful life of the asset. On the other hand, the recording of trade accounts receivable arising from services provided or goods sold would not be an appropriate modification of the cash‐basis of accounting assuming cash was not received at the time the services were provided or goods were sold. Modifications to the cash‐basis of accounting generally result when cash receipts or cash disbursements provide a benefit or an obligation that covers multiple reporting periods. For example, a preparer may conclude that fi‐ nancial statement users would be misled if cash purchases of capital assets are recorded as disbursements or expenditures in the period in which the assets are purchased. Instead, the preparer may elect to modify the cash‐basis of accounting to record the asset on the balance sheet equivalent and depreciate it over the estimat‐ ed useful life of the asset, thereby, in effect, spreading the benefit of the cash outflow over multiple reporting periods in a manner that has substantial support and is logical and consistent. Questions often arise in the application of a modified cash‐basis of accounting regarding whether reported as‐ sets and liabilities derived from cash transactions or events should ever be written down or written off once they are recorded at their original cash value. Temporary changes in the fair value of an asset or liability should not be recognized in applying a modified cash‐basis of accounting and all recognized assets and liabilities should be measured and reported at their original cash value (net of any accumulated depreciation or amortization, if applicable). If an asset or liability has been permanently impaired and has no future cash value or represents no future obligation against cash, it would be appropriate to write‐down or write‐off such amounts in modified cash‐basis financial statements. A significant challenge to preparing financial statements when applying a modified cash‐basis of accounting is developing the appropriate accounting policy that results in financial statements that meet the needs of the primary users of the statements and consistently applying that policy to cash transactions and events in order to keep the financial statements from being misleading for the purposes for which they are intended. The preparer may find benefit in spelling out the logic behind the cash‐basis modifications and documenting the accounting policy prior to preparation of the basic financial statements. Although there is no single accepted method of applying a modified cash‐basis of accounting, modified cash‐ basis financial statements can be more meaningful if they are comparable with similar financial statements. Some preparers have inappropriately considered the modified cash‐basis of accounting as a “free‐for‐all” propo‐ sition in which they can unilaterally and arbitrarily choose the modifications that they will apply. For example, a preparer may inappropriately decide to prepare financial statements applying a modified cash‐basis of account‐ ing that records assets arising from cash transactions or events, including investments, inventories, and capital assets but does not record short‐term and long‐term liabilities and other obligations arising from cash transac‐ tions. Inconsistent uses of a modified cash‐basis framework should be avoided in general use financial state‐ ments because such inconsistencies will normally result in financial statements that are misleading for general © 2018 Association of International Certified Professional Accountants. All rights reserved. 9 use. Financial statements that are prepared using inconsistent modifications may be appropriate for special pur‐ poses involving limited users but should be labeled as such with clear disclosure and use of descriptive headings. With the needs of the primary financial statement users in mind, when preparing financial statements applying a modified cash‐basis of accounting, the preparer should consider modifying the following cash transactions or events, among others, by the recording of the following: • Receivables resulting from an outflow of cash, such as a cash advance to an employee • Investments in marketable securities acquired with cash • Inventories acquired with cash • Capital assets arising from cash transactions and depreciating the assets where appropriate • Deferred revenue resulting from cash receipts • Liabilities resulting from short‐term cash borrowings • Long‐term notes and other debt arising from cash transactions or events • Any other material assets, liabilities, revenues, and expenses resulting from cash transactions or events If the financial statements are prepared when applying a modified cash‐basis accounting policy in which one or more of the preceding—but not all—are recorded, the preparer should be prepared to defend how the decision to modify or not modify is a logical and consistent application of the accounting policy and does not result in misleading financial statements for the purposes for which they are intended. A number of transactions or events are not appropriate modifications to the cash‐basis of accounting. Generally, these transactions or events should not be recorded when applying a modified cash‐basis of accounting because they do not involve cash inflows or outflows, are illogical, or are not substantially supported in the accounting literature. Common transactions or events that should not be reported in financial statements prepared when applying a modified cash‐basis of accounting include the recording or adjusting of the following: • Capital assets arising from cash transactions or events, but not recording depreciation where appropri‐ ate • Donated capital assets where cash outflows were not involved • Accounts receivable from services provided or goods sold and other accrued receivables • Pledges receivable or other receivables where cash outflows were not involved • Investments for which cash outflows were not involved • Accounts payable for goods or services received where no cash outflow was involved • Accrued income taxes, accrued interest expense, other accrued liabilities where no cash outflow was in‐ volved 10 © 2018 Association of International Certified Professional Accountants. All rights reserved. • Subsequent write ups or write downs to fair value to recognize unrealized gains and losses on marketa‐ ble investments • Derivative instruments where cash inflows or outflows were not involved as well as the mark to market for fair value changes Because modified cash‐basis frameworks do not involve financial statement elements resulting from accruals and noncash transactions or events, it is unlikely that an acceptable modified cash‐basis framework would ever be materially equivalent to GAAP. However, it is important for financial statement preparers to avoid attempting to make certain modifications to GAAP financial statements and then referring to those financial statements as modified cash‐basis financial statements. For example, financial statements that are presented in conformity with GAAP, except that material leases are not capitalized, are not considered modified cash‐basis financial statements. Such financial statements are considered GAAP financial statements with a material departure due to the failure to capitalize material leases. The preparer will need to use judgment in determining if modified “cash‐basis” statements are tantamount to financial statements purported to be prepared in accordance with GAAP with material departures therefrom. Tax‐Basis of Accounting The tax‐basis is a basis of accounting that the entity uses to file its federal income tax or federal information re‐ turn for the period covered by the financial statements. The tax‐basis of accounting is based on the principles and rules for accounting for transactions under the federal income tax laws and regulations. Few new measurement guidelines need to be established because the method is based on tax laws. The tax‐basis of accounting covers a range of alternative bases, from cash to full accrual, depending on the nature of the taxpayer, and in some circumstances, the taxpayer’s elections. An entity need not be a taxable entity to prepare tax‐basis financial statements. Any entity that files a return with the IRS, either an income tax return or an information return, may prepare tax‐basis financial statements. Therefore, not‐for‐profit organizations, C corporations, S corporations, partnerships, limited liability partner‐ ships, limited liability companies, and sole proprietors may all use the tax‐basis of accounting. The tax‐basis of accounting is most useful for small, nonpublic entities whose financial statement users are in‐ terested primarily in the tax aspects of their relationship with the entity. For example, investors in tax‐driven partnerships, such as those commonly employed in the real estate industry, may be primarily interested in the tax consequences of transactions. However, they may want more information than would be provided by a tax return. Determining Whether to Prepare and Issue Cash‐ or Tax‐Basis Financial Statements As long as the entity is not contractually or otherwise required to issue financial statements prepared in accord‐ ance with GAAP or a regulatory or contractual basis of accounting, the entity may prepare and issue cash‐ or tax‐ basis financial statements. Understanding the needs of the financial statement users is an important step in de‐ termining whether to prepare and issue cash‐ or tax‐basis financial statements. If the users of the financial statements understand the presentation, and if the information presented when applying that basis of account‐ ing is relevant to their needs, then the preparer may determine that it is useful and appropriate to prepare and issue cash‐ or tax‐basis financial statements. The following are characteristics of entities that generally are good candidates to prepare cash‐ or tax‐basis financial statements: © 2018 Association of International Certified Professional Accountants. All rights reserved. 11 a. The entity’s creditors do not need or require financial statements prepared in accordance with GAAP. b. The cost of complying with GAAP would exceed the benefits (for example, a small construction contrac‐ tor who would be required to account for long term contracts using the percentage of completion method and would be required to compute deferred taxes). c. The owners are closely involved in the day‐to‐day operations of the business and have a fairly accurate picture of the entity’s financial position. d. The owners are primarily interested in cash flows (for example, a professional corporation of physicians that distributes its cash‐basis earnings through salaries, bonuses, and retirement plan contributions). e. The owners are primarily interested in the tax implications of transactions (for example, partners in a partnership who are concerned about the effects of transactions on their personal tax returns). f. It may not be appropriate to prepare and issue cash‐ or tax‐basis financial statements if the entity is or soon will be required to issue GAAP‐basis financial statements. For example, management of a company that is anticipating selling its business may be required to issue financial statements prepared in accord‐ ance with GAAP. Additionally, financial statements prepared when applying the cash‐ or tax‐basis of accounting should not be is‐ sued if the results are misleading. Cash‐ and tax‐basis financial statements are intended to be a cost‐effective al‐ ternative to GAAP, not a way to deliberately mislead financial statement users. Example Situation In Which it May Not Be Prudent to Issue Tax‐Basis Financial Statements • Long Street Partners has typically issued tax‐basis financial statements because the partners are more interested in the tax treatment of partnership transactions. Outside creditors have also accepted the tax‐basis financial statements as suitable for their needs. During the current year, two events occur that significantly affect the partnership: Several large customers experience financial difficulty and the part‐ nership’s receivables from the customers are in danger of not being collected. If the financial statements were prepared in accordance with GAAP, the partnership would be required to record a valuation al‐ lowance and recognize a bad debt expense. Under the tax rules, the partnership uses the direct write‐off method, so a tax deduction may not be allowed in the current year. • The partnership has acknowledged that it is obligated to perform an environmental remediation at one of its sites. If the financial statements were prepared in accordance with GAAP, the partnership would be required to recognize the liability and a loss. Although the entity may disclose the information in a risks and uncertainties note, under the tax rules, the deduction is not allowed until the amount is paid and therefore would not be included in the income statement equivalent. • Prior to preparing and issuing tax‐basis financial statements, in determining whether the proposed fi‐ nancial reporting framework is appropriate, the preparer may consider the following: — Whether the tax‐basis financial statements continue to be suitable for the users’ needs. In the example, the entity had a long history of issuing tax‐basis financial statements, which were suit‐ 12 © 2018 Association of International Certified Professional Accountants. All rights reserved. able for the needs of the users. The events in the current year merely illustrate the limitations of tax‐basis financial statements. — Appropriateness of disclosure. The preparer may determine to expand on the information in‐ cluded in the notes to the financial statements about these two events. For example, the part‐ nership might disclose the nature of the environmental remediation liability and the amounts involved. — Recognition may be appropriate. Depending on the nature and magnitude of the item, it may be appropriate to recognize it in the financial statements. In this example, the partnership might decide to account for bad debts using the allowance method and to recognize a contingent lia‐ bility for the remediation obligation. This would be a departure from the tax‐basis of accounting and the management of the entity may determine that, in the circumstances, it may be more appropriate to prepare its financial statements in accordance with GAAP. — Consider GAAP financials. As a result of the changed circumstances, financial statements pre‐ pared when applying the cash‐ or tax‐basis of accounting may no longer be appropriate, and the management of the entity may decide to prepare its financial statements in accordance with GAAP. Deciding Between Modified Cash‐ or Accrual Tax‐Basis Financial Statements In some situations it may be difficult to determine whether to issue modified cash‐ or accrual tax‐basis financial statements. Each basis has its own distinct advantages and disadvantages. Modified Cash‐ or Accrual Tax‐Basis Advantages and Disadvantages of Each Advantages Disadvantages Modified Cash‐Basis • Can be simpler to prepare than tax‐ basis • Not affected by changes in tax laws • Interim financial statements are easy to prepare • Recognition and measurement prin‐ ciples are not well‐defined • Not well‐suited for entities that have inventory or complex operations Accrual Tax‐Basis • Better‐suited for entities with inven‐ tory or complex operations • Well‐defined recognition and meas‐ urement criteria • Decisions made for tax reporting purposes may have unintended fi‐ nancial reporting effects • Accounting treatments are affected © 2018 Association of International Certified Professional Accountants. All rights reserved. 13 Advantages Disadvantages by changes in tax laws 14 © 2018 Association of International Certified Professional Accountants. All rights reserved. Chapter 2 Recognition and Measurement Issues in Financial Statements Prepared When Applying the Cash‐ or Tax‐Basis of Accounting The determination of what information should be reported in the financial statements and when to recognize transactions or events (recognition), and how to record transactions or events and at what amounts (measure‐ ment) varies depending on the type of framework used to prepare the financial statements. This chapter in‐ cludes a discussion of recognition and measurement issues for cash‐, modified cash‐, and tax‐basis financial statements. Cash‐Basis and Modified Cash‐Basis Observations and Suggestions In accordance with the master glossary included in the FASB Accounting Standards Codification® , cash equiva‐ lents are short‐term, highly liquid investments that have both of the following characteristics: a. Readily convertible to known amounts of cash b. So near their maturity that they present insignificant risks of changes in value because of changes in in‐ terest rates Generally, only investments with original maturities of three months or less qualify under that definition. Origi‐ nal maturity means original maturity to the entity holding the investment. For example, both a three‐month U.S. Treasury bill and a three‐year U.S. Treasury note purchased three months from maturity qualify as cash equiva‐ lents. However, a Treasury note purchased three years ago does not become a cash equivalent when its remain‐ ing maturity is three months. Examples of items commonly considered to be cash equivalents are Treasury bills, commercial paper, money market funds, and federal funds sold (for an entity with banking operations). The following represents certain significant measurement and recognition issues with respect to the cash‐ and modified‐cash bases of accounting. Investments In accordance with the cash‐basis of accounting, entities would reflect purchases of investments as cash dis‐ bursements and sales of investments as cash receipts in the period that the cash is disbursed or received. In‐ vestments acquired via noncash transactions should not be recorded and unrealized gains and losses should not be recognized. A common modification to the cash‐basis of accounting is to record investments in marketable securities as as‐ sets. If the entity prepared its financial statements in accordance with accounting principles generally accepted in the United States of America (GAAP), the investments would be reflected in the balance sheet. As such, the investments would be initially recorded at cost and subsequent unrealized changes in value would be recorded to reflect the fair value of the investments. Because unrealized gains and losses are not the result of a cash © 2018 Association of International Certified Professional Accountants. All rights reserved. 15 transaction or event, such unrealized gains and losses should not be recorded in financial statements when ap‐ plying a modified cash‐basis of accounting. Instead, the investments would remain on the balance sheet equiva‐ lent at cost unless and until they become worthless or are sold. Receivables Receivables should not be recognized in financial statements prepared when applying the cash basis of account‐ ing unless the receivables result from an outflow of cash. Other receivables such as those arising from sales transactions made on credit should not be recorded. Property and Equipment Under the cash‐basis of accounting, purchases of property and equipment would be reflected in the financial statements as cash disbursements in the period the transaction occurred. The assets would not be capitalized and depreciation would not be recorded. A common modification to the cash‐basis of accounting is to record property and equipment arising from cash transactions as assets. Once the modification is made, the entity should adopt and consistently apply an alloca‐ tion policy (depreciation or amortization) that has substantial support in the accounting literature and is logical. Such policy should also include recording any financing arrangements that are part of a cash transaction. As part of this policy, management of the entity should consider how it would address single‐step transactions or events that may not directly involve a cash inflow or outflow but may nevertheless be recorded as an in‐substance two‐ step cash transaction or event. See chapter 1, “Overview of Cash‐ and Tax‐Basis Financial Statements,” for dis‐ cussion of in‐substance two‐step transactions. Donated assets should not be recognized as “assets” because they are not derived from the use of cash or cash equivalents. It would be appropriate to write off any remaining carrying value of property and equipment once the assets are no longer in use or have been permanently impaired. Bank Overdrafts Bank overdrafts may be netted with other cash balances from the same bank. Bank overdrafts should not be netted against funds held at another financial institution. If the entity has an overall negative cash balance from a financial institution, when applying the cash‐basis of accounting, the negative cash balance would be shown as a liability on the balance sheet equivalent, if one is presented. For example, if the net balance in Bank A is $(1,000) and the net balance in Bank B is $5,000, the balance sheet equivalent would show a cash asset of $5,000 and the $(1,000) overdraft as a liability. If the entity has an overall global negative cash balance, the neg‐ ative cash balance would be shown as negative cash on hand at the end of the period on the statement of cash receipts and disbursements. Borrowings When applying the cash‐basis of accounting, the entity should record all proceeds from borrowings as cash re‐ ceipts when received and then reflect the principal repaid and associated interest as cash disbursements when paid. If a loan provides direct financing of an asset, neither the loan nor the asset should be recorded. However, 16 © 2018 Association of International Certified Professional Accountants. All rights reserved. the principal and interest payments would be reflected as cash disbursements when paid. See chapter 1 for dis‐ cussion of in‐substance two‐step transactions. Tax‐Basis In tax‐basis financial statements, transactions are recognized and measured in the same manner as they are in the entity’s federal tax return. Therefore, the preparer of financial statements when applying the tax‐basis of ac‐ counting is required to understand the federal tax laws applicable to the particular entity. Although this chapter highlights certain common measurement and recognition issues with respect to the tax‐basis of accounting, it is not a substitute for understanding the federal tax laws applicable to the particular entity. Additionally, although the IRS permits all entities to use the accrual method of accounting for tax purposes, many smaller entities can instead elect to use the cash method of accounting for tax purposes. Entities with in‐ ventories are required to use the accrual method for sales and purchases of inventory. Nontaxable Revenues and Nondeductible Expenses Under federal income tax laws, certain revenue is not taxable and certain expenses are not deductible. For ex‐ ample, receipts such as interest on obligations of state and local governments and proceeds from life insurance policies are not taxable. Costs such as premiums paid on officers’ life insurance policies are not deductible. When presenting tax‐basis financial statements, in order to be transparent, preparers of tax‐basis financial statements may recognize nontaxable revenues and nondeductible expenses outside of taxable income. Nontaxable revenues should be recognized when received (cash‐basis) or when earned (accrual basis). Nonde‐ ductible expenses should be reported and charged to expense in the period paid (cash‐basis) or when incurred (accrual basis). Additional Income Taxes for Prior Years An IRS exam may result in additional income taxes being assessed for prior years. Two alternative methods may be used to account for additional taxes for prior years. • The amount may be charged to expense in the current period if there are no corresponding adjustments to the balance sheet equivalent for expenses capitalized or revenue recognized. • The amount may be treated as a prior period adjustment and charged to retained earnings in a manner that is logical and consistent with the equivalent of a presentation in accordance with GAAP. The IRS may disallow amounts charged to expense in prior years and require those amounts to be capitalized and amortized or may require recognition of previously unreported revenue. Such amounts, net of income tax adjustments, should be treated as prior period adjustments. Otherwise, either of the preceding methods is con‐ sidered acceptable. The method used and the amount of additional taxes should be disclosed in the notes to the financial statements. Accounting Changes for Tax Purposes For tax purposes, the effects of an accounting change may be recognized prospectively over a specified number of years. Accounting changes should be treated in the same manner as they are treated in the tax return. © 2018 Association of International Certified Professional Accountants. All rights reserved. 17 S Corporations Income of an S corporation is taxable to its shareholders. Consequently, such a corporation may be required to maintain information on distinct classes of retained earnings. However, in tax‐basis financial statements, S cor‐ porations usually report retained earnings as a single amount and should report distributions to stockholders. Significant Differences Between GAAP and Tax‐Basis There are many differences between the way items are accounted for in accordance with GAAP and the way they are treated under the tax rules. Some of the more common include the following: • Bad debt losses on uncollectible receivables • Inventory capitalization and valuation • Unrealized gains on investment securities • Depreciation and impairment of capital assets • Fair value measurements • Consolidation 18 © 2018 Association of International Certified Professional Accountants. All rights reserved. Chapter 3 Presentation and Disclosure Issues in Financial Statements Prepared When Ap‐ plying the Cash‐ or Tax‐Basis of Accounting The determination of the form and content of the financial statements or which financial statements to present and what to include (presentation and disclosure) varies depending on the financial reporting framework ap‐ plied. Financial statements prepared when applying the cash‐ or tax‐basis of accounting may provide less complex and more understandable alternatives to financial statements prepared in accordance with accounting principles generally accepted in the United States of America (GAAP). However, preparers must be knowledgeable of GAAP disclosure requirements because cash‐ and tax‐basis financial statements should include informative disclosures similar to those required by GAAP if the financial statements contain items that are the same as, or similar to, those in financial statements prepared in accordance with GAAP. Observations and Suggestions Often, preparers of cash‐ and tax‐basis financial statements elect to omit substantially all disclosures required by the cash‐ or tax‐basis of accounting. The omission of disclosures is a departure from the cash‐ or tax‐basis of ac‐ counting and, if such disclosures were included in the financial statements, they might influence the user’s con‐ clusions about the entity’s financial position, results of operations, and cash flows. However, the omission may not necessarily result in misleading financial statements provided that the intended users are informed about such matters. If cash‐ or tax‐basis financial statements contain items for which GAAP would require disclosure, the financial statements may either provide the relevant disclosure that would be required for those items in a GAAP presen‐ tation or provide information that communicates the substance of that disclosure. This may result in substitut‐ ing qualitative information for some of the quantitative information required for GAAP presentations. For exam‐ ple, • disclosure of the repayment terms of significant long‐term borrowings may sufficiently communicate in‐ formation about future principal reduction without providing the summary of principal reduction during each of the next five years. • information about the effects of accounting changes, discontinued operations, and extraordinary items could be disclosed in a note to the financial statements without following the GAAP presentation re‐ quirements in the income statement equivalent or disclosing net‐of‐tax effects. • instead of showing expenses by their functional classifications with respect to the financial statements of a not‐for‐profit organization, a statement of activities could present expenses according to their natu‐ ral classifications, and a note to the financial statements could use estimated percentages to communi‐ cate information about expenses incurred by the major program and supporting services. • instead of showing the amounts of, and changes in, the unrestricted and temporarily and permanently restricted classes of net assets with respect to the financial statements of a not‐for‐profit organization, a © 2018 Association of International Certified Professional Accountants. All rights reserved. 19 statement of assets, liabilities, and net assets could report total net assets or fund balances, a related statement of activities could report changes in those totals, and a note to the financial statements could provide information, using estimated or actual amounts or percentages, about the restrictions on those amounts and on any deferred restricted amounts, describe the major restrictions, and provide infor‐ mation about significant changes in restricted amounts. For financial statements prepared when applying the cash‐ or tax‐basis of accounting, GAAP disclosure require‐ ments that are not relevant to the measurement of the item need not be considered. To illustrate, • fair value disclosures for investments in debt and equity securities would not be relevant when the basis of presentation does not adjust the cost of such securities to their fair value. • disclosures related to actuarial calculations for contributions to defined benefit plans would not be rele‐ vant in financial statements prepared when applying the cash‐ or tax‐basis of accounting. • disclosures related to the use of estimates would not be relevant in a presentation that has no esti‐ mates, such as the cash‐ or modified cash‐basis of accounting. Financial statements prepared when applying the cash‐basis of accounting generally do not include a statement of cash flows. However, depending on the user’s requirements, financial statements prepared when applying a modified cash‐ or the tax‐basis of accounting may include a statement of cash flows. For example, it may be challenging for users to obtain accurate information on operating, investing, and financing activities in single‐ year financial statements prepared when applying the tax‐basis of accounting unless a statement of cash flows is presented. Similar to financial statements prepared in accordance with GAAP, in order to achieve fair presentation, financial statements prepared when applying the cash‐ or tax‐basis of accounting should include all informative disclo‐ sures that are appropriate for the applicable financial reporting framework, including all significant matters that materially affect the financial statements’ use, understanding, and interpretation. Additionally, because financial statements prepared when applying the cash‐ or tax‐basis of accounting have certain inherent presentation and disclosure limitations, in order to enhance the value and usefulness of such fi‐ nancial statements, the preparer may disclose additional information in the notes to the financial statements. For example, donated capital assets would not be included in the balance sheet equivalent in financial state‐ ments prepared when applying a modified cash‐basis of accounting—even if the modification to the cash‐basis of accounting is to record capital expenditures as assets and depreciate them over their estimated useful lives. The preparer may elect to disclose the value of such donated capital assets in the notes to the financial state‐ ments. Presentation—Cash‐Basis Financial Statements Because a balance sheet equivalent would simply show the cash balance and a corresponding equity account, and a statement of cash flows would be repetitive of the statement of cash receipts and disbursements, finan‐ cial statements prepared when applying the cash‐basis of accounting may consist only of a statement of cash re‐ ceipts and disbursements. Although a single statement may be presented, informative disclosures are still nec‐ essary. Additionally, restrictions on cash balances should either be presented on the face of the statement of cash receipts and disbursements or should be disclosed in the notes to the financial statements. 20 © 2018 Association of International Certified Professional Accountants. All rights reserved. Basis of Accounting A required disclosure for all cash‐ and tax‐basis financial statements is the description of the basis of accounting (financial reporting framework), including how that basis of accounting differs from GAAP. Although these dif‐ ferences from GAAP should be qualitatively described, they need not be quantified. This description is important in financial statements prepared when applying a modified cash‐basis of accounting because such financial statements may vary depending on the modifications to the cash‐basis that were made. The description there‐ fore becomes essential to the user’s understanding of the financial statements. The description of the basis of accounting is usually presented in the summary of significant accounting policies section of the notes to the financial statements with a heading such as “Basis of Accounting.” The following ex‐ amples represent how the basis of accounting may be disclosed in the notes to financial statements prepared when applying the cash‐, a modified cash‐, and the tax‐basis of accounting. Example: Basis of Accounting Note—Cash‐Basis of Accounting Basis of Accounting The financial statements of Company X have been prepared on the cash‐basis of accounting, which is a compre‐ hensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). The cash‐basis of accounting differs from GAAP primarily because revenues are recognized when re‐ ceived rather than when earned and expenses are recorded when paid rather than when incurred. The financial statements therefore present only cash and cash equivalents and changes therein in the form of cash receipts and disbursements. Example: Basis of Accounting Note—Modified Cash‐Basis of Accounting Basis of Accounting The financial statements of Company X have been prepared on the cash‐basis of accounting, modified to record assets or liabilities with respect to cash transactions and events that provide a benefit or result in an obligation that covers a period greater than the period in which the cash transaction or event occurred. The modifications result in the recording of investments, inventories, capital assets, and related short‐term and long‐term obliga‐ tions on the statement of financial position. This method of accounting represents a comprehensive basis of ac‐ counting other than accounting principles generally accepted in the United States of America (GAAP). This basis of accounting differs from GAAP primarily because certain revenue and related assets (such as accounts receiva‐ ble and revenue for billed or provided services not yet collected, and other accrued revenue and receivables) have been recognized when received rather than when earned and certain expenses and related liabilities (such as accounts payable and expenses for goods or services received but not yet paid, and other accrued liabilities and expenses) have been recognized when paid rather than when the obligations were incurred. Example: Basis of Accounting Note—Tax‐Basis of Accounting Basis of Accounting The financial statements of Company X have been prepared on the accrual basis of accounting that the Company uses for filing its federal income tax return, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). This basis differs from GAAP primarily be‐ © 2018 Association of International Certified Professional Accountants. All rights reserved. 21 cause the Company expenses the cost of certain types of assets in accordance with IRC Section 179. GAAP re‐ quires that such assets be capitalized and expensed over their estimated useful lives. Summary of Significant Accounting Policies FASB Accounting Standards Codification (ASC) 235, Notes to Financial Statements, requires that financial state‐ ments prepared in accordance with GAAP include a summary of significant accounting policies in the notes to the financial statements. Accordingly, cash‐ and tax‐basis financial statements should include a summary of sig‐ nificant accounting policies in the notes to the financial statements. In addition to the basis of accounting discussed previously, the note should include disclosure of the significant accounting policies used to prepare the financial statements, including policies that involve the following: • A selection from existing acceptable alternatives • Industry specific applications • Unusual or innovative applications of accounting principles Because the cash‐basis of accounting does not include the recognition of noncash assets, liabilities, and noncash transactions, elaborate accounting policy disclosures are usually unnecessary. In financial statements prepared when applying a modified cash‐basis of accounting, such disclosures may include information about the follow‐ ing: • Investments • Inventory • Property and equipment • Income taxes • Consolidation • Related parties and related party transactions • Commitments and contingencies • Uncertainties • Subsequent events • Asset impairments The significant accounting policies note for tax‐basis financial statements should include disclosure of the follow‐ ing: • Whether the basic method of accounting is cash or accrual 22 © 2018 Association of International Certified Professional Accountants. All rights reserved. • The tax filing status of the entity, if other than a taxable corporation (that is, a C corporation) • That revenues and related assets and expenses and related obligations are recognized only when they are reported or deducted for federal income tax purposes • That nontaxable income and nondeductible expenses are included in the determination of the equiva‐ lent of operating results or “net income” • The nature of any optional tax methods of accounting followed • The nature of any important judgments or policies necessary for an understanding of the methods of recognizing revenue and allocating costs to current and future periods • Tax uncertainties including open tax years Also, tax uncertainties should be addressed in financial statements prepared when applying the cash‐ or tax‐ basis of accounting. FASB ASC 740‐10‐50‐15 requires that open tax years be disclosed—even if the reporting en‐ tity is a pass‐through entity or a not‐for‐profit organization. In addition, in financial statements prepared when applying the tax‐basis of accounting, disclosures regarding significant accounting policies may include information about receivables. The following represents guidance on certain other common presentation and disclosure issues with respect to cash‐ and tax‐basis financial statements. Subsequent Events FASB ASC 855, Subsequent Events, sets forth general standards of accounting for and disclosure of events that occur after the balance sheet date but before the financial statements are issued or are available to be issued. The preparer should disclose the date through which subsequent events have been evaluated, which is the date the financial statements are available to be issued. When financial statements prepared when applying the cash‐ or tax‐basis of accounting contain items that are the same as, or similar to, those in financial statements pre‐ pared in accordance with GAAP, such financial statements should contain the disclosures required by FASB ASC 855. Related Party Transactions The existence of related party transactions that are material individually or in the aggregate and the nature and amounts of the transactions and balances should be disclosed. Note that the tax rules may define “related par‐ ty” differently than how it is defined in accordance with GAAP. To avoid confusion on the part of users of the tax‐basis financial statements, the GAAP definition of related party should be considered for all financial report‐ ing purposes. Commitments and Contingencies The existence and nature of material commitments and contingencies should be disclosed in the notes to finan‐ cial statements prepared when applying the cash‐ or tax‐basis of accounting. © 2018 Association of International Certified Professional Accountants. All rights reserved. 23 Pension Plans The existence and nature of a pension plan should be disclosed in the notes to financial statements when apply‐ ing the cash‐ or tax‐basis of accounting. Assets and Liabilities Information disclosed for assets and liabilities commonly includes the following items: • Restricted cash, segregated from cash available for current operations, with a description of the nature of the restriction • The aggregate fair value of investments in marketable securities • Accounts and notes receivable from officers, employees, and affiliates, presented separately with disclo‐ sure of the effective interest rate on notes receivable, and interest income for the period • The major classes of property, plant, and equipment; depreciation expense for the period; the meth‐ od(s) used in computing depreciation; and the aggregate, accumulated depreciation • The method of determining inventory cost (for example, last in, first out and first in, first out) Owners’ Equity The financial statements often include disclosures regarding information on owners’ equity as follows: • For each class of stock, the number of shares authorized, issued, and outstanding; the par or stated val‐ ue; and, in summary form, the pertinent rights and privileges of each outstanding class (if more than one class is outstanding) • The existence of stock option and stock purchase plans • Restrictions on the payment of dividends • Changes for the period in the separate components of owners’ equity A note to the financial statements of a voluntary health and welfare organization that prepares tax‐basis finan‐ cial statements could provide information, using estimated or actual amounts or percentages, about the re‐ strictions on total net assets or fund balances and on any deferred restricted amounts, describe the major re‐ strictions, and provide information about significant changes in restricted amounts. Risks and Uncertainties Financial statements prepared in accordance with GAAP are required to include a number of disclosures with re‐ spect to risks and uncertainties. The following table summarizes these disclosures and how GAAP requirements for disclosing risks and uncer‐ tainties should be addressed in cash‐ and tax‐basis financial statements. The table is not meant to be all‐ inclusive. 24 © 2018 Association of International Certified Professional Accountants. All rights reserved. Observations and Suggestions Often, preparers of cash‐ and tax‐basis financial statements elect to omit substantially all disclosures required by the cash‐ or tax‐basis of accounting. The omission of disclosures is a departure from the cash‐ or tax‐basis of ac‐ counting and, if such disclosures were included in the financial statements, they might influence the user’s con‐ clusions about the entity’s financial position, results of operations, and cash flows. However, the omission may not necessarily result in misleading financial statements provided that the intended users are informed about such matters. GAAP Requirement Summary of Required Disclosures Applicability to Cash‐ or Tax‐ Basis of Accounting Nature of Operations Entities should disclose a de‐ scription of the major products or services the reporting entity sells or provides and its principal markets. This information is use‐ ful because it helps financial statement users understand the nature of the entity’s business and the risks common to that business. This disclosure is relevant to all financial statements prepared in accordance with the cash‐ or tax‐ basis of accounting and should be made. Use of Estimates Financial statements should in‐ clude an explanation that the preparation of financial state‐ ments in accordance with GAAP requires the use of manage‐ ment’s estimates. This disclosure may not be rele‐ vant to some financial state‐ ments prepared in accordance with the cash‐ or tax‐basis of accounting; for example, finan‐ cial statements prepared on the cash‐basis that do not include estimated amounts. Certain Significant Estimates If certain criteria are met, the entity is required to disclose the nature of an uncertainty if it is at least reasonably possible that a change in an estimate will occur in the near term. The purpose of the disclosure is to communicate to financial statement users that there is a reasonable possibility that certain estimated amounts in the current year financial statements will change signifi‐ cantly and affect the subsequent years’ financial statements. If the GAAP disclosure criteria are met, the financial statements should include disclosure of the information required by GAAP. Vulnerability Due to Concentra‐ If certain criteria are met, the If the GAAP disclosure criteria © 2018 Association of International Certified Professional Accountants. All rights reserved. 25 GAAP Requirement Summary of Required Disclosures Applicability to Cash‐ or Tax‐ Basis of Accounting tions financial statements are re‐ quired to include disclosure in‐ formation about its vulnerability due to concentrations; for ex‐ ample, significant volume of business conducted with one customer. are met, the preparer should disclose the information re‐ quired by GAAP. Going Concern A basic premise underlying fi‐ nancial reporting is that a user of the financial statements can as‐ sume that the entity will contin‐ ue as a going concern for a rea‐ sonable period of time. If the preparer concludes that material uncertainties exist such that the entity may not continue as a go‐ ing concern for a reasonable pe‐ riod of time, the financial state‐ ments should include disclosure of such uncertainty. If the preparer concludes that there is substantial doubt about the entity’s ability to continue as a going concern for a reasonable period of time (generally one year from the date of the bal‐ ance sheet equivalent), the pre‐ parer should disclose the going concern considerations in a note to the financial statements. Terminology for Cash‐ and Tax‐Basis Financial Statements There is no requirement to modify financial statement titles in cash‐ or tax‐basis financial statements. However, users of such financial statements should be able to readily identify the basis of accounting used to prepare the financial statements. A common and convenient way of identifying the basis of accounting is through the finan‐ cial statement titles by adding “cash‐basis,” “modified cash‐basis,” or “tax‐basis” after the financial statement ti‐ tle. Cash‐basis financial statements might be titled, for example, • Statement of Assets and Liabilities Arising from Cash Transactions; • Statement of Revenue Collected and Expenses Paid; • Statement of Revenue and Expenses—Cash‐Basis; or • Statement of Cash Receipts and Disbursements. Modified cash‐basis financial statements might be titled, for example, • Statement of Assets and Net Assets—Modified Cash‐Basis; or • Statement of Revenue, Expenses and Changes in Net Assets—Modified Cash‐Basis. Tax‐basis financial statements might be titled, for example, 26 © 2018 Association of International Certified Professional Accountants. All rights reserved. • Statement of Assets, Liabilities, and Capital—Tax‐Basis; • Statement of Operations—Tax‐Basis; or • Statement of Revenue and Expenses—Tax‐Basis. The preceding examples are not meant to be all‐inclusive and are not the only acceptable titles. With respect to the captions to be used with the cash‐, modified cash‐, or tax‐basis financial statements, there is no requirement to modify the standard GAAP financial statement captions. Therefore, captions such as “net in‐ come,” “net loss,” and “retained earnings” are acceptable. However, if modifications are desired (which many preparers prefer as a means of additional emphasis that the financial statements are not prepared in accordance with GAAP), common examples for cash‐basis financial statements are excess of revenue collected over expenses paid and excess of expenses paid over revenue collected. For financial statements prepared when applying a modified cash‐basis of accounting, common modifications are excess of revenue over expenses and excess of ex‐ penses over revenue. With respect to tax‐basis financial statements, modifications with respect to financial statement captions are rarely made. However, modifications, if made, may include retained earnings—tax‐basis and net income—tax‐basis. Consolidation Accounting Professional judgment should be applied to determine which presentation—consolidated, unconsolidated, or combined—provides the most meaningful and relevant information. A preparer should not consolidate entities unless all entities to be consolidated use the same basis of accounting. For example, it would not be appropriate to consolidate an entity that prepares its financial statements using a modified cash‐basis of accounting with its parent who maintains its books and records in accordance with the tax‐basis of accounting. If the modified cash‐ basis of accounting is used, then all consolidated entities should utilize the same modifications to the cash‐basis of accounting. With respect to financial statements prepared when applying the tax‐basis of accounting, consolidation is based on the IRC. Therefore, the consolidation requirements of FASB ASC 810, Consolidation, do not apply. However, if the entity files a consolidated tax return, it should report consolidated results on its tax‐basis financial state‐ ments. In the case of brother‐sister corporations in which each entity maintains its books and records on the tax‐basis of accounting, but a consolidated tax return is not filed, the preparer may prepare combined financial statements because such financial statements may be more useful to users than individual uncombined financial statements. Although the tax consolidation rules are followed, additional disclosures may be necessary to lessen the chance that the financial statements are not misleading. Consider, for example, a 60 percent owned subsidiary that would be consolidated in financial statements prepared in accordance with GAAP but is not consolidated in fi‐ nancial statements prepared when applying the tax‐basis of accounting because the threshold for consolidation under the IRC is 80 percent ownership. Even though the subsidiary is not consolidated, the preparer should con‐ sider which disclosures are appropriate relative to the 60 percent owned subsidiary. Examples of matters that might require disclosure are the ownership and relationship with the subsidiary, related party transactions, guarantees, and commitments. © 2018 Association of International Certified Professional Accountants. All rights reserved. 27 Change From GAAP to Cash‐ or Tax‐Basis A change from GAAP to cash‐ or tax‐basis statements (or vice versa) does not represent a change in accounting principles as described in FASB ASC 250, Accounting Changes and Error Corrections. Therefore, no justification for the change is required, and a cumulative effect adjustment is unnecessary. When only the current year’s cash‐ or tax‐basis statements are presented, there are three ways of presenting opening equity: • Show opening equity as previously reported in accordance with GAAP, with an adjustment to convert to the cash‐ or tax‐basis. • Show opening equity on the as‐adjusted cash‐ or tax‐basis. • Show the effects of the adjustment to convert as a cumulative‐effect adjustment in the income state‐ ment equivalent. If comparative financial statements are presented, the prior periods should be restated and presented on the basis to which the company has changed. Restatement is necessary to ensure comparability between all periods presented. In all cases, the change in accounting basis should be disclosed in the notes to the financial statements. The fol‐ lowing is an example of how such a change in accounting basis could be disclosed in the notes to the financial statements: In 20X1, management adopted a policy of preparing its financial statements on the basis of accounting that it uses to file its federal income tax return. Prior to 20X1, the Company’s financial statements were prepared in accordance with accounting principles generally accepted in the United States of America. Management believes that this change results in more relevant financial reporting that is easier and less costly to understand, apply, and use in the Company’s circumstances and considering the needs of the users of the financial statements. The 20X1 financial statements have been restated to be on the tax‐ basis of accounting. 28 © 2018 Association of International Certified Professional Accountants. All rights reserved. Appendix Illustrative Cash‐ and Tax‐Basis Financial Statements This appendix contains illustrative examples of financial statements prepared when applying the cash‐, modified cash‐, or tax‐basis of accounting for different types of entities. These financial statements are intended to illus‐ trate the significant discussion points in chapters 1–3 of this practice aid. Each financial statement has been an‐ notated to highlight these key points. Name of Entity Type of Entity Basis of Preparation Ceolainn Club Not‐for‐profit Cash Mickey’s Center Not‐for‐profit Modified Cash Donnelly & Oates Limited Liability Partnership Tax (Accrual Basis) Charlton Contractors, Inc. Construction Contractor Tax (Accrual Basis) Margaret Rose 1964 Irrevocable Trust Trust Tax (Accrual Basis) CEOLAINN CLUB FINANCIAL STATEMENTS FOR THE YEARS ENDED JUNE 30, 20X2 AND 20X1 Circumstances include the following: • The financial statements are for a not‐for‐profit membership club. • The financial statements are prepared on the cash‐basis of accounting. • The financial statements are comparative for the years ended June 30, 20X2, and 20X1. The financial statements illustrate the following: • The financial statements include a statement of functional expenses, which is required by accounting principles generally accepted in the United States of America (GAAP). Financial statements prepared when applying the cash‐basis of accounting are not required to include such a statement, but may in‐ stead communicate the substance of that requirement. • GAAP requires not‐for‐profit organizations to report the amount of unrestricted, temporarily restricted, and permanently restricted net assets on the face of the statement of financial position. Because a statement of financial position equivalent is not presented, the illustrative financial statements com‐ municate the substance of the GAAP requirement in the notes to the financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 29 Ceoliann Club Statements of Cash Receipts and Disbursements For the Years Ended June 30, 20X2 and 20X1 June 30, 20X2 June 30, 20X1 Cash received from support activities: Membership dues $ 49,899 $ 46,759 Donations 996 1,125 Programs 7,495 10,645 Total cash received from support activities 58,390 58,529 Cash received from other sources: Interest income 19 30 Other 300 3,720 Total cash received from other sources 319 3,750 TOTAL CASH RECEIVED $ 58,709 $ 62,279 Cash disbursed: Program services $ 29,110 $ 29,484 Supporting services 19,783 19,113 Fundraising 6,288 8,803 TOTAL CASH DISBURSED $ 55,181 $ 57,400 Excess of revenue collected over expenses paid 3,528 4,879 Cash and cash equivalents, beginning of year 39,046 34,167 Cash and cash equivalents, end of year $ 42,574 $ 39,046 See accompanying notes to financial statements. 30 © 2018 Association of International Certified Professional Accountants. All rights reserved. The Ceoliann Club Statements of Functional Expenses Cash‐Basis For the Years Ended June 30, 20X2 and 20X1 Program Services Supporting Services Fundraising Total June 30, 20X2 Program Services Supporting Services Fundraising Total June 30, 20X1 Salaries and benefits $ 23,333 $ 16,440 $ 4,241 $ 44,014 $ 23,633 $15,876 $ 5,937 $ 45,446 Events—special 1,795 1,795 2,513 2,513 Legal and ac‐ counting 2,320 2,320 2,500 2,500 Insurance 313 51 45 409 317 49 63 429 Postage/printing 3,477 3,477 3,398 3,398 Licenses/fees 114 114 464 464 Office expense 612 232 207 1.051 620 224 290 1,134 Miscellaneous 1,375 626 2,001 1,516 1,516 $ 29,110 $19,783 $6,288 $55,181 $29,484 $19,113 $8,803 $57,400 53% 36% 11% 52% 33% 15% See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 31 Ceolainn Club Notes to Financial Statements Cash‐Basis For the Years Ended June 30, 20X2 and 20X1 Note 1—Summary of Significant Accounting Policies Nature of Activities The Ceolainn Club (the Club) is a New York not‐for‐profit organization. The Club’s mission is to promote safe so‐ cial programs for young adults. Basis of Accounting The Club’s financial statements have been prepared on the cash‐basis of accounting, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). The cash‐basis of accounting differs from GAAP primarily because revenues are recognized when received rather than when earned and expenses are recorded when paid rather than when incurred. The financial statements therefore present only cash and cash equivalents and changes therein in the form of cash receipts and dis‐ bursements. Cash and Cash Equivalents The Club considers all highly liquid investments available for current use with an initial maturity of three months or less to be cash equivalents. As of June 30, 20X2, and 20X1, cash and cash equivalents consisted entirely of the adjusted book balance in the Club’s checking account. Net Assets As of June 30, 20X2, and 20X1, all of the Club’s net assets were unrestricted. Income Taxes The Club is exempt from federal and state income taxes under Internal Revenue Code Section 501(c)(7). Accord‐ ingly, no provision for income taxes has been made in the financial statements. Uncertain Tax Positions Federal and state income tax returns for the years 20X0 to date are subject to examination by taxing authorities. Subsequent Events Management has evaluated subsequent events through August 28, 20X2, which is the date the financial state‐ ments were available to be issued. 32 © 2018 Association of International Certified Professional Accountants. All rights reserved. MICKEY’S CENTER FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED AUGUST 31, 20X2 Circumstances include the following: • The financial statements are for a not‐for‐profit charity. • The financial statements are prepared on a modified cash‐basis of accounting. The cash‐basis of ac‐ counting was modified to accrue cash transactions and events that provide a benefit or result in an obli‐ gation that covers a period greater than the period in which the cash transactions or events occurred. Such accruals resulted in the recording of property and equipment as assets on the statement of assets and net assets and subsequent depreciation of those assets over their estimated useful lives. • The financial statements are as of August 31, 20X2, and for the year then ended. The financial statements illustrate the following: • The financial statements include a statement of functional expenses, which is required by accounting principles generally accepted in the United States of America (GAAP). Financial statements prepared when applying a modified cash‐basis of accounting are not required to include such a statement, but may instead communicate the substance of that requirement. • GAAP requires not‐for‐profit organizations to report the amount of unrestricted, temporarily restricted, and permanently restricted net assets on the face of the balance sheet (in the case of the illustrative fi‐ nancial statements prepared on a modified cash‐basis of accounting, such point in time statement is re‐ ferred to as the statement of assets and net assets). The illustrative financial statements do not follow those presentation requirements but instead, communicate their substance by providing relevant in‐ formation in the notes to the financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 33 Mickey’s Center Statement of Assets and Net Assets Modified Cash‐Basis August 31, 20X2 Assets Cash and cash equivalents $ 316,258 Restricted cash (Note 2) 108,084 Property and equipment (net of accumulated de‐ preciation of $35,565) 9,018 $ 433,360 Net Assets Unrestricted net assets (Note 5) 433,360 Net assets $ 433,360 See accompanying notes to financial statements. 34 © 2018 Association of International Certified Professional Accountants. All rights reserved. Mickey’s Center Statement of Revenue, Expenses and Changes in Net Assets Modified Cash‐Basis For the Year Ended August 31, 20X2 Revenue Corporate and foundation contributions $ 536,134 Other contributions 235,920 Exchange club projects 105,302 Unsolicited and other donations 69,754 Total revenue 947,110 Expenses Program services 769,426 Management and general 100,718 Fundraising 55,264 155,982 Total expenses 925,408 Increase in net assets 21,702 Net assets, beginning of year 411,658 Net assets, end of year $ 433,360 See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 35 Mickey’s Center Statement of Functional Expenses Modified Cash‐Basis For the Year Ended August 31, 20X2 Program Services Management and General Fundraising Total Salaries and bene‐ fits $ 451,675 $ 76,781 $ 38,041 $ 566,497 Grant expense 41,291 41,291 Special events 77,790 13,233 91,023 Training 16,029 16,029 Professional ser‐ vices 16,810 16,810 Telephone 14,782 720 428 15,930 Postage/printing 6,176 301 178 6,655 Office supplies 16,597 809 481 17,887 Program materials 16,279 16,279 Depreciation 8,917 435 259 9,611 Rent 58,084 2,831 1,683 62,598 Miscellaneous 61,806 2,031 961 64,798 $ 769,426 $ 100,718 $ 55,264 $ 925,408 83% 11% 6% See accompanying notes to financial statements. 36 © 2018 Association of International Certified Professional Accountants. All rights reserved. Mickey’s Center Notes to Financial Statements Modified Cash‐Basis August 31, 20X2 Note 1—Summary of Significant Accounting Policies Nature of Activities Mickey’s Center (the Center) is a nonprofit corporation incorporated under the Texas Non‐Profit Corporation Act. The purpose of the Center is to use its funds exclusively for charitable, scientific, and educational purposes, especially the prevention of child abuse. Basis of Accounting The financial statements of the Center have been prepared on the cash‐basis of accounting, modified to record assets or liabilities with respect to cash transactions and events that provide a benefit or result in an obligation that covers a period greater than the period in which the cash transactions or events occurred. The modifica‐ tions result in the recording of capital assets on the statement of assets and net assets. Except for depreciation, all transactions are recognized as either revenue or expenses when received or paid in cash. Except for deprecia‐ tion, noncash transactions are not recognized. This basis of accounting represents a comprehensive basis of ac‐ counting other than accounting principles generally accepted in the United States of America (GAAP). This basis of accounting differs from GAAP primarily because certain revenue and related assets have been recognized when received rather than when earned and certain expenses and related liabilities have been recognized when paid rather than when the obligations were incurred. Property and Equipment Property and equipment are recorded at cost and consist of the office building and equipment. Depreciation is computed on the straight‐line method based on estimated useful lives of 30 years and 5 years for the office building and equipment, respectively. Cash Equivalents The Center considers all highly liquid debt instruments with an original maturity of three months or less to be cash equivalents. Contributions The Center records contributions when received in cash. Contributed Services Many individuals volunteer their time to help the Center with its educational activities. During the year ended August 31, 20X2, the Center received approximately 200 volunteer hours that have not been recorded in the statement of revenue, expenses, and changes in net assets. Functional Expenses © 2018 Association of International Certified Professional Accountants. All rights reserved. 37 The costs of providing the various programs, fundraising, and other activities have been summarized on a func‐ tional basis in the statement of functional expenses. Accordingly, certain costs have been allocated among the programs and fundraising activities benefited. Functional expenses are allocated to programs and supporting services based on specific identification. Expenses that relate to more than one program or support activity are allocated based on salary expenditure. Income Taxes The Center is exempt from federal and state income taxes under Internal Revenue Code Section 501(c)(3), ex‐ cept to the extent that it has taxable income from businesses that are not related to its tax exempt purpose. Un‐ related business income, if there was any, would be taxed at the applicable corporate income tax rate. The Cen‐ ter did not have any unrelated business income during the year ended August 31, 20X2, and accordingly, no pro‐ vision for income taxes has been made in the financial statements. The Center is not currently under examination by any taxing jurisdiction. Federal and state taxing authorities no longer have the right to examine tax years prior to 20Y9. For the year ended August 31, 20X2, there were no in‐ terest or penalties associated with tax positions recorded in the accompanying financial statements. Use of Estimates The preparation of financial statements on a modified cash‐basis of accounting requires management to make estimates and assumptions that affect financial statement amounts and disclosures. Actual results could differ from those estimates and assumptions. Subsequent Events In preparing these financial statements, management of the Center has evaluated events and transactions for potential recognition or disclosure through January 20, 20X3, the date the financial statements were available to be issued. Note 2—Restricted Cash The balance represents funds restricted by the board of directors in an amount equal to the balance in the School Initiatives Fund. Note 3—Commitments and Contingencies The land on which the Center’s office is located is being leased on an annual basis at a rate of $1,400 per annum. See Note 4. Note 4—Subsequent Events In September 20X2, the Center entered into a “purchase and sale agreement,” which provided for the purchase of a building in the amount of $230,000 and the assumption of a lease of the land on which the building is locat‐ ed. The building purchase was executed on September 28, 20X2, and was financed in part by a $220,000 note payable to a bank. The terms of the note provide for quarterly interest payments at the bank’s prime rate through the note maturity date. A $100,000 principal payment was due and made in December 20X2, and the remaining balance is due September 20X8. The note is secured by a leasehold deed of trust and security agree‐ ment and an assignment of rents and leases. 38 © 2018 Association of International Certified Professional Accountants. All rights reserved. The assumed lease previously referred to is an operating lease that requires annual payments of $19,600 through September 20X6. The Center has the option to terminate the lease in March 20X9. If the lease is not terminated, the annual payment will be revised to reflect 6 percent of the value of the land, which will be de‐ termined as set forth in the lease agreement. In December 20X2, the Center entered into a construction contract for $138,000 to design and construct certain building and leasehold improvements. Note 5—Internally Restricted Net Assets Net assets internally restricted for the School Initiatives Fund consist of amounts allocated from unrestricted net assets as approved by the board of directors. The internally restricted amounts are to be used for purchasing equipment and establishing programs for educational programs in schools and are not available for other pur‐ poses without approval by the board of directors. Note 6—Allocation of Joint Costs During the year ended August 31, 20X2, the Center conducted activities that included appeals for contributions and incurred joint costs of approximately $46,000. These activities included direct mail campaigns and special events. Approximately 65 percent of these joint costs were allocated to fundraising activities and 35 percent to program services. © 2018 Association of International Certified Professional Accountants. All rights reserved. 39 DONNELLY & OATES LIMITED LIABILITY PARTNERSHIP FINANCIAL STATEMENTS AS OF AND FOR THE YEAR ENDED DECEMBER 31, 20X2 Circumstances include the following: • The financial statements are for a limited liability partnership (LLP) that owns and operates a racquet and swim club. • The financial statements are prepared on basis of accounting that the LLP uses for federal income tax purposes. • The financial statements are as of and for the year ended December 31, 20X2. The financial statements illustrate the following: • The Statement of Revenues and Expenses uses the caption “Revenues in excess of expenses” to portray what a financial statement prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) would describe as “Net income.” There is no prohibition on the use of “Net income” or other GAAP captions within the financial statements. In this situation, the entity has chosen the term because management believes it to be more descriptive. • The financial statements include a Statement of Cash Flows, which is not required for financial state‐ ments prepared when applying the tax‐basis of accounting. However, in this case, the financial state‐ ments include a single year only, thus it would be difficult for financial statement users to obtain accu‐ rately the information on operating, investing and financing activities presented in a statement of cash flows. 40 © 2018 Association of International Certified Professional Accountants. All rights reserved. Donnelly & Oates Limited Liability Partnership Statements of Assets, Liabilities and Partners’ Capital Tax‐Basis December 31, 20X2 Assets Cash 450,944 Accounts receivable 451,194 Inventory 311,214 Prepaid expenses and other assets 24,046 Financing fees, less accumulated amortization of $57,096 259,124 Syndication costs 312,166 Property and equipment, net of accumulated depreci‐ ation of $2,810,112 9,054,554 $ 10,863,242 Liabilities and Partners’ Capital Accounts payable $ 276,502 Accrued payroll and related costs 117,792 Other accrued expenses 23,998 Unearned dues 369,586 Mortgage payable $ 7,566,966 Total liabilities 8,354,844 Partners’ capital 2,508,398 $ 10,863,242 See accompanying notes. © 2018 Association of International Certified Professional Accountants. All rights reserved. 41 Donnelly & Oates Limited Liability Partnership Statement of Revenues and Expenses Tax‐Basis For the Year Ended December 31, 20X2 Revenues Membership dues $ 3,970,334 Initiation fees 389,638 Tennis court fees and lessons 1,103,224 Other income 726,936 Sports shop and café 1,219,740 Total revenues 7,409,872 Expenses Management fee 50,700 Maintenance and operating 504,448 Utilities 391,460 Advertising and promotions 191,088 Payroll and related costs 2,774,706 Insurance 136,984 Administrative 246,906 Real estate taxes 351,246 Cost of sales—sports shop and café 701,800 Total expenses 5,349,338 Net operating income 2,060,534 Partnership expenses (9,572) Interest expense (765,476) Depreciation and amortization (610,094) Loss on sale of equipment (4,240) Revenues in excess of expenses $ 671,152 See accompanying notes. 42 © 2018 Association of International Certified Professional Accountants. All rights reserved. Donnelly & Oates Limited Liability Partnership Statement of Partners’ Capital Tax‐Basis For the Year Ended December 31, 20X2 Limited Part‐ ners Special Limited Partner General Part‐ ner Partners’ Capi‐ tal Balance, December 31, 20X1 $ 1,017,392 $ 1,256,710 $ (69,276) $ 2,204,826 Cash distributions (238,924) (55,138) (73,518) (367,580) Revenues in excess of ex‐ penses 436,254 100,674 134,224 671,152 Balance, December 31, 20X2 $ 1,214,722 $ 1,302,246 $ (8,570) $ 2,508,398 See accompanying notes. © 2018 Association of International Certified Professional Accountants. All rights reserved. 43 Donnelly & Oates Limited Liability Partnership Statement of Cash Flows Tax‐Basis For the Year Ended December 31, 20X2 Cash flows from operating activities Revenues in excess of expenses $ 671,152 Adjustments to reconcile revenues in excess of ex‐ penses to cash flows from operating activities Depreciation and amortization 610,094 Loss on sale of equipment 4,240 (Increase) decrease in: Accounts receivable (23,494) Inventory (102,916) Prepaid expenses 1,472 Accounts payable and accrued expenses 74,992 Unearned dues 32,874 Net cash flows provided by operating activities 1,268,414 Cash flows from investing activities Acquisition of equipment (277,138) Proceeds from sale of equipment 620 Net cash flows used by investing activities (276,518) Cash flows from financing activities Repayment of debt (473,574) Cash distributions to partners (367,580) Net cash flows used by financing activities (841,154) Increase in cash 150,742 Cash at beginning of year 300,202 Cash at end of year $ 450,944 Supplemental disclosures of cash flow information: Cash paid during the year for interest $ 774,170 See accompanying notes. 44 © 2018 Association of International Certified Professional Accountants. All rights reserved. Donnelly & Oates Limited Liability Partnership Notes to Financial Statements Tax‐Basis For the Year Ended December 31, 20X2 Note 1—Summary of Significant Accounting Policies Nature of Operations The Partnership owns and operates a racquet and swim club (the Club) located in Minnesota. The Club has approximately 3,000 members at December 31, 20X2. The Club extends credit to members for the payment of dues and other charges. The Partnership, formed in 19W5, is a limited liability partnership in accordance with the provisions of the Uni‐ form Partnership Act as in effect in the State of Minnesota. The general partner of the Partnership is Tony Donnelly. Basis of Accounting The Partnership’s financial statements are prepared on the accounting basis the Partnership used for federal in‐ come tax purposes, which is a comprehensive basis of accounting other than accounting principles generally ac‐ cepted in the United States of America (GAAP). The Partnership uses the Accelerated Cost Recovery System (ACRS) and Modified Accelerated Cost Recovery System (MACRS) in depreciating its property. Under ACRS and MACRS, depreciation is determined over periods of time that are shorter than those used in accordance with GAAP. Additionally, the income tax methods used to capitalize and amortize amortizable assets differ from those used under GAAP. Syndication costs are carried as an asset of the Partnership and are not amortized. Under GAAP these costs would be deducted from partners’ capital. Cash Equivalents The Partnership considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Concentration of Credit Risk The Partnership places its cash with one banking institution. At times the amount on deposit exceeds the in‐ sured limit of the institution and exposes the Partnership to a collection risk. Inventories Inventories, which consist of merchandise for sale in the sports shop, food, and beverages, are stated at the lower of cost (first in, first out method) or market. Membership Dues and Initiation Fees © 2018 Association of International Certified Professional Accountants. All rights reserved. 45 Membership dues are billed in advance and recorded in accounts receivable and unearned dues. The dues are recognized as revenue in the month earned. Initiation fees are recorded as revenue in the period when the fee is collected. Property and Equipment Property and equipment are carried at depreciated cost. Depreciation is computed using income tax methods. The cost of maintenance and repairs is charged to income as incurred; significant renewals or betterments are capitalized. Financing Fees Financing fees are amortized over the term of the related debt using the straight‐line method. During 20XX, fi‐ nancing fees related to retired debt were written off. The financing fees related to new debt were capitalized. Amortization expense was $12,149 during 20X2. Start‐Up Costs Start‐up costs are amortized over 60 months using the straight‐line method. Income Taxes Income taxes on Partnership income are levied on the partners at the partner level. Accordingly, all profits and losses of the Partnership are recognized by each partner on his respective tax return. Management believes that the Partnership has adequately addressed all relevant tax positions and that there are no unrecorded tax liabilities. Tax returns filed for the tax years ending from December 31, 20Y9, through cur‐ rent are still subject to examination by federal and state tax authorities. Any interest or penalties assessed to the Partnership are recorded in operating expenses. No interest or penalties from federal or state tax authorities were recorded in the accompanying financial statements. Advertising and Promotions Advertising costs are expensed as incurred. For the year ended December 31, 20X2, the Partnership incurred $191,088 in advertising costs. Estimates The preparation of financial statements on the tax‐basis of accounting requires management to make estimates and assumptions that affect the amounts reported on the financial statements and accompanying notes. Actual results could differ from those estimates. Subsequent Events Subsequent events have been evaluated through February 24, 20X3, which is the date the financial statements were available to be issued, and there are no subsequent events requiring disclosure. Note 2—Partnership Organization Profit and Loss Allocations 46 © 2018 Association of International Certified Professional Accountants. All rights reserved. Prior to December 1, 20XX, profits and losses from annual operations were allocated 99 percent to the limited partners and 1 percent to the general partner. Subsequent to November 30, 20XX, and until the Class A limited partners have received distributions of net cash flow equal to their preferred return, profits and losses from annual operations are allocated 65 percent to the Class A limited partners; 15 percent to the special limited partner; and 20 percent to the general partner. After the Class A limited partners have received cumulative distributions of net cash flow equal to their pre‐ ferred return, profits and losses from annual operations will be allocated 45 percent to the Class A limited part‐ ners; 15 percent to the special limited partner; and 40 percent to the general partner. Net Cash Flow Allocation From Operations Subsequent to November 30, 20XX, net cash flow is allocated 65 percent to the Class A limited partners; 15 per‐ cent to the special limited partner; and 20 percent to the general partner until such time as the Class A limited partners have received cumulative distributions equal to their preferred return. The balance of any net cash flow will be distributed 45 percent to the Class A limited partners; 15 percent to the special limited partner; and 40 percent to the general partner. Preferred Return The preferred return means a 9 percent per annum cumulative noncompounded return on the adjusted capital contribution of the Class A limited partners. The adjusted capital contribution means the original capital contri‐ butions are reduced only by distribution from the net proceeds of sale or refinancing. Note 3—Property and Equipment Property and equipment at December 31, 20X2, consisted of the following: Recovery Peri‐ od—Years Land $ 975,720 — Building 9,320,050 7–40 Tenant improvements 1,568,896 5–7 Total cost of property and equip‐ ment being depreciated $ 11,864,666 Less: Accumulated depreciation 2,810,112 Total property and equipment, net $ 9,054,554 Depreciation expense was $597,945 during 20X2. © 2018 Association of International Certified Professional Accountants. All rights reserved. 47 Note 4—Mortgage Payable At December 31, 20X2, debt consisted of the following: Mortgage loan payable in monthly payments of $73,124, including interest at 9.375%, through January 20XY when the interest rate changes to 3.5% above the 3‐ year Treasury base rate. Beginning February 1, 20XY, monthly payments will be ad‐ justed to reflect the new interest rate; the payments will be based upon a 15‐year term. The remaining principal is due January 1, 20XZ. The mortgage is secured by property, equipment, and a personal guaranty. $ 6,778,186 10% unsecured note payable to the special limited partners due in monthly install‐ ments of $16,546, including principal and interest, through February 1, 20XZ, when the unpaid balance is due. 788,780 $ 7,566,966 Scheduled principal payments under these loans are approximately $380,000 per year until February 1, 20XY, when payment terms will be adjusted as described previously. Note 5—Amendment of the Partnership Agreement The Partnership agreement was amended effective November 30, 20XX. The primary purpose of the amend‐ ment was to create a new class of limited partner (the special limited partner) and to change the allocations of profits, losses, and cash distributions. Effective November 30, 20XX, Michael Oates surrendered his 67 limited partnership units in exchange for $1,450,000 and a 15 percent special limited partnership interest. Additionally, as part of this exchange, $200,000 was paid down on the note payable to the special limited partner, the interest rate on this note was reduced to 10 percent from 12 percent, and the term of the note was shortened. Note 6—Transactions With Affiliates At December 31, 20X2, the Partnership owed partners or affiliated entities $788,780. During 20X2 a management fee of $50,700 was paid to a partner. 48 © 2018 Association of International Certified Professional Accountants. All rights reserved. CHARLTON CONTRACTORS, INC. FINANCIAL STATEMENTS AS OF AND FOR THE YEARS ENDED DECEMBER 31, 20X2, AND 20X1 Circumstances include the following: • The financial statements are for a general contractor. The general contractor has elected to be treated as a small business corporation (S corporation) under Internal Revenue Code Section 1362. • The financial statements are prepared on the accrual method of accounting used for federal income tax purposes. • The financial statements are comparative statements as of and for the years ended December 31, 20X2, and 20X1. The financial statements illustrate the following: • The financial statements include a statement of cash flows, which is not required for financial state‐ ments prepared when applying the tax‐basis of accounting. • Information about contract receivables (Note 2), billings in excess of costs on uncompleted contracts (Note 5), and backlog (Note 7) are disclosures typically made in the financial statements of construction contractors. However, the aging summary of contract receivables is not usually disclosed. In this situa‐ tion, the preparer concluded that the information is relevant to the financial statement users. • The information on accounts payable and accruals is not required but has been included because the preparer concluded that users of the financial statements find it meaningful. • Accounting principles generally accepted in the United States of America (GAAP) requires a summary of future minimum lease payments, which usually is presented in a schedule. Because the entity’s lease commitments are not complex, this information has been summarized in narrative form, which is ac‐ ceptable for financial statements prepared on the tax‐basis of accounting. © 2018 Association of International Certified Professional Accountants. All rights reserved. 49 Charlton Contractors, Inc. Statements of Assets, Liabilities and Equity Tax‐Basis December 31, 20X2 and 20X1 20X2 20X1 Assets Current Assets Cash and cash equivalents $ 3,078,966 $ 3,608,930 Accounts receivable—contract (Note 2) 2,409,554 1,422,268 Advances to officers 7,812 — Inventory 287,714 196,200 Total current assets 5,784,046 5,227,398 Property and Equipment Machinery and equipment 1,694,980 1,710,828 Transportation equipment 384,790 395,042 Office furniture and equipment 162,454 163,034 Leasehold improvements 363,798 363,798 Total cost 2,606,022 2,632,702 Accumulated depreciation and amortization (Note 3) (2,362,850) (2,343,812) Net property and equipment 243,172 288,890 Other Assets Cash surrender value of officers’ life insurance 24,454 23,610 Miscellaneous 1,460 20,766 Total other assets 25,914 44,376 Total assets $ 6,053,132 $ 5,560,664 See accompanying notes to financial statements. 50 © 2018 Association of International Certified Professional Accountants. All rights reserved. Charlton Contractors, Inc. Statements of Assets, Liabilities and Equity Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Liabilities and Stockholders’ Equity Current Liabilities Accounts payable and accruals (Note 4) $ 548,646 $ 288,904 Billings in excess of costs on uncompleted con‐ tracts (Note 5) 976,754 445,108 Total current liabilities 1,525,400 734,012 Contributed Capital Common stock, $1,000 par value; 100 shares authorized; 60 shares issued and outstanding 60,000 60,000 Retained Earnings 4,467,732 4,766,652 Total stockholders’ equity 4,527,732 4,826,652 Total liabilities and stockholders’ equity $ 6,053,132 $ 5,560,664 See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 51 Charlton Contractors, Inc. Statements of Operations and Retained Earnings Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Contract revenue $ 7,009,498 $ 8,116,380 Cost of contract revenue Direct costs Materials and supplies 1,710,330 1,729,310 Salaries and wages 1,184,132 1,264,664 Subcontracts 1,670,596 1,838,942 Other 99,486 92,560 4,664,544 4,925,476 Indirect costs 813,520 967,278 5,478,064 5,892,754 Gross profit 1,531,434 2,223,626 General and administrative expenses Salaries and wages 1,298,552 2,139,444 Profit‐sharing plan contribution — 6,138 Other 596,938 539,786 1,895,490 2,685,368 Operating loss (364,056) (461,742) Financing income 88,148 132,590 Net loss (275,908) (329,152) Retained earnings, beginning of year 4,766,652 5,255,804 Distributions to stockholders (23,012) (160,000) Retained earnings, end of year $ 4,467,732 $ 4,766,652 See accompanying notes to financial statements. 52 © 2018 Association of International Certified Professional Accountants. All rights reserved. Charlton Contractors, Inc. Statements of Cash Flows Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Cash flows from operating activities Net loss $ (275,908) $ (329,152) Noncash items included in net loss: Depreciation 45,718 60,204 (Increase) decrease in: Contract receivables (987,286) 2,103,570 Inventory (91,514) (3,260) Cash surrender of officers’ life insurance (844) (1,200) Other assets — (408) Increase (decrease) in: Accounts payable and accruals 259,742 (100,832) Billings in excess of costs on uncompleted contracts 531,646 (895,508) Net cash (used) provided by operat‐ ing activities (518,446) 833,414 Cash flows from investing activities Property and equipment purchases — (60,000) Advances to officers (7,812) — Redemption of certificates of deposit — 2,132,038 Decrease in miscellaneous assets 19,306 — Net cash provided by investing ac‐ tivities 11,494 2,072,038 Cash flows from financing activities Distributions to stockholders (23,012) (160,000) Net (decrease) increase in cash and cash equiva‐ lents (529,964) 2,745,452 Cash and cash equivalents, beginning of year 3,608,930 863,478 Cash and cash equivalents, end of year $ 3,078,966 $ 3,608,930 See accompanying notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 53 Charlton Contractors, Inc. Notes to Financial Statements Tax‐Basis December 31, 20X2 and 20X1 Note 1—Summary of Significant Accounting Policies Nature of Operations Charlton Contractors is a general contractor primarily engaged in the construction of commercial and multifami‐ ly residential projects in the San Diego metropolitan area. Basis of Accounting The accompanying financial statements have been prepared on the accrual method of accounting used for fed‐ eral income tax purposes, which is a comprehensive basis of accounting other than accounting principles gener‐ ally accepted in the United States of America (GAAP). If the accompanying financial statements were prepared in conformity with GAAP, contract revenue and costs would be recognized under the percentage‐of‐completion method of accounting, an allowance for uncollectible accounts receivable would be established, property and equipment would be depreciated over their estimated useful lives, and the related party lease would be capitalized as an asset and liability. The Corporation has elected to be treated as a small business corporation (S corporation) under Internal Reve‐ nue Code Section 1362. This election provides that, in lieu of corporate income taxes, the taxable items and credits pass directly to the stockholders. Therefore, these financial statements do not include federal or state in‐ come taxes that would otherwise be applicable. The Corporation uses the accrual completed contract method to recognize construction revenue. That method of accounting recognizes contract revenue and costs when a contract is completed or substantially completed. A contract is considered substantially completed when all costs except insignificant items have been incurred and the installation has been accepted by the customer. Contract costs include all direct material and labor costs and those indirect costs related to contract perfor‐ mance, such as rent, depreciation, maintenance, and insurance. Indirect costs are allocated based on contract revenue. General and administrative costs are charged to expenses as incurred. Amounts billed in excess of costs are classified as current liabilities under billings in excess of cost on uncom‐ pleted contracts. Contract retentions are included in contract receivables. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Cash and Cash Equivalents Cash and cash equivalents consist of highly liquid investments with a maturity of three months or less when pur‐ chased. 54 © 2018 Association of International Certified Professional Accountants. All rights reserved. At December 31, 20X2, and 20X1, the Corporation had on deposit with several banks amounts in excess of Fed‐ eral Deposit Insurance Corporation insurance limits. The Corporation has not experienced any losses in such ac‐ counts. The Corporation believes it is not exposed to any significant credit risk on cash and cash equivalents. Contract Receivables Contract receivables, including retentions, are recorded as progress billings and rendered in accordance with the provisions of the contracts. The Corporation uses the direct write‐off method to record uncollectible accounts in compliance with the Internal Revenue Code. Inventory Inventory is valued at the lower of cost, based on the first in, first out method, or market. Property and Equipment Property and equipment are recorded at cost and depreciated using principally accelerated methods. Leasehold improvements are amortized over the life of the related leases or their estimated useful lives, whichever is shorter. Property and equipment are depreciated over the following recovery periods: Machinery and equipment 5 years Transportation equipment 5 years Office furniture and equipment 5–7 years Leasehold improvements 10–31.5 years Expenditures for maintenance and repairs that do not materially extend the lives of the assets are charged to earnings. When property or equipment is sold or otherwise disposed of, the cost and related accumulated de‐ preciation are removed from the respective accounts, and the resulting gain or loss is reflected in earnings. Profit‐Sharing Plan The Corporation adopted a profit‐sharing plan effective November 22, 19V4. Substantially all full‐time employ‐ ees are eligible to participate. The Corporation’s contributions on behalf of its employees are determined annu‐ ally by the board of directors. The Corporation did not make a contribution for 20X2. Profit‐sharing contributions were $6,138 for the year ended December 31, 20X1. Statement of Cash Flows For purposes of the statement of cash flows, cash and cash equivalents include money market accounts and op‐ erating bank accounts. The Corporation did not pay any interest expense for 20X2 and 20X1. Income Taxes © 2018 Association of International Certified Professional Accountants. All rights reserved. 55 The Corporation, with the consent of its shareholders, has elected, in accordance with the Internal Revenue Code, to be treated as an S corporation. In lieu of federal income taxes, the shareholders of an S corporation are taxed on their proportionate share of the corporation’s taxable income. Therefore, no provision for federal in‐ come taxes has been included in these financial statements. California law generally conforms to federal law ex‐ cept for a 1.5 percent tax imposed on S corporation’s earnings. The Corporation is subject to tax in other states. Deferred income taxes have not been recognized in these financial statements because the amount of deferred taxes is not considered material. The Corporation does not recognize a liability for uncertain tax positions until agreement and settlement is reached with the taxing authority. Tax returns filed for the tax years ending from December 31, 20Y9, through current are still subject to examination by federal and state tax authorities. Subsequent Events The Corporation has evaluated subsequent events from the date of the statement of assets, liabilities, and equi‐ ty—tax‐basis through March 12, 20X3, the date on which the financial statements were available to be issued, and determined that there are no items to disclose. Note 2—Contract Receivables An aging summary of contract receivables at December 31, is as follows: 20X2 20X1 Billed Current $ 1,131,718 $ 364,284 30 days 486,854 306,318 60 days 189,138 79,914 90 days and over 129,326 133,272 1,937,036 883,788 Unbilled retentions 456,512 444,252 Unbilled amounts on complet‐ ed contracts 16,006 94,228 Totals $ 2,409,554 $ 1,422,268 56 © 2018 Association of International Certified Professional Accountants. All rights reserved. Completed and uncompleted contract receivables at December 31, are as follows: 20X2 20X1 Completed contracts Billed, including retentions $ 906,052 $ 581,760 Unbilled retentions 116,772 125,206 Unbilled amounts on completed con‐ tracts 16,006 94,228 Uncompleted contracts Uncompleted contracts billed 1,030,984 302,028 Unbilled retentions 339,740 319,046 Totals $ 2,409,554 $ 1,422,268 Receivables written off as uncollectible totaled $30,158 for the year ended December 31, 20X2, and $2,000 for the year ended December 31, 20X1. Recoveries of receivables written off an uncollectible totaled $17,000 for the year ended December 31, 20X1. Note 3—Depreciation and Amortization The accumulated depreciation and amortization balances at December 31, are as follows: 20X2 20X1 Machinery and equipment $ 1,689,162 $ 1,701,064 Transportation equipment 308,130 296,002 Office furniture and equipment 161,612 160,440 Leasehold improvements 203,946 186,306 Totals $ 2,362,850 $ 2,343,812 © 2018 Association of International Certified Professional Accountants. All rights reserved. 57 Note 4—Accounts Payable and Accruals Accounts payable and accruals consist of the following at December 31: 20X2 20X1 Trade accounts payable $ 343,222 $ 157,726 Subcontract payables 156,130 86,104 Accrued payroll 40,626 39,814 Accrued and withheld payroll taxes 3,124 860 Sales tax payable 5,544 4,400 Totals $ 548,646 $ 288,904 Note 5—Billings in Excess of Costs on Uncompleted Contracts Billings in excess of costs on uncompleted contracts at December 31 are as follows: 20X2 20X1 Billings on uncompleted contracts $ 4,320,008 $ 2,258,286 Costs incurred on uncompleted contracts (3,343,254) (1,813,178) Billings in excess of costs on un‐ completed contracts $ 976,754 $ 445,108 Note 6—Commitment Under Lease Agreement On December 15, 20V6, the Corporation signed a lease with its stockholders for an office and production facility located in Mira Mesa, California. The facility lease is for 25 years, terminating December 15, 20YY. The base an‐ nual rent was $343,000 for 20X2 and 20X1. Increases in the base annual rent are to be based on the consumer price index, not to exceed 6 percent. The stockholders pay the real estate taxes and the Corporation pays all maintenance charges and operating costs for the facility. The rental payments include an escalation for increas‐ es in real estate taxes. At December 31, 20X2, the aggregate minimum lease payments under this lease were approximately $2,800,000. Future minimum lease payments are scheduled to be approximately $350,000 for each of the next 5 years. Rent expense for each of the years ended December 31, 20X2, and 20X1 was $353,000. Note 7—Backlog The estimated gross revenue on work to be performed on signed contracts was $3,467,894 at December 31, 20X2, and $4,183,624 at December 31, 20X1. In addition to the backlog of work to be performed, there was gross revenue to be reported in future periods under the accrual completed contract method used by the com‐ pany of $1,548,173 at December 31, 20X2, and $1,668,961 at December 31, 20X1. 58 © 2018 Association of International Certified Professional Accountants. All rights reserved. MARGARET ROSE 1964 IRREVOCABLE TRUST FINANCIAL STATEMENTS AS OF AND FOR THE YEARS ENDED DECEMBER 31, 20X2 AND 20X1 Circumstances include the following: • The financial statements are for an irrevocable trust. • The financial statements are prepared on the cash method of accounting used for federal income tax purposes. • The financial statements are comparative as of and for the years ended December 31, 20X2, and 20X1. The financial statements illustrate the following: • The financial statements do not include a statement of cash flows, which is acceptable for a presenta‐ tion when applying the tax‐basis of accounting. The preparer concluded that a statement of cash flows is not necessary because (1) the users of the financial statements are more interested in asset balances ra‐ ther than cash flows, and (2) if cash flow information is needed, it could easily be derived from the in‐ formation presented. © 2018 Association of International Certified Professional Accountants. All rights reserved. 59 Margaret Rose 1964 Irrevocable Trust Statements of Assets, Liabilities and Corpus Tax‐Basis December 31, 20X2 and 20X1 20X2 20X1 Assets Marketable securities—at cost $ 1,830,087 $ 1,560,681 (market value $2,746,922 and $2,353,519 in 20X2 and 20X1, respectively) Purchased interest 340 — Total assets $ 1,830,427 $ 1,560,681 Liabilities and Corpus Due to beneficiary 157,946 75,302 Total liabilities 157,946 75,302 Corpus 1,672,481 1,485,379 Total liabilities and corpus $ 1,830,427 $ 1,560,681 See accompanying notes. 60 © 2018 Association of International Certified Professional Accountants. All rights reserved. Margaret Rose 1964 Irrevocable Trust Statements of Revenues, Expenses and Corpus Tax‐Basis Years Ended December 31, 20X2 and 20X1 20X2 20X1 Revenues Dividends $ 76,139 $ 69,044 Interest 4,729 4,457 Gain (loss) on sale of securities, net 201,370 46,094 Total revenues 282,238 119,595 Expenses Accounting fee 7,500 7,000 Bank custodian fee 3,018 2,588 Investment counsel fee 9,474 7,588 Total expenses 19,992 17,176 Income before provision for income taxes 262,246 102,419 Provision for income taxes 75,144 22,207 Net income 187,102 80,212 Corpus, beginning of year 1,485,379 1,405,167 Corpus, end of year $ 1,672,481 $ 1,485,379 See notes to financial statements. © 2018 Association of International Certified Professional Accountants. All rights reserved. 61 Margaret Rose 1964 Irrevocable Trust Notes to Financial Statements Tax‐Basis For the Years Ended December 31, 20X2 and 20X1 Note 1—Nature of Trust and Significant Accounting Policies Nature of Trust The Margaret Rose 1964 Irrevocable Trust (the Trust) was created on May 5, 1964, by Michael Thomas. Distribu‐ tion of 25 percent of principal is to be made at age 30, and 33 1/3 percent at age 35. After January 1, 19X2, the beneficiary may request annually a noncumulative distribution of the larger of $5,000 or 5 percent of the princi‐ pal as of the end of the year. Upon death of the beneficiary, the Trust is to be distributed according to the terms of her will. The trustee has discretionary power to distribute principal or income, or both. Basis of Accounting The accompanying financial statements have been prepared on the cash method of accounting used for federal income tax purposes, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America (GAAP). Consequently, certain revenues and expenses are recognized in the determination of income in different reporting periods than they would be if the financial statements were prepared in conformity with GAAP. Although income tax rules are used to determine the timing of the re‐ porting of revenues and expenses, nontaxable revenues and nondeductible expenses are included in the deter‐ mination of net income. Use of Estimates The preparation of financial statements in conformity with the cash method of accounting used for federal in‐ come tax purposes requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Marketable Securities Marketable securities are carried at cost. The cost of marketable securities sold is based on cost as determined under the specific identification method. Income Taxes The Trust does not recognize a liability for uncertain tax positions. Tax returns filed for the tax years ending from December 31, 20Y9, through current are still subject to examination by federal and state tax authorities. Subsequent Events In preparing these financial statements, the Trust has evaluated events and transactions for potential recogni‐ tion or disclosure through April 1, 20X3, the date the financial statements were available to be issued, and de‐ termined that there are no items to disclose. 62 © 2018 Association of International Certified Professional Accountants. All rights reserved. Note 2—Marketable Securities At December 31, 20X2, and 20X1, gross unrealized gains and losses pertaining to marketable securities in the portfolio were as follows: Cost Market Value Unrealized Gains Losses 20X2 Equities $ 948,766 $ 1,790,955 $ 854,565 $ 12,376 Fixed income and money market 881,321 955,967 119,362 44,716 Total $ 1,830,087 $ 2,746,922 $ 973,927 $ 57,092 Market Unrealized Cost Value Gains Losses 20X1 Equities $ 891,685 $ 1,611,732 $ 757,910 $ 37,863 Fixed income and money market 668,996 741,787 72,791 — Total $ 1,560,681 $ 2,353,519 $ 830,701 $ 37,863 Note 3—Income Taxes The income tax expense shown in the accompanying financial statements differs from the expense that would result from applying statutory tax rates to income before income taxes primarily because of capital gains. Distributions to beneficiaries are allowed as a deduction from taxable income for the trust in the year in which such distributions are made. The provision for income taxes for the years ended December 31 consists of: 20X2 20X1 Federal $ 63,200 $ 17,874 State 11,944 4,333 Provision for income taxes $ 75,144 $ 22,207

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

i've been cooking more and more for my husband since he was hospitalized after a heart attack last july, but it's getting to be too complicated. i'm looking for a cookbook that will have recipes with affordable ingredients that i can use, as well as a meal plan guide for like 4 weeks that will help me plan recipes for him in a smart way. do you have a recommendation?

Book Cover of Bobby Parrish, Dessi Parrish - FlavCity's 5 Ingredient Meals: 50 Easy & Tasty Recipes Using the Best Ingredients from the Grocery Store (Heart Healthy Budget Cooking) FlavCity's 5 Ingredient Meals 50 Easy & Tasty Recipes Using the Best Ingredients from the Grocery Store By Bobby Parrish - Passionate home cook & Food Network champion + 1 more 4.72 |2020|208 Pages StraightforwardInformativeEducational FlavCity Five Ingredient Meals For Easy Weeknight Dinners and More! #1 Bestseller in Slow Cooker Recipes, Heart Healthy Cooking, Diets & Weight Loss, Gluten-Free Diets, Budget Cooking, Green Housekeeping, and Allergies, Special Conditions, Cooking Methods, Regional & International, Soul Food, and Quick & Easy. You don’t have to be a chef to create delicious food. In fact, it only takes a handful of ingredients to make mouthwatering and easy weeknight dinners. This cookbook by Bobby and Dessi Parrish is packed full of simple, healthy dinner ideas that even newbie cooks find easy to make. An introduction to easy meals and cooking. ...more Recommended for: Home cooks seeking simple, healthy dinner ideas with minimal ingredients. Beginner to Intermediate readers. You will: Create delicious food with a handful of ingredients Cooking doesn’t have to be complicated Tips for smarter grocery shopping Cooking with a combination of store-bought and fresh items Insight into healthier food choices and product selection Reviews: Simple Recipes Healthy Ingredients Quick Tips Family Passion Grocery Shopping Tips Small Text Missing App #16 Best Seller in Budget Cooking on Amazon Added to Reading List by Nepluz Nepluz Read Amazon reviews | Rate or write a review 2 Book Cover of Ingrid Lamarr - The 15-Minute Air Fryer Cookbook for Beginners: 1800+ Days of Super Easy, Tasty and Budget-Friendly, Low-fat, Air Fryer Recipes for Weight Loss & Eating Healthier. Tips for Perfect Frying and Baking The 15-Minute Air Fryer Cookbook for Beginners 1800+ Days of Super Easy, Tasty and Budget-Friendly, Low-fat, Air Fryer Recipes for Weight Loss & Eating Healthier. Tips for Perfect Frying and Baking By Ingrid Lamarr - Renowned best-selling author and culinary enthusiast 4.66 |2024|111 Pages 🎁 Discover now the 4 EXCLUSIVE BONUSES included: a complete meal prep guide, a conversion chart, Air Fryer maintenance, and a guide to avoiding common mistakes! 🎁. ⭐ "Transform your kitchen and diet in just 15 minutes with the Air Fryer!" ⭐. Are you ready to say goodbye to excess oil and effortlessly prepare healthy and delicious meals? Do you want to discover the secret to crispy, flavorful dishes while keeping calorie intake and costs under control? Revolutionize your kitchen with "The 15-Minute Air Fryer Cookbook for Beginners" by Ingrid Lamarr, now enriched with an innovative visual experience through QR codes! ...more Recommended for: Culinary enthusiasts seeking healthy, simple, and economical cooking solutions. Beginner to Intermediate readers. Reviews: Tasty Recipes Healthy Meals Budget-Friendly Meal Prep Guide Conversion Chart Light Print Hard to Discern Photos #50 Best Seller in Fryer Recipes on Amazon Read Amazon reviews | Rate or write a review 3 Book Cover of Rosy Luke - Budget-Friendly Diabetic Cookbook for Beginners: Low-Carb, Quick & Tasty Recipes to Master Pre-Diabetes, Type 1 & 2 Diabetes with Ease. Includes 4-Week Smart Meal Plan with Affordable Ingredients Budget-Friendly Diabetic Cookbook for Beginners Low-Carb, Quick & Tasty Recipes to Master Pre-Diabetes, Type 1 & 2 Diabetes with Ease. Includes 4-Week Smart Meal Plan with Affordable Ingredients By Rosy Luke - Passionate advocate for healthy living and delicious food 4.61 |2024|65 Pages EducationalInformativePractical 🎁 Unlock Exclusive EXTRA CONTENTS! 🎁📘 1# Medication Log Books: Stay organized and on track with your diabetes medications effortlessly. 📝 2# Food Journal Log Book: Track your daily meals and snacks to stay mindful of your dietary choices. 📈 3# Blood Sugar Log Book: Monitor and manage your blood sugar levels effectively with my handy log book. 🍽️ 4# Recipe Remix: Transform your favorite dishes into diabetic-friendly delights with my expert tips. 🌟 5# Dine Out Smart Guide: Master the art of dining out while keeping your blood sugar levels in check with my essential tips. Check within your book how to get them! ...more Recommended for: Healthy living enthusiasts seeking delicious and budget-friendly diabetic recipes. Beginner to Intermediate readers. You will: Empower yourself with basic diabetes education and nutritional insights. Save time in the kitchen with quick and easy recipes tailored to busy lifestyles. Use common, affordable ingredients easily found in regular supermarkets. Explore a diverse range of mouthwatering recipes designed to satisfy your taste buds. Prepare recipes suitable for the entire family, reducing the need to cook separate meals. Reviews: Educational Value No-Stress Recipes Cost-Effective Solutions Variety and Taste Family-Friendly Options Too much education High-carb recipes Read Amazon reviews | Rate or write a review Rate or write a review LOW CHOLESTEROL DIET COOKBOOK ON A BUDGET FOR BEGINNERS A Complete guide to Heart Healthy Budget-Friendly recipes with a 30 days meal plan By ALLISON WINSTON 4.16 |2024|90 Pages Have you ever wondered if you could go on a gastronomic journey that satisfied your palate and filled your heart at the same time? Welcome to "LOW CHOLESTEROL DIET COOKBOOK ON A BUDGET FOR BEGINNERS," a cookbook that aims to refute the stereotype that eating a healthy diet is monotonous or constrictive. We want you to challenge the conventional wisdom about what it means to enjoy food that loves you back as we turn the pages of this culinary adventure. Uncover Delicious Health: Indulge in a selection of 30 delectable days, each chock-full of meals that skillfully combine taste and nutrient-denseness. Every meal on the heart-healthy menu, from the refreshing crispness of Cucumber Mint Infused Water to the cozy embrace of Lentil and Vegetable Soup, is a tribute to the variety of flavors that are accessible. Advantages That Go Beyond Taste:. Enhanced Vitality: Fuel your days with meals high in nutrients that promote your general health. Cost-Effective Genius: Acquire the skill of astute supermarket shopping and cost-effective food preparation without sacrificing flavor. 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{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== i've been cooking more and more for my husband since he was hospitalized after a heart attack last july, but it's getting to be too complicated. i'm looking for a cookbook that will have recipes with affordable ingredients that i can use, as well as a meal plan guide for like 4 weeks that will help me plan recipes for him in a smart way. do you have a recommendation? {passage 0} ========== Book Cover of Bobby Parrish, Dessi Parrish - FlavCity's 5 Ingredient Meals: 50 Easy & Tasty Recipes Using the Best Ingredients from the Grocery Store (Heart Healthy Budget Cooking) FlavCity's 5 Ingredient Meals 50 Easy & Tasty Recipes Using the Best Ingredients from the Grocery Store By Bobby Parrish - Passionate home cook & Food Network champion + 1 more 4.72 |2020|208 Pages StraightforwardInformativeEducational FlavCity Five Ingredient Meals For Easy Weeknight Dinners and More! #1 Bestseller in Slow Cooker Recipes, Heart Healthy Cooking, Diets & Weight Loss, Gluten-Free Diets, Budget Cooking, Green Housekeeping, and Allergies, Special Conditions, Cooking Methods, Regional & International, Soul Food, and Quick & Easy. You don’t have to be a chef to create delicious food. In fact, it only takes a handful of ingredients to make mouthwatering and easy weeknight dinners. This cookbook by Bobby and Dessi Parrish is packed full of simple, healthy dinner ideas that even newbie cooks find easy to make. An introduction to easy meals and cooking. ...more Recommended for: Home cooks seeking simple, healthy dinner ideas with minimal ingredients. Beginner to Intermediate readers. You will: Create delicious food with a handful of ingredients Cooking doesn’t have to be complicated Tips for smarter grocery shopping Cooking with a combination of store-bought and fresh items Insight into healthier food choices and product selection Reviews: Simple Recipes Healthy Ingredients Quick Tips Family Passion Grocery Shopping Tips Small Text Missing App #16 Best Seller in Budget Cooking on Amazon Added to Reading List by Nepluz Nepluz Read Amazon reviews | Rate or write a review 2 Book Cover of Ingrid Lamarr - The 15-Minute Air Fryer Cookbook for Beginners: 1800+ Days of Super Easy, Tasty and Budget-Friendly, Low-fat, Air Fryer Recipes for Weight Loss & Eating Healthier. Tips for Perfect Frying and Baking The 15-Minute Air Fryer Cookbook for Beginners 1800+ Days of Super Easy, Tasty and Budget-Friendly, Low-fat, Air Fryer Recipes for Weight Loss & Eating Healthier. Tips for Perfect Frying and Baking By Ingrid Lamarr - Renowned best-selling author and culinary enthusiast 4.66 |2024|111 Pages 🎁 Discover now the 4 EXCLUSIVE BONUSES included: a complete meal prep guide, a conversion chart, Air Fryer maintenance, and a guide to avoiding common mistakes! 🎁. ⭐ "Transform your kitchen and diet in just 15 minutes with the Air Fryer!" ⭐. Are you ready to say goodbye to excess oil and effortlessly prepare healthy and delicious meals? Do you want to discover the secret to crispy, flavorful dishes while keeping calorie intake and costs under control? Revolutionize your kitchen with "The 15-Minute Air Fryer Cookbook for Beginners" by Ingrid Lamarr, now enriched with an innovative visual experience through QR codes! ...more Recommended for: Culinary enthusiasts seeking healthy, simple, and economical cooking solutions. Beginner to Intermediate readers. Reviews: Tasty Recipes Healthy Meals Budget-Friendly Meal Prep Guide Conversion Chart Light Print Hard to Discern Photos #50 Best Seller in Fryer Recipes on Amazon Read Amazon reviews | Rate or write a review 3 Book Cover of Rosy Luke - Budget-Friendly Diabetic Cookbook for Beginners: Low-Carb, Quick & Tasty Recipes to Master Pre-Diabetes, Type 1 & 2 Diabetes with Ease. Includes 4-Week Smart Meal Plan with Affordable Ingredients Budget-Friendly Diabetic Cookbook for Beginners Low-Carb, Quick & Tasty Recipes to Master Pre-Diabetes, Type 1 & 2 Diabetes with Ease. Includes 4-Week Smart Meal Plan with Affordable Ingredients By Rosy Luke - Passionate advocate for healthy living and delicious food 4.61 |2024|65 Pages EducationalInformativePractical 🎁 Unlock Exclusive EXTRA CONTENTS! 🎁📘 1# Medication Log Books: Stay organized and on track with your diabetes medications effortlessly. 📝 2# Food Journal Log Book: Track your daily meals and snacks to stay mindful of your dietary choices. 📈 3# Blood Sugar Log Book: Monitor and manage your blood sugar levels effectively with my handy log book. 🍽️ 4# Recipe Remix: Transform your favorite dishes into diabetic-friendly delights with my expert tips. 🌟 5# Dine Out Smart Guide: Master the art of dining out while keeping your blood sugar levels in check with my essential tips. Check within your book how to get them! ...more Recommended for: Healthy living enthusiasts seeking delicious and budget-friendly diabetic recipes. Beginner to Intermediate readers. You will: Empower yourself with basic diabetes education and nutritional insights. Save time in the kitchen with quick and easy recipes tailored to busy lifestyles. Use common, affordable ingredients easily found in regular supermarkets. Explore a diverse range of mouthwatering recipes designed to satisfy your taste buds. Prepare recipes suitable for the entire family, reducing the need to cook separate meals. Reviews: Educational Value No-Stress Recipes Cost-Effective Solutions Variety and Taste Family-Friendly Options Too much education High-carb recipes Read Amazon reviews | Rate or write a review Rate or write a review LOW CHOLESTEROL DIET COOKBOOK ON A BUDGET FOR BEGINNERS A Complete guide to Heart Healthy Budget-Friendly recipes with a 30 days meal plan By ALLISON WINSTON 4.16 |2024|90 Pages Have you ever wondered if you could go on a gastronomic journey that satisfied your palate and filled your heart at the same time? 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You must respond only using information provided in the prompt. Explain your reasoning using at least three supporting points.

Does Malawi support big families?

CHAPTER THREE: POLICY PRIORITY AREAS The Policy has the following six priority areas: a. Managing population growth; b. Inclusion of vulnerable and marginalized populations; c. Climate change adaptation and resilience; d. Information Management; e. Financing; and f. Capacity strengthening, linkages, and coordination. Priority Area 1: Managing Population Growth Managing population growth is about applying a rights-based approach to making the environment conducive for women and men to decide on the number of children they would like to have. The goal is to reduce population growth rate to levels that are sustainable. This is crucial in ensuring that Malawi achieves its long-term aspiration of being an inclusively wealthy and self-reliant nation, as it will contribute to accelerating the attainment of the country's lowermiddle-income economy status by 2030. The population of Malawi has been growing rapidly due to high fertility. This priority area addresses drivers of rapid population growth, use of modern contraceptive methods especially among the youth, child survival, and early childbearing. Policy Statements a) The Policy will ensure that the fertility decline is accelerated. Strategies: i. Intensify population education campaigns including adopting modern family planning practices of having few children and use of contraception; ii. Identify and implement optimum models for providing quality reproductive health services including modern family planning to both in and out of school youth to reduce unmet need for family planning information and services and teenage pregnancies; and iii. Strengthen implementation of Malawi’s Costed Implementation Plan for Family Planning, FP2030, and ICPD25 commitments. b) The Policy will ensure that child and maternal mortality is reduced. Strategies: i. Support child immunization campaigns; 14 ii. Promote skilled care attendance before, during, and after birth in population messages; and iii. Promote child and maternal nutrition for the special 1,000 days. c) The Policy will ensure that on-set of childbearing is delayed (No children by children). Strategies: i. Eliminate child marriages; ii. Scaling up efforts to reduce teenage pregnancies: iii. Intensify comprehensive sexuality education for in and out of school youth; iv. Keep girls in school for at least twelve years; v. Strengthen implementation of the school re-admission policy; and vi. Identify and implement optimum models for providing quality RH services including modern family planning to both in and out of school youth to reduce unmet need for family planning information and services and teenage pregnancies.

You must respond only using information provided in the prompt. Explain your reasoning using at least three supporting points. CHAPTER THREE: POLICY PRIORITY AREAS The Policy has the following six priority areas: a. Managing population growth; b. Inclusion of vulnerable and marginalized populations; c. Climate change adaptation and resilience; d. Information Management; e. Financing; and f. Capacity strengthening, linkages, and coordination. Priority Area 1: Managing Population Growth Managing population growth is about applying a rights-based approach to making the environment conducive for women and men to decide on the number of children they would like to have. The goal is to reduce population growth rate to levels that are sustainable. This is crucial in ensuring that Malawi achieves its long-term aspiration of being an inclusively wealthy and self-reliant nation, as it will contribute to accelerating the attainment of the country's lowermiddle-income economy status by 2030. The population of Malawi has been growing rapidly due to high fertility. This priority area addresses drivers of rapid population growth, use of modern contraceptive methods especially among the youth, child survival, and early childbearing. Policy Statements a) The Policy will ensure that the fertility decline is accelerated. Strategies: i. Intensify population education campaigns including adopting modern family planning practices of having few children and use of contraception; ii. Identify and implement optimum models for providing quality reproductive health services including modern family planning to both in and out of school youth to reduce unmet need for family planning information and services and teenage pregnancies; and iii. Strengthen implementation of Malawi’s Costed Implementation Plan for Family Planning, FP2030, and ICPD25 commitments. b) The Policy will ensure that child and maternal mortality is reduced. Strategies: i. Support child immunization campaigns; 14 ii. Promote skilled care attendance before, during, and after birth in population messages; and iii. Promote child and maternal nutrition for the special 1,000 days. c) The Policy will ensure that on-set of childbearing is delayed (No children by children). Strategies: i. Eliminate child marriages; ii. Scaling up efforts to reduce teenage pregnancies: iii. Intensify comprehensive sexuality education for in and out of school youth; iv. Keep girls in school for at least twelve years; v. Strengthen implementation of the school re-admission policy; and vi. Identify and implement optimum models for providing quality RH services including modern family planning to both in and out of school youth to reduce unmet need for family planning information and services and teenage pregnancies. Does Malawi support big families?

You will respond using only the text provided. The response will include only small paragraphs of less than 5 sentences.

What are the capacities of the board mentioned that have the potential for abuse, that the text does not include a condition to account for?

ACTS OF 1949 AN ACT concerning public health, providing for State and local health officials and personnel, prescribing their powers and duties, estab- lishing a public health code and providing for the administration of public health laws, prescribing penalties, repealing certain laws, and declaring an emergency. ARTICLE 1. ADMINISTRATION OF PUBLIC HEALTH Part 1. State Board of Health Division 2. Powers and Duties Sec. 200. The state board of health is the superior health board of the state, to which all other health boards are subordinate. Sec. 201. The state board shall have supervision of the health and life of the citizens of the state and shall possess all powers necessary to fulfill the duties prescribed in the statutes and to bring action in the courts for the enforcement of health laws and health rules. Sec. 202. The state board may establish, operate and maintain branch offices, the number of which shall be determined by the board, the purpose and intent in authorizing the creation of said branch offices being to furnish a more comprehensive and effective health program to the people of the state and further to render additional assistance to all local health officials. The legislative intent of this provision is to author- ize such establishment as a means of assisting, but in no sense limiting the powers now possessed by all existing local health agencies. Sec. 203. For the purpose of providing facilities for branch offices the state board may, with the approval of the governor purchase real estate. For such purpose real estate may be leased. Structures may be remodeled, repaired, constructed and maintained except that no build- ing may be constructed upon property not owned in fee simple by the state. All deeds and leases shall be made to the State of Indiana for the use of the state board of health. Such procedures and powers shall be exercised under the provisions of Chapter 279 of the Acts of 1947 where the same are applicable. Sec. 204. The state board shall study the vital statistics and en- deavor to make intelligent and profitable use of the collected records of death and sickness among the people. Sec. 205. The state board may make sanitary inspections and sur- veys in all parts of the state and of all public buildings and institutions; and, after due notice, may enter upon and inspect private property in regard to the presence of cases of infectious and contagious diseases and the possible cause and source of diseases. Sec. 206. The state board may establish quarantine and may do and execute what is reasonable and necessary for the prevention and suppres- sion of disease. Sec. 207. The state board may order schools and churches closed and forbid public gatherings when deemed necessary to prevent and stop epidemics. Sec. 208. The state board may make an order condemning or abat- ing conditions causative of disease. Src. 209. The state board may enforce all laws and regulations eon- cerning the character and location of plumbing, drainage, water supply, disposal of sewage, lighting, heating and ventilation and all sanitary features of all public buildings and institutions. It may make regulations concerning any of the above in all instances where jurisdiction is not vested in some other state agency. Sec. 210. The state board shall provide facilities and personnel for investigation, research and dissemination of knowledge to the public concerning the health of persons of middle and advanced age and diseases common thereto, concerning dental public health and also concerning conditions in all places of employment within the state which may be re- sponsible for the development of occupational diseases. Sec. 211. On or before the first day of September, the state board shall make an annual report to the governor of its transactions and expenditures for the preceding fiscal year, with suggestions in regard to legislation deemed important to the public health. Sec. 212. The state board may by an affirmative vote of a majority of its members establish and from time to time amend and repeal reason- able rules in order to protect or to improve the public health in this state. The rules may concern but shall not be limited to: 1. nuisances dangerous to public health. 2. the pollution of any water supply other than where jurisdiction is in the Stream Pollution Control Board. 8. the disposition of excremental and sewage matter. 4. the control of fly and mosquito breeding places. 5. the detection, reporting, prevention, and control of diseases which affect public health. 6. the care of maternity and infant cases and the conduct of maternity homes. 7. the production, distribution, and sale of human food. 8. the conduct of camps. 9. standards of cleanliness of eating facilities for the public. 10. standards of cleanliness of sanitary facilities offered for public use. 11. the handling, disposal, disinterment, and reburial of dead human bodies. 12. vital statistics. 13. regulating and prescribing sanitary conditions and facilities in public buildings and grounds as illustrated by but not limited to plumbing, drainage, sewerage, water supply, lighting, heating, and ventilation other than where jurisdiction is vested by law in the Administrative Building Council. 14. the administration of the laws of this state which require an examination for the discovery of syphilis prior to the application for or the issuance of a marriage license. Sec. 218. The rules of the state board shall not be inconsistent with the provisions of this act or of any other law of this state. Sec. 214. The state board shall establish, amend, or repeal a rule in accordance with the provisions of the statutes of this state concerning the establishment and promulgation of rules. After promulgation, rules of the state board shall have the force and effect of law. Sec. 215. When, in the opinion of the state board, any local health authority shall fail or refuse to enforce the laws and regulations neces- sary to prevent and control the spread of communicable or infectious disease declared to be dangerous to the public health, or when, in the opinion of the state board, a public health emergency exists, the state board may enforce the rules and regulations of the state board within the territorial jurisdiction of such local health authorities, and for that pur- pose shall have and may exercise all the powers given by law to local health authorities. All expenses so incurred shall be a charge against the respective counties or cities. In such cases the failure or refusal of any local health officer or local health board to carry out and enforce the lawful orders and regulations of the state board shall be sufficient cause for the removal of such local health officer or the members of such local health board from office, and upon such removal the proper county or city authorities shall at once appoint a successor, other than the person or persons removed, as provided by law for original appointments. Sec. 216. The state board may remove any local health officer in the state either for intemperance, failure to collect vital statistics, obey rules, keep records, make reports, answer letters of inquiry of the state board concerning the health of the people or neglect of official duty. Sec. 217. No local health officer shall be removed by the state board except under the procedure provided by law for the removal of an officer or employee for cause by a state officer or agency. Sec. 218. Any health officer removed as herein provided shall be ineligible to hold the position of health officer for four years, and the vacancy shall be filled for the unexpired term in the same manner as the original appointment or employment. ; Src. 219. The state board shall have power and authority to estab- lish minimum qualifications for full-time local health officers and other full-time local health personnel which are not in conflict with the pro- visions of this act. Src. 220. Whenever a hearing is provided for or authorized to be held by the state board, the said state board may designate a person as its agent or representative to conduct such hearings. Such agent or repre- sentative shall conduct such hearing in the manner provided by law. Sec. 221. The state board may adopt rules and regulations for the efficient enforcement of any of the provisions of this act. Sec. 222. All valid rules and regulations heretofore made by the state board which are in force and effect on the effective date of this act are hereby continued in full force and effect until and unless amended or repealed as provided by law.

ACTS OF 1949 AN ACT concerning public health, providing for State and local health officials and personnel, prescribing their powers and duties, estab- lishing a public health code and providing for the administration of public health laws, prescribing penalties, repealing certain laws, and declaring an emergency. ARTICLE 1. ADMINISTRATION OF PUBLIC HEALTH Part 1. State Board of Health Division 2. Powers and Duties Sec. 200. The state board of health is the superior health board of the state, to which all other health boards are subordinate. Sec. 201. The state board shall have supervision of the health and life of the citizens of the state and shall possess all powers necessary to fulfill the duties prescribed in the statutes and to bring action in the courts for the enforcement of health laws and health rules. Sec. 202. The state board may establish, operate and maintain branch offices, the number of which shall be determined by the board, the purpose and intent in authorizing the creation of said branch offices being to furnish a more comprehensive and effective health program to the people of the state and further to render additional assistance to all local health officials. The legislative intent of this provision is to author- ize such establishment as a means of assisting, but in no sense limiting the powers now possessed by all existing local health agencies. Sec. 203. For the purpose of providing facilities for branch offices the state board may, with the approval of the governor purchase real estate. For such purpose real estate may be leased. Structures may be remodeled, repaired, constructed and maintained except that no build- ing may be constructed upon property not owned in fee simple by the state. All deeds and leases shall be made to the State of Indiana for the use of the state board of health. Such procedures and powers shall be exercised under the provisions of Chapter 279 of the Acts of 1947 where the same are applicable. Sec. 204. The state board shall study the vital statistics and en- deavor to make intelligent and profitable use of the collected records of death and sickness among the people. Sec. 205. The state board may make sanitary inspections and sur- veys in all parts of the state and of all public buildings and institutions; and, after due notice, may enter upon and inspect private property in regard to the presence of cases of infectious and contagious diseases and the possible cause and source of diseases. Sec. 206. The state board may establish quarantine and may do and execute what is reasonable and necessary for the prevention and suppres- sion of disease. Sec. 207. The state board may order schools and churches closed and forbid public gatherings when deemed necessary to prevent and stop epidemics. Sec. 208. The state board may make an order condemning or abat- ing conditions causative of disease. Src. 209. The state board may enforce all laws and regulations eon- cerning the character and location of plumbing, drainage, water supply, disposal of sewage, lighting, heating and ventilation and all sanitary features of all public buildings and institutions. It may make regulations concerning any of the above in all instances where jurisdiction is not vested in some other state agency. Sec. 210. The state board shall provide facilities and personnel for investigation, research and dissemination of knowledge to the public concerning the health of persons of middle and advanced age and diseases common thereto, concerning dental public health and also concerning conditions in all places of employment within the state which may be re- sponsible for the development of occupational diseases. Sec. 211. On or before the first day of September, the state board shall make an annual report to the governor of its transactions and expenditures for the preceding fiscal year, with suggestions in regard to legislation deemed important to the public health. Sec. 212. The state board may by an affirmative vote of a majority of its members establish and from time to time amend and repeal reason- able rules in order to protect or to improve the public health in this state. The rules may concern but shall not be limited to: 1. nuisances dangerous to public health. 2. the pollution of any water supply other than where jurisdiction is in the Stream Pollution Control Board. 8. the disposition of excremental and sewage matter. 4. the control of fly and mosquito breeding places. 5. the detection, reporting, prevention, and control of diseases which affect public health. 6. the care of maternity and infant cases and the conduct of maternity homes. 7. the production, distribution, and sale of human food. 8. the conduct of camps. 9. standards of cleanliness of eating facilities for the public. 10. standards of cleanliness of sanitary facilities offered for public use. 11. the handling, disposal, disinterment, and reburial of dead human bodies. 12. vital statistics. 13. regulating and prescribing sanitary conditions and facilities in public buildings and grounds as illustrated by but not limited to plumbing, drainage, sewerage, water supply, lighting, heating, and ventilation other than where jurisdiction is vested by law in the Administrative Building Council. 14. the administration of the laws of this state which require an examination for the discovery of syphilis prior to the application for or the issuance of a marriage license. Sec. 218. The rules of the state board shall not be inconsistent with the provisions of this act or of any other law of this state. Sec. 214. The state board shall establish, amend, or repeal a rule in accordance with the provisions of the statutes of this state concerning the establishment and promulgation of rules. After promulgation, rules of the state board shall have the force and effect of law. Sec. 215. When, in the opinion of the state board, any local health authority shall fail or refuse to enforce the laws and regulations neces- sary to prevent and control the spread of communicable or infectious disease declared to be dangerous to the public health, or when, in the opinion of the state board, a public health emergency exists, the state board may enforce the rules and regulations of the state board within the territorial jurisdiction of such local health authorities, and for that pur- pose shall have and may exercise all the powers given by law to local health authorities. All expenses so incurred shall be a charge against the respective counties or cities. In such cases the failure or refusal of any local health officer or local health board to carry out and enforce the lawful orders and regulations of the state board shall be sufficient cause for the removal of such local health officer or the members of such local health board from office, and upon such removal the proper county or city authorities shall at once appoint a successor, other than the person or persons removed, as provided by law for original appointments. Sec. 216. The state board may remove any local health officer in the state either for intemperance, failure to collect vital statistics, obey rules, keep records, make reports, answer letters of inquiry of the state board concerning the health of the people or neglect of official duty. Sec. 217. No local health officer shall be removed by the state board except under the procedure provided by law for the removal of an officer or employee for cause by a state officer or agency. Sec. 218. Any health officer removed as herein provided shall be ineligible to hold the position of health officer for four years, and the vacancy shall be filled for the unexpired term in the same manner as the original appointment or employment. ; Src. 219. The state board shall have power and authority to estab- lish minimum qualifications for full-time local health officers and other full-time local health personnel which are not in conflict with the pro- visions of this act. Src. 220. Whenever a hearing is provided for or authorized to be held by the state board, the said state board may designate a person as its agent or representative to conduct such hearings. Such agent or repre- sentative shall conduct such hearing in the manner provided by law. Sec. 221. The state board may adopt rules and regulations for the efficient enforcement of any of the provisions of this act. Sec. 222. All valid rules and regulations heretofore made by the state board which are in force and effect on the effective date of this act are hereby continued in full force and effect until and unless amended or repealed as provided by law. You will respond using only the text provided. The response will include only small paragraphs of less than 5 sentences. What are the capacities of the board mentioned that have the potential for abuse, that the text does not include a condition to account for?

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

I think marijuana will soon become legal in my state, at least medically. I have concerns about this. What are the pros and cons of marijuana legalization? Does marijuana even have a legitimate medical use? Where is this leading socially with all of this legalization?

The Evidence—and Lack Thereof—About Cannabis Research is still needed on cannabis’s risks and benefits. Although the use and possession of cannabis is illegal under federal law, medicinal and recreational cannabis use has become increasingly widespread. Thirty-eight states and Washington, D.C., have legalized medical cannabis, while 23 states and D.C. have legalized recreational use. Cannabis legalization has benefits, such as removing the product from the illegal market so it can be taxed and regulated, but science is still trying to catch up as social norms evolve and different products become available. In this Q&A, adapted from the August 25 episode of Public Health On Call, Lindsay Smith Rogers talks with Johannes Thrul, PhD, MS, associate professor of Mental Health, about cannabis as medicine, potential risks involved with its use, and what research is showing about its safety and efficacy. Do you think medicinal cannabis paved the way for legalization of recreational use? The momentum has been clear for a few years now. California was the first to legalize it for medical reasons [in 1996]. Washington and Colorado were the first states to legalize recreational use back in 2012. You see one state after another changing their laws, and over time, you see a change in social norms. It's clear from the national surveys that people are becoming more and more in favor of cannabis legalization. That started with medical use, and has now continued into recreational use. But there is a murky differentiation between medical and recreational cannabis. I think a lot of people are using cannabis to self-medicate. It's not like a medication you get prescribed for a very narrow symptom or a specific disease. Anyone with a medical cannabis prescription, or who meets the age limit for recreational cannabis, can purchase it. Then what they use it for is really all over the place—maybe because it makes them feel good, or because it helps them deal with certain symptoms, diseases, and disorders. Does cannabis have viable medicinal uses? The evidence is mixed at this point. There hasn’t been a lot of funding going into testing cannabis in a rigorous way. There is more evidence for certain indications than for others, like CBD for seizures—one of the first indications that cannabis was approved for. And THC has been used effectively for things like nausea and appetite for people with cancer. There are other indications where the evidence is a lot more mixed. For example, pain—one of the main reasons that people report for using cannabis. When we talk to patients, they say cannabis improved their quality of life. In the big studies that have been done so far, there are some indications from animal models that cannabis might help [with pain]. When we look at human studies, it's very much a mixed bag. And, when we say cannabis, in a way it's a misnomer because cannabis is so many things. We have different cannabinoids and different concentrations of different cannabinoids. The main cannabinoids that are being studied are THC and CBD, but there are dozens of other minor cannabinoids and terpenes in cannabis products, all of varying concentrations. And then you also have a lot of different routes of administration available. You can smoke, vape, take edibles, use tinctures and topicals. When you think about the explosion of all of the different combinations of different products and different routes of administration, it tells you how complicated it gets to study this in a rigorous way. You almost need a randomized trial for every single one of those and then for every single indication. What do we know about the risks of marijuana use? Cannabis use disorder is a legitimate disorder in the DSM. There are, unfortunately, a lot of people who develop a problematic use of cannabis. We know there are risks for mental health consequences. The evidence is probably the strongest that if you have a family history of psychosis or schizophrenia, using cannabis early in adolescence is not the best idea. We know cannabis can trigger psychotic symptoms and potentially longer lasting problems with psychosis and schizophrenia. It is hard to study, because you also don't know if people are medicating early negative symptoms of schizophrenia. They wouldn't necessarily have a diagnosis yet, but maybe cannabis helps them to deal with negative symptoms, and then they develop psychosis. There is also some evidence that there could be something going on with the impact of cannabis on the developing brain that could prime you to be at greater risk of using other substances later down the road, or finding the use of other substances more reinforcing. What benefits do you see to legalization? When we look at the public health landscape and the effect of legislation, in this case legalization, one of the big benefits is taking cannabis out of the underground illegal market. Taking cannabis out of that particular space is a great idea. You're taking it out of the illegal market and giving it to legitimate businesses where there is going to be oversight and testing of products, so you know what you're getting. And these products undergo quality control and are labeled. Those labels so far are a bit variable, but at least we're getting there. If you're picking up cannabis at the street corner, you have no idea what's in it. And we know that drug laws in general have been used to criminalize communities of color and minorities. Legalizing cannabis [can help] reduce the overpolicing of these populations. What big questions about cannabis would you most like to see answered? We know there are certain, most-often-mentioned conditions that people are already using medical cannabis for: pain, insomnia, anxiety, and PTSD. We really need to improve the evidence base for those. I think clinical trials for different cannabis products for those conditions are warranted. Another question is, now that the states are getting more tax revenue from cannabis sales, what are they doing with that money? If you look at tobacco legislation, for example, certain states have required that those funds get used for research on those particular issues. To me, that would be a very good use of the tax revenue that is now coming in. We know, for example, that there’s a lot more tax revenue now that Maryland has legalized recreational use. Maryland could really step up here and help provide some of that evidence. Are there studies looking into the risks you mentioned? Large national studies are done every year or every other year to collect data, so we already have a pretty good sense of the prevalence of cannabis use disorder. Obviously, we'll keep tracking that to see if those numbers increase, for example, in states that are legalizing. But, you wouldn't necessarily expect to see an uptick in cannabis use disorder a month after legalization. The evidence from states that have legalized it has not demonstrated that we might all of a sudden see an increase in psychosis or in cannabis use disorder. This happens slowly over time with a change in social norms and availability, and potentially also with a change in marketing. And, with increasing use of an addictive substance, you will see over time a potential increase in problematic use and then also an increase in use disorder. If you're interested in seeing if cannabis is right for you, is this something you can talk to your doctor about? I think your mileage may vary there with how much your doctor is comfortable and knows about it. It's still relatively fringe. That will very much depend on who you talk to. But I think as providers and professionals, everybody needs to learn more about this, because patients are going to ask no matter what.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== I think marijuana will soon become legal in my state, at least medically. I have concerns about this. What are the pros and cons of marijuana legalization? Does marijuana even have a legitimate medical use? Where is this leading socially with all of this legalization? {passage 0} ========== The Evidence—and Lack Thereof—About Cannabis Research is still needed on cannabis’s risks and benefits. Although the use and possession of cannabis is illegal under federal law, medicinal and recreational cannabis use has become increasingly widespread. Thirty-eight states and Washington, D.C., have legalized medical cannabis, while 23 states and D.C. have legalized recreational use. Cannabis legalization has benefits, such as removing the product from the illegal market so it can be taxed and regulated, but science is still trying to catch up as social norms evolve and different products become available. In this Q&A, adapted from the August 25 episode of Public Health On Call, Lindsay Smith Rogers talks with Johannes Thrul, PhD, MS, associate professor of Mental Health, about cannabis as medicine, potential risks involved with its use, and what research is showing about its safety and efficacy. Do you think medicinal cannabis paved the way for legalization of recreational use? The momentum has been clear for a few years now. California was the first to legalize it for medical reasons [in 1996]. Washington and Colorado were the first states to legalize recreational use back in 2012. You see one state after another changing their laws, and over time, you see a change in social norms. It's clear from the national surveys that people are becoming more and more in favor of cannabis legalization. That started with medical use, and has now continued into recreational use. But there is a murky differentiation between medical and recreational cannabis. I think a lot of people are using cannabis to self-medicate. It's not like a medication you get prescribed for a very narrow symptom or a specific disease. Anyone with a medical cannabis prescription, or who meets the age limit for recreational cannabis, can purchase it. Then what they use it for is really all over the place—maybe because it makes them feel good, or because it helps them deal with certain symptoms, diseases, and disorders. Does cannabis have viable medicinal uses? The evidence is mixed at this point. There hasn’t been a lot of funding going into testing cannabis in a rigorous way. There is more evidence for certain indications than for others, like CBD for seizures—one of the first indications that cannabis was approved for. And THC has been used effectively for things like nausea and appetite for people with cancer. There are other indications where the evidence is a lot more mixed. For example, pain—one of the main reasons that people report for using cannabis. When we talk to patients, they say cannabis improved their quality of life. In the big studies that have been done so far, there are some indications from animal models that cannabis might help [with pain]. When we look at human studies, it's very much a mixed bag. And, when we say cannabis, in a way it's a misnomer because cannabis is so many things. We have different cannabinoids and different concentrations of different cannabinoids. The main cannabinoids that are being studied are THC and CBD, but there are dozens of other minor cannabinoids and terpenes in cannabis products, all of varying concentrations. And then you also have a lot of different routes of administration available. You can smoke, vape, take edibles, use tinctures and topicals. When you think about the explosion of all of the different combinations of different products and different routes of administration, it tells you how complicated it gets to study this in a rigorous way. You almost need a randomized trial for every single one of those and then for every single indication. What do we know about the risks of marijuana use? Cannabis use disorder is a legitimate disorder in the DSM. There are, unfortunately, a lot of people who develop a problematic use of cannabis. We know there are risks for mental health consequences. The evidence is probably the strongest that if you have a family history of psychosis or schizophrenia, using cannabis early in adolescence is not the best idea. We know cannabis can trigger psychotic symptoms and potentially longer lasting problems with psychosis and schizophrenia. It is hard to study, because you also don't know if people are medicating early negative symptoms of schizophrenia. They wouldn't necessarily have a diagnosis yet, but maybe cannabis helps them to deal with negative symptoms, and then they develop psychosis. There is also some evidence that there could be something going on with the impact of cannabis on the developing brain that could prime you to be at greater risk of using other substances later down the road, or finding the use of other substances more reinforcing. What benefits do you see to legalization? When we look at the public health landscape and the effect of legislation, in this case legalization, one of the big benefits is taking cannabis out of the underground illegal market. Taking cannabis out of that particular space is a great idea. You're taking it out of the illegal market and giving it to legitimate businesses where there is going to be oversight and testing of products, so you know what you're getting. And these products undergo quality control and are labeled. Those labels so far are a bit variable, but at least we're getting there. If you're picking up cannabis at the street corner, you have no idea what's in it. And we know that drug laws in general have been used to criminalize communities of color and minorities. Legalizing cannabis [can help] reduce the overpolicing of these populations. What big questions about cannabis would you most like to see answered? We know there are certain, most-often-mentioned conditions that people are already using medical cannabis for: pain, insomnia, anxiety, and PTSD. We really need to improve the evidence base for those. I think clinical trials for different cannabis products for those conditions are warranted. Another question is, now that the states are getting more tax revenue from cannabis sales, what are they doing with that money? If you look at tobacco legislation, for example, certain states have required that those funds get used for research on those particular issues. To me, that would be a very good use of the tax revenue that is now coming in. We know, for example, that there’s a lot more tax revenue now that Maryland has legalized recreational use. Maryland could really step up here and help provide some of that evidence. Are there studies looking into the risks you mentioned? Large national studies are done every year or every other year to collect data, so we already have a pretty good sense of the prevalence of cannabis use disorder. Obviously, we'll keep tracking that to see if those numbers increase, for example, in states that are legalizing. But, you wouldn't necessarily expect to see an uptick in cannabis use disorder a month after legalization. The evidence from states that have legalized it has not demonstrated that we might all of a sudden see an increase in psychosis or in cannabis use disorder. This happens slowly over time with a change in social norms and availability, and potentially also with a change in marketing. And, with increasing use of an addictive substance, you will see over time a potential increase in problematic use and then also an increase in use disorder. If you're interested in seeing if cannabis is right for you, is this something you can talk to your doctor about? I think your mileage may vary there with how much your doctor is comfortable and knows about it. It's still relatively fringe. That will very much depend on who you talk to. But I think as providers and professionals, everybody needs to learn more about this, because patients are going to ask no matter what. https://publichealth.jhu.edu/2023/risks-and-benefits-of-legalized-cannabis

You are to answer questions based only on provided texts, without relying on any outside information. Do not exceed 250 words in your response. Always begin by saying one of the following: 1. Let's see what we can learn together! 2. What an interesting question! 3. Happy to help! If your overall response is less than 100 words, also say "Do you have further questions?" at the end, but otherwise do not say anything after your response to the question.

Tell me about all of the robots discussed in this text, separated by real, functioning robots, and those only in fiction.

Nevertheless, there is still no AI that is equivalent or superior to human intelligence in all of its aspects2 . In the near future however, this vision might become reality. Technological progress will play a key role as an enabler of modern AI systems: Computing power and memory size are estimated to multiply by a thousand times over the next twenty to twenty-five years, facilitating the processing and storing of massive amounts of data3 . Further developments in the field of artificial neural networks and deep learning techniques will result in systems that are less dependent on human involvement; improved sensor technology will make it easier for systems to interact with their environment4 . The decreasing costs for AI technologies will further facilitate their pervasiveness. Although a big portion of AI research is working towards systems that have little to do with creating a machine with human features, there are still advances in this field – for example, robot woman Sophia who became a YouTube celebrity for stating in a 2016 interview that she wanted “to destroy humans”5 . While this seemed to be rather a marketing stunt, it is important to discuss the effects of humanoid and android robots. In this essay, I want to take a closer look at the status quo of humanoid AI and the implications this technology can have as an assistant, friend or even love interest to humans. I argue that artificial intelligence will – once it becomes a realistic companion to humans – interrupt societal structures to some extent, leading to a growing amount of human-machine relationships. . To pursue “real” AI, specialists in developmental robotics are now following a less abstract path than writing a programme for a computer11. Their theory is that a system that has an actual body will be more likely to build a form of general intelligence because it can experience its surroundings and match sensorial data with actions12. This branch of robotics is based on another hypothesis of Turing’s; in 1950, he claimed that an artificially intelligent system could be best created if it went through a phase that is similar to the childhood of other species 13 . The iCub robot was developed to investigate this theory. Having the weight and size of an infant, it carries the spirit of Turing’s thought: Instead of pre-programming its skills and feeding it with data, researchers teach it like a child to enable it to conceive its own solutions 14. Here, one question arises: How does a system develop the will to learn something? After all, it does not even have a will by default. It was found that a strategy working for humans does the same trick for AI systems too: a reward. The field of reinforcement learning derives from this method and has been also applied to the iCub series15. This has enabled the robots to attain skills like picking up an item16 or crawling on the floor17. These actions might not seem too complex for us at the first glance but they do involve a number of obstacles the robot has to overcome. In the future, iCub could help us in the household by setting the table for dinner or preparing food. But there is another interesting thing about iCub: its chubby face, big eyes, and LED-facial expressions leave no doubt that it was made to bear a resemblance to real humans. Yet still, it is obvious to anybody that it is not an actual person. These features make iCub a so-called humanoid. Robots that are made to look exactly like humans on the other hand are called androids The market is prepared for it: Looking at the increasing popularity of home assistants like Alexa or Google Assistant we can expect our reliance on technological devices to grow even stronger in the future. They might become more to us than just a personal weatherman or a direct connection to our Amazon shopping basket: artificially intelligent programmes and robots could eventually write Christmas cards to our friends and family, suggest the perfect birthday present for our partner or even take care of our children. In fact, a robot nanny is not as far-fetched as one would expect: Robots like Pepper, iPal or Kuri are programmed to be companions to children – they can recognize emotions in their faces, play with them and let parents watch their offspring from afar through their built-in cameras 23. They might not yet be an adequate substitute for an adult taking care, but manufacturers are definitely working towards this goal. Regarding the high costs of childcare in many countries, they could soon become a very popular help in parenting – and real friends to a generation that grows up surrounded by technology. In Japanese schools, robots have already proven to be a successful addition. They are assisting students to focus better in class, add a welcome variety to subjects like history or show exercises in physical education24. The robot Robosem has been teaching English in South Korean classrooms, as teachers in this subject are scarce25 . Not only childcare can profit from the advances in AI and robotics: As a means of therapy, intelligent technology can be valuable in retirement homes. An example of this is the robot seal Paro that has been successfully utilized in dementia therapy and as a companion to elderly people since its introduction in 2001. The robot’s body is covered in fake fur and it is sensitive to touch, moving and making seal-like noises when it is petted. It is used to calm patients, to encourage social interactions and to give people that are reliant on help a chance to switch roles and become caregivers themselves26. Once they become more elaborate, robots could be a way to meet the shortage of skilled workers in the field of elderly care especially in aging societies like Japan or Germany. Ethical Implications of Human-Robot Relationships In the light of the technological advances that will be made within the next years, the ethics of human-robot relationships must be discussed. The next generations will likely grow up surrounded by artificially intelligent machines and it is hard to say if and how this will affect their perceptions of interaction not only with robots but humans as well. A study conducted by ATR Intelligent Robotics and Communications and three Japanese universities revealed that children sometimes showed abusive behaviour towards robots – especially when they were in groups without any adults close by. In the study, the robot Robovie was patrolling a Japanese mall, asking people politely to step aside when somebody stood in its way; if there was no reaction, the robot would move in the opposite direction. There were several situations however, where researchers observed that children were deliberately blocking the robot’s way, kicking it, throwing items at it and calling it names. As a consequence, the researchers developed an algorithm that let the robot recognize groups of children and avoid them33. This does not seem like a perfect solution to the problem, especially if we take the rising amount of robots in children’s rooms into account. It is hard to say to what extent robots will become a surrogate for genuine human affection in the future but revisiting the comparison to smartphones made earlier, I believe that it is alarming that people turn to machines in the search for human connection. In a society that is increasingly built on perfectionist standards, I argue that artificially intelligent robots designed to be friends and lovers might become a threat for human relationships. If we hold our friends and partners to the same standards that we will be used from robots in the future, we will be heavily disappointed.

You are to answer questions based only on provided texts, without relying on any outside information. Do not exceed 250 words in your response. If your overall response is less than 100 words, also say "Do you have further questions?" at the end, but otherwise do not say anything after your response to the question. The question will be at the very end of the provided text. Nevertheless, there is still no AI that is equivalent or superior to human intelligence in all of its aspects2 . In the near future however, this vision might become reality. Technological progress will play a key role as an enabler of modern AI systems: Computing power and memory size are estimated to multiply by a thousand times over the next twenty to twenty-five years, facilitating the processing and storing of massive amounts of data3 . Further developments in the field of artificial neural networks and deep learning techniques will result in systems that are less dependent on human involvement; improved sensor technology will make it easier for systems to interact with their environment4 . The decreasing costs for AI technologies will further facilitate their pervasiveness. Although a big portion of AI research is working towards systems that have little to do with creating a machine with human features, there are still advances in this field – for example, robot woman Sophia who became a YouTube celebrity for stating in a 2016 interview that she wanted “to destroy humans”5 . While this seemed to be rather a marketing stunt, it is important to discuss the effects of humanoid and android robots. In this essay, I want to take a closer look at the status quo of humanoid AI and the implications this technology can have as an assistant, friend or even love interest to humans. I argue that artificial intelligence will – once it becomes a realistic companion to humans – interrupt societal structures to some extent, leading to a growing amount of human-machine relationships. . To pursue “real” AI, specialists in developmental robotics are now following a less abstract path than writing a programme for a computer11. Their theory is that a system that has an actual body will be more likely to build a form of general intelligence because it can experience its surroundings and match sensorial data with actions12. This branch of robotics is based on another hypothesis of Turing’s; in 1950, he claimed that an artificially intelligent system could be best created if it went through a phase that is similar to the childhood of other species 13 . The iCub robot was developed to investigate this theory. Having the weight and size of an infant, it carries the spirit of Turing’s thought: Instead of pre-programming its skills and feeding it with data, researchers teach it like a child to enable it to conceive its own solutions 14. Here, one question arises: How does a system develop the will to learn something? After all, it does not even have a will by default. It was found that a strategy working for humans does the same trick for AI systems too: a reward. The field of reinforcement learning derives from this method and has been also applied to the iCub series15. This has enabled the robots to attain skills like picking up an item16 or crawling on the floor17. These actions might not seem too complex for us at the first glance but they do involve a number of obstacles the robot has to overcome. In the future, iCub could help us in the household by setting the table for dinner or preparing food. But there is another interesting thing about iCub: its chubby face, big eyes, and LED-facial expressions leave no doubt that it was made to bear a resemblance to real humans. Yet still, it is obvious to anybody that it is not an actual person. These features make iCub a so-called humanoid. Robots that are made to look exactly like humans on the other hand are called androids The market is prepared for it: Looking at the increasing popularity of home assistants like Alexa or Google Assistant we can expect our reliance on technological devices to grow even stronger in the future. They might become more to us than just a personal weatherman or a direct connection to our Amazon shopping basket: artificially intelligent programmes and robots could eventually write Christmas cards to our friends and family, suggest the perfect birthday present for our partner or even take care of our children. In fact, a robot nanny is not as far-fetched as one would expect: Robots like Pepper, iPal or Kuri are programmed to be companions to children – they can recognize emotions in their faces, play with them and let parents watch their offspring from afar through their built-in cameras 23. They might not yet be an adequate substitute for an adult taking care, but manufacturers are definitely working towards this goal. Regarding the high costs of childcare in many countries, they could soon become a very popular help in parenting – and real friends to a generation that grows up surrounded by technology. In Japanese schools, robots have already proven to be a successful addition. They are assisting students to focus better in class, add a welcome variety to subjects like history or show exercises in physical education24. The robot Robosem has been teaching English in South Korean classrooms, as teachers in this subject are scarce25 . Not only childcare can profit from the advances in AI and robotics: As a means of therapy, intelligent technology can be valuable in retirement homes. An example of this is the robot seal Paro that has been successfully utilized in dementia therapy and as a companion to elderly people since its introduction in 2001. The robot’s body is covered in fake fur and it is sensitive to touch, moving and making seal-like noises when it is petted. It is used to calm patients, to encourage social interactions and to give people that are reliant on help a chance to switch roles and become caregivers themselves26. Once they become more elaborate, robots could be a way to meet the shortage of skilled workers in the field of elderly care especially in aging societies like Japan or Germany. Ethical Implications of Human-Robot Relationships In the light of the technological advances that will be made within the next years, the ethics of human-robot relationships must be discussed. The next generations will likely grow up surrounded by artificially intelligent machines and it is hard to say if and how this will affect their perceptions of interaction not only with robots but humans as well. A study conducted by ATR Intelligent Robotics and Communications and three Japanese universities revealed that children sometimes showed abusive behaviour towards robots – especially when they were in groups without any adults close by. In the study, the robot Robovie was patrolling a Japanese mall, asking people politely to step aside when somebody stood in its way; if there was no reaction, the robot would move in the opposite direction. There were several situations however, where researchers observed that children were deliberately blocking the robot’s way, kicking it, throwing items at it and calling it names. As a consequence, the researchers developed an algorithm that let the robot recognize groups of children and avoid them33. This does not seem like a perfect solution to the problem, especially if we take the rising amount of robots in children’s rooms into account. It is hard to say to what extent robots will become a surrogate for genuine human affection in the future but revisiting the comparison to smartphones made earlier, I believe that it is alarming that people turn to machines in the search for human connection. In a society that is increasingly built on perfectionist standards, I argue that artificially intelligent robots designed to be friends and lovers might become a threat for human relationships. If we hold our friends and partners to the same standards that we will be used from robots in the future, we will be heavily disappointed. This text discusses the advances leading toward having actual robot companions. Tell me the advances that have been made, the likely advances, and the limitations based on the text.

Only use this document as a source, do not use any outside knowledge.

What was the outcome of this study?

**Weight gain among US adults during the COVID‐19 pandemic** Although the COVID‐19 pandemic and the subsequent mitigation strategies have had a significant impact on the lives and behaviors of many individuals, the effects of the pandemic on weight gain among adults in the United States are uncertain. A widely publicized study [1] reported a 0.7‐kg increase in weight per month (February through June 2020), which would equal 18.5 lb if extrapolated to 12 months, but these findings were based on 269 participants with a Bluetooth‐connected scale. A meta‐analysis [2] of 35 cross‐sectional studies and 1 cohort study among adults and older adolescents in various countries found an average 1.6‐kg increase in (self‐reported) weight from March to May 2020. An American Psychological Association press release [3] in March 2021 also indicated that among the 42% of adults who reported that they had gained weight during the pandemic, the mean weight increase was 29 lb (13 kg). Other studies have indicated that pandemic‐related weight increases may be smaller than suggested by these reports. A longitudinal study without formal peer review, based on the electronic health records (EHR) of about 15 million adults in the United States, for example, concluded that the mean weight gain during the 12 months of the pandemic (through March 2021) was less than 0.5 kg [4]; this increase was similar to the annual increase before the pandemic. In addition, a large study of self‐reported, longitudinal data among adults in the United Kingdom found no change in mean weight after February 2020 [5]. Studies among children and adolescents may also be relevant, and four studies [6, 7, 8, 9] have found that BMI increases were larger during the pandemic than in previous years. For example, Lange et al. [7] reported that the rate of BMI increase was 0.05 kg/m2 per month before the pandemic and 0.1 kg/m2 per month during the pandemic. These increases, however, were most pronounced among 6‐ to 11‐year‐olds, with 18‐ to 20‐year‐olds showing a smaller increase in BMI during the pandemic than before the pandemic. Somewhat similar age interactions have been seen by others [6, 8]. Although increases in the prevalence of obesity were also reported in cross‐sectional analyses [9], this result may have been influenced by an ascertainment bias [10] because heavier children and adolescents may have been more likely to be examined during the pandemic. It has been suggested that further studies are needed to assess potential group‐specific impacts of the COVID‐19 epidemic on body weight [2]. Therefore, we examine changes in weight among 18‐ to 84‐year‐olds from January 2019 through May 2021 among 4.24 million adults in a large EHR database to determine whether weight gain increased during the pandemic. We focus on differences in weight gain from January 2019 to February 2020 with those after March 2020. Data were obtained from IQVIA's Ambulatory Electronic Medical Records database (Version Q3, May 2021 data release), containing deidentified information recorded during outpatient encounters for a geographically diverse US patient population. This database contains the clinical data of approximately 80 million patients from January 2006 through May 2021 from all 50 states recorded by more than 100,000 providers affiliated with over 800 ambulatory large practices and physician networks. The data set contains key clinical variables, including laboratory values, patient vitals, health behaviors, diagnoses, and procedures. All data were extracted using the E360 Software‐as‐a‐Service Platform [11]. The extracted data comprises 43.7 million adults with weight and height measurements from 2009 through 2021. Overall, there are 360 million recorded weights and 297 million heights among these participants. We calculated age at the examination as the difference between the examination date and year of birth. To preserve confidentiality, years of birth before 1936 were re‐coded by IQVIA as 1936 so that the maximum age in 2021 would be 85 years. As the 1936 birth year contains several actual years of birth (e.g., 1936, 1935, 1934), we included only participants born in 1937 or later. The maximum age in the current study in 2021 is therefore 84 years. These data were cleaned using the growthcleanr algorithm for adult data developed to accompany the growthcleanr pediatric algorithm [12, 13] used in previous studies [7, 14, 15]. This algorithm is designed to clean clinically obtained longitudinal weights and heights in EHR databases [16]. Many steps in both the pediatric and adult algorithms are similar and they rely on the deviation of a value from an exponentially weighted moving average (EWMA) of a participant's other weights and heights. There are, however, several differences between adult and pediatric algorithms. Although the EWMA in the pediatric algorithm uses SD scores to account for the expected changes in weight and height with sex and age, the adult algorithm uses the actual weight and height values. The height algorithm for adults differs from the children's algorithm because little change is expected among adults. Furthermore, most repeated values are retained in the adult data but are coded as “carried forwards” in the pediatric algorithm. Of the 360 million weights, 2.1% were excluded based on the growthcleanr algorithm. The largest exclusion categories were (a) identical same day (0.9%), (b) different values on same day (0.7%), (c) biologically implausible (0.2%), and (d) EWMA (0.2%). About 2.9% of the 297 million heights were excluded, with the largest categories being (1) heights of a participant that differed by more than 2 inches (1.3%), (2) identical same day (1.1%), and (3) different values on the same day (0.3%). The adult algorithm limits the weight range from 20 to 500 kg and the height range from 50 to 244 cm. We restricted the analyses to the 16.1 million people examined after January 1, 2019, who were at least 18 years of age at their first examination. We also required participants to have (1) two or more visits in the pre‐pandemic period (January 1, 2019, through February 28, 2020) and (2) one or more visits after June 1, 2020. We chose the latter date as there was an approximately 50% decrease in the number of examinations conducted in the first few months of the pandemic, which could introduce a selection bias. For participants with more than one weight or height measurement in a given month, we selected one value at random. These criteria reduced the sample to 4.25 million participants with 30.1 million examinations. For weights (14%) without a recorded height on the same day, we used the median height of the participant (based on all height measurements) to calculate BMI. The median number of visits in this sample was three in the pre‐pandemic period and two in the postpandemic period. Information on race and ethnicity was optionally reported in a single composite variable in the database. About 75% of the sample was White, and 8% was Black, but race/ethnicity was unknown for about 12% of the sample, and < 1% of the participants indicated that they were Hispanic. As the collection of race/ethnicity data in EHR can be inaccurate [17], we do not focus on this characteristic. All analyses were performed in R.4.1.2 (R Foundation for Statistical Computing), and they are based on 4,246,001 participants examined from January 2019 through May 2021. After showing descriptive characteristics of the participants at their first and last examinations, we examined the mean monthly weights in 2020 and 2021 relative to those in 2019. These differences were calculated as the mean monthly weights in 2020 and 2021 minus the mean weight in the same month in 2019. Because the number of monthly examinations substantially decreased in April and May 2020, we also examined the possibility of a selection bias. This sensitivity analysis was limited to the 1 million 18‐ Compared with the pre‐pandemic weight trend, there was a small increase (0.1 kg) in weight in the first year of the pandemic (March 2020 through March 2021). Weight changes during the pandemic varied by sex, age, and initial BMI, but the largest mean increase across these characteristics was < 1.3 kg. Weight increases were generally greatest among women, adults with BMI of 30 or 35 kg/m2, and younger adults.to 59‐year‐olds examined in April and May 2019. We contrasted the mean 2019 weights between those reexamined in April and May 2020 (26%) and those not reexamined (74%). We then used mixed‐effects models [18, 19], which use all of the intercorrelated, serial data from a person, to examine the difference in the rate of weight change between the pre‐pandemic (before March 2020) and pandemic (after March 2020) periods in the cohort. These sex‐specific models included a random‐intercepts term to account for individual‐level heterogeneity, initial BMI, initial age, time (in years) relative to March 1, 2020, and pandemic period. The difference in the rate of weight change during the pandemic was assessed using an interaction term between the pandemic period (coded as 0 or 1) and time relative to March 1, 2020. These models allowed the weight change between the two periods to vary by sex, age, and BMI. We modeled BMI and age using natural splines [20] to account for nonlinearity. The results of these models are displayed graphically for various combinations of sex, initial age (25, 40, 60, and 75 years), and initial BMI (25, 30, and 35 kg/m2). We also summarize the differences calculated from this model between the pre‐pandemic and pandemic changes in weight over 1 year. We refer to the difference in weight change during the pandemic and the weight change before the pandemic from these models as the excess weight gain during the pandemic. This is the weight gain during the pandemic in excess of that predicted by the pre‐pandemic trend in weight.

<Instruction> ========== Only use this document as a source, do not use any outside knowledge. ---------------- <Text Passage> ========== **Weight gain among US adults during the COVID‐19 pandemic** Although the COVID‐19 pandemic and the subsequent mitigation strategies have had a significant impact on the lives and behaviors of many individuals, the effects of the pandemic on weight gain among adults in the United States are uncertain. A widely publicized study [1] reported a 0.7‐kg increase in weight per month (February through June 2020), which would equal 18.5 lb if extrapolated to 12 months, but these findings were based on 269 participants with a Bluetooth‐connected scale. A meta‐analysis [2] of 35 cross‐sectional studies and 1 cohort study among adults and older adolescents in various countries found an average 1.6‐kg increase in (self‐reported) weight from March to May 2020. An American Psychological Association press release [3] in March 2021 also indicated that among the 42% of adults who reported that they had gained weight during the pandemic, the mean weight increase was 29 lb (13 kg). Other studies have indicated that pandemic‐related weight increases may be smaller than suggested by these reports. A longitudinal study without formal peer review, based on the electronic health records (EHR) of about 15 million adults in the United States, for example, concluded that the mean weight gain during the 12 months of the pandemic (through March 2021) was less than 0.5 kg [4]; this increase was similar to the annual increase before the pandemic. In addition, a large study of self‐reported, longitudinal data among adults in the United Kingdom found no change in mean weight after February 2020 [5]. Studies among children and adolescents may also be relevant, and four studies [6, 7, 8, 9] have found that BMI increases were larger during the pandemic than in previous years. For example, Lange et al. [7] reported that the rate of BMI increase was 0.05 kg/m2 per month before the pandemic and 0.1 kg/m2 per month during the pandemic. These increases, however, were most pronounced among 6‐ to 11‐year‐olds, with 18‐ to 20‐year‐olds showing a smaller increase in BMI during the pandemic than before the pandemic. Somewhat similar age interactions have been seen by others [6, 8]. Although increases in the prevalence of obesity were also reported in cross‐sectional analyses [9], this result may have been influenced by an ascertainment bias [10] because heavier children and adolescents may have been more likely to be examined during the pandemic. It has been suggested that further studies are needed to assess potential group‐specific impacts of the COVID‐19 epidemic on body weight [2]. Therefore, we examine changes in weight among 18‐ to 84‐year‐olds from January 2019 through May 2021 among 4.24 million adults in a large EHR database to determine whether weight gain increased during the pandemic. We focus on differences in weight gain from January 2019 to February 2020 with those after March 2020. Data were obtained from IQVIA's Ambulatory Electronic Medical Records database (Version Q3, May 2021 data release), containing deidentified information recorded during outpatient encounters for a geographically diverse US patient population. This database contains the clinical data of approximately 80 million patients from January 2006 through May 2021 from all 50 states recorded by more than 100,000 providers affiliated with over 800 ambulatory large practices and physician networks. The data set contains key clinical variables, including laboratory values, patient vitals, health behaviors, diagnoses, and procedures. All data were extracted using the E360 Software‐as‐a‐Service Platform [11]. The extracted data comprises 43.7 million adults with weight and height measurements from 2009 through 2021. Overall, there are 360 million recorded weights and 297 million heights among these participants. We calculated age at the examination as the difference between the examination date and year of birth. To preserve confidentiality, years of birth before 1936 were re‐coded by IQVIA as 1936 so that the maximum age in 2021 would be 85 years. As the 1936 birth year contains several actual years of birth (e.g., 1936, 1935, 1934), we included only participants born in 1937 or later. The maximum age in the current study in 2021 is therefore 84 years. These data were cleaned using the growthcleanr algorithm for adult data developed to accompany the growthcleanr pediatric algorithm [12, 13] used in previous studies [7, 14, 15]. This algorithm is designed to clean clinically obtained longitudinal weights and heights in EHR databases [16]. Many steps in both the pediatric and adult algorithms are similar and they rely on the deviation of a value from an exponentially weighted moving average (EWMA) of a participant's other weights and heights. There are, however, several differences between adult and pediatric algorithms. Although the EWMA in the pediatric algorithm uses SD scores to account for the expected changes in weight and height with sex and age, the adult algorithm uses the actual weight and height values. The height algorithm for adults differs from the children's algorithm because little change is expected among adults. Furthermore, most repeated values are retained in the adult data but are coded as “carried forwards” in the pediatric algorithm. Of the 360 million weights, 2.1% were excluded based on the growthcleanr algorithm. The largest exclusion categories were (a) identical same day (0.9%), (b) different values on same day (0.7%), (c) biologically implausible (0.2%), and (d) EWMA (0.2%). About 2.9% of the 297 million heights were excluded, with the largest categories being (1) heights of a participant that differed by more than 2 inches (1.3%), (2) identical same day (1.1%), and (3) different values on the same day (0.3%). The adult algorithm limits the weight range from 20 to 500 kg and the height range from 50 to 244 cm. We restricted the analyses to the 16.1 million people examined after January 1, 2019, who were at least 18 years of age at their first examination. We also required participants to have (1) two or more visits in the pre‐pandemic period (January 1, 2019, through February 28, 2020) and (2) one or more visits after June 1, 2020. We chose the latter date as there was an approximately 50% decrease in the number of examinations conducted in the first few months of the pandemic, which could introduce a selection bias. For participants with more than one weight or height measurement in a given month, we selected one value at random. These criteria reduced the sample to 4.25 million participants with 30.1 million examinations. For weights (14%) without a recorded height on the same day, we used the median height of the participant (based on all height measurements) to calculate BMI. The median number of visits in this sample was three in the pre‐pandemic period and two in the postpandemic period. Information on race and ethnicity was optionally reported in a single composite variable in the database. About 75% of the sample was White, and 8% was Black, but race/ethnicity was unknown for about 12% of the sample, and < 1% of the participants indicated that they were Hispanic. As the collection of race/ethnicity data in EHR can be inaccurate [17], we do not focus on this characteristic. All analyses were performed in R.4.1.2 (R Foundation for Statistical Computing), and they are based on 4,246,001 participants examined from January 2019 through May 2021. After showing descriptive characteristics of the participants at their first and last examinations, we examined the mean monthly weights in 2020 and 2021 relative to those in 2019. These differences were calculated as the mean monthly weights in 2020 and 2021 minus the mean weight in the same month in 2019. Because the number of monthly examinations substantially decreased in April and May 2020, we also examined the possibility of a selection bias. This sensitivity analysis was limited to the 1 million 18‐ Compared with the pre‐pandemic weight trend, there was a small increase (0.1 kg) in weight in the first year of the pandemic (March 2020 through March 2021). Weight changes during the pandemic varied by sex, age, and initial BMI, but the largest mean increase across these characteristics was < 1.3 kg. Weight increases were generally greatest among women, adults with BMI of 30 or 35 kg/m2, and younger adults.to 59‐year‐olds examined in April and May 2019. We contrasted the mean 2019 weights between those reexamined in April and May 2020 (26%) and those not reexamined (74%). We then used mixed‐effects models [18, 19], which use all of the intercorrelated, serial data from a person, to examine the difference in the rate of weight change between the pre‐pandemic (before March 2020) and pandemic (after March 2020) periods in the cohort. These sex‐specific models included a random‐intercepts term to account for individual‐level heterogeneity, initial BMI, initial age, time (in years) relative to March 1, 2020, and pandemic period. The difference in the rate of weight change during the pandemic was assessed using an interaction term between the pandemic period (coded as 0 or 1) and time relative to March 1, 2020. These models allowed the weight change between the two periods to vary by sex, age, and BMI. We modeled BMI and age using natural splines [20] to account for nonlinearity. The results of these models are displayed graphically for various combinations of sex, initial age (25, 40, 60, and 75 years), and initial BMI (25, 30, and 35 kg/m2). We also summarize the differences calculated from this model between the pre‐pandemic and pandemic changes in weight over 1 year. We refer to the difference in weight change during the pandemic and the weight change before the pandemic from these models as the excess weight gain during the pandemic. This is the weight gain during the pandemic in excess of that predicted by the pre‐pandemic trend in weight. ---------------- <Question> ========== What was the outcome of this study?

Respond with only information from the provided context.

What should be included in my new businesses organization agreement?

Preface A cooperative is a business. As such, it must operate in a manner compatible with all the laws that apply to a business, with cooperative principles, and with the needs and desires of its member-patrons in mind. To comply with each of these limitations on its operations, a cooperative must have a set of organizational documents that is uniquely crafted to its particular situation. Drafting new, and updating old, legal documents of cooperatives takes both time and expertise. This report is intended to assist persons organizing new cooperatives, managers and directors of existing cooperatives, and their professional advisers to develop and update the important legal documents of cooperatives. It explains issues to be considered and options that are available. It provides sample language to be used as a starting point; the wording is not to be copied without review and thought. To help distinguish sample document language from explanatory text, a straight black line has been drawn along the left-hand margin of the sample document language. Contents ORGANIZATION AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Statement of Purposes ...................................................... 2 Organization Committee ................................................... 3 Patronage Commitment ..................................................... 3 Financial Commitment ...................................................... 4 Calling of Membership Meeting ....................................... 6 Accounting .......................................................................... 7 SELECTING THE PROPER STATE INCORPORATION STATUTE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 ARTICLES OF INCORPORATION ..*...................,..*.*.............t. 11 Heading ............................................................................ 1 1 Name ................................................................................. 1 2 Principal Place of Business ............................................. 12 Purposes ............................................................................ 1 2 Powers ............................................................................... 13 Duration ............................................................................ 15 Directors ........................................................................... 15 Capital Structure ............................................................... 16 Amendment ..................................................................... 20 Signatures ......................................................................... 20 BYLAWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21 Membership ...................................................................... 21 Meetings of Members ...................................................... 24 Directors and Officers ....................................................... 26 Duties of Directors ........................................................... 32 ii Duties of Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Operation at Cost and Members’ Capital . . . . . . . . . . . . . . . . . . . . . . . . . 36 Equity Redemption . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..I....... 39 Consent . . . . . . . . . ..f................................................................ 4 0 Nonmember Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 Nonpatronage Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 2 Handling of Losses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 Dissolution . . . . . . . . ..f............................................................ 4 5 Indemnification . . . . . . . . . ..I....................................I.............. 45 Amendment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 MARKETING AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..*................. 4 7 Introduction . . . . . . . . . . . . . . . . . . . . . . . . ..I...........................................4 6 Sales Terms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..I...........................4 9 Enforcement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 Termination and Renewal ..****...*.**.*.........................*...... 55 Miscellaneous Provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 MEMBERSHIP APPLICATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .59 DIRECTOR HANDBOOK . . . . . . ..a.. a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 APPENDIX A. ELECTION OF DIRECTORS BY DISTRICTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 APPENDIX B. ALTERNATIVE EQUITY REDEMPTION BYLAWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63 APPENDIX C. BASE CAPITAL PLAN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 . . . 111 Sample Legal Documents for Cooperatives Donald A. Frederick, Attorney-Adviser One of the axioms of business planning is that a strong foundation is essential if an organization is to have a strong structure. An important component of a strong cooperative foundation is a set of basic legal documents that conforms to Federal, State, and local law and facilitates conducting the business affairs of the association to enhance the mutual well-being of the members. This report explains the role each document plays in building the organization and the various issues treated in each document. It discusses options available to members in handling many of the issues. It also presents sample language as an aid in preparing initial documents, or in revising existing ones, to make sure they promote the objectives of the cooperative venture. Most of the sample language in this report is suitable for virtually any type of cooperative. Where the language must be tailored to reflect specific functions of the association, wording appropriate for an agricultural marketing cooperative is used. Counsel can help make the necessary modifications to cover supply and related service organizations and nonagricultural activities. One point cannot be stressed too much! Cooperative organizers, advisers, and leaders should not just sit down and copy these, or any other set, of legal documents and declare them as their own. These foundation documents should only be adopted after review by a competent attorney, one who understands the unique characteristics of cooperatives and the industry in which the association does business. This will maximize the likelihood that the documents will conform to applicable law and meet the specific needs of the association and its members. One problem in drafting organizational papers is they can be thorough or simple, but not both. This report contains many “compromises” between these two objectives. This only reinforces the need for cooperative founders and leaders, and their professional advisers, to avoid adopting any sample set of documents verbatim and to review existing documents on a regular basis. 1 The idea of forming a cooperative is usually conceived and nurtured by a few individuals who foresee coordinated group action as a solution to a problem confronting themselves and similarly situated persons. This organizing group often has to formulate a development plan, arrange for or provide seed money, and contribute sweat equity to get the association up and running. The organization period involves considerable discussion and data collection. While these efforts provide a good forecast for the level of support the cooperative is likely to attract, before launching the venture it is a good idea to have those persons who say they want the services of the cooperative formally commit to use those services. The organization agreement secures both a patronage and a financial commitment from prospective members. It is also a vehicle for educating prospective members about the cooperative form of business and the objectives of the proposed association. Statement of Purposes This first provision in a typical organization agreement sets out the services the proposed organization will perform. The services can be described in broad terms, such as to “process” and “market” certain farm commodities and “furnish” certain farm supplies. The language should refer only to services the cooperative will provide from its inception. This minimizes member pressure to expand the scope of operations too rapidly. For example, it is usually best not to mention furnishing supplies in the organizational agreement if the new organization will limit its initial activity to marketing fresh vegetables. 1. The undersigned, a producer of agricultural products, hereinafter referred to as “Producer,” together with other signers of agreements similar hereto, propose to organize a cooperative association 2 under the laws of the State of for the purpose of . Organization Committee Although the association has not yet been incorporated, a decision making process should be formalized. The organizers will usually appoint some or all of their group to an official organization committee that will serve as the initial policy body for the association. This provision lists the committee members and sets out the committee’s authority. 2. (a) The association shall be organized with suitable articles of incorporation and bylaws as determined by an organizational committee consisting of the following persons: Name Address 2. (b) This committee may, by vote of a majority of its members, increase its membership, fill any vacancy therein, and appoint any subcommittees deemed necessary to conduct its affairs. The committee, or any subcommittee designated by it, may prescribe an organization fee to be paid by each person signing an organization agreement and may incur necessary obligations, make necessary expenditures, and take any such action as may, in its discretion, be deemed advisable to further the organization of the association. 3 Patronage Commitment Most cooperatives, especially those involved in marketing agricultural commodities, need a minimum level of product to be successful and the best possible projections of anticipated volumes to plan effectively. Their organization agreements should spell out the extent of the prospective members’ commitment: usually all production, a defined volume of product,. or production from a set number of acres. If either all production or production from a set number of acres is used, a projection of likely volume delivered should also be secured. Sample language is provided for each type of commitment: Full Production. 3. Producer agrees to sign a marketing agreement committing all (product) produced by Producer, on land owned or leased by Producer, to the cooperative for direct marketing, processing, or other disposition as the cooperative sees fit. Producer estimates such production will total (units) in (year). *********** Defined Volume. 3. Producer agrees to sign a marketing agreement to commit (units) of (product), produced by Producer, to the cooperative for direct marketing, processing, or other disposition as the cooperative sees fit. *********** Set Acreage. 3. Producer agrees to sign a marketing agreement to commit all (product) produced by Producer on acres of land, owned or leased by Producer, to the cooperative for direct marketing, processing, or other disposition as the cooperative sees fit. Producer estimates such production will total -(units) in _ (year). 4 If the cooperative is likely to have a minimum quality standard that must be met before product will be accepted, that standard should also be explained and the person or entity judging quality should be named. Financial Commitment Every new business must have equity capital. In a cooperative, the members supply that capital. In this provision the prospective member agrees to provide initial financial support for the cooperative. Each prospective member should commit to purchase one share of common voting stock (or, in a nonstock cooperative, pay a membership fee) for a fixed dollar amount, perhaps $1,000. This investment gives the member the right to vote on issues submitted to the membership. Often the initial investment tied to membership status does not raise enough equity to fund the association. Additional capital is needed. Usually the organizers have substantial leeway in collecting and recognizing this investment. Each prospective member may be asked to make an equal contribution, or the level can vary with anticipated patronage. While this investment is classified as preferred stock in this report, it can also be structured as equity credits, revolving fund credits, or any similar term satisfactory to the organizers. Organizers should avoid using any term usually associated with debt capital, such as “note” or “bond,” and should also avoid creating a second class of common stock, which is sure to be confused with regular voting common stock. The agreement should expressly state that this financial commitment is irrevocable unless the organization effort is terminated. Initial development of the cooperative is totally dependent on promised financial support being forthcoming. Leaders must have the tools to force compliance with this commitment, by legal action if necessary. I 4. Producer agrees to purchase one share of voting common stock of the association, par value $ payable on demand following a favorable vozihe signees of agreements similar hereto to 5 incorporate the association. Producer further agrees to purchase shares of nonvoting preferred stock of the association, par value $ each, and agrees to pay for same as follows: S- cash on demand following incorporation of the association, g-on or before . 19 -9 and, $--- on or before ,19_. Producer expressly understands that this stock subscription agreement is an irrevocable legally binding obligation which will be relied upon by the association, other producers who subscribe to its stock, and lending institutions from which the association will seek financing to implement its cooperative purposes. If a cooperative is organized as a nonstock corporation, the sample language might be altered to call for payment of a membership fee, rather than purchase of a share of common stock, and payment of an additional sum into an equity account, rather than purchase of nonvoting preferred stock. Calling of Membership Meeting One of the principal responsibilities of the organization committee is to determine if enough firm interest exists to justify forming the cooperative. It is advisable to put a time limit on member solicitation. An open-ended solicitation period may exceed the patience of early signees to get started or abort the effort. If the committee decides there is enough interest, the agreement usually calls for a meeting of the signees to make the final decision to complete formation and begin operation of the cooperative. While the typical agreement provides that the affirmative vote of a simple majority of signees approves formation, the committee should move cautiously if substantial resistance 6 develops. Few associations overcome internal strife during the formation period to become useful and viable cooperative enterprises. 5. If, on or before 9 19-t the organization committee is of the opinion that sufficient signup has been obtained to enable the association to operate efficiently, the committee shall set a time and place for a meeting of those persons who have signed this agreement to determine, by majority vote, whether to proceed with the formation and operation of the association, and to consider such other business as may be deemed appropriate. Not less than ten days before the meeting, notice of the time and place of the meeting shall be sent to all signees by first-class mail, and an appropriate notice shall be published in one or more newspapers of general circulation in the area in which those who signed agreements like this one reside. , Sometimes the agreement will set minimum levels of support that must be committed before the prospective members will vote to begin the venture, If the organizers decide to adopt that option, the first paragraph of this provision might begin: 5. If, on or before 9 19-t bona fide producers of agricultural products otherwise eligible to become members in the association agree to execute marketing agreements covering (units) of (product) and subscribe to provide equity to the association equal to the sum of at least I dollars, ($ ), the organization committee shall set a time and place for a meeting . . . (continue as above). Accounting There should be a clearly stated obligation placed on the organization committee to keep good records and make the 7 appropriate disposition of any funds remaining after the vote on formation of the cooperative is conducted. 6. The organization committee shall keep detailed, accurate accounts of all receipts and of all expenditures of every kind. It shall have such accounts audited and render a written report thereof to the board of directors of the association when organized. And it shall thereupon turn over to the association any balance remaining in its hands free of obligation. If the association is not organized, such unexpended balance shall be prorated among, and returned to, those who contributed to the organization fund. The agreement should conclude with spaces for the prospective member to sign the agreement, and provide his or her address, and for the chairperson of the organizing committee to sign the agreement as an acceptance. SELECTING THE PROPER STATE INCORPORATION STATUTE While no drafting is involved, and thus no sample language is provided in this section, an important step in the development of a successful cooperative is selection of the proper statutory foundation for the association. To operate effectively in today’s business world, a cooperative must be a unique legal entity, separate from its members. The best way to create this unique entity is to form a cooperative corporation. A cooperative becomes a corporation when its organizers follow the steps set out in a law authorizing the formation of corporations. There is no Federal incorporation statute. Cooperatives incorporate under an appropriate State law. Incorporation offers several advantages over alternative structures, such as partnerships and unincorporated associations: l Incorporation facilitates the orderly succession of ownership. The entity has a perpetual life. As some members resign and new people join, redemption and issuance of a share of common stock or a membership certificate is a relatively simple means of clarifying each person’s status and rights in the association. l A corporation conveys to members and outsiders the image of a solid, longlasting venture. l If a cooperative is incorporated, the personal liability of each individual member, for losses suffered by the cooperative, is limited to the member’s equity in the cooperative. The organization of a cooperative as a business corporation has some important implications for how it conducts its affairs: l A corporation derives all of its legal authority from the State. It is a “person” in the eyes of the law, just like a natural person. It can do many things natural persons can, such as sign contracts, borrow money, own property, and sue and be sued. l While its powers are broad, those powers are limited to the ones granted by the State. For example, when the State agricultural cooperative law says only agricultural producers can vote in farmer cooperative affairs, no one else has the right to participate in policy decisions made by the membership. l The cooperative must obey business laws. Since managers and directors make the decisions for the corporation, they have an obligation to know and make sure the association follows all applicable laws. Persons who organize a cooperative have several incorporation statutes to choose from: l All States have special cooperative incorporation statutes. Some are broad, permitting the incorporation of virtually any business as a cooperative. Other are limited in scope. Many States have an Agricultural Cooperative Associations Act specially written to authorize incorporation of associations of producers of agricultural products. 9 l Every State has a general business corporation statute. A cooperative can be incorporated under this law and have its cooperative character established through proper drafting of the articles of incorporation and bylaws. l While most cooperatives are incorporated under a law of the State where the principle office is located, a few are organized under the laws of a different State. .It is usually best to organize under a cooperative incorporation statute of the State where the association’s headquarters is located. But it’s very important that the statute authorizing the cooperative permits a structure that meets the needs and desires of the members. The General Business Corporation Act and outof-State incorporation laws should be considered if the applicable cooperative law doesn’t permit the necessary organizational structure. A few so-called cooperatives are organized under a general not-for-profit corporation statute. Usually this is done to make it easier to obtain grant money. There are some potential adverse legal consequences of this type of incorporation that should be reviewed before following this path: l Most not-for-profit corporation laws expressly forbid the distribution of any earnings to members, trustees, officers, or other private persons. This means an association organized under such a statute can’t pay patronage refunds, one of the main reasons for operating a business as a cooperative. 0 In many States, if a nonprofit corporation goes out of business, members are prohibited from sharing in any assets left after the debts are paid. l Nonprofit corporations sometimes have had more trouble than cooperative corporations enforcing marketing agreements with their members. Cooperative statutes frequently provide specific authority for enforcement of marketing agreements. Not-for-profit acts have no such provision. If the leadership determines a cooperative is not organized 10 under the appropriate State statute, it is usually possible to reincorporate without seriously disrupting the ongoing business of the association. This will ordinarily involve redrafting the organization papers to conform to the new law and paying a modest fee to the appropriate State agency. ARTICLES OF INCORPORATION Once the leadership has determined the statute to use as the legal authority for a cooperative, the first document prepared is the articles of incorporation (articles). It is the acceptance of the articles by the State that establishes the cooperative as a unique “person” under the law. Most incorporation laws require a fairly common set of provisions to be included in the articles. These are discussed below. The statute will also require that before the articles are official they must be recorded in the office of a designated State officer. Failure to properly file the articles makes any business activity vulnerable to legal challenge. It is usually permissible to include information in the articles beyond that required by the incorporation statute. However, this is ordinarily not done because it is frequently more difficult to amend the articles than it is with other documents that may contain the same information. The articles are not a piece of paper to be prepared and then forgotten. The articles are routinely given the same respect by the courts as a statute. Therefore, the articles are binding on the directors, officers, and manager of a cooperative. Conduct beyond that authorized in the articles can subject the cooperative and its leaders to potential legal liability. The following are the elements common to most cooperative articles of incorporation. Heading The heading sets out the title of the document, the name of the cooperative, and the title of the authorization statute. 1 1 ARTICLES OF INCORPORATION (Name of Cooperative) We, the undersigned, all of whom are engaged in the production of agricultural products, do hereby voluntarily associate ourselves together for the purpose of forming a cooperative association, with (or without) capital stock, under the provisions of the Act of the State of Name The official name of the cooperative must be stated in the body of the articles and is usually the first provision: ARTICLE I. NAME The name of the association shall be Principal Place of Business This is a simple statement of the general location of the cooperative’s office: ARTICLE II. PRINCIPAL PLACE OF BUSINESS The association shall have its principal place of business in the city of County of , Stateof ’ . Purposes The purposes for which the cooperative is being organized are specifically set out. While the purposes clause of the organizational agreement is limited to immediate objectives, the pur12 poses are usually stated as broadly as possible in the articles of incorporation. Any service the cooperative may someday provide is frequently authorized, at least in a general way. This reduces the likelihood the articles will have to be amended whenever the association is asked by the members to provide additional services. Powers ARTICLE III. PURPOSES The association is formed for the following purposes: To market for its members and other producers any and all agricultural products or any products derived therefrom: to engage in any activity in connection with the picking, gathering, harvesting, receiving, assembling, handling, grading, cleaning, shelling, standardizing, packing, preserving, drying, processing, transporting, storing, financing, advertising, selling, marketing, or distribution of any such agricultural products or any products derived therefrom: to purchase for its members and others farm supplies and equipment: to manufacture, process, sell, store, handle, ship, distribute, furnish, supply, and procure any and all such farm supplies and equipment; and to exercise all such powers in any capacity and on any cooperative basis that may be agreed upon. The State statute authorizing formation of a cooperative will set out in detail the activities the cooperative may engage in. As a general rule, the statutory language is copied virtually verbatim into the articles. The following is an example of a typical statutory provision restated as an article of incorporation: ARTICLE IV. POWERS I This association shall have the following powers: 13 (a) To borrow money without limitation as to amount of corporate indebtedness or liability: to give a lien on any of its property as security therefore in any manner permitted by law: and to make advance payments and advances to members and other producers. (b) To act as the agent or representative of any member or members in any of the activities mentioned in Article III hereof. (cl To buy, lease, hold, and exercise all privileges of ownership over such real or personal property as may be necessary or convenient for the conduct and operation of the business of the association, or incidental thereto. (d) To draw, make, accept, endorse, guarantee, execute, and issue promissory notes, bills of exchange, drafts, warrants, certificates, and all kinds of obligations and negotiable or transferable instruments for any purpose that is deemed to further the objects for which this association is formed, and to give a lien on any of its property as security therefor. (e) To acquire, own, and develop any interest in patents, trademarks, and copyrights connected with, or incidental to, the business of the association. (fl To cooperate with other similar associations in creating central, regional, or national cooperative agencies, for any of the purposes for which this association is formed, and to become a member or stockholder of such agencies as now are or hereinafter may be in existence. (g) To have and exercise, in addition to the foregoing, all powers, privileges, and rights conferred on ordinary corporations and cooperative 14 marketing associations by the laws of this State and all powers and rights incidental or conducive to carrying out the purpose for which this association is formed, except such as are inconsistent with the express provisions of the act under which this association is incorporated, and to do any such thing anywhere; and the enumeration of the foregoing powers shall not be held to limit or restrict in any manner the general powers which may by law be possessed by this association, all of which are hereby expressly claimed. Duration The articles will say how long the cooperative is authorized to exist. Virtually all modern laws permit perpetual existence. Some laws in effect at the time longstanding cooperatives were organized limited the permissible life of a cooperative to a set period of time, such as 50 years. Associations that have been active for several decades should check to make sure their duration clause provides for perpetual operation. I ARTICLE V. PERIOD OF DURATION This association shall have perpetual existence. Directors Most statutes require the articles to name the initial policymakers of the cooperative. A majority of the incorporation statutes ask for the number of directors and names and addresses of the initial board. The articles often require “at least” the minimum number of directors required by statute: the precise number is set in the bylaws. Some statutes ask for the names and addresses of incorporators, in which case the appropriate title and references to incorporators would be substituted for “directors” in the example. If the law asks for both. then this draft provision is essentially inserted a second time and appro15 priately worded in each instance. ARTICLE VI. DIRECTORS This association shall have at least_ directors. The names and addresses of those who are to serve as the initial directors are: NAME ADDRESS Capital Structure The articles usually contain a description of the capital structure of the cooperative. If stock is issued, the number of shares authorized and the par value of each share of each class of stock (common, preferred) are set forth. The rights granted owners of each class of stock, the restrictions on owners of each class, and the dividends to which each class is entitled are also explained. If stock is not issued, a description must be included of how the rights and interests of the members will be determined. Sample language for both a stock and a nonstock association is provided below. The capital stock example provides for both voting common and nonvoting preferred stock. Nonvoting preferred stock is a useful way to account for additional nonpatronage investments by members. It has also been used as a way of raising equity from nonmembers, such as other members of the community interested in supporting the cooperative. If any interest in the cooperative is being sold to nonmembers, counsel must be retained to advise the association on applicable securities law requirements. The sample language also assumes that the organization 16 limits each member to one vote. If proportional voting based on patronage is utilized, counsel will have to prepare a description of how votes will be accumulated and any limit on the number of votes any one member can amass. All of the information in the example below is important and should be included somewhere in the organizational documents. However, not all incorporation laws require that all of it be in the articles. It may be possible to place some of these provisions in the bylaws. ARTICLE VII. CAPITAL STOCK (stock cooperative) Section 1. Classes and Authorized Amounts. The capital stock of the association shall consist of shares of common stock with a par value of $ per share, and shares of preferred stock with a par value of $ per share. Section 2. Common Stock. The common stock of this association may be purchased, owned, or held only by agricultural producers who (1) patronize the association in accordance with uniform terms and conditions prescribed by it, and (2) have been approved by the board of directors. ‘Producer’ shall mean and include persons (natural or corporate) engaged in the production of (product), or other agricultural products, including tenants of land used for the production of any such product, and lessors of such land who receive as rent therefore part of any such product of such land, and cooperative associations (corporate or otherwise) of such producers. Each member shall hold only one share of common stock and each eligible holder of common stock shall be entitled to only one vote in any meeting of the stockholders upon each matter submitted to vote at a meeting of the stockholders. In the event the board of directors of the association shall find, following a hearing, that any of 17 the common stock of this association has come into the hands of any person who is not eligible for membership, or that the holder thereof has ceased to be an eligible member, such holder shall have no rights or privileges on account of such stock, or vote or voice in the management or affairs of the association other than the right to participate in accordance with law in case of dissolution, The association shall repurchase such stock for par value. If such holder fails to deliver any certificate evidencing the stock, the association may cancel such certificate on its books and records, and the certificate is thereby null and void. The common stock of this association may be transferred only with the consent of the board of directors of the association and on the books of the association, and then only to persons eligible to hold it. No purported assignment or transfer of common stock shall pass to any person not eligible to hold it, nor the rights or privileges on account of such stock, nor a vote or voice in the management of the affairs of the association. This association shall have a lien .on all of its issued common stock for all indebtedness of the holders thereof to the association. No dividends shall be paid on the common stock. Section 3. Preferred Stock. The preferred stock of this association may be issued to any person, association, partnership, or corporation. Preferred stock shall carry no voting rights. Noncumulative dividends not to exceed percent (_%) per year may be paid on preferred stock at the absolute discretion of the board of directors. Preferred stock may be transferred only on the books of the association. It may be redeemed in whole or in part on a pro rata basis at par, plus any dividends declared and unpaid, at any time on thirty 18 (30) days’ notice by the association, provided said stock is redeemed in the same order as originally issued by years. If the owner fails to deliver any certificate evidencing such stock, the association may cancel the stock on its books. This association shall have a lien on all of its issued preferred stock for all indebtedness of the holders thereof to the association. Upon dissolution or distribution of the assets of the association, the holders of all preferred stock shall be entitled to receive the par value of their stock, plus any dividend declared and unpaid, before any distribution is made on the common stock. *ii********* ARTICLE VII. MENBERSHIP (nonstock cooperative) The association shall not have capital stock but shall admit applicants to membership in the association upon such uniform conditions as may be prescribed in its bylaws. This association shall be operated on a cooperative basis for the mutual benefit of its members as producers. Membership in the association shall be restricted to producers and associations of producers who shall patronize the association, The voting rights of the members of the association shall be equal, and no member shall have more than one vote upon each matter submitted to a vote at a meeting of the members. The property rights and interests of each member in the association shall be unequal and shall be determined and fixed on a patronage basis, and the net proceeds from the business of the association shall be allocated to member-patrons in the proportion that the patronage of each member bears to the total patronage of all the members of the association. 19 Amendment The articles may be changed whenever the appropriate percentage of the membership (and, if required by statute, the directors), as set out in the incorporation statute, votes to amend them. While the percentage is established by law, it is a good idea to include that requirement in the articles to remind people that the articles can be changed and to eliminate doubt as to the supp,ort required when the issue of possible amendment arises. While a majority of the statutes set the requirement at a simple or two-thirds majority of the members voting, several statutes require approval of a majority of the total membership. If turnout for member meetings is light, this poses a serious obstacle to changing the articles. ARTICLE VIII. Amendment These articles may be amended upon the affirmative vote of two-thirds of the members actually voting on the proposed amendment. Signatures Those persons who ask the State to authorize the cooperative, often called incorporators, complete the document by signing it. Signed this day of ,19__, by the undersigned incorporators, all of whom are engaged in agriculture as bona fide producers of agricultural products. I 20 BYLAWS Shortly after the cooperative is incorporated, the members adopt a set of bylaws. Bylaws provide a detailed description of the structure and method of operation of the cooperative. Bylaws are a working plan for how the association should function. Most incorporation laws give members flexibility to structure their cooperative as they see fit. Most references to bylaws are permissive, giving members the authority to write their own rules on how to handle a particular issue. Bylaws normally are not filed with the State. But like the articles, they are treated in a manner similar to statutes by the courts. Failure of the leadership to follow the bylaws can also lead to legal liability. Numerous provisions are usually found in cooperative bylaws. Some are similar to those included in bylaws of forprofit corporations, others are unique to cooperation. The most common provisions are discussed in this report. But a cooperative is free to place virtually any rule on the conduct of its affairs in the bylaws, provided the provision doesn’t conflict with an applicable law or the articles of incorporation. While almost any activity can be covered by a bylaw, only broad issues of long-term significance to members should be the subject of a bylaw. Operating decisions should not be covered in the bylaws, but rather in board policy resolutions. Board policies are directives to the management, issued by the board in its role as policymaker for the cooperative, that can be changed to reflect changing conditions at any time by the board. For example, whether the cooperative will do business with nonmembers is a general, long-term decision that should be covered in the bylaws. How nonmembers will be charged to insure that they pay their fair share of cooperative expenses is a short-term decision requiring the flexibility possible under a policy statement. Membership The first bylaw usually states the qualifications to be a member of the cooperative. Membership should be limited to 21 persons who will patronize the cooperative. For an agricultural cooperative, this means membership should be limited to producers of agricultural products and other farmer cooperative associations. Limiting the membership to producers and producer cooperatives is essential if the association wants to qualify for the limited antitrust protection of the Capper-Volstead Act, or for tax treatment under section 521 of the Internal Revenue Code, or if the cooperative is incorporated under a State law that requires that members be agricultural producers. This bylaw may also include other reasonable prerequisites to membership, such as agreeing to purchase a share of stock, sign a marketing agreement, and patronize the association on a regular basis. This bylaw should also provide for the orderly termination of a membership. This can be particularly important for an agricultural cooperative. The significant legal privileges listed above are only available to associations of producers. This requirement is only met if the membership of anyone who stops farming is revoked. When a membership is terminated, it is a good practice to return the purchase price of the voting share of common stock, or the membership fee in a nonstock cooperative (but not necessarily the retained patronage investments). This makes it clear to the former member that the termination was more than a symbolic gesture and that he or she no longer has the right to participate in the policymaking of the association. This sample language is written for a stock cooperative. In a nonstock cooperative, appropriate references to membership certificates and fees would be substituted for the terms common stock and purchase price. I ARTICLE I. MEMBERSHIP Section 1. Qualifications. Any person, firm, partnership, corporation or association, including both landlord and tenant in share tenancies, who is a bona fide producer of agricultural products in the territory in which the association is engaged in business, and who agrees to be a patron of the associa22 tion, signs a marketing agreement with the association, purchases one share of common stock, and meets such other conditions as may be prescribed by the board of directors, may become a member of the association. All applications for membership must be approved by the board of directors. Member status is effective as of the time the board approves the application for membership. Section 2. Suspension or Termination. In the event the board of directors of the association shall find, following a hearing, that any of the common stock of this association has come into the hands of any person who is not eligible for membership, or that the holder thereof has ceased to be an eligible member, or that such holder has not marketed through the association the products covered by a marketing agreement with the association, or not otherwise patronized the association for a period of (_) year(s), or otherwise violated the articles of incorporation, bylaws, or other agreements made with the association, the association may suspend such holder’s rights as a member and terminate the membership. When a membership is terminated, the association shall repurchase the member’s share of common stock for par value. The holder shall return to the association the certificate evidencing the holder’s share of stock. If such holder fails to deliver the certificate, the association may cancel such certificate on its books and records, and the certificate is then null and void. A suspended or terminated member shall have no rights or privileges on account of any stock held, nor vote or voice in the management or affairs of the association other than the right to participate in accordance with law in case of dissolution. 23 Meetings of Members A cooperative is owned and controlled by its members. A bylaw sets out the ground rules for convening the members to exercise their control function. An annual meeting is held each year to elect directors, review past performance and future plans, and conduct other business as needed. It is often a good idea to set the time of the annual meeting as promptly as possible after the end of the fiscal year. This encourages management to close the books for the year in a timely fashion and the auditor to review financial results and issue the audit report without delay. Also, the members are still focusing on last year’s performance. If the annual meeting is delayed too long, the members are often into another production cycle and not able to properly exercise their control over the cooperative. This bylaw should also authorize special member meetings to handle any business that can’t wait until the next annual meeting. Members should receive sufficient advance notice so they can plan to attend meetings. Many incorporation statutes have specific minimum notice requirements, both in terms of lead time (often 10 days or 2 weeks) and method (direct mail, publication in local newspaper). Associations incorporated under such a law must make sure the bylaw provides at least as much notice as the statute requires, and that appropriate notice is actually given. Otherwise any action taken at the meeting may be open to legal challenge. A statement on how voting will be conducted is also appropriate in this bylaw. How many votes each member will have is only one aspect of this issue. The draft language limits each member to one vote. If proportional voting is used, a description of how members will qualify for multiple votes, and a limit, if any, on the number of votes any one member can accumulate, should be substituted in the applicable place. Language on voting on behalf of members organized as partnerships and corporations can avoid an embarrassing dispute right before or even during a membership meeting over how such a member will vote on an issue. Many cooperatives 24 have members organized as partnerships or corporations designate, in writing, who will cast the member’s vote, and that person alone can vote for the member until the member provides a valid written notice of a change in the designee. Other topics that should be addressed include proxy voting, voting by mail, and cumulative voting. There is no “right” way to handle these matters, although cumulative voting is usually prohibited. Sometimes the incorporation statute discusses proxy voting and voting by mail. Many cooperatives that permit proxy voting limit the number of proxies a member can vote, often to only one. If voting by mail is allowed, it is often limited to issues discussed in the meeting notice. Finally, the minimum number of members that need be present to conduct business, called a quorum, should be specified. If the statute permits, quorum requirements are frequently set low (e.g., 10 members or 10 percent of the membership, whichever is greater) so meetings will not have to be adjourned for lack of a quorum. While this exposes the association to control by an active minority, it is sometimes necessary in order to make sure that any business is conducted at all. ARTICLE II. MEETINGS OF MEMBERS Section 1. Annual Meeting. The annual meeting of the members of this association shall be held in the State of , during the month of -9at such time and in such place as the board of directors shall designate. Section 2. Special Meetings. Special meetings of the members of the association may be called at any time by order of the board of directors and shall be called upon written request of at least members, or at least _ percent (__%) of the membership, whichever is a greater number. Section 3. Notice of Meetings. Written notice of every regular and special meeting of members shall be prepared and mailed to the last known post office 25 address of each member not less than -0 days before such meeting. Such notice shall state the nature of the business expected to be conducted and the time and place of the meeting. No business shall be transacted at any special meeting other than that referred to in the notice. Section 4. Voting. Unless otherwise stated in the articles of incorporation, or these bylaws, or required by applicable law, all questions shall be decided by a vote of a majority of the members voting thereon. Each member shall be entitled to only one vote, Voting by mail shall not be permitted. Proxy voting shall be allowed. Each proxy shall be in writing, and no member shall vote more than one proxy. Cumulative voting is not permitted. If a membership is held by a partnership, corporation, or other legal entity, the member shall designate in writing the person who shall vote on behalf of the member. That designation shall remain in effect until written notice of a properly authorized change in the designated voter shall be received by the association. Section 5. Quorum.( members or percent I%) of the membership, whichever is a larger number, shall constitute a quorum at any properly called annual or special membership meeting. Directors and Officers While the members own and control the cooperative, the responsibility for continuous supervision of the association is usually delegated to a small group of democratically elected leaders referred to as the board of directors, who in turn select officers to carry out specific leadership duties. Many cooperative experts consider the selection of directors as the most important governance decision made by the membership. 26 This bylaw covers the administrative rules for the selection of directors and officers and for the conduct of their meetings. Many important issues are discussed in this provision. Number and Qualification of Directors. The specific number and qualifications of directors must be established. The incorporation law will usually prescribe a minimum number of directors. There is no legal maximum on the size of a board, but experience suggests that if more than about nine people are on a local cooperative board, efficiency is reduced substantially. Many State statutes require that all directors be members of the cooperative. Some permit, or even require, one or more outside directors. The sample bylaw requires directors to be association members. If outside directors are to be authorized, the number and manner of selection should be included in the bylaw. Directors have access to pricing and other marketing plans that could be used by a competitor to take business from the cooperative. Thus, many cooperatives bar persons affiliated with competitors of the association from being directors. Cooperatives usually do not, however, bar such persons from membership. For example, a farmer who sells produce directly to a grocery chain may belong to and market some produce through a cooperative that also sells wholesale, but that farmer is frequently denied access to a seat on the cooperative board. A few cooperatives guarantee board turnover by limiting the number of consecutive terms a director can serve. Director and Officer Selection. The rules for election of directors by the members, and officers by the directors, are set out in the bylaws. In many cooperatives the directors are elected for three-year terms on a staggered basis. While directors are usually elected from the membership at large, some cooperatives elect directors on the basis of geographic regions, usually called districts. Sample language authorizing the election of directors by districts is set out in Appendix A. Officers are usually elected for one-year terms. Even many statutes that require all directors to be association members permit some officers, notably the secretary and treasurer, to be nonmembers of the association. This allows staff employees who normally keep association records and books to have both the appropriate title and attendant responsibilities. 27 Sometimes directors and officers are not able to serve their full term. The bylaws should provide for a method to fill vacant director and officer positions, Usually the remaining directors select an interim director to fill a board vacancy until the next membership meeting. Directors can usually select a replacement officer at any properly called board meeting. Meetings. The bylaws frequently provide much of the same information for director meetings as for member meetings - regular and special meetings are authorized, notice and quorum requirements are set out. Compensation . Another issue that should be addressed is director compensation. Many directors spend innumerable hours each year overseeing and promoting the cooperative. It seems reasonable for the association to at least cover out-ofpocket expenses incurred on behalf of the association. Some cooperatives also pay a modest fee for each meeting directors attend, or time they spend on cooperative affairs. While reimbursement of reasonable expenses is usually covered with a blanket authorization, fees should be handled more delicately. Directors should not have the right to set their own compensation. Both the decision to pay any fee, and the level of any fee authorized, should be made by the members. Nepotism. Many cooperatives also have a bylaw provision preventing directors and members of their immediate families from holding salaried positions with the cooperative. This antinepotism language eliminates the chance some members might view the awarding of the position as the result of undue influence of the director, rather than selection on the basis of merit. Removal of Directors. Finally, it may be necessary at some time to remove a director from that position. Sometimes termination is automatic, e.g., failure to maintain member status or missing too many board meetings. The ultimate authority in a cooperative is vested in the members, and they should be able to remove a director at will. As this is often a severe and divisive undertaking, it is best to provide a procedure in the bylaws that affords due process for the director under attack and conforms closely to any procedural requirements set out in the incorporation statute. 28 ARTICLE III. DIRECTORS AND OFFICERS Section 1. Number and Qualification of Directors. The association shall have a board of directors of _(_) members. Each director elected shall be a member of this association in good standing. No person shall be eligible to be a director if that person is in competition with, or is affiliated with any enterprise that is in competition with, the association. If a majority of the board of directors of the association finds at any time following a hearing that any director is so engaged or affiliated that person shall thereupon cease to be a director. No director after having served for I ) consecutive full term(s) shall be eligible to succeed himself or herself, but after a lapse of _ I_) yed4 d-d again be eligible. Section 2. Election of Directors. At the first annual meeting of the members of this association, directors shall be elected to succeed the incorporating directors. _ director(s) shall be elected for one (1) year: _ directors for two (2) years and _directors for three (3) years. At each annual meeting thereafter, new directors shall be elected, for a term of three (3) years each, to succeed those directors whose terms are expiring. All directors shall be elected by secret ballot, and the nominee(s) receiving the greatest number of votes shall be elected. Section 3. Election of Officers. The board of directors shall meet within seven (7) days after the first election and within seven (7) days after each annual election and shall elect by ballot a president, vice president, secretary, and treasurer, each of whom shall hold office until the election and qualifi29 cation of a successor, unless earlier removed., by death, resignation, or for cause. The president and vice president shall be members of the board of directors. The secretary and treasurer need not be directors or members of the association. Section 4. Vacancies. Whenever a vacancy occurs in the board of directors, other than from the expiration of a term of office, the remaining directors shall appoint a member to fill the vacancy until the next regular meeting of the members. If the term of the vacating director does not expire at that regular member meeting, a special election shall be held to select a director to fill the year or years remaining in that term. If one or more officer positions become vacant, such offices shall be filled by the board of directors, through election by ballot, at either a regular or special meeting of the board. Section 5. Regular Board Meetings. In addition to the meetings mentioned above, regular meetings of the board of directors shall be held monthly, or at such other times and at such places as the board may determine. Section 6. Special Board Meetings. A special meeting of the board of directors shall be held whenever called by the president or by a majority of the directors. Only the business specified in the written notice shall be transacted at a special meeting. Each call for a special meeting shall be in writing, shall be I signed by the person or persons calling the meeting, shall be addressed and delivered to the secretary, and shall state the time and place of such meeting. Section 7. Notice of Board Meetings. Oral or written notice of each meeting of the board of directors shall be given each director by, or under the 30 supervision of, the secretary of the association not less than _ hours prior to the time of meeting. But such notice may be waived by all the directors, and their appearance at a meeting shall constitute a waiver of notice. Section 8. Quorum. A majority of the board of directors shall constitute a quorum at any meeting of the board. Section 9 . Reimbursement and Compensation. The association shall reimburse directors for all reasonable expenses incurred in carrying out their duties and responsibilities. The compensation, if any, of the members of the board of directors shall be determined by the members of the association at any annual or special meeting of the association. No member of the board of directors, or member of the immediate family of any board member, shall occupy any position in the association on regular salary. Section 10. Removal of Directors. Whenever any director shall fail to meet the qualifications as described in Section I of this Article, or fails to attend three (3) consecutive board meetings, either regular or special, without just cause and provided that notice of such meetings has been given in accordance with these bylaws, then it shall be the duty of the board to remove said director and to fill the vacancy in accordance with Section 4 of this Article. Members, through petition noting the charges and signed by at least _(J members or _ percent (_%) of the membership, whichever is a greater number, may request the removal of any member of the board. Such director shall be notified in writing of the charges and given an opportunity to be heard at a membership meeting of the association. Removal of a director shall require a vote of of 31 I members voting. Any vacancy resulting from such action shall be filled by nomination and vote of members at such meeting. Duties of Directors The directors are responsible for the ongoing operations of the cooperative. They set policy and oversee the staff operations that implement that policy. Cooperative bylaws often contain language placing a legally binding obligation on the directors to carry out their most important duties. This bylaw often establishes the general relationship between the directors and the manager. An important responsibility of the board is to hire and supervise the manager. The board sets manager compensation and benefits. The manager, not the board, runs the day-to-day business operations of the cooperative. This includes hiring and firing other employees. If the board is dissatisfied with the way the cooperative is conducting its affairs, it should exercise its authority to replace the manager, but it should not take on the manager’s responsibilities. The bylaw should also recognize another important board responsibility-protecting member assets-by providing for appropriate bonds and insurance, an accounting and auditing system, and board control of association funds. Finally, the board should have the authority to appoint committees so its work load can be handled efficiently. Sometimes specific reference is made to an executive committee. An executive committee with broad powers can be useful, especially when the membership is spread over a large geographic area and some directors have to travel some distance to attend meetings. But the other directors must be careful not to abdicate all board responsibility to the executive committee. ARTI&E IV. DUTIES OF DIRECTORS Section 1. Management of Business. The board of directors shall have general supervision and control of the business and the affairs of the associa32 tion and shall make all rules and regulations not inconsistent with law, the articles of incorporation, or bylaws for the management of the business and the guidance of the members, officers, employees, I and agents of the association. Section 2. Employment of Manager. The board of directors shall have power to employ, define duties, fix compensation, and dismiss a manager with or without cause at any time. The board shall authorize the employment of such other employees, agents, and counsel as it from time to time deems necessary or advisable in the interest of the association. The manager shall have charge of the business of the association under the direction of the board of directors. Section 3. Bonds and Insurance. The board of directors shall require the manager and all other officers, agents, and employees charged by the association with responsibility for the custody of any of its funds or negotiable instruments to give adequate bonds. Such bonds, unless cash security is given, shall be furnished by a responsible bonding company and approved by the board of directors, and the cost thereof shall be paid by the association. The board of directors shall provide for the adequate insurance of the property of the association, or property which may be in the possession of the association, or stored by it, and not otherwise adequately insured, and, in addition, adequate insurance covering liability for accidents to all employees and the public. Section 4. Accounting System and Audits. The board of directors shall have installed an accounting system which shall be adequate to meet the requirements of the business and shall require proper records to be kept of all business transactions. 33 Duti 34 At least once in each year the board of directors shall secure the services of a competent and disinterested public auditor or accountant, who shall make a careful audit of the books and accounts of the association and render a report in writing thereon, which report shall be submitted to the directors and the manager of the association and made available to the members of the association. This report shall include at least a balance sheet showing the true assets and liabilities of the association, and an operating statement for the fiscal period under review. Section 5. Depository. The board of directors shall select one or more banks to act as depositories of the funds of the association and determine the manner of receiving, depositing, and disbursing the funds of the association and the form of checks and the person or persons by whom they shall be signed, with the power to change such banks and the person or persons signing such checks and the form thereof at will. Section 6. Committees. The board may, at its discretion, appoint from its own membership an executive committee of _members, and determine their tenure of office and their powers and duties. The board may delegate to the executive committee all or any stated portion of the functions and powers of the board, subject to the general direction, approval, and control of the board. Copies of the minutes of any meeting of the executive committee shall be mailed to all directors within seven (7) days following such meeting. The board of directors may, at its discretion, appoint such other committees as it deems appropriate. 5 of Officers Nhile the tasks that go with each major office of a corpora- tion are generally well understood, it is still important to have those duties spelled out in the bylaws. This will minimize any uncertainty over the roles each plays in leading the association. ARTICLE V. DUTIES OF OFFICERS Section 1. Duties of President. The president shall (1) preside over all meetings of the association and of the board of directors: (2) call special meetings of the board of directors; (3) appoint such committees as the board of directors may deem advisable for the proper conduct of the cooperative: and (4) perform all acts and duties usually performed by a presiding officer. Section 2. Duties of Vice President. In the absence or disability of the president, the vice president shall perform the duties of the president, provided, however, that in case of death, resignation, or disability of the president, the board of directors may declare the office vacant and elect any eligible person president. Section 3. Duties of Secretary. The secretary shall keep a complete record of all meetings of the association and of the board of directors and shall have general charge and supervision of the books and records of the association. The secretary shall sign papers pertaining to the association as authorized or directed by the board of directors. The secretary shall serve all notices required by law and by these bylaws and shall make a full report of all matters and business pertaining to the office to the members at the annual meeting. The secretary shall keep the corporate seal and all books of blank certificates, complete and countersign all certificates issued, and affix the corporate seal to all papers requiring a seal: shall keep complete stock ownership records: shall make all reports required by law: and shall perform 35 such other duties as may be required by the association or the board of directors. Upon the election of a successor, the secretary shall turn over all books and other property belonging to the association. Section 4. Duties of Treasurer. The treasurer shah be responsible for the keeping and disbursing of all monies of the association, and shall keep accurate books of accounts of all transactions of the association. The treasurer shall perform such duties with respect to the finances of the association as may be prescribed by the board of directors. At the expiration of his term of office, the treasurer shall promptly turn over to his successor all monies, property, books, records, and documents pertaining to his office or belonging to the association. Operation at Cost and Members’ Capital Many of the unique aspects of the bylaws of a cooperative pertain to the association’s financial affairs. Tax law plays an important part in structuring these provisions. This report does not attempt to explain cooperative taxation but only makes passing references to tax terms when explaining the importance of certain bylaw provisions. Since the overall objective of a cooperative is to maximize the income of its members, leaders must have flexibility to acquire capital and minimize taxes. The next several provisions, up to and including dissolution, authorize business and tax planning options compatible with doing business on a cooperative basis. This section often starts with a straightforward statement that the association will operate on a service-at-cost basis for the mutual benefit of the members as patrons and then covers specific issues to implement that statement. Language is usually included to allocate margins on a patronage basis. Allocation can be based on the volume or the value of business conducted on a patronage basis. Cooperatives dealing in one commodity, or in similar commodities, usually use the volume method. Those that handle several products 3s with divergent values often use the dollar-value-of-business method. The sample language assumes that the association is a marketing cooperative using the volume method. Appropriate wording for supply cooperatives and those using the value method is provided in parentheses. Marketing cooperatives have an alternative method of raising equity capital, the collection of per-unit retains. Language authorizing this option should be included in their bylaws. The term “capital credits” is used in the sample language to distinguish the retained margins and per-unit retains from direct member investments in stock. This distinction simplifies establishing an equity redemption program for patronage-based investments apart from any redemption of direct investments. The bylaw should specify whether dividends will be paid on this patronage capital. Since the completeness and accuracy of each patron’s account is vital to assigning financial obligations and benefits in the appropriate manner, a provision obligating the association to keep the required records is an important protection for the members. A statement requiring the timely distribution of written notices of allocation and per-unit retain certificate is both good business practice and a requirement for favorable tax treatment under the Internal Revenue Code. That statement should authorize the board to issue those notices and certificates, in either qualified or nonqualified form, so as to maximize the tax planning alternatives available. ARTICLE VI. OPERATION AT COST AND MEMBERS’ CAPITAL Section 1. Operation at Cost. The association shall at all times be operated on a cooperative service-at-cost basis for the mutual benefit of its member patrons. Section 2. Margin Allocation. In order to induce patronage and to assure that this association 37 will operate on a service-at-cost basis in all its transactions with its members, the association is obligated to account on a patronage basis to all member patrons on an annual basis for all amounts received from business conducted with members on a patronage basis, over and above the cost of providing such services and making reasonable additions to reserves. Such allocation shall be on the basis on the volume (dollar value) of product marketed through (purchased from) the association. The association is hereby obligated to pay all such amounts to the patrons in cash or by credits to a capital account of each member patron. Section 3. Per-Unit Retains. Each member also agrees to provide capital in such amounts as determined by the board of directors based on physical units of product marketed through the association. Such per-unit retains shall be allocated to the member’s capital credit account, Section 4. Dividends. No dividends shall be paid on any capital credits. Section 5. Records and Documentation. The books and records of the association shall be set up and kept in such a manner that at the end of each fiscal year, the amount of capital, if any, so furnished by each member is clearly reflected and credited in an appropriate record to the capital account of each member. The association shall, within 8-l/2 months after the close of each fiscal year, notify each member of the capital so credited to the member’s account. The notice shall be in the form of a written notice of allocation or per-unit retain certificate (as those terms are used in Subchapter T of the Internal Revenue Code) or other appropriate written document. The board shall have discretion to issue such 38 notices and certificates in either “qualified” or “nonqualified” form as permitted by the Internal Revenue Code and other applicable law. Section 6. Fiscal Year. The fiscal year of this association shall commence on the first day of (month) and end on the last day of (preceding month). Equity redemption A bylaw authorizing redemption of patronage capital and explaining the method to be used helps insure that, to the extent possible, current patrons finance the cooperative. There are three types of equity redemption plans. Most cooperatives that have an equity redemption program use a revolving fund plan whereby equities are redeemed in the order in which they were allocated. The first paragraph of the sample bylaw presents this approach. A limited number of cooperatives redeem a percentage of all outstanding equities each year. Sample language to implement this plan is found in section 1 of the Alternative Equity Redemption Bylaw (Appendix B). A few cooperatives have adopted a base capital plan. Under a base capital plan each member is assigned responsibility for providing a pro rata share of needed capital based on proportional use of the cooperative during a base period. A sample bylaw authorizing a Base Capital Plan is presented in Appendix C. Associations interested in such a plan should contact a professional adviser who can draft a scheme tailored to the association’s unique needs. Some cooperatives grant the board discretion to retire outstanding member equity “out of order” as it deems in the best interests of the association. Sample language for implementation of the discretionary approach appears in the second paragraph of the sample bylaw below. Other cooperatives provide a specific redemption preference for equity of the estates of deceased members and/or retired members who have reached a certain age. An event-specific preferences clause can be complex, particularly if it attempts to 39 deal with the special problems created by members organized as legal entities and thus do not regularly retire or die. Sample language covering this situation is provided in section 2 of the sample bylaw in Appendix B. New associations are not going to be in a position to redeem equity for several years. But an early commitment to develop a regular equity redemption program and agreement on the rules for its implementation will strengthen an association’s cooperative character and give early supporters some assurance that they will get their investment back at some time in the future. Consent ARTICLE VII. EQUITY REDEMPTION Section I. Regular Redemption, Revolving Fund. If at any time the board of directors determines that the financial condition of the association will not be impaired thereby, capital credited to members’ accounts may be redeemed in full or in part. Any such redemption of capital shall be made in order of priority according to the year in which the capital was furnished and credited, the capital first received by the association being the first redeemed. Section 2. Discretionary Special Redemptions. Notwithstanding any other provision of these bylaws, the board, at its absolute discretion, shall have the power to retire any capital credited to members’ accounts on such terms and conditions as may be agreed upon by the parties in any instance in which the interests of the association and its members are deemed to be furthered thereby and funds are determined by the board to be available for such purposes. If the cooperative is to deduct the face value of written notices of allocation and per-unit retain certificates from taxable income in the year issued, the Internal Revenue Code requires patrons to consent to include those amounts in taxable income 40 in the year they receive a notice or certificate, even though the cooperative retains the funds. The simplest way to obtain consent from members is to include a bylaw making consent a condition for membership. The Internal Revenue Service has published a model consent bylaw which should be adopted. Another paragraph is inserted making it clear that the cooperative must explain the meaning of consent to members and prospective members: this reminds leaders that such an explanation is also a tax law requirement. ARTICLE VIII. CONSENT Each person who hereafter applies for and is accepted to membership in this association, and each member of this association on the effective date of this bylaw who continues as a member after such date, shall, by such act alone, consent that the amount of any distributions with respect to his patronage occurring after the effective date of this bylaw, which are made in qualified written notices of allocation or qualified per-unit retain certificates (as defined in 26 U.S.C. 1388), and which are received by him from the cooperative, will be taken into account by him at their stated dollar amounts in the manner provided in 26 U.S.C. 1385(a) in the taxable year in which such written notices of allocation and per-unit retain certificates are received by him. Written notification of the adoption of this Article, a statement of its significance, and a copy of the provision shall be given separately to each member and prospective member before membership in the association. Nonmember Business The bylaws should make it clear whether the association may or may not do business with nonmembers. The sample bylaw assumes that the association will want the option to conduct nonmember business. 41 If the association does nonmember business, the CapperVolstead Act and many State incorporation laws require that a majority of the association business be done with or for members. The first three sentences of the sample bylaw are thus found in most cooperative bylaws. If an association wishes to qualify for tax treatment under section 521 of the Internal Revenue Code, it may not do more than 15 percent of its farm supply business with persons who are neither members nor producers (business with the Federal government can be disregarded in making this computation). The last two sentences in the example cover this situation. ARTICLE IX. NONMEMBER BUSINESS This association may conduct business with nonmembers on either a patronage or nonpatronage basis. However, this association shall not market the products of nonmembers in an amount the value of which exceeds the value of the products marketed for members. Itshall not purchase supplies and equipment for nonmembers in an amount the value of which exceeds the value of the supplies and equipment purchased for members. It shall not purchase supplies and equipment for persons who are neither members nor producers of agricultural products in an amount the value of which exceeds fifteen percent (15%) of all its purchases. Business done for the United States or any of its agencies shall be disregarded in determining the limitations imposed by this section. Nonpatronage Income Several factors are combining to increase the proportion of cooperatives that have taxable earnings from nonpatronage sourced. These factors include a growing reliance on nonmember business to sustain the cooperative, more forceful positions by IRS auditors to classify investment income as nonpatronage sources, and less use of section 521. The bylaws should recog42 nize this as special income and provide the board discretion to add it to a capital reserve, distribute it to members, or put it to any other lawful use. I ARTICLE X. NONPAlXONAGE INCOME The nonpatronage income of the association shall be its gross receipts derived from all sources which under law do not qualify as patronage income, less all expenses properly attributable to the production of such nonpatronage sources income and all income taxes payable on such receipts by the association, Nonpatronage income shall be used in behalf of the association and its members in accordance with such lawful purposes, including assignment to an unallocated reserve account and allocation in whole or in part to members, as may be determined by the board of directors. Handling of Losses While cooperatives operate at cost over the long term, the financial world operates for accounting and tax purposes in single-year segments. Sometimes cooperatives have a loss in that relatively short framework. The bylaws should anticipate the possibility of a loss year. They should explain how decisions will be made to allocate the loss on an equitable basis. The proper treatment of losses by cooperatives for tax purposes has long been a contentious issue between cooperatives and the Internal Revenue Service. The sample bylaw reflects a moderate position that financial results on patronage and nonpatronage business should be separated: gains and losses within each category can be combined, or “netted,” for tax purposes; and losses under either category can be carried back or forward to offset earnings in other years under the applicable provisions of the tax code for businesses in general. As the rules for handling losses are subject to change from time to time, counsel should be asked to keep informed on this issue and advise the association when this bylaw may need revision. 43 It may also be prudent to include a prohibition on directors voting a direct assessment on the members. This will prevent outside interests from pressuring the directors into an action likely to have a negative impact on member relations. ARTICLE XI. LOSSES Section z . Patronage Losses. In the event the association suffers a loss during any year on business conducted with or for patrons, such loss may be apportioned among the patrons during the year of loss so that such loss will, to the extent practicable, be borne by the patrons of the loss year on an equitable basis. The board shall have full authority to prescribe the basis on which capital furnished by patrons may be reduced or such loss otherwise equitably apportioned among the patrons. In the event of a patronage loss in one or more departments or divisions of the operation of this association, but not so much as to cause an overall loss for the fiscal year, such loss or losses may be prorated against each of the remaining profitable departments on the basis of their respective percentage of the net margins during such fiscal year. Section 2. Nonpatronage Losses. If in any fiscal year the association shall incur a loss other than on patronage operations, such loss may be charged against any reserve accumulated from nonpatronage earnings in prior years. Section 3. General Provisions. The board shall have no authority to make assessments against members. This section shall not be construed to deprive the association of the right to carry backward or forward losses from any source whatsoever in accordance with the Internal Revenue Code or state taxing statutes. 44 Dissolution Many of the rules to dissolve a cooperative are contained in various statutes and are too complex to reproduce in the bylaws. One issue that should be addressed is how any assets that might remain after all liabilities are met should be distributed. In a noncooperative corporation this is usually done on the basis of stock ownership and, if the bylaws are silent on this issue, this may be the rule imposed on cooperative members by a court. It is a good idea to consider language in the bylaws of a cooperative making clear that such a distribution will be on the basis on patronage. I ARTICLE XII. DISSOLUTION AND PROPERTY INTEREST OF MEMBERS Upon dissolution, after all debts and liabilities of the association shall have been paid, all shares of preferred stock and common stock redeemed, and all capital furnished through patronage shall have been retired without priority on a pro rata basis, the remaining property and assets of the association shall be distributed among the members and former members in the proportion which the aggregate patronage of each member bears to the total patronage of all such members insofar as practicable, unless otherwise provided by law. Indemnification As the trend toward litigating to test the validity of various decisions by corporate leaders has grown, so has the possibility that directors, officers and employees may be found personally liable for the adverse consequences of their decisions. This has made some people understandably reluctant to assume leadership positions, particularly as unpaid or minimally compensated directors and officers. State governments, recognizing the valuable role directors and officers play in corporate affairs, have adopted a variety of 45 laws limiting liability of corporate leaders and permitting corporations to shield leaders from direct personal loss for decisions they make on behalf of the corporation. In many States this is a developing area of the law, and the extent of permissible indemnification changes frequently. To encourage members to serve as directors, and to make sure leaders don’t shy away from innovative ideas, cooperatives should consider a bylaw accepting the maximum amount of responsibility for indemnification permitted by State law. Prudent risk management usually includes the purchase of liability insurance to protect against an indemnification claim that might otherwise lead to significant exposure for the association. This coverage can seem quite expensive, so the sample language uses the permissive term “may” rather than the mandatory term “shall.” But whenever possible, this insurance should be obtained to avoid exposing member assets to unacceptable risk. I ARTICLE XIII. INDl3MNIFICATION The association shall indemnify its officers, directors, employees, and agents to the fullest extent possible under the provisions of the (applicable State law), as it may be amended from time to time. The association may purchase liability insurance coverage for any person serving as an officer, director, employee or agent to the extent permitted by applicable State law. Amendment It is important for cooperative leaders to remember that bylaws are not set in stone. They can, and should, be changed whenever they stand as a barrier to cooperative activity desired by the member-owners and permissible under the law. While the incorporation statute will include language permitting amendment of the bylaws and setting out how this can be accomplished, a bylaw on amendment is usually included to 46 remind leaders that change is possible and to call attention to any unusual legal requirement, such as a higher than normal positive voting requirement, that may be applicable. ARTICLE XIV. AMEXWMENTS If notice of the character of the amendment proposed has been given in the notice of meeting, these bylaws may be altered or amended at any regular or special meeting of the members by the affirmative vote of (_) of the members present or voting by proxy. Again, these are only examples of the provisions common to most cooperative bylaws. Virtually any other rule can be included that is permissible under law. It is up to the leaders and members of a cooperative to craft a set of bylaws that guides the association to serving members’ needs. MARKETING AGREEMENT Cooperatives that market farm products and other goods of their members will usually want a separate contract with each member establishing the terms upon which they will conduct their business transactions. This contract is commonly called a marketing agreement. If the members only want the cooperative to serve as a home-of-last-resort for product that can’t be sold elsewhere, then a marketing agreement is not necessary. But if the members want an organization that will enhance the return they earn on all of their production, then a marketing agreement is an important marketing tool. The marketing agreement is a unique contract in that, because the members own ,and control the cooperative, the members are entering into a contract with themselves. But it is more accurate to picture the agreement as a contract between each individual member and the membership as a whole. An important key to making the system work is for everyone to remember that the cooperative is democratically con47 trolled by the members. No individual member has a right to unilaterally cancel or change the marketing agreement, and the leadership should not insist on arrangements that are contrary to the wishes of a majority of the membership. The marketing agreement builds on the patronage commitment section of the organizational agreement. Each individual member’s obligation to the organization committee is transferred to the new cooperative entity. While the basic content of the articles and bylaws is standardized throughout the cooperative community, the substantive provisions of the marketing agreement are influenced by the custom and trade of the market for the commodity covered by the agreement. Thus the sample language may need substantial modification to meet member needs. As with the articles and bylaws, the terms of the marketing agreement are binding until changed, but they are not etched in stone. The association-represented by its officers and directors-and the members are free to adopt an approach to any issue different than the approach set out in the organization agreement or in previously adopted marketing agreements. Introduction These initial provisions identify the parties to the contract, the cooperative and the producer, and usually establish any other requirements that the producer must meet, including any initial equity investment obligation, to be a member of the cooperative. I MARKEUINGAGREEMENT THIS AGREEMENT, made as of this _ day of x9_, by and between , herein referred to as “Producer,” and t an agricultural cooperative having an office at , herein referred to as “Association”. RECITALS A. Association is an agricultural cooperative organized under the laws of the State of . B. Producer is a member of the Association who produces . C. Producer has purchased one share of common voting stock and paid to Association the sum of dollars ($), calculated at the rate of $ per -(unit) of (product) as specified in Producer’s membership application, receipt of which is acknowledged as an equity investment in the Association. This entitles Producer to all the benefits of membership in the Association as long as Producer complies with the articles of incorporation and bylaws of the Association and the provisions of this agreement. In consideration of the mutual covenants and obligations contained herein, the parties agree as follows: sales Terms This provision outlines how the association will sell the products and pay the member-patrons. The first paragraph normally defines the obligation of the producer to deliver product to the association. The same three options outlined in the patronage commitment examples for the organization agreement-full production, defined volume, and set acreage-are available for use in setting the delivery commitment once operation begins, The defined volume option is utilized in this example, so if another type of obligation is adopted, appropriate modification of the first paragraph should be made. The second paragraph explains how the association will distribute the proceeds of resale to the member. Two ways of accounting for these proceeds are common. One is sometimes referred to as a gross margin operation. The association agrees 49 to pay the member the going market price for the product, less deductions for operating expenses. After the end of the fiscal year, any margin is returned to the producers as a patronage refund. The other is called the pooling method. In this arrangement all proceeds above expenses are returned to the producers on the basis of patronage. Such associations do not generate margins, as such, and thus lack access to retained patronage refunds to obtain equity. Pooling cooperatives must rely on per-unit retains and other means of raising capital. An example of draft language for each option is set forth below. Other terms of sale should also be included in the agreement. Sample language on several areas commonly covered are provided: responsibilities for delivery and for inspection and grading of the product; authorization for the association to pledge the product and sales proceeds as collateral for loans and otherwise exercise the rights of ownership: authorization for the association to withhold fees to cover operating expenses and capital retains from checks to growers; and an explanation of how the parties to the contract will deal with liens against the product. Section 1. Sale of (product). Association agrees to buy and Producer agrees to sell to Association (number) (units) of (product) as defined by USDA standards and grown by Producer. This agreement is intended by the parties to pass an absolute title to (number) _ (units) of (product) grown by Producer as soon as they have a potential existence but such (product) shall be at the risk of Producer until delivery. * * * * * * OPTION - Gross Margin Operation * * * * l l Section 2. Payment to Producer. Association shall market Producer’s (product) and Producer shall accept as payment for Producer’s (product) a price based on the current market price in the area for (product) of like grade and 50 quality. Association shall pay the amount due Producer, less deductions authorized in Section 6 of this agreement, not more than _ days after delivery of [product) to Association or Association’s prescribed buying location. l * * l l * OPTION - Pooling Operation l l * * * * Section 2. Payment to Producer. The Association may at any time pool any or all (product) of Producer with any other (product) of a similar kind and grade. Producer shall receive, for (product) pooled, a unit price equal to the average net unit price obtained for the pooled (product), less deductions authorized in Section 6 of this agreement. Association shall make an advance payment to Producer of percent of the current market price in the area for (product) of like grade and quality not more than _ days after delivery of (product) to Association or Association’s prescribed buying location. Section 3. Delivery. All (product) shall be delivered by Producer at Producer’s expense at the earliest reasonable time after harvesting, or at such time as called for by Association, to Association’s principal place of business or to one of Association’s authorized buying locations as prescribed by Association. The Association will use its best efforts to locate buying locations within a reasonable distance from Producer’s farm. Section 4. Inspection and Grading. Prior to acceptance by Association, all (product) shall be inspected and graded by the USDA in accordance with USDA standard rules and regulations. All purchases and/or marketings of (product) received by Association from Producer 51 shall be based upon USDA grade, and Producer agrees to accept the grading established by USDA. Section 5. Loans and Security. Association shall have the power to borrow money for any purpose on the security of the (product) delivered to Association, the products derived thereupon, and evidence of such products or by-products, or cash or accounts arising from the sale thereof, and to give a lien, either legal or equitable, thereon as the absolute owner and/or marketing agent thereof. Association may commingle such products and byproducts with other products and by-products of like grade and variety and shall exercise all other rights of ownership without limitation. Section 6. Deductions. Association agrees to purchase from and/or market for Producer the (product) set forth in Section 1 and to pay to Producer for said (product) the price set forth in Section 2, less the following deductions authorized by Producer: a. An amount to be determined annually by the board of directors, in the sole discretion of the board, to meet the general contingencies of the business of the Association including operating expenses. b.A$ . per___ (unit) capital retain deduction by the Association on the purchase price of each _(unit) of (product) received from Producer. Section 7. Liens. Producer shall notify the Association of any lien on any (product) covered by this agreement. Producer shall obtain permission from the lien holder for Association to market such (product) and to retain any deductions from the payments to Producer autho52 rized hereunder and under the articles of incorporation and bylaws of the Association. After any such deductions, Producer authorizes the Association to apply the balance of the sale proceeds, or so much thereof as necessary, for payment of the lien. Enforcement As a member owned and controlled entity, one of the most sensitive areas of management and leadership in a cooperative is the disciplining of members who violate their agreements with the association. But unless each member honors his or her obligations to the association, the collective strength of the venture is weakened and the entity’s chance of success is diminished. This is especially true where a marketing agreement is in effect. Management has to be able to anticipate the amount of product that will be delivered so it can plan for its processing and resale. Disruptions in anticipated delivery by natural causes, such as drought, are usually excused under a so-called “Act of God” clause in the cooperative’s contracts with buyers. But if members simply do not deliver product to the association as promised, management may be forced to buy product on the open market to meet association commitments or even default on its own contractual obligations. Usually a member knowingly violates the marketing agreement because the member thinks he or she can get a better price somewhere else. In the short term, this may indeed be the case. No firm always has the best price in a competitive market. But a cooperative must view itself as a long-term undertaking. If some members are allowed to forsake the cooperative for personal shortterm gain, they do so at the expense of those members who honor their agreement. Because the marketing agreement is a contract between each individual member and the membership as a whole, the leadership has the responsibility to protect the interest of the group as a whole. That means taking steps, including legal action if necessary, to enforce the marketing agreement. Most State cooperative incorporation statutes permit contractual provisions to facilitate enforcement of marketing agree53 ments. One is the inclusion of language providing for liquidated damages. In general corporate law, an injured party must prove the extent of the loss with great specificity to be eligible for compensation. This can be very difficult to do when agricultural commodities are involved. Their value changes by the day, or even by the minute. So in this instance, the parties can agree through contract on a specific level of damages, called liquidated damages, that will be the penalty for violating the contract. The level must be high enough to truly discourage breaches of the contract and to compensate the other members for their loss. A frequently used rule-of-thumb is 25 percent of the estimated market value of the commodity if it had been delivered under the contract. Marketing agreements also usually authorize the association to go to court and seek a restraining order against either actual or anticipated breach of the contract. The agreement may also make the offending party liable for legal fees incurred by the association in defending the agreement. Section 8. Liquidated Damages. The remedy at law would be inadequate and it would be impracticable and difficult to determine the actual damages to the Association should Producer fail to deliver the (product] covered by this agreement. Therefore, regardless of the cause of such failure, Producer agrees to pay to the Association for all such (product) delivered or disposed of by Producer, other than in accordance with the terms of this agreement, a sum equal to _ % of the fair market value of the product at the close of business on the day the product should have been delivered to the Association, as liquidated damages for the breach of this agreement. All parties agree that this agreement is one of a series dependent for its true value on the adherence of all the contracting parties to all of the agreements, but the cancellation of any other similar agreement or the failure of any of the parties thereto to comply therewith shall not affect the validity of this agreement. Failure to deliver the (product) commit54 ted herein due to ACTS OF GOD shall not constitute a breach of this agreement. Section 9. Specific Performance. Producer agrees that in the event of a breach or threatened breach by Producer of any provisions of this marketing agreement regarding delivery of (pmduct), the Association shall be entitled to a preliminary restraining order and an injunction to prevent breach or further breach hereof and to a decree of specific performance hereof. The parties agree that this is a contract for the purchase and sale of personal property under special circumstances and conditions and that the Association may, but shall not be obligated to, go into the open markets and buy -(product) to replace any that Producer may fail to deliver. Section 20. Legal Costs and Expenses. If the Association brings any action whatsoever by reason of a breach or threatened breach of this agreement, Producer shall pay to the Association all court costs, costs for bonds, travel expenses and all other expenses arising out of or caused by the litigation, including reasonable attorney’s fees expended or incurred by Association in such proceedings, and all such costs and expenses shall be included in the judgment. Termination and Renewal Management doesn’t want to have to get every member to sign a new agreement each year, and the producers aren’t going to want to be obligated to continue to patronize the cooperative if it isn’t meeting their needs. A provision providing that the contract automatically renews itself for another year unless either the cooperative or the member provides notice during a specific period of time-usually about a month during a slow period in production and cooperative activity-that it wants to terminate the agreement gives adequate flexibility and stability to the relationship. 55 Section 2 1. Termination and Renewal. After this agreement has been in effect one year from the date of execution, either party may terminate it in any year by notifying the other party in writing between (date) and (date). It is mutually agreed that failure to so terminate in any year shall constitute conclusive evidence that the parties have renewed this agreement for another year. Miscellaneous Provisions Individual cooperatives have adopted numerous additional provisions to tailor their marketing agreements to their individual needs. Examples of some of the more common, but by no means all, of these types of provisions are provided. Nonconforming agreements. From time to time, the association may want to alter the terms of its marketing agreement. This may occur when numerous agreements are in effect, and it is a good cooperative practice to treat all member equitably. Therefore, a provision permitting nonconforming contracts, but offering persons with ongoing agreements the option to change to the new agreement, often called a “most favored nation clause,” can be useful. If the association wants to bring all agreements back to uniformity, it can do so during the next time period for terminating existing agreements. Section 12. Nonconforming Agreements. Association may enter into agreements with other growers differing in terms from those contained herein, consistent with the bylaws of the Association, without invalidating this agreement, provided that Producer at Producer’s request may sign a similar agreement as a substitute for this agreement. No contrary agreements. One of the most difficult legal situations to untangle involves the member who signs more than one contract for the sale of the same commodity. A clause forbidding such activity helps place the responsibility for injuries suffered by the cooperative on the member. Section 13. No Contrary Agreements. Producer warrants that Producer has not contracted to sell, market, consign, or deliver and will not contract to sell, market, consign, or deliver any (product) during the term of this agreement to any person, firm or corporation, contrary to this agreement. Forfeiture of membership. If a member is going to disregard the terms of the marketing agreement, the cooperative is usually better off without that person as a member. A provision giving the board authority to revoke the membership of a member who violates the agreement gives appropriate discretion to the directors in dealing with a breach of the contract. Section 14. Forfeiture of Membership. Violation of this agreement in any material respect by Producer shall be grounds for the board of directors to terminate Producer’s membership in the Association. Abide by articles and bylaws. A similar provision requiring members to abide by the articles and bylaws, as written at the time the agreement is signed or subsequently a&nded, makes it clear that a member can’t abrogate the agreement if the membership approves a change in the cooperative organizational documents the individual member doesn’t like. That member must honor the agreement until the annual period for orderly termination arrives. I Section 15. Articles and Bylaws. Producer agrees to conform to and observe the articles of incorporation and bylaws of the Association now in force and as they may be amended hereafter. Assignment. Sometimes reorganizations occur during the year at either the association or the member level. The right of a new entity replacing one of the parties to enforce the contract can be clarified in the agreement itself. Because the association is the members as a whole, it can usually assign its rights at will. However, to protect against one member assigning rights to an 5 7 unqualified person, usually a member must have board approval to assign contract rights. Section 26. Assignment. This agreement may be assigned by the Association in its sole discretion. Producer may assign this agreement, but only upon written authorization granted by the board of directors of the Association. Entire agreement. A major cause of disputes over business contracts is the unwritten exception. One party to the contract will say, “I know the contract says that, but you told me you would do this.” Marketing agreements will frequently include language stating that the organizational documents and the agreement itself are the only contracts between the parties and no oral or other types of agreements will be honored. The manager, in particular, needs to be reminded of this rule. Special unauthorized promises or “deals” for selected members can do serious harm to the cohesiveness of the association. ~ Section 17. Entire Agreement. It is agreed that the articles of incorporation and the bylaws of the Association, now or hereafter in effect, and this marketing agreement constitute the entire agreement between the Association and Producer, and that there are no oral or other conditions, promises, covenants, representations, or inducements in addition to, or at variance with, any terms of this agreement. Governing law. Even if an association intends to limit its activity to a single State, disputes that involve the marketing agreement can arise from transactions that cross State lines in any number of ways. To avoid arguments over which State’s law shall be applied, the contract might have a clause naming the State. This can be particularly important if the association is incorporated under a statute of a State different from the one where its headquarters are located. I Section 18. Governing Law. This agreement shall be governed by the laws of the State of , Signatures. To make the contracts official, they must be signed by both parties. If the producer is a business and not a real person, the association should check to make sure the signee for the business is authorized to enter into such agreements for the business. IN WITNESS WHEREOF, these parties have executed this agreement as of the day, month and year first above written: Producer (Cooperative name) BY President ATTEST I Secretary MEMBERSHIP APPLICATION When a person applies for membership in a cooperative, it is a good idea to have a simple document that ties the loose ends together and, when approved, serves as official notice that the applicant is a bona fide member of the association. If the articles, bylaws, and marketing agreement are well drafted, this need be little more than a summary of the commitments made. Applicant certifies that the requirements of membership have been met, and the appropriate cooperative officers, usually the president and secretary, acknowledge board approval of the applicant. 5 9 MEMBERSHIP APPLICATION Applicant’s Statement. I hereby apply for membership in and agree to abide by the articles of incorporation and bylaws of the association, now and hereafter in effect, copies of which have been presented to me for inspection. I certify that I am a producer of , have tendered the purchase price of one share of common voting stock, have signed a marketing agreement, and met such other qualifications for membership as have been explained to me. After my membership shall have been in effect for one year from the date of its acceptance by the association, either party may terminate it by notifying the other party in writing of this intention between (date) and (date) of any year. If neither of the parties to this agreement so notifies the other, it is mutually agreed that this shall constitute conclusive evidence that the parties have renewed this agreement for another year. Date ,199_. Applicant’s: name address telephone number social security number Applicant’s signature Acceptance. This certifies that is a member of and is entitled to all of the rights, benefits, and privileges of membership in the association. Date , 199_. President: Secretary: As mentioned earlier, familiarity with the documents reviewed in this report is an ongoing responsibility of each cooperative leader, particularly members of the board of directors. The same is true for other important cooperative papers: e.g., audit reports and current financial statements, board policies, loan agreements, the manager’s job description, and minutes of board and membership meetings. As the manager’s job is to run the day-to-day operations of the cooperative, the manager acquires the necessary familiarity with these items as part of his or her ongoing duties. Directors usually don’t have the continuous contact with the business that the manager does. They need to have the documents available so they can look up information and ask informed questions when necessary. A good director handbook meets this need. The director handbook can be nothing more than a solid three-ring binder that contains up-to-date copies of all documents the directors need to set cooperative policy. Every new director should get a current handbook as soon as he or she is elected to the board. At each board meeting the manager or the president should distribute minutes of the previous meeting and new versions of any documents that have been modified or adopted since the last meeting. Time should be taken to make sure the directors place the new pages in the proper place in the book and to let the directors review and ask questions about the additions and replacements. The director handbook will get the important cooperative papers out of the file cabinet and into the mainstream of the decision-making process. It will minimize the likelihood leaders will innocently violate a provision of the articles and bylaws, contracts, or other written guidelines. It will provide ready answers to questions about the limitations on managerial discretion imposed by these documents. And it will facilitate the conduct of business meetings in a professional and efficient manner. In summary, it will soon become a valuable tool for cooperative management and planning. 61 Appendix A. Election of Directors by Districts (bylaw provision) ARTICLE III. DIRECTORS AND OFFICERS Section 2. Election of Directors by Districts. (Two paragraphs as in sample language on page 29, main text. Next, add the following:) The territory in which the association has members shall be divided into _ (same number as number of directors) districts. The respective districts and their boundaries shall be established by resolution of the board of directors. The board of directors may from time to time change the boundaries of one or more districts by adding territory not included within any district, by adding to one district territory previously included in another district, or by excluding from a district a part of its territory. There shall be as many directors as there are districts, one director to be elected by the members of each district. However, when the number of districts is an even number, there shall be one additional director to be known as a director-at-large and to be elected by all members of the association. A district director must be a resident of, or be a producer of agricultural products in, the district for which such director is elected or appointed. Any questions as to the effect of any changes made in district boundaries, or the number or identity or districts, shall be conclusively determined by the board of directors. Nominations for directors, either for a district or at large, shall be made by petition addressed to the secretary of the association requesting placement on the ballot of the name of the person so nominated. Such a petition nominating a district director shall be signed by not less than _ members of that district. Such a petition nominating a director-atlarge shall be signed by not less than _ members of the association. 62 Appendix B. Equity Redemption (alternative bylaw) ARTICLE VII. EQUITY REDEMPTION Section I. Regular Redemption, Percent of All Equities. It shall be the policy of the association, when other redemption priorities set forth herein have been met, and when funds are available, to redeem in cash a percentage of each member patron’s capital credits, rather than ratably by year. The time and method of any such redemption shall be determined by the board of directors. Section 2. Specified Special Redemptions. The association shall give priority to redemption of members’ capital credits held by deceased persons for the settlement of their estate. The association shall thereafter grant priority redemption to capital credits of former members who have attained their 65th birthday and are no longer actively engaged in agricultural production as actual producers or landlords in share tenancy. The time and method of such redemption shall be determined solely by the board of directors, dependent upon the financial condition of the association. In the case of redemption of the equities of those persons who have attained age 65 and retired from farming, preference may be given to the oldest retirees in establishing the order of priority among those eligible. In the case of a corporation or partnership holder of members’ capital credits, such corporation or partnership shall be considered eligible for priority treatment to the same extent as the individual stockholders of such corporation or partners of the partnership would have qualified, if each individual stockholder or partner were an individual memberpatron of this association. Any redemption shall be made to the corporation or partnership, and not to the individual stockholder or partner thereof. Each corporation or partnership shall report to the association the percentage of ownership interest 63 in the corporation or partnership of each of its stockholders or partners. Failure to report accurately the percentage of individual ownership interest shall disqualify any allocations made to the corporation or partnership by this association from redemption priority. If a corporation or partnership should dissolve, its capital credits in this association shall be prorated among, and transferred to, the individual stockholders or partners and considered for redemp tion on an individual ownership basis. The amount of any redemption or prorate related to a corporate or partnership member shall be determined by the percentage of ownership interest as reported by the corporation or partnership. When two or more persons are holders of capital credits as tenants in common, without a designation of rights of survivorship, they shall be deemed by this association to be acting as partners and shall be subject to the same requirements as a partnership. Capital credits held in joint tenancy with rights of survivorship shall be considered for priority of redemption according to the qualifying status of the youngest member of the joint tenancy or, in the event of death of one of the joint tenants, of the survivor. Appendix C. Base Capital Plan (bylaw provision) ARTICLE VII. EQUITY REDEMPTION Section 1. Members’ Equity Requirements. Each year the board of directors shall determine the amount of equity capital necessary for successful operation of the cooperative. The total amount of member volume and the volume each member has marketed through the association during the past _( ) years shall be calculated. Each member’s equity requirement is equal to the amount of equity, determined necessary by the board of directors, multiplied by the member’s proportion of the association’s total member volume during the base _ year period. Section 2. Member Investment. Members can invest equity to meet their requirements by direct cash investment, allocated patronage refunds, and per-unit capital retains. Section 3. Member Account Adjustments. At the end of each fiscal year the association shall recalculate each member’s capital credits account to include all per-unit retains for the year and each member’s share of patronage refunds for the year. (a) If a member’s total capital credits are less than the member’s equity requirement for that year, cash returns on business done with the association will be limited to those required by the Internal Revenue Code or other applicable law. (b) If the member’s capital credits, less any cash that must be refunded to comply with the Internal Revenue Code or other applicable law, are greater than the member’s equity requirement for that year, the excess shall be redeemed in cash within g-112 months after the close of the association’s fiscal year. 65

Respond with only information from the provided context. What should be included in my new businesses organization agreement? Preface A cooperative is a business. As such, it must operate in a manner compatible with all the laws that apply to a business, with cooperative principles, and with the needs and desires of its member-patrons in mind. To comply with each of these limitations on its operations, a cooperative must have a set of organizational documents that is uniquely crafted to its particular situation. Drafting new, and updating old, legal documents of cooperatives takes both time and expertise. This report is intended to assist persons organizing new cooperatives, managers and directors of existing cooperatives, and their professional advisers to develop and update the important legal documents of cooperatives. It explains issues to be considered and options that are available. It provides sample language to be used as a starting point; the wording is not to be copied without review and thought. To help distinguish sample document language from explanatory text, a straight black line has been drawn along the left-hand margin of the sample document language. Contents ORGANIZATION AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Statement of Purposes ...................................................... 2 Organization Committee ................................................... 3 Patronage Commitment ..................................................... 3 Financial Commitment ...................................................... 4 Calling of Membership Meeting ....................................... 6 Accounting .......................................................................... 7 SELECTING THE PROPER STATE INCORPORATION STATUTE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 ARTICLES OF INCORPORATION ..*...................,..*.*.............t. 11 Heading ............................................................................ 1 1 Name ................................................................................. 1 2 Principal Place of Business ............................................. 12 Purposes ............................................................................ 1 2 Powers ............................................................................... 13 Duration ............................................................................ 15 Directors ........................................................................... 15 Capital Structure ............................................................... 16 Amendment ..................................................................... 20 Signatures ......................................................................... 20 BYLAWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21 Membership ...................................................................... 21 Meetings of Members ...................................................... 24 Directors and Officers ....................................................... 26 Duties of Directors ........................................................... 32 ii Duties of Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Operation at Cost and Members’ Capital . . . . . . . . . . . . . . . . . . . . . . . . . 36 Equity Redemption . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..I....... 39 Consent . . . . . . . . . ..f................................................................ 4 0 Nonmember Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 Nonpatronage Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 2 Handling of Losses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 Dissolution . . . . . . . . ..f............................................................ 4 5 Indemnification . . . . . . . . . ..I....................................I.............. 45 Amendment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 MARKETING AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..*................. 4 7 Introduction . . . . . . . . . . . . . . . . . . . . . . . . ..I...........................................4 6 Sales Terms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..I...........................4 9 Enforcement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 Termination and Renewal ..****...*.**.*.........................*...... 55 Miscellaneous Provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 MEMBERSHIP APPLICATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .59 DIRECTOR HANDBOOK . . . . . . ..a.. a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 APPENDIX A. ELECTION OF DIRECTORS BY DISTRICTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 APPENDIX B. ALTERNATIVE EQUITY REDEMPTION BYLAWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63 APPENDIX C. BASE CAPITAL PLAN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 . . . 111 Sample Legal Documents for Cooperatives Donald A. Frederick, Attorney-Adviser One of the axioms of business planning is that a strong foundation is essential if an organization is to have a strong structure. An important component of a strong cooperative foundation is a set of basic legal documents that conforms to Federal, State, and local law and facilitates conducting the business affairs of the association to enhance the mutual well-being of the members. This report explains the role each document plays in building the organization and the various issues treated in each document. It discusses options available to members in handling many of the issues. It also presents sample language as an aid in preparing initial documents, or in revising existing ones, to make sure they promote the objectives of the cooperative venture. Most of the sample language in this report is suitable for virtually any type of cooperative. Where the language must be tailored to reflect specific functions of the association, wording appropriate for an agricultural marketing cooperative is used. Counsel can help make the necessary modifications to cover supply and related service organizations and nonagricultural activities. One point cannot be stressed too much! Cooperative organizers, advisers, and leaders should not just sit down and copy these, or any other set, of legal documents and declare them as their own. These foundation documents should only be adopted after review by a competent attorney, one who understands the unique characteristics of cooperatives and the industry in which the association does business. This will maximize the likelihood that the documents will conform to applicable law and meet the specific needs of the association and its members. One problem in drafting organizational papers is they can be thorough or simple, but not both. This report contains many “compromises” between these two objectives. This only reinforces the need for cooperative founders and leaders, and their professional advisers, to avoid adopting any sample set of documents verbatim and to review existing documents on a regular basis. 1 The idea of forming a cooperative is usually conceived and nurtured by a few individuals who foresee coordinated group action as a solution to a problem confronting themselves and similarly situated persons. This organizing group often has to formulate a development plan, arrange for or provide seed money, and contribute sweat equity to get the association up and running. The organization period involves considerable discussion and data collection. While these efforts provide a good forecast for the level of support the cooperative is likely to attract, before launching the venture it is a good idea to have those persons who say they want the services of the cooperative formally commit to use those services. The organization agreement secures both a patronage and a financial commitment from prospective members. It is also a vehicle for educating prospective members about the cooperative form of business and the objectives of the proposed association. Statement of Purposes This first provision in a typical organization agreement sets out the services the proposed organization will perform. The services can be described in broad terms, such as to “process” and “market” certain farm commodities and “furnish” certain farm supplies. The language should refer only to services the cooperative will provide from its inception. This minimizes member pressure to expand the scope of operations too rapidly. For example, it is usually best not to mention furnishing supplies in the organizational agreement if the new organization will limit its initial activity to marketing fresh vegetables. 1. The undersigned, a producer of agricultural products, hereinafter referred to as “Producer,” together with other signers of agreements similar hereto, propose to organize a cooperative association 2 under the laws of the State of for the purpose of . Organization Committee Although the association has not yet been incorporated, a decision making process should be formalized. The organizers will usually appoint some or all of their group to an official organization committee that will serve as the initial policy body for the association. This provision lists the committee members and sets out the committee’s authority. 2. (a) The association shall be organized with suitable articles of incorporation and bylaws as determined by an organizational committee consisting of the following persons: Name Address 2. (b) This committee may, by vote of a majority of its members, increase its membership, fill any vacancy therein, and appoint any subcommittees deemed necessary to conduct its affairs. The committee, or any subcommittee designated by it, may prescribe an organization fee to be paid by each person signing an organization agreement and may incur necessary obligations, make necessary expenditures, and take any such action as may, in its discretion, be deemed advisable to further the organization of the association. 3 Patronage Commitment Most cooperatives, especially those involved in marketing agricultural commodities, need a minimum level of product to be successful and the best possible projections of anticipated volumes to plan effectively. Their organization agreements should spell out the extent of the prospective members’ commitment: usually all production, a defined volume of product,. or production from a set number of acres. If either all production or production from a set number of acres is used, a projection of likely volume delivered should also be secured. Sample language is provided for each type of commitment: Full Production. 3. Producer agrees to sign a marketing agreement committing all (product) produced by Producer, on land owned or leased by Producer, to the cooperative for direct marketing, processing, or other disposition as the cooperative sees fit. Producer estimates such production will total (units) in (year). *********** Defined Volume. 3. Producer agrees to sign a marketing agreement to commit (units) of (product), produced by Producer, to the cooperative for direct marketing, processing, or other disposition as the cooperative sees fit. *********** Set Acreage. 3. Producer agrees to sign a marketing agreement to commit all (product) produced by Producer on acres of land, owned or leased by Producer, to the cooperative for direct marketing, processing, or other disposition as the cooperative sees fit. Producer estimates such production will total -(units) in _ (year). 4 If the cooperative is likely to have a minimum quality standard that must be met before product will be accepted, that standard should also be explained and the person or entity judging quality should be named. Financial Commitment Every new business must have equity capital. In a cooperative, the members supply that capital. In this provision the prospective member agrees to provide initial financial support for the cooperative. Each prospective member should commit to purchase one share of common voting stock (or, in a nonstock cooperative, pay a membership fee) for a fixed dollar amount, perhaps $1,000. This investment gives the member the right to vote on issues submitted to the membership. Often the initial investment tied to membership status does not raise enough equity to fund the association. Additional capital is needed. Usually the organizers have substantial leeway in collecting and recognizing this investment. Each prospective member may be asked to make an equal contribution, or the level can vary with anticipated patronage. While this investment is classified as preferred stock in this report, it can also be structured as equity credits, revolving fund credits, or any similar term satisfactory to the organizers. Organizers should avoid using any term usually associated with debt capital, such as “note” or “bond,” and should also avoid creating a second class of common stock, which is sure to be confused with regular voting common stock. The agreement should expressly state that this financial commitment is irrevocable unless the organization effort is terminated. Initial development of the cooperative is totally dependent on promised financial support being forthcoming. Leaders must have the tools to force compliance with this commitment, by legal action if necessary. I 4. Producer agrees to purchase one share of voting common stock of the association, par value $ payable on demand following a favorable vozihe signees of agreements similar hereto to 5 incorporate the association. Producer further agrees to purchase shares of nonvoting preferred stock of the association, par value $ each, and agrees to pay for same as follows: S- cash on demand following incorporation of the association, g-on or before . 19 -9 and, $--- on or before ,19_. Producer expressly understands that this stock subscription agreement is an irrevocable legally binding obligation which will be relied upon by the association, other producers who subscribe to its stock, and lending institutions from which the association will seek financing to implement its cooperative purposes. If a cooperative is organized as a nonstock corporation, the sample language might be altered to call for payment of a membership fee, rather than purchase of a share of common stock, and payment of an additional sum into an equity account, rather than purchase of nonvoting preferred stock. Calling of Membership Meeting One of the principal responsibilities of the organization committee is to determine if enough firm interest exists to justify forming the cooperative. It is advisable to put a time limit on member solicitation. An open-ended solicitation period may exceed the patience of early signees to get started or abort the effort. If the committee decides there is enough interest, the agreement usually calls for a meeting of the signees to make the final decision to complete formation and begin operation of the cooperative. While the typical agreement provides that the affirmative vote of a simple majority of signees approves formation, the committee should move cautiously if substantial resistance 6 develops. Few associations overcome internal strife during the formation period to become useful and viable cooperative enterprises. 5. If, on or before 9 19-t the organization committee is of the opinion that sufficient signup has been obtained to enable the association to operate efficiently, the committee shall set a time and place for a meeting of those persons who have signed this agreement to determine, by majority vote, whether to proceed with the formation and operation of the association, and to consider such other business as may be deemed appropriate. Not less than ten days before the meeting, notice of the time and place of the meeting shall be sent to all signees by first-class mail, and an appropriate notice shall be published in one or more newspapers of general circulation in the area in which those who signed agreements like this one reside. , Sometimes the agreement will set minimum levels of support that must be committed before the prospective members will vote to begin the venture, If the organizers decide to adopt that option, the first paragraph of this provision might begin: 5. If, on or before 9 19-t bona fide producers of agricultural products otherwise eligible to become members in the association agree to execute marketing agreements covering (units) of (product) and subscribe to provide equity to the association equal to the sum of at least I dollars, ($ ), the organization committee shall set a time and place for a meeting . . . (continue as above). Accounting There should be a clearly stated obligation placed on the organization committee to keep good records and make the 7 appropriate disposition of any funds remaining after the vote on formation of the cooperative is conducted. 6. The organization committee shall keep detailed, accurate accounts of all receipts and of all expenditures of every kind. It shall have such accounts audited and render a written report thereof to the board of directors of the association when organized. And it shall thereupon turn over to the association any balance remaining in its hands free of obligation. If the association is not organized, such unexpended balance shall be prorated among, and returned to, those who contributed to the organization fund. The agreement should conclude with spaces for the prospective member to sign the agreement, and provide his or her address, and for the chairperson of the organizing committee to sign the agreement as an acceptance. SELECTING THE PROPER STATE INCORPORATION STATUTE While no drafting is involved, and thus no sample language is provided in this section, an important step in the development of a successful cooperative is selection of the proper statutory foundation for the association. To operate effectively in today’s business world, a cooperative must be a unique legal entity, separate from its members. The best way to create this unique entity is to form a cooperative corporation. A cooperative becomes a corporation when its organizers follow the steps set out in a law authorizing the formation of corporations. There is no Federal incorporation statute. Cooperatives incorporate under an appropriate State law. Incorporation offers several advantages over alternative structures, such as partnerships and unincorporated associations: l Incorporation facilitates the orderly succession of ownership. The entity has a perpetual life. As some members resign and new people join, redemption and issuance of a share of common stock or a membership certificate is a relatively simple means of clarifying each person’s status and rights in the association. l A corporation conveys to members and outsiders the image of a solid, longlasting venture. l If a cooperative is incorporated, the personal liability of each individual member, for losses suffered by the cooperative, is limited to the member’s equity in the cooperative. The organization of a cooperative as a business corporation has some important implications for how it conducts its affairs: l A corporation derives all of its legal authority from the State. It is a “person” in the eyes of the law, just like a natural person. It can do many things natural persons can, such as sign contracts, borrow money, own property, and sue and be sued. l While its powers are broad, those powers are limited to the ones granted by the State. For example, when the State agricultural cooperative law says only agricultural producers can vote in farmer cooperative affairs, no one else has the right to participate in policy decisions made by the membership. l The cooperative must obey business laws. Since managers and directors make the decisions for the corporation, they have an obligation to know and make sure the association follows all applicable laws. Persons who organize a cooperative have several incorporation statutes to choose from: l All States have special cooperative incorporation statutes. Some are broad, permitting the incorporation of virtually any business as a cooperative. Other are limited in scope. Many States have an Agricultural Cooperative Associations Act specially written to authorize incorporation of associations of producers of agricultural products. 9 l Every State has a general business corporation statute. A cooperative can be incorporated under this law and have its cooperative character established through proper drafting of the articles of incorporation and bylaws. l While most cooperatives are incorporated under a law of the State where the principle office is located, a few are organized under the laws of a different State. .It is usually best to organize under a cooperative incorporation statute of the State where the association’s headquarters is located. But it’s very important that the statute authorizing the cooperative permits a structure that meets the needs and desires of the members. The General Business Corporation Act and outof-State incorporation laws should be considered if the applicable cooperative law doesn’t permit the necessary organizational structure. A few so-called cooperatives are organized under a general not-for-profit corporation statute. Usually this is done to make it easier to obtain grant money. There are some potential adverse legal consequences of this type of incorporation that should be reviewed before following this path: l Most not-for-profit corporation laws expressly forbid the distribution of any earnings to members, trustees, officers, or other private persons. This means an association organized under such a statute can’t pay patronage refunds, one of the main reasons for operating a business as a cooperative. 0 In many States, if a nonprofit corporation goes out of business, members are prohibited from sharing in any assets left after the debts are paid. l Nonprofit corporations sometimes have had more trouble than cooperative corporations enforcing marketing agreements with their members. Cooperative statutes frequently provide specific authority for enforcement of marketing agreements. Not-for-profit acts have no such provision. If the leadership determines a cooperative is not organized 10 under the appropriate State statute, it is usually possible to reincorporate without seriously disrupting the ongoing business of the association. This will ordinarily involve redrafting the organization papers to conform to the new law and paying a modest fee to the appropriate State agency. ARTICLES OF INCORPORATION Once the leadership has determined the statute to use as the legal authority for a cooperative, the first document prepared is the articles of incorporation (articles). It is the acceptance of the articles by the State that establishes the cooperative as a unique “person” under the law. Most incorporation laws require a fairly common set of provisions to be included in the articles. These are discussed below. The statute will also require that before the articles are official they must be recorded in the office of a designated State officer. Failure to properly file the articles makes any business activity vulnerable to legal challenge. It is usually permissible to include information in the articles beyond that required by the incorporation statute. However, this is ordinarily not done because it is frequently more difficult to amend the articles than it is with other documents that may contain the same information. The articles are not a piece of paper to be prepared and then forgotten. The articles are routinely given the same respect by the courts as a statute. Therefore, the articles are binding on the directors, officers, and manager of a cooperative. Conduct beyond that authorized in the articles can subject the cooperative and its leaders to potential legal liability. The following are the elements common to most cooperative articles of incorporation. Heading The heading sets out the title of the document, the name of the cooperative, and the title of the authorization statute. 1 1 ARTICLES OF INCORPORATION (Name of Cooperative) We, the undersigned, all of whom are engaged in the production of agricultural products, do hereby voluntarily associate ourselves together for the purpose of forming a cooperative association, with (or without) capital stock, under the provisions of the Act of the State of Name The official name of the cooperative must be stated in the body of the articles and is usually the first provision: ARTICLE I. NAME The name of the association shall be Principal Place of Business This is a simple statement of the general location of the cooperative’s office: ARTICLE II. PRINCIPAL PLACE OF BUSINESS The association shall have its principal place of business in the city of County of , Stateof ’ . Purposes The purposes for which the cooperative is being organized are specifically set out. While the purposes clause of the organizational agreement is limited to immediate objectives, the pur12 poses are usually stated as broadly as possible in the articles of incorporation. Any service the cooperative may someday provide is frequently authorized, at least in a general way. This reduces the likelihood the articles will have to be amended whenever the association is asked by the members to provide additional services. Powers ARTICLE III. PURPOSES The association is formed for the following purposes: To market for its members and other producers any and all agricultural products or any products derived therefrom: to engage in any activity in connection with the picking, gathering, harvesting, receiving, assembling, handling, grading, cleaning, shelling, standardizing, packing, preserving, drying, processing, transporting, storing, financing, advertising, selling, marketing, or distribution of any such agricultural products or any products derived therefrom: to purchase for its members and others farm supplies and equipment: to manufacture, process, sell, store, handle, ship, distribute, furnish, supply, and procure any and all such farm supplies and equipment; and to exercise all such powers in any capacity and on any cooperative basis that may be agreed upon. The State statute authorizing formation of a cooperative will set out in detail the activities the cooperative may engage in. As a general rule, the statutory language is copied virtually verbatim into the articles. The following is an example of a typical statutory provision restated as an article of incorporation: ARTICLE IV. POWERS I This association shall have the following powers: 13 (a) To borrow money without limitation as to amount of corporate indebtedness or liability: to give a lien on any of its property as security therefore in any manner permitted by law: and to make advance payments and advances to members and other producers. (b) To act as the agent or representative of any member or members in any of the activities mentioned in Article III hereof. (cl To buy, lease, hold, and exercise all privileges of ownership over such real or personal property as may be necessary or convenient for the conduct and operation of the business of the association, or incidental thereto. (d) To draw, make, accept, endorse, guarantee, execute, and issue promissory notes, bills of exchange, drafts, warrants, certificates, and all kinds of obligations and negotiable or transferable instruments for any purpose that is deemed to further the objects for which this association is formed, and to give a lien on any of its property as security therefor. (e) To acquire, own, and develop any interest in patents, trademarks, and copyrights connected with, or incidental to, the business of the association. (fl To cooperate with other similar associations in creating central, regional, or national cooperative agencies, for any of the purposes for which this association is formed, and to become a member or stockholder of such agencies as now are or hereinafter may be in existence. (g) To have and exercise, in addition to the foregoing, all powers, privileges, and rights conferred on ordinary corporations and cooperative 14 marketing associations by the laws of this State and all powers and rights incidental or conducive to carrying out the purpose for which this association is formed, except such as are inconsistent with the express provisions of the act under which this association is incorporated, and to do any such thing anywhere; and the enumeration of the foregoing powers shall not be held to limit or restrict in any manner the general powers which may by law be possessed by this association, all of which are hereby expressly claimed. Duration The articles will say how long the cooperative is authorized to exist. Virtually all modern laws permit perpetual existence. Some laws in effect at the time longstanding cooperatives were organized limited the permissible life of a cooperative to a set period of time, such as 50 years. Associations that have been active for several decades should check to make sure their duration clause provides for perpetual operation. I ARTICLE V. PERIOD OF DURATION This association shall have perpetual existence. Directors Most statutes require the articles to name the initial policymakers of the cooperative. A majority of the incorporation statutes ask for the number of directors and names and addresses of the initial board. The articles often require “at least” the minimum number of directors required by statute: the precise number is set in the bylaws. Some statutes ask for the names and addresses of incorporators, in which case the appropriate title and references to incorporators would be substituted for “directors” in the example. If the law asks for both. then this draft provision is essentially inserted a second time and appro15 priately worded in each instance. ARTICLE VI. DIRECTORS This association shall have at least_ directors. The names and addresses of those who are to serve as the initial directors are: NAME ADDRESS Capital Structure The articles usually contain a description of the capital structure of the cooperative. If stock is issued, the number of shares authorized and the par value of each share of each class of stock (common, preferred) are set forth. The rights granted owners of each class of stock, the restrictions on owners of each class, and the dividends to which each class is entitled are also explained. If stock is not issued, a description must be included of how the rights and interests of the members will be determined. Sample language for both a stock and a nonstock association is provided below. The capital stock example provides for both voting common and nonvoting preferred stock. Nonvoting preferred stock is a useful way to account for additional nonpatronage investments by members. It has also been used as a way of raising equity from nonmembers, such as other members of the community interested in supporting the cooperative. If any interest in the cooperative is being sold to nonmembers, counsel must be retained to advise the association on applicable securities law requirements. The sample language also assumes that the organization 16 limits each member to one vote. If proportional voting based on patronage is utilized, counsel will have to prepare a description of how votes will be accumulated and any limit on the number of votes any one member can amass. All of the information in the example below is important and should be included somewhere in the organizational documents. However, not all incorporation laws require that all of it be in the articles. It may be possible to place some of these provisions in the bylaws. ARTICLE VII. CAPITAL STOCK (stock cooperative) Section 1. Classes and Authorized Amounts. The capital stock of the association shall consist of shares of common stock with a par value of $ per share, and shares of preferred stock with a par value of $ per share. Section 2. Common Stock. The common stock of this association may be purchased, owned, or held only by agricultural producers who (1) patronize the association in accordance with uniform terms and conditions prescribed by it, and (2) have been approved by the board of directors. ‘Producer’ shall mean and include persons (natural or corporate) engaged in the production of (product), or other agricultural products, including tenants of land used for the production of any such product, and lessors of such land who receive as rent therefore part of any such product of such land, and cooperative associations (corporate or otherwise) of such producers. Each member shall hold only one share of common stock and each eligible holder of common stock shall be entitled to only one vote in any meeting of the stockholders upon each matter submitted to vote at a meeting of the stockholders. In the event the board of directors of the association shall find, following a hearing, that any of 17 the common stock of this association has come into the hands of any person who is not eligible for membership, or that the holder thereof has ceased to be an eligible member, such holder shall have no rights or privileges on account of such stock, or vote or voice in the management or affairs of the association other than the right to participate in accordance with law in case of dissolution, The association shall repurchase such stock for par value. If such holder fails to deliver any certificate evidencing the stock, the association may cancel such certificate on its books and records, and the certificate is thereby null and void. The common stock of this association may be transferred only with the consent of the board of directors of the association and on the books of the association, and then only to persons eligible to hold it. No purported assignment or transfer of common stock shall pass to any person not eligible to hold it, nor the rights or privileges on account of such stock, nor a vote or voice in the management of the affairs of the association. This association shall have a lien .on all of its issued common stock for all indebtedness of the holders thereof to the association. No dividends shall be paid on the common stock. Section 3. Preferred Stock. The preferred stock of this association may be issued to any person, association, partnership, or corporation. Preferred stock shall carry no voting rights. Noncumulative dividends not to exceed percent (_%) per year may be paid on preferred stock at the absolute discretion of the board of directors. Preferred stock may be transferred only on the books of the association. It may be redeemed in whole or in part on a pro rata basis at par, plus any dividends declared and unpaid, at any time on thirty 18 (30) days’ notice by the association, provided said stock is redeemed in the same order as originally issued by years. If the owner fails to deliver any certificate evidencing such stock, the association may cancel the stock on its books. This association shall have a lien on all of its issued preferred stock for all indebtedness of the holders thereof to the association. Upon dissolution or distribution of the assets of the association, the holders of all preferred stock shall be entitled to receive the par value of their stock, plus any dividend declared and unpaid, before any distribution is made on the common stock. *ii********* ARTICLE VII. MENBERSHIP (nonstock cooperative) The association shall not have capital stock but shall admit applicants to membership in the association upon such uniform conditions as may be prescribed in its bylaws. This association shall be operated on a cooperative basis for the mutual benefit of its members as producers. Membership in the association shall be restricted to producers and associations of producers who shall patronize the association, The voting rights of the members of the association shall be equal, and no member shall have more than one vote upon each matter submitted to a vote at a meeting of the members. The property rights and interests of each member in the association shall be unequal and shall be determined and fixed on a patronage basis, and the net proceeds from the business of the association shall be allocated to member-patrons in the proportion that the patronage of each member bears to the total patronage of all the members of the association. 19 Amendment The articles may be changed whenever the appropriate percentage of the membership (and, if required by statute, the directors), as set out in the incorporation statute, votes to amend them. While the percentage is established by law, it is a good idea to include that requirement in the articles to remind people that the articles can be changed and to eliminate doubt as to the supp,ort required when the issue of possible amendment arises. While a majority of the statutes set the requirement at a simple or two-thirds majority of the members voting, several statutes require approval of a majority of the total membership. If turnout for member meetings is light, this poses a serious obstacle to changing the articles. ARTICLE VIII. Amendment These articles may be amended upon the affirmative vote of two-thirds of the members actually voting on the proposed amendment. Signatures Those persons who ask the State to authorize the cooperative, often called incorporators, complete the document by signing it. Signed this day of ,19__, by the undersigned incorporators, all of whom are engaged in agriculture as bona fide producers of agricultural products. I 20 BYLAWS Shortly after the cooperative is incorporated, the members adopt a set of bylaws. Bylaws provide a detailed description of the structure and method of operation of the cooperative. Bylaws are a working plan for how the association should function. Most incorporation laws give members flexibility to structure their cooperative as they see fit. Most references to bylaws are permissive, giving members the authority to write their own rules on how to handle a particular issue. Bylaws normally are not filed with the State. But like the articles, they are treated in a manner similar to statutes by the courts. Failure of the leadership to follow the bylaws can also lead to legal liability. Numerous provisions are usually found in cooperative bylaws. Some are similar to those included in bylaws of forprofit corporations, others are unique to cooperation. The most common provisions are discussed in this report. But a cooperative is free to place virtually any rule on the conduct of its affairs in the bylaws, provided the provision doesn’t conflict with an applicable law or the articles of incorporation. While almost any activity can be covered by a bylaw, only broad issues of long-term significance to members should be the subject of a bylaw. Operating decisions should not be covered in the bylaws, but rather in board policy resolutions. Board policies are directives to the management, issued by the board in its role as policymaker for the cooperative, that can be changed to reflect changing conditions at any time by the board. For example, whether the cooperative will do business with nonmembers is a general, long-term decision that should be covered in the bylaws. How nonmembers will be charged to insure that they pay their fair share of cooperative expenses is a short-term decision requiring the flexibility possible under a policy statement. Membership The first bylaw usually states the qualifications to be a member of the cooperative. Membership should be limited to 21 persons who will patronize the cooperative. For an agricultural cooperative, this means membership should be limited to producers of agricultural products and other farmer cooperative associations. Limiting the membership to producers and producer cooperatives is essential if the association wants to qualify for the limited antitrust protection of the Capper-Volstead Act, or for tax treatment under section 521 of the Internal Revenue Code, or if the cooperative is incorporated under a State law that requires that members be agricultural producers. This bylaw may also include other reasonable prerequisites to membership, such as agreeing to purchase a share of stock, sign a marketing agreement, and patronize the association on a regular basis. This bylaw should also provide for the orderly termination of a membership. This can be particularly important for an agricultural cooperative. The significant legal privileges listed above are only available to associations of producers. This requirement is only met if the membership of anyone who stops farming is revoked. When a membership is terminated, it is a good practice to return the purchase price of the voting share of common stock, or the membership fee in a nonstock cooperative (but not necessarily the retained patronage investments). This makes it clear to the former member that the termination was more than a symbolic gesture and that he or she no longer has the right to participate in the policymaking of the association. This sample language is written for a stock cooperative. In a nonstock cooperative, appropriate references to membership certificates and fees would be substituted for the terms common stock and purchase price. I ARTICLE I. MEMBERSHIP Section 1. Qualifications. Any person, firm, partnership, corporation or association, including both landlord and tenant in share tenancies, who is a bona fide producer of agricultural products in the territory in which the association is engaged in business, and who agrees to be a patron of the associa22 tion, signs a marketing agreement with the association, purchases one share of common stock, and meets such other conditions as may be prescribed by the board of directors, may become a member of the association. All applications for membership must be approved by the board of directors. Member status is effective as of the time the board approves the application for membership. Section 2. Suspension or Termination. In the event the board of directors of the association shall find, following a hearing, that any of the common stock of this association has come into the hands of any person who is not eligible for membership, or that the holder thereof has ceased to be an eligible member, or that such holder has not marketed through the association the products covered by a marketing agreement with the association, or not otherwise patronized the association for a period of (_) year(s), or otherwise violated the articles of incorporation, bylaws, or other agreements made with the association, the association may suspend such holder’s rights as a member and terminate the membership. When a membership is terminated, the association shall repurchase the member’s share of common stock for par value. The holder shall return to the association the certificate evidencing the holder’s share of stock. If such holder fails to deliver the certificate, the association may cancel such certificate on its books and records, and the certificate is then null and void. A suspended or terminated member shall have no rights or privileges on account of any stock held, nor vote or voice in the management or affairs of the association other than the right to participate in accordance with law in case of dissolution. 23 Meetings of Members A cooperative is owned and controlled by its members. A bylaw sets out the ground rules for convening the members to exercise their control function. An annual meeting is held each year to elect directors, review past performance and future plans, and conduct other business as needed. It is often a good idea to set the time of the annual meeting as promptly as possible after the end of the fiscal year. This encourages management to close the books for the year in a timely fashion and the auditor to review financial results and issue the audit report without delay. Also, the members are still focusing on last year’s performance. If the annual meeting is delayed too long, the members are often into another production cycle and not able to properly exercise their control over the cooperative. This bylaw should also authorize special member meetings to handle any business that can’t wait until the next annual meeting. Members should receive sufficient advance notice so they can plan to attend meetings. Many incorporation statutes have specific minimum notice requirements, both in terms of lead time (often 10 days or 2 weeks) and method (direct mail, publication in local newspaper). Associations incorporated under such a law must make sure the bylaw provides at least as much notice as the statute requires, and that appropriate notice is actually given. Otherwise any action taken at the meeting may be open to legal challenge. A statement on how voting will be conducted is also appropriate in this bylaw. How many votes each member will have is only one aspect of this issue. The draft language limits each member to one vote. If proportional voting is used, a description of how members will qualify for multiple votes, and a limit, if any, on the number of votes any one member can accumulate, should be substituted in the applicable place. Language on voting on behalf of members organized as partnerships and corporations can avoid an embarrassing dispute right before or even during a membership meeting over how such a member will vote on an issue. Many cooperatives 24 have members organized as partnerships or corporations designate, in writing, who will cast the member’s vote, and that person alone can vote for the member until the member provides a valid written notice of a change in the designee. Other topics that should be addressed include proxy voting, voting by mail, and cumulative voting. There is no “right” way to handle these matters, although cumulative voting is usually prohibited. Sometimes the incorporation statute discusses proxy voting and voting by mail. Many cooperatives that permit proxy voting limit the number of proxies a member can vote, often to only one. If voting by mail is allowed, it is often limited to issues discussed in the meeting notice. Finally, the minimum number of members that need be present to conduct business, called a quorum, should be specified. If the statute permits, quorum requirements are frequently set low (e.g., 10 members or 10 percent of the membership, whichever is greater) so meetings will not have to be adjourned for lack of a quorum. While this exposes the association to control by an active minority, it is sometimes necessary in order to make sure that any business is conducted at all. ARTICLE II. MEETINGS OF MEMBERS Section 1. Annual Meeting. The annual meeting of the members of this association shall be held in the State of , during the month of -9at such time and in such place as the board of directors shall designate. Section 2. Special Meetings. Special meetings of the members of the association may be called at any time by order of the board of directors and shall be called upon written request of at least members, or at least _ percent (__%) of the membership, whichever is a greater number. Section 3. Notice of Meetings. Written notice of every regular and special meeting of members shall be prepared and mailed to the last known post office 25 address of each member not less than -0 days before such meeting. Such notice shall state the nature of the business expected to be conducted and the time and place of the meeting. No business shall be transacted at any special meeting other than that referred to in the notice. Section 4. Voting. Unless otherwise stated in the articles of incorporation, or these bylaws, or required by applicable law, all questions shall be decided by a vote of a majority of the members voting thereon. Each member shall be entitled to only one vote, Voting by mail shall not be permitted. Proxy voting shall be allowed. Each proxy shall be in writing, and no member shall vote more than one proxy. Cumulative voting is not permitted. If a membership is held by a partnership, corporation, or other legal entity, the member shall designate in writing the person who shall vote on behalf of the member. That designation shall remain in effect until written notice of a properly authorized change in the designated voter shall be received by the association. Section 5. Quorum.( members or percent I%) of the membership, whichever is a larger number, shall constitute a quorum at any properly called annual or special membership meeting. Directors and Officers While the members own and control the cooperative, the responsibility for continuous supervision of the association is usually delegated to a small group of democratically elected leaders referred to as the board of directors, who in turn select officers to carry out specific leadership duties. Many cooperative experts consider the selection of directors as the most important governance decision made by the membership. 26 This bylaw covers the administrative rules for the selection of directors and officers and for the conduct of their meetings. Many important issues are discussed in this provision. Number and Qualification of Directors. The specific number and qualifications of directors must be established. The incorporation law will usually prescribe a minimum number of directors. There is no legal maximum on the size of a board, but experience suggests that if more than about nine people are on a local cooperative board, efficiency is reduced substantially. Many State statutes require that all directors be members of the cooperative. Some permit, or even require, one or more outside directors. The sample bylaw requires directors to be association members. If outside directors are to be authorized, the number and manner of selection should be included in the bylaw. Directors have access to pricing and other marketing plans that could be used by a competitor to take business from the cooperative. Thus, many cooperatives bar persons affiliated with competitors of the association from being directors. Cooperatives usually do not, however, bar such persons from membership. For example, a farmer who sells produce directly to a grocery chain may belong to and market some produce through a cooperative that also sells wholesale, but that farmer is frequently denied access to a seat on the cooperative board. A few cooperatives guarantee board turnover by limiting the number of consecutive terms a director can serve. Director and Officer Selection. The rules for election of directors by the members, and officers by the directors, are set out in the bylaws. In many cooperatives the directors are elected for three-year terms on a staggered basis. While directors are usually elected from the membership at large, some cooperatives elect directors on the basis of geographic regions, usually called districts. Sample language authorizing the election of directors by districts is set out in Appendix A. Officers are usually elected for one-year terms. Even many statutes that require all directors to be association members permit some officers, notably the secretary and treasurer, to be nonmembers of the association. This allows staff employees who normally keep association records and books to have both the appropriate title and attendant responsibilities. 27 Sometimes directors and officers are not able to serve their full term. The bylaws should provide for a method to fill vacant director and officer positions, Usually the remaining directors select an interim director to fill a board vacancy until the next membership meeting. Directors can usually select a replacement officer at any properly called board meeting. Meetings. The bylaws frequently provide much of the same information for director meetings as for member meetings - regular and special meetings are authorized, notice and quorum requirements are set out. Compensation . Another issue that should be addressed is director compensation. Many directors spend innumerable hours each year overseeing and promoting the cooperative. It seems reasonable for the association to at least cover out-ofpocket expenses incurred on behalf of the association. Some cooperatives also pay a modest fee for each meeting directors attend, or time they spend on cooperative affairs. While reimbursement of reasonable expenses is usually covered with a blanket authorization, fees should be handled more delicately. Directors should not have the right to set their own compensation. Both the decision to pay any fee, and the level of any fee authorized, should be made by the members. Nepotism. Many cooperatives also have a bylaw provision preventing directors and members of their immediate families from holding salaried positions with the cooperative. This antinepotism language eliminates the chance some members might view the awarding of the position as the result of undue influence of the director, rather than selection on the basis of merit. Removal of Directors. Finally, it may be necessary at some time to remove a director from that position. Sometimes termination is automatic, e.g., failure to maintain member status or missing too many board meetings. The ultimate authority in a cooperative is vested in the members, and they should be able to remove a director at will. As this is often a severe and divisive undertaking, it is best to provide a procedure in the bylaws that affords due process for the director under attack and conforms closely to any procedural requirements set out in the incorporation statute. 28 ARTICLE III. DIRECTORS AND OFFICERS Section 1. Number and Qualification of Directors. The association shall have a board of directors of _(_) members. Each director elected shall be a member of this association in good standing. No person shall be eligible to be a director if that person is in competition with, or is affiliated with any enterprise that is in competition with, the association. If a majority of the board of directors of the association finds at any time following a hearing that any director is so engaged or affiliated that person shall thereupon cease to be a director. No director after having served for I ) consecutive full term(s) shall be eligible to succeed himself or herself, but after a lapse of _ I_) yed4 d-d again be eligible. Section 2. Election of Directors. At the first annual meeting of the members of this association, directors shall be elected to succeed the incorporating directors. _ director(s) shall be elected for one (1) year: _ directors for two (2) years and _directors for three (3) years. At each annual meeting thereafter, new directors shall be elected, for a term of three (3) years each, to succeed those directors whose terms are expiring. All directors shall be elected by secret ballot, and the nominee(s) receiving the greatest number of votes shall be elected. Section 3. Election of Officers. The board of directors shall meet within seven (7) days after the first election and within seven (7) days after each annual election and shall elect by ballot a president, vice president, secretary, and treasurer, each of whom shall hold office until the election and qualifi29 cation of a successor, unless earlier removed., by death, resignation, or for cause. The president and vice president shall be members of the board of directors. The secretary and treasurer need not be directors or members of the association. Section 4. Vacancies. Whenever a vacancy occurs in the board of directors, other than from the expiration of a term of office, the remaining directors shall appoint a member to fill the vacancy until the next regular meeting of the members. If the term of the vacating director does not expire at that regular member meeting, a special election shall be held to select a director to fill the year or years remaining in that term. If one or more officer positions become vacant, such offices shall be filled by the board of directors, through election by ballot, at either a regular or special meeting of the board. Section 5. Regular Board Meetings. In addition to the meetings mentioned above, regular meetings of the board of directors shall be held monthly, or at such other times and at such places as the board may determine. Section 6. Special Board Meetings. A special meeting of the board of directors shall be held whenever called by the president or by a majority of the directors. Only the business specified in the written notice shall be transacted at a special meeting. Each call for a special meeting shall be in writing, shall be I signed by the person or persons calling the meeting, shall be addressed and delivered to the secretary, and shall state the time and place of such meeting. Section 7. Notice of Board Meetings. Oral or written notice of each meeting of the board of directors shall be given each director by, or under the 30 supervision of, the secretary of the association not less than _ hours prior to the time of meeting. But such notice may be waived by all the directors, and their appearance at a meeting shall constitute a waiver of notice. Section 8. Quorum. A majority of the board of directors shall constitute a quorum at any meeting of the board. Section 9 . Reimbursement and Compensation. The association shall reimburse directors for all reasonable expenses incurred in carrying out their duties and responsibilities. The compensation, if any, of the members of the board of directors shall be determined by the members of the association at any annual or special meeting of the association. No member of the board of directors, or member of the immediate family of any board member, shall occupy any position in the association on regular salary. Section 10. Removal of Directors. Whenever any director shall fail to meet the qualifications as described in Section I of this Article, or fails to attend three (3) consecutive board meetings, either regular or special, without just cause and provided that notice of such meetings has been given in accordance with these bylaws, then it shall be the duty of the board to remove said director and to fill the vacancy in accordance with Section 4 of this Article. Members, through petition noting the charges and signed by at least _(J members or _ percent (_%) of the membership, whichever is a greater number, may request the removal of any member of the board. Such director shall be notified in writing of the charges and given an opportunity to be heard at a membership meeting of the association. Removal of a director shall require a vote of of 31 I members voting. Any vacancy resulting from such action shall be filled by nomination and vote of members at such meeting. Duties of Directors The directors are responsible for the ongoing operations of the cooperative. They set policy and oversee the staff operations that implement that policy. Cooperative bylaws often contain language placing a legally binding obligation on the directors to carry out their most important duties. This bylaw often establishes the general relationship between the directors and the manager. An important responsibility of the board is to hire and supervise the manager. The board sets manager compensation and benefits. The manager, not the board, runs the day-to-day business operations of the cooperative. This includes hiring and firing other employees. If the board is dissatisfied with the way the cooperative is conducting its affairs, it should exercise its authority to replace the manager, but it should not take on the manager’s responsibilities. The bylaw should also recognize another important board responsibility-protecting member assets-by providing for appropriate bonds and insurance, an accounting and auditing system, and board control of association funds. Finally, the board should have the authority to appoint committees so its work load can be handled efficiently. Sometimes specific reference is made to an executive committee. An executive committee with broad powers can be useful, especially when the membership is spread over a large geographic area and some directors have to travel some distance to attend meetings. But the other directors must be careful not to abdicate all board responsibility to the executive committee. ARTI&E IV. DUTIES OF DIRECTORS Section 1. Management of Business. The board of directors shall have general supervision and control of the business and the affairs of the associa32 tion and shall make all rules and regulations not inconsistent with law, the articles of incorporation, or bylaws for the management of the business and the guidance of the members, officers, employees, I and agents of the association. Section 2. Employment of Manager. The board of directors shall have power to employ, define duties, fix compensation, and dismiss a manager with or without cause at any time. The board shall authorize the employment of such other employees, agents, and counsel as it from time to time deems necessary or advisable in the interest of the association. The manager shall have charge of the business of the association under the direction of the board of directors. Section 3. Bonds and Insurance. The board of directors shall require the manager and all other officers, agents, and employees charged by the association with responsibility for the custody of any of its funds or negotiable instruments to give adequate bonds. Such bonds, unless cash security is given, shall be furnished by a responsible bonding company and approved by the board of directors, and the cost thereof shall be paid by the association. The board of directors shall provide for the adequate insurance of the property of the association, or property which may be in the possession of the association, or stored by it, and not otherwise adequately insured, and, in addition, adequate insurance covering liability for accidents to all employees and the public. Section 4. Accounting System and Audits. The board of directors shall have installed an accounting system which shall be adequate to meet the requirements of the business and shall require proper records to be kept of all business transactions. 33 Duti 34 At least once in each year the board of directors shall secure the services of a competent and disinterested public auditor or accountant, who shall make a careful audit of the books and accounts of the association and render a report in writing thereon, which report shall be submitted to the directors and the manager of the association and made available to the members of the association. This report shall include at least a balance sheet showing the true assets and liabilities of the association, and an operating statement for the fiscal period under review. Section 5. Depository. The board of directors shall select one or more banks to act as depositories of the funds of the association and determine the manner of receiving, depositing, and disbursing the funds of the association and the form of checks and the person or persons by whom they shall be signed, with the power to change such banks and the person or persons signing such checks and the form thereof at will. Section 6. Committees. The board may, at its discretion, appoint from its own membership an executive committee of _members, and determine their tenure of office and their powers and duties. The board may delegate to the executive committee all or any stated portion of the functions and powers of the board, subject to the general direction, approval, and control of the board. Copies of the minutes of any meeting of the executive committee shall be mailed to all directors within seven (7) days following such meeting. The board of directors may, at its discretion, appoint such other committees as it deems appropriate. 5 of Officers Nhile the tasks that go with each major office of a corpora- tion are generally well understood, it is still important to have those duties spelled out in the bylaws. This will minimize any uncertainty over the roles each plays in leading the association. ARTICLE V. DUTIES OF OFFICERS Section 1. Duties of President. The president shall (1) preside over all meetings of the association and of the board of directors: (2) call special meetings of the board of directors; (3) appoint such committees as the board of directors may deem advisable for the proper conduct of the cooperative: and (4) perform all acts and duties usually performed by a presiding officer. Section 2. Duties of Vice President. In the absence or disability of the president, the vice president shall perform the duties of the president, provided, however, that in case of death, resignation, or disability of the president, the board of directors may declare the office vacant and elect any eligible person president. Section 3. Duties of Secretary. The secretary shall keep a complete record of all meetings of the association and of the board of directors and shall have general charge and supervision of the books and records of the association. The secretary shall sign papers pertaining to the association as authorized or directed by the board of directors. The secretary shall serve all notices required by law and by these bylaws and shall make a full report of all matters and business pertaining to the office to the members at the annual meeting. The secretary shall keep the corporate seal and all books of blank certificates, complete and countersign all certificates issued, and affix the corporate seal to all papers requiring a seal: shall keep complete stock ownership records: shall make all reports required by law: and shall perform 35 such other duties as may be required by the association or the board of directors. Upon the election of a successor, the secretary shall turn over all books and other property belonging to the association. Section 4. Duties of Treasurer. The treasurer shah be responsible for the keeping and disbursing of all monies of the association, and shall keep accurate books of accounts of all transactions of the association. The treasurer shall perform such duties with respect to the finances of the association as may be prescribed by the board of directors. At the expiration of his term of office, the treasurer shall promptly turn over to his successor all monies, property, books, records, and documents pertaining to his office or belonging to the association. Operation at Cost and Members’ Capital Many of the unique aspects of the bylaws of a cooperative pertain to the association’s financial affairs. Tax law plays an important part in structuring these provisions. This report does not attempt to explain cooperative taxation but only makes passing references to tax terms when explaining the importance of certain bylaw provisions. Since the overall objective of a cooperative is to maximize the income of its members, leaders must have flexibility to acquire capital and minimize taxes. The next several provisions, up to and including dissolution, authorize business and tax planning options compatible with doing business on a cooperative basis. This section often starts with a straightforward statement that the association will operate on a service-at-cost basis for the mutual benefit of the members as patrons and then covers specific issues to implement that statement. Language is usually included to allocate margins on a patronage basis. Allocation can be based on the volume or the value of business conducted on a patronage basis. Cooperatives dealing in one commodity, or in similar commodities, usually use the volume method. Those that handle several products 3s with divergent values often use the dollar-value-of-business method. The sample language assumes that the association is a marketing cooperative using the volume method. Appropriate wording for supply cooperatives and those using the value method is provided in parentheses. Marketing cooperatives have an alternative method of raising equity capital, the collection of per-unit retains. Language authorizing this option should be included in their bylaws. The term “capital credits” is used in the sample language to distinguish the retained margins and per-unit retains from direct member investments in stock. This distinction simplifies establishing an equity redemption program for patronage-based investments apart from any redemption of direct investments. The bylaw should specify whether dividends will be paid on this patronage capital. Since the completeness and accuracy of each patron’s account is vital to assigning financial obligations and benefits in the appropriate manner, a provision obligating the association to keep the required records is an important protection for the members. A statement requiring the timely distribution of written notices of allocation and per-unit retain certificate is both good business practice and a requirement for favorable tax treatment under the Internal Revenue Code. That statement should authorize the board to issue those notices and certificates, in either qualified or nonqualified form, so as to maximize the tax planning alternatives available. ARTICLE VI. OPERATION AT COST AND MEMBERS’ CAPITAL Section 1. Operation at Cost. The association shall at all times be operated on a cooperative service-at-cost basis for the mutual benefit of its member patrons. Section 2. Margin Allocation. In order to induce patronage and to assure that this association 37 will operate on a service-at-cost basis in all its transactions with its members, the association is obligated to account on a patronage basis to all member patrons on an annual basis for all amounts received from business conducted with members on a patronage basis, over and above the cost of providing such services and making reasonable additions to reserves. Such allocation shall be on the basis on the volume (dollar value) of product marketed through (purchased from) the association. The association is hereby obligated to pay all such amounts to the patrons in cash or by credits to a capital account of each member patron. Section 3. Per-Unit Retains. Each member also agrees to provide capital in such amounts as determined by the board of directors based on physical units of product marketed through the association. Such per-unit retains shall be allocated to the member’s capital credit account, Section 4. Dividends. No dividends shall be paid on any capital credits. Section 5. Records and Documentation. The books and records of the association shall be set up and kept in such a manner that at the end of each fiscal year, the amount of capital, if any, so furnished by each member is clearly reflected and credited in an appropriate record to the capital account of each member. The association shall, within 8-l/2 months after the close of each fiscal year, notify each member of the capital so credited to the member’s account. The notice shall be in the form of a written notice of allocation or per-unit retain certificate (as those terms are used in Subchapter T of the Internal Revenue Code) or other appropriate written document. The board shall have discretion to issue such 38 notices and certificates in either “qualified” or “nonqualified” form as permitted by the Internal Revenue Code and other applicable law. Section 6. Fiscal Year. The fiscal year of this association shall commence on the first day of (month) and end on the last day of (preceding month). Equity redemption A bylaw authorizing redemption of patronage capital and explaining the method to be used helps insure that, to the extent possible, current patrons finance the cooperative. There are three types of equity redemption plans. Most cooperatives that have an equity redemption program use a revolving fund plan whereby equities are redeemed in the order in which they were allocated. The first paragraph of the sample bylaw presents this approach. A limited number of cooperatives redeem a percentage of all outstanding equities each year. Sample language to implement this plan is found in section 1 of the Alternative Equity Redemption Bylaw (Appendix B). A few cooperatives have adopted a base capital plan. Under a base capital plan each member is assigned responsibility for providing a pro rata share of needed capital based on proportional use of the cooperative during a base period. A sample bylaw authorizing a Base Capital Plan is presented in Appendix C. Associations interested in such a plan should contact a professional adviser who can draft a scheme tailored to the association’s unique needs. Some cooperatives grant the board discretion to retire outstanding member equity “out of order” as it deems in the best interests of the association. Sample language for implementation of the discretionary approach appears in the second paragraph of the sample bylaw below. Other cooperatives provide a specific redemption preference for equity of the estates of deceased members and/or retired members who have reached a certain age. An event-specific preferences clause can be complex, particularly if it attempts to 39 deal with the special problems created by members organized as legal entities and thus do not regularly retire or die. Sample language covering this situation is provided in section 2 of the sample bylaw in Appendix B. New associations are not going to be in a position to redeem equity for several years. But an early commitment to develop a regular equity redemption program and agreement on the rules for its implementation will strengthen an association’s cooperative character and give early supporters some assurance that they will get their investment back at some time in the future. Consent ARTICLE VII. EQUITY REDEMPTION Section I. Regular Redemption, Revolving Fund. If at any time the board of directors determines that the financial condition of the association will not be impaired thereby, capital credited to members’ accounts may be redeemed in full or in part. Any such redemption of capital shall be made in order of priority according to the year in which the capital was furnished and credited, the capital first received by the association being the first redeemed. Section 2. Discretionary Special Redemptions. Notwithstanding any other provision of these bylaws, the board, at its absolute discretion, shall have the power to retire any capital credited to members’ accounts on such terms and conditions as may be agreed upon by the parties in any instance in which the interests of the association and its members are deemed to be furthered thereby and funds are determined by the board to be available for such purposes. If the cooperative is to deduct the face value of written notices of allocation and per-unit retain certificates from taxable income in the year issued, the Internal Revenue Code requires patrons to consent to include those amounts in taxable income 40 in the year they receive a notice or certificate, even though the cooperative retains the funds. The simplest way to obtain consent from members is to include a bylaw making consent a condition for membership. The Internal Revenue Service has published a model consent bylaw which should be adopted. Another paragraph is inserted making it clear that the cooperative must explain the meaning of consent to members and prospective members: this reminds leaders that such an explanation is also a tax law requirement. ARTICLE VIII. CONSENT Each person who hereafter applies for and is accepted to membership in this association, and each member of this association on the effective date of this bylaw who continues as a member after such date, shall, by such act alone, consent that the amount of any distributions with respect to his patronage occurring after the effective date of this bylaw, which are made in qualified written notices of allocation or qualified per-unit retain certificates (as defined in 26 U.S.C. 1388), and which are received by him from the cooperative, will be taken into account by him at their stated dollar amounts in the manner provided in 26 U.S.C. 1385(a) in the taxable year in which such written notices of allocation and per-unit retain certificates are received by him. Written notification of the adoption of this Article, a statement of its significance, and a copy of the provision shall be given separately to each member and prospective member before membership in the association. Nonmember Business The bylaws should make it clear whether the association may or may not do business with nonmembers. The sample bylaw assumes that the association will want the option to conduct nonmember business. 41 If the association does nonmember business, the CapperVolstead Act and many State incorporation laws require that a majority of the association business be done with or for members. The first three sentences of the sample bylaw are thus found in most cooperative bylaws. If an association wishes to qualify for tax treatment under section 521 of the Internal Revenue Code, it may not do more than 15 percent of its farm supply business with persons who are neither members nor producers (business with the Federal government can be disregarded in making this computation). The last two sentences in the example cover this situation. ARTICLE IX. NONMEMBER BUSINESS This association may conduct business with nonmembers on either a patronage or nonpatronage basis. However, this association shall not market the products of nonmembers in an amount the value of which exceeds the value of the products marketed for members. Itshall not purchase supplies and equipment for nonmembers in an amount the value of which exceeds the value of the supplies and equipment purchased for members. It shall not purchase supplies and equipment for persons who are neither members nor producers of agricultural products in an amount the value of which exceeds fifteen percent (15%) of all its purchases. Business done for the United States or any of its agencies shall be disregarded in determining the limitations imposed by this section. Nonpatronage Income Several factors are combining to increase the proportion of cooperatives that have taxable earnings from nonpatronage sourced. These factors include a growing reliance on nonmember business to sustain the cooperative, more forceful positions by IRS auditors to classify investment income as nonpatronage sources, and less use of section 521. The bylaws should recog42 nize this as special income and provide the board discretion to add it to a capital reserve, distribute it to members, or put it to any other lawful use. I ARTICLE X. NONPAlXONAGE INCOME The nonpatronage income of the association shall be its gross receipts derived from all sources which under law do not qualify as patronage income, less all expenses properly attributable to the production of such nonpatronage sources income and all income taxes payable on such receipts by the association, Nonpatronage income shall be used in behalf of the association and its members in accordance with such lawful purposes, including assignment to an unallocated reserve account and allocation in whole or in part to members, as may be determined by the board of directors. Handling of Losses While cooperatives operate at cost over the long term, the financial world operates for accounting and tax purposes in single-year segments. Sometimes cooperatives have a loss in that relatively short framework. The bylaws should anticipate the possibility of a loss year. They should explain how decisions will be made to allocate the loss on an equitable basis. The proper treatment of losses by cooperatives for tax purposes has long been a contentious issue between cooperatives and the Internal Revenue Service. The sample bylaw reflects a moderate position that financial results on patronage and nonpatronage business should be separated: gains and losses within each category can be combined, or “netted,” for tax purposes; and losses under either category can be carried back or forward to offset earnings in other years under the applicable provisions of the tax code for businesses in general. As the rules for handling losses are subject to change from time to time, counsel should be asked to keep informed on this issue and advise the association when this bylaw may need revision. 43 It may also be prudent to include a prohibition on directors voting a direct assessment on the members. This will prevent outside interests from pressuring the directors into an action likely to have a negative impact on member relations. ARTICLE XI. LOSSES Section z . Patronage Losses. In the event the association suffers a loss during any year on business conducted with or for patrons, such loss may be apportioned among the patrons during the year of loss so that such loss will, to the extent practicable, be borne by the patrons of the loss year on an equitable basis. The board shall have full authority to prescribe the basis on which capital furnished by patrons may be reduced or such loss otherwise equitably apportioned among the patrons. In the event of a patronage loss in one or more departments or divisions of the operation of this association, but not so much as to cause an overall loss for the fiscal year, such loss or losses may be prorated against each of the remaining profitable departments on the basis of their respective percentage of the net margins during such fiscal year. Section 2. Nonpatronage Losses. If in any fiscal year the association shall incur a loss other than on patronage operations, such loss may be charged against any reserve accumulated from nonpatronage earnings in prior years. Section 3. General Provisions. The board shall have no authority to make assessments against members. This section shall not be construed to deprive the association of the right to carry backward or forward losses from any source whatsoever in accordance with the Internal Revenue Code or state taxing statutes. 44 Dissolution Many of the rules to dissolve a cooperative are contained in various statutes and are too complex to reproduce in the bylaws. One issue that should be addressed is how any assets that might remain after all liabilities are met should be distributed. In a noncooperative corporation this is usually done on the basis of stock ownership and, if the bylaws are silent on this issue, this may be the rule imposed on cooperative members by a court. It is a good idea to consider language in the bylaws of a cooperative making clear that such a distribution will be on the basis on patronage. I ARTICLE XII. DISSOLUTION AND PROPERTY INTEREST OF MEMBERS Upon dissolution, after all debts and liabilities of the association shall have been paid, all shares of preferred stock and common stock redeemed, and all capital furnished through patronage shall have been retired without priority on a pro rata basis, the remaining property and assets of the association shall be distributed among the members and former members in the proportion which the aggregate patronage of each member bears to the total patronage of all such members insofar as practicable, unless otherwise provided by law. Indemnification As the trend toward litigating to test the validity of various decisions by corporate leaders has grown, so has the possibility that directors, officers and employees may be found personally liable for the adverse consequences of their decisions. This has made some people understandably reluctant to assume leadership positions, particularly as unpaid or minimally compensated directors and officers. State governments, recognizing the valuable role directors and officers play in corporate affairs, have adopted a variety of 45 laws limiting liability of corporate leaders and permitting corporations to shield leaders from direct personal loss for decisions they make on behalf of the corporation. In many States this is a developing area of the law, and the extent of permissible indemnification changes frequently. To encourage members to serve as directors, and to make sure leaders don’t shy away from innovative ideas, cooperatives should consider a bylaw accepting the maximum amount of responsibility for indemnification permitted by State law. Prudent risk management usually includes the purchase of liability insurance to protect against an indemnification claim that might otherwise lead to significant exposure for the association. This coverage can seem quite expensive, so the sample language uses the permissive term “may” rather than the mandatory term “shall.” But whenever possible, this insurance should be obtained to avoid exposing member assets to unacceptable risk. I ARTICLE XIII. INDl3MNIFICATION The association shall indemnify its officers, directors, employees, and agents to the fullest extent possible under the provisions of the (applicable State law), as it may be amended from time to time. The association may purchase liability insurance coverage for any person serving as an officer, director, employee or agent to the extent permitted by applicable State law. Amendment It is important for cooperative leaders to remember that bylaws are not set in stone. They can, and should, be changed whenever they stand as a barrier to cooperative activity desired by the member-owners and permissible under the law. While the incorporation statute will include language permitting amendment of the bylaws and setting out how this can be accomplished, a bylaw on amendment is usually included to 46 remind leaders that change is possible and to call attention to any unusual legal requirement, such as a higher than normal positive voting requirement, that may be applicable. ARTICLE XIV. AMEXWMENTS If notice of the character of the amendment proposed has been given in the notice of meeting, these bylaws may be altered or amended at any regular or special meeting of the members by the affirmative vote of (_) of the members present or voting by proxy. Again, these are only examples of the provisions common to most cooperative bylaws. Virtually any other rule can be included that is permissible under law. It is up to the leaders and members of a cooperative to craft a set of bylaws that guides the association to serving members’ needs. MARKETING AGREEMENT Cooperatives that market farm products and other goods of their members will usually want a separate contract with each member establishing the terms upon which they will conduct their business transactions. This contract is commonly called a marketing agreement. If the members only want the cooperative to serve as a home-of-last-resort for product that can’t be sold elsewhere, then a marketing agreement is not necessary. But if the members want an organization that will enhance the return they earn on all of their production, then a marketing agreement is an important marketing tool. The marketing agreement is a unique contract in that, because the members own ,and control the cooperative, the members are entering into a contract with themselves. But it is more accurate to picture the agreement as a contract between each individual member and the membership as a whole. An important key to making the system work is for everyone to remember that the cooperative is democratically con47 trolled by the members. No individual member has a right to unilaterally cancel or change the marketing agreement, and the leadership should not insist on arrangements that are contrary to the wishes of a majority of the membership. The marketing agreement builds on the patronage commitment section of the organizational agreement. Each individual member’s obligation to the organization committee is transferred to the new cooperative entity. While the basic content of the articles and bylaws is standardized throughout the cooperative community, the substantive provisions of the marketing agreement are influenced by the custom and trade of the market for the commodity covered by the agreement. Thus the sample language may need substantial modification to meet member needs. As with the articles and bylaws, the terms of the marketing agreement are binding until changed, but they are not etched in stone. The association-represented by its officers and directors-and the members are free to adopt an approach to any issue different than the approach set out in the organization agreement or in previously adopted marketing agreements. Introduction These initial provisions identify the parties to the contract, the cooperative and the producer, and usually establish any other requirements that the producer must meet, including any initial equity investment obligation, to be a member of the cooperative. I MARKEUINGAGREEMENT THIS AGREEMENT, made as of this _ day of x9_, by and between , herein referred to as “Producer,” and t an agricultural cooperative having an office at , herein referred to as “Association”. RECITALS A. Association is an agricultural cooperative organized under the laws of the State of . B. Producer is a member of the Association who produces . C. Producer has purchased one share of common voting stock and paid to Association the sum of dollars ($), calculated at the rate of $ per -(unit) of (product) as specified in Producer’s membership application, receipt of which is acknowledged as an equity investment in the Association. This entitles Producer to all the benefits of membership in the Association as long as Producer complies with the articles of incorporation and bylaws of the Association and the provisions of this agreement. In consideration of the mutual covenants and obligations contained herein, the parties agree as follows: sales Terms This provision outlines how the association will sell the products and pay the member-patrons. The first paragraph normally defines the obligation of the producer to deliver product to the association. The same three options outlined in the patronage commitment examples for the organization agreement-full production, defined volume, and set acreage-are available for use in setting the delivery commitment once operation begins, The defined volume option is utilized in this example, so if another type of obligation is adopted, appropriate modification of the first paragraph should be made. The second paragraph explains how the association will distribute the proceeds of resale to the member. Two ways of accounting for these proceeds are common. One is sometimes referred to as a gross margin operation. The association agrees 49 to pay the member the going market price for the product, less deductions for operating expenses. After the end of the fiscal year, any margin is returned to the producers as a patronage refund. The other is called the pooling method. In this arrangement all proceeds above expenses are returned to the producers on the basis of patronage. Such associations do not generate margins, as such, and thus lack access to retained patronage refunds to obtain equity. Pooling cooperatives must rely on per-unit retains and other means of raising capital. An example of draft language for each option is set forth below. Other terms of sale should also be included in the agreement. Sample language on several areas commonly covered are provided: responsibilities for delivery and for inspection and grading of the product; authorization for the association to pledge the product and sales proceeds as collateral for loans and otherwise exercise the rights of ownership: authorization for the association to withhold fees to cover operating expenses and capital retains from checks to growers; and an explanation of how the parties to the contract will deal with liens against the product. Section 1. Sale of (product). Association agrees to buy and Producer agrees to sell to Association (number) (units) of (product) as defined by USDA standards and grown by Producer. This agreement is intended by the parties to pass an absolute title to (number) _ (units) of (product) grown by Producer as soon as they have a potential existence but such (product) shall be at the risk of Producer until delivery. * * * * * * OPTION - Gross Margin Operation * * * * l l Section 2. Payment to Producer. Association shall market Producer’s (product) and Producer shall accept as payment for Producer’s (product) a price based on the current market price in the area for (product) of like grade and 50 quality. Association shall pay the amount due Producer, less deductions authorized in Section 6 of this agreement, not more than _ days after delivery of [product) to Association or Association’s prescribed buying location. l * * l l * OPTION - Pooling Operation l l * * * * Section 2. Payment to Producer. The Association may at any time pool any or all (product) of Producer with any other (product) of a similar kind and grade. Producer shall receive, for (product) pooled, a unit price equal to the average net unit price obtained for the pooled (product), less deductions authorized in Section 6 of this agreement. Association shall make an advance payment to Producer of percent of the current market price in the area for (product) of like grade and quality not more than _ days after delivery of (product) to Association or Association’s prescribed buying location. Section 3. Delivery. All (product) shall be delivered by Producer at Producer’s expense at the earliest reasonable time after harvesting, or at such time as called for by Association, to Association’s principal place of business or to one of Association’s authorized buying locations as prescribed by Association. The Association will use its best efforts to locate buying locations within a reasonable distance from Producer’s farm. Section 4. Inspection and Grading. Prior to acceptance by Association, all (product) shall be inspected and graded by the USDA in accordance with USDA standard rules and regulations. All purchases and/or marketings of (product) received by Association from Producer 51 shall be based upon USDA grade, and Producer agrees to accept the grading established by USDA. Section 5. Loans and Security. Association shall have the power to borrow money for any purpose on the security of the (product) delivered to Association, the products derived thereupon, and evidence of such products or by-products, or cash or accounts arising from the sale thereof, and to give a lien, either legal or equitable, thereon as the absolute owner and/or marketing agent thereof. Association may commingle such products and byproducts with other products and by-products of like grade and variety and shall exercise all other rights of ownership without limitation. Section 6. Deductions. Association agrees to purchase from and/or market for Producer the (product) set forth in Section 1 and to pay to Producer for said (product) the price set forth in Section 2, less the following deductions authorized by Producer: a. An amount to be determined annually by the board of directors, in the sole discretion of the board, to meet the general contingencies of the business of the Association including operating expenses. b.A$ . per___ (unit) capital retain deduction by the Association on the purchase price of each _(unit) of (product) received from Producer. Section 7. Liens. Producer shall notify the Association of any lien on any (product) covered by this agreement. Producer shall obtain permission from the lien holder for Association to market such (product) and to retain any deductions from the payments to Producer autho52 rized hereunder and under the articles of incorporation and bylaws of the Association. After any such deductions, Producer authorizes the Association to apply the balance of the sale proceeds, or so much thereof as necessary, for payment of the lien. Enforcement As a member owned and controlled entity, one of the most sensitive areas of management and leadership in a cooperative is the disciplining of members who violate their agreements with the association. But unless each member honors his or her obligations to the association, the collective strength of the venture is weakened and the entity’s chance of success is diminished. This is especially true where a marketing agreement is in effect. Management has to be able to anticipate the amount of product that will be delivered so it can plan for its processing and resale. Disruptions in anticipated delivery by natural causes, such as drought, are usually excused under a so-called “Act of God” clause in the cooperative’s contracts with buyers. But if members simply do not deliver product to the association as promised, management may be forced to buy product on the open market to meet association commitments or even default on its own contractual obligations. Usually a member knowingly violates the marketing agreement because the member thinks he or she can get a better price somewhere else. In the short term, this may indeed be the case. No firm always has the best price in a competitive market. But a cooperative must view itself as a long-term undertaking. If some members are allowed to forsake the cooperative for personal shortterm gain, they do so at the expense of those members who honor their agreement. Because the marketing agreement is a contract between each individual member and the membership as a whole, the leadership has the responsibility to protect the interest of the group as a whole. That means taking steps, including legal action if necessary, to enforce the marketing agreement. Most State cooperative incorporation statutes permit contractual provisions to facilitate enforcement of marketing agree53 ments. One is the inclusion of language providing for liquidated damages. In general corporate law, an injured party must prove the extent of the loss with great specificity to be eligible for compensation. This can be very difficult to do when agricultural commodities are involved. Their value changes by the day, or even by the minute. So in this instance, the parties can agree through contract on a specific level of damages, called liquidated damages, that will be the penalty for violating the contract. The level must be high enough to truly discourage breaches of the contract and to compensate the other members for their loss. A frequently used rule-of-thumb is 25 percent of the estimated market value of the commodity if it had been delivered under the contract. Marketing agreements also usually authorize the association to go to court and seek a restraining order against either actual or anticipated breach of the contract. The agreement may also make the offending party liable for legal fees incurred by the association in defending the agreement. Section 8. Liquidated Damages. The remedy at law would be inadequate and it would be impracticable and difficult to determine the actual damages to the Association should Producer fail to deliver the (product] covered by this agreement. Therefore, regardless of the cause of such failure, Producer agrees to pay to the Association for all such (product) delivered or disposed of by Producer, other than in accordance with the terms of this agreement, a sum equal to _ % of the fair market value of the product at the close of business on the day the product should have been delivered to the Association, as liquidated damages for the breach of this agreement. All parties agree that this agreement is one of a series dependent for its true value on the adherence of all the contracting parties to all of the agreements, but the cancellation of any other similar agreement or the failure of any of the parties thereto to comply therewith shall not affect the validity of this agreement. Failure to deliver the (product) commit54 ted herein due to ACTS OF GOD shall not constitute a breach of this agreement. Section 9. Specific Performance. Producer agrees that in the event of a breach or threatened breach by Producer of any provisions of this marketing agreement regarding delivery of (pmduct), the Association shall be entitled to a preliminary restraining order and an injunction to prevent breach or further breach hereof and to a decree of specific performance hereof. The parties agree that this is a contract for the purchase and sale of personal property under special circumstances and conditions and that the Association may, but shall not be obligated to, go into the open markets and buy -(product) to replace any that Producer may fail to deliver. Section 20. Legal Costs and Expenses. If the Association brings any action whatsoever by reason of a breach or threatened breach of this agreement, Producer shall pay to the Association all court costs, costs for bonds, travel expenses and all other expenses arising out of or caused by the litigation, including reasonable attorney’s fees expended or incurred by Association in such proceedings, and all such costs and expenses shall be included in the judgment. Termination and Renewal Management doesn’t want to have to get every member to sign a new agreement each year, and the producers aren’t going to want to be obligated to continue to patronize the cooperative if it isn’t meeting their needs. A provision providing that the contract automatically renews itself for another year unless either the cooperative or the member provides notice during a specific period of time-usually about a month during a slow period in production and cooperative activity-that it wants to terminate the agreement gives adequate flexibility and stability to the relationship. 55 Section 2 1. Termination and Renewal. After this agreement has been in effect one year from the date of execution, either party may terminate it in any year by notifying the other party in writing between (date) and (date). It is mutually agreed that failure to so terminate in any year shall constitute conclusive evidence that the parties have renewed this agreement for another year. Miscellaneous Provisions Individual cooperatives have adopted numerous additional provisions to tailor their marketing agreements to their individual needs. Examples of some of the more common, but by no means all, of these types of provisions are provided. Nonconforming agreements. From time to time, the association may want to alter the terms of its marketing agreement. This may occur when numerous agreements are in effect, and it is a good cooperative practice to treat all member equitably. Therefore, a provision permitting nonconforming contracts, but offering persons with ongoing agreements the option to change to the new agreement, often called a “most favored nation clause,” can be useful. If the association wants to bring all agreements back to uniformity, it can do so during the next time period for terminating existing agreements. Section 12. Nonconforming Agreements. Association may enter into agreements with other growers differing in terms from those contained herein, consistent with the bylaws of the Association, without invalidating this agreement, provided that Producer at Producer’s request may sign a similar agreement as a substitute for this agreement. No contrary agreements. One of the most difficult legal situations to untangle involves the member who signs more than one contract for the sale of the same commodity. A clause forbidding such activity helps place the responsibility for injuries suffered by the cooperative on the member. Section 13. No Contrary Agreements. Producer warrants that Producer has not contracted to sell, market, consign, or deliver and will not contract to sell, market, consign, or deliver any (product) during the term of this agreement to any person, firm or corporation, contrary to this agreement. Forfeiture of membership. If a member is going to disregard the terms of the marketing agreement, the cooperative is usually better off without that person as a member. A provision giving the board authority to revoke the membership of a member who violates the agreement gives appropriate discretion to the directors in dealing with a breach of the contract. Section 14. Forfeiture of Membership. Violation of this agreement in any material respect by Producer shall be grounds for the board of directors to terminate Producer’s membership in the Association. Abide by articles and bylaws. A similar provision requiring members to abide by the articles and bylaws, as written at the time the agreement is signed or subsequently a&nded, makes it clear that a member can’t abrogate the agreement if the membership approves a change in the cooperative organizational documents the individual member doesn’t like. That member must honor the agreement until the annual period for orderly termination arrives. I Section 15. Articles and Bylaws. Producer agrees to conform to and observe the articles of incorporation and bylaws of the Association now in force and as they may be amended hereafter. Assignment. Sometimes reorganizations occur during the year at either the association or the member level. The right of a new entity replacing one of the parties to enforce the contract can be clarified in the agreement itself. Because the association is the members as a whole, it can usually assign its rights at will. However, to protect against one member assigning rights to an 5 7 unqualified person, usually a member must have board approval to assign contract rights. Section 26. Assignment. This agreement may be assigned by the Association in its sole discretion. Producer may assign this agreement, but only upon written authorization granted by the board of directors of the Association. Entire agreement. A major cause of disputes over business contracts is the unwritten exception. One party to the contract will say, “I know the contract says that, but you told me you would do this.” Marketing agreements will frequently include language stating that the organizational documents and the agreement itself are the only contracts between the parties and no oral or other types of agreements will be honored. The manager, in particular, needs to be reminded of this rule. Special unauthorized promises or “deals” for selected members can do serious harm to the cohesiveness of the association. ~ Section 17. Entire Agreement. It is agreed that the articles of incorporation and the bylaws of the Association, now or hereafter in effect, and this marketing agreement constitute the entire agreement between the Association and Producer, and that there are no oral or other conditions, promises, covenants, representations, or inducements in addition to, or at variance with, any terms of this agreement. Governing law. Even if an association intends to limit its activity to a single State, disputes that involve the marketing agreement can arise from transactions that cross State lines in any number of ways. To avoid arguments over which State’s law shall be applied, the contract might have a clause naming the State. This can be particularly important if the association is incorporated under a statute of a State different from the one where its headquarters are located. I Section 18. Governing Law. This agreement shall be governed by the laws of the State of , Signatures. To make the contracts official, they must be signed by both parties. If the producer is a business and not a real person, the association should check to make sure the signee for the business is authorized to enter into such agreements for the business. IN WITNESS WHEREOF, these parties have executed this agreement as of the day, month and year first above written: Producer (Cooperative name) BY President ATTEST I Secretary MEMBERSHIP APPLICATION When a person applies for membership in a cooperative, it is a good idea to have a simple document that ties the loose ends together and, when approved, serves as official notice that the applicant is a bona fide member of the association. If the articles, bylaws, and marketing agreement are well drafted, this need be little more than a summary of the commitments made. Applicant certifies that the requirements of membership have been met, and the appropriate cooperative officers, usually the president and secretary, acknowledge board approval of the applicant. 5 9 MEMBERSHIP APPLICATION Applicant’s Statement. I hereby apply for membership in and agree to abide by the articles of incorporation and bylaws of the association, now and hereafter in effect, copies of which have been presented to me for inspection. I certify that I am a producer of , have tendered the purchase price of one share of common voting stock, have signed a marketing agreement, and met such other qualifications for membership as have been explained to me. After my membership shall have been in effect for one year from the date of its acceptance by the association, either party may terminate it by notifying the other party in writing of this intention between (date) and (date) of any year. If neither of the parties to this agreement so notifies the other, it is mutually agreed that this shall constitute conclusive evidence that the parties have renewed this agreement for another year. Date ,199_. Applicant’s: name address telephone number social security number Applicant’s signature Acceptance. This certifies that is a member of and is entitled to all of the rights, benefits, and privileges of membership in the association. Date , 199_. President: Secretary: As mentioned earlier, familiarity with the documents reviewed in this report is an ongoing responsibility of each cooperative leader, particularly members of the board of directors. The same is true for other important cooperative papers: e.g., audit reports and current financial statements, board policies, loan agreements, the manager’s job description, and minutes of board and membership meetings. As the manager’s job is to run the day-to-day operations of the cooperative, the manager acquires the necessary familiarity with these items as part of his or her ongoing duties. Directors usually don’t have the continuous contact with the business that the manager does. They need to have the documents available so they can look up information and ask informed questions when necessary. A good director handbook meets this need. The director handbook can be nothing more than a solid three-ring binder that contains up-to-date copies of all documents the directors need to set cooperative policy. Every new director should get a current handbook as soon as he or she is elected to the board. At each board meeting the manager or the president should distribute minutes of the previous meeting and new versions of any documents that have been modified or adopted since the last meeting. Time should be taken to make sure the directors place the new pages in the proper place in the book and to let the directors review and ask questions about the additions and replacements. The director handbook will get the important cooperative papers out of the file cabinet and into the mainstream of the decision-making process. It will minimize the likelihood leaders will innocently violate a provision of the articles and bylaws, contracts, or other written guidelines. It will provide ready answers to questions about the limitations on managerial discretion imposed by these documents. And it will facilitate the conduct of business meetings in a professional and efficient manner. In summary, it will soon become a valuable tool for cooperative management and planning. 61 Appendix A. Election of Directors by Districts (bylaw provision) ARTICLE III. DIRECTORS AND OFFICERS Section 2. Election of Directors by Districts. (Two paragraphs as in sample language on page 29, main text. Next, add the following:) The territory in which the association has members shall be divided into _ (same number as number of directors) districts. The respective districts and their boundaries shall be established by resolution of the board of directors. The board of directors may from time to time change the boundaries of one or more districts by adding territory not included within any district, by adding to one district territory previously included in another district, or by excluding from a district a part of its territory. There shall be as many directors as there are districts, one director to be elected by the members of each district. However, when the number of districts is an even number, there shall be one additional director to be known as a director-at-large and to be elected by all members of the association. A district director must be a resident of, or be a producer of agricultural products in, the district for which such director is elected or appointed. Any questions as to the effect of any changes made in district boundaries, or the number or identity or districts, shall be conclusively determined by the board of directors. Nominations for directors, either for a district or at large, shall be made by petition addressed to the secretary of the association requesting placement on the ballot of the name of the person so nominated. Such a petition nominating a district director shall be signed by not less than _ members of that district. Such a petition nominating a director-atlarge shall be signed by not less than _ members of the association. 62 Appendix B. Equity Redemption (alternative bylaw) ARTICLE VII. EQUITY REDEMPTION Section I. Regular Redemption, Percent of All Equities. It shall be the policy of the association, when other redemption priorities set forth herein have been met, and when funds are available, to redeem in cash a percentage of each member patron’s capital credits, rather than ratably by year. The time and method of any such redemption shall be determined by the board of directors. Section 2. Specified Special Redemptions. The association shall give priority to redemption of members’ capital credits held by deceased persons for the settlement of their estate. The association shall thereafter grant priority redemption to capital credits of former members who have attained their 65th birthday and are no longer actively engaged in agricultural production as actual producers or landlords in share tenancy. The time and method of such redemption shall be determined solely by the board of directors, dependent upon the financial condition of the association. In the case of redemption of the equities of those persons who have attained age 65 and retired from farming, preference may be given to the oldest retirees in establishing the order of priority among those eligible. In the case of a corporation or partnership holder of members’ capital credits, such corporation or partnership shall be considered eligible for priority treatment to the same extent as the individual stockholders of such corporation or partners of the partnership would have qualified, if each individual stockholder or partner were an individual memberpatron of this association. Any redemption shall be made to the corporation or partnership, and not to the individual stockholder or partner thereof. Each corporation or partnership shall report to the association the percentage of ownership interest 63 in the corporation or partnership of each of its stockholders or partners. Failure to report accurately the percentage of individual ownership interest shall disqualify any allocations made to the corporation or partnership by this association from redemption priority. If a corporation or partnership should dissolve, its capital credits in this association shall be prorated among, and transferred to, the individual stockholders or partners and considered for redemp tion on an individual ownership basis. The amount of any redemption or prorate related to a corporate or partnership member shall be determined by the percentage of ownership interest as reported by the corporation or partnership. When two or more persons are holders of capital credits as tenants in common, without a designation of rights of survivorship, they shall be deemed by this association to be acting as partners and shall be subject to the same requirements as a partnership. Capital credits held in joint tenancy with rights of survivorship shall be considered for priority of redemption according to the qualifying status of the youngest member of the joint tenancy or, in the event of death of one of the joint tenants, of the survivor. Appendix C. Base Capital Plan (bylaw provision) ARTICLE VII. EQUITY REDEMPTION Section 1. Members’ Equity Requirements. Each year the board of directors shall determine the amount of equity capital necessary for successful operation of the cooperative. The total amount of member volume and the volume each member has marketed through the association during the past _( ) years shall be calculated. Each member’s equity requirement is equal to the amount of equity, determined necessary by the board of directors, multiplied by the member’s proportion of the association’s total member volume during the base _ year period. Section 2. Member Investment. Members can invest equity to meet their requirements by direct cash investment, allocated patronage refunds, and per-unit capital retains. Section 3. Member Account Adjustments. At the end of each fiscal year the association shall recalculate each member’s capital credits account to include all per-unit retains for the year and each member’s share of patronage refunds for the year. (a) If a member’s total capital credits are less than the member’s equity requirement for that year, cash returns on business done with the association will be limited to those required by the Internal Revenue Code or other applicable law. (b) If the member’s capital credits, less any cash that must be refunded to comply with the Internal Revenue Code or other applicable law, are greater than the member’s equity requirement for that year, the excess shall be redeemed in cash within g-112 months after the close of the association’s fiscal year. 65

[question] [user request] ===================== [text] [context document] ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Explain the difference between the Somogyi phenomenon and the dawn phenomenon, how each can be avoided, and why each happens at night. Use a maximum of 500 words.

Definition/Introduction The Somogyi effect, also known as the "chronic Somogyi rebound" or "posthypoglycemic hyperglycemia," was a theory proposed in the 1930s by Dr. Michael Somogyi, a Hungarian-born professor at Washington University, St. Louis, MO, United States.[1] He described the paradoxical tendency of the body to react to hypoglycemia by producing hyperglycemia. Somogyi proposed that when blood glucose levels drop too low during the late evening, activation of counterregulatory hormones such as adrenaline, corticosteroids, growth hormone, and glucagon may be observed, leading to activation of gluconeogenesis and resultant hyperglycemia in the early morning.[2] However, more recent studies involving continuous glucose monitoring (CGM) have disputed this theory. Also, clinicians have observed that patients with early morning hyperglycemia tend to have high blood glucose measurements at night rather than low.[1] As a result, the debate continues in the scientific community regarding Somogyi's theory. Moreover, recently proposed mechanisms of morning hyperglycemia include nocturnal growth hormone secretion, hypoinsulinemia, and insulin resistance associated with metabolic syndrome.[3] A phenomenon known as the dawn phenomenon was introduced by Dr. Schimdt in the 1980s, stating that morning hyperglycemia is due to the decreased levels of endogenous insulin secreted at night.[1] The dawn phenomenon also contributes to morning hyperglycemia to increased concentrations of insulin-antagonist hormones. The dawn phenomenon is comparable to the Somogyi phenomenon, which attributes morning hyperglycemia to counterregulatory hormones from low glucose. The dawn phenomenon has been noted to occur more commonly than the Somogyi phenomenon.[1] While the two theories are not seen in all cases of insulin-dependent diabetics, it is important to note that the best way to prevent either is optimal diabetes control with the proper insulin therapy.[1] The Somogyi phenomenon states that early morning hyperglycemia occurs due to a rebound effect from late-night hypoglycemia. However, the dawn phenomenon does not include hypoglycemic episodes to be a factor. Insulin Release and Insulin Resistance With recent studies attributing early morning hyperglycemia to hypoinsulinemia, there is an observable pattern in which the body secretes insulin. The theory is insulin gets secreted in a circadian pattern, with the lowest concentrations between midnight and 6 AM and the highest concentrations between noon and 6 PM.[4] This pattern of insulin secretion is the opposite of melatonin from the pineal gland. The circadian pattern of insulin secretion provides evidence for the dawn phenomenon. The Somogyi phenomenon has been a proposed phenomenon in insulin-dependent diabetic patients. The thinking is that these patients should monitor their blood glucose levels and adjust insulin dosages as necessary to prevent hypo- or hyperglycemic episodes. In an individual that does not have diabetes, the blood glucose and insulin concentrations stay flat and constant throughout the night, with a transient increase in insulin just before dawn to prevent hepatic glucose production through gluconeogenesis and prevent hyperglycemia.[5] This explains why non-diabetic patients do not exhibit the dawn phenomenon, as their insulin levels follow the circadian pattern necessary for optimal glucose control. Insulin resistance, seen in diabetes or metabolic syndrome, has been associated with constant exposure to high insulin levels.[6] As patients get diagnosed with diabetes or metabolic syndrome at an earlier age, there is more exogenous insulin exposure that leads to this resistance. Because of this, the normal regulation and pattern of insulin levels make it difficult for insulin-dependent diabetics to control their blood glucose levels during their sleep. Not only is insulin necessary to regulate glucose levels, but it is also the primary hormone that inhibits gluconeogenesis.[7] Gluconeogenesis in the morning gets inhibited in a non-diabetic due to the transient increase in insulin right before dawn. As a patient becomes more and more resistant to insulin, the key inhibitor of gluconeogenesis is no longer working; this allows the body to produce more glucose, leading to a hyperglycemic state. Clinical Significance The Somogyi phenomenon had been considered in the past; an essential consideration for the proper diagnosis and management of blood glucose levels is vital for the body’s metabolic demands. The post-hypoglycemic hyperglycemia raises the question of whether a patient’s insulin levels should be adjusted in the evening to prevent hyperglycemia in the morning. As this is something ideally avoided, the Somogyi phenomenon occurs too infrequently to make this standardized practice.

[question] Explain the difference between the Somogyi phenomenon and the dawn phenomenon, how each can be avoided, and why each happens at night. Use a maximum of 500 words. ===================== [text] Definition/Introduction The Somogyi effect, also known as the "chronic Somogyi rebound" or "posthypoglycemic hyperglycemia," was a theory proposed in the 1930s by Dr. Michael Somogyi, a Hungarian-born professor at Washington University, St. Louis, MO, United States.[1] He described the paradoxical tendency of the body to react to hypoglycemia by producing hyperglycemia. Somogyi proposed that when blood glucose levels drop too low during the late evening, activation of counterregulatory hormones such as adrenaline, corticosteroids, growth hormone, and glucagon may be observed, leading to activation of gluconeogenesis and resultant hyperglycemia in the early morning.[2] However, more recent studies involving continuous glucose monitoring (CGM) have disputed this theory. Also, clinicians have observed that patients with early morning hyperglycemia tend to have high blood glucose measurements at night rather than low.[1] As a result, the debate continues in the scientific community regarding Somogyi's theory. Moreover, recently proposed mechanisms of morning hyperglycemia include nocturnal growth hormone secretion, hypoinsulinemia, and insulin resistance associated with metabolic syndrome.[3] A phenomenon known as the dawn phenomenon was introduced by Dr. Schimdt in the 1980s, stating that morning hyperglycemia is due to the decreased levels of endogenous insulin secreted at night.[1] The dawn phenomenon also contributes to morning hyperglycemia to increased concentrations of insulin-antagonist hormones. The dawn phenomenon is comparable to the Somogyi phenomenon, which attributes morning hyperglycemia to counterregulatory hormones from low glucose. The dawn phenomenon has been noted to occur more commonly than the Somogyi phenomenon.[1] While the two theories are not seen in all cases of insulin-dependent diabetics, it is important to note that the best way to prevent either is optimal diabetes control with the proper insulin therapy.[1] The Somogyi phenomenon states that early morning hyperglycemia occurs due to a rebound effect from late-night hypoglycemia. However, the dawn phenomenon does not include hypoglycemic episodes to be a factor. Insulin Release and Insulin Resistance With recent studies attributing early morning hyperglycemia to hypoinsulinemia, there is an observable pattern in which the body secretes insulin. The theory is insulin gets secreted in a circadian pattern, with the lowest concentrations between midnight and 6 AM and the highest concentrations between noon and 6 PM.[4] This pattern of insulin secretion is the opposite of melatonin from the pineal gland. The circadian pattern of insulin secretion provides evidence for the dawn phenomenon. The Somogyi phenomenon has been a proposed phenomenon in insulin-dependent diabetic patients. The thinking is that these patients should monitor their blood glucose levels and adjust insulin dosages as necessary to prevent hypo- or hyperglycemic episodes. In an individual that does not have diabetes, the blood glucose and insulin concentrations stay flat and constant throughout the night, with a transient increase in insulin just before dawn to prevent hepatic glucose production through gluconeogenesis and prevent hyperglycemia.[5] This explains why non-diabetic patients do not exhibit the dawn phenomenon, as their insulin levels follow the circadian pattern necessary for optimal glucose control. Insulin resistance, seen in diabetes or metabolic syndrome, has been associated with constant exposure to high insulin levels.[6] As patients get diagnosed with diabetes or metabolic syndrome at an earlier age, there is more exogenous insulin exposure that leads to this resistance. Because of this, the normal regulation and pattern of insulin levels make it difficult for insulin-dependent diabetics to control their blood glucose levels during their sleep. Not only is insulin necessary to regulate glucose levels, but it is also the primary hormone that inhibits gluconeogenesis.[7] Gluconeogenesis in the morning gets inhibited in a non-diabetic due to the transient increase in insulin right before dawn. As a patient becomes more and more resistant to insulin, the key inhibitor of gluconeogenesis is no longer working; this allows the body to produce more glucose, leading to a hyperglycemic state. Clinical Significance The Somogyi phenomenon had been considered in the past; an essential consideration for the proper diagnosis and management of blood glucose levels is vital for the body’s metabolic demands. The post-hypoglycemic hyperglycemia raises the question of whether a patient’s insulin levels should be adjusted in the evening to prevent hyperglycemia in the morning. As this is something ideally avoided, the Somogyi phenomenon occurs too infrequently to make this standardized practice. https://www.ncbi.nlm.nih.gov/books/NBK551525/ ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

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How is the Reconfigurable Intelligent Surface (RIS) technology being utilized and developed in this experiment to improve antenna systems? Write a 100-word summary, describing the interplay between the RIS element, the base station, and the user.

The Interference Broadcast Channel with Reconfigurable Intelligent Surfaces: A Cooperative Sum-Rate Maximization Approach Abstract—This paper studies the interference broadcast channel comprising multiple multi-antenna Base Stations (BSs), each controlling a beyond diagonal Reconfigurable Intelligent Surface (RIS) and serving multiple single-antenna users. Wideband transmissions are considered with the objective to jointly design the BS linear precoding vectors and the phase configurations at the RISs in a distributed manner. We take into account the frequency selectivity behavior of each RIS’s tunable metaelement, and focusing on the sum rate as the system’s performance criterion, we present a distributed optimization approach that enables cooperation between the RIS control units and their respective BSs. According to the proposed scheme, each design variable can be efficiently obtained in an iterative parallel way with guaranteed convergence properties. Our simulation results demonstrate the validity of the presented distributed algorithm and showcase its superiority over a non-cooperative scheme as well as over the special case where the RISs have a conventional diagonal structure. IV. NUMERICAL RESULTS In our simulations, all nodes were considered positioned on a 3D Cartesian coordinate system. In particular, we have set Q = 4 and located the BSs in a square of width w = 60 m placing BS1 at the origin and the others at the remaining corners, letting zBSq = 5 m ∀q= 1, 2, . . . , Q. For simplicity, we considered Lq = 1 ∀q = 1, 2, . . . , Q, and the UEs were located at the corners of a square, with origin at (30, 60) and width equal to 2.5 m, letting also zUE = 1.5 m. Each RIS was placed close to the corresponding BS with zRIS = 3 m: RIS1 was fixed at (-2.5, 8.5), RIS2 at (62.5, 8.5), RIS3 at (-2.5, 111.5), and RIS4 at (62.5, 111.5). All wireless wideband channels were modeled as described in [13] with 16 delay taps. For the fading component, we have considered distance-dependent pathloss between any two nodes i, j with distance di,j (where i, j ∈ {BS, UE, RIS}): PLi,j = PL0(di,j/d0) -αi,j with PL0 = ( λc 4π ) 2 denoting the signal attenuation at the reference distance d0 = 1 m and λc represents the carrier wavelength, with fc = 3.5 GHz. For the pathloss exponents, we have set αBS,UE = 3.7, αBS,RIS = 2.2, and αRIS,UE = 2.6. Equal transmit powers and noise variances was considered for all users: Pq = P and σ 2 ℓq,k = -90 dBm (∀k, ℓ, q), as well as bandwidth BW = 0.1 GHz and the number K of SCs was set to 64. For the algorithmic parameters, we have set τ = 0.80 and a time-varying step size (as detailed in [10]). The RIS circuit elements were set as in [9]. For comparison purposes, we have also included the achievable rates for the following schemes: i) “w/o RISs” with no RISs deployed; and ii) “RISs” for Sq =IM. We have also simulated the equivalent non-cooperative schemes for which “Π = 0”. We have used 100 independent Monte Carlo realizations for all performance evaluation results that follow. In Fig. 1, we examine the performance of the proposed design as a function of each BS’s transmit power P for the various simulated cases. Evidently, all curves follow a nondecreasing trend as P gets larger. It is also demonstrated that the achievable sum rate for the “BD-RISs” case outperforms the cases with diagonal RISs and that of “w/o RISs,” especially when P ≥ 25 dBm. This implies that the distributed schemes outperform the corresponding non-cooperative ones, indicating that adequately optimized cooperative transmit/reflective beamforming yields improved gains. V. CONCLUSION In this paper, we studied the RIS-empowered interference broadcast channel and presented a cooperative approach for the achievable sum-rate maximization with wideband transmissions. Our numerical investigation showcased the additional degrees of freedom offered by the proposed optimized BD RISs in the high transmit power regime, as well as the gains offered by the cooperation among the multiple BSs. II. SYSTEM MODEL AND PROBLEM FORMULATION A. System Model We consider a multi-RIS-empowered interference broadcast channel comprising Q multi-antenna BSs, each wishing to communicate in the downlink direction with multiple singleantenna User Equipments (UEs). We assume that each Nantenna BS sends information to its exclusively associated UEs using OFDM in a common set of physical resources, e.g., time and bandwidth. Thus, each BS-UE communicating pair is modeled as the superposition of a direct BS-UE link and a BS-RIS-UE link realized via the RIS-enabled tunable reflection. Each RIS, comprising M passive reflecting elements, is assumed to be controlled by its solely owned BS and is placed either closely to it or near to the corresponding set of UEs [3]. According to the deployed OFDM scheme, the total bandwidth is equally split into K orthogonal Sub-Carriers (SCs). Let wℓq,k ∈ C N×1 , with k = 1, 2, . . . , K represent the linear precoding vector at each q-th BS that models the digital spatial processing of its unit-power signal sℓq,k (i.e., E{|sℓq,k| 2} = 1) before transmission. We assume that the total transmit power available at each q-th BS is given by Pq. Letting Lq denote the number of assigned UEs to the q-th BS, the corresponding transmit signal xq,k can be compactly expressed as: xq,k = PLq ℓ=1 wℓq,ksℓq,k. Thus, the condition PLq ℓ=1 PK k=1∥wℓq,k∥ 2 ≤ Pq must be satisfied. We also consider a quasi-static block fading channel model for all channels involved and focus on each particular fading block where the channels remain approximately constant with perfect Channel State Information (CSI) knowledge. B. BD RIS Structure and Element Response We consider a BD RIS structure [8], according to which an M × M array of ON/OFF-state switches is deployed to interconnect all RIS elements. Specifically, an ON-state at the switch in the position (i, j) (i, j = 1, 2, . . . , M) of the switch array indicates that the signal impinging on the i-th metamaterial element will be guided to and tunably reflected by the j-th element. This behavior can be mathematically expressed by a selection matrix Sq ∈ {0, 1}M×M (q = 1, 2, . . . , Q), whose role is to indicate the switch array selection process at each q-th RIS. In particular, each Sq is a binary-valued selection matrix (i.e., [Sq]i,j ∈ {0, 1}) which by definition needs to satisfy the property of having only one non-zero value per row and column simultaneously and, thus, constitutes an extra design parameter. Clearly, a typical diagonal RIS, which does not require switches [2], is obtained by setting Sq = IM.

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> How is the Reconfigurable Intelligent Surface (RIS) technology being utilized and developed in this experiment to improve antenna systems? Write a 100-word summary, describing the interplay between the RIS element, the base station, and the user. <TEXT> The Interference Broadcast Channel with Reconfigurable Intelligent Surfaces: A Cooperative Sum-Rate Maximization Approach Abstract—This paper studies the interference broadcast channel comprising multiple multi-antenna Base Stations (BSs), each controlling a beyond diagonal Reconfigurable Intelligent Surface (RIS) and serving multiple single-antenna users. Wideband transmissions are considered with the objective to jointly design the BS linear precoding vectors and the phase configurations at the RISs in a distributed manner. We take into account the frequency selectivity behavior of each RIS’s tunable metaelement, and focusing on the sum rate as the system’s performance criterion, we present a distributed optimization approach that enables cooperation between the RIS control units and their respective BSs. According to the proposed scheme, each design variable can be efficiently obtained in an iterative parallel way with guaranteed convergence properties. Our simulation results demonstrate the validity of the presented distributed algorithm and showcase its superiority over a non-cooperative scheme as well as over the special case where the RISs have a conventional diagonal structure. IV. NUMERICAL RESULTS In our simulations, all nodes were considered positioned on a 3D Cartesian coordinate system. In particular, we have set Q = 4 and located the BSs in a square of width w = 60 m placing BS1 at the origin and the others at the remaining corners, letting zBSq = 5 m ∀q= 1, 2, . . . , Q. For simplicity, we considered Lq = 1 ∀q = 1, 2, . . . , Q, and the UEs were located at the corners of a square, with origin at (30, 60) and width equal to 2.5 m, letting also zUE = 1.5 m. Each RIS was placed close to the corresponding BS with zRIS = 3 m: RIS1 was fixed at (-2.5, 8.5), RIS2 at (62.5, 8.5), RIS3 at (-2.5, 111.5), and RIS4 at (62.5, 111.5). All wireless wideband channels were modeled as described in [13] with 16 delay taps. For the fading component, we have considered distance-dependent pathloss between any two nodes i, j with distance di,j (where i, j ∈ {BS, UE, RIS}): PLi,j = PL0(di,j/d0) -αi,j with PL0 = ( λc 4π ) 2 denoting the signal attenuation at the reference distance d0 = 1 m and λc represents the carrier wavelength, with fc = 3.5 GHz. For the pathloss exponents, we have set αBS,UE = 3.7, αBS,RIS = 2.2, and αRIS,UE = 2.6. Equal transmit powers and noise variances was considered for all users: Pq = P and σ 2 ℓq,k = -90 dBm (∀k, ℓ, q), as well as bandwidth BW = 0.1 GHz and the number K of SCs was set to 64. For the algorithmic parameters, we have set τ = 0.80 and a time-varying step size (as detailed in [10]). The RIS circuit elements were set as in [9]. For comparison purposes, we have also included the achievable rates for the following schemes: i) “w/o RISs” with no RISs deployed; and ii) “RISs” for Sq =IM. We have also simulated the equivalent non-cooperative schemes for which “Π = 0”. We have used 100 independent Monte Carlo realizations for all performance evaluation results that follow. In Fig. 1, we examine the performance of the proposed design as a function of each BS’s transmit power P for the various simulated cases. Evidently, all curves follow a nondecreasing trend as P gets larger. It is also demonstrated that the achievable sum rate for the “BD-RISs” case outperforms the cases with diagonal RISs and that of “w/o RISs,” especially when P ≥ 25 dBm. This implies that the distributed schemes outperform the corresponding non-cooperative ones, indicating that adequately optimized cooperative transmit/reflective beamforming yields improved gains. V. CONCLUSION In this paper, we studied the RIS-empowered interference broadcast channel and presented a cooperative approach for the achievable sum-rate maximization with wideband transmissions. Our numerical investigation showcased the additional degrees of freedom offered by the proposed optimized BD RISs in the high transmit power regime, as well as the gains offered by the cooperation among the multiple BSs. II. SYSTEM MODEL AND PROBLEM FORMULATION A. System Model We consider a multi-RIS-empowered interference broadcast channel comprising Q multi-antenna BSs, each wishing to communicate in the downlink direction with multiple singleantenna User Equipments (UEs). We assume that each Nantenna BS sends information to its exclusively associated UEs using OFDM in a common set of physical resources, e.g., time and bandwidth. Thus, each BS-UE communicating pair is modeled as the superposition of a direct BS-UE link and a BS-RIS-UE link realized via the RIS-enabled tunable reflection. Each RIS, comprising M passive reflecting elements, is assumed to be controlled by its solely owned BS and is placed either closely to it or near to the corresponding set of UEs [3]. According to the deployed OFDM scheme, the total bandwidth is equally split into K orthogonal Sub-Carriers (SCs). Let wℓq,k ∈ C N×1 , with k = 1, 2, . . . , K represent the linear precoding vector at each q-th BS that models the digital spatial processing of its unit-power signal sℓq,k (i.e., E{|sℓq,k| 2} = 1) before transmission. We assume that the total transmit power available at each q-th BS is given by Pq. Letting Lq denote the number of assigned UEs to the q-th BS, the corresponding transmit signal xq,k can be compactly expressed as: xq,k = PLq ℓ=1 wℓq,ksℓq,k. Thus, the condition PLq ℓ=1 PK k=1∥wℓq,k∥ 2 ≤ Pq must be satisfied. We also consider a quasi-static block fading channel model for all channels involved and focus on each particular fading block where the channels remain approximately constant with perfect Channel State Information (CSI) knowledge. B. BD RIS Structure and Element Response We consider a BD RIS structure [8], according to which an M × M array of ON/OFF-state switches is deployed to interconnect all RIS elements. Specifically, an ON-state at the switch in the position (i, j) (i, j = 1, 2, . . . , M) of the switch array indicates that the signal impinging on the i-th metamaterial element will be guided to and tunably reflected by the j-th element. This behavior can be mathematically expressed by a selection matrix Sq ∈ {0, 1}M×M (q = 1, 2, . . . , Q), whose role is to indicate the switch array selection process at each q-th RIS. In particular, each Sq is a binary-valued selection matrix (i.e., [Sq]i,j ∈ {0, 1}) which by definition needs to satisfy the property of having only one non-zero value per row and column simultaneously and, thus, constitutes an extra design parameter. Clearly, a typical diagonal RIS, which does not require switches [2], is obtained by setting Sq = IM. https://www.arxiv.org/pdf/2409.03841

Respond using only the information contained in the provided text.

Find and summarize the following three things, using three sentences for each one: The reason for this appeal The judgment The reasons for the judgment

Background to the Appeal This appeal forms part of long-running litigation about discharges of foul water contaminated with untreated sewage into the Manchester Ship Canal. The Supreme Court is asked to decide whether the owner of the beds and banks of the canal, the Manchester Ship Canal Company Ltd (“the Canal Company”), can bring a claim in nuisance or trespass when the canal is polluted by discharges of foul water from outfalls maintained by the statutory sewerage undertaker, United Utilities Water Ltd (“United Utilities”). United Utilities is the statutory sewerage undertaker for the North West of England. Its sewerage network includes around 100 outfalls from which material emanating from sewers, sewage treatment works and pumping stations is discharged into the canal. When it is operating within its hydraulic capacity, the discharges are of surface water or treated effluent, but when the system’s hydraulic capacity is exceeded at least some of the outfalls discharge foul water into the canal. There is no suggestion that these polluting discharges are caused by negligence or deliberate wrongdoing on the part of United Utilities. However, they could be avoided if United Utilities invested in improved infrastructure and treatment processes. The Canal Company threatened to bring a claim against United Utilities for trespass and nuisance. In response, United Utilities asked the court to make a declaration that the Canal Company had no right of action. The court was not asked to decide whether the Canal Company’s claim would be successful on the relevant facts. Rather, the question was whether the claim would be inconsistent with and therefore barred by the statutory scheme for regulating sewerage established by the Water Industry Act 1991 (“the 1991 Act”). The High Court judge agreed to make the declaration requested by United Utilities. His decision was upheld by the Court of Appeal. The implication of these judgments is that no owner of a canal (or other watercourse or body of water) can bring a claim based on nuisance or trespass against a sewerage undertaker in respect of polluting discharges into the water, unless the sewerage undertaker is guilty of negligence or deliberate wrongdoing. A claim of this kind would be prevented even if the polluting discharges were frequent and had significant and damaging effects on the owner’s commercial or other interests, or on its ability to enjoy its property. The Canal Company appeals to the Supreme Court. Judgment The Supreme Court unanimously allows the Canal Company’s appeal. It holds that the 1991 Act does not prevent the Canal Company from bringing a claim in nuisance or trespass when the canal is polluted by discharges of foul water from United Utilities’ outfalls, even if there has been no negligence or deliberate misconduct. Lord Reed and Lord Hodge give a joint judgment with which the other members of the Court agree. Reasons for the Judgment The starting point is that the owner of a canal or other watercourse has a property right in the watercourse, including a right to preserve the quality of the water. That right is protected by the common law. The discharge of polluting effluent into a privately-owned watercourse is an actionable nuisance at common law if the pollution interferes with the owner’s use or enjoyment of its property. The Supreme Court is, therefore, asked to decide whether the 1991 Act excludes common law rights of action in nuisance and trespass. This is a question of statutory interpretation [108]-[110]. A body which exercises statutory powers, such as a sewerage undertaker, is liable in the same way as any other person if it is responsible for a nuisance, trespass or other tort, unless either it: (i) is acting within its statutory powers, or (ii) has been granted some statutory immunity from suit. If a sewerage undertaker interferes with a person’s rights, it is therefore necessary to distinguish between interferences which Parliament has authorised, which are lawful, and interferences which Parliament has not authorised, which are unlawful. When drawing this distinction, two principles are relevant. First, a person’s rights to the peaceful enjoyment of its property and to access the courts are protected by both the common law and the Human Rights Act 1998. The principle of legality holds that fundamental rights cannot be overridden by general or ambiguous words. A statute will, therefore, only authorise what would otherwise be an unlawful interference with property rights, or deprive a person of the right to bring a legal claim, if this is clear from or a necessary implication of the express language used by Parliament. Secondly, Parliament will not be taken to have intended that statutory powers should be exercised, or duties performed, in a way which interferes with private rights, unless the interference is inevitable [15]-[21]. The 1991 Act does not expressly authorise United Utilities to cause a nuisance or to trespass by discharging foul water through the outfalls into the canal. United Utilities’ entitlement to use the outfalls derives from section 116 of the 1991 Act. However, this entitlement is subject to a number of statutory protections for watercourses. Section 117(5) provides that nothing in section 116 (or the other relevant sewerage provisions of the 1991 Act) authorises a sewerage undertaker to use a sewer, drain or outfall to convey foul water into a watercourse. Sewerage undertakers therefore do not have statutory authority to discharge untreated sewage into watercourses. Section 117(6) prevents a sewerage undertaker from carrying out its functions under the relevant sewerage provisions so as to create a nuisance. Section 94(4) makes it clear that the common law remedies for nuisance – such as an injunction or damages – are available in addition to any remedy available by virtue of section 94. Section 186(3) further protects the owners of watercourses, and other rights-holders, by stating that nothing in the relevant sewerage provisions authorises a sewerage undertaker to damage a watercourse, or the quality of the water in it, without consent [60]-[62], [65], [111]-[112], [116]. The polluting discharges similarly cannot be regarded as having been impliedly authorised by Parliament, since they are not an inevitable consequence of a sewerage undertaker’s performance of its statutory powers and duties. In the present case, the discharges could be avoided if United Utilities invested in improved infrastructure and treatment processes [113]. If Parliament has not authorised an interference with private law rights, it would normally follow that a claimant can enforce those rights at common law. Furthermore, since sections 117(5) and 186(3) limit the authority conferred on sewerage undertakers by the 1991 Act, there must be a common law remedy where those limits are exceeded: otherwise, the sections would have no purpose [114]-[115]. However, United Utilities argues that the Canal Company has no cause of action because the only way to avoid the discharges of foul water into the canal would be to construct new sewerage infrastructure. It relies on the House of Lords’ decision in Marcic v Thames Water Utilities Ltd [2003] UKHL 66 (“Marcic”), which it says established that Parliament’s intention was that the construction of new sewerage infrastructure should be a matter for the Secretary of State or the regulator, the Water Services Regulation Authority (known as “Ofwat”), not the courts [106]. The Supreme Court rejects this argument. There are a number of indications that Parliament did not intend the 1991 Act to exclude a claimant’s right to enforce its private property right in a watercourse. First, section 186(7) provides for arbitration where water quality has been damaged without consent, at the option of the party complaining. This strongly suggests that the complainant could alternatively choose to pursue a common law claim [66], [117]. Secondly, section 180 of the 1991 Act gives effect to Schedule 12, which makes provision for statutory compensation. Compensation is available for damage caused by the authorised acts of sewerage undertakers, but not for damage caused by acts which are unauthorised, such as the discharges of foul water into the canal. This indicates that the victims of unauthorised damage retain their common law rights of action. Otherwise, they would be left without any remedy for the damage they have suffered, which would be anomalous. They would also be treated less favourably than the victims of authorised damage, which would be perverse [64], [118]-[121]. Thirdly, depriving the victims of a nuisance or trespass of their common law rights of action would be a substantial change to the law as it stood before the 1991 Act was enacted. It is unlikely that a change of this kind would have been made in a consolidation statute. Consolidation acts are not designed to make substantive changes to the law, but rather to reorganise and restate the existing law so that it is clearer and easier to understand.

Respond using only the information contained in the provided text. Find and summarize the following three things, using three sentences for each one: The reason for this appeal The judgment The reasons for the judgment Background to the Appeal This appeal forms part of long-running litigation about discharges of foul water contaminated with untreated sewage into the Manchester Ship Canal. The Supreme Court is asked to decide whether the owner of the beds and banks of the canal, the Manchester Ship Canal Company Ltd (“the Canal Company”), can bring a claim in nuisance or trespass when the canal is polluted by discharges of foul water from outfalls maintained by the statutory sewerage undertaker, United Utilities Water Ltd (“United Utilities”). United Utilities is the statutory sewerage undertaker for the North West of England. Its sewerage network includes around 100 outfalls from which material emanating from sewers, sewage treatment works and pumping stations is discharged into the canal. When it is operating within its hydraulic capacity, the discharges are of surface water or treated effluent, but when the system’s hydraulic capacity is exceeded at least some of the outfalls discharge foul water into the canal. There is no suggestion that these polluting discharges are caused by negligence or deliberate wrongdoing on the part of United Utilities. However, they could be avoided if United Utilities invested in improved infrastructure and treatment processes. The Canal Company threatened to bring a claim against United Utilities for trespass and nuisance. In response, United Utilities asked the court to make a declaration that the Canal Company had no right of action. The court was not asked to decide whether the Canal Company’s claim would be successful on the relevant facts. Rather, the question was whether the claim would be inconsistent with and therefore barred by the statutory scheme for regulating sewerage established by the Water Industry Act 1991 (“the 1991 Act”). The High Court judge agreed to make the declaration requested by United Utilities. His decision was upheld by the Court of Appeal. The implication of these judgments is that no owner of a canal (or other watercourse or body of water) can bring a claim based on nuisance or trespass against a sewerage undertaker in respect of polluting discharges into the water, unless the sewerage undertaker is guilty of negligence or deliberate wrongdoing. A claim of this kind would be prevented even if the polluting discharges were frequent and had significant and damaging effects on the owner’s commercial or other interests, or on its ability to enjoy its property. The Canal Company appeals to the Supreme Court. Judgment The Supreme Court unanimously allows the Canal Company’s appeal. It holds that the 1991 Act does not prevent the Canal Company from bringing a claim in nuisance or trespass when the canal is polluted by discharges of foul water from United Utilities’ outfalls, even if there has been no negligence or deliberate misconduct. Lord Reed and Lord Hodge give a joint judgment with which the other members of the Court agree. Reasons for the Judgment The starting point is that the owner of a canal or other watercourse has a property right in the watercourse, including a right to preserve the quality of the water. That right is protected by the common law. The discharge of polluting effluent into a privately-owned watercourse is an actionable nuisance at common law if the pollution interferes with the owner’s use or enjoyment of its property. The Supreme Court is, therefore, asked to decide whether the 1991 Act excludes common law rights of action in nuisance and trespass. This is a question of statutory interpretation [108]-[110]. A body which exercises statutory powers, such as a sewerage undertaker, is liable in the same way as any other person if it is responsible for a nuisance, trespass or other tort, unless either it: (i) is acting within its statutory powers, or (ii) has been granted some statutory immunity from suit. If a sewerage undertaker interferes with a person’s rights, it is therefore necessary to distinguish between interferences which Parliament has authorised, which are lawful, and interferences which Parliament has not authorised, which are unlawful. When drawing this distinction, two principles are relevant. First, a person’s rights to the peaceful enjoyment of its property and to access the courts are protected by both the common law and the Human Rights Act 1998. The principle of legality holds that fundamental rights cannot be overridden by general or ambiguous words. A statute will, therefore, only authorise what would otherwise be an unlawful interference with property rights, or deprive a person of the right to bring a legal claim, if this is clear from or a necessary implication of the express language used by Parliament. Secondly, Parliament will not be taken to have intended that statutory powers should be exercised, or duties performed, in a way which interferes with private rights, unless the interference is inevitable [15]-[21]. The 1991 Act does not expressly authorise United Utilities to cause a nuisance or to trespass by discharging foul water through the outfalls into the canal. United Utilities’ entitlement to use the outfalls derives from section 116 of the 1991 Act. However, this entitlement is subject to a number of statutory protections for watercourses. Section 117(5) provides that nothing in section 116 (or the other relevant sewerage provisions of the 1991 Act) authorises a sewerage undertaker to use a sewer, drain or outfall to convey foul water into a watercourse. Sewerage undertakers therefore do not have statutory authority to discharge untreated sewage into watercourses. Section 117(6) prevents a sewerage undertaker from carrying out its functions under the relevant sewerage provisions so as to create a nuisance. Section 94(4) makes it clear that the common law remedies for nuisance – such as an injunction or damages – are available in addition to any remedy available by virtue of section 94. Section 186(3) further protects the owners of watercourses, and other rights-holders, by stating that nothing in the relevant sewerage provisions authorises a sewerage undertaker to damage a watercourse, or the quality of the water in it, without consent [60]-[62], [65], [111]-[112], [116]. The polluting discharges similarly cannot be regarded as having been impliedly authorised by Parliament, since they are not an inevitable consequence of a sewerage undertaker’s performance of its statutory powers and duties. In the present case, the discharges could be avoided if United Utilities invested in improved infrastructure and treatment processes [113]. If Parliament has not authorised an interference with private law rights, it would normally follow that a claimant can enforce those rights at common law. Furthermore, since sections 117(5) and 186(3) limit the authority conferred on sewerage undertakers by the 1991 Act, there must be a common law remedy where those limits are exceeded: otherwise, the sections would have no purpose [114]-[115]. However, United Utilities argues that the Canal Company has no cause of action because the only way to avoid the discharges of foul water into the canal would be to construct new sewerage infrastructure. It relies on the House of Lords’ decision in Marcic v Thames Water Utilities Ltd [2003] UKHL 66 (“Marcic”), which it says established that Parliament’s intention was that the construction of new sewerage infrastructure should be a matter for the Secretary of State or the regulator, the Water Services Regulation Authority (known as “Ofwat”), not the courts [106]. The Supreme Court rejects this argument. There are a number of indications that Parliament did not intend the 1991 Act to exclude a claimant’s right to enforce its private property right in a watercourse. First, section 186(7) provides for arbitration where water quality has been damaged without consent, at the option of the party complaining. This strongly suggests that the complainant could alternatively choose to pursue a common law claim [66], [117]. Secondly, section 180 of the 1991 Act gives effect to Schedule 12, which makes provision for statutory compensation. Compensation is available for damage caused by the authorised acts of sewerage undertakers, but not for damage caused by acts which are unauthorised, such as the discharges of foul water into the canal. This indicates that the victims of unauthorised damage retain their common law rights of action. Otherwise, they would be left without any remedy for the damage they have suffered, which would be anomalous. They would also be treated less favourably than the victims of authorised damage, which would be perverse [64], [118]-[121]. Thirdly, depriving the victims of a nuisance or trespass of their common law rights of action would be a substantial change to the law as it stood before the 1991 Act was enacted. It is unlikely that a change of this kind would have been made in a consolidation statute. Consolidation acts are not designed to make substantive changes to the law, but rather to reorganise and restate the existing law so that it is clearer and easier to understand.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. [user request] [context document]

How can china achieve technological parity with the US military? What lessons from history can it learn in trying to achieve this aim? Under 300 words please.

Can adversaries of the United States easily imitate its most advanced weapon systems and thus erode its military-technological superiority? Do reverse engineering, industrial espi- onage, and, in particular, cyber espionage facilitate and accelerate this process? China’s decades-long economic boom, military modernization program, mas- sive reliance on cyber espionage, and assertive foreign policy have made these questions increasingly salient. Yet, almost everything known about this topic draws from the past. As we explain in this article, the conclusions that the ex- isting literature has reached by studying prior eras have no applicability to the current day. Scholarship in international relations theory generally assumes that ris- ing states beneªt from the “advantage of backwardness,” as described by Alexander Gerschenkron.1 By free riding on the research and technology of the most advanced countries, less developed states can allegedly close the military-technological gap with their rivals relatively easily and quickly.2 More recent works maintain that globalization, the emergence of dual-use compo- nents, and advances in communications (including the opportunity for cyber espionage) have facilitated this process.3 This literature is built on shaky theo- retical foundations, and its claims lack empirical support. The international relations literature largely ignores one of the most impor- tant changes to have occurred in the realm of weapons development since the second industrial revolution (1870–1914): the exponential increase in the com- plexity of military technology. We argue that this increase in complexity has promoted a change in the system of production that has made the imita- tion and replication of the performance of state-of-the-art weapon systems harder—so much so as to offset the diffusing effects of globalization and ad- vances in communications. On the one hand, the increase in complexity has signiªcantly raised the entry barriers for the production of advanced wea- pon systems: countries must now possess an extremely advanced industrial, scientiªc, and technological base in weapons production before they can copy foreign military technology. On the other hand, the knowledge to design, de- velop, and produce advanced weapon systems is less likely to diffuse, given its increasingly tacit and organizational nature. As a result, the advantage of backwardness has shrunk signiªcantly, and know-how and experience in the production of advanced weapon systems have become an important source of power for those who master them. We employ two case studies to test this ar- gument: Imperial Germany’s rapid success in closing the technological gap with the British Dreadnought battleship, despite signiªcant inhibiting factors; and China’s struggle to imitate the U.S. F-22/A Raptor jet ªghter, despite sev- eral facilitating conditions. Our research contributes to key theoretical and policy debates. First, the ability to imitate state-of-the-art military hardware plays a central role in theo- ries that seek to explain patterns of internal balancing and the rise and fall of great powers. Yet, the mainstream international relations literature has not in- vestigated this process.4 Because imitating military technology was relatively easy in the past, scholars and policymakers assume that it also is today, as fre- quent analogies between Wilhelmine Germany and contemporary China epit- omize.5 In this article, we investigate the conditions under which the imitation of state-of-the-art weapon systems such as attack submarines and combat air- craft is more or less likely to succeed. Second, we develop the ªrst systematic theoretical explanation of why U.S. superiority in military technology remains largely unrivaled almost thirty years after the end of the Cold War, despite globalization and the information and communication technology revolution. Some scholars have argued that developing modern weapon systems has become dramatically more demand- ing, which in turn has made internal balancing against the United States more difªcult.6 This literature, however, cannot explain why in the age of globaliza- tion and instant communications—with cyber espionage permitting the theft of massive amount of digital data—U.S. know-how in advanced weapon sys- tems has not already diffused to other states. Other contributors to the debate on unipolarity have either pointed to the relative inferiority of Chinese mili- tary technology without providing a theoretical explanation, or they have ar- gued that developing the military capabilities to challenge the status quo is, in the long run, a function of political will—an argument that cannot account for the failure of the Soviet Union to cope with U.S. military technology from the late 1970s onward.7 We argue that in the transition from the second industrial revolution to the information age, the imitation of state-of-the-art mili- tary technology has become more difªcult, so much so that today rising powers or even peer competitors cannot easily copy foreign weapon systems.8 Our ªndings address existing concerns that China’s use of cyber espionage and the increasing globalization of arms production will allow Beijing to rap- idly close the military-technological gap with the United States.9 Third, the international relations literature accepts the claim that globali- zation and advances in communications have made the imitation of military technology easier; yet no one has empirically tested this proposition.10 This failing is particularly concerning in light of the opportunities opened by cyber espionage—a practice that, according to many observers, could erode the U.S. advantage in military technology. Richard Clark, a former U.S. senior govern- ment ofªcial, believes that Chinese cyber espionage could result in the United States “hav[ing] all of [its] research and development stolen”; Gen. Keith Alexander, a former director of the National Security Agency, worries that cyber espionage could lead to “the greatest transfer of wealth in history.”11 With a few notable exceptions, however, international relations scholars have paid little attention to the advantages and limits of cyber espionage for copy- ing foreign military technology.12 Our research ªlls this gap and tests the con- ventional wisdom using the case of China, one of the states that has beneªted the most from globalization and that has employed cyber espionage more ex- tensively than any other country.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. How can china achieve technological parity with the US military? What lessons from history can it learn in trying to achieve this aim? Under 300 words please. Can adversaries of the United States easily imitate its most advanced weapon systems and thus erode its military-technological superiority? Do reverse engineering, industrial espi- onage, and, in particular, cyber espionage facilitate and accelerate this process? China’s decades-long economic boom, military modernization program, mas- sive reliance on cyber espionage, and assertive foreign policy have made these questions increasingly salient. Yet, almost everything known about this topic draws from the past. As we explain in this article, the conclusions that the ex- isting literature has reached by studying prior eras have no applicability to the current day. Scholarship in international relations theory generally assumes that ris- ing states beneªt from the “advantage of backwardness,” as described by Alexander Gerschenkron.1 By free riding on the research and technology of the most advanced countries, less developed states can allegedly close the military-technological gap with their rivals relatively easily and quickly.2 More recent works maintain that globalization, the emergence of dual-use compo- nents, and advances in communications (including the opportunity for cyber espionage) have facilitated this process.3 This literature is built on shaky theo- retical foundations, and its claims lack empirical support. The international relations literature largely ignores one of the most impor- tant changes to have occurred in the realm of weapons development since the second industrial revolution (1870–1914): the exponential increase in the com- plexity of military technology. We argue that this increase in complexity has promoted a change in the system of production that has made the imita- tion and replication of the performance of state-of-the-art weapon systems harder—so much so as to offset the diffusing effects of globalization and ad- vances in communications. On the one hand, the increase in complexity has signiªcantly raised the entry barriers for the production of advanced wea- pon systems: countries must now possess an extremely advanced industrial, scientiªc, and technological base in weapons production before they can copy foreign military technology. On the other hand, the knowledge to design, de- velop, and produce advanced weapon systems is less likely to diffuse, given its increasingly tacit and organizational nature. As a result, the advantage of backwardness has shrunk signiªcantly, and know-how and experience in the production of advanced weapon systems have become an important source of power for those who master them. We employ two case studies to test this ar- gument: Imperial Germany’s rapid success in closing the technological gap with the British Dreadnought battleship, despite signiªcant inhibiting factors; and China’s struggle to imitate the U.S. F-22/A Raptor jet ªghter, despite sev- eral facilitating conditions. Our research contributes to key theoretical and policy debates. First, the ability to imitate state-of-the-art military hardware plays a central role in theo- ries that seek to explain patterns of internal balancing and the rise and fall of great powers. Yet, the mainstream international relations literature has not in- vestigated this process.4 Because imitating military technology was relatively easy in the past, scholars and policymakers assume that it also is today, as fre- quent analogies between Wilhelmine Germany and contemporary China epit- omize.5 In this article, we investigate the conditions under which the imitation of state-of-the-art weapon systems such as attack submarines and combat air- craft is more or less likely to succeed. Second, we develop the ªrst systematic theoretical explanation of why U.S. superiority in military technology remains largely unrivaled almost thirty years after the end of the Cold War, despite globalization and the information and communication technology revolution. Some scholars have argued that developing modern weapon systems has become dramatically more demand- ing, which in turn has made internal balancing against the United States more difªcult.6 This literature, however, cannot explain why in the age of globaliza- tion and instant communications—with cyber espionage permitting the theft of massive amount of digital data—U.S. know-how in advanced weapon sys- tems has not already diffused to other states. Other contributors to the debate on unipolarity have either pointed to the relative inferiority of Chinese mili- tary technology without providing a theoretical explanation, or they have ar- gued that developing the military capabilities to challenge the status quo is, in the long run, a function of political will—an argument that cannot account for the failure of the Soviet Union to cope with U.S. military technology from the late 1970s onward.7 We argue that in the transition from the second industrial revolution to the information age, the imitation of state-of-the-art mili- tary technology has become more difªcult, so much so that today rising powers or even peer competitors cannot easily copy foreign weapon systems.8 Our ªndings address existing concerns that China’s use of cyber espionage and the increasing globalization of arms production will allow Beijing to rap- idly close the military-technological gap with the United States.9 Third, the international relations literature accepts the claim that globali- zation and advances in communications have made the imitation of military technology easier; yet no one has empirically tested this proposition.10 This failing is particularly concerning in light of the opportunities opened by cyber espionage—a practice that, according to many observers, could erode the U.S. advantage in military technology. Richard Clark, a former U.S. senior govern- ment ofªcial, believes that Chinese cyber espionage could result in the United States “hav[ing] all of [its] research and development stolen”; Gen. Keith Alexander, a former director of the National Security Agency, worries that cyber espionage could lead to “the greatest transfer of wealth in history.”11 With a few notable exceptions, however, international relations scholars have paid little attention to the advantages and limits of cyber espionage for copy- ing foreign military technology.12 Our research ªlls this gap and tests the con- ventional wisdom using the case of China, one of the states that has beneªted the most from globalization and that has employed cyber espionage more ex- tensively than any other country. https://direct.mit.edu/isec/article/43/3/141/12218/Why-China-Has-Not-Caught-Up-Yet-Military

Give me your answer as a full sentence. Answer the question only using the context provided in the document.

According to this transcript, what was ipad revenue in the December quarter?

**Tim Cook** Thank you. Suhasini. Good afternoon, everyone, and thanks for joining the call. Today, Apple is reporting revenue of $119.6 billion for the December quarter, up 2% from a year ago despite having one less week in the quarter. EPS was $2.18, up 16% from a year ago and an all-time record. We achieved revenue records across more than two dozen countries and regions including all-time records in Europe and rest of Asia-Pacific. We also continue to see strong double-digit growth in many emerging markets with all-time records in Malaysia, Mexico, The Philippines, Poland, and Turkey, as well as December quarter records in India, Indonesia, Saudi Arabia, and Chile. In Services, we set an all-time revenue record with paid subscriptions growing double-digits year-over-year. And I'm pleased to announce today that we have set a new record for our installed base, which has now surpassed 2.2 billion active devices. We are announcing these results on the eve of what is sure to be a historic day as we enter the era of spatial computing. Starting tomorrow, Apple Vision Pro, the most advanced personal electronics device ever, will be available in Apple stores for customers in the U.S. with expansion to other countries later this year. Apple Vision Pro is a revolutionary device built on decades of Apple innovation and it's years ahead of anything else. Apple Vision Pro has a groundbreaking new input system and thousands of innovations, and it will unlock incredible experiences for users and developers that are simply not possible on any other device. There is already so much excitement behind this product from reviewers, customers, and developers. They are praising everything from the incredible experience of watching a movie on a 100-foot screen to remarkable new machine learning capabilities like hand tracking and room mapping. We can't wait for people to experience the magic for themselves. Moments like these are what we live for at Apple. They're why we do what we do. They're why we're so unflinchingly dedicated to groundbreaking innovation and why we're so focused on pushing technology to its limits as we work to enrich the lives of our users. As we look ahead, we will continue to invest in these and other technologies that will shape the future. That includes artificial intelligence where we continue to spend a tremendous amount of time and effort, and we're excited to share the details of our ongoing work in that space later this year. Now, let's turn to the results for the December quarter, beginning with iPhone. We are proud to report that revenue came in at $69.7 billion, 6% higher than a year ago. The iPhone 15 lineup has earned glowing reviews and been embraced by customers. The iPhone 15 and iPhone 15 Plus feature a gorgeous new design with color-infused back glass and contoured edges, Dynamic Island, A16 Bionic, and a new 48 megapixel camera system. And the iPhone 15 Pro and iPhone 15 Pro Max set the gold standard for smartphones with a beautiful and lighter titanium design, industry-leading performance with A17 Pro and our most advanced camera system with the equivalent of seven pro lenses and the ability to record spatial video. Features like Emergency SoS and roadside assistance via satellite bring peace of mind to users when they travel, and I'm grateful for every note I've received about their lifesaving impact. Turning to Mac. Revenue came in at $7.8 billion, up 1% year-over-year, driven by the strength of our latest M3-powered MacBook Pro models in spite of having one less week of sales. Just last week, we got to wish Mac a happy 40th birthday. When it was introduced 40 years ago, Mac changed everything, and through the years, it has done so again and again. Recently, we have been on a tremendous pace of innovation. Since the introduction of Apple silicon in 2020, we've been proud to offer our users unmatched performance and power along with a remarkable Neural Engine for artificial intelligence and machine learning. This past fall, we had an amazing launch of the latest generation of Apple silicon for Mac, M3, M3 Pro, and M3 Max. These chips break new ground in power and performance empowering users to do more than they ever could before, whether they're making a musical masterpiece using the latest features in Logic Pro, or beating their high score in a graphics intensive game. A favorite amongst students, business owners, artists, and video editors, our MacBook Pro lineup is the world's best pro notebook family. And iMac, the world's most capable and best-selling all-in one, is now faster than ever, thanks to M3. In iPad, revenue for the December quarter was $7 billion, down 25% year-over-year due to a difficult compare with the launch of the M2 iPad Pro and the 10th generation iPad during the December quarter last year and one less week of sales. iPad remains the most versatile, capable, and elegant tablet on the market today. It continues to be the go-to-device for students, creators, and more with customers loving iPad's incredible combination of portability and performance. Powerful apps like Final Cut Pro and Logic Pro for iPad allow video and music creators to unleash their creativity in new ways that are only possible on iPad. iPad continues to push the boundaries of what's possible on a tablet. In Wearables, Home and Accessories, revenue came in at $12 billion, down 11% from a year ago due to a difficult compare with the launch timing of several products in this category and the impact of the 14th week last year. Across our latest Apple Watch lineup, we're enabling and encouraging our users to live a healthier day, while making Apple Watch even more intuitive to use. The new double tap gesture on Apple Watch Series 9 and Apple Watch Ultra 2 make it easier to answer calls, play and pause music or take a photo with iPhone. I've been deeply moved by the many touching stories about how features like a regular rhythm notification and fall detection helped Apple Watch users when they needed it most. And for the first time ever, users can choose a carbon-neutral option of any new Apple Watch. Meanwhile, our AirPods lineup continue to be a holiday favorite. In Services, we set an all-time revenue record of $23.1 billion and an 11% year-over-year increase. Because we had one less week this quarter, this growth represents an acceleration from the September quarter, and we achieved all-time revenue records across advertising, cloud services, payment services and video, as well as December quarter records in App Store and AppleCare. Across our services, we're constantly growing our offerings to give users even more to love. With the redesigned Apple TV app, we've made it easier for subscribers to enjoy all their favorite shows, movies and sports, including Apple TV+ hits like Masters of the Air, Monarch, and Slow Horses. We're proud to be a part of Martin Scorsese's Killers of the Flower Moon, a film that has moved audiences and earned more than 200 accolades including Best Film of the Year from the New York Film Critics Circle, nine BAFTA nominations, a Golden Globe win, and 10 Oscar nominations, including Best Picture. Across all Apple TV+ productions, we've now earned 2050 award nominations and 450 wins since we've introduced the service. We're also excited to have a new season of Major League Soccer kicking off this month. We're looking forward to seeing Lionel Messi return to the field and to following all of our favorite teams in what is sure to be an incredible season. And we're counting down to the Apple Music Super Bowl halftime show, featuring Usher. Turning to Retail. In recent months, we opened three stores, including our 100th store in Asia-Pacific. Throughout the holidays, our team members pulled out all the stops to help customers find the perfect gift. And I know our U.S. team members are especially excited to begin demoing Apple Vision Pro for our customers tomorrow. At Apple, we live and breathe innovation. We are driven to pioneer new technology that can enrich our customers' lives, and we're just as intentional about showing up with our values and being a force for good in the world. February is Black History Month, and to honor it, we've launched our new Black Unity Collection, which includes the Black Unity Sport Loop band. This year's designs reflect a lasting commitment to working toward a more equitable world. We also continue to do a central work through our Racial Equity and Justice Initiative, and we're proud to continue providing grants to organizations that are making a real impact in the world. In recent months, we've also taken significant strides in our environmental work. We're partnering with suppliers to bring more clean energy online for Apple production. We're using more recycled materials than ever before and more energy-efficient transportation than ever before. And each day, we are taking more and more steps toward becoming 100% carbon-neutral across all of our products by 2030. Apple is a company that has never shied away from big challenges. That's because we are grounded by a deep sense of purpose and guided by core belief in the transformative power of innovation. And so, we are optimistic about the future, confident in the long-term, and as excited as we've ever been to deliver for our users like only Apple can. With that, I'll turn it over to Luca.

{Query} ======= According to this transcript, what was ipad revenue in the December quarter? ---------- {Task} ======= Give me your answer as a full sentence. Answer the question only using the context provided in the document. ---------- {Text} ======= **Tim Cook** Thank you. Suhasini. Good afternoon, everyone, and thanks for joining the call. Today, Apple is reporting revenue of $119.6 billion for the December quarter, up 2% from a year ago despite having one less week in the quarter. EPS was $2.18, up 16% from a year ago and an all-time record. We achieved revenue records across more than two dozen countries and regions including all-time records in Europe and rest of Asia-Pacific. We also continue to see strong double-digit growth in many emerging markets with all-time records in Malaysia, Mexico, The Philippines, Poland, and Turkey, as well as December quarter records in India, Indonesia, Saudi Arabia, and Chile. In Services, we set an all-time revenue record with paid subscriptions growing double-digits year-over-year. And I'm pleased to announce today that we have set a new record for our installed base, which has now surpassed 2.2 billion active devices. We are announcing these results on the eve of what is sure to be a historic day as we enter the era of spatial computing. Starting tomorrow, Apple Vision Pro, the most advanced personal electronics device ever, will be available in Apple stores for customers in the U.S. with expansion to other countries later this year. Apple Vision Pro is a revolutionary device built on decades of Apple innovation and it's years ahead of anything else. Apple Vision Pro has a groundbreaking new input system and thousands of innovations, and it will unlock incredible experiences for users and developers that are simply not possible on any other device. There is already so much excitement behind this product from reviewers, customers, and developers. They are praising everything from the incredible experience of watching a movie on a 100-foot screen to remarkable new machine learning capabilities like hand tracking and room mapping. We can't wait for people to experience the magic for themselves. Moments like these are what we live for at Apple. They're why we do what we do. They're why we're so unflinchingly dedicated to groundbreaking innovation and why we're so focused on pushing technology to its limits as we work to enrich the lives of our users. As we look ahead, we will continue to invest in these and other technologies that will shape the future. That includes artificial intelligence where we continue to spend a tremendous amount of time and effort, and we're excited to share the details of our ongoing work in that space later this year. Now, let's turn to the results for the December quarter, beginning with iPhone. We are proud to report that revenue came in at $69.7 billion, 6% higher than a year ago. The iPhone 15 lineup has earned glowing reviews and been embraced by customers. The iPhone 15 and iPhone 15 Plus feature a gorgeous new design with color-infused back glass and contoured edges, Dynamic Island, A16 Bionic, and a new 48 megapixel camera system. And the iPhone 15 Pro and iPhone 15 Pro Max set the gold standard for smartphones with a beautiful and lighter titanium design, industry-leading performance with A17 Pro and our most advanced camera system with the equivalent of seven pro lenses and the ability to record spatial video. Features like Emergency SoS and roadside assistance via satellite bring peace of mind to users when they travel, and I'm grateful for every note I've received about their lifesaving impact. Turning to Mac. Revenue came in at $7.8 billion, up 1% year-over-year, driven by the strength of our latest M3-powered MacBook Pro models in spite of having one less week of sales. Just last week, we got to wish Mac a happy 40th birthday. When it was introduced 40 years ago, Mac changed everything, and through the years, it has done so again and again. Recently, we have been on a tremendous pace of innovation. Since the introduction of Apple silicon in 2020, we've been proud to offer our users unmatched performance and power along with a remarkable Neural Engine for artificial intelligence and machine learning. This past fall, we had an amazing launch of the latest generation of Apple silicon for Mac, M3, M3 Pro, and M3 Max. These chips break new ground in power and performance empowering users to do more than they ever could before, whether they're making a musical masterpiece using the latest features in Logic Pro, or beating their high score in a graphics intensive game. A favorite amongst students, business owners, artists, and video editors, our MacBook Pro lineup is the world's best pro notebook family. And iMac, the world's most capable and best-selling all-in one, is now faster than ever, thanks to M3. In iPad, revenue for the December quarter was $7 billion, down 25% year-over-year due to a difficult compare with the launch of the M2 iPad Pro and the 10th generation iPad during the December quarter last year and one less week of sales. iPad remains the most versatile, capable, and elegant tablet on the market today. It continues to be the go-to-device for students, creators, and more with customers loving iPad's incredible combination of portability and performance. Powerful apps like Final Cut Pro and Logic Pro for iPad allow video and music creators to unleash their creativity in new ways that are only possible on iPad. iPad continues to push the boundaries of what's possible on a tablet. In Wearables, Home and Accessories, revenue came in at $12 billion, down 11% from a year ago due to a difficult compare with the launch timing of several products in this category and the impact of the 14th week last year. Across our latest Apple Watch lineup, we're enabling and encouraging our users to live a healthier day, while making Apple Watch even more intuitive to use. The new double tap gesture on Apple Watch Series 9 and Apple Watch Ultra 2 make it easier to answer calls, play and pause music or take a photo with iPhone. I've been deeply moved by the many touching stories about how features like a regular rhythm notification and fall detection helped Apple Watch users when they needed it most. And for the first time ever, users can choose a carbon-neutral option of any new Apple Watch. Meanwhile, our AirPods lineup continue to be a holiday favorite. In Services, we set an all-time revenue record of $23.1 billion and an 11% year-over-year increase. Because we had one less week this quarter, this growth represents an acceleration from the September quarter, and we achieved all-time revenue records across advertising, cloud services, payment services and video, as well as December quarter records in App Store and AppleCare. Across our services, we're constantly growing our offerings to give users even more to love. With the redesigned Apple TV app, we've made it easier for subscribers to enjoy all their favorite shows, movies and sports, including Apple TV+ hits like Masters of the Air, Monarch, and Slow Horses. We're proud to be a part of Martin Scorsese's Killers of the Flower Moon, a film that has moved audiences and earned more than 200 accolades including Best Film of the Year from the New York Film Critics Circle, nine BAFTA nominations, a Golden Globe win, and 10 Oscar nominations, including Best Picture. Across all Apple TV+ productions, we've now earned 2050 award nominations and 450 wins since we've introduced the service. We're also excited to have a new season of Major League Soccer kicking off this month. We're looking forward to seeing Lionel Messi return to the field and to following all of our favorite teams in what is sure to be an incredible season. And we're counting down to the Apple Music Super Bowl halftime show, featuring Usher. Turning to Retail. In recent months, we opened three stores, including our 100th store in Asia-Pacific. Throughout the holidays, our team members pulled out all the stops to help customers find the perfect gift. And I know our U.S. team members are especially excited to begin demoing Apple Vision Pro for our customers tomorrow. At Apple, we live and breathe innovation. We are driven to pioneer new technology that can enrich our customers' lives, and we're just as intentional about showing up with our values and being a force for good in the world. February is Black History Month, and to honor it, we've launched our new Black Unity Collection, which includes the Black Unity Sport Loop band. This year's designs reflect a lasting commitment to working toward a more equitable world. We also continue to do a central work through our Racial Equity and Justice Initiative, and we're proud to continue providing grants to organizations that are making a real impact in the world. In recent months, we've also taken significant strides in our environmental work. We're partnering with suppliers to bring more clean energy online for Apple production. We're using more recycled materials than ever before and more energy-efficient transportation than ever before. And each day, we are taking more and more steps toward becoming 100% carbon-neutral across all of our products by 2030. Apple is a company that has never shied away from big challenges. That's because we are grounded by a deep sense of purpose and guided by core belief in the transformative power of innovation. And so, we are optimistic about the future, confident in the long-term, and as excited as we've ever been to deliver for our users like only Apple can. With that, I'll turn it over to Luca.

When responding, restrict yourself to only information found within the given article - no other information is valid or necessary.

What are the steps to returning Bundle, bonus, and defective items?

Marketplace seller's return policy, and how to return a Marketplace product, visit our Returning a Marketplace Product page. On this page: • General return and exchange policy • Cellular and wireless devices • Bundle, bonus, and defective items • Non-returnable items • Product condition requirements • Shipping charges and Environmental Handling Fees General return and exchange policy Most products sold by Best Buy can be returned or exchanged within 30 days from the date of your in-store purchase, or 30 days from the date your online order is delivered. The exceptions to this policy are cellular and wireless devices (details below) and non-returnable items (details below). All products must be returned in their original packaging. The product must be in like-new condition (i.e., no signs of use), and some products can only be returned or exchanged if the packaging is unopened. Read the complete policy details below for full details. To process a return or exchange, you will need to provide the following: • The original receipt (invoice) from your purchase. • The original method of payment. Payment card purchases will be refunded to the original payment card. Store credit will be given for returns with gift receipts. • Original packaging and all items originally included by the manufacturer or by Best Buy (including manuals, accessories, gifts with purchase, bonus items, and any other included items) • Your name, address, phone number, and signature. Valid government-issued photo ID may be requested to confirm this information. Cellular and wireless devices Best Buy adheres to the CRTC Wireless Code of Conduct and the rights of the consumer. Subject to usage restrictions set by the carriers, cellular and wireless devices can be returned up to15 days from the date of your in-store purchase, or 15 days from the date your online order is delivered. The return period is up to 30 days for any person who has self-identified as a person with a disability. For more information about the CRTC Wireless Code of Conduct, you can visit the Wireless Code of Canada webpage. Cellular and wireless devices include cell phones and smartphones, and carrier-activated tablets, mobile hotspots, and wearables. Before returning a cellular or wireless device, make sure to disable the security settings. See more details in the “Disabling security settings on certain devices” section below. Bundle, bonus, and defective items Returning a bonus item Bonus items, or free gifts, are items that were included free with certain purchases. If you wish to return a bonus item, you will need to return both the item that you paid for and the bonus item to be eligible for a refund. Bonus items can be exchanged only if they are defective. All other terms and conditions of the Best Buy Return and Exchange Policies apply. Returning a bundle item Bundle items are items that came as part of a combo or package promotion with another item. Bundling items together allows us to offer them to you at a (combined) lower price than if you were to purchase them each separately. If you decide to return one or more of the items included in a bundle, you will be charged the stand-alone price for each item you wish to keep, which may be higher than the bundled price, then refunded for the items you wish to return. All other terms and conditions of the Best Buy Return and Exchange Policies apply. Returning a defective item A defective item can be returned or exchanged within 30 days, and must be in its original packaging with all items originally included by the manufacturer or by Best Buy. Non-returnable items The following products cannot be returned: • Major appliances that are Open Box, floor models, and/or of the Miele brand • Service, delivery, and installation fees • Gift cards and pre-paid cards • Digital downloads (such as digital software and video games) • Books, magazines, and copyright materials • Food, vitamins, and supplements • Earrings • Intimate products • Oura Ring Sizing Kits • Personal protective equipment (PPE) • Seasonal holiday goods • Shopping bags Product condition requirements Most items can be returned or exchanged even if the box or packaging has been opened, with the exception of non-returnable items and certain items that must be unopened. If the box or packaging is opened, the product must be in like-new condition, with no signs of use. Additional conditions apply to the following items: e All furniture must be unassembled. This includes indoor and outdoor furniture, nursery and baby furniture, and all other types of furniture. e Fashion apparel, linens, bedding, maternity products, and baby clothes, shoes, and accessories must be unused, unworn (if applicable), unlaundered, and still have the original tags attached. e Cell phones, smartphones, wireless devices, computers (laptop and desktop), tablets, iPads, and eReaders must have all security settings disabled. See more details in the "Disabling security settings on certain devices" section below. e Electric bikes and scooters must be returned in their original packaging. Restocking fees on certain opened items There are no restocking fees when returning unopened items, or when returning most items that have been opened. However, a restocking fee of 15% of the purchase price will apply to the following items only if the original packaging is opened: • Action cameras and camcorders • DSLR and mirrorless cameras • Camera drones • Camera lenses and flashes Electric bikes and scooters must be returned with their original packaging. A restocking fee of 15% of the purchase price will only be applied if the original packaging is not included with the return. items eligible for return or exchange only if unopened The following products can only be returned or exchanged if the original packaging is unopened: • Major appliances • except Open Box, floor models, and Miele major appliances, which are all non-returnable. • Baby, nursery, and maternity products • except baby monitors, gates, and highchairs, which can be returned if opened. • Beauty, grooming, and personal care products • except hair dryers, hair straighteners, and curling irons, which can be returned if opened. • Fitness equipment • Computer components and upgrades • Physical software, blank media (e.g., blank CDs), and entertainment media (including video games, music, and movies) • Office supply consumables (ink, toner, etc.) • Paper supplies (paper, writing instruments, etc.) • Headphones, PC headsets, gaming headsets, and virtual reality headsets • Microphones • DJ and karaoke equipment, musical instrument consumables (e.g., guitar strings, etc.), and wind instruments (e.g., harmonicas) • Beverage dispensers or soda machines with compressed gas • Photo film • Batteries • Cleaning supplies and chemicals

When responding, restrict yourself to only information found within the given article - no other information is valid or necessary. What are the steps to returning Bundle, bonus, and defective items? Marketplace seller's return policy, and how to return a Marketplace product, visit our Returning a Marketplace Product page. On this page: • General return and exchange policy • Cellular and wireless devices • Bundle, bonus, and defective items • Non-returnable items • Product condition requirements • Shipping charges and Environmental Handling Fees General return and exchange policy Most products sold by Best Buy can be returned or exchanged within 30 days from the date of your in-store purchase, or 30 days from the date your online order is delivered. The exceptions to this policy are cellular and wireless devices (details below) and non-returnable items (details below). All products must be returned in their original packaging. The product must be in like-new condition (i.e., no signs of use), and some products can only be returned or exchanged if the packaging is unopened. Read the complete policy details below for full details. To process a return or exchange, you will need to provide the following: • The original receipt (invoice) from your purchase. • The original method of payment. Payment card purchases will be refunded to the original payment card. Store credit will be given for returns with gift receipts. • Original packaging and all items originally included by the manufacturer or by Best Buy (including manuals, accessories, gifts with purchase, bonus items, and any other included items) • Your name, address, phone number, and signature. Valid government-issued photo ID may be requested to confirm this information. Cellular and wireless devices Best Buy adheres to the CRTC Wireless Code of Conduct and the rights of the consumer. Subject to usage restrictions set by the carriers, cellular and wireless devices can be returned up to15 days from the date of your in-store purchase, or 15 days from the date your online order is delivered. The return period is up to 30 days for any person who has self-identified as a person with a disability. For more information about the CRTC Wireless Code of Conduct, you can visit the Wireless Code of Canada webpage. Cellular and wireless devices include cell phones and smartphones, and carrier-activated tablets, mobile hotspots, and wearables. Before returning a cellular or wireless device, make sure to disable the security settings. See more details in the “Disabling security settings on certain devices” section below. Bundle, bonus, and defective items Returning a bonus item Bonus items, or free gifts, are items that were included free with certain purchases. If you wish to return a bonus item, you will need to return both the item that you paid for and the bonus item to be eligible for a refund. Bonus items can be exchanged only if they are defective. All other terms and conditions of the Best Buy Return and Exchange Policies apply. Returning a bundle item Bundle items are items that came as part of a combo or package promotion with another item. Bundling items together allows us to offer them to you at a (combined) lower price than if you were to purchase them each separately. If you decide to return one or more of the items included in a bundle, you will be charged the stand-alone price for each item you wish to keep, which may be higher than the bundled price, then refunded for the items you wish to return. All other terms and conditions of the Best Buy Return and Exchange Policies apply. Returning a defective item A defective item can be returned or exchanged within 30 days, and must be in its original packaging with all items originally included by the manufacturer or by Best Buy. Non-returnable items The following products cannot be returned: • Major appliances that are Open Box, floor models, and/or of the Miele brand • Service, delivery, and installation fees • Gift cards and pre-paid cards • Digital downloads (such as digital software and video games) • Books, magazines, and copyright materials • Food, vitamins, and supplements • Earrings • Intimate products • Oura Ring Sizing Kits • Personal protective equipment (PPE) • Seasonal holiday goods • Shopping bags Product condition requirements Most items can be returned or exchanged even if the box or packaging has been opened, with the exception of non-returnable items and certain items that must be unopened. If the box or packaging is opened, the product must be in like-new condition, with no signs of use. Additional conditions apply to the following items: e All furniture must be unassembled. This includes indoor and outdoor furniture, nursery and baby furniture, and all other types of furniture. e Fashion apparel, linens, bedding, maternity products, and baby clothes, shoes, and accessories must be unused, unworn (if applicable), unlaundered, and still have the original tags attached. e Cell phones, smartphones, wireless devices, computers (laptop and desktop), tablets, iPads, and eReaders must have all security settings disabled. See more details in the "Disabling security settings on certain devices" section below. e Electric bikes and scooters must be returned in their original packaging. Restocking fees on certain opened items There are no restocking fees when returning unopened items, or when returning most items that have been opened. However, a restocking fee of 15% of the purchase price will apply to the following items only if the original packaging is opened: • Action cameras and camcorders • DSLR and mirrorless cameras • Camera drones • Camera lenses and flashes Electric bikes and scooters must be returned with their original packaging. A restocking fee of 15% of the purchase price will only be applied if the original packaging is not included with the return. items eligible for return or exchange only if unopened The following products can only be returned or exchanged if the original packaging is unopened: • Major appliances • except Open Box, floor models, and Miele major appliances, which are all non-returnable. • Baby, nursery, and maternity products • except baby monitors, gates, and highchairs, which can be returned if opened. • Beauty, grooming, and personal care products • except hair dryers, hair straighteners, and curling irons, which can be returned if opened. • Fitness equipment • Computer components and upgrades • Physical software, blank media (e.g., blank CDs), and entertainment media (including video games, music, and movies) • Office supply consumables (ink, toner, etc.) • Paper supplies (paper, writing instruments, etc.) • Headphones, PC headsets, gaming headsets, and virtual reality headsets • Microphones • DJ and karaoke equipment, musical instrument consumables (e.g., guitar strings, etc.), and wind instruments (e.g., harmonicas) • Beverage dispensers or soda machines with compressed gas • Photo film • Batteries • Cleaning supplies and chemicals

This task requires you to answer questions based solely on the information provided in the prompt. You are not allowed to use any external resources or prior knowledge. Please limit your response to 200 words and avoid using bullet points.

How much jail time could I, as a Virginia resdent face for my 60 Marijuana plants?

Code of Virginia Title 4.1. Alcoholic Beverage and Cannabis Control Subtitle II. Cannabis Control Act Chapter 11. Possession of Retail Marijuana and Retail Marijuana Products; Prohibited Practices Generally § 4.1-1101. Home cultivation of marijuana for personal use; penalties A. Notwithstanding the provisions of subdivision (c) of § 18.2-248.1, a person 21 years of age or older may cultivate up to four marijuana plants for personal use at their place of residence; however, at no point shall a household contain more than four marijuana plants. For purposes of this section, a "household" means those individuals, whether related or not, who live in the same house or other place of residence. A person may only cultivate marijuana plants pursuant to this section at such person's main place of residence. A violation of this subsection shall be punishable as follows: 1. For possession of more than four marijuana plants but no more than 10 marijuana plants, (i) a civil penalty of $250 for a first offense, (ii) a Class 3 misdemeanor for a second offense, and (iii) a Class 2 misdemeanor for a third and any subsequent offense; 2. For possession of more than 10 but no more than 49 marijuana plants, a Class 1 misdemeanor; 3. For possession of more than 49 but no more than 100 marijuana plants, a Class 6 felony; and 4. For possession of more than 100 marijuana plants, a felony punishable by a term of imprisonment of not less than one year nor more than 10 years or a fine of not more than $250,000, or both. B. A person who cultivates marijuana for personal use pursuant to this section shall: 1. Ensure that no marijuana plant is visible from a public way without the use of aircraft, binoculars, or other optical aids; 2. Take precautions to prevent unauthorized access by persons younger than 21 years of age; and 3. Attach to each marijuana plant a legible tag that includes the person's name, driver's license or identification number, and a notation that the marijuana plant is being grown for personal use as authorized under this section. Any person who violates this subsection is subject to a civil penalty of no more than $25. The penalty for any violations of this section by an adult shall be prepayable according to the procedures in § 16.1-69.40:2. C. A person shall not manufacture marijuana concentrate from home-cultivated marijuana. The owner of a property or parcel or tract of land may not intentionally or knowingly allow another person to manufacture marijuana concentrate from home-cultivated marijuana within or on that property or land. 2021, Sp. Sess. I, cc. 550, 551;2022, Sp. Sess. I, c. 2;2023, Sp. Sess. I, c. 1. 1 9/11/2024 12:00:00 The chapters of the acts of assembly referenced in the historical citation at the end of this section(s) may not constitute a comprehensive list of such chapters and may exclude chapters whose provisions have expired.

system instruction: This task requires you to answer questions based solely on the information provided in the prompt. You are not allowed to use any external resources or prior knowledge. Please limit your response to 200 words and avoid using bullet points. question: How much jail time could I, as a Virginia resdent face for my 60 Marijuana plants? context block: Code of Virginia Title 4.1. Alcoholic Beverage and Cannabis Control Subtitle II. Cannabis Control Act Chapter 11. Possession of Retail Marijuana and Retail Marijuana Products; Prohibited Practices Generally § 4.1-1101. Home cultivation of marijuana for personal use; penalties A. Notwithstanding the provisions of subdivision (c) of § 18.2-248.1, a person 21 years of age or older may cultivate up to four marijuana plants for personal use at their place of residence; however, at no point shall a household contain more than four marijuana plants. For purposes of this section, a "household" means those individuals, whether related or not, who live in the same house or other place of residence. A person may only cultivate marijuana plants pursuant to this section at such person's main place of residence. A violation of this subsection shall be punishable as follows: 1. For possession of more than four marijuana plants but no more than 10 marijuana plants, (i) a civil penalty of $250 for a first offense, (ii) a Class 3 misdemeanor for a second offense, and (iii) a Class 2 misdemeanor for a third and any subsequent offense; 2. For possession of more than 10 but no more than 49 marijuana plants, a Class 1 misdemeanor; 3. For possession of more than 49 but no more than 100 marijuana plants, a Class 6 felony; and 4. For possession of more than 100 marijuana plants, a felony punishable by a term of imprisonment of not less than one year nor more than 10 years or a fine of not more than $250,000, or both. B. A person who cultivates marijuana for personal use pursuant to this section shall: 1. Ensure that no marijuana plant is visible from a public way without the use of aircraft, binoculars, or other optical aids; 2. Take precautions to prevent unauthorized access by persons younger than 21 years of age; and 3. Attach to each marijuana plant a legible tag that includes the person's name, driver's license or identification number, and a notation that the marijuana plant is being grown for personal use as authorized under this section. Any person who violates this subsection is subject to a civil penalty of no more than $25. The penalty for any violations of this section by an adult shall be prepayable according to the procedures in § 16.1-69.40:2. C. A person shall not manufacture marijuana concentrate from home-cultivated marijuana. The owner of a property or parcel or tract of land may not intentionally or knowingly allow another person to manufacture marijuana concentrate from home-cultivated marijuana within or on that property or land. 2021, Sp. Sess. I, cc. 550, 551;2022, Sp. Sess. I, c. 2;2023, Sp. Sess. I, c. 1. 1 9/11/2024 12:00:00 The chapters of the acts of assembly referenced in the historical citation at the end of this section(s) may not constitute a comprehensive list of such chapters and may exclude chapters whose provisions have expired.

Only use the information above to answer the question. Do not use any outside sources. If you cannot answer the question with the information provided say "I cannot answer without further research." The response should be written in paragraph form unless the answer would be more beneficial in markdown format. Please answer in a simple manner that is easy for the average person to understand.

According to the information provided, Rule 1004.2 in Chapter 15 Cases, who can file a motion for a determination that the debtor’s center of main interests is other than as stated in the petition for recognition commencing the Chapter 15 case, and when should this motion be filed?

FEDERAL RULES OF BANKRUPTCY PROCEDURE Effective August 1, 1983, as amended to December 1, 2017 Rule 1001. Scope of Rules and Forms; Short Title The Bankruptcy Rules and Forms govern procedure in cases under title 11 of the United States Code. The rules shall be cited as the Federal Rules of Bankruptcy Procedure and the forms as the Official Bankruptcy Forms. These rules shall be construed, administered, and employed by the court and the parties to secure the just, speedy, and inexpensive determination of every case and proceeding. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 27, 2017, eff. Dec. 1, 2017.) PART I—COMMENCEMENT OF CASE; PROCEEDINGS RELATING TO PETITION AND ORDER FOR RELIEF Rule 1002. Commencement of Case (a) PETITION. A petition commencing a case under the Code shall be filed with the clerk. (b) TRANSMISSION TO UNITED STATES TRUSTEE. The clerk shall forthwith transmit to the United States trustee a copy of the petition filed pursuant to subdivision (a) of this rule. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 1003. Involuntary Petition (a) TRANSFEROR OR TRANSFEREE OF CLAIM. A transferor or transferee of a claim shall annex to the original and each copy of the petition a copy of all documents evidencing the transfer, whether transferred unconditionally, for security, or otherwise, and a signed statement that the claim was not transferred for the purpose of commencing the case and setting forth the consideration for and terms of the transfer. An entity that has transferred or acquired a claim for the purpose of commencing a case for liquidation under chapter 7 or for reorganization under chapter 11 shall not be a qualified petitioner. (b) JOINDER OF PETITIONERS AFTER FILING. If the answer to an involuntary petition filed by fewer than three creditors avers the existence of 12 or more creditors, the debtor shall file with the answer a list of all creditors with their addresses, a brief statement of the nature of their claims, and the amounts thereof. If it appears that there are 12 or more creditors as provided in § 303(b) of the Code, the court shall afford a reasonable opportunity for other creditors to join in the petition before a hearing is held thereon. (As amended Mar. 30, 1987, eff. Aug. 1, 1987.) Rule 1004. Involuntary Petition Against a Partnership After filing of an involuntary petition under § 303(b)(3) of the Code, (1) the petitioning partners or other petitioners shall promptly send to or serve on each general partner who is not a petitioner a copy of the petition; and (2) the clerk shall promptly issue a summons for service on each general partner who is not a petitioner. Rule 1010 applies to the form and service of the summons. (As amended Apr. 29, 2002, eff. Dec. 1, 2002.) Rule 1004.1. Petition for an Infant or Incompetent Person If an infant or incompetent person has a representative, including a general guardian, committee, conservator, or similar fiduciary, the representative may file a voluntary petition on behalf of the infant or incompetent person. An infant or incompetent person who does not have a duly appointed representative may file a voluntary petition by next friend or guardian ad litem. The court shall appoint a guardian ad litem for an infant or incompetent person who is a debtor and is not otherwise represented or shall make any other order to protect the infant or incompetent debtor. (Added Apr. 29, 2002, eff. Dec. 1, 2002.) Rule 1004.2. Petition in Chapter 15 Cases (a) DESIGNATING CENTER OF MAIN INTERESTS. A petition for recognition of a foreign proceeding under chapter 15 of the Code shall state the country where the debtor has its center of main interests. The petition shall also identify each country in which a foreign proceeding by, regarding, or against the debtor is pending. (b) CHALLENGING DESIGNATION. The United States trustee or a party in interest may file a motion for a determination that the debtor’s center of main interests is other than as stated in the petition for recognition commencing the chapter 15 case. Unless the court orders otherwise, the motion shall be filed no later than seven days before the date set for the hearing on the petition. The motion shall be transmitted to the United States trustee and served on the debtor, all persons or bodies authorized to administer foreign proceedings of the debtor, all entities against whom provisional relief is being sought under § 1519 of the Code, all parties to litigation pending in the United States in which the debtor was a party as of the time the petition was filed, and such other entities as the court may direct. (Added Apr. 26, 2011, eff. Dec. 1, 2011.) Rule 1005. Caption of Petition The caption of a petition commencing a case under the Code shall contain the name of the court, the title of the case, and the docket number. The title of the case shall include the following information about the debtor: name, employer identification number, last four digits of the social-security number or individual debtor’s taxpayer-identification number, any other federal taxpayer-identification number, and all other names used within eight years before filing the petition. If the petition is not filed by 3 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1007 the debtor, it shall include all names used by the debtor which are known to the petitioners. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 1006. Filing Fee (a) GENERAL REQUIREMENT. Every petition shall be accompanied by the filing fee except as provided in subdivisions (b) and (c) of this rule. For the purpose of this rule, ‘‘filing fee’’ means the filing fee prescribed by 28 U.S.C. § 1930(a)(1)–(a)(5) and any other fee prescribed by the Judicial Conference of the United States under 28 U.S.C. § 1930(b) that is payable to the clerk upon the commencement of a case under the Code. (b) PAYMENT OF FILING FEE IN INSTALLMENTS. (1) Application to Pay Filing Fee in Installments. A voluntary petition by an individual shall be accepted for filing, regardless of whether any portion of the filing fee is paid, if accompanied by the debtor’s signed application, prepared as prescribed by the appropriate Official Form, stating that the debtor is unable to pay the filing fee except in installments. (2) Action on Application. Prior to the meeting of creditors, the court may order the filing fee paid to the clerk or grant leave to pay in installments and fix the number, amount and dates of payment. The number of installments shall not exceed four, and the final installment shall be payable not later than 120 days after filing the petition. For cause shown, the court may extend the time of any installment, provided the last installment is paid not later than 180 days after filing the petition. (3) Postponement of Attorney’s Fees. All installments of the filing fee must be paid in full before the debtor or chapter 13 trustee may make further payments to an attorney or any other person who renders services to the debtor in connection with the case. (c) WAIVER OF FILING FEE. A voluntary chapter 7 petition filed by an individual shall be accepted for filing if accompanied by the debtor’s application requesting a waiver under 28 U.S.C. § 1930(f), prepared as prescribed by the appropriate Official Form. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 23, 2008, eff. Dec. 1, 2008; Apr. 27, 2017, eff. Dec. 1, 2017.) Rule 1007. Lists, Schedules, Statements, and Other Documents; Time Limits (a) CORPORATE OWNERSHIP STATEMENT, LIST OF CREDITORS AND EQUITY SECURITY HOLDERS, AND OTHER LISTS. (1) Voluntary Case. In a voluntary case, the debtor shall file with the petition a list containing the name and address of each entity included or to be included on Schedules D, E/F, G, and H as prescribed by the Official Forms. If the debtor is a corporation, other than a governmental unit, the debtor shall file with the petition a corporate ownership statement containing the information described in Rule 7007.1. The debtor shall file a supplemental statement promptly upon any change in circumstances that renders the corporate ownership statement inaccurate. Rule 1007 FEDERAL RULES OF BANKRUPTCY PROCEDURE 4 (2) Involuntary Case. In an involuntary case, the debtor shall file, within seven days after entry of the order for relief, a list containing the name and address of each entity included or to be included on Schedules D, E/F, G, and H as prescribed by the Official Forms. (3) Equity Security Holders. In a chapter 11 reorganization case, unless the court orders otherwise, the debtor shall file within 14 days after entry of the order for relief a list of the debtor’s equity security holders of each class showing the number and kind of interests registered in the name of each holder, and the last known address or place of business of each holder. (4) Chapter 15 Case. In addition to the documents required under § 1515 of the Code, a foreign representative filing a petition for recognition under chapter 15 shall file with the petition: (A) a corporate ownership statement containing the information described in Rule 7007.1; and (B) unless the court orders otherwise, a list containing the names and addresses of all persons or bodies authorized to administer foreign proceedings of the debtor, all parties to litigation pending in the United States in which the debtor is a party at the time of the filing of the petition, and all entities against whom provisional relief is being sought under § 1519 of the Code. (5) Extension of Time. Any extension of time for the filing of the lists required by this subdivision may be granted only on motion for cause shown and on notice to the United States trustee and to any trustee, committee elected under § 705 or appointed under § 1102 of the Code, or other party as the court may direct. (b) SCHEDULES, STATEMENTS, AND OTHER DOCUMENTS REQUIRED. (1) Except in a chapter 9 municipality case, the debtor, unless the court orders otherwise, shall file the following schedules, statements, and other documents, prepared as prescribed by the appropriate Official Forms, if any: (A) schedules of assets and liabilities; (B) a schedule of current income and expenditures; (C) a schedule of executory contracts and unexpired leases; (D) a statement of financial affairs; (E) copies of all payment advices or other evidence of payment, if any, received by the debtor from an employer within 60 days before the filing of the petition, with redaction of all but the last four digits of the debtor’s social-security number or individual taxpayer-identification number; and (F) a record of any interest that the debtor has in an account or program of the type specified in § 521(c) of the Code. (2) An individual debtor in a chapter 7 case shall file a statement of intention as required by § 521(a) of the Code, prepared as prescribed by the appropriate Official Form. A copy of the statement of intention shall be served on the trustee and the creditors named in the statement on or before the filing of the statement. 5 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1007 (3) Unless the United States trustee has determined that the credit counseling requirement of § 109(h) does not apply in the district, an individual debtor must file a statement of compliance with the credit counseling requirement, prepared as prescribed by the appropriate Official Form which must include one of the following: (A) an attached certificate and debt repayment plan, if any, required by § 521(b); (B) a statement that the debtor has received the credit counseling briefing required by § 109(h)(1) but does not have the certificate required by § 521(b); (C) a certification under § 109(h)(3); or (D) a request for a determination by the court under § 109(h)(4). (4) Unless § 707(b)(2)(D) applies, an individual debtor in a chapter 7 case shall file a statement of current monthly income prepared as prescribed by the appropriate Official Form, and, if the current monthly income exceeds the median family income for the applicable state and household size, the information, including calculations, required by § 707(b), prepared as prescribed by the appropriate Official Form. (5) An individual debtor in a chapter 11 case shall file a statement of current monthly income, prepared as prescribed by the appropriate Official Form. (6) A debtor in a chapter 13 case shall file a statement of current monthly income, prepared as prescribed by the appropriate Official Form, and, if the current monthly income exceeds the median family income for the applicable state and household size, a calculation of disposable income made in accordance with § 1325(b)(3), prepared as prescribed by the appropriate Official Form. (7) Unless an approved provider of an instructional course concerning personal financial management has notified the court that a debtor has completed the course after filing the petition: (A) An individual debtor in a chapter 7 or chapter 13 case shall file a statement of completion of the course, prepared as prescribed by the appropriate Official Form; and (B) An individual debtor in a chapter 11 case shall file the statement if § 1141(d)(3) applies. (8) If an individual debtor in a chapter 11, 12, or 13 case has claimed an exemption under § 522(b)(3)(A) in property of the kind described in § 522(p)(1) with a value in excess of the amount set out in § 522(q)(1), the debtor shall file a statement as to whether there is any proceeding pending in which the debtor may be found guilty of a felony of a kind described in § 522(q)(1)(A) or found liable for a debt of the kind described in § 522(q)(1)(B). (c) TIME LIMITS. In a voluntary case, the schedules, statements, and other documents required by subdivision (b)(1), (4), (5), and (6) shall be filed with the petition or within 14 days thereafter, except as otherwise provided in subdivisions (d), (e), (f), and (h) of this rule. In an involuntary case, the schedules, statements, and other Rule 1007 FEDERAL RULES OF BANKRUPTCY PROCEDURE 6 1So in original. Probably should be only one section symbol. documents required by subdivision (b)(1) shall be filed by the debtor within 14 days after the entry of the order for relief. In a voluntary case, the documents required by paragraphs (A), (C), and (D) of subdivision (b)(3) shall be filed with the petition. Unless the court orders otherwise, a debtor who has filed a statement under subdivision (b)(3)(B), shall file the documents required by subdivision (b)(3)(A) within 14 days of the order for relief. In a chapter 7 case, the debtor shall file the statement required by subdivision (b)(7) within 60 days after the first date set for the meeting of creditors under § 341 of the Code, and in a chapter 11 or 13 case no later than the date when the last payment was made by the debtor as required by the plan or the filing of a motion for a discharge under § 1141(d)(5)(B) or § 1328(b) of the Code. The court may, at any time and in its discretion, enlarge the time to file the statement required by subdivision (b)(7). The debtor shall file the statement required by subdivision (b)(8) no earlier than the date of the last payment made under the plan or the date of the filing of a motion for a discharge under §§ 1141(d)(5)(B),1 1228(b), or 1328(b) of the Code. Lists, schedules, statements, and other documents filed prior to the conversion of a case to another chapter shall be deemed filed in the converted case unless the court directs otherwise. Except as provided in § 1116(3), any extension of time to file schedules, statements, and other documents required under this rule may be granted only on motion for cause shown and on notice to the United States trustee, any committee elected under § 705 or appointed under § 1102 of the Code, trustee, examiner, or other party as the court may direct. Notice of an extension shall be given to the United States trustee and to any committee, trustee, or other party as the court may direct. (d) LIST OF 20 LARGEST CREDITORS IN CHAPTER 9 MUNICIPALITY CASE OR CHAPTER 11 REORGANIZATION CASE. In addition to the list required by subdivision (a) of this rule, a debtor in a chapter 9 municipality case or a debtor in a voluntary chapter 11 reorganization case shall file with the petition a list containing the name, address and claim of the creditors that hold the 20 largest unsecured claims, excluding insiders, as prescribed by the appropriate Official Form. In an involuntary chapter 11 reorganization case, such list shall be filed by the debtor within 2 days after entry of the order for relief under § 303(h) of the Code. (e) LIST IN CHAPTER 9 MUNICIPALITY CASES. The list required by subdivision (a) of this rule shall be filed by the debtor in a chapter 9 municipality case within such time as the court shall fix. If a proposed plan requires a revision of assessments so that the proportion of special assessments or special taxes to be assessed against some real property will be different from the proportion in effect at the date the petition is filed, the debtor shall also file a list showing the name and address of each known holder of title, legal or equitable, to real property adversely affected. On motion for cause shown, the court may modify the requirements of this subdivision and subdivision (a) of this rule. 7 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1007 (f) STATEMENT OF SOCIAL SECURITY NUMBER. An individual debtor shall submit a verified statement that sets out the debtor’s social security number, or states that the debtor does not have a social security number. In a voluntary case, the debtor shall submit the statement with the petition. In an involuntary case, the debtor shall submit the statement within 14 days after the entry of the order for relief. (g) PARTNERSHIP AND PARTNERS. The general partners of a debtor partnership shall prepare and file the list required under subdivision (a), schedules of the assets and liabilities, schedule of current income and expenditures, schedule of executory contracts and unexpired leases, and statement of financial affairs of the partnership. The court may order any general partner to file a statement of personal assets and liabilities within such time as the court may fix. (h) INTERESTS ACQUIRED OR ARISING AFTER PETITION. If, as provided by § 541(a)(5) of the Code, the debtor acquires or becomes entitled to acquire any interest in property, the debtor shall within 14 days after the information comes to the debtor’s knowledge or within such further time the court may allow, file a supplemental schedule in the chapter 7 liquidation case, chapter 11 reorganization case, chapter 12 family farmer’s debt adjustment case, or chapter 13 individual debt adjustment case. If any of the property required to be reported under this subdivision is claimed by the debtor as exempt, the debtor shall claim the exemptions in the supplemental schedule. The duty to file a supplemental schedule in accordance with this subdivision continues notwithstanding the closing of the case, except that the schedule need not be filed in a chapter 11, chapter 12, or chapter 13 case with respect to property acquired after entry of the order confirming a chapter 11 plan or discharging the debtor in a chapter 12 or chapter 13 case. (i) DISCLOSURE OF LIST OF SECURITY HOLDERS. After notice and hearing and for cause shown, the court may direct an entity other than the debtor or trustee to disclose any list of security holders of the debtor in its possession or under its control, indicating the name, address and security held by any of them. The entity possessing this list may be required either to produce the list or a true copy thereof, or permit inspection or copying, or otherwise disclose the information contained on the list. (j) IMPOUNDING OF LISTS. On motion of a party in interest and for cause shown the court may direct the impounding of the lists filed under this rule, and may refuse to permit inspection by any entity. The court may permit inspection or use of the lists, however, by any party in interest on terms prescribed by the court. (k) PREPARATION OF LIST, SCHEDULES, OR STATEMENTS ON DEFAULT OF DEBTOR. If a list, schedule, or statement, other than a statement of intention, is not prepared and filed as required by this rule, the court may order the trustee, a petitioning creditor, committee, or other party to prepare and file any of these papers within a time fixed by the court. The court may approve reimbursement of the cost incurred in complying with such an order as an administrative expense. (l) TRANSMISSION TO UNITED STATES TRUSTEE. The clerk shall forthwith transmit to the United States trustee a copy of every list, schedule, and statement filed pursuant to subdivision (a)(1), (a)(2), (b), (d), or (h) of this rule. (m) INFANTS AND INCOMPETENT PERSONS. If the debtor knows that a person on the list of creditors or schedules is an infant or incompetent person, the debtor also shall include the name, address, and legal relationship of any person upon whom process would be served in an adversary proceeding against the infant or incompetent person in accordance with Rule 7004(b)(2). (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 23, 2001, eff. Dec. 1, 2001; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 25, 2005, eff. Dec. 1, 2005; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2010, eff. Dec. 1, 2010; Apr. 23, 2012, eff. Dec. 1, 2012: Apr. 16, 2013, eff. Dec. 1, 2013; Apr. 29, 2015, eff. Dec. 1, 2015.) Rule 1008. Verification of Petitions and Accompanying Papers All petitions, lists, schedules, statements and amendments thereto shall be verified or contain an unsworn declaration as provided in 28 U.S.C. § 1746. (As amended Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 1009. Amendments of Voluntary Petitions, Lists, Schedules and Statements (a) GENERAL RIGHT TO AMEND. A voluntary petition, list, schedule, or statement may be amended by the debtor as a matter of course at any time before the case is closed. The debtor shall give notice of the amendment to the trustee and to any entity affected thereby. On motion of a party in interest, after notice and a hearing, the court may order any voluntary petition, list, schedule, or statement to be amended and the clerk shall give notice of the amendment to entities designated by the court. (b) STATEMENT OF INTENTION. The statement of intention may be amended by the debtor at any time before the expiration of the period provided in § 521(a) of the Code. The debtor shall give notice of the amendment to the trustee and to any entity affected thereby. (c) STATEMENT OF SOCIAL SECURITY NUMBER. If a debtor becomes aware that the statement of social security number submitted under Rule 1007(f) is incorrect, the debtor shall promptly submit an amended verified statement setting forth the correct social security number. The debtor shall give notice of the amendment to all of the entities required to be included on the list filed under Rule 1007(a)(1) or (a)(2). (d) TRANSMISSION TO UNITED STATES TRUSTEE. The clerk shall promptly transmit to the United States trustee a copy of every amendment filed or submitted under subdivision (a), (b), or (c) of this rule. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 12, 2006, eff. Dec. 1, 2006; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 1010. Service of Involuntary Petition and Summons (a) SERVICE OF INVOLUNTARY PETITION AND SUMMONS. On the filing of an involuntary petition, the clerk shall forthwith issue a summons for service. When an involuntary petition is filed, service shall be made on the debtor. The summons shall be served with a copy of the petition in the manner provided for service of a summons and complaint by Rule 7004(a) or (b). If service cannot be so made, the court may order that the summons and petition be served by mailing copies to the party’s last known address, and by at least one publication in a manner and form directed by the court. The summons and petition may be served on the party anywhere. Rule 7004(e) and Rule 4(l) F.R.Civ.P. apply when service is made or attempted under this rule. (b) CORPORATE OWNERSHIP STATEMENT. Each petitioner that is a corporation shall file with the involuntary petition a corporate ownership statement containing the information described in Rule 7007.1. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 23, 2008, eff. Dec. 1, 2008; Apr. 28, 2016, eff. Dec. 1, 2016.) Rule 1011. Responsive Pleading or Motion in Involuntary Cases (a) WHO MAY CONTEST PETITION. The debtor named in an involuntary petition may contest the petition. In the case of a petition against a partnership under Rule 1004, a nonpetitioning general partner, or a person who is alleged to be a general partner but denies the allegation, may contest the petition. (b) DEFENSES AND OBJECTIONS; WHEN PRESENTED. Defenses and objections to the petition shall be presented in the manner prescribed by Rule 12 F.R.Civ.P. and shall be filed and served within 21 days after service of the summons, except that if service is made by publication on a party or partner not residing or found within the state in which the court sits, the court shall prescribe the time for filing and serving the response. (c) EFFECT OF MOTION. Service of a motion under Rule 12(b) F.R.Civ.P. shall extend the time for filing and serving a responsive pleading as permitted by Rule 12(a) F.R.Civ.P. (d) CLAIMS AGAINST PETITIONERS. A claim against a petitioning creditor may not be asserted in the answer except for the purpose of defeating the petition. (e) OTHER PLEADINGS. No other pleadings shall be permitted, except that the court may order a reply to an answer and prescribe the time for filing and service. (f) CORPORATE OWNERSHIP STATEMENT. If the entity responding to the involuntary petition is a corporation, the entity shall file with its first appearance, pleading, motion, response, or other request addressed to the court a corporate ownership statement containing the information described in Rule 7007.1. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 26, 2004, eff. Dec. 1, 2004; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2016, eff. Dec. 1, 2016.) Rule 1012. Responsive Pleading in Cross-Border Cases (a) WHO MAY CONTEST PETITION. The debtor or any party in interest may contest a petition for recognition of a foreign proceeding. (b) OBJECTIONS AND RESPONSES; WHEN PRESENTED. Objections and other responses to the petition shall be presented no later Rule 1013 FEDERAL RULES OF BANKRUPTCY PROCEDURE 10 than seven days before the date set for the hearing on the petition, unless the court prescribes some other time or manner for responses. (c) CORPORATE OWNERSHIP STATEMENT. If the entity responding to the petition is a corporation, then the entity shall file a corporate ownership statement containing the information described in Rule 7007.1 with its first appearance, pleading, motion, response, or other request addressed to the court. (Added Apr. 28, 2016, eff. Dec. 1, 2016.) Rule 1013. Hearing and Disposition of a Petition in an Involuntary Case (a) CONTESTED PETITION. The court shall determine the issues of a contested petition at the earliest practicable time and forthwith enter an order for relief, dismiss the petition, or enter any other appropriate order. (b) DEFAULT. If no pleading or other defense to a petition is filed within the time provided by Rule 1011, the court, on the next day, or as soon thereafter as practicable, shall enter an order for the relief requested in the petition. [(c) ORDER FOR RELIEF] (Abrogated Apr. 22, 1993, eff. Aug. 1, 1993) (As amended Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993.) Rule 1014. Dismissal and Change of Venue (a) DISMISSAL AND TRANSFER OF CASES. (1) Cases Filed in Proper District. If a petition is filed in the proper district, the court, on the timely motion of a party in interest or on its own motion, and after hearing on notice to the petitioners, the United States trustee, and other entities as directed by the court, may transfer the case to any other district if the court determines that the transfer is in the interest of justice or for the convenience of the parties. (2) Cases Filed in Improper District. If a petition is filed in an improper district, the court, on the timely motion of a party in interest or on its own motion, and after hearing on notice to the petitioners, the United States trustee, and other entities as directed by the court, may dismiss the case or transfer it to any other district if the court determines that transfer is in the interest of justice or for the convenience of the parties. (b) PROCEDURE WHEN PETITIONS INVOLVING THE SAME DEBTOR OR RELATED DEBTORS ARE FILED IN DIFFERENT COURTS. If petitions commencing cases under the Code or seeking recognition under chapter 15 are filed in different districts by, regarding, or against (1) the same debtor, (2) a partnership and one or more of its general partners, (3) two or more general partners, or (4) a debtor and an affiliate, the court in the district in which the first-filed petition is pending may determine, in the interest of justice or for the convenience of the parties, the district or districts in which any of the cases should proceed. The court may so determine on motion and after a hearing, with notice to the following entities in the affected cases: the United States trustee, entities entitled to notice under Rule 2002(a), and other entities as the court directs. 11 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1017 The court may order the parties to the later-filed cases not to proceed further until it makes the determination. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 30, 2007, eff. Dec. 1, 2007; Apr. 28, 2010, eff. Dec. 1, 2010; Apr. 25, 2014, eff. Dec. 1, 2014.) Rule 1015. Consolidation or Joint Administration of Cases Pending in Same Court (a) CASES INVOLVING SAME DEBTOR. If two or more petitions by, regarding, or against the same debtor are pending in the same court, the court may order consolidation of the cases. (b) CASES INVOLVING TWO OR MORE RELATED DEBTORS. If a joint petition or two or more petitions are pending in the same court by or against (1) spouses, or (2) a partnership and one or more of its general partners, or (3) two or more general partners, or (4) a debtor and an affiliate, the court may order a joint administration of the estates. Prior to entering an order the court shall give consideration to protecting creditors of different estates against potential conflicts of interest. An order directing joint administration of individual cases of spouses shall, if one spouse has elected the exemptions under § 522(b)(2) of the Code and the other has elected the exemptions under § 522(b)(3), fix a reasonable time within which either may amend the election so that both shall have elected the same exemptions. The order shall notify the debtors that unless they elect the same exemptions within the time fixed by the court, they will be deemed to have elected the exemptions provided by § 522(b)(2). (c) EXPEDITING AND PROTECTIVE ORDERS. When an order for consolidation or joint administration of a joint case or two or more cases is entered pursuant to this rule, while protecting the rights of the parties under the Code, the court may enter orders as may tend to avoid unnecessary costs and delay. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 23, 2008, eff. Dec. 1, 2008; Apr. 28, 2010, eff. Dec. 1, 2010; Apr. 27, 2017, eff. Dec. 1, 2017.) Rule 1016. Death or Incompetency of Debtor Death or incompetency of the debtor shall not abate a liquidation case under chapter 7 of the Code. In such event the estate shall be administered and the case concluded in the same manner, so far as possible, as though the death or incompetency had not occurred. If a reorganization, family farmer’s debt adjustment, or individual’s debt adjustment case is pending under chapter 11, chapter 12, or chapter 13, the case may be dismissed; or if further administration is possible and in the best interest of the parties, the case may proceed and be concluded in the same manner, so far as possible, as though the death or incompetency had not occurred. (As amended Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 1017. Dismissal or Conversion of Case; Suspension (a) VOLUNTARY DISMISSAL; DISMISSAL FOR WANT OF PROSECUTION OR OTHER CAUSE. Except as provided in §§ 707(a)(3), 707(b), 1208(b), and 1307(b) of the Code, and in Rule 1017(b), (c), and (e), a case Rule 1017 FEDERAL RULES OF BANKRUPTCY PROCEDURE 12 shall not be dismissed on motion of the petitioner, for want of prosecution or other cause, or by consent of the parties, before a hearing on notice as provided in Rule 2002. For the purpose of the notice, the debtor shall file a list of creditors with their addresses within the time fixed by the court unless the list was previously filed. If the debtor fails to file the list, the court may order the debtor or another entity to prepare and file it. (b) DISMISSAL FOR FAILURE TO PAY FILING FEE. (1) If any installment of the filing fee has not been paid, the court may, after a hearing on notice to the debtor and the trustee, dismiss the case. (2) If the case is dismissed or closed without full payment of the filing fee, the installments collected shall be distributed in the same manner and proportions as if the filing fee had been paid in full. (c) DISMISSAL OF VOLUNTARY CHAPTER 7 OR CHAPTER 13 CASE FOR FAILURE TO TIMELY FILE LIST OF CREDITORS, SCHEDULES, AND STATEMENT OF FINANCIAL AFFAIRS. The court may dismiss a voluntary chapter 7 or chapter 13 case under § 707(a)(3) or § 1307(c)(9) after a hearing on notice served by the United States trustee on the debtor, the trustee, and any other entities as the court directs. (d) SUSPENSION. The court shall not dismiss a case or suspend proceedings under § 305 before a hearing on notice as provided in Rule 2002(a). (e) DISMISSAL OF AN INDIVIDUAL DEBTOR’S CHAPTER 7 CASE, OR CONVERSION TO A CASE UNDER CHAPTER 11 OR 13, FOR ABUSE. The court may dismiss or, with the debtor’s consent, convert an individual debtor’s case for abuse under § 707(b) only on motion and after a hearing on notice to the debtor, the trustee, the United States trustee, and any other entity as the court directs. (1) Except as otherwise provided in § 704(b)(2), a motion to dismiss a case for abuse under § 707(b) or (c) may be filed only within 60 days after the first date set for the meeting of creditors under § 341(a), unless, on request filed before the time has expired, the court for cause extends the time for filing the motion to dismiss. The party filing the motion shall set forth in the motion all matters to be considered at the hearing. In addition, a motion to dismiss under § 707(b)(1) and (3) shall state with particularity the circumstances alleged to constitute abuse. (2) If the hearing is set on the court’s own motion, notice of the hearing shall be served on the debtor no later than 60 days after the first date set for the meeting of creditors under § 341(a). The notice shall set forth all matters to be considered by the court at the hearing. (f) PROCEDURE FOR DISMISSAL, CONVERSION, OR SUSPENSION. (1) Rule 9014 governs a proceeding to dismiss or suspend a case, or to convert a case to another chapter, except under §§ 706(a), 1112(a), 1208(a) or (b), or 1307(a) or (b). (2) Conversion or dismissal under §§ 706(a), 1112(a), 1208(b), or 1307(b) shall be on motion filed and served as required by Rule 9013. (3) A chapter 12 or chapter 13 case shall be converted without court order when the debtor files a notice of conversion under 13 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1019 §§ 1208(a) or 1307(a). The filing date of the notice becomes the date of the conversion order for the purposes of applying § 348(c) and Rule 1019. The clerk shall promptly transmit a copy of the notice to the United States trustee. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 26, 1999, eff. Dec. 1, 1999; Apr. 17, 2000, eff. Dec. 1, 2000; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 1018. Contested Involuntary Petitions; Contested Petitions Commencing Chapter 15 Cases; Proceedings to Vacate Order for Relief; Applicability of Rules in Part VII Governing Adversary Proceedings Unless the court otherwise directs and except as otherwise prescribed in Part I of these rules, the following rules in Part VII apply to all proceedings contesting an involuntary petition or a chapter 15 petition for recognition, and to all proceedings to vacate an order for relief: Rules 7005, 7008–7010, 7015, 7016, 7024–7026, 7028–7037, 7052, 7054, 7056, and 7062. The court may direct that other rules in Part VII shall also apply. For the purposes of this rule a reference in the Part VII rules to adversary proceedings shall be read as a reference to proceedings contesting an involuntary petition or a chapter 15 petition for recognition, or proceedings to vacate an order for relief. Reference in the Federal Rules of Civil Procedure to the complaint shall be read as a reference to the petition. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 28, 2010, eff. Dec. 1, 2010.) Rule 1019. Conversion of a Chapter 11 Reorganization Case, Chapter 12 Family Farmer’s Debt Adjustment Case, or Chapter 13 Individual’s Debt Adjustment Case to a Chapter 7 Liquidation Case When a chapter 11, chapter 12, or chapter 13 case has been converted or reconverted to a chapter 7 case: (1) Filing of Lists, Inventories, Schedules, Statements. (A) Lists, inventories, schedules, and statements of financial affairs theretofore filed shall be deemed to be filed in the chapter 7 case, unless the court directs otherwise. If they have not been previously filed, the debtor shall comply with Rule 1007 as if an order for relief had been entered on an involuntary petition on the date of the entry of the order directing that the case continue under chapter 7. (B) If a statement of intention is required, it shall be filed within 30 days after entry of the order of conversion or before the first date set for the meeting of creditors, whichever is earlier. The court may grant an extension of time for cause only on written motion filed, or oral request made during a hearing, before the time has expired. Notice of an extension shall be given to the United States trustee and to any committee, trustee, or other party as the court may direct. (2) New Filing Periods. (A) A new time period for filing a motion under § 707(b) or (c), a claim, a complaint objecting to discharge, or a Rule 1019 FEDERAL RULES OF BANKRUPTCY PROCEDURE 14 1So in original. Probably should be ‘‘Rule’’. complaint to obtain a determination of dischargeability of any debt shall commence under Rules 1 1017, 3002, 4004, or 4007, but a new time period shall not commence if a chapter 7 case had been converted to a chapter 11, 12, or 13 case and thereafter reconverted to a chapter 7 case and the time for filing a motion under § 707(b) or (c), a claim, a complaint objecting to discharge, or a complaint to obtain a determination of the dischargeability of any debt, or any extension thereof, expired in the original chapter 7 case. (B) A new time period for filing an objection to a claim of exemptions shall commence under Rule 4003(b) after conversion of a case to chapter 7 unless: (i) the case was converted to chapter 7 more than one year after the entry of the first order confirming a plan under chapter 11, 12, or 13; or (ii) the case was previously pending in chapter 7 and the time to object to a claimed exemption had expired in the original chapter 7 case. (3) Claims Filed Before Conversion. All claims actually filed by a creditor before conversion of the case are deemed filed in the chapter 7 case. (4) Turnover of Records and Property. After qualification of, or assumption of duties by the chapter 7 trustee, any debtor in possession or trustee previously acting in the chapter 11, 12, or 13 case shall, forthwith, unless otherwise ordered, turn over to the chapter 7 trustee all records and property of the estate in the possession or control of the debtor in possession or trustee. (5) Filing Final Report and Schedule of Postpetition Debts. (A) Conversion of Chapter 11 or Chapter 12 Case. Unless the court directs otherwise, if a chapter 11 or chapter 12 case is converted to chapter 7, the debtor in possession or, if the debtor is not a debtor in possession, the trustee serving at the time of conversion, shall: (i) not later than 14 days after conversion of the case, file a schedule of unpaid debts incurred after the filing of the petition and before conversion of the case, including the name and address of each holder of a claim; and (ii) not later than 30 days after conversion of the case, file and transmit to the United States trustee a final report and account; (B) Conversion of Chapter 13 Case. Unless the court directs otherwise, if a chapter 13 case is converted to chapter 7, (i) the debtor, not later than 14 days after conversion of the case, shall file a schedule of unpaid debts incurred after the filing of the petition and before conversion of the case, including the name and address of each holder of a claim; and (ii) the trustee, not later than 30 days after conversion of the case, shall file and transmit to the United States trustee a final report and account; 15 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1020 (C) Conversion After Confirmation of a Plan. Unless the court orders otherwise, if a chapter 11, chapter 12, or chapter 13 case is converted to chapter 7 after confirmation of a plan, the debtor shall file: (i) a schedule of property not listed in the final report and account acquired after the filing of the petition but before conversion, except if the case is converted from chapter 13 to chapter 7 and § 348(f)(2) does not apply; (ii) a schedule of unpaid debts not listed in the final report and account incurred after confirmation but before the conversion; and (iii) a schedule of executory contracts and unexpired leases entered into or assumed after the filing of the petition but before conversion. (D) Transmission to United States Trustee. The clerk shall forthwith transmit to the United States trustee a copy of every schedule filed pursuant to Rule 1019(5). (6) Postpetition Claims; Preconversion Administrative Expenses; Notice. A request for payment of an administrative expense incurred before conversion of the case is timely filed under § 503(a) of the Code if it is filed before conversion or a time fixed by the court. If the request is filed by a governmental unit, it is timely if it is filed before conversion or within the later of a time fixed by the court or 180 days after the date of the conversion. A claim of a kind specified in § 348(d) may be filed in accordance with Rules 3001(a)–(d) and 3002. Upon the filing of the schedule of unpaid debts incurred after commencement of the case and before conversion, the clerk, or some other person as the court may direct, shall give notice to those entities listed on the schedule of the time for filing a request for payment of an administrative expense and, unless a notice of insufficient assets to pay a dividend is mailed in accordance with Rule 2002(e), the time for filing a claim of a kind specified in § 348(d). (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 26, 1999, eff. Dec. 1, 1999; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2010, eff. Dec. 1, 2010.) Rule 1020. Small Business Chapter 11 Reorganization Case (a) SMALL BUSINESS DEBTOR DESIGNATION. In a voluntary chapter 11 case, the debtor shall state in the petition whether the debtor is a small business debtor. In an involuntary chapter 11 case, the debtor shall file within 14 days after entry of the order for relief a statement as to whether the debtor is a small business debtor. Except as provided in subdivision (c), the status of the case as a small business case shall be in accordance with the debtor’s statement under this subdivision, unless and until the court enters an order finding that the debtor’s statement is incorrect. (b) OBJECTING TO DESIGNATION. Except as provided in subdivision (c), the United States trustee or a party in interest may file an objection to the debtor’s statement under subdivision (a) no later than 30 days after the conclusion of the meeting of creditors held Rule 1021 FEDERAL RULES OF BANKRUPTCY PROCEDURE 16 under § 341(a) of the Code, or within 30 days after any amendment to the statement, whichever is later. (c) APPOINTMENT OF COMMITTEE OF UNSECURED CREDITORS. If a committee of unsecured creditors has been appointed under § 1102(a)(1), the case shall proceed as a small business case only if, and from the time when, the court enters an order determining that the committee has not been sufficiently active and representative to provide effective oversight of the debtor and that the debtor satisfies all the other requirements for being a small business. A request for a determination under this subdivision may be filed by the United States trustee or a party in interest only within a reasonable time after the failure of the committee to be sufficiently active and representative. The debtor may file a request for a determination at any time as to whether the committee has been sufficiently active and representative. (d) PROCEDURE FOR OBJECTION OR DETERMINATION. Any objection or request for a determination under this rule shall be governed by Rule 9014 and served on: the debtor; the debtor’s attorney; the United States trustee; the trustee; any committee appointed under § 1102 or its authorized agent, or, if no committee of unsecured creditors has been appointed under § 1102, the creditors included on the list filed under Rule 1007(d); and any other entity as the court directs. (Added Apr. 11, 1997, eff. Dec. 1, 1997; amended Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 1021. Health Care Business Case (a) HEALTH CARE BUSINESS DESIGNATION. Unless the court orders otherwise, if a petition in a case under chapter 7, chapter 9, or chapter 11 states that the debtor is a health care business, the case shall proceed as a case in which the debtor is a health care business. (b) MOTION. The United States trustee or a party in interest may file a motion to determine whether the debtor is a health care business. The motion shall be transmitted to the United States trustee and served on: the debtor; the trustee; any committee elected under § 705 or appointed under § 1102 of the Code or its authorized agent, or, if the case is a chapter 9 municipality case or a chapter 11 reorganization case and no committee of unsecured creditors has been appointed under § 1102, the creditors included on the list filed under Rule 1007(d); and any other entity as the court directs. The motion shall be governed by Rule 9014. (Added Apr. 23, 2008, eff. Dec. 1, 2008.) PART II—OFFICERS AND ADMINISTRATION; NOTICES; MEETINGS; EXAMINATIONS; ELECTIONS; ATTORNEYS AND ACCOUNTANTS Rule 2001. Appointment of Interim Trustee Before Order for Relief in a Chapter 7 Liquidation Case (a) APPOINTMENT. At any time following the commencement of an involuntary liquidation case and before an order for relief, the court on written motion of a party in interest may order the appointment of an interim trustee under § 303(g) of the Code. The 17 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2002 motion shall set forth the necessity for the appointment and may be granted only after hearing on notice to the debtor, the petitioning creditors, the United States trustee, and other parties in interest as the court may designate. (b) BOND OF MOVANT. An interim trustee may not be appointed under this rule unless the movant furnishes a bond in an amount approved by the court, conditioned to indemnify the debtor for costs, attorney’s fee, expenses, and damages allowable under § 303(i) of the Code. (c) ORDER OF APPOINTMENT. The order directing the appointment of an interim trustee shall state the reason the appointment is necessary and shall specify the trustee’s duties. (d) TURNOVER AND REPORT. Following qualification of the trustee selected under § 702 of the Code, the interim trustee, unless otherwise ordered, shall (1) forthwith deliver to the trustee all the records and property of the estate in possession or subject to control of the interim trustee and, (2) within 30 days thereafter file a final report and account. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2002. Notices to Creditors, Equity Security Holders, Administrators in Foreign Proceedings, Persons Against Whom Provisional Relief is Sought in Ancillary and Other Cross-Border Cases, United States, and United States Trustee (a) TWENTY-ONE-DAY NOTICES TO PARTIES IN INTEREST. Except as provided in subdivisions (h), (i), (l), (p), and (q) of this rule, the clerk, or some other person as the court may direct, shall give the debtor, the trustee, all creditors and indenture trustees at least 21 days’ notice by mail of: (1) the meeting of creditors under § 341 or § 1104(b) of the Code, which notice, unless the court orders otherwise, shall include the debtor’s employer identification number, social security number, and any other federal taxpayer identification number; (2) a proposed use, sale, or lease of property of the estate other than in the ordinary course of business, unless the court for cause shown shortens the time or directs another method of giving notice; (3) the hearing on approval of a compromise or settlement of a controversy other than approval of an agreement pursuant to Rule 4001(d), unless the court for cause shown directs that notice not be sent; (4) in a chapter 7 liquidation, a chapter 11 reorganization case, or a chapter 12 family farmer debt adjustment case, the hearing on the dismissal of the case or the conversion of the case to another chapter, unless the hearing is under § 707(a)(3) or § 707(b) or is on dismissal of the case for failure to pay the filing fee; (5) the time fixed to accept or reject a proposed modification of a plan; (6) a hearing on any entity’s request for compensation or reimbursement of expenses if the request exceeds $1,000; (7) the time fixed for filing proofs of claims pursuant to Rule 3003(c); Rule 2002 FEDERAL RULES OF BANKRUPTCY PROCEDURE 18 (8) the time fixed for filing objections and the hearing to consider confirmation of a chapter 12 plan; and (9) the time fixed for filing objections to confirmation of a chapter 13 plan. (b) TWENTY-EIGHT-DAY NOTICES TO PARTIES IN INTEREST. Except as provided in subdivision (l) of this rule, the clerk, or some other person as the court may direct, shall give the debtor, the trustee, all creditors and indenture trustees not less than 28 days’ notice by mail of the time fixed (1) for filing objections and the hearing to consider approval of a disclosure statement or, under § 1125(f), to make a final determination whether the plan provides adequate information so that a separate disclosure statement is not necessary; (2) for filing objections and the hearing to consider confirmation of a chapter 9 or chapter 11 plan; and (3) for the hearing to consider confirmation of a chapter 13 plan. (c) CONTENT OF NOTICE. (1) Proposed Use, Sale, or Lease of Property. Subject to Rule 6004, the notice of a proposed use, sale, or lease of property required by subdivision (a)(2) of this rule shall include the time and place of any public sale, the terms and conditions of any private sale and the time fixed for filing objections. The notice of a proposed use, sale, or lease of property, including real estate, is sufficient if it generally describes the property. The notice of a proposed sale or lease of personally identifiable information under § 363(b)(1) of the Code shall state whether the sale is consistent with any policy prohibiting the transfer of the information. (2) Notice of Hearing on Compensation. The notice of a hearing on an application for compensation or reimbursement of expenses required by subdivision (a)(6) of this rule shall identify the applicant and the amounts requested. (3) Notice of Hearing on Confirmation When Plan Provides for an Injunction. If a plan provides for an injunction against conduct not otherwise enjoined under the Code, the notice required under Rule 2002(b)(2) shall: (A) include in conspicuous language (bold, italic, or underlined text) a statement that the plan proposes an injunction; (B) describe briefly the nature of the injunction; and (C) identify the entities that would be subject to the injunction. (d) NOTICE TO EQUITY SECURITY HOLDERS. In a chapter 11 reorganization case, unless otherwise ordered by the court, the clerk, or some other person as the court may direct, shall in the manner and form directed by the court give notice to all equity security holders of (1) the order for relief; (2) any meeting of equity security holders held pursuant to § 341 of the Code; (3) the hearing on the proposed sale of all or substantially all of the debtor’s assets; (4) the hearing on the dismissal or conversion of a case to another chapter; (5) the time fixed for filing objections to and the hearing to consider approval of a disclosure statement; (6) the time fixed for filing objections to and the hearing to consider confirmation of a plan; and (7) the time fixed to accept or reject a proposed modification of a plan. 19 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2002 (e) NOTICE OF NO DIVIDEND. In a chapter 7 liquidation case, if it appears from the schedules that there are no assets from which a dividend can be paid, the notice of the meeting of creditors may include a statement to that effect; that it is unnecessary to file claims; and that if sufficient assets become available for the payment of a dividend, further notice will be given for the filing of claims. (f) OTHER NOTICES. Except as provided in subdivision (l) of this rule, the clerk, or some other person as the court may direct, shall give the debtor, all creditors, and indenture trustees notice by mail of: (1) the order for relief; (2) the dismissal or the conversion of the case to another chapter, or the suspension of proceedings under § 305; (3) the time allowed for filing claims pursuant to Rule 3002; (4) the time fixed for filing a complaint objecting to the debtor’s discharge pursuant to § 727 of the Code as provided in Rule 4004; (5) the time fixed for filing a complaint to determine the dischargeability of a debt pursuant to § 523 of the Code as provided in Rule 4007; (6) the waiver, denial, or revocation of a discharge as provided in Rule 4006; (7) entry of an order confirming a chapter 9, 11, or 12 plan; (8) a summary of the trustee’s final report in a chapter 7 case if the net proceeds realized exceed $1,500; (9) a notice under Rule 5008 regarding the presumption of abuse; (10) a statement under § 704(b)(1) as to whether the debtor’s case would be presumed to be an abuse under § 707(b); and (11) the time to request a delay in the entry of the discharge under §§ 1141(d)(5)(C), 1228(f), and 1328(h). Notice of the time fixed for accepting or rejecting a plan pursuant to Rule 3017(c) shall be given in accordance with Rule 3017(d). (g) ADDRESSING NOTICES. (1) Notices required to be mailed under Rule 2002 to a creditor, indenture trustee, or equity security holder shall be addressed as such entity or an authorized agent has directed in its last request filed in the particular case. For the purposes of this subdivision— (A) a proof of claim filed by a creditor or indenture trustee that designates a mailing address constitutes a filed request to mail notices to that address, unless a notice of no dividend has been given under Rule 2002(e) and a later notice of possible dividend under Rule 3002(c)(5) has not been given; and (B) a proof of interest filed by an equity security holder that designates a mailing address constitutes a filed request to mail notices to that address. (2) Except as provided in § 342(f) of the Code, if a creditor or indenture trustee has not filed a request designating a mailing address under Rule 2002(g)(1) or Rule 5003(e), the notices shall be mailed to the address shown on the list of creditors or schedule of liabilities, whichever is filed later. If an equity security holder has not filed a request designating a mailing address under Rule 2002(g)(1) or Rule 5003(e), the notices shall be Rule 2002 FEDERAL RULES OF BANKRUPTCY PROCEDURE 20 mailed to the address shown on the list of equity security holders. (3) If a list or schedule filed under Rule 1007 includes the name and address of a legal representative of an infant or incompetent person, and a person other than that representative files a request or proof of claim designating a name and mailing address that differs from the name and address of the representative included in the list or schedule, unless the court orders otherwise, notices under Rule 2002 shall be mailed to the representative included in the list or schedules and to the name and address designated in the request or proof of claim. (4) Notwithstanding Rule 2002(g)(1)–(3), an entity and a notice provider may agree that when the notice provider is directed by the court to give a notice, the notice provider shall give the notice to the entity in the manner agreed to and at the address or addresses the entity supplies to the notice provider. That address is conclusively presumed to be a proper address for the notice. The notice provider’s failure to use the supplied address does not invalidate any notice that is otherwise effective under applicable law. (5) A creditor may treat a notice as not having been brought to the creditor’s attention under § 342(g)(1) only if, prior to issuance of the notice, the creditor has filed a statement that designates the name and address of the person or organizational subdivision of the creditor responsible for receiving notices under the Code, and that describes the procedures established by the creditor to cause such notices to be delivered to the designated person or subdivision. (h) NOTICES TO CREDITORS WHOSE CLAIMS ARE FILED. In a chapter 7 case, after 90 days following the first date set for the meeting of creditors under § 341 of the Code, the court may direct that all notices required by subdivision (a) of this rule be mailed only to the debtor, the trustee, all indenture trustees, creditors that hold claims for which proofs of claim have been filed, and creditors, if any, that are still permitted to file claims by reason of an extension granted pursuant to Rule 3002(c)(1) or (c)(2). In a case where notice of insufficient assets to pay a dividend has been given to creditors pursuant to subdivision (e) of this rule, after 90 days following the mailing of a notice of the time for filing claims pursuant to Rule 3002(c)(5), the court may direct that notices be mailed only to the entities specified in the preceding sentence. (i) NOTICES TO COMMITTEES. Copies of all notices required to be mailed pursuant to this rule shall be mailed to the committees elected under § 705 or appointed under § 1102 of the Code or to their authorized agents. Notwithstanding the foregoing subdivisions, the court may order that notices required by subdivision (a)(2), (3) and (6) of this rule be transmitted to the United States trustee and be mailed only to the committees elected under § 705 or appointed under § 1102 of the Code or to their authorized agents and to the creditors and equity security holders who serve on the trustee or debtor in possession and file a request that all notices be mailed to them. A committee appointed under § 1114 shall receive copies of all notices required by subdivisions (a)(1), (a)(5), (b), (f)(2), and (f)(7), and such other notices as the court may direct. 21 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2002 1So in original. Period probably should not appear. (j) NOTICES TO THE UNITED STATES. Copies of notices required to be mailed to all creditors under this rule shall be mailed (1) in a chapter 11 reorganization case, to the Securities and Exchange Commission at any place the Commission designates, if the Commission has filed either a notice of appearance in the case or a written request to receive notices; (2) in a commodity broker case, to the Commodity Futures Trading Commission at Washington, D.C.; (3) in a chapter 11 case, to the Internal Revenue Service at its address set out in the register maintained under Rule 5003(e) for the district in which the case is pending; (4) if the papers in the case disclose a debt to the United States other than for taxes, to the United States attorney for the district in which the case is pending and to the department, agency, or instrumentality of the United States through which the debtor became indebted; or (5) if the filed papers disclose a stock interest of the United States, to the Secretary of the Treasury at Washington, D.C. (k) NOTICES TO UNITED STATES TRUSTEE. Unless the case is a chapter 9 municipality case or unless the United States trustee requests otherwise, the clerk, or some other person as the court may direct, shall transmit to the United States trustee notice of the matters described in subdivisions (a)(2), (a)(3), (a)(4), (a)(8), (b), (f)(1), (f)(2), (f)(4), (f)(6), (f)(7), (f)(8), and (q) of this rule and notice of hearings on all applications for compensation or reimbursement of expenses. Notices to the United States trustee shall be transmitted within the time prescribed in subdivision (a) or (b) of this rule. The United States trustee shall also receive notice of any other matter if such notice is requested by the United States trustee or ordered by the court. Nothing in these rules requires the clerk or any other person to transmit to the United States trustee any notice, schedule, report, application or other document in a case under the Securities Investor Protection Act, 15 U.S.C. § 78aaa et. 1 seq. (l) NOTICE BY PUBLICATION. The court may order notice by publication if it finds that notice by mail is impracticable or that it is desirable to supplement the notice. (m) ORDERS DESIGNATING MATTER OF NOTICES. The court may from time to time enter orders designating the matters in respect to which, the entity to whom, and the form and manner in which notices shall be sent except as otherwise provided by these rules. (n) CAPTION. The caption of every notice given under this rule shall comply with Rule 1005. The caption of every notice required to be given by the debtor to a creditor shall include the information required to be in the notice by § 342(c) of the Code. (o) NOTICE OF ORDER FOR RELIEF IN CONSUMER CASE. In a voluntary case commenced by an individual debtor whose debts are primarily consumer debts, the clerk or some other person as the court may direct shall give the trustee and all creditors notice by mail of the order for relief within 21 days from the date thereof. (p) NOTICE TO A CREDITOR WITH A FOREIGN ADDRESS. (1) If, at the request of the United States trustee or a party in interest, or on its own initiative, the court finds that a notice mailed within the time prescribed by these rules would Rule 2002 FEDERAL RULES OF BANKRUPTCY PROCEDURE 22 not be sufficient to give a creditor with a foreign address to which notices under these rules are mailed reasonable notice under the circumstances, the court may order that the notice be supplemented with notice by other means or that the time prescribed for the notice by mail be enlarged. (2) Unless the court for cause orders otherwise, a creditor with a foreign address to which notices under this rule are mailed shall be given at least 30 days’ notice of the time fixed for filing a proof of claim under Rule 3002(c) or Rule 3003(c). (3) Unless the court for cause orders otherwise, the mailing address of a creditor with a foreign address shall be determined under Rule 2002(g). (q) NOTICE OF PETITION FOR RECOGNITION OF FOREIGN PROCEEDING AND OF COURT’S INTENTION TO COMMUNICATE WITH FOREIGN COURTS AND FOREIGN REPRESENTATIVES. (1) Notice of Petition for Recognition. After the filing of a petition for recognition of a foreign proceeding, the court shall promptly schedule and hold a hearing on the petition. The clerk, or some other person as the court may direct, shall forthwith give the debtor, all persons or bodies authorized to administer foreign proceedings of the debtor, all entities against whom provisional relief is being sought under § 1519 of the Code, all parties to litigation pending in the United States in which the debtor is a party at the time of the filing of the petition, and such other entities as the court may direct, at least 21 days’ notice by mail of the hearing. The notice shall state whether the petition seeks recognition as a foreign main proceeding or foreign nonmain proceeding and shall include the petition and any other document the court may require. If the court consolidates the hearing on the petition with the hearing on a request for provisional relief, the court may set a shorter notice period, with notice to the entities listed in this subdivision. (2) Notice of Court’s Intention to Communicate with Foreign Courts and Foreign Representatives. The clerk, or some other person as the court may direct, shall give the debtor, all persons or bodies authorized to administer foreign proceedings of the debtor, all entities against whom provisional relief is being sought under § 1519 of the Code, all parties to litigation pending in the United States in which the debtor is a party at the time of the filing of the petition, and such other entities as the court may direct, notice by mail of the court’s intention to communicate with a foreign court or foreign representative. (As amended Pub. L. 98–91, § 2(a), Aug. 30, 1983, 97 Stat. 607; Pub. L. 98–353, title III, § 321, July 10, 1984, 98 Stat. 357; Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 26, 1999, eff. Dec. 1, 1999; Apr. 17, 2000, eff. Dec. 1, 2000; Apr. 23, 2001, eff. Dec. 1, 2001; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 26, 2004, eff. Dec. 1, 2004; Apr. 25, 2005, eff. Dec. 1, 2005; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2016, eff. Dec. 1, 2016; Apr. 27, 2017, eff. Dec. 1, 2017.) 23 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2003 Rule 2003. Meeting of Creditors or Equity Security Holders (a) DATE AND PLACE. Except as otherwise provided in § 341(e) of the Code, in a chapter 7 liquidation or a chapter 11 reorganization case, the United States trustee shall call a meeting of creditors to be held no fewer than 21 and no more than 40 days after the order for relief. In a chapter 12 family farmer debt adjustment case, the United States trustee shall call a meeting of creditors to be held no fewer than 21 and no more than 35 days after the order for relief. In a chapter 13 individual’s debt adjustment case, the United States trustee shall call a meeting of creditors to be held no fewer than 21 and no more than 50 days after the order for relief. If there is an appeal from or a motion to vacate the order for relief, or if there is a motion to dismiss the case, the United States trustee may set a later date for the meeting. The meeting may be held at a regular place for holding court or at any other place designated by the United States trustee within the district convenient for the parties in interest. If the United States trustee designates a place for the meeting which is not regularly staffed by the United States trustee or an assistant who may preside at the meeting, the meeting may be held not more than 60 days after the order for relief. (b) ORDER OF MEETING. (1) Meeting of Creditors. The United States trustee shall preside at the meeting of creditors. The business of the meeting shall include the examination of the debtor under oath and, in a chapter 7 liquidation case, may include the election of a creditors’ committee and, if the case is not under subchapter V of chapter 7, the election of a trustee. The presiding officer shall have the authority to administer oaths. (2) Meeting of Equity Security Holders. If the United States trustee convenes a meeting of equity security holders pursuant to § 341(b) of the Code, the United States trustee shall fix a date for the meeting and shall preside. (3) Right To Vote. In a chapter 7 liquidation case, a creditor is entitled to vote at a meeting if, at or before the meeting, the creditor has filed a proof of claim or a writing setting forth facts evidencing a right to vote pursuant to § 702(a) of the Code unless objection is made to the claim or the proof of claim is insufficient on its face. A creditor of a partnership may file a proof of claim or writing evidencing a right to vote for the trustee for the estate of the general partner notwithstanding that a trustee for the estate of the partnership has previously qualified. In the event of an objection to the amount or allowability of a claim for the purpose of voting, unless the court orders otherwise, the United States trustee shall tabulate the votes for each alternative presented by the dispute and, if resolution of such dispute is necessary to determine the result of the election, the tabulations for each alternative shall be reported to the court. (c) RECORD OF MEETING. Any examination under oath at the meeting of creditors held pursuant to § 341(a) of the Code shall be recorded verbatim by the United States trustee using electronic sound recording equipment or other means of recording, and such record shall be preserved by the United States trustee and available for public access until two years after the conclusion of the Rule 2004 FEDERAL RULES OF BANKRUPTCY PROCEDURE 24 meeting of creditors. Upon request of any entity, the United States trustee shall certify and provide a copy or transcript of such recording at the entity’s expense. (d) REPORT OF ELECTION AND RESOLUTION OF DISPUTES IN A CHAPTER 7 CASE. (1) Report of Undisputed Election. In a chapter 7 case, if the election of a trustee or a member of a creditors’ committee is not disputed, the United States trustee shall promptly file a report of the election, including the name and address of the person or entity elected and a statement that the election is undisputed. (2) Disputed Election. If the election is disputed, the United States trustee shall promptly file a report stating that the election is disputed, informing the court of the nature of the dispute, and listing the name and address of any candidate elected under any alternative presented by the dispute. No later than the date on which the report is filed, the United States trustee shall mail a copy of the report to any party in interest that has made a request to receive a copy of the report. Pending disposition by the court of a disputed election for trustee, the interim trustee shall continue in office. Unless a motion for the resolution of the dispute is filed no later than 14 days after the United States trustee files a report of a disputed election for trustee, the interim trustee shall serve as trustee in the case. (e) ADJOURNMENT. The meeting may be adjourned from time to time by announcement at the meeting of the adjourned date and time. The presiding official shall promptly file a statement specifying the date and time to which the meeting is adjourned. (f) SPECIAL MEETINGS. The United States trustee may call a special meeting of creditors on request of a party in interest or on the United States trustee’s own initiative. (g) FINAL MEETING. If the United States trustee calls a final meeting of creditors in a case in which the net proceeds realized exceed $1,500, the clerk shall mail a summary of the trustee’s final account to the creditors with a notice of the meeting, together with a statement of the amount of the claims allowed. The trustee shall attend the final meeting and shall, if requested, report on the administration of the estate. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 26, 1999, eff. Dec. 1, 1999; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 26, 2011, eff. Dec. 1, 2011.) Rule 2004. Examination (a) EXAMINATION ON MOTION. On motion of any party in interest, the court may order the examination of any entity. (b) SCOPE OF EXAMINATION. The examination of an entity under this rule or of the debtor under § 343 of the Code may relate only to the acts, conduct, or property or to the liabilities and financial condition of the debtor, or to any matter which may affect the administration of the debtor’s estate, or to the debtor’s right to a discharge. In a family farmer’s debt adjustment case under chapter 12, an individual’s debt adjustment case under chapter 13, or 25 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2005 a reorganization case under chapter 11 of the Code, other than for the reorganization of a railroad, the examination may also relate to the operation of any business and the desirability of its continuance, the source of any money or property acquired or to be acquired by the debtor for purposes of consummating a plan and the consideration given or offered therefor, and any other matter relevant to the case or to the formulation of a plan. (c) COMPELLING ATTENDANCE AND PRODUCTION OF DOCUMENTS. The attendance of an entity for examination and for the production of documents, whether the examination is to be conducted within or without the district in which the case is pending, may be compelled as provided in Rule 9016 for the attendance of a witness at a hearing or trial. As an officer of the court, an attorney may issue and sign a subpoena on behalf of the court for the district in which the examination is to be held if the attorney is admitted to practice in that court or in the court in which the case is pending. (d) TIME AND PLACE OF EXAMINATION OF DEBTOR. The court may for cause shown and on terms as it may impose order the debtor to be examined under this rule at any time or place it designates, whether within or without the district wherein the case is pending. (e) MILEAGE. An entity other than a debtor shall not be required to attend as a witness unless lawful mileage and witness fee for one day’s attendance shall be first tendered. If the debtor resides more than 100 miles from the place of examination when required to appear for an examination under this rule, the mileage allowed by law to a witness shall be tendered for any distance more than 100 miles from the debtor’s residence at the date of the filing of the first petition commencing a case under the Code or the residence at the time the debtor is required to appear for the examination, whichever is the lesser. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 29, 2002, eff. Dec. 1, 2002.) Rule 2005. Apprehension and Removal of Debtor to Compel Attendance for Examination (a) ORDER TO COMPEL ATTENDANCE FOR EXAMINATION. On motion of any party in interest supported by an affidavit alleging (1) that the examination of the debtor is necessary for the proper administration of the estate and that there is reasonable cause to believe that the debtor is about to leave or has left the debtor’s residence or principal place of business to avoid examination, or (2) that the debtor has evaded service of a subpoena or of an order to attend for examination, or (3) that the debtor has willfully disobeyed a subpoena or order to attend for examination, duly served, the court may issue to the marshal, or some other officer authorized by law, an order directing the officer to bring the debtor before the court without unnecessary delay. If, after hearing, the court finds the allegations to be true, the court shall thereupon cause the debtor to be examined forthwith. If necessary, the court shall fix conditions for further examination and for the debtor’s obedience to all orders made in reference thereto. (b) REMOVAL. Whenever any order to bring the debtor before the court is issued under this rule and the debtor is found in a district Rule 2006 FEDERAL RULES OF BANKRUPTCY PROCEDURE 26 other than that of the court issuing the order, the debtor may be taken into custody under the order and removed in accordance with the following rules: (1) If the debtor is taken into custody under the order at a place less than 100 miles from the place of issue of the order, the debtor shall be brought forthwith before the court that issued the order. (2) If the debtor is taken into custody under the order at a place 100 miles or more from the place of issue of the order, the debtor shall be brought without unnecessary delay before the nearest available United States magistrate judge, bankruptcy judge, or district judge. If, after hearing, the magistrate judge, bankruptcy judge, or district judge finds that an order has issued under this rule and that the person in custody is the debtor, or if the person in custody waives a hearing, the magistrate judge, bankruptcy judge, or district judge shall order removal, and the person in custody shall be released on conditions ensuring prompt appearance before the court that issued the order to compel the attendance. (c) CONDITIONS OF RELEASE. In determining what conditions will reasonably assure attendance or obedience under subdivision (a) of this rule or appearance under subdivision (b) of this rule, the court shall be governed by the provisions and policies of title 18, U.S.C., § 3146(a) and (b). (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 22, 1993, eff. Aug. 1, 1993.) Rule 2006. Solicitation and Voting of Proxies in Chapter 7 Liquidation Cases (a) APPLICABILITY. This rule applies only in a liquidation case pending under chapter 7 of the Code. (b) DEFINITIONS. (1) Proxy. A proxy is a written power of attorney authorizing any entity to vote the claim or otherwise act as the owner’s attorney in fact in connection with the administration of the estate. (2) Solicitation of Proxy. The solicitation of a proxy is any communication, other than one from an attorney to a regular client who owns a claim or from an attorney to the owner of a claim who has requested the attorney to represent the owner, by which a creditor is asked, directly or indirectly, to give a proxy after or in contemplation of the filing of a petition by or against the debtor. (c) AUTHORIZED SOLICITATION. (1) A proxy may be solicited only by (A) a creditor owning an allowable unsecured claim against the estate on the date of the filing of the petition; (B) a committee elected pursuant to § 705 of the Code; (C) a committee of creditors selected by a majority in number and amount of claims of creditors (i) whose claims are not contingent or unliquidated, (ii) who are not disqualified from voting under § 702(a) of the Code and (iii) who were present or represented at a meeting of which all creditors having claims of over $500 or the 100 creditors having the largest claims had at least seven days’ notice in writing 27 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2006 and of which meeting written minutes were kept and are available reporting the names of the creditors present or represented and voting and the amounts of their claims; or (D) a bona fide trade or credit association, but such association may solicit only creditors who were its members or subscribers in good standing and had allowable unsecured claims on the date of the filing of the petition. (2) A proxy may be solicited only in writing. (d) SOLICITATION NOT AUTHORIZED. This rule does not permit solicitation (1) in any interest other than that of general creditors; (2) by or on behalf of any custodian; (3) by the interim trustee or by or on behalf of any entity not qualified to vote under § 702(a) of the Code; (4) by or on behalf of an attorney at law; or (5) by or on behalf of a transferee of a claim for collection only. (e) DATA REQUIRED FROM HOLDERS OF MULTIPLE PROXIES. At any time before the voting commences at any meeting of creditors pursuant to § 341(a) of the Code, or at any other time as the court may direct, a holder of two or more proxies shall file and transmit to the United States trustee a verified list of the proxies to be voted and a verified statement of the pertinent facts and circumstances in connection with the execution and delivery of each proxy, including: (1) a copy of the solicitation; (2) identification of the solicitor, the forwarder, if the forwarder is neither the solicitor nor the owner of the claim, and the proxyholder, including their connections with the debtor and with each other. If the solicitor, forwarder, or proxyholder is an association, there shall also be included a statement that the creditors whose claims have been solicited and the creditors whose claims are to be voted were members or subscribers in good standing and had allowable unsecured claims on the date of the filing of the petition. If the solicitor, forwarder, or proxyholder is a committee of creditors, the statement shall also set forth the date and place the committee was organized, that the committee was organized in accordance with clause (B) or (C) of paragraph (c)(1) of this rule, the members of the committee, the amounts of their claims, when the claims were acquired, the amounts paid therefor, and the extent to which the claims of the committee members are secured or entitled to priority; (3) a statement that no consideration has been paid or promised by the proxyholder for the proxy; (4) a statement as to whether there is any agreement and, if so, the particulars thereof, between the proxyholder and any other entity for the payment of any consideration in connection with voting the proxy, or for the sharing of compensation with any entity, other than a member or regular associate of the proxyholder’s law firm, which may be allowed the trustee or any entity for services rendered in the case, or for the employment of any person as attorney, accountant, appraiser, auctioneer, or other employee for the estate; (5) if the proxy was solicited by an entity other than the proxyholder, or forwarded to the holder by an entity who is neither a solicitor of the proxy nor the owner of the claim, a statement signed and verified by the solicitor or forwarder that no consideration has been paid or promised for the proxy, and whether there is any agreement, and, if so, the particulars thereof, between the solicitor or forwarder and any other entity for the payment of any consideration in connection with voting the proxy, or for sharing compensation with any entity other than a member or regular associate of the solicitor’s or forwarder’s law firm which may be allowed the trustee or any entity for services rendered in the case, or for the employment of any person as attorney, accountant, appraiser, auctioneer, or other employee for the estate; (6) if the solicitor, forwarder, or proxyholder is a committee, a statement signed and verified by each member as to the amount and source of any consideration paid or to be paid to such member in connection with the case other than by way of dividend on the member’s claim. (f) ENFORCEMENT OF RESTRICTIONS ON SOLICITATION. On motion of any party in interest or on its own initiative, the court may determine whether there has been a failure to comply with the provisions of this rule or any other impropriety in connection with the solicitation or voting of a proxy. After notice and a hearing the court may reject any proxy for cause, vacate any order entered in consequence of the voting of any proxy which should have been rejected, or take any other appropriate action. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2007. Review of Appointment of Creditors’ Committee Organized Before Commencement of the Case (a) MOTION TO REVIEW APPOINTMENT. If a committee appointed by the United States trustee pursuant to § 1102(a) of the Code consists of the members of a committee organized by creditors before the commencement of a chapter 9 or chapter 11 case, on motion of a party in interest and after a hearing on notice to the United States trustee and other entities as the court may direct, the court may determine whether the appointment of the committee satisfies the requirements of § 1102(b)(1) of the Code. (b) SELECTION OF MEMBERS OF COMMITTEE. The court may find that a committee organized by unsecured creditors before the commencement of a chapter 9 or chapter 11 case was fairly chosen if: (1) it was selected by a majority in number and amount of claims of unsecured creditors who may vote under § 702(a) of the Code and were present in person or represented at a meeting of which all creditors having unsecured claims of over $1,000 or the 100 unsecured creditors having the largest claims had at least seven days’ notice in writing, and of which meeting written minutes reporting the names of the creditors present or represented and voting and the amounts of their claims were kept and are available for inspection; (2) all proxies voted at the meeting for the elected committee were solicited pursuant to Rule 2006 and the lists and statements required by subdivision (e) thereof have been transmitted to the United States trustee; and (3) the organization of the committee was in all other respects fair and proper. 29 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2007.1 (c) FAILURE TO COMPLY WITH REQUIREMENTS FOR APPOINTMENT. After a hearing on notice pursuant to subdivision (a) of this rule, the court shall direct the United States trustee to vacate the appointment of the committee and may order other appropriate action if the court finds that such appointment failed to satisfy the requirements of § 1102(b)(1) of the Code. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2007.1. Appointment of Trustee or Examiner in a Chapter 11 Reorganization Case (a) ORDER TO APPOINT TRUSTEE OR EXAMINER. In a chapter 11 reorganization case, a motion for an order to appoint a trustee or an examiner under § 1104(a) or § 1104(c) of the Code shall be made in accordance with Rule 9014. (b) ELECTION OF TRUSTEE. (1) Request for an Election. A request to convene a meeting of creditors for the purpose of electing a trustee in a chapter 11 reorganization case shall be filed and transmitted to the United States trustee in accordance with Rule 5005 within the time prescribed by § 1104(b) of the Code. Pending court approval of the person elected, any person appointed by the United States trustee under § 1104(d) and approved in accordance with subdivision (c) of this rule shall serve as trustee. (2) Manner of Election and Notice. An election of a trustee under § 1104(b) of the Code shall be conducted in the manner provided in Rules 2003(b)(3) and 2006. Notice of the meeting of creditors convened under § 1104(b) shall be given as provided in Rule 2002. The United States trustee shall preside at the meeting. A proxy for the purpose of voting in the election may be solicited only by a committee of creditors appointed under § 1102 of the Code or by any other party entitled to solicit a proxy pursuant to Rule 2006. (3) Report of Election and Resolution of Disputes. (A) Report of Undisputed Election. If no dispute arises out of the election, the United States trustee shall promptly file a report certifying the election, including the name and address of the person elected and a statement that the election is undisputed. The report shall be accompanied by a verified statement of the person elected setting forth that person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. (B) Dispute Arising Out of an Election. If a dispute arises out of an election, the United States trustee shall promptly file a report stating that the election is disputed, informing the court of the nature of the dispute, and listing the name and address of any candidate elected under any alternative presented by the dispute. The report shall be accompanied by a verified statement by each candidate elected under each alternative presented by the dispute, setting forth the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any Rule 2007.2 FEDERAL RULES OF BANKRUPTCY PROCEDURE 30 person employed in the office of the United States trustee. Not later than the date on which the report of the disputed election is filed, the United States trustee shall mail a copy of the report and each verified statement to any party in interest that has made a request to convene a meeting under § 1104(b) or to receive a copy of the report, and to any committee appointed under § 1102 of the Code. (c) APPROVAL OF APPOINTMENT. An order approving the appointment of a trustee or an examiner under § 1104(d) of the Code shall be made on application of the United States trustee. The application shall state the name of the person appointed and, to the best of the applicant’s knowledge, all the person’s connections with the debtor, creditors, any other parties in interest, their respective attorneys and accountants, the United States trustee, or persons employed in the office of the United States trustee. The application shall state the names of the parties in interest with whom the United States trustee consulted regarding the appointment. The application shall be accompanied by a verified statement of the person appointed setting forth the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. (Added Apr. 30, 1991, eff. Aug. 1, 1991; amended Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 2007.2. Appointment of Patient Care Ombudsman in a Health Care Business Case (a) ORDER TO APPOINT PATIENT CARE OMBUDSMAN. In a chapter 7, chapter 9, or chapter 11 case in which the debtor is a health care business, the court shall order the appointment of a patient care ombudsman under § 333 of the Code, unless the court, on motion of the United States trustee or a party in interest filed no later than 21 days after the commencement of the case or within another time fixed by the court, finds that the appointment of a patient care ombudsman is not necessary under the specific circumstances of the case for the protection of patients. (b) MOTION FOR ORDER TO APPOINT OMBUDSMAN. If the court has found that the appointment of an ombudsman is not necessary, or has terminated the appointment, the court, on motion of the United States trustee or a party in interest, may order the appointment at a later time if it finds that the appointment has become necessary to protect patients. (c) NOTICE OF APPOINTMENT. If a patient care ombudsman is appointed under § 333, the United States trustee shall promptly file a notice of the appointment, including the name and address of the person appointed. Unless the person appointed is a State Long-Term Care Ombudsman, the notice shall be accompanied by a verified statement of the person appointed setting forth the person’s connections with the debtor, creditors, patients, any other party in interest, their respective attorneys and accountants, the United States trustee, and any person employed in the office of the United States trustee. (d) TERMINATION OF APPOINTMENT. On motion of the United States trustee or a party in interest, the court may terminate the 31 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2009 appointment of a patient care ombudsman if the court finds that the appointment is not necessary to protect patients. (e) MOTION. A motion under this rule shall be governed by Rule 9014. The motion shall be transmitted to the United States trustee and served on: the debtor; the trustee; any committee elected under § 705 or appointed under § 1102 of the Code or its authorized agent, or, if the case is a chapter 9 municipality case or a chapter 11 reorganization case and no committee of unsecured creditors has been appointed under § 1102, on the creditors included on the list filed under Rule 1007(d); and such other entities as the court may direct. (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2008. Notice to Trustee of Selection The United States trustee shall immediately notify the person selected as trustee how to qualify and, if applicable, the amount of the trustee’s bond. A trustee that has filed a blanket bond pursuant to Rule 2010 and has been selected as trustee in a chapter 7, chapter 12, or chapter 13 case that does not notify the court and the United States trustee in writing of rejection of the office within seven days after receipt of notice of selection shall be deemed to have accepted the office. Any other person selected as trustee shall notify the court and the United States trustee in writing of acceptance of the office within seven days after receipt of notice of selection or shall be deemed to have rejected the office. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2009. Trustees for Estates When Joint Administration Ordered (a) ELECTION OF SINGLE TRUSTEE FOR ESTATES BEING JOINTLY ADMINISTERED. If the court orders a joint administration of two or more estates under Rule 1015(b), creditors may elect a single trustee for the estates being jointly administered, unless the case is under subchapter V of chapter 7 of the Code. (b) RIGHT OF CREDITORS TO ELECT SEPARATE TRUSTEE. Notwithstanding entry of an order for joint administration under Rule 1015(b), the creditors of any debtor may elect a separate trustee for the estate of the debtor as provided in § 702 of the Code, unless the case is under subchapter V of chapter 7. (c) APPOINTMENT OF TRUSTEES FOR ESTATES BEING JOINTLY ADMINISTERED. (1) Chapter 7 Liquidation Cases. Except in a case governed by subchapter V of chapter 7, the United States trustee may appoint one or more interim trustees for estates being jointly administered in chapter 7 cases. (2) Chapter 11 Reorganization Cases. If the appointment of a trustee is ordered, the United States trustee may appoint one or more trustees for estates being jointly administered in chapter 11 cases. (3) Chapter 12 Family Farmer’s Debt Adjustment Cases. The United States trustee may appoint one or more trustees for estates being jointly administered in chapter 12 cases. Rule 2010 FEDERAL RULES OF BANKRUPTCY PROCEDURE 32 (4) Chapter 13 Individual’s Debt Adjustment Cases. The United States trustee may appoint one or more trustees for estates being jointly administered in chapter 13 cases. (d) POTENTIAL CONFLICTS OF INTEREST. On a showing that creditors or equity security holders of the different estates will be prejudiced by conflicts of interest of a common trustee who has been elected or appointed, the court shall order the selection of separate trustees for estates being jointly administered. (e) SEPARATE ACCOUNTS. The trustee or trustees of estates being jointly administered shall keep separate accounts of the property and distribution of each estate. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 27, 2003, eff. Dec. 1, 2003.) Rule 2010. Qualification by Trustee; Proceeding on Bond (a) BLANKET BOND. The United States trustee may authorize a blanket bond in favor of the United States conditioned on the faithful performance of official duties by the trustee or trustees to cover (1) a person who qualifies as trustee in a number of cases, and (2) a number of trustees each of whom qualifies in a different case. (b) PROCEEDING ON BOND. A proceeding on the trustee’s bond may be brought by any party in interest in the name of the United States for the use of the entity injured by the breach of the condition. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2011. Evidence of Debtor in Possession or Qualification of Trustee (a) Whenever evidence is required that a debtor is a debtor in possession or that a trustee has qualified, the clerk may so certify and the certificate shall constitute conclusive evidence of that fact. (b) If a person elected or appointed as trustee does not qualify within the time prescribed by § 322(a) of the Code, the clerk shall so notify the court and the United States trustee. (As amended Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2012. Substitution of Trustee or Successor Trustee; Accounting (a) TRUSTEE. If a trustee is appointed in a chapter 11 case or the debtor is removed as debtor in possession in a chapter 12 case, the trustee is substituted automatically for the debtor in possession as a party in any pending action, proceeding, or matter. (b) SUCCESSOR TRUSTEE. When a trustee dies, resigns, is removed, or otherwise ceases to hold office during the pendency of a case under the Code (1) the successor is automatically substituted as a party in any pending action, proceeding, or matter; and (2) the successor trustee shall prepare, file, and transmit to the United States trustee an accounting of the prior administration of the estate. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) 33 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2014 Rule 2013. Public Record of Compensation Awarded to Trustees, Examiners, and Professionals (a) RECORD TO BE KEPT. The clerk shall maintain a public record listing fees awarded by the court (1) to trustees and attorneys, accountants, appraisers, auctioneers and other professionals employed by trustees, and (2) to examiners. The record shall include the name and docket number of the case, the name of the individual or firm receiving the fee and the amount of the fee awarded. The record shall be maintained chronologically and shall be kept current and open to examination by the public without charge. ‘‘Trustees,’’ as used in this rule, does not include debtors in possession. (b) SUMMARY OF RECORD. At the close of each annual period, the clerk shall prepare a summary of the public record by individual or firm name, to reflect total fees awarded during the preceding year. The summary shall be open to examination by the public without charge. The clerk shall transmit a copy of the summary to the United States trustee. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2014. Employment of Professional Persons (a) APPLICATION FOR AND ORDER OF EMPLOYMENT. An order approving the employment of attorneys, accountants, appraisers, auctioneers, agents, or other professionals pursuant to § 327, § 1103, or § 1114 of the Code shall be made only on application of the trustee or committee. The application shall be filed and, unless the case is a chapter 9 municipality case, a copy of the application shall be transmitted by the applicant to the United States trustee. The application shall state the specific facts showing the necessity for the employment, the name of the person to be employed, the reasons for the selection, the professional services to be rendered, any proposed arrangement for compensation, and, to the best of the applicant’s knowledge, all of the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. The application shall be accompanied by a verified statement of the person to be employed setting forth the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. (b) SERVICES RENDERED BY MEMBER OR ASSOCIATE OF FIRM OF ATTORNEYS OR ACCOUNTANTS. If, under the Code and this rule, a law partnership or corporation is employed as an attorney, or an accounting partnership or corporation is employed as an accountant, or if a named attorney or accountant is employed, any partner, member, or regular associate of the partnership, corporation, or individual may act as attorney or accountant so employed, without further order of the court. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2015 FEDERAL RULES OF BANKRUPTCY PROCEDURE 34 Rule 2015. Duty to Keep Records, Make Reports, and Give Notice of Case or Change of Status (a) TRUSTEE OR DEBTOR IN POSSESSION. A trustee or debtor in possession shall: (1) in a chapter 7 liquidation case and, if the court directs, in a chapter 11 reorganization case file and transmit to the United States trustee a complete inventory of the property of the debtor within 30 days after qualifying as a trustee or debtor in possession, unless such an inventory has already been filed; (2) keep a record of receipts and the disposition of money and property received; (3) file the reports and summaries required by § 704(a)(8) of the Code, which shall include a statement, if payments are made to employees, of the amounts of deductions for all taxes required to be withheld or paid for and in behalf of employees and the place where these amounts are deposited; (4) as soon as possible after the commencement of the case, give notice of the case to every entity known to be holding money or property subject to withdrawal or order of the debtor, including every bank, savings or building and loan association, public utility company, and landlord with whom the debtor has a deposit, and to every insurance company which has issued a policy having a cash surrender value payable to the debtor, except that notice need not be given to any entity who has knowledge or has previously been notified of the case; (5) in a chapter 11 reorganization case, on or before the last day of the month after each calendar quarter during which there is a duty to pay fees under 28 U.S.C. § 1930(a)(6), file and transmit to the United States trustee a statement of any disbursements made during that quarter and of any fees payable under 28 U.S.C. § 1930(a)(6) for that quarter; and (6) in a chapter 11 small business case, unless the court, for cause, sets another reporting interval, file and transmit to the United States trustee for each calendar month after the order for relief, on the appropriate Official Form, the report required by § 308. If the order for relief is within the first 15 days of a calendar month, a report shall be filed for the portion of the month that follows the order for relief. If the order for relief is after the 15th day of a calendar month, the period for the remainder of the month shall be included in the report for the next calendar month. Each report shall be filed no later than 21 days after the last day of the calendar month following the month covered by the report. The obligation to file reports under this subparagraph terminates on the effective date of the plan, or conversion or dismissal of the case. (b) CHAPTER 12 TRUSTEE AND DEBTOR IN POSSESSION. In a chapter 12 family farmer’s debt adjustment case, the debtor in possession shall perform the duties prescribed in clauses (2)–(4) of subdivision (a) of this rule and, if the court directs, shall file and transmit to the United States trustee a complete inventory of the property of the debtor within the time fixed by the court. If the debtor is removed as debtor in possession, the trustee shall perform the duties of the debtor in possession prescribed in this paragraph. 35 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2015.1 (c) CHAPTER 13 TRUSTEE AND DEBTOR. (1) Business Cases. In a chapter 13 individual’s debt adjustment case, when the debtor is engaged in business, the debtor shall perform the duties prescribed by clauses (2)–(4) of subdivision (a) of this rule and, if the court directs, shall file and transmit to the United States trustee a complete inventory of the property of the debtor within the time fixed by the court. (2) Nonbusiness Cases. In a chapter 13 individual’s debt adjustment case, when the debtor is not engaged in business, the trustee shall perform the duties prescribed by clause (2) of subdivision (a) of this rule. (d) FOREIGN REPRESENTATIVE. In a case in which the court has granted recognition of a foreign proceeding under chapter 15, the foreign representative shall file any notice required under § 1518 of the Code within 14 days after the date when the representative becomes aware of the subsequent information. (e) TRANSMISSION OF REPORTS. In a chapter 11 case the court may direct that copies or summaries of annual reports and copies or summaries of other reports shall be mailed to the creditors, equity security holders, and indenture trustees. The court may also direct the publication of summaries of any such reports. A copy of every report or summary mailed or published pursuant to this subdivision shall be transmitted to the United States trustee. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 29, 2002, eff. Dec. 1, 2002; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 23, 2012, eff. Dec. 1, 2012.) Rule 2015.1. Patient Care Ombudsman (a) REPORTS. A patient care ombudsman, at least 14 days before making a report under § 333(b)(2) of the Code, shall give notice that the report will be made to the court, unless the court orders otherwise. The notice shall be transmitted to the United States trustee, posted conspicuously at the health care facility that is the subject of the report, and served on: the debtor; the trustee; all patients; and any committee elected under § 705 or appointed under § 1102 of the Code or its authorized agent, or, if the case is a chapter 9 municipality case or a chapter 11 reorganization case and no committee of unsecured creditors has been appointed under § 1102, on the creditors included on the list filed under Rule 1007(d); and such other entities as the court may direct. The notice shall state the date and time when the report will be made, the manner in which the report will be made, and, if the report is in writing, the name, address, telephone number, email address, and website, if any, of the person from whom a copy of the report may be obtained at the debtor’s expense. (b) AUTHORIZATION TO REVIEW CONFIDENTIAL PATIENT RECORDS. A motion by a patient care ombudsman under § 333(c) to review confidential patient records shall be governed by Rule 9014, served on the patient and any family member or other contact person whose name and address have been given to the trustee or the debtor for the purpose of providing information regarding the patient’s health care, and transmitted to the United States trustee subject Rule 2015.2 FEDERAL RULES OF BANKRUPTCY PROCEDURE 36 to applicable nonbankruptcy law relating to patient privacy. Unless the court orders otherwise, a hearing on the motion may not be commenced earlier than 14 days after service of the motion. (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2015.2. Transfer of Patient in Health Care Business Case Unless the court orders otherwise, if the debtor is a health care business, the trustee may not transfer a patient to another health care business under § 704(a)(12) of the Code unless the trustee gives at least 14 days’ notice of the transfer to the patient care ombudsman, if any, the patient, and any family member or other contact person whose name and address has been given to the trustee or the debtor for the purpose of providing information regarding the patient’s health care. The notice is subject to applicable nonbankruptcy law relating to patient privacy. (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2015.3. Reports of Financial Information on Entities in Which a Chapter 11 Estate Holds a Controlling or Substantial Interest (a) REPORTING REQUIREMENT. In a chapter 11 case, the trustee or debtor in possession shall file periodic financial reports of the value, operations, and profitability of each entity that is not a publicly traded corporation or a debtor in a case under title 11, and in which the estate holds a substantial or controlling interest. The reports shall be prepared as prescribed by the appropriate Official Form, and shall be based upon the most recent information reasonably available to the trustee or debtor in possession. (b) TIME FOR FILING; SERVICE. The first report required by this rule shall be filed no later than seven days before the first date set for the meeting of creditors under § 341 of the Code. Subsequent reports shall be filed no less frequently than every six months thereafter, until the effective date of a plan or the case is dismissed or converted. Copies of the report shall be served on the United States trustee, any committee appointed under § 1102 of the Code, and any other party in interest that has filed a request therefor. (c) PRESUMPTION OF SUBSTANTIAL OR CONTROLLING INTEREST; JUDICIAL DETERMINATION. For purposes of this rule, an entity of which the estate controls or owns at least a 20 percent interest, shall be presumed to be an entity in which the estate has a substantial or controlling interest. An entity in which the estate controls or owns less than a 20 percent interest shall be presumed not to be an entity in which the estate has a substantial or controlling interest. Upon motion, the entity, any holder of an interest therein, the United States trustee, or any other party in interest may seek to rebut either presumption, and the court shall, after notice and a hearing, determine whether the estate’s interest in the entity is substantial or controlling. (d) MODIFICATION OF REPORTING REQUIREMENT. The court may, after notice and a hearing, vary the reporting requirement established by subdivision (a) of this rule for cause, including that the 37 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2016 trustee or debtor in possession is not able, after a good faith effort, to comply with those reporting requirements, or that the information required by subdivision (a) is publicly available. (e) NOTICE AND PROTECTIVE ORDERS. No later than 14 days before filing the first report required by this rule, the trustee or debtor in possession shall send notice to the entity in which the estate has a substantial or controlling interest, and to all holders— known to the trustee or debtor in possession—of an interest in that entity, that the trustee or debtor in possession expects to file and serve financial information relating to the entity in accordance with this rule. The entity in which the estate has a substantial or controlling interest, or a person holding an interest in that entity, may request protection of the information under § 107 of the Code. (f) EFFECT OF REQUEST. Unless the court orders otherwise, the pendency of a request under subdivisions (c), (d), or (e) of this rule shall not alter or stay the requirements of subdivision (a). (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2016. Compensation for Services Rendered and Reimbursement of Expenses (a) APPLICATION FOR COMPENSATION OR REIMBURSEMENT. An entity seeking interim or final compensation for services, or reimbursement of necessary expenses, from the estate shall file an application setting forth a detailed statement of (1) the services rendered, time expended and expenses incurred, and (2) the amounts requested. An application for compensation shall include a statement as to what payments have theretofore been made or promised to the applicant for services rendered or to be rendered in any capacity whatsoever in connection with the case, the source of the compensation so paid or promised, whether any compensation previously received has been shared and whether an agreement or understanding exists between the applicant and any other entity for the sharing of compensation received or to be received for services rendered in or in connection with the case, and the particulars of any sharing of compensation or agreement or understanding therefor, except that details of any agreement by the applicant for the sharing of compensation as a member or regular associate of a firm of lawyers or accountants shall not be required. The requirements of this subdivision shall apply to an application for compensation for services rendered by an attorney or accountant even though the application is filed by a creditor or other entity. Unless the case is a chapter 9 municipality case, the applicant shall transmit to the United States trustee a copy of the application. (b) DISCLOSURE OF COMPENSATION PAID OR PROMISED TO ATTORNEY FOR DEBTOR. Every attorney for a debtor, whether or not the attorney applies for compensation, shall file and transmit to the United States trustee within 14 days after the order for relief, or at another time as the court may direct, the statement required by § 329 of the Code including whether the attorney has shared or agreed to share the compensation with any other entity. The statement shall include the particulars of any such sharing or Rule 2017 FEDERAL RULES OF BANKRUPTCY PROCEDURE 38 agreement to share by the attorney, but the details of any agreement for the sharing of the compensation with a member or regular associate of the attorney’s law firm shall not be required. A supplemental statement shall be filed and transmitted to the United States trustee within 14 days after any payment or agreement not previously disclosed. (c) DISCLOSURE OF COMPENSATION PAID OR PROMISED TO BANKRUPTCY PETITION PREPARER. Before a petition is filed, every bankruptcy petition preparer for a debtor shall deliver to the debtor, the declaration under penalty of perjury required by § 110(h)(2). The declaration shall disclose any fee, and the source of any fee, received from or on behalf of the debtor within 12 months of the filing of the case and all unpaid fees charged to the debtor. The declaration shall also describe the services performed and documents prepared or caused to be prepared by the bankruptcy petition preparer. The declaration shall be filed with the petition. The petition preparer shall file a supplemental statement within 14 days after any payment or agreement not previously disclosed. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 27, 2003, eff. Dec. 1, 2003; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2017. Examination of Debtor’s Transactions with Debtor’s Attorney

Only use the information above to answer the question. Do not use any outside sources. If you cannot answer the question with the information provided say "I cannot answer without further research." The response should be written in paragraph form unless the answer would be more beneficial in markdown format. Please answer in a simple manner that is easy for the average person to understand. FEDERAL RULES OF BANKRUPTCY PROCEDURE Effective August 1, 1983, as amended to December 1, 2017 Rule 1001. Scope of Rules and Forms; Short Title The Bankruptcy Rules and Forms govern procedure in cases under title 11 of the United States Code. The rules shall be cited as the Federal Rules of Bankruptcy Procedure and the forms as the Official Bankruptcy Forms. These rules shall be construed, administered, and employed by the court and the parties to secure the just, speedy, and inexpensive determination of every case and proceeding. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 27, 2017, eff. Dec. 1, 2017.) PART I—COMMENCEMENT OF CASE; PROCEEDINGS RELATING TO PETITION AND ORDER FOR RELIEF Rule 1002. Commencement of Case (a) PETITION. A petition commencing a case under the Code shall be filed with the clerk. (b) TRANSMISSION TO UNITED STATES TRUSTEE. The clerk shall forthwith transmit to the United States trustee a copy of the petition filed pursuant to subdivision (a) of this rule. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 1003. Involuntary Petition (a) TRANSFEROR OR TRANSFEREE OF CLAIM. A transferor or transferee of a claim shall annex to the original and each copy of the petition a copy of all documents evidencing the transfer, whether transferred unconditionally, for security, or otherwise, and a signed statement that the claim was not transferred for the purpose of commencing the case and setting forth the consideration for and terms of the transfer. An entity that has transferred or acquired a claim for the purpose of commencing a case for liquidation under chapter 7 or for reorganization under chapter 11 shall not be a qualified petitioner. (b) JOINDER OF PETITIONERS AFTER FILING. If the answer to an involuntary petition filed by fewer than three creditors avers the existence of 12 or more creditors, the debtor shall file with the answer a list of all creditors with their addresses, a brief statement of the nature of their claims, and the amounts thereof. If it appears that there are 12 or more creditors as provided in § 303(b) of the Code, the court shall afford a reasonable opportunity for other creditors to join in the petition before a hearing is held thereon. (As amended Mar. 30, 1987, eff. Aug. 1, 1987.) Rule 1004. Involuntary Petition Against a Partnership After filing of an involuntary petition under § 303(b)(3) of the Code, (1) the petitioning partners or other petitioners shall promptly send to or serve on each general partner who is not a petitioner a copy of the petition; and (2) the clerk shall promptly issue a summons for service on each general partner who is not a petitioner. Rule 1010 applies to the form and service of the summons. (As amended Apr. 29, 2002, eff. Dec. 1, 2002.) Rule 1004.1. Petition for an Infant or Incompetent Person If an infant or incompetent person has a representative, including a general guardian, committee, conservator, or similar fiduciary, the representative may file a voluntary petition on behalf of the infant or incompetent person. An infant or incompetent person who does not have a duly appointed representative may file a voluntary petition by next friend or guardian ad litem. The court shall appoint a guardian ad litem for an infant or incompetent person who is a debtor and is not otherwise represented or shall make any other order to protect the infant or incompetent debtor. (Added Apr. 29, 2002, eff. Dec. 1, 2002.) Rule 1004.2. Petition in Chapter 15 Cases (a) DESIGNATING CENTER OF MAIN INTERESTS. A petition for recognition of a foreign proceeding under chapter 15 of the Code shall state the country where the debtor has its center of main interests. The petition shall also identify each country in which a foreign proceeding by, regarding, or against the debtor is pending. (b) CHALLENGING DESIGNATION. The United States trustee or a party in interest may file a motion for a determination that the debtor’s center of main interests is other than as stated in the petition for recognition commencing the chapter 15 case. Unless the court orders otherwise, the motion shall be filed no later than seven days before the date set for the hearing on the petition. The motion shall be transmitted to the United States trustee and served on the debtor, all persons or bodies authorized to administer foreign proceedings of the debtor, all entities against whom provisional relief is being sought under § 1519 of the Code, all parties to litigation pending in the United States in which the debtor was a party as of the time the petition was filed, and such other entities as the court may direct. (Added Apr. 26, 2011, eff. Dec. 1, 2011.) Rule 1005. Caption of Petition The caption of a petition commencing a case under the Code shall contain the name of the court, the title of the case, and the docket number. The title of the case shall include the following information about the debtor: name, employer identification number, last four digits of the social-security number or individual debtor’s taxpayer-identification number, any other federal taxpayer-identification number, and all other names used within eight years before filing the petition. If the petition is not filed by 3 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1007 the debtor, it shall include all names used by the debtor which are known to the petitioners. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 1006. Filing Fee (a) GENERAL REQUIREMENT. Every petition shall be accompanied by the filing fee except as provided in subdivisions (b) and (c) of this rule. For the purpose of this rule, ‘‘filing fee’’ means the filing fee prescribed by 28 U.S.C. § 1930(a)(1)–(a)(5) and any other fee prescribed by the Judicial Conference of the United States under 28 U.S.C. § 1930(b) that is payable to the clerk upon the commencement of a case under the Code. (b) PAYMENT OF FILING FEE IN INSTALLMENTS. (1) Application to Pay Filing Fee in Installments. A voluntary petition by an individual shall be accepted for filing, regardless of whether any portion of the filing fee is paid, if accompanied by the debtor’s signed application, prepared as prescribed by the appropriate Official Form, stating that the debtor is unable to pay the filing fee except in installments. (2) Action on Application. Prior to the meeting of creditors, the court may order the filing fee paid to the clerk or grant leave to pay in installments and fix the number, amount and dates of payment. The number of installments shall not exceed four, and the final installment shall be payable not later than 120 days after filing the petition. For cause shown, the court may extend the time of any installment, provided the last installment is paid not later than 180 days after filing the petition. (3) Postponement of Attorney’s Fees. All installments of the filing fee must be paid in full before the debtor or chapter 13 trustee may make further payments to an attorney or any other person who renders services to the debtor in connection with the case. (c) WAIVER OF FILING FEE. A voluntary chapter 7 petition filed by an individual shall be accepted for filing if accompanied by the debtor’s application requesting a waiver under 28 U.S.C. § 1930(f), prepared as prescribed by the appropriate Official Form. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 23, 2008, eff. Dec. 1, 2008; Apr. 27, 2017, eff. Dec. 1, 2017.) Rule 1007. Lists, Schedules, Statements, and Other Documents; Time Limits (a) CORPORATE OWNERSHIP STATEMENT, LIST OF CREDITORS AND EQUITY SECURITY HOLDERS, AND OTHER LISTS. (1) Voluntary Case. In a voluntary case, the debtor shall file with the petition a list containing the name and address of each entity included or to be included on Schedules D, E/F, G, and H as prescribed by the Official Forms. If the debtor is a corporation, other than a governmental unit, the debtor shall file with the petition a corporate ownership statement containing the information described in Rule 7007.1. The debtor shall file a supplemental statement promptly upon any change in circumstances that renders the corporate ownership statement inaccurate. Rule 1007 FEDERAL RULES OF BANKRUPTCY PROCEDURE 4 (2) Involuntary Case. In an involuntary case, the debtor shall file, within seven days after entry of the order for relief, a list containing the name and address of each entity included or to be included on Schedules D, E/F, G, and H as prescribed by the Official Forms. (3) Equity Security Holders. In a chapter 11 reorganization case, unless the court orders otherwise, the debtor shall file within 14 days after entry of the order for relief a list of the debtor’s equity security holders of each class showing the number and kind of interests registered in the name of each holder, and the last known address or place of business of each holder. (4) Chapter 15 Case. In addition to the documents required under § 1515 of the Code, a foreign representative filing a petition for recognition under chapter 15 shall file with the petition: (A) a corporate ownership statement containing the information described in Rule 7007.1; and (B) unless the court orders otherwise, a list containing the names and addresses of all persons or bodies authorized to administer foreign proceedings of the debtor, all parties to litigation pending in the United States in which the debtor is a party at the time of the filing of the petition, and all entities against whom provisional relief is being sought under § 1519 of the Code. (5) Extension of Time. Any extension of time for the filing of the lists required by this subdivision may be granted only on motion for cause shown and on notice to the United States trustee and to any trustee, committee elected under § 705 or appointed under § 1102 of the Code, or other party as the court may direct. (b) SCHEDULES, STATEMENTS, AND OTHER DOCUMENTS REQUIRED. (1) Except in a chapter 9 municipality case, the debtor, unless the court orders otherwise, shall file the following schedules, statements, and other documents, prepared as prescribed by the appropriate Official Forms, if any: (A) schedules of assets and liabilities; (B) a schedule of current income and expenditures; (C) a schedule of executory contracts and unexpired leases; (D) a statement of financial affairs; (E) copies of all payment advices or other evidence of payment, if any, received by the debtor from an employer within 60 days before the filing of the petition, with redaction of all but the last four digits of the debtor’s social-security number or individual taxpayer-identification number; and (F) a record of any interest that the debtor has in an account or program of the type specified in § 521(c) of the Code. (2) An individual debtor in a chapter 7 case shall file a statement of intention as required by § 521(a) of the Code, prepared as prescribed by the appropriate Official Form. A copy of the statement of intention shall be served on the trustee and the creditors named in the statement on or before the filing of the statement. 5 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1007 (3) Unless the United States trustee has determined that the credit counseling requirement of § 109(h) does not apply in the district, an individual debtor must file a statement of compliance with the credit counseling requirement, prepared as prescribed by the appropriate Official Form which must include one of the following: (A) an attached certificate and debt repayment plan, if any, required by § 521(b); (B) a statement that the debtor has received the credit counseling briefing required by § 109(h)(1) but does not have the certificate required by § 521(b); (C) a certification under § 109(h)(3); or (D) a request for a determination by the court under § 109(h)(4). (4) Unless § 707(b)(2)(D) applies, an individual debtor in a chapter 7 case shall file a statement of current monthly income prepared as prescribed by the appropriate Official Form, and, if the current monthly income exceeds the median family income for the applicable state and household size, the information, including calculations, required by § 707(b), prepared as prescribed by the appropriate Official Form. (5) An individual debtor in a chapter 11 case shall file a statement of current monthly income, prepared as prescribed by the appropriate Official Form. (6) A debtor in a chapter 13 case shall file a statement of current monthly income, prepared as prescribed by the appropriate Official Form, and, if the current monthly income exceeds the median family income for the applicable state and household size, a calculation of disposable income made in accordance with § 1325(b)(3), prepared as prescribed by the appropriate Official Form. (7) Unless an approved provider of an instructional course concerning personal financial management has notified the court that a debtor has completed the course after filing the petition: (A) An individual debtor in a chapter 7 or chapter 13 case shall file a statement of completion of the course, prepared as prescribed by the appropriate Official Form; and (B) An individual debtor in a chapter 11 case shall file the statement if § 1141(d)(3) applies. (8) If an individual debtor in a chapter 11, 12, or 13 case has claimed an exemption under § 522(b)(3)(A) in property of the kind described in § 522(p)(1) with a value in excess of the amount set out in § 522(q)(1), the debtor shall file a statement as to whether there is any proceeding pending in which the debtor may be found guilty of a felony of a kind described in § 522(q)(1)(A) or found liable for a debt of the kind described in § 522(q)(1)(B). (c) TIME LIMITS. In a voluntary case, the schedules, statements, and other documents required by subdivision (b)(1), (4), (5), and (6) shall be filed with the petition or within 14 days thereafter, except as otherwise provided in subdivisions (d), (e), (f), and (h) of this rule. In an involuntary case, the schedules, statements, and other Rule 1007 FEDERAL RULES OF BANKRUPTCY PROCEDURE 6 1So in original. Probably should be only one section symbol. documents required by subdivision (b)(1) shall be filed by the debtor within 14 days after the entry of the order for relief. In a voluntary case, the documents required by paragraphs (A), (C), and (D) of subdivision (b)(3) shall be filed with the petition. Unless the court orders otherwise, a debtor who has filed a statement under subdivision (b)(3)(B), shall file the documents required by subdivision (b)(3)(A) within 14 days of the order for relief. In a chapter 7 case, the debtor shall file the statement required by subdivision (b)(7) within 60 days after the first date set for the meeting of creditors under § 341 of the Code, and in a chapter 11 or 13 case no later than the date when the last payment was made by the debtor as required by the plan or the filing of a motion for a discharge under § 1141(d)(5)(B) or § 1328(b) of the Code. The court may, at any time and in its discretion, enlarge the time to file the statement required by subdivision (b)(7). The debtor shall file the statement required by subdivision (b)(8) no earlier than the date of the last payment made under the plan or the date of the filing of a motion for a discharge under §§ 1141(d)(5)(B),1 1228(b), or 1328(b) of the Code. Lists, schedules, statements, and other documents filed prior to the conversion of a case to another chapter shall be deemed filed in the converted case unless the court directs otherwise. Except as provided in § 1116(3), any extension of time to file schedules, statements, and other documents required under this rule may be granted only on motion for cause shown and on notice to the United States trustee, any committee elected under § 705 or appointed under § 1102 of the Code, trustee, examiner, or other party as the court may direct. Notice of an extension shall be given to the United States trustee and to any committee, trustee, or other party as the court may direct. (d) LIST OF 20 LARGEST CREDITORS IN CHAPTER 9 MUNICIPALITY CASE OR CHAPTER 11 REORGANIZATION CASE. In addition to the list required by subdivision (a) of this rule, a debtor in a chapter 9 municipality case or a debtor in a voluntary chapter 11 reorganization case shall file with the petition a list containing the name, address and claim of the creditors that hold the 20 largest unsecured claims, excluding insiders, as prescribed by the appropriate Official Form. In an involuntary chapter 11 reorganization case, such list shall be filed by the debtor within 2 days after entry of the order for relief under § 303(h) of the Code. (e) LIST IN CHAPTER 9 MUNICIPALITY CASES. The list required by subdivision (a) of this rule shall be filed by the debtor in a chapter 9 municipality case within such time as the court shall fix. If a proposed plan requires a revision of assessments so that the proportion of special assessments or special taxes to be assessed against some real property will be different from the proportion in effect at the date the petition is filed, the debtor shall also file a list showing the name and address of each known holder of title, legal or equitable, to real property adversely affected. On motion for cause shown, the court may modify the requirements of this subdivision and subdivision (a) of this rule. 7 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1007 (f) STATEMENT OF SOCIAL SECURITY NUMBER. An individual debtor shall submit a verified statement that sets out the debtor’s social security number, or states that the debtor does not have a social security number. In a voluntary case, the debtor shall submit the statement with the petition. In an involuntary case, the debtor shall submit the statement within 14 days after the entry of the order for relief. (g) PARTNERSHIP AND PARTNERS. The general partners of a debtor partnership shall prepare and file the list required under subdivision (a), schedules of the assets and liabilities, schedule of current income and expenditures, schedule of executory contracts and unexpired leases, and statement of financial affairs of the partnership. The court may order any general partner to file a statement of personal assets and liabilities within such time as the court may fix. (h) INTERESTS ACQUIRED OR ARISING AFTER PETITION. If, as provided by § 541(a)(5) of the Code, the debtor acquires or becomes entitled to acquire any interest in property, the debtor shall within 14 days after the information comes to the debtor’s knowledge or within such further time the court may allow, file a supplemental schedule in the chapter 7 liquidation case, chapter 11 reorganization case, chapter 12 family farmer’s debt adjustment case, or chapter 13 individual debt adjustment case. If any of the property required to be reported under this subdivision is claimed by the debtor as exempt, the debtor shall claim the exemptions in the supplemental schedule. The duty to file a supplemental schedule in accordance with this subdivision continues notwithstanding the closing of the case, except that the schedule need not be filed in a chapter 11, chapter 12, or chapter 13 case with respect to property acquired after entry of the order confirming a chapter 11 plan or discharging the debtor in a chapter 12 or chapter 13 case. (i) DISCLOSURE OF LIST OF SECURITY HOLDERS. After notice and hearing and for cause shown, the court may direct an entity other than the debtor or trustee to disclose any list of security holders of the debtor in its possession or under its control, indicating the name, address and security held by any of them. The entity possessing this list may be required either to produce the list or a true copy thereof, or permit inspection or copying, or otherwise disclose the information contained on the list. (j) IMPOUNDING OF LISTS. On motion of a party in interest and for cause shown the court may direct the impounding of the lists filed under this rule, and may refuse to permit inspection by any entity. The court may permit inspection or use of the lists, however, by any party in interest on terms prescribed by the court. (k) PREPARATION OF LIST, SCHEDULES, OR STATEMENTS ON DEFAULT OF DEBTOR. If a list, schedule, or statement, other than a statement of intention, is not prepared and filed as required by this rule, the court may order the trustee, a petitioning creditor, committee, or other party to prepare and file any of these papers within a time fixed by the court. The court may approve reimbursement of the cost incurred in complying with such an order as an administrative expense. (l) TRANSMISSION TO UNITED STATES TRUSTEE. The clerk shall forthwith transmit to the United States trustee a copy of every list, schedule, and statement filed pursuant to subdivision (a)(1), (a)(2), (b), (d), or (h) of this rule. (m) INFANTS AND INCOMPETENT PERSONS. If the debtor knows that a person on the list of creditors or schedules is an infant or incompetent person, the debtor also shall include the name, address, and legal relationship of any person upon whom process would be served in an adversary proceeding against the infant or incompetent person in accordance with Rule 7004(b)(2). (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 23, 2001, eff. Dec. 1, 2001; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 25, 2005, eff. Dec. 1, 2005; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2010, eff. Dec. 1, 2010; Apr. 23, 2012, eff. Dec. 1, 2012: Apr. 16, 2013, eff. Dec. 1, 2013; Apr. 29, 2015, eff. Dec. 1, 2015.) Rule 1008. Verification of Petitions and Accompanying Papers All petitions, lists, schedules, statements and amendments thereto shall be verified or contain an unsworn declaration as provided in 28 U.S.C. § 1746. (As amended Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 1009. Amendments of Voluntary Petitions, Lists, Schedules and Statements (a) GENERAL RIGHT TO AMEND. A voluntary petition, list, schedule, or statement may be amended by the debtor as a matter of course at any time before the case is closed. The debtor shall give notice of the amendment to the trustee and to any entity affected thereby. On motion of a party in interest, after notice and a hearing, the court may order any voluntary petition, list, schedule, or statement to be amended and the clerk shall give notice of the amendment to entities designated by the court. (b) STATEMENT OF INTENTION. The statement of intention may be amended by the debtor at any time before the expiration of the period provided in § 521(a) of the Code. The debtor shall give notice of the amendment to the trustee and to any entity affected thereby. (c) STATEMENT OF SOCIAL SECURITY NUMBER. If a debtor becomes aware that the statement of social security number submitted under Rule 1007(f) is incorrect, the debtor shall promptly submit an amended verified statement setting forth the correct social security number. The debtor shall give notice of the amendment to all of the entities required to be included on the list filed under Rule 1007(a)(1) or (a)(2). (d) TRANSMISSION TO UNITED STATES TRUSTEE. The clerk shall promptly transmit to the United States trustee a copy of every amendment filed or submitted under subdivision (a), (b), or (c) of this rule. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 12, 2006, eff. Dec. 1, 2006; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 1010. Service of Involuntary Petition and Summons (a) SERVICE OF INVOLUNTARY PETITION AND SUMMONS. On the filing of an involuntary petition, the clerk shall forthwith issue a summons for service. When an involuntary petition is filed, service shall be made on the debtor. The summons shall be served with a copy of the petition in the manner provided for service of a summons and complaint by Rule 7004(a) or (b). If service cannot be so made, the court may order that the summons and petition be served by mailing copies to the party’s last known address, and by at least one publication in a manner and form directed by the court. The summons and petition may be served on the party anywhere. Rule 7004(e) and Rule 4(l) F.R.Civ.P. apply when service is made or attempted under this rule. (b) CORPORATE OWNERSHIP STATEMENT. Each petitioner that is a corporation shall file with the involuntary petition a corporate ownership statement containing the information described in Rule 7007.1. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 23, 2008, eff. Dec. 1, 2008; Apr. 28, 2016, eff. Dec. 1, 2016.) Rule 1011. Responsive Pleading or Motion in Involuntary Cases (a) WHO MAY CONTEST PETITION. The debtor named in an involuntary petition may contest the petition. In the case of a petition against a partnership under Rule 1004, a nonpetitioning general partner, or a person who is alleged to be a general partner but denies the allegation, may contest the petition. (b) DEFENSES AND OBJECTIONS; WHEN PRESENTED. Defenses and objections to the petition shall be presented in the manner prescribed by Rule 12 F.R.Civ.P. and shall be filed and served within 21 days after service of the summons, except that if service is made by publication on a party or partner not residing or found within the state in which the court sits, the court shall prescribe the time for filing and serving the response. (c) EFFECT OF MOTION. Service of a motion under Rule 12(b) F.R.Civ.P. shall extend the time for filing and serving a responsive pleading as permitted by Rule 12(a) F.R.Civ.P. (d) CLAIMS AGAINST PETITIONERS. A claim against a petitioning creditor may not be asserted in the answer except for the purpose of defeating the petition. (e) OTHER PLEADINGS. No other pleadings shall be permitted, except that the court may order a reply to an answer and prescribe the time for filing and service. (f) CORPORATE OWNERSHIP STATEMENT. If the entity responding to the involuntary petition is a corporation, the entity shall file with its first appearance, pleading, motion, response, or other request addressed to the court a corporate ownership statement containing the information described in Rule 7007.1. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 26, 2004, eff. Dec. 1, 2004; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2016, eff. Dec. 1, 2016.) Rule 1012. Responsive Pleading in Cross-Border Cases (a) WHO MAY CONTEST PETITION. The debtor or any party in interest may contest a petition for recognition of a foreign proceeding. (b) OBJECTIONS AND RESPONSES; WHEN PRESENTED. Objections and other responses to the petition shall be presented no later Rule 1013 FEDERAL RULES OF BANKRUPTCY PROCEDURE 10 than seven days before the date set for the hearing on the petition, unless the court prescribes some other time or manner for responses. (c) CORPORATE OWNERSHIP STATEMENT. If the entity responding to the petition is a corporation, then the entity shall file a corporate ownership statement containing the information described in Rule 7007.1 with its first appearance, pleading, motion, response, or other request addressed to the court. (Added Apr. 28, 2016, eff. Dec. 1, 2016.) Rule 1013. Hearing and Disposition of a Petition in an Involuntary Case (a) CONTESTED PETITION. The court shall determine the issues of a contested petition at the earliest practicable time and forthwith enter an order for relief, dismiss the petition, or enter any other appropriate order. (b) DEFAULT. If no pleading or other defense to a petition is filed within the time provided by Rule 1011, the court, on the next day, or as soon thereafter as practicable, shall enter an order for the relief requested in the petition. [(c) ORDER FOR RELIEF] (Abrogated Apr. 22, 1993, eff. Aug. 1, 1993) (As amended Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993.) Rule 1014. Dismissal and Change of Venue (a) DISMISSAL AND TRANSFER OF CASES. (1) Cases Filed in Proper District. If a petition is filed in the proper district, the court, on the timely motion of a party in interest or on its own motion, and after hearing on notice to the petitioners, the United States trustee, and other entities as directed by the court, may transfer the case to any other district if the court determines that the transfer is in the interest of justice or for the convenience of the parties. (2) Cases Filed in Improper District. If a petition is filed in an improper district, the court, on the timely motion of a party in interest or on its own motion, and after hearing on notice to the petitioners, the United States trustee, and other entities as directed by the court, may dismiss the case or transfer it to any other district if the court determines that transfer is in the interest of justice or for the convenience of the parties. (b) PROCEDURE WHEN PETITIONS INVOLVING THE SAME DEBTOR OR RELATED DEBTORS ARE FILED IN DIFFERENT COURTS. If petitions commencing cases under the Code or seeking recognition under chapter 15 are filed in different districts by, regarding, or against (1) the same debtor, (2) a partnership and one or more of its general partners, (3) two or more general partners, or (4) a debtor and an affiliate, the court in the district in which the first-filed petition is pending may determine, in the interest of justice or for the convenience of the parties, the district or districts in which any of the cases should proceed. The court may so determine on motion and after a hearing, with notice to the following entities in the affected cases: the United States trustee, entities entitled to notice under Rule 2002(a), and other entities as the court directs. 11 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1017 The court may order the parties to the later-filed cases not to proceed further until it makes the determination. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 30, 2007, eff. Dec. 1, 2007; Apr. 28, 2010, eff. Dec. 1, 2010; Apr. 25, 2014, eff. Dec. 1, 2014.) Rule 1015. Consolidation or Joint Administration of Cases Pending in Same Court (a) CASES INVOLVING SAME DEBTOR. If two or more petitions by, regarding, or against the same debtor are pending in the same court, the court may order consolidation of the cases. (b) CASES INVOLVING TWO OR MORE RELATED DEBTORS. If a joint petition or two or more petitions are pending in the same court by or against (1) spouses, or (2) a partnership and one or more of its general partners, or (3) two or more general partners, or (4) a debtor and an affiliate, the court may order a joint administration of the estates. Prior to entering an order the court shall give consideration to protecting creditors of different estates against potential conflicts of interest. An order directing joint administration of individual cases of spouses shall, if one spouse has elected the exemptions under § 522(b)(2) of the Code and the other has elected the exemptions under § 522(b)(3), fix a reasonable time within which either may amend the election so that both shall have elected the same exemptions. The order shall notify the debtors that unless they elect the same exemptions within the time fixed by the court, they will be deemed to have elected the exemptions provided by § 522(b)(2). (c) EXPEDITING AND PROTECTIVE ORDERS. When an order for consolidation or joint administration of a joint case or two or more cases is entered pursuant to this rule, while protecting the rights of the parties under the Code, the court may enter orders as may tend to avoid unnecessary costs and delay. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 23, 2008, eff. Dec. 1, 2008; Apr. 28, 2010, eff. Dec. 1, 2010; Apr. 27, 2017, eff. Dec. 1, 2017.) Rule 1016. Death or Incompetency of Debtor Death or incompetency of the debtor shall not abate a liquidation case under chapter 7 of the Code. In such event the estate shall be administered and the case concluded in the same manner, so far as possible, as though the death or incompetency had not occurred. If a reorganization, family farmer’s debt adjustment, or individual’s debt adjustment case is pending under chapter 11, chapter 12, or chapter 13, the case may be dismissed; or if further administration is possible and in the best interest of the parties, the case may proceed and be concluded in the same manner, so far as possible, as though the death or incompetency had not occurred. (As amended Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 1017. Dismissal or Conversion of Case; Suspension (a) VOLUNTARY DISMISSAL; DISMISSAL FOR WANT OF PROSECUTION OR OTHER CAUSE. Except as provided in §§ 707(a)(3), 707(b), 1208(b), and 1307(b) of the Code, and in Rule 1017(b), (c), and (e), a case Rule 1017 FEDERAL RULES OF BANKRUPTCY PROCEDURE 12 shall not be dismissed on motion of the petitioner, for want of prosecution or other cause, or by consent of the parties, before a hearing on notice as provided in Rule 2002. For the purpose of the notice, the debtor shall file a list of creditors with their addresses within the time fixed by the court unless the list was previously filed. If the debtor fails to file the list, the court may order the debtor or another entity to prepare and file it. (b) DISMISSAL FOR FAILURE TO PAY FILING FEE. (1) If any installment of the filing fee has not been paid, the court may, after a hearing on notice to the debtor and the trustee, dismiss the case. (2) If the case is dismissed or closed without full payment of the filing fee, the installments collected shall be distributed in the same manner and proportions as if the filing fee had been paid in full. (c) DISMISSAL OF VOLUNTARY CHAPTER 7 OR CHAPTER 13 CASE FOR FAILURE TO TIMELY FILE LIST OF CREDITORS, SCHEDULES, AND STATEMENT OF FINANCIAL AFFAIRS. The court may dismiss a voluntary chapter 7 or chapter 13 case under § 707(a)(3) or § 1307(c)(9) after a hearing on notice served by the United States trustee on the debtor, the trustee, and any other entities as the court directs. (d) SUSPENSION. The court shall not dismiss a case or suspend proceedings under § 305 before a hearing on notice as provided in Rule 2002(a). (e) DISMISSAL OF AN INDIVIDUAL DEBTOR’S CHAPTER 7 CASE, OR CONVERSION TO A CASE UNDER CHAPTER 11 OR 13, FOR ABUSE. The court may dismiss or, with the debtor’s consent, convert an individual debtor’s case for abuse under § 707(b) only on motion and after a hearing on notice to the debtor, the trustee, the United States trustee, and any other entity as the court directs. (1) Except as otherwise provided in § 704(b)(2), a motion to dismiss a case for abuse under § 707(b) or (c) may be filed only within 60 days after the first date set for the meeting of creditors under § 341(a), unless, on request filed before the time has expired, the court for cause extends the time for filing the motion to dismiss. The party filing the motion shall set forth in the motion all matters to be considered at the hearing. In addition, a motion to dismiss under § 707(b)(1) and (3) shall state with particularity the circumstances alleged to constitute abuse. (2) If the hearing is set on the court’s own motion, notice of the hearing shall be served on the debtor no later than 60 days after the first date set for the meeting of creditors under § 341(a). The notice shall set forth all matters to be considered by the court at the hearing. (f) PROCEDURE FOR DISMISSAL, CONVERSION, OR SUSPENSION. (1) Rule 9014 governs a proceeding to dismiss or suspend a case, or to convert a case to another chapter, except under §§ 706(a), 1112(a), 1208(a) or (b), or 1307(a) or (b). (2) Conversion or dismissal under §§ 706(a), 1112(a), 1208(b), or 1307(b) shall be on motion filed and served as required by Rule 9013. (3) A chapter 12 or chapter 13 case shall be converted without court order when the debtor files a notice of conversion under 13 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1019 §§ 1208(a) or 1307(a). The filing date of the notice becomes the date of the conversion order for the purposes of applying § 348(c) and Rule 1019. The clerk shall promptly transmit a copy of the notice to the United States trustee. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 26, 1999, eff. Dec. 1, 1999; Apr. 17, 2000, eff. Dec. 1, 2000; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 1018. Contested Involuntary Petitions; Contested Petitions Commencing Chapter 15 Cases; Proceedings to Vacate Order for Relief; Applicability of Rules in Part VII Governing Adversary Proceedings Unless the court otherwise directs and except as otherwise prescribed in Part I of these rules, the following rules in Part VII apply to all proceedings contesting an involuntary petition or a chapter 15 petition for recognition, and to all proceedings to vacate an order for relief: Rules 7005, 7008–7010, 7015, 7016, 7024–7026, 7028–7037, 7052, 7054, 7056, and 7062. The court may direct that other rules in Part VII shall also apply. For the purposes of this rule a reference in the Part VII rules to adversary proceedings shall be read as a reference to proceedings contesting an involuntary petition or a chapter 15 petition for recognition, or proceedings to vacate an order for relief. Reference in the Federal Rules of Civil Procedure to the complaint shall be read as a reference to the petition. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 28, 2010, eff. Dec. 1, 2010.) Rule 1019. Conversion of a Chapter 11 Reorganization Case, Chapter 12 Family Farmer’s Debt Adjustment Case, or Chapter 13 Individual’s Debt Adjustment Case to a Chapter 7 Liquidation Case When a chapter 11, chapter 12, or chapter 13 case has been converted or reconverted to a chapter 7 case: (1) Filing of Lists, Inventories, Schedules, Statements. (A) Lists, inventories, schedules, and statements of financial affairs theretofore filed shall be deemed to be filed in the chapter 7 case, unless the court directs otherwise. If they have not been previously filed, the debtor shall comply with Rule 1007 as if an order for relief had been entered on an involuntary petition on the date of the entry of the order directing that the case continue under chapter 7. (B) If a statement of intention is required, it shall be filed within 30 days after entry of the order of conversion or before the first date set for the meeting of creditors, whichever is earlier. The court may grant an extension of time for cause only on written motion filed, or oral request made during a hearing, before the time has expired. Notice of an extension shall be given to the United States trustee and to any committee, trustee, or other party as the court may direct. (2) New Filing Periods. (A) A new time period for filing a motion under § 707(b) or (c), a claim, a complaint objecting to discharge, or a Rule 1019 FEDERAL RULES OF BANKRUPTCY PROCEDURE 14 1So in original. Probably should be ‘‘Rule’’. complaint to obtain a determination of dischargeability of any debt shall commence under Rules 1 1017, 3002, 4004, or 4007, but a new time period shall not commence if a chapter 7 case had been converted to a chapter 11, 12, or 13 case and thereafter reconverted to a chapter 7 case and the time for filing a motion under § 707(b) or (c), a claim, a complaint objecting to discharge, or a complaint to obtain a determination of the dischargeability of any debt, or any extension thereof, expired in the original chapter 7 case. (B) A new time period for filing an objection to a claim of exemptions shall commence under Rule 4003(b) after conversion of a case to chapter 7 unless: (i) the case was converted to chapter 7 more than one year after the entry of the first order confirming a plan under chapter 11, 12, or 13; or (ii) the case was previously pending in chapter 7 and the time to object to a claimed exemption had expired in the original chapter 7 case. (3) Claims Filed Before Conversion. All claims actually filed by a creditor before conversion of the case are deemed filed in the chapter 7 case. (4) Turnover of Records and Property. After qualification of, or assumption of duties by the chapter 7 trustee, any debtor in possession or trustee previously acting in the chapter 11, 12, or 13 case shall, forthwith, unless otherwise ordered, turn over to the chapter 7 trustee all records and property of the estate in the possession or control of the debtor in possession or trustee. (5) Filing Final Report and Schedule of Postpetition Debts. (A) Conversion of Chapter 11 or Chapter 12 Case. Unless the court directs otherwise, if a chapter 11 or chapter 12 case is converted to chapter 7, the debtor in possession or, if the debtor is not a debtor in possession, the trustee serving at the time of conversion, shall: (i) not later than 14 days after conversion of the case, file a schedule of unpaid debts incurred after the filing of the petition and before conversion of the case, including the name and address of each holder of a claim; and (ii) not later than 30 days after conversion of the case, file and transmit to the United States trustee a final report and account; (B) Conversion of Chapter 13 Case. Unless the court directs otherwise, if a chapter 13 case is converted to chapter 7, (i) the debtor, not later than 14 days after conversion of the case, shall file a schedule of unpaid debts incurred after the filing of the petition and before conversion of the case, including the name and address of each holder of a claim; and (ii) the trustee, not later than 30 days after conversion of the case, shall file and transmit to the United States trustee a final report and account; 15 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 1020 (C) Conversion After Confirmation of a Plan. Unless the court orders otherwise, if a chapter 11, chapter 12, or chapter 13 case is converted to chapter 7 after confirmation of a plan, the debtor shall file: (i) a schedule of property not listed in the final report and account acquired after the filing of the petition but before conversion, except if the case is converted from chapter 13 to chapter 7 and § 348(f)(2) does not apply; (ii) a schedule of unpaid debts not listed in the final report and account incurred after confirmation but before the conversion; and (iii) a schedule of executory contracts and unexpired leases entered into or assumed after the filing of the petition but before conversion. (D) Transmission to United States Trustee. The clerk shall forthwith transmit to the United States trustee a copy of every schedule filed pursuant to Rule 1019(5). (6) Postpetition Claims; Preconversion Administrative Expenses; Notice. A request for payment of an administrative expense incurred before conversion of the case is timely filed under § 503(a) of the Code if it is filed before conversion or a time fixed by the court. If the request is filed by a governmental unit, it is timely if it is filed before conversion or within the later of a time fixed by the court or 180 days after the date of the conversion. A claim of a kind specified in § 348(d) may be filed in accordance with Rules 3001(a)–(d) and 3002. Upon the filing of the schedule of unpaid debts incurred after commencement of the case and before conversion, the clerk, or some other person as the court may direct, shall give notice to those entities listed on the schedule of the time for filing a request for payment of an administrative expense and, unless a notice of insufficient assets to pay a dividend is mailed in accordance with Rule 2002(e), the time for filing a claim of a kind specified in § 348(d). (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 26, 1999, eff. Dec. 1, 1999; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2010, eff. Dec. 1, 2010.) Rule 1020. Small Business Chapter 11 Reorganization Case (a) SMALL BUSINESS DEBTOR DESIGNATION. In a voluntary chapter 11 case, the debtor shall state in the petition whether the debtor is a small business debtor. In an involuntary chapter 11 case, the debtor shall file within 14 days after entry of the order for relief a statement as to whether the debtor is a small business debtor. Except as provided in subdivision (c), the status of the case as a small business case shall be in accordance with the debtor’s statement under this subdivision, unless and until the court enters an order finding that the debtor’s statement is incorrect. (b) OBJECTING TO DESIGNATION. Except as provided in subdivision (c), the United States trustee or a party in interest may file an objection to the debtor’s statement under subdivision (a) no later than 30 days after the conclusion of the meeting of creditors held Rule 1021 FEDERAL RULES OF BANKRUPTCY PROCEDURE 16 under § 341(a) of the Code, or within 30 days after any amendment to the statement, whichever is later. (c) APPOINTMENT OF COMMITTEE OF UNSECURED CREDITORS. If a committee of unsecured creditors has been appointed under § 1102(a)(1), the case shall proceed as a small business case only if, and from the time when, the court enters an order determining that the committee has not been sufficiently active and representative to provide effective oversight of the debtor and that the debtor satisfies all the other requirements for being a small business. A request for a determination under this subdivision may be filed by the United States trustee or a party in interest only within a reasonable time after the failure of the committee to be sufficiently active and representative. The debtor may file a request for a determination at any time as to whether the committee has been sufficiently active and representative. (d) PROCEDURE FOR OBJECTION OR DETERMINATION. Any objection or request for a determination under this rule shall be governed by Rule 9014 and served on: the debtor; the debtor’s attorney; the United States trustee; the trustee; any committee appointed under § 1102 or its authorized agent, or, if no committee of unsecured creditors has been appointed under § 1102, the creditors included on the list filed under Rule 1007(d); and any other entity as the court directs. (Added Apr. 11, 1997, eff. Dec. 1, 1997; amended Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 1021. Health Care Business Case (a) HEALTH CARE BUSINESS DESIGNATION. Unless the court orders otherwise, if a petition in a case under chapter 7, chapter 9, or chapter 11 states that the debtor is a health care business, the case shall proceed as a case in which the debtor is a health care business. (b) MOTION. The United States trustee or a party in interest may file a motion to determine whether the debtor is a health care business. The motion shall be transmitted to the United States trustee and served on: the debtor; the trustee; any committee elected under § 705 or appointed under § 1102 of the Code or its authorized agent, or, if the case is a chapter 9 municipality case or a chapter 11 reorganization case and no committee of unsecured creditors has been appointed under § 1102, the creditors included on the list filed under Rule 1007(d); and any other entity as the court directs. The motion shall be governed by Rule 9014. (Added Apr. 23, 2008, eff. Dec. 1, 2008.) PART II—OFFICERS AND ADMINISTRATION; NOTICES; MEETINGS; EXAMINATIONS; ELECTIONS; ATTORNEYS AND ACCOUNTANTS Rule 2001. Appointment of Interim Trustee Before Order for Relief in a Chapter 7 Liquidation Case (a) APPOINTMENT. At any time following the commencement of an involuntary liquidation case and before an order for relief, the court on written motion of a party in interest may order the appointment of an interim trustee under § 303(g) of the Code. The 17 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2002 motion shall set forth the necessity for the appointment and may be granted only after hearing on notice to the debtor, the petitioning creditors, the United States trustee, and other parties in interest as the court may designate. (b) BOND OF MOVANT. An interim trustee may not be appointed under this rule unless the movant furnishes a bond in an amount approved by the court, conditioned to indemnify the debtor for costs, attorney’s fee, expenses, and damages allowable under § 303(i) of the Code. (c) ORDER OF APPOINTMENT. The order directing the appointment of an interim trustee shall state the reason the appointment is necessary and shall specify the trustee’s duties. (d) TURNOVER AND REPORT. Following qualification of the trustee selected under § 702 of the Code, the interim trustee, unless otherwise ordered, shall (1) forthwith deliver to the trustee all the records and property of the estate in possession or subject to control of the interim trustee and, (2) within 30 days thereafter file a final report and account. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2002. Notices to Creditors, Equity Security Holders, Administrators in Foreign Proceedings, Persons Against Whom Provisional Relief is Sought in Ancillary and Other Cross-Border Cases, United States, and United States Trustee (a) TWENTY-ONE-DAY NOTICES TO PARTIES IN INTEREST. Except as provided in subdivisions (h), (i), (l), (p), and (q) of this rule, the clerk, or some other person as the court may direct, shall give the debtor, the trustee, all creditors and indenture trustees at least 21 days’ notice by mail of: (1) the meeting of creditors under § 341 or § 1104(b) of the Code, which notice, unless the court orders otherwise, shall include the debtor’s employer identification number, social security number, and any other federal taxpayer identification number; (2) a proposed use, sale, or lease of property of the estate other than in the ordinary course of business, unless the court for cause shown shortens the time or directs another method of giving notice; (3) the hearing on approval of a compromise or settlement of a controversy other than approval of an agreement pursuant to Rule 4001(d), unless the court for cause shown directs that notice not be sent; (4) in a chapter 7 liquidation, a chapter 11 reorganization case, or a chapter 12 family farmer debt adjustment case, the hearing on the dismissal of the case or the conversion of the case to another chapter, unless the hearing is under § 707(a)(3) or § 707(b) or is on dismissal of the case for failure to pay the filing fee; (5) the time fixed to accept or reject a proposed modification of a plan; (6) a hearing on any entity’s request for compensation or reimbursement of expenses if the request exceeds $1,000; (7) the time fixed for filing proofs of claims pursuant to Rule 3003(c); Rule 2002 FEDERAL RULES OF BANKRUPTCY PROCEDURE 18 (8) the time fixed for filing objections and the hearing to consider confirmation of a chapter 12 plan; and (9) the time fixed for filing objections to confirmation of a chapter 13 plan. (b) TWENTY-EIGHT-DAY NOTICES TO PARTIES IN INTEREST. Except as provided in subdivision (l) of this rule, the clerk, or some other person as the court may direct, shall give the debtor, the trustee, all creditors and indenture trustees not less than 28 days’ notice by mail of the time fixed (1) for filing objections and the hearing to consider approval of a disclosure statement or, under § 1125(f), to make a final determination whether the plan provides adequate information so that a separate disclosure statement is not necessary; (2) for filing objections and the hearing to consider confirmation of a chapter 9 or chapter 11 plan; and (3) for the hearing to consider confirmation of a chapter 13 plan. (c) CONTENT OF NOTICE. (1) Proposed Use, Sale, or Lease of Property. Subject to Rule 6004, the notice of a proposed use, sale, or lease of property required by subdivision (a)(2) of this rule shall include the time and place of any public sale, the terms and conditions of any private sale and the time fixed for filing objections. The notice of a proposed use, sale, or lease of property, including real estate, is sufficient if it generally describes the property. The notice of a proposed sale or lease of personally identifiable information under § 363(b)(1) of the Code shall state whether the sale is consistent with any policy prohibiting the transfer of the information. (2) Notice of Hearing on Compensation. The notice of a hearing on an application for compensation or reimbursement of expenses required by subdivision (a)(6) of this rule shall identify the applicant and the amounts requested. (3) Notice of Hearing on Confirmation When Plan Provides for an Injunction. If a plan provides for an injunction against conduct not otherwise enjoined under the Code, the notice required under Rule 2002(b)(2) shall: (A) include in conspicuous language (bold, italic, or underlined text) a statement that the plan proposes an injunction; (B) describe briefly the nature of the injunction; and (C) identify the entities that would be subject to the injunction. (d) NOTICE TO EQUITY SECURITY HOLDERS. In a chapter 11 reorganization case, unless otherwise ordered by the court, the clerk, or some other person as the court may direct, shall in the manner and form directed by the court give notice to all equity security holders of (1) the order for relief; (2) any meeting of equity security holders held pursuant to § 341 of the Code; (3) the hearing on the proposed sale of all or substantially all of the debtor’s assets; (4) the hearing on the dismissal or conversion of a case to another chapter; (5) the time fixed for filing objections to and the hearing to consider approval of a disclosure statement; (6) the time fixed for filing objections to and the hearing to consider confirmation of a plan; and (7) the time fixed to accept or reject a proposed modification of a plan. 19 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2002 (e) NOTICE OF NO DIVIDEND. In a chapter 7 liquidation case, if it appears from the schedules that there are no assets from which a dividend can be paid, the notice of the meeting of creditors may include a statement to that effect; that it is unnecessary to file claims; and that if sufficient assets become available for the payment of a dividend, further notice will be given for the filing of claims. (f) OTHER NOTICES. Except as provided in subdivision (l) of this rule, the clerk, or some other person as the court may direct, shall give the debtor, all creditors, and indenture trustees notice by mail of: (1) the order for relief; (2) the dismissal or the conversion of the case to another chapter, or the suspension of proceedings under § 305; (3) the time allowed for filing claims pursuant to Rule 3002; (4) the time fixed for filing a complaint objecting to the debtor’s discharge pursuant to § 727 of the Code as provided in Rule 4004; (5) the time fixed for filing a complaint to determine the dischargeability of a debt pursuant to § 523 of the Code as provided in Rule 4007; (6) the waiver, denial, or revocation of a discharge as provided in Rule 4006; (7) entry of an order confirming a chapter 9, 11, or 12 plan; (8) a summary of the trustee’s final report in a chapter 7 case if the net proceeds realized exceed $1,500; (9) a notice under Rule 5008 regarding the presumption of abuse; (10) a statement under § 704(b)(1) as to whether the debtor’s case would be presumed to be an abuse under § 707(b); and (11) the time to request a delay in the entry of the discharge under §§ 1141(d)(5)(C), 1228(f), and 1328(h). Notice of the time fixed for accepting or rejecting a plan pursuant to Rule 3017(c) shall be given in accordance with Rule 3017(d). (g) ADDRESSING NOTICES. (1) Notices required to be mailed under Rule 2002 to a creditor, indenture trustee, or equity security holder shall be addressed as such entity or an authorized agent has directed in its last request filed in the particular case. For the purposes of this subdivision— (A) a proof of claim filed by a creditor or indenture trustee that designates a mailing address constitutes a filed request to mail notices to that address, unless a notice of no dividend has been given under Rule 2002(e) and a later notice of possible dividend under Rule 3002(c)(5) has not been given; and (B) a proof of interest filed by an equity security holder that designates a mailing address constitutes a filed request to mail notices to that address. (2) Except as provided in § 342(f) of the Code, if a creditor or indenture trustee has not filed a request designating a mailing address under Rule 2002(g)(1) or Rule 5003(e), the notices shall be mailed to the address shown on the list of creditors or schedule of liabilities, whichever is filed later. If an equity security holder has not filed a request designating a mailing address under Rule 2002(g)(1) or Rule 5003(e), the notices shall be Rule 2002 FEDERAL RULES OF BANKRUPTCY PROCEDURE 20 mailed to the address shown on the list of equity security holders. (3) If a list or schedule filed under Rule 1007 includes the name and address of a legal representative of an infant or incompetent person, and a person other than that representative files a request or proof of claim designating a name and mailing address that differs from the name and address of the representative included in the list or schedule, unless the court orders otherwise, notices under Rule 2002 shall be mailed to the representative included in the list or schedules and to the name and address designated in the request or proof of claim. (4) Notwithstanding Rule 2002(g)(1)–(3), an entity and a notice provider may agree that when the notice provider is directed by the court to give a notice, the notice provider shall give the notice to the entity in the manner agreed to and at the address or addresses the entity supplies to the notice provider. That address is conclusively presumed to be a proper address for the notice. The notice provider’s failure to use the supplied address does not invalidate any notice that is otherwise effective under applicable law. (5) A creditor may treat a notice as not having been brought to the creditor’s attention under § 342(g)(1) only if, prior to issuance of the notice, the creditor has filed a statement that designates the name and address of the person or organizational subdivision of the creditor responsible for receiving notices under the Code, and that describes the procedures established by the creditor to cause such notices to be delivered to the designated person or subdivision. (h) NOTICES TO CREDITORS WHOSE CLAIMS ARE FILED. In a chapter 7 case, after 90 days following the first date set for the meeting of creditors under § 341 of the Code, the court may direct that all notices required by subdivision (a) of this rule be mailed only to the debtor, the trustee, all indenture trustees, creditors that hold claims for which proofs of claim have been filed, and creditors, if any, that are still permitted to file claims by reason of an extension granted pursuant to Rule 3002(c)(1) or (c)(2). In a case where notice of insufficient assets to pay a dividend has been given to creditors pursuant to subdivision (e) of this rule, after 90 days following the mailing of a notice of the time for filing claims pursuant to Rule 3002(c)(5), the court may direct that notices be mailed only to the entities specified in the preceding sentence. (i) NOTICES TO COMMITTEES. Copies of all notices required to be mailed pursuant to this rule shall be mailed to the committees elected under § 705 or appointed under § 1102 of the Code or to their authorized agents. Notwithstanding the foregoing subdivisions, the court may order that notices required by subdivision (a)(2), (3) and (6) of this rule be transmitted to the United States trustee and be mailed only to the committees elected under § 705 or appointed under § 1102 of the Code or to their authorized agents and to the creditors and equity security holders who serve on the trustee or debtor in possession and file a request that all notices be mailed to them. A committee appointed under § 1114 shall receive copies of all notices required by subdivisions (a)(1), (a)(5), (b), (f)(2), and (f)(7), and such other notices as the court may direct. 21 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2002 1So in original. Period probably should not appear. (j) NOTICES TO THE UNITED STATES. Copies of notices required to be mailed to all creditors under this rule shall be mailed (1) in a chapter 11 reorganization case, to the Securities and Exchange Commission at any place the Commission designates, if the Commission has filed either a notice of appearance in the case or a written request to receive notices; (2) in a commodity broker case, to the Commodity Futures Trading Commission at Washington, D.C.; (3) in a chapter 11 case, to the Internal Revenue Service at its address set out in the register maintained under Rule 5003(e) for the district in which the case is pending; (4) if the papers in the case disclose a debt to the United States other than for taxes, to the United States attorney for the district in which the case is pending and to the department, agency, or instrumentality of the United States through which the debtor became indebted; or (5) if the filed papers disclose a stock interest of the United States, to the Secretary of the Treasury at Washington, D.C. (k) NOTICES TO UNITED STATES TRUSTEE. Unless the case is a chapter 9 municipality case or unless the United States trustee requests otherwise, the clerk, or some other person as the court may direct, shall transmit to the United States trustee notice of the matters described in subdivisions (a)(2), (a)(3), (a)(4), (a)(8), (b), (f)(1), (f)(2), (f)(4), (f)(6), (f)(7), (f)(8), and (q) of this rule and notice of hearings on all applications for compensation or reimbursement of expenses. Notices to the United States trustee shall be transmitted within the time prescribed in subdivision (a) or (b) of this rule. The United States trustee shall also receive notice of any other matter if such notice is requested by the United States trustee or ordered by the court. Nothing in these rules requires the clerk or any other person to transmit to the United States trustee any notice, schedule, report, application or other document in a case under the Securities Investor Protection Act, 15 U.S.C. § 78aaa et. 1 seq. (l) NOTICE BY PUBLICATION. The court may order notice by publication if it finds that notice by mail is impracticable or that it is desirable to supplement the notice. (m) ORDERS DESIGNATING MATTER OF NOTICES. The court may from time to time enter orders designating the matters in respect to which, the entity to whom, and the form and manner in which notices shall be sent except as otherwise provided by these rules. (n) CAPTION. The caption of every notice given under this rule shall comply with Rule 1005. The caption of every notice required to be given by the debtor to a creditor shall include the information required to be in the notice by § 342(c) of the Code. (o) NOTICE OF ORDER FOR RELIEF IN CONSUMER CASE. In a voluntary case commenced by an individual debtor whose debts are primarily consumer debts, the clerk or some other person as the court may direct shall give the trustee and all creditors notice by mail of the order for relief within 21 days from the date thereof. (p) NOTICE TO A CREDITOR WITH A FOREIGN ADDRESS. (1) If, at the request of the United States trustee or a party in interest, or on its own initiative, the court finds that a notice mailed within the time prescribed by these rules would Rule 2002 FEDERAL RULES OF BANKRUPTCY PROCEDURE 22 not be sufficient to give a creditor with a foreign address to which notices under these rules are mailed reasonable notice under the circumstances, the court may order that the notice be supplemented with notice by other means or that the time prescribed for the notice by mail be enlarged. (2) Unless the court for cause orders otherwise, a creditor with a foreign address to which notices under this rule are mailed shall be given at least 30 days’ notice of the time fixed for filing a proof of claim under Rule 3002(c) or Rule 3003(c). (3) Unless the court for cause orders otherwise, the mailing address of a creditor with a foreign address shall be determined under Rule 2002(g). (q) NOTICE OF PETITION FOR RECOGNITION OF FOREIGN PROCEEDING AND OF COURT’S INTENTION TO COMMUNICATE WITH FOREIGN COURTS AND FOREIGN REPRESENTATIVES. (1) Notice of Petition for Recognition. After the filing of a petition for recognition of a foreign proceeding, the court shall promptly schedule and hold a hearing on the petition. The clerk, or some other person as the court may direct, shall forthwith give the debtor, all persons or bodies authorized to administer foreign proceedings of the debtor, all entities against whom provisional relief is being sought under § 1519 of the Code, all parties to litigation pending in the United States in which the debtor is a party at the time of the filing of the petition, and such other entities as the court may direct, at least 21 days’ notice by mail of the hearing. The notice shall state whether the petition seeks recognition as a foreign main proceeding or foreign nonmain proceeding and shall include the petition and any other document the court may require. If the court consolidates the hearing on the petition with the hearing on a request for provisional relief, the court may set a shorter notice period, with notice to the entities listed in this subdivision. (2) Notice of Court’s Intention to Communicate with Foreign Courts and Foreign Representatives. The clerk, or some other person as the court may direct, shall give the debtor, all persons or bodies authorized to administer foreign proceedings of the debtor, all entities against whom provisional relief is being sought under § 1519 of the Code, all parties to litigation pending in the United States in which the debtor is a party at the time of the filing of the petition, and such other entities as the court may direct, notice by mail of the court’s intention to communicate with a foreign court or foreign representative. (As amended Pub. L. 98–91, § 2(a), Aug. 30, 1983, 97 Stat. 607; Pub. L. 98–353, title III, § 321, July 10, 1984, 98 Stat. 357; Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 26, 1999, eff. Dec. 1, 1999; Apr. 17, 2000, eff. Dec. 1, 2000; Apr. 23, 2001, eff. Dec. 1, 2001; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 26, 2004, eff. Dec. 1, 2004; Apr. 25, 2005, eff. Dec. 1, 2005; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 28, 2016, eff. Dec. 1, 2016; Apr. 27, 2017, eff. Dec. 1, 2017.) 23 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2003 Rule 2003. Meeting of Creditors or Equity Security Holders (a) DATE AND PLACE. Except as otherwise provided in § 341(e) of the Code, in a chapter 7 liquidation or a chapter 11 reorganization case, the United States trustee shall call a meeting of creditors to be held no fewer than 21 and no more than 40 days after the order for relief. In a chapter 12 family farmer debt adjustment case, the United States trustee shall call a meeting of creditors to be held no fewer than 21 and no more than 35 days after the order for relief. In a chapter 13 individual’s debt adjustment case, the United States trustee shall call a meeting of creditors to be held no fewer than 21 and no more than 50 days after the order for relief. If there is an appeal from or a motion to vacate the order for relief, or if there is a motion to dismiss the case, the United States trustee may set a later date for the meeting. The meeting may be held at a regular place for holding court or at any other place designated by the United States trustee within the district convenient for the parties in interest. If the United States trustee designates a place for the meeting which is not regularly staffed by the United States trustee or an assistant who may preside at the meeting, the meeting may be held not more than 60 days after the order for relief. (b) ORDER OF MEETING. (1) Meeting of Creditors. The United States trustee shall preside at the meeting of creditors. The business of the meeting shall include the examination of the debtor under oath and, in a chapter 7 liquidation case, may include the election of a creditors’ committee and, if the case is not under subchapter V of chapter 7, the election of a trustee. The presiding officer shall have the authority to administer oaths. (2) Meeting of Equity Security Holders. If the United States trustee convenes a meeting of equity security holders pursuant to § 341(b) of the Code, the United States trustee shall fix a date for the meeting and shall preside. (3) Right To Vote. In a chapter 7 liquidation case, a creditor is entitled to vote at a meeting if, at or before the meeting, the creditor has filed a proof of claim or a writing setting forth facts evidencing a right to vote pursuant to § 702(a) of the Code unless objection is made to the claim or the proof of claim is insufficient on its face. A creditor of a partnership may file a proof of claim or writing evidencing a right to vote for the trustee for the estate of the general partner notwithstanding that a trustee for the estate of the partnership has previously qualified. In the event of an objection to the amount or allowability of a claim for the purpose of voting, unless the court orders otherwise, the United States trustee shall tabulate the votes for each alternative presented by the dispute and, if resolution of such dispute is necessary to determine the result of the election, the tabulations for each alternative shall be reported to the court. (c) RECORD OF MEETING. Any examination under oath at the meeting of creditors held pursuant to § 341(a) of the Code shall be recorded verbatim by the United States trustee using electronic sound recording equipment or other means of recording, and such record shall be preserved by the United States trustee and available for public access until two years after the conclusion of the Rule 2004 FEDERAL RULES OF BANKRUPTCY PROCEDURE 24 meeting of creditors. Upon request of any entity, the United States trustee shall certify and provide a copy or transcript of such recording at the entity’s expense. (d) REPORT OF ELECTION AND RESOLUTION OF DISPUTES IN A CHAPTER 7 CASE. (1) Report of Undisputed Election. In a chapter 7 case, if the election of a trustee or a member of a creditors’ committee is not disputed, the United States trustee shall promptly file a report of the election, including the name and address of the person or entity elected and a statement that the election is undisputed. (2) Disputed Election. If the election is disputed, the United States trustee shall promptly file a report stating that the election is disputed, informing the court of the nature of the dispute, and listing the name and address of any candidate elected under any alternative presented by the dispute. No later than the date on which the report is filed, the United States trustee shall mail a copy of the report to any party in interest that has made a request to receive a copy of the report. Pending disposition by the court of a disputed election for trustee, the interim trustee shall continue in office. Unless a motion for the resolution of the dispute is filed no later than 14 days after the United States trustee files a report of a disputed election for trustee, the interim trustee shall serve as trustee in the case. (e) ADJOURNMENT. The meeting may be adjourned from time to time by announcement at the meeting of the adjourned date and time. The presiding official shall promptly file a statement specifying the date and time to which the meeting is adjourned. (f) SPECIAL MEETINGS. The United States trustee may call a special meeting of creditors on request of a party in interest or on the United States trustee’s own initiative. (g) FINAL MEETING. If the United States trustee calls a final meeting of creditors in a case in which the net proceeds realized exceed $1,500, the clerk shall mail a summary of the trustee’s final account to the creditors with a notice of the meeting, together with a statement of the amount of the claims allowed. The trustee shall attend the final meeting and shall, if requested, report on the administration of the estate. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 22, 1993, eff. Aug. 1, 1993; Apr. 26, 1999, eff. Dec. 1, 1999; Mar. 27, 2003, eff. Dec. 1, 2003; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 26, 2011, eff. Dec. 1, 2011.) Rule 2004. Examination (a) EXAMINATION ON MOTION. On motion of any party in interest, the court may order the examination of any entity. (b) SCOPE OF EXAMINATION. The examination of an entity under this rule or of the debtor under § 343 of the Code may relate only to the acts, conduct, or property or to the liabilities and financial condition of the debtor, or to any matter which may affect the administration of the debtor’s estate, or to the debtor’s right to a discharge. In a family farmer’s debt adjustment case under chapter 12, an individual’s debt adjustment case under chapter 13, or 25 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2005 a reorganization case under chapter 11 of the Code, other than for the reorganization of a railroad, the examination may also relate to the operation of any business and the desirability of its continuance, the source of any money or property acquired or to be acquired by the debtor for purposes of consummating a plan and the consideration given or offered therefor, and any other matter relevant to the case or to the formulation of a plan. (c) COMPELLING ATTENDANCE AND PRODUCTION OF DOCUMENTS. The attendance of an entity for examination and for the production of documents, whether the examination is to be conducted within or without the district in which the case is pending, may be compelled as provided in Rule 9016 for the attendance of a witness at a hearing or trial. As an officer of the court, an attorney may issue and sign a subpoena on behalf of the court for the district in which the examination is to be held if the attorney is admitted to practice in that court or in the court in which the case is pending. (d) TIME AND PLACE OF EXAMINATION OF DEBTOR. The court may for cause shown and on terms as it may impose order the debtor to be examined under this rule at any time or place it designates, whether within or without the district wherein the case is pending. (e) MILEAGE. An entity other than a debtor shall not be required to attend as a witness unless lawful mileage and witness fee for one day’s attendance shall be first tendered. If the debtor resides more than 100 miles from the place of examination when required to appear for an examination under this rule, the mileage allowed by law to a witness shall be tendered for any distance more than 100 miles from the debtor’s residence at the date of the filing of the first petition commencing a case under the Code or the residence at the time the debtor is required to appear for the examination, whichever is the lesser. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 29, 2002, eff. Dec. 1, 2002.) Rule 2005. Apprehension and Removal of Debtor to Compel Attendance for Examination (a) ORDER TO COMPEL ATTENDANCE FOR EXAMINATION. On motion of any party in interest supported by an affidavit alleging (1) that the examination of the debtor is necessary for the proper administration of the estate and that there is reasonable cause to believe that the debtor is about to leave or has left the debtor’s residence or principal place of business to avoid examination, or (2) that the debtor has evaded service of a subpoena or of an order to attend for examination, or (3) that the debtor has willfully disobeyed a subpoena or order to attend for examination, duly served, the court may issue to the marshal, or some other officer authorized by law, an order directing the officer to bring the debtor before the court without unnecessary delay. If, after hearing, the court finds the allegations to be true, the court shall thereupon cause the debtor to be examined forthwith. If necessary, the court shall fix conditions for further examination and for the debtor’s obedience to all orders made in reference thereto. (b) REMOVAL. Whenever any order to bring the debtor before the court is issued under this rule and the debtor is found in a district Rule 2006 FEDERAL RULES OF BANKRUPTCY PROCEDURE 26 other than that of the court issuing the order, the debtor may be taken into custody under the order and removed in accordance with the following rules: (1) If the debtor is taken into custody under the order at a place less than 100 miles from the place of issue of the order, the debtor shall be brought forthwith before the court that issued the order. (2) If the debtor is taken into custody under the order at a place 100 miles or more from the place of issue of the order, the debtor shall be brought without unnecessary delay before the nearest available United States magistrate judge, bankruptcy judge, or district judge. If, after hearing, the magistrate judge, bankruptcy judge, or district judge finds that an order has issued under this rule and that the person in custody is the debtor, or if the person in custody waives a hearing, the magistrate judge, bankruptcy judge, or district judge shall order removal, and the person in custody shall be released on conditions ensuring prompt appearance before the court that issued the order to compel the attendance. (c) CONDITIONS OF RELEASE. In determining what conditions will reasonably assure attendance or obedience under subdivision (a) of this rule or appearance under subdivision (b) of this rule, the court shall be governed by the provisions and policies of title 18, U.S.C., § 3146(a) and (b). (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 22, 1993, eff. Aug. 1, 1993.) Rule 2006. Solicitation and Voting of Proxies in Chapter 7 Liquidation Cases (a) APPLICABILITY. This rule applies only in a liquidation case pending under chapter 7 of the Code. (b) DEFINITIONS. (1) Proxy. A proxy is a written power of attorney authorizing any entity to vote the claim or otherwise act as the owner’s attorney in fact in connection with the administration of the estate. (2) Solicitation of Proxy. The solicitation of a proxy is any communication, other than one from an attorney to a regular client who owns a claim or from an attorney to the owner of a claim who has requested the attorney to represent the owner, by which a creditor is asked, directly or indirectly, to give a proxy after or in contemplation of the filing of a petition by or against the debtor. (c) AUTHORIZED SOLICITATION. (1) A proxy may be solicited only by (A) a creditor owning an allowable unsecured claim against the estate on the date of the filing of the petition; (B) a committee elected pursuant to § 705 of the Code; (C) a committee of creditors selected by a majority in number and amount of claims of creditors (i) whose claims are not contingent or unliquidated, (ii) who are not disqualified from voting under § 702(a) of the Code and (iii) who were present or represented at a meeting of which all creditors having claims of over $500 or the 100 creditors having the largest claims had at least seven days’ notice in writing 27 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2006 and of which meeting written minutes were kept and are available reporting the names of the creditors present or represented and voting and the amounts of their claims; or (D) a bona fide trade or credit association, but such association may solicit only creditors who were its members or subscribers in good standing and had allowable unsecured claims on the date of the filing of the petition. (2) A proxy may be solicited only in writing. (d) SOLICITATION NOT AUTHORIZED. This rule does not permit solicitation (1) in any interest other than that of general creditors; (2) by or on behalf of any custodian; (3) by the interim trustee or by or on behalf of any entity not qualified to vote under § 702(a) of the Code; (4) by or on behalf of an attorney at law; or (5) by or on behalf of a transferee of a claim for collection only. (e) DATA REQUIRED FROM HOLDERS OF MULTIPLE PROXIES. At any time before the voting commences at any meeting of creditors pursuant to § 341(a) of the Code, or at any other time as the court may direct, a holder of two or more proxies shall file and transmit to the United States trustee a verified list of the proxies to be voted and a verified statement of the pertinent facts and circumstances in connection with the execution and delivery of each proxy, including: (1) a copy of the solicitation; (2) identification of the solicitor, the forwarder, if the forwarder is neither the solicitor nor the owner of the claim, and the proxyholder, including their connections with the debtor and with each other. If the solicitor, forwarder, or proxyholder is an association, there shall also be included a statement that the creditors whose claims have been solicited and the creditors whose claims are to be voted were members or subscribers in good standing and had allowable unsecured claims on the date of the filing of the petition. If the solicitor, forwarder, or proxyholder is a committee of creditors, the statement shall also set forth the date and place the committee was organized, that the committee was organized in accordance with clause (B) or (C) of paragraph (c)(1) of this rule, the members of the committee, the amounts of their claims, when the claims were acquired, the amounts paid therefor, and the extent to which the claims of the committee members are secured or entitled to priority; (3) a statement that no consideration has been paid or promised by the proxyholder for the proxy; (4) a statement as to whether there is any agreement and, if so, the particulars thereof, between the proxyholder and any other entity for the payment of any consideration in connection with voting the proxy, or for the sharing of compensation with any entity, other than a member or regular associate of the proxyholder’s law firm, which may be allowed the trustee or any entity for services rendered in the case, or for the employment of any person as attorney, accountant, appraiser, auctioneer, or other employee for the estate; (5) if the proxy was solicited by an entity other than the proxyholder, or forwarded to the holder by an entity who is neither a solicitor of the proxy nor the owner of the claim, a statement signed and verified by the solicitor or forwarder that no consideration has been paid or promised for the proxy, and whether there is any agreement, and, if so, the particulars thereof, between the solicitor or forwarder and any other entity for the payment of any consideration in connection with voting the proxy, or for sharing compensation with any entity other than a member or regular associate of the solicitor’s or forwarder’s law firm which may be allowed the trustee or any entity for services rendered in the case, or for the employment of any person as attorney, accountant, appraiser, auctioneer, or other employee for the estate; (6) if the solicitor, forwarder, or proxyholder is a committee, a statement signed and verified by each member as to the amount and source of any consideration paid or to be paid to such member in connection with the case other than by way of dividend on the member’s claim. (f) ENFORCEMENT OF RESTRICTIONS ON SOLICITATION. On motion of any party in interest or on its own initiative, the court may determine whether there has been a failure to comply with the provisions of this rule or any other impropriety in connection with the solicitation or voting of a proxy. After notice and a hearing the court may reject any proxy for cause, vacate any order entered in consequence of the voting of any proxy which should have been rejected, or take any other appropriate action. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2007. Review of Appointment of Creditors’ Committee Organized Before Commencement of the Case (a) MOTION TO REVIEW APPOINTMENT. If a committee appointed by the United States trustee pursuant to § 1102(a) of the Code consists of the members of a committee organized by creditors before the commencement of a chapter 9 or chapter 11 case, on motion of a party in interest and after a hearing on notice to the United States trustee and other entities as the court may direct, the court may determine whether the appointment of the committee satisfies the requirements of § 1102(b)(1) of the Code. (b) SELECTION OF MEMBERS OF COMMITTEE. The court may find that a committee organized by unsecured creditors before the commencement of a chapter 9 or chapter 11 case was fairly chosen if: (1) it was selected by a majority in number and amount of claims of unsecured creditors who may vote under § 702(a) of the Code and were present in person or represented at a meeting of which all creditors having unsecured claims of over $1,000 or the 100 unsecured creditors having the largest claims had at least seven days’ notice in writing, and of which meeting written minutes reporting the names of the creditors present or represented and voting and the amounts of their claims were kept and are available for inspection; (2) all proxies voted at the meeting for the elected committee were solicited pursuant to Rule 2006 and the lists and statements required by subdivision (e) thereof have been transmitted to the United States trustee; and (3) the organization of the committee was in all other respects fair and proper. 29 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2007.1 (c) FAILURE TO COMPLY WITH REQUIREMENTS FOR APPOINTMENT. After a hearing on notice pursuant to subdivision (a) of this rule, the court shall direct the United States trustee to vacate the appointment of the committee and may order other appropriate action if the court finds that such appointment failed to satisfy the requirements of § 1102(b)(1) of the Code. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2007.1. Appointment of Trustee or Examiner in a Chapter 11 Reorganization Case (a) ORDER TO APPOINT TRUSTEE OR EXAMINER. In a chapter 11 reorganization case, a motion for an order to appoint a trustee or an examiner under § 1104(a) or § 1104(c) of the Code shall be made in accordance with Rule 9014. (b) ELECTION OF TRUSTEE. (1) Request for an Election. A request to convene a meeting of creditors for the purpose of electing a trustee in a chapter 11 reorganization case shall be filed and transmitted to the United States trustee in accordance with Rule 5005 within the time prescribed by § 1104(b) of the Code. Pending court approval of the person elected, any person appointed by the United States trustee under § 1104(d) and approved in accordance with subdivision (c) of this rule shall serve as trustee. (2) Manner of Election and Notice. An election of a trustee under § 1104(b) of the Code shall be conducted in the manner provided in Rules 2003(b)(3) and 2006. Notice of the meeting of creditors convened under § 1104(b) shall be given as provided in Rule 2002. The United States trustee shall preside at the meeting. A proxy for the purpose of voting in the election may be solicited only by a committee of creditors appointed under § 1102 of the Code or by any other party entitled to solicit a proxy pursuant to Rule 2006. (3) Report of Election and Resolution of Disputes. (A) Report of Undisputed Election. If no dispute arises out of the election, the United States trustee shall promptly file a report certifying the election, including the name and address of the person elected and a statement that the election is undisputed. The report shall be accompanied by a verified statement of the person elected setting forth that person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. (B) Dispute Arising Out of an Election. If a dispute arises out of an election, the United States trustee shall promptly file a report stating that the election is disputed, informing the court of the nature of the dispute, and listing the name and address of any candidate elected under any alternative presented by the dispute. The report shall be accompanied by a verified statement by each candidate elected under each alternative presented by the dispute, setting forth the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any Rule 2007.2 FEDERAL RULES OF BANKRUPTCY PROCEDURE 30 person employed in the office of the United States trustee. Not later than the date on which the report of the disputed election is filed, the United States trustee shall mail a copy of the report and each verified statement to any party in interest that has made a request to convene a meeting under § 1104(b) or to receive a copy of the report, and to any committee appointed under § 1102 of the Code. (c) APPROVAL OF APPOINTMENT. An order approving the appointment of a trustee or an examiner under § 1104(d) of the Code shall be made on application of the United States trustee. The application shall state the name of the person appointed and, to the best of the applicant’s knowledge, all the person’s connections with the debtor, creditors, any other parties in interest, their respective attorneys and accountants, the United States trustee, or persons employed in the office of the United States trustee. The application shall state the names of the parties in interest with whom the United States trustee consulted regarding the appointment. The application shall be accompanied by a verified statement of the person appointed setting forth the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. (Added Apr. 30, 1991, eff. Aug. 1, 1991; amended Apr. 11, 1997, eff. Dec. 1, 1997; Apr. 23, 2008, eff. Dec. 1, 2008.) Rule 2007.2. Appointment of Patient Care Ombudsman in a Health Care Business Case (a) ORDER TO APPOINT PATIENT CARE OMBUDSMAN. In a chapter 7, chapter 9, or chapter 11 case in which the debtor is a health care business, the court shall order the appointment of a patient care ombudsman under § 333 of the Code, unless the court, on motion of the United States trustee or a party in interest filed no later than 21 days after the commencement of the case or within another time fixed by the court, finds that the appointment of a patient care ombudsman is not necessary under the specific circumstances of the case for the protection of patients. (b) MOTION FOR ORDER TO APPOINT OMBUDSMAN. If the court has found that the appointment of an ombudsman is not necessary, or has terminated the appointment, the court, on motion of the United States trustee or a party in interest, may order the appointment at a later time if it finds that the appointment has become necessary to protect patients. (c) NOTICE OF APPOINTMENT. If a patient care ombudsman is appointed under § 333, the United States trustee shall promptly file a notice of the appointment, including the name and address of the person appointed. Unless the person appointed is a State Long-Term Care Ombudsman, the notice shall be accompanied by a verified statement of the person appointed setting forth the person’s connections with the debtor, creditors, patients, any other party in interest, their respective attorneys and accountants, the United States trustee, and any person employed in the office of the United States trustee. (d) TERMINATION OF APPOINTMENT. On motion of the United States trustee or a party in interest, the court may terminate the 31 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2009 appointment of a patient care ombudsman if the court finds that the appointment is not necessary to protect patients. (e) MOTION. A motion under this rule shall be governed by Rule 9014. The motion shall be transmitted to the United States trustee and served on: the debtor; the trustee; any committee elected under § 705 or appointed under § 1102 of the Code or its authorized agent, or, if the case is a chapter 9 municipality case or a chapter 11 reorganization case and no committee of unsecured creditors has been appointed under § 1102, on the creditors included on the list filed under Rule 1007(d); and such other entities as the court may direct. (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2008. Notice to Trustee of Selection The United States trustee shall immediately notify the person selected as trustee how to qualify and, if applicable, the amount of the trustee’s bond. A trustee that has filed a blanket bond pursuant to Rule 2010 and has been selected as trustee in a chapter 7, chapter 12, or chapter 13 case that does not notify the court and the United States trustee in writing of rejection of the office within seven days after receipt of notice of selection shall be deemed to have accepted the office. Any other person selected as trustee shall notify the court and the United States trustee in writing of acceptance of the office within seven days after receipt of notice of selection or shall be deemed to have rejected the office. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2009. Trustees for Estates When Joint Administration Ordered (a) ELECTION OF SINGLE TRUSTEE FOR ESTATES BEING JOINTLY ADMINISTERED. If the court orders a joint administration of two or more estates under Rule 1015(b), creditors may elect a single trustee for the estates being jointly administered, unless the case is under subchapter V of chapter 7 of the Code. (b) RIGHT OF CREDITORS TO ELECT SEPARATE TRUSTEE. Notwithstanding entry of an order for joint administration under Rule 1015(b), the creditors of any debtor may elect a separate trustee for the estate of the debtor as provided in § 702 of the Code, unless the case is under subchapter V of chapter 7. (c) APPOINTMENT OF TRUSTEES FOR ESTATES BEING JOINTLY ADMINISTERED. (1) Chapter 7 Liquidation Cases. Except in a case governed by subchapter V of chapter 7, the United States trustee may appoint one or more interim trustees for estates being jointly administered in chapter 7 cases. (2) Chapter 11 Reorganization Cases. If the appointment of a trustee is ordered, the United States trustee may appoint one or more trustees for estates being jointly administered in chapter 11 cases. (3) Chapter 12 Family Farmer’s Debt Adjustment Cases. The United States trustee may appoint one or more trustees for estates being jointly administered in chapter 12 cases. Rule 2010 FEDERAL RULES OF BANKRUPTCY PROCEDURE 32 (4) Chapter 13 Individual’s Debt Adjustment Cases. The United States trustee may appoint one or more trustees for estates being jointly administered in chapter 13 cases. (d) POTENTIAL CONFLICTS OF INTEREST. On a showing that creditors or equity security holders of the different estates will be prejudiced by conflicts of interest of a common trustee who has been elected or appointed, the court shall order the selection of separate trustees for estates being jointly administered. (e) SEPARATE ACCOUNTS. The trustee or trustees of estates being jointly administered shall keep separate accounts of the property and distribution of each estate. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 27, 2003, eff. Dec. 1, 2003.) Rule 2010. Qualification by Trustee; Proceeding on Bond (a) BLANKET BOND. The United States trustee may authorize a blanket bond in favor of the United States conditioned on the faithful performance of official duties by the trustee or trustees to cover (1) a person who qualifies as trustee in a number of cases, and (2) a number of trustees each of whom qualifies in a different case. (b) PROCEEDING ON BOND. A proceeding on the trustee’s bond may be brought by any party in interest in the name of the United States for the use of the entity injured by the breach of the condition. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2011. Evidence of Debtor in Possession or Qualification of Trustee (a) Whenever evidence is required that a debtor is a debtor in possession or that a trustee has qualified, the clerk may so certify and the certificate shall constitute conclusive evidence of that fact. (b) If a person elected or appointed as trustee does not qualify within the time prescribed by § 322(a) of the Code, the clerk shall so notify the court and the United States trustee. (As amended Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2012. Substitution of Trustee or Successor Trustee; Accounting (a) TRUSTEE. If a trustee is appointed in a chapter 11 case or the debtor is removed as debtor in possession in a chapter 12 case, the trustee is substituted automatically for the debtor in possession as a party in any pending action, proceeding, or matter. (b) SUCCESSOR TRUSTEE. When a trustee dies, resigns, is removed, or otherwise ceases to hold office during the pendency of a case under the Code (1) the successor is automatically substituted as a party in any pending action, proceeding, or matter; and (2) the successor trustee shall prepare, file, and transmit to the United States trustee an accounting of the prior administration of the estate. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) 33 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2014 Rule 2013. Public Record of Compensation Awarded to Trustees, Examiners, and Professionals (a) RECORD TO BE KEPT. The clerk shall maintain a public record listing fees awarded by the court (1) to trustees and attorneys, accountants, appraisers, auctioneers and other professionals employed by trustees, and (2) to examiners. The record shall include the name and docket number of the case, the name of the individual or firm receiving the fee and the amount of the fee awarded. The record shall be maintained chronologically and shall be kept current and open to examination by the public without charge. ‘‘Trustees,’’ as used in this rule, does not include debtors in possession. (b) SUMMARY OF RECORD. At the close of each annual period, the clerk shall prepare a summary of the public record by individual or firm name, to reflect total fees awarded during the preceding year. The summary shall be open to examination by the public without charge. The clerk shall transmit a copy of the summary to the United States trustee. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2014. Employment of Professional Persons (a) APPLICATION FOR AND ORDER OF EMPLOYMENT. An order approving the employment of attorneys, accountants, appraisers, auctioneers, agents, or other professionals pursuant to § 327, § 1103, or § 1114 of the Code shall be made only on application of the trustee or committee. The application shall be filed and, unless the case is a chapter 9 municipality case, a copy of the application shall be transmitted by the applicant to the United States trustee. The application shall state the specific facts showing the necessity for the employment, the name of the person to be employed, the reasons for the selection, the professional services to be rendered, any proposed arrangement for compensation, and, to the best of the applicant’s knowledge, all of the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. The application shall be accompanied by a verified statement of the person to be employed setting forth the person’s connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the United States trustee, or any person employed in the office of the United States trustee. (b) SERVICES RENDERED BY MEMBER OR ASSOCIATE OF FIRM OF ATTORNEYS OR ACCOUNTANTS. If, under the Code and this rule, a law partnership or corporation is employed as an attorney, or an accounting partnership or corporation is employed as an accountant, or if a named attorney or accountant is employed, any partner, member, or regular associate of the partnership, corporation, or individual may act as attorney or accountant so employed, without further order of the court. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991.) Rule 2015 FEDERAL RULES OF BANKRUPTCY PROCEDURE 34 Rule 2015. Duty to Keep Records, Make Reports, and Give Notice of Case or Change of Status (a) TRUSTEE OR DEBTOR IN POSSESSION. A trustee or debtor in possession shall: (1) in a chapter 7 liquidation case and, if the court directs, in a chapter 11 reorganization case file and transmit to the United States trustee a complete inventory of the property of the debtor within 30 days after qualifying as a trustee or debtor in possession, unless such an inventory has already been filed; (2) keep a record of receipts and the disposition of money and property received; (3) file the reports and summaries required by § 704(a)(8) of the Code, which shall include a statement, if payments are made to employees, of the amounts of deductions for all taxes required to be withheld or paid for and in behalf of employees and the place where these amounts are deposited; (4) as soon as possible after the commencement of the case, give notice of the case to every entity known to be holding money or property subject to withdrawal or order of the debtor, including every bank, savings or building and loan association, public utility company, and landlord with whom the debtor has a deposit, and to every insurance company which has issued a policy having a cash surrender value payable to the debtor, except that notice need not be given to any entity who has knowledge or has previously been notified of the case; (5) in a chapter 11 reorganization case, on or before the last day of the month after each calendar quarter during which there is a duty to pay fees under 28 U.S.C. § 1930(a)(6), file and transmit to the United States trustee a statement of any disbursements made during that quarter and of any fees payable under 28 U.S.C. § 1930(a)(6) for that quarter; and (6) in a chapter 11 small business case, unless the court, for cause, sets another reporting interval, file and transmit to the United States trustee for each calendar month after the order for relief, on the appropriate Official Form, the report required by § 308. If the order for relief is within the first 15 days of a calendar month, a report shall be filed for the portion of the month that follows the order for relief. If the order for relief is after the 15th day of a calendar month, the period for the remainder of the month shall be included in the report for the next calendar month. Each report shall be filed no later than 21 days after the last day of the calendar month following the month covered by the report. The obligation to file reports under this subparagraph terminates on the effective date of the plan, or conversion or dismissal of the case. (b) CHAPTER 12 TRUSTEE AND DEBTOR IN POSSESSION. In a chapter 12 family farmer’s debt adjustment case, the debtor in possession shall perform the duties prescribed in clauses (2)–(4) of subdivision (a) of this rule and, if the court directs, shall file and transmit to the United States trustee a complete inventory of the property of the debtor within the time fixed by the court. If the debtor is removed as debtor in possession, the trustee shall perform the duties of the debtor in possession prescribed in this paragraph. 35 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2015.1 (c) CHAPTER 13 TRUSTEE AND DEBTOR. (1) Business Cases. In a chapter 13 individual’s debt adjustment case, when the debtor is engaged in business, the debtor shall perform the duties prescribed by clauses (2)–(4) of subdivision (a) of this rule and, if the court directs, shall file and transmit to the United States trustee a complete inventory of the property of the debtor within the time fixed by the court. (2) Nonbusiness Cases. In a chapter 13 individual’s debt adjustment case, when the debtor is not engaged in business, the trustee shall perform the duties prescribed by clause (2) of subdivision (a) of this rule. (d) FOREIGN REPRESENTATIVE. In a case in which the court has granted recognition of a foreign proceeding under chapter 15, the foreign representative shall file any notice required under § 1518 of the Code within 14 days after the date when the representative becomes aware of the subsequent information. (e) TRANSMISSION OF REPORTS. In a chapter 11 case the court may direct that copies or summaries of annual reports and copies or summaries of other reports shall be mailed to the creditors, equity security holders, and indenture trustees. The court may also direct the publication of summaries of any such reports. A copy of every report or summary mailed or published pursuant to this subdivision shall be transmitted to the United States trustee. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 23, 1996, eff. Dec. 1, 1996; Apr. 29, 2002, eff. Dec. 1, 2002; Apr. 23, 2008, eff. Dec. 1, 2008; Mar. 26, 2009, eff. Dec. 1, 2009; Apr. 23, 2012, eff. Dec. 1, 2012.) Rule 2015.1. Patient Care Ombudsman (a) REPORTS. A patient care ombudsman, at least 14 days before making a report under § 333(b)(2) of the Code, shall give notice that the report will be made to the court, unless the court orders otherwise. The notice shall be transmitted to the United States trustee, posted conspicuously at the health care facility that is the subject of the report, and served on: the debtor; the trustee; all patients; and any committee elected under § 705 or appointed under § 1102 of the Code or its authorized agent, or, if the case is a chapter 9 municipality case or a chapter 11 reorganization case and no committee of unsecured creditors has been appointed under § 1102, on the creditors included on the list filed under Rule 1007(d); and such other entities as the court may direct. The notice shall state the date and time when the report will be made, the manner in which the report will be made, and, if the report is in writing, the name, address, telephone number, email address, and website, if any, of the person from whom a copy of the report may be obtained at the debtor’s expense. (b) AUTHORIZATION TO REVIEW CONFIDENTIAL PATIENT RECORDS. A motion by a patient care ombudsman under § 333(c) to review confidential patient records shall be governed by Rule 9014, served on the patient and any family member or other contact person whose name and address have been given to the trustee or the debtor for the purpose of providing information regarding the patient’s health care, and transmitted to the United States trustee subject Rule 2015.2 FEDERAL RULES OF BANKRUPTCY PROCEDURE 36 to applicable nonbankruptcy law relating to patient privacy. Unless the court orders otherwise, a hearing on the motion may not be commenced earlier than 14 days after service of the motion. (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2015.2. Transfer of Patient in Health Care Business Case Unless the court orders otherwise, if the debtor is a health care business, the trustee may not transfer a patient to another health care business under § 704(a)(12) of the Code unless the trustee gives at least 14 days’ notice of the transfer to the patient care ombudsman, if any, the patient, and any family member or other contact person whose name and address has been given to the trustee or the debtor for the purpose of providing information regarding the patient’s health care. The notice is subject to applicable nonbankruptcy law relating to patient privacy. (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2015.3. Reports of Financial Information on Entities in Which a Chapter 11 Estate Holds a Controlling or Substantial Interest (a) REPORTING REQUIREMENT. In a chapter 11 case, the trustee or debtor in possession shall file periodic financial reports of the value, operations, and profitability of each entity that is not a publicly traded corporation or a debtor in a case under title 11, and in which the estate holds a substantial or controlling interest. The reports shall be prepared as prescribed by the appropriate Official Form, and shall be based upon the most recent information reasonably available to the trustee or debtor in possession. (b) TIME FOR FILING; SERVICE. The first report required by this rule shall be filed no later than seven days before the first date set for the meeting of creditors under § 341 of the Code. Subsequent reports shall be filed no less frequently than every six months thereafter, until the effective date of a plan or the case is dismissed or converted. Copies of the report shall be served on the United States trustee, any committee appointed under § 1102 of the Code, and any other party in interest that has filed a request therefor. (c) PRESUMPTION OF SUBSTANTIAL OR CONTROLLING INTEREST; JUDICIAL DETERMINATION. For purposes of this rule, an entity of which the estate controls or owns at least a 20 percent interest, shall be presumed to be an entity in which the estate has a substantial or controlling interest. An entity in which the estate controls or owns less than a 20 percent interest shall be presumed not to be an entity in which the estate has a substantial or controlling interest. Upon motion, the entity, any holder of an interest therein, the United States trustee, or any other party in interest may seek to rebut either presumption, and the court shall, after notice and a hearing, determine whether the estate’s interest in the entity is substantial or controlling. (d) MODIFICATION OF REPORTING REQUIREMENT. The court may, after notice and a hearing, vary the reporting requirement established by subdivision (a) of this rule for cause, including that the 37 FEDERAL RULES OF BANKRUPTCY PROCEDURE Rule 2016 trustee or debtor in possession is not able, after a good faith effort, to comply with those reporting requirements, or that the information required by subdivision (a) is publicly available. (e) NOTICE AND PROTECTIVE ORDERS. No later than 14 days before filing the first report required by this rule, the trustee or debtor in possession shall send notice to the entity in which the estate has a substantial or controlling interest, and to all holders— known to the trustee or debtor in possession—of an interest in that entity, that the trustee or debtor in possession expects to file and serve financial information relating to the entity in accordance with this rule. The entity in which the estate has a substantial or controlling interest, or a person holding an interest in that entity, may request protection of the information under § 107 of the Code. (f) EFFECT OF REQUEST. Unless the court orders otherwise, the pendency of a request under subdivisions (c), (d), or (e) of this rule shall not alter or stay the requirements of subdivision (a). (Added Apr. 23, 2008, eff. Dec. 1, 2008; amended Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2016. Compensation for Services Rendered and Reimbursement of Expenses (a) APPLICATION FOR COMPENSATION OR REIMBURSEMENT. An entity seeking interim or final compensation for services, or reimbursement of necessary expenses, from the estate shall file an application setting forth a detailed statement of (1) the services rendered, time expended and expenses incurred, and (2) the amounts requested. An application for compensation shall include a statement as to what payments have theretofore been made or promised to the applicant for services rendered or to be rendered in any capacity whatsoever in connection with the case, the source of the compensation so paid or promised, whether any compensation previously received has been shared and whether an agreement or understanding exists between the applicant and any other entity for the sharing of compensation received or to be received for services rendered in or in connection with the case, and the particulars of any sharing of compensation or agreement or understanding therefor, except that details of any agreement by the applicant for the sharing of compensation as a member or regular associate of a firm of lawyers or accountants shall not be required. The requirements of this subdivision shall apply to an application for compensation for services rendered by an attorney or accountant even though the application is filed by a creditor or other entity. Unless the case is a chapter 9 municipality case, the applicant shall transmit to the United States trustee a copy of the application. (b) DISCLOSURE OF COMPENSATION PAID OR PROMISED TO ATTORNEY FOR DEBTOR. Every attorney for a debtor, whether or not the attorney applies for compensation, shall file and transmit to the United States trustee within 14 days after the order for relief, or at another time as the court may direct, the statement required by § 329 of the Code including whether the attorney has shared or agreed to share the compensation with any other entity. The statement shall include the particulars of any such sharing or Rule 2017 FEDERAL RULES OF BANKRUPTCY PROCEDURE 38 agreement to share by the attorney, but the details of any agreement for the sharing of the compensation with a member or regular associate of the attorney’s law firm shall not be required. A supplemental statement shall be filed and transmitted to the United States trustee within 14 days after any payment or agreement not previously disclosed. (c) DISCLOSURE OF COMPENSATION PAID OR PROMISED TO BANKRUPTCY PETITION PREPARER. Before a petition is filed, every bankruptcy petition preparer for a debtor shall deliver to the debtor, the declaration under penalty of perjury required by § 110(h)(2). The declaration shall disclose any fee, and the source of any fee, received from or on behalf of the debtor within 12 months of the filing of the case and all unpaid fees charged to the debtor. The declaration shall also describe the services performed and documents prepared or caused to be prepared by the bankruptcy petition preparer. The declaration shall be filed with the petition. The petition preparer shall file a supplemental statement within 14 days after any payment or agreement not previously disclosed. (As amended Mar. 30, 1987, eff. Aug. 1, 1987; Apr. 30, 1991, eff. Aug. 1, 1991; Mar. 27, 2003, eff. Dec. 1, 2003; Mar. 26, 2009, eff. Dec. 1, 2009.) Rule 2017. Examination of Debtor’s Transactions with Debtor’s Attorney According to the information provided, Rule 1004.2 in Chapter 15 Cases, who can file a motion for a determination that the debtor’s center of main interests is other than as stated in the petition for recognition commencing the Chapter 15 case, and when should this motion be filed?

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> [user request] <TEXT> [context document]

What did the Supreme Court hold in the case Miranda v. Arizona, 384 U.S. 436(1966), and did any justices dissent from the majority opinion?

Facts The Supreme Court’s decision in Miranda v. Arizona addressed four different cases involving custodial interrogations. In each of these cases, the defendant was questioned by police officers, detectives, or a prosecuting attorney in a room in which he was cut off from the outside world. In none of these cases was the defendant given a full and effective warning of his rights at the outset of the interrogation process. In all the cases, the questioning elicited oral admissions and, in three of them, signed statements that were admitted at trial. Miranda v. Arizona: Miranda was arrested at his home and taken in custody to a police station where he was identified by the complaining witness. He was then interrogated by two police officers for two hours, which resulted in a signed, written confession. At trial, the oral and written confessions were presented to the jury. Miranda was found guilty of kidnapping and rape and was sentenced to 20-30 years imprisonment on each count. On appeal, the Supreme Court of Arizona held that Miranda’s constitutional rights were not violated in obtaining the confession. Vignera v. New York: Vignera was picked up by New York police in connection with the robbery of a dress shop that had occurred three days prior. He was first taken to the 17th Detective Squad headquarters. He was then taken to the 66th Detective Squad, where he orally admitted the robbery and was placed under formal arrest. He was then taken to the 70th Precinct for detention, where he was questioned by an assistant district attorney in the presence of a hearing reporter who transcribed the questions and answers. At trial, the oral confession and the transcript were presented to the jury. Vignera was found guilty of first degree robbery and sentenced to 30-60 years imprisonment. The conviction was affirmed without opinion by the Appellate Division and the Court of Appeals. Westover v. United States: Westover was arrested by local police in Kansas City as a suspect in two Kansas City robberies and taken to a local police station. A report was also received from the FBI that Westover was wanted on a felony charge in California. Westover was interrogated the night of the arrest and the next morning by local police. Then, FBI agents continued the interrogation at the station. After two-and-a-half hours of interrogation by the FBI, Westover signed separate confessions, which had been prepared by one of the agents during the interrogation, to each of the two robberies in California. These statements were introduced at trial. Westover was convicted of the California robberies and sentenced to 15 years’ imprisonment on each count. The conviction was affirmed by the Court of Appeals for the Ninth Circuit. California v. Stewart: In the course of investigating a series of purse-snatch robberies in which one of the victims died of injuries inflicted by her assailant, Stewart was identified as the endorser of checks stolen in one of the robberies. Steward was arrested at his home. Police also arrested Stewart’s wife and three other people who were visiting him. Stewart was placed in a cell, and, over the next five days, was interrogated on nine different occasions. During the ninth interrogation session, Stewart stated that he had robbed the deceased, but had not meant to hurt her. At that time, police released the four other people arrested with Stewart because there was no evidence to connect any of them with the crime. At trial, Stewart’s statements were introduced. Stewart was convicted of robbery and first-degree murder and sentenced to death. The Supreme Court of California reversed, holding that Stewart should have been advised of his right to remain silent and his right to counsel. Issues Whether “statements obtained from an individual who is subjected to custodial police interrogation” are admissible against him in a criminal trial and whether “procedures which assure that the individual is accorded his privilege under the Fifth Amendment to the Constitution not to be compelled to incriminate himself” are necessary. Supreme Court holding The Court held that “there can be no doubt that the Fifth Amendment privilege is available outside of criminal court proceedings and serves to protect persons in all settings in which their freedom of action is curtailed in any significant way from being compelled to incriminate themselves.” As such, “the prosecution may not use statements, whether exculpatory or inculpatory, stemming from custodial interrogation of the defendant unless it demonstrates the use of procedural safeguards effective to secure the privilege against self-incrimination. By custodial interrogation, we mean questioning initiated by law enforcement officers after a person has been taken into custody or otherwise deprived of his freedom of action in any significant way.” The Court further held that “without proper safeguards the process of in-custody interrogation of persons suspected or accused of crime contains inherently compelling pressures which work to undermine the individual’s will to resist and to compel him to speak where he would otherwise do so freely.” Therefore, a defendant “must be warned prior to any questioning that he has the right to remain silent, that anything he says can be used against him in a court of law, that he has the right to the presence of an attorney, and that if he cannot afford an attorney one will be appointed for him prior to any questioning if he so desires.” The Supreme Court reversed the judgment of the Supreme Court of Arizona in Miranda, reversed the judgment of the New York Court of Appeals in Vignera, reversed the judgment of the Court of Appeals for the Ninth Circuit in Westover, and affirmed the judgment of the Supreme Court of California in Stewart. Argued: Feb. 28, March 1 and 2, 1966 Decided: June 13, 1966 Vote: 5-4 Majority opinion written by Chief Justice Warren and joined by Justices Black, Douglas, Brennan, and Fortas. Dissenting opinion written by Justice Harlan and joined by Justices Stewart and White. Dissenting in part opinion written by Justice Clark.

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> What did the Supreme Court hold in the case Miranda v. Arizona, 384 U.S. 436(1966), and did any justices dissent from the majority opinion? <TEXT> Facts The Supreme Court’s decision in Miranda v. Arizona addressed four different cases involving custodial interrogations. In each of these cases, the defendant was questioned by police officers, detectives, or a prosecuting attorney in a room in which he was cut off from the outside world. In none of these cases was the defendant given a full and effective warning of his rights at the outset of the interrogation process. In all the cases, the questioning elicited oral admissions and, in three of them, signed statements that were admitted at trial. Miranda v. Arizona: Miranda was arrested at his home and taken in custody to a police station where he was identified by the complaining witness. He was then interrogated by two police officers for two hours, which resulted in a signed, written confession. At trial, the oral and written confessions were presented to the jury. Miranda was found guilty of kidnapping and rape and was sentenced to 20-30 years imprisonment on each count. On appeal, the Supreme Court of Arizona held that Miranda’s constitutional rights were not violated in obtaining the confession. Vignera v. New York: Vignera was picked up by New York police in connection with the robbery of a dress shop that had occurred three days prior. He was first taken to the 17th Detective Squad headquarters. He was then taken to the 66th Detective Squad, where he orally admitted the robbery and was placed under formal arrest. He was then taken to the 70th Precinct for detention, where he was questioned by an assistant district attorney in the presence of a hearing reporter who transcribed the questions and answers. At trial, the oral confession and the transcript were presented to the jury. Vignera was found guilty of first degree robbery and sentenced to 30-60 years imprisonment. The conviction was affirmed without opinion by the Appellate Division and the Court of Appeals. Westover v. United States: Westover was arrested by local police in Kansas City as a suspect in two Kansas City robberies and taken to a local police station. A report was also received from the FBI that Westover was wanted on a felony charge in California. Westover was interrogated the night of the arrest and the next morning by local police. Then, FBI agents continued the interrogation at the station. After two-and-a-half hours of interrogation by the FBI, Westover signed separate confessions, which had been prepared by one of the agents during the interrogation, to each of the two robberies in California. These statements were introduced at trial. Westover was convicted of the California robberies and sentenced to 15 years’ imprisonment on each count. The conviction was affirmed by the Court of Appeals for the Ninth Circuit. California v. Stewart: In the course of investigating a series of purse-snatch robberies in which one of the victims died of injuries inflicted by her assailant, Stewart was identified as the endorser of checks stolen in one of the robberies. Steward was arrested at his home. Police also arrested Stewart’s wife and three other people who were visiting him. Stewart was placed in a cell, and, over the next five days, was interrogated on nine different occasions. During the ninth interrogation session, Stewart stated that he had robbed the deceased, but had not meant to hurt her. At that time, police released the four other people arrested with Stewart because there was no evidence to connect any of them with the crime. At trial, Stewart’s statements were introduced. Stewart was convicted of robbery and first-degree murder and sentenced to death. The Supreme Court of California reversed, holding that Stewart should have been advised of his right to remain silent and his right to counsel. Issues Whether “statements obtained from an individual who is subjected to custodial police interrogation” are admissible against him in a criminal trial and whether “procedures which assure that the individual is accorded his privilege under the Fifth Amendment to the Constitution not to be compelled to incriminate himself” are necessary. Supreme Court holding The Court held that “there can be no doubt that the Fifth Amendment privilege is available outside of criminal court proceedings and serves to protect persons in all settings in which their freedom of action is curtailed in any significant way from being compelled to incriminate themselves.” As such, “the prosecution may not use statements, whether exculpatory or inculpatory, stemming from custodial interrogation of the defendant unless it demonstrates the use of procedural safeguards effective to secure the privilege against self-incrimination. By custodial interrogation, we mean questioning initiated by law enforcement officers after a person has been taken into custody or otherwise deprived of his freedom of action in any significant way.” The Court further held that “without proper safeguards the process of in-custody interrogation of persons suspected or accused of crime contains inherently compelling pressures which work to undermine the individual’s will to resist and to compel him to speak where he would otherwise do so freely.” Therefore, a defendant “must be warned prior to any questioning that he has the right to remain silent, that anything he says can be used against him in a court of law, that he has the right to the presence of an attorney, and that if he cannot afford an attorney one will be appointed for him prior to any questioning if he so desires.” The Supreme Court reversed the judgment of the Supreme Court of Arizona in Miranda, reversed the judgment of the New York Court of Appeals in Vignera, reversed the judgment of the Court of Appeals for the Ninth Circuit in Westover, and affirmed the judgment of the Supreme Court of California in Stewart. Argued: Feb. 28, March 1 and 2, 1966 Decided: June 13, 1966 Vote: 5-4 Majority opinion written by Chief Justice Warren and joined by Justices Black, Douglas, Brennan, and Fortas. Dissenting opinion written by Justice Harlan and joined by Justices Stewart and White. Dissenting in part opinion written by Justice Clark. https://www.uscourts.gov/educational-resources/educational-activities/facts-and-case-summary-miranda-v-arizona

You must only respond to the prompt solely using the information provided in the context block and no other sources. Your role is to explain complicated medical information using clear and understandable language.

Explain the methods used for the treatment of asthma as outlined in the context document.

4.5. Treatment of asthma is aimed at prevention of troublesome symptoms, enabling levels of activity and lifestyle that are as normal as possible, maintaining the best possible level of lung function and preventing recurring attacks, in particular those that are severe or life threatening. 4.6. Treatment strategy is complex and includes procedures for avoidance of allergens or environmental provocation of attacks, and drug treatment with a variety of therapeutic agents. 4.7. Drug treatment. This involves the use of several types of drugs by varying methods of delivery. Evolving research has regularly produced new preparations over recent years. 4.7.1. The mainstay of treatment that is responsible for more than 90% of prescriptions for asthma is the use of inhaled β2-adrenoreceptor agonists, which mimic the bronchodilator action of adrenaline, and inhaled corticosteroids, which reduce the inflammatory response in the bronchial mucosa. These are used either separately or in combined preparations. The inhaled β2-agonists generally are used intermittently as “relievers” to abort an acute attack whereas inhaled corticosteroids are used regularly in the longer term for prevention. Inhalation therapy is given by a variety of methods using aerosol, dry powder or nebulisation. The use of “spacer” devices can facilitate delivery of aerosol preparations. Longer acting β2-agonists such as salmeterol and formaterol are now available to enhance control but these drugs should be used separately. 4.7.2. Oral β2-agonists may be used in more difficult cases and oral corticosteroids may be used to resolve a more severe attack. Long-term use of oral corticosteroids is avoided in most cases because of the potentially serious systemic side effects. 4.7.3. Other bronchodilator drugs such as the methylxanthines (e.g. theophylline and its derivatives) may be used. Several other substances such as sodium cromoglycate, nedocromil sodium, ipratropium, and more recently leukotriene receptor antagonists have been added to the armamentarium for managing difficult asthma. 4.7.4. The British Thoracic Society has produced a set of guidelines for the management of asthma which describe five steps of drug treatment depending on severity and individual response to treatment. Severity is based on a generally accepted scale which is broadly similar to that quoted at section 2.8.17 The five steps are: • Step 1 - mild intermittent asthma. Short acting β2-agonist inhalers needed less than once a day • Step 2 - mild persistent asthma. Regular anti-inflammatory treatment such as inhaled corticosteroids, sodium cromoglycate or nedocromil • Step 3 - moderate persistent asthma that has failed to be controlled at step 2. The addition of long-acting β2-agonist combined with inhaled low dose corticosteroid • Step 4 - severe persistent asthma. The combination of treatment at step 3 with high dose inhaled steroid and the addition of theophylline or leukotriene receptor antagonist • Step 5 - severe persistent asthma not controlled at step 4. The addition of oral corticosteroids 4.8. Most patients treated in the community are at step 1-2 while those needing steps 3-5 represent less than 5% of patients. Approximately 1.2 million people in the UK suffer regular restriction of activity.5 The step of treatment needed for control in an individual can be a useful guide to the severity of asthma, although some who are well controlled at a higher step may be less disabled than others who need a lower step but who comply poorly with treatment. 4.9. Airways remodelling. Chronic long-term asthma, particularly where treatment has been inadequate or compliance poor can result in permanent change in the structure of the air passages, which may lead to permanent loss of lung function with loss of the normal feature of reversibility. Airways remodelling may also contribute to the bronchial hyperresponsiveness seen in more severe asthma despite treatment with corticosteroids. 4.10. Management of asthma must involve active support of the patient with advice and information as well as surveillance of the clinical state and adjustment of treatment. An understanding of the aims of the treatment regime is essential to maintain compliance, particularly at times when symptomatically improved.

system instruction: You must only respond to the prompt solely using the information provided in the context block and no other sources. Your role is to explain complicated medical information using clear and understandable language. question: Explain the methods used for the treatment of asthma as outlined in the context document. Context block: 4.5. Treatment of asthma is aimed at prevention of troublesome symptoms, enabling levels of activity and lifestyle that are as normal as possible, maintaining the best possible level of lung function and preventing recurring attacks, in particular those that are severe or life threatening. 4.6. Treatment strategy is complex and includes procedures for avoidance of allergens or environmental provocation of attacks, and drug treatment with a variety of therapeutic agents. 4.7. Drug treatment. This involves the use of several types of drugs by varying methods of delivery. Evolving research has regularly produced new preparations over recent years. 4.7.1. The mainstay of treatment that is responsible for more than 90% of prescriptions for asthma is the use of inhaled β2-adrenoreceptor agonists, which mimic the bronchodilator action of adrenaline, and inhaled corticosteroids, which reduce the inflammatory response in the bronchial mucosa. These are used either separately or in combined preparations. The inhaled β2-agonists generally are used intermittently as “relievers” to abort an acute attack whereas inhaled corticosteroids are used regularly in the longer term for prevention. Inhalation therapy is given by a variety of methods using aerosol, dry powder or nebulisation. The use of “spacer” devices can facilitate delivery of aerosol preparations. Longer acting β2-agonists such as salmeterol and formaterol are now available to enhance control but these drugs should be used separately. 4.7.2. Oral β2-agonists may be used in more difficult cases and oral corticosteroids may be used to resolve a more severe attack. Long-term use of oral corticosteroids is avoided in most cases because of the potentially serious systemic side effects. 4.7.3. Other bronchodilator drugs such as the methylxanthines (e.g. theophylline and its derivatives) may be used. Several other substances such as sodium cromoglycate, nedocromil sodium, ipratropium, and more recently leukotriene receptor antagonists have been added to the armamentarium for managing difficult asthma. 4.7.4. The British Thoracic Society has produced a set of guidelines for the management of asthma which describe five steps of drug treatment depending on severity and individual response to treatment. Severity is based on a generally accepted scale which is broadly similar to that quoted at section 2.8.17 The five steps are: • Step 1 - mild intermittent asthma. Short acting β2-agonist inhalers needed less than once a day • Step 2 - mild persistent asthma. Regular anti-inflammatory treatment such as inhaled corticosteroids, sodium cromoglycate or nedocromil • Step 3 - moderate persistent asthma that has failed to be controlled at step 2. The addition of long-acting β2-agonist combined with inhaled low dose corticosteroid • Step 4 - severe persistent asthma. The combination of treatment at step 3 with high dose inhaled steroid and the addition of theophylline or leukotriene receptor antagonist • Step 5 - severe persistent asthma not controlled at step 4. The addition of oral corticosteroids 4.8. Most patients treated in the community are at step 1-2 while those needing steps 3-5 represent less than 5% of patients. Approximately 1.2 million people in the UK suffer regular restriction of activity.5 The step of treatment needed for control in an individual can be a useful guide to the severity of asthma, although some who are well controlled at a higher step may be less disabled than others who need a lower step but who comply poorly with treatment. 4.9. Airways remodelling. Chronic long-term asthma, particularly where treatment has been inadequate or compliance poor can result in permanent change in the structure of the air passages, which may lead to permanent loss of lung function with loss of the normal feature of reversibility. Airways remodelling may also contribute to the bronchial hyperresponsiveness seen in more severe asthma despite treatment with corticosteroids. 4.10. Management of asthma must involve active support of the patient with advice and information as well as surveillance of the clinical state and adjustment of treatment. An understanding of the aims of the treatment regime is essential to maintain compliance, particularly at times when symptomatically improved.

When asked a question, you should only use the information within the provided context to form your answer. If you can't answer a question using the given context, reply with "I don't have that information, did you have any other questions?". Limit your answers to 200 words or less.

I know that violent video games can potentially have negative effects on children, but are there any positive psychological effects associated with video games?

Parents often ask about the effects of violent video games on their children and teenagers. In most cases, they note that their “common sense” instinct is that too much exposure to violent video games must have some sort of negative effect on their children, but that they have read in the media that “the jury is still out” on violent media effects or that there is no convincing evidence that violent video game playing is harmful. Confusion around this conflict will often prompt them then to ask: “what does the scientific evidence really say?” In this chapter we show that the common sense view is backed up by a substantial body of recent scientific findings. Helpful and pro-social video game content has great potential for enhancing the lives of children and adolescents, but exposure to anti-social and violent video game content increases the likelihood of a range of negative outcomes, with greater exposure increasing the risk. Video games have been around for nearly 50 years. Kirsch (2010) notes the first as being Spacewar (released in 1962), a game in which two spaceships battle to the death in space. Although the graphics were very simple compared to modern games, the theme of battling to the death is one that has endured through the ensuing five decades. According to the most recent comprehensive poll by the Kaiser Foundation, American children aged 8–18 play an average of eight hours of video games per week, an increase of over 400 per cent from 1999 (Rideout, Foehr & Roberts, 2010). Playing is heaviest in the 11–14 age group, with boys outplaying girls more than 2.5 hours to 1. A recent study suggests that around 99 per cent of American boys play video games, along with 94 per cent of girls (Lenhart et al, 2008). It is common for US children and adolescents to play more than 20 hours per week 56Chapter in W. Warburton & D. Braunstein (Eds.) Growing Up Fast and Furious: Reviewing the Impacts of Violent and Sexualised Media on Children, (pp. 56-84). Annandale, NSW, Australia: The Federation Press. and it is not uncommon for males to play 40 hours or more per week (Bailey, West & Anderson, 2010). On average, Australian 7–18-year-olds played somewhat less than their US counterparts in 2007 (4.7 hours per week: see ACMA, 2007), but this figure could have risen substantially in recent years if Australian children have followed the steep upward trend found in the latest US studies. The types of games vary, but content analyses by Dill and colleagues (2005) show that the majority of top selling video games and children’s favourite games contain violence, and often strong violence. More recently, Call of Duty: Modern Warfare 2 grossed ~$USD 550 million in the first five days of its 2009 release, at that time more than any other entertainment product in history (movies included). Next on the list in 2009 was Grant Theft Auto IV (GTA), with ~$USD 500 million in five days. Even more recently (a year is a long time in the video game world) Call of Duty: Black Ops grossed $USD 360 million in a single day, breaking all records (Ortutay, 2010). According to Wikipedia, the massive multiplayer online game (MMOG) World of Warcraft has more than 12 million online subscribers and thus currently grosses more than $USD 180 million per month (at $15 per month per player). GTA, which is rated M17+ in the United States and involves such activities as going on murderous rampages, having sex with prostitutes and then murdering them to retrieve the money paid, has been played by 56 per cent of United States children aged 8–18 (Rideout et al, 2010). Clearly, a large number of children and adolescents are exposed regularly to video games with high levels of violence and anti-social themes. This makes it important for parents, educators and professionals who work with children to have some knowledge of their effects. Before turning to the negative effects of violent video games however, it is important to stress that video games can have many helpful benefits. Here are just a few. Helpful effects of video games Pain management Kirsch (2010) notes that various media, including video games, can be used to distract and relax children during painful medical procedures. 57 The impACT of violenT video gAmes: An overview Coordination and spatial cognition A number of studies reveal that video games which require the place- ment of objects within a screen (such as Tetris) can enhance the spatial cognition abilities of players (that is, the ability to mentally arrange and rotate objects in three dimensions). Indeed, video game playing has been linked with a wide array of visual and spatial skills, primarily through practice effects (see Green & Bavelier, 2006; Okagaki & Frensch, 1994; see also Bailey et al, 2010, for a review). In one study by Gopher, Weil and Bareket (1994), the flight performance of Israeli Air Force cadets who had been trained on the Space Fortress II video game was compared with the performance of an untrained group. The trained cadets performed better in almost all aspects of flight performance and as a result the game was incorporated into the Israeli Air Force training program. Pro-social behaviour Although this area of study is still in its infancy, there is mounting evidence that video games which model and involve participants in pro- social, helping behaviours can lead to increases in pro-social behaviour in the short and long term. Most notably, Gentile et al (2009) found that elementary school students exposed to pro-social video games were more helpful than those exposed to violent or non-social video games. In a second longitudinal study of Japanese children in grades 5, 8 and 11, exposure to pro-social video games at the start of the study was linked with increased pro-social behaviour some months later, even when the baseline pro-social tendencies of children were statistically removed. In a final study of Singaporean secondary school students, the amount of pro-social video game play experienced was correlated with helping behaviour, cooperation, sharing and empathy. A study by Greitemeyer and Osswald (2009) found that pro-social video game playing led to a short-term reduction in the tendency to see the world as hostile and an immediate reduction in anti-social thoughts. Education A considerable literature reveals video games to be a powerful teaching tool (eg, Barlett et al, 2009; Murphy et al, 2002; Swing & Anderson, 58 growing up fAsT And furious 2008). They have been used to teach algebra (Corbett et al, 2001), biol- ogy (Ybarrondo, 1984), photography (Abrams, 1986), and computer programming (Kahn, 1999), to teach children how to manage diabetes (Lieberman, 2001; 2006) and to teach specific skills using simulators (for example, by Qantas pilots, NASA and the Air Force). Gentile and Gentile (2008) describe the educational advantages of using video games as teaching tools. These include the power of video games to engage children and to “encourage children to persevere in acquiring and mastering a number of skills, to navigate through complex problems and changing environments, and to experiment with different identities until success is achieved” (p 127). Exercise There has been a recent explosion in the popularity of video games that promote physical activity and exercise (that is, “Exergames”). Games such as Wii Sports Heart Rate; Wii Fit; Wii Play; Wii FitPlus; Dance, Dance Revolution and Just Dance seem to be part of a recent trend that has seen an increase in the availability and popularity of non-violent, helpful games. Clearly, video games have considerable potential to enhance the lives of children and adolescents. Unfortunately, excessive video game playing, especially of violent video games, has the potential to impact children in a number of negative ways. Harmful effects of video games Video game addiction In his moving biography, Unplugged: My Journey into the Dark World of Video Game Addiction, Ryan Van Cleave describes the way that a violent online game, World of Warcraft, dominated his life to such an extent that he was unable to function normally and was driven to the verge of suicide. Video game addiction is now taken so seriously by psychologists and psychiatrists that it was recently considered for inclusion in the fifth edition of the Diagnostic and Statistical Manual for Mental Disorders (DSM) as a diagnosable psychiatric disorder and has been lodged in its appendix to encourage further research. It is clear that many children 59 The impACT of violenT video gAmes: An overview play video games at a “pathological” level that causes damage to family, social, school or psychological functioning (see Anderson et al, 2012). For example, it has been found that 8.5 per cent of 8–18-year-old US video game players do so at pathological levels (Gentile, 2009). Similar studies have found figures of 11.9 per cent in Europe (Grusser et al, 2007), 8.7 per cent in Singapore (Choo et al, 2010), 10.3 per cent in China (Peng & Li, 2009) and 4 per cent for 12–18-year-olds in Norway (Johansson & Götestam, 2004), with a further 15.5 per cent “at risk”. As will be seen in the ensuing sections, the amount that children play video games is very important. Those who play excessively are not only at risk of a number of negative outcomes, they are also much more likely to be playing violent games (see Krahé & Möller, 2004). Attention deficits There are some studies linking the amount of time children spend play- ing video games to attention deficits, impulsivity and hyperactivity (see Bailey et al, 2010; Swing et al, 2010). For example, Gentile (2009) found that adolescents who used video games at pathological levels were nearly three times more likely to be diagnosed with Attention Deficit Disorder or Attention Deficit Hyperactivity Disorder than adolescents who played at non-pathological levels. In a landmark paper, Swing and colleagues (2010) examined the effect of video game playing on atten- tion in elementary school children. They used a longitudinal study that statistically controlled for a range of other factors that could also lead to attention problems and found that amount of time spent playing video games predicted increases in teacher assessments of attention deficits in the children 13 months later. These results suggest that the children’s level of video game playing played a causal role in their subsequent loss of attentional capacity. Anderson et al (2012) believe that on theoretical grounds some video games should have less effect on attentional problems (for exam- ple, those that require controlled thought and planning) and that those which require constant reactive behaviours from players (a common feature of many violent first person shooting games for example) may be more problematic in terms of children developing attentional difficulties. 60 growing up fAsT And furious School performance It is well established that spending longer hours playing video games is linked with poorer school performance for both children and adoles- cents (Anderson et al, 2007; Chan & Rabinowitz, 2006; Chiu et al, 2004; Cordes & Miller, 2000; Gentile, 2009; Gentile et al, 2004; Sharif & Sargent, 2006). One explanation for this is a simple displacement of time – hours spent playing video games eats into time that would normally be spent studying and reading. For example, in a study of 1491 youth between 10 and 19, gamers spent 30 per cent less time reading and 34 per cent less time doing homework (Cummings & Vandewater, 2007). It is also possible, however, that children who perform more poorly at school are also more likely to “spend more time playing games, where they may feel a sense of mastery that eludes them at school” (Anderson et al, 2012). Of course, another possibility is the that excessive gaming creates attention deficits, which in turn can lead to poorer school performance. Increased aggression Should we be concerned about children and adolescents playing violent video games? Can this lead to aggressive behaviour? Over 98 per cent of paediatricians in the United States have considered these questions and believe that excessive violent media exposure has a negative effect on childhood aggression (Gentile et al, 2004). Similarly, there is a consen- sus amongst the vast majority of violent video game researchers that too much exposure to violent video games increases the likelihood of aggressive thoughts, feelings and behaviours, leads to desensitisation to violence and also leads to decreases in pro-social behaviours and empathy (Anderson et al, 2010; Huesmann, 2010). There are, however, a small number of researchers who dispute this evidence and it seems that the views of this small minority have had a large impact on public perceptions (Anderson & Gentile, 2008; Dill, 2009). In this section of the chapter we will broadly examine the arguments for this view and then review the scientific evidence that does find violent video game effects. In this way, we hope that readers can judge the evidence for themselves. 1. The first argument against violent video game effects is that there is little evidence linking the playing of violent video games to very violent behaviours (such as school shootings). To better understand 61 The impACT of violenT video gAmes: An overview this argument it is helpful to reflect on the difference between aggres- sion and violence. In essence, violence is aggressive behaviour that has extreme harm as its goal (Anderson & Bushman, 2002). Thus, all violence is aggression but not all aggression is violence. With this in mind we make four points. (a) Ethically it is not possible to use the most powerful methods – experi- mental manipulations – to test the causal link between violent video games and violence because we cannot rightfully incite people to cause extreme harm in a laboratory. There are, however, ways to test links with aggressive behaviour, which can be examined ethi- cally in a laboratory. It is disingenuous to suggest that because there are no experimental studies that randomly assign children to years of playing violent or nonviolent video games and then measure which group commits the most violent crimes, that therefore there are no established negative or anti-social effects. This is like saying that because there are no experimental studies on humans showing that cigarette smoking causes lung cancer, smoking is not a causal risk factor. The causal links between violent video game playing and physical aggression are, in our opinion, well established. (b) Cross-sectional (correlational) studies and longitudinal studies of violent video game effects have established significant links to violent behaviour. Several longitudinal studies in particular provide strong evidence that these are causal effects. (c) Aggressive behaviour, which can include bullying, hurting other people physically, hurting other people’s property or relationships and hurting people verbally, is a very important social phenomenon in its own right. Aggression does not have to escalate into violence to be harmful and destructive. (d) No aggression researchers claim that media violence is the sole or even the most important source of violent behaviour. The most common approach, and the one taken by the authors, is the “risk factor” approach. According to this approach, people can have vari- ous risk factors for aggression or violent behaviour (see Figure 1). These might include coming from a violent home, having a violent peer group, high levels of trait aggression, exposure to violent media and a number of other factors. The more risk factors that are present for a person, especially when they are present from a young age, the more likely that person is to be aggressive or violent. Strasburger (2009, p 203) notes that: The research on media violence and its relationship to real-life aggression is clear: young people learn their attitudes about violence at a very young age, and once learned, those attitudes are difficult to change (Anderson et al, 2003; Bushman & Huesmann, 2006). Conservative estimates are that media violence may be causing 10% of real-life violence – not the leading cause by any means, but an unhealthy chunk that we could do something about if we chose to (Strasburger et al, 2009; Comstock & Strasburger, 1990). We believe that Victor Strasburger is right. Many risk factors for aggression and violence are very hard to deal with as parents, as educators, as professionals and as policy-makers. Media violence, though, is one risk factor that can be controlled and about which action can be taken from the level of the individual home through to the level of State and federal governments. This makes the research on media violence effects particularly important. 2. Detractors of the view that playing violent video games increases the likelihood of aggressive behaviour also criticise the methodology of video game studies and of meta-analyses of these studies. It is to this important scientific evidence that we now turn. Figure 1: Some longitudinal factors for youth violence Adapted from US Department of Health and Human Services (2001), Bushman and Huesmann (2006) and Anderson et al (2010). 63 The impACT of violenT video gAmes: An overview What is a meta-analysis and what evidence do the meta-analyses provide? A meta-analysis is a statistical technique whereby scientific studies that test the same or a similar hypothesis (for example, that violent video game exposure compared to neutral video game exposure will result in increased aggression) and the same or a similar outcome (for example, aggressive behaviour) are combined to ascertain the strength (“effect size”) of the average finding. To date there have been a number of meta- analyses of the effect of violent video games on aggressive thoughts, feelings and behaviours. In particular, studies by Distinguished Professor Craig Anderson and Dr Chris Ferguson have received a lot of publicity in recent years and it is valuable to compare them. Dr Ferguson, a vocal critic of the research demonstrating a link between violent video game playing and aggression, along with video game industry representatives, claims that violent video game research is methodologically flawed and that mainstream media violence researchers selectively report biased findings. Dr Ferguson has also suggested that Professor Anderson’s meta-analyses have a “publication bias” that undermines their results. Dr Ferguson cites his own three meta-analyses that examine the question of whether violent video game playing increases subsequent aggression. These examined 24, 17 and 14 published papers, encompassing 25, 21 and 15 separate tests of the same hypothesis respectively (Ferguson 2007a, 2007b; Ferguson & Kilburn, 2009). In total, 4205 and 3602 participants were tested in the first two meta-analyses (the number cannot be determined for the most recent study but is assumed to be lower). Dr Ferguson found a positive relation- ship between violent video game exposure and aggressive behaviour, with effect sizes of .29, .14 and .15 respectively. He then inappropriately (according to some meta-analysis experts, see Bushman, Rothstein, & Anderson, 2010) “corrected” for publication bias using a controversial statistical procedure called “trim and fill” that reduced these effect sizes. Such a procedure guesses what unpublished studies might be out there and adds these guesses to the averaging procedure. Based on the “corrected” figures, Dr Ferguson concluded there was no effect of violent video games on aggressive behaviour. These three meta-analyses, which use highly overlapping subsets of the same small sample of studies, are 64 growing up fAsT And furious widely cited as the strongest evidence that violent video game playing does not increase the likelihood of aggressive behaviour. Evidence that playing violent video games does increase the likeli- hood of aggression comes from many researchers. Professor Anderson and his colleagues have themselves conducted a large number of such studies and have also summarised the available studies in three compre- hensive meta-analyses, the first in 2001 (Anderson & Bushman, 2001), the second in 2004 (Anderson et al, 2004) and the most recent in 2010 (Anderson et al, 2010). The latter paper was co-authored by Professor Hannah Rothstein, an expert in meta-analyses and publication bias. This paper detailed major shortcomings in the Ferguson meta-analyses (which failed to include numerous relevant studies) and included all relevant studies then known. Data from 136 articles, 381 separate tests of hypotheses, and across a massive sample of 130, 296 participants were analysed. In this large, all-inclusive meta-analysis, research methodology was also examined. Among the many findings was that studies with better research methods tended to find stronger effects of violent video game playing on aggressive behaviour. We present a summary of the findings in Figure 2 (over page). We understand that the concept of effect size is a hard one to grasp without a detailed knowledge of statistical procedures, so we will provide some comparison data afterwards to help readers make sense of the results. The middle bar shows the effect found, the bars on either side reflect how variable the findings were in the studies tested. Figure 2 shows several meta-analyses. Each tests a different hypoth- esis. All hypotheses are tested as outcomes of exposure to violent video games, and these outcomes include aggressive behaviour, aggressive thoughts (cognitions), aggressive feelings (affects), physiological arousal, desensitisation to violence/low empathy and pro-social behaviour. As can be seen, the average effect across these many studies was one whereby exposure to violent video games led to an increase in aggressive behaviours, aggressive thoughts, aggressive feelings and physiological arousal (which is linked to aggressive behaviour), to desensitisation to violence and decreased empathy, and to a reduction in pro-social behaviours. It is important to note that these findings come from a range of study types – experimental studies in which all participants have exactly the same experience other than the media type they experi- ence, correlational studies of the links between levels of violent video game playing and various types of aggressive behaviours in real life, and longitudinal studies that follow video game playing patterns and behavioural patterns in the same people over time. Each study type makes a unique contribution to what we know. Experiments can be used to infer that one thing causes another, but it is harder to generalise these findings to “real life”. Correlational studies involve “real life” behaviours and can test alternative hypotheses, but it is difficult to determine the causal direction of relationships found (that is, whether playing violent games causes aggression or whether aggressive people choose violent games). Longitudinal studies are real world studies and can be used to find whether one thing causes another over time in a person’s life. Some media violence studies have followed the same people for over 40 years (eg, Huesmann et al, 2003) and have very detailed data. Because links between violent video game playing and aggression are found consistently across all three study types, the evidence converges to suggest both a causal link and an effect that is found in the real world. The Anderson et al (2010) meta-analysis also found that when proper statistical methods are used, there was no evidence of systematic publication bias in the studies. The rather weak evidence of publication bias produced by Dr Ferguson was likely the result of several factors, including failure to use all of the relevant studies and the combining of cross-sectional and experimental studies in the publication bias analysis. To understand how strong the obtained violent video game effect on aggression is, it can be helpful to get a sense of what the “effect size” numbers actually mean. It is easy to understand that a higher number means a stronger effect, but it is much harder to know how a big a number needs to be before it is considered important. Figure 3 shows some effect sizes for well known phenomena that can be used as points for comparison. As can be seen from Figure 3, violent video game effects are larger than the effect of eating calcium on bone mass, of asbestos inhalation Figure 3: The comparative effect sizes of violent video game effects and other well known phenomena * From Best Practices studies, Anderson et al, Psychological Bulletin, 2010. 67 The impACT of violenT video gAmes: An overview on related cancers, of condom use on reducing HIV infection numbers, of taking aspirin on reducing heart attacks and a range of other very important phenomena. Clearly, the size of violent video game effects is large enough to be considered socially important. A final finding from the Anderson et al (2010) meta-analyses is that the violent video game effects occurred for both males and females, and across low-violence collectivistic Eastern countries (for example, Japan) and high-violence individualistic Western countries (for example, Australia and the United States). This is not a surprising finding, as other reviews have found that violent video games affect people regardless of age, gender, socio-economic status, game genre and game system (Barlett et al, 2009). In fact, to the knowledge of the authors, no group has yet been identified that are immune to the effects of exposure to violent media such as video games (see Anderson et al, 2003). Perhaps the best brief summary of the evidence presented here is articulated in a statement produced by 13 researchers into violent video game effects (including the authors of this chapter), prepared for an amicus curiae (friend of the court) brief for the Schwarzenegger and Brown v Video Software Dealers Association and Entertainment Software Association case in the Supreme Court of the United States (Docket # 08-1448). This statement was supported as being accurate by a further 102 well-respected researchers in this area. Statement on Video Game Violence Both the American Psychological Association (APA, 2005) and the American Academy of Pediatrics (AAP, 2009) have issued formal statements stating that scientific research on violent video games clearly shows that such games are causally related to later aggressive behavior in children and adolescents. Extensive research has been conducted over many years using all three major types of research designs (experimental, cross-sectional, and longitudinal). Numerous original empirical research studies have been conducted on children and adolescents. Overall, the research data conclude that exposure to violent video games causes an increase in the likelihood of aggres- sive behavior. The effects are both immediate and long term. Violent video games have measurable and statistically significant effects on both males and females. Theoretically important effects of violent video games have been confirmed by many empirical studies. The effects have been replicated by researchers in different settings and in numerous countries. The psychological processes underlying 68 growing up fAsT And furious such effects are well understood and include: imitation, observa- tional learning, priming of cognitive, emotional and behavioral scripts, physiological arousal, and emotional desensitization. These are general processes that underlie all types of social behavior, not just aggression and violence; they have been confirmed by count- less studies outside of the media violence domain. In addition to causing an increase in the likelihood of aggressive behavior, violent video games have also been found to increase aggressive thinking, aggressive feelings, physiological desensitization to violence, and to decrease pro-social behavior. Importantly, this statement alludes to the psychological processes that are known to underlie the effect of exposure to violent video games on children. These are worth examining in more detail because they also provide some insight as to why the effects of violent video games, compared to other violent media, may be stronger. The psychology of violent video game effects on children Most of the explanations related to violent video game effects involve different types of learning. Because of certain features of violent video game playing – interactivity, repetition and the actual playing of the role of aggressor – the effects may be stronger and patterns of behaviour better learned. Imitation Humans seem to be hard-wired from birth to imitate others. Recently discovered “mirror neurons” in humans and primates represent one mechanism in the brain that may facilitate this (Caggiano et al, 2009; Gallese et al, 1996; Rizzolati et al, 1996; Umilta et al, 2001). Imitation has benefits, including the fast learning of important behaviours, and plays a role in human bonding. However, imitation of unhelpful and anti-social behaviours can have clear negative effects for the individual and for society. We know that children will imitate aggressive behaviours, even if the behaviours are totally new to the child and are not seen to be rewarded in any way (Bandura, 1965; 1973; Bandura et al, 1961; 1963a, 1963b). We also know that children imitate characters from the media they see, with some characters more likely to be imitated than others – those that are attractive, heroic, rewarded for their behaviour or liked, or that have high social status. In violent video games the central characters 69 The impACT of violenT video gAmes: An overview often meet several of these criteria. Does this mean, though, that people will copy the behaviours of the characters in very violent games such as GTA and others? It is possible. For example, an 18-year-old youth in Thailand stabbed a taxi driver to death trying to “find out if it was as easy in real life to rob a taxi as it was in the game” (Reed, 2008). As a result, GTA IV was banned in Thailand. In 2003 William Buckner, 16, and his step-brother Joshua, 14, killed a man and seriously wounded a woman shooting at cars in Tennessee (Calvert, 2003). The boys claimed they were acting out the game Grand Theft Auto III. Also in 2003, Devin Moore, an 18-year-old from Alabama, killed three police officers follow- ing his arrest for a carjacking. On being re-arrested he is reported to have told police that “Life is like a video game. Everybody’s got to die sometime” (Leung, 2005). Again, the killer told police he was copy- ing behaviour he had learned playing GTA III. We are not suggesting that violent video game playing alone was causal in these crimes. As noted earlier, numerous risk factors influence the likelihood of aggressive and violent b ehaviour, and the most severe forms of violence virtually always require the convergence of many risk factors. Furthermore, it is difficult (perhaps impossible) to identify which risk factors were crucial to any particular aggressive or violent act. Nonetheless, imitation of media violence seems to have played some role in these cases. There are numerous other stories of aggressive behaviours that seemingly imitate violent video games. These are easily accessed on the internet with a simple search. Clearly, for some violent video game players, simple imitation may play a causal role in some acts of aggression. However there are a number of other factors, also linked with imitation and learned aggression, that may also be important. Identification Although media effects can occur without the person identifying with any of the characters they have seen, identifying with an aggressor has been shown to increase the likelihood of adopting aggressive behav- iours and attitudes (Cantor, 1994; Huesmann & Eron, 1986; Huesmann et al, 2003). People are more likely to identify with a character who is perceived as similar, heroic and attractive (Hearold, 1986; Heath et al, 1989), and are more likely to identify with and believe realistic portray- als because they are easier to relate to personal experiences (Berkowitz 70 growing up fAsT And furious & Alioto, 1973; Feshback, 1972; Geen, 1975). In violent video games, the player strongly identifies with (and usually takes the role of) the aggres- sor. The aggressive central character is usually glorified and portrayed as heroic and, in recent years, the portrayal of aggressive characters in video games has become increasingly realistic (Gentile et al, 2007). For these reasons, identification with violent/aggressive characters may be a key way that video games impact on children. Repetition It is well established that repetition of behaviours establishes them in memory, increases skill and automates them as learned responses (eg, Gentile & Gentile, 2008). Further, repeating an entire behavioural sequence commits it to memory better than repeating only part of a sequence (Gentile et al, 2007). Violent video games are much more repetitive than other forms of violent media and more often involve the repetition of complete behavioural sequences (Gentile et al, 2007). Players repeat the same behaviours and receive similar rewards throughout the game, experience similar thoughts and feelings during those actions and are exposed to the attitudes espoused in the game implicitly and explicitly (for example, sleeping with prostitutes and then murdering them to retrieve one’s money in GTA implies misogyny, the acceptance of violence to get what one wants and that human life has little value). Simply put, the repetitive nature of violent video games is ideal for learning aggressive attitudes and scripts for behaviour. Interactivity Active participation assists learning as it requires attention, and closely attending to a task assists people to memorise the relevant behaviours and knowledge (Gentile et al, 2007; Gentile & Gentile, 2008). Violent video games are highly interactive, and the recent development of home consoles that allow players to use realistic weapons such as replica guns and swords further increases the level of interactivity and decreases the gap between game playing behaviours and “real world” behaviours. The combination of interactivity and frequent rehearsal is a potent one for learning. In essence, this is a key reason that video games are such powerful tools for teaching pilots, astronauts and soldiers their core skills. These factors give video games tremendous potential for 71 The impACT of violenT video gAmes: An overview pro-social pursuits and as learning tools, but have less welcome implica- tions regarding the interactive rehearsal of anti-social and aggressive behaviours. Lack of negative consequences Another basic tenet of learning theory, demonstrated across thousands of studies, is that people are more likely to behave in ways that are rewarded and less likely to behave in ways that are punished. In terms of imitation, children imitate aggression they perceive as being rewarded more often than aggression they perceive as resulting in punishment. Interestingly, children will imitate unpunished aggression as often as rewarded aggression (eg, see Bandura, 1973). With these facts in mind, it is relevant that most acts of violence in video games: (a) go unpunished; (b) are rewarded (for example, by points, money, status and eleva- tion to higher game levels); (c) have unrealistic consequences for the victim. With relation to the final point, it is important for parents and profession- als to note that seeing victims suffer realistic and negative consequences as a result of media violence should reduce the likelihood of subsequent aggression because pain cues usually inhibit aggressive behaviour (Baron, 1971a, 1971b, 1979). Also note, however, that in some circum- stances pain and suffering cues can increase aggressive behaviour (see Berkowitz, 1993, p 174). Associative learning As noted in Chapter 1, the brain is a neural network in which concepts, ideas, feelings and memories are stored and interconnected. The way this network “wires up” depends on what people experience, with paired experiences (such as the smell of fresh coffee, pleasure and a craving for a hot beverage) becoming more strongly wired together the more they are experienced together. This means that people learn to associate one thing with another. In media generally, and in violent video games especially, many things are frequently paired and thus become “wired” together. For 72 growing up fAsT And furious example, guns are rarely used for any purpose other than violent action. This is why there is a well demonstrated “weapons effect”, whereby the simple sight of a weapon increases the likelihood of aggression if the person has mentally paired a weapon such as a gun with killing or hurting people rather than with a non-aggressive use such as sports shooting (Bartholow et al, 2005; Berkowitz & LePage, 1967; Carlson et al, 1990). This suggests that children who often play video games where there is frequent weapon use for the purpose of killing and hurting others are more likely to be aggressive immediately after playing the game and are more likely to be aggressive when exposed to a weapon of a similar type in real life. Associative learning also explains why whole sequences of behav- iour are learned during video game play and why the acquisition of aggression-related knowledge structures is so important. Acquisition of aggressive knowledge structures, attitudes and scripts for behaviour Clearly, violent video games are powerful teachers, but what is the outcome of such learning for the individual child? In essence, the child (and adult for that matter) internalises clusters of associated knowledge about aggressive behaviour (knowledge structures or “schemas”), as well as attitudes about aggressive behaviour and “scripts” for how to behave in certain circumstances. Schemas and scripts contain knowledge about an aspect of living, mental links to related attitudes, feelings and memories, and a repertoire of associated behaviours. Scripts additionally contain information about how commonly experienced situations “play out” (such as visiting a supermarket) and the typical sequence of behaviours in that situation (entrance at the left of the store, grab a trolley, milk at the back, bread in the second aisle, line up and pay). Schemas and scripts are activated by a trigger (for example, the supermarket logo) and, once active, help to direct our behaviour, often without our being aware of it. Children start to develop schemas about the world as toddlers (and perhaps earlier) and these can sometimes be aggressive in nature. In relation to the development of aggressive knowledge structures and attitudes, there is considerable evidence that exposure to violent media (including violent video games): 73 The impACT of violenT video gAmes: An overview (a) increases attitudes approving of aggressive behaviour as a “normal” social response (Huesmann, 1998); (b) increases mental access to scripts for resolving conflict that involve aggressive behaviour and reduces access to conflict- solving scripts that are non-aggressive (Bushman & Anderson, 2002; Huesmann, 1998); (c) underpins the attitude that aggression is (1) exciting and (2) increases one’s social status (Groebel, 1998); (d) increases the belief that the world is a frightening place (Cantor, 2003; Donnerstein et al, 1994); (e) increases a hostile attributional bias whereby ambiguous but innocent behaviours by others are interpreted as deliberately hurtful (Anderson et al, 2010; Möller & Krahé, 2009); and (f) increases the likelihood of aggressive behaviour (Anderson et al, 2010). Regrettably, children are exposed to a lot of violent media. As noted in Chapter 1, by the age of 18, most US children will have seen many tens of thousands of murders and acts of violence on television alone. Heavy playing of violent video games that involve frequently killing of other people or creatures would add greatly to those figures, especially for murders. This means that for a lot of children, violent media influences may result in higher levels of aggressive schemas, fear about the wider world, hostile and anti-social attitudes, and scripts for behaving aggres- sively, than might otherwise occur without those influences. Fictitious violence versus real violence Recent brain imaging studies, in which children’s brain activation patterns are “photographed” by fMRI machines whilst they are expe- riencing violent media, have shown that even when children know the violence they are watching is fictitious or fantasy violence, their brains respond to the violence as if there was a real threat (Murray et al, 2006; see also Weber et al, 2006). In addition, long-term memory systems were activated, suggesting that this effect could endure beyond the initial exposure. This research suggests that fantasy media violence seems to have a similar impact on children as exposure to realistic media violence. The General Aggression Model The General Aggression Model (GAM: Anderson & Bushman 2002; DeWall, Anderson & Bushman, in press) provides a theoretically sound and helpful way of understanding how exposure to violent media can increase a person’s likelihood of being aggressive in both the short and long term (see Figures 4 and 5). The GAM is a model of what is happening psychologically during an episode of aggression. In essence the person brings their own readiness to aggress, through their gender, beliefs and attitudes about aggres- sion, personality and other stable factors. Each situation has cues and triggers for aggression, such as the presence of a weapon or an insult. When a person encounters an aggression-triggering situation, various relevant cognitions (memories, beliefs, attitudes, scripts for behaviour) are activated, along with feelings (such as fear and anger) and a level of physiological arousal. Higher levels of arousal make a dominant tendency to act more likely. Figure 4: The General Aggression Model 75 The impACT of violenT video gAmes: An overview As a result of these activated cognitions and feelings, and of the level of arousal, the person has an immediate response. If they are very aroused or if the situation requires immediate action, this will probably be the ultimate response. If the person has the time and cognitive capac- ity for a more considered response they will evaluate their options and are more likely to make a thought-through response. Either way, the eventual response, which may be aggressive, is enacted, elicits a social response and the episode is encoded into memory. Once in memory, it becomes part of the “person” and can then affect their responses to future situations. Although “person” characteristics are very important in deter- mining how an individual reacts in a specific situation, the research presented in this chapter reveals that most people, regardless of personal characteristics, are influenced by violent video games. It also reveals that violent video games provide many cues for aggressive behaviour, activate aggressive cognitions and feelings, and can increase levels of arousal. These internal processes can explain why there is also a robust link between violent video game playing and aggressive behaviour. Over the long term, exposure to the attitudes, ideas and scripts for behaviour in violent video games leads to stable knowledge structures, attitudes, biases in thinking, scripts for conflict resolution and action tendencies that include aggressive behaviour (see Figure 5). In turn, these increase the base level of aggressiveness in that person’s personal- ity and bring the person to an aggression-triggering type of situation with a higher predisposition to aggress. Between the two models, it is easy to see how playing a video game can lead to aggression in the short term, and how repeated playing can lead to higher levels of aggression in the long term. Conclusions and advice for parents and professionals working with children In this chapter we have detailed the evidence that video games can be used for a wide array of helpful purposes, but that there can be many negative consequences for playing violent games, especially when played excessively. This raises an important question: “How do we help children to benefit from video games but escape their negative impacts?” In Chapter 1 it was noted that the “you are what you eat” principle applies to the way media exposure affects the way the human neural network “wires up” as well as to food consumption. Using the food metaphor can be helpful for parents and professionals when it comes to advising children on how to use media in a beneficial way. Through 77 The impACT of violenT video gAmes: An overview school education many children are interested in healthy eating and this can be extended to maintaining a healthy media diet. For example, children could be told that, as with food, there are media that are good to consume regularly (in moderation), media that are for infrequent consumption and media that children should avoid. Helping a child to self-regulate what they watch and hear in the media can be very important to a child’s development in this media saturated world. This may involve: • educating children about media effects generally and about video game effects specifically, so that children can learn to make informed choices; • helping children to limit their time playing video games; • encouraging children to play pro-social and educational video games in preference to violent games; • keeping video game consoles in public areas and out of children’s bedrooms; and • playing video games with your children so that you are aware of their content and can knowledgeably discuss the implications of playing certain types of games and screen out potentially harmful ones. It is desirable for children to be able use video games for a range of educational and developmental objectives, but to have less exposure to the more harmful impacts. We hope that this chapter has helped to dispel some popular myths about the impact of violent video games on children and adolescents and has clarified for readers how positive outcomes might be achieved. A Tragic Postscript I see MW2 more as a part of my training-simulation than anything else … You can more or less completely simulate actual operations These were the chilling words with which Anders Behring Breivik referred to the computer game Modern Warfare 2 in a 1500-page mani- festo disseminated just hours before he was responsible for the deaths of 76 of his fellow Norwegians (Moses, 2011; Shah, 2011; Townsend & Tisdall, 2011). The 32-year-old male behind the now infamous bombing 78 growing up fAsT And furious of government buildings in Oslo and subsequent shooting massacre on Utoya island on 22 July 2011 made no secret of the fact that playing the violent video games Modern Warfare 2 and World of Warcraft aided him in preparing and executing his attacks. Breivik identified Modern Warfare 2 as helping him with “target practice” (Shah, 2011) and involvement with World of Warcraft as providing sufficient cover for his preparatory activities (Moses, 2011). As a result of the attacks, one of Norway’s biggest retailers, Coop Norway, issued a ban of indefinite duration on these and other violent video games that, at the time of publication, has yet to be lifted (Narcisse, 2011; Navarro, 2011). When considering the impact of violent video games, particularly in light of the Norway atrocities, it should also be noted that video games in which acts of violence are executed in first-person, immersive environments have long been recognised and used by the US military forces as effec- tive in both the training and recruitment of their members (Holguin, 2009; Robson, 2008).

When asked a question, you should only use the information within the provided context to form your answer. If you can't answer a question using the given context, reply with "I don't have that information, did you have any other questions?". Limit your answers to 200 words or less. Parents often ask about the effects of violent video games on their children and teenagers. In most cases, they note that their “common sense” instinct is that too much exposure to violent video games must have some sort of negative effect on their children, but that they have read in the media that “the jury is still out” on violent media effects or that there is no convincing evidence that violent video game playing is harmful. Confusion around this conflict will often prompt them then to ask: “what does the scientific evidence really say?” In this chapter we show that the common sense view is backed up by a substantial body of recent scientific findings. Helpful and pro-social video game content has great potential for enhancing the lives of children and adolescents, but exposure to anti-social and violent video game content increases the likelihood of a range of negative outcomes, with greater exposure increasing the risk. Video games have been around for nearly 50 years. Kirsch (2010) notes the first as being Spacewar (released in 1962), a game in which two spaceships battle to the death in space. Although the graphics were very simple compared to modern games, the theme of battling to the death is one that has endured through the ensuing five decades. According to the most recent comprehensive poll by the Kaiser Foundation, American children aged 8–18 play an average of eight hours of video games per week, an increase of over 400 per cent from 1999 (Rideout, Foehr & Roberts, 2010). Playing is heaviest in the 11–14 age group, with boys outplaying girls more than 2.5 hours to 1. A recent study suggests that around 99 per cent of American boys play video games, along with 94 per cent of girls (Lenhart et al, 2008). It is common for US children and adolescents to play more than 20 hours per week 56Chapter in W. Warburton & D. Braunstein (Eds.) Growing Up Fast and Furious: Reviewing the Impacts of Violent and Sexualised Media on Children, (pp. 56-84). Annandale, NSW, Australia: The Federation Press. and it is not uncommon for males to play 40 hours or more per week (Bailey, West & Anderson, 2010). On average, Australian 7–18-year-olds played somewhat less than their US counterparts in 2007 (4.7 hours per week: see ACMA, 2007), but this figure could have risen substantially in recent years if Australian children have followed the steep upward trend found in the latest US studies. The types of games vary, but content analyses by Dill and colleagues (2005) show that the majority of top selling video games and children’s favourite games contain violence, and often strong violence. More recently, Call of Duty: Modern Warfare 2 grossed ~$USD 550 million in the first five days of its 2009 release, at that time more than any other entertainment product in history (movies included). Next on the list in 2009 was Grant Theft Auto IV (GTA), with ~$USD 500 million in five days. Even more recently (a year is a long time in the video game world) Call of Duty: Black Ops grossed $USD 360 million in a single day, breaking all records (Ortutay, 2010). According to Wikipedia, the massive multiplayer online game (MMOG) World of Warcraft has more than 12 million online subscribers and thus currently grosses more than $USD 180 million per month (at $15 per month per player). GTA, which is rated M17+ in the United States and involves such activities as going on murderous rampages, having sex with prostitutes and then murdering them to retrieve the money paid, has been played by 56 per cent of United States children aged 8–18 (Rideout et al, 2010). Clearly, a large number of children and adolescents are exposed regularly to video games with high levels of violence and anti-social themes. This makes it important for parents, educators and professionals who work with children to have some knowledge of their effects. Before turning to the negative effects of violent video games however, it is important to stress that video games can have many helpful benefits. Here are just a few. Helpful effects of video games Pain management Kirsch (2010) notes that various media, including video games, can be used to distract and relax children during painful medical procedures. 57 The impACT of violenT video gAmes: An overview Coordination and spatial cognition A number of studies reveal that video games which require the place- ment of objects within a screen (such as Tetris) can enhance the spatial cognition abilities of players (that is, the ability to mentally arrange and rotate objects in three dimensions). Indeed, video game playing has been linked with a wide array of visual and spatial skills, primarily through practice effects (see Green & Bavelier, 2006; Okagaki & Frensch, 1994; see also Bailey et al, 2010, for a review). In one study by Gopher, Weil and Bareket (1994), the flight performance of Israeli Air Force cadets who had been trained on the Space Fortress II video game was compared with the performance of an untrained group. The trained cadets performed better in almost all aspects of flight performance and as a result the game was incorporated into the Israeli Air Force training program. Pro-social behaviour Although this area of study is still in its infancy, there is mounting evidence that video games which model and involve participants in pro- social, helping behaviours can lead to increases in pro-social behaviour in the short and long term. Most notably, Gentile et al (2009) found that elementary school students exposed to pro-social video games were more helpful than those exposed to violent or non-social video games. In a second longitudinal study of Japanese children in grades 5, 8 and 11, exposure to pro-social video games at the start of the study was linked with increased pro-social behaviour some months later, even when the baseline pro-social tendencies of children were statistically removed. In a final study of Singaporean secondary school students, the amount of pro-social video game play experienced was correlated with helping behaviour, cooperation, sharing and empathy. A study by Greitemeyer and Osswald (2009) found that pro-social video game playing led to a short-term reduction in the tendency to see the world as hostile and an immediate reduction in anti-social thoughts. Education A considerable literature reveals video games to be a powerful teaching tool (eg, Barlett et al, 2009; Murphy et al, 2002; Swing & Anderson, 58 growing up fAsT And furious 2008). They have been used to teach algebra (Corbett et al, 2001), biol- ogy (Ybarrondo, 1984), photography (Abrams, 1986), and computer programming (Kahn, 1999), to teach children how to manage diabetes (Lieberman, 2001; 2006) and to teach specific skills using simulators (for example, by Qantas pilots, NASA and the Air Force). Gentile and Gentile (2008) describe the educational advantages of using video games as teaching tools. These include the power of video games to engage children and to “encourage children to persevere in acquiring and mastering a number of skills, to navigate through complex problems and changing environments, and to experiment with different identities until success is achieved” (p 127). Exercise There has been a recent explosion in the popularity of video games that promote physical activity and exercise (that is, “Exergames”). Games such as Wii Sports Heart Rate; Wii Fit; Wii Play; Wii FitPlus; Dance, Dance Revolution and Just Dance seem to be part of a recent trend that has seen an increase in the availability and popularity of non-violent, helpful games. Clearly, video games have considerable potential to enhance the lives of children and adolescents. Unfortunately, excessive video game playing, especially of violent video games, has the potential to impact children in a number of negative ways. Harmful effects of video games Video game addiction In his moving biography, Unplugged: My Journey into the Dark World of Video Game Addiction, Ryan Van Cleave describes the way that a violent online game, World of Warcraft, dominated his life to such an extent that he was unable to function normally and was driven to the verge of suicide. Video game addiction is now taken so seriously by psychologists and psychiatrists that it was recently considered for inclusion in the fifth edition of the Diagnostic and Statistical Manual for Mental Disorders (DSM) as a diagnosable psychiatric disorder and has been lodged in its appendix to encourage further research. It is clear that many children 59 The impACT of violenT video gAmes: An overview play video games at a “pathological” level that causes damage to family, social, school or psychological functioning (see Anderson et al, 2012). For example, it has been found that 8.5 per cent of 8–18-year-old US video game players do so at pathological levels (Gentile, 2009). Similar studies have found figures of 11.9 per cent in Europe (Grusser et al, 2007), 8.7 per cent in Singapore (Choo et al, 2010), 10.3 per cent in China (Peng & Li, 2009) and 4 per cent for 12–18-year-olds in Norway (Johansson & Götestam, 2004), with a further 15.5 per cent “at risk”. As will be seen in the ensuing sections, the amount that children play video games is very important. Those who play excessively are not only at risk of a number of negative outcomes, they are also much more likely to be playing violent games (see Krahé & Möller, 2004). Attention deficits There are some studies linking the amount of time children spend play- ing video games to attention deficits, impulsivity and hyperactivity (see Bailey et al, 2010; Swing et al, 2010). For example, Gentile (2009) found that adolescents who used video games at pathological levels were nearly three times more likely to be diagnosed with Attention Deficit Disorder or Attention Deficit Hyperactivity Disorder than adolescents who played at non-pathological levels. In a landmark paper, Swing and colleagues (2010) examined the effect of video game playing on atten- tion in elementary school children. They used a longitudinal study that statistically controlled for a range of other factors that could also lead to attention problems and found that amount of time spent playing video games predicted increases in teacher assessments of attention deficits in the children 13 months later. These results suggest that the children’s level of video game playing played a causal role in their subsequent loss of attentional capacity. Anderson et al (2012) believe that on theoretical grounds some video games should have less effect on attentional problems (for exam- ple, those that require controlled thought and planning) and that those which require constant reactive behaviours from players (a common feature of many violent first person shooting games for example) may be more problematic in terms of children developing attentional difficulties. 60 growing up fAsT And furious School performance It is well established that spending longer hours playing video games is linked with poorer school performance for both children and adoles- cents (Anderson et al, 2007; Chan & Rabinowitz, 2006; Chiu et al, 2004; Cordes & Miller, 2000; Gentile, 2009; Gentile et al, 2004; Sharif & Sargent, 2006). One explanation for this is a simple displacement of time – hours spent playing video games eats into time that would normally be spent studying and reading. For example, in a study of 1491 youth between 10 and 19, gamers spent 30 per cent less time reading and 34 per cent less time doing homework (Cummings & Vandewater, 2007). It is also possible, however, that children who perform more poorly at school are also more likely to “spend more time playing games, where they may feel a sense of mastery that eludes them at school” (Anderson et al, 2012). Of course, another possibility is the that excessive gaming creates attention deficits, which in turn can lead to poorer school performance. Increased aggression Should we be concerned about children and adolescents playing violent video games? Can this lead to aggressive behaviour? Over 98 per cent of paediatricians in the United States have considered these questions and believe that excessive violent media exposure has a negative effect on childhood aggression (Gentile et al, 2004). Similarly, there is a consen- sus amongst the vast majority of violent video game researchers that too much exposure to violent video games increases the likelihood of aggressive thoughts, feelings and behaviours, leads to desensitisation to violence and also leads to decreases in pro-social behaviours and empathy (Anderson et al, 2010; Huesmann, 2010). There are, however, a small number of researchers who dispute this evidence and it seems that the views of this small minority have had a large impact on public perceptions (Anderson & Gentile, 2008; Dill, 2009). In this section of the chapter we will broadly examine the arguments for this view and then review the scientific evidence that does find violent video game effects. In this way, we hope that readers can judge the evidence for themselves. 1. The first argument against violent video game effects is that there is little evidence linking the playing of violent video games to very violent behaviours (such as school shootings). To better understand 61 The impACT of violenT video gAmes: An overview this argument it is helpful to reflect on the difference between aggres- sion and violence. In essence, violence is aggressive behaviour that has extreme harm as its goal (Anderson & Bushman, 2002). Thus, all violence is aggression but not all aggression is violence. With this in mind we make four points. (a) Ethically it is not possible to use the most powerful methods – experi- mental manipulations – to test the causal link between violent video games and violence because we cannot rightfully incite people to cause extreme harm in a laboratory. There are, however, ways to test links with aggressive behaviour, which can be examined ethi- cally in a laboratory. It is disingenuous to suggest that because there are no experimental studies that randomly assign children to years of playing violent or nonviolent video games and then measure which group commits the most violent crimes, that therefore there are no established negative or anti-social effects. This is like saying that because there are no experimental studies on humans showing that cigarette smoking causes lung cancer, smoking is not a causal risk factor. The causal links between violent video game playing and physical aggression are, in our opinion, well established. (b) Cross-sectional (correlational) studies and longitudinal studies of violent video game effects have established significant links to violent behaviour. Several longitudinal studies in particular provide strong evidence that these are causal effects. (c) Aggressive behaviour, which can include bullying, hurting other people physically, hurting other people’s property or relationships and hurting people verbally, is a very important social phenomenon in its own right. Aggression does not have to escalate into violence to be harmful and destructive. (d) No aggression researchers claim that media violence is the sole or even the most important source of violent behaviour. The most common approach, and the one taken by the authors, is the “risk factor” approach. According to this approach, people can have vari- ous risk factors for aggression or violent behaviour (see Figure 1). These might include coming from a violent home, having a violent peer group, high levels of trait aggression, exposure to violent media and a number of other factors. The more risk factors that are present for a person, especially when they are present from a young age, the more likely that person is to be aggressive or violent. Strasburger (2009, p 203) notes that: The research on media violence and its relationship to real-life aggression is clear: young people learn their attitudes about violence at a very young age, and once learned, those attitudes are difficult to change (Anderson et al, 2003; Bushman & Huesmann, 2006). Conservative estimates are that media violence may be causing 10% of real-life violence – not the leading cause by any means, but an unhealthy chunk that we could do something about if we chose to (Strasburger et al, 2009; Comstock & Strasburger, 1990). We believe that Victor Strasburger is right. Many risk factors for aggression and violence are very hard to deal with as parents, as educators, as professionals and as policy-makers. Media violence, though, is one risk factor that can be controlled and about which action can be taken from the level of the individual home through to the level of State and federal governments. This makes the research on media violence effects particularly important. 2. Detractors of the view that playing violent video games increases the likelihood of aggressive behaviour also criticise the methodology of video game studies and of meta-analyses of these studies. It is to this important scientific evidence that we now turn. Figure 1: Some longitudinal factors for youth violence Adapted from US Department of Health and Human Services (2001), Bushman and Huesmann (2006) and Anderson et al (2010). 63 The impACT of violenT video gAmes: An overview What is a meta-analysis and what evidence do the meta-analyses provide? A meta-analysis is a statistical technique whereby scientific studies that test the same or a similar hypothesis (for example, that violent video game exposure compared to neutral video game exposure will result in increased aggression) and the same or a similar outcome (for example, aggressive behaviour) are combined to ascertain the strength (“effect size”) of the average finding. To date there have been a number of meta- analyses of the effect of violent video games on aggressive thoughts, feelings and behaviours. In particular, studies by Distinguished Professor Craig Anderson and Dr Chris Ferguson have received a lot of publicity in recent years and it is valuable to compare them. Dr Ferguson, a vocal critic of the research demonstrating a link between violent video game playing and aggression, along with video game industry representatives, claims that violent video game research is methodologically flawed and that mainstream media violence researchers selectively report biased findings. Dr Ferguson has also suggested that Professor Anderson’s meta-analyses have a “publication bias” that undermines their results. Dr Ferguson cites his own three meta-analyses that examine the question of whether violent video game playing increases subsequent aggression. These examined 24, 17 and 14 published papers, encompassing 25, 21 and 15 separate tests of the same hypothesis respectively (Ferguson 2007a, 2007b; Ferguson & Kilburn, 2009). In total, 4205 and 3602 participants were tested in the first two meta-analyses (the number cannot be determined for the most recent study but is assumed to be lower). Dr Ferguson found a positive relation- ship between violent video game exposure and aggressive behaviour, with effect sizes of .29, .14 and .15 respectively. He then inappropriately (according to some meta-analysis experts, see Bushman, Rothstein, & Anderson, 2010) “corrected” for publication bias using a controversial statistical procedure called “trim and fill” that reduced these effect sizes. Such a procedure guesses what unpublished studies might be out there and adds these guesses to the averaging procedure. Based on the “corrected” figures, Dr Ferguson concluded there was no effect of violent video games on aggressive behaviour. These three meta-analyses, which use highly overlapping subsets of the same small sample of studies, are 64 growing up fAsT And furious widely cited as the strongest evidence that violent video game playing does not increase the likelihood of aggressive behaviour. Evidence that playing violent video games does increase the likeli- hood of aggression comes from many researchers. Professor Anderson and his colleagues have themselves conducted a large number of such studies and have also summarised the available studies in three compre- hensive meta-analyses, the first in 2001 (Anderson & Bushman, 2001), the second in 2004 (Anderson et al, 2004) and the most recent in 2010 (Anderson et al, 2010). The latter paper was co-authored by Professor Hannah Rothstein, an expert in meta-analyses and publication bias. This paper detailed major shortcomings in the Ferguson meta-analyses (which failed to include numerous relevant studies) and included all relevant studies then known. Data from 136 articles, 381 separate tests of hypotheses, and across a massive sample of 130, 296 participants were analysed. In this large, all-inclusive meta-analysis, research methodology was also examined. Among the many findings was that studies with better research methods tended to find stronger effects of violent video game playing on aggressive behaviour. We present a summary of the findings in Figure 2 (over page). We understand that the concept of effect size is a hard one to grasp without a detailed knowledge of statistical procedures, so we will provide some comparison data afterwards to help readers make sense of the results. The middle bar shows the effect found, the bars on either side reflect how variable the findings were in the studies tested. Figure 2 shows several meta-analyses. Each tests a different hypoth- esis. All hypotheses are tested as outcomes of exposure to violent video games, and these outcomes include aggressive behaviour, aggressive thoughts (cognitions), aggressive feelings (affects), physiological arousal, desensitisation to violence/low empathy and pro-social behaviour. As can be seen, the average effect across these many studies was one whereby exposure to violent video games led to an increase in aggressive behaviours, aggressive thoughts, aggressive feelings and physiological arousal (which is linked to aggressive behaviour), to desensitisation to violence and decreased empathy, and to a reduction in pro-social behaviours. It is important to note that these findings come from a range of study types – experimental studies in which all participants have exactly the same experience other than the media type they experi- ence, correlational studies of the links between levels of violent video game playing and various types of aggressive behaviours in real life, and longitudinal studies that follow video game playing patterns and behavioural patterns in the same people over time. Each study type makes a unique contribution to what we know. Experiments can be used to infer that one thing causes another, but it is harder to generalise these findings to “real life”. Correlational studies involve “real life” behaviours and can test alternative hypotheses, but it is difficult to determine the causal direction of relationships found (that is, whether playing violent games causes aggression or whether aggressive people choose violent games). Longitudinal studies are real world studies and can be used to find whether one thing causes another over time in a person’s life. Some media violence studies have followed the same people for over 40 years (eg, Huesmann et al, 2003) and have very detailed data. Because links between violent video game playing and aggression are found consistently across all three study types, the evidence converges to suggest both a causal link and an effect that is found in the real world. The Anderson et al (2010) meta-analysis also found that when proper statistical methods are used, there was no evidence of systematic publication bias in the studies. The rather weak evidence of publication bias produced by Dr Ferguson was likely the result of several factors, including failure to use all of the relevant studies and the combining of cross-sectional and experimental studies in the publication bias analysis. To understand how strong the obtained violent video game effect on aggression is, it can be helpful to get a sense of what the “effect size” numbers actually mean. It is easy to understand that a higher number means a stronger effect, but it is much harder to know how a big a number needs to be before it is considered important. Figure 3 shows some effect sizes for well known phenomena that can be used as points for comparison. As can be seen from Figure 3, violent video game effects are larger than the effect of eating calcium on bone mass, of asbestos inhalation Figure 3: The comparative effect sizes of violent video game effects and other well known phenomena * From Best Practices studies, Anderson et al, Psychological Bulletin, 2010. 67 The impACT of violenT video gAmes: An overview on related cancers, of condom use on reducing HIV infection numbers, of taking aspirin on reducing heart attacks and a range of other very important phenomena. Clearly, the size of violent video game effects is large enough to be considered socially important. A final finding from the Anderson et al (2010) meta-analyses is that the violent video game effects occurred for both males and females, and across low-violence collectivistic Eastern countries (for example, Japan) and high-violence individualistic Western countries (for example, Australia and the United States). This is not a surprising finding, as other reviews have found that violent video games affect people regardless of age, gender, socio-economic status, game genre and game system (Barlett et al, 2009). In fact, to the knowledge of the authors, no group has yet been identified that are immune to the effects of exposure to violent media such as video games (see Anderson et al, 2003). Perhaps the best brief summary of the evidence presented here is articulated in a statement produced by 13 researchers into violent video game effects (including the authors of this chapter), prepared for an amicus curiae (friend of the court) brief for the Schwarzenegger and Brown v Video Software Dealers Association and Entertainment Software Association case in the Supreme Court of the United States (Docket # 08-1448). This statement was supported as being accurate by a further 102 well-respected researchers in this area. Statement on Video Game Violence Both the American Psychological Association (APA, 2005) and the American Academy of Pediatrics (AAP, 2009) have issued formal statements stating that scientific research on violent video games clearly shows that such games are causally related to later aggressive behavior in children and adolescents. Extensive research has been conducted over many years using all three major types of research designs (experimental, cross-sectional, and longitudinal). Numerous original empirical research studies have been conducted on children and adolescents. Overall, the research data conclude that exposure to violent video games causes an increase in the likelihood of aggres- sive behavior. The effects are both immediate and long term. Violent video games have measurable and statistically significant effects on both males and females. Theoretically important effects of violent video games have been confirmed by many empirical studies. The effects have been replicated by researchers in different settings and in numerous countries. The psychological processes underlying 68 growing up fAsT And furious such effects are well understood and include: imitation, observa- tional learning, priming of cognitive, emotional and behavioral scripts, physiological arousal, and emotional desensitization. These are general processes that underlie all types of social behavior, not just aggression and violence; they have been confirmed by count- less studies outside of the media violence domain. In addition to causing an increase in the likelihood of aggressive behavior, violent video games have also been found to increase aggressive thinking, aggressive feelings, physiological desensitization to violence, and to decrease pro-social behavior. Importantly, this statement alludes to the psychological processes that are known to underlie the effect of exposure to violent video games on children. These are worth examining in more detail because they also provide some insight as to why the effects of violent video games, compared to other violent media, may be stronger. The psychology of violent video game effects on children Most of the explanations related to violent video game effects involve different types of learning. Because of certain features of violent video game playing – interactivity, repetition and the actual playing of the role of aggressor – the effects may be stronger and patterns of behaviour better learned. Imitation Humans seem to be hard-wired from birth to imitate others. Recently discovered “mirror neurons” in humans and primates represent one mechanism in the brain that may facilitate this (Caggiano et al, 2009; Gallese et al, 1996; Rizzolati et al, 1996; Umilta et al, 2001). Imitation has benefits, including the fast learning of important behaviours, and plays a role in human bonding. However, imitation of unhelpful and anti-social behaviours can have clear negative effects for the individual and for society. We know that children will imitate aggressive behaviours, even if the behaviours are totally new to the child and are not seen to be rewarded in any way (Bandura, 1965; 1973; Bandura et al, 1961; 1963a, 1963b). We also know that children imitate characters from the media they see, with some characters more likely to be imitated than others – those that are attractive, heroic, rewarded for their behaviour or liked, or that have high social status. In violent video games the central characters 69 The impACT of violenT video gAmes: An overview often meet several of these criteria. Does this mean, though, that people will copy the behaviours of the characters in very violent games such as GTA and others? It is possible. For example, an 18-year-old youth in Thailand stabbed a taxi driver to death trying to “find out if it was as easy in real life to rob a taxi as it was in the game” (Reed, 2008). As a result, GTA IV was banned in Thailand. In 2003 William Buckner, 16, and his step-brother Joshua, 14, killed a man and seriously wounded a woman shooting at cars in Tennessee (Calvert, 2003). The boys claimed they were acting out the game Grand Theft Auto III. Also in 2003, Devin Moore, an 18-year-old from Alabama, killed three police officers follow- ing his arrest for a carjacking. On being re-arrested he is reported to have told police that “Life is like a video game. Everybody’s got to die sometime” (Leung, 2005). Again, the killer told police he was copy- ing behaviour he had learned playing GTA III. We are not suggesting that violent video game playing alone was causal in these crimes. As noted earlier, numerous risk factors influence the likelihood of aggressive and violent b ehaviour, and the most severe forms of violence virtually always require the convergence of many risk factors. Furthermore, it is difficult (perhaps impossible) to identify which risk factors were crucial to any particular aggressive or violent act. Nonetheless, imitation of media violence seems to have played some role in these cases. There are numerous other stories of aggressive behaviours that seemingly imitate violent video games. These are easily accessed on the internet with a simple search. Clearly, for some violent video game players, simple imitation may play a causal role in some acts of aggression. However there are a number of other factors, also linked with imitation and learned aggression, that may also be important. Identification Although media effects can occur without the person identifying with any of the characters they have seen, identifying with an aggressor has been shown to increase the likelihood of adopting aggressive behav- iours and attitudes (Cantor, 1994; Huesmann & Eron, 1986; Huesmann et al, 2003). People are more likely to identify with a character who is perceived as similar, heroic and attractive (Hearold, 1986; Heath et al, 1989), and are more likely to identify with and believe realistic portray- als because they are easier to relate to personal experiences (Berkowitz 70 growing up fAsT And furious & Alioto, 1973; Feshback, 1972; Geen, 1975). In violent video games, the player strongly identifies with (and usually takes the role of) the aggres- sor. The aggressive central character is usually glorified and portrayed as heroic and, in recent years, the portrayal of aggressive characters in video games has become increasingly realistic (Gentile et al, 2007). For these reasons, identification with violent/aggressive characters may be a key way that video games impact on children. Repetition It is well established that repetition of behaviours establishes them in memory, increases skill and automates them as learned responses (eg, Gentile & Gentile, 2008). Further, repeating an entire behavioural sequence commits it to memory better than repeating only part of a sequence (Gentile et al, 2007). Violent video games are much more repetitive than other forms of violent media and more often involve the repetition of complete behavioural sequences (Gentile et al, 2007). Players repeat the same behaviours and receive similar rewards throughout the game, experience similar thoughts and feelings during those actions and are exposed to the attitudes espoused in the game implicitly and explicitly (for example, sleeping with prostitutes and then murdering them to retrieve one’s money in GTA implies misogyny, the acceptance of violence to get what one wants and that human life has little value). Simply put, the repetitive nature of violent video games is ideal for learning aggressive attitudes and scripts for behaviour. Interactivity Active participation assists learning as it requires attention, and closely attending to a task assists people to memorise the relevant behaviours and knowledge (Gentile et al, 2007; Gentile & Gentile, 2008). Violent video games are highly interactive, and the recent development of home consoles that allow players to use realistic weapons such as replica guns and swords further increases the level of interactivity and decreases the gap between game playing behaviours and “real world” behaviours. The combination of interactivity and frequent rehearsal is a potent one for learning. In essence, this is a key reason that video games are such powerful tools for teaching pilots, astronauts and soldiers their core skills. These factors give video games tremendous potential for 71 The impACT of violenT video gAmes: An overview pro-social pursuits and as learning tools, but have less welcome implica- tions regarding the interactive rehearsal of anti-social and aggressive behaviours. Lack of negative consequences Another basic tenet of learning theory, demonstrated across thousands of studies, is that people are more likely to behave in ways that are rewarded and less likely to behave in ways that are punished. In terms of imitation, children imitate aggression they perceive as being rewarded more often than aggression they perceive as resulting in punishment. Interestingly, children will imitate unpunished aggression as often as rewarded aggression (eg, see Bandura, 1973). With these facts in mind, it is relevant that most acts of violence in video games: (a) go unpunished; (b) are rewarded (for example, by points, money, status and eleva- tion to higher game levels); (c) have unrealistic consequences for the victim. With relation to the final point, it is important for parents and profession- als to note that seeing victims suffer realistic and negative consequences as a result of media violence should reduce the likelihood of subsequent aggression because pain cues usually inhibit aggressive behaviour (Baron, 1971a, 1971b, 1979). Also note, however, that in some circum- stances pain and suffering cues can increase aggressive behaviour (see Berkowitz, 1993, p 174). Associative learning As noted in Chapter 1, the brain is a neural network in which concepts, ideas, feelings and memories are stored and interconnected. The way this network “wires up” depends on what people experience, with paired experiences (such as the smell of fresh coffee, pleasure and a craving for a hot beverage) becoming more strongly wired together the more they are experienced together. This means that people learn to associate one thing with another. In media generally, and in violent video games especially, many things are frequently paired and thus become “wired” together. For 72 growing up fAsT And furious example, guns are rarely used for any purpose other than violent action. This is why there is a well demonstrated “weapons effect”, whereby the simple sight of a weapon increases the likelihood of aggression if the person has mentally paired a weapon such as a gun with killing or hurting people rather than with a non-aggressive use such as sports shooting (Bartholow et al, 2005; Berkowitz & LePage, 1967; Carlson et al, 1990). This suggests that children who often play video games where there is frequent weapon use for the purpose of killing and hurting others are more likely to be aggressive immediately after playing the game and are more likely to be aggressive when exposed to a weapon of a similar type in real life. Associative learning also explains why whole sequences of behav- iour are learned during video game play and why the acquisition of aggression-related knowledge structures is so important. Acquisition of aggressive knowledge structures, attitudes and scripts for behaviour Clearly, violent video games are powerful teachers, but what is the outcome of such learning for the individual child? In essence, the child (and adult for that matter) internalises clusters of associated knowledge about aggressive behaviour (knowledge structures or “schemas”), as well as attitudes about aggressive behaviour and “scripts” for how to behave in certain circumstances. Schemas and scripts contain knowledge about an aspect of living, mental links to related attitudes, feelings and memories, and a repertoire of associated behaviours. Scripts additionally contain information about how commonly experienced situations “play out” (such as visiting a supermarket) and the typical sequence of behaviours in that situation (entrance at the left of the store, grab a trolley, milk at the back, bread in the second aisle, line up and pay). Schemas and scripts are activated by a trigger (for example, the supermarket logo) and, once active, help to direct our behaviour, often without our being aware of it. Children start to develop schemas about the world as toddlers (and perhaps earlier) and these can sometimes be aggressive in nature. In relation to the development of aggressive knowledge structures and attitudes, there is considerable evidence that exposure to violent media (including violent video games): 73 The impACT of violenT video gAmes: An overview (a) increases attitudes approving of aggressive behaviour as a “normal” social response (Huesmann, 1998); (b) increases mental access to scripts for resolving conflict that involve aggressive behaviour and reduces access to conflict- solving scripts that are non-aggressive (Bushman & Anderson, 2002; Huesmann, 1998); (c) underpins the attitude that aggression is (1) exciting and (2) increases one’s social status (Groebel, 1998); (d) increases the belief that the world is a frightening place (Cantor, 2003; Donnerstein et al, 1994); (e) increases a hostile attributional bias whereby ambiguous but innocent behaviours by others are interpreted as deliberately hurtful (Anderson et al, 2010; Möller & Krahé, 2009); and (f) increases the likelihood of aggressive behaviour (Anderson et al, 2010). Regrettably, children are exposed to a lot of violent media. As noted in Chapter 1, by the age of 18, most US children will have seen many tens of thousands of murders and acts of violence on television alone. Heavy playing of violent video games that involve frequently killing of other people or creatures would add greatly to those figures, especially for murders. This means that for a lot of children, violent media influences may result in higher levels of aggressive schemas, fear about the wider world, hostile and anti-social attitudes, and scripts for behaving aggres- sively, than might otherwise occur without those influences. Fictitious violence versus real violence Recent brain imaging studies, in which children’s brain activation patterns are “photographed” by fMRI machines whilst they are expe- riencing violent media, have shown that even when children know the violence they are watching is fictitious or fantasy violence, their brains respond to the violence as if there was a real threat (Murray et al, 2006; see also Weber et al, 2006). In addition, long-term memory systems were activated, suggesting that this effect could endure beyond the initial exposure. This research suggests that fantasy media violence seems to have a similar impact on children as exposure to realistic media violence. The General Aggression Model The General Aggression Model (GAM: Anderson & Bushman 2002; DeWall, Anderson & Bushman, in press) provides a theoretically sound and helpful way of understanding how exposure to violent media can increase a person’s likelihood of being aggressive in both the short and long term (see Figures 4 and 5). The GAM is a model of what is happening psychologically during an episode of aggression. In essence the person brings their own readiness to aggress, through their gender, beliefs and attitudes about aggres- sion, personality and other stable factors. Each situation has cues and triggers for aggression, such as the presence of a weapon or an insult. When a person encounters an aggression-triggering situation, various relevant cognitions (memories, beliefs, attitudes, scripts for behaviour) are activated, along with feelings (such as fear and anger) and a level of physiological arousal. Higher levels of arousal make a dominant tendency to act more likely. Figure 4: The General Aggression Model 75 The impACT of violenT video gAmes: An overview As a result of these activated cognitions and feelings, and of the level of arousal, the person has an immediate response. If they are very aroused or if the situation requires immediate action, this will probably be the ultimate response. If the person has the time and cognitive capac- ity for a more considered response they will evaluate their options and are more likely to make a thought-through response. Either way, the eventual response, which may be aggressive, is enacted, elicits a social response and the episode is encoded into memory. Once in memory, it becomes part of the “person” and can then affect their responses to future situations. Although “person” characteristics are very important in deter- mining how an individual reacts in a specific situation, the research presented in this chapter reveals that most people, regardless of personal characteristics, are influenced by violent video games. It also reveals that violent video games provide many cues for aggressive behaviour, activate aggressive cognitions and feelings, and can increase levels of arousal. These internal processes can explain why there is also a robust link between violent video game playing and aggressive behaviour. Over the long term, exposure to the attitudes, ideas and scripts for behaviour in violent video games leads to stable knowledge structures, attitudes, biases in thinking, scripts for conflict resolution and action tendencies that include aggressive behaviour (see Figure 5). In turn, these increase the base level of aggressiveness in that person’s personal- ity and bring the person to an aggression-triggering type of situation with a higher predisposition to aggress. Between the two models, it is easy to see how playing a video game can lead to aggression in the short term, and how repeated playing can lead to higher levels of aggression in the long term. Conclusions and advice for parents and professionals working with children In this chapter we have detailed the evidence that video games can be used for a wide array of helpful purposes, but that there can be many negative consequences for playing violent games, especially when played excessively. This raises an important question: “How do we help children to benefit from video games but escape their negative impacts?” In Chapter 1 it was noted that the “you are what you eat” principle applies to the way media exposure affects the way the human neural network “wires up” as well as to food consumption. Using the food metaphor can be helpful for parents and professionals when it comes to advising children on how to use media in a beneficial way. Through 77 The impACT of violenT video gAmes: An overview school education many children are interested in healthy eating and this can be extended to maintaining a healthy media diet. For example, children could be told that, as with food, there are media that are good to consume regularly (in moderation), media that are for infrequent consumption and media that children should avoid. Helping a child to self-regulate what they watch and hear in the media can be very important to a child’s development in this media saturated world. This may involve: • educating children about media effects generally and about video game effects specifically, so that children can learn to make informed choices; • helping children to limit their time playing video games; • encouraging children to play pro-social and educational video games in preference to violent games; • keeping video game consoles in public areas and out of children’s bedrooms; and • playing video games with your children so that you are aware of their content and can knowledgeably discuss the implications of playing certain types of games and screen out potentially harmful ones. It is desirable for children to be able use video games for a range of educational and developmental objectives, but to have less exposure to the more harmful impacts. We hope that this chapter has helped to dispel some popular myths about the impact of violent video games on children and adolescents and has clarified for readers how positive outcomes might be achieved. A Tragic Postscript I see MW2 more as a part of my training-simulation than anything else … You can more or less completely simulate actual operations These were the chilling words with which Anders Behring Breivik referred to the computer game Modern Warfare 2 in a 1500-page mani- festo disseminated just hours before he was responsible for the deaths of 76 of his fellow Norwegians (Moses, 2011; Shah, 2011; Townsend & Tisdall, 2011). The 32-year-old male behind the now infamous bombing 78 growing up fAsT And furious of government buildings in Oslo and subsequent shooting massacre on Utoya island on 22 July 2011 made no secret of the fact that playing the violent video games Modern Warfare 2 and World of Warcraft aided him in preparing and executing his attacks. Breivik identified Modern Warfare 2 as helping him with “target practice” (Shah, 2011) and involvement with World of Warcraft as providing sufficient cover for his preparatory activities (Moses, 2011). As a result of the attacks, one of Norway’s biggest retailers, Coop Norway, issued a ban of indefinite duration on these and other violent video games that, at the time of publication, has yet to be lifted (Narcisse, 2011; Navarro, 2011). When considering the impact of violent video games, particularly in light of the Norway atrocities, it should also be noted that video games in which acts of violence are executed in first-person, immersive environments have long been recognised and used by the US military forces as effec- tive in both the training and recruitment of their members (Holguin, 2009; Robson, 2008). I know that violent video games can potentially have negative effects on children, but are there any positive psychological effects associated with video games?

You use only the information contained in this prompt to respond to the prompt. Do not use any external sources of information or other knowledge in your response.

What sort of regulatory model might use a risk-based approach that categorizes specific applications of AI?

5.2 Regulatory models Bradford (2023) identifies three primary regulatory models, adopted in the US, China and the EU. The “market-driven” regulatory model in the US is characterised by a market-based approach that emphasises innovation, self-regulation and scepticism of government intervention. The “state-driven” regulatory model in China utilises technology for political objectives, and aims to grow the industry while exporting technology infrastructure. The “rights-driven” regulatory model of the EU is focused on protecting individual and societal rights and the equitable distribution of digital transformation gains. These regulatory models, while distinct, are not mutually exclusive and show a tendency to converge towards the principles highlighted above, as well as towards rather similar operationalisations. In the United States, the regulation of AI has evolved from voluntary guidance to executive actions. Initially, the Blueprint for an AI Bill of Rights in October 2022 laid foundational ethical considerations. This was followed by voluntary commitments from leading AI firms in July 2023, signalling industry readiness to address AI’s societal impacts. The shift towards regulatory oversight was marked by the Executive Order on Safe, Secure, and Trustworthy AI in November 2023, which mandated over 25 agencies to address AI-related harms, including security, privacy, and discrimination. These agencies are now tasked with establishing rules, funding research, assessing risks, and enforcing transparency through safety tests and reporting by AI developers. However, there has not been significant legislative action on AI regulation. China’s AI regulation has evolved from a state-driven approach to more sectorspecific guidance. The 2018 Guiding Opinions for financial institutions mandated algorithm filing, risk disclosure, and manual intervention to mitigate pro-cyclicality risk in financial markets, highlighting a cautious approach to AI’s systemic impacts. The 2022 Deep Synthesis Provisions and the 2023 Generative AI Provisions set the stage for regulatory oversight, emphasising the adherence to socialist values, content reliability, and discrimination prevention. An AI Law is underway, proposing a framework for public-facing generative AI systems, including content standards, privacy respect, and a mandatory filing to the algorithm registry. The European Union’s AI Act, approved in February 2024, aims to ensure that AI technologies are safe and respect fundamental rights while fostering innovation and economic growth. This regulatory framework introduces a risk-based approach that categorises AI systems according to the risk they pose to users. For example, the act identifies specific applications of AI that pose unacceptable risks and are therefore prohibited. These include social scoring, manipulation or exploitation of vulnerabilities and certain uses of biometric identification. The EU AI Act also introduces governance rules for AI applications that might pose risks to health, safety, fundamental rights, the environment, democracy and the rule of law. For these high-risk categories, stringent regulatory requirements are set.

You use only the information contained in this prompt to respond to the prompt. Do not use any external sources of information or other knowledge in your response. 5.2 Regulatory models Bradford (2023) identifies three primary regulatory models, adopted in the US, China and the EU. The “market-driven” regulatory model in the US is characterised by a market-based approach that emphasises innovation, self-regulation and scepticism of government intervention. The “state-driven” regulatory model in China utilises technology for political objectives, and aims to grow the industry while exporting technology infrastructure. The “rights-driven” regulatory model of the EU is focused on protecting individual and societal rights and the equitable distribution of digital transformation gains. These regulatory models, while distinct, are not mutually exclusive and show a tendency to converge towards the principles highlighted above, as well as towards rather similar operationalisations. In the United States, the regulation of AI has evolved from voluntary guidance to executive actions. Initially, the Blueprint for an AI Bill of Rights in October 2022 laid foundational ethical considerations. This was followed by voluntary commitments from leading AI firms in July 2023, signalling industry readiness to address AI’s societal impacts. The shift towards regulatory oversight was marked by the Executive Order on Safe, Secure, and Trustworthy AI in November 2023, which mandated over 25 agencies to address AI-related harms, including security, privacy, and discrimination. These agencies are now tasked with establishing rules, funding research, assessing risks, and enforcing transparency through safety tests and reporting by AI developers. However, there has not been significant legislative action on AI regulation. China’s AI regulation has evolved from a state-driven approach to more sectorspecific guidance. The 2018 Guiding Opinions for financial institutions mandated algorithm filing, risk disclosure, and manual intervention to mitigate pro-cyclicality risk in financial markets, highlighting a cautious approach to AI’s systemic impacts. The 2022 Deep Synthesis Provisions and the 2023 Generative AI Provisions set the stage for regulatory oversight, emphasising the adherence to socialist values, content reliability, and discrimination prevention. An AI Law is underway, proposing a framework for public-facing generative AI systems, including content standards, privacy respect, and a mandatory filing to the algorithm registry. The European Union’s AI Act, approved in February 2024, aims to ensure that AI technologies are safe and respect fundamental rights while fostering innovation and economic growth. This regulatory framework introduces a risk-based approach that categorises AI systems according to the risk they pose to users. For example, the act identifies specific applications of AI that pose unacceptable risks and are therefore prohibited. These include social scoring, manipulation or exploitation of vulnerabilities and certain uses of biometric identification. The EU AI Act also introduces governance rules for AI applications that might pose risks to health, safety, fundamental rights, the environment, democracy and the rule of law. For these high-risk categories, stringent regulatory requirements are set. What sort of regulatory model might use a risk-based approach that categorizes specific applications of AI?

Create a short paragraph response to the question using clear, precise vocabulary. This should only rely on information contained in the text.

What are the primary positive aspects reviewers refer to?

Talking 2-XL Robot by Tiger Electronics User Reviews 1. Reviewer: Leslie Cain Rating: 5.0 stars Date: June 7, 2016 Verified Purchase Review: Great toy. Still a hit with the next generation of kids as well. Arrived on time and in perfect working condition. One person found this helpful. 2. Reviewer: Artfan1166 Rating: 5.0 stars Date: May 11, 2015 Verified Purchase Review: It was perfect, exactly what I had hoped it would be! 3. Reviewer: Richard K. Rating: 5.0 stars Date: January 5, 2015 Verified Purchase Review: Just what I expected.

Create a short paragraph response to the question using clear, precise vocabulary. This should only rely on information contained in the text. What are the primary positive aspects reviewers refer to? Talking 2-XL Robot by Tiger Electronics User Reviews 1. Reviewer: Leslie Cain Rating: 5.0 stars Date: June 7, 2016 Verified Purchase Review: Great toy. Still a hit with the next generation of kids as well. Arrived on time and in perfect working condition. One person found this helpful. 2. Reviewer: Artfan1166 Rating: 5.0 stars Date: May 11, 2015 Verified Purchase Review: It was perfect, exactly what I had hoped it would be! 3. Reviewer: Richard K. Rating: 5.0 stars Date: January 5, 2015 Verified Purchase Review: Just what I expected.

Only use the text that is provided to answer the question. Answer using complete sentences. The answer must be a minimum of 3 sentences.

Based on the given text would Wayne recommend Freedom Mobile?

Freedom Mobile Reviews from Users Freedom mobile reviews from users seem generally positive and assuring. They praise the provider’s ability to provide great offers and excellent service. The operator is also appreciated for offering unique services and promotions to users, every now and then. If you’ve used their services and would like to share a review with others, feel free to share your experience right here! Last 365 days average - 2.2 18 reviews All-time average - 2.6 35 reviews Sasha Mississauga, Ontario 2024-01-03 Horrible customer service You people have no idea what customer service is! Horrible service! I will be complaining! Wayne Toronto, Ontario 2024-02-23 Freedom allowed a sim swap. Freedom has terrible privacy protection. They are incompetent. I was a victim of a sim swap from Freedom. I had my banking and other financial accounts stolen. Freedom will not take any responsibility for my financial losses. They gave a SIM card replacement to a frauster and never requested my consent. Siro J Toronto, Ontario 2024-02-10 A fake mobile network Zero reception in downtown building toronto Sy Toronto, Ontario 2024-01-30 It’s alright Freedom offers cheap plans, but with that you get cheap service. While they offer canada-usa plans their network is a bit wonky. Sometimes you’ll be right beside a tower with full bars and only get around 30 mbps down. Some dropped calls and their reliability indoors isn’t as good as other carriers, although wifi calling is an option. Overall, you get what you pay for.

[Instruction] ======= Only use the text that is provided to answer the question. Answer using complete sentences. The answer must be a minimum of 3 sentences. ---------------- [Passage] ======= Freedom Mobile Reviews from Users Freedom mobile reviews from users seem generally positive and assuring. They praise the provider’s ability to provide great offers and excellent service. The operator is also appreciated for offering unique services and promotions to users, every now and then. If you’ve used their services and would like to share a review with others, feel free to share your experience right here! Last 365 days average - 2.2 18 reviews All-time average - 2.6 35 reviews Sasha Mississauga, Ontario 2024-01-03 Horrible customer service You people have no idea what customer service is! Horrible service! I will be complaining! Wayne Toronto, Ontario 2024-02-23 Freedom allowed a sim swap. Freedom has terrible privacy protection. They are incompetent. I was a victim of a sim swap from Freedom. I had my banking and other financial accounts stolen. Freedom will not take any responsibility for my financial losses. They gave a SIM card replacement to a frauster and never requested my consent. Siro J Toronto, Ontario 2024-02-10 A fake mobile network Zero reception in downtown building toronto Sy Toronto, Ontario 2024-01-30 It’s alright Freedom offers cheap plans, but with that you get cheap service. While they offer canada-usa plans their network is a bit wonky. Sometimes you’ll be right beside a tower with full bars and only get around 30 mbps down. Some dropped calls and their reliability indoors isn’t as good as other carriers, although wifi calling is an option. Overall, you get what you pay for. ---------------- [Query] ======= Based on the given text would Wayne recommend Freedom Mobile?

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. [user request] [context document]

Explain how smoking affects different organs and bodily systems in both smokers and nonsmokers. Include specific details on how recent changes in cigarette design have influenced health outcomes. Additionally, describe how smoking during pregnancy impacts both the mother and the infant, including potential genetic changes to the baby. Please provide a response within 3-5 sentences.

Smoking is the leading cause of premature, preventable death in this country. Cigarette smoking and exposure to tobacco smoke cause about 480,000 premature deaths each year in the United States (1). Of those premature deaths, about 36% are from cancer, 39% are from heart disease and stroke, and 24% are from lung disease (1). Mortality rates among smokers are about three times higher than among people who have never smoked (6, 7). Smoking harms nearly every bodily organ and organ system in the body and diminishes a person’s overall health. Smoking causes cancers of the lung, esophagus, larynx, mouth, throat, kidney, bladder, liver, pancreas, stomach, cervix, colon, and rectum, as well as acute myeloid leukemia (1–3). Smoking also causes heart disease, stroke, aortic aneurysm (a balloon-like bulge in an artery in the chest), chronic obstructive pulmonary disease (COPD) (chronic bronchitis and emphysema), diabetes, osteoporosis, rheumatoid arthritis, age-related macular degeneration, and cataracts, and worsens asthma symptoms in adults. Smokers are at higher risk of developing pneumonia, tuberculosis, and other airway infections (1–3). In addition, smoking causes inflammation and impairs immune function (1). Since the 1960s, a smoker’s risk of developing lung cancer or COPD has actually increased compared with nonsmokers, even though the number of cigarettes consumed per smoker has decreased (1). There have also been changes over time in the type of lung cancer smokers develop – a decline in squamous cell carcinomas but a dramatic increase in adenocarcinomas. Both of these shifts may be due to changes in cigarette design and composition, in how tobacco leaves are cured, and in how deeply smokers inhale cigarette smoke and the toxicants it contains (1, 8). Smoking makes it harder for a woman to get pregnant. A pregnant smoker is at higher risk of miscarriage, having an ectopic pregnancy, having her baby born too early and with an abnormally low birth weight, and having her baby born with a cleft lip and/or cleft palate (1). A woman who smokes during or after pregnancy increases her infant’s risk of death from Sudden Infant Death Syndrome (SIDS) (2, 3). Men who smoke are at greater risk of erectile dysfunction (1, 9). The longer a smoker’s duration of smoking, the greater their likelihood of experiencing harm from smoking, including earlier death (7). But regardless of their age, smokers can substantially reduce their risk of disease, including cancer, by quitting. What are the risks of tobacco smoke to nonsmokers? Secondhand smoke (also called environmental tobacco smoke, involuntary smoking, and passive smoking) is the combination of “sidestream” smoke (the smoke given off by a burning tobacco product) and “mainstream” smoke (the smoke exhaled by a smoker) (4, 5, 10, 11). The U.S. Environmental Protection Agency, the U.S. National Toxicology Program, the U.S. Surgeon General, and the International Agency for Research on Cancer have classified secondhand smoke as a known human carcinogen (cancer-causing agent) (5, 11, 12). Inhaling secondhand smoke causes lung cancer in nonsmoking adults (1, 2, 4). Approximately 7,300 lung cancer deaths occur each year among adult nonsmokers in the United States as a result of exposure to secondhand smoke (1). The U.S. Surgeon General estimates that living with a smoker increases a nonsmoker’s chances of developing lung cancer by 20 to 30% (4). Secondhand smoke causes disease and premature death in nonsmoking adults and children (2, 4). Exposure to secondhand smoke irritates the airways and has immediate harmful effects on a person’s heart and blood vessels. It increases the risk of heart disease by an estimated 25 to 30% (4). In the United States, exposure to secondhand smoke is estimated to cause about 34,000 deaths from heart disease each year (1). Exposure to secondhand smoke also increases the risk of stroke by 20 to 30% (1). Pregnant women exposed to secondhand smoke are at increased risk of having a baby with a small reduction in birth weight (1). Children exposed to secondhand smoke are at an increased risk of SIDS, ear infections, colds, pneumonia, and bronchitis. Secondhand smoke exposure can also increase the frequency and severity of asthma symptoms among children who have asthma. Being exposed to secondhand smoke slows the growth of children’s lungs and can cause them to cough, wheeze, and feel breathless (2, 4). Is smoking addictive? Smoking is highly addictive. Nicotine is the drug primarily responsible for a person’s addiction to tobacco products, including cigarettes. The addiction to cigarettes and other tobacco products that nicotine causes is similar to the addiction produced by using drugs such as heroin and cocaine (13). Nicotine is present naturally in the tobacco plant. But tobacco companies intentionally design cigarettes to have enough nicotine to create and sustain addiction. The amount of nicotine that gets into the body is determined by the way a person smokes a tobacco product and by the nicotine content and design of the product. Nicotine is absorbed into the bloodstream through the lining of the mouth and the lungs and travels to the brain in a matter of seconds. Taking more frequent and deeper puffs of tobacco smoke increases the amount of nicotine absorbed by the body. Are other tobacco products, such as smokeless tobacco or pipe tobacco, harmful and addictive? Yes. All forms of tobacco are harmful and addictive (4, 11). There is no safe tobacco product. In addition to cigarettes, other forms of tobacco include smokeless tobacco, cigars, pipes, hookahs (waterpipes), bidis, and kreteks. There is no safe level of smoking. Smoking even just one cigarette per day over a lifetime can cause smoking-related cancers (lung, bladder, and pancreas) and premature death (24, 25). What are the immediate health benefits of quitting smoking? The immediate health benefits of quitting smoking are substantial: Heart rate and blood pressure, which are abnormally high while smoking, begin to return to normal. Within a few hours, the level of carbon monoxide in the blood begins to decline. (Carbon monoxide reduces the blood’s ability to carry oxygen.) Within a few weeks, people who quit smoking have improved circulation, produce less phlegm, and don’t cough or wheeze as often. Within several months of quitting, people can expect substantial improvements in lung function (26). Within a few years of quitting, people will have lower risks of cancer, heart disease, and other chronic diseases than if they had continued to smoke.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. Explain how smoking affects different organs and bodily systems in both smokers and nonsmokers. Include specific details on how recent changes in cigarette design have influenced health outcomes. Additionally, describe how smoking during pregnancy impacts both the mother and the infant, including potential genetic changes to the baby. Please provide a response within 3-5 sentences. Smoking is the leading cause of premature, preventable death in this country. Cigarette smoking and exposure to tobacco smoke cause about 480,000 premature deaths each year in the United States (1). Of those premature deaths, about 36% are from cancer, 39% are from heart disease and stroke, and 24% are from lung disease (1). Mortality rates among smokers are about three times higher than among people who have never smoked (6, 7). Smoking harms nearly every bodily organ and organ system in the body and diminishes a person’s overall health. Smoking causes cancers of the lung, esophagus, larynx, mouth, throat, kidney, bladder, liver, pancreas, stomach, cervix, colon, and rectum, as well as acute myeloid leukemia (1–3). Smoking also causes heart disease, stroke, aortic aneurysm (a balloon-like bulge in an artery in the chest), chronic obstructive pulmonary disease (COPD) (chronic bronchitis and emphysema), diabetes, osteoporosis, rheumatoid arthritis, age-related macular degeneration, and cataracts, and worsens asthma symptoms in adults. Smokers are at higher risk of developing pneumonia, tuberculosis, and other airway infections (1–3). In addition, smoking causes inflammation and impairs immune function (1). Since the 1960s, a smoker’s risk of developing lung cancer or COPD has actually increased compared with nonsmokers, even though the number of cigarettes consumed per smoker has decreased (1). There have also been changes over time in the type of lung cancer smokers develop – a decline in squamous cell carcinomas but a dramatic increase in adenocarcinomas. Both of these shifts may be due to changes in cigarette design and composition, in how tobacco leaves are cured, and in how deeply smokers inhale cigarette smoke and the toxicants it contains (1, 8). Smoking makes it harder for a woman to get pregnant. A pregnant smoker is at higher risk of miscarriage, having an ectopic pregnancy, having her baby born too early and with an abnormally low birth weight, and having her baby born with a cleft lip and/or cleft palate (1). A woman who smokes during or after pregnancy increases her infant’s risk of death from Sudden Infant Death Syndrome (SIDS) (2, 3). Men who smoke are at greater risk of erectile dysfunction (1, 9). The longer a smoker’s duration of smoking, the greater their likelihood of experiencing harm from smoking, including earlier death (7). But regardless of their age, smokers can substantially reduce their risk of disease, including cancer, by quitting. What are the risks of tobacco smoke to nonsmokers? Secondhand smoke (also called environmental tobacco smoke, involuntary smoking, and passive smoking) is the combination of “sidestream” smoke (the smoke given off by a burning tobacco product) and “mainstream” smoke (the smoke exhaled by a smoker) (4, 5, 10, 11). The U.S. Environmental Protection Agency, the U.S. National Toxicology Program, the U.S. Surgeon General, and the International Agency for Research on Cancer have classified secondhand smoke as a known human carcinogen (cancer-causing agent) (5, 11, 12). Inhaling secondhand smoke causes lung cancer in nonsmoking adults (1, 2, 4). Approximately 7,300 lung cancer deaths occur each year among adult nonsmokers in the United States as a result of exposure to secondhand smoke (1). The U.S. Surgeon General estimates that living with a smoker increases a nonsmoker’s chances of developing lung cancer by 20 to 30% (4). Secondhand smoke causes disease and premature death in nonsmoking adults and children (2, 4). Exposure to secondhand smoke irritates the airways and has immediate harmful effects on a person’s heart and blood vessels. It increases the risk of heart disease by an estimated 25 to 30% (4). In the United States, exposure to secondhand smoke is estimated to cause about 34,000 deaths from heart disease each year (1). Exposure to secondhand smoke also increases the risk of stroke by 20 to 30% (1). Pregnant women exposed to secondhand smoke are at increased risk of having a baby with a small reduction in birth weight (1). Children exposed to secondhand smoke are at an increased risk of SIDS, ear infections, colds, pneumonia, and bronchitis. Secondhand smoke exposure can also increase the frequency and severity of asthma symptoms among children who have asthma. Being exposed to secondhand smoke slows the growth of children’s lungs and can cause them to cough, wheeze, and feel breathless (2, 4). Is smoking addictive? Smoking is highly addictive. Nicotine is the drug primarily responsible for a person’s addiction to tobacco products, including cigarettes. The addiction to cigarettes and other tobacco products that nicotine causes is similar to the addiction produced by using drugs such as heroin and cocaine (13). Nicotine is present naturally in the tobacco plant. But tobacco companies intentionally design cigarettes to have enough nicotine to create and sustain addiction. The amount of nicotine that gets into the body is determined by the way a person smokes a tobacco product and by the nicotine content and design of the product. Nicotine is absorbed into the bloodstream through the lining of the mouth and the lungs and travels to the brain in a matter of seconds. Taking more frequent and deeper puffs of tobacco smoke increases the amount of nicotine absorbed by the body. Are other tobacco products, such as smokeless tobacco or pipe tobacco, harmful and addictive? Yes. All forms of tobacco are harmful and addictive (4, 11). There is no safe tobacco product. In addition to cigarettes, other forms of tobacco include smokeless tobacco, cigars, pipes, hookahs (waterpipes), bidis, and kreteks. There is no safe level of smoking. Smoking even just one cigarette per day over a lifetime can cause smoking-related cancers (lung, bladder, and pancreas) and premature death (24, 25). What are the immediate health benefits of quitting smoking? The immediate health benefits of quitting smoking are substantial: Heart rate and blood pressure, which are abnormally high while smoking, begin to return to normal. Within a few hours, the level of carbon monoxide in the blood begins to decline. (Carbon monoxide reduces the blood’s ability to carry oxygen.) Within a few weeks, people who quit smoking have improved circulation, produce less phlegm, and don’t cough or wheeze as often. Within several months of quitting, people can expect substantial improvements in lung function (26). Within a few years of quitting, people will have lower risks of cancer, heart disease, and other chronic diseases than if they had continued to smoke. https://www.cancer.gov/about-cancer/causes-prevention/risk/tobacco/cessation-fact-sheet#:~:text=Since%20the%201960s%2C%20a%20smoker's,dysfunction%20(1%2C%209).

For this task, you are required to answer questions using the information--and ONLY the information--provided as part of the prompt. Do NOT use any resources outside of this information to answer the questions,

Give examples of how data analytics has changed the way baseball, basketball, and soccer are played.

A core factor in fueling the widespread adoption of analytics in sports is the integration of technology. Although it is fairly straightforward to track all the action in a computer game, as they are ultimately mediated by lines of code and actions within the video game can be dumped into spreadsheets and databases for analysis, sports happen within a framework where the data must be collected before it can be assessed. In line with James’s early concerns about the poor state of play-by-play data in baseball, major sports leagues have invested greatly in the integration of technology to assess players and how they interact in games. Baseball pitches are tracked and the results compared with the strike zone to rate umpires. A company called Second Spectrum uses technology originally designed to track missiles to map how players move on basketball courts and soccer pitches, enabling comparative analysis about how players defend, run, and generally play the game. Catapult developed a wearable system that tracks how players stress their bodies during practice and games, aiding the ability to determine when players need a rest and when they are likely at the peak of their ability to perform. Technology has also become a means by which players, teams, and analysts can “directly engage in an active exploration to understand why and how such information may have emerged.”2 The combination of technologies to track sports makes them a bit more like a video game, where every data point is ready to be pulled into analysis. Increasing the data available to analysts creates a feedback loop, where the data can increase understanding to lead to new questions and new technological development in order to continue to refine the meta. Although there is likely to be a point of diminishing returns for both the technology and the analysis, that point will probably come when a sport is solved, which will make it far less interesting to watch and play. Baseball offers up an example of a sport that stands as a largely solved game, as analytics are widely accepted and their lessons frame strategy and play. Along the road toward solving a sport, data analysis leads to insights that change how certain teams play the game. When those teams overperform, their tactics are copied, frequently changing how the game is played and often upending decades of tradition in establishing a new “best” way to play. In baseball this shows up in defensive shifts where instead of dividing the field equally, defenders align themselves in a manner matched to where the hitter typically strikes the ball. In basketball, the three-point revolution took over as teams recognized that shots worth three points are expected to generate more points than long two-pointers and basically every shot other than those very close to the basket.3 In soccer, pressing dominates as elite teams noted that being able to win the ball high up the field makes them more likely to score and renders the opposition less likely to get a shot off. Football analytics found what Madden players had known for years, which is that going for it more often on fourth down increases offensive production (and is generally more fun). Throughout these changes, there is a back and forth as analytics debuts some new insight and established norms within the game resist. A strategy that is proven to be more effective in the long run does not take hold unless a coach or manager makes it to the long run in the first place by not getting fired. Short-run struggles, especially for those with novel approaches, can quickly leads to questions from the media and fans, potentially ending a career. For a new meta to really get established, it not only has to work, but it has to do so fairly quickly, and then as it spreads, it can become the new set of norms the next insight will have to overcome.

system instruction: For this task, you are required to answer questions using the information--and ONLY the information--provided as part of the prompt. Do NOT use any resources outside of this information to answer the questions, question: Give examples of how data analytics has changed the way baseball, basketball, and soccer are played. context block: A core factor in fueling the widespread adoption of analytics in sports is the integration of technology. Although it is fairly straightforward to track all the action in a computer game, as they are ultimately mediated by lines of code and actions within the video game can be dumped into spreadsheets and databases for analysis, sports happen within a framework where the data must be collected before it can be assessed. In line with James’s early concerns about the poor state of play-by-play data in baseball, major sports leagues have invested greatly in the integration of technology to assess players and how they interact in games. Baseball pitches are tracked and the results compared with the strike zone to rate umpires. A company called Second Spectrum uses technology originally designed to track missiles to map how players move on basketball courts and soccer pitches, enabling comparative analysis about how players defend, run, and generally play the game. Catapult developed a wearable system that tracks how players stress their bodies during practice and games, aiding the ability to determine when players need a rest and when they are likely at the peak of their ability to perform. Technology has also become a means by which players, teams, and analysts can “directly engage in an active exploration to understand why and how such information may have emerged.”2 The combination of technologies to track sports makes them a bit more like a video game, where every data point is ready to be pulled into analysis. Increasing the data available to analysts creates a feedback loop, where the data can increase understanding to lead to new questions and new technological development in order to continue to refine the meta. Although there is likely to be a point of diminishing returns for both the technology and the analysis, that point will probably come when a sport is solved, which will make it far less interesting to watch and play. Baseball offers up an example of a sport that stands as a largely solved game, as analytics are widely accepted and their lessons frame strategy and play. Along the road toward solving a sport, data analysis leads to insights that change how certain teams play the game. When those teams overperform, their tactics are copied, frequently changing how the game is played and often upending decades of tradition in establishing a new “best” way to play. In baseball this shows up in defensive shifts where instead of dividing the field equally, defenders align themselves in a manner matched to where the hitter typically strikes the ball. In basketball, the three-point revolution took over as teams recognized that shots worth three points are expected to generate more points than long two-pointers and basically every shot other than those very close to the basket.3 In soccer, pressing dominates as elite teams noted that being able to win the ball high up the field makes them more likely to score and renders the opposition less likely to get a shot off. Football analytics found what Madden players had known for years, which is that going for it more often on fourth down increases offensive production (and is generally more fun). Throughout these changes, there is a back and forth as analytics debuts some new insight and established norms within the game resist. A strategy that is proven to be more effective in the long run does not take hold unless a coach or manager makes it to the long run in the first place by not getting fired. Short-run struggles, especially for those with novel approaches, can quickly leads to questions from the media and fans, potentially ending a career. For a new meta to really get established, it not only has to work, but it has to do so fairly quickly, and then as it spreads, it can become the new set of norms the next insight will have to overcome.

The answer you present must be derived solely from the information within the prompt. No past knowledge or external sources can be used. If the context alone isn't enough to answer the prompt, please say so.

What does H.R. 4611 entail?

Artificial Intelligence (AI) and Campaign Finance Policy: Recent Developments Updated August 27, 2024 No federal statute or regulation specifically addresses artificial intelligence (AI) in political campaigns. The Federal Election Campaign Act (FECA) and Federal Election Commission (FEC) regulations govern conduct that calls for election or defeat of federal candidates or solicits funds. They also regulate some advertisements (electioneering communications) that refer to clearly identified federal candidates during preelection periods that do not call for election or defeat. Disclaimer requirements that mandate attribution for communications regulated by campaign finance law appear to apply to ads created with AI. Those requirements do not mandate that such advertising alert the audience, or regulators, to the presence of AI-generated content. Campaign management decisions, such as which technology to use, are generally not subject to regulation. This updated CRS Insight discusses recent developments that could be relevant as Congress monitors or considers legislation related to AI and campaign finance policy. It does not address legal issues. Other CRS products provide information on generative AI and other AI policy areas. AI in Political Campaigns, and Recent Legislative Developments Recent policy attention to AI in campaigns focuses on “deepfakes,” referring to artificially manipulated audio or video content in political advertising. Such advertising appears to present new challenges for campaigns and voters about how to determine whether communications are authentic. Recent legislation proposes disclaimers, reporting requirements, or prohibitions on deepfakes in federal campaigns or elections. Bills introduced in the 118th Congress include H.R. 3044; H.R. 3106; H.R. 3831; H.R. 4611; H.R. 5586; H.R. 8384; H.R. 8668; S. 686; S. 1596; S. 2770; and S. 3875. The Senate Committee on Rules and Administration reported an amended version of S. 3875 on May 15, 2024. The bill would amend FECA to require disclaimers on certain political advertisements that are generated using AI. Legislation (H.R. 1; H.R. 5314) addressing various elections topics, including some provisions concerning deepfakes, passed the House in the 117th Congress but was not enacted. In May 2023, the American Association of Political Consultants (AAPC) issued a statement explaining that its board of directors unanimously “condemn[ed] use of deceptive generative AI content in political campaigns” as inconsistent with the organization’s code of ethics. The AAPC position represents a Congressional Research Service https://crsreports.congress.gov IN12222 Congressional Research Service 2 voluntary professional standard, not a regulatory requirement. The AAPC also stated its support for a February 2024 Federal Communications Commission (FCC) declaratory ruling that calls made with AI-generated voices are “artificial” under the Automated Telephone Consumer Protection Act of 1991 (47 U.S.C. §227), and that using AI-generated voice for robocalls absent prior consumer consent is “illegal.” FCC activity on robocalls is otherwise beyond the scope of this Insight. Despite the focus on AI’s role in political advertising, AI also can serve campaign-management functions. For example, political professionals or volunteers could use AI to automate, or supplement human labor to complete, various internal campaign tasks. According to media reports, campaigns have used AI to perform data analysis, compile opposition research, or draft fundraising appeals. Federal Election Commission Rulemaking Activity On June 22, 2023, members of the FEC deadlocked on whether to issue a notice of availability (NOA) to receive comments on an AI rulemaking petition from the interest group Public Citizen. The request asked the FEC to issue rules specifying that the FEC fraudulent misrepresentation of campaign authority prohibition (52 U.S.C. §30124) applied to AI-generated ads. At the June 22 meeting, some commissioners expressed skepticism about the agency’s statutory authority to regulate AI ads; others expressed support for a rulemaking. On July 13, 2023, several Members of Congress wrote to the commission expressing “disappoint[ment]” with the FEC’s action and requested additional information. Also on July 13, 2023, Public Citizen submitted a new rulemaking petition. The commission considered the new petition on August 10, 2023. In this case, it approved an NOA. Discussion at the August 10 meeting suggested that at least some commissioners continued to have reservations about the commission’s authority concerning regulating AI ads in particular; about the appropriateness of the FECA fraudulent misrepresentation provision as an avenue to do so; or both. Fifty-two Members of Congress submitted joint comments encouraging the FEC to adopt rules specifying that the fraudulent-misrepresentation provisions apply to ads created using generative AI, and to require disclaimers on ads created with the technology. In August 2024, three commissioners proposed a notice of disposition (NOD) for the second Public Citizen rulemaking request, following the NOA noted above. The draft proposes to explain that the commission declines to issue rules in this instance for, among other reasons, lack of statutory authority. The commission is scheduled to consider the draft NOD on August 29. FEC Responses to Federal Communications Commission Activity Some House and Senate activity has examined a proposed FCC rulemaking that does not directly implicate campaign finance policy and which is largely beyond the scope of this Insight. On July 25, 2024, the FCC approved a notice of proposed rulemaking (NPRM), published in the Federal Register on August 5. If approved, the rules would require certain licensees (e.g., broadcasters) to (1) announce on air that a political ad contains “AI-generated content”; and (2) include the information in their “political files” of advertising contracts. Another CRS product discusses identification requirements on political advertising in telecommunications law and regulation. On June 3, 2024, FEC Chair Sean Cooksey wrote to FCC Chair Jessica Rosenworcel, stating that the reportedly forthcoming FCC proposed rules would infringe on FEC jurisdiction and could cause confusion before the general election. Three days later, FEC Vice Chair Ellen Weintraub wrote to Rosenworcel stating that the FCC could add telecommunications expertise to AI regulation. It is unclear how or whether the FEC might respond if the FCC adopted the proposed rules. Congressional Research Service 3 IN12222 · VERSION 5 · UPDATED Potential Policy Considerations for Congress If pursuing legislation, Congress might need to determine whether to do so narrowly, such as by addressing specific AI issues, or to also address other campaign finance or elections topics. Congress has pursued both approaches to campaign finance regulation recently. If Congress chose to task the FEC with pursuing rulemaking without also providing additional statutory guidance, it is possible that the commission would be unable to agree, with the four of six minimum required votes, about how to proceed. Maintaining the status quo likely would reinforce the emerging debate about whether additional regulation is needed, including about what role industry should play. Congress could also require agency (or committee or task force) study of AI issues before, or in addition to, other policymaking. Amending FECA would be a typical approach to further regulate ads that are made by political committees; or that solicit funds, engage in express advocacy, or refer to federal candidates through electioneering communications. Although Congress could also amend FECA or another statute to require disclaimers on ads that do not meet those requirements (e.g., issue advocacy), federal campaign finance law currently generally does not regulate issue advocacy. As noted above, amending telecommunications law or regulation could affect broadcasters or other entities that transmit ads, and could affect issue advocacy in ways that campaign finance law and regulation do not. Prohibiting AI-generated ads might raise First Amendment concerns, such as those discussed in another CRS campaign finance product. Author Information R. Sam Garrett Specialist in American National Government

System instruction: [The answer you present must be derived solely from the information within the prompt. No past knowledge or external sources can be used. If the context alone isn't enough to answer the prompt, please say so.] context: [Artificial Intelligence (AI) and Campaign Finance Policy: Recent Developments Updated August 27, 2024 No federal statute or regulation specifically addresses artificial intelligence (AI) in political campaigns. The Federal Election Campaign Act (FECA) and Federal Election Commission (FEC) regulations govern conduct that calls for election or defeat of federal candidates or solicits funds. They also regulate some advertisements (electioneering communications) that refer to clearly identified federal candidates during preelection periods that do not call for election or defeat. Disclaimer requirements that mandate attribution for communications regulated by campaign finance law appear to apply to ads created with AI. Those requirements do not mandate that such advertising alert the audience, or regulators, to the presence of AI-generated content. Campaign management decisions, such as which technology to use, are generally not subject to regulation. This updated CRS Insight discusses recent developments that could be relevant as Congress monitors or considers legislation related to AI and campaign finance policy. It does not address legal issues. Other CRS products provide information on generative AI and other AI policy areas. AI in Political Campaigns, and Recent Legislative Developments Recent policy attention to AI in campaigns focuses on “deepfakes,” referring to artificially manipulated audio or video content in political advertising. Such advertising appears to present new challenges for campaigns and voters about how to determine whether communications are authentic. Recent legislation proposes disclaimers, reporting requirements, or prohibitions on deepfakes in federal campaigns or elections. Bills introduced in the 118th Congress include H.R. 3044; H.R. 3106; H.R. 3831; H.R. 4611; H.R. 5586; H.R. 8384; H.R. 8668; S. 686; S. 1596; S. 2770; and S. 3875. The Senate Committee on Rules and Administration reported an amended version of S. 3875 on May 15, 2024. The bill would amend FECA to require disclaimers on certain political advertisements that are generated using AI. Legislation (H.R. 1; H.R. 5314) addressing various elections topics, including some provisions concerning deepfakes, passed the House in the 117th Congress but was not enacted. In May 2023, the American Association of Political Consultants (AAPC) issued a statement explaining that its board of directors unanimously “condemn[ed] use of deceptive generative AI content in political campaigns” as inconsistent with the organization’s code of ethics. The AAPC position represents a Congressional Research Service https://crsreports.congress.gov IN12222 Congressional Research Service 2 voluntary professional standard, not a regulatory requirement. The AAPC also stated its support for a February 2024 Federal Communications Commission (FCC) declaratory ruling that calls made with AI-generated voices are “artificial” under the Automated Telephone Consumer Protection Act of 1991 (47 U.S.C. §227), and that using AI-generated voice for robocalls absent prior consumer consent is “illegal.” FCC activity on robocalls is otherwise beyond the scope of this Insight. Despite the focus on AI’s role in political advertising, AI also can serve campaign-management functions. For example, political professionals or volunteers could use AI to automate, or supplement human labor to complete, various internal campaign tasks. According to media reports, campaigns have used AI to perform data analysis, compile opposition research, or draft fundraising appeals. Federal Election Commission Rulemaking Activity On June 22, 2023, members of the FEC deadlocked on whether to issue a notice of availability (NOA) to receive comments on an AI rulemaking petition from the interest group Public Citizen. The request asked the FEC to issue rules specifying that the FEC fraudulent misrepresentation of campaign authority prohibition (52 U.S.C. §30124) applied to AI-generated ads. At the June 22 meeting, some commissioners expressed skepticism about the agency’s statutory authority to regulate AI ads; others expressed support for a rulemaking. On July 13, 2023, several Members of Congress wrote to the commission expressing “disappoint[ment]” with the FEC’s action and requested additional information. Also on July 13, 2023, Public Citizen submitted a new rulemaking petition. The commission considered the new petition on August 10, 2023. In this case, it approved an NOA. Discussion at the August 10 meeting suggested that at least some commissioners continued to have reservations about the commission’s authority concerning regulating AI ads in particular; about the appropriateness of the FECA fraudulent misrepresentation provision as an avenue to do so; or both. Fifty-two Members of Congress submitted joint comments encouraging the FEC to adopt rules specifying that the fraudulent-misrepresentation provisions apply to ads created using generative AI, and to require disclaimers on ads created with the technology. In August 2024, three commissioners proposed a notice of disposition (NOD) for the second Public Citizen rulemaking request, following the NOA noted above. The draft proposes to explain that the commission declines to issue rules in this instance for, among other reasons, lack of statutory authority. The commission is scheduled to consider the draft NOD on August 29. FEC Responses to Federal Communications Commission Activity Some House and Senate activity has examined a proposed FCC rulemaking that does not directly implicate campaign finance policy and which is largely beyond the scope of this Insight. On July 25, 2024, the FCC approved a notice of proposed rulemaking (NPRM), published in the Federal Register on August 5. If approved, the rules would require certain licensees (e.g., broadcasters) to (1) announce on air that a political ad contains “AI-generated content”; and (2) include the information in their “political files” of advertising contracts. Another CRS product discusses identification requirements on political advertising in telecommunications law and regulation. On June 3, 2024, FEC Chair Sean Cooksey wrote to FCC Chair Jessica Rosenworcel, stating that the reportedly forthcoming FCC proposed rules would infringe on FEC jurisdiction and could cause confusion before the general election. Three days later, FEC Vice Chair Ellen Weintraub wrote to Rosenworcel stating that the FCC could add telecommunications expertise to AI regulation. It is unclear how or whether the FEC might respond if the FCC adopted the proposed rules. Congressional Research Service 3 IN12222 · VERSION 5 · UPDATED Potential Policy Considerations for Congress If pursuing legislation, Congress might need to determine whether to do so narrowly, such as by addressing specific AI issues, or to also address other campaign finance or elections topics. Congress has pursued both approaches to campaign finance regulation recently. If Congress chose to task the FEC with pursuing rulemaking without also providing additional statutory guidance, it is possible that the commission would be unable to agree, with the four of six minimum required votes, about how to proceed. Maintaining the status quo likely would reinforce the emerging debate about whether additional regulation is needed, including about what role industry should play. Congress could also require agency (or committee or task force) study of AI issues before, or in addition to, other policymaking. Amending FECA would be a typical approach to further regulate ads that are made by political committees; or that solicit funds, engage in express advocacy, or refer to federal candidates through electioneering communications. Although Congress could also amend FECA or another statute to require disclaimers on ads that do not meet those requirements (e.g., issue advocacy), federal campaign finance law currently generally does not regulate issue advocacy. As noted above, amending telecommunications law or regulation could affect broadcasters or other entities that transmit ads, and could affect issue advocacy in ways that campaign finance law and regulation do not. Prohibiting AI-generated ads might raise First Amendment concerns, such as those discussed in another CRS campaign finance product. Author Information R. Sam Garrett Specialist in American National Government] question: [What does H.R. 4611 entail?]

You only have access to the provided information to answer questions.

What could happen if someone has an emergency related to HT? Explain in bullet points then summarize in 1 paragraph.

Key issues for the Providers: 1. Most people with hypertension in India are unaware of their condition. To improve rates of detection of hypertension, all adults over the age of 18 should undergo opportunistic screening for hypertension during visits to non-physician health staff as well as health facilities. In addition, community based health workers should also do targeted screening of high risk groups under their care – elderly > 60 years, diabetic, obese, those with any cardiovascular disease, family history of premature cardiovascular disease. 2. Screening for hypertension should involve measurement of blood pressure using a validated device ( mercury or digital) with an appropriate sized cuff, following a standardised procedure on a relaxed patient, seated with arm supported at the heart level with the legs uncrossed. Diagnosis of hypertension should be based on a minimum of 2 sets of readings on 2 different occasions, which are at least 1-4 weeks apart, except in the case of hypertensive emergencies and urgencies. Hypertension in persons <80 years of age is diagnosed on documentation of persistent elevation of systolic BP of > 140 mm and/or 90 mm diastolic. 3. Patients should be educated about the nature of the disease and its therapy, about lifestyle modifications that can reduce BP and cardiovascular risk. Patients should undergo assessment for cardiovascular risk factors, target organ damage related to hypertension, associated clinical conditions like diabetes, chronic kidney disease, and cardiovascular disease ( e.g. coronary artery disease, stroke). Most of these assessments which involve history, clinical examination, and examination for proteinuria, diabetes, serum creatinine, lipids and ECG will be possible to complete at the PHC and CHC levels with the advent of the free diagnostics initiative. 4. Hypertension is a primary care issue and best managed at the primary care level with a team approach involving physicians, and allied staff. .Hypertension should be managed using a combination of lifestyle modifications and use of drug therapy with ACE inhibitors, Calcium channel blockers and thiazide diuretics, either alone or in combination. The benefit of treatment is related to reduction of BP rather than the use of a particular drug. All drug classes have equivalent effects but some are preferred in the presence of compelling indiccation. Both Calcium channel blockers and ACE inhibitors are effective, have few side effects, and have no adverse metabolic consequences or high requirements for monitoring. 5. The target BP should be less than < 140 mm systolic in persons < 80 year old and < 150 mm systolic in those over 80 years old, while the target diastolic BP is < 90 mm Hg. To achieve the target BP especially in those with Grade 2 and Grade 3 Hypertension may require the use of 2 or even drugs. Grade 1 HT which is uncomplicated, may be given a trial of lifestyle modifications alone for 3 months, 6. Efforts should be made to promote follow up and adherence to long term therapy to antihypertensive. In selected patients especially those with associated cardiovascular disease, both statin and aspirin may be given along with antihypertensive to reduce risk of CV event. In patients with diabetes, statins may be indicated. Key issues for the programme: 8Screening, Diagnosis, Assessment, and Management of Primary Hypertension- Full Document The screening of hypertension should be done by a physician or trained non physician staff, using an automated BP instrument or any other validated device, and following a standardised BP measurement procedure. 1.4.Blood pressure should be measured a few (5) minutes after the patient is in a relaxed state, is seated with the arm at the level of the heart, with legs uncrossed. The cuff should have a bladder whose length is about 80% and whose breadth is about 40% of the arm circumference. If the auscultation based method is being used, the then the cuff should initially be inflated to at least 30 mm Hg beyond the point of disappearance of the radial pulse. It should then be deflated at a rate of 2- 3 mm per second. The first and the last audible Korotkoff sounds should be taken at the systolic BP and diastolic BP respectively. The column should be read to the nearest 2 mm Hg. 1.5.At least 2 readings should be taken at each visit with an interval of at least 1 minute between the measurements. If the two readings are substantially different a third reading should be taken. The lower of the two readings should be taken as the representative SBP and DBP. Hypertensive emergencies are potentially life-threatening situations where hypertension (usually severe and > 180 mm systolic and >120 mm diastolic associated with the presence of recent onset and progressive target organ damage resulting in cardiovascular, neurologic, renal and visual dysfunction. These situations may include severe hypertension associated with acute coronary syndrome (chest pain), acute left ventricular dysfunction (shortness of breath), and hypertensive encephalopathy (altered sensorium), stroke (focal weakness), and renal failure. It is most often associated with severe hypertension, except in children and pregnant women where hypertensive emergencies can occur with lower elevations of BP. The induction and orientation session was held on 21st July 2015 in which the facilitator (Chair) welcomed all the members of the subgroup, and set up the rules of operation based on the STG development manual, on the consistent use of terminology and definitions, using the structured power-point presentation provided by NHSRC/NICE. None of the members report any conflict of interest in the development of this guideline and have all signed their declarations 2. Search and selection of evidence based guidelines: In view of the paucity of time available to develop this guideline, a decision was taken by the Task Force for the Development of STGs for the National Health Mission that these STGs would be adopted and/or adapted from existing evidence based guidelines to make them relevant to our context, resource settings and priorities. A search was conducted for evidence based guidelines on primary hypertension, which had been published within the past 5 years and which had been framed using evidence based methodology and using international guideline development criteria. The National Guidelines Clearinghouse (NGC) website was used since the guidelines have already gone through a rigorous ‘quality’ sifts based on international standards (http://www.guideline.gov/). The criteria for Inclusion of Clinical Practice Guidelines in NGC are based on the Institute of Medicine (IOM) Clinical Guidelines Standards 2011 and IOM systematic review standards 2014. The guidelines available on the database have been developed, reviewed, or revised within the past five years. The NGC entry criteria are similar to the AGREE II Instrument criteria5

You only have access to the provided information to answer questions. What could happen if someone has an emergency related to HT? Explain in bullet points then summarize in 1 paragraph. Key issues for the Providers: 1. Most people with hypertension in India are unaware of their condition. To improve rates of detection of hypertension, all adults over the age of 18 should undergo opportunistic screening for hypertension during visits to non-physician health staff as well as health facilities. In addition, community based health workers should also do targeted screening of high risk groups under their care – elderly > 60 years, diabetic, obese, those with any cardiovascular disease, family history of premature cardiovascular disease. 2. Screening for hypertension should involve measurement of blood pressure using a validated device ( mercury or digital) with an appropriate sized cuff, following a standardised procedure on a relaxed patient, seated with arm supported at the heart level with the legs uncrossed. Diagnosis of hypertension should be based on a minimum of 2 sets of readings on 2 different occasions, which are at least 1-4 weeks apart, except in the case of hypertensive emergencies and urgencies. Hypertension in persons <80 years of age is diagnosed on documentation of persistent elevation of systolic BP of > 140 mm and/or 90 mm diastolic. 3. Patients should be educated about the nature of the disease and its therapy, about lifestyle modifications that can reduce BP and cardiovascular risk. Patients should undergo assessment for cardiovascular risk factors, target organ damage related to hypertension, associated clinical conditions like diabetes, chronic kidney disease, and cardiovascular disease ( e.g. coronary artery disease, stroke). Most of these assessments which involve history, clinical examination, and examination for proteinuria, diabetes, serum creatinine, lipids and ECG will be possible to complete at the PHC and CHC levels with the advent of the free diagnostics initiative. 4. Hypertension is a primary care issue and best managed at the primary care level with a team approach involving physicians, and allied staff. .Hypertension should be managed using a combination of lifestyle modifications and use of drug therapy with ACE inhibitors, Calcium channel blockers and thiazide diuretics, either alone or in combination. The benefit of treatment is related to reduction of BP rather than the use of a particular drug. All drug classes have equivalent effects but some are preferred in the presence of compelling indiccation. Both Calcium channel blockers and ACE inhibitors are effective, have few side effects, and have no adverse metabolic consequences or high requirements for monitoring. 5. The target BP should be less than < 140 mm systolic in persons < 80 year old and < 150 mm systolic in those over 80 years old, while the target diastolic BP is < 90 mm Hg. To achieve the target BP especially in those with Grade 2 and Grade 3 Hypertension may require the use of 2 or even drugs. Grade 1 HT which is uncomplicated, may be given a trial of lifestyle modifications alone for 3 months, 6. Efforts should be made to promote follow up and adherence to long term therapy to antihypertensive. In selected patients especially those with associated cardiovascular disease, both statin and aspirin may be given along with antihypertensive to reduce risk of CV event. In patients with diabetes, statins may be indicated. Key issues for the programme: 8Screening, Diagnosis, Assessment, and Management of Primary Hypertension- Full Document The screening of hypertension should be done by a physician or trained non physician staff, using an automated BP instrument or any other validated device, and following a standardised BP measurement procedure. 1.4.Blood pressure should be measured a few (5) minutes after the patient is in a relaxed state, is seated with the arm at the level of the heart, with legs uncrossed. The cuff should have a bladder whose length is about 80% and whose breadth is about 40% of the arm circumference. If the auscultation based method is being used, the then the cuff should initially be inflated to at least 30 mm Hg beyond the point of disappearance of the radial pulse. It should then be deflated at a rate of 2- 3 mm per second. The first and the last audible Korotkoff sounds should be taken at the systolic BP and diastolic BP respectively. The column should be read to the nearest 2 mm Hg. 1.5.At least 2 readings should be taken at each visit with an interval of at least 1 minute between the measurements. If the two readings are substantially different a third reading should be taken. The lower of the two readings should be taken as the representative SBP and DBP. Hypertensive emergencies are potentially life-threatening situations where hypertension (usually severe and > 180 mm systolic and >120 mm diastolic associated with the presence of recent onset and progressive target organ damage resulting in cardiovascular, neurologic, renal and visual dysfunction. These situations may include severe hypertension associated with acute coronary syndrome (chest pain), acute left ventricular dysfunction (shortness of breath), and hypertensive encephalopathy (altered sensorium), stroke (focal weakness), and renal failure. It is most often associated with severe hypertension, except in children and pregnant women where hypertensive emergencies can occur with lower elevations of BP. The induction and orientation session was held on 21st July 2015 in which the facilitator (Chair) welcomed all the members of the subgroup, and set up the rules of operation based on the STG development manual, on the consistent use of terminology and definitions, using the structured power-point presentation provided by NHSRC/NICE. None of the members report any conflict of interest in the development of this guideline and have all signed their declarations 2. Search and selection of evidence based guidelines: In view of the paucity of time available to develop this guideline, a decision was taken by the Task Force for the Development of STGs for the National Health Mission that these STGs would be adopted and/or adapted from existing evidence based guidelines to make them relevant to our context, resource settings and priorities. A search was conducted for evidence based guidelines on primary hypertension, which had been published within the past 5 years and which had been framed using evidence based methodology and using international guideline development criteria. The National Guidelines Clearinghouse (NGC) website was used since the guidelines have already gone through a rigorous ‘quality’ sifts based on international standards (http://www.guideline.gov/). The criteria for Inclusion of Clinical Practice Guidelines in NGC are based on the Institute of Medicine (IOM) Clinical Guidelines Standards 2011 and IOM systematic review standards 2014. The guidelines available on the database have been developed, reviewed, or revised within the past five years. The NGC entry criteria are similar to the AGREE II Instrument criteria5

Respond with only information from the given context. Respond in list form with descriptions for each item.

What are the organizational factors of productivity in knowledge work?

Organisational input factors Already the terms knowledge-intensive organisation and knowledge workers highlight the fact that human capital of employees is the most important input. Their ability to convert previous knowledge and experiences into new solutions forms the base for organisations’ operation. It is, in fact, what pure knowledge-intensive organisations are selling. Essential are not only the knowledge reserves of the workers, but also what they are able to do with them. (Drucker 1999, p. 84) Characteristic to knowledge work is also the element of learning. For example a person working in product development has to be able to observe his research subject and to learn from it, as well as to be able to apply the things he learns into new products. To a certain point, also a knowledge worker’s productivity can be increased by education, but above all, as Polanyi (1966) states it, most of the exploitable human capital is tacit in nature and is formed through experience rather than learned from books (according to Nonaka and Takeuchi 1995, pp. 59-61). Because human memory is limited, it is relevant that workers can share their information and knowledge with each other – learn themselves but also teach others (Drucker 1999, pp. 84). Learning and the ability to create new things are also highlighted when the organisation’s objective is to innovate. Organisation’s innovativeness can be defined as an ability to maintain existing success factors at the same time, when new solutions are made in order to ensure competitive advantage also in future (Pöyhönen 2004, Ståhle et al. 2004, p. 13). The innovative potential is basically in the employees, but it can be brought about by different managerial actions. It requires at least an implication from the management that innovative behaviour is what is expected from the employee. Innovativeness appears as worker’s ability to create new solutions and not just relying on existing practises and models. On the other hand, sharing of information is important when we think about information used in work process. This includes not only information that is gathered from the customer but 6 also information, which already exists in the organisation but is not specifically “owned” by certain employee. Just as in manual work, waiting and searching for resources hinders productivity of a knowledge worker – their resources are only immaterial in nature and it might be more difficult to pay attention to the time used in looking for information. It often is a part of the work to look for adequate new information. However, it is not productive that employees should spend time looking for information that already exists but is too difficult to find. Although information systems are nowadays used by virtually all companies, and are therefore seen more as a tool instead of a resource, their importance in information sharing is undeniable. Especially important is the worker’s ability to exploit them in their work and that information systems support the way an organisation answers to its customer’s needs. (Ståhle et al. 2004, p. 78) Information systems are, however, quite useless if the quality of information they include is low – information is, for example, wrong or incomplete. Knowledge workers make decisions based on the information available, and if it is unsatisfactory, outcome of the process can be poor in quality or even totally unusable for the customer. Information should not be shared only between the workers within organisation, but also with all interest groups. Organisational networks are a part of intellectual capital. An organisation can enforce some networks (customers, subcontractors, distributors, research partners etc.; Edvinsson and Malone 1997, p. 11) and provide its employees with sufficient means to attain information needed in their work. Insufficient networks can result in a deficit of information, which will evidently lead to inability to answer to customers’ needs and loss of competitive advantage. Although knowledge work is distinctively described as something, where the workers themselves decide, how they manage their tasks (Pepitone 2002 refers to the amount of discretion required), in every organization there are certain standards, routines and practices that have come about in the course of time. They are based on mental models that the members share, and often reflect the values, norms, beliefs and myths of the organisation (Juuti 2003 and Schein 1987 according to Ståhle et al. 2004. p. 82). These standards can either support working or hinder it. Anyhow, they do exist and should not be neglected when examining productivity. Castells (2000) has argued, that standardisation of work processes intensifies also knowledge work especially when there is interaction between different actors of the process (see also McKenzie and van Winkelen 2004, p. 40). On the other hand both Jackson (1999) and Blom et al. (2001) have emphasised the ability of a knowledge-intensive organisation to utilise new practices to concentrate on allowing employees to determine their own approaches. Time used in production is a rather complex input factor. Traditionally, productivity is seen increased if the output has been produced in shorter time period. This often happens also in knowledge work: when the workers learn how to do things and have more experience to which they can relate new problems they can perform similar tasks faster than before. However, there is a limit for how much time used can be decreased before the quality of work is eroded. In knowledge work, “quality is the essence of the output” (Drucker 1999, p. 84). Also, if a worker has too much time or too little work to do, his productivity can suffer. The key issue is to find the right balance. Working environment and its effect on productivity has been researched rather extensively. It is also the area, where subjective productivity measurement has been mostly used. Lighting, air conditioning, cleaning, heating, noise controlling as well as office layouts are known to affect productivity (see for example Seppänen 2004 or Oseland and Bartlett 1999). Working environment at its worst prevents employees from doing their job and its best can contribute to innovative atmosphere (Davenport et al. 2002; Ståhle et al. 2004, pp. 78-82) Working environment includes not only physical facilities but also the psychological atmosphere and the organisational culture. They can actually be even more important in knowledge work, as 7 for example acceptance of new ideas (Kanter 1987, p. 181), common language (DeSimone and Hatsopoulos 1995: Von Krogh 1998), values and goals (West 1990) as well as approval of different people and taking failures as part of innovative work are known to support innovative atmosphere in organisations (in Ståhle et al. 2004, pp. 82-95). But above all, even if the workers of knowledge-intensive organisation have all the other inputs described – human capital, knowledge and experiences, information systems, perfect working environment etc. – not much can be done with it, if they do not know what they are pursuing for. The clear aim of working is the essential for succeeding. As Drucker (1999, p. 84) puts it, the productivity assessment in knowledge work should always be based on the questions “What is the worker’s actual task?” instead of “How should the work be done?”. Therefore, in order to be able to fulfil their task, knowledge workers should be clearly aware what it is that the organisation wants them to do, and this should always be the first input to any process.

Respond with only information from the given context. Respond in list form with descriptions for each item. What are the organizational factors of productivity in knowledge work? Organisational input factors Already the terms knowledge-intensive organisation and knowledge workers highlight the fact that human capital of employees is the most important input. Their ability to convert previous knowledge and experiences into new solutions forms the base for organisations’ operation. It is, in fact, what pure knowledge-intensive organisations are selling. Essential are not only the knowledge reserves of the workers, but also what they are able to do with them. (Drucker 1999, p. 84) Characteristic to knowledge work is also the element of learning. For example a person working in product development has to be able to observe his research subject and to learn from it, as well as to be able to apply the things he learns into new products. To a certain point, also a knowledge worker’s productivity can be increased by education, but above all, as Polanyi (1966) states it, most of the exploitable human capital is tacit in nature and is formed through experience rather than learned from books (according to Nonaka and Takeuchi 1995, pp. 59-61). Because human memory is limited, it is relevant that workers can share their information and knowledge with each other – learn themselves but also teach others (Drucker 1999, pp. 84). Learning and the ability to create new things are also highlighted when the organisation’s objective is to innovate. Organisation’s innovativeness can be defined as an ability to maintain existing success factors at the same time, when new solutions are made in order to ensure competitive advantage also in future (Pöyhönen 2004, Ståhle et al. 2004, p. 13). The innovative potential is basically in the employees, but it can be brought about by different managerial actions. It requires at least an implication from the management that innovative behaviour is what is expected from the employee. Innovativeness appears as worker’s ability to create new solutions and not just relying on existing practises and models. On the other hand, sharing of information is important when we think about information used in work process. This includes not only information that is gathered from the customer but 6 also information, which already exists in the organisation but is not specifically “owned” by certain employee. Just as in manual work, waiting and searching for resources hinders productivity of a knowledge worker – their resources are only immaterial in nature and it might be more difficult to pay attention to the time used in looking for information. It often is a part of the work to look for adequate new information. However, it is not productive that employees should spend time looking for information that already exists but is too difficult to find. Although information systems are nowadays used by virtually all companies, and are therefore seen more as a tool instead of a resource, their importance in information sharing is undeniable. Especially important is the worker’s ability to exploit them in their work and that information systems support the way an organisation answers to its customer’s needs. (Ståhle et al. 2004, p. 78) Information systems are, however, quite useless if the quality of information they include is low – information is, for example, wrong or incomplete. Knowledge workers make decisions based on the information available, and if it is unsatisfactory, outcome of the process can be poor in quality or even totally unusable for the customer. Information should not be shared only between the workers within organisation, but also with all interest groups. Organisational networks are a part of intellectual capital. An organisation can enforce some networks (customers, subcontractors, distributors, research partners etc.; Edvinsson and Malone 1997, p. 11) and provide its employees with sufficient means to attain information needed in their work. Insufficient networks can result in a deficit of information, which will evidently lead to inability to answer to customers’ needs and loss of competitive advantage. Although knowledge work is distinctively described as something, where the workers themselves decide, how they manage their tasks (Pepitone 2002 refers to the amount of discretion required), in every organization there are certain standards, routines and practices that have come about in the course of time. They are based on mental models that the members share, and often reflect the values, norms, beliefs and myths of the organisation (Juuti 2003 and Schein 1987 according to Ståhle et al. 2004. p. 82). These standards can either support working or hinder it. Anyhow, they do exist and should not be neglected when examining productivity. Castells (2000) has argued, that standardisation of work processes intensifies also knowledge work especially when there is interaction between different actors of the process (see also McKenzie and van Winkelen 2004, p. 40). On the other hand both Jackson (1999) and Blom et al. (2001) have emphasised the ability of a knowledge-intensive organisation to utilise new practices to concentrate on allowing employees to determine their own approaches. Time used in production is a rather complex input factor. Traditionally, productivity is seen increased if the output has been produced in shorter time period. This often happens also in knowledge work: when the workers learn how to do things and have more experience to which they can relate new problems they can perform similar tasks faster than before. However, there is a limit for how much time used can be decreased before the quality of work is eroded. In knowledge work, “quality is the essence of the output” (Drucker 1999, p. 84). Also, if a worker has too much time or too little work to do, his productivity can suffer. The key issue is to find the right balance. Working environment and its effect on productivity has been researched rather extensively. It is also the area, where subjective productivity measurement has been mostly used. Lighting, air conditioning, cleaning, heating, noise controlling as well as office layouts are known to affect productivity (see for example Seppänen 2004 or Oseland and Bartlett 1999). Working environment at its worst prevents employees from doing their job and its best can contribute to innovative atmosphere (Davenport et al. 2002; Ståhle et al. 2004, pp. 78-82) Working environment includes not only physical facilities but also the psychological atmosphere and the organisational culture. They can actually be even more important in knowledge work, as 7 for example acceptance of new ideas (Kanter 1987, p. 181), common language (DeSimone and Hatsopoulos 1995: Von Krogh 1998), values and goals (West 1990) as well as approval of different people and taking failures as part of innovative work are known to support innovative atmosphere in organisations (in Ståhle et al. 2004, pp. 82-95). But above all, even if the workers of knowledge-intensive organisation have all the other inputs described – human capital, knowledge and experiences, information systems, perfect working environment etc. – not much can be done with it, if they do not know what they are pursuing for. The clear aim of working is the essential for succeeding. As Drucker (1999, p. 84) puts it, the productivity assessment in knowledge work should always be based on the questions “What is the worker’s actual task?” instead of “How should the work be done?”. Therefore, in order to be able to fulfil their task, knowledge workers should be clearly aware what it is that the organisation wants them to do, and this should always be the first input to any process.

Create your answer using only information found in the context provided.

What are the circumstances in which someone should not take BuSpar?

Renal Impairment After multiple-dose administration of buspirone to renally impaired (Clcr = 10– 70 mL/min/1.73 m2) patients, steady-state AUC of buspirone increased 4-fold compared with healthy (Clcr ≥80 mL/min/1.73 m2) subjects (see PRECAUTIONS). Race Effects The effects of race on the pharmacokinetics of buspirone have not been studied. INDICATIONS AND USAGE BuSpar is indicated for the management of anxiety disorders or the short-term relief of the symptoms of anxiety. Anxiety or tension associated with the stress of everyday life usually does not require treatment with an anxiolytic. The efficacy of BuSpar has been demonstrated in controlled clinical trials of outpatients whose diagnosis roughly corresponds to Generalized Anxiety Disorder (GAD). Many of the patients enrolled in these studies also had coexisting depressive symptoms and BuSpar relieved anxiety in the presence of these coexisting depressive symptoms. The patients evaluated in these studies had experienced symptoms for periods of 1 month to over 1 year prior to the study, with an average symptom duration of 6 months. Generalized Anxiety Disorder (300.02) is described in the American Psychiatric Association's Diagnostic and Statistical Manual, III1 as follows: Generalized, persistent anxiety (of at least 1 month continual duration), manifested by symptoms from three of the four following categories: 1. Motor tension: shakiness, jitteriness, jumpiness, trembling, tension, muscle aches, fatigability, inability to relax, eyelid twitch, furrowed brow, strained face, fidgeting, restlessness, easy startle. 2. Autonomic hyperactivity: sweating, heart pounding or racing, cold, clammy hands, dry mouth, dizziness, lightheadedness, paresthesias (tingling in hands or feet), upset stomach, hot or cold spells, frequent urination, diarrhea, discomfort in the pit of the stomach, lump in the throat, flushing, pallor, high resting pulse and respiration rate. 4 Reference ID: 2867200 3. Apprehensive expectation: anxiety, worry, fear, rumination, and anticipation of misfortune to self or others. 4. Vigilance and scanning: hyperattentiveness resulting in distractibility, difficulty in concentrating, insomnia, feeling "on edge," irritability, impatience. The above symptoms would not be due to another mental disorder, such as a depressive disorder or schizophrenia. However, mild depressive symptoms are common in GAD. The effectiveness of BuSpar in long-term use, that is, for more than 3 to 4 weeks, has not been demonstrated in controlled trials. There is no body of evidence available that systematically addresses the appropriate duration of treatment for GAD. However, in a study of long-term use, 264 patients were treated with BuSpar for 1 year without ill effect. Therefore, the physician who elects to use BuSpar for extended periods should periodically reassess the usefulness of the drug for the individual patient. CONTRAINDICATIONS BuSpar is contraindicated in patients hypersensitive to buspirone hydrochloride. WARNINGS The administration of BuSpar to a patient taking a monoamine oxidase inhibitor (MAOI) may pose a hazard. There have been reports of the occurrence of elevated blood pressure when BuSpar (buspirone hydrochloride) has been added to a regimen including an MAOI. Therefore, it is recommended that BuSpar not be used concomitantly with an MAOI. Because BuSpar has no established antipsychotic activity, it should not be employed in lieu of appropriate antipsychotic treatment. PRECAUTIONS General Interference with Cognitive and Motor Performance Studies indicate that BuSpar is less sedating than other anxiolytics and that it does not produce significant functional impairment. However, its CNS effects in any individual patient may not be predictable. Therefore, patients should be cautioned about operating an 5 Reference ID: 2867200 automobile or using complex machinery until they are reasonably certain that buspirone treatment does not affect them adversely. While formal studies of the interaction of BuSpar (buspirone hydrochloride) with alcohol indicate that buspirone does not increase alcohol-induced impairment in motor and mental performance, it is prudent to avoid concomitant use of alcohol and buspirone. Potential for Withdrawal Reactions in Sedative/Hypnotic/Anxiolytic Drug- Dependent Patients Because BuSpar does not exhibit cross-tolerance with benzodiazepines and other common sedative/hypnotic drugs, it will not block the withdrawal syndrome often seen with cessation of therapy with these drugs. Therefore, before starting therapy with BuSpar, it is advisable to withdraw patients gradually, especially patients who have been using a CNS-depressant drug chronically, from their prior treatment. Rebound or withdrawal symptoms may occur over varying time periods, depending in part on the type of drug, and its effective half-life of elimination. The syndrome of withdrawal from sedative/hypnotic/anxiolytic drugs can appear as any combination of irritability, anxiety, agitation, insomnia, tremor, abdominal cramps, muscle cramps, vomiting, sweating, flu-like symptoms without fever, and occasionally, even as seizures. Possible Concerns Related to Buspirone's Binding to Dopamine Receptors Because buspirone can bind to central dopamine receptors, a question has been raised about its potential to cause acute and chronic changes in dopamine-mediated neurological function (eg, dystonia, pseudo-parkinsonism, akathisia, and tardive dyskinesia). Clinical experience in controlled trials has failed to identify any significant neuroleptic-like activity; however, a syndrome of restlessness, appearing shortly after initiation of treatment, has been reported in some small fraction of buspirone-treated patients. The syndrome may be explained in several ways. For example, buspirone may increase central noradrenergic activity; alternatively, the effect may be attributable to dopaminergic effects (ie, represent akathisia). See ADVERSE REACTIONS: Postmarketing Experience.

Create your answer using only information found in the context provided. What are the circumstances in which someone should not take BuSpar? Renal Impairment After multiple-dose administration of buspirone to renally impaired (Clcr = 10– 70 mL/min/1.73 m2) patients, steady-state AUC of buspirone increased 4-fold compared with healthy (Clcr ≥80 mL/min/1.73 m2) subjects (see PRECAUTIONS). Race Effects The effects of race on the pharmacokinetics of buspirone have not been studied. INDICATIONS AND USAGE BuSpar is indicated for the management of anxiety disorders or the short-term relief of the symptoms of anxiety. Anxiety or tension associated with the stress of everyday life usually does not require treatment with an anxiolytic. The efficacy of BuSpar has been demonstrated in controlled clinical trials of outpatients whose diagnosis roughly corresponds to Generalized Anxiety Disorder (GAD). Many of the patients enrolled in these studies also had coexisting depressive symptoms and BuSpar relieved anxiety in the presence of these coexisting depressive symptoms. The patients evaluated in these studies had experienced symptoms for periods of 1 month to over 1 year prior to the study, with an average symptom duration of 6 months. Generalized Anxiety Disorder (300.02) is described in the American Psychiatric Association's Diagnostic and Statistical Manual, III1 as follows: Generalized, persistent anxiety (of at least 1 month continual duration), manifested by symptoms from three of the four following categories: 1. Motor tension: shakiness, jitteriness, jumpiness, trembling, tension, muscle aches, fatigability, inability to relax, eyelid twitch, furrowed brow, strained face, fidgeting, restlessness, easy startle. 2. Autonomic hyperactivity: sweating, heart pounding or racing, cold, clammy hands, dry mouth, dizziness, lightheadedness, paresthesias (tingling in hands or feet), upset stomach, hot or cold spells, frequent urination, diarrhea, discomfort in the pit of the stomach, lump in the throat, flushing, pallor, high resting pulse and respiration rate. 4 Reference ID: 2867200 3. Apprehensive expectation: anxiety, worry, fear, rumination, and anticipation of misfortune to self or others. 4. Vigilance and scanning: hyperattentiveness resulting in distractibility, difficulty in concentrating, insomnia, feeling "on edge," irritability, impatience. The above symptoms would not be due to another mental disorder, such as a depressive disorder or schizophrenia. However, mild depressive symptoms are common in GAD. The effectiveness of BuSpar in long-term use, that is, for more than 3 to 4 weeks, has not been demonstrated in controlled trials. There is no body of evidence available that systematically addresses the appropriate duration of treatment for GAD. However, in a study of long-term use, 264 patients were treated with BuSpar for 1 year without ill effect. Therefore, the physician who elects to use BuSpar for extended periods should periodically reassess the usefulness of the drug for the individual patient. CONTRAINDICATIONS BuSpar is contraindicated in patients hypersensitive to buspirone hydrochloride. WARNINGS The administration of BuSpar to a patient taking a monoamine oxidase inhibitor (MAOI) may pose a hazard. There have been reports of the occurrence of elevated blood pressure when BuSpar (buspirone hydrochloride) has been added to a regimen including an MAOI. Therefore, it is recommended that BuSpar not be used concomitantly with an MAOI. Because BuSpar has no established antipsychotic activity, it should not be employed in lieu of appropriate antipsychotic treatment. PRECAUTIONS General Interference with Cognitive and Motor Performance Studies indicate that BuSpar is less sedating than other anxiolytics and that it does not produce significant functional impairment. However, its CNS effects in any individual patient may not be predictable. Therefore, patients should be cautioned about operating an 5 Reference ID: 2867200 automobile or using complex machinery until they are reasonably certain that buspirone treatment does not affect them adversely. While formal studies of the interaction of BuSpar (buspirone hydrochloride) with alcohol indicate that buspirone does not increase alcohol-induced impairment in motor and mental performance, it is prudent to avoid concomitant use of alcohol and buspirone. Potential for Withdrawal Reactions in Sedative/Hypnotic/Anxiolytic Drug- Dependent Patients Because BuSpar does not exhibit cross-tolerance with benzodiazepines and other common sedative/hypnotic drugs, it will not block the withdrawal syndrome often seen with cessation of therapy with these drugs. Therefore, before starting therapy with BuSpar, it is advisable to withdraw patients gradually, especially patients who have been using a CNS-depressant drug chronically, from their prior treatment. Rebound or withdrawal symptoms may occur over varying time periods, depending in part on the type of drug, and its effective half-life of elimination. The syndrome of withdrawal from sedative/hypnotic/anxiolytic drugs can appear as any combination of irritability, anxiety, agitation, insomnia, tremor, abdominal cramps, muscle cramps, vomiting, sweating, flu-like symptoms without fever, and occasionally, even as seizures. Possible Concerns Related to Buspirone's Binding to Dopamine Receptors Because buspirone can bind to central dopamine receptors, a question has been raised about its potential to cause acute and chronic changes in dopamine-mediated neurological function (eg, dystonia, pseudo-parkinsonism, akathisia, and tardive dyskinesia). Clinical experience in controlled trials has failed to identify any significant neuroleptic-like activity; however, a syndrome of restlessness, appearing shortly after initiation of treatment, has been reported in some small fraction of buspirone-treated patients. The syndrome may be explained in several ways. For example, buspirone may increase central noradrenergic activity; alternatively, the effect may be attributable to dopaminergic effects (ie, represent akathisia). See ADVERSE REACTIONS: Postmarketing Experience.

You may only respond with information from the text that I give you. Do not use outside information or your knowledge base.

How are mental health services handled with power of attorney?

Except to the extent you state otherwise, this document gives the person you name as your agent the authority to make any and all health care decisions for you in accordance with your wishes, including your religious and moral beliefs, when you are unable to make the decisions for yourself. Because "health care" means any treatment, service, or procedure to maintain, diagnose, or treat your physical or mental condition, your agent has the power to make a broad range of health care decisions for you. Your agent may consent, refuse to consent, or withdraw consent to medical treatment and may make decisions about withdrawing or withholding life- sustaining treatment. Your agent may not consent to voluntary inpatient mental health services, convulsive treatment, psychosurgery, or abortion. A physician must comply with your agent's instructions or allow you to be transferred to another physician. Your agent's authority is effective when your doctor certifies that you lack the competence to make health care decisions. Your agent is obligated to follow your instructions when making decisions on your behalf. Unless you state otherwise, your agent has the same authority to make decisions about your health care as you would have if you were able to make health care decisions for yourself. It is important that you discuss this document with your physician or other health care provider before you sign the document to ensure that you understand the nature and range of decisions that may be made on your behalf. If you do not have a physician, you should talk with someone else who is knowledgeable about these issues and can answer your questions. You do not need a lawyer's assistance to complete this document, but if there is anything in this document that you do not understand, you should ask a lawyer to explain it to you. The person you appoint as agent should be someone you know and trust. The person must be 18 years of age or older or a person under 18 years of age who has had the disabilities of minority removed. If you appoint your health or residential care provider (e.g., your physician or an employee of a home health agency, hospital, nursing facility, or residential care facility, other than a relative), that person has to choose between acting as your agent or as your health or residential care provider; the law does not allow a person to serve as both at the same time. You should inform the person you appoint that you want the person to be your health care agent. You should discuss this document with your agent and your physician and give each a signed copy. You should indicate on the document itself the people and institutions that you intend to have signed copies. Your agent is not liable for health care decisions made in good faith on your behalf. Once you have signed this document, you have the right to make health care decisions for yourself as long as you are able to make those decisions, and treatment cannot be given to you or stopped over your objection. You have the right to revoke the authority granted to your agent by informing your agent or your health or residential care provider orally or in writing or by your execution of a subsequent medical power of attorney. Unless you state otherwise in this document, your appointment of a spouse is revoked if your marriage is dissolved, annulled, or declared void. This document may not be changed or modified. If you want to make changes in this document, you must execute a new medical power of attorney. You may wish to designate an alternate agent in the event that your agent is unwilling, unable, or ineligible to act as your agent. If you designate an alternate agent, the alternate agent has the same authority as the agent to make health care decisions for you. This Power Of Attorney Is Not Valid Unless: (1) You Sign It And Have Your Signature Acknowledged Before A Notary Public; Or (2) You Sign It In The Presence Of Two Competent Adult Witnesses. The Following Persons May Not Act As One Of The Witnesses: (1) the person you have designated as your agent; (2) a person related to you by blood or marriage; (3) a person entitled to any part of your estate after your death under a will or codicil executed by you or by operation of law; (4) your attending physician; (5) an employee of your attending physician; (6) an employee of a health care facility in which you are a patient if the employee is providing direct patient care to you or is an officer, director, partner, or business office employee of the health care facility or of any parent organization of the health care facility; or (7) a person who, at the time this medical power of attorney is executed, has a claim against any part of your estate after your death.

How are mental health services handled with power of attorney? You may only respond with information from the text that I give you. Do not use outside information or your knowledge base. Except to the extent you state otherwise, this document gives the person you name as your agent the authority to make any and all health care decisions for you in accordance with your wishes, including your religious and moral beliefs, when you are unable to make the decisions for yourself. Because "health care" means any treatment, service, or procedure to maintain, diagnose, or treat your physical or mental condition, your agent has the power to make a broad range of health care decisions for you. Your agent may consent, refuse to consent, or withdraw consent to medical treatment and may make decisions about withdrawing or withholding life- sustaining treatment. Your agent may not consent to voluntary inpatient mental health services, convulsive treatment, psychosurgery, or abortion. A physician must comply with your agent's instructions or allow you to be transferred to another physician. Your agent's authority is effective when your doctor certifies that you lack the competence to make health care decisions. Your agent is obligated to follow your instructions when making decisions on your behalf. Unless you state otherwise, your agent has the same authority to make decisions about your health care as you would have if you were able to make health care decisions for yourself. It is important that you discuss this document with your physician or other health care provider before you sign the document to ensure that you understand the nature and range of decisions that may be made on your behalf. If you do not have a physician, you should talk with someone else who is knowledgeable about these issues and can answer your questions. You do not need a lawyer's assistance to complete this document, but if there is anything in this document that you do not understand, you should ask a lawyer to explain it to you. The person you appoint as agent should be someone you know and trust. The person must be 18 years of age or older or a person under 18 years of age who has had the disabilities of minority removed. If you appoint your health or residential care provider (e.g., your physician or an employee of a home health agency, hospital, nursing facility, or residential care facility, other than a relative), that person has to choose between acting as your agent or as your health or residential care provider; the law does not allow a person to serve as both at the same time. You should inform the person you appoint that you want the person to be your health care agent. You should discuss this document with your agent and your physician and give each a signed copy. You should indicate on the document itself the people and institutions that you intend to have signed copies. Your agent is not liable for health care decisions made in good faith on your behalf. Once you have signed this document, you have the right to make health care decisions for yourself as long as you are able to make those decisions, and treatment cannot be given to you or stopped over your objection. You have the right to revoke the authority granted to your agent by informing your agent or your health or residential care provider orally or in writing or by your execution of a subsequent medical power of attorney. Unless you state otherwise in this document, your appointment of a spouse is revoked if your marriage is dissolved, annulled, or declared void. This document may not be changed or modified. If you want to make changes in this document, you must execute a new medical power of attorney. You may wish to designate an alternate agent in the event that your agent is unwilling, unable, or ineligible to act as your agent. If you designate an alternate agent, the alternate agent has the same authority as the agent to make health care decisions for you. This Power Of Attorney Is Not Valid Unless: (1) You Sign It And Have Your Signature Acknowledged Before A Notary Public; Or (2) You Sign It In The Presence Of Two Competent Adult Witnesses. The Following Persons May Not Act As One Of The Witnesses: (1) the person you have designated as your agent; (2) a person related to you by blood or marriage; (3) a person entitled to any part of your estate after your death under a will or codicil executed by you or by operation of law; (4) your attending physician; (5) an employee of your attending physician; (6) an employee of a health care facility in which you are a patient if the employee is providing direct patient care to you or is an officer, director, partner, or business office employee of the health care facility or of any parent organization of the health care facility; or (7) a person who, at the time this medical power of attorney is executed, has a claim against any part of your estate after your death.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

Uncle Joe has a mental condition and he thinks he served during World War 2 in 1945 three years. In 1965 we found out that he was only active duty for training in the Guard and Reserves for those three years. Does Uncle Joe's service in the military make him eligible for VA financing?

SERVICE ELIGIBILITY You are eligible for VA financing if your service falls within any of the following categories: Wartime Service. If you served any time during:  World War II (September 16, 1940 to July 25, 1947),  Korean Conflict (June 27, 1950 to January 31, 1955),  Vietnam Era (August 5, 1964 to May 7, 1975), the Vietnam Era begins February 28, 1961 for individuals who served in the Republic of Vietnam.  Persian Gulf War (August 2, 1990 to present (requires service for 2 years or the full period for which called to active duty, except that exceptions applying to service between September 7, 1980 and August 1, 1990 also apply to Persian Gulf War).) See below. You must have served at least 90 days on active duty and been discharged or released under other than dishonorable conditions. If you served less than 90 days, you may be eligible if discharged because of a service-connected disability. Peacetime Service. If your service fell entirely within any one of the following periods:  July 26, 1947 to June 26, 1950,  February 1, 1955 to August 4, 1964, or  May 8, 1975 to September 7, 1980 (if enlisted) or to October 16, 1981 (if officer, you must have served at least 181 days of continuous active duty and been discharged or released under conditions other than dishonorable). If you served less than 181 days, you may be eligible if discharged because of a service-connected disability. Service between September 7, 1980 (enlisted) or October 16, 1981 (officer) and August 1, 1990. If your entire period of service was between September 7, 1980 (October 16, 1981) and August 1, 1990, you must have:  Completed 24 months of continuous active duty or the full period (at least 181 days) for which you were called or ordered to active duty, and been discharged or released under conditions other than dishonorable. You may also be determined eligible if you were discharged for a service-connected disability, or you were discharged for the convenience of the Government after completing at least 20 months of a 2-year enlistment, or you completed 181 days of active duty and: were discharged because of a hardship, or were determined to have a service-connected compensable disability, or were discharged or released from active duty for a medical condition which preexisted service and has not been determined to be service-connected, or If the certificate cannot be issued by ACE, you can request it from VA, by completing VA Form 26-1880, “Request for A Certificate of Eligibility.” The form should be submitted along with either • received an involuntary discharge or release from active duty for the convenience of the Government as a result of a reduction in force, or were discharged or released from active duty for a physical or mental condition not characterized as a disability and not the result of misconduct, but which did interfere with your performance of duty. NOTE: During the Persian Gulf War, the foregoing exceptions to the 2-year requirement apply, except that 90 days of active duty is sufficient in lieu of 181 days. Active Duty Service Personnel. If you are now on active duty, eligibility can be established after having served on continuous active duty for at least 90 days. Upon discharge or release from active duty, eligibility must be reestablished. Members of the Selected Reserve. Individuals who are not otherwise eligible and who have completed at least 6 years in the Reserves or National Guard, or been discharged because of a service-connected disability, and  have been discharged with an honorable discharge, or  have been placed on the retired list, or  have been transferred to an element of the Ready reserve other than the Selected Reserve, or  continue to serve in the Selected Reserve are eligible for a GI loan. Other Types of Service Certain United States citizens who served in the armed forces of a government allied with the United States in World War II. Unmarried surviving spouses of the above-described eligible persons who died as the result of service or service-connected injuries (Children of deceased veterans are not eligible). NOTE: Also, a surviving spouse who remarried on or after attaining age 57, and on or after December 16, 2003, may be eligible for the home loan benefit. The spouse of any member of the Armed Forces serving on active duty who is listed as missing in action, or is a prisoner of war and has been so listed for a total of more than 90 days.  Individuals with service as members in certain other organizations, services, programs and schools may also be eligible. Questions about whether this service qualifies for home loan benefits should be referred to your VA Regional Loan Center. Obtaining a Certificate of Eligibility VA determines your eligibility and, if you are qualified, a Certificate of Eligibility will be issued. ACE (automated certificate of eligibility): In some cases veterans can obtain the Certificate of Eligibility from a lender. Most lenders have access to the ACE system. This Internet based application can establish eligibility and issue an online Certificate of Eligibility in a matter of seconds. Not all cases can be processed through ACE - only those for which VA has sufficient data in our records. However, veterans are encouraged to ask their lenders about this method of obtaining a certificate. the originals or legible copies of your most recent discharge or separation papers covering active military duty since September 16, 1940, which show active duty dates and type of discharge. This form may be obtained from VA or at http://www.va.gov/vaforms/. If you were separated after January 1, 1950, you must submit DD Form 214, Certificate of Release or Discharge From Active Duty. In addition, if you are now on active duty and have not been previously discharged from active duty service, you must submit a statement of service which includes the name of the issuing authority (base or command), and is signed by or at the direction of an appropriate official. The statement must include date of entry on active duty and the duration of any time lost. Since there is no uniform document similar to the DD214 for proof of service in the Selected Reserve, a number of different forms may be accepted as documentation of service in the Selected Reserve. For those who served in the Army or Air National Guard and were discharged after at least 6 years of such service, NGB Form 22 may be sufficient. Those who served in the Army, Navy, Air Force, Marine Corps or Coast Guard Reserves may need to rely on any of a variety of forms that document at least 6 years of honorable service. Often, it will be necessary to submit a combination of documents such as an Honorable Discharge certificate together with a retirement point’s statement. It is the reservist's responsibility to obtain and submit documentation of 6 years of honorable service. The Request for Certificate of Eligibility, VA Form 26-1880, should be mailed to the Atlanta Regional Loan Center, ATTN: COE (262), P.O. Box 100034, Decature, GA 30031. The Eligibility Center also maintains a toll free number (888-768-2132) for persons seeking information on eligibility.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== Uncle Joe has a mental condition and he thinks he served during World War 2 in 1945 three years. In 1965 we found out that he was only active duty for training in the Guard and Reserves for those three years. Does Uncle Joe's service in the military make him eligible for VA financing? {passage 0} ========== SERVICE ELIGIBILITY You are eligible for VA financing if your service falls within any of the following categories: Wartime Service. If you served any time during:  World War II (September 16, 1940 to July 25, 1947),  Korean Conflict (June 27, 1950 to January 31, 1955),  Vietnam Era (August 5, 1964 to May 7, 1975), the Vietnam Era begins February 28, 1961 for individuals who served in the Republic of Vietnam.  Persian Gulf War (August 2, 1990 to present (requires service for 2 years or the full period for which called to active duty, except that exceptions applying to service between September 7, 1980 and August 1, 1990 also apply to Persian Gulf War).) See below. You must have served at least 90 days on active duty and been discharged or released under other than dishonorable conditions. If you served less than 90 days, you may be eligible if discharged because of a service-connected disability. Peacetime Service. If your service fell entirely within any one of the following periods:  July 26, 1947 to June 26, 1950,  February 1, 1955 to August 4, 1964, or  May 8, 1975 to September 7, 1980 (if enlisted) or to October 16, 1981 (if officer, you must have served at least 181 days of continuous active duty and been discharged or released under conditions other than dishonorable). If you served less than 181 days, you may be eligible if discharged because of a service-connected disability. Service between September 7, 1980 (enlisted) or October 16, 1981 (officer) and August 1, 1990. If your entire period of service was between September 7, 1980 (October 16, 1981) and August 1, 1990, you must have:  Completed 24 months of continuous active duty or the full period (at least 181 days) for which you were called or ordered to active duty, and been discharged or released under conditions other than dishonorable. You may also be determined eligible if you were discharged for a service-connected disability, or you were discharged for the convenience of the Government after completing at least 20 months of a 2-year enlistment, or you completed 181 days of active duty and: were discharged because of a hardship, or were determined to have a service-connected compensable disability, or were discharged or released from active duty for a medical condition which preexisted service and has not been determined to be service-connected, or If the certificate cannot be issued by ACE, you can request it from VA, by completing VA Form 26-1880, “Request for A Certificate of Eligibility.” The form should be submitted along with either • received an involuntary discharge or release from active duty for the convenience of the Government as a result of a reduction in force, or were discharged or released from active duty for a physical or mental condition not characterized as a disability and not the result of misconduct, but which did interfere with your performance of duty. NOTE: During the Persian Gulf War, the foregoing exceptions to the 2-year requirement apply, except that 90 days of active duty is sufficient in lieu of 181 days. Active Duty Service Personnel. If you are now on active duty, eligibility can be established after having served on continuous active duty for at least 90 days. Upon discharge or release from active duty, eligibility must be reestablished. Members of the Selected Reserve. Individuals who are not otherwise eligible and who have completed at least 6 years in the Reserves or National Guard, or been discharged because of a service-connected disability, and  have been discharged with an honorable discharge, or  have been placed on the retired list, or  have been transferred to an element of the Ready reserve other than the Selected Reserve, or  continue to serve in the Selected Reserve are eligible for a GI loan. Other Types of Service Certain United States citizens who served in the armed forces of a government allied with the United States in World War II. Unmarried surviving spouses of the above-described eligible persons who died as the result of service or service-connected injuries (Children of deceased veterans are not eligible). NOTE: Also, a surviving spouse who remarried on or after attaining age 57, and on or after December 16, 2003, may be eligible for the home loan benefit. The spouse of any member of the Armed Forces serving on active duty who is listed as missing in action, or is a prisoner of war and has been so listed for a total of more than 90 days.  Individuals with service as members in certain other organizations, services, programs and schools may also be eligible. Questions about whether this service qualifies for home loan benefits should be referred to your VA Regional Loan Center. Obtaining a Certificate of Eligibility VA determines your eligibility and, if you are qualified, a Certificate of Eligibility will be issued. ACE (automated certificate of eligibility): In some cases veterans can obtain the Certificate of Eligibility from a lender. Most lenders have access to the ACE system. This Internet based application can establish eligibility and issue an online Certificate of Eligibility in a matter of seconds. Not all cases can be processed through ACE - only those for which VA has sufficient data in our records. However, veterans are encouraged to ask their lenders about this method of obtaining a certificate. the originals or legible copies of your most recent discharge or separation papers covering active military duty since September 16, 1940, which show active duty dates and type of discharge. This form may be obtained from VA or at http://www.va.gov/vaforms/. If you were separated after January 1, 1950, you must submit DD Form 214, Certificate of Release or Discharge From Active Duty. In addition, if you are now on active duty and have not been previously discharged from active duty service, you must submit a statement of service which includes the name of the issuing authority (base or command), and is signed by or at the direction of an appropriate official. The statement must include date of entry on active duty and the duration of any time lost. Since there is no uniform document similar to the DD214 for proof of service in the Selected Reserve, a number of different forms may be accepted as documentation of service in the Selected Reserve. For those who served in the Army or Air National Guard and were discharged after at least 6 years of such service, NGB Form 22 may be sufficient. Those who served in the Army, Navy, Air Force, Marine Corps or Coast Guard Reserves may need to rely on any of a variety of forms that document at least 6 years of honorable service. Often, it will be necessary to submit a combination of documents such as an Honorable Discharge certificate together with a retirement point’s statement. It is the reservist's responsibility to obtain and submit documentation of 6 years of honorable service. The Request for Certificate of Eligibility, VA Form 26-1880, should be mailed to the Atlanta Regional Loan Center, ATTN: COE (262), P.O. Box 100034, Decature, GA 30031. The Eligibility Center also maintains a toll free number (888-768-2132) for persons seeking information on eligibility. https://benefits.va.gov/homeloans/documents/docs/vap_26-4_online_version.pdf

Use information from the article only to explain your answer. Do not rely on outside knowledge.

What happened in the Obergefell v. Hodges case?

Obergefell v. Hodges: Same-Sex Marriage Legalized Rodney M. Perry Legislative Attorney August 7, 2015 Congressional Research Service 7-5700 www.crs.gov R44143 Obergefell v. Hodges: Same-Sex Marriage Legalized Summary On June 26, 2015, the Supreme Court issued its decision in Obergefell v. Hodges requiring states to issue marriage licenses to same-sex couples and to recognize same-sex marriages that were legally formed in other states. In doing so, the Court resolved a circuit split regarding the constitutionality of state same-sex marriage bans and legalized same-sex marriage throughout the country. The Court’s decision relied on the Fourteenth Amendment’s equal protection and due process guarantees. Under the Fourteenth Amendment’s Equal Protection Clause, state action that classifies groups of individuals may be subject to heightened levels of judicial scrutiny, depending on the type of classification involved or whether the classification interferes with a fundamental right. Additionally, under the Fourteenth Amendment’s substantive due process guarantees, state action that infringes upon a fundamental right—such as the right to marry—is subject to a high level of judicial scrutiny. In striking down state same-sex marriage bans as unconstitutional in Obergefell, the Court rested its decision upon the fundamental right to marry. The Court acknowledged that its precedents have described the fundamental right to marry in terms of opposite-sex relationships. Even so, the Court determined that the reasons why the right to marry is considered fundamental apply equally to same-sex marriages. The Court thus held that the fundamental right to marry extends to samesex couples, and that state same-sex marriage bans unconstitutionally interfere with this right. Though the Supreme Court’s decision in Obergefell resolved the question of whether or not state same-sex marriage bans are unconstitutional, it raised a number of other questions. These include questions regarding, among other things, Obergefell’s broader impact on the rights of gay individuals; the proper level of judicial scrutiny applicable to classifications based on sexual orientation; what the decision might mean for laws prohibiting plural marriages; the Court’s approach to recognizing fundamental rights moving forward; and the proper level of judicial scrutiny applicable to governmental action interfering with fundamental rights. This report explores these questions. Congressional Research Service Obergefell v. Hodges: Same-Sex Marriage Legalized Contents General Constitutional Principles .................................................................................................... 1 Equal Protection ........................................................................................................................ 1 Substantive Due Process............................................................................................................ 3 The Supreme Court Invalidates State Same-Sex Marriage Bans in Obergefell ............................... 4 Implications of the Supreme Court’s Decision in Obergefell .......................................................... 6 Contacts Author Contact Information............................................................................................................. 8 Congressional Research Service Obergefell v. Hodges: Same-Sex Marriage Legalized O n June 26, 2015, the Supreme Court issued its decision in Obergefell v. Hodges legalizing same-sex marriage throughout the country by requiring states to issue marriage licenses to same-sex couples and to recognize same-sex marriages that were legally formed in other states. In doing so, the Court resolved a circuit split1 regarding the constitutionality of state same-sex marriage bans. This report provides background on, and analysis of, significant legal issues raised by the Supreme Court’s decision in Obergefell. It first offers background on the constitutional principles on which the Court relied in Obergefell to invalidate state same-sex marriage bans as unconstitutional. Then, it walks through the Court’s opinion and rationale. Finally, it discusses potential implications of the Court’s decision. General Constitutional Principles Equal Protection Under the Fourteenth Amendment’s Equal Protection Clause, “[n]o State shall … deny to any person within its jurisdiction the equal protection of the laws.”2 Though there is no parallel constitutional provision expressly prohibiting the federal government from denying equal protection of the law, the Supreme Court has held that equal protection principles similarly apply to the federal government.3 Under the Constitution’s equal protection guarantees, when courts review governmental action that distinguishes between classes of people, they apply different levels of scrutiny depending on the classification involved. The more suspect the government’s classification, or the more likely that the government’s classification was motivated by discrimination, the higher the level of scrutiny that courts will utilize in evaluating the government’s action.4 Increased scrutiny raises the likelihood that a court will find the action unconstitutional. Generally speaking, there are three such levels of scrutiny: (1) strict scrutiny; (2) intermediate scrutiny; and (3) rational basis review. Strict scrutiny is the most demanding form of judicial review. The Supreme Court has observed that strict scrutiny applies to governmental classifications that are constitutionally “suspect,” or that interfere with fundamental rights.5 In determining whether a classification is suspect, courts consider whether the classified group (1) has historically been subject to discrimination; (2) is a 11 Previously, the Fourth, Seventh, Ninth, and Tenth Circuits had struck down state same-sex marriage bans under equal protection or due process grounds after generally, though not uniformly, subjecting them to heightened levels of judicial scrutiny. Bostic v. Schaeffer, 760 F.3d 352 (4th Cir. 2014); Baskin v. Bogan, 766 F.3d 648 (7th Cir. 2014); Latta v. Otter, 771 F.3d 456 (9th Cir. 2014); Bishop v. Smith, 760 F.3d 1070 (10th Cir. 2014); Kitchen v. Herbert, 755 F.3d 1193 (10th Cir. 2014). Conversely, the Sixth Circuit had upheld state same-sex marriage bans and observed that such bans warrant the lowest level of judicial review. DeBoer v. Snyder, 772 F.3d 388 (6th Cir. 2014). 2 U.S. Const. amend. XIV, §1. 3 See Bolling v. Sharpe, 347 U.S. 497 (1954). More specifically, the Court has held that the Fifth Amendment’s guarantee of “due process of the law,” applicable to the federal government, incorporates equal protection guarantees. See id. at 500. 4 Compare City of Cleburne v. Cleburne Living Center, 473 U.S. 432 (1985) (holding that mental disability is not a “quasi-suspect” classification, and thus is entitled to rational basis review), with Graham v. Richardson, 403 U.S. 365 (1971) (holding that classifications based on alienage are “inherently suspect,” and are subject to strict scrutiny). 5 See Mass. Bd. of Retirement v. Murgia, 427 U.S. 307, 312 (1976); see also Heller v. Doe, 509 U.S. 312, 319 (1993). Congressional Research Service 1 Obergefell v. Hodges: Same-Sex Marriage Legalized minority group exhibiting an unchangeable characteristic that establishes the group as distinct; or (3) is inadequately protected by the political process.6 There are generally three governmental classifications that are suspect—those based on race, national origin, and alienage.7 When applying strict scrutiny to governmental action, reviewing courts consider whether the governmental action is narrowly tailored to a compelling government interest.8 The government bears the burden of proving the constitutional validity of its action under strict scrutiny, and, in doing so, must generally show that it cannot meet its goals via less discriminatory means.9 Intermediate scrutiny is less searching than strict scrutiny, though it subjects governmental action to more stringent inspection than rational basis review. Intermediate scrutiny applies to “quasisuspect” classifications such as classifications based on gender10 or illegitimacy.11 When reviewing courts apply intermediate scrutiny to governmental action, they determine whether the action is substantially related to achieving an important government interest.12 As with strict scrutiny, the government bears the burden of establishing the constitutional validity of its actions under intermediate scrutiny.13 Rational basis review is the least searching form of judicial scrutiny, and generally applies to all classifications that are not subject to heightened levels of scrutiny.14 For governmental action to survive rational basis review, it must be rationally related to a legitimate government interest.15 When evaluating governmental action under rational basis review, courts consider the legitimacy of any possible governmental purpose behind the action.16 That is, courts are not limited to considering the actual purposes behind the government’s action.17 Additionally, the governmental action needs only be a reasonable way of achieving a legitimate government purpose to survive rational basis review; it does not need to be the most reasonable way of doing so, or even more reasonable than alternatives.18 Accordingly, rational basis review is deferential to the government, and courts generally presume that governmental action that is subject to such review is 6 See Lyng v. Castillo, 477 U.S. 635, 638 (1986); see also United States v. Carolene Prods. Co., 304 U.S. 144, 152 n. 4 (1938). 7 Graham, 403 U.S. at 371-72 (“… the Court’s decisions have established that classifications based on alienage, like those based on nationality or race, are inherently suspect and subject to close judicial scrutiny.”). 8 Parents Involved in Cmty. Schs. v. Seattle Sch. Dist. No. 1, 551 U.S. 701, 720 (2007). 9 See Fisher v. University of Tex. at Austin, 133 S. Ct. 2411, 2420 (2014). 10 United States v. Virginia, 518 U.S. 515, 533 (1996); see Miss. Univ. for Women v. Hogan, 458 U.S. 718, 724 (1982). 11 Clark v. Jeter, 486 U.S. 456, 461 (1988) (“Between these extremes of rational basis review and strict scrutiny lies a level of intermediate scrutiny, which generally has been applied to discriminatory classifications based on sex or illegitimacy.”). 12 See Craig v. Boren, 429 U.S. 190, 198 (1976); see also Clark, 486 U.S. at 461. 13 Virginia, 518 U.S. at 533; see Miss. Univ. for Women, 458 U.S. at 724. 14 See Cleburne Living Center, 473 U.S at 440-42; see also Schweiker v. Wilson, 450 U.S. 221, 230 (1981). 15 See City of Cleburne, 473 U.S. at 440. 16 See Nordlinger v. Hahn, 505 U.S. 1, 15 (1992); see also Heller, 509 U.S. at 320. 17 See Nordlinger, 505 U.S. at 15; see also Heller, 509 U.S. at 320. 18 See Schweiker, 450 U.S. 221, 235 (1981) (observing that, under rational basis review, “[a]s long as the classificatory scheme chosen by Congress rationally advances a reasonable and identifiable governmental objective, we must disregard the existence of other methods of allocation that we, as individuals, perhaps would have preferred.”); see also Heller, 509 U.S. at 320 (observing that under rational basis review, “a classification ‘must be upheld against equal protection challenge if there is any reasonably conceivable state of facts that could provide a rational basis for the classification.’”) (quoting F.C.C. v. Beach Commc’ns, Inc., 508 U.S. 307, 312 (1993)). Congressional Research Service 2 Obergefell v. Hodges: Same-Sex Marriage Legalized constitutionally valid.19 Parties challenging governmental actions bear the burden of establishing their invalidity under rational basis review.20 Substantive Due Process The U.S. Constitution’s due process guarantees are contained within two separate clauses; one can be found in the Fifth Amendment, and the other resides in the Fourteenth Amendment. Each clause provides that the government shall not deprive a person of “life, liberty, or property, without due process of law.”21 However, the Fifth Amendment applies to action by the federal government, whereas the Fourteenth Amendment applies to state action.22 The Constitution’s due process language makes clear that the government cannot deprive individuals of life, liberty, or property without observing certain procedural requirements. The Supreme Court has interpreted this language to also include substantive guarantees that prohibit the government from taking action that unduly burdens certain liberty interests.23 More specifically, substantive due process protects against undue governmental infringement upon fundamental rights.24 In determining whether a right is fundamental, Supreme Court precedent looks to whether the right was historically and traditionally recognized, and whether failing to recognize the right would contravene liberty and justice.25 The Supreme Court has held that governmental action infringing upon fundamental rights is subject to strict scrutiny,26 and thus must be narrowly tailored to a compelling government interest.27 Under strict scrutiny, the government must generally show that it has a “substantial” and “legitimate” need for its action to be in furtherance of a compelling government interest.28 If the government successfully establishes a compelling interest, its action cannot encumber fundamental rights any more than is necessary to achieve the government’s need.29 Additionally, the government could not have possibly taken alternative action that would similarly further its interest while being less burdensome on fundamental rights.30 Otherwise, the government’s action is not narrowly tailored to the government’s interest.31 The Supreme Court has recognized a 19 See Beach Commc’ns, Inc., 508 U.S. at 315; see also Murgia, 427 U.S. at 315. Heller, 509 U.S. at 320 (noting that, when reviewing a governmental classification under rational basis review, a governmental action is “presumed constitutional,” and the burden lies on the party attacking the governmental action to establish the action’s unconstitutionality.). 21 U.S. Const. amend. XIV, §1; U.S. Const. amend. V. 22 See U.S. Const. amend. XIV, §1; U.S. Const. amend. V. 23 See Washington v. Glucksberg, 521 U.S. 702, 719-720 (1997). 24 See id. 25 See id. at 720. 26 See Reno v. Flores, 507 U.S. 292, 301-02 (1993). 27 Id. (observing that a line of Supreme Court cases interprets the Fifth Amendment’s and Fourteenth Amendment’s due process principles to “forbid[] the government to infringe certain ‘fundamental’ liberty interests at all … unless the infringement is narrowly tailored to serve a compelling state interest.”). 28 San Antonio Indep. School Dist. v. Rodriguez, 411 U.S. 1, 98 (1973). 29 See Dunn v. Blumstein, 405 U.S. 330, 343 (1972). 30 Id. (“if there are other, reasonable ways to achieve [government interests] with a lesser burden on constitutionally protected activity, a State may not choose the way of greater interference. If it acts at all, it must choose ‘less drastic means.’”) (quoting Shelton v. Tucker, 364 U.S. 479, 488 (1960)). 31 See id. 20 Congressional Research Service 3 Obergefell v. Hodges: Same-Sex Marriage Legalized number of rights as fundamental, including the right to have children,32 use contraception,33 and marry.34 In Obergefell, the Court considered whether the Fourteenth Amendment’s substantive due process guarantees require states to issue marriage licenses to same-sex couples and require states to recognize same-sex marriages that were legally formed in other states. The Supreme Court Invalidates State Same-Sex Marriage Bans in Obergefell The Supreme Court resolved a circuit split on the constitutionality of state same-sex marriage bans, finding them unconstitutional in Obergefell v. Hodges. In doing so, the Court relied on the Constitution’s due process and equal protection principles to hold that states must issue marriage licenses to same-sex couples and recognize same-sex marriages that were legally formed in other states. The majority in Obergefell rested its decision upon the fundamental right to marry. The Court observed that it has long found the right to marry to be constitutionally protected, though it acknowledged that its precedent describing the right presumed an opposite-sex relationship.35 Even so, according to the Court, these cases have identified reasons why the right to marry is fundamental,36 which apply equally to same-sex couples. 37 These reasons included (1) personal choice in whom to marry is inherent in the concept of individual autonomy; (2) marriage’s unique support and recognition of a two-person, committed union; (3) the safeguarding of children within a marriage, as both same-sex couples and opposite-sex couples have children; and (4) marriage as a keystone of the nation’s social order, with no distinction between same-sex couples and opposite-sex couples in states conferring benefits and responsibilities upon marriages.38 Accordingly, the Court extended the fundamental right to marry to same-sex couples. In holding that the fundamental right to marry includes same-sex couples’ right to marry, the Court appeared to acknowledge its departure from precedent for determining whether a right is fundamental—mentioned earlier in this report—which considers whether it is “deeply rooted in this Nation’s history and tradition and implicit in the concept of ordered liberty.”39 The Court observed that if rights were defined by who could historically use them, old practices could continuously prevent new groups from exercising fundamental rights.40 As such, the Court found that “rights come not from ancient sources alone. They rise, too, from a better informed 32 Skinner v. Okla., 316 U.S. 535 (1942). Griswold v. Connecticut, 381 U.S. 479 (1965). 34 Loving v. Virginia, 388 U.S. 1 (1967). 35 Obergefell, 135 S.Ct. at 2598. 36 Id. 37 Id. at 2599. 38 Id. at 2599-2601. 39 Glucksberg, 512 U.S. at 720. 40 Obergefell, 135 S. Ct. at 2602 (“If rights were defined by who exercised them in the past, then received practices could serve as their own continued justification and new groups could not invoke rights once denied.”). 33 Congressional Research Service 4 Obergefell v. Hodges: Same-Sex Marriage Legalized understanding of how constitutional imperatives define a liberty that remains urgent in our own era.”41 After determining that the fundamental right to marry includes the right of same-sex couples to marry, the Court also seemed to depart from precedent—and the approaches of courts of appeals that relied on the fundamental right to marry to strike down state same-sex marriage bans—by not applying strict scrutiny to such bans. As previously noted, courts generally subject governmental action that infringes upon a fundamental right to strict scrutiny, requiring that the action be narrowly tailored to a compelling government interest to be constitutional.42 The states had argued two primary interests for their bans on same-marriage: (1) the desire to wait and see how the same-sex marriage debate progresses before changing long-existing marriage norms; and (2) incentivizing procreating couples to stay together during child rearing. However, the Court made no mention of whether the state same-sex marriage bans at issue were narrowly tailored to these justifications. Rather, the Court noted why these justifications were invalid without appearing to apply any of the typical levels of judicial review (i.e., rational basis review, intermediate scrutiny, or strict scrutiny).43 The Court held that both equal protection and due process guarantees protect the fundamental right to marry, and that states can no longer deny this right to same-sex couples.44 Importantly, in doing so, the Court did not hold that classifications based on sexual orientation warrant any form of heightened scrutiny. In fact, the Court made no mention of the proper level of scrutiny applicable to such classifications. Some of the dissenting Justices in Obergefell thought that the majority exceeded the Court’s proper role by removing the question of whether same-sex couples have the right to marry from the democratic process, where, they stated, it is properly resolved.45 According to these Justices, the five-person majority should not have resolved the hotly contested issue of same-sex marriage for the entire country; such resolution should have come from the people.46 The dissenting Justices also voiced concern with the majority looking beyond history and tradition to establish a fundamental right contrary to Supreme Court precedent.47 According to the dissenting Justices, the requirement that fundamental rights be rooted in tradition and history exists to prevent the Court from imparting its policy decisions regarding which rights have constitutional protection.48 41 Id. See Flores, 507 U.S. at 301-02. 43 See Obergefell, 135 S. Ct. at 2605-07. 44 Id. at 2604. 45 Id. at 2612, 2615 (Roberts, J., dissenting). 46 See id. 47 See id. at 2617. 48 See id. 42 Congressional Research Service 5 Obergefell v. Hodges: Same-Sex Marriage Legalized Implications of the Supreme Court’s Decision in Obergefell Although the Supreme Court answered questions surrounding the constitutionality of state samesex marriage bans in Obergefell, its decision raised a number of other questions. These include questions regarding, among other things, Obergefell’s broader impact on the rights of gay individuals; the proper level of judicial scrutiny applicable to classifications based on sexual orientation; what the decision might mean for laws prohibiting plural marriages; the Court’s approach to recognizing fundamental rights moving forward; and the proper level of judicial scrutiny applicable to governmental action interfering with fundamental rights. This section briefly explores these questions. Obergefell raised questions about the decision’s broader impact on the rights of gay individuals— that is, whether its rationale extends rights to gay individuals outside of the marriage context. However, the decision appears limited to the marriage context. Although the majority opinion did make reference to same-sex marriage bans implicating equal protection guarantees, its holding rested entirely on such bans infringing upon the fundamental right to marry in violation of both equal protection and due process guarantees. The Court did not mention whether classifications based on sexual orientation are suspect or quasi-suspect, and thus warrant any form of heightened scrutiny. If the Court had rendered such a holding, its decision would have arguably had broader implications for the rights of gay individuals, as it would have potentially subjected all governmental action that classifies based on sexual orientation to a heightened form of judicial scrutiny. Prior to Obergefell, federal appeals courts were split regarding the proper level of judicial scrutiny applicable to governmental action that classifies based on sexual orientation. The U.S. Court of Appeals for the Ninth Circuit (Ninth Circuit) has held that classifications based on sexual orientation warrant heightened scrutiny, though it did not clarify whether this heightened scrutiny was intermediate or strict scrutiny.49 The U.S. Court of Appeals for the Second Circuit (Second Circuit) has similarly found that classifications based on sexual orientation are quasisuspect, and thus any governmental action that classifies based on sexual orientation is subject to intermediate scrutiny.50 Conversely, however, the U.S. Court of Appeals for the Sixth Circuit (Sixth Circuit) has held that governmental action that classifies based on sexual orientation is neither suspect nor quasi-suspect, and thus subject only to rational basis review.51 Because the Court’s decision in Obergefell rested on the fundamental right to marry—and therefore seems limited to the marriage context—nothing in the opinion appears to resolve the circuit split between the Second, Sixth, and Ninth Circuits regarding the correct level of scrutiny applicable to classifications based on sexual orientation. Other lower courts will be left to grapple with this issue in the future. This ambiguity leaves open the possibility that, moving forward, circuit courts could either, like the Second and Ninth Circuits, apply heightened scrutiny to laws that classify based on sexual orientation (e.g., laws that provide exemptions from antidiscrimination legislation for religious entities based on their objections to certain sexual 49 See Latta, 771 F.3d at 468. Windsor v. United States, 699 F.3d 169, 185 (2nd Cir. 2012). 51 Davis v. Prison Health Servs., 679 F.3d 433, 438 (6th Cir. 2012). 50 Congressional Research Service 6 Obergefell v. Hodges: Same-Sex Marriage Legalized orientations), or could apply rational basis review to such laws like the Sixth Circuit. The fact that some lower courts may apply heightened scrutiny to government action that classifies based on sexual orientation where other courts may not is significant because, as discussed earlier in this report, laws subject to higher levels of scrutiny are more likely to be found unconstitutional. As such, this could create a situation wherein similar laws that classify based on sexual orientation receive dissimilar outcomes when facing constitutional challenge, depending on the evaluating court. The Supreme Court’s decision in Obergefell also raised questions regarding whether the Court’s rationale could potentially extend the fundamental right to marry to polygamy. In fact, Chief Justice John Roberts, in his dissent in Obergefell, seems to suggest that the majority’s opinion could lead to the legalization of plural marriages.52 However, the majority’s opinion seems crafted so as to try to limit its reach to the same-sex marriage context, in a possible attempt to prevent its rationale from extending the fundamental right to marry to plural marriages. As previously discussed, the majority in Obergefell found that the four reasons why the right to marry is fundamental apply equally to same-sex couples, and thus extended the fundamental right to marry to same-sex couples. Some commentators have observed that there are distinctions between plural marriages and same-sex marriages sufficient to prevent Obergefell’s rationale from being extended to legalize plural marriage.53 Conversely, other commentators have observed that parts of the Court’s opinion discussing why the fundamental right to marry includes same-sex marriage (e.g., the majority’s consideration of individual autonomy and family) could potentially provide basis for extending constitutional protections to plural marriages.54 Additionally, the majority in Obergefell seemingly departed from precedent for determining whether a right is fundamental by looking beyond historical and traditional recognition. This deviation from prior cases raises the possibility that, when determining whether a right is fundamental in the future, the Court will consider how the right is viewed at the time, in addition to its historical and traditional recognition. This could have the effect of expanding the number of rights that are deemed fundamental for purposes of substantive due process protections. Finally, the Court did not clarify which, if any, of the typical levels of judicial review (i.e., rational basis review, intermediate scrutiny, or strict scrutiny) it applied to state same-sex marriage bans after finding that such bans interfere with same-sex couples’ fundamental right to marry. Moving forward, this raises questions regarding the proper level of judicial scrutiny 52 See Obergefell, 135 S. Ct. at 2621 (“It is striking how much of the majority’s reasoning would apply with equal force to the claim of a fundamental right to plural marriage.”). 53 See, e.g., Joanna L. Grossman and Lawrence M. Friedman, Is Three Still a Crowd? Polygamy and the Law After Obergefell v. Hodges, JUSTIA, July 7, 2015, https://verdict.justia.com/2015/07/07/is-three-still-a-crowd-polygamy-andthe-law-after-obergefell-v-hodges (observing that, to win in court, polygamists must “convince a court that the justification for allowing same-sex couples to marry applies with equal force to a person who wants multiple spouses,” and questioning whether the four “main reasons for recognizing the right of same-sex couples to marry” apply to polygamists); see also Richard A. Posner, The Chief Justice’s Dissent is Heartless, Slate, June 27, 2015, http://www.slate.com/articles/news_and_politics/the_breakfast_table/features/2015/scotus_roundup/ supreme_court_gay_marriage_john_roberts_dissent_in_obergefell_is_heartless.html. 54 See, e.g., William Baude, Is Polygamy Next?, N. Y. TIMES, July 21, 2015, http://www.nytimes.com/2015/07/21/ opinion/is-polygamy-next.html?mabReward=CTM&action=click&pgtype=Homepage&region=CColumn&module= Recommendation&src=rechp&WT.nav=RecEngine; see also Jonathan Turley, The Trouble with the ‘Dignity’ of SameSex Marriage, Wash. Post, July 2, 2015, https://www.washingtonpost.com/opinions/the-trouble-with-the-dignity-ofsame-sex-marriage/2015/07/02/43bd8f70-1f4e-11e5-aeb9-a411a84c9d55_story.html. Congressional Research Service 7 Obergefell v. Hodges: Same-Sex Marriage Legalized applicable to governmental action that infringes upon fundamental rights. Given that increased scrutiny decreases the likelihood that a court will find government action constitutional, this could create ambiguity regarding the degree to which the government can permissibly take action that interferes with fundamental rights. Author Contact Information Rodney M. Perry Legislative Attorney [email protected], 7-5203 Congressional Research Service 8 

Use information from the article only to explain your answer. Do not rely on outside knowledge. What happened in the Obergefell v. Hodges case? Obergefell v. Hodges: Same-Sex Marriage Legalized Rodney M. Perry Legislative Attorney August 7, 2015 Congressional Research Service 7-5700 www.crs.gov R44143 Obergefell v. Hodges: Same-Sex Marriage Legalized Summary On June 26, 2015, the Supreme Court issued its decision in Obergefell v. Hodges requiring states to issue marriage licenses to same-sex couples and to recognize same-sex marriages that were legally formed in other states. In doing so, the Court resolved a circuit split regarding the constitutionality of state same-sex marriage bans and legalized same-sex marriage throughout the country. The Court’s decision relied on the Fourteenth Amendment’s equal protection and due process guarantees. Under the Fourteenth Amendment’s Equal Protection Clause, state action that classifies groups of individuals may be subject to heightened levels of judicial scrutiny, depending on the type of classification involved or whether the classification interferes with a fundamental right. Additionally, under the Fourteenth Amendment’s substantive due process guarantees, state action that infringes upon a fundamental right—such as the right to marry—is subject to a high level of judicial scrutiny. In striking down state same-sex marriage bans as unconstitutional in Obergefell, the Court rested its decision upon the fundamental right to marry. The Court acknowledged that its precedents have described the fundamental right to marry in terms of opposite-sex relationships. Even so, the Court determined that the reasons why the right to marry is considered fundamental apply equally to same-sex marriages. The Court thus held that the fundamental right to marry extends to samesex couples, and that state same-sex marriage bans unconstitutionally interfere with this right. Though the Supreme Court’s decision in Obergefell resolved the question of whether or not state same-sex marriage bans are unconstitutional, it raised a number of other questions. These include questions regarding, among other things, Obergefell’s broader impact on the rights of gay individuals; the proper level of judicial scrutiny applicable to classifications based on sexual orientation; what the decision might mean for laws prohibiting plural marriages; the Court’s approach to recognizing fundamental rights moving forward; and the proper level of judicial scrutiny applicable to governmental action interfering with fundamental rights. This report explores these questions. Congressional Research Service Obergefell v. Hodges: Same-Sex Marriage Legalized Contents General Constitutional Principles .................................................................................................... 1 Equal Protection ........................................................................................................................ 1 Substantive Due Process............................................................................................................ 3 The Supreme Court Invalidates State Same-Sex Marriage Bans in Obergefell ............................... 4 Implications of the Supreme Court’s Decision in Obergefell .......................................................... 6 Contacts Author Contact Information............................................................................................................. 8 Congressional Research Service Obergefell v. Hodges: Same-Sex Marriage Legalized O n June 26, 2015, the Supreme Court issued its decision in Obergefell v. Hodges legalizing same-sex marriage throughout the country by requiring states to issue marriage licenses to same-sex couples and to recognize same-sex marriages that were legally formed in other states. In doing so, the Court resolved a circuit split1 regarding the constitutionality of state same-sex marriage bans. This report provides background on, and analysis of, significant legal issues raised by the Supreme Court’s decision in Obergefell. It first offers background on the constitutional principles on which the Court relied in Obergefell to invalidate state same-sex marriage bans as unconstitutional. Then, it walks through the Court’s opinion and rationale. Finally, it discusses potential implications of the Court’s decision. General Constitutional Principles Equal Protection Under the Fourteenth Amendment’s Equal Protection Clause, “[n]o State shall … deny to any person within its jurisdiction the equal protection of the laws.”2 Though there is no parallel constitutional provision expressly prohibiting the federal government from denying equal protection of the law, the Supreme Court has held that equal protection principles similarly apply to the federal government.3 Under the Constitution’s equal protection guarantees, when courts review governmental action that distinguishes between classes of people, they apply different levels of scrutiny depending on the classification involved. The more suspect the government’s classification, or the more likely that the government’s classification was motivated by discrimination, the higher the level of scrutiny that courts will utilize in evaluating the government’s action.4 Increased scrutiny raises the likelihood that a court will find the action unconstitutional. Generally speaking, there are three such levels of scrutiny: (1) strict scrutiny; (2) intermediate scrutiny; and (3) rational basis review. Strict scrutiny is the most demanding form of judicial review. The Supreme Court has observed that strict scrutiny applies to governmental classifications that are constitutionally “suspect,” or that interfere with fundamental rights.5 In determining whether a classification is suspect, courts consider whether the classified group (1) has historically been subject to discrimination; (2) is a 11 Previously, the Fourth, Seventh, Ninth, and Tenth Circuits had struck down state same-sex marriage bans under equal protection or due process grounds after generally, though not uniformly, subjecting them to heightened levels of judicial scrutiny. Bostic v. Schaeffer, 760 F.3d 352 (4th Cir. 2014); Baskin v. Bogan, 766 F.3d 648 (7th Cir. 2014); Latta v. Otter, 771 F.3d 456 (9th Cir. 2014); Bishop v. Smith, 760 F.3d 1070 (10th Cir. 2014); Kitchen v. Herbert, 755 F.3d 1193 (10th Cir. 2014). Conversely, the Sixth Circuit had upheld state same-sex marriage bans and observed that such bans warrant the lowest level of judicial review. DeBoer v. Snyder, 772 F.3d 388 (6th Cir. 2014). 2 U.S. Const. amend. XIV, §1. 3 See Bolling v. Sharpe, 347 U.S. 497 (1954). More specifically, the Court has held that the Fifth Amendment’s guarantee of “due process of the law,” applicable to the federal government, incorporates equal protection guarantees. See id. at 500. 4 Compare City of Cleburne v. Cleburne Living Center, 473 U.S. 432 (1985) (holding that mental disability is not a “quasi-suspect” classification, and thus is entitled to rational basis review), with Graham v. Richardson, 403 U.S. 365 (1971) (holding that classifications based on alienage are “inherently suspect,” and are subject to strict scrutiny). 5 See Mass. Bd. of Retirement v. Murgia, 427 U.S. 307, 312 (1976); see also Heller v. Doe, 509 U.S. 312, 319 (1993). Congressional Research Service 1 Obergefell v. Hodges: Same-Sex Marriage Legalized minority group exhibiting an unchangeable characteristic that establishes the group as distinct; or (3) is inadequately protected by the political process.6 There are generally three governmental classifications that are suspect—those based on race, national origin, and alienage.7 When applying strict scrutiny to governmental action, reviewing courts consider whether the governmental action is narrowly tailored to a compelling government interest.8 The government bears the burden of proving the constitutional validity of its action under strict scrutiny, and, in doing so, must generally show that it cannot meet its goals via less discriminatory means.9 Intermediate scrutiny is less searching than strict scrutiny, though it subjects governmental action to more stringent inspection than rational basis review. Intermediate scrutiny applies to “quasisuspect” classifications such as classifications based on gender10 or illegitimacy.11 When reviewing courts apply intermediate scrutiny to governmental action, they determine whether the action is substantially related to achieving an important government interest.12 As with strict scrutiny, the government bears the burden of establishing the constitutional validity of its actions under intermediate scrutiny.13 Rational basis review is the least searching form of judicial scrutiny, and generally applies to all classifications that are not subject to heightened levels of scrutiny.14 For governmental action to survive rational basis review, it must be rationally related to a legitimate government interest.15 When evaluating governmental action under rational basis review, courts consider the legitimacy of any possible governmental purpose behind the action.16 That is, courts are not limited to considering the actual purposes behind the government’s action.17 Additionally, the governmental action needs only be a reasonable way of achieving a legitimate government purpose to survive rational basis review; it does not need to be the most reasonable way of doing so, or even more reasonable than alternatives.18 Accordingly, rational basis review is deferential to the government, and courts generally presume that governmental action that is subject to such review is 6 See Lyng v. Castillo, 477 U.S. 635, 638 (1986); see also United States v. Carolene Prods. Co., 304 U.S. 144, 152 n. 4 (1938). 7 Graham, 403 U.S. at 371-72 (“… the Court’s decisions have established that classifications based on alienage, like those based on nationality or race, are inherently suspect and subject to close judicial scrutiny.”). 8 Parents Involved in Cmty. Schs. v. Seattle Sch. Dist. No. 1, 551 U.S. 701, 720 (2007). 9 See Fisher v. University of Tex. at Austin, 133 S. Ct. 2411, 2420 (2014). 10 United States v. Virginia, 518 U.S. 515, 533 (1996); see Miss. Univ. for Women v. Hogan, 458 U.S. 718, 724 (1982). 11 Clark v. Jeter, 486 U.S. 456, 461 (1988) (“Between these extremes of rational basis review and strict scrutiny lies a level of intermediate scrutiny, which generally has been applied to discriminatory classifications based on sex or illegitimacy.”). 12 See Craig v. Boren, 429 U.S. 190, 198 (1976); see also Clark, 486 U.S. at 461. 13 Virginia, 518 U.S. at 533; see Miss. Univ. for Women, 458 U.S. at 724. 14 See Cleburne Living Center, 473 U.S at 440-42; see also Schweiker v. Wilson, 450 U.S. 221, 230 (1981). 15 See City of Cleburne, 473 U.S. at 440. 16 See Nordlinger v. Hahn, 505 U.S. 1, 15 (1992); see also Heller, 509 U.S. at 320. 17 See Nordlinger, 505 U.S. at 15; see also Heller, 509 U.S. at 320. 18 See Schweiker, 450 U.S. 221, 235 (1981) (observing that, under rational basis review, “[a]s long as the classificatory scheme chosen by Congress rationally advances a reasonable and identifiable governmental objective, we must disregard the existence of other methods of allocation that we, as individuals, perhaps would have preferred.”); see also Heller, 509 U.S. at 320 (observing that under rational basis review, “a classification ‘must be upheld against equal protection challenge if there is any reasonably conceivable state of facts that could provide a rational basis for the classification.’”) (quoting F.C.C. v. Beach Commc’ns, Inc., 508 U.S. 307, 312 (1993)). Congressional Research Service 2 Obergefell v. Hodges: Same-Sex Marriage Legalized constitutionally valid.19 Parties challenging governmental actions bear the burden of establishing their invalidity under rational basis review.20 Substantive Due Process The U.S. Constitution’s due process guarantees are contained within two separate clauses; one can be found in the Fifth Amendment, and the other resides in the Fourteenth Amendment. Each clause provides that the government shall not deprive a person of “life, liberty, or property, without due process of law.”21 However, the Fifth Amendment applies to action by the federal government, whereas the Fourteenth Amendment applies to state action.22 The Constitution’s due process language makes clear that the government cannot deprive individuals of life, liberty, or property without observing certain procedural requirements. The Supreme Court has interpreted this language to also include substantive guarantees that prohibit the government from taking action that unduly burdens certain liberty interests.23 More specifically, substantive due process protects against undue governmental infringement upon fundamental rights.24 In determining whether a right is fundamental, Supreme Court precedent looks to whether the right was historically and traditionally recognized, and whether failing to recognize the right would contravene liberty and justice.25 The Supreme Court has held that governmental action infringing upon fundamental rights is subject to strict scrutiny,26 and thus must be narrowly tailored to a compelling government interest.27 Under strict scrutiny, the government must generally show that it has a “substantial” and “legitimate” need for its action to be in furtherance of a compelling government interest.28 If the government successfully establishes a compelling interest, its action cannot encumber fundamental rights any more than is necessary to achieve the government’s need.29 Additionally, the government could not have possibly taken alternative action that would similarly further its interest while being less burdensome on fundamental rights.30 Otherwise, the government’s action is not narrowly tailored to the government’s interest.31 The Supreme Court has recognized a 19 See Beach Commc’ns, Inc., 508 U.S. at 315; see also Murgia, 427 U.S. at 315. Heller, 509 U.S. at 320 (noting that, when reviewing a governmental classification under rational basis review, a governmental action is “presumed constitutional,” and the burden lies on the party attacking the governmental action to establish the action’s unconstitutionality.). 21 U.S. Const. amend. XIV, §1; U.S. Const. amend. V. 22 See U.S. Const. amend. XIV, §1; U.S. Const. amend. V. 23 See Washington v. Glucksberg, 521 U.S. 702, 719-720 (1997). 24 See id. 25 See id. at 720. 26 See Reno v. Flores, 507 U.S. 292, 301-02 (1993). 27 Id. (observing that a line of Supreme Court cases interprets the Fifth Amendment’s and Fourteenth Amendment’s due process principles to “forbid[] the government to infringe certain ‘fundamental’ liberty interests at all … unless the infringement is narrowly tailored to serve a compelling state interest.”). 28 San Antonio Indep. School Dist. v. Rodriguez, 411 U.S. 1, 98 (1973). 29 See Dunn v. Blumstein, 405 U.S. 330, 343 (1972). 30 Id. (“if there are other, reasonable ways to achieve [government interests] with a lesser burden on constitutionally protected activity, a State may not choose the way of greater interference. If it acts at all, it must choose ‘less drastic means.’”) (quoting Shelton v. Tucker, 364 U.S. 479, 488 (1960)). 31 See id. 20 Congressional Research Service 3 Obergefell v. Hodges: Same-Sex Marriage Legalized number of rights as fundamental, including the right to have children,32 use contraception,33 and marry.34 In Obergefell, the Court considered whether the Fourteenth Amendment’s substantive due process guarantees require states to issue marriage licenses to same-sex couples and require states to recognize same-sex marriages that were legally formed in other states. The Supreme Court Invalidates State Same-Sex Marriage Bans in Obergefell The Supreme Court resolved a circuit split on the constitutionality of state same-sex marriage bans, finding them unconstitutional in Obergefell v. Hodges. In doing so, the Court relied on the Constitution’s due process and equal protection principles to hold that states must issue marriage licenses to same-sex couples and recognize same-sex marriages that were legally formed in other states. The majority in Obergefell rested its decision upon the fundamental right to marry. The Court observed that it has long found the right to marry to be constitutionally protected, though it acknowledged that its precedent describing the right presumed an opposite-sex relationship.35 Even so, according to the Court, these cases have identified reasons why the right to marry is fundamental,36 which apply equally to same-sex couples. 37 These reasons included (1) personal choice in whom to marry is inherent in the concept of individual autonomy; (2) marriage’s unique support and recognition of a two-person, committed union; (3) the safeguarding of children within a marriage, as both same-sex couples and opposite-sex couples have children; and (4) marriage as a keystone of the nation’s social order, with no distinction between same-sex couples and opposite-sex couples in states conferring benefits and responsibilities upon marriages.38 Accordingly, the Court extended the fundamental right to marry to same-sex couples. In holding that the fundamental right to marry includes same-sex couples’ right to marry, the Court appeared to acknowledge its departure from precedent for determining whether a right is fundamental—mentioned earlier in this report—which considers whether it is “deeply rooted in this Nation’s history and tradition and implicit in the concept of ordered liberty.”39 The Court observed that if rights were defined by who could historically use them, old practices could continuously prevent new groups from exercising fundamental rights.40 As such, the Court found that “rights come not from ancient sources alone. They rise, too, from a better informed 32 Skinner v. Okla., 316 U.S. 535 (1942). Griswold v. Connecticut, 381 U.S. 479 (1965). 34 Loving v. Virginia, 388 U.S. 1 (1967). 35 Obergefell, 135 S.Ct. at 2598. 36 Id. 37 Id. at 2599. 38 Id. at 2599-2601. 39 Glucksberg, 512 U.S. at 720. 40 Obergefell, 135 S. Ct. at 2602 (“If rights were defined by who exercised them in the past, then received practices could serve as their own continued justification and new groups could not invoke rights once denied.”). 33 Congressional Research Service 4 Obergefell v. Hodges: Same-Sex Marriage Legalized understanding of how constitutional imperatives define a liberty that remains urgent in our own era.”41 After determining that the fundamental right to marry includes the right of same-sex couples to marry, the Court also seemed to depart from precedent—and the approaches of courts of appeals that relied on the fundamental right to marry to strike down state same-sex marriage bans—by not applying strict scrutiny to such bans. As previously noted, courts generally subject governmental action that infringes upon a fundamental right to strict scrutiny, requiring that the action be narrowly tailored to a compelling government interest to be constitutional.42 The states had argued two primary interests for their bans on same-marriage: (1) the desire to wait and see how the same-sex marriage debate progresses before changing long-existing marriage norms; and (2) incentivizing procreating couples to stay together during child rearing. However, the Court made no mention of whether the state same-sex marriage bans at issue were narrowly tailored to these justifications. Rather, the Court noted why these justifications were invalid without appearing to apply any of the typical levels of judicial review (i.e., rational basis review, intermediate scrutiny, or strict scrutiny).43 The Court held that both equal protection and due process guarantees protect the fundamental right to marry, and that states can no longer deny this right to same-sex couples.44 Importantly, in doing so, the Court did not hold that classifications based on sexual orientation warrant any form of heightened scrutiny. In fact, the Court made no mention of the proper level of scrutiny applicable to such classifications. Some of the dissenting Justices in Obergefell thought that the majority exceeded the Court’s proper role by removing the question of whether same-sex couples have the right to marry from the democratic process, where, they stated, it is properly resolved.45 According to these Justices, the five-person majority should not have resolved the hotly contested issue of same-sex marriage for the entire country; such resolution should have come from the people.46 The dissenting Justices also voiced concern with the majority looking beyond history and tradition to establish a fundamental right contrary to Supreme Court precedent.47 According to the dissenting Justices, the requirement that fundamental rights be rooted in tradition and history exists to prevent the Court from imparting its policy decisions regarding which rights have constitutional protection.48 41 Id. See Flores, 507 U.S. at 301-02. 43 See Obergefell, 135 S. Ct. at 2605-07. 44 Id. at 2604. 45 Id. at 2612, 2615 (Roberts, J., dissenting). 46 See id. 47 See id. at 2617. 48 See id. 42 Congressional Research Service 5 Obergefell v. Hodges: Same-Sex Marriage Legalized Implications of the Supreme Court’s Decision in Obergefell Although the Supreme Court answered questions surrounding the constitutionality of state samesex marriage bans in Obergefell, its decision raised a number of other questions. These include questions regarding, among other things, Obergefell’s broader impact on the rights of gay individuals; the proper level of judicial scrutiny applicable to classifications based on sexual orientation; what the decision might mean for laws prohibiting plural marriages; the Court’s approach to recognizing fundamental rights moving forward; and the proper level of judicial scrutiny applicable to governmental action interfering with fundamental rights. This section briefly explores these questions. Obergefell raised questions about the decision’s broader impact on the rights of gay individuals— that is, whether its rationale extends rights to gay individuals outside of the marriage context. However, the decision appears limited to the marriage context. Although the majority opinion did make reference to same-sex marriage bans implicating equal protection guarantees, its holding rested entirely on such bans infringing upon the fundamental right to marry in violation of both equal protection and due process guarantees. The Court did not mention whether classifications based on sexual orientation are suspect or quasi-suspect, and thus warrant any form of heightened scrutiny. If the Court had rendered such a holding, its decision would have arguably had broader implications for the rights of gay individuals, as it would have potentially subjected all governmental action that classifies based on sexual orientation to a heightened form of judicial scrutiny. Prior to Obergefell, federal appeals courts were split regarding the proper level of judicial scrutiny applicable to governmental action that classifies based on sexual orientation. The U.S. Court of Appeals for the Ninth Circuit (Ninth Circuit) has held that classifications based on sexual orientation warrant heightened scrutiny, though it did not clarify whether this heightened scrutiny was intermediate or strict scrutiny.49 The U.S. Court of Appeals for the Second Circuit (Second Circuit) has similarly found that classifications based on sexual orientation are quasisuspect, and thus any governmental action that classifies based on sexual orientation is subject to intermediate scrutiny.50 Conversely, however, the U.S. Court of Appeals for the Sixth Circuit (Sixth Circuit) has held that governmental action that classifies based on sexual orientation is neither suspect nor quasi-suspect, and thus subject only to rational basis review.51 Because the Court’s decision in Obergefell rested on the fundamental right to marry—and therefore seems limited to the marriage context—nothing in the opinion appears to resolve the circuit split between the Second, Sixth, and Ninth Circuits regarding the correct level of scrutiny applicable to classifications based on sexual orientation. Other lower courts will be left to grapple with this issue in the future. This ambiguity leaves open the possibility that, moving forward, circuit courts could either, like the Second and Ninth Circuits, apply heightened scrutiny to laws that classify based on sexual orientation (e.g., laws that provide exemptions from antidiscrimination legislation for religious entities based on their objections to certain sexual 49 See Latta, 771 F.3d at 468. Windsor v. United States, 699 F.3d 169, 185 (2nd Cir. 2012). 51 Davis v. Prison Health Servs., 679 F.3d 433, 438 (6th Cir. 2012). 50 Congressional Research Service 6 Obergefell v. Hodges: Same-Sex Marriage Legalized orientations), or could apply rational basis review to such laws like the Sixth Circuit. The fact that some lower courts may apply heightened scrutiny to government action that classifies based on sexual orientation where other courts may not is significant because, as discussed earlier in this report, laws subject to higher levels of scrutiny are more likely to be found unconstitutional. As such, this could create a situation wherein similar laws that classify based on sexual orientation receive dissimilar outcomes when facing constitutional challenge, depending on the evaluating court. The Supreme Court’s decision in Obergefell also raised questions regarding whether the Court’s rationale could potentially extend the fundamental right to marry to polygamy. In fact, Chief Justice John Roberts, in his dissent in Obergefell, seems to suggest that the majority’s opinion could lead to the legalization of plural marriages.52 However, the majority’s opinion seems crafted so as to try to limit its reach to the same-sex marriage context, in a possible attempt to prevent its rationale from extending the fundamental right to marry to plural marriages. As previously discussed, the majority in Obergefell found that the four reasons why the right to marry is fundamental apply equally to same-sex couples, and thus extended the fundamental right to marry to same-sex couples. Some commentators have observed that there are distinctions between plural marriages and same-sex marriages sufficient to prevent Obergefell’s rationale from being extended to legalize plural marriage.53 Conversely, other commentators have observed that parts of the Court’s opinion discussing why the fundamental right to marry includes same-sex marriage (e.g., the majority’s consideration of individual autonomy and family) could potentially provide basis for extending constitutional protections to plural marriages.54 Additionally, the majority in Obergefell seemingly departed from precedent for determining whether a right is fundamental by looking beyond historical and traditional recognition. This deviation from prior cases raises the possibility that, when determining whether a right is fundamental in the future, the Court will consider how the right is viewed at the time, in addition to its historical and traditional recognition. This could have the effect of expanding the number of rights that are deemed fundamental for purposes of substantive due process protections. Finally, the Court did not clarify which, if any, of the typical levels of judicial review (i.e., rational basis review, intermediate scrutiny, or strict scrutiny) it applied to state same-sex marriage bans after finding that such bans interfere with same-sex couples’ fundamental right to marry. Moving forward, this raises questions regarding the proper level of judicial scrutiny 52 See Obergefell, 135 S. Ct. at 2621 (“It is striking how much of the majority’s reasoning would apply with equal force to the claim of a fundamental right to plural marriage.”). 53 See, e.g., Joanna L. Grossman and Lawrence M. Friedman, Is Three Still a Crowd? Polygamy and the Law After Obergefell v. Hodges, JUSTIA, July 7, 2015, https://verdict.justia.com/2015/07/07/is-three-still-a-crowd-polygamy-andthe-law-after-obergefell-v-hodges (observing that, to win in court, polygamists must “convince a court that the justification for allowing same-sex couples to marry applies with equal force to a person who wants multiple spouses,” and questioning whether the four “main reasons for recognizing the right of same-sex couples to marry” apply to polygamists); see also Richard A. Posner, The Chief Justice’s Dissent is Heartless, Slate, June 27, 2015, http://www.slate.com/articles/news_and_politics/the_breakfast_table/features/2015/scotus_roundup/ supreme_court_gay_marriage_john_roberts_dissent_in_obergefell_is_heartless.html. 54 See, e.g., William Baude, Is Polygamy Next?, N. Y. TIMES, July 21, 2015, http://www.nytimes.com/2015/07/21/ opinion/is-polygamy-next.html?mabReward=CTM&action=click&pgtype=Homepage&region=CColumn&module= Recommendation&src=rechp&WT.nav=RecEngine; see also Jonathan Turley, The Trouble with the ‘Dignity’ of SameSex Marriage, Wash. Post, July 2, 2015, https://www.washingtonpost.com/opinions/the-trouble-with-the-dignity-ofsame-sex-marriage/2015/07/02/43bd8f70-1f4e-11e5-aeb9-a411a84c9d55_story.html. Congressional Research Service 7 Obergefell v. Hodges: Same-Sex Marriage Legalized applicable to governmental action that infringes upon fundamental rights. Given that increased scrutiny decreases the likelihood that a court will find government action constitutional, this could create ambiguity regarding the degree to which the government can permissibly take action that interferes with fundamental rights. Author Contact Information Rodney M. Perry Legislative Attorney [email protected], 7-5203 Congressional Research Service 8 

[question] [user request] ===================== [text] [context document] ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Explain the potential effects of the Federal Reserve's upcoming interest rate cuts on personal finance, particularly focusing on credit card debt, mortgages, and auto loans. How should individuals prepare for these changes?

Reference Text: Inflation has slowed and the labor market has softened enough to satisfy the Federal Reserve. That means the central bank is about to cut interest rates. On Aug. 23, Fed Chair Jerome Powell said, “The time has come for policy to adjust. The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook, and the balance of risks.” In other words, Americans should prepare to finally catch a break when it comes to borrowing to pay for a home, buy a car or open a new credit card. There are also other implications for the health of the broader economy. Back in March 2022, the Federal Open Markets Committee (FOMC) began to increase the federal funds rate in response to growing inflation. It hiked rates 11 times before finally pausing. The rates, set at 5.25% to 5.50%, haven’t budged since July 2023. The first cut will almost certainly happen at the Fed’s upcoming meeting scheduled for Sept. 17-18. The futures market’s CME FedWatch Tool now predicts a 87% likelihood that the FOMC will cut the current target rate by 25 basis points; it predicts a 13% likelihood of a larger cut of 50 basis points. But even if the Fed trims rates next week as expected, the target will still be a long way from the near-zero rate of early 2020 and immediate effects will be muted. Mortgage rates have already been easing in anticipation of a cut, for example, and most consumer credit and lending products are more dependent on your credit score than on the Fed rate. Still, this is viewed as a significant event and could build expectations for more cuts down the road. So what happens next? NerdWallet writers teamed up to explain how upcoming Fed rate cuts could impact your personal finances and what you can do to prepare. Credit card interest rates are variable, meaning they adjust up or down shortly after the Fed changes the federal funds rate. So if the Fed lowers interest rates, credit card debt will cost slightly less. The operative word here is “slightly.” Credit card debt is expensive no matter what the federal funds rate happens to be. Let’s say you have an average balance of $5,000 on a card charging 25% APR. You’ll spend around $1,250 in interest over the course of a year. If your interest rate was 24% instead, that’s just $50 less in interest for the year. Point being, a rate reduction doesn’t translate to a massive savings in interest when it comes to credit cards. Still, you can use the upcoming Fed news as a reminder to check in on your debt and make a plan to pay it down as aggressively as you can. If you qualify, a balance transfer credit card could give you a year or more without interest. Lower interest rates might make a personal loan a compelling debt consolidation option. Mortgage interest rates have already headed lower ahead of any action by the Fed. In April, the average interest rate on a 30-year, fixed-rate loan was 7.04%. August's average was nearly three-quarters of a percentage point lower, at 6.31%. That 73-basis-point drop is larger than any anticipated rate cut, but rates may push even lower once the central bankers start chopping. Homeowners with adjustable-rate mortgages or home equity lines of credit (HELOCs) should see savings right away as their interest rates ratchet downward. But lower mortgage interest rates might also be a boon to homeowners with fixed-rate mortgages. Those who bought when rates were higher could finally see a significant benefit from refinancing, while owners who feel tethered by their current low mortgage rates may feel more confident about making a move. Reducing that rate "lock in" effect could put more homes on the market, particularly at the starter-home level. Prospective home buyers likely feel heartened by the prospect of rate cuts, but a quarter or even half of a percentage point cut from the Federal Reserve shouldn't cause a sudden drop in mortgage rates, especially with a downward trend already in progress. So, don't wait on the Fed: Buy when you're ready, not when interest rates are. While you're preparing to buy — and during your home search — work on your finances. Continue to pay down high-interest debt, try to build your credit score, don't take out new loans and keep making on-time payments. That way, when you're applying for a mortgage, you'll be in a strong position to get a lender's best possible interest rate regardless of where prevailing rates are. Auto loan interest rates typically follow the path of the Fed rate, but it can take time to see. When car loan rates do begin to fall, will it be a good time to buy or refinance? Here are some considerations to help you decide. Your APR on a car loan is determined by many factors, such as your credit history, credit score, loan term and vehicle age. Taking time to improve your credit, or to find a slightly used car rather than a new one, is likely to affect your loan rate more than a slight drop in the Fed rate. From the car-buying perspective, your interest rate is just one part of your monthly payment, which also includes the amount you borrow to pay for the car. In July, the average transaction price for new cars was $48,401, with an average monthly payment of $753. The average listing price for used cars was $25,415. Car prices have improved compared to a year ago, but they still remain higher than pre-pandemic levels. Even when interest rates drop, you will want to focus on a vehicle’s out-the-door price and whether the resulting monthly payment fits your budget. If you financed a car at a high interest rate, refinancing could be a way to lower the rate and your monthly payment. In general, lenders recommend reducing your rate by 1% or more, without extending the loan term, to get the most out of refinancing. And you’ll want to make sure your savings outweigh any lender or title transfer fees. Since the Fed’s rate decrease is expected to be 50 basis points or less, waiting to refinance after additional rate cuts could be more beneficial.

[question] Explain the potential effects of the Federal Reserve's upcoming interest rate cuts on personal finance, particularly focusing on credit card debt, mortgages, and auto loans. How should individuals prepare for these changes? ===================== [text] Reference Text: Inflation has slowed and the labor market has softened enough to satisfy the Federal Reserve. That means the central bank is about to cut interest rates. On Aug. 23, Fed Chair Jerome Powell said, “The time has come for policy to adjust. The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook, and the balance of risks.” In other words, Americans should prepare to finally catch a break when it comes to borrowing to pay for a home, buy a car or open a new credit card. There are also other implications for the health of the broader economy. Back in March 2022, the Federal Open Markets Committee (FOMC) began to increase the federal funds rate in response to growing inflation. It hiked rates 11 times before finally pausing. The rates, set at 5.25% to 5.50%, haven’t budged since July 2023. The first cut will almost certainly happen at the Fed’s upcoming meeting scheduled for Sept. 17-18. The futures market’s CME FedWatch Tool now predicts a 87% likelihood that the FOMC will cut the current target rate by 25 basis points; it predicts a 13% likelihood of a larger cut of 50 basis points. But even if the Fed trims rates next week as expected, the target will still be a long way from the near-zero rate of early 2020 and immediate effects will be muted. Mortgage rates have already been easing in anticipation of a cut, for example, and most consumer credit and lending products are more dependent on your credit score than on the Fed rate. Still, this is viewed as a significant event and could build expectations for more cuts down the road. So what happens next? NerdWallet writers teamed up to explain how upcoming Fed rate cuts could impact your personal finances and what you can do to prepare. Credit card interest rates are variable, meaning they adjust up or down shortly after the Fed changes the federal funds rate. So if the Fed lowers interest rates, credit card debt will cost slightly less. The operative word here is “slightly.” Credit card debt is expensive no matter what the federal funds rate happens to be. Let’s say you have an average balance of $5,000 on a card charging 25% APR. You’ll spend around $1,250 in interest over the course of a year. If your interest rate was 24% instead, that’s just $50 less in interest for the year. Point being, a rate reduction doesn’t translate to a massive savings in interest when it comes to credit cards. Still, you can use the upcoming Fed news as a reminder to check in on your debt and make a plan to pay it down as aggressively as you can. If you qualify, a balance transfer credit card could give you a year or more without interest. Lower interest rates might make a personal loan a compelling debt consolidation option. Mortgage interest rates have already headed lower ahead of any action by the Fed. In April, the average interest rate on a 30-year, fixed-rate loan was 7.04%. August's average was nearly three-quarters of a percentage point lower, at 6.31%. That 73-basis-point drop is larger than any anticipated rate cut, but rates may push even lower once the central bankers start chopping. Homeowners with adjustable-rate mortgages or home equity lines of credit (HELOCs) should see savings right away as their interest rates ratchet downward. But lower mortgage interest rates might also be a boon to homeowners with fixed-rate mortgages. Those who bought when rates were higher could finally see a significant benefit from refinancing, while owners who feel tethered by their current low mortgage rates may feel more confident about making a move. Reducing that rate "lock in" effect could put more homes on the market, particularly at the starter-home level. Prospective home buyers likely feel heartened by the prospect of rate cuts, but a quarter or even half of a percentage point cut from the Federal Reserve shouldn't cause a sudden drop in mortgage rates, especially with a downward trend already in progress. So, don't wait on the Fed: Buy when you're ready, not when interest rates are. While you're preparing to buy — and during your home search — work on your finances. Continue to pay down high-interest debt, try to build your credit score, don't take out new loans and keep making on-time payments. That way, when you're applying for a mortgage, you'll be in a strong position to get a lender's best possible interest rate regardless of where prevailing rates are. Auto loan interest rates typically follow the path of the Fed rate, but it can take time to see. When car loan rates do begin to fall, will it be a good time to buy or refinance? Here are some considerations to help you decide. Your APR on a car loan is determined by many factors, such as your credit history, credit score, loan term and vehicle age. Taking time to improve your credit, or to find a slightly used car rather than a new one, is likely to affect your loan rate more than a slight drop in the Fed rate. From the car-buying perspective, your interest rate is just one part of your monthly payment, which also includes the amount you borrow to pay for the car. In July, the average transaction price for new cars was $48,401, with an average monthly payment of $753. The average listing price for used cars was $25,415. Car prices have improved compared to a year ago, but they still remain higher than pre-pandemic levels. Even when interest rates drop, you will want to focus on a vehicle’s out-the-door price and whether the resulting monthly payment fits your budget. If you financed a car at a high interest rate, refinancing could be a way to lower the rate and your monthly payment. In general, lenders recommend reducing your rate by 1% or more, without extending the loan term, to get the most out of refinancing. And you’ll want to make sure your savings outweigh any lender or title transfer fees. Since the Fed’s rate decrease is expected to be 50 basis points or less, waiting to refinance after additional rate cuts could be more beneficial. https://www.nasdaq.com/articles/what-happens-when-fed-finally-cuts-rates ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Only use the information provided in the context document. Present the answer in a markdown formatted table.

Give me an example daily nutrition plan with food recommendations for a 42-year-old female in the week before a race.

4 NUTRITION Nutrition is extremely important for individuals who are doing a sport in competitive level and for recreational individuals as well. Proper nutrition makes exercising more efficient and improves recovery from the exercises. A versatile diet that considers limitations ensures that the most important areas e.g. vitamins, mineralsand macro- nutrients are covered. The recommended total energy intake varies between individuals, sports and training period. The emphasis of macronutrients varies between sports. Endurance sports require more energy from carbohydrates than sports related to speed and power. (Mero 2016, 177.) The specific training period, as mentioned before affects energy requirement level. During the general preparation periods, energy intake varies from 3000 kcal to 6000 kcal depending on the exercise duration and intensity. One rule of thumb is to calculate daily need with 45-70 kcal/kg of body weight. Total energy intake should vary depending on the need, however, the amount of carbohydrates should remain high to be able to maintain proper recovery. Total energy intake should be 100-300 kcal over the daily consumption to recover and improve optimally. (Mero 2016, 204 –205.) 4.1 Carbohydrates Carbohydrates form the base of nutrition for endurance athletes. Carbohydrates are needed as an energy source during long lasting exercises and in recovery. The amount of carbohydrates consumed should be 6-10 g/kg or 60-75% of total energy intake. Carbohydrates that are consumed before training ensure that the blood glucose level stays high and the intensity can be as high as planned. This can be achieved by consuming a meal that includes carbohydrates and protein 1- 4 hours before the exercise. (Mero 2016, 204 – 205.) Good sources of carbohydrates include e.g. rice, pasta, potatoes, bread and fruits. It is recommended that recreational runners should prefer fiber rich carbohydrate sources because they fit for wellbeing purposes also. However, for athletes with high-energy expenditure, sugars can be used to reach high enough carbohydrate intake level. Sugar rich energy sources are e.g. juices, jams and honey. (Ilander, 2014a, 136—137.) 4.2 Fat Fats are needed to maintain hormonal functions in the body, and to enhance the absorption of vitamins. Fat intake level should be 1,0-1,5 g/kg or 20-30% of total energy intake (Mero 2016, 204). Due to high amount of energy that fats contain, the amount should be limited. The high requirement of carbohydrates and protein also affect to the intake level of fat. Fats that are consumed should mainly be unsaturated fat. Athletes should favor products that include low levels of fat. (Arjanne, Laaksonen & Ojala 2016, 164 – 168.) Good sources of fat include high amount of un-saturated fats and are low on saturated fats. Un-saturated fats can be found from e.g. nuts, fish and vegetable oils. Saturated fat can be found from e.g. red meat, and thus too extensive use should be avoided. (Ilander, 2014b, 229—238.) 4.3 Protein Proteins are used to build muscle mass, and serve as an energy source during long lasting performances. Protein intake level should be 2-3 g/kg or 15-20% of total energy intake (Mero 2016, 204). A high amount of proteins in the diet ensures, that there is no loss in muscle mass, and that the recovery from the training is optimal. Proteins also help in weight control by giving a feeling of satiety. (Arjanne, Laaksonen & Ojala, 2016, 164 – 168.) In versatile diet, the amount of protein is covered, but in case additional protein is needed, it can be consumed from supplements or from other sources. For people with special diets e.g. vegetarians and vegans, it is extremely important to make sure that the protein intake level is sufficient. Good sources of protein are e.g. milk, eggs, fish, seeds and nuts. (Ilander & Lindblad, 2014, 222—225.) 4.4 Carbohydrate and hydration loading for competitions Carbohydrate loading is beneficial before long lasting events, because the body’s glycogen stores can become a limiting factor for performance. Filling up the glycogen stores will allow one to perform longer with high intensity. There are several strategies for carbohydrate loading, some being riskier than others. In the guide, we introduced a fast and low risk way to do it. A fast and low risk method for carbohydrate loading starts with a short, but maximal intensity exercise, which is done 48 hours before the competition. After the exercise, a very high carbohydrate intake is maintained for 24 hours. The amount of carbohydrates consumed correspond to 12 g/kg of fat free body mass. During this 24 hours, no training should be done to avoid depletion of the glycogen stores. After the 24 hour period, a normal, high carbohydrate diet (6-10 g/kg) is maintained until the competition. (Fairchild et al 2002.) Good carbohydrate sources for loading purposes are pasta, white bread, rice and sports drinks. During the carbohydrate loading, protein and fat rich food should be avoided as well as low energy foods e.g. vegetables (Collier & O’dea 1983; Fairchild et al 2002). Dehydration is a risk factor that can ruin a well-planned competition. It can be avoided by consuming additional two liters of liquid for every day for 3-4 days before the competition and by consuming liquids during the competition as well. The competition day should have normal liquid consumption. A sufficient amount of liquids during the competition is 0,5-1 liter per hour. (Juoksijalehti n.d.) However, consuming too much liquid can predispose one to hyponatremia (Mayoclinic 2014).

Give me an example daily nutrition plan with food recommendations for a 42 year old female in the week before a race. System Instructions: Only use the information provided in the context document. Present the answer in a markdown formatted table. 4 NUTRITION Nutrition is extremely important for individuals who are doing a sport in competitive level and for recreational individuals as well. Proper nutrition makes exercising more efficient and improves recovery from the exercises. A versatile diet that considers limitations ensures that the most important areas e.g. vitamins, mineralsand macro- nutrients are covered. The recommended total energy intake varies between individuals, sports and training period. The emphasis of macronutrients varies between sports. Endurance sports require more energy from carbohydrates than sports related to speed and power. (Mero 2016, 177.) The specific training period, as mentioned before affects energy requirement level. During the general preparation periods, energy intake varies from 3000 kcal to 6000 kcal depending on the exercise duration and intensity. One rule of thumb is to calculate daily need with 45-70 kcal/kg of body weight. Total energy intake should vary depending on the need, however, the amount of carbohydrates should remain high to be able to maintain proper recovery. Total energy intake should be 100-300 kcal over the daily consumption to recover and improve optimally. (Mero 2016, 204 –205.) 4.1 Carbohydrates Carbohydrates form the base of nutrition for endurance athletes. Carbohydrates are needed as an energy source during long lasting exercises and in recovery. The amount of carbohydrates consumed should be 6-10 g/kg or 60-75% of total energy intake. Carbohydrates that are consumed before training ensure that the blood glucose level stays high and the intensity can be as high as planned. This can be achieved by consuming a meal that includes carbohydrates and protein 1- 4 hours before the exercise. (Mero 2016, 204 – 205.) Good sources of carbohydrates include e.g. rice, pasta, potatoes, bread and fruits. It is recommended that recreational runners should prefer fiber rich carbohydrate sources because they fit for wellbeing purposes also. However, for athletes with high-energy expenditure, sugars can be used to reach high enough carbohydrate intake level. Sugar rich energy sources are e.g. juices, jams and honey. (Ilander, 2014a, 136—137.) 4.2 Fat Fats are needed to maintain hormonal functions in the body, and to enhance the absorption of vitamins. Fat intake level should be 1,0-1,5 g/kg or 20-30% of total energy intake (Mero 2016, 204). Due to high amount of energy that fats contain, the amount should be limited. The high requirement of carbohydrates and protein also affect to the intake level of fat. Fats that are consumed should mainly be unsaturated fat. Athletes should favor products that include low levels of fat. (Arjanne, Laaksonen & Ojala 2016, 164 – 168.) Good sources of fat include high amount of un-saturated fats and are low on saturated fats. Un-saturated fats can be found from e.g. nuts, fish and vegetable oils. Saturated fat can be found from e.g. red meat, and thus too extensive use should be avoided. (Ilander, 2014b, 229—238.) 4.3 Protein Proteins are used to build muscle mass, and serve as an energy source during long lasting performances. Protein intake level should be 2-3 g/kg or 15-20% of total energy intake (Mero 2016, 204). A high amount of proteins in the diet ensures, that there is no loss in muscle mass, and that the recovery from the training is optimal. Proteins also help in weight control by giving a feeling of satiety. (Arjanne, Laaksonen & Ojala, 2016, 164 – 168.) In versatile diet, the amount of protein is covered, but in case additional protein is needed, it can be consumed from supplements or from other sources. For people with special diets e.g. vegetarians and vegans, it is extremely important to make sure that the protein intake level is sufficient. Good sources of protein are e.g. milk, eggs, fish, seeds and nuts. (Ilander & Lindblad, 2014, 222—225.) 4.4 Carbohydrate and hydration loading for competitions Carbohydrate loading is beneficial before long lasting events, because the body’s glycogen stores can become a limiting factor for performance. Filling up the glycogen stores will allow one to perform longer with high intensity. There are several strategies for carbohydrate loading, some being riskier than others. In the guide, we introduced a fast and low risk way to do it. A fast and low risk method for carbohydrate loading starts with a short, but maximal intensity exercise, which is done 48 hours before the competition. After the exercise, a very high carbohydrate intake is maintained for 24 hours. The amount of carbohydrates consumed correspond to 12 g/kg of fat free body mass. During this 24 hours, no training should be done to avoid depletion of the glycogen stores. After the 24 hour period, a normal, high carbohydrate diet (6-10 g/kg) is maintained until the competition. (Fairchild et al 2002.) Good carbohydrate sources for loading purposes are pasta, white bread, rice and sports drinks. During the carbohydrate loading, protein and fat rich food should be avoided as well as low energy foods e.g. vegetables (Collier & O’dea 1983; Fairchild et al 2002). Dehydration is a risk factor that can ruin a well-planned competition. It can be avoided by consuming additional two liters of liquid for every day for 3-4 days before the competition and by consuming liquids during the competition as well. The competition day should have normal liquid consumption. A sufficient amount of liquids during the competition is 0,5-1 liter per hour. (Juoksijalehti n.d.) However, consuming too much liquid can predispose one to hyponatremia (Mayoclinic 2014).

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

With Accenture and HCL, and other major ICT firms beginning to aim for sustainability, what is the position of carbon-counting tools like GreenFrame in the mitigation of emission from front-end web applications? Further, how do these companies apply 3R model(Reduce, Reuse, Recycle) in their sustainability initiatives, and what issues may ensue during the implementing strategy of these services into the ICT services?

Studies show that carbon emissions generated by the internet, devices, and systems that support it account for 3.7% of global greenhouse gas emissions. That’s more than all aviation emissions (2.5%). It doesn’t end there. Research conducted by “Green the Web.” found that a single web page consumes on average 1.76 g CO2 per page view. As businesses, the question we need to ask ourselves is how much every click on our website/data storage/use of tech devices costs the planet. There are no specific points or steps to follow while designing a green or sustainable IT system. In truth, it’s a collection of ideas, facts, and best practices that should be followed while prioritizing sustainability principles. Climate change is an indisputable reality every organization under the sun is grappling with. Increased global warming due to rising carbon emissions is compelling both companies and customers to think about sustainability for their own future. A few statistics to understand the gravity of the current scenario: Forests being cut down: Since 2016, an average of 28 million hectares have been cut down every year. Half of the world’s rainforest has been destroyed in just one century. Nearly 2.7 billion tons of coal mined globally to date: Strip mining accounts for 40% of the world’s coal mines and the practice destroys landscapes, forests, and wildlife habitation. The global Information Communication Technology (ICT) industry contributes 2%-3% of greenhouse gas (GHG) emissions: User devices, networks, and data centers hold the largest share of carbon emissions compared to other contributors within the ICT industry. Related reading: The growth of green consumerism: Shaping sustainable futures “Sustainability” – the real buzz around the entire ICT industry Environmental, Social, and Governance (ESG) investors are using non-financial aspects more often as part of their analytical process to assess opportunities and identify material risks. ESG investors have become a growing force in capital markets and poured around $649 Bn into ESG funds in 2021. The US has experienced the highest growth in recent years and may come to dominate the category starting in 2022. ECG-mandated & non-mandated assets Shifts in design globally and the role of IT companies Green or sustainable IT is bringing about a transformative change in the users’ mindset. Right from the efficient utilization of resources, reduction in waste, innovative and sustainable design approach, low power devices, and more, ICT companies can immensely contribute towards this objective of global environmental sustainability. Global IT industry leaders like Accenture, Microsoft, IBM, HCL, Oracle, etc., are working towards IT sustainability and incorporating a sustainable approach in their products and services. There are tools available to measure CO2 emissions in front-end web applications (E.g. Wholegrain Digital and GreenFrame). However, for native/mobile applications currently, a few startups are working to measure CO2 emissions. Some of the names include Pangolin, CoGo, and ImpactVision. Increasing use of 3D arts, electronics wearables, mobile apps, NFTs, gamification, IoT devices, and data centers have raised serious concerns for designers and developers about incurring sustainability issues and reducing carbon footprints. Savvy startups eager to prove their concern are already working towards providing sustainability in their product/services. Current innovation in and sustainability R&D concept in the IT industry are being developed and applied to future paradigm parameters like the generation of extremely consistent recycling management approaches for hardware and batteries. Importance of 3 Rs in sustainable IT: reusing, recycling, reducing The entire environmental sustainability revolves around 3 Rs (reusing, recycling, reducing). IT enterprises (more likely hardware companies) can create advanced IT systems keeping these 3 Rs in mind. Recycling is using old components or parts in a new way or using waste as resources. Reusing refers to the repeated use of items or parts of items which still have usable aspects including network interfaces and communication devices. Reducing means optimizing the amount of waste or energy consumed with means of choosing things with care to reduce the amount of waste generated. Optimized customer experiences are turning into game-changers and IT technology trends are focused on this digital-savvy generation. The necessity to get on the sustainable IT trends wave Before discussing sustainable IT trends, let’s start with why it is imperative to catch up with these trends: Competitive edge: Staying informed on the latest trends of sustainability and monitoring how your competitors are treating their customers helps you drive competitive uniqueness. New customer acquisition: Consumers have begun to change their buying patterns due to the shift to digital platforms, products, and services. Considering sustainability (low power, fast charging, and compact designs) as the primary go-to-market strategy allows enterprises to tap into new ways to acquire customers. Customer retention: Customer loyalty is an irreplaceable asset. By offering your customers the experience they deserve, enterprises can build a connection that goes beyond a single interaction or purchase. Sustainability will remain a top priority for ICT brands to survive and thrive. A few key trends we think will help your customers and the market at large take note of your sustainable approach now and into the future: ICT initiative that lifts sustainability Ensuring these ideas are embedded into hardware and software designs will not only lead to improved performance and usability. It will also ensure quality of product or services that company offers. As leading ICT brands like Microsoft, Intel, Google, AT&T, AWS, etc. need to implement a sustainability approach to build a green future, accessible to all. Creating a simpler, smoother online experience can also help reduce visitor screen time and webpage bandwidth usage. As a part of sustainable product/service design, savvy companies are already working to support the environment by compact designs, use of advanced technologies like AI and ML, and incorporate energy efficient systems. Going green is a core part of doing business today for any enterprise. Sustainable/green approach results in a win-win-win situation for the economy, society, and environment. Enterprises operating in ICT sector must consider sustainability as their responsibility while developing new technologies, products, and services.

"================ <TEXT PASSAGE> ======= Studies show that carbon emissions generated by the internet, devices, and systems that support it account for 3.7% of global greenhouse gas emissions. That’s more than all aviation emissions (2.5%). It doesn’t end there. Research conducted by “Green the Web.” found that a single web page consumes on average 1.76 g CO2 per page view. As businesses, the question we need to ask ourselves is how much every click on our website/data storage/use of tech devices costs the planet. There are no specific points or steps to follow while designing a green or sustainable IT system. In truth, it’s a collection of ideas, facts, and best practices that should be followed while prioritizing sustainability principles. Climate change is an indisputable reality every organization under the sun is grappling with. Increased global warming due to rising carbon emissions is compelling both companies and customers to think about sustainability for their own future. A few statistics to understand the gravity of the current scenario: Forests being cut down: Since 2016, an average of 28 million hectares have been cut down every year. Half of the world’s rainforest has been destroyed in just one century. Nearly 2.7 billion tons of coal mined globally to date: Strip mining accounts for 40% of the world’s coal mines and the practice destroys landscapes, forests, and wildlife habitation. The global Information Communication Technology (ICT) industry contributes 2%-3% of greenhouse gas (GHG) emissions: User devices, networks, and data centers hold the largest share of carbon emissions compared to other contributors within the ICT industry. Related reading: The growth of green consumerism: Shaping sustainable futures “Sustainability” – the real buzz around the entire ICT industry Environmental, Social, and Governance (ESG) investors are using non-financial aspects more often as part of their analytical process to assess opportunities and identify material risks. ESG investors have become a growing force in capital markets and poured around $649 Bn into ESG funds in 2021. The US has experienced the highest growth in recent years and may come to dominate the category starting in 2022. ECG-mandated & non-mandated assets Shifts in design globally and the role of IT companies Green or sustainable IT is bringing about a transformative change in the users’ mindset. Right from the efficient utilization of resources, reduction in waste, innovative and sustainable design approach, low power devices, and more, ICT companies can immensely contribute towards this objective of global environmental sustainability. Global IT industry leaders like Accenture, Microsoft, IBM, HCL, Oracle, etc., are working towards IT sustainability and incorporating a sustainable approach in their products and services. There are tools available to measure CO2 emissions in front-end web applications (E.g. Wholegrain Digital and GreenFrame). However, for native/mobile applications currently, a few startups are working to measure CO2 emissions. Some of the names include Pangolin, CoGo, and ImpactVision. Increasing use of 3D arts, electronics wearables, mobile apps, NFTs, gamification, IoT devices, and data centers have raised serious concerns for designers and developers about incurring sustainability issues and reducing carbon footprints. Savvy startups eager to prove their concern are already working towards providing sustainability in their product/services. Current innovation in and sustainability R&D concept in the IT industry are being developed and applied to future paradigm parameters like the generation of extremely consistent recycling management approaches for hardware and batteries. Importance of 3 Rs in sustainable IT: reusing, recycling, reducing The entire environmental sustainability revolves around 3 Rs (reusing, recycling, reducing). IT enterprises (more likely hardware companies) can create advanced IT systems keeping these 3 Rs in mind. Recycling is using old components or parts in a new way or using waste as resources. Reusing refers to the repeated use of items or parts of items which still have usable aspects including network interfaces and communication devices. Reducing means optimizing the amount of waste or energy consumed with means of choosing things with care to reduce the amount of waste generated. Optimized customer experiences are turning into game-changers and IT technology trends are focused on this digital-savvy generation. The necessity to get on the sustainable IT trends wave Before discussing sustainable IT trends, let’s start with why it is imperative to catch up with these trends: Competitive edge: Staying informed on the latest trends of sustainability and monitoring how your competitors are treating their customers helps you drive competitive uniqueness. New customer acquisition: Consumers have begun to change their buying patterns due to the shift to digital platforms, products, and services. Considering sustainability (low power, fast charging, and compact designs) as the primary go-to-market strategy allows enterprises to tap into new ways to acquire customers. Customer retention: Customer loyalty is an irreplaceable asset. By offering your customers the experience they deserve, enterprises can build a connection that goes beyond a single interaction or purchase. Sustainability will remain a top priority for ICT brands to survive and thrive. A few key trends we think will help your customers and the market at large take note of your sustainable approach now and into the future: ICT initiative that lifts sustainability Ensuring these ideas are embedded into hardware and software designs will not only lead to improved performance and usability. It will also ensure quality of product or services that company offers. As leading ICT brands like Microsoft, Intel, Google, AT&T, AWS, etc. need to implement a sustainability approach to build a green future, accessible to all. Creating a simpler, smoother online experience can also help reduce visitor screen time and webpage bandwidth usage. As a part of sustainable product/service design, savvy companies are already working to support the environment by compact designs, use of advanced technologies like AI and ML, and incorporate energy efficient systems. Going green is a core part of doing business today for any enterprise. Sustainable/green approach results in a win-win-win situation for the economy, society, and environment. Enterprises operating in ICT sector must consider sustainability as their responsibility while developing new technologies, products, and services. https://www.netscribes.com/sustainable-it-reducing-carbon-footprints-and-preserving-resources/ ================ <QUESTION> ======= With Accenture and HCL, and other major ICT firms beginning to aim for sustainability, what is the position of carbon-counting tools like GreenFrame in the mitigation of emission from front-end web applications? Further, how do these companies apply 3R model(Reduce, Reuse, Recycle) in their sustainability initiatives, and what issues may ensue during the implementing strategy of these services into the ICT services? ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

You can only respond using information in the context block, and no other sources.

What are the implications of an acrylate allergy?

The British Association of Dermatologists has issued warnings regarding the dangers of chemicals found in nail cosmetics. The retrospective analysis of patch testing results conducted on individuals diagnosed with contact dermatitis(CD) due to nail cosmetic ingredients revealed the most frequently occurring positive reactions to specific chemicals [3].4.2.1 Acrylates are chemicals found in gel nail products, acrylic nails, and some nailadhesives. Hydroxyethyl Methacrylates (HEMA), Methyl Methacrylate and Ethyl Acrylateare commonly used in these products and resulted to be the most allergenic in the study(56.6%, 27.8% and 25.2%, respectively) [3] . Some individuals may develop contact dermatitis or allergic reactions to these chemicals, especially if they come into prolonged or repeated contact with the skin and are cross-reactive with one another [12].An EECDRG (European Environmental Contact Dermatitis Research Group) study revealed136 cases of allergic contact dermatitis (ACD) caused by nail acrylates, diagnosed through targeted testing [4] . This accounted for approximately 67% of all cases of (meth)acrylate allergy observed between the years 2013 and 2015. The study identified the main allergens responsible for these reactions, with 2-hydroxyethyl methacrylate (2-HEMA) showing a positivity rate of 91.9%, followed by hydroxypropyl methacrylate with 83.2% positivity, and ethylene glycol dimethacrylate at 69.2% positivity.The monomer commonly used in nail cosmetic procedures is typically a methacrylatemonomer. Initially, methyl methacrylate (MMA) was frequently employed in these products. 63However, due to the occurrence of severe cases of contact dermatitis associated with MMA exposure, its use has been restricted in the United States and Europe [13] . To address safety concerns, regulations were implemented in the United States, which led to the prohibition of products with 100% MMA monomer. Additionally, in Europe, many products containing over90% MMA monomer were recalled preventing potential adverse health effects [14].4.2.2 Formaldehyde is a preservative and hardening agent found in some nail hardeners and nail polishes [15] . It can cause skin irritation and allergic reactions, and long-term exposure may pose health risks. There has been a decline in sensitization to tosylamide/formaldehyde resin, a common ingredient found in "classical" nail polish, while the incidence of(meth)acrylate-related allergic contact dermatitis (ACD) has been on the rise [16].3.2.3 Parabens are preservatives used in some nail products to extend their shelf life [17] .They have been linked to skin irritation and may cause allergic reactions in sensitive individuals. They are very weak allergens with a sensitization prevalence of arounf 1% or less.4.3. Allergic Contact DermatitisThe most studied adverse effect of methacrylate monomers in the gel polish is allergic contact dermatitis (ACD) [18] . Recently, the incidence of allergic contact dermatitis associated with nail cosmetics has increased among beauticians and customers, particularly with the rising popularity of photo-bonded acrylic gel nails[19].ACD caused by (meth)acrylates is commonly observed in specific occupational groups, including beauticians such as nail technicians, dental personnel (dentists and technicians), and employees working in industries involved in fiberglass, printing, glue, or paint manufacturing[1] . These professionals are at an increased risk of developing allergic reactions to(meth)acrylates due to their frequent and direct exposure to products containing these compounds in their work environments. Gatica-Ortega et al. (2017) presented a picture of a typical patient with ACD caused by methacrylates in artificial nails as a young, non-atopic woman, who works as a nail technician and suffers from hand and face dermatisis [18] . They used MOAHFLA index, which is the acronym for male, occupational dermatitis, atopic dermatitis, hand dermatitis, leg dermatitis, face dermatitis, and age >40 years. Among the 1.82% patients with ACD of 2353 studied, the most frequently positive allergens were HPMA (positive reactions observed in almost all 64patients except one), HEMA, and THFMA. Only one patient had negative patch test results for both HPMA and HEMA. Patch testing with both HPMA and THFMA would have ensured that no patients with (meth)acrylate allergies were missed.Interestingly, these three allergens, HPMA, HEMA, and THFMA, were also the most identified (meth)acrylate compounds listed on the labels of the products used by the patients.This correlation between positive patch test results and the presence of these allergens in the products suggests the importance of identifying and labeling these compounds accurately to aid in diagnosing and managing allergic contact dermatitis caused by (meth)acrylates.The risk of developing allergic contact dermatitis to nail cosmetics is higher in individuals who have previously been sensitized to these allergens. Sensitization can occur through repeated or prolonged exposure to these chemicals, leading the body's immune system to recognize them as harmful substances and trigger an allergic reaction upon subsequent exposure [20]. The nail technicians are under the highest risk of allergies.The retrospective study conducted by the European Environmental Contact Dermatitis Research Group (EECDRG) revealed significant insights into acrylate-induced allergic contact dermatitis (ACD) [4].Authors showed that an overwhelming 67% of ACD cases attributed to acrylates were caused by materials used in nail stylization. Among the affected individuals, 43% were exposed as consumers using nail cosmetic products, while 56% were exposed occupationally, primarily referring to nail technicians who handle these products regularly.A notable finding from the study was that 65% of the cases of occupational ACD were identified within the first year of starting work. This indicates a high sensitizing potency of acrylate chemicals, as the allergic reactions were detected relatively early in the occupational exposure. It highlights the importance of recognizing the risks associated with acrylate exposure in the workplace and the need for preventative measures to protect the health of professionals working in nail stylization.Symptoms of allergic contact dermatitis may include redness, itching, swelling, and blistering around the nail area or on the skin exposed to the nail products [4,21] . In severe cases, the reaction may spread to other parts of the body that encountered the allergen, leading to widespread dermatitis. 654.5.1. Diagnosis Patch testing is considered the gold standard in confirming the diagnosis of allergy to acrylates [1] . During the procedure, small amounts of potential allergens, including acrylate compounds, are applied to patches that are then placed on the patient's back. The patches are left in place for a specific time, usually around 48 hours. After this period, the patches are removed, and the skin is carefully examined for any signs of allergic reactions.If a patient is allergic to acrylates, the patch test will reveal a positive reaction in the form of redness, swelling, or rash at the site of exposure to the acrylate allergen. This positive result confirms the diagnosis of acrylate allergy and helps the healthcare provider to identify the specific acrylate compounds to which the patient is sensitive.Acrylate allergies can sometimes be polyvalent, meaning patients may exhibit positive patch test reactions to multiple acrylate compounds even if they have not been directly exposed toall those substances individually [20]. This phenomenon is often attributed to cross-reactions between different acrylic monomers and concomitant allergies.4.4. Additional RiskAllergies to gel nail chemicals are more likely to occur if gel polish isn't accurately or sufficiently cured under a UV or LED lamp during the manicure, leading to skin sensitization[2]. The British Association of Dermatologists has urged caution with at-home gel nail kits, as improper curing and exposure to acrylates can cause allergic reactions [22–24].Acrylates are not only present in nail cosmetics but have a wide application in various medical purposes, such as dental ligatures, soft contact lenses, endoprostheses, hearing aids and medical devices for diabetes patients [25–28].As a result, individuals who have previously developed allergic contact dermatitis (ACD) to acrylates from artificial nails may experience allergic reactions upon re-exposure to acrylates in these other materials. Moreover, cross-reactions with other acrylic monomers may occur, leading to additional allergic responses [20].For individuals with ACD to acrylates in artificial nails, it is essential to exercise caution when using other products that contain acrylates. However, it has been reported that those 66 who are not allergic to ethyl cyanoacrylate, which is present in all nail glues, can safely use silk wrap nails as an alternative [5] . This option provides a potentially safer choice for nail enhancements without the risk of triggering allergic reactions caused by acrylates in artificial nails.

System instruction: You can only respond using information in the context block, and no other sources. question: What are the implications of an acrylate allergy? context: The British Association of Dermatologists has issued warnings regarding the dangers of chemicals found in nail cosmetics. The retrospective analysis of patch testing results conducted on individuals diagnosed with contact dermatitis(CD) due to nail cosmetic ingredients revealed the most frequently occurring positive reactions to specific chemicals [3].4.2.1 Acrylates are chemicals found in gel nail products, acrylic nails, and some nailadhesives. Hydroxyethyl Methacrylates (HEMA), Methyl Methacrylate and Ethyl Acrylateare commonly used in these products and resulted to be the most allergenic in the study(56.6%, 27.8% and 25.2%, respectively) [3] . Some individuals may develop contact dermatitis or allergic reactions to these chemicals, especially if they come into prolonged or repeated contact with the skin and are cross-reactive with one another [12].An EECDRG (European Environmental Contact Dermatitis Research Group) study revealed136 cases of allergic contact dermatitis (ACD) caused by nail acrylates, diagnosed through targeted testing [4] . This accounted for approximately 67% of all cases of (meth)acrylate allergy observed between the years 2013 and 2015. The study identified the main allergens responsible for these reactions, with 2-hydroxyethyl methacrylate (2-HEMA) showing a positivity rate of 91.9%, followed by hydroxypropyl methacrylate with 83.2% positivity, and ethylene glycol dimethacrylate at 69.2% positivity.The monomer commonly used in nail cosmetic procedures is typically a methacrylatemonomer. Initially, methyl methacrylate (MMA) was frequently employed in these products. 63However, due to the occurrence of severe cases of contact dermatitis associated with MMA exposure, its use has been restricted in the United States and Europe [13] . To address safety concerns, regulations were implemented in the United States, which led to the prohibition of products with 100% MMA monomer. Additionally, in Europe, many products containing over90% MMA monomer were recalled preventing potential adverse health effects [14].4.2.2 Formaldehyde is a preservative and hardening agent found in some nail hardeners and nail polishes [15] . It can cause skin irritation and allergic reactions, and long-term exposure may pose health risks. There has been a decline in sensitization to tosylamide/formaldehyde resin, a common ingredient found in "classical" nail polish, while the incidence of(meth)acrylate-related allergic contact dermatitis (ACD) has been on the rise [16].3.2.3 Parabens are preservatives used in some nail products to extend their shelf life [17] .They have been linked to skin irritation and may cause allergic reactions in sensitive individuals. They are very weak allergens with a sensitization prevalence of arounf 1% or less.4.3. Allergic Contact DermatitisThe most studied adverse effect of methacrylate monomers in the gel polish is allergic contact dermatitis (ACD) [18] . Recently, the incidence of allergic contact dermatitis associated with nail cosmetics has increased among beauticians and customers, particularly with the rising popularity of photo-bonded acrylic gel nails[19].ACD caused by (meth)acrylates is commonly observed in specific occupational groups, including beauticians such as nail technicians, dental personnel (dentists and technicians), and employees working in industries involved in fiberglass, printing, glue, or paint manufacturing[1] . These professionals are at an increased risk of developing allergic reactions to(meth)acrylates due to their frequent and direct exposure to products containing these compounds in their work environments. Gatica-Ortega et al. (2017) presented a picture of a typical patient with ACD caused by methacrylates in artificial nails as a young, non-atopic woman, who works as a nail technician and suffers from hand and face dermatisis [18] . They used MOAHFLA index, which is the acronym for male, occupational dermatitis, atopic dermatitis, hand dermatitis, leg dermatitis, face dermatitis, and age >40 years. Among the 1.82% patients with ACD of 2353 studied, the most frequently positive allergens were HPMA (positive reactions observed in almost all 64patients except one), HEMA, and THFMA. Only one patient had negative patch test results for both HPMA and HEMA. Patch testing with both HPMA and THFMA would have ensured that no patients with (meth)acrylate allergies were missed.Interestingly, these three allergens, HPMA, HEMA, and THFMA, were also the most identified (meth)acrylate compounds listed on the labels of the products used by the patients.This correlation between positive patch test results and the presence of these allergens in the products suggests the importance of identifying and labeling these compounds accurately to aid in diagnosing and managing allergic contact dermatitis caused by (meth)acrylates.The risk of developing allergic contact dermatitis to nail cosmetics is higher in individuals who have previously been sensitized to these allergens. Sensitization can occur through repeated or prolonged exposure to these chemicals, leading the body's immune system to recognize them as harmful substances and trigger an allergic reaction upon subsequent exposure [20]. The nail technicians are under the highest risk of allergies.The retrospective study conducted by the European Environmental Contact Dermatitis Research Group (EECDRG) revealed significant insights into acrylate-induced allergic contact dermatitis (ACD) [4].Authors showed that an overwhelming 67% of ACD cases attributed to acrylates were caused by materials used in nail stylization. Among the affected individuals, 43% were exposed as consumers using nail cosmetic products, while 56% were exposed occupationally, primarily referring to nail technicians who handle these products regularly.A notable finding from the study was that 65% of the cases of occupational ACD were identified within the first year of starting work. This indicates a high sensitizing potency of acrylate chemicals, as the allergic reactions were detected relatively early in the occupational exposure. It highlights the importance of recognizing the risks associated with acrylate exposure in the workplace and the need for preventative measures to protect the health of professionals working in nail stylization.Symptoms of allergic contact dermatitis may include redness, itching, swelling, and blistering around the nail area or on the skin exposed to the nail products [4,21] . In severe cases, the reaction may spread to other parts of the body that encountered the allergen, leading to widespread dermatitis. 654.5.1. Diagnosis Patch testing is considered the gold standard in confirming the diagnosis of allergy to acrylates [1] . During the procedure, small amounts of potential allergens, including acrylate compounds, are applied to patches that are then placed on the patient's back. The patches are left in place for a specific time, usually around 48 hours. After this period, the patches are removed, and the skin is carefully examined for any signs of allergic reactions.If a patient is allergic to acrylates, the patch test will reveal a positive reaction in the form of redness, swelling, or rash at the site of exposure to the acrylate allergen. This positive result confirms the diagnosis of acrylate allergy and helps the healthcare provider to identify the specific acrylate compounds to which the patient is sensitive.Acrylate allergies can sometimes be polyvalent, meaning patients may exhibit positive patch test reactions to multiple acrylate compounds even if they have not been directly exposed toall those substances individually [20]. This phenomenon is often attributed to cross-reactions between different acrylic monomers and concomitant allergies.4.4. Additional RiskAllergies to gel nail chemicals are more likely to occur if gel polish isn't accurately or sufficiently cured under a UV or LED lamp during the manicure, leading to skin sensitization[2]. The British Association of Dermatologists has urged caution with at-home gel nail kits, as improper curing and exposure to acrylates can cause allergic reactions [22–24].Acrylates are not only present in nail cosmetics but have a wide application in various medical purposes, such as dental ligatures, soft contact lenses, endoprostheses, hearing aids and medical devices for diabetes patients [25–28].As a result, individuals who have previously developed allergic contact dermatitis (ACD) to acrylates from artificial nails may experience allergic reactions upon re-exposure to acrylates in these other materials. Moreover, cross-reactions with other acrylic monomers may occur, leading to additional allergic responses [20].For individuals with ACD to acrylates in artificial nails, it is essential to exercise caution when using other products that contain acrylates. However, it has been reported that those 66 who are not allergic to ethyl cyanoacrylate, which is present in all nail glues, can safely use silk wrap nails as an alternative [5] . This option provides a potentially safer choice for nail enhancements without the risk of triggering allergic reactions caused by acrylates in artificial nails.

Do not use any outside sources of prior knowledge when you answer. Only use the provided text to answer.

Explain the different time periods in a way that would be suitable for my 6 year-old daughter to understand.

ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 1 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS AVAILABILITY This rate schedule is available to all residential Customers, including Partial Requirements Customers with an on-site distributed generation system. DESCRIPTION This rate has two parts: a basic service charge and an energy charge. The energy charge will vary by season (summer or winter) and by the time of day that the energy is used (On-Peak, Off-Peak, or Super Off-Peak). This rate does not include a demand charge. TIME PERIODS The On-Peak time period for residential rate schedules is 4 p.m. to 7 p.m. Monday through Friday year-round. This rate also has a Super Off-Peak period, which is 10 a.m. to 3 p.m. Monday through Friday during the winter season, which is the billing cycles of November through April. All other hours are Off-Peak hours. The following holidays are also included in the Off-Peak hours: • New Year’s Day - January 1* • Martin Luther King Day - Third Monday in January • Presidents Day - Third Monday in February • Cesar Chavez Day - March 31* • Memorial Day - Last Monday in May • Juneteenth – June 19* • Independence Day - July 4* • Labor Day - First Monday in September • Indigenous Peoples’ Day / Columbus Day – Second Monday in October • Veterans Day - November 11* • Thanksgiving - Fourth Thursday in November • Christmas Eve - December 24** • Christmas Day - December 25* • New Year’s Eve - December 31** *If these holidays fall on a Saturday, the preceding Friday will be Off-Peak. If they fall on a Sunday, the following Monday will be Off-Peak. **The day on which these holidays fall will be Off-Peak days. The rate also varies by summer and winter seasons. The summer season is the May through October billing cycles, and the winter season is the November through April billing cycles. ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 2 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS CHARGES The monthly bill will consist of the following charges, plus adjustments: Bundled Charges Basic Service Charge $ 0.458 per day Summer Winter On-Peak Energy Charge $ 0.34396 $ 0.32543 per kWh Off-Peak Energy Charge $ 0.12345 $ 0.12351 per kWh Super Off-Peak Energy Charge $ 0.03495 per kWh Unbundled Components of the Bundled Charges Bundled Charges consist of the components shown below. These are not additional charges. Basic Service Charge Components Customer Accounts Charge $ 0.078 per day Metering Charge $ 0.215 per day Meter Reading Charge $ 0.078 per day Billing Charge $ 0.087 per day Energy Charge Components System Benefits Charge $ 0.00361 per kWh Transmission Charge $ 0.01097 per kWh Summer Winter Delivery Charge On-Peak $ 0.03469 $ 0.03469 per kWh Delivery Charge Off-Peak $ 0.03469 $ 0.03469 per kWh Delivery Charge Super Off-Peak $ 0.01232 per kWh Generation On-Peak Charge $ 0.29469 $ 0.27616 per kWh Generation Off-Peak Charge $ 0.07418 $ 0.07424 per kWh Generation Super Off-Peak Charge $ 0.00805 per kWh ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 3 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS CHARGE FOR ON-SITE DISTRIBUTED GENERATION CUSTOMERS The monthly bill for Customers on this rate schedule that have an on-site distributed generation system will also include a Grid Access Charge. This charge will apply to the nameplate kW-dc power rating of the Customer’s distributed generation facility: Grid Access Charge $ 0.242 per kW-dc of generation ADJUSTMENTS The bill will include the following adjustments: 1. The Renewable Energy Adjustment Charge, Adjustment Schedule REAC-1. 2. The Power Supply Adjustment charge, Adjustment Schedule PSA-1. 3. The Transmission Cost Adjustment charge, Adjustment Schedule TCA-1. 4. The Demand Side Management Adjustment Charge, Adjustment Schedule DSMAC-1. 5. The Lost Fixed Cost Recovery adjustment charge, Adjustment Schedule LFCR. 6. The Tax Expense Adjustor Mechanism charge, Adjustment Schedule TEAM. 7. The Court Resolution Surcharge, Adjustment Schedule CRS-1. 8. The System Reliability Benefit Adjustment Mechanism charge, Adjustment Schedule SRB-1. 9. Direct Access Customers returning to Standard Offer service may be subject to a Returning Customer Direct Access Charge, Adjustment Schedule RCDAC-1. 10. Any applicable taxes and governmental fees that are assessed on APS’s revenues, prices, sales volume, or generation volume. ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 4 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS RATE RIDERS Eligible rate riders for this rate schedule are: CPP (RES) Critical Peak Pricing (Residential) EPR-2 Partial Requirements EPR-6 Partial Requirements – Net Metering (Residential Non-Solar) RCP Resource Comparison Proxy E-3 Limited income discount E-4 Limited income medical discount GPS-1, GPS-2, GPS-3 Green Power SERVICE DETAILS 1. Customers that self-provide some of their electrical requirements from on-site generation will be billed according to one of the Partial Requirements Service rate riders. 2. APS provides electric service under the Company’s Service Schedules. These schedules provide details about how the Company serves its Customers, and they have provisions and charges that may affect the Customer’s bill (for example, service connection charges). 3. Electric service provided will be single-phase, 60 Hertz at the Company’s standard voltages available at the Customer site. Three-phase service is required for motors of an individual rated capacity of 7½ HP or more. 4. Electric service is supplied at a single point of delivery and measured through a single meter. 5. Direct Access Customers who purchase available electric services from a supplier other than APS may take service under this schedule. The bill for these Customers will only include the Unbundled Component charges for Customer Accounts, Delivery, System Benefits, and any applicable Adjustments. If metering and billing services are not available from another supplier, those services will be provided by APS and billed to the Customer at the charges shown above.

Do not use any outside sources of prior knowledge when you answer. Only use the provided text to answer. Explain the different time periods in a way that would be suitable for my 6 year-old daughter to understand. ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 1 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS AVAILABILITY This rate schedule is available to all residential Customers, including Partial Requirements Customers with an on-site distributed generation system. DESCRIPTION This rate has two parts: a basic service charge and an energy charge. The energy charge will vary by season (summer or winter) and by the time of day that the energy is used (On-Peak, Off-Peak, or Super Off-Peak). This rate does not include a demand charge. TIME PERIODS The On-Peak time period for residential rate schedules is 4 p.m. to 7 p.m. Monday through Friday year-round. This rate also has a Super Off-Peak period, which is 10 a.m. to 3 p.m. Monday through Friday during the winter season, which is the billing cycles of November through April. All other hours are Off-Peak hours. The following holidays are also included in the Off-Peak hours: • New Year’s Day - January 1* • Martin Luther King Day - Third Monday in January • Presidents Day - Third Monday in February • Cesar Chavez Day - March 31* • Memorial Day - Last Monday in May • Juneteenth – June 19* • Independence Day - July 4* • Labor Day - First Monday in September • Indigenous Peoples’ Day / Columbus Day – Second Monday in October • Veterans Day - November 11* • Thanksgiving - Fourth Thursday in November • Christmas Eve - December 24** • Christmas Day - December 25* • New Year’s Eve - December 31** *If these holidays fall on a Saturday, the preceding Friday will be Off-Peak. If they fall on a Sunday, the following Monday will be Off-Peak. **The day on which these holidays fall will be Off-Peak days. The rate also varies by summer and winter seasons. The summer season is the May through October billing cycles, and the winter season is the November through April billing cycles. ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 2 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS CHARGES The monthly bill will consist of the following charges, plus adjustments: Bundled Charges Basic Service Charge $ 0.458 per day Summer Winter On-Peak Energy Charge $ 0.34396 $ 0.32543 per kWh Off-Peak Energy Charge $ 0.12345 $ 0.12351 per kWh Super Off-Peak Energy Charge $ 0.03495 per kWh Unbundled Components of the Bundled Charges Bundled Charges consist of the components shown below. These are not additional charges. Basic Service Charge Components Customer Accounts Charge $ 0.078 per day Metering Charge $ 0.215 per day Meter Reading Charge $ 0.078 per day Billing Charge $ 0.087 per day Energy Charge Components System Benefits Charge $ 0.00361 per kWh Transmission Charge $ 0.01097 per kWh Summer Winter Delivery Charge On-Peak $ 0.03469 $ 0.03469 per kWh Delivery Charge Off-Peak $ 0.03469 $ 0.03469 per kWh Delivery Charge Super Off-Peak $ 0.01232 per kWh Generation On-Peak Charge $ 0.29469 $ 0.27616 per kWh Generation Off-Peak Charge $ 0.07418 $ 0.07424 per kWh Generation Super Off-Peak Charge $ 0.00805 per kWh ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 3 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS CHARGE FOR ON-SITE DISTRIBUTED GENERATION CUSTOMERS The monthly bill for Customers on this rate schedule that have an on-site distributed generation system will also include a Grid Access Charge. This charge will apply to the nameplate kW-dc power rating of the Customer’s distributed generation facility: Grid Access Charge $ 0.242 per kW-dc of generation ADJUSTMENTS The bill will include the following adjustments: 1. The Renewable Energy Adjustment Charge, Adjustment Schedule REAC-1. 2. The Power Supply Adjustment charge, Adjustment Schedule PSA-1. 3. The Transmission Cost Adjustment charge, Adjustment Schedule TCA-1. 4. The Demand Side Management Adjustment Charge, Adjustment Schedule DSMAC-1. 5. The Lost Fixed Cost Recovery adjustment charge, Adjustment Schedule LFCR. 6. The Tax Expense Adjustor Mechanism charge, Adjustment Schedule TEAM. 7. The Court Resolution Surcharge, Adjustment Schedule CRS-1. 8. The System Reliability Benefit Adjustment Mechanism charge, Adjustment Schedule SRB-1. 9. Direct Access Customers returning to Standard Offer service may be subject to a Returning Customer Direct Access Charge, Adjustment Schedule RCDAC-1. 10. Any applicable taxes and governmental fees that are assessed on APS’s revenues, prices, sales volume, or generation volume. ARIZONA PUBLIC SERVICE COMPANY A.C.C. No. 6154 Phoenix, Arizona Cancelling A.C.C. No. 6122 Filed by: Jessica E. Hobbick Rate Schedule TOU-E Title: Director, Regulation and Pricing Revision No. 3 Original Effective Date: August 19, 2017 Effective: March 8, 2024 in Decision No. 79293 Page 4 of 4 RATE SCHEDULE TOU-E RESIDENTIAL TIME-OF-USE SERVICE TIME-OF-USE 4PM-7PM WEEKDAYS RATE RIDERS Eligible rate riders for this rate schedule are: CPP (RES) Critical Peak Pricing (Residential) EPR-2 Partial Requirements EPR-6 Partial Requirements – Net Metering (Residential Non-Solar) RCP Resource Comparison Proxy E-3 Limited income discount E-4 Limited income medical discount GPS-1, GPS-2, GPS-3 Green Power SERVICE DETAILS 1. Customers that self-provide some of their electrical requirements from on-site generation will be billed according to one of the Partial Requirements Service rate riders. 2. APS provides electric service under the Company’s Service Schedules. These schedules provide details about how the Company serves its Customers, and they have provisions and charges that may affect the Customer’s bill (for example, service connection charges). 3. Electric service provided will be single-phase, 60 Hertz at the Company’s standard voltages available at the Customer site. Three-phase service is required for motors of an individual rated capacity of 7½ HP or more. 4. Electric service is supplied at a single point of delivery and measured through a single meter. 5. Direct Access Customers who purchase available electric services from a supplier other than APS may take service under this schedule. The bill for these Customers will only include the Unbundled Component charges for Customer Accounts, Delivery, System Benefits, and any applicable Adjustments. If metering and billing services are not available from another supplier, those services will be provided by APS and billed to the Customer at the charges shown above.

Only respond using the information in the context block. Do not in any way rely on your own knowledge or on outside information. You can use a mixture of paragraphs and lists in your response, if appropriate.

Why do people believe independent bookstores might make a comeback, despite chains like Amazon and Barnes and Noble?

Book Brawl Independent bookstores, the Internet, chain stores and discount houses duke it out. (Whole Earth Summer 99) One of the shocks to emerge in recent years from the book industry is the fact that blockbusters such as Angela’s Ashes and Cold Mountain almost didn’t make it into America’s consciousness. These books hit best-seller lists, publishing experts agree, because of thousands of privately owned, independent bookstores around the country that discovered them and spread the word. Everything else followed far behind in terms of stimulating the books’ early sales. One would think that these neighborhood bookstores-their numbers so diminished and their efforts so embattled in the "bookstore wars" of recent years-would be celebrated by publishers for saving such worthwhile books from obscurity. Instead, independent bookstores are increasingly abandoned by publishers as a kind of dying breed, as though they have already been Starbucked, Costcoed, and Amazoned right out of existence. One would think independent bookstores have played no historic part in preserving the best of American literature. And yet, noted modern writers who were once unknown-Toni Morrison, Amy Tan, Anne Lamott, Ethan Canin, Alice Walker, Dorothy Allison, Cormac McCarthy, Barbara Kingsolver, Charles Johnson, and many others-would never have been widely read if it were not for the support of this network of independent bookstores. As we reach the end of the twentieth century, perhaps the greatest shock is that these privately owned neighborhood bookstores, so key to the health of literature in the United States, are dying. Under-the-Table Deals? The problem began in the 1970s when the first wave of chain bookstores (B. Dalton, Waldenbooks) brought thousands of quick-profit mall stores into competition with traditional neighborhood bookstores. The result: 1,000 of the 7,000 independent bookstores in the United States closed down within the decade. With more chains, department stores, and price clubs in the 1980s (Crown, Walmart, Costco), and the most recent wave of chain superstores with CDs, videos, and cafes, in the 1990s (Barnes & Noble, Borders), a few thousand more independent bookstores have gone under, bringing the total number of independents (according to the American Booksellers Association) from 5,132 in 1991 to about 3,200 today, many of them teetering close to bankruptcy. What no independent can compete against are the alleged illegal discounts and under-the-table deals that independents believe publishers have been giving the chains from the start. The courts have agreed with independents in two separate lawsuits, but abuses continue, according to allegations in the American Booksellers Association’s own lawsuit, set for trial next year. As a consequence of the chains’ success, the percentage of books sold by independents has fallen disastrously. According to the Book Industry Study Group, in 1991 independent bookstores accounted for the largest share (32 percent) of the book market. Today that percentage has dropped to 17.2 percent, leaving independents in third place, below chain bookstores (26 percent) and price club/department stores (20 percent). Enter Amazon.com By 1998, Amazon.com (launched in 1995), the first of the snazzy, reader-friendly bookselling Web sites, had begun to pull ahead of chain book superstores in sales while at the same time its stock price soared at unprecedented rates. By mid-April 1999, although Borders and Barnes & Noble kept showing declines, the stock of Amazon, which has never shown a profit and loses millions each quarter, was up more than 75 percent for the year. The fun of browsing through Amazon’s cyberstore with its virtual shopping carts, irreverent "customer comments," and alluring discounts (including the online moratorium on sales tax) has pulled many a loyal customer away from independent stores and onto the Web. Media adoration of "e-commerce" during the 1998 holiday season glorified Amazon and resulted in further hemorrhaging of independent bookstore sales. A few cracks have opened in Amazon’s armor, beginning with recent disclosures that this hip and "customer-centric" online marketplace has been taking money from publishers to place titles on its best-seller list and "recommendations" in such categories as "Destined for Greatness," without telling customers. Amazon now tells readers about paid placements (on a hard-to-find page). Some customers seem to have lost their loyalty along the way and often go searching for cut-rate imitators like bestsellersforless.com. Enter Bertelsmann The bookseller wars are chaotic and damaging enough, but at least the separation between church and state (publishing and bookselling) remained sacrosanct-that is, until last year, when two events brought the industry into cataclysm. This occurred in the midst of the "merger mania" in New York that has reduced the publishing industry from thirty houses a few decades ago to about seven conglomerate firms today. Not only have foreign houses begun to dominate the scene, but Bertelsmann of Germany, the largest publisher in the world, has initiated a series of takeovers with horrifying repercussions. Last year, though it already owned Bantam Doubleday Dell, Bertelsmann acquired Random House with all its many imprints (Knopf, Pantheon, Crown, Times, Ballantine, Vintage, Villard, Fawcett, etc.), then proceeded to buy one-half of barnesandnoble.com, the online division (and competitor to Amazon) of Barnes & Noble. Wham! What had been feared before, that publishers were cozying up to booksellers in compromising ways (asking chains to approve jacket illustrations, flap copy, even the authors’ texts), seemed frighteningly real. Piling all the imprints together under the Random House imprint, Bertelsmann controlled more than a fifth of the publishing market; now its investment in Barnes & Noble meant Bertelsmann controlled a major player in the bookselling side as well. And then, wham! again. Barnes & Noble announced its intention to buy Ingram, the largest book distributor in the country, whose main clientele up to that point had been-ta da!-independent bookstores. This meant that Barnes & Noble would have access to the financial records of competitors it was mowing down right and left, and also have the power to direct sales of best-selling books to itself first. A nationwide protest of the Ingram purchase has brought thousands of letters and calls to the Federal Trade Commission, which has the authority to approve or disapprove the sale. (Industry observers think the FTC will approve it when it makes its decision later this year.) Wham! Wham! Wham! With the decline of independents, publishers are cutting back on the sales representatives who visit each store to present the publisher’s list of upcoming books to the store’s buyers. This means that books by unknown or highly literary authors will not be explained to store buyers in a way that would inspire the staff to read them, promote them, hand-sell to customers, and get word-of-mouth going. The Tide, She Changing In the last few years, independents have joined together to sue the pants off the chains; create their own Web sites to compete with Amazon "brand" consumers’ consciousness with "Book Sense," a branding and marketing campaign for independents that will also offer a national gift-certificate program that operates like FTD; fight the Ingram sale; and, by god, make a stand. Do they have a chance? Here are some reasons even skeptics believe the "day of the independent bookseller" may yet see a comeback. Famous Authors such as Barbara Kingsolver, Larry McMurtry, and Adrienne Rich are speaking out in support of independents by writing letters to newspapers, making speeches, appearing on radio and television. 1. Who Loved Ya (First), Baby campaigns (my term but that’s what they are) have started up among independents to educate authors like Frank McCourt ( Angela’s Ashes ) and Stephen King to stop appearing in television ads promoting Barnes & Noble. 2. Friends of the Bookstore groups are sprouting to help independents bring in donations, host benefits, offer lectures, present authors, and conduct classes, book clubs, writers’ groups, etc. 3. Planning Commissions and City Councils are beginning to deny petitions by chain bookstores to locate 25,000-square-foot super-stores in areas where they would compete unfairly with independents. 4. Nonprofit and Profit-Making Combinations are being built into independent booksellers’ financial statements so that the many services these stores have provided for free can bring in new income. 5. Redevelopment Money is being directed toward independent bookstores to help revitalize seedy areas and give the independents a chance to compete. 6. Community Centers are forming with space for galleries, theaters, computers, cafes, conference rooms, and, at their core, independent bookstores. So let’s all slow down and remember this wonderful tradition of independent bookselling. Let’s just get out of the fast lane and recognize that the human element (conversation, selection, trust, opinion, love of reading, expertise, community involvement) has always been a staple of the neighborhood independent bookstore. You think independents are whining? "This is a war," writes one bookseller, referring specifically to Barnes & Nobles’ purchase of Ingram, "and every book sale by Barnes & Noble is a bullet at us, and every book sold by an independent is a bullet at Barnes & Noble." As they say on TV (that old dinosaur): "Are you ready?" Because that’s just the opening salvo. So here’s how you can become a foot soldier in the war to preserve the heartful caretakers of American literature: 1. Pledge to buy nothing but books as gifts for every holiday; concentrate your shopping at one or two or a handful of independent bookstores and never set foot in a Barnes & Noble or Borders store again; 2. Seek out the best Web sites of independent bookstores and never order from Amazon.com again; 3. When in doubt, buy big gift certificates right now at your local independent-this helps finance the store (cash flow is the hardest problem for any retailer right now) and brings in more walk-in traffic. 4. Join a Friends of the Bookstore group if you can find one, and if not, start one. 5. Attend autographings and other in-store events. Do you love your neighborhood? Then love that neighborhood bookstore, because if you don’t, it’s not going to be there tomorrow.

Only respond using the information in the context block. Do not in any way rely on your own knowledge or on outside information. You can use a mixture of paragraphs and lists in your response, if appropriate. Why do people believe independent bookstores might make a comeback, despite chains like Amazon and Barnes and Noble? Book Brawl Independent bookstores, the Internet, chain stores and discount houses duke it out. (Whole Earth Summer 99) One of the shocks to emerge in recent years from the book industry is the fact that blockbusters such as Angela’s Ashes and Cold Mountain almost didn’t make it into America’s consciousness. These books hit best-seller lists, publishing experts agree, because of thousands of privately owned, independent bookstores around the country that discovered them and spread the word. Everything else followed far behind in terms of stimulating the books’ early sales. One would think that these neighborhood bookstores-their numbers so diminished and their efforts so embattled in the "bookstore wars" of recent years-would be celebrated by publishers for saving such worthwhile books from obscurity. Instead, independent bookstores are increasingly abandoned by publishers as a kind of dying breed, as though they have already been Starbucked, Costcoed, and Amazoned right out of existence. One would think independent bookstores have played no historic part in preserving the best of American literature. And yet, noted modern writers who were once unknown-Toni Morrison, Amy Tan, Anne Lamott, Ethan Canin, Alice Walker, Dorothy Allison, Cormac McCarthy, Barbara Kingsolver, Charles Johnson, and many others-would never have been widely read if it were not for the support of this network of independent bookstores. As we reach the end of the twentieth century, perhaps the greatest shock is that these privately owned neighborhood bookstores, so key to the health of literature in the United States, are dying. Under-the-Table Deals? The problem began in the 1970s when the first wave of chain bookstores (B. Dalton, Waldenbooks) brought thousands of quick-profit mall stores into competition with traditional neighborhood bookstores. The result: 1,000 of the 7,000 independent bookstores in the United States closed down within the decade. With more chains, department stores, and price clubs in the 1980s (Crown, Walmart, Costco), and the most recent wave of chain superstores with CDs, videos, and cafes, in the 1990s (Barnes & Noble, Borders), a few thousand more independent bookstores have gone under, bringing the total number of independents (according to the American Booksellers Association) from 5,132 in 1991 to about 3,200 today, many of them teetering close to bankruptcy. What no independent can compete against are the alleged illegal discounts and under-the-table deals that independents believe publishers have been giving the chains from the start. The courts have agreed with independents in two separate lawsuits, but abuses continue, according to allegations in the American Booksellers Association’s own lawsuit, set for trial next year. As a consequence of the chains’ success, the percentage of books sold by independents has fallen disastrously. According to the Book Industry Study Group, in 1991 independent bookstores accounted for the largest share (32 percent) of the book market. Today that percentage has dropped to 17.2 percent, leaving independents in third place, below chain bookstores (26 percent) and price club/department stores (20 percent). Enter Amazon.com By 1998, Amazon.com (launched in 1995), the first of the snazzy, reader-friendly bookselling Web sites, had begun to pull ahead of chain book superstores in sales while at the same time its stock price soared at unprecedented rates. By mid-April 1999, although Borders and Barnes & Noble kept showing declines, the stock of Amazon, which has never shown a profit and loses millions each quarter, was up more than 75 percent for the year. The fun of browsing through Amazon’s cyberstore with its virtual shopping carts, irreverent "customer comments," and alluring discounts (including the online moratorium on sales tax) has pulled many a loyal customer away from independent stores and onto the Web. Media adoration of "e-commerce" during the 1998 holiday season glorified Amazon and resulted in further hemorrhaging of independent bookstore sales. A few cracks have opened in Amazon’s armor, beginning with recent disclosures that this hip and "customer-centric" online marketplace has been taking money from publishers to place titles on its best-seller list and "recommendations" in such categories as "Destined for Greatness," without telling customers. Amazon now tells readers about paid placements (on a hard-to-find page). Some customers seem to have lost their loyalty along the way and often go searching for cut-rate imitators like bestsellersforless.com. Enter Bertelsmann The bookseller wars are chaotic and damaging enough, but at least the separation between church and state (publishing and bookselling) remained sacrosanct-that is, until last year, when two events brought the industry into cataclysm. This occurred in the midst of the "merger mania" in New York that has reduced the publishing industry from thirty houses a few decades ago to about seven conglomerate firms today. Not only have foreign houses begun to dominate the scene, but Bertelsmann of Germany, the largest publisher in the world, has initiated a series of takeovers with horrifying repercussions. Last year, though it already owned Bantam Doubleday Dell, Bertelsmann acquired Random House with all its many imprints (Knopf, Pantheon, Crown, Times, Ballantine, Vintage, Villard, Fawcett, etc.), then proceeded to buy one-half of barnesandnoble.com, the online division (and competitor to Amazon) of Barnes & Noble. Wham! What had been feared before, that publishers were cozying up to booksellers in compromising ways (asking chains to approve jacket illustrations, flap copy, even the authors’ texts), seemed frighteningly real. Piling all the imprints together under the Random House imprint, Bertelsmann controlled more than a fifth of the publishing market; now its investment in Barnes & Noble meant Bertelsmann controlled a major player in the bookselling side as well. And then, wham! again. Barnes & Noble announced its intention to buy Ingram, the largest book distributor in the country, whose main clientele up to that point had been-ta da!-independent bookstores. This meant that Barnes & Noble would have access to the financial records of competitors it was mowing down right and left, and also have the power to direct sales of best-selling books to itself first. A nationwide protest of the Ingram purchase has brought thousands of letters and calls to the Federal Trade Commission, which has the authority to approve or disapprove the sale. (Industry observers think the FTC will approve it when it makes its decision later this year.) Wham! Wham! Wham! With the decline of independents, publishers are cutting back on the sales representatives who visit each store to present the publisher’s list of upcoming books to the store’s buyers. This means that books by unknown or highly literary authors will not be explained to store buyers in a way that would inspire the staff to read them, promote them, hand-sell to customers, and get word-of-mouth going. The Tide, She Changing In the last few years, independents have joined together to sue the pants off the chains; create their own Web sites to compete with Amazon "brand" consumers’ consciousness with "Book Sense," a branding and marketing campaign for independents that will also offer a national gift-certificate program that operates like FTD; fight the Ingram sale; and, by god, make a stand. Do they have a chance? Here are some reasons even skeptics believe the "day of the independent bookseller" may yet see a comeback. Famous Authors such as Barbara Kingsolver, Larry McMurtry, and Adrienne Rich are speaking out in support of independents by writing letters to newspapers, making speeches, appearing on radio and television. 1. Who Loved Ya (First), Baby campaigns (my term but that’s what they are) have started up among independents to educate authors like Frank McCourt ( Angela’s Ashes ) and Stephen King to stop appearing in television ads promoting Barnes & Noble. 2. Friends of the Bookstore groups are sprouting to help independents bring in donations, host benefits, offer lectures, present authors, and conduct classes, book clubs, writers’ groups, etc. 3. Planning Commissions and City Councils are beginning to deny petitions by chain bookstores to locate 25,000-square-foot super-stores in areas where they would compete unfairly with independents. 4. Nonprofit and Profit-Making Combinations are being built into independent booksellers’ financial statements so that the many services these stores have provided for free can bring in new income. 5. Redevelopment Money is being directed toward independent bookstores to help revitalize seedy areas and give the independents a chance to compete. 6. Community Centers are forming with space for galleries, theaters, computers, cafes, conference rooms, and, at their core, independent bookstores. So let’s all slow down and remember this wonderful tradition of independent bookselling. Let’s just get out of the fast lane and recognize that the human element (conversation, selection, trust, opinion, love of reading, expertise, community involvement) has always been a staple of the neighborhood independent bookstore. You think independents are whining? "This is a war," writes one bookseller, referring specifically to Barnes & Nobles’ purchase of Ingram, "and every book sale by Barnes & Noble is a bullet at us, and every book sold by an independent is a bullet at Barnes & Noble." As they say on TV (that old dinosaur): "Are you ready?" Because that’s just the opening salvo. So here’s how you can become a foot soldier in the war to preserve the heartful caretakers of American literature: 1. Pledge to buy nothing but books as gifts for every holiday; concentrate your shopping at one or two or a handful of independent bookstores and never set foot in a Barnes & Noble or Borders store again; 2. Seek out the best Web sites of independent bookstores and never order from Amazon.com again; 3. When in doubt, buy big gift certificates right now at your local independent-this helps finance the store (cash flow is the hardest problem for any retailer right now) and brings in more walk-in traffic. 4. Join a Friends of the Bookstore group if you can find one, and if not, start one. 5. Attend autographings and other in-store events. Do you love your neighborhood? Then love that neighborhood bookstore, because if you don’t, it’s not going to be there tomorrow.

Carefully review the text below, then answer the question that follows. You should ONLY use information found in the included text to respond.

What impact did the Norman Conquest have on Old and Middle English dialects and their conditions?

1. Chapter One 1.1. Historical Background English as a separate and distinct entity appeared in the great Germanic century, but it was until the beginning of the seventh that the language defiantly emerged from the confusion and turmoil of the conquest of Britain and began to take its place among the modern tongues of Europe. If we take a look to the history of the British Isles, we find that it has been visited by many people from the European mainland and the visitors must have liked what they have found, because often the visits turned into invasions or attempted invasions Before the dawn of recorded history, the British Isles had been visited, overrun, and conquered by two separate groups of Celtic invaders, speaking tongues which were the remote ancestors of present-day Gaelic and Welsh. (Pei,1953:12) During the earlier part of the eleventh century, Edward, the son of Ethelred the Unready and of the daughter of a Norman duke, was being brought up in Normandy, and when he at last came to the throne in 1042 the influence of his upbringing naturally remained, and his friends and supporters were both spiritual and temporal French. This certainly prepared the way for the Norman Conquest. (Jespersen, 1955:105) The Normans adopted a northern dialect of Old French known as Anglo-Norman(Carpenter,2004:79-80), which they spoke with certain characteristics and it was this dialect which was carried into English in the eleventh century and which was developed there into a specific variety known as Anglo- Norman. 1.2. English Language before the coming of the Normans Before the Norman Conquest, the people of England spoke Old English or what was called Anglo-Saxon. This language was Germanic in vocabulary, with few borrowings. It had many declensions of substantives. There was one declension which formed its genitive singular in –es and its nominative plural in –as; and there were other declensions in which –a, -an, -e appear as endings for the genitive singular m and –a, -an, -e,-u for the nominative plural. Out of all these the –es and –as declension is the online that remains in general use. If we take a look to the case-endings in Old English ; we find that –es was the only one that meant anything other than a genitive singular and –as which only meant a nominative or accusative plural. Thus hanan stands for the genitive, dative, and accusative singular and the nominative and accusative plural of hana, a cock. So it is a popular error to suppose that it was in the consequence of the Norman Conquest that the –es and –as declension came to sup ride all the rest. In fact, the change began in the Northern dialect.( Bradley, 1955:35) It is estimated that in the field of vocabulary about 450 Latin words came into Old English before the Norman Conquest. This is a surprisingly large total to those who think of the Anglo-Saxon era as the period of pure Germanium in the language. It is those words that would normally have entered English from 1066 on, and it is clear that even without the French cultural importation, present-day English would not be altogether a simon-pure Germanic tongue. Just before the coming of the Normans, Old English was a deft blend of west Germanic and Scandinavian, with the former still predominating and respectable amount of Latin- Greek borrowings, about half of them of a religious nature. 2. Chapter two ?ً 2.1. what is the Norman Conquest.. The Norman Conquest is the invasion and conquering of the Normans to England in 1066.It began when William of Normandy invaded England and seized its throne. .2. The Roots of the Norman Conquest. 2 When William the Bastard, Duke of Normandy, descend of Rollo (leader of Norsemen) and son of a tanner's daughter , conceived the ambitious plan of making himself master of the great island beyond the sea, he did not minimize the difficulty of invasion . He knew that Anglo-Saxons and Danes had been forged into a united, and hardy race by the wise policies of Alfred and Cnut, and that the armies of his opponent Harold were strong. Historians estimate that of the vast host gathered by William for the invasion of England only one third of them were of native Normans. These men were land hungry. It was their expectations that in case of victory the lands of England would be wrested from their Anglo-Saxon owners and given to them. They were not disappointed for William kept his promises. When the Norman host disembarked at Hastings, Anglo-Saxon England was already carved up in advance a fact which Harold's men did not know. Being fresh from a victory , they won against the king of Norway, supported by Harold's brother. They may have thought that in case of defeat, their lot would be no worse than had been their ancestor's in the Danelagh. The Normans would be absorbed, Anglicized as to language and customs, and all would go on as before. In the final analysis, they were perhaps right. However, centuries had to elapse before this would come to pass.(Encyclopaedia Britanica,v.5:881-882) The Norman victory was complete, so was the conquest. For five years after the fateful day the Saxons thugs and earls were forcibly deprived of their lands and privileges by the insolent invaders, continued to rebel and resist, while William and his mercenaries raged through the land. After that the resistance died away. The Saxon nobility robbed in everything in favor of William's followers; sank suddenly to the level of their own peasantry, while the ancient free men of England, now undistinguished from the churls, turned into villains of the new seigneurs. Saxon England was laid low .Norman England had replaced it.(Campbell,1982:240) Yet Saxon England was not quite dead. The new court, clergy and nobility knew and spoke only French and Latin. However the subject population lived on and so did its language; a language now scorned for literary purposes as the language of an inferior race. (Pei, 1953:33) From what has been mentioned above, it is noticed that the Normans were looked at as an alien race; their occupation of the country attracted much more notice and lasted longer than that of the Danes; they become the ruling class. They represented a higher culture than that of the native and had a literature of their own . The Normans became the masters of England and they remained masters for a sufficiently long time to leave impress on the language. The conquerors would have been far less if they had not continued for centuries in actual contact with the French of France. After the conquest, the immigrants formed the upper class of the English society. The following classes of words show this fact: Words relating to government Crown, state, government, reign, realm, sovereign, authority, country, minister, chancellor, authority, parliament, people, nation . Words related to feudalism: Fief, feudal, vassal, liege . Words relating to steps in the scale of rank: Prince, peer, duke, marquis, viscount, baron . Words related to military affairs: War, peace, battle, arms, armour, buckler, mail, lance, officer, dart, lieutenant, sergeant, solider, troops, vessel, navy, admiral, enemy, danger, prison, siege, guard. Words related to law: 124 Justice, just, judge, court, suit, sue, plaintiff, defendant, plea, plead, cause, assize, fee, accuse, crime, traitor, damage, heritage, properly, penalty, injury, privilege, tenure . Words related to church: Religion, service, trinity, savior, virgin, angle, saint, abbey, cloister, friar, clergy, parish, baptism, sacrifice, orison, alter, sermon, preach, pray, prayer, feast . Words related to the pleasure of life: Joy, pleasure, delight, ease, comfort Some of the favorite pastimes were Chase, Cards and Dice, so we find many French words related to them, such as: Brace, couple, lease, falcon, quarry, warren, scent, track, partner, suit, trump Words related to dress: apparel, dress, costume, garment Words related to art: art, beauty, colour, image, design, figure, ornament The long list of words which is mentioned above indicates the fact that French was the rich, powerful, and refined class in the English society. Therefore, it was natural that the lower classes should soon begin to adopt such of the expressions of the rich as they could catch the meaning . 3. Chapter Three 3. 1. The Linguistic Effects of the Norman Conquest on English language The Norman Conquest of Britain has a number of linguistic effects on the language spoken in England at that time. Some of the results of these influences were the following: 1. Change in the conditions of dialects .The conquest placed all four Old English dialects more or less on a level. As such, West Saxon lost its supremacy and the center of culture and learning gradually shifted from Winchester to London. The Old Northumbrian dialect became divided into Scottish and Northern, although little is known of either of these divisions before the end of the 13th century. The Old Mercian dialect was split into East and West Midland. West Saxon became slightly diminished in area and was more appropriately named the South Western dialect. The Kentish dialect was considerably extended and was called South Eastern. All five Middle English dialects (Northern, West Midland, East Midland, South Western, and South Eastern) went their own ways and developed their own characteristics. 2. Change in the writing of English from the clear and easily readable in solar hand of Irish origin to the dialect Carolingian script then in use on the continent. 3. Change in spelling for the sake of clarity. Old English y becomes u, Ý as yi, u as ou (ow when final), u was often written o before and after m, n, u, w; and i was sometimes written y before and after m and n, ew was changed to qu; hw to wh; qu or quh to ch or tch; se to sh; cg to gg and ht to ght. Thus, for example, mycel(much) appeared as muchel; fyr(fire) as fuir; hus (house) as hous; hu(how) as how; snnu (son) as sone; him(him) as hym; cwen as queen; hwelet as what; quat (quart)as quhrt ; dic as ditch; scip as ship, sccage (siege) as segge; and miht as might. The Northern infinitive was already one syllable, whereas the past participle – en inflection of Old English was strictly kept. Old English mutated –ended in the present participle had already become –inde in late Southern and it was this inflection that blended with the –ing suffix of nouns of action that had already become near-gerunds in such compound nouns as athswearing (oath swearing)and writing feather (writing feather pen) The Northern 2nd person singular singis was inherited unchanged from common Germanic. The final t sound in Midland –est. and Southern –st was excrescent comparable with the final t in modern (admist) and (amongst) from older amides and amonges. The Northern 3rd person singular singis had quite different origin. Like the singis of the plural, it resulted almost casually from an inadvertent retraction of the tongue in enunciation from an interdental –th sound to postendal –s. Today the form (singeth) services as a poetic archaism Shakespeare used both –eth and –s endings (It "mercy"blesseth him that gives and him that takes) 3.1.1. The Changes in Sounds and stress which took place after the Norman Conquest French words which adopted in English suffered a great change in sounds; they have participated in all sound changes that have taken place in English since their adaptation. Thus, words with the long [i] sound have had it diphthongized into [ai], e.g. fine, price, lion. The long [u], written ou has become [au], e.g. Old French espouse pronounced /spuize/ now pronounce /spauze/ The English is unable to imitate the French accentuation, that's why there are a great many words now stressed on the final syllable. All English, it is said, had the stress on the final syllable, and this habit was unconsciously extended to foreign words on their first adoption into the language. In the plural, Old French had a nominative without any ending and an accusative in –s; and English popular instinct naturally associated the latter form with the native plural ending in –es. In course of time those words which had for a long time in English as in French formed their plural without any ending (e.g. case) were made to conform to the general rule (sg.case.cases) As to the verbs, the rule is that the stem of French present plural served as basis for the English form; thus (je survis), nouns survivor vous survives, ils survivent became survive ;( je resous), resolvous, etc.became resolve. After what is stated, and in order to prove the great impact the Norman Conquest had left on English, some of the French words with their synonyms in English should be mentioned and they are arranged chronically. A. The foreign words in the twelfth century can be classified as follows:ِa. . Words denoting person or rank:1 Abbat "abbot" canonic "canon" capelein "chaplain" cardinal "cardinal" cuntesse "countess" due "duke" emperice "empress" legat "legate" Ex: pehefde be Emperice in Alamanic & nu was cuntesse in Angou. "Who had been Empress of Germany and now was Countess of Anjou" Com an of Rome Henri was gehaten "a legate called Henry came from Rome" 2. words denoting finance: rent "rent" tresor "treasure" Ex: Wrothe on pe circe & sette parto landes& rentes (worked on the church and endowed it with lands and rents) 3. words denoting law and social relations: acorden "reconcill" justicse "justice" pais "peace" privilegie "privileges" 4. words denoting religion: carite "charity" miracle "miracle" nativite "nativity" procession"procession" 5. words denoting military: werre "war" werrien "to make war against" 6. words denoting nature: 128 Best "beast" Contre "country" Flum "river" Marbre "marble" Leun "lion" Oil "oil" Rose "rose" 7. Words denoting Household and other things: Basi "basin" Coup "cup" Furneis "furnace" Lamp "lamp" 8. words denoting physical action and appearance: Cachen "catch" Changen "change" Chere "face, appearance" Savour "savour" 9. Words denoting moral and Intellectual Clergie "science" Craviant "defeated" Deol "sorrow" Dout "doubt, fear" Fausien "fail" Gin "device" Meistrie "mastery" Reisun "reason" B.some of the French words `during the period between 1200-1250: 1. words denoting person: Ame "friend" Baban "baby" Baptist "Baptist" Kunseiler "councilor" Messager "messenger" Nurice "nurse" Prison "prisoner" 2. words denoting finance: Cwile "quit" Spense "expense" 3. words denoting buildings: Celere "cellar" Cite "city" Knuent "convent" Genere "granary" Tur "tower" 4. words denoting law and social relations: 129 Baundun "power " Crune "villiaains" Juggen "judge" Noces "marriage" Trone "throne" 5. Words denoting religion Calize "chalice" Canoniicl "canonical" Creoisem "to make the sign of the cross on" Eresi "heresy" Feste "festival" Grace "grace" Parais "Paradise" 6. Words denoting military Baret "strife" Calenge "challenge" Gunfanenr "standard bearer" Skirmen "fight" Turnement "tournament" 7. words denoting nature: Bame "balm" Carbin "raven" Cou de gilofre "clove" Gingiuere "ginger" Flur "flour" Fluren "to flower" Licur "liquor" 8. words denoting clothes: Abit "habbit" Atiffen "adorn" Broche "brooch" 9. words denoting household: Beaabelet "jewel" Buste "box" Cage "cage" Chetel "chattels" Crèche "crib" Scorge "scourge" Trufle "trifle" 10. words denoting physical action: Aboutien "lean out" Aspien "spy on" Babelinde "chattering" Buffeten "to buffet" Disturben "disturb" Recoilen "to drive back" Rute "road" 11 . Words denoting moral and Intellectual: Anui "worry" Asprete "bitterness" Comfort "comfort" Kunscence "consciousness" Contumace "contumacy" Creaunt "craven" Debonere "gentle" Deinte "dignity" Delit "delight" Noblesce "nobility" Mesure "moderation" Largesse "generosity" Pacience "pacience" 12. words denoting mental action: Affaiten "dispose" Akointed "acquainted" Asaumple "example" Attente "endeavour" Bisamplen "to moralize" Counsail "advice" Defaut "fault" Paien "please" Preach "preach" Preisen "to praise" Scandle "scandal" C. the French words during the period between 1250-1300 1. words denoting person: Barun "barun" Caynard "eascal" Chanoun "clerk" dam "sir" Sergauuz "sergents" 2. words denoting law and social relations: Eir "heir" Eritage "heritage" Per "peer" Warrant "surely" 3. words denoting religion: Aungel "angel" Auter "alter" Beneisun "benison" 131 Malison "malison" Croize "cross" Preie "pray" 4. words denoting military: Baret "strife" Gisarm "sword" Skriming "large shield" 5. words denoting nature: Bise "beast" Runic "horse" Laumprei "lamprey" Flour "flower" 6. words denoting clothes: Charbuole "carbuncle" Ioupe "losse jacket" 7. Physical action: Aise "ease" Bout "throw" Croune "crown" Couere "recover" Fyn "end" Sane "safe" 8. words denoting food: Broys "broth" Clare "claret" Pastees "sweet special wine" Simenels "bread of fine flour" Super "supper" Ueneysun "venison" 9. Moral and Intellectual: Anuicu "to worry" Chiche "mean" Conseyl "counsel" Faith "faith" Fey "felong" Fol "foolish" Gent "noble" Atendre "tender" 3.2. Was the French influence restricted to one period? The French influence was not restricted to one particular period, and it is interesting to compare the forms of old loan-words with these of recent ones, in which we can recognize traces of the changes the French language has undergone since medieval times, where a ch in an originally French word is pronounced as in change, chaunt, etc;(with the sound /ts/) where it is sounded as in champagne (with simple /s/), we have a recent loan. The word chief is thus shown to belong to the first period, while its doublet chef (=chef de cuisine) is much more modern. It is curious that two pet-names should now be spelled in the same way, Charlie, although they are distinct in pronunciation: the masculine is derived from the old loan Charles and has, therefore, the, the sound [t ] .the feminine is from the recent loan Charlotte with [ ], but they have all of them the same initial sound. Other examples of the same French word appearing in more than one shape according to its age in English are Saloon and salon, suit and suit, liquor and liqueur, rout and route ;the diphthong in the former word is an English development of long[u], quart, pronounced [kw t], and quart, pronounced [kw t] pronounced [k t],"a sequence of four cards in pique," also quarte or carte in fencing. In early middle English, words were borrowed from French containing the sound-group ch [t ](as in English child),e.g. chief, chivalry, duchess, chase ,torch; and [d ](as in gem),e.g. judge (both constants) just, journey, large; these consonant-groups became respectively [ ]and[ ]in later French. Initially,however,[ ] is not found in English without a proposed [d]; thus gentle, genteel, and jaunty represent three larges of the borrowing from the same word. 3.3. How did common people manage to learn so many foreign words? And how far did they assimilate them? We expect to find many changes carried out in the French words after their adoption in order to be easy to learn. In few cases the process of assimilation was facilitate by the fact that a French word happened to resemble an old native one and this is exemplified by the following: The old native verb choose was supplemented with the noun choice, from French choix. Old English hergian and Old French herir run together in Middle English harry. Old English hege and French haie run together in hay "hedge,fence". The word nevew (now spelled nephew)recalled Old English nefa, menege recalled Old English meniegeo. It is important to understand that the French words which were brought into English represent two different dialects. The form of the French language which obtained currency in England as the immediate consequence of the Norman Conquest was the northern dialect-the speech of Normandy and Picardy. But with the accession of the Angevine dynasty in the middle of the twelfth century the dialect of Central France became the language of the court and of the fashionable society. The two dialects differed considerably in pronunciation: for instance, Northern French had [k ]where Central French had [ch] and [ch] where Central French had [s]. One consequence of the two –fold character of the French spoken in England was that very often the same French word was adopted into English twice over, in two different forms and with meanings more or less different. Thus we have in modern English the words catch, warden, launch, wage, which came from Norman French and alongside them there are chase ,guardian ,lance, gage, which represent the same words as pronounced in French The vocabulary of language after the conquest has been enriched by a multitude of new derivation formed with the prefixes and suffixes that already existed in Old English. The native machinery of derivation is no longer found sufficient for the necessities of the language and has been largely supplemented by additions obtained from other languages. The adoption of foreign formative machinery has been rendered possible by the fact that many Latin and French primitive words have been taken English along with their derivations, formed with French or Latin suffixes. Therefore, when such pairs of words as derive and derivation, esteem and estimation, laud and laudation have found their way into the English vocabulary, it is natural that the suffixation should be recognized by English speakers as an allowable means of making "nouns of action" out of verbs. This suffix supplied a real want because the only native means of forming nouns of action was the suffix –ing, which was not quite definite enough in meaning. Many French suffixes, such as –age, -al (as used in withdrawal, upheaval, betrothal);-ment, and -able which have no thing corresponding to them in English have been extensively used in the formation of English derivations.(Henry,1955:86). 3.4. Did the influence of the Norman Conquest continue with the same degree of effect as when it first began? The influence of the Normans did not continue to be as strong as when it first began. So it is naturally expected to find that the French as a second language faced some retreat. The dawn of the 13th century found a trilingual England in which French, Latin, and English live side by side ,each used for a different purpose and with a different function. The first was the literary and courtly tongue, the second was the church and legal documents tongue and the third was the common intercourse tongue. With the loss of Normandy by King John in 1204 (Pei, 1953:44), the English language received the mighty Philip. It is conceivable that up to that time many of England's new landed gentry thought of Normandy as "home" and of England as a colonial possession in which they held their major domains. Now there was no longer a "home "for them, except England. By the time of Edward I, all Englishmen, whether of Saxon or Norman descent, were united ,and in 1295 the king of England charged the French kings ,among other crimes, with wanting to wipe out the English tongue. So it is by the end of the 13th century that French had become almost a foreign tongue in England, though it was gaining influence and prestige on the continent to such an extent that German barons had it taught to their children. However, as far as England was concerned, French was beginning to be taught out of manuals as a cultural tongue and even the children of nobility learned it as a foreign language. It was the Hindered Year's War with its bitter animosity against the French., and the black Death of 1349-1350,which lead to rise in the importance of the laboring classes and their tongue, that gave the death blow to French in England. In 1349 English was reinstated in the schools; in 1362 Parliament forbade the use of French in law courts, on the ground that "French is much unknown". By 1385 English had penetrated the scared precincts of the universities, with John Cornwall and Richard Pencrich leading it at Oxford. By the time of Henry V (1413) English was the official language at the court.

Carefully review the text below, then answer the question that follows. You should ONLY use information found in the included text to respond. What impact did the Norman Conquest have on Old and Middle English dialects and their conditions? 1. Chapter One 1.1. Historical Background English as a separate and distinct entity appeared in the great Germanic century, but it was until the beginning of the seventh that the language defiantly emerged from the confusion and turmoil of the conquest of Britain and began to take its place among the modern tongues of Europe. If we take a look to the history of the British Isles, we find that it has been visited by many people from the European mainland and the visitors must have liked what they have found, because often the visits turned into invasions or attempted invasions Before the dawn of recorded history, the British Isles had been visited, overrun, and conquered by two separate groups of Celtic invaders, speaking tongues which were the remote ancestors of present-day Gaelic and Welsh. (Pei,1953:12) During the earlier part of the eleventh century, Edward, the son of Ethelred the Unready and of the daughter of a Norman duke, was being brought up in Normandy, and when he at last came to the throne in 1042 the influence of his upbringing naturally remained, and his friends and supporters were both spiritual and temporal French. This certainly prepared the way for the Norman Conquest. (Jespersen, 1955:105) The Normans adopted a northern dialect of Old French known as Anglo-Norman(Carpenter,2004:79-80), which they spoke with certain characteristics and it was this dialect which was carried into English in the eleventh century and which was developed there into a specific variety known as Anglo- Norman. 1.2. English Language before the coming of the Normans Before the Norman Conquest, the people of England spoke Old English or what was called Anglo-Saxon. This language was Germanic in vocabulary, with few borrowings. It had many declensions of substantives. There was one declension which formed its genitive singular in –es and its nominative plural in –as; and there were other declensions in which –a, -an, -e appear as endings for the genitive singular m and –a, -an, -e,-u for the nominative plural. Out of all these the –es and –as declension is the online that remains in general use. If we take a look to the case-endings in Old English ; we find that –es was the only one that meant anything other than a genitive singular and –as which only meant a nominative or accusative plural. Thus hanan stands for the genitive, dative, and accusative singular and the nominative and accusative plural of hana, a cock. So it is a popular error to suppose that it was in the consequence of the Norman Conquest that the –es and –as declension came to sup ride all the rest. In fact, the change began in the Northern dialect.( Bradley, 1955:35) It is estimated that in the field of vocabulary about 450 Latin words came into Old English before the Norman Conquest. This is a surprisingly large total to those who think of the Anglo-Saxon era as the period of pure Germanium in the language. It is those words that would normally have entered English from 1066 on, and it is clear that even without the French cultural importation, present-day English would not be altogether a simon-pure Germanic tongue. Just before the coming of the Normans, Old English was a deft blend of west Germanic and Scandinavian, with the former still predominating and respectable amount of Latin- Greek borrowings, about half of them of a religious nature. 2. Chapter two ?ً 2.1. what is the Norman Conquest.. The Norman Conquest is the invasion and conquering of the Normans to England in 1066.It began when William of Normandy invaded England and seized its throne. .2. The Roots of the Norman Conquest. 2 When William the Bastard, Duke of Normandy, descend of Rollo (leader of Norsemen) and son of a tanner's daughter , conceived the ambitious plan of making himself master of the great island beyond the sea, he did not minimize the difficulty of invasion . He knew that Anglo-Saxons and Danes had been forged into a united, and hardy race by the wise policies of Alfred and Cnut, and that the armies of his opponent Harold were strong. Historians estimate that of the vast host gathered by William for the invasion of England only one third of them were of native Normans. These men were land hungry. It was their expectations that in case of victory the lands of England would be wrested from their Anglo-Saxon owners and given to them. They were not disappointed for William kept his promises. When the Norman host disembarked at Hastings, Anglo-Saxon England was already carved up in advance a fact which Harold's men did not know. Being fresh from a victory , they won against the king of Norway, supported by Harold's brother. They may have thought that in case of defeat, their lot would be no worse than had been their ancestor's in the Danelagh. The Normans would be absorbed, Anglicized as to language and customs, and all would go on as before. In the final analysis, they were perhaps right. However, centuries had to elapse before this would come to pass.(Encyclopaedia Britanica,v.5:881-882) The Norman victory was complete, so was the conquest. For five years after the fateful day the Saxons thugs and earls were forcibly deprived of their lands and privileges by the insolent invaders, continued to rebel and resist, while William and his mercenaries raged through the land. After that the resistance died away. The Saxon nobility robbed in everything in favor of William's followers; sank suddenly to the level of their own peasantry, while the ancient free men of England, now undistinguished from the churls, turned into villains of the new seigneurs. Saxon England was laid low .Norman England had replaced it.(Campbell,1982:240) Yet Saxon England was not quite dead. The new court, clergy and nobility knew and spoke only French and Latin. However the subject population lived on and so did its language; a language now scorned for literary purposes as the language of an inferior race. (Pei, 1953:33) From what has been mentioned above, it is noticed that the Normans were looked at as an alien race; their occupation of the country attracted much more notice and lasted longer than that of the Danes; they become the ruling class. They represented a higher culture than that of the native and had a literature of their own . The Normans became the masters of England and they remained masters for a sufficiently long time to leave impress on the language. The conquerors would have been far less if they had not continued for centuries in actual contact with the French of France. After the conquest, the immigrants formed the upper class of the English society. The following classes of words show this fact: Words relating to government Crown, state, government, reign, realm, sovereign, authority, country, minister, chancellor, authority, parliament, people, nation . Words related to feudalism: Fief, feudal, vassal, liege . Words relating to steps in the scale of rank: Prince, peer, duke, marquis, viscount, baron . Words related to military affairs: War, peace, battle, arms, armour, buckler, mail, lance, officer, dart, lieutenant, sergeant, solider, troops, vessel, navy, admiral, enemy, danger, prison, siege, guard. Words related to law: 124 Justice, just, judge, court, suit, sue, plaintiff, defendant, plea, plead, cause, assize, fee, accuse, crime, traitor, damage, heritage, properly, penalty, injury, privilege, tenure . Words related to church: Religion, service, trinity, savior, virgin, angle, saint, abbey, cloister, friar, clergy, parish, baptism, sacrifice, orison, alter, sermon, preach, pray, prayer, feast . Words related to the pleasure of life: Joy, pleasure, delight, ease, comfort Some of the favorite pastimes were Chase, Cards and Dice, so we find many French words related to them, such as: Brace, couple, lease, falcon, quarry, warren, scent, track, partner, suit, trump Words related to dress: apparel, dress, costume, garment Words related to art: art, beauty, colour, image, design, figure, ornament The long list of words which is mentioned above indicates the fact that French was the rich, powerful, and refined class in the English society. Therefore, it was natural that the lower classes should soon begin to adopt such of the expressions of the rich as they could catch the meaning . 3. Chapter Three 3. 1. The Linguistic Effects of the Norman Conquest on English language The Norman Conquest of Britain has a number of linguistic effects on the language spoken in England at that time. Some of the results of these influences were the following: 1. Change in the conditions of dialects .The conquest placed all four Old English dialects more or less on a level. As such, West Saxon lost its supremacy and the center of culture and learning gradually shifted from Winchester to London. The Old Northumbrian dialect became divided into Scottish and Northern, although little is known of either of these divisions before the end of the 13th century. The Old Mercian dialect was split into East and West Midland. West Saxon became slightly diminished in area and was more appropriately named the South Western dialect. The Kentish dialect was considerably extended and was called South Eastern. All five Middle English dialects (Northern, West Midland, East Midland, South Western, and South Eastern) went their own ways and developed their own characteristics. 2. Change in the writing of English from the clear and easily readable in solar hand of Irish origin to the dialect Carolingian script then in use on the continent. 3. Change in spelling for the sake of clarity. Old English y becomes u, Ý as yi, u as ou (ow when final), u was often written o before and after m, n, u, w; and i was sometimes written y before and after m and n, ew was changed to qu; hw to wh; qu or quh to ch or tch; se to sh; cg to gg and ht to ght. Thus, for example, mycel(much) appeared as muchel; fyr(fire) as fuir; hus (house) as hous; hu(how) as how; snnu (son) as sone; him(him) as hym; cwen as queen; hwelet as what; quat (quart)as quhrt ; dic as ditch; scip as ship, sccage (siege) as segge; and miht as might. The Northern infinitive was already one syllable, whereas the past participle – en inflection of Old English was strictly kept. Old English mutated –ended in the present participle had already become –inde in late Southern and it was this inflection that blended with the –ing suffix of nouns of action that had already become near-gerunds in such compound nouns as athswearing (oath swearing)and writing feather (writing feather pen) The Northern 2nd person singular singis was inherited unchanged from common Germanic. The final t sound in Midland –est. and Southern –st was excrescent comparable with the final t in modern (admist) and (amongst) from older amides and amonges. The Northern 3rd person singular singis had quite different origin. Like the singis of the plural, it resulted almost casually from an inadvertent retraction of the tongue in enunciation from an interdental –th sound to postendal –s. Today the form (singeth) services as a poetic archaism Shakespeare used both –eth and –s endings (It "mercy"blesseth him that gives and him that takes) 3.1.1. The Changes in Sounds and stress which took place after the Norman Conquest French words which adopted in English suffered a great change in sounds; they have participated in all sound changes that have taken place in English since their adaptation. Thus, words with the long [i] sound have had it diphthongized into [ai], e.g. fine, price, lion. The long [u], written ou has become [au], e.g. Old French espouse pronounced /spuize/ now pronounce /spauze/ The English is unable to imitate the French accentuation, that's why there are a great many words now stressed on the final syllable. All English, it is said, had the stress on the final syllable, and this habit was unconsciously extended to foreign words on their first adoption into the language. In the plural, Old French had a nominative without any ending and an accusative in –s; and English popular instinct naturally associated the latter form with the native plural ending in –es. In course of time those words which had for a long time in English as in French formed their plural without any ending (e.g. case) were made to conform to the general rule (sg.case.cases) As to the verbs, the rule is that the stem of French present plural served as basis for the English form; thus (je survis), nouns survivor vous survives, ils survivent became survive ;( je resous), resolvous, etc.became resolve. After what is stated, and in order to prove the great impact the Norman Conquest had left on English, some of the French words with their synonyms in English should be mentioned and they are arranged chronically. A. The foreign words in the twelfth century can be classified as follows:ِa. . Words denoting person or rank:1 Abbat "abbot" canonic "canon" capelein "chaplain" cardinal "cardinal" cuntesse "countess" due "duke" emperice "empress" legat "legate" Ex: pehefde be Emperice in Alamanic & nu was cuntesse in Angou. "Who had been Empress of Germany and now was Countess of Anjou" Com an of Rome Henri was gehaten "a legate called Henry came from Rome" 2. words denoting finance: rent "rent" tresor "treasure" Ex: Wrothe on pe circe & sette parto landes& rentes (worked on the church and endowed it with lands and rents) 3. words denoting law and social relations: acorden "reconcill" justicse "justice" pais "peace" privilegie "privileges" 4. words denoting religion: carite "charity" miracle "miracle" nativite "nativity" procession"procession" 5. words denoting military: werre "war" werrien "to make war against" 6. words denoting nature: 128 Best "beast" Contre "country" Flum "river" Marbre "marble" Leun "lion" Oil "oil" Rose "rose" 7. Words denoting Household and other things: Basi "basin" Coup "cup" Furneis "furnace" Lamp "lamp" 8. words denoting physical action and appearance: Cachen "catch" Changen "change" Chere "face, appearance" Savour "savour" 9. Words denoting moral and Intellectual Clergie "science" Craviant "defeated" Deol "sorrow" Dout "doubt, fear" Fausien "fail" Gin "device" Meistrie "mastery" Reisun "reason" B.some of the French words `during the period between 1200-1250: 1. words denoting person: Ame "friend" Baban "baby" Baptist "Baptist" Kunseiler "councilor" Messager "messenger" Nurice "nurse" Prison "prisoner" 2. words denoting finance: Cwile "quit" Spense "expense" 3. words denoting buildings: Celere "cellar" Cite "city" Knuent "convent" Genere "granary" Tur "tower" 4. words denoting law and social relations: 129 Baundun "power " Crune "villiaains" Juggen "judge" Noces "marriage" Trone "throne" 5. Words denoting religion Calize "chalice" Canoniicl "canonical" Creoisem "to make the sign of the cross on" Eresi "heresy" Feste "festival" Grace "grace" Parais "Paradise" 6. Words denoting military Baret "strife" Calenge "challenge" Gunfanenr "standard bearer" Skirmen "fight" Turnement "tournament" 7. words denoting nature: Bame "balm" Carbin "raven" Cou de gilofre "clove" Gingiuere "ginger" Flur "flour" Fluren "to flower" Licur "liquor" 8. words denoting clothes: Abit "habbit" Atiffen "adorn" Broche "brooch" 9. words denoting household: Beaabelet "jewel" Buste "box" Cage "cage" Chetel "chattels" Crèche "crib" Scorge "scourge" Trufle "trifle" 10. words denoting physical action: Aboutien "lean out" Aspien "spy on" Babelinde "chattering" Buffeten "to buffet" Disturben "disturb" Recoilen "to drive back" Rute "road" 11 . Words denoting moral and Intellectual: Anui "worry" Asprete "bitterness" Comfort "comfort" Kunscence "consciousness" Contumace "contumacy" Creaunt "craven" Debonere "gentle" Deinte "dignity" Delit "delight" Noblesce "nobility" Mesure "moderation" Largesse "generosity" Pacience "pacience" 12. words denoting mental action: Affaiten "dispose" Akointed "acquainted" Asaumple "example" Attente "endeavour" Bisamplen "to moralize" Counsail "advice" Defaut "fault" Paien "please" Preach "preach" Preisen "to praise" Scandle "scandal" C. the French words during the period between 1250-1300 1. words denoting person: Barun "barun" Caynard "eascal" Chanoun "clerk" dam "sir" Sergauuz "sergents" 2. words denoting law and social relations: Eir "heir" Eritage "heritage" Per "peer" Warrant "surely" 3. words denoting religion: Aungel "angel" Auter "alter" Beneisun "benison" 131 Malison "malison" Croize "cross" Preie "pray" 4. words denoting military: Baret "strife" Gisarm "sword" Skriming "large shield" 5. words denoting nature: Bise "beast" Runic "horse" Laumprei "lamprey" Flour "flower" 6. words denoting clothes: Charbuole "carbuncle" Ioupe "losse jacket" 7. Physical action: Aise "ease" Bout "throw" Croune "crown" Couere "recover" Fyn "end" Sane "safe" 8. words denoting food: Broys "broth" Clare "claret" Pastees "sweet special wine" Simenels "bread of fine flour" Super "supper" Ueneysun "venison" 9. Moral and Intellectual: Anuicu "to worry" Chiche "mean" Conseyl "counsel" Faith "faith" Fey "felong" Fol "foolish" Gent "noble" Atendre "tender" 3.2. Was the French influence restricted to one period? The French influence was not restricted to one particular period, and it is interesting to compare the forms of old loan-words with these of recent ones, in which we can recognize traces of the changes the French language has undergone since medieval times, where a ch in an originally French word is pronounced as in change, chaunt, etc;(with the sound /ts/) where it is sounded as in champagne (with simple /s/), we have a recent loan. The word chief is thus shown to belong to the first period, while its doublet chef (=chef de cuisine) is much more modern. It is curious that two pet-names should now be spelled in the same way, Charlie, although they are distinct in pronunciation: the masculine is derived from the old loan Charles and has, therefore, the, the sound [t ] .the feminine is from the recent loan Charlotte with [ ], but they have all of them the same initial sound. Other examples of the same French word appearing in more than one shape according to its age in English are Saloon and salon, suit and suit, liquor and liqueur, rout and route ;the diphthong in the former word is an English development of long[u], quart, pronounced [kw t], and quart, pronounced [kw t] pronounced [k t],"a sequence of four cards in pique," also quarte or carte in fencing. In early middle English, words were borrowed from French containing the sound-group ch [t ](as in English child),e.g. chief, chivalry, duchess, chase ,torch; and [d ](as in gem),e.g. judge (both constants) just, journey, large; these consonant-groups became respectively [ ]and[ ]in later French. Initially,however,[ ] is not found in English without a proposed [d]; thus gentle, genteel, and jaunty represent three larges of the borrowing from the same word. 3.3. How did common people manage to learn so many foreign words? And how far did they assimilate them? We expect to find many changes carried out in the French words after their adoption in order to be easy to learn. In few cases the process of assimilation was facilitate by the fact that a French word happened to resemble an old native one and this is exemplified by the following: The old native verb choose was supplemented with the noun choice, from French choix. Old English hergian and Old French herir run together in Middle English harry. Old English hege and French haie run together in hay "hedge,fence". The word nevew (now spelled nephew)recalled Old English nefa, menege recalled Old English meniegeo. It is important to understand that the French words which were brought into English represent two different dialects. The form of the French language which obtained currency in England as the immediate consequence of the Norman Conquest was the northern dialect-the speech of Normandy and Picardy. But with the accession of the Angevine dynasty in the middle of the twelfth century the dialect of Central France became the language of the court and of the fashionable society. The two dialects differed considerably in pronunciation: for instance, Northern French had [k ]where Central French had [ch] and [ch] where Central French had [s]. One consequence of the two –fold character of the French spoken in England was that very often the same French word was adopted into English twice over, in two different forms and with meanings more or less different. Thus we have in modern English the words catch, warden, launch, wage, which came from Norman French and alongside them there are chase ,guardian ,lance, gage, which represent the same words as pronounced in French The vocabulary of language after the conquest has been enriched by a multitude of new derivation formed with the prefixes and suffixes that already existed in Old English. The native machinery of derivation is no longer found sufficient for the necessities of the language and has been largely supplemented by additions obtained from other languages. The adoption of foreign formative machinery has been rendered possible by the fact that many Latin and French primitive words have been taken English along with their derivations, formed with French or Latin suffixes. Therefore, when such pairs of words as derive and derivation, esteem and estimation, laud and laudation have found their way into the English vocabulary, it is natural that the suffixation should be recognized by English speakers as an allowable means of making "nouns of action" out of verbs. This suffix supplied a real want because the only native means of forming nouns of action was the suffix –ing, which was not quite definite enough in meaning. Many French suffixes, such as –age, -al (as used in withdrawal, upheaval, betrothal);-ment, and -able which have no thing corresponding to them in English have been extensively used in the formation of English derivations.(Henry,1955:86). 3.4. Did the influence of the Norman Conquest continue with the same degree of effect as when it first began? The influence of the Normans did not continue to be as strong as when it first began. So it is naturally expected to find that the French as a second language faced some retreat. The dawn of the 13th century found a trilingual England in which French, Latin, and English live side by side ,each used for a different purpose and with a different function. The first was the literary and courtly tongue, the second was the church and legal documents tongue and the third was the common intercourse tongue. With the loss of Normandy by King John in 1204 (Pei, 1953:44), the English language received the mighty Philip. It is conceivable that up to that time many of England's new landed gentry thought of Normandy as "home" and of England as a colonial possession in which they held their major domains. Now there was no longer a "home "for them, except England. By the time of Edward I, all Englishmen, whether of Saxon or Norman descent, were united ,and in 1295 the king of England charged the French kings ,among other crimes, with wanting to wipe out the English tongue. So it is by the end of the 13th century that French had become almost a foreign tongue in England, though it was gaining influence and prestige on the continent to such an extent that German barons had it taught to their children. However, as far as England was concerned, French was beginning to be taught out of manuals as a cultural tongue and even the children of nobility learned it as a foreign language. It was the Hindered Year's War with its bitter animosity against the French., and the black Death of 1349-1350,which lead to rise in the importance of the laboring classes and their tongue, that gave the death blow to French in England. In 1349 English was reinstated in the schools; in 1362 Parliament forbade the use of French in law courts, on the ground that "French is much unknown". By 1385 English had penetrated the scared precincts of the universities, with John Cornwall and Richard Pencrich leading it at Oxford. By the time of Henry V (1413) English was the official language at the court.

The response should only contain information from the provided text. The content should be understandable by someone not familiar with the context. Provide the answer as a bulleted list, each with their own simple explanation. There should be an even number of points. The explanations should have an odd number of words.

I just got this compass and tried setting it up using the instructions but it isnt working. Could you go through the text and highlight anything that I may have done wrong?

Digital Vehicle Compass 63-1120 OWNER’S MANUAL — Please read before using this equipment. Thank you for purchasing a RadioShack Digital Vehicle Compass. Your compass conveniently provides accurate heading information inside your vehicle. It incorporates the same magnetic sensor technology that is used in factory-installed vehicle compasses. The compass electronically separates the Earth’s magnetic field from the magnetic fields generated by your vehicle, to provide accurate compass headings. Automatic Shut-Off — conserves power by turning off the compass about 10 minutes after you park the vehicle when there are no significant changes in the surrounding magnetic fields. Magnetic Distortion Detection — alerts you when outside magnetic interference is affecting compass accuracy. INSTALLING BATTERIES Your compass requires two AAA batteries (not supplied) for power. For the best performance and longest life, we recommend RadioShack batteries. Battery life is about 11 months (based on an average of 8 hours of compass use and 2 hours of backlight use per week). Cautions: • Use only fresh batteries of the required size and recommended type. • Do not mix old and new batteries, different types of batteries (standard, alkaline, or rechargeable), or rechargeable batteries of different capacities. @ RadioShack www.radioshack.com™ © 2001 RadioShack Corporation. All Rights Reserved. RadioShack and RadioShack.com are trademarks used by RadioShack Corporation. 1. Slide the battery compartment cover in the direction of the OPEN arrow to remove it. 2. Place two AAA batteries in the compartment as indicated by the polarity symbols (+ and -) marked inside. 3. Replace the cover. All the arrows flash. After you install or replace batteries, you must calibrate the compass (see “Calibrating the Compass” on Page 4). If all the arrows and digits flash, and the backlight turns on when you turn on the compass, replace the batteries or use vehicle battery power (see “Using Vehicle Battery Power”). Warning: Dispose of old batteries promptly and properly. Do not burn or bury them. Caution: If you do not plan to use the compass for a month or more, remove the batteries. Batteries can leak chemicals that can destroy electronic parts. USING VEHICLE BATTERY POWER This compass is designed to be used with RadioShack’s 12V DC adapter Cat. No. 270-031A (available at your local RadioShack store). Using any other adapter could void the warranty and damage the compass. You can power the compass from a vehicle’s 12V power source (such as cigarette-lighter socket) using a 12V, 3 amp DC adapter (not supplied, available at your local RadioShack store). Cautions: A You must use a power source that supplies 12V DC . and delivers at least 3 amps. Its center tip must be set 2 to positive and its plug must fit the compass' jack. Using an adapter that does not meet these specifications could damage the compass or the adapter. • Always connect the DC adapter to the compass before you connect it to the power source. When you finish, disconnect the adapter from the power source before you disconnect it from the compass. Note: Since not all vehicles have constant power supplied to the power outlet, two AAA batteries are required to retain the compass calibration settings in memory (although they do not power the compass when vehicle battery power is used). Insert the barrel plug of the 12V DC adapter (not supplied) into the DC12V jack on the back of the compass. Then insert the DC plug into your vehicle’s power outlet. MOUNTING THE COMPASS Choose a clean mounting location on the vehicle’s windshield where the compass is at least 5 inches away from any stereo speakers and will not obstruct the driver’s field of view. Your compass comes with three suction cups for secure mounting. 1. Insert the small ball head of each suction cup into the larger hole on the bottom of the bracket and slide it into the bracket’s smaller hole so it fits tightly. 2. Place the compass in the holder. Note: To remove the compass from the holder, simply slide it out. 3 3. Firmly press the bracket with the Vertical Plane 4. Adjust the angle of the windshield. against the vehicle’s compass 20' maximum down tilt 20 maximum up tilt Horizontal Plane bracket so > that the face of the compass points to the back of the vehicle. Then adjust the bracket to an angle no more than 20° above or below the horizontal plane. 5. Tighten the bracket’s screw to hold it at the desired angle. Caution: If you use a reflective sun shade, do not leave the compass between the sun shade and the windshield. The extreme heat might damage the compass. Note: Your compass will not calibrate correctly and will not be accurate unless it is mounted so the display faces the back of your vehicle and is titled no more than 20° above or below the horizontal plane. The selected angle must stay fixed after calibration for the compass to remain accurate. CALIBRATING THE COMPASS Calibration enables the compass to separate the earth’s magnetic field from the magnetic fields generated by external influences (such as your vehicle) so it can provide accurate heading information. 4 When calibrating the compass, you must drive your vehicle in one complete circle. Be sure your vehicle is on level ground in an open area, such as a parking lot. The size of the circle and the direction your vehicle points when beginning or ending the circle do not matter. The circle does not need to be perfect, but it must be completed within 2 minutes. Important: If you do not calibrate your compass properly, it will not work correctly or accurately. You must calibrate your compass when you use it the first time and recalibrate it anytime: • you move the compass to a different location • you adjust the bracket/display angle • you remove and replace the batteries • BIST appears steadily • all the arrows flash 1. Ensure the compass is securely mounted (see “Mounting the Compass” on Page 3). 2. Hold down LIGHT and POWER at the same time until all arrows flash at the same time. Note: If you have just installed/replaced the batteries, all the arrows and digits briefly appear, then all the arrows flash at the same time and the backlight turns on. Begin from Step 3 to calibrate your compass. 3. Press POWER. The arrows appear one at a time. 4. With the compass mounted, drive in one complete circle and then press POWER. The current compass heading appears. 5 Note: If you press LIGHT while calibrating your compass (except after installing/replacing batteries), the compass does not store the calibration setting and the original setting is unchanged. USING THE COMPASS The 8 displayed cardinal points for this compass are N, NE, E, SE, S, SW, W, and NW. Distortion Detection When DiST appears, the compass is detecting magnetic interference that compromises its accuracy. Distortion occurs when there has been a significant change in the surrounding magnetic fields, such as when you are driving under an overpass, or over a bridge. The steel in these structures causes inaccurate readings in any magnetic compass, but unlike other compasses, this compass detects interference and alerts you. If DIST appears continuously, recalibrate your compass (see “Calibrating the Compass” on Page 4). Turning the Compass On and Off Press POWER to turn the compass on and off. Or, you can press LIGHT to turn on the compass and the backlight. To turn off the compass and the backlight, press POWER. Important: The compass automatically turns off after about 10 minutes to conserve power if no significant changes occur in the surrounding magnetic fields. 6 Using the Backlight To turn on the backlight, press LIGHT. To turn off the backlight, press LIGHT again. The backlight automatically turns off after about 1 minute if it is powered by internal batteries. It automatically turns off after about 10 minutes if it is powered by vehicle battery power, unless significant changes occur in the surrounding magnetic fields. CARE Keep the compass dry; if it gets wet, wipe it dry immediately. Use and store the compass only in normal temperature environments. Handle the compass carefully; do not drop it. Keep the compass away from dust and dirt, and wipe it with a damp cloth occasionally to keep it looking new. Modifying or tampering with the compass’ internal components can cause a malfunction and might invalidate its warranty. If your compass is not performing as it should, take it to your local RadioShack store for assistance.

I just got this compass and tried setting it up using the instructions but it isnt working. Could you go through the text and highlight anything that I may have done wrong? Digital Vehicle Compass 63-1120 OWNER’S MANUAL — Please read before using this equipment. Thank you for purchasing a RadioShack Digital Vehicle Compass. Your compass conveniently provides accurate heading information inside your vehicle. It incorporates the same magnetic sensor technology that is used in factory-installed vehicle compasses. The compass electronically separates the Earth’s magnetic field from the magnetic fields generated by your vehicle, to provide accurate compass headings. Automatic Shut-Off — conserves power by turning off the compass about 10 minutes after you park the vehicle when there are no significant changes in the surrounding magnetic fields. Magnetic Distortion Detection — alerts you when outside magnetic interference is affecting compass accuracy. INSTALLING BATTERIES Your compass requires two AAA batteries (not supplied) for power. For the best performance and longest life, we recommend RadioShack batteries. Battery life is about 11 months (based on an average of 8 hours of compass use and 2 hours of backlight use per week). Cautions: • Use only fresh batteries of the required size and recommended type. • Do not mix old and new batteries, different types of batteries (standard, alkaline, or rechargeable), or rechargeable batteries of different capacities. @ RadioShack www.radioshack.com™ © 2001 RadioShack Corporation. All Rights Reserved. RadioShack and RadioShack.com are trademarks used by RadioShack Corporation. 1. Slide the battery compartment cover in the direction of the OPEN arrow to remove it. 2. Place two AAA batteries in the compartment as indicated by the polarity symbols (+ and -) marked inside. 3. Replace the cover. All the arrows flash. After you install or replace batteries, you must calibrate the compass (see “Calibrating the Compass” on Page 4). If all the arrows and digits flash, and the backlight turns on when you turn on the compass, replace the batteries or use vehicle battery power (see “Using Vehicle Battery Power”). Warning: Dispose of old batteries promptly and properly. Do not burn or bury them. Caution: If you do not plan to use the compass for a month or more, remove the batteries. Batteries can leak chemicals that can destroy electronic parts. USING VEHICLE BATTERY POWER This compass is designed to be used with RadioShack’s 12V DC adapter Cat. No. 270-031A (available at your local RadioShack store). Using any other adapter could void the warranty and damage the compass. You can power the compass from a vehicle’s 12V power source (such as cigarette-lighter socket) using a 12V, 3 amp DC adapter (not supplied, available at your local RadioShack store). Cautions: A You must use a power source that supplies 12V DC . and delivers at least 3 amps. Its center tip must be set 2 to positive and its plug must fit the compass' jack. Using an adapter that does not meet these specifications could damage the compass or the adapter. • Always connect the DC adapter to the compass before you connect it to the power source. When you finish, disconnect the adapter from the power source before you disconnect it from the compass. Note: Since not all vehicles have constant power supplied to the power outlet, two AAA batteries are required to retain the compass calibration settings in memory (although they do not power the compass when vehicle battery power is used). Insert the barrel plug of the 12V DC adapter (not supplied) into the DC12V jack on the back of the compass. Then insert the DC plug into your vehicle’s power outlet. MOUNTING THE COMPASS Choose a clean mounting location on the vehicle’s windshield where the compass is at least 5 inches away from any stereo speakers and will not obstruct the driver’s field of view. Your compass comes with three suction cups for secure mounting. 1. Insert the small ball head of each suction cup into the larger hole on the bottom of the bracket and slide it into the bracket’s smaller hole so it fits tightly. 2. Place the compass in the holder. Note: To remove the compass from the holder, simply slide it out. 3 3. Firmly press the bracket with the Vertical Plane 4. Adjust the angle of the windshield. against the vehicle’s compass 20' maximum down tilt 20 maximum up tilt Horizontal Plane bracket so > that the face of the compass points to the back of the vehicle. Then adjust the bracket to an angle no more than 20° above or below the horizontal plane. 5. Tighten the bracket’s screw to hold it at the desired angle. Caution: If you use a reflective sun shade, do not leave the compass between the sun shade and the windshield. The extreme heat might damage the compass. Note: Your compass will not calibrate correctly and will not be accurate unless it is mounted so the display faces the back of your vehicle and is titled no more than 20° above or below the horizontal plane. The selected angle must stay fixed after calibration for the compass to remain accurate. CALIBRATING THE COMPASS Calibration enables the compass to separate the earth’s magnetic field from the magnetic fields generated by external influences (such as your vehicle) so it can provide accurate heading information. 4 When calibrating the compass, you must drive your vehicle in one complete circle. Be sure your vehicle is on level ground in an open area, such as a parking lot. The size of the circle and the direction your vehicle points when beginning or ending the circle do not matter. The circle does not need to be perfect, but it must be completed within 2 minutes. Important: If you do not calibrate your compass properly, it will not work correctly or accurately. You must calibrate your compass when you use it the first time and recalibrate it anytime: • you move the compass to a different location • you adjust the bracket/display angle • you remove and replace the batteries • BIST appears steadily • all the arrows flash 1. Ensure the compass is securely mounted (see “Mounting the Compass” on Page 3). 2. Hold down LIGHT and POWER at the same time until all arrows flash at the same time. Note: If you have just installed/replaced the batteries, all the arrows and digits briefly appear, then all the arrows flash at the same time and the backlight turns on. Begin from Step 3 to calibrate your compass. 3. Press POWER. The arrows appear one at a time. 4. With the compass mounted, drive in one complete circle and then press POWER. The current compass heading appears. 5 Note: If you press LIGHT while calibrating your compass (except after installing/replacing batteries), the compass does not store the calibration setting and the original setting is unchanged. USING THE COMPASS The 8 displayed cardinal points for this compass are N, NE, E, SE, S, SW, W, and NW. Distortion Detection When DiST appears, the compass is detecting magnetic interference that compromises its accuracy. Distortion occurs when there has been a significant change in the surrounding magnetic fields, such as when you are driving under an overpass, or over a bridge. The steel in these structures causes inaccurate readings in any magnetic compass, but unlike other compasses, this compass detects interference and alerts you. If DIST appears continuously, recalibrate your compass (see “Calibrating the Compass” on Page 4). Turning the Compass On and Off Press POWER to turn the compass on and off. Or, you can press LIGHT to turn on the compass and the backlight. To turn off the compass and the backlight, press POWER. Important: The compass automatically turns off after about 10 minutes to conserve power if no significant changes occur in the surrounding magnetic fields. 6 Using the Backlight To turn on the backlight, press LIGHT. To turn off the backlight, press LIGHT again. The backlight automatically turns off after about 1 minute if it is powered by internal batteries. It automatically turns off after about 10 minutes if it is powered by vehicle battery power, unless significant changes occur in the surrounding magnetic fields. CARE Keep the compass dry; if it gets wet, wipe it dry immediately. Use and store the compass only in normal temperature environments. Handle the compass carefully; do not drop it. Keep the compass away from dust and dirt, and wipe it with a damp cloth occasionally to keep it looking new. Modifying or tampering with the compass’ internal components can cause a malfunction and might invalidate its warranty. If your compass is not performing as it should, take it to your local RadioShack store for assistance. The response should only contain information from the provided text. The content should be understandable by someone not familiar with the context. Provide the answer as a bulleted list, each with their own simple explanation. There should be an even number of points. The explanations should have an odd number of words.

Only use the provided context block below for your answer. Do not use outside sources.

How do these three differ from each other?

-Hybrid Electric Vehicles HEVs are powered by an internal combus- tion engine or other propulsion source that runs on conventional or alternative fuel and an electric motor that uses energy stored in a battery. The extra power provided by the electric motor allows for a smaller engine, resulting in better fuel economy without sacrificing performance. HEVs combine the benefits of high fuel economy and low emissions with the power and range of conventional vehicles. HEVs do not require a plug to charge the battery; instead, they charge using regenerative braking and the internal combustion engine. They capture energy normally lost during braking by using the electric motor as a generator, storing the captured energy in the battery. The energy from the battery provides extra power during acceleration and auxiliary power when idling. -Plug-In Hybrid Electric Vehicles PHEVs are powered by conventional fuels and by electrical energy stored in a battery. Using electricity from the grid to charge the battery some of the time costs less and reduces petroleum consumption compared with conventional vehicles. PHEVs can also reduce emissions, depending on the electricity source. PHEVs have an internal combustion engine or other propulsion source and an electric motor, which uses energy stored in a battery. PHEVs have larger battery packs than HEVs, making it possible to drive using only electric power (about 10 to 40 miles in current models). This is commonly referred to as the all-electric range of the vehicle. PHEV batteries can be charged several ways: by an outside electric power source, by the internal combustion engine, or through regenerative braking. If a PHEV is never plugged in to charge, its fuel economy will be about the same as that of a similarly sized HEV. If the vehicle is fully charged and then driven a shorter distance than its all-electric range, it is possible to use electric power only. -All-Electric Vehicles EVs use a battery to store the electrical energy that powers the motor. EV batter- ies are charged by plugging the vehicle into an electric power source. Although electricity production may contribute to air pollution, the U.S. Environmental Protection Agency (EPA) considers EVs to be zero-emission vehicles because their motors produce no exhaust or emissions. Since EVs use no other fuel, they help reduce petroleum consumption. Currently available EVs have a shorter range per charge than most conventional vehicles have per tank of gas. EV manu- facturers typically target a minimum range of 100 miles. According to the U.S. Department of Transportation’s Federal Highway Administration, 100 miles is sufficient for more than 90% of all house- hold vehicle trips in the United States. Light-duty HEV, PHEV, and EV models are currently available from a number of auto manufacturers, with additional models expected to be released in com- ing years. There are also a variety of medium- and heavy-duty options avail- able. For up-to-date information on available vehicle models, refer to the Alternative Fuels and Advanced Vehicles Data Center’s (AFDC) Electric Vehicle Availability page (www.afdc.energy.gov/ afdc/vehicles/electric_availability.html) and FuelEconomy.gov.

Only use the provided context block below for your answer. Do not use outside sources. How do these three differ from each other? [-Hybrid Electric Vehicles HEVs are powered by an internal combus- tion engine or other propulsion source that runs on conventional or alternative fuel and an electric motor that uses energy stored in a battery. The extra power provided by the electric motor allows for a smaller engine, resulting in better fuel economy without sacrificing performance. HEVs combine the benefits of high fuel economy and low emissions with the power and range of conventional vehicles. HEVs do not require a plug to charge the battery; instead, they charge using regenerative braking and the internal combustion engine. They capture energy normally lost during braking by using the electric motor as a generator, storing the captured energy in the battery. The energy from the battery provides extra power during acceleration and auxiliary power when idling. -Plug-In Hybrid Electric Vehicles PHEVs are powered by conventional fuels and by electrical energy stored in a battery. Using electricity from the grid to charge the battery some of the time costs less and reduces petroleum consumption compared with conventional vehicles. PHEVs can also reduce emissions, depending on the electricity source. PHEVs have an internal combustion engine or other propulsion source and an electric motor, which uses energy stored in a battery. PHEVs have larger battery packs than HEVs, making it possible to drive using only electric power (about 10 to 40 miles in current models). This is commonly referred to as the all-electric range of the vehicle. PHEV batteries can be charged several ways: by an outside electric power source, by the internal combustion engine, or through regenerative braking. If a PHEV is never plugged in to charge, its fuel economy will be about the same as that of a similarly sized HEV. If the vehicle is fully charged and then driven a shorter distance than its all-electric range, it is possible to use electric power only. -All-Electric Vehicles EVs use a battery to store the electrical energy that powers the motor. EV batter- ies are charged by plugging the vehicle into an electric power source. Although electricity production may contribute to air pollution, the U.S. Environmental Protection Agency (EPA) considers EVs to be zero-emission vehicles because their motors produce no exhaust or emissions. Since EVs use no other fuel, they help reduce petroleum consumption. Currently available EVs have a shorter range per charge than most conventional vehicles have per tank of gas. EV manu- facturers typically target a minimum range of 100 miles. According to the U.S. Department of Transportation’s Federal Highway Administration, 100 miles is sufficient for more than 90% of all house- hold vehicle trips in the United States. Light-duty HEV, PHEV, and EV models are currently available from a number of auto manufacturers, with additional models expected to be released in com- ing years. There are also a variety of medium- and heavy-duty options avail- able. For up-to-date information on available vehicle models, refer to the Alternative Fuels and Advanced Vehicles Data Center’s (AFDC) Electric Vehicle Availability page (www.afdc.energy.gov/ afdc/vehicles/electric_availability.html) and FuelEconomy.gov.]

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> [user request] <TEXT> [context document]

Summarize this article in 400 words or list. Create bullet lists for what causes skin tags and how skin tags are created. Include a list of people most likely to get skin tags and why.

Skin tags: Why they develop, and how to remove them Skin tags are harmless growths that can appear anywhere on your skin, but often develop on the neck, eyelids, or underarms. They may be the same color as your skin or darker. Some are pink. Others turn red when irritated. You may see one dangling from a stalk, while another is firmly fixed to the skin. With all this variation, there is one thing that acrochordons (medical name for skin tags) seem to have in common. Many people want to remove them. You only need to remove a skin tag if it becomes irritated, feels uncomfortable, or affects your eyesight. If one or more of your skin tags fits this description, contact a board-certified dermatologist because no one understands your skin better. Man placing his finger just below an irritated skin tag on his neck. The following explains how dermatologists remove skin tags. It also answers other questions that patients frequently ask their dermatologist. Why am I getting skin tags? These growths can appear anywhere on the skin, but they usually develop where skin has been rubbing against skin, jewelry, or clothing for some time. That’s why they usually occur in one or more of these areas: Breasts (beneath) Eyelids Groin Neck creases (or where clothing or jewelry rubs against the neck) Underarms Skin tags are also commonly found on the sides, abdomen, or back. Because they develop where skin rubs against skin, people who are overweight, pregnant, or have loose skin are more likely to get skin tags. You also have a higher risk of developing skin tags if you have diabetes, metabolic syndrome (high blood pressure, unhealthy blood sugar levels, extra fat around your waist, or unhealthy cholesterol levels), or a blood relative has skin tags. It’s important to keep in mind that these growths are harmless. Should I remove a skin tag? Because they’re harmless, a skin tag only needs to be removed if it: Becomes irritated or bleeds Develops on your eyelid and affects your eyesight Feels painful, especially when the pain comes on suddenly A skin tag can become irritated if it frequently rubs against jewelry, clothing, or a seat belt. Shaving can also irritate it, especially if you nick the skin tag. A dermatologist can remove these skin tags. Suddenly developing many skin tags while rare can be a sign that something is going on inside your body. If this happens, see a board-certified dermatologist, who can make sure you have skin tags and may recommend that you see your primary care doctor. Several skin tags on a person’s skin If you dislike the way a skin tag looks, your dermatologist can also remove it. However, you’ll likely pay the cost. Insurance providers consider removing a skin growth for looks alone a cosmetic treatment. Insurance rarely covers the cost of cosmetic treatments. How does a dermatologist remove skin tags? Your dermatologist can quickly and safely remove one or more skin tags during an office visit, and usually without the need for a follow-up appointment. The treatment that your dermatologist uses will depend on the size of the skin tag, where it appears on your body, and other considerations. Your dermatologist may use: Cryosurgery: During this treatment, your dermatologist applies an extremely cold substance like liquid nitrogen to freeze and destroy the skin tag. Sometimes, freezing causes a blister or scab. When the blister or scab falls off, so will the skin tag. When using cryosurgery, your dermatologist may freeze only the bottom of the skin tag and then snip it off with a sterile surgical blade or scissors. Electrodesiccation: Your dermatologistuses a tiny needle to zap the skin tag, which destroys it.You’ll develop a scab on the treated skin that will heal in one to three weeks. Snip: Your dermatologist will numb the area, use sterile surgical scissors or a blade to remove the skin tag, and then apply a solution to stop the bleeding. After treatment, your dermatologist may give you aftercare instructions to follow. This may include removing the bandage, washing the area carefully, and covering it with a new bandage. Follow your aftercare instructions carefully to prevent problems like an infection. Products that you can use at-home to remove skin tags are not recommended The U.S. Food and Drug Administration (FDA) has not approved any of these products. Because of the harm these products can cause, the FDA warns people NOT to use them. To find out more, go to 5 reasons to see a dermatologist for mole, skin tag removal. Does wart remover work on skin tags? Given that some skin tags look like warts, it’s easy to think wart remover would work well. It doesn’t. Warts are hard and need strong medication. Skin tags are soft, so using a wart remover on them can damage your skin. You may develop scarring or irritated skin where you apply wart remover. Seeing a dermatologist can give you peace of mind Skin tags come in many shapes and sizes, so you may mistake a wart or even a skin cancer for a skin tag. Board-certified dermatologists know the difference between something small and something major. By seeing a dermatologist, you’ll find out what’s going on and that can bring peace of mind. Related AAD resources 5 reasons to see a dermatologist for mole, skin tag removal Images Image 1: Getty Images Image 2: Used with permission of the Journal of the American Academy of Dermatology. (J Am Acad Dermatol. 2019;81:1037-57.) References Belgam Syed SY, Lipoff JB, et al. “Acrochordon.” In: StatPearls [Internet]. Treasure Island (FL): StatPearls Publishing; 2023 Jan. Farshchian M, Kimyai-Asadi A et al. “Cryosnip for skin tag removal.” J Am Acad Dermatol. 2021 May 30:S0190-9622(21)01032-X. doi: 10.1016/j.jaad.2021.05.039. Epub ahead of print. Hirt PA, Castillo DE, et al. “Skin changes in the obese patient.” J Am Acad Dermatol. 2019 Nov;81(5):1037-57. Kutzner HH, Kamino H, et al. “Fibrous and fibrohistiocytic proliferations of the skin and tendons.” In: Bolognia JL, et al. Dermatology. (fourth edition). Mosby Elsevier, China, 2018: 2068-9. Schwartz, RA. “Acrochordon.” In:Medscape(Elston DM., Ed.) Last updated 10/26/2022. Last accessed 3/28/2023. Tucker, R. “Advice on how to treat skin tags.” The Pharm Jour. Published March 1, 2011. Last accessed March 23, 2023. U.S. Food and Drug Administration. “Products marketed for removing moles and other skin lesions can cause injuries, scarring.” Last updated 8/10/22. Last visited 3/30/23.

<TASK DESCRIPTION> Only use the provided text to answer the question, no outside sources. <QUESTION> Summarize this article in 400 words or list. Create bullet lists for what causes skin tags and how skin tags are created. Include a list of people most likely to get skin tags and why. <TEXT> Skin tags: Why they develop, and how to remove them Skin tags are harmless growths that can appear anywhere on your skin, but often develop on the neck, eyelids, or underarms. They may be the same color as your skin or darker. Some are pink. Others turn red when irritated. You may see one dangling from a stalk, while another is firmly fixed to the skin. With all this variation, there is one thing that acrochordons (medical name for skin tags) seem to have in common. Many people want to remove them. You only need to remove a skin tag if it becomes irritated, feels uncomfortable, or affects your eyesight. If one or more of your skin tags fits this description, contact a board-certified dermatologist because no one understands your skin better. Man placing his finger just below an irritated skin tag on his neck. The following explains how dermatologists remove skin tags. It also answers other questions that patients frequently ask their dermatologist. Why am I getting skin tags? These growths can appear anywhere on the skin, but they usually develop where skin has been rubbing against skin, jewelry, or clothing for some time. That’s why they usually occur in one or more of these areas: Breasts (beneath) Eyelids Groin Neck creases (or where clothing or jewelry rubs against the neck) Underarms Skin tags are also commonly found on the sides, abdomen, or back. Because they develop where skin rubs against skin, people who are overweight, pregnant, or have loose skin are more likely to get skin tags. You also have a higher risk of developing skin tags if you have diabetes, metabolic syndrome (high blood pressure, unhealthy blood sugar levels, extra fat around your waist, or unhealthy cholesterol levels), or a blood relative has skin tags. It’s important to keep in mind that these growths are harmless. Should I remove a skin tag? Because they’re harmless, a skin tag only needs to be removed if it: Becomes irritated or bleeds Develops on your eyelid and affects your eyesight Feels painful, especially when the pain comes on suddenly A skin tag can become irritated if it frequently rubs against jewelry, clothing, or a seat belt. Shaving can also irritate it, especially if you nick the skin tag. A dermatologist can remove these skin tags. Suddenly developing many skin tags while rare can be a sign that something is going on inside your body. If this happens, see a board-certified dermatologist, who can make sure you have skin tags and may recommend that you see your primary care doctor. Several skin tags on a person’s skin If you dislike the way a skin tag looks, your dermatologist can also remove it. However, you’ll likely pay the cost. Insurance providers consider removing a skin growth for looks alone a cosmetic treatment. Insurance rarely covers the cost of cosmetic treatments. How does a dermatologist remove skin tags? Your dermatologist can quickly and safely remove one or more skin tags during an office visit, and usually without the need for a follow-up appointment. The treatment that your dermatologist uses will depend on the size of the skin tag, where it appears on your body, and other considerations. Your dermatologist may use: Cryosurgery: During this treatment, your dermatologist applies an extremely cold substance like liquid nitrogen to freeze and destroy the skin tag. Sometimes, freezing causes a blister or scab. When the blister or scab falls off, so will the skin tag. When using cryosurgery, your dermatologist may freeze only the bottom of the skin tag and then snip it off with a sterile surgical blade or scissors. Electrodesiccation: Your dermatologistuses a tiny needle to zap the skin tag, which destroys it.You’ll develop a scab on the treated skin that will heal in one to three weeks. Snip: Your dermatologist will numb the area, use sterile surgical scissors or a blade to remove the skin tag, and then apply a solution to stop the bleeding. After treatment, your dermatologist may give you aftercare instructions to follow. This may include removing the bandage, washing the area carefully, and covering it with a new bandage. Follow your aftercare instructions carefully to prevent problems like an infection. Products that you can use at-home to remove skin tags are not recommended The U.S. Food and Drug Administration (FDA) has not approved any of these products. Because of the harm these products can cause, the FDA warns people NOT to use them. To find out more, go to 5 reasons to see a dermatologist for mole, skin tag removal. Does wart remover work on skin tags? Given that some skin tags look like warts, it’s easy to think wart remover would work well. It doesn’t. Warts are hard and need strong medication. Skin tags are soft, so using a wart remover on them can damage your skin. You may develop scarring or irritated skin where you apply wart remover. Seeing a dermatologist can give you peace of mind Skin tags come in many shapes and sizes, so you may mistake a wart or even a skin cancer for a skin tag. Board-certified dermatologists know the difference between something small and something major. By seeing a dermatologist, you’ll find out what’s going on and that can bring peace of mind. Related AAD resources 5 reasons to see a dermatologist for mole, skin tag removal Images Image 1: Getty Images Image 2: Used with permission of the Journal of the American Academy of Dermatology. (J Am Acad Dermatol. 2019;81:1037-57.) References Belgam Syed SY, Lipoff JB, et al. “Acrochordon.” In: StatPearls [Internet]. Treasure Island (FL): StatPearls Publishing; 2023 Jan. Farshchian M, Kimyai-Asadi A et al. “Cryosnip for skin tag removal.” J Am Acad Dermatol. 2021 May 30:S0190-9622(21)01032-X. doi: 10.1016/j.jaad.2021.05.039. Epub ahead of print. Hirt PA, Castillo DE, et al. “Skin changes in the obese patient.” J Am Acad Dermatol. 2019 Nov;81(5):1037-57. Kutzner HH, Kamino H, et al. “Fibrous and fibrohistiocytic proliferations of the skin and tendons.” In: Bolognia JL, et al. Dermatology. (fourth edition). Mosby Elsevier, China, 2018: 2068-9. Schwartz, RA. “Acrochordon.” In:Medscape(Elston DM., Ed.) Last updated 10/26/2022. Last accessed 3/28/2023. Tucker, R. “Advice on how to treat skin tags.” The Pharm Jour. Published March 1, 2011. Last accessed March 23, 2023. U.S. Food and Drug Administration. “Products marketed for removing moles and other skin lesions can cause injuries, scarring.” Last updated 8/10/22. Last visited 3/30/23. https://www.aad.org/public/diseases/a-z/skin-tags

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Give me the differences between micronutrients and macronutrients in terms of their functions and the and the amount required in the body.For each give examples while explaining how they help the body. Respond with 500 words.

What are the nutrients? The foods we eat contain nutrients. Nutrients are substances required by the body to perform its basic functions. Nutrients must be obtained from our diet since the human body can not make them. Nutrients have one or more of three basic functions: they provide energy, contribute to body structure, and/or regulate chemical processes in the body. These basic functions allow us to detect and respond to environmental surroundings, move, excrete wastes, breathe, grow, and reproduce. There are six classes of nutrients required for the body to function and maintain overall health. These are carbohydrates, lipids, proteins, water, vitamins, and minerals. Foods also contain non-nutrient that may be harmful such as natural toxins common in plant foods and additives like some dyes and preservatives or beneficial like antioxidants. Key Functions of the 6 Essential Nutrients Protein Necessary for tissue formation, cell reparation, and hormone and enzyme production. It is essential for building strong muscles and a healthy immune system. Carbohydrates Provide a ready source of energy for the body and provide structural constituents for the formation of cells. Fat Provides stored energy for the body, functions as structural components of cells, and signaling molecules for proper cellular communication. It provides insulation to vital organs and works to maintain body temperature. Vitamins Regulate body processes and promote normal body-system functions. Minerals Regulate body processes, are necessary for proper cellular function, and comprise body tissue. Water Transports essential nutrients to all body parts, transports waste products for disposal, and aids with body temperature maintenance. macronutrients Nutrients that are needed in large amounts are called macronutrients. There are three classes of macronutrients: carbohydrates, lipids, and proteins. These can be metabolically processed into cellular energy. The energy from macronutrients comes from their chemical bonds. This chemical energy is converted into cellular energy used to perform work, allowing our bodies to conduct their basic functions. A unit of measurement of food energy is the calorie. On nutrition food labels, the amount given for “calories” is actually equivalent to each calorie multiplied by one thousand. A kilocalorie (Calorie) is the amount of heat generated by a particular macronutrient that raises the temperature of 1 kilogram of water 1 degree Celsius. On the Nutrition Facts panel, the calories within a particular food are expressed as kilocalories, which is commonly denoted as “Calories” with a capital “C” (1 kcal = 1 Calorie = 1,000 calories). Water is also a macronutrient in the sense that you require a large amount of it, but unlike the other macronutrients, it does not provide calories. carbohydrates Carbohydrates are molecules composed of carbon, hydrogen, and oxygen. The major food sources of carbohydrates are grains, milk, fruits, and starchy vegetables, like potatoes. Non-starchy vegetables also contain carbohydrates but in lesser quantities. Carbohydrates are broadly classified into two forms based on their chemical structure: simple carbohydrates, simple sugars, and complex carbohydrates. Simple carbohydrates consist of one or two basic units. Examples of simple sugars include sucrose, the type of sugar you would have in a bowl on the breakfast table, and glucose, the type of sugar that circulates in your blood. Complex carbohydrates are long chains of simple sugars that can be unbranched or branched. During digestion, the body breaks down digestible complex carbohydrates into simple sugars, mostly glucose. Glucose is then transported to all our cells, stored, used to make energy, or used to build macromolecules. Fiber is also a complex carbohydrate, but digestive enzymes cannot break it down in the human intestine. As a result, it passes through the digestive tract undigested unless the bacteria that inhabit the colon or large intestine break it down. One gram of digestible carbohydrates yields four kilocalories of energy for the body’s cells to perform work. Besides providing energy and serving as building blocks for bigger macromolecules, carbohydrates are essential for the nervous system’s proper functioning, heart, and kidneys. As mentioned, glucose can be stored in the body for future use. In humans, the storage molecule of carbohydrates is called glycogen, and in plants, it is known as starch. Glycogen and starch are complex carbohydrates. protein Proteins are macromolecules composed of chains of subunits called amino acids. Amino acids are simple subunits composed of carbon, oxygen, hydrogen, and nitrogen. Food sources of proteins include meats, dairy products, seafood, and various plant-based foods, most notably soy. The word protein comes from a Greek word meaning “of primary importance,” which is an apt description of these macronutrients; they are also known colloquially as the “workhorses” of life. Proteins provide four kilocalories of energy per gram; however, providing energy is not protein’s most important function. Proteins provide structure to bones, muscles, and skin and play a role in conducting most of the chemical reactions that take place in the body. Scientists estimate that greater than one-hundred thousand different proteins exist within the human body. The genetic codes in DNA are basically protein recipes that determine the order in which 20 different amino acids are bound together to make thousands of specific proteins. lipids Lipids are also a family of molecules composed of carbon, hydrogen, and oxygen, but they are insoluble in water, unlike carbohydrates. Lipids are found predominantly in butter, oils, meats, dairy products, nuts, seeds, and processed foods. The three main types of lipids are triglycerides (triacylglycerols), phospholipids, and sterols. The main job of lipids is to provide or store energy. Lipids provide more energy per gram than carbohydrates (nine kilocalories per gram of lipids versus four kilocalories per gram of carbohydrates). In addition to energy storage, lipids serve as a major component of cell membranes, surround and protect organs (in fat-storing tissues), provide insulation to aid in temperature regulation, and regulate many other body functions. water There is one other nutrient that we must have in large quantities: water. Water does not contain carbon but is composed of two hydrogens and one oxygen per molecule of water. More than 60 percent of your total body weight is water. Without it, nothing could be transported in or out of the body, chemical reactions would not occur, organs would not be cushioned, and body temperature would fluctuate widely. On average, an adult consumes just over two liters of water per day from food and drink combined. Since water is so critical for life’s basic processes, the amount of water input and output is significant, a topic we will explore in detail micronutrients Micronutrients are nutrients required by the body in lesser amounts but are still essential for carrying out bodily functions. Micronutrients include all the essential minerals and vitamins. There are sixteen essential minerals and thirteen vitamins. In contrast to carbohydrates, lipids, and proteins, micronutrients are not sources of energy (calories), but they assist in the process as cofactors or components of enzymes (i.e., coenzymes). Enzymes are proteins that catalyze chemical reactions in the body and are involved in all aspects of body functions, from producing energy to digesting nutrients to building macromolecules. Micronutrients play many essential roles in the body. minerals Minerals are solid inorganic substances that form crystals and are classified depending on how much of them we need. Trace minerals, such as molybdenum, selenium, zinc, iron, and iodine, are only required in a few milligrams or less. Macrominerals, such as calcium, magnesium, potassium, sodium, and phosphorus, are required in hundreds of milligrams. Many minerals are critical for enzyme function. Others are used to maintain fluid balance, build bone tissue, synthesize hormones, transmit nerve impulses, contract and relax muscles, and protect against harmful free radicals in the body that can cause health problems such as cancer.

"================ <TEXT PASSAGE> ======= What are the nutrients? The foods we eat contain nutrients. Nutrients are substances required by the body to perform its basic functions. Nutrients must be obtained from our diet since the human body can not make them. Nutrients have one or more of three basic functions: they provide energy, contribute to body structure, and/or regulate chemical processes in the body. These basic functions allow us to detect and respond to environmental surroundings, move, excrete wastes, breathe, grow, and reproduce. There are six classes of nutrients required for the body to function and maintain overall health. These are carbohydrates, lipids, proteins, water, vitamins, and minerals. Foods also contain non-nutrient that may be harmful such as natural toxins common in plant foods and additives like some dyes and preservatives or beneficial like antioxidants. Key Functions of the 6 Essential Nutrients Protein Necessary for tissue formation, cell reparation, and hormone and enzyme production. It is essential for building strong muscles and a healthy immune system. Carbohydrates Provide a ready source of energy for the body and provide structural constituents for the formation of cells. Fat Provides stored energy for the body, functions as structural components of cells, and signaling molecules for proper cellular communication. It provides insulation to vital organs and works to maintain body temperature. Vitamins Regulate body processes and promote normal body-system functions. Minerals Regulate body processes, are necessary for proper cellular function, and comprise body tissue. Water Transports essential nutrients to all body parts, transports waste products for disposal, and aids with body temperature maintenance. macronutrients Nutrients that are needed in large amounts are called macronutrients. There are three classes of macronutrients: carbohydrates, lipids, and proteins. These can be metabolically processed into cellular energy. The energy from macronutrients comes from their chemical bonds. This chemical energy is converted into cellular energy used to perform work, allowing our bodies to conduct their basic functions. A unit of measurement of food energy is the calorie. On nutrition food labels, the amount given for “calories” is actually equivalent to each calorie multiplied by one thousand. A kilocalorie (Calorie) is the amount of heat generated by a particular macronutrient that raises the temperature of 1 kilogram of water 1 degree Celsius. On the Nutrition Facts panel, the calories within a particular food are expressed as kilocalories, which is commonly denoted as “Calories” with a capital “C” (1 kcal = 1 Calorie = 1,000 calories). Water is also a macronutrient in the sense that you require a large amount of it, but unlike the other macronutrients, it does not provide calories. carbohydrates Carbohydrates are molecules composed of carbon, hydrogen, and oxygen. The major food sources of carbohydrates are grains, milk, fruits, and starchy vegetables, like potatoes. Non-starchy vegetables also contain carbohydrates but in lesser quantities. Carbohydrates are broadly classified into two forms based on their chemical structure: simple carbohydrates, simple sugars, and complex carbohydrates. Simple carbohydrates consist of one or two basic units. Examples of simple sugars include sucrose, the type of sugar you would have in a bowl on the breakfast table, and glucose, the type of sugar that circulates in your blood. Complex carbohydrates are long chains of simple sugars that can be unbranched or branched. During digestion, the body breaks down digestible complex carbohydrates into simple sugars, mostly glucose. Glucose is then transported to all our cells, stored, used to make energy, or used to build macromolecules. Fiber is also a complex carbohydrate, but digestive enzymes cannot break it down in the human intestine. As a result, it passes through the digestive tract undigested unless the bacteria that inhabit the colon or large intestine break it down. One gram of digestible carbohydrates yields four kilocalories of energy for the body’s cells to perform work. Besides providing energy and serving as building blocks for bigger macromolecules, carbohydrates are essential for the nervous system’s proper functioning, heart, and kidneys. As mentioned, glucose can be stored in the body for future use. In humans, the storage molecule of carbohydrates is called glycogen, and in plants, it is known as starch. Glycogen and starch are complex carbohydrates. protein Proteins are macromolecules composed of chains of subunits called amino acids. Amino acids are simple subunits composed of carbon, oxygen, hydrogen, and nitrogen. Food sources of proteins include meats, dairy products, seafood, and various plant-based foods, most notably soy. The word protein comes from a Greek word meaning “of primary importance,” which is an apt description of these macronutrients; they are also known colloquially as the “workhorses” of life. Proteins provide four kilocalories of energy per gram; however, providing energy is not protein’s most important function. Proteins provide structure to bones, muscles, and skin and play a role in conducting most of the chemical reactions that take place in the body. Scientists estimate that greater than one-hundred thousand different proteins exist within the human body. The genetic codes in DNA are basically protein recipes that determine the order in which 20 different amino acids are bound together to make thousands of specific proteins. lipids Lipids are also a family of molecules composed of carbon, hydrogen, and oxygen, but they are insoluble in water, unlike carbohydrates. Lipids are found predominantly in butter, oils, meats, dairy products, nuts, seeds, and processed foods. The three main types of lipids are triglycerides (triacylglycerols), phospholipids, and sterols. The main job of lipids is to provide or store energy. Lipids provide more energy per gram than carbohydrates (nine kilocalories per gram of lipids versus four kilocalories per gram of carbohydrates). In addition to energy storage, lipids serve as a major component of cell membranes, surround and protect organs (in fat-storing tissues), provide insulation to aid in temperature regulation, and regulate many other body functions. water There is one other nutrient that we must have in large quantities: water. Water does not contain carbon but is composed of two hydrogens and one oxygen per molecule of water. More than 60 percent of your total body weight is water. Without it, nothing could be transported in or out of the body, chemical reactions would not occur, organs would not be cushioned, and body temperature would fluctuate widely. On average, an adult consumes just over two liters of water per day from food and drink combined. Since water is so critical for life’s basic processes, the amount of water input and output is significant, a topic we will explore in detail micronutrients Micronutrients are nutrients required by the body in lesser amounts but are still essential for carrying out bodily functions. Micronutrients include all the essential minerals and vitamins. There are sixteen essential minerals and thirteen vitamins. In contrast to carbohydrates, lipids, and proteins, micronutrients are not sources of energy (calories), but they assist in the process as cofactors or components of enzymes (i.e., coenzymes). Enzymes are proteins that catalyze chemical reactions in the body and are involved in all aspects of body functions, from producing energy to digesting nutrients to building macromolecules. Micronutrients play many essential roles in the body. minerals Minerals are solid inorganic substances that form crystals and are classified depending on how much of them we need. Trace minerals, such as molybdenum, selenium, zinc, iron, and iodine, are only required in a few milligrams or less. Macrominerals, such as calcium, magnesium, potassium, sodium, and phosphorus, are required in hundreds of milligrams. Many minerals are critical for enzyme function. Others are used to maintain fluid balance, build bone tissue, synthesize hormones, transmit nerve impulses, contract and relax muscles, and protect against harmful free radicals in the body that can cause health problems such as cancer. https://open.maricopa.edu/nutritionessentials/chapter/essential-nutrients/#:~:text=Nutrients%20have%20one%20or%20more,breathe%2C%20grow%2C%20and%20reproduce. ================ <QUESTION> ======= Give me the differences between micronutrients and macronutrients in terms of their functions and the and the amount required in the body.For each give examples while explaining how they help the body. Respond with 500 words. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Do not make use of any external information or prior knowledge when answering the question. Only use the following text to formulate an answer. Make your answer between 300 and 500 words.

How does the Study Panel recommend addressing societal implications of AI technology?

AI POLICY, NOW AND IN THE FUTURE Throughout history, humans have both shaped and adapted to new technologies. This report anticipates that advances in AI technologies will be developed and fielded gradually—not in sudden, unexpected jumps in the techniques themselves—and will build on what exists today, making this adaptation easier. On the other hand, small improvements to techniques, computing power, or availability of data can occasionally lead to novel, game-changing applications. The measure of success for AI applications is the value they create for human lives. Going forward, the ease with which people use and adapt to AI applications will likewise largely determine their success. Conversely, since AI applications are susceptible to errors and failures, a mark of their success will be how users perceive and tolerate their shortcomings. As AI becomes increasingly embedded in daily lives and used for more critical tasks, system mistakes may lead to backlash from users and negatively affect their trust. Though accidents in a self-driving car may be less probable than those driven by humans, for example, they will attract more attention. Design strategies that enhance the ability of humans to understand AI systems and decisions (such as explicitly explaining those decisions), and to participate in their use, may help build trust and prevent drastic failures. Likewise, developers should help manage people’s expectations, which will affect their happiness and satisfaction with AI applications. Frustration in carrying out functions promised by a system diminishes people’s trust and reduces their willingness to use the system in the future. Another important consideration is how AI systems that take over certain tasks will affect people’s affordances and capabilities. As machines deliver super-human performances on some tasks, people’s ability to perform them may wither. Already, introducing calculators to classrooms has reduced children’s ability to do basic arithmetic operations. Still, humans and AI systems have complementary abilities. People are likely to focus on tasks that machines cannot do as well, including complex reasoning and creative expression. Already, children are increasingly exposed to AI applications, such as interacting with personal assistants on cell phones or with virtual agents in theme parks. Having early exposure will improve children’s interactions with AI applications, which will become a natural part of their daily lives. As a result, gaps will appear in how younger and older generations perceive AI’s influences on society. 43 Likewise, AI could widen existing inequalities of opportunity if access to AI technologies—along with the high-powered computation and large-scale data that fuel many of them—is unfairly distributed across society. These technologies will improve the abilities and efficiency of people who have access to them. A person with access to accurate Machine Translation technology will be better able to use learning resources available in different languages. Similarly, if speech translation technology is only available in English, people who do not speak English will be at a disadvantage. Further, AI applications and the data they rely upon may reflect the biases of their designers and users, who specify the data sources. This threatens to deepen existing social biases, and concentrate AI’s benefits unequally among different subgroups of society. For example, some speech recognition technologies do not work well for women and people with accents. As AI is increasingly used in critical applications, these biases may surface issues of fairness to diverse groups in society. On the other hand, compared to the well-documented biases in human decision-making, AI-based decision-making tools have the potential to significantly reduce the bias in critical decisions such as who is lent money or sent to jail. Privacy concerns about AI-enabled surveillance are also widespread, particularly in cities with pervasive instrumentation. Sousveillance, the recording of an activity by a participant, usually with portable personal devices, has increased as well. Since views about bias and privacy are based on personal and societal ethical and value judgments, the debates over how to address these concerns will likely grow and resist quick resolution. Similarly, since AI is generating significant wealth, debates will grow regarding how the economic fruits of AI technologies should be shared—especially as AI expertise and the underlying data sets that fuel applications are concentrated in a small number of large corporations. To help address these concerns about the individual and societal implications of rapidly evolving AI technologies, the Study Panel offers three general policy recommendations: 1. Define a path toward accruing technical expertise in AI at all levels of government. Effective governance requires more experts who understand and can analyze the interactions between AI technologies, programmatic objectives, and overall societal values. Absent sufficient technical expertise to assess safety or other metrics, national or local officials may refuse to permit a potentially promising application. Or insufficiently trained officials may simply take the word of industry technologists and green light a sensitive application that has not been adequately vetted. Without an understanding of how AI systems interact with human behavior and societal values, officials will be poorly positioned to evaluate the impact of AI on programmatic objectives. 2. Remove the perceived and actual impediments to research on the fairness, security, privacy, and social impacts of AI systems. Some interpretations of federal laws such as the Computer Fraud and Abuse Act and the anti-circumvention provision of the Digital Millennium Copyright Act are ambiguous regarding whether and how proprietary AI systems may be reverse engineered and evaluated by academics, journalists, and other researchers. Such research is critical if AI systems with physical and other material consequences are to be properly vetted and held accountable. 3. Increase public and private funding for interdisciplinary studies of the societal impacts of AI. As a society, we are underinvesting resources in research on the societal implications of AI technologies. Private and public dollars should be directed toward interdisciplinary 44 teams capable of analyzing AI from multiple angles. Research questions range from basic research into intelligence to methods to assess and affect the safety, privacy, fairness, and other impacts of AI. Questions include: Who is responsible when a self-driven car crashes or an intelligent medical device fails? How can AI applications be prevented from unlawful discrimination? Who should reap the gains of efficiencies enabled by AI technologies and what protections should be afforded to people whose skills are rendered obsolete? As AI becomes integrated more broadly and deeply into industrial and consumer products, it enters areas in which established regulatory regimes will need to be adapted to AI innovations or in some cases fundamentally reconfigured according to broadly accepted goals and principles. The approach in the United States to date has been sector-specific, with oversight by a variety of agencies. The use of AI in devices that deliver medical diagnostics and treatments is subject to aggressive regulation by the Food and Drug Administration (FDA), both in defining what the product is and specifying the methods by which it is produced, including standards of software engineering. The use of drones in regulated airspace falls under the authority of the Federal Aviation Administration (FAA).126 For consumer-facing AI systems, regulation by the Federal Trade Commission (FTC) comes into play. Financial markets using AI technologies, such as in high-frequency trading, come under regulation by the Security Exchange Commission (SEC). In addition to sector-specific approaches, the somewhat ambiguous and broad regulatory category of “critical infrastructure” may apply to AI applications.127 The Obama Administration’s Presidential Policy Directive (PPD) 21 broadly defines critical infrastructure as composed of “the assets, systems, and networks, whether physical or virtual, so vital to the United States that their incapacitation or destruction would have a debilitating effect on security, national economic security, national public health or safety, or any combination thereof.” Today, an enterprise does not come under federal regulation solely by falling under that broad definition. Instead, the general trend of federal policy is to seek regulation in sixteen sectors of the economy.128 As regards AI, critical infrastructure is notably defined by the end-user application, and not the technology or sector that actually produces AI software.

How does the Study Panel recommend addressing societal implications of AI technology? Do not make use of any external information or prior knowledge when answering the question. Only use the following text to formulate an answer. Make your answer between 300 and 500 words. AI POLICY, NOW AND IN THE FUTURE Throughout history, humans have both shaped and adapted to new technologies. This report anticipates that advances in AI technologies will be developed and fielded gradually—not in sudden, unexpected jumps in the techniques themselves—and will build on what exists today, making this adaptation easier. On the other hand, small improvements to techniques, computing power, or availability of data can occasionally lead to novel, game-changing applications. The measure of success for AI applications is the value they create for human lives. Going forward, the ease with which people use and adapt to AI applications will likewise largely determine their success. Conversely, since AI applications are susceptible to errors and failures, a mark of their success will be how users perceive and tolerate their shortcomings. As AI becomes increasingly embedded in daily lives and used for more critical tasks, system mistakes may lead to backlash from users and negatively affect their trust. Though accidents in a self-driving car may be less probable than those driven by humans, for example, they will attract more attention. Design strategies that enhance the ability of humans to understand AI systems and decisions (such as explicitly explaining those decisions), and to participate in their use, may help build trust and prevent drastic failures. Likewise, developers should help manage people’s expectations, which will affect their happiness and satisfaction with AI applications. Frustration in carrying out functions promised by a system diminishes people’s trust and reduces their willingness to use the system in the future. Another important consideration is how AI systems that take over certain tasks will affect people’s affordances and capabilities. As machines deliver super-human performances on some tasks, people’s ability to perform them may wither. Already, introducing calculators to classrooms has reduced children’s ability to do basic arithmetic operations. Still, humans and AI systems have complementary abilities. People are likely to focus on tasks that machines cannot do as well, including complex reasoning and creative expression. Already, children are increasingly exposed to AI applications, such as interacting with personal assistants on cell phones or with virtual agents in theme parks. Having early exposure will improve children’s interactions with AI applications, which will become a natural part of their daily lives. As a result, gaps will appear in how younger and older generations perceive AI’s influences on society. 43 Likewise, AI could widen existing inequalities of opportunity if access to AI technologies—along with the high-powered computation and large-scale data that fuel many of them—is unfairly distributed across society. These technologies will improve the abilities and efficiency of people who have access to them. A person with access to accurate Machine Translation technology will be better able to use learning resources available in different languages. Similarly, if speech translation technology is only available in English, people who do not speak English will be at a disadvantage. Further, AI applications and the data they rely upon may reflect the biases of their designers and users, who specify the data sources. This threatens to deepen existing social biases, and concentrate AI’s benefits unequally among different subgroups of society. For example, some speech recognition technologies do not work well for women and people with accents. As AI is increasingly used in critical applications, these biases may surface issues of fairness to diverse groups in society. On the other hand, compared to the well-documented biases in human decision-making, AI-based decision-making tools have the potential to significantly reduce the bias in critical decisions such as who is lent money or sent to jail. Privacy concerns about AI-enabled surveillance are also widespread, particularly in cities with pervasive instrumentation. Sousveillance, the recording of an activity by a participant, usually with portable personal devices, has increased as well. Since views about bias and privacy are based on personal and societal ethical and value judgments, the debates over how to address these concerns will likely grow and resist quick resolution. Similarly, since AI is generating significant wealth, debates will grow regarding how the economic fruits of AI technologies should be shared—especially as AI expertise and the underlying data sets that fuel applications are concentrated in a small number of large corporations. To help address these concerns about the individual and societal implications of rapidly evolving AI technologies, the Study Panel offers three general policy recommendations: 1. Define a path toward accruing technical expertise in AI at all levels of government. Effective governance requires more experts who understand and can analyze the interactions between AI technologies, programmatic objectives, and overall societal values. Absent sufficient technical expertise to assess safety or other metrics, national or local officials may refuse to permit a potentially promising application. Or insufficiently trained officials may simply take the word of industry technologists and green light a sensitive application that has not been adequately vetted. Without an understanding of how AI systems interact with human behavior and societal values, officials will be poorly positioned to evaluate the impact of AI on programmatic objectives. 2. Remove the perceived and actual impediments to research on the fairness, security, privacy, and social impacts of AI systems. Some interpretations of federal laws such as the Computer Fraud and Abuse Act and the anti-circumvention provision of the Digital Millennium Copyright Act are ambiguous regarding whether and how proprietary AI systems may be reverse engineered and evaluated by academics, journalists, and other researchers. Such research is critical if AI systems with physical and other material consequences are to be properly vetted and held accountable. 3. Increase public and private funding for interdisciplinary studies of the societal impacts of AI. As a society, we are underinvesting resources in research on the societal implications of AI technologies. Private and public dollars should be directed toward interdisciplinary 44 teams capable of analyzing AI from multiple angles. Research questions range from basic research into intelligence to methods to assess and affect the safety, privacy, fairness, and other impacts of AI. Questions include: Who is responsible when a self-driven car crashes or an intelligent medical device fails? How can AI applications be prevented from unlawful discrimination? Who should reap the gains of efficiencies enabled by AI technologies and what protections should be afforded to people whose skills are rendered obsolete? As AI becomes integrated more broadly and deeply into industrial and consumer products, it enters areas in which established regulatory regimes will need to be adapted to AI innovations or in some cases fundamentally reconfigured according to broadly accepted goals and principles. The approach in the United States to date has been sector-specific, with oversight by a variety of agencies. The use of AI in devices that deliver medical diagnostics and treatments is subject to aggressive regulation by the Food and Drug Administration (FDA), both in defining what the product is and specifying the methods by which it is produced, including standards of software engineering. The use of drones in regulated airspace falls under the authority of the Federal Aviation Administration (FAA).126 For consumer-facing AI systems, regulation by the Federal Trade Commission (FTC) comes into play. Financial markets using AI technologies, such as in high-frequency trading, come under regulation by the Security Exchange Commission (SEC). In addition to sector-specific approaches, the somewhat ambiguous and broad regulatory category of “critical infrastructure” may apply to AI applications.127 The Obama Administration’s Presidential Policy Directive (PPD) 21 broadly defines critical infrastructure as composed of “the assets, systems, and networks, whether physical or virtual, so vital to the United States that their incapacitation or destruction would have a debilitating effect on security, national economic security, national public health or safety, or any combination thereof.” Today, an enterprise does not come under federal regulation solely by falling under that broad definition. Instead, the general trend of federal policy is to seek regulation in sixteen sectors of the economy.128 As regards AI, critical infrastructure is notably defined by the end-user application, and not the technology or sector that actually produces AI software.

Only refer to the attached document in providing your response.

What are the health benefits of stretching?

Stretching: 9 Benefits Is stretching good for you? There are many benefits to regular stretching. Not only can stretching help increase your flexibility, which is an important factor of fitness, but it can also improve your posture, reduce stress and body aches, and more. 9 Benefits of stretching 1. Increases your flexibility Regular stretching can help increase your flexibility, which is crucial for your overall health. Not only can improved flexibility help you to perform everyday activities with relative ease, but it can also help delay the reduced mobility that can come with aging. 2. Increases your range of motion Being able to move a joint through its full range of motion gives you more freedom of movement. Stretching on a regular basis can help increase your range of motion. 3. Improves your performance in physical activities Performing dynamic stretches (moving stretches) prior to physical activities has been shown to help. It may also help improve your performance in an athletic event or exercise. 4. Increases blood flow to your muscles Performing stretches on a regular basis may improve your circulation. Improved circulation increases blood flow to your muscles, which can shorten your recovery time and reduce muscle soreness (also known as delayed onset muscle soreness or DOMS). 5. Improves your posture Muscle imbalances are common and can lead to poor posture. One source found that a combination of strengthening and stretching specific muscle groups can reduce musculoskeletal pain and encourage proper alignment. That, in turn, may help improve your posture. 6. Helps to heal and prevent back pain Tight muscles can lead to a decrease in your range of motion. When this happens, you increase the likelihood of straining the muscles in your back. Stretching can help heal an existing back injury by stretching the muscles. A regular stretching routine can also help prevent future back pain by strengthening your back muscles and reducing your risk for muscle strain. 7. Is great for stress relief When you’re experiencing stress, there’s a good chance your muscles are tense. That’s because your muscles tend to tighten up in response to physical and emotional stress. Focus on areas of your body where you tend to hold your stress, such as your neck, shoulders, and upper back. 8. Can calm your mind Participating in a regular stretching program not only helps increase your flexibility, but it can also calm your mind. While you stretch, focus on mindfulness and meditation exercises, which give your mind a mental break. 9. Helps decrease tension headaches Tension and stress headaches can interfere with your daily life. In addition to a proper diet, adequate hydration, and plenty of rest, stretching may help reduce the tension you feel from headaches.

Only refer to the attached document in providing your response. What are the health benefits of stretching? Stretching: 9 Benefits Is stretching good for you? There are many benefits to regular stretching. Not only can stretching help increase your flexibility, which is an important factor of fitness, but it can also improve your posture, reduce stress and body aches, and more. 9 Benefits of stretching 1. Increases your flexibility Regular stretching can help increase your flexibility, which is crucial for your overall health. Not only can improved flexibility help you to perform everyday activities with relative ease, but it can also help delay the reduced mobility that can come with aging. 2. Increases your range of motion Being able to move a joint through its full range of motion gives you more freedom of movement. Stretching on a regular basis can help increase your range of motion. 3. Improves your performance in physical activities Performing dynamic stretches (moving stretches) prior to physical activities has been shown to help. It may also help improve your performance in an athletic event or exercise. 4. Increases blood flow to your muscles Performing stretches on a regular basis may improve your circulation. Improved circulation increases blood flow to your muscles, which can shorten your recovery time and reduce muscle soreness (also known as delayed onset muscle soreness or DOMS). 5. Improves your posture Muscle imbalances are common and can lead to poor posture. One source found that a combination of strengthening and stretching specific muscle groups can reduce musculoskeletal pain and encourage proper alignment. That, in turn, may help improve your posture. 6. Helps to heal and prevent back pain Tight muscles can lead to a decrease in your range of motion. When this happens, you increase the likelihood of straining the muscles in your back. Stretching can help heal an existing back injury by stretching the muscles. A regular stretching routine can also help prevent future back pain by strengthening your back muscles and reducing your risk for muscle strain. 7. Is great for stress relief When you’re experiencing stress, there’s a good chance your muscles are tense. That’s because your muscles tend to tighten up in response to physical and emotional stress. Focus on areas of your body where you tend to hold your stress, such as your neck, shoulders, and upper back. 8. Can calm your mind Participating in a regular stretching program not only helps increase your flexibility, but it can also calm your mind. While you stretch, focus on mindfulness and meditation exercises, which give your mind a mental break. 9. Helps decrease tension headaches Tension and stress headaches can interfere with your daily life. In addition to a proper diet, adequate hydration, and plenty of rest, stretching may help reduce the tension you feel from headaches.

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Explain the benefits of using mobile technology to improve healthcare management in both hi-income and low-income countries. I especially want to know about how mobile interventions have impacted mortality rates and health behaviors. Also, include a comparison of the cost-effectiveness of these interventions.

Abstract Background Mobile technologies could be a powerful media for providing individual level support to health care consumers. We conducted a systematic review to assess the effectiveness of mobile technology interventions delivered to health care consumers. Methods and Findings We searched for all controlled trials of mobile technology-based health interventions delivered to health care consumers using MEDLINE, EMBASE, PsycINFO, Global Health, Web of Science, Cochrane Library, UK NHS HTA (Jan 1990–Sept 2010). Two authors extracted data on allocation concealment, allocation sequence, blinding, completeness of follow-up, and measures of effect. We calculated effect estimates and used random effects meta-analysis. We identified 75 trials. Fifty-nine trials investigated the use of mobile technologies to improve disease management and 26 trials investigated their use to change health behaviours. Nearly all trials were conducted in high-income countries. Four trials had a low risk of bias. Two trials of disease management had low risk of bias; in one, antiretroviral (ART) adherence, use of text messages reduced high viral load (>400 copies), with a relative risk (RR) of 0.85 (95% CI 0.72–0.99), but no statistically significant benefit on mortality (RR 0.79 [95% CI 0.47–1.32]). In a second, a PDA based intervention increased scores for perceived self care agency in lung transplant patients. Two trials of health behaviour management had low risk of bias. The pooled effect of text messaging smoking cessation support on biochemically verified smoking cessation was (RR 2.16 [95% CI 1.77–2.62]). Interventions for other conditions showed suggestive benefits in some cases, but the results were not consistent. No evidence of publication bias was demonstrated on visual or statistical examination of the funnel plots for either disease management or health behaviours. To address the limitation of the older search, we also reviewed more recent literature. Conclusions Text messaging interventions increased adherence to ART and smoking cessation and should be considered for inclusion in services. Although there is suggestive evidence of benefit in some other areas, high quality adequately powered trials of optimised interventions are required to evaluate effects on objective outcomes. Please see later in the article for the Editors' Summary Editors’ Summary Background Every year, millions of people die from cardiovascular diseases (diseases of the heart and circulation), chronic obstructive pulmonary disease (a long-term lung disease), lung cancer, HIV infection, and diabetes. These diseases are increasingly important causes of mortality (death) in low- and middle-income countries and are responsible for nearly 40% of deaths in high-income countries. For all these diseases, individuals can adopt healthy behaviors that help prevent disease onset. For example, people can lower their risk of diabetes and cardiovascular disease by maintaining a healthy body weight, and, if they are smokers, they can reduce their risk of lung cancer and cardiovascular disease by giving up cigarettes. In addition, optimal treatment of existing diseases can reduce mortality and morbidity (illness). Thus, in people who are infected with HIV, antiretroviral therapy delays the progression of HIV infection and the onset of AIDS, and in people who have diabetes, good blood sugar control can prevent retinopathy (a type of blindness) and other serious complications of diabetes. Why Was This Study Done? Health-care providers need effective ways to encourage "health-care consumers" to make healthy lifestyle choices and to self-manage chronic diseases. The amount of information, encouragement and support that can be conveyed to individuals during face-to-face consultations or through traditional media such as leaflets is limited, but mobile technologies such as mobile phones and portable computers have the potential to transform the delivery of health messages. These increasingly popular technologies—more than two-thirds of the world's population now owns a mobile phone—can be used to deliver health messages to people anywhere and at the most relevant times. For example, smokers trying to quit smoking can be sent regular text messages to sustain their motivation, but can also use text messaging to request extra support when it is needed. But is "mHealth," the provision of health-related services using mobile communication technology, an effective way to deliver health messages to health-care consumers? In this systematic review (a study that uses predefined criteria to identify all the research on a given topic), the researchers assess the effectiveness of mobile technology-based health behavior change interventions and disease management interventions delivered to health-care consumers. What Did the Researchers Do and Find? The researchers identified 75 controlled trials (studies that compare the outcomes of people who do and do not receive an intervention) of mobile technology-based health interventions delivered to health-care consumers that met their predefined criteria. Twenty-six trials investigated the use of mobile technologies to change health behaviors, 59 investigated their use in disease management, most were of low quality, and nearly all were undertaken in high-income countries. In one high-quality trial that used text messages to improve adherence to antiretroviral therapy among HIV-positive patients in Kenya, the intervention significantly reduced the patients’ viral load but did not significantly reduce mortality (the observed reduction in deaths may have happened by chance). In two high-quality UK trials, a smoking intervention based on text messaging (txt2stop) more than doubled biochemically verified smoking cessation. Other lower-quality trials indicated that using text messages to encourage physical activity improved diabetes control but had no effect on body weight. Combined diet and physical activity text messaging interventions also had no effect on weight, whereas interventions for other conditions showed suggestive benefits in some but not all cases. What Do These Findings Mean? These findings provide mixed evidence for the effectiveness of health intervention delivery to health-care consumers using mobile technologies. Moreover, they highlight the need for additional high-quality controlled trials of this mHealth application, particularly in low- and middle-income countries. Specifically, the demonstration that text messaging interventions increased adherence to antiretroviral therapy in a low-income setting and increased smoking cessation in a high-income setting provides some support for the inclusion of these two interventions in health-care services in similar settings. However, the effects of these two interventions need to be established in other settings and their cost-effectiveness needs to be measured before they are widely implemented. Finally, for other mobile technology–based interventions designed to change health behaviors or to improve self-management of chronic diseases, the results of this systematic review suggest that the interventions need to be optimized before further trials are undertaken to establish their clinical benefits.

"================ <TEXT PASSAGE> ======= Abstract Background Mobile technologies could be a powerful media for providing individual level support to health care consumers. We conducted a systematic review to assess the effectiveness of mobile technology interventions delivered to health care consumers. Methods and Findings We searched for all controlled trials of mobile technology-based health interventions delivered to health care consumers using MEDLINE, EMBASE, PsycINFO, Global Health, Web of Science, Cochrane Library, UK NHS HTA (Jan 1990–Sept 2010). Two authors extracted data on allocation concealment, allocation sequence, blinding, completeness of follow-up, and measures of effect. We calculated effect estimates and used random effects meta-analysis. We identified 75 trials. Fifty-nine trials investigated the use of mobile technologies to improve disease management and 26 trials investigated their use to change health behaviours. Nearly all trials were conducted in high-income countries. Four trials had a low risk of bias. Two trials of disease management had low risk of bias; in one, antiretroviral (ART) adherence, use of text messages reduced high viral load (>400 copies), with a relative risk (RR) of 0.85 (95% CI 0.72–0.99), but no statistically significant benefit on mortality (RR 0.79 [95% CI 0.47–1.32]). In a second, a PDA based intervention increased scores for perceived self care agency in lung transplant patients. Two trials of health behaviour management had low risk of bias. The pooled effect of text messaging smoking cessation support on biochemically verified smoking cessation was (RR 2.16 [95% CI 1.77–2.62]). Interventions for other conditions showed suggestive benefits in some cases, but the results were not consistent. No evidence of publication bias was demonstrated on visual or statistical examination of the funnel plots for either disease management or health behaviours. To address the limitation of the older search, we also reviewed more recent literature. Conclusions Text messaging interventions increased adherence to ART and smoking cessation and should be considered for inclusion in services. Although there is suggestive evidence of benefit in some other areas, high quality adequately powered trials of optimised interventions are required to evaluate effects on objective outcomes. Please see later in the article for the Editors' Summary Editors’ Summary Background Every year, millions of people die from cardiovascular diseases (diseases of the heart and circulation), chronic obstructive pulmonary disease (a long-term lung disease), lung cancer, HIV infection, and diabetes. These diseases are increasingly important causes of mortality (death) in low- and middle-income countries and are responsible for nearly 40% of deaths in high-income countries. For all these diseases, individuals can adopt healthy behaviors that help prevent disease onset. For example, people can lower their risk of diabetes and cardiovascular disease by maintaining a healthy body weight, and, if they are smokers, they can reduce their risk of lung cancer and cardiovascular disease by giving up cigarettes. In addition, optimal treatment of existing diseases can reduce mortality and morbidity (illness). Thus, in people who are infected with HIV, antiretroviral therapy delays the progression of HIV infection and the onset of AIDS, and in people who have diabetes, good blood sugar control can prevent retinopathy (a type of blindness) and other serious complications of diabetes. Why Was This Study Done? Health-care providers need effective ways to encourage "health-care consumers" to make healthy lifestyle choices and to self-manage chronic diseases. The amount of information, encouragement and support that can be conveyed to individuals during face-to-face consultations or through traditional media such as leaflets is limited, but mobile technologies such as mobile phones and portable computers have the potential to transform the delivery of health messages. These increasingly popular technologies—more than two-thirds of the world's population now owns a mobile phone—can be used to deliver health messages to people anywhere and at the most relevant times. For example, smokers trying to quit smoking can be sent regular text messages to sustain their motivation, but can also use text messaging to request extra support when it is needed. But is "mHealth," the provision of health-related services using mobile communication technology, an effective way to deliver health messages to health-care consumers? In this systematic review (a study that uses predefined criteria to identify all the research on a given topic), the researchers assess the effectiveness of mobile technology-based health behavior change interventions and disease management interventions delivered to health-care consumers. What Did the Researchers Do and Find? The researchers identified 75 controlled trials (studies that compare the outcomes of people who do and do not receive an intervention) of mobile technology-based health interventions delivered to health-care consumers that met their predefined criteria. Twenty-six trials investigated the use of mobile technologies to change health behaviors, 59 investigated their use in disease management, most were of low quality, and nearly all were undertaken in high-income countries. In one high-quality trial that used text messages to improve adherence to antiretroviral therapy among HIV-positive patients in Kenya, the intervention significantly reduced the patients’ viral load but did not significantly reduce mortality (the observed reduction in deaths may have happened by chance). In two high-quality UK trials, a smoking intervention based on text messaging (txt2stop) more than doubled biochemically verified smoking cessation. Other lower-quality trials indicated that using text messages to encourage physical activity improved diabetes control but had no effect on body weight. Combined diet and physical activity text messaging interventions also had no effect on weight, whereas interventions for other conditions showed suggestive benefits in some but not all cases. What Do These Findings Mean? These findings provide mixed evidence for the effectiveness of health intervention delivery to health-care consumers using mobile technologies. Moreover, they highlight the need for additional high-quality controlled trials of this mHealth application, particularly in low- and middle-income countries. Specifically, the demonstration that text messaging interventions increased adherence to antiretroviral therapy in a low-income setting and increased smoking cessation in a high-income setting provides some support for the inclusion of these two interventions in health-care services in similar settings. However, the effects of these two interventions need to be established in other settings and their cost-effectiveness needs to be measured before they are widely implemented. Finally, for other mobile technology–based interventions designed to change health behaviors or to improve self-management of chronic diseases, the results of this systematic review suggest that the interventions need to be optimized before further trials are undertaken to establish their clinical benefits. https://journals.plos.org/plosmedicine/article?id=10.1371/journal.pmed.1001362 ================ <QUESTION> ======= Explain the benefits of using mobile technology to improve healthcare management in both hi-income and low-income countries. I especially want to know about how mobile interventions have impacted mortality rates and health behaviors. Also, include a comparison of the cost-effectiveness of these interventions. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Your answer must exclusively be derived from the content block, no internal knowledge or external sources are permissible. Your answer should aim to be under 100 words, if it has to be more than 100 words, you must use at least 150.

What are the main features of Ether?

Cryptocurrencies may be used to facilitate transactions and may be held as speculative investments. Since 2009, when Satoshi Nakamoto launched the first cryptocurrency blockchain, thousands of cryptocurrencies and different classes of other digital assets have emerged. This section provides a non-exhaustive survey of various cryptocurrencies and some representative features. Cryptocurrencies The term cryptocurrency generally refers to blockchain-based digital currencies maintained on decentralized networks. For the purposes of this report, cryptocurrencies refers to a type of digital asset. Stablecoins (see “Stablecoins” below) are a subset of cryptocurrency. Non-fungible tokens and digital (or metaverse) real estate are other types of digital assets. They use similar technology but are beyond the scope of this report. Other terms used synonymously with cryptocurrency are crypto asset and tokens, among others. The term cryptocurrencies and citation of broad market capitalization often include stablecoins (see “Stablecoins”), which have their own distinct set of properties—most notably that they try to maintain a peg to some underlying asset. The two most prevalent cryptocurrencies are Bitcoin and Ether, which combined represent around 61% of the entire crypto market.27 The cryptocurrency market, which consists of between 13,000 and 20,000 cryptocurrencies, according to industry tracking websites, has been characterized by near constant and rapid price increases and price decreases.28 Most recently, after experiencing exponential growth from 2020 to a record high of nearly $3 trillion in November 2021, the market capitalization fell to less than $800 billion in November 2022. Bitcoin fell from nearly $69,000 to a two-year low of below $16,000 during this time.29 This trend has been referred to as crypto winter. A host of cryptocurrency project and company failures in summer and fall 2022, including the collapse of FTX, perhaps the most notable to date, were caused—and exacerbated—by this broader market downturn.30 As of the time of this report, the total crypto market capitalization is around $1 trillion.31 Bitcoin Bitcoin was the first cryptocurrency to gain widespread adoption. Bitcoin runs on a public blockchain, secured by cryptography, and uses the proof of work consensus mechanism described above to validate transactions. It also exhibits unique characteristics. For example, the mining and hashing and use of Bitcoin block rewards creates a relationship intended to keep block mining (approval) times roughly stable.32 The hashing complexity is intended to ensure block approval rates of 10 minutes.33 If the number of miners or the computing capacity being used increases— perhaps because the Bitcoin block reward induces more miners to compete or deploy more advanced equipment—thus mining blocks faster than 10 minutes (on average), the proof difficulty increases. Alternatively, if the network and its participants mine blocks at a slower rate (perhaps because the number of miners falls), the proof of work difficulty falls, ensuring that the number of active miners is capable of meeting the 10-minute goal.34 The effort required of the proof of work favors miners with greater computational power requiring significant amounts of energy.35 Other notable and interrelated Bitcoin features include transactions fees, a hard cap on the number of Bitcoin, and block reward halving. The limit on block approval rates means that transactions are slow compared to traditional payment systems.36 Network participants can pay transaction fees to incentivize miners to process their transactions more quickly. Although the block reward (which is hard-coded into the design) is still the primary form of compensation, transaction fees are expected to grow as block rewards shrink.37 For approximately every 210,000 blocks, the system “halves” the block reward miners receive for validating transactions. Halving occurs roughly every four years.38 The original block reward was 50 Bitcoin. As of 2022, after three halvings, miners are rewarded 6.25 for each block mined.39 Finally, the number of Bitcoin created is capped at 21 million, when creation of new Bitcoin is to cease.40 Ethereum Ether is the cryptocurrency native to the Ethereum blockchain, which claims to “build on Bitcoin, with some big differences.”41 In an assessment of Bitcoin, Vitalik Buterin—Ethereum’s founder—described Bitcoin as having a “weak version of a concept of ‘smart’ contracts.”42 Smart contracts are programs or software that can self-execute when various participants meet some predetermined set of criteria. Ethereum thus set out to create an “alternative protocol for building decentralized applications … allowing anyone to write smart contracts and decentralized applications where they can create their own arbitrary rules for ownership, transaction formats and state transition functions.”43 In cryptocurrency and decentralized finance (see “Decentralized Finance (DeFi)” below), smart contracts are often used to facilitate trades between users without an intermediary. Ethereum shares some similarities with Bitcoin, including pseudonymity, immutability, decentralization, and broadly speaking its basic functions as a unit of account and medium of exchange, among others. However, there are some important differences. Because of the enhanced programmability offered, the Ethereum network has become a favorite foundation for cryptocurrency projects that require a certain level of flexibility afforded by smart contracts, including the creation of additional tokens and the implementation of broader decentralized finance, or DeFi, projects.44 Bitcoin has only ever been mineable—developed from nothing and with no initial allotment or pre-sale of coins to participants—and has a hard cap of 21 million Bitcoin. This is not the case with Ether. Ether pre-sold a majority of the initially created cryptocurrency (83.5% at the time) in a pre-mine in 2014 and set aside the remainder for accrued expenses and a post-sale reserve.45 As Ether became mineable and network mining activities created more Ether, the share of pre-mined crypto (those that were purchased prior to the network going live) fell as a percentage of the total outstanding. While there is no hard cap on the amount of Ether that may ever enter the system, the network recently implemented various upgrades that sought to both limit the creation of new Ether and reduce existing supply.46 The first of the two changes implemented in the “London upgrade” affected Ether supply. As a result of this upgrade, the network burns—or removes from circulation—a certain amount of Ether from the supply with each transaction.47 In addition, the recent and more momentous upgrade, called “the Merge,” drastically reduced the network block reward.48 Therefore, new Ether supply increases at a much slower pace than before the Merge.49 The Merge was arguably one of the biggest things to happen to the Ethereum network since its inception. The Merge shifted the network from proof of work to a proof of stake consensus protocol.50 Ethereum, like Bitcoin, was initiated using proof of work but with the ambition from its origins of shifting consensus protocols.51 Proof of stake is an alternative method for securing a blockchain that proponents believe is less energy intensive.52 Proof of work requires miners to compete with each other to solve computationally intensive, cryptographically secured puzzles, which prioritize network nodes with computation power. In proof of stake, by contrast, any validating node that “stakes,” or deposits, at least 32 Ether enters a pool of potential validators that may be randomly selected to submit the next block.53 The network can seize validator-staked Ether for malicious activity or other offenses. Ethereum’s founder claimed that the shift would reduce the Ethereum network’s power consumption and emissions by greater than 99% and reduce global energy consumption by 0.2%.54 Stablecoins55 Cryptocurrencies such as Bitcoin and Ether fluctuate in value based on market supply and demand. By contrast, stablecoins are digital assets “designed to maintain a stable value relative to a national currency or other reference assets.”56 For example, the Tether stablecoin is tied to the U.S. dollar and set equal in value to $1.57 Total market capitalization for stablecoins is more than $140 billion.58 One primary use of stablecoins is trading of other cryptocurrencies. According to an industry data source, nearly 75% of trading on all crypto platforms is between stablecoins and other tokens.59 Proponents often point to stablecoins’ relative stability as an advantage for their use in payments. However, despite their name, stablecoins do not always maintain their stable value. While stablecoins typically attempt to maintain a peg to a fiat currency, issuers may attempt to achieve this goal in different ways. Certain stablecoins attempt to achieve this peg by holding “reserve assets.”60 Others may use algorithms or smart contracts to manage the supply of tokens and guide their value to various reference assets.61

System Instructions: [Your answer must exclusively be derived from the content block, no internal knowledge or external sources are permissible. Your answer should aim to be under 100 words, if it has to be more than 100 words, you must use at least 150.] Question: [What are the main features of Ether?] Context Block: [Cryptocurrencies may be used to facilitate transactions and may be held as speculative investments. Since 2009, when Satoshi Nakamoto launched the first cryptocurrency blockchain, thousands of cryptocurrencies and different classes of other digital assets have emerged. This section provides a non-exhaustive survey of various cryptocurrencies and some representative features. Cryptocurrencies The term cryptocurrency generally refers to blockchain-based digital currencies maintained on decentralized networks. For the purposes of this report, cryptocurrencies refers to a type of digital asset. Stablecoins (see “Stablecoins” below) are a subset of cryptocurrency. Non-fungible tokens and digital (or metaverse) real estate are other types of digital assets. They use similar technology but are beyond the scope of this report. Other terms used synonymously with cryptocurrency are crypto asset and tokens, among others. The term cryptocurrencies and citation of broad market capitalization often include stablecoins (see “Stablecoins”), which have their own distinct set of properties—most notably that they try to maintain a peg to some underlying asset. The two most prevalent cryptocurrencies are Bitcoin and Ether, which combined represent around 61% of the entire crypto market.27 The cryptocurrency market, which consists of between 13,000 and 20,000 cryptocurrencies, according to industry tracking websites, has been characterized by near constant and rapid price increases and price decreases.28 Most recently, after experiencing exponential growth from 2020 to a record high of nearly $3 trillion in November 2021, the market capitalization fell to less than $800 billion in November 2022. Bitcoin fell from nearly $69,000 to a two-year low of below $16,000 during this time.29 This trend has been referred to as crypto winter. A host of cryptocurrency project and company failures in summer and fall 2022, including the collapse of FTX, perhaps the most notable to date, were caused—and exacerbated—by this broader market downturn.30 As of the time of this report, the total crypto market capitalization is around $1 trillion.31 Bitcoin Bitcoin was the first cryptocurrency to gain widespread adoption. Bitcoin runs on a public blockchain, secured by cryptography, and uses the proof of work consensus mechanism described above to validate transactions. It also exhibits unique characteristics. For example, the mining and hashing and use of Bitcoin block rewards creates a relationship intended to keep block mining (approval) times roughly stable.32 The hashing complexity is intended to ensure block approval rates of 10 minutes.33 If the number of miners or the computing capacity being used increases— perhaps because the Bitcoin block reward induces more miners to compete or deploy more advanced equipment—thus mining blocks faster than 10 minutes (on average), the proof difficulty increases. Alternatively, if the network and its participants mine blocks at a slower rate (perhaps because the number of miners falls), the proof of work difficulty falls, ensuring that the number of active miners is capable of meeting the 10-minute goal.34 The effort required of the proof of work favors miners with greater computational power requiring significant amounts of energy.35 Other notable and interrelated Bitcoin features include transactions fees, a hard cap on the number of Bitcoin, and block reward halving. The limit on block approval rates means that transactions are slow compared to traditional payment systems.36 Network participants can pay transaction fees to incentivize miners to process their transactions more quickly. Although the block reward (which is hard-coded into the design) is still the primary form of compensation, transaction fees are expected to grow as block rewards shrink.37 For approximately every 210,000 blocks, the system “halves” the block reward miners receive for validating transactions. Halving occurs roughly every four years.38 The original block reward was 50 Bitcoin. As of 2022, after three halvings, miners are rewarded 6.25 for each block mined.39 Finally, the number of Bitcoin created is capped at 21 million, when creation of new Bitcoin is to cease.40 Ethereum Ether is the cryptocurrency native to the Ethereum blockchain, which claims to “build on Bitcoin, with some big differences.”41 In an assessment of Bitcoin, Vitalik Buterin—Ethereum’s founder—described Bitcoin as having a “weak version of a concept of ‘smart’ contracts.”42 Smart contracts are programs or software that can self-execute when various participants meet some predetermined set of criteria. Ethereum thus set out to create an “alternative protocol for building decentralized applications … allowing anyone to write smart contracts and decentralized applications where they can create their own arbitrary rules for ownership, transaction formats and state transition functions.”43 In cryptocurrency and decentralized finance (see “Decentralized Finance (DeFi)” below), smart contracts are often used to facilitate trades between users without an intermediary. Ethereum shares some similarities with Bitcoin, including pseudonymity, immutability, decentralization, and broadly speaking its basic functions as a unit of account and medium of exchange, among others. However, there are some important differences. Because of the enhanced programmability offered, the Ethereum network has become a favorite foundation for cryptocurrency projects that require a certain level of flexibility afforded by smart contracts, including the creation of additional tokens and the implementation of broader decentralized finance, or DeFi, projects.44 Bitcoin has only ever been mineable—developed from nothing and with no initial allotment or pre-sale of coins to participants—and has a hard cap of 21 million Bitcoin. This is not the case with Ether. Ether pre-sold a majority of the initially created cryptocurrency (83.5% at the time) in a pre-mine in 2014 and set aside the remainder for accrued expenses and a post-sale reserve.45 As Ether became mineable and network mining activities created more Ether, the share of pre-mined crypto (those that were purchased prior to the network going live) fell as a percentage of the total outstanding. While there is no hard cap on the amount of Ether that may ever enter the system, the network recently implemented various upgrades that sought to both limit the creation of new Ether and reduce existing supply.46 The first of the two changes implemented in the “London upgrade” affected Ether supply. As a result of this upgrade, the network burns—or removes from circulation—a certain amount of Ether from the supply with each transaction.47 In addition, the recent and more momentous upgrade, called “the Merge,” drastically reduced the network block reward.48 Therefore, new Ether supply increases at a much slower pace than before the Merge.49 The Merge was arguably one of the biggest things to happen to the Ethereum network since its inception. The Merge shifted the network from proof of work to a proof of stake consensus protocol.50 Ethereum, like Bitcoin, was initiated using proof of work but with the ambition from its origins of shifting consensus protocols.51 Proof of stake is an alternative method for securing a blockchain that proponents believe is less energy intensive.52 Proof of work requires miners to compete with each other to solve computationally intensive, cryptographically secured puzzles, which prioritize network nodes with computation power. In proof of stake, by contrast, any validating node that “stakes,” or deposits, at least 32 Ether enters a pool of potential validators that may be randomly selected to submit the next block.53 The network can seize validator-staked Ether for malicious activity or other offenses. Ethereum’s founder claimed that the shift would reduce the Ethereum network’s power consumption and emissions by greater than 99% and reduce global energy consumption by 0.2%.54 Stablecoins55 Cryptocurrencies such as Bitcoin and Ether fluctuate in value based on market supply and demand. By contrast, stablecoins are digital assets “designed to maintain a stable value relative to a national currency or other reference assets.”56 For example, the Tether stablecoin is tied to the U.S. dollar and set equal in value to $1.57 Total market capitalization for stablecoins is more than $140 billion.58 One primary use of stablecoins is trading of other cryptocurrencies. According to an industry data source, nearly 75% of trading on all crypto platforms is between stablecoins and other tokens.59 Proponents often point to stablecoins’ relative stability as an advantage for their use in payments. However, despite their name, stablecoins do not always maintain their stable value. While stablecoins typically attempt to maintain a peg to a fiat currency, issuers may attempt to achieve this goal in different ways. Certain stablecoins attempt to achieve this peg by holding “reserve assets.”60 Others may use algorithms or smart contracts to manage the supply of tokens and guide their value to various reference assets.61]

Use the provided context to answer the question. Do not rely on information external to the document. Do not hallucinate any information outside the document.

Explain the bills described in the following context in detail. Connect the information so that a layman can understand, but do not omit any aspect of the laws.

Bills in the 116th Congress Legislation Commissioning Agency Analyses In January 2019, the House passed three bills that would commission studies concerning the use of virtual currencies for illicit purposes. H.R. 56, the Financial Technology Protection Act, would establish an Independent Financial Technology Task Force to Combat Terrorism and Illicit Financing (Task Force) led by the Treasury Secretary.98 The bill would direct the Task Force to (1) “conduct independent research on terrorist and illicit use of new financial technologies, including digital currencies,” and (2) “develop legislative and regulatory proposals to improve counter-terrorist and counter-illicit financing efforts.” 99 H.R. 56 would further require the Task Force to annually report its findings to Congress.100 The bill would also establish two programs to incentivize members of the public to assist the federal government’s efforts to combat the illicit use of virtual currencies. First, the bill would direct the Treasury Secretary to establish a reward of up to $450,000 for persons who “provide[] information leading to the conviction of an individual involved with terrorist use of digital currencies.” 101 Second, the bill would direct the Treasury Secretary to create a grant program “for the development of tools and programs to detect terrorist and illicit use of digital currencies.”102 After passing the House in January 2019, H.R. 56 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. A second bill, H.R. 428, the Homeland Security Assessment of Terrorists’ Use of Virtual Currencies Act, would similarly commission an analysis of the use of virtual currencies by terrorists. 103 Specifically, H.R. 428 would direct the Under Secretary of Homeland Security for Intelligence and Analysis to conduct a “threat assessment” analyzing “the actual and potential threat posed by individuals using virtual currency to carry out activities in furtherance of an act of terrorism, including the provision of material support or resources to a foreign terrorist organization.” 104 After passing the House in January 2019, H.R. 428 was referred to the Senate Committee on Homeland Security and Governmental Affairs. Finally, H.R. 502, the Fight Illicit Networks and Detect Trafficking Act (the FIND Trafficking Act), would direct the Government Accountability Office (GAO) to conduct a study “on how virtual currencies and online marketplaces are used to facilitate sex and drug trafficking.” 105 The bill would require GAO to provide Congress with a report summarizing the results of the study, together with any recommendations for legislative or regulatory action that would assist the federal government in combatting the use of virtual currencies to facilitate sex and drug trafficking.106 After passing the House in January 2019, H.R. 56 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. H.R. 1414, FinCEN Improvement Act of 2019 In March 2019, the House passed H.R. 1414, the FinCEN Improvement Act of 2019.107 The bill would, among other things, clarify that FinCEN’s statutory power to coordinate with foreign financial intelligence units on antiterrorism and AML initiatives108 “includ[es] matters involving emerging technologies or value that substitutes for currency.” 109 After passing the House in March 2019, H.R. 1414 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. H.R. 528, Blockchain Regulatory Certainty Act In January 2019, H.R. 528, the Blockchain Regulatory Certainty Act, was introduced in the House of Representatives. 110 The bill would create a safe harbor from federal and state money transmitter licensing and registration requirements for certain blockchain developers. Specifically, the bill would provide that noncontrolling “blockchain developers” and providers of a “blockchain service” shall not be treated as “money transmitters,” MSBs, “or any other State or Federal legal designation[s] requiring licensing or registration as a condition to acting as a blockchain developer or provider of a blockchain service.” 111 A blockchain developer or provider of a blockchain service would qualify as a noncontrolling developer or provider as long as it does not have control over users’ digital currency in the regular course of business.112 Some commentators have argued that such a safe harbor is necessary to provide legal certainty to actors in the virtual currency space, including persons who contribute code to virtual currency platforms or develop blockchain-related software but do not take custody of others’ virtual currency. 113 However, another commentator has noted that it is “debat[able]” whether federal registration requirements apply to such persons. 114 H.R. 528 was referred to the House Committee on Financial Services and the House Committee on the Judiciary in January 2019.

SYSTEM INSTRUCTION: Use the provided context to answer the question. Do not rely on information external to the document. Do not hallucinate any information outside the document. CONTEXT: Bills in the 116th Congress Legislation Commissioning Agency Analyses In January 2019, the House passed three bills that would commission studies concerning the use of virtual currencies for illicit purposes. H.R. 56, the Financial Technology Protection Act, would establish an Independent Financial Technology Task Force to Combat Terrorism and Illicit Financing (Task Force) led by the Treasury Secretary.98 The bill would direct the Task Force to (1) “conduct independent research on terrorist and illicit use of new financial technologies, including digital currencies,” and (2) “develop legislative and regulatory proposals to improve counter-terrorist and counter-illicit financing efforts.” 99 H.R. 56 would further require the Task Force to annually report its findings to Congress.100 The bill would also establish two programs to incentivize members of the public to assist the federal government’s efforts to combat the illicit use of virtual currencies. First, the bill would direct the Treasury Secretary to establish a reward of up to $450,000 for persons who “provide[] information leading to the conviction of an individual involved with terrorist use of digital currencies.” 101 Second, the bill would direct the Treasury Secretary to create a grant program “for the development of tools and programs to detect terrorist and illicit use of digital currencies.”102 After passing the House in January 2019, H.R. 56 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. A second bill, H.R. 428, the Homeland Security Assessment of Terrorists’ Use of Virtual Currencies Act, would similarly commission an analysis of the use of virtual currencies by terrorists. 103 Specifically, H.R. 428 would direct the Under Secretary of Homeland Security for Intelligence and Analysis to conduct a “threat assessment” analyzing “the actual and potential threat posed by individuals using virtual currency to carry out activities in furtherance of an act of terrorism, including the provision of material support or resources to a foreign terrorist organization.” 104 After passing the House in January 2019, H.R. 428 was referred to the Senate Committee on Homeland Security and Governmental Affairs. Finally, H.R. 502, the Fight Illicit Networks and Detect Trafficking Act (the FIND Trafficking Act), would direct the Government Accountability Office (GAO) to conduct a study “on how virtual currencies and online marketplaces are used to facilitate sex and drug trafficking.” 105 The bill would require GAO to provide Congress with a report summarizing the results of the study, together with any recommendations for legislative or regulatory action that would assist the federal government in combatting the use of virtual currencies to facilitate sex and drug trafficking.106 After passing the House in January 2019, H.R. 56 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. H.R. 1414, FinCEN Improvement Act of 2019 In March 2019, the House passed H.R. 1414, the FinCEN Improvement Act of 2019.107 The bill would, among other things, clarify that FinCEN’s statutory power to coordinate with foreign financial intelligence units on antiterrorism and AML initiatives108 “includ[es] matters involving emerging technologies or value that substitutes for currency.” 109 After passing the House in March 2019, H.R. 1414 was referred to the Senate Committee on Banking, Housing, and Urban Affairs. H.R. 528, Blockchain Regulatory Certainty Act In January 2019, H.R. 528, the Blockchain Regulatory Certainty Act, was introduced in the House of Representatives. 110 The bill would create a safe harbor from federal and state money transmitter licensing and registration requirements for certain blockchain developers. Specifically, the bill would provide that noncontrolling “blockchain developers” and providers of a “blockchain service” shall not be treated as “money transmitters,” MSBs, “or any other State or Federal legal designation[s] requiring licensing or registration as a condition to acting as a blockchain developer or provider of a blockchain service.” 111 A blockchain developer or provider of a blockchain service would qualify as a noncontrolling developer or provider as long as it does not have control over users’ digital currency in the regular course of business.112 Some commentators have argued that such a safe harbor is necessary to provide legal certainty to actors in the virtual currency space, including persons who contribute code to virtual currency platforms or develop blockchain-related software but do not take custody of others’ virtual currency. 113 However, another commentator has noted that it is “debat[able]” whether federal registration requirements apply to such persons. 114 H.R. 528 was referred to the House Committee on Financial Services and the House Committee on the Judiciary in January 2019. Question: Explain the bills described in the following context in detail. Connect the information so that a layman can understand, but do not omit any aspect of the laws.

[question] [user request] ===================== [text] [context document] ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

What are the two most prevalent bacteria that cause neonatal meningitis? What are features of NMEC that allow for the bacteria to cause disease? What sequence type is associated with neonatal meningitis? Finally, what does O18:K1:H7 mean? Can you answer these questions in 500 words or less?

Neonatal meningitis (NM) is a devastating disease with a mortality rate of 10–15% and severe neurological sequelae including hearing loss, reduced motor skills, and impaired development in 30–50% of cases (Doctor et al., 2001; Stevens et al., 2003; Harvey et al., 1999). The incidence of disease is highest in low-income countries and occurs at a rate of 0.1–6.1/1000 live births (Harvey et al., 1999). Escherichia coli is the second most common cause of NM in full-term infants (herein NMEC), after group B Streptococcus (GBS) (Ouchenir et al., 2017; Gaschignard et al., 2011), and the most common cause of meningitis in preterm neonates (Gaschignard et al., 2011; Basmaci et al., 2015). Together, these two pathogens cause ~60% of all cases, with on average one case of NMEC for every two cases of GBS (May et al., 2005; Holt et al., 2001). In several countries, NM incidence caused by GBS has declined due to maternal intrapartum antibiotic prophylaxis; however, NM incidence caused by E. coli remains the same (May et al., 2005; van der Flier, 2021). Moreover, NMEC is a significant cause of relapsed infections in neonates (Anderson and Gilbert, 1990). NMEC are categorised genetically based on multi-locus sequence type (ST) or by serotyping based on cell-surface O antigen (O), capsule (K), and flagella (H) antigens. Analysis of NMEC diversity in France revealed ~25% of isolates belong to the ST95 clonal complex (STc95) (Geslain et al., 2019), however, a global picture of NMEC epidemiology is lacking. NMEC possess a limited diversity of serotypes, dominated by O18:K1:H7, O1:K1, O7:K1, O16:K1, O83:K1, and O45:K1:H7, which together account for >70% of NMEC (Sarff et al., 1975; Plainvert et al., 2007; Bidet et al., 2007; Johnson et al., 2002). Notably, ~80% of NMEC express the K1 capsule, a polysaccharide comprising linear homopolymers of α2–8-linked N-acetyl neuraminic acid (Sarff et al., 1975; Robbins et al., 1974). Apart from the K1 capsule, specific NMEC virulence factors are less-well defined, though studies have demonstrated a role for S fimbriae (Prasadarao et al., 1993), the outer membrane protein OmpA (Prasadarao et al., 1996), the endothelial invasin IbeA (Huang et al., 2001), and the cytotoxin necrotising factor CNF1 (Wang and Kim, 2013) in translocation of NMEC across the blood–brain barrier and pathogenesis. A large plasmid encoding colicin V (ColV), colicin Ia bacteriocins, and several virulence genes including iron-chelating siderophore systems has also been strongly associated with NMEC virulence (Peigne et al., 2009). Despite being the second major NM aetiology, genomic studies on NMEC are lacking, with most reporting single NMEC complete genomes. Here, we present the genomic analyses of a collection of 58 NMEC isolates obtained from seven different geographic regions over 46 years to understand virulence gene content, antibiotic resistance, and genomic diversity. In addition, we provide a complete genome for 18 NMEC isolates representing different STs, serotypes, and virulence gene profiles, thus more than tripling the number of available NMEC genomes that can be used as references in future studies. Three infants in our study suffered recrudescent invasive NMEC infection, and we show this was caused by the same isolate. We further revealed that patients that suffered recrudescent invasive infection had severe gut dysbiosis, and detected the infecting isolate in the intestinal microflora, suggesting NMEC colonisation of the gut provides a reservoir that can seed repeat infection.

[question] What are the two most prevalent bacteria that cause neonatal meningitis? What are features of NMEC that allow for the bacteria to cause disease? What sequence type is associated with neonatal meningitis? Finally, what does O18:K1:H7 mean? Can you answer these questions in 500 words or less? ===================== [text] Neonatal meningitis (NM) is a devastating disease with a mortality rate of 10–15% and severe neurological sequelae including hearing loss, reduced motor skills, and impaired development in 30–50% of cases (Doctor et al., 2001; Stevens et al., 2003; Harvey et al., 1999). The incidence of disease is highest in low-income countries and occurs at a rate of 0.1–6.1/1000 live births (Harvey et al., 1999). Escherichia coli is the second most common cause of NM in full-term infants (herein NMEC), after group B Streptococcus (GBS) (Ouchenir et al., 2017; Gaschignard et al., 2011), and the most common cause of meningitis in preterm neonates (Gaschignard et al., 2011; Basmaci et al., 2015). Together, these two pathogens cause ~60% of all cases, with on average one case of NMEC for every two cases of GBS (May et al., 2005; Holt et al., 2001). In several countries, NM incidence caused by GBS has declined due to maternal intrapartum antibiotic prophylaxis; however, NM incidence caused by E. coli remains the same (May et al., 2005; van der Flier, 2021). Moreover, NMEC is a significant cause of relapsed infections in neonates (Anderson and Gilbert, 1990). NMEC are categorised genetically based on multi-locus sequence type (ST) or by serotyping based on cell-surface O antigen (O), capsule (K), and flagella (H) antigens. Analysis of NMEC diversity in France revealed ~25% of isolates belong to the ST95 clonal complex (STc95) (Geslain et al., 2019), however, a global picture of NMEC epidemiology is lacking. NMEC possess a limited diversity of serotypes, dominated by O18:K1:H7, O1:K1, O7:K1, O16:K1, O83:K1, and O45:K1:H7, which together account for >70% of NMEC (Sarff et al., 1975; Plainvert et al., 2007; Bidet et al., 2007; Johnson et al., 2002). Notably, ~80% of NMEC express the K1 capsule, a polysaccharide comprising linear homopolymers of α2–8-linked N-acetyl neuraminic acid (Sarff et al., 1975; Robbins et al., 1974). Apart from the K1 capsule, specific NMEC virulence factors are less-well defined, though studies have demonstrated a role for S fimbriae (Prasadarao et al., 1993), the outer membrane protein OmpA (Prasadarao et al., 1996), the endothelial invasin IbeA (Huang et al., 2001), and the cytotoxin necrotising factor CNF1 (Wang and Kim, 2013) in translocation of NMEC across the blood–brain barrier and pathogenesis. A large plasmid encoding colicin V (ColV), colicin Ia bacteriocins, and several virulence genes including iron-chelating siderophore systems has also been strongly associated with NMEC virulence (Peigne et al., 2009). Despite being the second major NM aetiology, genomic studies on NMEC are lacking, with most reporting single NMEC complete genomes. Here, we present the genomic analyses of a collection of 58 NMEC isolates obtained from seven different geographic regions over 46 years to understand virulence gene content, antibiotic resistance, and genomic diversity. In addition, we provide a complete genome for 18 NMEC isolates representing different STs, serotypes, and virulence gene profiles, thus more than tripling the number of available NMEC genomes that can be used as references in future studies. Three infants in our study suffered recrudescent invasive NMEC infection, and we show this was caused by the same isolate. We further revealed that patients that suffered recrudescent invasive infection had severe gut dysbiosis, and detected the infecting isolate in the intestinal microflora, suggesting NMEC colonisation of the gut provides a reservoir that can seed repeat infection. https://elifesciences.org/articles/91853 ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

How are the current generation of consoles comparing to PCs in terms of raw graphical performance? I want to play games like Cyberpunk and stuff like that, and really value high-quality visuals like ray-tracing and high FPS. Also, how do PC and consoles differ in terms of game availability? And what kind of price point would I be looking at for a solid PC that could keep up with the consoles?

Gaming PC vs. Console: Which Should You Buy in 2024? Ease of Use Let’s get the most obvious point out of the way: a game console is much, much easier to use than a gaming PC. Modern game consoles are a bit more complex than their predecessors, and users do need to know a bit about HDR, resolution, and refresh rate for the best experience. But PC gamers need to know all that, and more. Drivers, BIOS updates, hardware compatibility, software conflicts, Windows Updates...the list goes on. A PC also requires more patience when installing and launching a game. Launching a game on Xbox, PlayStation 5, or Switch usually takes mere seconds. The Xbox Series X|S and PlayStation 5 even have “quick resume” features that let you pick up precisely where you left off without reloading the game (so long as you haven’t played another in the meantime). This is an easy win for consoles. They provide the quickest, simplest path to launching and playing a game. Though some handheld gaming PCs do a decent job as well. Winner: Console Affordability Affordability is another clear win for consoles. It’s possible to buy a gaming PC for the price of an Xbox Series X or PlayStation 5, but you’ll end up with an outdated graphics card that can’t handle games designed for modern game consoles. Gamers that can’t quite afford the Xbox Series X or Playstation 5 will find fine alternatives in the Xbox Series S and Nintendo Switch. PCs sold at prices comparable to entry-level consoles, on the other hand, usually lack a graphics card. They’ll struggle even in games that are five years old, or older. Affordable PC gaming is possible. Handheld gaming PCs like the Steam Deck and AMD Ryzen-based mini-PCs like the Beelink SER6 MAX are surprisingly capable for their size and price. Still, they’re best when playing indie games with 2D graphics or cross-platform titles from the Xbox One / PlayStation 4 era (or older)—and they’re certainly not comparable to a Xbox Series X|S or PlayStation 5. Winner: Console Overall Value Game consoles are less expensive than a gaming PC, but that doesn’t mean they’re a better value. A console is built to handle specific tasks—gaming and media streaming. A PC is as much a tool as an entertainment device and can be used for everything from web browsing to video editing and software development. That’s relevant. Many people who own a game console will also want a computer, so it’s not fair to compare the total cost of a gaming PC against the price of a game console. It’s more sensible to compare the extra cash you paid to purchase a gaming PC (instead of a more barebones computer) against the price of the game console. PC gamers looking for a good mid-range, off-the-shelf desktop or gaming laptop with performance comparable to an Xbox Series X or PlayStation 5 will need to spend $1,500 to $2,000 (depending on whether you’re fine with an basic desktop from Dell or HP, or want something from a boutique like Origin PC or Digital Storm). DIY gamers can build a console-slaying desktop for under $1,500 with an AMD Ryzen 5600X processor and a solid budget GPU, like a Radeon RX 7800 XT graphics card. That’s still a lot of money. But if you need a solid PC for other demanding tasks, you’ll need to budget around $1,000 to buy it, which makes the price difference between the PC and console less extreme. And while new gaming PCs are expensive, many popular PC games aren’t demanding and don’t require expensive hardware. Games like Counter-Strike 2, DOTA 2, Team Fortress 2, Grand Theft Auto V, War Thunder, and Tom Clancy’s Rainbow Six Siege regularly top Steam’s charts. All of these games are playable even on PCs with an ancient video card like the Nvidia GTX 1060 or AMD Radeon RX 570. Winner: Tie Game Library Differences The game library available to modern game consoles is remarkable. Most games are now cross-platform, so the PlayStation 5, Xbox Series X|S, and Nintendo Switch share many titles. The PlayStation 5 and Xbox Series X|S are backwards-compatible with many previous-gen titles, too, which boosts the game library of each console into the thousands. Compared to a gaming PC, however, those numbers look absolutely adorable. The game library available to a modern gaming PC is a mystery, because there’s too many to count. An estimate of over 100,000 titles is safe: over 12,000 games were released to Steam in 2022 alone. A PC can also emulate the game library of most older titles and, in some cases, even modern games—a PC is arguably the best way to enjoy The Legend of Zelda: Tears of the Kingdom, if you can get it working (and buy a copy of the game, as emulating the game without buying it is piracy). A PC is the way to go if you want access to the largest game library on the face of the planet. Winner: PC Performance and Visuals In June of 2019 I found a chair in Los Angeles' Peacock Theater and let Microsoft’s Xbox press conference wash over me. It was an exciting year, as hype was brewing for Sony and Microsoft’s respective next-gen consoles. And that hype included a now long-forgotten promise: 8K resolution at up to 120 frames per second. It wasn’t exactly a lie: the PlayStation 5 and Xbox Series X can technically output a 8K signal, and also output 120 frames per second. But it was marketing bullshit. The most graphically demanding games are lucky to upscale to 4K at a framerate of 60 FPS, with many titles including a 30 FPS “graphics” or “visuals” mode. PC gaming is a different world. 60 FPS is considered the bare minimum for an optimal experience, and a framerate of 120 FPS or greater is preferable. 8K gaming isn’t really a thing even on the PC (though technically possible, I suppose, if you have a rare 8K television), but a native resolution beyond at and beyond 4K is possible. The Samsung Neo G9 57-inch super-ultrawide, which supports a native resolution of 7,680 x 2,160, is arguably the most extreme gaming display available right now—and gaming at its native resolution is only possible on a PC. Console titles also tend to use a lower quality preset than what’s available on PC. The details vary from game to game, with some better optimized than others. Generally speaking, however, most games available on the PlayStation 5 or Xbox Series X|S have visuals similar to the “Medium” or “High” preset in the PC release. Ray-tracing is another win for the PC. The PlayStation 5 and Xbox Series X|S can handle ray-tracing (a feature heavily marketed in the run-up to their release), but game support is underwhelming. Even some big “next-gen” exclusives, like Starfield, fail to include it. Cross-platform titles that support ray-tracing, like Cyberpunk 2077, usually stick to a level of quality that’s a notch or two below the maximum available on PC. It’s not all good news for the PC. Nvidia’s habit of stiffing gamers on video memory is catching up to cards with less than 16GB of video memory—the amount supported by the PlayStation 5 and Xbox Series X. Optimization problems can also cause problems in some PC ports. And, of course, achieving the best possible PC gaming experience can prove extremely expensive. Still, the fact remains that PC gaming beats console gaming on both performance (as measured by framerate) and visual quality. This gap will only increase in the coming years as the current console generation ages relative to new PC graphics cards. Winner: PC

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== How are the current generation of consoles comparing to PCs in terms of raw graphical performance? I want to play games like Cyberpunk and stuff like that, and really value high-quality visuals like ray-tracing and high FPS. Also, how do PC and consoles differ in terms of game availability? And what kind of price point would I be looking at for a solid PC that could keep up with the consoles? {passage 0} ========== Gaming PC vs. Console: Which Should You Buy in 2024? Ease of Use Let’s get the most obvious point out of the way: a game console is much, much easier to use than a gaming PC. Modern game consoles are a bit more complex than their predecessors, and users do need to know a bit about HDR, resolution, and refresh rate for the best experience. But PC gamers need to know all that, and more. Drivers, BIOS updates, hardware compatibility, software conflicts, Windows Updates...the list goes on. A PC also requires more patience when installing and launching a game. Launching a game on Xbox, PlayStation 5, or Switch usually takes mere seconds. The Xbox Series X|S and PlayStation 5 even have “quick resume” features that let you pick up precisely where you left off without reloading the game (so long as you haven’t played another in the meantime). This is an easy win for consoles. They provide the quickest, simplest path to launching and playing a game. Though some handheld gaming PCs do a decent job as well. Winner: Console Affordability Affordability is another clear win for consoles. It’s possible to buy a gaming PC for the price of an Xbox Series X or PlayStation 5, but you’ll end up with an outdated graphics card that can’t handle games designed for modern game consoles. Gamers that can’t quite afford the Xbox Series X or Playstation 5 will find fine alternatives in the Xbox Series S and Nintendo Switch. PCs sold at prices comparable to entry-level consoles, on the other hand, usually lack a graphics card. They’ll struggle even in games that are five years old, or older. Affordable PC gaming is possible. Handheld gaming PCs like the Steam Deck and AMD Ryzen-based mini-PCs like the Beelink SER6 MAX are surprisingly capable for their size and price. Still, they’re best when playing indie games with 2D graphics or cross-platform titles from the Xbox One / PlayStation 4 era (or older)—and they’re certainly not comparable to a Xbox Series X|S or PlayStation 5. Winner: Console Overall Value Game consoles are less expensive than a gaming PC, but that doesn’t mean they’re a better value. A console is built to handle specific tasks—gaming and media streaming. A PC is as much a tool as an entertainment device and can be used for everything from web browsing to video editing and software development. That’s relevant. Many people who own a game console will also want a computer, so it’s not fair to compare the total cost of a gaming PC against the price of a game console. It’s more sensible to compare the extra cash you paid to purchase a gaming PC (instead of a more barebones computer) against the price of the game console. PC gamers looking for a good mid-range, off-the-shelf desktop or gaming laptop with performance comparable to an Xbox Series X or PlayStation 5 will need to spend $1,500 to $2,000 (depending on whether you’re fine with an basic desktop from Dell or HP, or want something from a boutique like Origin PC or Digital Storm). DIY gamers can build a console-slaying desktop for under $1,500 with an AMD Ryzen 5600X processor and a solid budget GPU, like a Radeon RX 7800 XT graphics card. That’s still a lot of money. But if you need a solid PC for other demanding tasks, you’ll need to budget around $1,000 to buy it, which makes the price difference between the PC and console less extreme. And while new gaming PCs are expensive, many popular PC games aren’t demanding and don’t require expensive hardware. Games like Counter-Strike 2, DOTA 2, Team Fortress 2, Grand Theft Auto V, War Thunder, and Tom Clancy’s Rainbow Six Siege regularly top Steam’s charts. All of these games are playable even on PCs with an ancient video card like the Nvidia GTX 1060 or AMD Radeon RX 570. Winner: Tie Game Library Differences The game library available to modern game consoles is remarkable. Most games are now cross-platform, so the PlayStation 5, Xbox Series X|S, and Nintendo Switch share many titles. The PlayStation 5 and Xbox Series X|S are backwards-compatible with many previous-gen titles, too, which boosts the game library of each console into the thousands. Compared to a gaming PC, however, those numbers look absolutely adorable. The game library available to a modern gaming PC is a mystery, because there’s too many to count. An estimate of over 100,000 titles is safe: over 12,000 games were released to Steam in 2022 alone. A PC can also emulate the game library of most older titles and, in some cases, even modern games—a PC is arguably the best way to enjoy The Legend of Zelda: Tears of the Kingdom, if you can get it working (and buy a copy of the game, as emulating the game without buying it is piracy). A PC is the way to go if you want access to the largest game library on the face of the planet. Winner: PC Performance and Visuals In June of 2019 I found a chair in Los Angeles' Peacock Theater and let Microsoft’s Xbox press conference wash over me. It was an exciting year, as hype was brewing for Sony and Microsoft’s respective next-gen consoles. And that hype included a now long-forgotten promise: 8K resolution at up to 120 frames per second. It wasn’t exactly a lie: the PlayStation 5 and Xbox Series X can technically output a 8K signal, and also output 120 frames per second. But it was marketing bullshit. The most graphically demanding games are lucky to upscale to 4K at a framerate of 60 FPS, with many titles including a 30 FPS “graphics” or “visuals” mode. PC gaming is a different world. 60 FPS is considered the bare minimum for an optimal experience, and a framerate of 120 FPS or greater is preferable. 8K gaming isn’t really a thing even on the PC (though technically possible, I suppose, if you have a rare 8K television), but a native resolution beyond at and beyond 4K is possible. The Samsung Neo G9 57-inch super-ultrawide, which supports a native resolution of 7,680 x 2,160, is arguably the most extreme gaming display available right now—and gaming at its native resolution is only possible on a PC. Console titles also tend to use a lower quality preset than what’s available on PC. The details vary from game to game, with some better optimized than others. Generally speaking, however, most games available on the PlayStation 5 or Xbox Series X|S have visuals similar to the “Medium” or “High” preset in the PC release. Ray-tracing is another win for the PC. The PlayStation 5 and Xbox Series X|S can handle ray-tracing (a feature heavily marketed in the run-up to their release), but game support is underwhelming. Even some big “next-gen” exclusives, like Starfield, fail to include it. Cross-platform titles that support ray-tracing, like Cyberpunk 2077, usually stick to a level of quality that’s a notch or two below the maximum available on PC. It’s not all good news for the PC. Nvidia’s habit of stiffing gamers on video memory is catching up to cards with less than 16GB of video memory—the amount supported by the PlayStation 5 and Xbox Series X. Optimization problems can also cause problems in some PC ports. And, of course, achieving the best possible PC gaming experience can prove extremely expensive. Still, the fact remains that PC gaming beats console gaming on both performance (as measured by framerate) and visual quality. This gap will only increase in the coming years as the current console generation ages relative to new PC graphics cards. Winner: PC https://www.ign.com/articles/gaming-pc-vs-console-differences

Answer any questions using only information from the provided text. Do not use outside or prior knowledge. Additionally, ensure all responses are concise (50-100 words) and factual.

What's the main source of income for theme parks?

Introduction Revenue management is a collection of techniques that focus on maximising revenues, and has been credited for income improvement in several segments of the hospitality industry (Cross, 1997). In many service industries, capacity of supply is often fixed while demand is volatile. Therefore, it is challenging for service companies to achieve a balance between supply and demand (Peng, Xiao & Li, 2012). Theme parks are characterised by high capital investment, high operational fixed costs and, to some extent, high operational variable cost. Additionally, demand for the theme park product varies according to time of the year, day of the week and time of the day. Thus, the industry has the potential of benefiting from the adoption of creative revenue management strategies. 144 Revenue Management for Hospitality and Tourism To achieve success with revenue management techniques, firms must be willing to constantly reconsider their product offering, their pricing structures, and their general business processes (Cross, 1997). In the U.S. hospitality and tourism industry, revenue management began in the airline industry following the 1978 deregulation, and then spread to lodging and other industry sectors. However, to date, many theme parks have not fully utilised the benefits of revenue management (Berman, 2005), even though there are opportunities to apply this strategy in the industry (Heo & Lee, 2009). „ The global theme park industry Theme parks are a relatively new concept of tourist attraction and often attempt to create a fantasy atmosphere of another place and time. Theming is reflected through architecture, landscaping, costumed personnel, rides, shows, food services, merchandising and other environmental attributes that impact the guest’s experience (Milman, 2010). Disneyland’s opening in 1955 in Anaheim, California is often referred to by both scholars and industry experts as the genesis of the theme park industry (Price, 1999). Walt Disney wanted his park to stress cleanliness, to have a single point of entry, and to contain numerous themed sections around which all attractions, entertainment and retail activities were coordinated. Much emphasis was placed on isolating the outside world from the fantasy world presented in the parks and to provide an environment where families could be entertained together (Price, 1999). Other theme park attributes referred to in the literature include: the pay-oneprice admission fee, annual attendance revenue in excess of US$ one million, corporate ownership, specific design traits such as elaborate landscaping, architecture that entertains, as well as a mix of activities that includes large-scale rides, retail opportunities and live entertainment (Kyriazi, 1976; Lyon, 1987; Carlson & Popelka, 1988; Adams, 1991; Gottdiener, 1997; Williams, 1998). While the contemporary theme park industry was originally introduced in North America, in recent decades, the theme park industry has expanded globally. In 2011, over 196 million people visited the top 25 worldwide parks, a 3.8 percent increase over the 2010 figure (TEA/ AECOM, 2012). While the economic, social and political impact of these entertainment complexes is sometimes overlooked, it is interesting to note that in 2011 the number of visitors to the world’s top 25 theme parks was slightly higher than the number of international tourists that visited Spain, China, Italy, and the United Kingdom combined (World Tourism Organisation, 2012). 145 10 Theme Parks Revenue Management „ Sources of income in the theme park industry Revenues for the theme park industry are generated from a variety of sources, but primarily from the admission price. Admission price represents between 49 to 60 percent of overall theme park revenues (Vogel, 2010; Mintel, 2011). The number of guest admissions also represents the volume from which other sources of revenue are derived like food and beverage, merchandise and games. Guest spending on food and beverage accounts for approximately 14 to 17 percent of theme park revenues; merchandise sales (souvenirs, sundries, etc.) accounts for 6 to 10 percent of revenues (Vogel, 2010; Mintel, 2011) and guest spending on games accounts for another 4 percent of the total revenues (Vogel, 2010). Parking fees, concession charges, and sponsorship funds from external advertisers make up the remainder of the revenue sources for a typical theme park (First Research, 2012) (Figure 10.1)

What's the main source of income for theme parks? Answer any questions using only information from the provided text. Do not use outside or prior knowledge. Additionally, ensure all responses are concise (50-100 words) and factual. Introduction Revenue management is a collection of techniques that focus on maximising revenues, and has been credited for income improvement in several segments of the hospitality industry (Cross, 1997). In many service industries, capacity of supply is often fixed while demand is volatile. Therefore, it is challenging for service companies to achieve a balance between supply and demand (Peng, Xiao & Li, 2012). Theme parks are characterised by high capital investment, high operational fixed costs and, to some extent, high operational variable cost. Additionally, demand for the theme park product varies according to time of the year, day of the week and time of the day. Thus, the industry has the potential of benefiting from the adoption of creative revenue management strategies. 144 Revenue Management for Hospitality and Tourism To achieve success with revenue management techniques, firms must be willing to constantly reconsider their product offering, their pricing structures, and their general business processes (Cross, 1997). In the U.S. hospitality and tourism industry, revenue management began in the airline industry following the 1978 deregulation, and then spread to lodging and other industry sectors. However, to date, many theme parks have not fully utilised the benefits of revenue management (Berman, 2005), even though there are opportunities to apply this strategy in the industry (Heo & Lee, 2009). „ The global theme park industry Theme parks are a relatively new concept of tourist attraction and often attempt to create a fantasy atmosphere of another place and time. Theming is reflected through architecture, landscaping, costumed personnel, rides, shows, food services, merchandising and other environmental attributes that impact the guest’s experience (Milman, 2010). Disneyland’s opening in 1955 in Anaheim, California is often referred to by both scholars and industry experts as the genesis of the theme park industry (Price, 1999). Walt Disney wanted his park to stress cleanliness, to have a single point of entry, and to contain numerous themed sections around which all attractions, entertainment and retail activities were coordinated. Much emphasis was placed on isolating the outside world from the fantasy world presented in the parks and to provide an environment where families could be entertained together (Price, 1999). Other theme park attributes referred to in the literature include: the pay-oneprice admission fee, annual attendance revenue in excess of US$ one million, corporate ownership, specific design traits such as elaborate landscaping, architecture that entertains, as well as a mix of activities that includes large-scale rides, retail opportunities and live entertainment (Kyriazi, 1976; Lyon, 1987; Carlson & Popelka, 1988; Adams, 1991; Gottdiener, 1997; Williams, 1998). While the contemporary theme park industry was originally introduced in North America, in recent decades, the theme park industry has expanded globally. In 2011, over 196 million people visited the top 25 worldwide parks, a 3.8 percent increase over the 2010 figure (TEA/ AECOM, 2012). While the economic, social and political impact of these entertainment complexes is sometimes overlooked, it is interesting to note that in 2011 the number of visitors to the world’s top 25 theme parks was slightly higher than the number of international tourists that visited Spain, China, Italy, and the United Kingdom combined (World Tourism Organisation, 2012). 145 10 Theme Parks Revenue Management „ Sources of income in the theme park industry Revenues for the theme park industry are generated from a variety of sources, but primarily from the admission price. Admission price represents between 49 to 60 percent of overall theme park revenues (Vogel, 2010; Mintel, 2011). The number of guest admissions also represents the volume from which other sources of revenue are derived like food and beverage, merchandise and games. Guest spending on food and beverage accounts for approximately 14 to 17 percent of theme park revenues; merchandise sales (souvenirs, sundries, etc.) accounts for 6 to 10 percent of revenues (Vogel, 2010; Mintel, 2011) and guest spending on games accounts for another 4 percent of the total revenues (Vogel, 2010). Parking fees, concession charges, and sponsorship funds from external advertisers make up the remainder of the revenue sources for a typical theme park (First Research, 2012) (Figure 10.1)

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

If someone quits their job or is fired, what steps must they take to apply for Employment Insurance (EI) benefits, and how does Service Canada assess whether they qualify? Discuss what constitutes 'just cause' for quitting, how Service Canada determines misconduct for fired employees, and any recourse individuals have if Service Canada disqualifies their El claim. Include specific details from the application process, such as the importance of the Record of Employment (ROE) and the timeline for applying. Provide your response in 5-7 sentences.

Do I need my Record of Employment? It is easier to apply for EI if you have your Record of Employment (ROE). You will need an ROE for every employer you worked for in the past 12 months. If your employer sends your ROE to the government online: ● they do not have to give you a copy, and ● you do not need a copy to apply for EI. But you can get a copy from Service Canada if you want one. You need a My Service Canada account to see your ROE online. Access your account or set one up at servicecanada.ca. It is easier to apply for EI with your ROE. But you should apply for EI right away, even if you do not have your ROE yet. You will need proof of your employment, such as pay stubs and T4 slips. Employment Insurance | 5 If you do not apply within 4 weeks after your employment ends, you will probably get fewer EI payments. If you are having problems getting your ROE, call the Employment Insurance Telephone Information Service at 1-800-206-7218. For TTY, call 1-800-529-3742. CLEO has a tool that creates a letter you can send to your employer asking for your ROE. Go to stepstojustice.ca/ asking-for-roe. ❚❚❚ Can I get EI if I quit my job? If you quit your job, you will not qualify for regular EI benefits unless you had “just cause”. This means that you had to quit because you had no other reasonable choice. If you do not return to work when you are called back after a layoff, Service Canada sees this as quitting your job. If you have a problem at work, it helps to show that you tried to fix it. If the problem is so serious that it cannot be fixed, you might qualify for EI if you quit. But you might want to start looking for another job before you quit. Keep a record of your job search. What if I had just cause for quitting? If you can prove that you had just cause for quitting your job, you can get EI. There are many situations that could be just cause for quitting. Here are some examples. 6 | cleo.on.ca You were discriminated against for one of the following reasons: ● your race, colour, national or ethnic origin, or religion ● your sexual orientation or your sex, which includes discrimination because of pregnancy or childbirth ● your marital status or family status ● your disability or age ● you were convicted of a crime but have a pardon or record suspension ● you belong to a union Your employer or supervisor: ● refused to pay you for overtime work, or forced you to work too much overtime ● was unfair or hostile to you for no good reason ● was doing something that was against the law ● pressured you to leave your job Or you quit your job because your employer: ● expected you to work in dangerous conditions ● cut your wages significantly or made major changes to your duties Even if one of the examples applies to you, that might not be enough to be just cause. And there could be other reasons for leaving that Service Canada will see as just cause. It is best to get legal advice before you quit your job for any reason. See page 27 to find out where to get legal help. Employment Insurance | 7 ❚❚❚ Can I get EI if I was fired? It depends on why you were fired. If Service Canada says you were fired because of “misconduct”, they will not give you benefits. Misconduct usually means doing something wrong on purpose. Misconduct is more than not being able to do the job well. Here are some examples that could be misconduct: ● threatening someone or being violent ● destroying company property on purpose ● being away from work without permission ● not obeying an order from your employer It is often unclear if what a worker does is misconduct. Service Canada decides if you were fired for misconduct, not your employer. So you should apply, even if you were fired. ❚❚❚ If I quit or was fired, what happens when I apply for EI? When you apply, you have to answer questions on a special form if you quit or were fired. If you quit, you have to say: ● why you quit ● if you tried to fix the problem at work before you left ● if you tried to get other work before you quit 8 | cleo.on.ca If you were fired, you have to say: ● why you were fired ● if your employer gave you any warnings ● if you tried to fix the problem Once you have filled in the form, Service Canada may interview you. They may also contact your employer. Then they decide if you quit without having just cause or were fired for misconduct. Being disqualified Service Canada could decide that you: ● quit without having just cause, or ● were fired for misconduct. If this happens, they will tell you in a letter that you cannot get regular EI benefits. This is called being “disqualified”. The letter will also tell you that you have the right to ask them to reconsider their decision. This means asking them to review and change their decision. You must ask for this in writing within 30 days of finding out about Service Canada’s decision. For more information, see page 25. Even if you cannot get regular EI benefits, you might still be able to get the special benefits that are listed

"================ <TEXT PASSAGE> ======= Do I need my Record of Employment? It is easier to apply for EI if you have your Record of Employment (ROE). You will need an ROE for every employer you worked for in the past 12 months. If your employer sends your ROE to the government online: ● they do not have to give you a copy, and ● you do not need a copy to apply for EI. But you can get a copy from Service Canada if you want one. You need a My Service Canada account to see your ROE online. Access your account or set one up at servicecanada.ca. It is easier to apply for EI with your ROE. But you should apply for EI right away, even if you do not have your ROE yet. You will need proof of your employment, such as pay stubs and T4 slips. Employment Insurance | 5 If you do not apply within 4 weeks after your employment ends, you will probably get fewer EI payments. If you are having problems getting your ROE, call the Employment Insurance Telephone Information Service at 1-800-206-7218. For TTY, call 1-800-529-3742. CLEO has a tool that creates a letter you can send to your employer asking for your ROE. Go to stepstojustice.ca/ asking-for-roe. ❚❚❚ Can I get EI if I quit my job? If you quit your job, you will not qualify for regular EI benefits unless you had “just cause”. This means that you had to quit because you had no other reasonable choice. If you do not return to work when you are called back after a layoff, Service Canada sees this as quitting your job. If you have a problem at work, it helps to show that you tried to fix it. If the problem is so serious that it cannot be fixed, you might qualify for EI if you quit. But you might want to start looking for another job before you quit. Keep a record of your job search. What if I had just cause for quitting? If you can prove that you had just cause for quitting your job, you can get EI. There are many situations that could be just cause for quitting. Here are some examples. 6 | cleo.on.ca You were discriminated against for one of the following reasons: ● your race, colour, national or ethnic origin, or religion ● your sexual orientation or your sex, which includes discrimination because of pregnancy or childbirth ● your marital status or family status ● your disability or age ● you were convicted of a crime but have a pardon or record suspension ● you belong to a union Your employer or supervisor: ● refused to pay you for overtime work, or forced you to work too much overtime ● was unfair or hostile to you for no good reason ● was doing something that was against the law ● pressured you to leave your job Or you quit your job because your employer: ● expected you to work in dangerous conditions ● cut your wages significantly or made major changes to your duties Even if one of the examples applies to you, that might not be enough to be just cause. And there could be other reasons for leaving that Service Canada will see as just cause. It is best to get legal advice before you quit your job for any reason. See page 27 to find out where to get legal help. Employment Insurance | 7 ❚❚❚ Can I get EI if I was fired? It depends on why you were fired. If Service Canada says you were fired because of “misconduct”, they will not give you benefits. Misconduct usually means doing something wrong on purpose. Misconduct is more than not being able to do the job well. Here are some examples that could be misconduct: ● threatening someone or being violent ● destroying company property on purpose ● being away from work without permission ● not obeying an order from your employer It is often unclear if what a worker does is misconduct. Service Canada decides if you were fired for misconduct, not your employer. So you should apply, even if you were fired. ❚❚❚ If I quit or was fired, what happens when I apply for EI? When you apply, you have to answer questions on a special form if you quit or were fired. If you quit, you have to say: ● why you quit ● if you tried to fix the problem at work before you left ● if you tried to get other work before you quit 8 | cleo.on.ca If you were fired, you have to say: ● why you were fired ● if your employer gave you any warnings ● if you tried to fix the problem Once you have filled in the form, Service Canada may interview you. They may also contact your employer. Then they decide if you quit without having just cause or were fired for misconduct. Being disqualified Service Canada could decide that you: ● quit without having just cause, or ● were fired for misconduct. If this happens, they will tell you in a letter that you cannot get regular EI benefits. This is called being “disqualified”. The letter will also tell you that you have the right to ask them to reconsider their decision. This means asking them to review and change their decision. You must ask for this in writing within 30 days of finding out about Service Canada’s decision. For more information, see page 25. Even if you cannot get regular EI benefits, you might still be able to get the special benefits that are listed https://www.cleo.on.ca/wp-content/uploads/empins.pdf ================ <QUESTION> ======= If someone quits their job or is fired, what steps must they take to apply for Employment Insurance (EI) benefits, and how does Service Canada assess whether they qualify? Discuss what constitutes 'just cause' for quitting, how Service Canada determines misconduct for fired employees, and any recourse individuals have if Service Canada disqualifies their El claim. Include specific details from the application process, such as the importance of the Record of Employment (ROE) and the timeline for applying. Provide your response in 5-7 sentences. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

My brother and sister in law are considering moving to the west coast and im worried about potential health issues due to wildfires. List health issues associated with wildfire smoke and two ways to prevent them, but don't mention anything about the air quality index

What is the Air Quality Index? The United States Environmental Protection Agency (EPA) established an Air Quality Index (AQI) to measure air pollutants. A higher AQI, with color codes and corresponding numbers (ranging from 0 to 500), means a greater health concern. (Local AQI information is available on various apps and websites, including www.airnow.gov.) Particle pollution, also known as particulate matter (or PM), is a type of air pollutant made up of tiny particles of solids or liquids suspended in the air. It’s one of the main components of wildfire smoke, which is a mix of gases and fine particles from burning vegetation, as well as building and other materials. Particulate matter includes PM10, inhalable particles that are 10 micrometers and smaller in diameter, and PM2.5, inhalable particles with diameters of 2.5 micrometers and smaller. PM2.5 poses a greater health risk than PM10 because the particles are so small (30 times smaller than the diameter of a human hair) and can get deep into the lungs and bloodstream. Although air pollution is not good for anyone, certain groups are more sensitive to it than others, including those with heart or lung disease , older adults, infants and children, and pregnant women. As the AQI levels increase, the risk of health effects increases, especially among these more sensitive groups. “The advice to limit strenuous activities is because when your respiratory rate is higher, you inhale more particulates,” says Dr. Redlich. When the AQI is 201 and higher, everyone should be concerned about health risks and limit physical activity outdoors as much as possible, she adds. For context, with the recent wildfires in Canada, the PM2.5 AQI climbed above 400 for a brief period in New York City in early June. Why is particulate matter dangerous? PM2.5 particles are so tiny that they get through the usual defense mechanisms of the upper airway and can penetrate deep into the lungs, where they can impair lung function, cause illnesses, such as bronchitis, and increase asthma attacks . The particles can also pass into the bloodstream and travel to other organs, where they can cause damage. In addition to respiratory problems, PM2.5 exposure has been linked to an increased risk of heart attack , stroke , lung cancer , and a decline in cognitive function. “The health effects extend beyond respiratory issues and include the cardiovascular system,” Dr. Redlich says. “There is more extensive literature on particulate air pollution, in general, than forest fires specifically, but the indication is that wildfires have similar health effects. And there has been an explosion in research and understanding that even relatively low levels of air pollution can impact your lungs and heart, especially if you have asthma, chronic obstructive pulmonary disease [COPD] , or cardiac disease.” The reason particle pollution has such systemic effects, Dr. Redlich explains, is that when you inhale these tiny particles, “they get everywhere through the bloodstream and trigger inflammatory pathways, which can exacerbate a number of underlying cardiac and respiratory conditions.” Does a mask protect against wildfire smoke? The best type of mask to wear for protection against wildfire smoke is a well-fitted N95 or P100 respirator with two straps that go around your head. The “95” and “100” refer to the percentage of particles filtered out by the mask. They are not specially made for children. “A surgical mask probably does some good, but the N95 or even a KN95 is better,” Dr. Redlich says. “KN95s may be easier to find and may come in sizes that fit children better.” The EPA provides a one-sheet with information on how to choose the right mask for wildfire smoke. Is staying inside always best when the outdoor air quality is poor? When the air quality is poor, the general advice is to go inside, shut the windows, and use an air conditioner (with a clean filter and the fresh-air intake closed). But, not every home has air conditioning or can be tightly sealed to keep the bad air out, Dr. Redlich explains. “It’s not as though you go inside and the level drops to zero. Yes, going inside is usually a good idea, but you can also store poor air quality levels—or even air pollutants—in your home,” she says. “Plus, you can generate air pollutants inside by cooking, smoking cigarettes, and burning candles.” These, Dr. Redlich says, are all things we have control over and can be avoided or mitigated with steps like using a vent over your kitchen stove. Another step people can take to improve particulate air quality or reduce particulate air pollution in their homes is to use a portable air purifier with a HEPA (high efficiency particulate air) filter. The air purifier should be sized appropriately for the size of the room.

"================ <TEXT PASSAGE> ======= What is the Air Quality Index? The United States Environmental Protection Agency (EPA) established an Air Quality Index (AQI) to measure air pollutants. A higher AQI, with color codes and corresponding numbers (ranging from 0 to 500), means a greater health concern. (Local AQI information is available on various apps and websites, including www.airnow.gov.) Particle pollution, also known as particulate matter (or PM), is a type of air pollutant made up of tiny particles of solids or liquids suspended in the air. It’s one of the main components of wildfire smoke, which is a mix of gases and fine particles from burning vegetation, as well as building and other materials. Particulate matter includes PM10, inhalable particles that are 10 micrometers and smaller in diameter, and PM2.5, inhalable particles with diameters of 2.5 micrometers and smaller. PM2.5 poses a greater health risk than PM10 because the particles are so small (30 times smaller than the diameter of a human hair) and can get deep into the lungs and bloodstream. Although air pollution is not good for anyone, certain groups are more sensitive to it than others, including those with heart or lung disease , older adults, infants and children, and pregnant women. As the AQI levels increase, the risk of health effects increases, especially among these more sensitive groups. “The advice to limit strenuous activities is because when your respiratory rate is higher, you inhale more particulates,” says Dr. Redlich. When the AQI is 201 and higher, everyone should be concerned about health risks and limit physical activity outdoors as much as possible, she adds. For context, with the recent wildfires in Canada, the PM2.5 AQI climbed above 400 for a brief period in New York City in early June. Why is particulate matter dangerous? PM2.5 particles are so tiny that they get through the usual defense mechanisms of the upper airway and can penetrate deep into the lungs, where they can impair lung function, cause illnesses, such as bronchitis, and increase asthma attacks . The particles can also pass into the bloodstream and travel to other organs, where they can cause damage. In addition to respiratory problems, PM2.5 exposure has been linked to an increased risk of heart attack , stroke , lung cancer , and a decline in cognitive function. “The health effects extend beyond respiratory issues and include the cardiovascular system,” Dr. Redlich says. “There is more extensive literature on particulate air pollution, in general, than forest fires specifically, but the indication is that wildfires have similar health effects. And there has been an explosion in research and understanding that even relatively low levels of air pollution can impact your lungs and heart, especially if you have asthma, chronic obstructive pulmonary disease [COPD] , or cardiac disease.” The reason particle pollution has such systemic effects, Dr. Redlich explains, is that when you inhale these tiny particles, “they get everywhere through the bloodstream and trigger inflammatory pathways, which can exacerbate a number of underlying cardiac and respiratory conditions.” Does a mask protect against wildfire smoke? The best type of mask to wear for protection against wildfire smoke is a well-fitted N95 or P100 respirator with two straps that go around your head. The “95” and “100” refer to the percentage of particles filtered out by the mask. They are not specially made for children. “A surgical mask probably does some good, but the N95 or even a KN95 is better,” Dr. Redlich says. “KN95s may be easier to find and may come in sizes that fit children better.” The EPA provides a one-sheet with information on how to choose the right mask for wildfire smoke. Is staying inside always best when the outdoor air quality is poor? When the air quality is poor, the general advice is to go inside, shut the windows, and use an air conditioner (with a clean filter and the fresh-air intake closed). But, not every home has air conditioning or can be tightly sealed to keep the bad air out, Dr. Redlich explains. “It’s not as though you go inside and the level drops to zero. Yes, going inside is usually a good idea, but you can also store poor air quality levels—or even air pollutants—in your home,” she says. “Plus, you can generate air pollutants inside by cooking, smoking cigarettes, and burning candles.” These, Dr. Redlich says, are all things we have control over and can be avoided or mitigated with steps like using a vent over your kitchen stove. Another step people can take to improve particulate air quality or reduce particulate air pollution in their homes is to use a portable air purifier with a HEPA (high efficiency particulate air) filter. The air purifier should be sized appropriately for the size of the room. https://www.yalemedicine.org/news/how-bad-is-wildfire-smoke-for-your-health ================ <QUESTION> ======= My brother and sister in law are considering moving to the west coast and im worried about potential health issues due to wildfires. List health issues associated with wildfire smoke and two ways to prevent them, but don't mention anything about the air quality index ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

I am doing a medical research paper and found this article. Summarize me introduction and epidemiology part in the bulleted points format. Keep it under 200 words.

Introduction Staphylococcus aureus is a major bacterial human pathogen that causes a wide variety of clinical manifestations.[1] Infections are common both in community-acquired as well as hospital-acquired settings and treatment remains challenging to manage due to the emergence of multi-drug resistant strains such as MRSA (Methicillin-Resistant Staphylococcus aureus).[2][3] S. aureus is found in the environment and is also found in normal human flora, located on the skin and mucous membranes (most often the nasal area) of most healthy individuals.[1] S. aureus does not normally cause infection on healthy skin; however, if it is allowed to enter the bloodstream or internal tissues, these bacteria may cause a variety of potentially serious infections.[1] Transmission is typically from direct contact. However, some infections involve other transmission methods.[4] Go to: Etiology Staphylococcus aureus is Gram-positive bacteria (stain purple by Gram stain) that are cocci-shaped and tend to be arranged in clusters that are described as “grape-like.” On media, these organisms can grow in up to 10% salt, and colonies are often golden or yellow (aureus means golden or yellow). These organisms can grow aerobically or anaerobically (facultative) and at temperatures between 18 C and 40 C. Typical biochemical identification tests include catalase positive (all pathogenic Staphylococcus species), coagulase positive (to distinguish Staphylococcus aureus from other Staphylococcus species), novobiocin sensitive (to distinguish from Staphylococcus saprophyticus), and mannitol fermentation positive (to distinguish from Staphylococcus epidermidis).[4][1] MRSA strains carry a mec gene on the bacterial chromosome, which is a component of the larger Staphylococcal chromosomal cassette mec (SCCmec) region, conferring resistance to multiple antibiotics depending on the SCCmec type.[2] The mec gene encodes the protein PBP-2a (penicillin-binding protein 2a). PBP-2a is a penicillin-binding protein (PBP), or essential bacterial cell wall enzyme that catalyzes the production of the peptidoglycan in the bacterial cell wall. PBP-2A has a lower affinity to bind to beta-lactams (and other penicillin-derived antibiotics) when compared to other PBPs, so PBP-2A continues to catalyze the synthesis of the bacterial cell wall even in the presence of many antibiotics. As a result, S. aureus strains that synthesize PBP-2A can grow in the presence of many antibiotics, and these MRSA strains are resistant to many antibiotics. MRSA strains tend to be resistant to methicillin, nafcillin, oxacillin, and cephalosporins.[2][4] Go to: Epidemiology Staphylococcus aureus (including drug-resistant strains such as MRSA) are found on the skin and mucous membranes, and humans are the major reservoir for these organisms.[3][5] It is estimated that up to half of all adults are colonized, and approximately 15% of the population persistently carry S. aureus in the anterior nares. Some populations tend to have higher rates of S. aureus colonization (up to 80%), such as health care workers, persons who use needles on a regular basis (i.e., diabetics and intravenous (IV) drug users), hospitalized patients, and immunocompromised individuals. S. aureus can be transmitted person-to-person by direct contact or by fomites.[6][4][1] Go to: Pathophysiology S. aureus are one the most common bacterial infections in humans and are the causative agents of multiple human infections, including bacteremia, infective endocarditis, skin and soft tissue infections (e.g., impetigo, folliculitis, furuncles, carbuncles, cellulitis, scalded skin syndrome, and others), osteomyelitis, septic arthritis, prosthetic device infections, pulmonary infections (e.g., pneumonia and empyema), gastroenteritis, meningitis, toxic shock syndrome, and urinary tract infections.[6] Depending on the strains involved and the site of infection, these bacteria can cause invasive infections and/or toxin-mediated diseases.[6][7] The pathophysiology varies greatly depending on the type of S. aureus infection.[6] Mechanisms for evasion of the host immune response include the production of an antiphagocytic capsule, sequestering of host antibodies or antigen masking by Protein A, biofilm formation, intracellular survival, and blocking chemotaxis of leukocytes.[8][7] Binding of the bacteria to extracellular matrix proteins and fibronectin in infectious endocarditis is mediated by bacterial cell wall-associated proteins such as fibrinogen-binding proteins, clumping factors, and teichoic acids.[7] Also, Staphylococcal superantigens (TSST-1 or toxic shock syndrome toxin 1) are important virulence factors in infectious endocarditis, sepsis, as well as toxic shock syndrome.[9][10] Pneumonia infections are associated with the bacterial production of PVL (Panton-Valentine leukocidin), Protein A, and alpha-hemolysin, and infections are more common following influenza virus infection as well as a diagnosis of Cystic Fibrosis. Prosthetic device infections are often mediated by the ability of S. aureus strains to form biofilms as well as communicate using quorum sensing in a bacterial cell density-dependent manner. [11]

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== I am doing a medical research paper and found this article. Summarize me introduction and epidemiology part in the bulleted points format. Keep it under 200 words. {passage 0} ========== Introduction Staphylococcus aureus is a major bacterial human pathogen that causes a wide variety of clinical manifestations.[1] Infections are common both in community-acquired as well as hospital-acquired settings and treatment remains challenging to manage due to the emergence of multi-drug resistant strains such as MRSA (Methicillin-Resistant Staphylococcus aureus).[2][3] S. aureus is found in the environment and is also found in normal human flora, located on the skin and mucous membranes (most often the nasal area) of most healthy individuals.[1] S. aureus does not normally cause infection on healthy skin; however, if it is allowed to enter the bloodstream or internal tissues, these bacteria may cause a variety of potentially serious infections.[1] Transmission is typically from direct contact. However, some infections involve other transmission methods.[4] Go to: Etiology Staphylococcus aureus is Gram-positive bacteria (stain purple by Gram stain) that are cocci-shaped and tend to be arranged in clusters that are described as “grape-like.” On media, these organisms can grow in up to 10% salt, and colonies are often golden or yellow (aureus means golden or yellow). These organisms can grow aerobically or anaerobically (facultative) and at temperatures between 18 C and 40 C. Typical biochemical identification tests include catalase positive (all pathogenic Staphylococcus species), coagulase positive (to distinguish Staphylococcus aureus from other Staphylococcus species), novobiocin sensitive (to distinguish from Staphylococcus saprophyticus), and mannitol fermentation positive (to distinguish from Staphylococcus epidermidis).[4][1] MRSA strains carry a mec gene on the bacterial chromosome, which is a component of the larger Staphylococcal chromosomal cassette mec (SCCmec) region, conferring resistance to multiple antibiotics depending on the SCCmec type.[2] The mec gene encodes the protein PBP-2a (penicillin-binding protein 2a). PBP-2a is a penicillin-binding protein (PBP), or essential bacterial cell wall enzyme that catalyzes the production of the peptidoglycan in the bacterial cell wall. PBP-2A has a lower affinity to bind to beta-lactams (and other penicillin-derived antibiotics) when compared to other PBPs, so PBP-2A continues to catalyze the synthesis of the bacterial cell wall even in the presence of many antibiotics. As a result, S. aureus strains that synthesize PBP-2A can grow in the presence of many antibiotics, and these MRSA strains are resistant to many antibiotics. MRSA strains tend to be resistant to methicillin, nafcillin, oxacillin, and cephalosporins.[2][4] Go to: Epidemiology Staphylococcus aureus (including drug-resistant strains such as MRSA) are found on the skin and mucous membranes, and humans are the major reservoir for these organisms.[3][5] It is estimated that up to half of all adults are colonized, and approximately 15% of the population persistently carry S. aureus in the anterior nares. Some populations tend to have higher rates of S. aureus colonization (up to 80%), such as health care workers, persons who use needles on a regular basis (i.e., diabetics and intravenous (IV) drug users), hospitalized patients, and immunocompromised individuals. S. aureus can be transmitted person-to-person by direct contact or by fomites.[6][4][1] Go to: Pathophysiology S. aureus are one the most common bacterial infections in humans and are the causative agents of multiple human infections, including bacteremia, infective endocarditis, skin and soft tissue infections (e.g., impetigo, folliculitis, furuncles, carbuncles, cellulitis, scalded skin syndrome, and others), osteomyelitis, septic arthritis, prosthetic device infections, pulmonary infections (e.g., pneumonia and empyema), gastroenteritis, meningitis, toxic shock syndrome, and urinary tract infections.[6] Depending on the strains involved and the site of infection, these bacteria can cause invasive infections and/or toxin-mediated diseases.[6][7] The pathophysiology varies greatly depending on the type of S. aureus infection.[6] Mechanisms for evasion of the host immune response include the production of an antiphagocytic capsule, sequestering of host antibodies or antigen masking by Protein A, biofilm formation, intracellular survival, and blocking chemotaxis of leukocytes.[8][7] Binding of the bacteria to extracellular matrix proteins and fibronectin in infectious endocarditis is mediated by bacterial cell wall-associated proteins such as fibrinogen-binding proteins, clumping factors, and teichoic acids.[7] Also, Staphylococcal superantigens (TSST-1 or toxic shock syndrome toxin 1) are important virulence factors in infectious endocarditis, sepsis, as well as toxic shock syndrome.[9][10] Pneumonia infections are associated with the bacterial production of PVL (Panton-Valentine leukocidin), Protein A, and alpha-hemolysin, and infections are more common following influenza virus infection as well as a diagnosis of Cystic Fibrosis. Prosthetic device infections are often mediated by the ability of S. aureus strains to form biofilms as well as communicate using quorum sensing in a bacterial cell density-dependent manner. [11] https://www.ncbi.nlm.nih.gov/books/NBK441868/

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

I live in California and am trying to understand stand your ground laws. Can you explain it to me? Also, how does it work in my state?

The common law principle of “castle doctrine” says that individuals have the right to use reasonable force, including deadly force, to protect themselves against an intruder in their home. This principle has been codified and expanded by state legislatures. In the 1980s, a handful of state laws (nicknamed “make my day” laws) addressed immunity from prosecution in use of deadly force against another who unlawfully and forcibly enters a person’s residence. In 2005, Florida passed a law related to castle doctrine, expanding on that premise with “stand your ground” language related to self-defense and duty to retreat. Florida’s law states “a person who is not engaged in an unlawful activity and who is attacked in any other place where he or she has a right to be has no duty to retreat and has the right to stand his or her ground and meet force with force, including deadly force, if he or she reasonably believes it is necessary to do so to prevent death or great bodily harm to himself or herself or another or to prevent the commission of a forcible felony.” Laws in at least 28 states and Puerto Rico allow that there is no duty to retreat an attacker in any place in which one is lawfully present. (Alabama, Alaska, Arizona, Arkansas, Florida, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah and West Virginia Wyoming.) At least ten of those states include language stating one may “stand his or her ground.” (Alabama, Florida, Georgia, Idaho, Kansas, Kentucky, Louisiana, Oklahoma, Pennsylvania and South Carolina.) Eight states (California, Colorado, Illinois, New Mexico, Oregon, Virginia, Vermont and Washington) permit the use of deadly force in self-defense through judicial decisions or jury instructions. Pennsylvania's law, amended in 2011, distinguishes use of deadly force outside one’s home or vehicle. It provides that in such locations one cannot use deadly force unless he has reasonable belief of imminent death or injury, and either he or she cannot retreat in safety or the attacker displays or uses a lethal weapon. Idaho’s law, passed in 2018, expanded the definition of justifiable homicide to include not only defending one’s home against an intruder, but also defending one’s place of employment or an occupied vehicle. Self-defense laws in at least 23 states (Arizona, Arkansas, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Kentucky, Louisiana, Maryland, Michigan, Montana, New Hampshire, North Carolina, North Dakota, Oklahoma, Ohio, Pennsylvania, South Carolina, Tennessee West Virginia and Wisconsin) provide civil immunity under certain self- defense circumstances. Statutes in at least six states (Hawaii, Missouri, Nebraska, New Jersey, North Dakota and Tennessee) assert that civil remedies are unaffected by criminal provisions of self-defense law. *In 2018, the Ohio House and Senate voted to override the Governor’s veto of House Bill 228. The bill places the burden of disproving a self-defense claim on the prosecution. Additionally, some states (including Arizona, Arkansas, California, Florida, Kansas, Kentucky, Louisiana, Mississippi, North Carolina, North Dakota, Oklahoma, Pennsylvania, Rhode Island, South Carolina, Wisconsin, and Wyoming) have replaced the common law “reasonable person” standard, which placed the burden on the defendant to show that their defensive action were reasonable, with a “presumption of reasonableness,” or “presumption of fear,” which shifts the burden of proof to the prosecutor to prove a negative.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== I live in California and am trying to understand stand your ground laws. Can you explain it to me? Also, how does it work in my state? {passage 0} ========== The common law principle of “castle doctrine” says that individuals have the right to use reasonable force, including deadly force, to protect themselves against an intruder in their home. This principle has been codified and expanded by state legislatures. In the 1980s, a handful of state laws (nicknamed “make my day” laws) addressed immunity from prosecution in use of deadly force against another who unlawfully and forcibly enters a person’s residence. In 2005, Florida passed a law related to castle doctrine, expanding on that premise with “stand your ground” language related to self-defense and duty to retreat. Florida’s law states “a person who is not engaged in an unlawful activity and who is attacked in any other place where he or she has a right to be has no duty to retreat and has the right to stand his or her ground and meet force with force, including deadly force, if he or she reasonably believes it is necessary to do so to prevent death or great bodily harm to himself or herself or another or to prevent the commission of a forcible felony.” Laws in at least 28 states and Puerto Rico allow that there is no duty to retreat an attacker in any place in which one is lawfully present. (Alabama, Alaska, Arizona, Arkansas, Florida, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Michigan, Mississippi, Missouri, Montana, Nevada, New Hampshire, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah and West Virginia Wyoming.) At least ten of those states include language stating one may “stand his or her ground.” (Alabama, Florida, Georgia, Idaho, Kansas, Kentucky, Louisiana, Oklahoma, Pennsylvania and South Carolina.) Eight states (California, Colorado, Illinois, New Mexico, Oregon, Virginia, Vermont and Washington) permit the use of deadly force in self-defense through judicial decisions or jury instructions. Pennsylvania's law, amended in 2011, distinguishes use of deadly force outside one’s home or vehicle. It provides that in such locations one cannot use deadly force unless he has reasonable belief of imminent death or injury, and either he or she cannot retreat in safety or the attacker displays or uses a lethal weapon. Idaho’s law, passed in 2018, expanded the definition of justifiable homicide to include not only defending one’s home against an intruder, but also defending one’s place of employment or an occupied vehicle. Self-defense laws in at least 23 states (Arizona, Arkansas, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Kentucky, Louisiana, Maryland, Michigan, Montana, New Hampshire, North Carolina, North Dakota, Oklahoma, Ohio, Pennsylvania, South Carolina, Tennessee West Virginia and Wisconsin) provide civil immunity under certain self- defense circumstances. Statutes in at least six states (Hawaii, Missouri, Nebraska, New Jersey, North Dakota and Tennessee) assert that civil remedies are unaffected by criminal provisions of self-defense law. *In 2018, the Ohio House and Senate voted to override the Governor’s veto of House Bill 228. The bill places the burden of disproving a self-defense claim on the prosecution. Additionally, some states (including Arizona, Arkansas, California, Florida, Kansas, Kentucky, Louisiana, Mississippi, North Carolina, North Dakota, Oklahoma, Pennsylvania, Rhode Island, South Carolina, Wisconsin, and Wyoming) have replaced the common law “reasonable person” standard, which placed the burden on the defendant to show that their defensive action were reasonable, with a “presumption of reasonableness,” or “presumption of fear,” which shifts the burden of proof to the prosecutor to prove a negative. https://www.ncsl.org/civil-and-criminal-justice/self-defense-and-stand-your-ground

[question] [user request] ===================== [text] [context document] ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Is the Government of the United States legally obligated to prosecute war crimes committed outside its borders, regardless if the victims are citizens of the United States? What changes to existing laws are mentioned in the text? What two examples are provided in the text to show the limitations of the War Crimes Act of 1996 and who signed it into effect? Who signed the 2023 war crimes bill into effect?

Passed following an address by Ukraine’s leader and signed into the law in January 2023, the Justice for Victims of War Crimes Act authorizes the U.S. Justice Department to prosecute foreign nationals in the United States who are suspected of war crimes, even if the victims were not Americans, or the crimes were committed abroad. This blog post covers the legislation’s changes from its predecessor before discussing its significance in expanding U.S. prosecutorial power over international war crimes. On January 5, 2023, U.S. President Joe Biden signed into law the Justice for Victims of War Crimes Act, after it was introduced three months into the Russian invasion of Ukraine. This law expands the scope of federal prosecution power for international war crimes by authorizing the U.S. Department of Justice to prosecute suspected war criminals who are in the United States, regardless of the nationality of the victim or the perpetrator, or where the crime was committed. The unanimous and speedy Congressional approval of the bill came one day after Ukrainian President Volodymyr Zelenskyy’s joint address to the Congress, where he condemned the atrocities committed by President Vladimir Putin’s Russia and appealed for bipartisan support for his country. History of U.S. Prosecution Over War Crimes This law marks an important expansion of the U.S. prosecutorial power over international war crimes. Its predecessor, the War Crimes Act (18 U.S.C. § 2441), was signed into law in 1996 by President Bill Clinton and allowed the prosecution of war crime offenses committed anywhere, whether inside or outside of the United States if the victim or offender was a U.S. national or service member. This meant that war crimes committed outside of the United States against non-U.S. citizens were not justiciable in the United States, even if the perpetrators were residing in the country. Under the former law, Russian troops in Ukraine, committing war crimes against Ukrainians, would have been able to evade prosecution for their crimes abroad, even if they were to enter the United States. This limited jurisdiction effectively rendered the 1996 law a “dead letter” law, as there was not a single prosecution based on the statute in the 26 years since its enactment. Instead, the United States has only been able to resort to its immigration and counterterrorism laws to bring forward charges against those suspected of war crimes. Notably, the man known as the “General Dragon Master,” accused of committing atrocities during the Second Liberian Civil War, was only charged with using a fraudulently-obtained immigration document instead of being held accountable for his war crimes. Similarly, a federal judge was only able to sentence a commander of the Dos Erres Massacre Squad under charges of naturalization fraud rather than the atrocities he committed. The loopholes embedded in the 1996 War Crimes Act have essentially allowed these individuals to treat the United States as a safe haven where they can live and travel without the threat of domestic prosecution. Changes and Developments Under the New War Crimes Act The new law closes the legal loophole under the former War Crimes Act by broadening federal jurisdiction over alleged war criminals regardless of their nationality or the location of the offenses, as long as they are located within U.S. territory. This would allow the United States to prosecute war crimes committed in Ukraine if the perpetrators were to enter the country and sufficient evidence is gathered to support an indictment. The expanded jurisdiction may be particularly poignant in the possible scenarios in modern warfare where non-Americans belonging to military groups or contractors may be based in the United States while orchestrating, directing or aiding in the commission of war crimes overseas.

[question] Is the Government of the United States legally obligated to prosecute war crimes committed outside its borders, regardless if the victims are citizens of the United States? What changes to existing laws are mentioned in the text? What two examples are provided in the text to show the limitations of the War Crimes Act of 1996 and who signed it into effect? Who signed the 2023 war crimes bill into effect? ===================== [text] Passed following an address by Ukraine’s leader and signed into the law in January 2023, the Justice for Victims of War Crimes Act authorizes the U.S. Justice Department to prosecute foreign nationals in the United States who are suspected of war crimes, even if the victims were not Americans, or the crimes were committed abroad. This blog post covers the legislation’s changes from its predecessor before discussing its significance in expanding U.S. prosecutorial power over international war crimes. On January 5, 2023, U.S. President Joe Biden signed into law the Justice for Victims of War Crimes Act, after it was introduced three months into the Russian invasion of Ukraine. This law expands the scope of federal prosecution power for international war crimes by authorizing the U.S. Department of Justice to prosecute suspected war criminals who are in the United States, regardless of the nationality of the victim or the perpetrator, or where the crime was committed. The unanimous and speedy Congressional approval of the bill came one day after Ukrainian President Volodymyr Zelenskyy’s joint address to the Congress, where he condemned the atrocities committed by President Vladimir Putin’s Russia and appealed for bipartisan support for his country. History of U.S. Prosecution Over War Crimes This law marks an important expansion of the U.S. prosecutorial power over international war crimes. Its predecessor, the War Crimes Act (18 U.S.C. § 2441), was signed into law in 1996 by President Bill Clinton and allowed the prosecution of war crime offenses committed anywhere, whether inside or outside of the United States if the victim or offender was a U.S. national or service member. This meant that war crimes committed outside of the United States against non-U.S. citizens were not justiciable in the United States, even if the perpetrators were residing in the country. Under the former law, Russian troops in Ukraine, committing war crimes against Ukrainians, would have been able to evade prosecution for their crimes abroad, even if they were to enter the United States. This limited jurisdiction effectively rendered the 1996 law a “dead letter” law, as there was not a single prosecution based on the statute in the 26 years since its enactment. Instead, the United States has only been able to resort to its immigration and counterterrorism laws to bring forward charges against those suspected of war crimes. Notably, the man known as the “General Dragon Master,” accused of committing atrocities during the Second Liberian Civil War, was only charged with using a fraudulently-obtained immigration document instead of being held accountable for his war crimes. Similarly, a federal judge was only able to sentence a commander of the Dos Erres Massacre Squad under charges of naturalization fraud rather than the atrocities he committed. The loopholes embedded in the 1996 War Crimes Act have essentially allowed these individuals to treat the United States as a safe haven where they can live and travel without the threat of domestic prosecution. Changes and Developments Under the New War Crimes Act The new law closes the legal loophole under the former War Crimes Act by broadening federal jurisdiction over alleged war criminals regardless of their nationality or the location of the offenses, as long as they are located within U.S. territory. This would allow the United States to prosecute war crimes committed in Ukraine if the perpetrators were to enter the country and sufficient evidence is gathered to support an indictment. The expanded jurisdiction may be particularly poignant in the possible scenarios in modern warfare where non-Americans belonging to military groups or contractors may be based in the United States while orchestrating, directing or aiding in the commission of war crimes overseas. https://www.jtl.columbia.edu/bulletin-blog/expanding-us-prosecutorial-power-over-international-war-crimes ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Refer only to the provided context document when answering the question.

According to the text above, can the client use GEM's training materials for their own employees?

GREEN ENERGY MONEY Training Services Agreement PLEASE READ THIS TRAINING SERVICES AGREEMENT BEFORE PURCHASING OR USING THE SERVICES. BY USING OR PURCHASING THE SERVICES, CUSTOMER SIGNIFIES ITS ASSENT TO THIS AGREEMENT. IF YOU ARE ACTING ON BEHALF OF AN ENTITY, THEN YOU REPRESENT THAT YOU HAVE THE AUTHORITY TO ENTER INTO THIS AGREEMENT ON BEHALF OF THAT ENTITY. IF CUSTOMER DOES NOT ACCEPT THE TERMS OF THIS AGREEMENT, THEN YOU MUST NOT ENGAGE WITH USE OF THE SERVICES. This Training Services Agreement is between Green Energy Money, Inc. a Texas corporation, located at 1110 Ranch Road 620 South, Suite D Austin, TX 78734(“GEM”), and Affiliates, and the user of GEM’s services that accepts the terms of this Agreement (“Customer”). The effective date of this Agreement ('Effective Date') is the date that Customer signs this agreement. Capitalized terms have the meaning set forth in Section 8. 1. Services. 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For all disputes arising out of this Agreement, the parties consent to the jurisdiction of the courts serving Travis County, Texas. 8.3 Unless otherwise specified in this Agreement, all notices shall be in writing and shall be mailed (via registered or certified mail, return receipt requested), delivered by a nationally recognized express courier 3 Training Agreement www.greenenergy-money.com (877) GEM-3011 Financial Solutions to Value a Sustainable Future service with the ability to track shipments, or personally delivered to the other party at the address set forth above for GEM and at registration for Customer. All notices shall be effective upon receipt. 8.4 This Agreement is the parties’ entire agreement relating to its subject and supersedes any prior or contemporaneous agreements on that subject. All amendments to this Agreement must be in writing, executed by both parties and expressly state that they are amending this Agreement. 8.5 Failure to enforce any provision of this Agreement shall not constitute a waiver thereof. No waiver shall be effective unless it is in writing and signed by the waiving party. If a party waives any right, power, or remedy, the waiver shall not waive any successive or other right, power, or remedy the party may have under this Agreement. If any provision is found to be unenforceable, it and any related provisions shall be interpreted to best accomplish the unenforceable provision’s essential purpose. 8.6 Neither party shall be liable for failures or delays in performance due to causes beyond its reasonable control, including, but not limited to, any act of God, fire, earthquake, flood, storm, natural disaster, accident, pandemic, labor unrest, civil disobedience, act of terrorism or act of government; however, the inability to meet financial obligations is expressly excluded. Both parties hereto agree to use their best efforts to minimize the effects of such failures or delays.

Query: According to the text above, can the client use GEM's training materials for their own employees? ---------- Task Instruction: Refer only to the provided context document when answering the question. ---------- Document: GREEN ENERGY MONEY Training Services Agreement PLEASE READ THIS TRAINING SERVICES AGREEMENT BEFORE PURCHASING OR USING THE SERVICES. BY USING OR PURCHASING THE SERVICES, CUSTOMER SIGNIFIES ITS ASSENT TO THIS AGREEMENT. IF YOU ARE ACTING ON BEHALF OF AN ENTITY, THEN YOU REPRESENT THAT YOU HAVE THE AUTHORITY TO ENTER INTO THIS AGREEMENT ON BEHALF OF THAT ENTITY. IF CUSTOMER DOES NOT ACCEPT THE TERMS OF THIS AGREEMENT, THEN YOU MUST NOT ENGAGE WITH USE OF THE SERVICES. This Training Services Agreement is between Green Energy Money, Inc. a Texas corporation, located at 1110 Ranch Road 620 South, Suite D Austin, TX 78734(“GEM”), and Affiliates, and the user of GEM’s services that accepts the terms of this Agreement (“Customer”). The effective date of this Agreement ('Effective Date') is the date that Customer signs this agreement. Capitalized terms have the meaning set forth in Section 8. 1. Services. Customer may purchase training services (the "Services") under this Agreement from GEM by signing this agreement, prior to, or the day of the training. Services are only for Customer’s internal use and Customer may not use the Services to supply any consulting, support or training services to any third party. 2. Fees. Customer shall pay fees ("Fees") set forth under section 9 below. 3. Nondisclosure. For purposes of this Agreement, the party disclosing Confidential Information is the “Discloser,” and the party receiving Confidential Information is the “Recipient.” Confidential Information means all information concerning the parties’ business including, but not limited to, all tangible, intangible, visual, electronic, present, or future information such as: (a) trade secrets; (b) financial information, including pricing; (c) technical information, including research, development, procedures, algorithms, data, designs, and know-how; (d) business information, including operations, planning, marketing interests, and products; and (e) the terms of any agreement between GEM and the Customer and the discussions, negotiations and proposals related to that agreement. Confidential Information disclosed to the other party must be clearly identified. Recipient will only have a duty to protect Confidential Information if it is disclosed in a manner in which the Discloser reasonably communicated, or the Recipient should reasonably have understood under the circumstances, that the disclosure should be treated as confidential, whether or not the specific designation "confidential" or any similar designation is used. The Recipient does not have an obligation to protect Confidential Information that is: (a) in the public domain through no fault of the Recipient; (b) within the legitimate possession of the Recipient, with no confidentiality obligations to a third party; (c) lawfully received from a third party having rights in the information without restriction, and without notice of any restriction against its further disclosure; (d) independently developed by the Recipient without breaching this Agreement or by parties who have not had, either directly or indirectly, access to or knowledge of the Confidential Information; or (e) disclosed with the prior written consent of the Discloser. A party may disclose Confidential Information when compelled to do so by law if it provides reasonable prior notice to the other party. Upon Discloser’s written request, Recipient will promptly return all Confidential Information and copies, or notify Discloser in writing that it has destroyed all such materials. The Recipient may use Residuals (as defined below) for any purpose, including use in the acquisition, development, manufacture, promotion, sale, or maintenance of products and services; provided that this right to Residuals do not represent a license under any intellectual property and/or proprietary rights of Discloser. “Residuals” means information that is retained in the unaided memories of Recipient’s employees, agents, or contractors as permitted herein, who have had access to the Discloser’s Confidential Information. Memory is unaided if the employee or contractor has not intentionally memorized the Confidential Information for the purpose of retaining and subsequently using or disclosing it. 4. Intellectual Property. 4.1 GEM training courses and training materials (“Materials”) and all worldwide intellectual property rights therein, as the same may be amended and/or extended, including the copyright, and patented proprietary methods, are wholly owned solely by GEM, who shall retain all right, title and interest in and to all Materials. Customer shall be entitled to keep and use all Materials provided by GEM to Customer, but without any other license to exercise any of the intellectual property rightstherein, all of which are hereby strictly reserved to GEM. In particular and without limitation, Materials may not be copied electronically or otherwise whether or not for archive purposes, modified including translated, re-distributed, disclosed to third parties, lent, hired out, made available to the public, sold, offered for sale, shared, or transferred in any other way. The use of any Materials will be limited to use by the specific personsto whom the Services are provided. All GEM trademarks, trade names, logos and notices present on the Materials shall be preserved and not defaced, modified or obliterated. Customer shall not use any GEM trademarks without GEM’s express written authorization. 4.2 Customer acknowledges that as part of performing the Services, GEM personnel may utilize proprietary software, methodologies, tools, specifications, drawings, sketches, models, samples, records, documentation, works of authorship or creative works, ideas, knowledge, data or other materials which have been originated or developed by the personnel of GEM or its affiliates or by third parties under contract to GEM to develop same, or which have been purchased by, or licensed to, GEM (collectively, “GEM Proprietary Intellectual Property”). GEM Proprietary Intellectual Property includes, but is not limited to, any new or improved methodologies or tools developed by GEM during the course of any project under this Agreement. Customer agrees that GEM Proprietary Intellectual Property is the sole property of GEM (or its licensor) and that GEM (or its licensor) will at all times retain sole and exclusive title to and ownership thereof. Except as expressly provided above, nothing contained in this Agreement or otherwise will be construed to grant to Customer any right, title, license or other interest in, to or under any GEM Proprietary Intellectual Property. 5. Warranty and Disclaimer. 2 Training Agreement www.greenenergy-money.com (877) GEM-3011 Financial Solutions to Value a Sustainable Future 5.1 GEM warrants that the Services shall be performed in a workmanlike manner consistent with industry standards reasonably applicable to the performance ofsuch Services. If Customer believesthere has been a breach of this warranty, Customer must notify GEM in writing promptly following delivery of the Services stating in reasonable detail the nature of the alleged breach. If there has been a breach of this warranty, then GEM’s sole obligation, and Customer’s exclusive remedy, shall be for GEM to correct or re-perform, at no additional charge, any affected Services to cause them to comply with this warranty. 5.2 EXCEPT AS PROVIDED IN SECTION 5.1 ABOVE, THE SERVICES AND ANY MATERIALS FURNISHED OR PROVIDED TO CUSTOMER UNDER THIS AGREEMENT, ARE PROVIDED TO CUSTOMER “AS-IS” WITHOUT ANY WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, ANY IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, INTEGRATION, NON-INFRINGEMENT, TITLE, PERFORMANCE, AND ACCURACY AND ANY IMPLIED WARRANTIES ARISING FROM STATUTE, COURSE OF DEALING, COURSE OF PERFORMANCE, OR USAGE OF TRADE. WITHOUT LIMITING THE GENERALITY OF THE FOREGOING DISCLAIMER, NEITHER THE SERVICES NOR ANY MATERIALS FURNISHED TO CUSTOMER UNDER THIS AGREEMENT ARE SPECIFICALLY DESIGNED, MANUFACTURED OR INTENDED FOR USE IN THE PLANNING, CONSTRUCTION, MAINTENANCE, CONTROL, OR DIRECT OPERATION OF NUCLEAR FACILITIES, AIRCRAFT NAVIGATION, CONTROL OR COMMUNICATION SYSTEMS, WEAPONS SYSTEMS, OR DIRECT LIFE SUPPORT SYSTEMS. 6. Limitation of Liability. IN NO EVENT WILL GEM BE LIABLE UNDER THIS AGREEMENT FOR ANY INDIRECT, RELIANCE, PUNITIVE, CONSEQUENTIAL, SPECIAL, EXEMPLARY, OR INCIDENTAL DAMAGES OF ANY KIND AND HOWEVER CAUSED. IN NO EVENT WILL GEM’S CUMULATIVE LIABILITY FOR ANY CLAIM ARISING IN CONNECTION WITH THIS AGREEMENT EXCEED THE AMOUNT OF THE TOTAL FEES PAID TO GEM UNDER THIS AGREEMENT BY CUSTOMER DURING THE TWELVE (12) MONTHS PRECEDING ANY SUCH CLAIM. THE PROVISIONS OF SECTIONS 5 AND 6 ALLOCATE RISKS UNDER THIS AGREEMENT BETWEEN CUSTOMER AND GEM. GEM’S FEES FOR THE SERVICES REFLECT THIS ALLOCATION OF RISKS AND LIMITATION OF LIABILITY. 7. Term and Termination. 7.1 The term (the “Term”) of this Agreement shall commence on the Effective Date and shall continue until the Services have been delivered. 7.2 If Customer provides written notice of its intent to cancel the Servicesto GEM at least 72 hours prior to the scheduled date of the Services, Customer may elect to receive a full refund or to reschedule the Services If GEM cancels the Services, Customer may choose to receive a full refund or to reschedule the Services. 7.3 Sections 2, 3, 4, 5, 6, 7 and 8 shall survive the expiration or termination of this Agreement. 8. General. 8.1 This Agreement shall be governed by the laws of the State of Texas. For all disputes arising out of this Agreement, the parties consent to the jurisdiction of the courts serving Travis County, Texas. 8.3 Unless otherwise specified in this Agreement, all notices shall be in writing and shall be mailed (via registered or certified mail, return receipt requested), delivered by a nationally recognized express courier 3 Training Agreement www.greenenergy-money.com (877) GEM-3011 Financial Solutions to Value a Sustainable Future service with the ability to track shipments, or personally delivered to the other party at the address set forth above for GEM and at registration for Customer. All notices shall be effective upon receipt. 8.4 This Agreement is the parties’ entire agreement relating to its subject and supersedes any prior or contemporaneous agreements on that subject. All amendments to this Agreement must be in writing, executed by both parties and expressly state that they are amending this Agreement. 8.5 Failure to enforce any provision of this Agreement shall not constitute a waiver thereof. No waiver shall be effective unless it is in writing and signed by the waiving party. If a party waives any right, power, or remedy, the waiver shall not waive any successive or other right, power, or remedy the party may have under this Agreement. If any provision is found to be unenforceable, it and any related provisions shall be interpreted to best accomplish the unenforceable provision’s essential purpose. 8.6 Neither party shall be liable for failures or delays in performance due to causes beyond its reasonable control, including, but not limited to, any act of God, fire, earthquake, flood, storm, natural disaster, accident, pandemic, labor unrest, civil disobedience, act of terrorism or act of government; however, the inability to meet financial obligations is expressly excluded. Both parties hereto agree to use their best efforts to minimize the effects of such failures or delays.

Only answer the question from the information provided in the prompt, and don't use any external information or prior knowledge. If you can't answer part or all of the question, say something like "There is not enough information to answer this".

What are five effects that high interest rates could have on the economy?

Why Is the Federal Reserve Keeping Interest Rates “High for Longer”? July 3, 2024 The Federal Reserve (Fed) responded to the post-pandemic spike in inflation by rapidly raising short-term interest rates between 2022 and 2023. Since July 2023, the Fed has maintained a target range of 5.25%- 5.5%, the highest target since 2001. As inflation subsequently fell, futures markets expected the Fed to begin reducing rates this spring. Instead, rates have remained unchanged through the first half of the year—a stance that has been popularly referred to as keeping rates “high for longer.” This Insight examines why. Inflation and Monetary Policy The Fed has a statutory mandate to promote “maximum employment, stable prices, and moderate longterm interest rates.” The Fed has defined 2% inflation—as measured by the personal consumer expenditures price (PCE) index—as consistent with its price stability mandate. Economists view monetary policy as the primary policy tool for influencing inflation. External factors can lead to short-term changes in inflation, but the Fed has demonstrated in recent decades that monetary policy has the ability to guide inflation to the Fed’s desired target over the medium term. To carry out monetary policy, the Fed targets the federal funds rate (the overnight bank lending rate), as explained in CRS In Focus IF11751, Introduction to U.S. Economy: Monetary Policy. When the Fed raises the federal funds rate, it reduces interest-sensitive spending, causing overall demand (spending) to cool off and inflation to fall, all else equal. Recent Trends and Policy Inflation was mostly near the Fed’s 2% target for decades until supply and demand disruptions caused by COVID-19 and the invasion of Ukraine caused inflation to rise rapidly (see CRS Report R47273, Inflation in the U.S. Economy: Causes and Policy Options). As seen in Figure 1, inflation has exceeded 2% since March 2021 as measured both by total PCE and core PCE, which excludes volatile food and energy prices. Overall inflation peaked above 7% in June 2022—its highest level since 1981. (By Congressional Research Service https://crsreports.congress.gov IN12388 Congressional Research Service 2 contrast, unemployment has been below 5% since 2021, so the Fed has not had to focus on supporting its employment mandate.) Figure 1. Inflation and Interest Rates January 2020 to April 2024 Source: Bureau of Economic Analysis and Federal Reserve. Notes: The figure plots the 12-month change in prices and the effective federal funds rate. Inflation fell rapidly in the second half of 2022 and 2023, falling below 3% by the end of 2023 because most supply disruptions were resolved and energy prices declined rapidly for most of 2023. September 2023 was the first meeting where the Fed left rates unchanged. The Fed reasoned that lags between changes in monetary policy and their effects on the economy meant that earlier rate increases would continue to reduce inflation. In December 2023, most Fed officials anticipated that the Fed would reduce rates by a projected cumulative 0.5-1.25 percentage points in 2024. In January 2024, with new data that overall and core inflation were both below 3%, the Fed shifted its language from “additional policy firming” to “moving into better balance,” which market participants interpreted as the Fed planning to begin reducing rates in the first half of 2024. For example, after the Fed’s January meeting, futures markets predicted a 94% chance that rates would be cut by May 2024. The Fed would like to eventually reduce rates, because it believes, as articulated by the chair, that the current interest rate target is too high to be consistent with maintaining full employment and a robust expansion once inflation has returned to 2%. It would like to avoid a “hard landing,” where high interest rates trigger a recession. Therefore, the Fed’s goal is to reduce rates but not until it “has gained greater confidence that inflation is moving sustainably toward 2%.” According to this position, inflation does not have to fall to 2% before rates are cut—rather, the Fed must have confidence that inflation is heading toward 2%. It first used this language in January 2024. Since then, it has backed off near-term rate cuts because the deceleration in inflation has stalled out. Since December 2023, overall inflation has not changed, and core inflation has fallen by less than ¼ of a percentage point. Although it is close to 2%, those measures of inflation cover the past 12 months, which includes several months of very small changes to the price indices in 2023 that bring down the average. By contrast, the one-month changes in prices in most months in 2024 have been high enough—with the exception of May, which was very low—that, were they to continue in the coming months, the 12-month inflation rate would start rising again as the low inflation months from 2023 drop out of the data. In June, most Fed officials anticipated Congressional Research Service 3 IN12388 · VERSION 1 · NEW that the Fed would reduce rates by a cumulative 0.25-0.5 percentage points in 2024, but some did not anticipate that rates would be cut at all. Looking Ahead Because rates have been above 5% for over a year, the lagged effects of monetary policy are largely working through the economy at this point. It is increasingly unlikely that the current stance of monetary policy alone will cause a hard landing, and private forecasters have lowered their probability of the economy entering a recession in the near term. So far, the Fed believes that the current level of rates will eventually reduce inflation to 2% if left in place long enough. One reason that it might prove to be correct is because, as inflation has fallen and nominal (i.e., not adjusted for inflation) interest rates have stayed the same, real (i.e., inflation-adjusted) interest rates have risen. Because economic activity is primarily influenced by real rates, the same nominal rate is more contractionary today than it was in July 2023. But at some point, if the decline in inflation continues to stall out, the Fed may need to consider whether somewhat higher rates are needed to reduce inflation and how that would affect the odds of a recession. Author Information Marc Labonte Specialist in Macroeconomic Policy Disclaimer This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff to congressional committees and Members of Congress. It operates solely at the behest of and under the direction of Congress. Information in a CRS Report should not be relied upon for purposes other than public understanding of information that has been provided by CRS to Members of Congress in connection with CRS’s institutional role. CRS Reports, as a work of the United States Government, are not subject to copyright protection in the United States. Any CRS Report may be reproduced and distributed in its entirety without permission from CRS. However, as a CRS Report may include copyrighted images or material from a third party, you may need to obtain the permission of the copyright holder if you wish to copy or otherwise use copyrighted material.

Only answer the question from the information provided in the prompt, and don't use any external information or prior knowledge. If you can't answer part or all of the question, say something like "There is not enough information to answer this". What are five effects that high interest rates could have on the economy? Why Is the Federal Reserve Keeping Interest Rates “High for Longer”? July 3, 2024 The Federal Reserve (Fed) responded to the post-pandemic spike in inflation by rapidly raising short-term interest rates between 2022 and 2023. Since July 2023, the Fed has maintained a target range of 5.25%- 5.5%, the highest target since 2001. As inflation subsequently fell, futures markets expected the Fed to begin reducing rates this spring. Instead, rates have remained unchanged through the first half of the year—a stance that has been popularly referred to as keeping rates “high for longer.” This Insight examines why. Inflation and Monetary Policy The Fed has a statutory mandate to promote “maximum employment, stable prices, and moderate longterm interest rates.” The Fed has defined 2% inflation—as measured by the personal consumer expenditures price (PCE) index—as consistent with its price stability mandate. Economists view monetary policy as the primary policy tool for influencing inflation. External factors can lead to short-term changes in inflation, but the Fed has demonstrated in recent decades that monetary policy has the ability to guide inflation to the Fed’s desired target over the medium term. To carry out monetary policy, the Fed targets the federal funds rate (the overnight bank lending rate), as explained in CRS In Focus IF11751, Introduction to U.S. Economy: Monetary Policy. When the Fed raises the federal funds rate, it reduces interest-sensitive spending, causing overall demand (spending) to cool off and inflation to fall, all else equal. Recent Trends and Policy Inflation was mostly near the Fed’s 2% target for decades until supply and demand disruptions caused by COVID-19 and the invasion of Ukraine caused inflation to rise rapidly (see CRS Report R47273, Inflation in the U.S. Economy: Causes and Policy Options). As seen in Figure 1, inflation has exceeded 2% since March 2021 as measured both by total PCE and core PCE, which excludes volatile food and energy prices. Overall inflation peaked above 7% in June 2022—its highest level since 1981. (By Congressional Research Service https://crsreports.congress.gov IN12388 Congressional Research Service 2 contrast, unemployment has been below 5% since 2021, so the Fed has not had to focus on supporting its employment mandate.) Figure 1. Inflation and Interest Rates January 2020 to April 2024 Source: Bureau of Economic Analysis and Federal Reserve. Notes: The figure plots the 12-month change in prices and the effective federal funds rate. Inflation fell rapidly in the second half of 2022 and 2023, falling below 3% by the end of 2023 because most supply disruptions were resolved and energy prices declined rapidly for most of 2023. September 2023 was the first meeting where the Fed left rates unchanged. The Fed reasoned that lags between changes in monetary policy and their effects on the economy meant that earlier rate increases would continue to reduce inflation. In December 2023, most Fed officials anticipated that the Fed would reduce rates by a projected cumulative 0.5-1.25 percentage points in 2024. In January 2024, with new data that overall and core inflation were both below 3%, the Fed shifted its language from “additional policy firming” to “moving into better balance,” which market participants interpreted as the Fed planning to begin reducing rates in the first half of 2024. For example, after the Fed’s January meeting, futures markets predicted a 94% chance that rates would be cut by May 2024. The Fed would like to eventually reduce rates, because it believes, as articulated by the chair, that the current interest rate target is too high to be consistent with maintaining full employment and a robust expansion once inflation has returned to 2%. It would like to avoid a “hard landing,” where high interest rates trigger a recession. Therefore, the Fed’s goal is to reduce rates but not until it “has gained greater confidence that inflation is moving sustainably toward 2%.” According to this position, inflation does not have to fall to 2% before rates are cut—rather, the Fed must have confidence that inflation is heading toward 2%. It first used this language in January 2024. Since then, it has backed off near-term rate cuts because the deceleration in inflation has stalled out. Since December 2023, overall inflation has not changed, and core inflation has fallen by less than ¼ of a percentage point. Although it is close to 2%, those measures of inflation cover the past 12 months, which includes several months of very small changes to the price indices in 2023 that bring down the average. By contrast, the one-month changes in prices in most months in 2024 have been high enough—with the exception of May, which was very low—that, were they to continue in the coming months, the 12-month inflation rate would start rising again as the low inflation months from 2023 drop out of the data. In June, most Fed officials anticipated Congressional Research Service 3 IN12388 · VERSION 1 · NEW that the Fed would reduce rates by a cumulative 0.25-0.5 percentage points in 2024, but some did not anticipate that rates would be cut at all. Looking Ahead Because rates have been above 5% for over a year, the lagged effects of monetary policy are largely working through the economy at this point. It is increasingly unlikely that the current stance of monetary policy alone will cause a hard landing, and private forecasters have lowered their probability of the economy entering a recession in the near term. So far, the Fed believes that the current level of rates will eventually reduce inflation to 2% if left in place long enough. One reason that it might prove to be correct is because, as inflation has fallen and nominal (i.e., not adjusted for inflation) interest rates have stayed the same, real (i.e., inflation-adjusted) interest rates have risen. Because economic activity is primarily influenced by real rates, the same nominal rate is more contractionary today than it was in July 2023. But at some point, if the decline in inflation continues to stall out, the Fed may need to consider whether somewhat higher rates are needed to reduce inflation and how that would affect the odds of a recession. Author Information Marc Labonte Specialist in Macroeconomic Policy Disclaimer This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff to congressional committees and Members of Congress. It operates solely at the behest of and under the direction of Congress. Information in a CRS Report should not be relied upon for purposes other than public understanding of information that has been provided by CRS to Members of Congress in connection with CRS’s institutional role. CRS Reports, as a work of the United States Government, are not subject to copyright protection in the United States. Any CRS Report may be reproduced and distributed in its entirety without permission from CRS. However, as a CRS Report may include copyrighted images or material from a third party, you may need to obtain the permission of the copyright holder if you wish to copy or otherwise use copyrighted material.

This task requires you to answer questions based solely on the information provided in the prompt. You are not allowed to use any external resources or prior knowledge. Draw your answer from the context block only.

Isn't the theater required to provide me with an initial set-up of tea bags in my housing if I am an actor working under the terms of this contract?

(J) (1) In order to facilitate the Actor’s planning, the Theatre will provide the Actor, no later than one week prior to the Actor’s arrival, with a description of the housing, including furnishings and appliances that will be available. (2) The following shall be the minimum furnishings supplied in each Actor’s housing: bed and mattress in good condition, nightstand, reading lamp, armchair or sofa, table and chairs, lamp, dresser, mirror, hangers, linens/towels, pillows, blankets, wastebasket, radio alarm clock, and television and cable, where available and necessary for adequate reception. In multi-bedroom units or dormitories, the television and armchairs or sofa may be provided in the common area. Theatre shall make available irons and ironing boards. (3) The following shall be the minimum kitchen equipment supplied in each Actor’s housing: pots and pans with lids, cooking utensils, silverware for four, not fewer than four plates, cups and glasses, can opener, kitchen knives and colander. Where housekeeping is not provided, a broom and dustpan as well as a mop and pail shall be furnished. If the housing contains a microwave oven, microwave-safe accessories shall also be furnished. (4) Theatre shall provide an initial set-up of the following items in Actor’s housing prior to Actor’s arrival: toilet paper, paper towels, hand soap, dish soap, salt & pepper, sugar, coffee, tea, garbage bags, and sponge.

system instruction: [This task requires you to answer questions based solely on the information provided in the prompt. You are not allowed to use any external resources or prior knowledge. Draw your answer from the context block only.] question: [Isn't the theater required to provide me with an initial set-up of tea bags in my housing if I am an actor working under the terms of this contract?] context block: [(J) (1) In order to facilitate the Actor’s planning, the Theatre will provide the Actor, no later than one week prior to the Actor’s arrival, with a description of the housing, including furnishings and appliances that will be available. (2) The following shall be the minimum furnishings supplied in each Actor’s housing: bed and mattress in good condition, nightstand, reading lamp, armchair or sofa, table and chairs, lamp, dresser, mirror, hangers, linens/towels, pillows, blankets, wastebasket, radio alarm clock, and television and cable, where available and necessary for adequate reception. In multi-bedroom units or dormitories, the television and armchairs or sofa may be provided in the common area. Theatre shall make available irons and ironing boards. (3) The following shall be the minimum kitchen equipment supplied in each Actor’s housing: pots and pans with lids, cooking utensils, silverware for four, not fewer than four plates, cups and glasses, can opener, kitchen knives and colander. Where housekeeping is not provided, a broom and dustpan as well as a mop and pail shall be furnished. If the housing contains a microwave oven, microwave-safe accessories shall also be furnished. (4) Theatre shall provide an initial set-up of the following items in Actor’s housing prior to Actor’s arrival: toilet paper, paper towels, hand soap, dish soap, salt & pepper, sugar, coffee, tea, garbage bags, and sponge.]

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

My daughter might need to have her wisdom teeth out soon so I'm trying to get ahead on information. What are some reasons they might need to come out? What are some risks and concerns with this surgery? I'm also interested in some food options she could enjoy while healing.

Wisdom tooth removal — or wisdom tooth extraction — is a common oral surgery procedure. Dentists may recommend this treatment to preserve your oral health and protect your other teeth from possible issues in the future. Your wisdom teeth — also called third molars — are in the very back of your mouth. Typically, they erupt (grow in) sometime between the ages of 17 and 25. Scientists believe wisdom teeth are vestigial structures (parts of the human body that are no longer necessary). Our ancestors needed these teeth to crush and chew raw leaves, nuts, roots and meat. Today, we eat more cooked food and use forks and knives to cut our food up into smaller pieces. As a result, we don’t really need wisdom teeth anymore. Some people have all four wisdom teeth (one in each quadrant — the upper left, lower left, upper right and lower right). Others may have one, two, three or none at all. No matter how many wisdom teeth you do (or don’t) have, it doesn’t mean there’s something wrong. It’s just a variation of normal and a sign of the ever-changing evolutionary process. You might need wisdom teeth removed if you: Have one or more impacted wisdom teeth. (“Impacted” means partially or fully trapped in your gums or jawbone.) Have wisdom teeth that grew in crooked or sideways. Develop pain near the back of your mouth. Trap food and debris around your wisdom teeth. Develop gum disease, particularly around your molars. Have tooth decay (cavities) in a partially erupted wisdom tooth. Develop a cyst (fluid-filled sac) around one or more wisdom teeth. Have damage to nearby teeth or surrounding bone. In many cases, dentists recommend wisdom teeth extraction as a preventive measure. As a result, your dentist may suggest removing your wisdom teeth even if you don’t have any symptoms. This can help reduce your risk for future problems, including infection and tooth decay. How should I prepare for wisdom teeth removal? During a consultation with an oral surgeon, they’ll check the health of your wisdom teeth and take dental X-rays to determine their exact location. This is a good time to tell your surgeon about any medications, vitamins or supplements you’re currently taking. The day of your procedure, your surgeon will: Give you anesthesia to numb your teeth and gums and keep you comfortable. (If you choose sedation, they’ll give you sedative medications, as well.) Make incisions (cuts) in your gums, if necessary, to expose teeth trapped in your gums or jawbone. Carefully loosen your wisdom tooth and lift it from its socket. (They may need to divide your tooth into sections for easier removal.) Clean the area to make sure there’s no infection. Place stitches to close the surgical site, if necessary. Place gauze over the sockets to slow bleeding. How long does this procedure take? Wisdom tooth extraction usually takes an hour or less. Complex cases may take longer. What happens after wisdom teeth removal? After wisdom teeth removal, you can expect mild discomfort, slight bleeding and swelling. Your oral surgeon will give you instructions for wisdom teeth management to ease these side effects. Once your sedation wears off enough, a trusted friend or family member will drive you home. Dos and don’ts after wisdom tooth extraction Your surgeon will give you postoperative guidelines specific for your situation. Following these instructions will help you manage bleeding, swelling and pain after your procedure. DO: Leave gauze in place for about 30 minutes after your surgery. Replace with clean gauze if necessary. Your surgeon can tell you when to stop using gauze after wisdom tooth extraction. But in general, you can take it out when the bleeding slows. It’s normal to have some oozing, but you shouldn’t have excessive bleeding. Rest as much as you can. You should stay at home and recover for at least three to five days. If you have a physically demanding job, you might need to wait longer before returning to work. Use an ice pack to help reduce swelling. Wrap the ice pack in a clean towel and place it on your face. Leave it on for 20 minutes, and then take it off for 20 minutes. Repeat several times a day. Keep extraction sites clean. Gently soak the surgical areas with alcohol-free antibacterial mouthwash. Don’t swish. Swishing can dislodge blood clots and cause dry sockets, a painful condition that exposes the bone at your extraction site. Instead, lean your head to each side and let the mouthwash soak the areas. Brush and floss the rest of your teeth every day. While you don’t want to brush over the extraction sites, you’ll still need to keep your other teeth clean during recovery. This reduces your risk for infection. Take all medications as prescribed. Your surgeon will give you medications to keep you comfortable and reduce your risk of infection. Don’t stop taking these medications until your surgeon says it’s OK. DON’T: Drink through a straw. This dislodges blood clots and causes dry sockets. Exercise until your surgeon says it’s OK. Getting your heart rate up increases your risk for pain, bleeding and swelling. Most people can resume their fitness routines in about 48 to 72 hours. Lift heavy things. Heavy lifting also increases your risk for postoperative complications like pain, bleeding and swelling. Eat hard, crunchy or chewy foods. These can damage your healing gums and cause pain. Drink carbonated beverages or beverages containing alcohol. These beverages can dislodge blood clots and cause dry sockets. Skip these drinks for at least five days. Wisdom tooth removal can reduce your risk for future oral health problems, like: Gum disease. Tooth decay. Damage to neighboring teeth. Bone loss. Jaw damage. If you’ve already developed pain because of your wisdom teeth, then extraction can often ease discomfort almost immediately and get you back on track to better oral health. Wisdom teeth removal usually doesn’t result in long-term complications. In rare instances, people may develop: Infection (pus coming out of your socket or incisions). Dry sockets (loss of blood clot resulting in exposed bone). Damage to other oral structures, including your jawbone, nerves, sinuses or nearby teeth. Recovery and Outlook How long does it take to recover after wisdom teeth removal? Wisdom teeth removal recovery time takes one to two weeks on average. But most people can resume school, work and other routines in about three to five days. Your surgeon will give you detailed postoperative instructions to help keep you comfortable while you heal. In general, eat a soft food diet for the first three to five days. Avoid hard, crunchy or chewy foods, as these can cause pain and interfere with healing. Your surgeon will give you a list of things you can eat after wisdom tooth extraction. Some of these foods include: Yogurt. Smoothies. Pudding. Soups. Macaroni and cheese. Scrambled eggs. Applesauce. Mashed potatoes. Cottage cheese. Pureed fruit. Cooked vegetables. When can I go back to work or school? You’ll need to rest at home for three to five days after wisdom tooth removal. Most people can resume work, school and other routines at this point. Call your dentist or oral surgeon if you develop: A fever higher than 102 degrees Fahrenheit (38.8 degrees Celsius). Excessive bleeding. Severe pain that doesn’t get better with medication. Difficulty breathing or swallowing. Swelling that gets worse after three days. An infection (pus) coming from your surgical site. Additional Details

"================ <TEXT PASSAGE> ======= Wisdom tooth removal — or wisdom tooth extraction — is a common oral surgery procedure. Dentists may recommend this treatment to preserve your oral health and protect your other teeth from possible issues in the future. Your wisdom teeth — also called third molars — are in the very back of your mouth. Typically, they erupt (grow in) sometime between the ages of 17 and 25. Scientists believe wisdom teeth are vestigial structures (parts of the human body that are no longer necessary). Our ancestors needed these teeth to crush and chew raw leaves, nuts, roots and meat. Today, we eat more cooked food and use forks and knives to cut our food up into smaller pieces. As a result, we don’t really need wisdom teeth anymore. Some people have all four wisdom teeth (one in each quadrant — the upper left, lower left, upper right and lower right). Others may have one, two, three or none at all. No matter how many wisdom teeth you do (or don’t) have, it doesn’t mean there’s something wrong. It’s just a variation of normal and a sign of the ever-changing evolutionary process. You might need wisdom teeth removed if you: Have one or more impacted wisdom teeth. (“Impacted” means partially or fully trapped in your gums or jawbone.) Have wisdom teeth that grew in crooked or sideways. Develop pain near the back of your mouth. Trap food and debris around your wisdom teeth. Develop gum disease, particularly around your molars. Have tooth decay (cavities) in a partially erupted wisdom tooth. Develop a cyst (fluid-filled sac) around one or more wisdom teeth. Have damage to nearby teeth or surrounding bone. In many cases, dentists recommend wisdom teeth extraction as a preventive measure. As a result, your dentist may suggest removing your wisdom teeth even if you don’t have any symptoms. This can help reduce your risk for future problems, including infection and tooth decay. How should I prepare for wisdom teeth removal? During a consultation with an oral surgeon, they’ll check the health of your wisdom teeth and take dental X-rays to determine their exact location. This is a good time to tell your surgeon about any medications, vitamins or supplements you’re currently taking. The day of your procedure, your surgeon will: Give you anesthesia to numb your teeth and gums and keep you comfortable. (If you choose sedation, they’ll give you sedative medications, as well.) Make incisions (cuts) in your gums, if necessary, to expose teeth trapped in your gums or jawbone. Carefully loosen your wisdom tooth and lift it from its socket. (They may need to divide your tooth into sections for easier removal.) Clean the area to make sure there’s no infection. Place stitches to close the surgical site, if necessary. Place gauze over the sockets to slow bleeding. How long does this procedure take? Wisdom tooth extraction usually takes an hour or less. Complex cases may take longer. What happens after wisdom teeth removal? After wisdom teeth removal, you can expect mild discomfort, slight bleeding and swelling. Your oral surgeon will give you instructions for wisdom teeth management to ease these side effects. Once your sedation wears off enough, a trusted friend or family member will drive you home. Dos and don’ts after wisdom tooth extraction Your surgeon will give you postoperative guidelines specific for your situation. Following these instructions will help you manage bleeding, swelling and pain after your procedure. DO: Leave gauze in place for about 30 minutes after your surgery. Replace with clean gauze if necessary. Your surgeon can tell you when to stop using gauze after wisdom tooth extraction. But in general, you can take it out when the bleeding slows. It’s normal to have some oozing, but you shouldn’t have excessive bleeding. Rest as much as you can. You should stay at home and recover for at least three to five days. If you have a physically demanding job, you might need to wait longer before returning to work. Use an ice pack to help reduce swelling. Wrap the ice pack in a clean towel and place it on your face. Leave it on for 20 minutes, and then take it off for 20 minutes. Repeat several times a day. Keep extraction sites clean. Gently soak the surgical areas with alcohol-free antibacterial mouthwash. Don’t swish. Swishing can dislodge blood clots and cause dry sockets, a painful condition that exposes the bone at your extraction site. Instead, lean your head to each side and let the mouthwash soak the areas. Brush and floss the rest of your teeth every day. While you don’t want to brush over the extraction sites, you’ll still need to keep your other teeth clean during recovery. This reduces your risk for infection. Take all medications as prescribed. Your surgeon will give you medications to keep you comfortable and reduce your risk of infection. Don’t stop taking these medications until your surgeon says it’s OK. DON’T: Drink through a straw. This dislodges blood clots and causes dry sockets. Exercise until your surgeon says it’s OK. Getting your heart rate up increases your risk for pain, bleeding and swelling. Most people can resume their fitness routines in about 48 to 72 hours. Lift heavy things. Heavy lifting also increases your risk for postoperative complications like pain, bleeding and swelling. Eat hard, crunchy or chewy foods. These can damage your healing gums and cause pain. Drink carbonated beverages or beverages containing alcohol. These beverages can dislodge blood clots and cause dry sockets. Skip these drinks for at least five days. Wisdom tooth removal can reduce your risk for future oral health problems, like: Gum disease. Tooth decay. Damage to neighboring teeth. Bone loss. Jaw damage. If you’ve already developed pain because of your wisdom teeth, then extraction can often ease discomfort almost immediately and get you back on track to better oral health. Wisdom teeth removal usually doesn’t result in long-term complications. In rare instances, people may develop: Infection (pus coming out of your socket or incisions). Dry sockets (loss of blood clot resulting in exposed bone). Damage to other oral structures, including your jawbone, nerves, sinuses or nearby teeth. Recovery and Outlook How long does it take to recover after wisdom teeth removal? Wisdom teeth removal recovery time takes one to two weeks on average. But most people can resume school, work and other routines in about three to five days. Your surgeon will give you detailed postoperative instructions to help keep you comfortable while you heal. In general, eat a soft food diet for the first three to five days. Avoid hard, crunchy or chewy foods, as these can cause pain and interfere with healing. Your surgeon will give you a list of things you can eat after wisdom tooth extraction. Some of these foods include: Yogurt. Smoothies. Pudding. Soups. Macaroni and cheese. Scrambled eggs. Applesauce. Mashed potatoes. Cottage cheese. Pureed fruit. Cooked vegetables. When can I go back to work or school? You’ll need to rest at home for three to five days after wisdom tooth removal. Most people can resume work, school and other routines at this point. Call your dentist or oral surgeon if you develop: A fever higher than 102 degrees Fahrenheit (38.8 degrees Celsius). Excessive bleeding. Severe pain that doesn’t get better with medication. Difficulty breathing or swallowing. Swelling that gets worse after three days. An infection (pus) coming from your surgical site. Additional Details https://my.clevelandclinic.org/health/treatments/22119-wisdom-teeth-removal ================ <QUESTION> ======= My daughter might need to have her wisdom teeth out soon so I'm trying to get ahead on information. What are some reasons they might need to come out? What are some risks and concerns with this surgery? I'm also interested in some food options she could enjoy while healing. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

You can only respond to the prompt using the information in the context block and no other sources.

Based on this text, what are the primary differences between customer surveys and customer feedback collected from other sources?

The most direct method for measuring retail shoppability is to talk with customers. This can be as simple as asking shoppers what they like and dislike about the store, or a more structured questionnaire where people evaluate the quality of the shopping experience on several dimensions. Focus group studies can be a useful first step to identify problems with the shopping environment, but surveys are a better tool for the ongoing measurement and evaluation of store performance. A survey might ask shoppers to rate the store on specific features, including the breadth and depth of product assortments, the perception of product quality and value, the attractiveness of displays and merchandising, the ease of navigation, the level of shopping convenience, the availability of product information, the frequency of out-of-stocks, the quality of service, and the speed of checkout; as well as collecting more general reactions, such as overall enjoyment of the shopping experience, satisfaction with the products purchased, likelihood of recommending the store, and intention to return in the future. One common technique for collecting this information is the exit interview, where customers are asked to share their reactions after completing the shopping trip. The survey can be conducted immediately following the store visit — shoppers are intercepted and questioned as they leave the store — or at a later time using the customer’s phone number or e-mail address captured at checkout. Alternatively, the retailer can print the telephone number or web address of an automated survey on the sales receipt, along with an incentive to complete the interview. Another popular data-collection method is the critical incident technique. Shoppers are contacted at home and asked to remember the last time they went shopping for a particular product. Consumers recall the positive and negative aspects of the shopping experience and offer suggestions for improvement. Customer feedback can be collected on an ongoing basis from several other sources. Customer comments, complaints and suggestions at an in-store service desk or remote call center may suggest difficulties with service quality and other aspects of the shopping experience. Superquinn actively solicits such feedback from customers by rewarding each shopper with 100 SuperClub loyalty program points each time they report a company goof. Product returns and exchanges highlight potential problems in product quality and customer education. Customer inquiries, both in the store and through a toll-free number, can signal demand for new products. Employees are also a valuable source of information on what customers want, how they shop, and the obstacles they encounter. Survey research offers several benefits. It provides quick and inexpensive consumer feedback. It generates diagnostic information that can help guide improvements in the shopping experience. It allows the researcher to evaluate the importance of shopping factors for specific consumer segments and product categories. Store ratings can be benchmarked against competitors and tracked over time to evaluate performance. Surveys also have limitations that should be kept in mind. Consumers may not notice or report poor performance because it is what they have come to expect. Consumer memory is limited, so shoppers may not recall shelf arrangements, merchandising, and promotions, even though these variables affect their behavior. Consumers are only knowledgeable about the specific stores and categories they shop, so some ratings may not be reliable. Finally, it can be difficult to relate survey results to more objective measures of store performance.

You can only respond to the prompt using the information in the context block and no other sources. Based on this text, what are the primary differences between customer surveys and customer feedback collected from other sources? The most direct method for measuring retail shoppability is to talk with customers. This can be as simple as asking shoppers what they like and dislike about the store, or a more structured questionnaire where people evaluate the quality of the shopping experience on several dimensions. Focus group studies can be a useful first step to identify problems with the shopping environment, but surveys are a better tool for the ongoing measurement and evaluation of store performance. A survey might ask shoppers to rate the store on specific features, including the breadth and depth of product assortments, the perception of product quality and value, the attractiveness of displays and merchandising, the ease of navigation, the level of shopping convenience, the availability of product information, the frequency of out-of-stocks, the quality of service, and the speed of checkout; as well as collecting more general reactions, such as overall enjoyment of the shopping experience, satisfaction with the products purchased, likelihood of recommending the store, and intention to return in the future. One common technique for collecting this information is the exit interview, where customers are asked to share their reactions after completing the shopping trip. The survey can be conducted immediately following the store visit — shoppers are intercepted and questioned as they leave the store — or at a later time using the customer’s phone number or e-mail address captured at checkout. Alternatively, the retailer can print the telephone number or web address of an automated survey on the sales receipt, along with an incentive to complete the interview. Another popular data-collection method is the critical incident technique. Shoppers are contacted at home and asked to remember the last time they went shopping for a particular product. Consumers recall the positive and negative aspects of the shopping experience and offer suggestions for improvement. Customer feedback can be collected on an ongoing basis from several other sources. Customer comments, complaints and suggestions at an in-store service desk or remote call center may suggest difficulties with service quality and other aspects of the shopping experience. Superquinn actively solicits such feedback from customers by rewarding each shopper with 100 SuperClub loyalty program points each time they report a company goof. Product returns and exchanges highlight potential problems in product quality and customer education. Customer inquiries, both in the store and through a toll-free number, can signal demand for new products. Employees are also a valuable source of information on what customers want, how they shop, and the obstacles they encounter. Survey research offers several benefits. It provides quick and inexpensive consumer feedback. It generates diagnostic information that can help guide improvements in the shopping experience. It allows the researcher to evaluate the importance of shopping factors for specific consumer segments and product categories. Store ratings can be benchmarked against competitors and tracked over time to evaluate performance. Surveys also have limitations that should be kept in mind. Consumers may not notice or report poor performance because it is what they have come to expect. Consumer memory is limited, so shoppers may not recall shelf arrangements, merchandising, and promotions, even though these variables affect their behavior. Consumers are only knowledgeable about the specific stores and categories they shop, so some ratings may not be reliable. Finally, it can be difficult to relate survey results to more objective measures of store performance.

"================ <TEXT PASSAGE> ======= [context document] ================ <QUESTION> ======= [user request] ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

I own a small jewelry retail business with three employees and want to improve profitability by reducing theft. My store is located in a shopping mall, with one entry and exit. We just opened a few months ago and my new loss prevention manager needs four strategies we can implement focusing on customer awareness to help turn my business around. We have about three cameras using CCTV and a POS system on two registers. We are a high traffic store and I need these strategies quick, we open in a few hours.

Loss prevention is how you prevent inventory loss and preserve profits. It’s a critical concern for retailers, amounting to over $94.5 billion in U.S. retail losses in 2021. It’s no wonder some 45% of retailers increased their loss prevention budgets in 2022. They know that theft, fraud, and unexplained inventory shrinkage can quickly eat up profits. Loss prevention is any practice designed to reduce a business's losses from theft, fraud, and operational errors. The goal of loss prevention is to eliminate preventable loss and preserve profits. It’s primarily found in retail, but also exists in other business environments. Managing loss prevention can feel overwhelming, especially if you’re a small to mid-sized operation. By implementing a few key security measures, however, you can reduce your risk of loss and improve profitability. Retail loss prevention consists of identifying shrinkage causes and following up with solutions. Businesses often implement strategies like hiring a loss prevention manager or installing security cameras to improve loss prevention and increase profits. It occurs in various scenarios, such as misappropriation of funds, time theft, falsified expense reports, etc. Internal theft can be caused by both customers and employees and can cost organizations thousands of dollars annually. You can also keep your store safe by monitoring activity with CCTV (closed-circuit television). These cameras can watch entry points into the store, like the customer entrance and loading docks. They record what's going on so you can see if anyone's trying to get in who shouldn't. Using CCTV also acts as a deterrent for potential thieves. It gives the appearance of strong security and shows you take losses seriously. Over 93% of retailers have a security policy or “code of conduct” for preventing loss and keeping people safe. For customers, your policy may include: Guidelines for respecting other customers and employees. Directions for reporting potential theft to store staff. Rules against stealing or damaging items. Train your employees on the rules and expectations of your security policy. Meetings and trainings are good ways to remind employees about the policy. To remind customers about the rules, you can also post signs around the store. inventory control is a system that retailers use to manage and track their inventory levels. This includes tracking product flow in and out of the store and keeping accurate sales records. You can reduce inventory losses and boost profits by implementing an inventory control system. It's important for retailers to invest in effective employee training to prevent shoplifting and other types of fraud. Educating staff on recognizing and preventing crimes can further protect your business and customers. There are many types of awareness and education programs. The NRF’s National Security Survey asked which programs retailers used to train and educate team members about loss prevention and retail asset protection. Here are the top initiatives they found: Anonymous telephone “hotline” program (87.9%) Active shooter training programs (84.5%) Bulletin board notices/posters (82.8%) Internet/computer-based training videos (79.3%) Face-to-face training during new hire orientation (74.1%) Anonymous online/email notification program (60.3%) It's easy to get loss prevention training. You can take an online course from Loss Prevention Academy or Loss Prevention Foundation or hire a third-party security and loss prevention expert to train your employees. Put up anti-theft signs. Signage around your store can help keep losses at a minimum. These are small reminders for potential shoplifters that tell them not to steal from your store. It can help deter people who don’t want to pay for items, especially if they know they are on camera. Use a third-party accountant. Work with an external accountant to ensure your accounts are accurate and up-to-date. They can give you an unbiased look at your records, identify any discrepancies in your profits and losses, and help you track inventory more effectively. Use your POS to identify loss. Sales and inventory reports help identify trends in missing items. It can also highlight patterns in gift card sales, returns and exchanges, and provide insight into who was working during times when suspicious activity took place. Hire a loss prevention specialist. These professionals are trained to identify potential areas of vulnerability and implement measures to help combat theft or fraud. Although Sears Canada finished shutting all its doors in early 2018, we can still learn from its example on the loss prevention front. Sears Canada focused on combining old standbys and cutting-edge technology. It armed loss prevention personnel with the best tools, not just the newest. It relied on video surveillance in all Sears Canada stores—but not to catch shoplifters after the fact. The loss prevention team used data and video analysis of in-store surveillance cameras to identify patterns, like areas of the store where customers spent a lot of time. By analyzing these patterns and sharing them across all stores, the team was better able to train their focus on “hot spots,” or areas prone to theft activity, and to catch shoplifting behaviors before they became a problem. One of the bigger retail developments of the past decade has been the appearance of self-checkout lines at major chains. Eliminating the cashier (scanning each item, interacting with customers, observing behavior) presents an obvious barrier to loss prevention efforts. Target approached this problem by leaning hard into one of the anti-shoplifting tactics above: conspicuous surveillance. If you’ve gone through self-checkout at a Target store recently, you might have noticed—right at eye level—your own face staring back at you. “You’re being monitored,” it reminds you. Target also trains surveillance on the scanner, so loss prevention personnel can see which items the customer scanned and which they didn't.

"================ <TEXT PASSAGE> ======= Loss prevention is how you prevent inventory loss and preserve profits. It’s a critical concern for retailers, amounting to over $94.5 billion in U.S. retail losses in 2021. It’s no wonder some 45% of retailers increased their loss prevention budgets in 2022. They know that theft, fraud, and unexplained inventory shrinkage can quickly eat up profits. Loss prevention is any practice designed to reduce a business's losses from theft, fraud, and operational errors. The goal of loss prevention is to eliminate preventable loss and preserve profits. It’s primarily found in retail, but also exists in other business environments. Managing loss prevention can feel overwhelming, especially if you’re a small to mid-sized operation. By implementing a few key security measures, however, you can reduce your risk of loss and improve profitability. Retail loss prevention consists of identifying shrinkage causes and following up with solutions. Businesses often implement strategies like hiring a loss prevention manager or installing security cameras to improve loss prevention and increase profits. It occurs in various scenarios, such as misappropriation of funds, time theft, falsified expense reports, etc. Internal theft can be caused by both customers and employees and can cost organizations thousands of dollars annually. You can also keep your store safe by monitoring activity with CCTV (closed-circuit television). These cameras can watch entry points into the store, like the customer entrance and loading docks. They record what's going on so you can see if anyone's trying to get in who shouldn't. Using CCTV also acts as a deterrent for potential thieves. It gives the appearance of strong security and shows you take losses seriously. Over 93% of retailers have a security policy or “code of conduct” for preventing loss and keeping people safe. For customers, your policy may include: Guidelines for respecting other customers and employees. Directions for reporting potential theft to store staff. Rules against stealing or damaging items. Train your employees on the rules and expectations of your security policy. Meetings and trainings are good ways to remind employees about the policy. To remind customers about the rules, you can also post signs around the store. inventory control is a system that retailers use to manage and track their inventory levels. This includes tracking product flow in and out of the store and keeping accurate sales records. You can reduce inventory losses and boost profits by implementing an inventory control system. It's important for retailers to invest in effective employee training to prevent shoplifting and other types of fraud. Educating staff on recognizing and preventing crimes can further protect your business and customers. There are many types of awareness and education programs. The NRF’s National Security Survey asked which programs retailers used to train and educate team members about loss prevention and retail asset protection. Here are the top initiatives they found: Anonymous telephone “hotline” program (87.9%) Active shooter training programs (84.5%) Bulletin board notices/posters (82.8%) Internet/computer-based training videos (79.3%) Face-to-face training during new hire orientation (74.1%) Anonymous online/email notification program (60.3%) It's easy to get loss prevention training. You can take an online course from Loss Prevention Academy or Loss Prevention Foundation or hire a third-party security and loss prevention expert to train your employees. Put up anti-theft signs. Signage around your store can help keep losses at a minimum. These are small reminders for potential shoplifters that tell them not to steal from your store. It can help deter people who don’t want to pay for items, especially if they know they are on camera. Use a third-party accountant. Work with an external accountant to ensure your accounts are accurate and up-to-date. They can give you an unbiased look at your records, identify any discrepancies in your profits and losses, and help you track inventory more effectively. Use your POS to identify loss. Sales and inventory reports help identify trends in missing items. It can also highlight patterns in gift card sales, returns and exchanges, and provide insight into who was working during times when suspicious activity took place. Hire a loss prevention specialist. These professionals are trained to identify potential areas of vulnerability and implement measures to help combat theft or fraud. Although Sears Canada finished shutting all its doors in early 2018, we can still learn from its example on the loss prevention front. Sears Canada focused on combining old standbys and cutting-edge technology. It armed loss prevention personnel with the best tools, not just the newest. It relied on video surveillance in all Sears Canada stores—but not to catch shoplifters after the fact. The loss prevention team used data and video analysis of in-store surveillance cameras to identify patterns, like areas of the store where customers spent a lot of time. By analyzing these patterns and sharing them across all stores, the team was better able to train their focus on “hot spots,” or areas prone to theft activity, and to catch shoplifting behaviors before they became a problem. One of the bigger retail developments of the past decade has been the appearance of self-checkout lines at major chains. Eliminating the cashier (scanning each item, interacting with customers, observing behavior) presents an obvious barrier to loss prevention efforts. Target approached this problem by leaning hard into one of the anti-shoplifting tactics above: conspicuous surveillance. If you’ve gone through self-checkout at a Target store recently, you might have noticed—right at eye level—your own face staring back at you. “You’re being monitored,” it reminds you. Target also trains surveillance on the scanner, so loss prevention personnel can see which items the customer scanned and which they didn't. https://www.shopify.com/retail/loss-prevention#3 ================ <QUESTION> ======= I own a small jewelry retail business with three employees and want to improve profitability by reducing theft. My store is located in a shopping mall, with one entry and exit. We just opened a few months ago and my new loss prevention manager needs four strategies we can implement focusing on customer awareness to help turn my business around. We have about three cameras using CCTV and a POS system on two registers. We are a high traffic store and I need these strategies quick, we open in a few hours. ================ <TASK> ======= You are an expert in question answering. Your task is to reply to a query or question, based only on the information provided by the user. It should only use information in the article provided."

Give a maximum of three bullet points for each, and use only the information provided in the given text below.

Provide some potential benefits and risks of the IoT.

The IoT is not separate from the Internet, but rather, a potentially huge extension and expansion of it. The “things” that form the basis of the IoT are objects. They could be virtually anything— streetlights, thermostats, electric meters,11 fitness trackers, factory equipment, automobiles, unmanned aircraft systems (UASs or drones),12 or even cows or sheep in a field.13 What makes an object part of the IoT is embedded or attached computer chips or similar components that give the object both a unique identifier and Internet connectivity. Objects with such components are often called “smart”—such as smart meters and smart cars. Internet connectivity allows a smart object to communicate with computers and with other smart objects. Connections of smart objects to the Internet can be wired, such as through Ethernet cables, or wireless, such as via a Wi-Fi or cellular network. To enable precise communications, each IoT object must be uniquely identifiable. That is accomplished through an Internet Protocol (IP) address, a number assigned to each Internet connected device, whether a desktop computer, a mobile phone, a printer, or an IoT object.14 Those IP addresses ensure that the device or object sending or receiving information is correctly identified. What kinds of information do IoT objects communicate? The answer depends on the nature of the object, and it can be simple or complex. For example, a smart thermometer might have only one sensor, used to communicate ambient temperature to a remote weather-monitoring center. A wireless medical device might, in contrast, use various sensors to communicate a person’s body temperature, pulse, blood pressure, and other variables to a medical service provider via a computer or mobile phone. Smart objects can also be involved in command networks. For example, industrial control systems can adjust manufacturing processes based on input from both other IoT objects and human operators. Network connectivity can permit such operations to be performed in “real time”—that is, almost instantaneously. Smart objects can form systems that communicate information and commands among themselves, usually in concert with computers they connect to. This kind of communication enables the use of smart systems in homes, vehicles, factories, and even entire cities. Smart systems allow for automated and remote control of many processes. A smart home can permit remote control of lighting, security, HVAC (heating, ventilating, and air conditioning), and appliances. In a smart city, an intelligent transportation system (ITS) may permit vehicles to communicate with other vehicles and roadways to determine the fastest route to a destination, avoiding traffic jams, and traffic signals can be adjusted based on congestion information received from cameras and other sensors.15 Buildings might automatically adjust electric usage, based on information sent from remote thermometers and other sensors.16 An Industrial Internet application can permit companies to monitor production systems and adjust processes, remotely control and synchronize machinery operations, track inventory and supply chains, and perform other tasks.17 IoT connections and communications can be created across a broad range of objects and networks and can transform previously independent processes into integrated systems. These integrated systems can potentially have substantial effects on homes and communities, factories and cities, and every sector of the economy, both domestically and globally. What Impacts Will the IoT Have? The IoT may significantly affect many aspects of the economy and society, although the full extent and nature of its eventual impacts remains uncertain. Many observers predict that the growth of the IoT will bring positive benefits through enhanced integration, efficiency, and productivity across many sectors of the U.S. and global economies.18 Among those commonly mentioned are agriculture, energy, health care, manufacturing, and transportation. Significant impacts may also be felt more broadly on economic growth, infrastructure and cities, and individual consumers. However, both policy and technical challenges, including security and privacy issues, might inhibit the growth and impact of IoT innovations. Economic Growth Several economic analyses have predicted that the IoT will contribute significantly to economic growth over the next decade, but the predictions vary substantially in magnitude. The current global IoT market has been valued at about $2 trillion, with estimates of its predicted value over the next 5 to 10 years varying from $4 trillion to $11 trillion.19 Such variability demonstrates the difficulty of making economic forecasts in the face of various uncertainties, including a lack of consensus among researchers about exactly what the IoT is and how it will develop.20 Economic Sectors Agriculture The IoT can be leveraged by the agriculture industry through precision agriculture, with the goal of optimizing production and efficiency while reducing costs and environmental impacts. For farming operations, it involves analysis of detailed, often real-time data on weather, soil and air quality, water supply, pest populations, crop maturity, and other factors such as the cost and availability of equipment and labor.21 Field sensors test soil moisture and chemical balance, which can be coupled with location technologies to enable precise irrigation and fertilization.22 Drones and satellites can be used to take detailed images of fields, giving farmers information about crop yield, nutrient deficiencies, and weed locations.23 For ranching and animal operations, radio frequency identification (RFID) chips and electronic identification readers (EID) help monitor animal movements, feeding patterns, and breeding capabilities, while maintaining detailed records on individual animals.24 Energy Within the energy sector, the IoT may impact both production and delivery, for example through facilitating monitoring of oil wellheads and pipelines.25 When IoT components are embedded into parts of the electrical grid, the resulting infrastructure is commonly referred to as the “smart grid.”26 This use of IoT enables greater control by utilities over the flow of electricity and can enhance the efficiency of grid operations.27 It can also expedite the integration of microgenerators into the grid.28 Smart-grid technology can also provide consumers with greater knowledge and control of their energy usage through the use of smart meters in the home or office.29 Connection of smart meters to a building’s HVAC, lighting, and other systems can result in “smart buildings” that integrate the operation of those systems.30 Smart buildings use sensors and other data to automatically adjust room temperatures, lighting, and overall energy usage, resulting in greater efficiency and lower energy cost.31 Information from adjacent buildings may be further integrated to provide additional efficiencies in a neighborhood or larger division in a city.

Provide some potential benefits and risks of the IoT. Give a maximum of three bullet points for each, and use only the information provided in the given text below. The IoT is not separate from the Internet, but rather, a potentially huge extension and expansion of it. The “things” that form the basis of the IoT are objects. They could be virtually anything— streetlights, thermostats, electric meters,11 fitness trackers, factory equipment, automobiles, unmanned aircraft systems (UASs or drones),12 or even cows or sheep in a field.13 What makes an object part of the IoT is embedded or attached computer chips or similar components that give the object both a unique identifier and Internet connectivity. Objects with such components are often called “smart”—such as smart meters and smart cars. Internet connectivity allows a smart object to communicate with computers and with other smart objects. Connections of smart objects to the Internet can be wired, such as through Ethernet cables, or wireless, such as via a Wi-Fi or cellular network. To enable precise communications, each IoT object must be uniquely identifiable. That is accomplished through an Internet Protocol (IP) address, a number assigned to each Internet connected device, whether a desktop computer, a mobile phone, a printer, or an IoT object.14 Those IP addresses ensure that the device or object sending or receiving information is correctly identified. What kinds of information do IoT objects communicate? The answer depends on the nature of the object, and it can be simple or complex. For example, a smart thermometer might have only one sensor, used to communicate ambient temperature to a remote weather-monitoring center. A wireless medical device might, in contrast, use various sensors to communicate a person’s body temperature, pulse, blood pressure, and other variables to a medical service provider via a computer or mobile phone. Smart objects can also be involved in command networks. For example, industrial control systems can adjust manufacturing processes based on input from both other IoT objects and human operators. Network connectivity can permit such operations to be performed in “real time”—that is, almost instantaneously. Smart objects can form systems that communicate information and commands among themselves, usually in concert with computers they connect to. This kind of communication enables the use of smart systems in homes, vehicles, factories, and even entire cities. Smart systems allow for automated and remote control of many processes. A smart home can permit remote control of lighting, security, HVAC (heating, ventilating, and air conditioning), and appliances. In a smart city, an intelligent transportation system (ITS) may permit vehicles to communicate with other vehicles and roadways to determine the fastest route to a destination, avoiding traffic jams, and traffic signals can be adjusted based on congestion information received from cameras and other sensors.15 Buildings might automatically adjust electric usage, based on information sent from remote thermometers and other sensors.16 An Industrial Internet application can permit companies to monitor production systems and adjust processes, remotely control and synchronize machinery operations, track inventory and supply chains, and perform other tasks.17 IoT connections and communications can be created across a broad range of objects and networks and can transform previously independent processes into integrated systems. These integrated systems can potentially have substantial effects on homes and communities, factories and cities, and every sector of the economy, both domestically and globally. What Impacts Will the IoT Have? The IoT may significantly affect many aspects of the economy and society, although the full extent and nature of its eventual impacts remains uncertain. Many observers predict that the growth of the IoT will bring positive benefits through enhanced integration, efficiency, and productivity across many sectors of the U.S. and global economies.18 Among those commonly mentioned are agriculture, energy, health care, manufacturing, and transportation. Significant impacts may also be felt more broadly on economic growth, infrastructure and cities, and individual consumers. However, both policy and technical challenges, including security and privacy issues, might inhibit the growth and impact of IoT innovations. Economic Growth Several economic analyses have predicted that the IoT will contribute significantly to economic growth over the next decade, but the predictions vary substantially in magnitude. The current global IoT market has been valued at about $2 trillion, with estimates of its predicted value over the next 5 to 10 years varying from $4 trillion to $11 trillion.19 Such variability demonstrates the difficulty of making economic forecasts in the face of various uncertainties, including a lack of consensus among researchers about exactly what the IoT is and how it will develop.20 Economic Sectors Agriculture The IoT can be leveraged by the agriculture industry through precision agriculture, with the goal of optimizing production and efficiency while reducing costs and environmental impacts. For farming operations, it involves analysis of detailed, often real-time data on weather, soil and air quality, water supply, pest populations, crop maturity, and other factors such as the cost and availability of equipment and labor.21 Field sensors test soil moisture and chemical balance, which can be coupled with location technologies to enable precise irrigation and fertilization.22 Drones and satellites can be used to take detailed images of fields, giving farmers information about crop yield, nutrient deficiencies, and weed locations.23 For ranching and animal operations, radio frequency identification (RFID) chips and electronic identification readers (EID) help monitor animal movements, feeding patterns, and breeding capabilities, while maintaining detailed records on individual animals.24 Energy Within the energy sector, the IoT may impact both production and delivery, for example through facilitating monitoring of oil wellheads and pipelines.25 When IoT components are embedded into parts of the electrical grid, the resulting infrastructure is commonly referred to as the “smart grid.”26 This use of IoT enables greater control by utilities over the flow of electricity and can enhance the efficiency of grid operations.27 It can also expedite the integration of microgenerators into the grid.28 Smart-grid technology can also provide consumers with greater knowledge and control of their energy usage through the use of smart meters in the home or office.29 Connection of smart meters to a building’s HVAC, lighting, and other systems can result in “smart buildings” that integrate the operation of those systems.30 Smart buildings use sensors and other data to automatically adjust room temperatures, lighting, and overall energy usage, resulting in greater efficiency and lower energy cost.31 Information from adjacent buildings may be further integrated to provide additional efficiencies in a neighborhood or larger division in a city.

Use only the information contained in the prompt to answer any questions the user may ask. Do not use any other sources or any information from your stored data from before this conversation. If you cannot answer the user's question using only the provided context, say "I can't determine the answer as the information you are seeking is not provided in the reference document." Format your answer in a bullet point list.

What mechanisms have been proposed for post-Covid neurological complications?

Introduction The predominant acute presentations of COVID-19 are respiratory, but neurological manifestations have been recognized as an important component of the disease, even in cases without respiratory symptoms (2-5). The neurological manifestations associated with COVID-19 range from mild to critical, affect adults and children and can present both during and after acute COVID-19 infection. Reported neurological signs, symptoms or syndromes in the acute phase include headache, dizziness, impaired taste or smell, delirium, agitation, stroke, seizures, coma, meningoencephalitis and Guillain-Barré syndrome (6, 7). Consequences in the post-acute phase are also emerging, as either persisting or newly developing signs and symptoms (post-COVID-19 condition); these include headache, problems with smell or taste, cognitive impairment, confusion, fatigue, difficulty concentrating, sleep disturbances and neuropsychiatric symptoms (8, 9). COVID-19 disproportionately affects people with pre-existing neurological disorders. Chronic neurological disorders were found to be independently associated with increased mortality in hospitalized COVID-19 patients (hazard ratio [HR]: 2.13; 95% confidence interval [CI]: 1.38–3.28) (10). Individuals with pre-existing neurological conditions have been affected by disruptions to routine care, delayed care because of concerns about infectious risks and disruptions to supply chains for medicines and resultant stock-outs (11). This scientific brief provides a comprehensive overview of the relationship between neurology and COVID-19 and covers what is currently known about: • the acute neurological manifestations of COVID-19 • the neurological sequelae associated with post-COVID-19 condition • the risk of infection, severe illness and mortality from COVID-19 for people with pre-existing neurological conditions • the extent of disruptions to neurological services caused by the pandemic and mitigation strategies to address these disruptions • emerging evidence for neurological complications following COVID-19 vaccination. The target audience for this document includes health care providers, researchers, policy-makers and other stakeholders interested in the evidence relating to neurology and COVID-19. The aim is to increase awareness and recognition of the associated neurological aspects of COVID-19 to improve care and mitigation responses, particularly in low-resource settings. Methods This scientific brief is based on the evidence that emerged from systematic or rapid reviews and meta-analyses commissioned by WHO (14);1 WHO pulse surveys (15); WHO’s rapid assessment on services for mental, neurological and substance use (MNS) disorders (16) and other relevant publications. A commissioned rapid review. (https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3907265); and Misra S, Kolappa K, Prasad M, Radhakrishnan D, Thakur KT, Solomon T. et al. Frequency of neurological manifestations in COVID-19: a systematic review and meta-analysis of 350 studies (https://www.medrxiv.org/content/10.1101/2021.04.20.21255780v1) 1 Neurology and COVID-19: Scientific brief -2- Review of the evidence Acute neurological manifestations of COVID-19 To assess the types and frequencies of reported neurological manifestations associated with COVID-19, WHO assisted with a systematic review and meta-analysis involving data from 145 721 patients with acute COVID-19 infections derived from 350 case series (17). COVID-19 infection was confirmed by real-time reverse-transcription polymerase chain reaction (RT-PCR) detection, high-throughput sequencing, SARS-CoV-2 viral culture in throat swab specimens, SARS-CoV-2 antibody detection in blood samples or SARS-CoV-2 viral culture in throat swab specimens. Most patients (n=129 786, 89%) included in the review were hospitalized. A total of 23 acute neurological symptoms (Table 1) and 14 neurological diagnoses (Table 2) were reported in the literature. Up to one third (n=48 059) of COVID-19 patients experienced some type of neurological manifestation, and 1 in 50 developed a stroke. In COVID-19 patients aged over 60 years, the most frequent neurological manifestation was acute confusion/delirium (pooled prevalence: 34%; 95% CI: 23–46%). For all ages, the likelihood of experiencing acute confusion/delirium, stroke, seizure and movement disorders increased with increasing severity of COVID-19, but these associations were not statistically significant. Smell and taste impairments were significantly associated with non-severe COVID-19 (odds ratio [OR]: 0.44; 95% CI: 0.28–0.68 and OR: 0.62; 95% CI: 0.42–0.91, respectively). In COVID-19 patients aged over 60 years, the presence of any neurological manifestations was associated with significantly increased mortality (OR: 1.80; 95% CI: 1.11–2.91). Limitations The overall risk of bias was assessed as being low for most studies (n=296, 85%) but studies with higher risk of bias yielded higher prevalence estimates. Also, for most outcomes the meta-analyses yielded a high degree of heterogeneity, indicating substantial clinical or methodological diversity, which in some instances rendered the pooling of data inappropriate. There are gaps in the evidence for non-hospitalized patient cohorts because their data are rarely reported in the literature. The evidence gaps have implications for incidence, prevalence, duration and severity. Similarly, the timing of the onset of signs or symptoms is often not reported. Limitations in study design of included case series precluded the comparison between acute neurological manifestations caused by COVID-19 and the incidence of such manifestations in the general population. Finally, in the absence of well-designed cohort studies, there are insufficient data to definitively assert causality between these symptoms and COVID-19. Neurological sequelae associated with post-COVID-19 condition Complications following acute viral illnesses are well described (18, 19). Soon after the advent of the COVID-19 pandemic, longitudinal cohort studies started to assess long-term sequelae of COVID-19, including neurological manifestations. At the same time, patients began to connect with each other and report on prolonged symptoms of COVID-19. In response, WHO commissioned a rapid review of 28 published population-based, cohort or case-control studies2. The review established specific new-onset neurological symptoms, signs or diagnoses occurring after the acute phase of COVID-19 that can be interpreted as complications of COVID-19; assessed specific neurological symptoms, signs or diagnoses that persist after the acute phase of COVID-19; and determined factors associated with these post acute neurological manifestations. Of the 28 studies, only two followed patients for up to 6 months. Pooling of information was not possible for methodological reasons. In a retrospective cohort of 1733 COVID-19 patients discharged from hospital, 19.6% (n=340) reported neurological manifestations after a median follow-up of 186 days (9). The complaints most commonly reported were fatigue or muscle weakness (63%; 1038/1655) and sleep difficulties (26%; 437/1655). Anxiety and depression were reported by 23% (367/1617) of patients and difficulty walking by 24% (103/423). The second prospective study followed 61 hospitalized COVID-19 patients with and without history of admission to an intensive care unit (ICU) (20). 2 Beghi E, Giussani G, Westenberg E, Allegri R, Garcia-Azorin D, Guekht A, Acute and Post-Acute Neurological Manifestations of COVID-19: Present findings, critical appraisal, and future directions. Manuscript in preparation, 2021. Neurology and COVID-19: Scientific brief Common complaints at discharge included amnestic dysfunction (30%; 18/61), dysexecutive syndrome (33%; 20/61), ataxia (11%, 7/61), and tetraparesis (18%; 11/61) (20). Limitations The evidence for long-term or newly emerging neurological complications after COVID-19 is limited, particularly in asymptomatic or non-hospitalized patients. Similarly, little is known about neurological sequelae in paediatric patients with conditions related to COVID-19, including multisystem inflammatory syndrome (MIS-C). Data from low- and middle-income countries are scarce, particularly in the post-acute phase. This has led to underreporting of neurological findings in the context of COVID-19 with reference to geography, ethnicity and sociocultural environment. Methodological issues and study design flaws further reduce the strength of the current evidence because some studies have included in the control group asymptomatic patients who were not screened with molecular or serological tests to confirm or exclude SARS-CoV-2 infection. Screening methods and diagnostic protocols vary across studies, depending on the background of the local investigators, the diagnostic approach, the number and type of contacts during follow-up and, not least, attrition and patient compliance. In addition, studies were done under surge conditions, which led to incomplete diagnostic assessment. The current understanding of neurological sequelae associated with post-COVID-19 condition is based mainly on patient reports; clinically relevant manifestations; and greater attention towards symptoms, signs and diseases that have been illustrated in previous reports By contrast, information is limited on signs that can be documented only through testing, imaging or biochemical or pathological investigations. Pre-existing neurological conditions and COVID-19 A range of pre-existing noncommunicable diseases (NCDs) are associated with an increased risk of severe outcomes in COVID-19 (21). These include several neurological conditions such as stroke and dementia. People with certain pre existing neurological conditions are more vulnerable to SARS-CoV-2 infection, experience exacerbations of their pre existing disease (22) and have higher risks of severe outcomes and death (10, 23). To synthesize the growing evidence on this topic, WHO commissioned a rapid review of 26 articles from 12 countries across three continents, with a total of 379 947 COVID-19 patients, to establish the risk of infection, severe illness and mortality from COVID-19 for people with pre-existing neurological conditions.3 The rapid review found that certain pre-existing neurological diseases are associated with severity of COVID-19.4 The most prevalent were cerebrovascular disease and dementia/neurodegenerative diseases (pooled OR: 1.99; 95% CI: 1.81 2.18). Mortality was high among people with pre-existing neurological conditions (pooled OR: 1.74; 95% CI: 1.56 1.94). Limitations Risk of bias was deemed high for most articles, and the overall quality of studies using GRADE (Grading of Recommendations Assessment, Development and Evaluations) methodology was low; hence, the value of the current evidence is limited. Most studies on the relationship between SARS-CoV-2 and pre-existing neurological conditions are based on retrospective cohorts or case series, with few data from prospective studies. Future research will benefit greatly from the use of standardized definitions and reporting for comorbidities, neurological symptoms or diagnoses. Use of standardized case report forms – such as those published by WHO (25, 26) – can also contribute to the accuracy and reliability of data. Disruptions to essential neurological services caused by the COVID-19 pandemic and mitigation strategies Interruption of routine treatment and care, as well as supply chains for medications during the COVID-19 pandemic, present significant challenges for people with neurological conditions (11). According to the latest WHO Pulse survey on continuity of essential health services during the COVID-19 pandemic (27), 45% of 121 countries for which information was available still reported disruptions to services for MNS disorders in the first quarter of 2021. Likewise, 3Chomba M, Schiess N, Seeher K, Akpalu A, Baila J, Boruah AP et al. Pre-existing neurological conditions and COVID-19 risk. A commissioned rapid review. (https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3907265) 4Ibid. -4- Neurology and COVID-19: Scientific brief disruptions to rehabilitation services, a crucial aspect of neurological care, continue to be reported by 53% (of 89 countries). With respect to neurology-specific services, WHO’s rapid assessment of services for MNS disorders during the COVID-19 pandemic in mid-2020 (16) revealed that one in three of 98 countries closed down neurology inpatient units at least partly during the pandemic. Regarding service provision, surgeries for neurological disorders were disrupted in two-thirds of 130 countries for which information was available, and the management of emergency conditions such as status epilepticus was at least partially disrupted in 35% of the same 130 countries. To better understand the extent of service disruption, its causes and mitigation strategies for neurological disorders in the context of COVID-19, WHO commissioned a rapid review of 369 articles, providing data on 210 419 patients from 105 countries (14). Studies that investigated the extent of service disruption (n=188) described it as mild (n=40, 21%), moderate (n=131, 70%) or severe (n=10, 5%). The most frequently described reasons for service disruption across 240 studies were travel restrictions related to lockdown (n=196, 82%), closure of services or consultations as per health authority directive (n=157, 65%) and reduced outpatient volume due to patients not presenting (n=135, 56%). A total of 224 studies reported on mitigation strategies, with the most frequently reported strategies being telemedicine and other teleconsultation formats (n=184, 82%), novel dispensing approaches for medicines (n=116, 52%) and redirection of patients (n=95, 42%). Limitations To date, most of the data on service disruption have been derived from high- and middle-income countries, with information from low-income countries lacking. Similarly, evidence of the effectiveness and acceptability of mitigation strategies to patients remains limited. In addition, the current published literature seems biased towards certain settings or types of services (e.g. outpatient, emergency or inpatient care). There are few reports on other areas that are crucial for treating people with chronic neurological conditions (e.g. neurorehabilitation). Going forward, more systematic evaluations and reporting of disruption of the whole spectrum of neurological services can provide a more comprehensive picture. Neurological complications following COVID-19 vaccination There is a low risk following COVID-19 vaccination of neurological complications including Bell’s palsy (28), cerebral venous sinus thrombosis (CVST) and possibly Guillain-Barré syndrome (29). However, the risk of such complications is substantially lower than the risks associated with infection with SARS-CoV-2 (30, 31). Since March 2021, cases of thromboses associated with thrombocytopenia have been reported in patients vaccinated with the Oxford-AstraZeneca ChAdOx1-S and Johnson & Johnson (J&J) Janssen Ad26.COV2.S COVID-19 vaccines. Evaluation of the cases by national and international bodies concluded that there was a plausible causal link between these two adenovirus-vectored vaccines and CVST (32-34), based on the temporal association with vaccination and an increased incidence when compared with expected baseline rates of CVST (35-42). WHO has provided guidance for clinical case management of thrombosis with thrombocytopenia syndrome (TTS) following vaccination against COVID-19 (43). Overall knowledge gaps Current evidence suggests that SARS-CoV-2 can affect the nervous system. Multiple and probably overlapping mechanisms have been proposed for the neurological manifestations; they include hypoxia, cytokine storm, post infectious autoimmune responses, hypercoagulability, neurologic complications of severe systemic illness and potential direct neurotropism. Questions remain regarding the characteristics, timing and severity of neurological manifestations of COVID-19, including the pathophysiological mechanisms through which SARS-CoV-2 affects the nervous system. As more data emerge, associations of specific neurological disorders with COVID-19 will be further clarified – as has been seen, for example, with Guillain-Barré syndrome (29). Prospective data, as well as biomarker and neuropathological studies, are needed on the short- and long-term neurological sequelae. Existing reports on the association between COVID-19 and most neurological manifestations are flawed by selection and information bias, and available data reflect the spectrum of neurological manifestations in patients with the more severe COVID-19 cases. Neurological signs or symptoms occurring during the acute phase of COVID-19 infection cannot easily be disentangled from those with onset in the post-acute phase, and follow-up data are scarce, particularly for subclinical findings such as cognitive impairment. -5- Neurology and COVID-19: Scientific brief Other gaps in the literature include a lack of clarity on the interplay between pre-existing neurological disease and other underlying comorbidities such as hypertension and diabetes. Studies in this area were hospital-based and biased to people with more severe symptoms, making the findings difficult to generalize to people based in the community or having only mild symptoms. Understanding the impact of neurological conditions requires the inclusion of diverse populations from a variety of social backgrounds. Guidance is also needed for studies evaluating the disruption or the efficacy of mitigation strategies for care. Efforts should be made to harmonize the methods in this area of research and to enhance the comparability between studies and over time. In addition, funding for and progress in neurological research and training have been affected by the pandemic, owing to the temporary suspension of research projects or postponement or cancellation of fellowships, which need to be re-established as soon as possible (44). Implications for further research Well-designed case–control and cohort studies are needed to understand which patients are most vulnerable to neurological manifestations in the acute and post COVID-19 condition and to understand causality related to COVID 19. Series of patients with neurological conditions need to be compared to patients without neurological conditions. Use of case report forms (CRFs) such as WHO’s post-COVID-19 condition CRF (45) is encouraged to standardize data collection. Future research directions should include more “bottom-up” evidence-gathering efforts; for example, international surveys of neurological associations such as one recently undertaken by the European Federation of Neurological Associations (EFNA) with support from members of the WHO Neurology and COVID-19 Global Forum (46). Conclusion A wide spectrum of acute and post-acute neurological manifestations associated with COVID-19 have been reported across the globe. Clinicians and health care workers should be aware of such presentations and complications even in the absence of respiratory symptoms. Disruptions in access to essential neurological services and availability of essential medications for people with pre-existing neurological conditions can be detrimental; hence, mitigation strategies such as remote technology and telemedicine alternatives should be judiciously employed. The COVID-19 pandemic continues to have an impact on neurological health, service delivery, research and training while widening existing disparities worldwide. Recognizing and addressing these factors will provide opportunities to improve neurological care worldwide. Plans for updating WHO continues to monitor the situation closely for any changes that may affect this scientific brief.

System instruction: Use only the information contained in the prompt to answer any questions the user may ask. Do not use any other sources or any information from your stored data from before this conversation. If you cannot answer the user's question using only the provided context, say "I can't determine the answer as the information you are seeking is not provided in the reference document." Format your answer in a bullet point list. Question: What mechanisms have been proposed for post-Covid neurological complications? Context: Introduction The predominant acute presentations of COVID-19 are respiratory, but neurological manifestations have been recognized as an important component of the disease, even in cases without respiratory symptoms (2-5). The neurological manifestations associated with COVID-19 range from mild to critical, affect adults and children and can present both during and after acute COVID-19 infection. Reported neurological signs, symptoms or syndromes in the acute phase include headache, dizziness, impaired taste or smell, delirium, agitation, stroke, seizures, coma, meningoencephalitis and Guillain-Barré syndrome (6, 7). Consequences in the post-acute phase are also emerging, as either persisting or newly developing signs and symptoms (post-COVID-19 condition); these include headache, problems with smell or taste, cognitive impairment, confusion, fatigue, difficulty concentrating, sleep disturbances and neuropsychiatric symptoms (8, 9). COVID-19 disproportionately affects people with pre-existing neurological disorders. Chronic neurological disorders were found to be independently associated with increased mortality in hospitalized COVID-19 patients (hazard ratio [HR]: 2.13; 95% confidence interval [CI]: 1.38–3.28) (10). Individuals with pre-existing neurological conditions have been affected by disruptions to routine care, delayed care because of concerns about infectious risks and disruptions to supply chains for medicines and resultant stock-outs (11). This scientific brief provides a comprehensive overview of the relationship between neurology and COVID-19 and covers what is currently known about: • the acute neurological manifestations of COVID-19 • the neurological sequelae associated with post-COVID-19 condition • the risk of infection, severe illness and mortality from COVID-19 for people with pre-existing neurological conditions • the extent of disruptions to neurological services caused by the pandemic and mitigation strategies to address these disruptions • emerging evidence for neurological complications following COVID-19 vaccination. The target audience for this document includes health care providers, researchers, policy-makers and other stakeholders interested in the evidence relating to neurology and COVID-19. The aim is to increase awareness and recognition of the associated neurological aspects of COVID-19 to improve care and mitigation responses, particularly in low-resource settings. Methods This scientific brief is based on the evidence that emerged from systematic or rapid reviews and meta-analyses commissioned by WHO (14);1 WHO pulse surveys (15); WHO’s rapid assessment on services for mental, neurological and substance use (MNS) disorders (16) and other relevant publications. A commissioned rapid review. (https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3907265); and Misra S, Kolappa K, Prasad M, Radhakrishnan D, Thakur KT, Solomon T. et al. Frequency of neurological manifestations in COVID-19: a systematic review and meta-analysis of 350 studies (https://www.medrxiv.org/content/10.1101/2021.04.20.21255780v1) 1 Neurology and COVID-19: Scientific brief -2- Review of the evidence Acute neurological manifestations of COVID-19 To assess the types and frequencies of reported neurological manifestations associated with COVID-19, WHO assisted with a systematic review and meta-analysis involving data from 145 721 patients with acute COVID-19 infections derived from 350 case series (17). COVID-19 infection was confirmed by real-time reverse-transcription polymerase chain reaction (RT-PCR) detection, high-throughput sequencing, SARS-CoV-2 viral culture in throat swab specimens, SARS-CoV-2 antibody detection in blood samples or SARS-CoV-2 viral culture in throat swab specimens. Most patients (n=129 786, 89%) included in the review were hospitalized. A total of 23 acute neurological symptoms (Table 1) and 14 neurological diagnoses (Table 2) were reported in the literature. Up to one third (n=48 059) of COVID-19 patients experienced some type of neurological manifestation, and 1 in 50 developed a stroke. In COVID-19 patients aged over 60 years, the most frequent neurological manifestation was acute confusion/delirium (pooled prevalence: 34%; 95% CI: 23–46%). For all ages, the likelihood of experiencing acute confusion/delirium, stroke, seizure and movement disorders increased with increasing severity of COVID-19, but these associations were not statistically significant. Smell and taste impairments were significantly associated with non-severe COVID-19 (odds ratio [OR]: 0.44; 95% CI: 0.28–0.68 and OR: 0.62; 95% CI: 0.42–0.91, respectively). In COVID-19 patients aged over 60 years, the presence of any neurological manifestations was associated with significantly increased mortality (OR: 1.80; 95% CI: 1.11–2.91). Limitations The overall risk of bias was assessed as being low for most studies (n=296, 85%) but studies with higher risk of bias yielded higher prevalence estimates. Also, for most outcomes the meta-analyses yielded a high degree of heterogeneity, indicating substantial clinical or methodological diversity, which in some instances rendered the pooling of data inappropriate. There are gaps in the evidence for non-hospitalized patient cohorts because their data are rarely reported in the literature. The evidence gaps have implications for incidence, prevalence, duration and severity. Similarly, the timing of the onset of signs or symptoms is often not reported. Limitations in study design of included case series precluded the comparison between acute neurological manifestations caused by COVID-19 and the incidence of such manifestations in the general population. Finally, in the absence of well-designed cohort studies, there are insufficient data to definitively assert causality between these symptoms and COVID-19. Neurological sequelae associated with post-COVID-19 condition Complications following acute viral illnesses are well described (18, 19). Soon after the advent of the COVID-19 pandemic, longitudinal cohort studies started to assess long-term sequelae of COVID-19, including neurological manifestations. At the same time, patients began to connect with each other and report on prolonged symptoms of COVID-19. In response, WHO commissioned a rapid review of 28 published population-based, cohort or case-control studies2. The review established specific new-onset neurological symptoms, signs or diagnoses occurring after the acute phase of COVID-19 that can be interpreted as complications of COVID-19; assessed specific neurological symptoms, signs or diagnoses that persist after the acute phase of COVID-19; and determined factors associated with these post acute neurological manifestations. Of the 28 studies, only two followed patients for up to 6 months. Pooling of information was not possible for methodological reasons. In a retrospective cohort of 1733 COVID-19 patients discharged from hospital, 19.6% (n=340) reported neurological manifestations after a median follow-up of 186 days (9). The complaints most commonly reported were fatigue or muscle weakness (63%; 1038/1655) and sleep difficulties (26%; 437/1655). Anxiety and depression were reported by 23% (367/1617) of patients and difficulty walking by 24% (103/423). The second prospective study followed 61 hospitalized COVID-19 patients with and without history of admission to an intensive care unit (ICU) (20). 2 Beghi E, Giussani G, Westenberg E, Allegri R, Garcia-Azorin D, Guekht A, Acute and Post-Acute Neurological Manifestations of COVID-19: Present findings, critical appraisal, and future directions. Manuscript in preparation, 2021. Neurology and COVID-19: Scientific brief Common complaints at discharge included amnestic dysfunction (30%; 18/61), dysexecutive syndrome (33%; 20/61), ataxia (11%, 7/61), and tetraparesis (18%; 11/61) (20). Limitations The evidence for long-term or newly emerging neurological complications after COVID-19 is limited, particularly in asymptomatic or non-hospitalized patients. Similarly, little is known about neurological sequelae in paediatric patients with conditions related to COVID-19, including multisystem inflammatory syndrome (MIS-C). Data from low- and middle-income countries are scarce, particularly in the post-acute phase. This has led to underreporting of neurological findings in the context of COVID-19 with reference to geography, ethnicity and sociocultural environment. Methodological issues and study design flaws further reduce the strength of the current evidence because some studies have included in the control group asymptomatic patients who were not screened with molecular or serological tests to confirm or exclude SARS-CoV-2 infection. Screening methods and diagnostic protocols vary across studies, depending on the background of the local investigators, the diagnostic approach, the number and type of contacts during follow-up and, not least, attrition and patient compliance. In addition, studies were done under surge conditions, which led to incomplete diagnostic assessment. The current understanding of neurological sequelae associated with post-COVID-19 condition is based mainly on patient reports; clinically relevant manifestations; and greater attention towards symptoms, signs and diseases that have been illustrated in previous reports By contrast, information is limited on signs that can be documented only through testing, imaging or biochemical or pathological investigations. Pre-existing neurological conditions and COVID-19 A range of pre-existing noncommunicable diseases (NCDs) are associated with an increased risk of severe outcomes in COVID-19 (21). These include several neurological conditions such as stroke and dementia. People with certain pre existing neurological conditions are more vulnerable to SARS-CoV-2 infection, experience exacerbations of their pre existing disease (22) and have higher risks of severe outcomes and death (10, 23). To synthesize the growing evidence on this topic, WHO commissioned a rapid review of 26 articles from 12 countries across three continents, with a total of 379 947 COVID-19 patients, to establish the risk of infection, severe illness and mortality from COVID-19 for people with pre-existing neurological conditions.3 The rapid review found that certain pre-existing neurological diseases are associated with severity of COVID-19.4 The most prevalent were cerebrovascular disease and dementia/neurodegenerative diseases (pooled OR: 1.99; 95% CI: 1.81 2.18). Mortality was high among people with pre-existing neurological conditions (pooled OR: 1.74; 95% CI: 1.56 1.94). Limitations Risk of bias was deemed high for most articles, and the overall quality of studies using GRADE (Grading of Recommendations Assessment, Development and Evaluations) methodology was low; hence, the value of the current evidence is limited. Most studies on the relationship between SARS-CoV-2 and pre-existing neurological conditions are based on retrospective cohorts or case series, with few data from prospective studies. Future research will benefit greatly from the use of standardized definitions and reporting for comorbidities, neurological symptoms or diagnoses. Use of standardized case report forms – such as those published by WHO (25, 26) – can also contribute to the accuracy and reliability of data. Disruptions to essential neurological services caused by the COVID-19 pandemic and mitigation strategies Interruption of routine treatment and care, as well as supply chains for medications during the COVID-19 pandemic, present significant challenges for people with neurological conditions (11). According to the latest WHO Pulse survey on continuity of essential health services during the COVID-19 pandemic (27), 45% of 121 countries for which information was available still reported disruptions to services for MNS disorders in the first quarter of 2021. Likewise, 3Chomba M, Schiess N, Seeher K, Akpalu A, Baila J, Boruah AP et al. Pre-existing neurological conditions and COVID-19 risk. A commissioned rapid review. (https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3907265) 4Ibid. -4- Neurology and COVID-19: Scientific brief disruptions to rehabilitation services, a crucial aspect of neurological care, continue to be reported by 53% (of 89 countries). With respect to neurology-specific services, WHO’s rapid assessment of services for MNS disorders during the COVID-19 pandemic in mid-2020 (16) revealed that one in three of 98 countries closed down neurology inpatient units at least partly during the pandemic. Regarding service provision, surgeries for neurological disorders were disrupted in two-thirds of 130 countries for which information was available, and the management of emergency conditions such as status epilepticus was at least partially disrupted in 35% of the same 130 countries. To better understand the extent of service disruption, its causes and mitigation strategies for neurological disorders in the context of COVID-19, WHO commissioned a rapid review of 369 articles, providing data on 210 419 patients from 105 countries (14). Studies that investigated the extent of service disruption (n=188) described it as mild (n=40, 21%), moderate (n=131, 70%) or severe (n=10, 5%). The most frequently described reasons for service disruption across 240 studies were travel restrictions related to lockdown (n=196, 82%), closure of services or consultations as per health authority directive (n=157, 65%) and reduced outpatient volume due to patients not presenting (n=135, 56%). A total of 224 studies reported on mitigation strategies, with the most frequently reported strategies being telemedicine and other teleconsultation formats (n=184, 82%), novel dispensing approaches for medicines (n=116, 52%) and redirection of patients (n=95, 42%). Limitations To date, most of the data on service disruption have been derived from high- and middle-income countries, with information from low-income countries lacking. Similarly, evidence of the effectiveness and acceptability of mitigation strategies to patients remains limited. In addition, the current published literature seems biased towards certain settings or types of services (e.g. outpatient, emergency or inpatient care). There are few reports on other areas that are crucial for treating people with chronic neurological conditions (e.g. neurorehabilitation). Going forward, more systematic evaluations and reporting of disruption of the whole spectrum of neurological services can provide a more comprehensive picture. Neurological complications following COVID-19 vaccination There is a low risk following COVID-19 vaccination of neurological complications including Bell’s palsy (28), cerebral venous sinus thrombosis (CVST) and possibly Guillain-Barré syndrome (29). However, the risk of such complications is substantially lower than the risks associated with infection with SARS-CoV-2 (30, 31). Since March 2021, cases of thromboses associated with thrombocytopenia have been reported in patients vaccinated with the Oxford-AstraZeneca ChAdOx1-S and Johnson & Johnson (J&J) Janssen Ad26.COV2.S COVID-19 vaccines. Evaluation of the cases by national and international bodies concluded that there was a plausible causal link between these two adenovirus-vectored vaccines and CVST (32-34), based on the temporal association with vaccination and an increased incidence when compared with expected baseline rates of CVST (35-42). WHO has provided guidance for clinical case management of thrombosis with thrombocytopenia syndrome (TTS) following vaccination against COVID-19 (43). Overall knowledge gaps Current evidence suggests that SARS-CoV-2 can affect the nervous system. Multiple and probably overlapping mechanisms have been proposed for the neurological manifestations; they include hypoxia, cytokine storm, post infectious autoimmune responses, hypercoagulability, neurologic complications of severe systemic illness and potential direct neurotropism. Questions remain regarding the characteristics, timing and severity of neurological manifestations of COVID-19, including the pathophysiological mechanisms through which SARS-CoV-2 affects the nervous system. As more data emerge, associations of specific neurological disorders with COVID-19 will be further clarified – as has been seen, for example, with Guillain-Barré syndrome (29). Prospective data, as well as biomarker and neuropathological studies, are needed on the short- and long-term neurological sequelae. Existing reports on the association between COVID-19 and most neurological manifestations are flawed by selection and information bias, and available data reflect the spectrum of neurological manifestations in patients with the more severe COVID-19 cases. Neurological signs or symptoms occurring during the acute phase of COVID-19 infection cannot easily be disentangled from those with onset in the post-acute phase, and follow-up data are scarce, particularly for subclinical findings such as cognitive impairment. -5- Neurology and COVID-19: Scientific brief Other gaps in the literature include a lack of clarity on the interplay between pre-existing neurological disease and other underlying comorbidities such as hypertension and diabetes. Studies in this area were hospital-based and biased to people with more severe symptoms, making the findings difficult to generalize to people based in the community or having only mild symptoms. Understanding the impact of neurological conditions requires the inclusion of diverse populations from a variety of social backgrounds. Guidance is also needed for studies evaluating the disruption or the efficacy of mitigation strategies for care. Efforts should be made to harmonize the methods in this area of research and to enhance the comparability between studies and over time. In addition, funding for and progress in neurological research and training have been affected by the pandemic, owing to the temporary suspension of research projects or postponement or cancellation of fellowships, which need to be re-established as soon as possible (44). Implications for further research Well-designed case–control and cohort studies are needed to understand which patients are most vulnerable to neurological manifestations in the acute and post COVID-19 condition and to understand causality related to COVID 19. Series of patients with neurological conditions need to be compared to patients without neurological conditions. Use of case report forms (CRFs) such as WHO’s post-COVID-19 condition CRF (45) is encouraged to standardize data collection. Future research directions should include more “bottom-up” evidence-gathering efforts; for example, international surveys of neurological associations such as one recently undertaken by the European Federation of Neurological Associations (EFNA) with support from members of the WHO Neurology and COVID-19 Global Forum (46). Conclusion A wide spectrum of acute and post-acute neurological manifestations associated with COVID-19 have been reported across the globe. Clinicians and health care workers should be aware of such presentations and complications even in the absence of respiratory symptoms. Disruptions in access to essential neurological services and availability of essential medications for people with pre-existing neurological conditions can be detrimental; hence, mitigation strategies such as remote technology and telemedicine alternatives should be judiciously employed. The COVID-19 pandemic continues to have an impact on neurological health, service delivery, research and training while widening existing disparities worldwide. Recognizing and addressing these factors will provide opportunities to improve neurological care worldwide. Plans for updating WHO continues to monitor the situation closely for any changes that may affect this scientific brief.

You will answer using only the provided text. The response will be in the form of a short paragraph and bulleted list for each topic.

I need a break down of this text in an organised format to study with. Include reasonable detail.

Although the OSI model is useful, the TCP/IP protocols don’t match its structure exactly. Therefore, in our discussions of TCP/IP, we use the layers of the OSI model in the following way: Application Layer The Application Layer is the level of the protocol hierarchy where user-accessed network processes reside. In this text, a TCP/IP application is any network pro- cess that occurs above the Transport Layer. This includes all of the processes that users directly interact with as well as other processes at this level that users are not necessarily aware of. Presentation Layer For cooperating applications to exchange data, they must agree about how data is represented. In OSI, the Presentation Layer provides standard data presenta- tion routines. This function is frequently handled within the applications in TCP/IP, though TCP/IP protocols such as XDR and MIME also perform this function. Session Layer As with the Presentation Layer, the Session Layer is not identifiable as a separate layer in the TCP/IP protocol hierarchy. The OSI Session Layer manages the 8 | Chapter 1: Overview of TCP/IP sessions (connections) between cooperating applications. In TCP/IP, this func- tion largely occurs in the Transport Layer, and the term “session” is not used; instead, the terms “socket” and “port” are used to describe the path over which cooperating applications communicate. Transport Layer Much of our discussion of TCP/IP is directed to the protocols that occur in the Transport Layer. The Transport Layer in the OSI reference model guarantees that the receiver gets the data exactly as it was sent. In TCP/IP, this function is performed by the Transmission Control Protocol (TCP). However, TCP/IP offers a second Transport Layer service, User Datagram Protocol (UDP), that does not perform the end-to-end reliability checks. Network Layer The Network Layer manages connections across the network and isolates the upper layer protocols from the details of the underlying network. The Internet Protocol (IP), which isolates the upper layers from the underlying network and handles the addressing and delivery of data, is usually described as TCP/IP’s Network Layer. Data Link Layer The reliable delivery of data across the underlying physical network is handled by the Data Link Layer. TCP/IP rarely creates protocols in the Data Link Layer. Most RFCs that relate to the Data Link Layer discuss how IP can make use of existing data link protocols. Physical Layer The Physical Layer defines the characteristics of the hardware needed to carry the data transmission signal. Features such as voltage levels and the number and location of interface pins are defined in this layer. Examples of standards at the Physical Layer are interface connectors such as RS232C and V.35, and stan- dards for local area network wiring such as IEEE 802.3. TCP/IP does not define physical standards—it makes use of existing standards. The terminology of the OSI reference model helps us describe TCP/IP, but to fully understand it, we must use an architectural model that more closely matches the structure of TCP/IP. The next section introduces the protocol model we’ll use to describe TCP/IP. Transmission Control Protocol Applications that require the transport protocol to provide reliable data delivery use TCP because it verifies that data is delivered across the network accurately and in the proper sequence. TCP is a reliable, connection-oriented, byte-stream protocol. Let’s look at each of these characteristics in more detail. TCP provides reliability with a mechanism called Positive Acknowledgment with Retransmission (PAR). Simply stated, a system using PAR sends the data again unless it hears from the remote system that the data arrived OK. The unit of data exchanged between cooperating TCP modules is called a segment (see Figure 1-9). Each segment contains a checksum that the recipient uses to verify that the data is undamaged. If the data segment is received undamaged, the receiver sends a positive acknowledgment back to the sender. If the data segment is damaged, the receiver discards it. After an appropriate timeout period, the sending TCP module re-transmits any segment for which no positive acknowledgment has been received. TCP is connection-oriented. It establishes a logical end-to-end connection between the two communicating hosts. Control information, called a handshake, is exchanged between the two endpoints to establish a dialogue before data is transmitted. TCP indicates the control function of a segment by setting the appropriate bit in the Flags field in word 4 of the segment header. The type of handshake used by TCP is called a three-way handshake because three segments are exchanged. Figure 1-10 shows the simplest form of the three-way hand- shake. Host A begins the connection by sending host B a segment with the “Synchro- nize sequence numbers” (SYN) bit set. This segment tells host B that A wishes to set Transport Layer This is the Title of the Book, eMatter Edition Copyright © 2010 O’Reilly & Associates, Inc. All rights reserved. | 19 up a connection, and it tells B what sequence number host A will use as a starting number for its segments. (Sequence numbers are used to keep data in the proper order.) Host B responds to A with a segment that has the “Acknowledgment” (ACK) and SYN bits set. B’s segment acknowledges the receipt of A’s segment, and informs A which sequence number host B will start with. Finally, host A sends a segment that acknowledges receipt of B’s segment, and transfers the first actual data. After this exchange, host A’s TCP has positive evidence that the remote TCP is alive and ready to receive data. As soon as the connection is established, data can be trans- ferred. When the cooperating modules have concluded the data transfers, they will exchange a three-way handshake with segments containing the “No more data from sender” bit (called the FIN bit) to close the connection. It is the end-to-end exchange of data that provides the logical connection between the two systems. TCP views the data it sends as a continuous stream of bytes, not as independent packets. Therefore, TCP takes care to maintain the sequence in which bytes are sent and received. The Sequence Number and Acknowledgment Number fields in the TCP segment header keep track of the bytes. The TCP standard does not require that each system start numbering bytes with any specific number; each system chooses the number it will use as a starting point. To keep track of the data stream correctly, each end of the connection must know the other end’s initial number. The two ends of the connection synchronize byte-num- bering systems by exchanging SYN segments during the handshake. The Sequence Number field in the SYN segment contains the Initial Sequence Number (ISN), which is the starting point for the byte-numbering system. For security reasons the ISN should be a random number. Each byte of data is numbered sequentially from the ISN, so the first real byte of data sent has a Sequence Number of ISN+1. The Sequence Number in the header of a data segment identifies the sequential position in the data stream of the first data byte in 20 |Chapter 1: Overview of TCP/IP the segment. For example, if the first byte in the data stream was sequence number 1 (ISN=0) and 4000 bytes of data have already been transferred, then the first byte of data in the current segment is byte 4001, and the Sequence Number would be 4001. The Acknowledgment Segment (ACK) performs two functions: positive acknowledg- ment and flow control. The acknowledgment tells the sender how much data has been received and how much more the receiver can accept. The Acknowledgment Number is the sequence number of the next byte the receiver expects to receive. The standard does not require an individual acknowledgment for every packet. The acknowledgment number is a positive acknowledgment of all bytes up to that num- ber. For example, if the first byte sent was numbered 1 and 2000 bytes have been successfully received, the Acknowledgment Number would be 2001. The Window field contains the window, or the number of bytes the remote end is able to accept. If the receiver is capable of accepting 6000 more bytes, the window would be 6000. The window indicates to the sender that it can continue sending seg- ments as long as the total number of bytes that it sends is smaller than the window of bytes that the receiver can accept. The receiver controls the flow of bytes from the sender by changing the size of the window. A zero window tells the sender to cease transmission until it receives a non-zero window value.

I need a break down of this text in an organised format to study with. Include reasonable detail. You will answer using only the provided text. The response will be in the form of a short paragraph and bulleted list for each topic. Although the OSI model is useful, the TCP/IP protocols don’t match its structure exactly. Therefore, in our discussions of TCP/IP, we use the layers of the OSI model in the following way: Application Layer The Application Layer is the level of the protocol hierarchy where user-accessed network processes reside. In this text, a TCP/IP application is any network pro- cess that occurs above the Transport Layer. This includes all of the processes that users directly interact with as well as other processes at this level that users are not necessarily aware of. Presentation Layer For cooperating applications to exchange data, they must agree about how data is represented. In OSI, the Presentation Layer provides standard data presenta- tion routines. This function is frequently handled within the applications in TCP/IP, though TCP/IP protocols such as XDR and MIME also perform this function. Session Layer As with the Presentation Layer, the Session Layer is not identifiable as a separate layer in the TCP/IP protocol hierarchy. The OSI Session Layer manages the 8 | Chapter 1: Overview of TCP/IP sessions (connections) between cooperating applications. In TCP/IP, this func- tion largely occurs in the Transport Layer, and the term “session” is not used; instead, the terms “socket” and “port” are used to describe the path over which cooperating applications communicate. Transport Layer Much of our discussion of TCP/IP is directed to the protocols that occur in the Transport Layer. The Transport Layer in the OSI reference model guarantees that the receiver gets the data exactly as it was sent. In TCP/IP, this function is performed by the Transmission Control Protocol (TCP). However, TCP/IP offers a second Transport Layer service, User Datagram Protocol (UDP), that does not perform the end-to-end reliability checks. Network Layer The Network Layer manages connections across the network and isolates the upper layer protocols from the details of the underlying network. The Internet Protocol (IP), which isolates the upper layers from the underlying network and handles the addressing and delivery of data, is usually described as TCP/IP’s Network Layer. Data Link Layer The reliable delivery of data across the underlying physical network is handled by the Data Link Layer. TCP/IP rarely creates protocols in the Data Link Layer. Most RFCs that relate to the Data Link Layer discuss how IP can make use of existing data link protocols. Physical Layer The Physical Layer defines the characteristics of the hardware needed to carry the data transmission signal. Features such as voltage levels and the number and location of interface pins are defined in this layer. Examples of standards at the Physical Layer are interface connectors such as RS232C and V.35, and stan- dards for local area network wiring such as IEEE 802.3. TCP/IP does not define physical standards—it makes use of existing standards. The terminology of the OSI reference model helps us describe TCP/IP, but to fully understand it, we must use an architectural model that more closely matches the structure of TCP/IP. The next section introduces the protocol model we’ll use to describe TCP/IP. Transmission Control Protocol Applications that require the transport protocol to provide reliable data delivery use TCP because it verifies that data is delivered across the network accurately and in the proper sequence. TCP is a reliable, connection-oriented, byte-stream protocol. Let’s look at each of these characteristics in more detail. TCP provides reliability with a mechanism called Positive Acknowledgment with Retransmission (PAR). Simply stated, a system using PAR sends the data again unless it hears from the remote system that the data arrived OK. The unit of data exchanged between cooperating TCP modules is called a segment (see Figure 1-9). Each segment contains a checksum that the recipient uses to verify that the data is undamaged. If the data segment is received undamaged, the receiver sends a positive acknowledgment back to the sender. If the data segment is damaged, the receiver discards it. After an appropriate timeout period, the sending TCP module re-transmits any segment for which no positive acknowledgment has been received. TCP is connection-oriented. It establishes a logical end-to-end connection between the two communicating hosts. Control information, called a handshake, is exchanged between the two endpoints to establish a dialogue before data is transmitted. TCP indicates the control function of a segment by setting the appropriate bit in the Flags field in word 4 of the segment header. The type of handshake used by TCP is called a three-way handshake because three segments are exchanged. Figure 1-10 shows the simplest form of the three-way hand- shake. Host A begins the connection by sending host B a segment with the “Synchro- nize sequence numbers” (SYN) bit set. This segment tells host B that A wishes to set Transport Layer This is the Title of the Book, eMatter Edition Copyright © 2010 O’Reilly & Associates, Inc. All rights reserved. | 19 up a connection, and it tells B what sequence number host A will use as a starting number for its segments. (Sequence numbers are used to keep data in the proper order.) Host B responds to A with a segment that has the “Acknowledgment” (ACK) and SYN bits set. B’s segment acknowledges the receipt of A’s segment, and informs A which sequence number host B will start with. Finally, host A sends a segment that acknowledges receipt of B’s segment, and transfers the first actual data. After this exchange, host A’s TCP has positive evidence that the remote TCP is alive and ready to receive data. As soon as the connection is established, data can be trans- ferred. When the cooperating modules have concluded the data transfers, they will exchange a three-way handshake with segments containing the “No more data from sender” bit (called the FIN bit) to close the connection. It is the end-to-end exchange of data that provides the logical connection between the two systems. TCP views the data it sends as a continuous stream of bytes, not as independent packets. Therefore, TCP takes care to maintain the sequence in which bytes are sent and received. The Sequence Number and Acknowledgment Number fields in the TCP segment header keep track of the bytes. The TCP standard does not require that each system start numbering bytes with any specific number; each system chooses the number it will use as a starting point. To keep track of the data stream correctly, each end of the connection must know the other end’s initial number. The two ends of the connection synchronize byte-num- bering systems by exchanging SYN segments during the handshake. The Sequence Number field in the SYN segment contains the Initial Sequence Number (ISN), which is the starting point for the byte-numbering system. For security reasons the ISN should be a random number. Each byte of data is numbered sequentially from the ISN, so the first real byte of data sent has a Sequence Number of ISN+1. The Sequence Number in the header of a data segment identifies the sequential position in the data stream of the first data byte in 20 |Chapter 1: Overview of TCP/IP the segment. For example, if the first byte in the data stream was sequence number 1 (ISN=0) and 4000 bytes of data have already been transferred, then the first byte of data in the current segment is byte 4001, and the Sequence Number would be 4001. The Acknowledgment Segment (ACK) performs two functions: positive acknowledg- ment and flow control. The acknowledgment tells the sender how much data has been received and how much more the receiver can accept. The Acknowledgment Number is the sequence number of the next byte the receiver expects to receive. The standard does not require an individual acknowledgment for every packet. The acknowledgment number is a positive acknowledgment of all bytes up to that num- ber. For example, if the first byte sent was numbered 1 and 2000 bytes have been successfully received, the Acknowledgment Number would be 2001. The Window field contains the window, or the number of bytes the remote end is able to accept. If the receiver is capable of accepting 6000 more bytes, the window would be 6000. The window indicates to the sender that it can continue sending seg- ments as long as the total number of bytes that it sends is smaller than the window of bytes that the receiver can accept. The receiver controls the flow of bytes from the sender by changing the size of the window. A zero window tells the sender to cease transmission until it receives a non-zero window value.

Only refer to the attached document in providing your response.

According to the document what is the forecasted growth of the fashion industry in the year 2024 and what challenges does it face.

Skip to main content Sign In | Subscribe The State of Fashion 2024: Finding pockets of growth as uncertainty reigns Share Print Download Save The State of Fashion 2024: Finding pockets of growth as uncertainty reigns November 29, 2023 | Report Share Print Download Save Fashion companies will face economic headwinds, technology shifts, and an evolving competitive landscape in 2024. However, shifting consumer priorities will continue to offer opportunities. DOWNLOADS The State of Fashion 2024 Full Report (128 pages) Storm clouds are gathering, but the experience of recent years shows how the fashion industry may ride out the challenges ahead. In 2022, the industry again showed its resilience, almost equaling the record economic profit of 2021, the McKinsey Global Fashion Index shows. Echoing the pattern of the previous year, the luxury sector outperformed, with a 36 percent rise in economic profit that offset weakness in other segments. Yet even the non-luxury sector was ahead of its long-term average. Strong margin performance meant the industry in 2022 achieved more than double the economic profit than in all years between 2011 and 2020, except for one. In 2023, the industry faced challenges that were both persistent and deepening. On a regional basis, Europe and the United States saw slow growth throughout the year, while China’s initially strong performance faded in the second half. Though the luxury segment initially fared well, it too began to feel the effects of weaker demand in the latter part of the year, leading to slowing sales and uneven performance. Sidebar About the authors Looking toward 2024, the most prominent sentiment among fashion industry leaders is uncertainty, reflecting the prospect of subdued economic growth, persistent inflation, and weak consumer confidence. Against this backdrop, businesses will be challenged to identify pockets of value and unlock new drivers of performance. According to McKinsey’s analysis of fashion forecasts, the global industry will post top-line growth of 2 to 4 percent in 2024 (exhibit), with regional and country-level variations. Once again, the luxury segment is expected to generate the biggest share of economic profit. However, even there, companies will be challenged by the tough economic environment. The segment is forecast to grow globally by 3 to 5 percent, compared with 5 to 7 percent in 2023, as consumers rein in spending after a postpandemic surge. European and Chinese growth is set to slow, while US growth is expected to pick up after a relatively weak 2023, reflecting the slightly more optimistic outlook there. Exhibit Slower but normalized growth is anticipated across regions in 2024. We strive to provide individuals with disabilities equal access to our website. If you would like information about this content we will be happy to work with you. Please email us at: [email protected] MOST POPULAR INSIGHTS It’s cool to be kind: The value of empathy at work How to be a better chief of staff The economic potential of generative AI: The next productivity frontier What is diversity, equity, and inclusion? Adopting AI at speed and scale: The 4IR push to stay competitive Beyond luxury, growth of 2 to 4 percent is predicted for the year ahead, in line with the probable outcome in 2023. The European market will likely expand by just 1 to 3 percent, compared with 5 percent in the first half of 2023 and 1 to 3 percent in the second half. Slumping consumer confidence and declining household savings are expected to be the most probable causes of restrained spending. In the United States, nonluxury sector growth of 0 to 2 percent is forecast. And China is expected to be similarly challenged amid 4 to 6 percent growth, which is a slight uptick from the end of 2023 but slow when considered on a historical basis. These are just some of the findings from The State of Fashion 2024, published by the Business of Fashion (BoF) and McKinsey. The eighth report in the annual series discusses the major themes shaping the fashion economy and assesses the industry’s potential responses. Reflecting in-depth research and many conversations with industry leaders, it reveals the key trends that could shape the fashion landscape in the year ahead. Uncertainty in the face of headwinds With conflicts in Europe and the Middle East and strained international relations elsewhere, geopolitics is the number-one concern for fashion industry executives going into 2024, followed by economic volatility and inflation. Some 62 percent of executives in this year’s survey, conducted in September, cite geopolitical instability as the top risk to growth. Economic volatility is cited by 55 percent and inflation is mentioned by 51 percent (compared with 78 percent last year). The global average headline rate of inflation is predicted to moderate to 5.8 percent—still high on a historical basis—from 6.9 percent in 2023.1 Against a challenging economic backdrop, executive views of the industry’s prospects are more divided than in any year since the launch of the BoF–McKinsey Executive Survey in 2017. While 26 percent of survey respondents say they expect conditions to improve year on year, 37 percent see them remaining the same and 38 percent think they will worsen. Uncertainty within the industry reflects the broader economic situation, albeit with regional divergence. Going into 2024, pressure on household incomes is expected to dampen demand for apparel and prompt trading down across categories. Still, there are geographic outliers that may offer comfort. One is India, where consumer confidence hit a four-year high in September 2023.2 India-based executives are more optimistic than those in Western countries, with 85 percent of respondents to McKinsey’s Global Economics Intelligence survey saying that conditions have improved in the past six months.3 China’s economy is facing challenges, but the country’s consumers show a higher intent to shop for fashion in 2024 than consumers in both the United States and Europe. Ten themes for 2024 To prepare for challenges and be alert to opportunities, leading fashion companies will likely prioritize contingency planning for the coming year. A key theme will be companies keeping a firm grip on costs and inventories while driving growth by precisely managing prices. Brands and suppliers can expect an increasingly competitive environment. But they will also have opportunities, with consumers discovering new styles, tastes, and priorities—all presenting routes to value creation. As previously done, this year’s report highlights ten emerging themes that will be high on leadership agendas. Global economy: Fragmented future. In 2024, the global economic outlook will continue to be unsettled, as financial, geopolitical, and other challenges weigh on consumer confidence. Fashion markets in China, Europe, and the United States will likely face headwinds, some of which reflect individual regional dynamics. Suppliers, brands, and retailers may need to bolster contingency planning and manage for uncertainty. Climate urgency. The frequency and intensity of extreme weather-related events in 2023 mean the climate crisis is an even more urgent priority than in previous years. With physical and transition risks rising across continents, the industry must not delay in tackling emissions and building resilience into supply chains. Consumer shifts: Vacation mode. Consumers are gearing up for the biggest year of travel since before the pandemic. But a shift in values means expectations are evolving, even as shopping remains a priority. Brands and retailers should refresh distribution and category strategies to reflect the new reality. The new face of influence. It’s time for brand marketers to update their influencer playbooks, as a new guard of creative personalities wins fans. Working with opinion leaders in 2024 will require a different type of partnership, an emphasis on video, and a willingness to loosen the reins on creative control. Outdoors reinvented. Technical outdoor clothing and “gorpcore” are in demand as consumers embrace healthier lifestyles. In 2024, more outdoor brands are expected to launch lifestyle collections. At the same time, lifestyle brands will likely embed technical elements into collections, blurring the lines between functionality and style. Fashion system: Generative AI’s creative crossroads. After generative AI’s (gen AI) breakout year in 2023, more use cases are emerging across the industry. Capturing value will require fashion players to look beyond automation and explore gen AI’s potential to enhance the work of human creatives. Fast fashion’s power play. Fast-fashion competition is set to be fiercer than ever. Challengers, led by Shein and Temu, are bringing new tactics on price, customer experience, and speed. Success for disruptors and incumbents could hinge on adapting to new consumer preferences while navigating the regulatory agenda. All eyes on brand. Brand marketing is expected to be back in the spotlight as the fashion industry manages a switch away from performance marketing. Brands may benefit from forging emotional connections with consumers as marketers rewrite playbooks to emphasise long-term brand building. Sustainability rules. The era of fashion industry self-regulation is drawing to a close. Across jurisdictions, new rules will have significant effects on both consumers and fashion players. Brands and manufacturers may consider revamping business models to align with the changes ahead. Bullwhip snaps back. Shifts in consumer demand have created a “bullwhip effect,” by which order volatility reverberates unpredictably through supply chains. Suppliers will likely face pressure as brands and retailers focus on transparency and strategic partnerships. Looking ahead As the industry continues to be challenged by geopolitical and economic headwinds, fashion leaders in 2024 will look to strike a careful balance between managing uncertainty and seizing opportunities. With cost-saving tactics mostly exhausted, companies may focus on growing sales, underpinned by new pricing and promotion strategies. Across the industry, net intent to raise prices is more than 50 percent, according to the BoF–McKinsey Executive Survey. At the same time, reduced cost pressures could provide a potential boost to performance. As climate change brings increasingly extreme weather events and global temperatures rise, the coming year is likely to mark a heightened industry focus on environmental, social, and governance issues. Our survey shows that the topic is seen as both the number-one priority and number-one challenge for industry executives. The most successful companies will find a balance between sustainability initiatives, risk management, and commercial imperatives. In an uncertain world, consumer discretionary spend will be weighted toward trusted categories and brands. Hard luxury goods—jewelry, watches, and leather—will likely be in demand, reflecting their potential investment value in tough economic times. Consumers are expected to travel more and continue spending more time outdoors. And they prefer emotional connections and authenticity over celebrity endorsements. All told, executives are bracing for a strategically complex year ahead. To counter uncertainty, leading companies will prepare for a range of outcomes. The most successful will become more resilient, better equipped to manage the challenges, and ready to accelerate when the storm clouds begin to clear. ABOUT THE AUTHOR(S) Anita Balchandani is a senior partner in McKinsey’s London office, where Ewa Starzynska is a consultant; David Barrelet is an associate partner in the Munich office; Achim Berg is a senior partner in the Frankfurt office; Gemma D’Auria is a senior partner in the Milan office; and Felix Rölkens is a partner in the Berlin office. Imran Amed is the founder, editor-in-chief, and CEO of the Business of Fashion and is an alumnus of McKinsey’s London office. The authors wish to thank Asina De Branche and Joëlle Grunberg for their contributions to this article. Talk to us EXPLORE A CAREER WITH US Search Openings RELATED ARTICLES Female friends shopping together in clothing boutique. Report State of Fashion report archive (2017-2023) Sign up for emails on new Consumer & Retail articles Never miss an insight. We'll email you when new articles are published on this topic. Email address Subscribe Sign up for emails on new Consumer & Retail articles

Only refer to the attached document in providing your response. According to the document what is the forecasted growth of the fashion industry in the year 2024 and what challenges does it face. Skip to main content Sign In | Subscribe The State of Fashion 2024: Finding pockets of growth as uncertainty reigns Share Print Download Save The State of Fashion 2024: Finding pockets of growth as uncertainty reigns November 29, 2023 | Report Share Print Download Save Fashion companies will face economic headwinds, technology shifts, and an evolving competitive landscape in 2024. However, shifting consumer priorities will continue to offer opportunities. DOWNLOADS The State of Fashion 2024 Full Report (128 pages) Storm clouds are gathering, but the experience of recent years shows how the fashion industry may ride out the challenges ahead. In 2022, the industry again showed its resilience, almost equaling the record economic profit of 2021, the McKinsey Global Fashion Index shows. Echoing the pattern of the previous year, the luxury sector outperformed, with a 36 percent rise in economic profit that offset weakness in other segments. Yet even the non-luxury sector was ahead of its long-term average. Strong margin performance meant the industry in 2022 achieved more than double the economic profit than in all years between 2011 and 2020, except for one. In 2023, the industry faced challenges that were both persistent and deepening. On a regional basis, Europe and the United States saw slow growth throughout the year, while China’s initially strong performance faded in the second half. Though the luxury segment initially fared well, it too began to feel the effects of weaker demand in the latter part of the year, leading to slowing sales and uneven performance. Sidebar About the authors Looking toward 2024, the most prominent sentiment among fashion industry leaders is uncertainty, reflecting the prospect of subdued economic growth, persistent inflation, and weak consumer confidence. Against this backdrop, businesses will be challenged to identify pockets of value and unlock new drivers of performance. According to McKinsey’s analysis of fashion forecasts, the global industry will post top-line growth of 2 to 4 percent in 2024 (exhibit), with regional and country-level variations. Once again, the luxury segment is expected to generate the biggest share of economic profit. However, even there, companies will be challenged by the tough economic environment. The segment is forecast to grow globally by 3 to 5 percent, compared with 5 to 7 percent in 2023, as consumers rein in spending after a postpandemic surge. European and Chinese growth is set to slow, while US growth is expected to pick up after a relatively weak 2023, reflecting the slightly more optimistic outlook there. Exhibit Slower but normalized growth is anticipated across regions in 2024. We strive to provide individuals with disabilities equal access to our website. If you would like information about this content we will be happy to work with you. Please email us at: [email protected] MOST POPULAR INSIGHTS It’s cool to be kind: The value of empathy at work How to be a better chief of staff The economic potential of generative AI: The next productivity frontier What is diversity, equity, and inclusion? Adopting AI at speed and scale: The 4IR push to stay competitive Beyond luxury, growth of 2 to 4 percent is predicted for the year ahead, in line with the probable outcome in 2023. The European market will likely expand by just 1 to 3 percent, compared with 5 percent in the first half of 2023 and 1 to 3 percent in the second half. Slumping consumer confidence and declining household savings are expected to be the most probable causes of restrained spending. In the United States, nonluxury sector growth of 0 to 2 percent is forecast. And China is expected to be similarly challenged amid 4 to 6 percent growth, which is a slight uptick from the end of 2023 but slow when considered on a historical basis. These are just some of the findings from The State of Fashion 2024, published by the Business of Fashion (BoF) and McKinsey. The eighth report in the annual series discusses the major themes shaping the fashion economy and assesses the industry’s potential responses. Reflecting in-depth research and many conversations with industry leaders, it reveals the key trends that could shape the fashion landscape in the year ahead. Uncertainty in the face of headwinds With conflicts in Europe and the Middle East and strained international relations elsewhere, geopolitics is the number-one concern for fashion industry executives going into 2024, followed by economic volatility and inflation. Some 62 percent of executives in this year’s survey, conducted in September, cite geopolitical instability as the top risk to growth. Economic volatility is cited by 55 percent and inflation is mentioned by 51 percent (compared with 78 percent last year). The global average headline rate of inflation is predicted to moderate to 5.8 percent—still high on a historical basis—from 6.9 percent in 2023.1 Against a challenging economic backdrop, executive views of the industry’s prospects are more divided than in any year since the launch of the BoF–McKinsey Executive Survey in 2017. While 26 percent of survey respondents say they expect conditions to improve year on year, 37 percent see them remaining the same and 38 percent think they will worsen. Uncertainty within the industry reflects the broader economic situation, albeit with regional divergence. Going into 2024, pressure on household incomes is expected to dampen demand for apparel and prompt trading down across categories. Still, there are geographic outliers that may offer comfort. One is India, where consumer confidence hit a four-year high in September 2023.2 India-based executives are more optimistic than those in Western countries, with 85 percent of respondents to McKinsey’s Global Economics Intelligence survey saying that conditions have improved in the past six months.3 China’s economy is facing challenges, but the country’s consumers show a higher intent to shop for fashion in 2024 than consumers in both the United States and Europe. Ten themes for 2024 To prepare for challenges and be alert to opportunities, leading fashion companies will likely prioritize contingency planning for the coming year. A key theme will be companies keeping a firm grip on costs and inventories while driving growth by precisely managing prices. Brands and suppliers can expect an increasingly competitive environment. But they will also have opportunities, with consumers discovering new styles, tastes, and priorities—all presenting routes to value creation. As previously done, this year’s report highlights ten emerging themes that will be high on leadership agendas. Global economy: Fragmented future. In 2024, the global economic outlook will continue to be unsettled, as financial, geopolitical, and other challenges weigh on consumer confidence. Fashion markets in China, Europe, and the United States will likely face headwinds, some of which reflect individual regional dynamics. Suppliers, brands, and retailers may need to bolster contingency planning and manage for uncertainty. Climate urgency. The frequency and intensity of extreme weather-related events in 2023 mean the climate crisis is an even more urgent priority than in previous years. With physical and transition risks rising across continents, the industry must not delay in tackling emissions and building resilience into supply chains. Consumer shifts: Vacation mode. Consumers are gearing up for the biggest year of travel since before the pandemic. But a shift in values means expectations are evolving, even as shopping remains a priority. Brands and retailers should refresh distribution and category strategies to reflect the new reality. The new face of influence. It’s time for brand marketers to update their influencer playbooks, as a new guard of creative personalities wins fans. Working with opinion leaders in 2024 will require a different type of partnership, an emphasis on video, and a willingness to loosen the reins on creative control. Outdoors reinvented. Technical outdoor clothing and “gorpcore” are in demand as consumers embrace healthier lifestyles. In 2024, more outdoor brands are expected to launch lifestyle collections. At the same time, lifestyle brands will likely embed technical elements into collections, blurring the lines between functionality and style. Fashion system: Generative AI’s creative crossroads. After generative AI’s (gen AI) breakout year in 2023, more use cases are emerging across the industry. Capturing value will require fashion players to look beyond automation and explore gen AI’s potential to enhance the work of human creatives. Fast fashion’s power play. Fast-fashion competition is set to be fiercer than ever. Challengers, led by Shein and Temu, are bringing new tactics on price, customer experience, and speed. Success for disruptors and incumbents could hinge on adapting to new consumer preferences while navigating the regulatory agenda. All eyes on brand. Brand marketing is expected to be back in the spotlight as the fashion industry manages a switch away from performance marketing. Brands may benefit from forging emotional connections with consumers as marketers rewrite playbooks to emphasise long-term brand building. Sustainability rules. The era of fashion industry self-regulation is drawing to a close. Across jurisdictions, new rules will have significant effects on both consumers and fashion players. Brands and manufacturers may consider revamping business models to align with the changes ahead. Bullwhip snaps back. Shifts in consumer demand have created a “bullwhip effect,” by which order volatility reverberates unpredictably through supply chains. Suppliers will likely face pressure as brands and retailers focus on transparency and strategic partnerships. Looking ahead As the industry continues to be challenged by geopolitical and economic headwinds, fashion leaders in 2024 will look to strike a careful balance between managing uncertainty and seizing opportunities. With cost-saving tactics mostly exhausted, companies may focus on growing sales, underpinned by new pricing and promotion strategies. Across the industry, net intent to raise prices is more than 50 percent, according to the BoF–McKinsey Executive Survey. At the same time, reduced cost pressures could provide a potential boost to performance. As climate change brings increasingly extreme weather events and global temperatures rise, the coming year is likely to mark a heightened industry focus on environmental, social, and governance issues. Our survey shows that the topic is seen as both the number-one priority and number-one challenge for industry executives. The most successful companies will find a balance between sustainability initiatives, risk management, and commercial imperatives. In an uncertain world, consumer discretionary spend will be weighted toward trusted categories and brands. Hard luxury goods—jewelry, watches, and leather—will likely be in demand, reflecting their potential investment value in tough economic times. Consumers are expected to travel more and continue spending more time outdoors. And they prefer emotional connections and authenticity over celebrity endorsements. All told, executives are bracing for a strategically complex year ahead. To counter uncertainty, leading companies will prepare for a range of outcomes. The most successful will become more resilient, better equipped to manage the challenges, and ready to accelerate when the storm clouds begin to clear. ABOUT THE AUTHOR(S) Anita Balchandani is a senior partner in McKinsey’s London office, where Ewa Starzynska is a consultant; David Barrelet is an associate partner in the Munich office; Achim Berg is a senior partner in the Frankfurt office; Gemma D’Auria is a senior partner in the Milan office; and Felix Rölkens is a partner in the Berlin office. Imran Amed is the founder, editor-in-chief, and CEO of the Business of Fashion and is an alumnus of McKinsey’s London office. The authors wish to thank Asina De Branche and Joëlle Grunberg for their contributions to this article. Talk to us EXPLORE A CAREER WITH US Search Openings RELATED ARTICLES Female friends shopping together in clothing boutique. Report State of Fashion report archive (2017-2023) Sign up for emails on new Consumer & Retail articles Never miss an insight. We'll email you when new articles are published on this topic. Email address Subscribe Sign up for emails on new Consumer & Retail articles

Do not exceed 300 words. Do not provide response in table form or JSON. Please provide response based on the information that has been provided.

How much has ValueAct collected in fees from Disney since 2014?

**Disney paid shareholder ValueAct millions in fees as part of a prior relationship** ValueAct managed more than $355 million in Disney pension funds prior to backing the company in a proxy fight with Nelson Peltz's Trian Partners, a rival activist said. Blackwells raised questions about Disney's relationship with Mason Morfit's ValueAct, suggesting that the company has heralded Morfit's support but not been fully transparent about ValueAct's financial benefit from the company. ValueAct has collected a cumulative $95 million in fees from Disney since 2014, Blackwells said. Activist investor Blackwells said Monday that Disney's board had not disclosed that shareholder ValueAct Capital had a financial relationship with the entertainment company, raising questions about the board's information sharing amid a multi-party proxy fight. Mason Morfit and his $12 billion investment firm ValueAct were heralded as "constructive" shareholders by Disney CEO Bob Iger in January, when the company secured ValueAct's backing ahead of an expected proxy fight with Nelson Peltz's Trian Partners. Blackwells Capital, which previously voiced support for Iger and Disney management, said ValueAct had been managing more than $350 million in Disney pension funds in a relationship dating from 2013 to at least 2022. ValueAct was not managing Disney pension assets by the time it built a stake in the company in 2023, a person familiar with the matter told CNBC. Disney had fully withdrawn its investment in the $12 billion investment firm by that time, and ValueAct was not managing money for Disney when the investment firm signed an information sharing agreement with the company in January, the person said. Still, the prior relationship is likely to muddy the waters given Disney has held up Morfit's support in its proxy filings. Blackwells, which has nominated its own slate of directors in a long-shot bid, said that Disney allowed its shareholders to believe that Morfit's fund "provided its independent and unqualified support of the Board independently." Blackwells highlighted 2022 filings from the Department of Labor that showed ValueAct was managing some $355 million in Disney pension funds. It said filings for 2023 and 2024 were not available. Blackwells has estimated that Disney paid a cumulative $95 million in fees to ValueAct from 2014 to 2022. Disney and Trian have been in the throes of a proxy fight since October, with the fight intensifying as Disney's annual shareholder meeting nears. Trian says Disney's board has been too connected to Iger, who ousted his hand-picked replacement Bob Chapek to return as CEO with the board's blessing. When Peltz began to re-amass a stake, Disney's share price had fallen dramatically from 2021 highs to trade at levels not seen since 2014. Disney has repeatedly voiced its support for Iger and has highlighted that its directors have experience overseeing successful succession planning. Disney has suggested that Trian bears ill will towards the company after the investment firm was fired as a pension fund manager. In proxy filings, Disney has also said that the company is executing on a plan to invest in its experiences and streaming businesses. It has also touted ValueAct and Morfit's support in presentations and securities filings. "Can this Board believe that shareholders are able to evaluate the significance of ValueAct's endorsement without a full understanding of the relationship?" Blackwells asked. Representatives for Disney and Blackwells did not respond to requests for comment. A spokesperson for Trian declined to comment.

<Text> ======= **Disney paid shareholder ValueAct millions in fees as part of a prior relationship** ValueAct managed more than $355 million in Disney pension funds prior to backing the company in a proxy fight with Nelson Peltz's Trian Partners, a rival activist said. Blackwells raised questions about Disney's relationship with Mason Morfit's ValueAct, suggesting that the company has heralded Morfit's support but not been fully transparent about ValueAct's financial benefit from the company. ValueAct has collected a cumulative $95 million in fees from Disney since 2014, Blackwells said. Activist investor Blackwells said Monday that Disney's board had not disclosed that shareholder ValueAct Capital had a financial relationship with the entertainment company, raising questions about the board's information sharing amid a multi-party proxy fight. Mason Morfit and his $12 billion investment firm ValueAct were heralded as "constructive" shareholders by Disney CEO Bob Iger in January, when the company secured ValueAct's backing ahead of an expected proxy fight with Nelson Peltz's Trian Partners. Blackwells Capital, which previously voiced support for Iger and Disney management, said ValueAct had been managing more than $350 million in Disney pension funds in a relationship dating from 2013 to at least 2022. ValueAct was not managing Disney pension assets by the time it built a stake in the company in 2023, a person familiar with the matter told CNBC. Disney had fully withdrawn its investment in the $12 billion investment firm by that time, and ValueAct was not managing money for Disney when the investment firm signed an information sharing agreement with the company in January, the person said. Still, the prior relationship is likely to muddy the waters given Disney has held up Morfit's support in its proxy filings. Blackwells, which has nominated its own slate of directors in a long-shot bid, said that Disney allowed its shareholders to believe that Morfit's fund "provided its independent and unqualified support of the Board independently." Blackwells highlighted 2022 filings from the Department of Labor that showed ValueAct was managing some $355 million in Disney pension funds. It said filings for 2023 and 2024 were not available. Blackwells has estimated that Disney paid a cumulative $95 million in fees to ValueAct from 2014 to 2022. Disney and Trian have been in the throes of a proxy fight since October, with the fight intensifying as Disney's annual shareholder meeting nears. Trian says Disney's board has been too connected to Iger, who ousted his hand-picked replacement Bob Chapek to return as CEO with the board's blessing. When Peltz began to re-amass a stake, Disney's share price had fallen dramatically from 2021 highs to trade at levels not seen since 2014. Disney has repeatedly voiced its support for Iger and has highlighted that its directors have experience overseeing successful succession planning. Disney has suggested that Trian bears ill will towards the company after the investment firm was fired as a pension fund manager. In proxy filings, Disney has also said that the company is executing on a plan to invest in its experiences and streaming businesses. It has also touted ValueAct and Morfit's support in presentations and securities filings. "Can this Board believe that shareholders are able to evaluate the significance of ValueAct's endorsement without a full understanding of the relationship?" Blackwells asked. Representatives for Disney and Blackwells did not respond to requests for comment. A spokesperson for Trian declined to comment. ---------------- <Question> ======= How much has ValueAct collected in fees from Disney since 2014? ---------------- <Task Instruction> ======= Do not exceed 300 words. Do not provide response in table form or JSON. Please provide response based on the information that has been provided.

You must only use information from the prompt when answering. If you discuss excessive use of force that specifically resulted in a serious injury, make bold the whole sentence.

Compare the specific cases of taser and pepper spray use.

Tasers can be deployed in two modes. One of the most popular tasers used in the field—the X26, made by Taser International, Inc.—can fire two probes up to 35 feet and “discharges pulsed energy to deliver a 50,000 volt shock designed to override the subject’s central nervous system, causing uncontrollable contraction of the muscle tissue and instant collapse.” 74 Alternatively, the X26 and other similar devices can be used in “stun mode,” in which the device is physically pressed against a human body to deliver a more localized shock.75 Like all other use of force cases, those assessing the use of tasers tend to be heavily fact-specific from which it is difficult to derive universal principles. That said, a few general trends can be noted. First, the courts have held that the use of a taser is least justified against “nonviolent misdemeanants who do not flee or actively resist arrest and pose little or no threat to the security of the officer.” 76 For instance, in Brown v. City of Golden Valley, a woman and her husband were allegedly pulled over for speeding.77 When the officers reportedly engaged in aggressive behavior, the woman called 911, and refused to hang up when commanded by the officers.78 One of the officers tased her arm and threw the phone on the ground. The Eighth Circuit rejected the officer’s defense of qualified immunity, noting that the woman was only suspected of committing a minor offense and did not pose a threat to the safety of the officers. 79 In another case, the Sixth Circuit held that an officer was not entitled to qualified immunity when she “gratuitously” shocked a man after he had been restrained by police.80 Second, the courts have generally held that the use of a taser against persons who are belligerent or violent is permitted under the Fourth Amendment.81 In one case, a 9th grade student was tased by a police officer after he attempted to punch a police officer after refusing to hand over his portable video game console.82 The court rejected the student’s Section 1983 claim, observing that it was “simply impossible” to say that the amount of force used was unreasonable under the Fourth Amendment. Somewhere in the grey area between active resistance and no resistance are cases where law enforcement used a taser against someone who was passively resisting the officer’s commands. The majority of cases seem to permit the use of a taser for individuals against such passive resisters. In Buckley v. Haddock, for example, the Eleventh Circuit upheld the use of a taser on a man who fell to the ground after being handcuffed and refused to get up after several requests from the officer. 83 After giving the man several warnings, the officer tased him several times. In rejecting his claim, the court put significant weight on the government’s interest, noting that “[t]he government has an interest in arrests being completed efficiently and without waste of limited resources: police time and energy that may be needed elsewhere at any moment.” 84 In another case, the U.S. District Court for the Southern District of Ohio held that a police officer was justified in using a taser on an elderly suspect suffering from Alzheimer’s disease who had “refused to comply” with the officer’s orders. Once the officer decided to engage the suspect, the court posited, “he had to continue, and it seems the only way he was able to do this was with a taser.” 85 In doing so, the court denied the fact that the age or potential mental illness of a suspect should require a heightened use of force standard.86 Similarly, the Western District of Washington upheld the use of a taser against a mentally ill woman who attempted to drive away from two police officers who were sent to check on the suspect after her mother reported that she might attempt suicide.87 The district court upheld this use of force for two reasons. First, it found credible the officer’s belief that Lowe posed a risk to the safety of the officers and others when she got into her truck, which he believed could have been used as a weapon. Second, the court construed Lowe’s actions as “attempting to avoid legitimate contact by law enforcement.... ” 88 Beyond the level of threat posed by the individual, the courts have taken other factors into consideration including the degree of harm caused by the Taser and how many times it was used in a specific situation.89 For instance, the Eleventh Circuit observed that “[a]lthough being struck by a taser gun is an unpleasant experience, the amount of force [the officer] used—a single use of a taser gun causing a one-time shocking—was reasonably proportionate to the need for force and did not inflict any serious injury.” 90 To the contrary, the fact that an individual had suffered “serious injury requiring emergency medical care” and its multiple applications contributed to a court finding that the use of a taser multiple times was unreasonable.91 Because in the large majority of cases the target of the tasing is not going to suffer permanent injuries, the courts may be inclined to find that such use of force is reasonable in most cases. However, these opinions did not take into account the potential injury—including death—that might be caused by these devices. Other factors taken into consideration have included the vulnerability of the victim, 92 and whether the officers provided a warning to the target before employing the taser. 93 Pepper Spray Like tasers, the use of pepper spray by local police as a law enforcement tool has engendered considerable public attention, including well-known incidents during the Occupy Wall Street protests, 94 and more recently during the protests in Ferguson, Missouri. 95 Pepper spray, or oleoresin capsicum, is a chemical agent used by law enforcement to subdue violent or combative suspects without resorting to higher levels of force.96 The effects of pepper spray include “(1) dilation of the capillaries and instant closing of the eyes through swelling of the eyelids, (2) immediate respiratory inflammation, including uncontrollable coughing, retching, shortness of breath and gasping for air with a gagging sensation in the throat, and (3) immediate burning sensations to the mucous membranes, skin and inside the nose and mouth.” 97 The federal courts have generally been less deferential to law enforcement when using pepper spray on passive resisters than they have been with tasers. In cases in which the individual is only passively resisting—say, simply failing to listen to an officer’s order—the courts have generally held that the use of pepper spray is a violation of the Fourth Amendment.98 Take, for instance, Young v. County of Los Angeles, in which the Ninth Circuit held that the use of pepper spray against a nonviolent traffic offender was unreasonable under the Fourth Amendment.99 Similarly, in Headwaters Forest Defense v. County of Humboldt, the Ninth Circuit held that the use of pepper spray against nonviolent protestors constituted an unreasonable seizure under the Fourth Amendment.100 While these cases disapproved of the use of pepper spray against persons who were passive resisters, there have been rulings upholding such use of force in the course of traffic stops. In Mecham v. Frazier, the Tenth Circuit rejected the plaintiff’s Fourth Amendment claim that a police officer used excessive force when he sprayed her with pepper spray after she refused to leave her vehicle after a traffic stop.101 The court found that the officer’s actions were justified based on Mecham’s “disregard for the officer’s instructions, the length of the encounter, and the implausibility of Mecham’s rationale for not cooperating.” Like the use of tasers, the courts have generally held that an officer’s use of pepper spray is not unreasonable when a suspect is actively resisting arrest or fails to heed an officer’s direct command. In Singleton v. Darby, the Fifth Circuit upheld the use of pepper spray against a group of individuals, including the plaintiff Jeanette Singleton, who were protesting the Keystone XL Pipeline.102 In rejecting Singleton’s Section 1983 claim premised on excessive force, the court held that the use of the pepper spray was not unreasonable because (1) the state had a significant interest in keeping public roads clear; (2) the officer faced an “explosive situation” in which he was greatly outnumbered by the protesters; (3) he provided a warning before using the spray; and (4) pepper spray was likely the least intrusive force available to the officer.103 Finally, like with tasers, federal courts have generally held that it is unreasonable to use pepper spray against individuals who are not resisting and pose no danger to the officer or others.104

System Instructions: You must only use information from the prompt when answering. If you discuss excessive use of force that specifically resulted in a serious injury, make bold the whole sentence. Question: Compare the specific cases of taser and pepper spray use. Context: Tasers can be deployed in two modes. One of the most popular tasers used in the field—the X26, made by Taser International, Inc.—can fire two probes up to 35 feet and “discharges pulsed energy to deliver a 50,000 volt shock designed to override the subject’s central nervous system, causing uncontrollable contraction of the muscle tissue and instant collapse.” 74 Alternatively, the X26 and other similar devices can be used in “stun mode,” in which the device is physically pressed against a human body to deliver a more localized shock.75 Like all other use of force cases, those assessing the use of tasers tend to be heavily fact-specific from which it is difficult to derive universal principles. That said, a few general trends can be noted. First, the courts have held that the use of a taser is least justified against “nonviolent misdemeanants who do not flee or actively resist arrest and pose little or no threat to the security of the officer.” 76 For instance, in Brown v. City of Golden Valley, a woman and her husband were allegedly pulled over for speeding.77 When the officers reportedly engaged in aggressive behavior, the woman called 911, and refused to hang up when commanded by the officers.78 One of the officers tased her arm and threw the phone on the ground. The Eighth Circuit rejected the officer’s defense of qualified immunity, noting that the woman was only suspected of committing a minor offense and did not pose a threat to the safety of the officers. 79 In another case, the Sixth Circuit held that an officer was not entitled to qualified immunity when she “gratuitously” shocked a man after he had been restrained by police.80 Second, the courts have generally held that the use of a taser against persons who are belligerent or violent is permitted under the Fourth Amendment.81 In one case, a 9th grade student was tased by a police officer after he attempted to punch a police officer after refusing to hand over his portable video game console.82 The court rejected the student’s Section 1983 claim, observing that it was “simply impossible” to say that the amount of force used was unreasonable under the Fourth Amendment. Somewhere in the grey area between active resistance and no resistance are cases where law enforcement used a taser against someone who was passively resisting the officer’s commands. The majority of cases seem to permit the use of a taser for individuals against such passive resisters. In Buckley v. Haddock, for example, the Eleventh Circuit upheld the use of a taser on a man who fell to the ground after being handcuffed and refused to get up after several requests from the officer. 83 After giving the man several warnings, the officer tased him several times. In rejecting his claim, the court put significant weight on the government’s interest, noting that “[t]he government has an interest in arrests being completed efficiently and without waste of limited resources: police time and energy that may be needed elsewhere at any moment.” 84 In another case, the U.S. District Court for the Southern District of Ohio held that a police officer was justified in using a taser on an elderly suspect suffering from Alzheimer’s disease who had “refused to comply” with the officer’s orders. Once the officer decided to engage the suspect, the court posited, “he had to continue, and it seems the only way he was able to do this was with a taser.” 85 In doing so, the court denied the fact that the age or potential mental illness of a suspect should require a heightened use of force standard.86 Similarly, the Western District of Washington upheld the use of a taser against a mentally ill woman who attempted to drive away from two police officers who were sent to check on the suspect after her mother reported that she might attempt suicide.87 The district court upheld this use of force for two reasons. First, it found credible the officer’s belief that Lowe posed a risk to the safety of the officers and others when she got into her truck, which he believed could have been used as a weapon. Second, the court construed Lowe’s actions as “attempting to avoid legitimate contact by law enforcement.... ” 88 Beyond the level of threat posed by the individual, the courts have taken other factors into consideration including the degree of harm caused by the Taser and how many times it was used in a specific situation.89 For instance, the Eleventh Circuit observed that “[a]lthough being struck by a taser gun is an unpleasant experience, the amount of force [the officer] used—a single use of a taser gun causing a one-time shocking—was reasonably proportionate to the need for force and did not inflict any serious injury.” 90 To the contrary, the fact that an individual had suffered “serious injury requiring emergency medical care” and its multiple applications contributed to a court finding that the use of a taser multiple times was unreasonable.91 Because in the large majority of cases the target of the tasing is not going to suffer permanent injuries, the courts may be inclined to find that such use of force is reasonable in most cases. However, these opinions did not take into account the potential injury—including death—that might be caused by these devices. Other factors taken into consideration have included the vulnerability of the victim, 92 and whether the officers provided a warning to the target before employing the taser. 93 Pepper Spray Like tasers, the use of pepper spray by local police as a law enforcement tool has engendered considerable public attention, including well-known incidents during the Occupy Wall Street protests, 94 and more recently during the protests in Ferguson, Missouri. 95 Pepper spray, or oleoresin capsicum, is a chemical agent used by law enforcement to subdue violent or combative suspects without resorting to higher levels of force.96 The effects of pepper spray include “(1) dilation of the capillaries and instant closing of the eyes through swelling of the eyelids, (2) immediate respiratory inflammation, including uncontrollable coughing, retching, shortness of breath and gasping for air with a gagging sensation in the throat, and (3) immediate burning sensations to the mucous membranes, skin and inside the nose and mouth.” 97 The federal courts have generally been less deferential to law enforcement when using pepper spray on passive resisters than they have been with tasers. In cases in which the individual is only passively resisting—say, simply failing to listen to an officer’s order—the courts have generally held that the use of pepper spray is a violation of the Fourth Amendment.98 Take, for instance, Young v. County of Los Angeles, in which the Ninth Circuit held that the use of pepper spray against a nonviolent traffic offender was unreasonable under the Fourth Amendment.99 Similarly, in Headwaters Forest Defense v. County of Humboldt, the Ninth Circuit held that the use of pepper spray against nonviolent protestors constituted an unreasonable seizure under the Fourth Amendment.100 While these cases disapproved of the use of pepper spray against persons who were passive resisters, there have been rulings upholding such use of force in the course of traffic stops. In Mecham v. Frazier, the Tenth Circuit rejected the plaintiff’s Fourth Amendment claim that a police officer used excessive force when he sprayed her with pepper spray after she refused to leave her vehicle after a traffic stop.101 The court found that the officer’s actions were justified based on Mecham’s “disregard for the officer’s instructions, the length of the encounter, and the implausibility of Mecham’s rationale for not cooperating.” Like the use of tasers, the courts have generally held that an officer’s use of pepper spray is not unreasonable when a suspect is actively resisting arrest or fails to heed an officer’s direct command. In Singleton v. Darby, the Fifth Circuit upheld the use of pepper spray against a group of individuals, including the plaintiff Jeanette Singleton, who were protesting the Keystone XL Pipeline.102 In rejecting Singleton’s Section 1983 claim premised on excessive force, the court held that the use of the pepper spray was not unreasonable because (1) the state had a significant interest in keeping public roads clear; (2) the officer faced an “explosive situation” in which he was greatly outnumbered by the protesters; (3) he provided a warning before using the spray; and (4) pepper spray was likely the least intrusive force available to the officer.103 Finally, like with tasers, federal courts have generally held that it is unreasonable to use pepper spray against individuals who are not resisting and pose no danger to the officer or others.104

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

Blockchain technology is best characterized by its non-erasable and distributed framework, which brings new levels of protection in the financial industry and healthcare. However, some critics opine that by virtue of being public ledgers, blockchain poses privacy issues when used to manage data. Analyze the impact of blockchain's transparency for highly sensitive information, and consider, how blockchain's decentralized structure may bring new challenges to the protection of data in a variety of sectors like supply chain and telecommunication.

Blockchain technology has been a buzzword in recent years, often associated with cryptocurrency and financial transactions. However, its potential extends far beyond these applications. It’s becoming an essential technology, with its global market size expected to hit $1.43 US trillion by 2030. Among many other applications, this technology has the power to revolutionize the way we manage and secure data across various industries, including healthcare, finance, and supply chain management. This article will discuss the untapped potential of blockchain technology in enhancing cybersecurity beyond its association with cryptocurrency. What is Blockchain? Blockchain is a digital ledger technology that records and stores data in a decentralized manner across a network of computers. It is often referred to as a "chain" because each block of data is linked to the previous block through a unique alphanumeric code called a hash. This creates a chronological sequence of data that is tamper-proof and immutable. Imagine a spreadsheet shared among multiple people, each with a copy. Whenever a new transaction is added, it is verified by all the people in the network before being added to the spreadsheet. This ensures that everyone has the same version of the spreadsheet, and no single person can alter the data without the others noticing. This makes it a great way to deal with online threats such as ransomware. The benefits of Blockchain in cybersecurity While blockchain technology is not a panacea for all cybersecurity challenges, its unique features and benefits make it a valuable tool for enhancing data security, preventing tampering, and increasing system resilience against cyber threats. One of the primary benefits of blockchain in cybersecurity is its ability to ensure data integrity and prevent tampering. Each block in the blockchain contains a cryptographic hash that links it to the previous block, forming an unbroken chain. Any attempt to modify data within a block would result in a different hash, immediately revealing the tampering. This immutability ensures that data stored on the blockchain remains accurate and unaltered, protecting against data breaches and unauthorized modifications. Decentralization and transparency Another significant advantage of blockchain is its decentralized architecture, which eliminates the need for a central authority or single point of failure. Traditional centralized systems are vulnerable to cyber attacks, as compromising a single server or database can lead to a complete breach. In contrast, blockchain networks are distributed across multiple nodes, making them highly resilient against attacks. Even if some nodes are compromised, the rest of the network can continue operating and validating transactions, minimizing the impact of a cyber-attack. Transparency is another crucial benefit of blockchain in cybersecurity. Every transaction or data entry on the blockchain is visible to all network participants, creating a transparent and auditable record. This transparency promotes accountability, as any attempt to manipulate data can be easily detected and traced back to the responsible party. Furthermore, blockchain's transparency facilitates automated auditing and compliance, reducing the risk of human error or intentional fraud. Additionally, since blockchain provides immutable evidence of all network events, you won’t need someone with a psychology degree to train your team members about security risks related to malware, phishing, and other threats. Blockchain applications in cybersecurity Blockchain technology has a wide range of applications beyond cryptocurrency, such as secure data storage, smart contracts, and supply chain management. It is particularly useful for industries where transparency, security, and trust are crucial, such as finance, healthcare, and even government. Healthcare Blockchain's decentralized nature ensures that patient data is kept secure and immutable, making it nearly impossible for unauthorized users to alter or tamper with medical records. This is crucial for maintaining the integrity and confidentiality of sensitive health information. Additionally, blockchain supports the use of smart contracts, which automate various healthcare processes including claims management and billing. These contracts execute conditions automatically, minimizing the risk of fraud and errors while ensuring transactions are handled efficiently. Blockchain also facilitates secure data exchange between different healthcare systems and providers by improving interoperability. This enhances coordinated care and improves overall health outcomes​ Finance Blockchain technology’s inherent properties such as decentralization, immutability, and transparency, are particularly suited to addressing some of the most pressing cybersecurity challenges faced by financial institutions. One key application is in banking systems, where blockchain can facilitate secure and auditable money transfers while eliminating the need for intermediaries and reducing the risk of tampering or unauthorized access. The technology creates a distributed ledger of transactions, ensuring financial records remain accurate, consistent, and resistant to manipulation. Each transaction undergoes cryptographic security measures before being added as a new immutable block, establishing a permanent and verifiable trail for easy auditing. This transparency and traceability aid in detecting and preventing fraudulent activities like money laundering, identity theft, and unauthorized fund transfers. Then again, blockchain's unalterable ledger also works well with traditional solutions such as PCI-compliant hosting, which adds another layer of security reporting. In addition to having the website as a whole protected, the same server could also store copies of transactions reported on the ledger, as well as pentesting reports and all essential data. It could also be used to make same-day ACH transfers, loan issuance, and other financial activities more efficient. Blockchain's decentralized architecture also eliminates single points of failure, making financial systems more resilient against cyber-attacks and data breaches. Several major banks and financial institutions actively explore and implement blockchain solutions to streamline operations, reduce costs, and enhance security for sensitive financial data and transactions. Supply chain management Blockchain technology significantly enhances cybersecurity within supply chain management by creating a decentralized and transparent environment that makes data tampering and fraud much more difficult. Immutable ledgers allow stakeholders to audit the supply chain in real-time and verify all activities without relying on a single point of trust​. Smart contracts streamline many supply chain processes, such as procurement and payments, reducing the potential for disputes and enhancing overall efficiency. These contracts trigger automatically when predefined conditions are met, thus ensuring compliance and speeding up operations. Furthermore, blockchain's ability to provide a comprehensive record of transactions helps significantly reduce the risk of counterfeit products entering the supply chain, as each product can be traced back to its origin​. The potential for Blockchain to become a universal cybersecurity solution Blockchain technology has the potential to become a universal cybersecurity solution across various industries and applications. Its decentralized, transparent, and immutable nature makes it a robust framework for securing data, systems, and transactions. The widespread adoption of blockchain as a universal cybersecurity solution is still in its early stages. However, there are ongoing research and development efforts to address challenges such as scalability and regulatory compliance and speed up its application. As the technology continues to evolve and mature, it has the potential to become an integral part of cybersecurity frameworks across multiple sectors. It has proven its ability to provide a secure and transparent foundation for data integrity as well as to protect your overall digital footprint. Scaling up isn't an issue with blockchain either—even an options-trading platform can rely on more efficient chains to process large amounts of data on a per-second basis, which can also be applied to other niches, such as music streaming, eSports, communication platforms, etc. Not to mention, the robust authentication mechanisms that blockchain provides us with, ensuring that only authorized parties can access and interact with sensitive information. Conclusion Blockchain technology is not just good for enhancing current security systems; it's also paving the way for new, decentralized security measures that could fundamentally change how we protect digital information. As cyber threats become more complex, blockchain's role in building secure, resilient digital systems becomes increasingly crucial. It represents a future where digital security is integrated seamlessly into the fabric of our digital interactions.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== Blockchain technology is best characterized by its non-erasable and distributed framework, which brings new levels of protection in the financial industry and healthcare. However, some critics opine that by virtue of being public ledgers, blockchain poses privacy issues when used to manage data. Analyze the impact of blockchain's transparency for highly sensitive information, and consider, how blockchain's decentralized structure may bring new challenges to the protection of data in a variety of sectors like supply chain and telecommunication. {passage 0} ========== Blockchain technology has been a buzzword in recent years, often associated with cryptocurrency and financial transactions. However, its potential extends far beyond these applications. It’s becoming an essential technology, with its global market size expected to hit $1.43 US trillion by 2030. Among many other applications, this technology has the power to revolutionize the way we manage and secure data across various industries, including healthcare, finance, and supply chain management. This article will discuss the untapped potential of blockchain technology in enhancing cybersecurity beyond its association with cryptocurrency. What is Blockchain? Blockchain is a digital ledger technology that records and stores data in a decentralized manner across a network of computers. It is often referred to as a "chain" because each block of data is linked to the previous block through a unique alphanumeric code called a hash. This creates a chronological sequence of data that is tamper-proof and immutable. Imagine a spreadsheet shared among multiple people, each with a copy. Whenever a new transaction is added, it is verified by all the people in the network before being added to the spreadsheet. This ensures that everyone has the same version of the spreadsheet, and no single person can alter the data without the others noticing. This makes it a great way to deal with online threats such as ransomware. The benefits of Blockchain in cybersecurity While blockchain technology is not a panacea for all cybersecurity challenges, its unique features and benefits make it a valuable tool for enhancing data security, preventing tampering, and increasing system resilience against cyber threats. One of the primary benefits of blockchain in cybersecurity is its ability to ensure data integrity and prevent tampering. Each block in the blockchain contains a cryptographic hash that links it to the previous block, forming an unbroken chain. Any attempt to modify data within a block would result in a different hash, immediately revealing the tampering. This immutability ensures that data stored on the blockchain remains accurate and unaltered, protecting against data breaches and unauthorized modifications. Decentralization and transparency Another significant advantage of blockchain is its decentralized architecture, which eliminates the need for a central authority or single point of failure. Traditional centralized systems are vulnerable to cyber attacks, as compromising a single server or database can lead to a complete breach. In contrast, blockchain networks are distributed across multiple nodes, making them highly resilient against attacks. Even if some nodes are compromised, the rest of the network can continue operating and validating transactions, minimizing the impact of a cyber-attack. Transparency is another crucial benefit of blockchain in cybersecurity. Every transaction or data entry on the blockchain is visible to all network participants, creating a transparent and auditable record. This transparency promotes accountability, as any attempt to manipulate data can be easily detected and traced back to the responsible party. Furthermore, blockchain's transparency facilitates automated auditing and compliance, reducing the risk of human error or intentional fraud. Additionally, since blockchain provides immutable evidence of all network events, you won’t need someone with a psychology degree to train your team members about security risks related to malware, phishing, and other threats. Blockchain applications in cybersecurity Blockchain technology has a wide range of applications beyond cryptocurrency, such as secure data storage, smart contracts, and supply chain management. It is particularly useful for industries where transparency, security, and trust are crucial, such as finance, healthcare, and even government. Healthcare Blockchain's decentralized nature ensures that patient data is kept secure and immutable, making it nearly impossible for unauthorized users to alter or tamper with medical records. This is crucial for maintaining the integrity and confidentiality of sensitive health information. Additionally, blockchain supports the use of smart contracts, which automate various healthcare processes including claims management and billing. These contracts execute conditions automatically, minimizing the risk of fraud and errors while ensuring transactions are handled efficiently. Blockchain also facilitates secure data exchange between different healthcare systems and providers by improving interoperability. This enhances coordinated care and improves overall health outcomes​ Finance Blockchain technology’s inherent properties such as decentralization, immutability, and transparency, are particularly suited to addressing some of the most pressing cybersecurity challenges faced by financial institutions. One key application is in banking systems, where blockchain can facilitate secure and auditable money transfers while eliminating the need for intermediaries and reducing the risk of tampering or unauthorized access. The technology creates a distributed ledger of transactions, ensuring financial records remain accurate, consistent, and resistant to manipulation. Each transaction undergoes cryptographic security measures before being added as a new immutable block, establishing a permanent and verifiable trail for easy auditing. This transparency and traceability aid in detecting and preventing fraudulent activities like money laundering, identity theft, and unauthorized fund transfers. Then again, blockchain's unalterable ledger also works well with traditional solutions such as PCI-compliant hosting, which adds another layer of security reporting. In addition to having the website as a whole protected, the same server could also store copies of transactions reported on the ledger, as well as pentesting reports and all essential data. It could also be used to make same-day ACH transfers, loan issuance, and other financial activities more efficient. Blockchain's decentralized architecture also eliminates single points of failure, making financial systems more resilient against cyber-attacks and data breaches. Several major banks and financial institutions actively explore and implement blockchain solutions to streamline operations, reduce costs, and enhance security for sensitive financial data and transactions. Supply chain management Blockchain technology significantly enhances cybersecurity within supply chain management by creating a decentralized and transparent environment that makes data tampering and fraud much more difficult. Immutable ledgers allow stakeholders to audit the supply chain in real-time and verify all activities without relying on a single point of trust​. Smart contracts streamline many supply chain processes, such as procurement and payments, reducing the potential for disputes and enhancing overall efficiency. These contracts trigger automatically when predefined conditions are met, thus ensuring compliance and speeding up operations. Furthermore, blockchain's ability to provide a comprehensive record of transactions helps significantly reduce the risk of counterfeit products entering the supply chain, as each product can be traced back to its origin​. The potential for Blockchain to become a universal cybersecurity solution Blockchain technology has the potential to become a universal cybersecurity solution across various industries and applications. Its decentralized, transparent, and immutable nature makes it a robust framework for securing data, systems, and transactions. The widespread adoption of blockchain as a universal cybersecurity solution is still in its early stages. However, there are ongoing research and development efforts to address challenges such as scalability and regulatory compliance and speed up its application. As the technology continues to evolve and mature, it has the potential to become an integral part of cybersecurity frameworks across multiple sectors. It has proven its ability to provide a secure and transparent foundation for data integrity as well as to protect your overall digital footprint. Scaling up isn't an issue with blockchain either—even an options-trading platform can rely on more efficient chains to process large amounts of data on a per-second basis, which can also be applied to other niches, such as music streaming, eSports, communication platforms, etc. Not to mention, the robust authentication mechanisms that blockchain provides us with, ensuring that only authorized parties can access and interact with sensitive information. Conclusion Blockchain technology is not just good for enhancing current security systems; it's also paving the way for new, decentralized security measures that could fundamentally change how we protect digital information. As cyber threats become more complex, blockchain's role in building secure, resilient digital systems becomes increasingly crucial. It represents a future where digital security is integrated seamlessly into the fabric of our digital interactions. https://www.secureworld.io/industry-news/blockchain-beyond-crypto-cybersecurity

You must base your answer only on the provided text. You must not use any external sources or prior knowledge. Limit your response to 40 words.

If a customer's meter seal was broken and lost service, but now wants it reconnected, what must they do?

DISCONTINUANCE AND RECONNECTION 4.11 General: Failure of SRP at any time to suspend the delivery of service, to terminate an Agreement for Electric Service, or to seek any other legal remedy upon default or breach by the Customer will not affect SRP’s right to seek any such remedies for the same or any future default or breach by the Customer. If a Customer fails to perform as required by these Rules and Regulations, the Price Plans, the Electric Service Specifications, or the Customer’s Agreement for Electric Service, SRP may disconnect service. No personal visit to a Customer’s premises is required prior to disconnection of service. SRP also may disconnect service to the Customer when necessary to comply with any law or regulation applicable to SRP or the Customer, or if a Governmental Entity revokes its clearance for the provision of electrical service. 4.12 Reconnect After Disconnect for Non-Payment: 4.12.1 Seven calendar days prior to disconnecting service for a delinquent SRP billing, SRP will mail, e-mail, or personally deliver to the Customer’s premises a written notice stating the delinquent amount and that SRP intends to disconnect service unless the delinquent amount is promptly paid. This notification requirement does not apply to delinquent extensions for payment of prior billings when a seven-day notice was previously given, to delinquent extensions for payment of deposits or other up-front charges that were billed as a courtesy to the Customer, to a pre-pay account when the Customer controls timing of the disconnection based on self-management of the pre-pay balance, or to insufficient funds regarding the Customer’s payment. 4.12.2 Once SRP disconnects service, SRP will not reconnect service until the Customer (a) applies for service; (b) pays all amounts the Customer owes SRP, including past-due bills and any charges for the cost of disconnecting and reconnecting service; and (c) corrects the condition that resulted in the SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICT RULES AND REGULATIONS 29 disconnection. SRP may require an additional security deposit based on its evaluation of the Customer’s creditworthiness. 4.13 Disconnect and Reconnect Pursuant to a Request of a Governmental Entity: 4.13.1 If SRP receives a request to discontinue service from a Governmental Entity stating that it hasrevoked its clearance for the provision of electricalservice, SRP may immediately disconnect service to the Customer without notice. 4.13.2 Once SRP disconnects service due to a request by a Governmental Entity, SRP will not reconnect service until it receives notice that the clearance for the provision of electrical service has been restored by the Governmental Entity. 4.14 Fraud: 4.14.1 No Person shall connect a wire or contrivance to any apparatus used by SRP to supply electricity to a Customer, nor shall any Person provide Power to any device by induction from SRP’s Lines, in such manner that the Person takes electricity that is not properly metered or accounted for. No meter or other instrument installed for measuring the quantity of electricity consumed may be wrongfully obstructed, altered, injured, or prevented from functioning. When a meter seal has been broken by someone other than SRP’s personnel, SRP may assess a reconnection fee to the Customer’s billing. Bills for unmetered electricity may include the full cost or expense incurred by SRP to investigate and confirm diversion of electricity. SRP also reserves the right to impose additional charges, as it deems appropriate, when a provision of this Section 4.14.1 has been violated. Bills for all such charges are due and payable immediately upon presentation unless otherwise agreed by SRP. In addition to the remedies herein, SRP reserves all legal rights available to it including pursuing criminal prosecutions against, and criminal and civil damages from, any Party that violates this Section 4.14.1 or applicable law. 4.14.2 If SRP has evidence that any Customer has caused or allowed any of the conditions of Section 4.14.1 to exist, SRP may, at any time, without notice, discontinue the supply of electricity to the Customer and remove the meter or meters, apparatus, wires, and Service Lateral, as well as any evidence of the condition. 4.14.3 SRP will charge the Customer for periods of unmetered service, estimated using data from available records and information. In the event of damage to meters or Service Equipment, the current Customer of record shall pay SRP based on estimated Energy usage not previously billed as well as any SRP costs associated with restoring proper metering or service. SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICT RULES AND REGULATIONS 30 4.14.4 If SRP disconnects service to the Customer because of a violation of these Rules and Regulations, SRP will not restore service to the Customer until all amounts due SRP have been paid. SRP will include the full cost or expense incurred by SRP for the removal and reinstallation of the meter or meters, apparatus, wires, and Service Lateral. The Customer’s service entrance must comply with SRP’s then-current Electric Service Specifications before it can be re-energized. 4.15 Other Reasons for Discontinuance: 4.15.1 SRP may terminate an Agreement for Electric Service with a Customer or suspend the delivery of service for any other default or breach of the Agreement by the Customer, but, except as expressly provided otherwise in these Rules and Regulations, SRP will not terminate or suspend service without first giving written notice to the Customer, stating in what particular way the Agreement has been violated. 4.15.2 SRP may terminate or suspend delivery of service in the event of a short circuit or other electrical system failure on the Customer’s side of the Point of Delivery or, if the utilization of the service by the Customer, in SRP’s sole discretion, is a safety hazard or may cause damage to Persons or property (“Emergency Disconnect”). Notwithstanding any other provision of these Rules and Regulations, the Price Plans, the Electric Service Specifications, a Customer’s Agreement for Electric Service, or the Distributed Generation Interconnection Handbook, no advance notice need be given to the Customer in the event of an Emergency Disconnect. 4.15.3 Upon prior written notice, SRP may terminate or suspend the delivery of service if: (a) the Customer refuses to grant or is unable to procure easements necessary for or incidental to SRP’s facilities or its provision of service to the Customer according to Section 5.1.5 or any written agreement between SRP and the Customer, or (b) SRP is not provided proper access to SRP Lines, Service Laterals, meters, or other equipment located on property owned or controlled by the Customer to perform maintenance or repair of SRP facilities, to provide service to the Customer, or to read meters on the Customer’s premises. 4.15.4 Notwithstanding any other provision of these Rules and Regulations, the Price Plans, the Electric Service Specifications, or the Customer’s Agreement for Electric Service or the Distributed Generation Interconnection Handbook, SRP may disconnect a Customer at any time, without notice, and remove the meter or meters if the Customer has misrepresented his or her identity in any manner. SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICT RULES AND REGULATIONS 31 4.15.5 Upon prior written notice to Customer, SRP may terminate or suspend the delivery of electric service to any Customer who: (a) without obtaining SRP’s prior written approval, connects or allows the connection of a Distributed Energy Device to any portion of such Customer’s electric system; (b) is required to sign SRP’s Interconnection Agreement but refuses to do so; (c) fails to procure the signature of a third-party owner or operator on SRP’s Interconnection Agreement; or (d) fails to comply with the SRP’s Distributed Generation Interconnection Handbook. 4.15.6 SRP may terminate or suspend delivery of electric service at any time, without notice, if a Customer’s identity cannot be established to SRP’s satisfaction

system instruction: You must base your answer only on the provided text. You must not use any external sources or prior knowledge. Limit your response to 40 words. question: If a customer's meter seal was broken and lost service, but now wants it reconnected, what must they do? context block: DISCONTINUANCE AND RECONNECTION 4.11 General: Failure of SRP at any time to suspend the delivery of service, to terminate an Agreement for Electric Service, or to seek any other legal remedy upon default or breach by the Customer will not affect SRP’s right to seek any such remedies for the same or any future default or breach by the Customer. If a Customer fails to perform as required by these Rules and Regulations, the Price Plans, the Electric Service Specifications, or the Customer’s Agreement for Electric Service, SRP may disconnect service. No personal visit to a Customer’s premises is required prior to disconnection of service. SRP also may disconnect service to the Customer when necessary to comply with any law or regulation applicable to SRP or the Customer, or if a Governmental Entity revokes its clearance for the provision of electrical service. 4.12 Reconnect After Disconnect for Non-Payment: 4.12.1 Seven calendar days prior to disconnecting service for a delinquent SRP billing, SRP will mail, e-mail, or personally deliver to the Customer’s premises a written notice stating the delinquent amount and that SRP intends to disconnect service unless the delinquent amount is promptly paid. This notification requirement does not apply to delinquent extensions for payment of prior billings when a seven-day notice was previously given, to delinquent extensions for payment of deposits or other up-front charges that were billed as a courtesy to the Customer, to a pre-pay account when the Customer controls timing of the disconnection based on self-management of the pre-pay balance, or to insufficient funds regarding the Customer’s payment. 4.12.2 Once SRP disconnects service, SRP will not reconnect service until the Customer (a) applies for service; (b) pays all amounts the Customer owes SRP, including past-due bills and any charges for the cost of disconnecting and reconnecting service; and (c) corrects the condition that resulted in the SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICT RULES AND REGULATIONS 29 disconnection. SRP may require an additional security deposit based on its evaluation of the Customer’s creditworthiness. 4.13 Disconnect and Reconnect Pursuant to a Request of a Governmental Entity: 4.13.1 If SRP receives a request to discontinue service from a Governmental Entity stating that it hasrevoked its clearance for the provision of electricalservice, SRP may immediately disconnect service to the Customer without notice. 4.13.2 Once SRP disconnects service due to a request by a Governmental Entity, SRP will not reconnect service until it receives notice that the clearance for the provision of electrical service has been restored by the Governmental Entity. 4.14 Fraud: 4.14.1 No Person shall connect a wire or contrivance to any apparatus used by SRP to supply electricity to a Customer, nor shall any Person provide Power to any device by induction from SRP’s Lines, in such manner that the Person takes electricity that is not properly metered or accounted for. No meter or other instrument installed for measuring the quantity of electricity consumed may be wrongfully obstructed, altered, injured, or prevented from functioning. When a meter seal has been broken by someone other than SRP’s personnel, SRP may assess a reconnection fee to the Customer’s billing. Bills for unmetered electricity may include the full cost or expense incurred by SRP to investigate and confirm diversion of electricity. SRP also reserves the right to impose additional charges, as it deems appropriate, when a provision of this Section 4.14.1 has been violated. Bills for all such charges are due and payable immediately upon presentation unless otherwise agreed by SRP. In addition to the remedies herein, SRP reserves all legal rights available to it including pursuing criminal prosecutions against, and criminal and civil damages from, any Party that violates this Section 4.14.1 or applicable law. 4.14.2 If SRP has evidence that any Customer has caused or allowed any of the conditions of Section 4.14.1 to exist, SRP may, at any time, without notice, discontinue the supply of electricity to the Customer and remove the meter or meters, apparatus, wires, and Service Lateral, as well as any evidence of the condition. 4.14.3 SRP will charge the Customer for periods of unmetered service, estimated using data from available records and information. In the event of damage to meters or Service Equipment, the current Customer of record shall pay SRP based on estimated Energy usage not previously billed as well as any SRP costs associated with restoring proper metering or service. SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICT RULES AND REGULATIONS 30 4.14.4 If SRP disconnects service to the Customer because of a violation of these Rules and Regulations, SRP will not restore service to the Customer until all amounts due SRP have been paid. SRP will include the full cost or expense incurred by SRP for the removal and reinstallation of the meter or meters, apparatus, wires, and Service Lateral. The Customer’s service entrance must comply with SRP’s then-current Electric Service Specifications before it can be re-energized. 4.15 Other Reasons for Discontinuance: 4.15.1 SRP may terminate an Agreement for Electric Service with a Customer or suspend the delivery of service for any other default or breach of the Agreement by the Customer, but, except as expressly provided otherwise in these Rules and Regulations, SRP will not terminate or suspend service without first giving written notice to the Customer, stating in what particular way the Agreement has been violated. 4.15.2 SRP may terminate or suspend delivery of service in the event of a short circuit or other electrical system failure on the Customer’s side of the Point of Delivery or, if the utilization of the service by the Customer, in SRP’s sole discretion, is a safety hazard or may cause damage to Persons or property (“Emergency Disconnect”). Notwithstanding any other provision of these Rules and Regulations, the Price Plans, the Electric Service Specifications, a Customer’s Agreement for Electric Service, or the Distributed Generation Interconnection Handbook, no advance notice need be given to the Customer in the event of an Emergency Disconnect. 4.15.3 Upon prior written notice, SRP may terminate or suspend the delivery of service if: (a) the Customer refuses to grant or is unable to procure easements necessary for or incidental to SRP’s facilities or its provision of service to the Customer according to Section 5.1.5 or any written agreement between SRP and the Customer, or (b) SRP is not provided proper access to SRP Lines, Service Laterals, meters, or other equipment located on property owned or controlled by the Customer to perform maintenance or repair of SRP facilities, to provide service to the Customer, or to read meters on the Customer’s premises. 4.15.4 Notwithstanding any other provision of these Rules and Regulations, the Price Plans, the Electric Service Specifications, or the Customer’s Agreement for Electric Service or the Distributed Generation Interconnection Handbook, SRP may disconnect a Customer at any time, without notice, and remove the meter or meters if the Customer has misrepresented his or her identity in any manner. SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICT RULES AND REGULATIONS 31 4.15.5 Upon prior written notice to Customer, SRP may terminate or suspend the delivery of electric service to any Customer who: (a) without obtaining SRP’s prior written approval, connects or allows the connection of a Distributed Energy Device to any portion of such Customer’s electric system; (b) is required to sign SRP’s Interconnection Agreement but refuses to do so; (c) fails to procure the signature of a third-party owner or operator on SRP’s Interconnection Agreement; or (d) fails to comply with the SRP’s Distributed Generation Interconnection Handbook. 4.15.6 SRP may terminate or suspend delivery of electric service at any time, without notice, if a Customer’s identity cannot be established to SRP’s satisfaction

Draw your answer from the context block solely, do not use external information. If you cannot answer using the provided context alone, output: "Sorry, I cannot answer your question due to a lack of context.". Answer only in a paragraph format, without any markdown. Use statistics often, when relevant.

What do the main findings from the industry survey say about journalism, media, and technology companies?

These are the main findings from our industry survey, drawn from a strategic sample of more than 300 digital leaders from more than 50 countries and territories. • Just half (47%) of our sample of editors, CEOs, and digital executives say they are confident about the prospects for journalism in the year ahead, with around one-tenth (12%) expressing low confidence. Stated concerns relate to rising costs, declining advertising revenue, and a slowing in subscription growth – as well as increasing legal and physical harassment. Reasons to be cheerful include the hope that closely fought elections in the US and elsewhere could boost consumption and interest, albeit temporarily and with the potential for further damage to trust. • Almost two-thirds (63%) of our survey respondents say they are worried about a sharp decline in referral traffic from social media sites. Data sourced for this report from analytics provider Chartbeat shows that traffic to news sites from Facebook fell 48% in 2023, with traffic from X/Twitter declining by 27%. In response to these developments, around three-quarters (77%) say they will focus more on their own direct channels in the next year, with a fifth (22%) resorting to cutting costs and a similar proportion (20%) experimenting with alternative third-party platforms. • More specifically, publishers say they’ll be putting more effort into WhatsApp (+61 net score)2 and Instagram (+39) following Meta’s decision to open up broadcast channels for publishers. Interest in video networks such as TikTok (+55) and YouTube (+44) remain strong while Google Discover is becoming a more important but volatile referral source. By contrast, publisher sentiment towards Facebook has worsened further this year (-38 net score) along with X/Twitter (-39 net score). • Related to the above, the majority of our publisher respondents say they plan to create more video (+64 net score), more newsletters (+52), and more podcasts (+47), but broadly the same number of news articles – as they lean into some of the few remaining areas of audience and advertiser growth. Around half (54%) of respondents admit their companies are mostly focused on maximising attention rather than being more respectful of their audience’s time (37%). • The twin dangers of selective news avoidance and news fatigue remain a major source of concern for media companies looking to sustain interest in news from Gaza and Ukraine, amongst other difficult stories. Strategies that publishers consider very important to counter these trends include better explanation of complex stories (67%), more solutionsoriented or constructive approaches to storytelling (44%), and more inspirational human stories (43%). There was less support for commissioning more positive (21%) or entertaining (18%) news. • On the business side, publishers continue to invest in subscription and membership, with a large majority of those surveyed (80%) saying this will be an important revenue stream, ahead of both display and native advertising. Most of those operating a paid model report either a slight increase, or stable subscription numbers in the last year, despite the difficult economic outlook. • As a number of publishers aim to do lucrative licensing deals with AI platforms this year, there is little optimism that any benefits will be equally shared. In our survey a third (35%) of respondents believed that most of the money would go to big publishers. Around half (48%) felt that, at the end of the day, there would be very little money for any publisher. • Using AI for back-end news automation (56%) is considered the most important use of the technology by publisher respondents, followed by offering better recommendations (37%) and commercial uses (28%). Publishers are ambivalent about using AI for content creation, which is considered the biggest reputational risk by over half of respondents. • Experimental interfaces to the internet such as AR and VR glasses, lapel pins, and other wearable devices will be a feature of the year ahead. But existing voice activated devices such as headphones and smart speakers, as they get upgraded with AI technologies, are considered by respondents to be the most likely option (41%) to displace – or at least supplement – the smartphone in the medium term.

System Instructions: Draw your answer from the context block solely, do not use external information. If you cannot answer using the provided context alone, output: "Sorry, I cannot answer your question due to a lack of context.". Answer only in a paragraph format, without any markdown. Use statistics often, when relevant. Question: What do the main findings from the industry survey say about journalism, media, and technology companies? Context Block: These are the main findings from our industry survey, drawn from a strategic sample of more than 300 digital leaders from more than 50 countries and territories. • Just half (47%) of our sample of editors, CEOs, and digital executives say they are confident about the prospects for journalism in the year ahead, with around one-tenth (12%) expressing low confidence. Stated concerns relate to rising costs, declining advertising revenue, and a slowing in subscription growth – as well as increasing legal and physical harassment. Reasons to be cheerful include the hope that closely fought elections in the US and elsewhere could boost consumption and interest, albeit temporarily and with the potential for further damage to trust. • Almost two-thirds (63%) of our survey respondents say they are worried about a sharp decline in referral traffic from social media sites. Data sourced for this report from analytics provider Chartbeat shows that traffic to news sites from Facebook fell 48% in 2023, with traffic from X/Twitter declining by 27%. In response to these developments, around three-quarters (77%) say they will focus more on their own direct channels in the next year, with a fifth (22%) resorting to cutting costs and a similar proportion (20%) experimenting with alternative third-party platforms. • More specifically, publishers say they’ll be putting more effort into WhatsApp (+61 net score)2 and Instagram (+39) following Meta’s decision to open up broadcast channels for publishers. Interest in video networks such as TikTok (+55) and YouTube (+44) remain strong while Google Discover is becoming a more important but volatile referral source. By contrast, publisher sentiment towards Facebook has worsened further this year (-38 net score) along with X/Twitter (-39 net score). • Related to the above, the majority of our publisher respondents say they plan to create more video (+64 net score), more newsletters (+52), and more podcasts (+47), but broadly the same number of news articles – as they lean into some of the few remaining areas of audience and advertiser growth. Around half (54%) of respondents admit their companies are mostly focused on maximising attention rather than being more respectful of their audience’s time (37%). • The twin dangers of selective news avoidance and news fatigue remain a major source of concern for media companies looking to sustain interest in news from Gaza and Ukraine, amongst other difficult stories. Strategies that publishers consider very important to counter these trends include better explanation of complex stories (67%), more solutionsoriented or constructive approaches to storytelling (44%), and more inspirational human stories (43%). There was less support for commissioning more positive (21%) or entertaining (18%) news. • On the business side, publishers continue to invest in subscription and membership, with a large majority of those surveyed (80%) saying this will be an important revenue stream, ahead of both display and native advertising. Most of those operating a paid model report either a slight increase, or stable subscription numbers in the last year, despite the difficult economic outlook. • As a number of publishers aim to do lucrative licensing deals with AI platforms this year, there is little optimism that any benefits will be equally shared. In our survey a third (35%) of respondents believed that most of the money would go to big publishers. Around half (48%) felt that, at the end of the day, there would be very little money for any publisher. • Using AI for back-end news automation (56%) is considered the most important use of the technology by publisher respondents, followed by offering better recommendations (37%) and commercial uses (28%). Publishers are ambivalent about using AI for content creation, which is considered the biggest reputational risk by over half of respondents. • Experimental interfaces to the internet such as AR and VR glasses, lapel pins, and other wearable devices will be a feature of the year ahead. But existing voice activated devices such as headphones and smart speakers, as they get upgraded with AI technologies, are considered by respondents to be the most likely option (41%) to displace – or at least supplement – the smartphone in the medium term.

[question] [user request] ===================== [text] [context document] ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

My kid is an elite athlete fielding several college scholarships. I want to know the legalities of what he can do with his name, image, and likeness deals. Several companies have approached my kid with brand deals and I want to know how it will work and what it will mean for his future financially and within the realm of his sport. What's up? We are based in California.

Rules The current NIL rules related to college athletes apply via state law and/or NCAA rules. Due to the potential of having a patchwork of so many NIL rules, the NCAA is now asking for federal legislation addressing this patchwork of NIL rules. The NCAA allows member institutions to recruit and sign high school athletes who have participated in NIL activities while the student was in high school. The current NIL rules related to high school athletes are established state to state. There is a possibility of 51 different sets of rules relating to NIL (50 states and the District of Columbia), and 51 different sets of rules relating to transfer (undue influence, bona fide moves, traditional academic transfer rules, and subsequent eligibility determinations) leads to many questions. As of October 4, 2023, the following 30 states and the District of Columbia allow interscholastic athletes to receive NIL payments: Alaska, California, Colorado, Connecticut, District of Columbia, Georgia, Idaho, Illinois, Iowa, Kansas, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Nebraska, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Oklahoma, Oregon, Pennsylvania, Rhode Island, Tennessee, Utah, Virginia and Washington. This developing area requires measured and contemplative rule-making. What the landscape in both the near- and far-future will look like for both collegiate and high school NIL is anyone’s guess. But one thing is for sure, NIL at both the collegiate and interscholastic levels is here to stay. New and Different Options The financial opportunities for high school athletes are not just for product endorsement, gear sales or the more traditional NIL models – interscholastic opportunities can be much more sophisticated. Now, there must be consideration of rules that apply to 1) the developing individual athlete “brands” which the individual athlete has personally created on social media, and 2) the number of new and developing avenues of revenue streams for these athletes that don’t necessarily include U.S. currency. An example of such an option for high school athletes is what former USC quarterback and Heisman Trophy winner Matt Leinart and current USC quarterback and Heisman Trophy winner Caleb Williams provide with their Hall of Goats organization. Hall of Goats has a platform designed to provide athletes the opportunity to drop exclusive NFT collections and take advantage of their NIL rights, while providing personal brand, content and digital resources. NFT collections are “non-functional tokens.” These tokens and the platform are designed to allow athletes to use the platform to help build their brands, tell their stories and set them up for long-term success. As a result, the traditional notions of what constitutes remunerative value for a high school athlete no longer is only about “cash” but is about other things of value that if properly “negotiated” can lead to additional, and non-traditional monetizing of the athlete, at a time the athlete chooses. The significance of athletes having their own brand is that it allows them access to NIL separate from their high school team and school district. The most common limitations on high school NIL are that the athlete cannot use the school’s name, uniform, mascot, etc., as part of what they market for NIL. At the high school level, the brand’s value is not linked to the school the athlete attends but is linked to the individual. The “athlete brand” can be quantified by the number of social media followers the athlete has, and the number of views on videos that the athlete has. This is where the value to the athlete is, which is different from the collegiate model where an athlete may get a percentage of profits from the sale of their school jersey with the number and name they wear, cashing in on the school’s brand and name.

[question] My kid is an elite athlete fielding several college scholarships. I want to know the legalities of what he can do with his name, image, and likeness deals. Several companies have approached my kid with brand deals and I want to know how it will work and what it will mean for his future financially and within the realm of his sport. What's up? We are based in California. ===================== [text] Rules The current NIL rules related to college athletes apply via state law and/or NCAA rules. Due to the potential of having a patchwork of so many NIL rules, the NCAA is now asking for federal legislation addressing this patchwork of NIL rules. The NCAA allows member institutions to recruit and sign high school athletes who have participated in NIL activities while the student was in high school. The current NIL rules related to high school athletes are established state to state. There is a possibility of 51 different sets of rules relating to NIL (50 states and the District of Columbia), and 51 different sets of rules relating to transfer (undue influence, bona fide moves, traditional academic transfer rules, and subsequent eligibility determinations) leads to many questions. As of October 4, 2023, the following 30 states and the District of Columbia allow interscholastic athletes to receive NIL payments: Alaska, California, Colorado, Connecticut, District of Columbia, Georgia, Idaho, Illinois, Iowa, Kansas, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Nebraska, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Oklahoma, Oregon, Pennsylvania, Rhode Island, Tennessee, Utah, Virginia and Washington. This developing area requires measured and contemplative rule-making. What the landscape in both the near- and far-future will look like for both collegiate and high school NIL is anyone’s guess. But one thing is for sure, NIL at both the collegiate and interscholastic levels is here to stay. New and Different Options The financial opportunities for high school athletes are not just for product endorsement, gear sales or the more traditional NIL models – interscholastic opportunities can be much more sophisticated. Now, there must be consideration of rules that apply to 1) the developing individual athlete “brands” which the individual athlete has personally created on social media, and 2) the number of new and developing avenues of revenue streams for these athletes that don’t necessarily include U.S. currency. An example of such an option for high school athletes is what former USC quarterback and Heisman Trophy winner Matt Leinart and current USC quarterback and Heisman Trophy winner Caleb Williams provide with their Hall of Goats organization. Hall of Goats has a platform designed to provide athletes the opportunity to drop exclusive NFT collections and take advantage of their NIL rights, while providing personal brand, content and digital resources. NFT collections are “non-functional tokens.” These tokens and the platform are designed to allow athletes to use the platform to help build their brands, tell their stories and set them up for long-term success. As a result, the traditional notions of what constitutes remunerative value for a high school athlete no longer is only about “cash” but is about other things of value that if properly “negotiated” can lead to additional, and non-traditional monetizing of the athlete, at a time the athlete chooses. The significance of athletes having their own brand is that it allows them access to NIL separate from their high school team and school district. The most common limitations on high school NIL are that the athlete cannot use the school’s name, uniform, mascot, etc., as part of what they market for NIL. At the high school level, the brand’s value is not linked to the school the athlete attends but is linked to the individual. The “athlete brand” can be quantified by the number of social media followers the athlete has, and the number of views on videos that the athlete has. This is where the value to the athlete is, which is different from the collegiate model where an athlete may get a percentage of profits from the sale of their school jersey with the number and name they wear, cashing in on the school’s brand and name. https://www.nfhs.org/articles/name-image-and-likeness-for-interscholastic-athletes-what-does-it-look-like/#:~:text=NIL%20allows%20high%20school%20athletes,their%20high%20school%20athletic%20eligibility. ===================== [instruction] Answer the question using only the information provided in the context. Do not rely on external knowledge or sources.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. [user request] [context document]

How are Senators and Representatives being compensated? Who is excluded from the compensation and why? Can a senator or representative be arrested during their attendance at any house session? What other authority or place can question a representative or a senator? When the passage was written, how many Senators would be required to be in attendance to establish a quorum?

Section. 5. Each House shall be the judge of the elections, returns and qualifications of its own members, and a majority of each shall constitute a quorum to do business; but a smaller number may adjourn from day to day, and may be authorized to compel the attendance of absent members, in such manner, and under such penalties as each House may provide. Each House may determine the rules of its proceedings, punish its members for disorderly behavior, and, with the concurrence of two thirds, expel a member. Each House shall keep a Journal of its proceedings, and from time to time publish the same, excepting such parts as may in their judgment require secrecy; and the yeas and nays of the members of either house on any question shall, at the desire of one fifth of those present, be entered on the journal. Neither House, during the session of Congress, shall, without the consent of the other, adjourn for more than three days, nor to any other place than that in which the two Houses shall be sitting. Section. 6. The Senators and Representatives shall receive a Compensation for their Services, to be ascertained by law, and paid out of the Treasury of the United States. They shall in all cases, except treason, felony and breach of the peace, be privileged from arrest during their attendance at the session of their respective Houses, and in going to and returning from the same; and for any speech or debate in either, they shall not be questioned in any other place. No Senator or Representative shall, during the time for which he was elected, be appointed to any civil office under the authority of the United States, which shall have been created, or the emoluments whereof shall have been increased during such time; and no person holding any office under the United States, shall be a member of either House during his continuance in office. Section. 7. All Bills for raising revenue shall originate in the House of Representatives; but the Senate may propose or concur with amendments as on other Bills. Every bill which shall have passed the House of Representatives and the Senate, shall, before it become a law, be presented to the President of the United States; If he approve he shall sign it, but if not he shall return it, with his objections to that House in which it shall have originated, who shall enter the objections at large on their journal, and proceed to reconsider it. If after such reconsideration two thirds of that House shall agree to pass the bill, it shall be sent, together with the objections, to the other House, by which it shall likewise be reconsidered, and if approved by two thirds of that House, it shall become a law. But in all such cases the votes of both houses shall be determined by yeas and nays, and the names of the persons voting for and against the bill shall be entered on the journal of each house respectively. If any bill shall not be returned by the President within ten days (Sundays excepted) after it shall have been presented to him, the same shall be a law, in like manner as if he had signed it, unless the Congress by their adjournment prevent its return, in which case it shall not be a law.

Answer the question based solely on the information provided in the passage. Do not use any external knowledge or resources. How are Senators and Representatives being compensated? Who is excluded from the compensation and why? Can a senator or representative be arrested during their attendance at any house session? What other authority or place can question a representative or a senator? When the passage was written, how many Senators would be required to be in attendance to establish a quorum? Section. 5. Each House shall be the judge of the elections, returns and qualifications of its own members, and a majority of each shall constitute a quorum to do business; but a smaller number may adjourn from day to day, and may be authorized to compel the attendance of absent members, in such manner, and under such penalties as each House may provide. Each House may determine the rules of its proceedings, punish its members for disorderly behavior, and, with the concurrence of two thirds, expel a member. Each House shall keep a Journal of its proceedings, and from time to time publish the same, excepting such parts as may in their judgment require secrecy; and the yeas and nays of the members of either house on any question shall, at the desire of one fifth of those present, be entered on the journal. Neither House, during the session of Congress, shall, without the consent of the other, adjourn for more than three days, nor to any other place than that in which the two Houses shall be sitting. Section. 6. The Senators and Representatives shall receive a Compensation for their Services, to be ascertained by law, and paid out of the Treasury of the United States. They shall in all cases, except treason, felony and breach of the peace, be privileged from arrest during their attendance at the session of their respective Houses, and in going to and returning from the same; and for any speech or debate in either, they shall not be questioned in any other place. No Senator or Representative shall, during the time for which he was elected, be appointed to any civil office under the authority of the United States, which shall have been created, or the emoluments whereof shall have been increased during such time; and no person holding any office under the United States, shall be a member of either House during his continuance in office. Section. 7. All Bills for raising revenue shall originate in the House of Representatives; but the Senate may propose or concur with amendments as on other Bills. Every bill which shall have passed the House of Representatives and the Senate, shall, before it become a law, be presented to the President of the United States; If he approve he shall sign it, but if not he shall return it, with his objections to that House in which it shall have originated, who shall enter the objections at large on their journal, and proceed to reconsider it. If after such reconsideration two thirds of that House shall agree to pass the bill, it shall be sent, together with the objections, to the other House, by which it shall likewise be reconsidered, and if approved by two thirds of that House, it shall become a law. But in all such cases the votes of both houses shall be determined by yeas and nays, and the names of the persons voting for and against the bill shall be entered on the journal of each house respectively. If any bill shall not be returned by the President within ten days (Sundays excepted) after it shall have been presented to him, the same shall be a law, in like manner as if he had signed it, unless the Congress by their adjournment prevent its return, in which case it shall not be a law. https://billofrightsinstitute.org/primary-sources/constitution?url=https%3A%2F%2Fbillofrightsinstitute.org%2Fprimary-sources%2Fconstitution%3Fhttps%3A%2F%2Fbillofrightsinstitute.org%2Fprimary-sources%2Fconstitution%2F%26gad_source%3D1&gclid=Cj0KCQjwi5q3BhCiARIsAJCfuZlS51M2jNwFgSQNypBoPmVf9pkBSp-fWw3ZKSCQFfIfKAEGErDBk-QaAgvxEALw_wcB

Answer the question using only information found in the context block. Do no rely on any external information, Do not rely on any previous knowledge you may have.

what are the pros and cons of the DMCA as it pertains to online service providers? answer in bullet points

As highlighted by commentators, the DMCA was adopted to both encourage copyright holders to disseminate or allow digital access to their works through online service providers while also protecting intermediaries from liability under specific conditions that would protect the interests of copyright holders.141 Specifically, the DMCA adopted section 512, which excludes the liability of online service providers, which engage in one or more of the following activities: (a) [s]erving as a conduit for the automatic online transmission of material as directed by third parties; (b) catching (i.e., temporarily storing) material that is being transmitted automatically over the internet from one third party to another; (c) storing (i.e., hosting) material at the direction of a user on a service provider’s system or network; or (d) referring or linking users to online sites using information location tools (e.g., a search engine).142 According to section 512, online providers are protected so long as they “(1) adopt and reasonably implement a policy of terminating in appropriate circumstances the accounts of subscribers who are repeat infringers; and (2) accommodate and not interfere with ‘standard technical measures’. . . which are measures copyright owners use to identify or protect copyrighted works.”143 In other words, intermediaries are not liable if they are not aware of the infringing content and the content is promptly removed after being informed of the infringement by the copyright holders—a system known as notice and take down procedure. Nevertheless, also under this system, service providers may be subject to limited injunctive relief for infringing activities conducted on or through their systems or networks.144 Despite the pressure of copyright holders, however, the DMCA does not impose a general monitoring obligation, or content filtering, for service providers.145 Instead, the DMCA leaves it to copyright holders to monitor the infringement of their works and notify service providers of instances of presumed infringement. As noted by commentators, “[i]mposing a general monitoring obligation would be excessive, unpractical and unfeasible to discern illegal contents in the internet universe.”146 Besides the costs of a mandatory filtering system, multiple concerns were expressed in this respect about the consequences of such system on freedom of expression and Internet access. Still, service providers are required to monitor and filter the content shared on their platform when they are aware or know about instances of infringement.147 The absence of a specific mandate does not prevent, however, service providers and copyright holder agreeing that service providers use filtering systems on a voluntary basis.148 Several platforms do adopt voluntary filtering systems and increasingly more often implement automation to monitor the content shared on their sites. With today’s advancement in technology, automatic systems are both less costly and faster than reviews done by humans. For example, beside responding to copyright holders’ independent takedown notices, YouTube uses an internal identification service to filter possible infringements.149 Should any content be flagged through these filters, YouTube takes down the content and later notifies the users, who can appeal the decision.150 For YouTube, this approach is more cost effective, as the number of appeals is lower and thus the platform must review a lower number of cases. Moreover, even in case of successful appeals due to erroneous takedowns, the damages to the user and potential revenue loss for YouTube are lower than the risk of a DMCA f ine for copyright infringement.151 As mentioned, the DMCA safe harbor provisions also do not exclude possible injunctive relief against service providers that do not promptly remove potentially infringing content. In this respect, courts should consider whether the injunction would significantly burden the provider’s system or network, the extension of the harm to the copyright owner, the technical feasibility, effectiveness, and proportionality of the injunction.152 In particular, the DMCA provides for three specific types of injunctions to use against service providers: identification of infringers, website blocking, and internet access suspension. Courts may also consider non-specified injunctions if they consider these necessary to prevent or restrain a copyright infringement.153 With respect to the identification of infringers, the DMCA provides that copyright holders can obtain from any U.S. district court a subpoena to an intermediary to expeditiously identify an alleged infringer to bring a civil lawsuit against him.154 On the other hand, courts need to follow the following steps to grant website blocking injunctions: (i) compare the impact of the injunction on the platform’s business and the harm to the copyright holders;155 (ii) consider the technical feasibility and effectiveness in preventing infringement; (iii) ensure that the injunction will not prevent access to non-infringing material to avoid a claim for violation of the First Amendment.156 In practice, however, courts rarely grant these injunctions.157 Finally, Internet access suspension is regulated by a Memorandum of Understanding (MOU), which entered into force in 2013 and provides for a graduated response based on “six-strikes.”158 Notably, following a copyright holder’s allegation of infringement, the service provider needs to identify the infringer to whom it will send five notices that inform her of the allegation, notify her of the legal alternatives to seek a copyright license, and warn her that a continued infringement may result into sanctions. Following these five strikes, the sixth and last strike is a mitigation measure that can include slower upload and download speeds, account downgrading, or a “temporary restriction” from Internet access.159 The accused infringer can also request an independent review of the case via the American Arbitration Association or the courts.160 Perhaps not surprisingly, the DMCA notice-and-take down procedure has been widely criticized.161 Service providers have often underscored that the system is bias toward copyright holders and allows a considerable number of abuses. For example, sending high volumes of often inaccurate notices is a common occurrence, which is magnified by the fact that copyright owners often automate these notices without effectively vetting their merit.162 Moreover, even though copyright holders are supposed to issue takedown notices in good faith, good faith remains a subjective standard, which is easy to evade and can lead to abuses of the system.163 An additional negative result of this procedure is that risk aversion and fear of a DMCA fines almost systematically lead service providers to ignore the possibility that the uploaded content may constitute fair use of unlicensed content. As a result, fair use is assessed only in case of appeals, which again represent a fraction of the take down cases.164 On the other hand, copyright holders have defined the DMCA as a “very reactive type of protocol” because it requires copyright holders to monitor the Internet for possible infringements and send takedown notices to service providers.165 They also found it to be ineffective against repeated infringers and advocated for a DMCA’s amendment, which would also include a “stay down system” in which copyright holders would notify of a specific infringement once and then the service providers would become responsible for monitoring their sites for repeated incidence of the same infringement.166 In the past years, several initiatives have been undertaken to amend and improve the current notice and takedown system, and overall, the DMCA. In 2020, the Copyright Office released a study on the possible revision of section 512 of the DMCA which found that, overall, “the operation of the section 512 safe harbor system today is unbalanced” in particular with respect to “eligibility qualifications for the service provider safe harbors, repeat infringer policies, knowledge requirement standards, specificity within takedown notices, non-standard notice requirements, subpoenas, and injunctions.”167 Legislators have also considered “modernizing” the current law. In late 2020, Senator Tillis of the Senate Judiciary Committee Subcommittee on Intellectual Property released a draft of the DMCA Modernization Act for stakeholders’ comments,168 which includes a system based on “notice-and-stay-down” procedure as advocated by part of the industry and copyright holders.169 However, the draft was immediately criticized as being against the First Amendment.170 At this time, the bill has not been further discussed and, even if it is clear that the DMCA and section 512 need to be reformed and modernized, these reforms may be lengthy and will certainly lead to heated debates.

Answer the question using only information found in the context block. Do no rely on any external information, Do not rely on any previous knowledge you may have. what are the pros and cons of the DMCA as it pertains to online service providers? answer in bullet points. As highlighted by commentators, the DMCA was adopted to both encourage copyright holders to disseminate or allow digital access to their works through online service providers while also protecting intermediaries from liability under specific conditions that would protect the interests of copyright holders.141 Specifically, the DMCA adopted section 512, which excludes the liability of online service providers, which engage in one or more of the following activities: (a) [s]erving as a conduit for the automatic online transmission of material as directed by third parties; (b) catching (i.e., temporarily storing) material that is being transmitted automatically over the internet from one third party to another; (c) storing (i.e., hosting) material at the direction of a user on a service provider’s system or network; or (d) referring or linking users to online sites using information location tools (e.g., a search engine).142 According to section 512, online providers are protected so long as they “(1) adopt and reasonably implement a policy of terminating in appropriate circumstances the accounts of subscribers who are repeat infringers; and (2) accommodate and not interfere with ‘standard technical measures’. . . which are measures copyright owners use to identify or protect copyrighted works.”143 In other words, intermediaries are not liable if they are not aware of the infringing content and the content is promptly removed after being informed of the infringement by the copyright holders—a system known as notice and take down procedure. Nevertheless, also under this system, service providers may be subject to limited injunctive relief for infringing activities conducted on or through their systems or networks.144 Despite the pressure of copyright holders, however, the DMCA does not impose a general monitoring obligation, or content filtering, for service providers.145 Instead, the DMCA leaves it to copyright holders to monitor the infringement of their works and notify service providers of instances of presumed infringement. As noted by commentators, “[i]mposing a general monitoring obligation would be excessive, unpractical and unfeasible to discern illegal contents in the internet universe.”146 Besides the costs of a mandatory filtering system, multiple concerns were expressed in this respect about the consequences of such system on freedom of expression and Internet access. Still, service providers are required to monitor and filter the content shared on their platform when they are aware or know about instances of infringement.147 The absence of a specific mandate does not prevent, however, service providers and copyright holder agreeing that service providers use filtering systems on a voluntary basis.148 Several platforms do adopt voluntary filtering systems and increasingly more often implement automation to monitor the content shared on their sites. With today’s advancement in technology, automatic systems are both less costly and faster than reviews done by humans. For example, beside responding to copyright holders’ independent takedown notices, YouTube uses an internal identification service to filter possible infringements.149 Should any content be flagged through these filters, YouTube takes down the content and later notifies the users, who can appeal the decision.150 For YouTube, this approach is more cost effective, as the number of appeals is lower and thus the platform must review a lower number of cases. Moreover, even in case of successful appeals due to erroneous takedowns, the damages to the user and potential revenue loss for YouTube are lower than the risk of a DMCA f ine for copyright infringement.151 As mentioned, the DMCA safe harbor provisions also do not exclude possible injunctive relief against service providers that do not promptly remove potentially infringing content. In this respect, courts should consider whether the injunction would significantly burden the provider’s system or network, the extension of the harm to the copyright owner, the technical feasibility, effectiveness, and proportionality of the injunction.152 In particular, the DMCA provides for three specific types of injunctions to use against service providers: identification of infringers, website blocking, and internet access suspension. Courts may also consider non-specified injunctions if they consider these necessary to prevent or restrain a copyright infringement.153 With respect to the identification of infringers, the DMCA provides that copyright holders can obtain from any U.S. district court a subpoena to an intermediary to expeditiously identify an alleged infringer to bring a civil lawsuit against him.154 On the other hand, courts need to follow the following steps to grant website blocking injunctions: (i) compare the impact of the injunction on the platform’s business and the harm to the copyright holders;155 (ii) consider the technical feasibility and effectiveness in preventing infringement; (iii) ensure that the injunction will not prevent access to non-infringing material to avoid a claim for violation of the First Amendment.156 In practice, however, courts rarely grant these injunctions.157 Finally, Internet access suspension is regulated by a Memorandum of Understanding (MOU), which entered into force in 2013 and provides for a graduated response based on “six-strikes.”158 Notably, following a copyright holder’s allegation of infringement, the service provider needs to identify the infringer to whom it will send five notices that inform her of the allegation, notify her of the legal alternatives to seek a copyright license, and warn her that a continued infringement may result into sanctions. Following these five strikes, the sixth and last strike is a mitigation measure that can include slower upload and download speeds, account downgrading, or a “temporary restriction” from Internet access.159 The accused infringer can also request an independent review of the case via the American Arbitration Association or the courts.160 Perhaps not surprisingly, the DMCA notice-and-take down procedure has been widely criticized.161 Service providers have often underscored that the system is bias toward copyright holders and allows a considerable number of abuses. For example, sending high volumes of often inaccurate notices is a common occurrence, which is magnified by the fact that copyright owners often automate these notices without effectively vetting their merit.162 Moreover, even though copyright holders are supposed to issue takedown notices in good faith, good faith remains a subjective standard, which is easy to evade and can lead to abuses of the system.163 An additional negative result of this procedure is that risk aversion and fear of a DMCA fines almost systematically lead service providers to ignore the possibility that the uploaded content may constitute fair use of unlicensed content. As a result, fair use is assessed only in case of appeals, which again represent a fraction of the take down cases.164 On the other hand, copyright holders have defined the DMCA as a “very reactive type of protocol” because it requires copyright holders to monitor the Internet for possible infringements and send takedown notices to service providers.165 They also found it to be ineffective against repeated infringers and advocated for a DMCA’s amendment, which would also include a “stay down system” in which copyright holders would notify of a specific infringement once and then the service providers would become responsible for monitoring their sites for repeated incidence of the same infringement.166 In the past years, several initiatives have been undertaken to amend and improve the current notice and takedown system, and overall, the DMCA. In 2020, the Copyright Office released a study on the possible revision of section 512 of the DMCA which found that, overall, “the operation of the section 512 safe harbor system today is unbalanced” in particular with respect to “eligibility qualifications for the service provider safe harbors, repeat infringer policies, knowledge requirement standards, specificity within takedown notices, non-standard notice requirements, subpoenas, and injunctions.”167 Legislators have also considered “modernizing” the current law. In late 2020, Senator Tillis of the Senate Judiciary Committee Subcommittee on Intellectual Property released a draft of the DMCA Modernization Act for stakeholders’ comments,168 which includes a system based on “notice-and-stay-down” procedure as advocated by part of the industry and copyright holders.169 However, the draft was immediately criticized as being against the First Amendment.170 At this time, the bill has not been further discussed and, even if it is clear that the DMCA and section 512 need to be reformed and modernized, these reforms may be lengthy and will certainly lead to heated debates.

For this task you are not allowed to use any external knowledge or information to respond. Only use the information provided in the prompt.

What are the listed audio and video products that health care providers are and are not allowed to use for telehealth?

Application of HIPAA Requirements to Health Care Providers During the COVID-19 Emergency Although health care providers must typically comply with HIPAA’s requirements, HHS has said it will use its enforcement discretion to provide temporary relief in response to the COVID-19 pandemic. As detailed in this Report, federal agencies enjoy discretion in deciding whether to bring enforcement actions, and courts generally decline to review such decisions. Given this discretion, the HHS OCR has announced that during the COVID-19 public health emergency it is “exercising its enforcement discretion” not to enforce the HIPAA rules against health care providers providing telehealth services in good faith. In its notice of enforcement discretion, OCR explained that health care providers may use “non-public facing audio or video communications products” such as “Apple FaceTime, Facebook Messenger video chat, Google Hangouts video, Zoom, or Skype” without the risk that OCR will seek a penalty for HIPAA Congressional Research Service 4 LSB10490· VERSION 1 · NEW non-compliance. OCR encourages providers to notify patients of the potential privacy risks of these platforms, and also to enable all privacy modes and encryption where available. OCR noted, however, that health care providers who seek “additional privacy protections” should provide such services through technology vendors that are HIPAA compliant and will enter into business associate contracts. It identified several vendors—such as Skype for Business, Zoom for Healthcare, and Google G Suite Hangouts Meet—who have represented that they are HIPAA compliant and willing to enter into business associate contracts, although OCR disclaimed that it was validating any of the vendors’ HIPAA compliance. OCR said, however, that health care providers should not use public-facing services such as “Facebook Live, Twitch, TikTok,” and similar “public-facing” applications, and it further explained in a separate publication that use of these services could be evidence of “bad faith” subject to enforcement. OCR’s notice of enforcement discretion does not have an expiration date, and OCR has said that it will notify the public when it no longer applies. DOJ, unlike OCR, has not declared that it will refrain from exercising its criminal enforcement authority during the COVID-19 emergency. Consequently, individuals may still be liable for “knowingly” obtaining or disclosing PHI in violation of HIPAA’s requirements. However, while OCR did not address criminal liability in its notice of enforcement discretion, it might choose not to refer cases to DOJ for criminal prosecution that involve a health care provider relying in good faith on OCR’s notice of enforcement discretion.

For this task you are not allowed to use any external knowledge or information to respond. Only use the information provided in the prompt. What are the listed audio and video products that health care providers are and are not allowed to use for telehealth? Application of HIPAA Requirements to Health Care Providers During the COVID-19 Emergency Although health care providers must typically comply with HIPAA’s requirements, HHS has said it will use its enforcement discretion to provide temporary relief in response to the COVID-19 pandemic. As detailed in this Report, federal agencies enjoy discretion in deciding whether to bring enforcement actions, and courts generally decline to review such decisions. Given this discretion, the HHS OCR has announced that during the COVID-19 public health emergency it is “exercising its enforcement discretion” not to enforce the HIPAA rules against health care providers providing telehealth services in good faith. In its notice of enforcement discretion, OCR explained that health care providers may use “non-public facing audio or video communications products” such as “Apple FaceTime, Facebook Messenger video chat, Google Hangouts video, Zoom, or Skype” without the risk that OCR will seek a penalty for HIPAA Congressional Research Service 4 LSB10490· VERSION 1 · NEW non-compliance. OCR encourages providers to notify patients of the potential privacy risks of these platforms, and also to enable all privacy modes and encryption where available. OCR noted, however, that health care providers who seek “additional privacy protections” should provide such services through technology vendors that are HIPAA compliant and will enter into business associate contracts. It identified several vendors—such as Skype for Business, Zoom for Healthcare, and Google G Suite Hangouts Meet—who have represented that they are HIPAA compliant and willing to enter into business associate contracts, although OCR disclaimed that it was validating any of the vendors’ HIPAA compliance. OCR said, however, that health care providers should not use public-facing services such as “Facebook Live, Twitch, TikTok,” and similar “public-facing” applications, and it further explained in a separate publication that use of these services could be evidence of “bad faith” subject to enforcement. OCR’s notice of enforcement discretion does not have an expiration date, and OCR has said that it will notify the public when it no longer applies. DOJ, unlike OCR, has not declared that it will refrain from exercising its criminal enforcement authority during the COVID-19 emergency. Consequently, individuals may still be liable for “knowingly” obtaining or disclosing PHI in violation of HIPAA’s requirements. However, while OCR did not address criminal liability in its notice of enforcement discretion, it might choose not to refer cases to DOJ for criminal prosecution that involve a health care provider relying in good faith on OCR’s notice of enforcement discretion.

Only respond with the most direct answer possible. Do not discuss anything else. Use only information from the provided document.

What are the health benefits of high-quality sleep?

Y O U R G U I D E T O Healthy Sleep Y o u r G u i d e t o Healthy Sleep NIH Publication No. 11-5271 Originally printed November 2005 Revised August 2011 Contents Introduction 1 What Is Sleep? 4 What Makes You Sleep? 7 What Does Sleep Do for You? 12 Your Learning, Memory, and Mood 12 Your Heart 13 Your Hormones 14 How Much Sleep Is Enough? 19 What Disrupts Sleep? 25 Is Snoring a Problem? 30 Common Sleep Disorders 33 Insomnia 35 Sleep Apnea 38 Restless Legs Syndrome 47 Narcolepsy 48 Parasomnias (Abnormal Arousals) 51 Do You Think You Have a Sleep Disorder? 53 How To Find a Sleep Center and Sleep Specialist 56 Research 57 For More Sleep Information 60 Contents 1 Introduction Think of your daily activities. Which activity is so important you should devote one-third of your time to doing it? Probably the first things that come to mind are working, spending time with your family, or doing leisure activities. But there’s something else you should be doing about one-third of your time—sleeping. Many people view sleep as merely a “down time” when their brains shut off and their bodies rest. People may cut back on sleep, think ing it won’t be a problem, because other responsibilities seem much more important. But research shows that a number of vital tasks carried out during sleep help people stay healthy and function at their best. While you sleep, your brain is hard at work forming the pathways necessary for learning and creating memories and new insights. Without enough sleep, you can’t focus and pay attention or respond quickly. A lack of sleep may even cause mood problems. Also, growing evidence shows that a chronic lack of sleep increases your risk of obesity, diabetes, cardiovas cular disease, and infections. Introduction 2Your Guide to Healthy Sleep Despite growing support for the idea that adequate sleep, like adequate nutrition and physical activity, is vital to our well-being, people are sleeping less. The nonstop “24/7” nature of the world today encourages longer or nighttime work hours and offers continual access to entertainment and other activities. To keep up, people cut back on sleep. A common myth is that people can learn to get by on little sleep (such as less than 6 hours a night) with no adverse effects. Research suggests, however, that adults need at least 7–8 hours of sleep each night to be well rested. Indeed, in 1910, most people slept 9 hours a night. But recent surveys show the average adult now sleeps fewer than 7 hours a night. More than one-third of adults report daytime sleepiness so severe that it interferes with work, driving, and social functioning at least a few days each month. Evidence also shows that children’s and adolescents’ sleep is shorter than recommended. These trends have been linked to increased exposure to electronic media. Lack of sleep may have a direct effect on children’s health, behavior, and development. Chronic sleep loss or sleep disorders may affect as many as 70 million Americans. This may result in an annual cost of $16 billion in health care expenses and $50 billion in lost productivity. 3 What happens when you don’t get enough sleep? Can you make up for lost sleep during the week by sleeping more on the weekends? How does sleep change as you become older? Is snoring a problem? How can you tell if you have a sleep disorder? Read on to find the answers to these questions and to better understand what sleep is and why it is so necessary. Learn about common sleep myths and practical tips for getting enough sleep, coping with jet lag and nighttime shift work, and avoiding dangerous drowsy driving. Many common sleep disorders go unrecognized and thus are not Introduction treated. This booklet also gives the latest information on sleep disorders such as insomnia (trouble falling or staying asleep), sleep apnea (pauses in breathing during sleep), restless legs syndrome, narcolepsy (extreme daytime sleepiness), and parasomnias (abnormal sleep behaviors).It’s important to tell your doctor what you are experiencing, so you can help your doctor diagnose your condition. S Z E - P I N G “ ” 4Your Guide to Healthy Sleep What Is Sleep? Sleep was long considered just a block of time when your brain and body shut down. Thanks to sleep research studies done over the past several decades, it is now known that sleep has distinct stages that cycle throughout the night in predictable patterns. How well rested you are and how well you function depend not just on your total sleep time but on how much sleep you get each night and the timing of your sleep stages. Your brain and body functions stay active through out sleep, and each stage of sleep is linked to a specific type of brain waves (distinctive patterns of electrical activity in the brain). Sleep is divided into two basic types: rapid eye movement (REM) sleep and non-REM sleep (with three different stages). (For more information, see “Types of Sleep” on page 5.) Typically, sleep begins with non-REM sleep. In stage 1 non-REM sleep, you sleep lightly and can be awakened easily by noises or other disturbances. During this first stage of sleep, your eyes move slowly, your muscles relax, and your heart and breath ing rates begin to slow. You then enter stage 2 non-REM sleep, which is defined by slower brain waves with occasional bursts of rapid waves. You spend about half the night in this stage. When you progress into stage 3 non- REM sleep, your brain waves become even slower, and the brain produces extremely slow waves almost exclusively (called Delta waves). 5 l l l l l Stage 3 is a very deep stage of sleep, during which it is very difficult to be awakened. Children who wet the bed or sleep walk tend to do so during stage 3 of non-REM sleep. Deep sleep is considered the “restorative” stage of sleep that is necessary for feeling well rested and energetic during the day. Types of Sleep Non-REM Sleep REM Sleep Stage 1: Light sleep; easily awakened; muscles relax with occasional twitches; eye movements are slow. Stage 2: Eye movements stop; slower brain waves, with occasional bursts of rapid brain waves. Stage 3: Occurs soon after you fall asleep and mostly in the first half of the night. Deep sleep; difficult to awaken; large slow brain waves, heart and respiratory rates are slow and muscles are relaxed. Usually first occurs about 90 minutes after you fall asleep, and longer, deeper periods occur during the second half of the night; cycles along with the non-REM stages throughout the night. Eyes move rapidly behind closed eyelids. Breathing, heart rate, and blood pressure are irregular. Dreaming occurs. Arm and leg muscles are temporarily paralyzed. Types of Sleep During REM sleep, your eyes move rapidly in different directions, even though your eyelids stay closed. Your breathing also becomes more rapid, irregular, and shallow, and your heart rate and blood pressure increase. Dreaming typically occurs during REM sleep. During this type of sleep, your arm and leg muscles are temporarily paralyzed so that you cannot “act out” any dreams that you may be having. What Is Sleep? 6Your Guide to Healthy Sleep You typically first enter REM sleep about an hour to an hour and a half after falling asleep. After that, the sleep stages repeat them selves continuously while you sleep. As you sleep, REM sleep time becomes longer, while time spent in stage 3 non-REM sleep becomes shorter. By the time you wake up, nearly all your sleep time has been spent in stages 1 and 2 of non-REM sleep and in REM sleep. If REM sleep is severely disrupted during one night, REM sleep time is typically longer than normal in subsequent nights until you catch up. Overall, almost one-half of your total sleep time is spent in stage 2 non-REM sleep and about one-fifth each in deep sleep (stage 3 of non-REM sleep) and REM sleep. In contrast, infants spend half or more of their total sleep time in REM sleep. Gradually, as they grow, the percentage of total sleep time they spend in REM contin ues to decrease, until it reaches the one-fifth level typical of later childhood and adulthood. Why people dream and why REM sleep is so important are not well understood. It is known that REM sleep stimulates the brain regions you use to learn and make memories. Animal studies suggest that dreams may reflect the brain’s sorting and selectively storing new information acquired during wake time. While this information is processed, the brain might revisit scenes from the day and mix them randomly. Dreams are generally recalled when we wake briefly or are awakened by an alarm clock or some other noise in the environment. Studies show, however, that other stages of sleep besides REM also are needed to form the pathways in the brain that enable us to learn and remember. 7 What Makes You Sleep? Although you may put off going to sleep in order to squeeze more activities into your day, eventually your need for sleep becomes overwhelming. This need appears to be due, in part, to two sub stances your body produces. One substance, called adenosine, builds up in your blood while you’re awake. Then, while you sleep, your body breaks down the adenosine. Levels of this substance in your body may help trigger sleep when needed. A buildup of adenosine and many other complex factors might explain why, after several nights of less than optimal amounts of sleep, you build up a sleep debt. This may cause you to sleep longer than normal or at unplanned times during the day. Because of your body’s internal processes, you can’t adapt to getting less sleep than your body needs. Eventually, a lack of sleep catches up with you. The other substance that helps make you sleep is a hormone called melatonin. This hormone makes you naturally feel sleepy at night. It is part of your internal “biological clock,” which controls when you feel sleepy and your sleep patterns. Your biological clock is a small bundle of cells in your brain that works throughout the day and night. Internal and external environmental cues, such as light signals received through your eyes, control these cells. Your biologi cal clock triggers your body to produce melatonin, which helps prepare your brain and body for sleep. As melatonin is released, you’ll feel increasingly drowsy. Because of your biological clock, you naturally feel the most tired between midnight and 7 a.m. You also may feel mildly sleepy in the afternoon between 1 p.m. and 4 p.m. when another increase in melatonin occurs in your body. Your biological clock makes you the most alert during daylight hours and the least alert during the early morning hours. Conse quently, most people do their best work during the day. Our 24/7 society, however, demands that some people work at night. Nearly one-quarter of all workers work shifts that are not during the daytime, and more than two-thirds of these workers have problem sleepiness and/or difficulty sleeping. Because their work schedules What Makes You Sleep? 8Your Guide to Healthy Sleep are at odds with powerful sleep-regulating cues like sunlight, night shift workers often find themselves drowsy at work, and they have difficulty falling or staying asleep during the daylight hours when their work schedules require them to sleep. The fatigue experienced by night shift workers can be dangerous. Major industrial accidents—such as the Three Mile Island and Chernobyl nuclear power plant accidents and the Exxon Valdez oil spill—have been caused, in part, by mistakes made by overly tired workers on the night shift or an extended shift. Night shift workers also are at greater risk of being in car crashes when they drive home from work during the early morning hours, because the biological clock is not sending out an alerting signal. One study found that one-fifth of night shift workers had a car crash or a near miss in the preceding year because of sleepiness on the drive home from work. Night shift workers are also more likely to have physical problems, such as heart disease, digestive troubles, and infertility, as well as emotional problems. All of these problems may be related, at least in part, to the workers’ chronic sleepiness, possi bly because their biological clocks are not in tune with their work schedules. See “Working the Night Shift” on page 9 for some helpful tips if you work a night shift. Other factors also can influence your need for sleep, including your immune system’s production of hormones called cytokines. Cyto kines are made to help the immune system fight certain infections or chronic inflammation and may prompt you to sleep more than usual. The extra sleep may help you conserve the resources needed to fight the infection. Recent studies confirm that being well rested improves the body’s responses to infection. People are creatures of habit, and one of the hardest habits to break is the natural wake and sleep cycle. Together, a number of physiological factors help you sleep and wake up at the same times each day. 9 Consequently, you may have a hard time adjusting when you travel across time zones. The light cues outside and the clocks in your new location may tell you it is 8 a.m. and you should be active, but your body is telling you it is more like 4 a.m. and you should sleep. The end result is jet lag—sleepiness during the day, difficulty falling or staying asleep at night, poor concentration, confusion, nausea, and generally feeling unwell and irritable. See “Dealing With Jet Lag” on page 10. Working the Night Shift Try to limit night shift work, if that is possible. If you must work the night shift, the following tips may help you: l l l l l Increase your total amount of sleep by adding naps and lengthening the amount of time you allot for sleep. Use bright lights in your workplace. Minimize the number of shift changes so that your body’s biological clock has a longer time to adjust to a nighttime work schedule. Get rid of sound and light distractions in your bedroom during your daytime sleep. Use caffeine only during the first part of your shift to promote alertness at night. If you are unable to fall asleep during the day, and all else fails, talk with your doctor to see whether it would be wise for you to use prescribed, short-acting sleeping pills to help you sleep during the day. Night Shift What Makes You Sleep? 10Your Guide to Healthy Sleep Dealing With Jet Lag Be aware that adjusting to a new time zone may take several days. If you are going to be away for just a few days, it may be better to stick to your original sleep and wake times as much as possible, rather than adjusting your biological clock too many times in rapid succession. Eastward travel generally causes more severe jet lag than westward travel because traveling east requires you to shorten the day, and your biological clock is better able to adjust to a longer day than a shorter day. Fortunately for globetrotters, a few preventive measures and adjustments seem to help some people relieve jet lag, particularly when they are going to spend more than a few days at their destination: l l Adjust your biological clock. During the 2–3 days prior to a long trip, get adequate sleep. You can make minor changes to your sleep schedule. For example, if you are traveling west, delay your bed time and wake time progressively by 20- to 30-minute intervals. If you are traveling east, advance your wake time by 10 to 15 minutes a day for a few days and try to advance your bed time. Decreasing light exposure at bedtime and increasing light exposure at wake time can help you make these adjustments. When you arrive at your destination, spend a lot of time outdoors so your body gets the light cues it needs to adjust to the new time zone. Take a couple of short 10–15 minute catnaps if you feel tired, but do not take long naps during the day. Avoid alcohol and caffeine. Although it may be tempting to drink alcohol to relieve the stress of travel and make it easier to fall asleep, you’re more likely to sleep lighter and wake up in the middle of the night when the effects of the alcohol wear off. Caffeine can help keep you awake longer, but caffeine also can make it harder for you to fall asleep if its effects haven’t worn off by the time you are ready to go to bed. Therefore, it’s best to use caffeine only during the morning and not during the afternoon. 11 l What about melatonin? Your body produces this hormone that may cause some drowsiness and cues the brain and body that it is time to fall asleep. Melatonin builds up in your body during the early evening and into the first 2 hours of your sleep period, and then its release stops in the middle of the night. Melatonin is available as an over-the-counter supplement. Because melatonin is considered safe when used over a period of days or weeks and seems to help people feel sleepy, it has been suggested as a treatment for jet lag. But melatonin’s effectiveness is controversial, and its safety when used over a prolonged period is unclear. Some studies find that taking melatonin supplements before bedtime for several days after arrival in a new time zone can make it easier to fall asleep at the proper time. Other studies find that melatonin does not help relieve jet lag. What Makes You Sleep? Jet Lag 12Your Guide to Healthy Sleep What Does Sleep Do for You? A number of aspects of your health and quality of life are linked to sleep, and these aspects are impaired when you are sleep deprived. Your Learning, Memory, and Mood Students who have trouble grasping new information or learning new skills are often advised to “sleep on it,” and that advice seems well founded. Recent studies reveal that people can learn a task better if they are well rested. They also can better remember what they learned if they get a good night’s sleep after learning the task than if they are sleep deprived. Study volunteers had to sleep at least 6 hours to show improvement in learning. Additionally, the amount of improvement was directly related to how much time they slept—for example, volunteers who slept 8 hours outperformed those who slept only 6 or 7 hours. Other studies suggest that it’s important to get enough rest the night before a mentally challenging task, rather than only sleeping for a short period or waiting to sleep until after the task is complete. Many well-known artists and scientists claim to have had creative insights while they slept. Mary Shelley, for example, said the idea for her novel Frankenstein came to her in a dream. Although it has not been shown that dreaming is the driving force behind innova tion, one study suggests that sleep is needed for creative problem- solving. In that study, volunteers were asked to perform a memory task and then were tested on it 8 hours later. Those who were allowed to sleep for 8 hours immediately after trying the task and before being tested were much more likely to find a creative way of simplifying the task and improving their performance, compared with those who were awake the entire 8 hours before being tested. Exactly what happens during sleep to improve our learning, memo ry, and insight isn’t known. Experts suspect, however, that while 13 people sleep, they form or strengthen the pathways of brain cells needed to perform these tasks. This process may explain why sleep is needed for proper brain development in infants. Not only is a good night’s sleep required to form new learning and memory pathways in the brain, but also sleep is necessary for those pathways to work well. Several studies show that lack of sleep causes thinking processes to slow down. Lack of sleep also makes it harder to focus and pay attention. Lack of sleep can make you more easily confused. Studies also find that a lack of sleep leads to faulty decisionmaking and more risk taking. A lack of sleep slows down your reaction time, which is particularly important to driving and other tasks that require quick response. When people who lack sleep are tested on a driving simulator, they perform just as poorly as people who are drunk. (See “Crash in Bed, Not on the Road” on page 16.) The bottom line is: Not getting a good night’s sleep can be dangerous! Even if you don’t have a mentally or physically challenging day ahead of you, you should still get enough sleep to put yourself in a good mood. Most people report being irritable, if not downright unhappy, when they lack sleep. People who chronically suffer from a lack of sleep, either because they do not spend enough time in bed or because they have an untreated sleep disorder, are at greater risk of developing depression. One group of people who usually don’t get enough sleep is mothers of newborns. Some experts think depression after childbirth (postpar tum blues) is caused, in part, by a lack of sleep. Your Heart Sleep gives your heart and vascular system a much-needed rest. During non-REM sleep, your heart rate and blood pressure progressively slow as you enter deeper sleep. During REM sleep, in response to dreams, your heart What Does Sleep Do for You? 14Your Guide to Healthy Sleep and breathing rates can rise and fall and your blood pressure can be variable. These changes throughout the night in blood pressure and heart and breathing rates seem to promote cardiovascular health. If you don’t get enough sleep, the nightly dip in blood pressure that appears to be important for good cardiovascular health may not occur. Failure to experience the normal dip in blood pressure during sleep can be related to insufficient sleep time, an untreated sleep disorder (for example, sleep apnea), or other factors. Some sleep- related abnormalities may be markers of heart disease and increased risk of stroke. A lack of sleep also puts your body under stress and may trigger the release of more adrenaline, cortisol, and other stress hormones during the day. These hormones keep your blood pressure from dipping during sleep, which increases your risk for heart disease. Lack of sleep also may trigger your body to produce more of certain proteins thought to play a role in heart disease. For example, some studies find that people who repeatedly don’t get enough sleep have higher than normal blood levels of C-reactive protein, a sign of inflammation. High levels of this protein may indicate an increased risk for a condition called atherosclerosis, or hardening of the arteries. Your Hormones When you were young, your mother may have told you that you need to get enough sleep to grow strong and tall. She may have been right! Deep sleep (stage 3 non-REM sleep) triggers more release of growth hormone, which contributes to growth in children and boosts muscle mass and the repair of cells and tissues in children and adults. Sleep’s effect on the release of sex hormones also contributes to puberty and fertility. Consequently, women who work at night and tend to lack sleep may be at increased risk of miscarriage. Your mother also probably was right if she told you that getting a good night’s sleep on a regular basis would help keep you from getting sick and help you get better if you do get sick. During sleep, your body creates more cytokines—cellular hormones that help the immune system fight various infections. Lack of sleep can reduce your body’s ability to fight off common infections. Research also reveals that a lack of sleep can reduce the body’s response to the flu 15 vaccine. For example, sleep-deprived volunteers given the flu vaccine produced less than half as many flu antibodies as those who were well rested and given the same vaccine. Although lack of exercise and other factors also contribute, the current epidemic of diabetes and obesity seems to be related, at least in part, to chronically short or disrupted sleep or not sleeping during the night. Evidence is growing that sleep is a powerful regulator of appetite, energy use, and weight control. During sleep, the body’s production of the appetite suppressor leptin increases, and the appetite stimulant grehlin decreases. Studies find that the less people sleep, the more likely they are to be overweight or obese and prefer eating foods that are higher in calories and carbohydrates. People who report an average total sleep time of 5 hours a night, for example, are much more likely to become obese, compared with people who sleep 7–8 hours a night. A number of hormones released during sleep also control the body’s use of energy. A distinct rise and fall of blood sugar levels during sleep appears to be linked to sleep stages. Not sleeping at the right time, not getting enough sleep overall, or not enough of each stage of sleep disrupts this pattern. One study found that, when healthy young men slept only 4 hours a night for 6 nights in a row, their insulin and blood sugar levels matched those seen in people who were developing diabetes. Another study found that women who slept less than 7 hours a night were more likely to develop diabetes over time than those who slept between 7 and 8 hours a night. What Does Sleep Do for You? 16Your Guide to Healthy Sleep Crash in Bed Not on the Road Most people are aware of the hazards of drunk driving. But driving while sleepy can be just as dangerous. Indeed, crashes due to sleepy drivers are as deadly as those due to drivers impaired by alcohol. And you don’t have to be asleep at the wheel to put yourself and others in danger. Both alcohol and a lack of sleep limit your ability to react quickly to a suddenly braking car, a sharp curve in the road, or other situations that require rapid responses. Just a few seconds’ delay in reaction time can be a life-or-death matter when driving. When people who lack sleep are tested on a driving simulator, they perform as badly as or worse than those who are drunk. The combination of alcohol and lack of sleep can be especially dangerous. There is increasing evidence that sleep deprivation and inexperience behind the wheel, both particularly common in adolescents, is a lethal combination. Of course, driving is also hazardous if you fall asleep at the wheel, which happens surprisingly often. One-quarter of the drivers surveyed in New York State reported they had fallen asleep at the wheel at some time. Often, people briefly nod off at the wheel without being aware of it—they just can’t recall what happened over the previous few seconds or longer. And people who lack sleep are more apt to take risks and make poor judgments, which also can boost their chances of getting in a car crash. Opening a window or turning up the radio won’t help you stay awake while driving. The bottom line is that there is no substitute for sleep. Be aware of these warning signs that you are too sleepy to drive safely: trouble keeping your eyes open or focused, continual yawning, or being unable to recall driving the past few miles. Remember, if you are short on sleep, stay out of the driver’s seat! 17 Here are some potentially life-saving tips for avoiding drowsy driving: l l l l l l Be well rested before hitting the road. If you have several nights in a row of fewer than 7–8 hours of sleep, your reaction time slows. Restoring that reaction time to normal can take more than one night of good sleep, because a sleep debt accumulates after each night you lose sleep. It may take several nights of being well rested to repay that sleep debt and make you ready for driving on a long road trip. Avoid driving between midnight and 7 a.m. Unless you are accustomed to being awake then, this period of time is when we are naturally the least alert and most tired. Don’t drive alone. A companion who can keep you engaged in conversation might help you stay awake while driving. Schedule frequent breaks on long road trips. If you feel sleepy while driving, pull off the road and take a nap for 15–20 minutes. Don’t drink alcohol. Just one beer when you are sleep deprived will affect you as much as two or three beers when you are well rested. Don’t count on caffeine or other tricks. Although drinking a cola or a cup of coffee might help keep you awake for a short time, it won’t overcome extreme sleepiness or relieve a sleep debt. What Does Sleep Do for You? 18Your Guide to Healthy SleepI wake up early to get ready for school. I am tired in the morning, and by the end of the school day, I am very tired again. An afterschool nap seems to refresh me and help me focus on homework. Without it, I am grumpy and stressed, can’t focus, and sometimes get headaches. D A P H N E “ ” 19 How Much Sleep Is Enough? Animal studies suggest that sleep is as vital as food for survival. Rats, for example, normally live 2–3 years, but they live only 5 weeks if they are deprived of REM sleep and only 2–3 weeks if they are deprived of all sleep stages—a timeframe similar to death due to starvation. But how much sleep do humans need? To help answer that question, scientists look at how much people sleep when unrestricted, the average amount of sleep among various age groups, and the amount of sleep that studies reveal is necessary to function at your best. When healthy adults are given unlimited opportunity to sleep, they sleep on average between 8 and 8.5 hours a night. But sleep needs vary from person to person. Some people appear to need only about 7 hours to avoid problem sleepiness, whereas others need 9 or more hours of sleep. Sleep needs also change throughout the life cycle. Newborns sleep between 16 and 18 hours a day, and children in preschool sleep between 11 and 12 hours a day. School-aged children and adolescents need at least 10 hours of sleep each night. The hormonal influences of puberty tend to shift adolescents’ biologi cal clocks. As a result, teenagers (who need between 9 and 10 hours of sleep a night) are more likely to go to bed later than younger children and adults, and they tend to want to sleep later in the morning. This delayed sleep–wake rhythm conflicts with the early- morning start times of many high schools and helps explain why most teenagers get an average of only 7–7.5 hours of sleep a night. As people get older, the pattern of sleep also changes—especially the amount of time spent in deep sleep. This explains why children can sleep through loud noises and why they might not wake up when moved. Across the lifespan, the sleep period tends to advance, namely relative to teenagers; older adults tend to go to bed earlier and wake earlier. The quality—but not necessarily the quantity—of How Much Sleep Is Enough? 20Your Guide to Healthy Sleep deep, non-REM sleep also changes, with a trend toward lighter sleep. The relative percentages of stages of sleep appear to stay mostly constant after infancy. From midlife through late life, people awaken more throughout the night. These sleep disruptions cause older people to lose more and more of stages 1 and 2 non-REM sleep as well as REM sleep. Some older people complain of difficulty falling asleep, early morning awakenings, frequent and long awakenings during the night, daytime sleepiness, and a lack of refreshing sleep. Many sleep problems, however, are not a natural part of sleep in the elderly. Their sleep complaints may be due, in part, to medical conditions, illnesses, or medications they are taking— all of which can disrupt sleep. In fact, one study found that the prevalence of sleep problems is very low in healthy older adults. Other causes of some of older adults’ sleep complaints are sleep apnea, restless legs syndrome, and other sleep disorders that become more common with age. Also, older people are more likely to have their sleep disrupted by the need to urinate during the night. Some evidence shows that the biological clock shifts in older people, so they are more apt to go to sleep earlier at night and wake up earlier in the morning. No evidence indicates that older people can get by with less sleep than younger people. (See “Top 10 Sleep Myths” on page 22.) Poor sleep in older people may result in excessive daytime sleepiness, attention and memory problems, depressed mood, and overuse of sleeping pills. Despite variations in sleep quantity and quality, both related to age and 21 between individuals, studies suggest that the optimal amount of sleep needed to perform adequately, avoid a sleep debt, and not have problem sleepiness during the day is about 7–8 hours for adults and at least 10 hours for school-aged children and adolescents. Similar amounts seem to be necessary to avoid an increased risk of develop ing obesity, diabetes, or cardiovascular diseases. Quality of sleep and the timing of sleep are as important as quantity. People whose sleep is frequently interrupted or cut short may not get enough of both non-REM sleep and REM sleep. Both types of sleep appear to be crucial for learning and memory—and perhaps for the restorative benefits of healthy sleep, including the growth and repair of cells. Many people try to make up for lost sleep during the week by sleeping more on the weekends. But if you have lost too much sleep, sleeping in on a weekend does not completely erase your sleep debt. Certainly, sleeping more at the end of a week won’t make up for any poor performance you had earlier in that week. Just one night of inadequate sleep can negatively affect your functioning and mood during at least the next day. Daytime naps are another strategy some people use to make up for lost sleep during the night. Some evidence shows that short naps (up to an hour) can make up, at least partially, for the sleep missed on the previous night and improve alertness, mood, and work performance. But naps don’t substitute for a good night’s sleep. One study found that a daytime nap after a lack of sleep at night did not fully restore levels of blood sugar to the pattern seen with adequate nighttime sleep. If a nap lasts longer than 20 minutes, you may have a hard time waking up fully. In addition, late afternoon naps can make falling asleep at night more difficult. How Much Sleep Is Enough? 22Your Guide to Healthy Sleep Top 10 Sleep Myths Myth 1: Sleep is a time when your body and brain shut down for rest and relaxation. No evidence shows that any major organ (including the brain) or regulatory system in the body shuts down during sleep. Some physiological processes actually become more active while you sleep. For example, secretion of certain hormones is boosted, and activity of the pathways in the brain linked to learning and memory increases. Myth 2: Getting just 1 hour less sleep per night than needed will not have any effect on your daytime functioning. This lack of sleep may not make you noticeably sleepy during the day. But even slightly less sleep can affect your ability to think properly and respond quickly, and it can impair your cardiovascular health and energy balance as well as your body’s ability to fight infections, particularly if lack of sleep continues. If you consistently do not get enough sleep, a sleep debt builds up that you can never repay. This sleep debt affects your health and quality of life and makes you feel tired during the day. Myth 3: Your body adjusts quickly to different sleep schedules. Your biological clock makes you most alert during the daytime and least alert at night. Thus, even if you work the night shift, you will naturally feel sleepy when nighttime comes. Most people can reset their biological clock, but only by appropriately timed cues—and even then, by 1–2 hours per day at best. Consequently, it can take more than a week to adjust to a substantial change in your sleep–wake cycle—for example, when traveling across several time zones or switching from working the day shift to the night shift. Myth 4: People need less sleep as they get older. Older people don’t need less sleep, but they may get less sleep or find their sleep less refreshing. That’s because as people age, the quality of their sleep changes. Older people are also more likely to have insomnia or other medical conditions that disrupt their sleep. 23 Myth 5: Extra sleep for one night can cure you of problems with excessive daytime fatigue. Not only is the quantity of sleep important, but also the quality of sleep. Some people sleep 8 or 9 hours a night but don’t feel well rested when they wake up because the quality of their sleep is poor. A number of sleep disorders and other medical conditions affect the quality of sleep. Sleeping more won’t lessen the daytime sleepiness these disorders or conditions cause. However, many of these disorders or conditions can be treated effectively with changes in behavior or with medical therapies. Additionally, one night of increased sleep may not correct multiple nights of inadequate sleep. Myth 6: You can make up for lost sleep during the week by sleeping more on the weekends. Although this sleeping pattern will help you feel more rested, it will not completely make up for the lack of sleep or correct your sleep debt. This pattern also will not necessarily make up for impaired performance during the week or the physical problems that can result from not sleeping enough. Furthermore, sleeping later on the weekends can affect your biological clock, making it much harder to go to sleep at the right time on Sunday nights and get up early on Monday mornings. Myth 7: Naps are a waste of time. Although naps are no substitute for a good night’s sleep, they can be restorative and help counter some of the effects of not getting enough sleep at night. Naps can actually help you learn how to do certain tasks quicker. But avoid taking naps later than 3 p.m., particularly if you have trouble falling asleep at night, as late naps can make it harder for you to fall asleep when you go to bed. Also, limit your naps to no longer than 20 minutes, because longer naps will make it harder to wake up and How Much Sleep Is Enough? 24Your Guide to Healthy Sleep Top 10 Sleep Myths (continued) get back in the swing of things. If you take more than one or two planned or unplanned naps during the day, you may have a sleep disorder that should be treated. Myth 8: Snoring is a normal part of sleep. Snoring during sleep is common, particularly as a person gets older. Evidence is growing that snoring on a regular basis can make you sleepy during the day and increase your risk for diabetes and heart disease. In addition, some studies link frequent snoring to problem behavior and poorer school achievement in children. Loud, frequent snoring also can be a sign of sleep apnea, a serious sleep disorder that should be evaluated and treated. (See “Is Snoring a Problem?” on page 30.) Myth 9: Children who don’t get enough sleep at night will show signs of sleepiness during the day. Unlike adults, children who don’t get enough sleep at night typically become hyperactive, irritable, and inattentive during the day. They also have increased risk of injury and more behavior problems, and their growth rate may be impaired. Sleep debt appears to be quite common during childhood and may be misdiagnosed as attention-deficit hyperactivity disorder. Myth 10: The main cause of insomnia is worry. Although worry or stress can cause a short bout of insomnia, a persistent inability to fall asleep or stay asleep at night can be caused by a number of other factors. Certain medications and sleep disorders can keep you up at night. Other common causes of insomnia are depression, anxiety disorders, and asthma, arthritis, or other medical conditions with symptoms that tend to be troublesome at night. Some people who have chronic insomnia also appear to be more “revved up” than normal, so it is harder for them to fall asleep. Sleep Myths 25When medicines didn’t work for me, I started making big lifestyle changes. Now I try to eat a balanced diet and walk for at least an hour each day. Without doubt, my weight loss and more active lifestyle help me sleep better. What Disrupts Sleep? Many factors can prevent a good night’s sleep. These factors range from well-known stimulants, such as coffee, to certain pain relievers, decongestants, and other culprits. Many people depend on the caffeine in coffee, cola, or tea to wake them up in the morning or to keep them awake. Caffeine is thought to block the cell receptors that adenosine (a substance in the brain) uses to trigger its sleep- inducing signals. In this way, caffeine fools the body into thinking it isn’t tired. It can take as long as 6–8 hours for the effects of caffeine to wear off completely. Thus, drinking a cup of coffee in the late afternoon may prevent your falling asleep at night. Nicotine is another stimulant that can keep you awake. Nicotine also leads to lighter than normal sleep, and heavy smokers tend to wake up too early because of nicotine withdrawal. Although alcohol is a sedative that makes it easier to fall asleep, it prevents deep sleep and REM sleep, allowing only the lighter stages of sleep. People who drink alcohol also tend to wake up in the middle of the night when the effects of an alcoholic “nightcap” wear off. Certain commonly used prescrip tion and over-the-counter medi cines contain ingredients that can keep you awake. These ingredients include decongestants and steroids. Many medicines taken to relieve headaches contain caffeine. Heart and blood pressure medications known as beta blockers can make it difficult to fall asleep and cause more awakenings during the night. People who have chronic asthma or bronchitis also have more problems falling asleep and staying asleep than healthy people, either because of their breathing difficul ties or because of the medicines What Disrupts Sleep? S Z E - P I N G “ ” 26Your Guide to Healthy Sleep they take. Other chronic painful or uncomfortable conditions— such as arthritis, congestive heart failure, and sickle cell anemia— can disrupt sleep, too. A number of psychological disorders—including schizophrenia, bipolar disorder, and anxiety disorders—are well known for disrupt ing sleep. Depression often leads to insomnia, and insomnia can cause depression. Some of these psychological disorders are more likely to disrupt REM sleep. Psychological stress also takes its toll on sleep, making it more difficult to fall asleep or stay asleep. People who feel stressed also tend to spend less time in deep sleep and REM sleep. Many people report having difficulties sleeping if, for example, they have recently lost a loved one, are going through a divorce, or are under stress at work. Menstrual cycle hormones can affect how well women sleep. Pro gesterone is known to induce sleep and circulates in greater concen trations in the second half of the menstrual cycle. For this reason, women may sleep better during this phase of their menstrual cycle. On the other hand, many women report trouble sleeping the night before their menstrual flow starts. This sleep disruption may be related to the abrupt drop in progesterone levels that occurs just before menstruation. Women in their late forties and early fifties, however, report more difficulties sleeping (insomnia) than younger women. These difficulties may be linked to menopause, when they have lower concentrations of progesterone. Hot flashes in women of this age also may cause sleep disruption and difficulties. Certain lifestyle factors also may deprive a person of needed sleep. Large meals or vigorous exercise just before bedtime can make it harder to fall asleep. While vigorous exercise in the evening may delay sleep onset for various reasons, exercise in the daytime is associated with improved nighttime sleep. If you aren’t getting enough sleep or aren’t falling asleep early enough, you may be overscheduling activi ties that can pre vent you from getting the 27 quiet relaxation time you need to prepare for sleep. Most people report that it’s easier to fall asleep if they have time to wind down into a less active state before sleeping. Relaxing in a hot bath or having a hot, caffeine-free beverage before bedtime may help. In addition, your body temperature drops after a hot bath in a way that mimics, in part, what happens as you fall asleep. Probably for both these reasons, many people report that they fall asleep more easily after a hot bath. Your sleeping environment also can affect your sleep. Clear your bedroom of any potential sleep distractions, such as noises, bright lights, a TV, a cell phone, or computer. Having a comfortable mattress and pillow can help promote a good night’s sleep. You also sleep better if the temperature in your bedroom is kept on the cool side. For more ideas on improving your sleep, check out the tips for getting a good night’s sleep below. Tips for Getting a Good Night’s Sleep l l l Stick to a sleep schedule. Go to bed and wake up at the same time each day. As creatures of habit, people have a hard time adjusting to changes in sleep patterns. Sleeping later on weekends won’t fully make up for a lack of sleep during the week and will make it harder to wake up early on Monday morning. Exercise is great, but not too late in the day. Try to exercise at least 30 minutes on most days but not later than 2–3 hours before your bedtime. Avoid caffeine and nicotine. Coffee, colas, certain teas, and chocolate contain the stimulant caffeine, and its effects can take as long as 8 hours to wear off fully. Therefore, a cup of coffee in the late afternoon can make it hard for you to fall asleep at night. Nicotine is also a stimulant, often causing smokers to sleep only very lightly. In addition, smokers often wake up too early in the morning because of nicotine withdrawal. What Disrupts Sleep? 28Your Guide to Healthy Sleep Tips for Getting a Good Night’s Sleep (continued) l l l l l l l Avoid alcoholic drinks before bed. Having a “nightcap” or alcoholic beverage before sleep may help you relax, but heavy use robs you of deep sleep and REM sleep, keeping you in the lighter stages of sleep. Heavy alcohol ingestion also may contribute to impairment in breathing at night. You also tend to wake up in the middle of the night when the effects of the alcohol have worn off. Avoid large meals and beverages late at night. A light snack is okay, but a large meal can cause indigestion that interferes with sleep. Drinking too many fluids at night can cause frequent awakenings to urinate. If possible, avoid medicines that delay or disrupt your sleep. Some commonly prescribed heart, blood pressure, or asthma medications, as well as some over-the-counter and herbal remedies for coughs, colds, or allergies, can disrupt sleep patterns. If you have trouble sleeping, talk to your doctor or pharmacist to see whether any drugs you’re taking might be contributing to your insomnia and ask whether they can be taken at other times during the day or early in the evening. Don’t take naps after 3 p.m. Naps can help make up for lost sleep, but late afternoon naps can make it harder to fall asleep at night. Relax before bed. Don’t overschedule your day so that no time is left for unwinding. A relaxing activity, such as reading or listening to music, should be part of your bedtime ritual. Take a hot bath before bed. The drop in body temperature after getting out of the bath may help you feel sleepy, and the bath can help you relax and slow down so you’re more ready to sleep. Have a good sleeping environment. Get rid of anything in your bedroom that might distract you from sleep, such as noises, bright lights, an uncomfortable bed, or warm temperatures. You sleep better if the temperature in the room 29 is kept on the cool side. A TV, cell phone, or computer in the bedroom can be a distraction and deprive you of needed sleep. Having a comfortable mattress and pillow can help promote a good night’s sleep. Individuals who have insomnia often watch the clock. Turn the clock’s face out of view so you don’t worry about the time while trying to fall asleep. l l l Have the right sunlight exposure. Daylight is key to regulating daily sleep patterns. Try to get outside in natural sunlight for at least 30 minutes each day. If possible, wake up with the sun or use very bright lights in the morning. Sleep experts recommend that, if you have problems falling asleep, you should get an hour of exposure to morning sunlight and turn down the lights before bedtime. Don’t lie in bed awake. If you find yourself still awake after staying in bed for more than 20 minutes or if you are starting to feel anxious or worried, get up and do some relaxing activity until you feel sleepy. The anxiety of not being able to sleep can make it harder to fall asleep. See a doctor if you continue to have trouble sleeping. If you consistently find it difficult to fall or stay asleep and/ or feel tired or not well rested during the day despite spending enough time in bed at night, you may have a sleep disorder. Your family doctor or a sleep specialist should be able to help you, and it is important to rule out other health or psychiatric problems that may be disturbing your sleep. What Disrupts Sleep? 30My wife noticed that I snored loudly and sometimes stopped breathing in the middle of the night. She was the one who finally pushed me to see a doctor. Is Snoring a Problem? Long the material for jokes, snoring is generally accepted as com mon and annoying in adults but as nothing to worry about. How ever, snoring is no laughing matter. Frequent, loud snoring is often a sign of sleep apnea and may increase your risk of developing cardio vascular disease and diabetes. Snoring also may lead to daytime sleepiness and impaired performance. Snoring is caused by a narrowing or partial blockage of the airways at the back of your mouth, throat, or nose. This obstruction results in increased air turbulence when breathing in, causing the soft tissues in your upper airways to vibrate. The end result is a noisy snore that can disrupt the sleep of your bed partner. This narrowing of the airways is typically caused by the soft palate, tongue, and throat relaxing while you sleep, but allergies or sinus problems also can contribute to a narrowing of the airways, as can being over weight and having extra soft tissue around your upper airways. The larger the tissues in your soft palate (the roof of your mouth in the back of your throat), the more likely you are to snore while sleeping. Alcohol or sedatives taken shortly before sleep also promote snoring. These drugs cause greater relaxation of the tissues Your Guide to Healthy Sleep in your throat and mouth. Surveys reveal that about one-half of all adults snore, and 50 percent of these adults do so loudly and frequently. African Americans, Asians, and Hispanics are more likely to snore loudly and frequent ly compared with Caucasians, and snoring problems increase with age. Not everyone who snores has sleep apnea, but people who have sleep apnea typically do snore loudly and frequently. Sleep apnea is a J I M “ ” 31 serious sleep disorder, and its hallmark is loud, frequent snoring with pauses in breathing or shallow breaths while sleeping. (See “Sleep Apnea” on page 38.) Even if you don’t experience these breathing pauses, snoring can still be a problem for you as well as for your bed partner. Snoring adds extra effort to your breathing, which can reduce the quality of your sleep and lead to many of the same health consequences as sleep apnea. One study found that older adults who did not have sleep apnea, but who snored 6–7 nights a week, were more than twice as likely to report being extremely sleepy during the day than those who never snored. The more people snored, the more daytime fatigue they reported. That sleepiness may help explain why snorers are more likely to be in car crashes than people who don’t snore. Loud snoring also can disrupt the sleep of bed partners and strain marital relations, especially if snoring causes the spouses to sleep in separate bedrooms. In addition, snoring increases the risk of developing diabetes and heart disease. One study found that women who snored regularly were twice as likely as those who did not snore to develop diabetes, even if they were not overweight (another risk factor for diabetes). Other studies suggest that regular snoring may raise the lifetime risk of developing high blood pressure, heart failure, and stroke. About one-third of all pregnant women begin snoring for the first time during their second trimester. If you are snoring while preg nant, let your doctor know. Snoring in pregnancy can be associated with high blood pressure and can have a negative effect on your baby’s growth and development. Your doctor will keep a close eye on your blood pressure throughout your pregnancy and can let you know if any additional evaluations for the snoring might be useful. In most cases, the snoring and any related high blood pressure will go away shortly after delivery. Snoring also can be a problem in children. As many as 10–15 per cent of young children, who typically have enlarged adenoids and tonsils (both tissues in the throat), snore on a regular basis. Several studies show that children who snore (with or without sleep apnea) are more likely than those who do not snore to score lower on tests that measure intelligence, memory, and attention span. These children also have more problematic behavior, including hyperactiv ity. The end result is that children who snore don’t perform in Is Snoring a Problem? 32Your Guide to Healthy Sleep school as well as those who do not snore. Strikingly, snoring was linked to a greater drop in IQ than that seen in children who had elevated levels of lead in their blood. Although the behavior of children improves after they stop snoring, studies suggest they may continue to get poorer grades in school, perhaps because of lasting effects on the brain linked to the snoring. You should have your child evaluated by your doctor if the child snores loudly and frequently—three to four times a week—especially if you note brief pauses in breathing while asleep and if there are signs of hyperactiv ity or daytime sleepiness, inadequate school achievement, or slower than expected development. Surgery to remove the adenoids and tonsils of children often can cure their snoring and any associated sleep apnea. Such surgery has been linked to a reduction in hyperactivity and improved ability to pay attention, even in children who showed no signs of sleep apnea before surgery. Snoring in older children and adults may be relieved by less invasive measures, however. These measures include losing weight, refraining from use of tobacco, sleeping on the side rather than on the back, or elevating the head while sleeping. Treating chronic congestion and refraining from alcohol or sedatives before sleeping also may de crease snoring. In some adults, snoring can be relieved by dental appliances that reposition the soft tissues in the mouth. Although numerous over-the-counter nasal strips and sprays claim to relieve snoring, no scientific evidence supports those claims. 33 Common Sleep Disorders A number of sleep disorders can disrupt your sleep quality and make you overly sleepy during the day, even if you spent enough time in bed to be well rested. (See “Common Signs of a Sleep Disorder” on page 34.) Common Sleep Disorders More than 70 sleep disorders affect at least 40 million Americans and account for an estimated $16 billion in medical costs each year, not counting costs due to lost work time, car accidents, and other factors. The four most common sleep disorders are insomnia, sleep apnea, restless legs syndrome, and narcolepsy. Additional sleep problems include chronic insufficient sleep, circadian rhythm abnormalities, and “parasomnias” such as sleep walking, sleep paralysis, and night terrors. L A U R E N “My restless legs syndrome made me lose sleep and affected my quality of life. But I’m in a good place right now. I’m taking the right medicine for me, and I’ve adopted a healthy, active lifestyle. I am very passionate about taking control of my health. ” 34Your Guide to Healthy Sleep l l l l l l l l l l l l Common Signs of a Sleep disorder Look over this list of common signs of a sleep disorder, and talk to your doctor if you have any of them on three or more nights a week: It takes you more than 30 minutes to fall asleep at night. You awaken frequently in the night and then have trouble falling back to sleep again. You awaken too early in the morning. You often don’t feel well rested despite spending 7–8 hours or more asleep at night. You feel sleepy during the day and fall asleep within 5 minutes if you have an opportunity to nap, or you fall asleep unexpectedly or at inappropriate times during the day. Your bed partner claims you snore loudly, snort, gasp, or make choking sounds while you sleep, or your partner notices that your breathing stops for short periods. You have creeping, tingling, or crawling feelings in your legs that are relieved by moving or massaging them, especially in the evening and when you try to fall asleep. You have vivid, dreamlike experiences while falling asleep or dozing. You have episodes of sudden muscle weakness when you are angry or fearful, or when you laugh. You feel as though you cannot move when you first wake up. Your bed partner notes that your legs or arms jerk often during sleep. You regularly need to use stimulants to stay awake during the day. Also keep in mind that, although children can show some of these signs of a sleep disorder, they often do not show signs of excessive daytime sleepiness. Instead, they may seem overactive and have difficulty focusing and concentrating. They also may not do their best in school. 35 n n Insomnia Insomnia is defined as having trouble falling asleep or staying asleep, or as having unrefreshing sleep despite having ample opportunity to sleep. Life is filled with events that occasionally cause insomnia for a short time. Such temporary insomnia is common and is often brought on by situations such as stress at work, family pressures, or a traumatic event. A National Sleep Foundation poll of adults in the United States found that close to half of the respondents reported temporary insomnia in the nights immediately after the terrorist attacks on September 11, 2001. Chronic insomnia is defined as having symptoms at least 3 nights per week for more than 1 month. Most cases of chronic insomnia are secondary, which means they are due to another disorder or medications. Primary chronic insomnia is a distinct sleep disorder; its cause is not yet well understood. About 30–40 percent of adults say they have some symptoms of insomnia within any given year, and about 10–15 percent of adults say they have chronic insomnia. Chronic insomnia becomes more common with age, and women are more likely than men to report having insomnia. Insomnia often causes problems during the day, such as extreme sleepiness, fatigue, a lack of energy, difficulty concentrating, depressed mood, and irritability. Thus, untreated insomnia can impair quality of life as much as, or more than, other chronic medical problems. Chronic insomnia is often caused by one or more of the following: A disease or mood disorder. The most common causes of insomnia are depression and/or anxiety disorders. Neuro logical disorders, such as Alzheimer’s or Parkinson’s disease, also can have insomnia as a symptom. Chronic insomnia can result from thyroid dysfunction, arthritis, asthma, or other medical conditions in which symptoms become more trouble some at night, making it difficult to fall asleep or stay asleep. Various prescribed and over-the-counter medications that can disrupt sleep, such as decongestants, certain pain relievers, and steroids. Common Sleep Disorders 36Your Guide to Healthy Sleep n n Sleep-disrupting behavior such as drinking alcohol, exercising shortly before bedtime, ingesting caffeine late in the day, watching TV or reading while in bed, or irregular sleep schedules due to shift work or other causes. Another sleep disorder, such as sleep apnea or restless legs syndrome. Some people, however, have primary chronic insomnia. This condi tion is linked to a tendency to be more “revved up” than normal (hyperarousal). People who have primary chronic insomnia may have heightened levels of certain hormones, higher body tempera tures, faster heart rates, and a different pattern of brain waves while they sleep. Doctors diagnose insomnia based mainly on sleep history, often by reviewing a sleep diary. An overnight sleep recording may be required if another sleep disorder is suspected. Doctors also will try to diagnose and treat any other underlying medical or psychological problems as well as identify behaviors that might be causing the insomnia. Often, people who have insomnia enter into a vicious cycle—because they’ve had trouble sleeping on previous nights, they become anxious at the slightest sign that they may not be falling asleep right away. That anxiety can make it more difficult for them to fall asleep. The more time they spend in bed not sleeping, and watching the clock, the more their anxiety—and sleeplessness—increases. To break that cycle of anxiety and negative conditioning, experts recommend going to bed only when you’re sleepy. If you can’t fall asleep (or fall back to sleep) within 20 minutes, get out of bed, go into another room, and do a relaxing activity (such as reading) until you feel sleepy again. Then return to bed. Studies have shown that this reconditioning therapy is an effective way to treat insomnia. Relaxation therapy is another strategy that works for some people who have insomnia. Relaxation therapy may include meditation and other mental relaxation techniques. It also may include physical relaxation techniques, such as progressively tensing and then relax ing each of the muscle groups in your body before sleep. Another method is to focus on breathing deeply. Relaxation therapy can help your body and mind slow down so that you can fall asleep more easily at bedtime. 37 Sleep restriction therapy also works for some people who have insomnia. Calculate your average sleep time over the course of a week, and then limit your nightly sleep time to that average. Gradu ally add more sleep time each night until you achieve a more normal night’s sleep. You should avoid daytime naps longer than 15–20 min utes during sleep restriction therapy. Napping can make it harder to fall asleep at night, which may prolong insomnia. In addition, during sleep restriction therapy, avoid driving a car or operating dangerous machinery until you are getting enough sleep at night. All of these behavioral changes are part of a treatment called cognitive behavioral therapy. Cognitive behavioral therapy also can be used to replace negative thoughts about sleep, such as “I’ll never fall asleep without sleeping pills,” with more realistic positive thinking. Cognitive behavioral therapy is effective in most people who have chronic insomnia. Some people who have chronic insomnia that is not corrected by behavioral therapy or treatment of an underlying condition may need a prescription medication. You should talk to a doctor before trying to treat insomnia with alcohol, over-the-counter or prescribed short-acting sedatives, or sedating antihistamines that induce drowsiness. The benefits of these treatments are limited, and they have risks. Some may help you fall asleep but leave you feeling unrefreshed in the morning. Others have longer lasting effects and leave you feeling still tired and groggy in the morning. Some also may lose their effectiveness over time. Doctors may prescribe sedating antidepressants for insomnia, but the effectiveness of these medicines in people who do not have depression is not known, and there are significant side effects. Common Sleep Disorders 38Your Guide to Healthy Sleep To treat their insomnia, some people pursue “natural” remedies, such as melatonin supplements or valerian teas or extracts. These remedies are available over the counter. Little evidence exists that melatonin can help relieve insomnia. Studies with valerian also have been inconclusive, and the actual dose and purity of various supplements, extracts, or teas that contain valerian may vary from product to product. In addition, because melatonin, valerian, and other natural remedies are not regulated by the Food and Drug Administration, their safety is not monitored. Sleep Apnea In people who have sleep apnea (also referred to as sleep-disordered breathing), breathing briefly stops or becomes very shallow during sleep. This change is caused by intermittent blocking of the upper airway, usually when the soft tissue in the rear of the throat collapses and partially or completely closes the airway. Each pause in breathing typically lasts 10–120 seconds and may occur 20–30 times or more each sleeping hour. If you have sleep apnea, not enough air can flow into your lungs through your mouth and nose during sleep, even though breathing efforts continue. When this happens, the amount of oxygen in your blood decreases. Your brain responds by awakening you enough to tighten the upper airway muscles and open your windpipe. Normal breaths then start again, often with a loud snort or choking sound. Although people who have sleep apnea typically snore loudly and frequently, not everyone who snores has sleep apnea. (See “Is Snoring a Problem?” on page 30.) Because people who have sleep apnea frequently go from deeper sleep to lighter sleep during the night, they rarely spend enough time in deep, restorative stages of sleep. They are therefore often exces sively sleepy during the day. Such sleepiness is thought to lead to mood and behavior problems, including depression, and it more than triples the risk of being in a traffic or work-related accident. The many brief drops in blood-oxygen levels that occur during the night can result in morning headaches and trouble concentrating, thinking clearly, learning, and remembering. Additionally, the intermittent oxygen drops and reduced sleep quality together trigger the release of stress hormones. These hormones raise your blood pressure and heart rate and boost the risk of heart attack, stroke, irregular heartbeats, and congestive heart failure. In addition, 39 Common Sleep DisordersI realize now that my sleep apnea affected my quality of life. I felt tired all the time—so tired that I couldn’t exercise or spend time with my kids. I had other sleep apnea symptoms that affected my work—headaches, confusion, making errors, etc. “Looking back, I know that I should have taken it more seriously and told my doctor about my symptoms many years before I did. “One thing that helps me is physical activity. Now that I am feeling better, I come home from work with enough energy to have an exercise routine. J I M “ ” 40Your Guide to Healthy Sleep untreated sleep apnea can lead to changes in energy metabolism (the way your body changes food and oxygen into energy) that increase the risk for developing obesity and diabetes. Anyone can have sleep apnea. It is estimated that at least 12–18 million American adults have sleep apnea, making it as common as asthma. More than one-half of the people who have sleep apnea are overweight. Sleep apnea is more common in men. More than 1 in 25 middle-aged men and 1 in 50 middle-aged women have sleep apnea along with extreme daytime sleepiness. About 3 percent of children and 10 percent or more of people over age 65 have sleep apnea. This condition occurs more frequently in African Americans, Asians, Native Americans, and Hispanics than in Caucasians. More than one-half of all people who have sleep apnea are not diagnosed. People who have sleep apnea generally are not aware that their breathing stops in the night. They just notice that they don’t feel well rested when they wake up and are sleepy throughout the day. Their bed partners are likely to notice, however, that they snore loudly and frequently and that they often stop breathing briefly while sleeping. Doctors suspect sleep apnea if these symptoms are present, but the diagnosis must be confirmed with overnight sleep monitoring. (See “How Are Sleep Disorders Diagnosed?” on page 44.) This monitoring will reveal pauses in breathing, frequent sleep arousals (changes from sleep to wakefulness), and intermittent drops in levels of oxygen in the blood. 41 n n n n Like adults who have sleep apnea, children who have this disorder usually snore loudly, snort or gasp, and have brief pauses in breath ing while sleeping. Small children often have enlarged tonsils and adenoids that increase their risk for sleep apnea. But doctors may not suspect sleep apnea in children because, instead of showing the typical signs of sleepiness during the day, these children often become agitated and may be considered hyperactive. The effects of sleep apnea in children may include poor school performance and difficult, aggressive behavior. A number of factors can make a person susceptible to sleep apnea. These factors include: n n n n n n Throat muscles and tongue that relax more than normal while asleep Enlarged tonsils and adenoids Being overweight—the excess fat tissue around your neck makes it harder to keep the throat area open Head and neck shape that creates a somewhat smaller airway size in the mouth and throat area Congestion, due to allergies, that also can narrow the airway Family history of sleep apnea If your doctor suspects that you have sleep apnea, you may be referred to a sleep specialist. Some of the ways to help diagnose sleep apnea include: A medical history that includes asking you and your family questions about how you sleep and how you function during the day. Checking your mouth, nose, and throat for extra or large tissues—for example, checking the tonsils, uvula (the tissue that hangs from the middle of the back of the mouth), and soft palate (the roof of your mouth in the back of your throat). An overnight recording of what happens with your breathing during sleep (polysomnogram, or PSG). A multiple sleep latency test (MSLT), usually done in a sleep center, to see how quickly you fall asleep at times when you would normally be awake. (Falling asleep in only a few minutes usually means that you are very sleepy during the day. Being very sleepy during the day can be a sign of sleep apnea.) Common Sleep Disorders 42Your Guide to Healthy Sleep n n n Once all the tests are completed, the sleep specialist will review the results and work with you and your family to develop a treatment plan. Changes in daily activities or habits may help reduce your symptoms: Sleep on your side instead of on your back. Sleeping on your side will help reduce the amount of upper airway collapse during sleep. Avoid alcohol, smoking, sleeping pills, herbal supplements, and any other medications that make you sleepy. They make it harder for your airways to stay open while you sleep, and sedatives can make the breathing pauses longer and more severe. Tobacco smoke irritates the airways and can help trigger the intermittent collapse of the upper airway. Lose weight if you are overweight. Even a little weight loss can sometimes improve symptoms. These changes may be all that are needed to treat mild sleep apnea. However, if you have moderate or severe sleep apnea, you will need additional, more direct treatment approaches. Continuous positive airway pressure (CPAP) is the most effective treatment for sleep apnea in adults. A CPAP machine uses mild air pressure to keep your airways open while you sleep. The machine delivers air to your airways through a specially designed nasal mask. The mask does not breathe for you; the flow of air creates increased pressure to keep the airways in your nose and mouth more open while you sleep. The air pressure is adjusted so that it is just enough to stop your airways from briefly becoming too small during sleep. The pressure is constant and continuous. Sleep apnea will return if CPAP is stopped or if it is used incorrectly. People who have severe sleep apnea symptoms generally feel much better once they begin treatment with CPAP. CPAP treatment can cause side effects in some people. Possible side effects include dry or stuffy nose, irritation of the skin on the face, bloating of the stom ach, sore eyes, or headaches. If you have trouble with CPAP side effects, work with your sleep specialist and support staff. Together, you can do things to reduce or eliminate these problems. Currently, no medications cure sleep apnea. However, some prescription medications may help relieve the excessive sleepiness that sometimes persists even with CPAP treatment of sleep apnea. 43My doctor prescribed CPAP (continuous positive airway pressure) for me, but it was not easy to use at first. Sleeping with a CPAP machine was uncomfortable for me, so I didn’t use it like I should have—rarely, if at all. One day at work, I started feeling really bad, so I went to the hospital. The doctors told me that since I had not been using CPAP regularly, not enough oxygen was going to my brain, which caused symptoms like those for a stroke. So, I went back to my doctor and got a different CPAP machine that was more comfortable for me. “It’s important to talk with your health care provider to make sure that your treatment is comfortable and works for you. J I M “ ” Another treatment approach that may help some people is the use of a mouthpiece (oral or dental appliance). If you have mild sleep apnea or do not have sleep apnea but snore very loudly, your doctor or dentist also may recommend this. A custom-fitted plastic mouth piece will be made by a dentist or an orthodontist (a specialist in correcting teeth or jaw problems). The mouthpiece will adjust your lower jaw and tongue to help keep the airway in your throat more open while you are sleeping. Air can then flow more easily into your lungs because there is less resistance to breathing. Following up with the dentist or orthodontist is important to correct any side effects and to be sure that your mouthpiece continues to fit properly. It is also important to have a followup sleep study to see whether your sleep apnea has improved. Some people who have sleep apnea may benefit from surgery; this depends on the findings of the evaluation by the sleep specialist. Removing tonsils and adenoids that are blocking the airway is done frequently, especially in children. Uvulopalatopharyngoplasty (UPPP) is a surgery for adults that removes the tonsils, uvula, and part of the soft palate. Tracheostomy is a surgery used rarely and only in severe sleep apnea when no other treatments have been successful. A small hole is made in the windpipe, and a tube is inserted. Air will flow through the tube and into the lungs, bypass ing the obstruction in the upper airway. Common Sleep Disorders 44Your Guide to Healthy Sleep l l l How Are Sleep disorders diagnosed? Depending on your symptoms, your doctor will gather informa tion and consider several possible tests when trying to diagnose a sleep disorder: Sleep history and sleep log. Your doctor will ask you how many hours you sleep each night, how often you awaken during the night and for how long, how long it takes you to fall asleep, how well rested you feel upon awakening, and how sleepy you feel during the day. Your doctor may ask you to keep a sleep diary for a few weeks. (See “Sample Sleep Diary” on page 54.) Your doctor also may ask you whether you have any symptoms of sleep apnea or restless legs syndrome, such as loud snoring, snorting or gasping, morning headaches, tingling or unpleasant sensations in the limbs that are relieved by moving them, and jerking of the limbs during sleep. Your sleeping partner may be asked whether you have some of these symptoms, as you may not be aware of them yourself. Sleep recording in a sleep laboratory (polysomnogram). A sleep recording or polysomnogram (PSG) is usually done while you stay overnight at a sleep center or sleep laboratory. Electrodes and other monitors are placed on your scalp, face, chest, limbs, and finger. While you sleep, these devices measure your brain activity, eye movements, muscle activity, heart rate and rhythm, blood pressure, and how much air moves in and out of your lungs. This test also checks the amount of oxygen in your blood. A PSG test is painless. In certain circumstances, the PSG can be done at home. A home monitor can be used to record heart rate, how air moves in and out of your lungs, the amount of oxygen in your blood, and your breathing effort. Multiple sleep latency test (MSLT). This daytime sleep study measures how sleepy you are and is particularly useful for diagnosing narcolepsy. The MSLT is conducted in a sleep 45 laboratory and typically done after an overnight sleep recording (PSG). In this test, monitoring devices for sleep stage are placed on your scalp and face. You are asked to nap four or five times for 20 minutes every 2 hours during the day. Technicians note how quickly you fall asleep and how long it takes you to reach various stages of sleep, especially REM sleep, during your naps. Normal individuals either do not fall asleep during these short designated naptimes or take a long time to fall asleep. People who fall asleep in less than 5 minutes are likely to require treatment for a sleep disorder, as are those who quickly reach REM sleep during their naps. It is important to have a sleep specialist interpret the results of your PSG or MSLT. See “How To Find a Sleep Center and Sleep Specialist” on page 56. Common Sleep Disorders 46Your Guide to Healthy SleepI started to get weird feelings in my legs at night while I slept. To feel better, I would get up and move around and stretch. Then the weird feelings began to happen more often and made me lose sleep. I started to think that something was wrong. I decided to go to the doctor and was diagnosed with restless legs syndrome (RLS). “Because RLS symptoms can change, I’m always trying to find the right mix of diet, medication, and exercise. Exercise and massage help me manage my RLS. Yoga helps a lot too, because of all the stretching involved. L A U R E N “ ” 47 Restless Legs Syndrome Restless legs syndrome (RLS) causes an unpleasant prickling or tingling in the legs, especially in the calves, that is relieved by mov ing or massaging them. People who have RLS feel a need to stretch or move their legs to get rid of the uncomfortable or painful feelings. As a result, it may be difficult to fall asleep and stay asleep. One or both legs may be affected. Some people also feel the sensations in their arms. These sensations also can occur when lying down or sitting for long periods of time, such as while at a desk, riding in a car, or watching a movie. Many people who have RLS also have brief limb movements during sleep, often with abrupt onset, occurring every 5–90 seconds. This condition, known as periodic limb movements in sleep (PLMS), can repeatedly awaken people who have RLS, reducing their total sleep time and interrupting their sleep. Some people have PLMS but have no abnormal sensations in their legs while awake. RLS affects 5–15 percent of Americans, and its prevalence increases with age. RLS occurs more often in women than men. One study found that RLS accounted for one-third of the insomnia seen in patients older than age 60. Children also can have RLS. In children, the condition may be associated with symptoms of attention-deficit hyperactivity disorder. However, it’s not fully known how the disorders are related. Sometimes “growing pains” can be mistaken for RLS. RLS is often inherited. Pregnancy, kidney failure, and anemia related to iron or vitamin deficiency can trigger or worsen RLS symptoms. Researchers suspect that these conditions cause an iron deficiency that results in a lack of dopamine, which is used by the brain to control physical sensation and limb movements. Doctors usually can diagnose RLS by patients’ symptoms and a telltale worsening of symptoms at night or while at rest. Some doctors may order a blood test to check ferretin levels (ferretin is a form of iron). Doctors also may ask people who have RLS to spend a night in a sleep laboratory, where they are monitored to rule out other sleep disorders and to document the excessive limb movements. RLS is treatable but not always curable. Dramatic improvements are seen quickly when patients are given dopamine-like drugs or iron supplements. Alternatively, people who have milder cases may be treated successfully with sedatives or behavioral strategies. These Common Sleep Disorders 48Your Guide to Healthy Sleep n strategies include stretching, taking a hot bath, or massaging the legs before bedtime. Avoiding caffeinated beverages also can help reduce symptoms, and certain medications (e.g., some antidepressants, particularly selective serotonin reuptake inhibitors) may cause RLS. If iron or vitamin deficiency underlies RLS, symptoms may improve with prescribed iron, vitamin B12, or folate supplements. Some people may require anticonvulsant medications to control the creeping and crawling sensations in their limbs. Others who have severe symptoms that are associated with another medical disorder or that do not respond to normal treatments may need to be treated with pain relievers. Narcolepsy Narcolepsy’s main symptom is extreme and overwhelming daytime sleepiness, even after adequate nighttime sleep. In addition, nighttime sleep may be fragmented by frequent awakenings. People who have narcolepsy often fall asleep at inappropriate times and places. Although TV sitcoms occasionally feature these individuals to generate a few laughs, narcolepsy is no laughing matter. People who have narcolepsy experience daytime “sleep attacks” that last from seconds to more than one-half hour, can occur without warning, and may cause injury. These embarrassing sleep spells also can make it difficult to work and to maintain normal personal or social relationships. With narcolepsy, the usually sharp distinctions between being asleep and awake are blurred. Also, people who have narcolepsy tend to fall directly into dream-filled REM sleep, rather than enter REM sleep gradually after passing through the non-REM sleep stages first. In addition to overwhelming daytime sleepiness, narcolepsy has three other commonly associated symptoms, but these may not occur in all people: Sudden muscle weakness (cataplexy). This weakness is similar to the paralysis that normally occurs during REM sleep, but it lasts a few seconds to minutes while an individual is awake. Cataplexy tends to be triggered by sudden emotional reac tions, such as anger, surprise, fear, or laughter. The weakness may show up as limpness at the neck, buckling of the knees, or sagging facial muscles affecting speech, or it may cause a complete body collapse. 49 Common Sleep DisordersAt first, I was misdiagnosed with chronic fatigue syndrome, because I was in my forties and narcolepsy symptoms usually start during the teen years. Because I didn’t have any of the symptoms of chronic fatigue syndrome other than sleepiness, I went to a neurologist for help. He noticed the cataplexy (muscle weakness) right away, and then I was officially diagnosed with narcolepsy and then later on with borderline sleep apnea. “Even though there is no cure for narcolepsy, you can feel like you have control if you manage it well. “When you have narcolepsy, you live your life differently. But with a good plan and supportive friends and family, it all turns out OK. S Z E - P I N G “ ” 50Your Guide to Healthy Sleep n n Sleep paralysis. People who have narcolepsy may experience a temporary inability to talk or move when falling asleep or waking up, as if they were glued to their beds. Vivid dreams. These dreams can occur when people who have narcolepsy first fall asleep or wake up. The dreams are so lifelike that they can be confused with reality. Experts estimate that as many as 350,000 Americans have narco lepsy, but fewer than 50,000 are diagnosed. The disorder may be as widespread as Parkinson’s disease or multiple sclerosis, and more prevalent than cystic fibrosis, but it is less well known. Narcolepsy is often mistaken for depression, epilepsy, or the side effects of medicines. Narcolepsy can be difficult to diagnose in people who have only the symptom of excessive daytime sleepiness. It is usually diagnosed during an overnight sleep recording (PSG) that is followed by an MSLT. (See “How Are Sleep Disorders Diagnosed?” on page 44.) Both tests reveal symptoms of narcolepsy—the tendency to fall asleep rapidly and enter REM sleep early, even during brief naps. Narcolepsy can develop at any age, but the symptoms tend to appear first during adolescence or early adulthood. About 1 of every 10 people who have narcolepsy has a close family member who has the disorder, suggesting that one can inherit a tendency to develop narcolepsy. Studies suggest that a substance in the brain called hypocretin plays a key role in narcolepsy. Most people who have narcolepsy lack hypocretin, which promotes wakefulness. Scientists believe that an autoimmune reaction—perhaps triggered by disease, viral illness, or brain injury— specifically destroys the hypocretin-generating cells in the brains of people who have narcolepsy. 51 Eventually, researchers may develop a treatment for narcolepsy that restores hypocretin to normal levels. In the meantime, most people who have narcolepsy find some to all of their symptoms relieved by various drug treatments. For example, central nervous system stimulants can reduce daytime sleepiness. Antidepressants and other drugs that suppress REM sleep can prevent muscle weakness, sleep paralysis, and vivid dreaming. Doctors also usually recommend that people who have narcolepsy take short naps (10–15 minutes) two or three times a day, if possible, to help control excessive daytime sleepiness. Parasomnias (Abnormal Arousals) In some people, the walking, talking, and other body functions normally suppressed during sleep occur during certain sleep stages. Alternatively, the paralysis or vivid images usually experienced during dreaming may persist after awakening. These occurrences are collectively known as parasomnias and include confusional arousals (a mixed state of being both asleep and awake), sleep talking, sleep walking, night terrors, sleep paralysis, and REM sleep behavior disorder (acting out dreams). Most of these disorders— such as confusional arousals, sleep walking, and night terrors—are more common in children, who tend to outgrow them once they become adults. People who are sleep-deprived also may experience some of these disorders, including sleep walking and sleep paralysis. Sleep paralysis also commonly occurs in people who have narco lepsy. Certain medications or neurological disorders appear to lead to other parasomnias, such as REM sleep behavior disorder, and these parasomnias tend to occur more in elderly people. If you or a family member has persistent episodes of sleep paralysis, sleep walking, or acting out of dreams, talk with your doctor. Taking measures to assure the safety of children and other family members who have partial arousals from sleep is very important. Common Sleep Disorders 52Your Guide to Healthy SleepIt’s a scary experience, lying in bed, wanting to get up, but unable to—scary enough to almost make you not want to go to sleep anymore. I can remember, as a child, feeling as though there was a weight on me when I was trying to wake up, and I couldn’t move. When I would try to wake up, I would kick my legs and flail my arms, sometimes bumping my wife. I really didn’t have control over my limbs. “When the symptoms got really bad, I went to a sleep specialist, who told me I had sleep paralysis. My doctor prescribed a medicine that has worked great for me. Now, I rarely have sleep paralysis—maybe 3 times per year. L A W R E N C E “ ” 53 n n n n Do You Think You Have a Sleep Disorder? At various points in our lives, all of us suffer from a lack of sleep that can be corrected by making sure we have the opportunity to get enough sleep. But, if you are spending enough time in bed and still wake up tired or feel very sleepy during the day, you may have a sleep disorder. See “Common Signs of a Sleep Disorder” on page 34. One of the best ways you can tell whether you are getting enough good-quality sleep, and whether you have signs of a sleep disorder, is by keeping a sleep diary. (See “Sample Sleep Diary” on page 54.) Use this diary to record the quality and quantity of your sleep; your use of medications, alcohol, and caffeinated beverages; your exercise patterns; and how sleepy you feel during the day. After a week or so, look over this information to see how many hours of sleep or nighttime awakenings one night are linked to your being tired the next day. This information will give you a sense of how much uninterrupted sleep you need to avoid daytime sleepiness. You also can use the diary to see some of the patterns or practices that may keep you from getting a good night’s sleep. You may have a sleep disorder and should see your doctor if your sleep diary reveals any of the following: You consistently take more than 30 minutes each night to fall asleep. You consistently awaken more than a few times or for long periods of time each night. You take frequent naps. You often feel sleepy during the day—or you fall asleep at inappropriate times during the day. Do You Think You Have a Sleep Disorder? 54 Sample Sleep Diary Name: Complete in the Morning Today’s date (include month/day/year): Monday* Time I went to bed last night: Time I woke up this morning: No. of hours slept last night: 11 p.m. 7 a.m. 8 Number of awakenings and total time awake last night: 5 times 2 hours How long I took to fall asleep last night: 30 mins. Medications taken last night: None How awake did I feel when I got up this morning? 1—Wide awake 2—Awake but a little tired 3—Sleepy 2 Complete in the Evening Number of caffeinated drinks (coffee, tea, cola) and time when I had them today: 1 drink at 8 p.m. Number of alcoholic drinks (beer, wine, liquor) and time when I had them today: 2 drinks 9 p.m. Naptimes and lengths today: 3:30 p.m. 45 mins. Exercise times and lengths today: None How sleepy did I feel during the day today? 1—So sleepy had to struggle 1 to stay awake during much of the day 2—Somewhat tired 3—Fairly alert 4—Wide awake Your Guide to Healthy Sleep * This column shows example diary entries—use as a model for your own diary notes. 55 Do You Think You Have a Sleep Disorder? 56Your Guide to Healthy Sleep How To Find a Sleep Center and Sleep Specialist If your doctor refers you to a sleep center or sleep specialist, make sure that center or specialist is qualified to diagnose and treat your sleep problem. To find sleep centers accredited by the American Academy of Sleep Medicine, go to www.aasmnet.org and click on “Find a Sleep Center” (under the Patients & Public menu), or call 708–492–0930. To find sleep specialists certified by the American Board of Sleep Medicine, go to www.absm.org and click on “Verification of Diplomates of the ABSM.” 57 n n n n Research Researchers have learned a lot about sleep and sleep disorders in recent years. That knowledge has led to a better understanding of the importance of sleep to our lives and our health. Research supported by the National Heart, Lung, and Blood Institute (NHLBI) has helped identify some of the causes of sleep disorders and their effects on the heart, brain, lungs, and other body systems. The NHLBI also supports ongoing research on the most effective ways to diagnose and treat sleep disorders. Many questions remain about sleep and sleep disorders. The NHLBI continues to support a range of research that focuses on: Better understanding of how a lack of sleep increases the risk for obesity, diabetes, heart disease, and stroke New ways to diagnose sleep disorders Genetic, environmental, and social factors that lead to sleep disorders The adverse effects from a lack of sleep on body and brain Much of this research depends on the willingness of volunteers to participate in clinical research. If you would like to help researchers advance science on sleep or about a sleep disorder you have and possible treatments, talk to your doctor about participating in clinical research. (For more information, see “Clinical Research” on page 58.) Research 58Your Guide to Healthy Sleep Clinical research Researchers can learn quite a bit about sleep and sleep disorders by studying animals. However, to fully understand sleep and its affect on health and functioning, as well as how best to diagnose and treat sleep disorders, researchers need to do clinical research on people. This type of research is called clinical research because it is often conducted in clinical settings, such as hospitals or doctors’ offices. The two types of clinical research are clinical trials and clinical studies. l Clinical trials test new ways to diagnose, prevent, or treat various disorders. For example, treatments (such as medicines, medical devices, surgery, or other procedures) for a disorder need to be tested in people who have the disorder. A trial helps determine whether a treatment is safe and effective in humans before it is made available for public use. In a clinical trial, participants are randomly assigned to groups. One group receives the new treatment being tested. Other groups may receive a different treatment or a placebo (an inactive substance resembling a drug being tested). Comparing results from the groups gives researchers confidence that changes in the test group are due to the new treatment and not to other factors. 59 l l l l Other types of clinical studies are done to discover the factors, including environmental, behavioral, or genetic factors, that cause or worsen various disorders. Researchers may follow a group of people over time to learn what factors contribute to becoming sick. Clinical studies and trials may be relatively brief, or may last for years and require many visits to the study sites. These sites usually are university hospitals or research centers, but they can include private doctors’ offices and community hospitals. If you participate in clinical research, the research will be explained to you in detail, you will be given a chance to ask questions, and you will be asked to provide written permission. You may not directly benefit from the results of the clinical research you participate in, but the information gathered will help others and will add to scientific knowledge. Taking part in clinical research has other benefits, as well. You’ll learn more about your disorder, you’ll have the support of a team of health care providers, and your health will likely be monitored closely. However, participation also can have risks, which you should discuss with your doctor. No matter what you decide, your regular medical care will not be affected. If you’re thinking about participating in a clinical study, you may have questions about the purpose of the study, the types of tests and treatment involved, how participation will affect your daily life, and whether any costs are involved. Your doctor may be able to answer some of your questions and help you find clinical studies in which you can participate. You also can visit the following Web sites to learn about being in a study and to search for clinical trials being done on your disorder: www.clinicaltrials.gov http://clinicalresearch.nih.gov www.nhlbi.nih.gov/studies/index.htm Clinical Research Research 60Your Guide to Healthy Sleep For More Sleep Information Resources From the National Heart, Lung, and Blood Institute (NHLBI) National Center on Sleep Disorders Research Division of Lung Diseases, NHLBI Two Rockledge Centre, Suite 10170 6701 Rockledge Drive Bethesda, MD 20895–7952 Phone: 301–435–0199 Fax: 301–480–3451 Web site: www.nhlbi.nih.gov/sleep NHLBI Diseases and Conditions Index (DCI) The DCI includes articles on sleep disorders, tests, and procedures, along with videos, podcasts, and Spanish-language articles. Web site: www.nhlbi.nih.gov/health/dci/index.html NHLBI Health Information Center P.O. Box 30105 Bethesda, MD 20824–0105 Telephone: 301–592–8573 TTY: 240–629–3255 Fax: 301–592–8563 E-mail: [email protected] Web site: www.nhlbi.nih.gov NIH Office of Science Education Web site (for high school supplemental curriculum: Sleep, Sleep Disorders, and Biological Rhythms) http://science.education.nih.gov 61 Resources From Other Sleep Organizations American Academy of Sleep Medicine (AASM) 2510 North Frontage Road Darien, IL 60561 Telephone: 630–737–9700 Fax: 630–737–9790 Web site: www.aasmnet.org American Sleep Apnea Association 6856 Eastern Avenue, NW., Suite 203 Washington, DC 20012 Telephone: 202–203–3650 Fax: 202–293–3656 Web site: www.sleepapnea.org Narcolepsy Network P.O. Box 294 Pleasantville, NY 10570 Telephone: 401–667–2523 Fax: 401–633–6567 E-mail: [email protected] Web site: www.narcolepsynetwork.org National Sleep Foundation 1010 North Glebe Road, Suite 310 Arlington, VA 22201 Telephone: 703–243–1697 E-mail: [email protected] Web site: www.sleepfoundation.org Restless Legs Syndrome Foundation 1610 14th Street, NW., Suite 300 Rochester, MN 55901 Telephone: 507–287–6465 Fax: 507–287–6312 E-mail: [email protected] Web site: www.rls.org For More Sleep Information 62Your Guide to Healthy Sleep ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Notes 63 ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Notes Notes Discrimination Prohibited: Under provisions of applicable public laws enacted by Congress since 1964, no person in the United States shall, on the grounds of race, color, national origin, handicap, or age, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity (or, on the basis of sex, with respect to any educa- tion program or activity) receiving Federal finan- cial assistance. In addition, Executive Order 11141 prohibits discrimination on the basis of age by contractors and subcontractors in the performance of Federal contracts, and Executive Order 11246 states that no federally funded con- tractor may discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. Therefore, the National Heart, Lung, and Blood Institute must be operated in compliance with these laws and Executive Orders. NIH Publication No. 11-5271 Originally printed November 2005 Revised August 2011

Only respond with the most direct answer possible. Do not discuss anything else. Use only information from the provided document. What are the health benefits of high-quality sleep? Y O U R G U I D E T O Healthy Sleep Y o u r G u i d e t o Healthy Sleep NIH Publication No. 11-5271 Originally printed November 2005 Revised August 2011 Contents Introduction 1 What Is Sleep? 4 What Makes You Sleep? 7 What Does Sleep Do for You? 12 Your Learning, Memory, and Mood 12 Your Heart 13 Your Hormones 14 How Much Sleep Is Enough? 19 What Disrupts Sleep? 25 Is Snoring a Problem? 30 Common Sleep Disorders 33 Insomnia 35 Sleep Apnea 38 Restless Legs Syndrome 47 Narcolepsy 48 Parasomnias (Abnormal Arousals) 51 Do You Think You Have a Sleep Disorder? 53 How To Find a Sleep Center and Sleep Specialist 56 Research 57 For More Sleep Information 60 Contents 1 Introduction Think of your daily activities. Which activity is so important you should devote one-third of your time to doing it? Probably the first things that come to mind are working, spending time with your family, or doing leisure activities. But there’s something else you should be doing about one-third of your time—sleeping. Many people view sleep as merely a “down time” when their brains shut off and their bodies rest. People may cut back on sleep, think ing it won’t be a problem, because other responsibilities seem much more important. But research shows that a number of vital tasks carried out during sleep help people stay healthy and function at their best. While you sleep, your brain is hard at work forming the pathways necessary for learning and creating memories and new insights. Without enough sleep, you can’t focus and pay attention or respond quickly. A lack of sleep may even cause mood problems. Also, growing evidence shows that a chronic lack of sleep increases your risk of obesity, diabetes, cardiovas cular disease, and infections. Introduction 2Your Guide to Healthy Sleep Despite growing support for the idea that adequate sleep, like adequate nutrition and physical activity, is vital to our well-being, people are sleeping less. The nonstop “24/7” nature of the world today encourages longer or nighttime work hours and offers continual access to entertainment and other activities. To keep up, people cut back on sleep. A common myth is that people can learn to get by on little sleep (such as less than 6 hours a night) with no adverse effects. Research suggests, however, that adults need at least 7–8 hours of sleep each night to be well rested. Indeed, in 1910, most people slept 9 hours a night. But recent surveys show the average adult now sleeps fewer than 7 hours a night. More than one-third of adults report daytime sleepiness so severe that it interferes with work, driving, and social functioning at least a few days each month. Evidence also shows that children’s and adolescents’ sleep is shorter than recommended. These trends have been linked to increased exposure to electronic media. Lack of sleep may have a direct effect on children’s health, behavior, and development. Chronic sleep loss or sleep disorders may affect as many as 70 million Americans. This may result in an annual cost of $16 billion in health care expenses and $50 billion in lost productivity. 3 What happens when you don’t get enough sleep? Can you make up for lost sleep during the week by sleeping more on the weekends? How does sleep change as you become older? Is snoring a problem? How can you tell if you have a sleep disorder? Read on to find the answers to these questions and to better understand what sleep is and why it is so necessary. Learn about common sleep myths and practical tips for getting enough sleep, coping with jet lag and nighttime shift work, and avoiding dangerous drowsy driving. Many common sleep disorders go unrecognized and thus are not Introduction treated. This booklet also gives the latest information on sleep disorders such as insomnia (trouble falling or staying asleep), sleep apnea (pauses in breathing during sleep), restless legs syndrome, narcolepsy (extreme daytime sleepiness), and parasomnias (abnormal sleep behaviors).It’s important to tell your doctor what you are experiencing, so you can help your doctor diagnose your condition. S Z E - P I N G “ ” 4Your Guide to Healthy Sleep What Is Sleep? Sleep was long considered just a block of time when your brain and body shut down. Thanks to sleep research studies done over the past several decades, it is now known that sleep has distinct stages that cycle throughout the night in predictable patterns. How well rested you are and how well you function depend not just on your total sleep time but on how much sleep you get each night and the timing of your sleep stages. Your brain and body functions stay active through out sleep, and each stage of sleep is linked to a specific type of brain waves (distinctive patterns of electrical activity in the brain). Sleep is divided into two basic types: rapid eye movement (REM) sleep and non-REM sleep (with three different stages). (For more information, see “Types of Sleep” on page 5.) Typically, sleep begins with non-REM sleep. In stage 1 non-REM sleep, you sleep lightly and can be awakened easily by noises or other disturbances. During this first stage of sleep, your eyes move slowly, your muscles relax, and your heart and breath ing rates begin to slow. You then enter stage 2 non-REM sleep, which is defined by slower brain waves with occasional bursts of rapid waves. You spend about half the night in this stage. When you progress into stage 3 non- REM sleep, your brain waves become even slower, and the brain produces extremely slow waves almost exclusively (called Delta waves). 5 l l l l l Stage 3 is a very deep stage of sleep, during which it is very difficult to be awakened. Children who wet the bed or sleep walk tend to do so during stage 3 of non-REM sleep. Deep sleep is considered the “restorative” stage of sleep that is necessary for feeling well rested and energetic during the day. Types of Sleep Non-REM Sleep REM Sleep Stage 1: Light sleep; easily awakened; muscles relax with occasional twitches; eye movements are slow. Stage 2: Eye movements stop; slower brain waves, with occasional bursts of rapid brain waves. Stage 3: Occurs soon after you fall asleep and mostly in the first half of the night. Deep sleep; difficult to awaken; large slow brain waves, heart and respiratory rates are slow and muscles are relaxed. Usually first occurs about 90 minutes after you fall asleep, and longer, deeper periods occur during the second half of the night; cycles along with the non-REM stages throughout the night. Eyes move rapidly behind closed eyelids. Breathing, heart rate, and blood pressure are irregular. Dreaming occurs. Arm and leg muscles are temporarily paralyzed. Types of Sleep During REM sleep, your eyes move rapidly in different directions, even though your eyelids stay closed. Your breathing also becomes more rapid, irregular, and shallow, and your heart rate and blood pressure increase. Dreaming typically occurs during REM sleep. During this type of sleep, your arm and leg muscles are temporarily paralyzed so that you cannot “act out” any dreams that you may be having. What Is Sleep? 6Your Guide to Healthy Sleep You typically first enter REM sleep about an hour to an hour and a half after falling asleep. After that, the sleep stages repeat them selves continuously while you sleep. As you sleep, REM sleep time becomes longer, while time spent in stage 3 non-REM sleep becomes shorter. By the time you wake up, nearly all your sleep time has been spent in stages 1 and 2 of non-REM sleep and in REM sleep. If REM sleep is severely disrupted during one night, REM sleep time is typically longer than normal in subsequent nights until you catch up. Overall, almost one-half of your total sleep time is spent in stage 2 non-REM sleep and about one-fifth each in deep sleep (stage 3 of non-REM sleep) and REM sleep. In contrast, infants spend half or more of their total sleep time in REM sleep. Gradually, as they grow, the percentage of total sleep time they spend in REM contin ues to decrease, until it reaches the one-fifth level typical of later childhood and adulthood. Why people dream and why REM sleep is so important are not well understood. It is known that REM sleep stimulates the brain regions you use to learn and make memories. Animal studies suggest that dreams may reflect the brain’s sorting and selectively storing new information acquired during wake time. While this information is processed, the brain might revisit scenes from the day and mix them randomly. Dreams are generally recalled when we wake briefly or are awakened by an alarm clock or some other noise in the environment. Studies show, however, that other stages of sleep besides REM also are needed to form the pathways in the brain that enable us to learn and remember. 7 What Makes You Sleep? Although you may put off going to sleep in order to squeeze more activities into your day, eventually your need for sleep becomes overwhelming. This need appears to be due, in part, to two sub stances your body produces. One substance, called adenosine, builds up in your blood while you’re awake. Then, while you sleep, your body breaks down the adenosine. Levels of this substance in your body may help trigger sleep when needed. A buildup of adenosine and many other complex factors might explain why, after several nights of less than optimal amounts of sleep, you build up a sleep debt. This may cause you to sleep longer than normal or at unplanned times during the day. Because of your body’s internal processes, you can’t adapt to getting less sleep than your body needs. Eventually, a lack of sleep catches up with you. The other substance that helps make you sleep is a hormone called melatonin. This hormone makes you naturally feel sleepy at night. It is part of your internal “biological clock,” which controls when you feel sleepy and your sleep patterns. Your biological clock is a small bundle of cells in your brain that works throughout the day and night. Internal and external environmental cues, such as light signals received through your eyes, control these cells. Your biologi cal clock triggers your body to produce melatonin, which helps prepare your brain and body for sleep. As melatonin is released, you’ll feel increasingly drowsy. Because of your biological clock, you naturally feel the most tired between midnight and 7 a.m. You also may feel mildly sleepy in the afternoon between 1 p.m. and 4 p.m. when another increase in melatonin occurs in your body. Your biological clock makes you the most alert during daylight hours and the least alert during the early morning hours. Conse quently, most people do their best work during the day. Our 24/7 society, however, demands that some people work at night. Nearly one-quarter of all workers work shifts that are not during the daytime, and more than two-thirds of these workers have problem sleepiness and/or difficulty sleeping. Because their work schedules What Makes You Sleep? 8Your Guide to Healthy Sleep are at odds with powerful sleep-regulating cues like sunlight, night shift workers often find themselves drowsy at work, and they have difficulty falling or staying asleep during the daylight hours when their work schedules require them to sleep. The fatigue experienced by night shift workers can be dangerous. Major industrial accidents—such as the Three Mile Island and Chernobyl nuclear power plant accidents and the Exxon Valdez oil spill—have been caused, in part, by mistakes made by overly tired workers on the night shift or an extended shift. Night shift workers also are at greater risk of being in car crashes when they drive home from work during the early morning hours, because the biological clock is not sending out an alerting signal. One study found that one-fifth of night shift workers had a car crash or a near miss in the preceding year because of sleepiness on the drive home from work. Night shift workers are also more likely to have physical problems, such as heart disease, digestive troubles, and infertility, as well as emotional problems. All of these problems may be related, at least in part, to the workers’ chronic sleepiness, possi bly because their biological clocks are not in tune with their work schedules. See “Working the Night Shift” on page 9 for some helpful tips if you work a night shift. Other factors also can influence your need for sleep, including your immune system’s production of hormones called cytokines. Cyto kines are made to help the immune system fight certain infections or chronic inflammation and may prompt you to sleep more than usual. The extra sleep may help you conserve the resources needed to fight the infection. Recent studies confirm that being well rested improves the body’s responses to infection. People are creatures of habit, and one of the hardest habits to break is the natural wake and sleep cycle. Together, a number of physiological factors help you sleep and wake up at the same times each day. 9 Consequently, you may have a hard time adjusting when you travel across time zones. The light cues outside and the clocks in your new location may tell you it is 8 a.m. and you should be active, but your body is telling you it is more like 4 a.m. and you should sleep. The end result is jet lag—sleepiness during the day, difficulty falling or staying asleep at night, poor concentration, confusion, nausea, and generally feeling unwell and irritable. See “Dealing With Jet Lag” on page 10. Working the Night Shift Try to limit night shift work, if that is possible. If you must work the night shift, the following tips may help you: l l l l l Increase your total amount of sleep by adding naps and lengthening the amount of time you allot for sleep. Use bright lights in your workplace. Minimize the number of shift changes so that your body’s biological clock has a longer time to adjust to a nighttime work schedule. Get rid of sound and light distractions in your bedroom during your daytime sleep. Use caffeine only during the first part of your shift to promote alertness at night. If you are unable to fall asleep during the day, and all else fails, talk with your doctor to see whether it would be wise for you to use prescribed, short-acting sleeping pills to help you sleep during the day. Night Shift What Makes You Sleep? 10Your Guide to Healthy Sleep Dealing With Jet Lag Be aware that adjusting to a new time zone may take several days. If you are going to be away for just a few days, it may be better to stick to your original sleep and wake times as much as possible, rather than adjusting your biological clock too many times in rapid succession. Eastward travel generally causes more severe jet lag than westward travel because traveling east requires you to shorten the day, and your biological clock is better able to adjust to a longer day than a shorter day. Fortunately for globetrotters, a few preventive measures and adjustments seem to help some people relieve jet lag, particularly when they are going to spend more than a few days at their destination: l l Adjust your biological clock. During the 2–3 days prior to a long trip, get adequate sleep. You can make minor changes to your sleep schedule. For example, if you are traveling west, delay your bed time and wake time progressively by 20- to 30-minute intervals. If you are traveling east, advance your wake time by 10 to 15 minutes a day for a few days and try to advance your bed time. Decreasing light exposure at bedtime and increasing light exposure at wake time can help you make these adjustments. When you arrive at your destination, spend a lot of time outdoors so your body gets the light cues it needs to adjust to the new time zone. Take a couple of short 10–15 minute catnaps if you feel tired, but do not take long naps during the day. Avoid alcohol and caffeine. Although it may be tempting to drink alcohol to relieve the stress of travel and make it easier to fall asleep, you’re more likely to sleep lighter and wake up in the middle of the night when the effects of the alcohol wear off. Caffeine can help keep you awake longer, but caffeine also can make it harder for you to fall asleep if its effects haven’t worn off by the time you are ready to go to bed. Therefore, it’s best to use caffeine only during the morning and not during the afternoon. 11 l What about melatonin? Your body produces this hormone that may cause some drowsiness and cues the brain and body that it is time to fall asleep. Melatonin builds up in your body during the early evening and into the first 2 hours of your sleep period, and then its release stops in the middle of the night. Melatonin is available as an over-the-counter supplement. Because melatonin is considered safe when used over a period of days or weeks and seems to help people feel sleepy, it has been suggested as a treatment for jet lag. But melatonin’s effectiveness is controversial, and its safety when used over a prolonged period is unclear. Some studies find that taking melatonin supplements before bedtime for several days after arrival in a new time zone can make it easier to fall asleep at the proper time. Other studies find that melatonin does not help relieve jet lag. What Makes You Sleep? Jet Lag 12Your Guide to Healthy Sleep What Does Sleep Do for You? A number of aspects of your health and quality of life are linked to sleep, and these aspects are impaired when you are sleep deprived. Your Learning, Memory, and Mood Students who have trouble grasping new information or learning new skills are often advised to “sleep on it,” and that advice seems well founded. Recent studies reveal that people can learn a task better if they are well rested. They also can better remember what they learned if they get a good night’s sleep after learning the task than if they are sleep deprived. Study volunteers had to sleep at least 6 hours to show improvement in learning. Additionally, the amount of improvement was directly related to how much time they slept—for example, volunteers who slept 8 hours outperformed those who slept only 6 or 7 hours. Other studies suggest that it’s important to get enough rest the night before a mentally challenging task, rather than only sleeping for a short period or waiting to sleep until after the task is complete. Many well-known artists and scientists claim to have had creative insights while they slept. Mary Shelley, for example, said the idea for her novel Frankenstein came to her in a dream. Although it has not been shown that dreaming is the driving force behind innova tion, one study suggests that sleep is needed for creative problem- solving. In that study, volunteers were asked to perform a memory task and then were tested on it 8 hours later. Those who were allowed to sleep for 8 hours immediately after trying the task and before being tested were much more likely to find a creative way of simplifying the task and improving their performance, compared with those who were awake the entire 8 hours before being tested. Exactly what happens during sleep to improve our learning, memo ry, and insight isn’t known. Experts suspect, however, that while 13 people sleep, they form or strengthen the pathways of brain cells needed to perform these tasks. This process may explain why sleep is needed for proper brain development in infants. Not only is a good night’s sleep required to form new learning and memory pathways in the brain, but also sleep is necessary for those pathways to work well. Several studies show that lack of sleep causes thinking processes to slow down. Lack of sleep also makes it harder to focus and pay attention. Lack of sleep can make you more easily confused. Studies also find that a lack of sleep leads to faulty decisionmaking and more risk taking. A lack of sleep slows down your reaction time, which is particularly important to driving and other tasks that require quick response. When people who lack sleep are tested on a driving simulator, they perform just as poorly as people who are drunk. (See “Crash in Bed, Not on the Road” on page 16.) The bottom line is: Not getting a good night’s sleep can be dangerous! Even if you don’t have a mentally or physically challenging day ahead of you, you should still get enough sleep to put yourself in a good mood. Most people report being irritable, if not downright unhappy, when they lack sleep. People who chronically suffer from a lack of sleep, either because they do not spend enough time in bed or because they have an untreated sleep disorder, are at greater risk of developing depression. One group of people who usually don’t get enough sleep is mothers of newborns. Some experts think depression after childbirth (postpar tum blues) is caused, in part, by a lack of sleep. Your Heart Sleep gives your heart and vascular system a much-needed rest. During non-REM sleep, your heart rate and blood pressure progressively slow as you enter deeper sleep. During REM sleep, in response to dreams, your heart What Does Sleep Do for You? 14Your Guide to Healthy Sleep and breathing rates can rise and fall and your blood pressure can be variable. These changes throughout the night in blood pressure and heart and breathing rates seem to promote cardiovascular health. If you don’t get enough sleep, the nightly dip in blood pressure that appears to be important for good cardiovascular health may not occur. Failure to experience the normal dip in blood pressure during sleep can be related to insufficient sleep time, an untreated sleep disorder (for example, sleep apnea), or other factors. Some sleep- related abnormalities may be markers of heart disease and increased risk of stroke. A lack of sleep also puts your body under stress and may trigger the release of more adrenaline, cortisol, and other stress hormones during the day. These hormones keep your blood pressure from dipping during sleep, which increases your risk for heart disease. Lack of sleep also may trigger your body to produce more of certain proteins thought to play a role in heart disease. For example, some studies find that people who repeatedly don’t get enough sleep have higher than normal blood levels of C-reactive protein, a sign of inflammation. High levels of this protein may indicate an increased risk for a condition called atherosclerosis, or hardening of the arteries. Your Hormones When you were young, your mother may have told you that you need to get enough sleep to grow strong and tall. She may have been right! Deep sleep (stage 3 non-REM sleep) triggers more release of growth hormone, which contributes to growth in children and boosts muscle mass and the repair of cells and tissues in children and adults. Sleep’s effect on the release of sex hormones also contributes to puberty and fertility. Consequently, women who work at night and tend to lack sleep may be at increased risk of miscarriage. Your mother also probably was right if she told you that getting a good night’s sleep on a regular basis would help keep you from getting sick and help you get better if you do get sick. During sleep, your body creates more cytokines—cellular hormones that help the immune system fight various infections. Lack of sleep can reduce your body’s ability to fight off common infections. Research also reveals that a lack of sleep can reduce the body’s response to the flu 15 vaccine. For example, sleep-deprived volunteers given the flu vaccine produced less than half as many flu antibodies as those who were well rested and given the same vaccine. Although lack of exercise and other factors also contribute, the current epidemic of diabetes and obesity seems to be related, at least in part, to chronically short or disrupted sleep or not sleeping during the night. Evidence is growing that sleep is a powerful regulator of appetite, energy use, and weight control. During sleep, the body’s production of the appetite suppressor leptin increases, and the appetite stimulant grehlin decreases. Studies find that the less people sleep, the more likely they are to be overweight or obese and prefer eating foods that are higher in calories and carbohydrates. People who report an average total sleep time of 5 hours a night, for example, are much more likely to become obese, compared with people who sleep 7–8 hours a night. A number of hormones released during sleep also control the body’s use of energy. A distinct rise and fall of blood sugar levels during sleep appears to be linked to sleep stages. Not sleeping at the right time, not getting enough sleep overall, or not enough of each stage of sleep disrupts this pattern. One study found that, when healthy young men slept only 4 hours a night for 6 nights in a row, their insulin and blood sugar levels matched those seen in people who were developing diabetes. Another study found that women who slept less than 7 hours a night were more likely to develop diabetes over time than those who slept between 7 and 8 hours a night. What Does Sleep Do for You? 16Your Guide to Healthy Sleep Crash in Bed Not on the Road Most people are aware of the hazards of drunk driving. But driving while sleepy can be just as dangerous. Indeed, crashes due to sleepy drivers are as deadly as those due to drivers impaired by alcohol. And you don’t have to be asleep at the wheel to put yourself and others in danger. Both alcohol and a lack of sleep limit your ability to react quickly to a suddenly braking car, a sharp curve in the road, or other situations that require rapid responses. Just a few seconds’ delay in reaction time can be a life-or-death matter when driving. When people who lack sleep are tested on a driving simulator, they perform as badly as or worse than those who are drunk. The combination of alcohol and lack of sleep can be especially dangerous. There is increasing evidence that sleep deprivation and inexperience behind the wheel, both particularly common in adolescents, is a lethal combination. Of course, driving is also hazardous if you fall asleep at the wheel, which happens surprisingly often. One-quarter of the drivers surveyed in New York State reported they had fallen asleep at the wheel at some time. Often, people briefly nod off at the wheel without being aware of it—they just can’t recall what happened over the previous few seconds or longer. And people who lack sleep are more apt to take risks and make poor judgments, which also can boost their chances of getting in a car crash. Opening a window or turning up the radio won’t help you stay awake while driving. The bottom line is that there is no substitute for sleep. Be aware of these warning signs that you are too sleepy to drive safely: trouble keeping your eyes open or focused, continual yawning, or being unable to recall driving the past few miles. Remember, if you are short on sleep, stay out of the driver’s seat! 17 Here are some potentially life-saving tips for avoiding drowsy driving: l l l l l l Be well rested before hitting the road. If you have several nights in a row of fewer than 7–8 hours of sleep, your reaction time slows. Restoring that reaction time to normal can take more than one night of good sleep, because a sleep debt accumulates after each night you lose sleep. It may take several nights of being well rested to repay that sleep debt and make you ready for driving on a long road trip. Avoid driving between midnight and 7 a.m. Unless you are accustomed to being awake then, this period of time is when we are naturally the least alert and most tired. Don’t drive alone. A companion who can keep you engaged in conversation might help you stay awake while driving. Schedule frequent breaks on long road trips. If you feel sleepy while driving, pull off the road and take a nap for 15–20 minutes. Don’t drink alcohol. Just one beer when you are sleep deprived will affect you as much as two or three beers when you are well rested. Don’t count on caffeine or other tricks. Although drinking a cola or a cup of coffee might help keep you awake for a short time, it won’t overcome extreme sleepiness or relieve a sleep debt. What Does Sleep Do for You? 18Your Guide to Healthy SleepI wake up early to get ready for school. I am tired in the morning, and by the end of the school day, I am very tired again. An afterschool nap seems to refresh me and help me focus on homework. Without it, I am grumpy and stressed, can’t focus, and sometimes get headaches. D A P H N E “ ” 19 How Much Sleep Is Enough? Animal studies suggest that sleep is as vital as food for survival. Rats, for example, normally live 2–3 years, but they live only 5 weeks if they are deprived of REM sleep and only 2–3 weeks if they are deprived of all sleep stages—a timeframe similar to death due to starvation. But how much sleep do humans need? To help answer that question, scientists look at how much people sleep when unrestricted, the average amount of sleep among various age groups, and the amount of sleep that studies reveal is necessary to function at your best. When healthy adults are given unlimited opportunity to sleep, they sleep on average between 8 and 8.5 hours a night. But sleep needs vary from person to person. Some people appear to need only about 7 hours to avoid problem sleepiness, whereas others need 9 or more hours of sleep. Sleep needs also change throughout the life cycle. Newborns sleep between 16 and 18 hours a day, and children in preschool sleep between 11 and 12 hours a day. School-aged children and adolescents need at least 10 hours of sleep each night. The hormonal influences of puberty tend to shift adolescents’ biologi cal clocks. As a result, teenagers (who need between 9 and 10 hours of sleep a night) are more likely to go to bed later than younger children and adults, and they tend to want to sleep later in the morning. This delayed sleep–wake rhythm conflicts with the early- morning start times of many high schools and helps explain why most teenagers get an average of only 7–7.5 hours of sleep a night. As people get older, the pattern of sleep also changes—especially the amount of time spent in deep sleep. This explains why children can sleep through loud noises and why they might not wake up when moved. Across the lifespan, the sleep period tends to advance, namely relative to teenagers; older adults tend to go to bed earlier and wake earlier. The quality—but not necessarily the quantity—of How Much Sleep Is Enough? 20Your Guide to Healthy Sleep deep, non-REM sleep also changes, with a trend toward lighter sleep. The relative percentages of stages of sleep appear to stay mostly constant after infancy. From midlife through late life, people awaken more throughout the night. These sleep disruptions cause older people to lose more and more of stages 1 and 2 non-REM sleep as well as REM sleep. Some older people complain of difficulty falling asleep, early morning awakenings, frequent and long awakenings during the night, daytime sleepiness, and a lack of refreshing sleep. Many sleep problems, however, are not a natural part of sleep in the elderly. Their sleep complaints may be due, in part, to medical conditions, illnesses, or medications they are taking— all of which can disrupt sleep. In fact, one study found that the prevalence of sleep problems is very low in healthy older adults. Other causes of some of older adults’ sleep complaints are sleep apnea, restless legs syndrome, and other sleep disorders that become more common with age. Also, older people are more likely to have their sleep disrupted by the need to urinate during the night. Some evidence shows that the biological clock shifts in older people, so they are more apt to go to sleep earlier at night and wake up earlier in the morning. No evidence indicates that older people can get by with less sleep than younger people. (See “Top 10 Sleep Myths” on page 22.) Poor sleep in older people may result in excessive daytime sleepiness, attention and memory problems, depressed mood, and overuse of sleeping pills. Despite variations in sleep quantity and quality, both related to age and 21 between individuals, studies suggest that the optimal amount of sleep needed to perform adequately, avoid a sleep debt, and not have problem sleepiness during the day is about 7–8 hours for adults and at least 10 hours for school-aged children and adolescents. Similar amounts seem to be necessary to avoid an increased risk of develop ing obesity, diabetes, or cardiovascular diseases. Quality of sleep and the timing of sleep are as important as quantity. People whose sleep is frequently interrupted or cut short may not get enough of both non-REM sleep and REM sleep. Both types of sleep appear to be crucial for learning and memory—and perhaps for the restorative benefits of healthy sleep, including the growth and repair of cells. Many people try to make up for lost sleep during the week by sleeping more on the weekends. But if you have lost too much sleep, sleeping in on a weekend does not completely erase your sleep debt. Certainly, sleeping more at the end of a week won’t make up for any poor performance you had earlier in that week. Just one night of inadequate sleep can negatively affect your functioning and mood during at least the next day. Daytime naps are another strategy some people use to make up for lost sleep during the night. Some evidence shows that short naps (up to an hour) can make up, at least partially, for the sleep missed on the previous night and improve alertness, mood, and work performance. But naps don’t substitute for a good night’s sleep. One study found that a daytime nap after a lack of sleep at night did not fully restore levels of blood sugar to the pattern seen with adequate nighttime sleep. If a nap lasts longer than 20 minutes, you may have a hard time waking up fully. In addition, late afternoon naps can make falling asleep at night more difficult. How Much Sleep Is Enough? 22Your Guide to Healthy Sleep Top 10 Sleep Myths Myth 1: Sleep is a time when your body and brain shut down for rest and relaxation. No evidence shows that any major organ (including the brain) or regulatory system in the body shuts down during sleep. Some physiological processes actually become more active while you sleep. For example, secretion of certain hormones is boosted, and activity of the pathways in the brain linked to learning and memory increases. Myth 2: Getting just 1 hour less sleep per night than needed will not have any effect on your daytime functioning. This lack of sleep may not make you noticeably sleepy during the day. But even slightly less sleep can affect your ability to think properly and respond quickly, and it can impair your cardiovascular health and energy balance as well as your body’s ability to fight infections, particularly if lack of sleep continues. If you consistently do not get enough sleep, a sleep debt builds up that you can never repay. This sleep debt affects your health and quality of life and makes you feel tired during the day. Myth 3: Your body adjusts quickly to different sleep schedules. Your biological clock makes you most alert during the daytime and least alert at night. Thus, even if you work the night shift, you will naturally feel sleepy when nighttime comes. Most people can reset their biological clock, but only by appropriately timed cues—and even then, by 1–2 hours per day at best. Consequently, it can take more than a week to adjust to a substantial change in your sleep–wake cycle—for example, when traveling across several time zones or switching from working the day shift to the night shift. Myth 4: People need less sleep as they get older. Older people don’t need less sleep, but they may get less sleep or find their sleep less refreshing. That’s because as people age, the quality of their sleep changes. Older people are also more likely to have insomnia or other medical conditions that disrupt their sleep. 23 Myth 5: Extra sleep for one night can cure you of problems with excessive daytime fatigue. Not only is the quantity of sleep important, but also the quality of sleep. Some people sleep 8 or 9 hours a night but don’t feel well rested when they wake up because the quality of their sleep is poor. A number of sleep disorders and other medical conditions affect the quality of sleep. Sleeping more won’t lessen the daytime sleepiness these disorders or conditions cause. However, many of these disorders or conditions can be treated effectively with changes in behavior or with medical therapies. Additionally, one night of increased sleep may not correct multiple nights of inadequate sleep. Myth 6: You can make up for lost sleep during the week by sleeping more on the weekends. Although this sleeping pattern will help you feel more rested, it will not completely make up for the lack of sleep or correct your sleep debt. This pattern also will not necessarily make up for impaired performance during the week or the physical problems that can result from not sleeping enough. Furthermore, sleeping later on the weekends can affect your biological clock, making it much harder to go to sleep at the right time on Sunday nights and get up early on Monday mornings. Myth 7: Naps are a waste of time. Although naps are no substitute for a good night’s sleep, they can be restorative and help counter some of the effects of not getting enough sleep at night. Naps can actually help you learn how to do certain tasks quicker. But avoid taking naps later than 3 p.m., particularly if you have trouble falling asleep at night, as late naps can make it harder for you to fall asleep when you go to bed. Also, limit your naps to no longer than 20 minutes, because longer naps will make it harder to wake up and How Much Sleep Is Enough? 24Your Guide to Healthy Sleep Top 10 Sleep Myths (continued) get back in the swing of things. If you take more than one or two planned or unplanned naps during the day, you may have a sleep disorder that should be treated. Myth 8: Snoring is a normal part of sleep. Snoring during sleep is common, particularly as a person gets older. Evidence is growing that snoring on a regular basis can make you sleepy during the day and increase your risk for diabetes and heart disease. In addition, some studies link frequent snoring to problem behavior and poorer school achievement in children. Loud, frequent snoring also can be a sign of sleep apnea, a serious sleep disorder that should be evaluated and treated. (See “Is Snoring a Problem?” on page 30.) Myth 9: Children who don’t get enough sleep at night will show signs of sleepiness during the day. Unlike adults, children who don’t get enough sleep at night typically become hyperactive, irritable, and inattentive during the day. They also have increased risk of injury and more behavior problems, and their growth rate may be impaired. Sleep debt appears to be quite common during childhood and may be misdiagnosed as attention-deficit hyperactivity disorder. Myth 10: The main cause of insomnia is worry. Although worry or stress can cause a short bout of insomnia, a persistent inability to fall asleep or stay asleep at night can be caused by a number of other factors. Certain medications and sleep disorders can keep you up at night. Other common causes of insomnia are depression, anxiety disorders, and asthma, arthritis, or other medical conditions with symptoms that tend to be troublesome at night. Some people who have chronic insomnia also appear to be more “revved up” than normal, so it is harder for them to fall asleep. Sleep Myths 25When medicines didn’t work for me, I started making big lifestyle changes. Now I try to eat a balanced diet and walk for at least an hour each day. Without doubt, my weight loss and more active lifestyle help me sleep better. What Disrupts Sleep? Many factors can prevent a good night’s sleep. These factors range from well-known stimulants, such as coffee, to certain pain relievers, decongestants, and other culprits. Many people depend on the caffeine in coffee, cola, or tea to wake them up in the morning or to keep them awake. Caffeine is thought to block the cell receptors that adenosine (a substance in the brain) uses to trigger its sleep- inducing signals. In this way, caffeine fools the body into thinking it isn’t tired. It can take as long as 6–8 hours for the effects of caffeine to wear off completely. Thus, drinking a cup of coffee in the late afternoon may prevent your falling asleep at night. Nicotine is another stimulant that can keep you awake. Nicotine also leads to lighter than normal sleep, and heavy smokers tend to wake up too early because of nicotine withdrawal. Although alcohol is a sedative that makes it easier to fall asleep, it prevents deep sleep and REM sleep, allowing only the lighter stages of sleep. People who drink alcohol also tend to wake up in the middle of the night when the effects of an alcoholic “nightcap” wear off. Certain commonly used prescrip tion and over-the-counter medi cines contain ingredients that can keep you awake. These ingredients include decongestants and steroids. Many medicines taken to relieve headaches contain caffeine. Heart and blood pressure medications known as beta blockers can make it difficult to fall asleep and cause more awakenings during the night. People who have chronic asthma or bronchitis also have more problems falling asleep and staying asleep than healthy people, either because of their breathing difficul ties or because of the medicines What Disrupts Sleep? S Z E - P I N G “ ” 26Your Guide to Healthy Sleep they take. Other chronic painful or uncomfortable conditions— such as arthritis, congestive heart failure, and sickle cell anemia— can disrupt sleep, too. A number of psychological disorders—including schizophrenia, bipolar disorder, and anxiety disorders—are well known for disrupt ing sleep. Depression often leads to insomnia, and insomnia can cause depression. Some of these psychological disorders are more likely to disrupt REM sleep. Psychological stress also takes its toll on sleep, making it more difficult to fall asleep or stay asleep. People who feel stressed also tend to spend less time in deep sleep and REM sleep. Many people report having difficulties sleeping if, for example, they have recently lost a loved one, are going through a divorce, or are under stress at work. Menstrual cycle hormones can affect how well women sleep. Pro gesterone is known to induce sleep and circulates in greater concen trations in the second half of the menstrual cycle. For this reason, women may sleep better during this phase of their menstrual cycle. On the other hand, many women report trouble sleeping the night before their menstrual flow starts. This sleep disruption may be related to the abrupt drop in progesterone levels that occurs just before menstruation. Women in their late forties and early fifties, however, report more difficulties sleeping (insomnia) than younger women. These difficulties may be linked to menopause, when they have lower concentrations of progesterone. Hot flashes in women of this age also may cause sleep disruption and difficulties. Certain lifestyle factors also may deprive a person of needed sleep. Large meals or vigorous exercise just before bedtime can make it harder to fall asleep. While vigorous exercise in the evening may delay sleep onset for various reasons, exercise in the daytime is associated with improved nighttime sleep. If you aren’t getting enough sleep or aren’t falling asleep early enough, you may be overscheduling activi ties that can pre vent you from getting the 27 quiet relaxation time you need to prepare for sleep. Most people report that it’s easier to fall asleep if they have time to wind down into a less active state before sleeping. Relaxing in a hot bath or having a hot, caffeine-free beverage before bedtime may help. In addition, your body temperature drops after a hot bath in a way that mimics, in part, what happens as you fall asleep. Probably for both these reasons, many people report that they fall asleep more easily after a hot bath. Your sleeping environment also can affect your sleep. Clear your bedroom of any potential sleep distractions, such as noises, bright lights, a TV, a cell phone, or computer. Having a comfortable mattress and pillow can help promote a good night’s sleep. You also sleep better if the temperature in your bedroom is kept on the cool side. For more ideas on improving your sleep, check out the tips for getting a good night’s sleep below. Tips for Getting a Good Night’s Sleep l l l Stick to a sleep schedule. Go to bed and wake up at the same time each day. As creatures of habit, people have a hard time adjusting to changes in sleep patterns. Sleeping later on weekends won’t fully make up for a lack of sleep during the week and will make it harder to wake up early on Monday morning. Exercise is great, but not too late in the day. Try to exercise at least 30 minutes on most days but not later than 2–3 hours before your bedtime. Avoid caffeine and nicotine. Coffee, colas, certain teas, and chocolate contain the stimulant caffeine, and its effects can take as long as 8 hours to wear off fully. Therefore, a cup of coffee in the late afternoon can make it hard for you to fall asleep at night. Nicotine is also a stimulant, often causing smokers to sleep only very lightly. In addition, smokers often wake up too early in the morning because of nicotine withdrawal. What Disrupts Sleep? 28Your Guide to Healthy Sleep Tips for Getting a Good Night’s Sleep (continued) l l l l l l l Avoid alcoholic drinks before bed. Having a “nightcap” or alcoholic beverage before sleep may help you relax, but heavy use robs you of deep sleep and REM sleep, keeping you in the lighter stages of sleep. Heavy alcohol ingestion also may contribute to impairment in breathing at night. You also tend to wake up in the middle of the night when the effects of the alcohol have worn off. Avoid large meals and beverages late at night. A light snack is okay, but a large meal can cause indigestion that interferes with sleep. Drinking too many fluids at night can cause frequent awakenings to urinate. If possible, avoid medicines that delay or disrupt your sleep. Some commonly prescribed heart, blood pressure, or asthma medications, as well as some over-the-counter and herbal remedies for coughs, colds, or allergies, can disrupt sleep patterns. If you have trouble sleeping, talk to your doctor or pharmacist to see whether any drugs you’re taking might be contributing to your insomnia and ask whether they can be taken at other times during the day or early in the evening. Don’t take naps after 3 p.m. Naps can help make up for lost sleep, but late afternoon naps can make it harder to fall asleep at night. Relax before bed. Don’t overschedule your day so that no time is left for unwinding. A relaxing activity, such as reading or listening to music, should be part of your bedtime ritual. Take a hot bath before bed. The drop in body temperature after getting out of the bath may help you feel sleepy, and the bath can help you relax and slow down so you’re more ready to sleep. Have a good sleeping environment. Get rid of anything in your bedroom that might distract you from sleep, such as noises, bright lights, an uncomfortable bed, or warm temperatures. You sleep better if the temperature in the room 29 is kept on the cool side. A TV, cell phone, or computer in the bedroom can be a distraction and deprive you of needed sleep. Having a comfortable mattress and pillow can help promote a good night’s sleep. Individuals who have insomnia often watch the clock. Turn the clock’s face out of view so you don’t worry about the time while trying to fall asleep. l l l Have the right sunlight exposure. Daylight is key to regulating daily sleep patterns. Try to get outside in natural sunlight for at least 30 minutes each day. If possible, wake up with the sun or use very bright lights in the morning. Sleep experts recommend that, if you have problems falling asleep, you should get an hour of exposure to morning sunlight and turn down the lights before bedtime. Don’t lie in bed awake. If you find yourself still awake after staying in bed for more than 20 minutes or if you are starting to feel anxious or worried, get up and do some relaxing activity until you feel sleepy. The anxiety of not being able to sleep can make it harder to fall asleep. See a doctor if you continue to have trouble sleeping. If you consistently find it difficult to fall or stay asleep and/ or feel tired or not well rested during the day despite spending enough time in bed at night, you may have a sleep disorder. Your family doctor or a sleep specialist should be able to help you, and it is important to rule out other health or psychiatric problems that may be disturbing your sleep. What Disrupts Sleep? 30My wife noticed that I snored loudly and sometimes stopped breathing in the middle of the night. She was the one who finally pushed me to see a doctor. Is Snoring a Problem? Long the material for jokes, snoring is generally accepted as com mon and annoying in adults but as nothing to worry about. How ever, snoring is no laughing matter. Frequent, loud snoring is often a sign of sleep apnea and may increase your risk of developing cardio vascular disease and diabetes. Snoring also may lead to daytime sleepiness and impaired performance. Snoring is caused by a narrowing or partial blockage of the airways at the back of your mouth, throat, or nose. This obstruction results in increased air turbulence when breathing in, causing the soft tissues in your upper airways to vibrate. The end result is a noisy snore that can disrupt the sleep of your bed partner. This narrowing of the airways is typically caused by the soft palate, tongue, and throat relaxing while you sleep, but allergies or sinus problems also can contribute to a narrowing of the airways, as can being over weight and having extra soft tissue around your upper airways. The larger the tissues in your soft palate (the roof of your mouth in the back of your throat), the more likely you are to snore while sleeping. Alcohol or sedatives taken shortly before sleep also promote snoring. These drugs cause greater relaxation of the tissues Your Guide to Healthy Sleep in your throat and mouth. Surveys reveal that about one-half of all adults snore, and 50 percent of these adults do so loudly and frequently. African Americans, Asians, and Hispanics are more likely to snore loudly and frequent ly compared with Caucasians, and snoring problems increase with age. Not everyone who snores has sleep apnea, but people who have sleep apnea typically do snore loudly and frequently. Sleep apnea is a J I M “ ” 31 serious sleep disorder, and its hallmark is loud, frequent snoring with pauses in breathing or shallow breaths while sleeping. (See “Sleep Apnea” on page 38.) Even if you don’t experience these breathing pauses, snoring can still be a problem for you as well as for your bed partner. Snoring adds extra effort to your breathing, which can reduce the quality of your sleep and lead to many of the same health consequences as sleep apnea. One study found that older adults who did not have sleep apnea, but who snored 6–7 nights a week, were more than twice as likely to report being extremely sleepy during the day than those who never snored. The more people snored, the more daytime fatigue they reported. That sleepiness may help explain why snorers are more likely to be in car crashes than people who don’t snore. Loud snoring also can disrupt the sleep of bed partners and strain marital relations, especially if snoring causes the spouses to sleep in separate bedrooms. In addition, snoring increases the risk of developing diabetes and heart disease. One study found that women who snored regularly were twice as likely as those who did not snore to develop diabetes, even if they were not overweight (another risk factor for diabetes). Other studies suggest that regular snoring may raise the lifetime risk of developing high blood pressure, heart failure, and stroke. About one-third of all pregnant women begin snoring for the first time during their second trimester. If you are snoring while preg nant, let your doctor know. Snoring in pregnancy can be associated with high blood pressure and can have a negative effect on your baby’s growth and development. Your doctor will keep a close eye on your blood pressure throughout your pregnancy and can let you know if any additional evaluations for the snoring might be useful. In most cases, the snoring and any related high blood pressure will go away shortly after delivery. Snoring also can be a problem in children. As many as 10–15 per cent of young children, who typically have enlarged adenoids and tonsils (both tissues in the throat), snore on a regular basis. Several studies show that children who snore (with or without sleep apnea) are more likely than those who do not snore to score lower on tests that measure intelligence, memory, and attention span. These children also have more problematic behavior, including hyperactiv ity. The end result is that children who snore don’t perform in Is Snoring a Problem? 32Your Guide to Healthy Sleep school as well as those who do not snore. Strikingly, snoring was linked to a greater drop in IQ than that seen in children who had elevated levels of lead in their blood. Although the behavior of children improves after they stop snoring, studies suggest they may continue to get poorer grades in school, perhaps because of lasting effects on the brain linked to the snoring. You should have your child evaluated by your doctor if the child snores loudly and frequently—three to four times a week—especially if you note brief pauses in breathing while asleep and if there are signs of hyperactiv ity or daytime sleepiness, inadequate school achievement, or slower than expected development. Surgery to remove the adenoids and tonsils of children often can cure their snoring and any associated sleep apnea. Such surgery has been linked to a reduction in hyperactivity and improved ability to pay attention, even in children who showed no signs of sleep apnea before surgery. Snoring in older children and adults may be relieved by less invasive measures, however. These measures include losing weight, refraining from use of tobacco, sleeping on the side rather than on the back, or elevating the head while sleeping. Treating chronic congestion and refraining from alcohol or sedatives before sleeping also may de crease snoring. In some adults, snoring can be relieved by dental appliances that reposition the soft tissues in the mouth. Although numerous over-the-counter nasal strips and sprays claim to relieve snoring, no scientific evidence supports those claims. 33 Common Sleep Disorders A number of sleep disorders can disrupt your sleep quality and make you overly sleepy during the day, even if you spent enough time in bed to be well rested. (See “Common Signs of a Sleep Disorder” on page 34.) Common Sleep Disorders More than 70 sleep disorders affect at least 40 million Americans and account for an estimated $16 billion in medical costs each year, not counting costs due to lost work time, car accidents, and other factors. The four most common sleep disorders are insomnia, sleep apnea, restless legs syndrome, and narcolepsy. Additional sleep problems include chronic insufficient sleep, circadian rhythm abnormalities, and “parasomnias” such as sleep walking, sleep paralysis, and night terrors. L A U R E N “My restless legs syndrome made me lose sleep and affected my quality of life. But I’m in a good place right now. I’m taking the right medicine for me, and I’ve adopted a healthy, active lifestyle. I am very passionate about taking control of my health. ” 34Your Guide to Healthy Sleep l l l l l l l l l l l l Common Signs of a Sleep disorder Look over this list of common signs of a sleep disorder, and talk to your doctor if you have any of them on three or more nights a week: It takes you more than 30 minutes to fall asleep at night. You awaken frequently in the night and then have trouble falling back to sleep again. You awaken too early in the morning. You often don’t feel well rested despite spending 7–8 hours or more asleep at night. You feel sleepy during the day and fall asleep within 5 minutes if you have an opportunity to nap, or you fall asleep unexpectedly or at inappropriate times during the day. Your bed partner claims you snore loudly, snort, gasp, or make choking sounds while you sleep, or your partner notices that your breathing stops for short periods. You have creeping, tingling, or crawling feelings in your legs that are relieved by moving or massaging them, especially in the evening and when you try to fall asleep. You have vivid, dreamlike experiences while falling asleep or dozing. You have episodes of sudden muscle weakness when you are angry or fearful, or when you laugh. You feel as though you cannot move when you first wake up. Your bed partner notes that your legs or arms jerk often during sleep. You regularly need to use stimulants to stay awake during the day. Also keep in mind that, although children can show some of these signs of a sleep disorder, they often do not show signs of excessive daytime sleepiness. Instead, they may seem overactive and have difficulty focusing and concentrating. They also may not do their best in school. 35 n n Insomnia Insomnia is defined as having trouble falling asleep or staying asleep, or as having unrefreshing sleep despite having ample opportunity to sleep. Life is filled with events that occasionally cause insomnia for a short time. Such temporary insomnia is common and is often brought on by situations such as stress at work, family pressures, or a traumatic event. A National Sleep Foundation poll of adults in the United States found that close to half of the respondents reported temporary insomnia in the nights immediately after the terrorist attacks on September 11, 2001. Chronic insomnia is defined as having symptoms at least 3 nights per week for more than 1 month. Most cases of chronic insomnia are secondary, which means they are due to another disorder or medications. Primary chronic insomnia is a distinct sleep disorder; its cause is not yet well understood. About 30–40 percent of adults say they have some symptoms of insomnia within any given year, and about 10–15 percent of adults say they have chronic insomnia. Chronic insomnia becomes more common with age, and women are more likely than men to report having insomnia. Insomnia often causes problems during the day, such as extreme sleepiness, fatigue, a lack of energy, difficulty concentrating, depressed mood, and irritability. Thus, untreated insomnia can impair quality of life as much as, or more than, other chronic medical problems. Chronic insomnia is often caused by one or more of the following: A disease or mood disorder. The most common causes of insomnia are depression and/or anxiety disorders. Neuro logical disorders, such as Alzheimer’s or Parkinson’s disease, also can have insomnia as a symptom. Chronic insomnia can result from thyroid dysfunction, arthritis, asthma, or other medical conditions in which symptoms become more trouble some at night, making it difficult to fall asleep or stay asleep. Various prescribed and over-the-counter medications that can disrupt sleep, such as decongestants, certain pain relievers, and steroids. Common Sleep Disorders 36Your Guide to Healthy Sleep n n Sleep-disrupting behavior such as drinking alcohol, exercising shortly before bedtime, ingesting caffeine late in the day, watching TV or reading while in bed, or irregular sleep schedules due to shift work or other causes. Another sleep disorder, such as sleep apnea or restless legs syndrome. Some people, however, have primary chronic insomnia. This condi tion is linked to a tendency to be more “revved up” than normal (hyperarousal). People who have primary chronic insomnia may have heightened levels of certain hormones, higher body tempera tures, faster heart rates, and a different pattern of brain waves while they sleep. Doctors diagnose insomnia based mainly on sleep history, often by reviewing a sleep diary. An overnight sleep recording may be required if another sleep disorder is suspected. Doctors also will try to diagnose and treat any other underlying medical or psychological problems as well as identify behaviors that might be causing the insomnia. Often, people who have insomnia enter into a vicious cycle—because they’ve had trouble sleeping on previous nights, they become anxious at the slightest sign that they may not be falling asleep right away. That anxiety can make it more difficult for them to fall asleep. The more time they spend in bed not sleeping, and watching the clock, the more their anxiety—and sleeplessness—increases. To break that cycle of anxiety and negative conditioning, experts recommend going to bed only when you’re sleepy. If you can’t fall asleep (or fall back to sleep) within 20 minutes, get out of bed, go into another room, and do a relaxing activity (such as reading) until you feel sleepy again. Then return to bed. Studies have shown that this reconditioning therapy is an effective way to treat insomnia. Relaxation therapy is another strategy that works for some people who have insomnia. Relaxation therapy may include meditation and other mental relaxation techniques. It also may include physical relaxation techniques, such as progressively tensing and then relax ing each of the muscle groups in your body before sleep. Another method is to focus on breathing deeply. Relaxation therapy can help your body and mind slow down so that you can fall asleep more easily at bedtime. 37 Sleep restriction therapy also works for some people who have insomnia. Calculate your average sleep time over the course of a week, and then limit your nightly sleep time to that average. Gradu ally add more sleep time each night until you achieve a more normal night’s sleep. You should avoid daytime naps longer than 15–20 min utes during sleep restriction therapy. Napping can make it harder to fall asleep at night, which may prolong insomnia. In addition, during sleep restriction therapy, avoid driving a car or operating dangerous machinery until you are getting enough sleep at night. All of these behavioral changes are part of a treatment called cognitive behavioral therapy. Cognitive behavioral therapy also can be used to replace negative thoughts about sleep, such as “I’ll never fall asleep without sleeping pills,” with more realistic positive thinking. Cognitive behavioral therapy is effective in most people who have chronic insomnia. Some people who have chronic insomnia that is not corrected by behavioral therapy or treatment of an underlying condition may need a prescription medication. You should talk to a doctor before trying to treat insomnia with alcohol, over-the-counter or prescribed short-acting sedatives, or sedating antihistamines that induce drowsiness. The benefits of these treatments are limited, and they have risks. Some may help you fall asleep but leave you feeling unrefreshed in the morning. Others have longer lasting effects and leave you feeling still tired and groggy in the morning. Some also may lose their effectiveness over time. Doctors may prescribe sedating antidepressants for insomnia, but the effectiveness of these medicines in people who do not have depression is not known, and there are significant side effects. Common Sleep Disorders 38Your Guide to Healthy Sleep To treat their insomnia, some people pursue “natural” remedies, such as melatonin supplements or valerian teas or extracts. These remedies are available over the counter. Little evidence exists that melatonin can help relieve insomnia. Studies with valerian also have been inconclusive, and the actual dose and purity of various supplements, extracts, or teas that contain valerian may vary from product to product. In addition, because melatonin, valerian, and other natural remedies are not regulated by the Food and Drug Administration, their safety is not monitored. Sleep Apnea In people who have sleep apnea (also referred to as sleep-disordered breathing), breathing briefly stops or becomes very shallow during sleep. This change is caused by intermittent blocking of the upper airway, usually when the soft tissue in the rear of the throat collapses and partially or completely closes the airway. Each pause in breathing typically lasts 10–120 seconds and may occur 20–30 times or more each sleeping hour. If you have sleep apnea, not enough air can flow into your lungs through your mouth and nose during sleep, even though breathing efforts continue. When this happens, the amount of oxygen in your blood decreases. Your brain responds by awakening you enough to tighten the upper airway muscles and open your windpipe. Normal breaths then start again, often with a loud snort or choking sound. Although people who have sleep apnea typically snore loudly and frequently, not everyone who snores has sleep apnea. (See “Is Snoring a Problem?” on page 30.) Because people who have sleep apnea frequently go from deeper sleep to lighter sleep during the night, they rarely spend enough time in deep, restorative stages of sleep. They are therefore often exces sively sleepy during the day. Such sleepiness is thought to lead to mood and behavior problems, including depression, and it more than triples the risk of being in a traffic or work-related accident. The many brief drops in blood-oxygen levels that occur during the night can result in morning headaches and trouble concentrating, thinking clearly, learning, and remembering. Additionally, the intermittent oxygen drops and reduced sleep quality together trigger the release of stress hormones. These hormones raise your blood pressure and heart rate and boost the risk of heart attack, stroke, irregular heartbeats, and congestive heart failure. In addition, 39 Common Sleep DisordersI realize now that my sleep apnea affected my quality of life. I felt tired all the time—so tired that I couldn’t exercise or spend time with my kids. I had other sleep apnea symptoms that affected my work—headaches, confusion, making errors, etc. “Looking back, I know that I should have taken it more seriously and told my doctor about my symptoms many years before I did. “One thing that helps me is physical activity. Now that I am feeling better, I come home from work with enough energy to have an exercise routine. J I M “ ” 40Your Guide to Healthy Sleep untreated sleep apnea can lead to changes in energy metabolism (the way your body changes food and oxygen into energy) that increase the risk for developing obesity and diabetes. Anyone can have sleep apnea. It is estimated that at least 12–18 million American adults have sleep apnea, making it as common as asthma. More than one-half of the people who have sleep apnea are overweight. Sleep apnea is more common in men. More than 1 in 25 middle-aged men and 1 in 50 middle-aged women have sleep apnea along with extreme daytime sleepiness. About 3 percent of children and 10 percent or more of people over age 65 have sleep apnea. This condition occurs more frequently in African Americans, Asians, Native Americans, and Hispanics than in Caucasians. More than one-half of all people who have sleep apnea are not diagnosed. People who have sleep apnea generally are not aware that their breathing stops in the night. They just notice that they don’t feel well rested when they wake up and are sleepy throughout the day. Their bed partners are likely to notice, however, that they snore loudly and frequently and that they often stop breathing briefly while sleeping. Doctors suspect sleep apnea if these symptoms are present, but the diagnosis must be confirmed with overnight sleep monitoring. (See “How Are Sleep Disorders Diagnosed?” on page 44.) This monitoring will reveal pauses in breathing, frequent sleep arousals (changes from sleep to wakefulness), and intermittent drops in levels of oxygen in the blood. 41 n n n n Like adults who have sleep apnea, children who have this disorder usually snore loudly, snort or gasp, and have brief pauses in breath ing while sleeping. Small children often have enlarged tonsils and adenoids that increase their risk for sleep apnea. But doctors may not suspect sleep apnea in children because, instead of showing the typical signs of sleepiness during the day, these children often become agitated and may be considered hyperactive. The effects of sleep apnea in children may include poor school performance and difficult, aggressive behavior. A number of factors can make a person susceptible to sleep apnea. These factors include: n n n n n n Throat muscles and tongue that relax more than normal while asleep Enlarged tonsils and adenoids Being overweight—the excess fat tissue around your neck makes it harder to keep the throat area open Head and neck shape that creates a somewhat smaller airway size in the mouth and throat area Congestion, due to allergies, that also can narrow the airway Family history of sleep apnea If your doctor suspects that you have sleep apnea, you may be referred to a sleep specialist. Some of the ways to help diagnose sleep apnea include: A medical history that includes asking you and your family questions about how you sleep and how you function during the day. Checking your mouth, nose, and throat for extra or large tissues—for example, checking the tonsils, uvula (the tissue that hangs from the middle of the back of the mouth), and soft palate (the roof of your mouth in the back of your throat). An overnight recording of what happens with your breathing during sleep (polysomnogram, or PSG). A multiple sleep latency test (MSLT), usually done in a sleep center, to see how quickly you fall asleep at times when you would normally be awake. (Falling asleep in only a few minutes usually means that you are very sleepy during the day. Being very sleepy during the day can be a sign of sleep apnea.) Common Sleep Disorders 42Your Guide to Healthy Sleep n n n Once all the tests are completed, the sleep specialist will review the results and work with you and your family to develop a treatment plan. Changes in daily activities or habits may help reduce your symptoms: Sleep on your side instead of on your back. Sleeping on your side will help reduce the amount of upper airway collapse during sleep. Avoid alcohol, smoking, sleeping pills, herbal supplements, and any other medications that make you sleepy. They make it harder for your airways to stay open while you sleep, and sedatives can make the breathing pauses longer and more severe. Tobacco smoke irritates the airways and can help trigger the intermittent collapse of the upper airway. Lose weight if you are overweight. Even a little weight loss can sometimes improve symptoms. These changes may be all that are needed to treat mild sleep apnea. However, if you have moderate or severe sleep apnea, you will need additional, more direct treatment approaches. Continuous positive airway pressure (CPAP) is the most effective treatment for sleep apnea in adults. A CPAP machine uses mild air pressure to keep your airways open while you sleep. The machine delivers air to your airways through a specially designed nasal mask. The mask does not breathe for you; the flow of air creates increased pressure to keep the airways in your nose and mouth more open while you sleep. The air pressure is adjusted so that it is just enough to stop your airways from briefly becoming too small during sleep. The pressure is constant and continuous. Sleep apnea will return if CPAP is stopped or if it is used incorrectly. People who have severe sleep apnea symptoms generally feel much better once they begin treatment with CPAP. CPAP treatment can cause side effects in some people. Possible side effects include dry or stuffy nose, irritation of the skin on the face, bloating of the stom ach, sore eyes, or headaches. If you have trouble with CPAP side effects, work with your sleep specialist and support staff. Together, you can do things to reduce or eliminate these problems. Currently, no medications cure sleep apnea. However, some prescription medications may help relieve the excessive sleepiness that sometimes persists even with CPAP treatment of sleep apnea. 43My doctor prescribed CPAP (continuous positive airway pressure) for me, but it was not easy to use at first. Sleeping with a CPAP machine was uncomfortable for me, so I didn’t use it like I should have—rarely, if at all. One day at work, I started feeling really bad, so I went to the hospital. The doctors told me that since I had not been using CPAP regularly, not enough oxygen was going to my brain, which caused symptoms like those for a stroke. So, I went back to my doctor and got a different CPAP machine that was more comfortable for me. “It’s important to talk with your health care provider to make sure that your treatment is comfortable and works for you. J I M “ ” Another treatment approach that may help some people is the use of a mouthpiece (oral or dental appliance). If you have mild sleep apnea or do not have sleep apnea but snore very loudly, your doctor or dentist also may recommend this. A custom-fitted plastic mouth piece will be made by a dentist or an orthodontist (a specialist in correcting teeth or jaw problems). The mouthpiece will adjust your lower jaw and tongue to help keep the airway in your throat more open while you are sleeping. Air can then flow more easily into your lungs because there is less resistance to breathing. Following up with the dentist or orthodontist is important to correct any side effects and to be sure that your mouthpiece continues to fit properly. It is also important to have a followup sleep study to see whether your sleep apnea has improved. Some people who have sleep apnea may benefit from surgery; this depends on the findings of the evaluation by the sleep specialist. Removing tonsils and adenoids that are blocking the airway is done frequently, especially in children. Uvulopalatopharyngoplasty (UPPP) is a surgery for adults that removes the tonsils, uvula, and part of the soft palate. Tracheostomy is a surgery used rarely and only in severe sleep apnea when no other treatments have been successful. A small hole is made in the windpipe, and a tube is inserted. Air will flow through the tube and into the lungs, bypass ing the obstruction in the upper airway. Common Sleep Disorders 44Your Guide to Healthy Sleep l l l How Are Sleep disorders diagnosed? Depending on your symptoms, your doctor will gather informa tion and consider several possible tests when trying to diagnose a sleep disorder: Sleep history and sleep log. Your doctor will ask you how many hours you sleep each night, how often you awaken during the night and for how long, how long it takes you to fall asleep, how well rested you feel upon awakening, and how sleepy you feel during the day. Your doctor may ask you to keep a sleep diary for a few weeks. (See “Sample Sleep Diary” on page 54.) Your doctor also may ask you whether you have any symptoms of sleep apnea or restless legs syndrome, such as loud snoring, snorting or gasping, morning headaches, tingling or unpleasant sensations in the limbs that are relieved by moving them, and jerking of the limbs during sleep. Your sleeping partner may be asked whether you have some of these symptoms, as you may not be aware of them yourself. Sleep recording in a sleep laboratory (polysomnogram). A sleep recording or polysomnogram (PSG) is usually done while you stay overnight at a sleep center or sleep laboratory. Electrodes and other monitors are placed on your scalp, face, chest, limbs, and finger. While you sleep, these devices measure your brain activity, eye movements, muscle activity, heart rate and rhythm, blood pressure, and how much air moves in and out of your lungs. This test also checks the amount of oxygen in your blood. A PSG test is painless. In certain circumstances, the PSG can be done at home. A home monitor can be used to record heart rate, how air moves in and out of your lungs, the amount of oxygen in your blood, and your breathing effort. Multiple sleep latency test (MSLT). This daytime sleep study measures how sleepy you are and is particularly useful for diagnosing narcolepsy. The MSLT is conducted in a sleep 45 laboratory and typically done after an overnight sleep recording (PSG). In this test, monitoring devices for sleep stage are placed on your scalp and face. You are asked to nap four or five times for 20 minutes every 2 hours during the day. Technicians note how quickly you fall asleep and how long it takes you to reach various stages of sleep, especially REM sleep, during your naps. Normal individuals either do not fall asleep during these short designated naptimes or take a long time to fall asleep. People who fall asleep in less than 5 minutes are likely to require treatment for a sleep disorder, as are those who quickly reach REM sleep during their naps. It is important to have a sleep specialist interpret the results of your PSG or MSLT. See “How To Find a Sleep Center and Sleep Specialist” on page 56. Common Sleep Disorders 46Your Guide to Healthy SleepI started to get weird feelings in my legs at night while I slept. To feel better, I would get up and move around and stretch. Then the weird feelings began to happen more often and made me lose sleep. I started to think that something was wrong. I decided to go to the doctor and was diagnosed with restless legs syndrome (RLS). “Because RLS symptoms can change, I’m always trying to find the right mix of diet, medication, and exercise. Exercise and massage help me manage my RLS. Yoga helps a lot too, because of all the stretching involved. L A U R E N “ ” 47 Restless Legs Syndrome Restless legs syndrome (RLS) causes an unpleasant prickling or tingling in the legs, especially in the calves, that is relieved by mov ing or massaging them. People who have RLS feel a need to stretch or move their legs to get rid of the uncomfortable or painful feelings. As a result, it may be difficult to fall asleep and stay asleep. One or both legs may be affected. Some people also feel the sensations in their arms. These sensations also can occur when lying down or sitting for long periods of time, such as while at a desk, riding in a car, or watching a movie. Many people who have RLS also have brief limb movements during sleep, often with abrupt onset, occurring every 5–90 seconds. This condition, known as periodic limb movements in sleep (PLMS), can repeatedly awaken people who have RLS, reducing their total sleep time and interrupting their sleep. Some people have PLMS but have no abnormal sensations in their legs while awake. RLS affects 5–15 percent of Americans, and its prevalence increases with age. RLS occurs more often in women than men. One study found that RLS accounted for one-third of the insomnia seen in patients older than age 60. Children also can have RLS. In children, the condition may be associated with symptoms of attention-deficit hyperactivity disorder. However, it’s not fully known how the disorders are related. Sometimes “growing pains” can be mistaken for RLS. RLS is often inherited. Pregnancy, kidney failure, and anemia related to iron or vitamin deficiency can trigger or worsen RLS symptoms. Researchers suspect that these conditions cause an iron deficiency that results in a lack of dopamine, which is used by the brain to control physical sensation and limb movements. Doctors usually can diagnose RLS by patients’ symptoms and a telltale worsening of symptoms at night or while at rest. Some doctors may order a blood test to check ferretin levels (ferretin is a form of iron). Doctors also may ask people who have RLS to spend a night in a sleep laboratory, where they are monitored to rule out other sleep disorders and to document the excessive limb movements. RLS is treatable but not always curable. Dramatic improvements are seen quickly when patients are given dopamine-like drugs or iron supplements. Alternatively, people who have milder cases may be treated successfully with sedatives or behavioral strategies. These Common Sleep Disorders 48Your Guide to Healthy Sleep n strategies include stretching, taking a hot bath, or massaging the legs before bedtime. Avoiding caffeinated beverages also can help reduce symptoms, and certain medications (e.g., some antidepressants, particularly selective serotonin reuptake inhibitors) may cause RLS. If iron or vitamin deficiency underlies RLS, symptoms may improve with prescribed iron, vitamin B12, or folate supplements. Some people may require anticonvulsant medications to control the creeping and crawling sensations in their limbs. Others who have severe symptoms that are associated with another medical disorder or that do not respond to normal treatments may need to be treated with pain relievers. Narcolepsy Narcolepsy’s main symptom is extreme and overwhelming daytime sleepiness, even after adequate nighttime sleep. In addition, nighttime sleep may be fragmented by frequent awakenings. People who have narcolepsy often fall asleep at inappropriate times and places. Although TV sitcoms occasionally feature these individuals to generate a few laughs, narcolepsy is no laughing matter. People who have narcolepsy experience daytime “sleep attacks” that last from seconds to more than one-half hour, can occur without warning, and may cause injury. These embarrassing sleep spells also can make it difficult to work and to maintain normal personal or social relationships. With narcolepsy, the usually sharp distinctions between being asleep and awake are blurred. Also, people who have narcolepsy tend to fall directly into dream-filled REM sleep, rather than enter REM sleep gradually after passing through the non-REM sleep stages first. In addition to overwhelming daytime sleepiness, narcolepsy has three other commonly associated symptoms, but these may not occur in all people: Sudden muscle weakness (cataplexy). This weakness is similar to the paralysis that normally occurs during REM sleep, but it lasts a few seconds to minutes while an individual is awake. Cataplexy tends to be triggered by sudden emotional reac tions, such as anger, surprise, fear, or laughter. The weakness may show up as limpness at the neck, buckling of the knees, or sagging facial muscles affecting speech, or it may cause a complete body collapse. 49 Common Sleep DisordersAt first, I was misdiagnosed with chronic fatigue syndrome, because I was in my forties and narcolepsy symptoms usually start during the teen years. Because I didn’t have any of the symptoms of chronic fatigue syndrome other than sleepiness, I went to a neurologist for help. He noticed the cataplexy (muscle weakness) right away, and then I was officially diagnosed with narcolepsy and then later on with borderline sleep apnea. “Even though there is no cure for narcolepsy, you can feel like you have control if you manage it well. “When you have narcolepsy, you live your life differently. But with a good plan and supportive friends and family, it all turns out OK. S Z E - P I N G “ ” 50Your Guide to Healthy Sleep n n Sleep paralysis. People who have narcolepsy may experience a temporary inability to talk or move when falling asleep or waking up, as if they were glued to their beds. Vivid dreams. These dreams can occur when people who have narcolepsy first fall asleep or wake up. The dreams are so lifelike that they can be confused with reality. Experts estimate that as many as 350,000 Americans have narco lepsy, but fewer than 50,000 are diagnosed. The disorder may be as widespread as Parkinson’s disease or multiple sclerosis, and more prevalent than cystic fibrosis, but it is less well known. Narcolepsy is often mistaken for depression, epilepsy, or the side effects of medicines. Narcolepsy can be difficult to diagnose in people who have only the symptom of excessive daytime sleepiness. It is usually diagnosed during an overnight sleep recording (PSG) that is followed by an MSLT. (See “How Are Sleep Disorders Diagnosed?” on page 44.) Both tests reveal symptoms of narcolepsy—the tendency to fall asleep rapidly and enter REM sleep early, even during brief naps. Narcolepsy can develop at any age, but the symptoms tend to appear first during adolescence or early adulthood. About 1 of every 10 people who have narcolepsy has a close family member who has the disorder, suggesting that one can inherit a tendency to develop narcolepsy. Studies suggest that a substance in the brain called hypocretin plays a key role in narcolepsy. Most people who have narcolepsy lack hypocretin, which promotes wakefulness. Scientists believe that an autoimmune reaction—perhaps triggered by disease, viral illness, or brain injury— specifically destroys the hypocretin-generating cells in the brains of people who have narcolepsy. 51 Eventually, researchers may develop a treatment for narcolepsy that restores hypocretin to normal levels. In the meantime, most people who have narcolepsy find some to all of their symptoms relieved by various drug treatments. For example, central nervous system stimulants can reduce daytime sleepiness. Antidepressants and other drugs that suppress REM sleep can prevent muscle weakness, sleep paralysis, and vivid dreaming. Doctors also usually recommend that people who have narcolepsy take short naps (10–15 minutes) two or three times a day, if possible, to help control excessive daytime sleepiness. Parasomnias (Abnormal Arousals) In some people, the walking, talking, and other body functions normally suppressed during sleep occur during certain sleep stages. Alternatively, the paralysis or vivid images usually experienced during dreaming may persist after awakening. These occurrences are collectively known as parasomnias and include confusional arousals (a mixed state of being both asleep and awake), sleep talking, sleep walking, night terrors, sleep paralysis, and REM sleep behavior disorder (acting out dreams). Most of these disorders— such as confusional arousals, sleep walking, and night terrors—are more common in children, who tend to outgrow them once they become adults. People who are sleep-deprived also may experience some of these disorders, including sleep walking and sleep paralysis. Sleep paralysis also commonly occurs in people who have narco lepsy. Certain medications or neurological disorders appear to lead to other parasomnias, such as REM sleep behavior disorder, and these parasomnias tend to occur more in elderly people. If you or a family member has persistent episodes of sleep paralysis, sleep walking, or acting out of dreams, talk with your doctor. Taking measures to assure the safety of children and other family members who have partial arousals from sleep is very important. Common Sleep Disorders 52Your Guide to Healthy SleepIt’s a scary experience, lying in bed, wanting to get up, but unable to—scary enough to almost make you not want to go to sleep anymore. I can remember, as a child, feeling as though there was a weight on me when I was trying to wake up, and I couldn’t move. When I would try to wake up, I would kick my legs and flail my arms, sometimes bumping my wife. I really didn’t have control over my limbs. “When the symptoms got really bad, I went to a sleep specialist, who told me I had sleep paralysis. My doctor prescribed a medicine that has worked great for me. Now, I rarely have sleep paralysis—maybe 3 times per year. L A W R E N C E “ ” 53 n n n n Do You Think You Have a Sleep Disorder? At various points in our lives, all of us suffer from a lack of sleep that can be corrected by making sure we have the opportunity to get enough sleep. But, if you are spending enough time in bed and still wake up tired or feel very sleepy during the day, you may have a sleep disorder. See “Common Signs of a Sleep Disorder” on page 34. One of the best ways you can tell whether you are getting enough good-quality sleep, and whether you have signs of a sleep disorder, is by keeping a sleep diary. (See “Sample Sleep Diary” on page 54.) Use this diary to record the quality and quantity of your sleep; your use of medications, alcohol, and caffeinated beverages; your exercise patterns; and how sleepy you feel during the day. After a week or so, look over this information to see how many hours of sleep or nighttime awakenings one night are linked to your being tired the next day. This information will give you a sense of how much uninterrupted sleep you need to avoid daytime sleepiness. You also can use the diary to see some of the patterns or practices that may keep you from getting a good night’s sleep. You may have a sleep disorder and should see your doctor if your sleep diary reveals any of the following: You consistently take more than 30 minutes each night to fall asleep. You consistently awaken more than a few times or for long periods of time each night. You take frequent naps. You often feel sleepy during the day—or you fall asleep at inappropriate times during the day. Do You Think You Have a Sleep Disorder? 54 Sample Sleep Diary Name: Complete in the Morning Today’s date (include month/day/year): Monday* Time I went to bed last night: Time I woke up this morning: No. of hours slept last night: 11 p.m. 7 a.m. 8 Number of awakenings and total time awake last night: 5 times 2 hours How long I took to fall asleep last night: 30 mins. Medications taken last night: None How awake did I feel when I got up this morning? 1—Wide awake 2—Awake but a little tired 3—Sleepy 2 Complete in the Evening Number of caffeinated drinks (coffee, tea, cola) and time when I had them today: 1 drink at 8 p.m. Number of alcoholic drinks (beer, wine, liquor) and time when I had them today: 2 drinks 9 p.m. Naptimes and lengths today: 3:30 p.m. 45 mins. Exercise times and lengths today: None How sleepy did I feel during the day today? 1—So sleepy had to struggle 1 to stay awake during much of the day 2—Somewhat tired 3—Fairly alert 4—Wide awake Your Guide to Healthy Sleep * This column shows example diary entries—use as a model for your own diary notes. 55 Do You Think You Have a Sleep Disorder? 56Your Guide to Healthy Sleep How To Find a Sleep Center and Sleep Specialist If your doctor refers you to a sleep center or sleep specialist, make sure that center or specialist is qualified to diagnose and treat your sleep problem. To find sleep centers accredited by the American Academy of Sleep Medicine, go to www.aasmnet.org and click on “Find a Sleep Center” (under the Patients & Public menu), or call 708–492–0930. To find sleep specialists certified by the American Board of Sleep Medicine, go to www.absm.org and click on “Verification of Diplomates of the ABSM.” 57 n n n n Research Researchers have learned a lot about sleep and sleep disorders in recent years. That knowledge has led to a better understanding of the importance of sleep to our lives and our health. Research supported by the National Heart, Lung, and Blood Institute (NHLBI) has helped identify some of the causes of sleep disorders and their effects on the heart, brain, lungs, and other body systems. The NHLBI also supports ongoing research on the most effective ways to diagnose and treat sleep disorders. Many questions remain about sleep and sleep disorders. The NHLBI continues to support a range of research that focuses on: Better understanding of how a lack of sleep increases the risk for obesity, diabetes, heart disease, and stroke New ways to diagnose sleep disorders Genetic, environmental, and social factors that lead to sleep disorders The adverse effects from a lack of sleep on body and brain Much of this research depends on the willingness of volunteers to participate in clinical research. If you would like to help researchers advance science on sleep or about a sleep disorder you have and possible treatments, talk to your doctor about participating in clinical research. (For more information, see “Clinical Research” on page 58.) Research 58Your Guide to Healthy Sleep Clinical research Researchers can learn quite a bit about sleep and sleep disorders by studying animals. However, to fully understand sleep and its affect on health and functioning, as well as how best to diagnose and treat sleep disorders, researchers need to do clinical research on people. This type of research is called clinical research because it is often conducted in clinical settings, such as hospitals or doctors’ offices. The two types of clinical research are clinical trials and clinical studies. l Clinical trials test new ways to diagnose, prevent, or treat various disorders. For example, treatments (such as medicines, medical devices, surgery, or other procedures) for a disorder need to be tested in people who have the disorder. A trial helps determine whether a treatment is safe and effective in humans before it is made available for public use. In a clinical trial, participants are randomly assigned to groups. One group receives the new treatment being tested. Other groups may receive a different treatment or a placebo (an inactive substance resembling a drug being tested). Comparing results from the groups gives researchers confidence that changes in the test group are due to the new treatment and not to other factors. 59 l l l l Other types of clinical studies are done to discover the factors, including environmental, behavioral, or genetic factors, that cause or worsen various disorders. Researchers may follow a group of people over time to learn what factors contribute to becoming sick. Clinical studies and trials may be relatively brief, or may last for years and require many visits to the study sites. These sites usually are university hospitals or research centers, but they can include private doctors’ offices and community hospitals. If you participate in clinical research, the research will be explained to you in detail, you will be given a chance to ask questions, and you will be asked to provide written permission. You may not directly benefit from the results of the clinical research you participate in, but the information gathered will help others and will add to scientific knowledge. Taking part in clinical research has other benefits, as well. You’ll learn more about your disorder, you’ll have the support of a team of health care providers, and your health will likely be monitored closely. However, participation also can have risks, which you should discuss with your doctor. No matter what you decide, your regular medical care will not be affected. If you’re thinking about participating in a clinical study, you may have questions about the purpose of the study, the types of tests and treatment involved, how participation will affect your daily life, and whether any costs are involved. Your doctor may be able to answer some of your questions and help you find clinical studies in which you can participate. You also can visit the following Web sites to learn about being in a study and to search for clinical trials being done on your disorder: www.clinicaltrials.gov http://clinicalresearch.nih.gov www.nhlbi.nih.gov/studies/index.htm Clinical Research Research 60Your Guide to Healthy Sleep For More Sleep Information Resources From the National Heart, Lung, and Blood Institute (NHLBI) National Center on Sleep Disorders Research Division of Lung Diseases, NHLBI Two Rockledge Centre, Suite 10170 6701 Rockledge Drive Bethesda, MD 20895–7952 Phone: 301–435–0199 Fax: 301–480–3451 Web site: www.nhlbi.nih.gov/sleep NHLBI Diseases and Conditions Index (DCI) The DCI includes articles on sleep disorders, tests, and procedures, along with videos, podcasts, and Spanish-language articles. Web site: www.nhlbi.nih.gov/health/dci/index.html NHLBI Health Information Center P.O. Box 30105 Bethesda, MD 20824–0105 Telephone: 301–592–8573 TTY: 240–629–3255 Fax: 301–592–8563 E-mail: [email protected] Web site: www.nhlbi.nih.gov NIH Office of Science Education Web site (for high school supplemental curriculum: Sleep, Sleep Disorders, and Biological Rhythms) http://science.education.nih.gov 61 Resources From Other Sleep Organizations American Academy of Sleep Medicine (AASM) 2510 North Frontage Road Darien, IL 60561 Telephone: 630–737–9700 Fax: 630–737–9790 Web site: www.aasmnet.org American Sleep Apnea Association 6856 Eastern Avenue, NW., Suite 203 Washington, DC 20012 Telephone: 202–203–3650 Fax: 202–293–3656 Web site: www.sleepapnea.org Narcolepsy Network P.O. Box 294 Pleasantville, NY 10570 Telephone: 401–667–2523 Fax: 401–633–6567 E-mail: [email protected] Web site: www.narcolepsynetwork.org National Sleep Foundation 1010 North Glebe Road, Suite 310 Arlington, VA 22201 Telephone: 703–243–1697 E-mail: [email protected] Web site: www.sleepfoundation.org Restless Legs Syndrome Foundation 1610 14th Street, NW., Suite 300 Rochester, MN 55901 Telephone: 507–287–6465 Fax: 507–287–6312 E-mail: [email protected] Web site: www.rls.org For More Sleep Information 62Your Guide to Healthy Sleep ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Notes 63 ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Notes Notes Discrimination Prohibited: Under provisions of applicable public laws enacted by Congress since 1964, no person in the United States shall, on the grounds of race, color, national origin, handicap, or age, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity (or, on the basis of sex, with respect to any educa- tion program or activity) receiving Federal finan- cial assistance. In addition, Executive Order 11141 prohibits discrimination on the basis of age by contractors and subcontractors in the performance of Federal contracts, and Executive Order 11246 states that no federally funded con- tractor may discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. Therefore, the National Heart, Lung, and Blood Institute must be operated in compliance with these laws and Executive Orders. NIH Publication No. 11-5271 Originally printed November 2005 Revised August 2011

This task requires you to answer questions based solely on the information provided in the prompt. You are not allowed to use any external resources or prior knowledge. Draw your answer from the below text only. Respond in 3 sentences.

Summarize PHSA Section 514

Section 1411. Comprehensive Community Mental Health Services for Children with Serious Emotional Disturbances Background PHSA Title V, Part E (Sections 561-565), authorizes SAMHSA’s Children’s Mental Health Services. PHSA Title V, Part E, requires the Secretary to award grants to support “comprehensive community mental health services for children with a serious emotional disturbance.” 157 Reauthorized by the Cures Act, 158 the authorization specifies reporting requirements, technical assistance requirements, and the ages of children to be served, among other things. PHSA Section 565 (“General Provisions”) provides definitions for terms used in the Title V, Part E, authorizations and includes the authorization of appropriations, among other things. PHSA Section 565 previously authorized $119 million (rounded) to be appropriated for each of FY2018-FY2022. Provision Section 1411 amends PHSA Section by adding “kinship caregivers” to the definition of “family” and reauthorizing SAMHSA’s Children’s Mental Health Services. PHSA Section 565 now authorizes $125 million to be appropriated for each of FY2023-FY2027. Section. 1412. Substance Use Disorder Treatment and Early Intervention Services for Children and Adolescents Background PHSA Section 514 (“Substance Use Disorder Treatment and Early Intervention Services for Children, Adolescents, and Young Adults”) authorizes SAMHSA’s Children and Families program. PHSA Section 514 requires the Secretary to award grants, contracts, or cooperative agreements to support substance use disorder services for children and adolescents. Eligible entities include public and private nonprofit entities, including Native Alaskan entities and Indian Tribes and Tribal organizations. PHSA Section 514 requires the Secretary to give priority to applicants meeting specified criteria (e.g., providing gender-specific and culturally appropriate treatment). The Cures Act reauthorized the activities in this provision in 2016, further specifying definitions for Indian Tribes or Tribal Organizations and Indian Health Service facilities, among other things. 159 157 42 U.S.C. §290ff. 158 Cures Act §10001. 159 Cures Act §10003. The Restoring Hope for Mental Health and Well-Being Act of 2022 Congressional Research Service 48 PHSA Section 514 previously authorized $29.6 million (rounded) to be appropriated for each of FY2018-FY2022. Provision Section 1412 amends PHSA Section 514 by making technical edits to Tribal terms and reauthorizing $29.6 million (rounded) for each of FY2023-2027 for SAMHSA’s Children and Families program. Chapter 3—Garrett Lee Smith Memorial Reauthorization Sections 1421-1424 Background SAMHSA supports several suicide prevention initiatives, including the National Strategy for Suicide Prevention, a suicide prevention technical assistance center, and the Garrett Lee Smith (GLS) State and Campus suicide grant programs, among others. In 2004, the Garrett Lee Smith Memorial Act (P.L. 108-355 ) explicitly authorized three of these suicide prevention programs in PHSA Title V. PHSA Section 520C (“Suicide Prevention Technical Assistance Center”) authorizes the Garrett Lee Smith (GLS) Suicide Prevention Resource Center. Amended by the Cures Act, 160 PHSA Section 520C requires the Secretary, acting through the SAMHSA Assistant Secretary, to operate a technical assistance center focused on suicide prevention. The provision specifies the program’s focus on suicide prevention across the lifespan and requires the Secretary to submit to Congress a report on the activities carried out by the center. PHSA Section 520C previously authorized $6 million (rounded) to be appropriated annually for each of FY2018-FY2022 for the center. PHSA Sections 520E (“Youth Suicide Early Intervention and Prevention Strategies”) and 520E-2 (“Mental Health and Substance Use Disorder Services on Campus”) authorize the Garrett Lee Smith (GLS) State and Campus suicide grant programs. The GLS State grant program—entitled the GLS State/Tribal Youth Suicide Prevention and Early Intervention grant program—awards grants to states to support comprehensive statewide youth suicide prevention and early intervention strategies. The GLS Campus Suicide Prevention grant program provides institutions of higher education with grants to implement an array of suicide prevention initiatives on campus. 161 Both authorizing provisions were previously amended by the Cures Act in 2016.162 PHSA Section 520E previously authorized $30 million for each of FY2018-FY2022. PHSA Section 520E-2 previously authorized $7 million for each of FY2018-FY2022.

This task requires you to answer questions based solely on the information provided in the prompt. You are not allowed to use any external resources or prior knowledge. Draw your answer from the below text only. Respond in 3 sentences. Section 1411. Comprehensive Community Mental Health Services for Children with Serious Emotional Disturbances Background PHSA Title V, Part E (Sections 561-565), authorizes SAMHSA’s Children’s Mental Health Services. PHSA Title V, Part E, requires the Secretary to award grants to support “comprehensive community mental health services for children with a serious emotional disturbance.” 157 Reauthorized by the Cures Act, 158 the authorization specifies reporting requirements, technical assistance requirements, and the ages of children to be served, among other things. PHSA Section 565 (“General Provisions”) provides definitions for terms used in the Title V, Part E, authorizations and includes the authorization of appropriations, among other things. PHSA Section 565 previously authorized $119 million (rounded) to be appropriated for each of FY2018-FY2022. Provision Section 1411 amends PHSA Section by adding “kinship caregivers” to the definition of “family” and reauthorizing SAMHSA’s Children’s Mental Health Services. PHSA Section 565 now authorizes $125 million to be appropriated for each of FY2023-FY2027. Section. 1412. Substance Use Disorder Treatment and Early Intervention Services for Children and Adolescents Background PHSA Section 514 (“Substance Use Disorder Treatment and Early Intervention Services for Children, Adolescents, and Young Adults”) authorizes SAMHSA’s Children and Families program. PHSA Section 514 requires the Secretary to award grants, contracts, or cooperative agreements to support substance use disorder services for children and adolescents. Eligible entities include public and private nonprofit entities, including Native Alaskan entities and Indian Tribes and Tribal organizations. PHSA Section 514 requires the Secretary to give priority to applicants meeting specified criteria (e.g., providing gender-specific and culturally appropriate treatment). The Cures Act reauthorized the activities in this provision in 2016, further specifying definitions for Indian Tribes or Tribal Organizations and Indian Health Service facilities, among other things. 159 157 42 U.S.C. §290ff. 158 Cures Act §10001. 159 Cures Act §10003. The Restoring Hope for Mental Health and Well-Being Act of 2022 Congressional Research Service 48 PHSA Section 514 previously authorized $29.6 million (rounded) to be appropriated for each of FY2018-FY2022. Provision Section 1412 amends PHSA Section 514 by making technical edits to Tribal terms and reauthorizing $29.6 million (rounded) for each of FY2023-2027 for SAMHSA’s Children and Families program. Chapter 3—Garrett Lee Smith Memorial Reauthorization Sections 1421-1424 Background SAMHSA supports several suicide prevention initiatives, including the National Strategy for Suicide Prevention, a suicide prevention technical assistance center, and the Garrett Lee Smith (GLS) State and Campus suicide grant programs, among others. In 2004, the Garrett Lee Smith Memorial Act (P.L. 108-355 ) explicitly authorized three of these suicide prevention programs in PHSA Title V. PHSA Section 520C (“Suicide Prevention Technical Assistance Center”) authorizes the Garrett Lee Smith (GLS) Suicide Prevention Resource Center. Amended by the Cures Act, 160 PHSA Section 520C requires the Secretary, acting through the SAMHSA Assistant Secretary, to operate a technical assistance center focused on suicide prevention. The provision specifies the program’s focus on suicide prevention across the lifespan and requires the Secretary to submit to Congress a report on the activities carried out by the center. PHSA Section 520C previously authorized $6 million (rounded) to be appropriated annually for each of FY2018-FY2022 for the center. PHSA Sections 520E (“Youth Suicide Early Intervention and Prevention Strategies”) and 520E-2 (“Mental Health and Substance Use Disorder Services on Campus”) authorize the Garrett Lee Smith (GLS) State and Campus suicide grant programs. The GLS State grant program—entitled the GLS State/Tribal Youth Suicide Prevention and Early Intervention grant program—awards grants to states to support comprehensive statewide youth suicide prevention and early intervention strategies. The GLS Campus Suicide Prevention grant program provides institutions of higher education with grants to implement an array of suicide prevention initiatives on campus. 161 Both authorizing provisions were previously amended by the Cures Act in 2016.162 PHSA Section 520E previously authorized $30 million for each of FY2018-FY2022. PHSA Section 520E-2 previously authorized $7 million for each of FY2018-FY2022. Summarize PHSA Section 514

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== [user request] {passage 0} ========== [context document]

I'm a 27-year-old looking to start implementing Vitamin C in my diet. In under 150 words, why is vitamin C necessary for collagen, and how much would be needed for maximum absorption?

Vitamin C, also known as L-ascorbic acid, is a water-soluble vitamin that is naturally present in some foods, added to others, and available as a dietary supplement. Humans, unlike most animals, are unable to synthesize vitamin C endogenously, so it is an essential dietary component [1]. Vitamin C is required for the biosynthesis of collagen, L-carnitine, and certain neurotransmitters; vitamin C is also involved in protein metabolism [1,2]. Collagen is an essential component of connective tissue, which plays a vital role in wound healing. Vitamin C is also an important physiological antioxidant [3] and has been shown to regenerate other antioxidants within the body, including alpha-tocopherol (vitamin E) [4]. Ongoing research is examining whether vitamin C, by limiting the damaging effects of free radicals through its antioxidant activity, might help prevent or delay the development of certain cancers, cardiovascular disease, and other diseases in which oxidative stress plays a causal role. In addition to its biosynthetic and antioxidant functions, vitamin C plays an important role in immune function [4] and improves the absorption of nonheme iron [5], the form of iron present in plant-based foods. Insufficient vitamin C intake causes scurvy, which is characterized by fatigue or lassitude, widespread connective tissue weakness, and capillary fragility [1,2,4,6-9]. The intestinal absorption of vitamin C is regulated by at least one specific dose-dependent, active transporter [4]. Cells accumulate vitamin C via a second specific transport protein. In vitro studies have found that oxidized vitamin C, or dehydroascorbic acid, enters cells via some facilitated glucose transporters and is then reduced internally to ascorbic acid. The physiologic importance of dehydroascorbic acid uptake and its contribution to overall vitamin C economy are unknown. Oral vitamin C produces tissue and plasma concentrations that the body tightly controls. Approximately 70%–90% of vitamin C is absorbed at moderate intakes of 30–180 mg/day. However, at doses above 1 g/day, absorption falls to less than 50% and absorbed, unmetabolized ascorbic acid is excreted in the urine [4]. Results from pharmacokinetic studies indicate that oral doses of 1.25 g/day ascorbic acid produce mean peak plasma vitamin C concentrations of 135 micromol/L, which are about two times higher than those produced by consuming 200–300 mg/day ascorbic acid from vitamin C-rich foods [10]. Pharmacokinetic modeling predicts that even doses as high as 3 g ascorbic acid taken every 4 hours would produce peak plasma concentrations of only 220 micromol/L [10]. The total body content of vitamin C ranges from 300 mg (at near scurvy) to about 2 g [4]. High levels of vitamin C (millimolar concentrations) are maintained in cells and tissues and are highest in leukocytes (white blood cells), eyes, adrenal glands, pituitary gland, and brain. Relatively low levels of vitamin C (micromolar concentrations) are found in extracellular fluids, such as plasma, red blood cells, and saliva [4]. Recommended Intakes Intake recommendations for vitamin C and other nutrients are provided in the Dietary Reference Intakes (DRIs) developed by the Food and Nutrition Board (FNB) at the Institute of Medicine (IOM) of the National Academies (formerly National Academy of Sciences) [8]. DRI is the general term for a set of reference values used for planning and assessing nutrient intakes of healthy people. These values, which vary by age and gender [8], include the following: Recommended Dietary Allowance (RDA): Average daily level of intake sufficient to meet the nutrient requirements of nearly all (97%–98%) healthy individuals; often used to plan nutritionally adequate diets for individuals Adequate Intake (AI): Intake at this level is assumed to ensure nutritional adequacy; established when evidence is insufficient to develop an RDA Estimated Average Requirement (EAR): Average daily level of intake estimated to meet the requirements of 50% of healthy individuals; usually used to assess the nutrient intakes of groups of people and to plan nutritionally adequate diets for them; can also be used to assess the nutrient intakes of individuals Tolerable Upper Intake Level (UL): Maximum daily intake unlikely to cause adverse health effects Table 1 lists the current RDAs for vitamin C [8]. The RDAs for vitamin C are based on its known physiological and antioxidant functions in white blood cells and are much higher than the amount required for protection from deficiency [4,8,11]. For infants from birth to 12 months, the FNB established an AI for vitamin C that is equivalent to the mean intake of vitamin C in healthy, breastfed infants.

{instruction} ========== In your answer, refer only to the context document. Do not employ any outside knowledge {question} ========== I'm a 27-year-old looking to start implementing Vitamin C in my diet. In under 150 words, why is vitamin C necessary for collagen, and how much would be needed for maximum absorption? {passage 0} ========== Vitamin C, also known as L-ascorbic acid, is a water-soluble vitamin that is naturally present in some foods, added to others, and available as a dietary supplement. Humans, unlike most animals, are unable to synthesize vitamin C endogenously, so it is an essential dietary component [1]. Vitamin C is required for the biosynthesis of collagen, L-carnitine, and certain neurotransmitters; vitamin C is also involved in protein metabolism [1,2]. Collagen is an essential component of connective tissue, which plays a vital role in wound healing. Vitamin C is also an important physiological antioxidant [3] and has been shown to regenerate other antioxidants within the body, including alpha-tocopherol (vitamin E) [4]. Ongoing research is examining whether vitamin C, by limiting the damaging effects of free radicals through its antioxidant activity, might help prevent or delay the development of certain cancers, cardiovascular disease, and other diseases in which oxidative stress plays a causal role. In addition to its biosynthetic and antioxidant functions, vitamin C plays an important role in immune function [4] and improves the absorption of nonheme iron [5], the form of iron present in plant-based foods. Insufficient vitamin C intake causes scurvy, which is characterized by fatigue or lassitude, widespread connective tissue weakness, and capillary fragility [1,2,4,6-9]. The intestinal absorption of vitamin C is regulated by at least one specific dose-dependent, active transporter [4]. Cells accumulate vitamin C via a second specific transport protein. In vitro studies have found that oxidized vitamin C, or dehydroascorbic acid, enters cells via some facilitated glucose transporters and is then reduced internally to ascorbic acid. The physiologic importance of dehydroascorbic acid uptake and its contribution to overall vitamin C economy are unknown. Oral vitamin C produces tissue and plasma concentrations that the body tightly controls. Approximately 70%–90% of vitamin C is absorbed at moderate intakes of 30–180 mg/day. However, at doses above 1 g/day, absorption falls to less than 50% and absorbed, unmetabolized ascorbic acid is excreted in the urine [4]. Results from pharmacokinetic studies indicate that oral doses of 1.25 g/day ascorbic acid produce mean peak plasma vitamin C concentrations of 135 micromol/L, which are about two times higher than those produced by consuming 200–300 mg/day ascorbic acid from vitamin C-rich foods [10]. Pharmacokinetic modeling predicts that even doses as high as 3 g ascorbic acid taken every 4 hours would produce peak plasma concentrations of only 220 micromol/L [10]. The total body content of vitamin C ranges from 300 mg (at near scurvy) to about 2 g [4]. High levels of vitamin C (millimolar concentrations) are maintained in cells and tissues and are highest in leukocytes (white blood cells), eyes, adrenal glands, pituitary gland, and brain. Relatively low levels of vitamin C (micromolar concentrations) are found in extracellular fluids, such as plasma, red blood cells, and saliva [4]. Recommended Intakes Intake recommendations for vitamin C and other nutrients are provided in the Dietary Reference Intakes (DRIs) developed by the Food and Nutrition Board (FNB) at the Institute of Medicine (IOM) of the National Academies (formerly National Academy of Sciences) [8]. DRI is the general term for a set of reference values used for planning and assessing nutrient intakes of healthy people. These values, which vary by age and gender [8], include the following: Recommended Dietary Allowance (RDA): Average daily level of intake sufficient to meet the nutrient requirements of nearly all (97%–98%) healthy individuals; often used to plan nutritionally adequate diets for individuals Adequate Intake (AI): Intake at this level is assumed to ensure nutritional adequacy; established when evidence is insufficient to develop an RDA Estimated Average Requirement (EAR): Average daily level of intake estimated to meet the requirements of 50% of healthy individuals; usually used to assess the nutrient intakes of groups of people and to plan nutritionally adequate diets for them; can also be used to assess the nutrient intakes of individuals Tolerable Upper Intake Level (UL): Maximum daily intake unlikely to cause adverse health effects Table 1 lists the current RDAs for vitamin C [8]. The RDAs for vitamin C are based on its known physiological and antioxidant functions in white blood cells and are much higher than the amount required for protection from deficiency [4,8,11]. For infants from birth to 12 months, the FNB established an AI for vitamin C that is equivalent to the mean intake of vitamin C in healthy, breastfed infants. https://ods.od.nih.gov/factsheets/VitaminC-HealthProfessional/

Answer only based on the provided document in one full sentence. Do not exceed more than two sentences in your response.

According to this document, what qualities does a successful CFO need to have?

Becoming a CFO How can up and coming finance executives develop the necessary skills and leadership qualities to position themselves as credible candidates for CFO roles? Here are 10 tips that can help fuel their professional ascent For anyone pursuing a career in finance, the position of chief financial officer (CFO) is likely to be a prized objective, a role that can unlock untold professional satisfaction. But the path to such vocational riches rarely runs smooth. Numerous barriers — personal, structural, organisational — loom large. Even the most talented individuals enjoy no guarantee that their route to the top will be free of the pitfalls that can colour anyone’s career journey. At Spencer Stuart, we recently explored the gap between the skills of today’s CFOs and what will be needed in the years to come. Our report, CFO of the Future, looked at the capabilities and domains that next generation CFOs would need to master in order to be effective in their roles. In this new paper, we examine how aspiring CFOs can go about making themselves into credible candidates for these senior positions. What skills and leadership qualities do they require? What type of experiences will they need to accumulate as they advance their career? To help answer these questions, we sat down with a number of financial leaders from a variety of industries and geographies to discuss their collective experiences. 10 tips for aspiring CFOs So what do ambitious finance professionals need to do? How can they best channel their motivation and transformational zeal into a career path that will expose them to the right blend of experiences and life-lessons necessary for any CFO position? From our conversations with financial leaders and our own day-to-day experiences in the market, we have identified 10 key ideas for how aspiring finance professionals can become credible candidates for CFO roles. Here’s what we suggest: 1. Learn how to partner The CFO role sits at the very heart of the organisation and affords a 360-degree view of not only the finance function, but other teams, projects and programmes. This means that it is essential that finance executives who have their eye on the top job learn how to partner and collaborate with their colleagues — both internal and external. That’s because CFOs also play a critical role in building relationships with external stakeholders, such as bankers, lawyers and communications advisors. According to Prashanth Mahendra-Rajah, CFO of Analog Devices, this shift is rooted in the sheer complexity of running large organisations. “Today, CFOs must be able to step back and have the enterprise view, but also dive deep when needed,” he said. “At the same time, you need to acknowledge that you can’t be an expert in everything. Therefore, you must be skilled at asking the right questions, probing, looking for the patterns, but really rely on a much broader set of counsel for certain areas of expertise.” Niclas Rosenlew, CFO of Swedish manufacturing company SKF, also believes that collaboration is vital. “An important part of the role is now building internal bridges and executing on agreed strategies,” he said. “And this is not only in finance and control — it goes for all parts of strategy implementation. The CFO increasingly is the guardian ensuring that strategy is implemented and is seen in the overall company performance.” MD Ranganath agrees. The chairman of Catamaran Ventures and former CFO of IT company Infosys, believes that the CFO’s role now looks beyond numbers and into the bigger enterprise view. “The board now looks at finance as a strategic advisor and not just an accountant,” he said. “This means that CFOs must have the ability to play a key role in shaping strategy, to navigate risks and leverage technology in operations. They must also have a problem solving mindset, not a problem stating mindset.” 2. be ready to lead alongside the Ceo When thinking about the CFO-CEO relationship, it might be helpful to picture the collaboration between a captain and first officer in the cockpit of an aeroplane. Sitting in their designated seats, side by side, theirs is a relationship shaped by mutual trust as they are both accountable for the safety of their plane and passengers. Yet it is the captain — the CEO in this analogy — who has the primary responsibility and is the final decision maker. Nonetheless, such is the crossover and similarities between the two roles, CFOs are now increasingly expected to be a key counsel and sparring partner to the CEO, working alongside on critical strategic, commercial and transformation projects, including areas such as ESG-related compliance and reporting. CFOs are now increasingly expected to be a key counsel and sparring partner to the CEO Chris Figee, CFO of Dutch telecoms company KPN, is keen to stress the importance of the CEO and CFO working in tandem. “This is most important,” he said. “They are the only two executive committee members that oversee everything in a company. They are active in all processes and focused on strategy, and they are the only ones who can guard all the plans and their cohesion.” 3. Develop your knowledge of data and advanced analytics No CFO contender is going to get very far without advanced knowledge of data, analytics and the latest developments such as generative AI. As organisations jostle for digital advantage, it’s a pre-requisite, and one that extends across an increasing number of roles. For CFOs, data, analytics and technologies can be used in any number of ways, such as identifying cost savings and customer insights, helping make more informed decision-making at pace, uncovering new market trends — the list goes on. CFOs’ and finance teams’ role in data governance and stewardship is also especially pronounced because it provides embedded continuity to organisations on the topic of data. Simply put, pretty much every company has a CFO and established f inance function, but not all companies have chief data officers. This helps put the pressure on CFOs to not only be able to identify accurate data, but also take a holistic view and understand what the data is telling you. Maria Grigorova, global head of finance at The Adecco Group, says that having sufficient knowledge of data science and data governance will be quite important. “Data science will have a major role in the future of finance, both in providing advancedlevel analytics, and in automation and elimination of repetitive tasks” she said. “While accounting and reporting will be subject to automation and streamlining, the need and value of business insights will remain a major focus. The CFO will transform more and more into a chief insights officer and will need to be wellversed in the benefits of data science and the importance of data governance. Finance is uniquely placed to take care of this.” It’s also about using data to shine a revelatory light on trends both inside and outside of the business — both of which can lead to more effective decisions. Kasper Fangel, CFO of facilities management company, ISS A/S, believes that data and finance can combine to catalyse change. “Data is gold,” he said. “Customers use data to make decisions and if one does not have it to support decisions and customer insight on an almost live basis, it can be threatening in a business like ours. This means that transparency and metrics are absolutely crucial.” It’s not all good news, however. Glen Instone, CFO of Swedish manufacturing group, Husqvarna, points out there are challenges to be aware of too. “Most things can be automated and there is a need to be quicker today,” he said. “Cyber security has become very important. There is massive upside potential, but it’s also coupled with huge risks to be aware of.” This latter point is particularly important because cyber security often falls under the CFO’s remit. This is because one of the core elements of the CFO role is system upgrades and delivering automation across all processes. Digital transformation is not just about data and analysis, but also about pace, efficiencies and cost savings. 4. build your commercial experience Such is the breadth of responsibilities that now accompanies any CFO role, it is incumbent on potential applicants to have a broad professional hinterland — and this includes commercial experience. According to our data, this is already happening. In Europe, the number of CFOs with experience outside of finance rose to 60 percent between 2019–2021, compared to 47 percent between 2017–2019. Developing a commercially savvy profile will enable new CFOs to identify opportunities for the organisation (as well as issues of concern) from the very start, and it provides yet another tool for f inance leaders to drive results against performance objectives. Commercial experience will also add depth to the relationship with the CEO by helping the CFO to be more strategic, while also strengthening relationships with non-finance areas of the business, such as communications and marketing. Dónal Rooney, who has operated as group CFO in private equity (Amaris Hospitality / Lone Star), plc (Datalex) and public sector (NAMA) environments, cites his time outside of finance as pivotal in accelerating his career progress. “I spent two years in a front-line business role, leaving finance behind, and this was instrumental in helping me become a CFO and then, as a CFO, enabling me to contribute in a meaningful way to support the business,” he said. “I don’t believe I would have had the same impact as a CFO without that time spent outside finance. So, my advice to future CFOs is go out and get a front-line business role where you are making key commercial decisions. When you become CFO, you need that credibility and experience to influence change across the organisation.” 5. Make sure you’re always learning In any role, and in any walk of life, it is good to be on the lookout for new skills, perspectives and ideas. As Gandhi said, “Learn as if you were to live forever.” An ongoing curiosity drives new innovations and a constant hunger for new information — both of which help leaders such as CFOs excel at problem solving. It also strengthens collaboration and networking — again, crucial traits for CFOs — and underpins a hunger for knowledge which can only help them understand the strengths (and weaknesses) of their companies. This willingness to explore new ideas and strategies can make all the difference. It’s not just about theoretical knowledge, though. Prashanth Mahendra-Rajah says it’s also about taking any opportunity to learn from your colleagues and their practical, real-life experiences.

[Task Instructions] ========== Answer only based on the provided document in one full sentence. Do not exceed more than two sentences in your response. ================ [Passage] ========== Becoming a CFO How can up and coming finance executives develop the necessary skills and leadership qualities to position themselves as credible candidates for CFO roles? Here are 10 tips that can help fuel their professional ascent For anyone pursuing a career in finance, the position of chief financial officer (CFO) is likely to be a prized objective, a role that can unlock untold professional satisfaction. But the path to such vocational riches rarely runs smooth. Numerous barriers — personal, structural, organisational — loom large. Even the most talented individuals enjoy no guarantee that their route to the top will be free of the pitfalls that can colour anyone’s career journey. At Spencer Stuart, we recently explored the gap between the skills of today’s CFOs and what will be needed in the years to come. Our report, CFO of the Future, looked at the capabilities and domains that next generation CFOs would need to master in order to be effective in their roles. In this new paper, we examine how aspiring CFOs can go about making themselves into credible candidates for these senior positions. What skills and leadership qualities do they require? What type of experiences will they need to accumulate as they advance their career? To help answer these questions, we sat down with a number of financial leaders from a variety of industries and geographies to discuss their collective experiences. 10 tips for aspiring CFOs So what do ambitious finance professionals need to do? How can they best channel their motivation and transformational zeal into a career path that will expose them to the right blend of experiences and life-lessons necessary for any CFO position? From our conversations with financial leaders and our own day-to-day experiences in the market, we have identified 10 key ideas for how aspiring finance professionals can become credible candidates for CFO roles. Here’s what we suggest: 1. Learn how to partner The CFO role sits at the very heart of the organisation and affords a 360-degree view of not only the finance function, but other teams, projects and programmes. This means that it is essential that finance executives who have their eye on the top job learn how to partner and collaborate with their colleagues — both internal and external. That’s because CFOs also play a critical role in building relationships with external stakeholders, such as bankers, lawyers and communications advisors. According to Prashanth Mahendra-Rajah, CFO of Analog Devices, this shift is rooted in the sheer complexity of running large organisations. “Today, CFOs must be able to step back and have the enterprise view, but also dive deep when needed,” he said. “At the same time, you need to acknowledge that you can’t be an expert in everything. Therefore, you must be skilled at asking the right questions, probing, looking for the patterns, but really rely on a much broader set of counsel for certain areas of expertise.” Niclas Rosenlew, CFO of Swedish manufacturing company SKF, also believes that collaboration is vital. “An important part of the role is now building internal bridges and executing on agreed strategies,” he said. “And this is not only in finance and control — it goes for all parts of strategy implementation. The CFO increasingly is the guardian ensuring that strategy is implemented and is seen in the overall company performance.” MD Ranganath agrees. The chairman of Catamaran Ventures and former CFO of IT company Infosys, believes that the CFO’s role now looks beyond numbers and into the bigger enterprise view. “The board now looks at finance as a strategic advisor and not just an accountant,” he said. “This means that CFOs must have the ability to play a key role in shaping strategy, to navigate risks and leverage technology in operations. They must also have a problem solving mindset, not a problem stating mindset.” 2. be ready to lead alongside the Ceo When thinking about the CFO-CEO relationship, it might be helpful to picture the collaboration between a captain and first officer in the cockpit of an aeroplane. Sitting in their designated seats, side by side, theirs is a relationship shaped by mutual trust as they are both accountable for the safety of their plane and passengers. Yet it is the captain — the CEO in this analogy — who has the primary responsibility and is the final decision maker. Nonetheless, such is the crossover and similarities between the two roles, CFOs are now increasingly expected to be a key counsel and sparring partner to the CEO, working alongside on critical strategic, commercial and transformation projects, including areas such as ESG-related compliance and reporting. CFOs are now increasingly expected to be a key counsel and sparring partner to the CEO Chris Figee, CFO of Dutch telecoms company KPN, is keen to stress the importance of the CEO and CFO working in tandem. “This is most important,” he said. “They are the only two executive committee members that oversee everything in a company. They are active in all processes and focused on strategy, and they are the only ones who can guard all the plans and their cohesion.” 3. Develop your knowledge of data and advanced analytics No CFO contender is going to get very far without advanced knowledge of data, analytics and the latest developments such as generative AI. As organisations jostle for digital advantage, it’s a pre-requisite, and one that extends across an increasing number of roles. For CFOs, data, analytics and technologies can be used in any number of ways, such as identifying cost savings and customer insights, helping make more informed decision-making at pace, uncovering new market trends — the list goes on. CFOs’ and finance teams’ role in data governance and stewardship is also especially pronounced because it provides embedded continuity to organisations on the topic of data. Simply put, pretty much every company has a CFO and established f inance function, but not all companies have chief data officers. This helps put the pressure on CFOs to not only be able to identify accurate data, but also take a holistic view and understand what the data is telling you. Maria Grigorova, global head of finance at The Adecco Group, says that having sufficient knowledge of data science and data governance will be quite important. “Data science will have a major role in the future of finance, both in providing advancedlevel analytics, and in automation and elimination of repetitive tasks” she said. “While accounting and reporting will be subject to automation and streamlining, the need and value of business insights will remain a major focus. The CFO will transform more and more into a chief insights officer and will need to be wellversed in the benefits of data science and the importance of data governance. Finance is uniquely placed to take care of this.” It’s also about using data to shine a revelatory light on trends both inside and outside of the business — both of which can lead to more effective decisions. Kasper Fangel, CFO of facilities management company, ISS A/S, believes that data and finance can combine to catalyse change. “Data is gold,” he said. “Customers use data to make decisions and if one does not have it to support decisions and customer insight on an almost live basis, it can be threatening in a business like ours. This means that transparency and metrics are absolutely crucial.” It’s not all good news, however. Glen Instone, CFO of Swedish manufacturing group, Husqvarna, points out there are challenges to be aware of too. “Most things can be automated and there is a need to be quicker today,” he said. “Cyber security has become very important. There is massive upside potential, but it’s also coupled with huge risks to be aware of.” This latter point is particularly important because cyber security often falls under the CFO’s remit. This is because one of the core elements of the CFO role is system upgrades and delivering automation across all processes. Digital transformation is not just about data and analysis, but also about pace, efficiencies and cost savings. 4. build your commercial experience Such is the breadth of responsibilities that now accompanies any CFO role, it is incumbent on potential applicants to have a broad professional hinterland — and this includes commercial experience. According to our data, this is already happening. In Europe, the number of CFOs with experience outside of finance rose to 60 percent between 2019–2021, compared to 47 percent between 2017–2019. Developing a commercially savvy profile will enable new CFOs to identify opportunities for the organisation (as well as issues of concern) from the very start, and it provides yet another tool for f inance leaders to drive results against performance objectives. Commercial experience will also add depth to the relationship with the CEO by helping the CFO to be more strategic, while also strengthening relationships with non-finance areas of the business, such as communications and marketing. Dónal Rooney, who has operated as group CFO in private equity (Amaris Hospitality / Lone Star), plc (Datalex) and public sector (NAMA) environments, cites his time outside of finance as pivotal in accelerating his career progress. “I spent two years in a front-line business role, leaving finance behind, and this was instrumental in helping me become a CFO and then, as a CFO, enabling me to contribute in a meaningful way to support the business,” he said. “I don’t believe I would have had the same impact as a CFO without that time spent outside finance. So, my advice to future CFOs is go out and get a front-line business role where you are making key commercial decisions. When you become CFO, you need that credibility and experience to influence change across the organisation.” 5. Make sure you’re always learning In any role, and in any walk of life, it is good to be on the lookout for new skills, perspectives and ideas. As Gandhi said, “Learn as if you were to live forever.” An ongoing curiosity drives new innovations and a constant hunger for new information — both of which help leaders such as CFOs excel at problem solving. It also strengthens collaboration and networking — again, crucial traits for CFOs — and underpins a hunger for knowledge which can only help them understand the strengths (and weaknesses) of their companies. This willingness to explore new ideas and strategies can make all the difference. It’s not just about theoretical knowledge, though. Prashanth Mahendra-Rajah says it’s also about taking any opportunity to learn from your colleagues and their practical, real-life experiences. ================ [Query] ========== According to this document, what qualities does a successful CFO need to have?

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What factor is contributing most to the increased rate of colorectal cancer in young adults?

Original article Global patterns and trends in colorectal cancer incidence in young adults Rebecca L Siegel,‍ ‍ 1 Lindsey A Torre,1 Isabelle Soerjomataram,2 Richard B Hayes,3 Freddie Bray,2 Thomas K Weber,4,5 Ahmedin Jemal1 ►► Additional material is published online only. To view please visit the journal online (http://​dx.​doi.o​ rg/​10.​1136/​ gutjnl-2​ 019-​319511). 1 Intramural Research Department, American Cancer Society, Atlanta, Georgia, USA 2 Section of Cancer Surveillance, International Agency for Research on Cancer, Lyon, France 3 Department of Population Health, New York University School of Medicine, New York, New York, USA 4 Department of Surgery, Donald and Barbara Zucker School of Medicine at Hofstra/Northwell, Hempstead, New York, USA 5 Department of Surgical Oncology, Northwell Health Cancer Institute, Great Neck, New York, USA Correspondence to Ms Rebecca L Siegel, American Cancer Society, Atlanta, GA 30303, USA; ​rebecca.​siegel@​cancer.​org Received 22 July 2019 Revised 16 August 2019 Accepted 21 August 2019 Abstract Objective Early-onset colorectal cancer (CRC) is increasing in the USA despite rapid declines in older ages. Similar patterns are reported in Australia and Canada, but a comprehensive global analysis of contemporary data is lacking. Design We extracted long-term data from Cancer Incidence in Five Continents and supplemental sources to report on worldwide CRC incidence rates and trends by age (20–49 years and ≥50 years) through diagnosis year 2012 or beyond (Australia, Finland, New Zealand, Norway, Sweden, USA). Results During 2008–2012, age-standardised CRC incidence rates in adults <50 ranged from 3.5 per 100 000 (95% CI 3.2 to 3.9) in India (Chennai) to 12.9 (95% CI 12.6 to 13.3) in Korea. During the most recent decade of available data, incidence in adults <50 was stable in 14 of 36 countries; declined in Austria, Italy and Lithuania; and increased in 19 countries, nine of which had stable or declining trends in older adults (Australia, Canada, Denmark, Germany, New Zealand, Slovenia, Sweden, UK and USA). In Cyprus, Netherlands and Norway, inclines in incidence in young adults were twice as rapid as those in older adults (eg, Norway average annual per cent change (AAPC), 1.9 (95% CI 1.4 to 2.5) vs 0.5 (95% CI 0.3 to 0.7)). Among most high-income countries with longterm data, the uptick in early-onset disease began in the mid-1990s. The steepest increases in young adults were in Korea (AAPC, 4.2 (95% CI 3.4 to 5.0)) and New Zealand (AAPC, 4.0 (95% CI 2.1 to 6.0)). Conclusion CRC incidence increased exclusively in young adults in nine high-income countries spanning three continents, potentially signalling changes in early-life exposures that influence large bowel carcinogenesis. Introduction © Author(s) (or their employer(s)) 2019. No commercial re-use. See rights and permissions. Published by BMJ. To cite: Siegel RL, Torre LA, Soerjomataram I, et al. Gut Epub ahead of print: [please include Day Month Year]. doi:10.1136/ gutjnl-2019-319511 Colorectal cancer (CRC) is the third most commonly diagnosed cancer worldwide, with an estimated 1.8 million new cases in 2018.1 Global patterns vary widely and are strongly linked to human development index level, reflecting the adoption of western lifestyles that accompany economic transition and elevate risk. In general, CRC incidence is rising in low-income and middle-income countries but beginning to stabilise or decline in high-income countries, especially those that have implemented screening.2 However, accumulating evidence from studies Significance of this study What is already known on this subject? ►► Colorectal cancer (CRC) incidence rates in young adults (aged <50 years) are increasing in several countries, despite declining rates in older adults. The extent to which this pattern is occurring on a global scale is unknown. What are the new findings? ►► CRC incidence rates are uniquely increasing in young adults in nine high-income countries (Germany, USA, Australia, Canada, New Zealand, UK, Denmark, Slovenia and Sweden) across North America, Europe and Oceania where rates in older adults are stable or declining. Conversely, CRC declined in young adults in only three countries (Italy, Austria and Lithuania) compared with 11 countries in adults 50 and older. How might it impact on clinical practice in the foreseeable future? ►► Improving awareness of the marked increases in young-onset CRC incidence could facilitate more diligent assessment of cancer family history by primary care clinicians, as well as follow-up of symptoms in young individuals, many of whom are diagnosed at a late stage. These findings also highlight the need for research on early-life exposures in relation to colorectal carcinogenesis. of cancer registry data indicates that favourable overall trends are masking an increase in young-onset CRC in the USA,3–6 Australia7 8 and Canada.9 Although the absolute risk of CRC in adults younger than 50 years is low relative to older adults, disease trends in young age groups are a key indicator of recent changes in risk factor exposures and often foreshadow the future cancer burden.10 In addition to country-specific analyses, there are recent reports on early-onset CRC occurrence in seven high-income countries,11 in Europe12 and in 11 ‘industrialised’ countries (data through 2007).13 However, a comprehensive examination of contemporary trends on a global scale is lacking. We analysed high-quality longterm population-based data on CRC occurrence by age at diagnosis for 43 countries covering six continents. Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511    1 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer Figure 1 Age-standardised incidence rate during 2008–2012 for colorectal cancer among adults ages 20–49 years. Bar shading indicates trend in incidence rates based on 10-year average annual per cent change; red: statistically significant increase; blue: statistically significant decrease; grey: stable or insufficient number of cases for trend analysis (‡). Rate for Finland unavailable.*Rate based on data during 2008-2010.†Excludes Nunavut, Quebec, and Yukon.‡Excluded from trend analysis due to insufficient number of annual cases.¶Rate based on data during 2008-2011. Methods We obtained high-quality population-based annual incidence data for colon and rectal cancer diagnosed through 2012 from the Cancer Incidence in Five Continents (CI5plus) database of the International Association of Cancer Registries and the International Agency for Research on Cancer (IARC).14 The CI5plus database is compiled from cancer registry data worldwide using a process that ensures comparable information that meets high quality standards established by IARC. Specifically, on submission the data coding is verified, the format is standardised, and an editorial board conducts an evaluation based on three dimensions of quality: comparability, completeness and validity. (For more information about the database, see c​ i5.​iarc.​ fr/​CI5-​XI/​Default.​aspx.) The population coverage of registries included in CI5 may be national or subnational. If a country is represented by one or more registries but without national coverage, the registries are specified. National or subnational registries with cancer incidence data going back to at least 1998 were included and multiple datasets from subnational registries within a single country were combined, resulting in a total of 43 countries examined. To take advantage of the availability of 2 more contemporary incidence, we obtained additional data by contacting individual registries or accessing publicly available data online. We acquired data through 2015 from Australia (​ www.​ aihw.​ gov.​ au/); through 2016 from Finland (personal communication), New Zealand (personal communication) and the USA (​seer.​cancer.​gov/​data/); and through 2017 from Norway (personal communication) and Sweden (​sdb.​socialstyrelsen.​se/​ if_​can/​val.​aspx). Seven countries had fewer than 10 CRC cases among ages 20–49 years in any single diagnosis year and were excluded from trend analysis. Incidence was stratified by age at diagnosis, categorised as 20–49 years (‘early-onset’) or 50 years or older (‘older adults’). Cancer subsite was categorised according to the International Classification of Diseases, 10th revision as colon (code C18) or rectum (code C19-C20). Given that trends in CRC incidence are quite similar in men and women overall2 and for earlyonset disease,6 15 16 the two sexes were combined to improve stability. Primary outcome measures were average annual incidence rates during diagnosis years 2008–2012 (42 countries; data unavailable for Finland) and time-weighted average annual per cent change (AAPC) in incidence rates during the last 10 years of available data (36 countries) based on joinpoint regression analysis. This method fits joined straight lines (joinpoints) to observed annual age-standardised rates on a logarithmic scale.17 The maximum number of joinpoints is determined by the number of years available for each country/registry and was limited to four for countries with ≥24 data years. Trends are described as ‘increasing’ or ‘decreasing’ if the AAPC is statistically significantly different from zero (p<0.05) and ‘stable’ otherwise. All rates are expressed per 100 000 population and age-standardised to the 1960 Segi world standard population (as modified by Doll and Cook).18 In a sensitivity analysis, we assessed the extent to which the inclusion of appendiceal cancer (C18.1) in the CI5plus grouping for colon cancer influenced our results by calculating rates and trends exclusive of appendix for three countries for which these data were available (USA, New Zealand and Canada). Results CRC incidence during 2008–2012 Among 42 countries with high-quality population-based cancer registry data, cross-sectional age-standardised CRC incidence rates in ages 20–49 years during 2008–2012 were lowest in India (Chennai; 3.5 per 100 000 (95% CI 3.2 to 3.9)); Uganda (3.8, 95% CI 3.0 to 4.6); and Chile (3.8, 95% CI 2.5 to 5.1) and highest in Korea (12.9, 95% CI 12.6 to 13.3); Australia (11.2, 95% CI 10.9 to 11.5); the USA (10.0, 95% CI 9.8 to 10.3); and Slovakia (10.0, 95% CI 9.3 to 10.7; figure 1; online supplementary table 1). The pattern in older adults was quite similar, with rates ranging from 27.5 (95% CI 25.9 to 29.1) in India to 192.5 (95% CI 188.6 to 196.3) in Slovakia (online supplementary table 2). Among young adults, incidence was generally higher for tumours developing in the colon than in the rectum, with a more than twofold difference in rates in Iceland, Italy and Cyprus (online supplementary tables 3 and 4). Exceptions were in Slovenia, where rates were similar, and Korea, India and China, where rates were slightly higher for rectal cancer. In contrast, incidence rates in older adults were a minimum of 7% higher for colon cancer than for rectal cancer (India, 14.2 per 100 000 vs 13.3) and commonly twofold higher, particularly in high incidence countries (online supplementary tables 5 and 6). Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer Figure 2 Average annual per cent change (AAPC) in colorectal cancer incidence by age during the most recent 10 years of available data (A) countries with stable or declining trend among adults age 50 and older (B) countries with increasing trend among adults age 50 and older. AAPC reflects incidence during 2003–2012 except for Australia (2006–2015); Costa Rica (2002–2011); Finland (2007–2016); New Zealand (2007–2016); Norway (2008–2017); Slovakia (2001–2010); Sweden (2008–2017); USA (2007–2016). *AAPC is statistically significantly different from zero (p<0.05) using a two-sided test based on the permutation method. CRC incidence trends Among 36 countries with a sufficient number of annual cases, CRC incidence in adults <50 during the past 10 years was stable in 14 countries and decreased in three—Austria, Italy and Lithuania—all by about 1% annually (online supplementary table 1). Incidence in adults 50 and older likewise declined in Austria and Italy, as well as in nine additional countries (online supplementary table 2). The increasing CRC trend in adults <50 in the remaining 19 countries was unique to that age group in nine countries (figure 2A). Among these nine countries, rates in older adults declined by 1%–2.4% per year in Germany, Canada, New Zealand, Australia, and USA, and were stable in UK, Sweden, Denmark, and Slovenia. Where data were available prior to 1990, the uptick in early-onset CRC began during 1992–1996 and was preceded by declining rates except in Slovenia, where there was a continuous increase of 0.8% per year from 1983 to 2012 (figure 3; online supplementary table 1). Early-onset CRC incidence increased most rapidly in Korea (AAPC, 4.2 (95% CI 3.4 to 5.0)), where rates rose at a similar pace among adults 50 and older (figure 2B). Incidence increased in both younger and older age groups in about one-quarter of countries examined; among these, the magnitude of the AAPC for young adults was notably larger than that for older adults in Cyprus, Netherlands and Norway. In Norway, for example, the Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 AAPC was 1.9 (95% CI 1.4 to 2.5) among ages 20–49 versus 0.5 (95% CI 0.3 to 0.7) among ages 50 and older (figure 2B; online supplementary tables 1 and 2). In the Netherlands, the respective AAPCs were 2.0 (95% CI 1.6 to 2.4) versus 1.1 (95% CI 0.7 to 1.6), and the most recent linear (joinpoint) segment (2007–2012) was stable in older adults. Incidence in young adults began to increase in 1998 in Netherlands and 1996 in Norway according to joinpoint analysis, consistent with the timing of the trend in other high-income countries. Subsite-specific incidence trends Subsite-specific incidence trends varied with no clear pattern. For example, declines in early-onset CRC were confined to colon cancer in Italy and Lithuania, but to rectal cancer in Austria (online supplementary tables 3–4). In countries with increasing rates exclusively for early-onset disease, AAPCs were comparable for colon and rectal tumours in the USA, Sweden and Denmark; larger for, or confined to, colon tumours in Australia, New Zealand, Germany and UK; and larger for rectal tumours in Canada and Slovenia. Notably, rectal cancer incidence in the Netherlands increased among adults <50 years (AAPC, 1.9 (95% CI 1.4 to 2.5)) but not among older adults (AAPC, −0.1 (95% CI −0.8 to 0.7)). Importantly, the interpretation of 3 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer Figure 3 Colorectal cancer incidence trends by age, including the average annual per cent change (AAPC) during the most recent 10 years of available data, among countries with a unique increase in early-onset disease, by continent: (A) North America and Oceania (B) Europe. AAPC reflects incidence during 2003–2012 except for Australia (2006–2015); New Zealand (2007–2016); Sweden (2008–2017); USA (2007–2016). *AAPC is statistically significantly different from zero (p<0.05) using a two-sided test based on the permutation method. these subsite-specific differences is limited by the inclusion of appendiceal malignancies (C18.1) within the grouping for colon cancer (C18) in CI5 data. The AAPC for appendiceal cancer incidence in the USA during 2007–2016 was 15.5 (95% CI 11.5 to 19.7) in ages 20–49 years.19 We evaluated the extent to which the inclusion of appendiceal malignancies influenced our results 4 by calculating AAPCs for CRC and colon cancer in the absence of appendiceal cancer for three countries (USA, New Zealand and Canada) for which these data were available. In the USA, the AAPC during 2007–2016 in ages 20–49 years excluding appendix was 1.7 (95% CI 1.5 to 2.0) for CRC (vs 2.2 (95% CI 1.9 to 2.5) including appendix) and 1.3 (95% CI 1.0 to 1.7) for Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer colon cancer (vs 2.1 (95% CI 1.7 to 2.6) including appendix) (online supplementary table 7). Thus, the AAPC for colon cancer (excluding appendix) is substantially smaller than that for rectal cancer (2.1, 95% CI 1.7 to 2.5) whereas it previously appeared identical. Results were similar for New Zealand and Canada. Discussion We found that the geographic variation in CRC incidence among adults ages 20–49 mirrors that in older adults, with a threefold difference between the highest (12.9 per 100 000 in Korea) and lowest (3.5 per 100 000 in India) rates. In contrast, age-specific temporal trends were variable, with a decline limited to three countries (Austria, Italy and Lithuania) for young-onset CRC versus 11 for older adults. Conversely, increasing incidence was unique to young adults in nine high-income countries (Australia, Canada, Denmark, Germany, New Zealand, Slovenia, Sweden, UK and USA) spanning three continents, often against a backdrop of rapidly declining rates in older adults. Similarly, increasing trends in Cyprus, Netherlands and Norway were twice as steep in young adults as in older adults. Our findings are consistent with previous, mostly country-level studies of age-related differences in temporal trends of CRC.5 7–9 11 The most rapid increases in early-onset CRC occurred in countries where rates are already highest, such as Korea, which had the same pattern for older adults. Reasons for the high and escalating burden in Korea are unclear, but may be related to the rapid dietary transition that took place in the wake of remarkable economic growth following the Korean war.20 Changes in the food supply were also initiated by the importation of wheat from the USA in response to food shortages in the late 1960s, which prompted the production of many wheat-derived processed foods during the 1970s. Shortly thereafter was the introduction of fast-food restaurants especially popular among youth. The obesity epidemic may also be a factor, given that East Asia has experienced among the largest relative increases in body mass index (BMI) worldwide among both adults and children.21 Asians have disproportionately high levels of visceral adiposity compared with Caucasians,22 23 which may more strongly influence CRC risk than BMI or waist circumference.24 25 Another potential contributor is the high prevalence of early-life antibiotic use, which has been associated with increased risk of colorectal adenoma, especially in the rectum.26 A recent study found that among six high-income countries, South Korea had the highest rate of paediatric antibiotic consumption, sevenfold higher than that in Norway, which had the lowest rate.27 The adenoma detection rate among Korean individuals in their 40s has been reported at almost 30%,28 three times higher than that in Australians.29 Early-onset CRC also increased rapidly in countries where risk in older adults is declining at a similar pace, such as New Zealand, Australia, Canada and the USA. Reductions in CRC incidence among older adults in some countries are partly attributed to changing patterns in risk factors, such as reductions in smoking and widespread use of anti-inflammatory drugs.2 30 Likewise, rising incidence confined to young age groups signals changes in early life exposures that adversely influence CRC risk, particularly given the strong birth cohort effect apparent in the trend.5 9 11 Notably, eight of the nine countries with a unique rise in early-onset CRC had declining rates prior to the uptick beginning in the mid-1990s. Reductions in the prevalence of protective factors, such as physical activity (for colon cancer) and sufficient intake of dietary fibre, dairy, and fruits and vegetables, may play a role, as well as increased prevalence of obesity, smoking, Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 red and/or process meat consumption, and/or excess alcohol consumption.31 Obesity was recently found to be associated with a 20% excess risk of early-onset CRC,32 and prevalence has risen most rapidly in young adults33 and in English-speaking high-income countries,34 consistent with early-onset CRC patterns. However, increases in BMI are quite similar across Europe, despite varying CRC trends. For example, BMI increased from 24 kg/m2 in 1975 to 27 in 2014 in men in Germany, where early-onset CRC increased, as well as in Austria, Croatia, Israel and Italy, where it did not.34 BMI increases in women were smaller but also comparable. In addition, there are puzzling variations in the CRC trend by subsite,5 11 as well as by race/ethnicity and state within the USA,35 36 that suggest a role for risk factors beyond obesity. For example, obesity and a sedentary lifestyle are more strongly associated with colon tumours,37–40 yet rectal tumours appear to be driving the increase based on our findings herein and those of other studies.5 9 11 35 If this is true, the rectal epithelium may be more exposed and/or susceptible to the carcinogenic mechanisms causing the increase in disease. CRC risk is intrinsically linked to diet and its influence on gut immune response and inflammation.41 The global food supply has changed substantially in recent decades42 and evolving research is exploring the carcinogenic potential of relatively new food components. For example, associations have been uncovered between CRC and moderate consumption of sugar-sweetened beverages,43 as well as high fructose corn syrup specifically in animal studies,44 both in the absence of obesity and metabolic syndrome. An inflammatory diet, characterised by high consumption of processed foods and high-glycaemic load carbohydrates, creates an environment conducive to colonic proliferation45 and appears to increase CRC risk.46 What remains uncertain is how these dietary elements might influence early-life gut health. Importantly, the association between CRC and currently established risk factors is based almost entirely on disease occurrence in older aged cohorts.47 CRC screening programmes have mostly emerged over the past two decades and likely contributed to the declines in incidence among older adults in 11 countries. Of the 36 countries in our trend analysis, only four (Costa Rica, Cyprus, India and Philippines) lack a screening programme according to a recent global overview.48 In most countries, screening for CRC (generally with a stool test) is recommended to begin between the ages of 50 and 60 years. Exceptions are Italy, where screening begins at age 44 years, and China, Japan and Austria, where it begins at age 40. Notably, two (Austria and Italy) of the three countries where early-onset CRC declined have screened individuals beginning in their fourth decade since the early 1980s.48 Moreover, the decreasing trend among young adults in both Austria and Italy was confined to ages 40–49 years, with rates in ages 20–39 years increasing by 3% per year in Austria (data not shown). Although some of the rapid increases in early-onset CRC are reminiscent of the Korean thyroid cancer ‘epidemic’ that resulted from widespread ultrasound screening,49 overdetection of early-onset CRC is unlikely because screening before age 50 is rare in most countries, and mortality rates have also begun to rise.12 50 After an extensive evidence review, the American Cancer Society recently lowered the recommended age to begin screening from 50 to 45 because disease risk in individuals under 50 has shifted substantially51 and Cancer Intervention and Surveillance Modeling Network modelling studies found a greater benefit to burden ratio for initiation at age 45 compared with 50.52–54 The US Preventive Services Task Force, the other US entity that issues cancer screening guidelines, is currently in 5 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer the process of conducting an evidence review and expected to issue an updated recommendation by 2020–2021. Our study is the first to provide a comprehensive global assessment of contemporary trends in early-onset CRC based on high-quality population-based cancer incidence information. However, the interpretation of subsite-specific differences in CI5 data is limited by the inclusion of appendiceal malignancies within the grouping for colon cancer. Accumulating evidence suggests that these tumours differ from those that develop in the colon in their biology and other characteristics.55 Inclusion of appendix attenuates comparisons of the burden for colon versus rectal cancer. Additionally, although appendiceal cancer accounts for only about 10% of cases in ages <50 years (data for USA, New Zealand and Canada), incidence rates are rising rapidly in high-income countries56 57 due to changes in classification and improved detection. This likely hindered our ability to detect the steeper rise for rectal than for colon cancer that has been reported by numerous studies of early-onset CRC trends excluding appendix,5 9 11 but less often by those including appendix.12 Similarly, results from our sensitivity analyses that excluded appendix found larger increases for rectal than for colon tumours in each of the three countries with these data available. Incidence trends may also be influenced by temporal improvements in the quality of data, case capture, and specificity of coding. Other study limitations include incomplete population coverage for long-term incidence data in many countries; lack of more contemporary data (eg, since 2012) for most countries; and the absence of high-quality cancer registry data for the majority of low-income and middle-income countries. In summary, CRC incidence rates uniquely increased in young adults over the past two decades in nine high-income countries spanning three continents, often in sharp contrast to rapid declines in older adults. These patterns potentially signal changes in early-age exposures conducive to large bowel carcinogenesis and highlight an urgent need for research to explore the potentially unique aetiology of young-onset CRC. Beyond awaiting scientific discovery, clinicians have an opportunity to help mitigate premature morbidity and mortality from CRC with active documentation of familial cancer history; timely follow-up of symptoms, regardless of patient age; and screening when appropriate. Acknowledgements The authors gratefully acknowledge all cancer registries and their staff for their hard work and diligence in collecting cancer information, without which this research could not have been done. Contributors Study concept and design: RS, AJ. Analysis and interpretation of the data: RS, LT, AJ, IS. Drafting the manuscript: RS, LAT. Critical revision of the manuscript for important intellectual content: all authors. Funding The authors have not declared a specific grant for this research from any funding agency in the public, commercial or not-for-profit sectors. Competing interests None declared. Patient consent for publication Not required. Provenance and peer review Not commissioned; externally peer reviewed. Data availability statement Data are available in a public, open access repository. Data are available upon reasonable request. All data relevant to the study are included in the article or uploaded as supplementary information. References 1 Bray F, Ferlay J, Soerjomataram I, et al. Global cancer statistics 2018: GLOBOCAN estimates of incidence and mortality worldwide for 36 cancers in 185 countries. CA Cancer J Clin 2018;68:394–424. 2 Arnold M, Sierra MS, Laversanne M, et al. 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The rise in appendiceal cancer incidence: 2000-2009. J Gastrointest Surg 2015;19:743–50. 57 van den Heuvel MGW, Lemmens VEPP, Verhoeven RHA, et al. The incidence of mucinous appendiceal malignancies: a population-based study. Int J Colorectal Dis 2013;28:1307–10. 7 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer 

I'm providing you with your source material. You will not be using any outside material. Your job is to answer questions about the material. What factor is contributing most to the increased rate of colorectal cancer in young adults? Original article Global patterns and trends in colorectal cancer incidence in young adults Rebecca L Siegel,‍ ‍ 1 Lindsey A Torre,1 Isabelle Soerjomataram,2 Richard B Hayes,3 Freddie Bray,2 Thomas K Weber,4,5 Ahmedin Jemal1 ►► Additional material is published online only. To view please visit the journal online (http://​dx.​doi.o​ rg/​10.​1136/​ gutjnl-2​ 019-​319511). 1 Intramural Research Department, American Cancer Society, Atlanta, Georgia, USA 2 Section of Cancer Surveillance, International Agency for Research on Cancer, Lyon, France 3 Department of Population Health, New York University School of Medicine, New York, New York, USA 4 Department of Surgery, Donald and Barbara Zucker School of Medicine at Hofstra/Northwell, Hempstead, New York, USA 5 Department of Surgical Oncology, Northwell Health Cancer Institute, Great Neck, New York, USA Correspondence to Ms Rebecca L Siegel, American Cancer Society, Atlanta, GA 30303, USA; ​rebecca.​siegel@​cancer.​org Received 22 July 2019 Revised 16 August 2019 Accepted 21 August 2019 Abstract Objective Early-onset colorectal cancer (CRC) is increasing in the USA despite rapid declines in older ages. Similar patterns are reported in Australia and Canada, but a comprehensive global analysis of contemporary data is lacking. Design We extracted long-term data from Cancer Incidence in Five Continents and supplemental sources to report on worldwide CRC incidence rates and trends by age (20–49 years and ≥50 years) through diagnosis year 2012 or beyond (Australia, Finland, New Zealand, Norway, Sweden, USA). Results During 2008–2012, age-standardised CRC incidence rates in adults <50 ranged from 3.5 per 100 000 (95% CI 3.2 to 3.9) in India (Chennai) to 12.9 (95% CI 12.6 to 13.3) in Korea. During the most recent decade of available data, incidence in adults <50 was stable in 14 of 36 countries; declined in Austria, Italy and Lithuania; and increased in 19 countries, nine of which had stable or declining trends in older adults (Australia, Canada, Denmark, Germany, New Zealand, Slovenia, Sweden, UK and USA). In Cyprus, Netherlands and Norway, inclines in incidence in young adults were twice as rapid as those in older adults (eg, Norway average annual per cent change (AAPC), 1.9 (95% CI 1.4 to 2.5) vs 0.5 (95% CI 0.3 to 0.7)). Among most high-income countries with longterm data, the uptick in early-onset disease began in the mid-1990s. The steepest increases in young adults were in Korea (AAPC, 4.2 (95% CI 3.4 to 5.0)) and New Zealand (AAPC, 4.0 (95% CI 2.1 to 6.0)). Conclusion CRC incidence increased exclusively in young adults in nine high-income countries spanning three continents, potentially signalling changes in early-life exposures that influence large bowel carcinogenesis. Introduction © Author(s) (or their employer(s)) 2019. No commercial re-use. See rights and permissions. Published by BMJ. To cite: Siegel RL, Torre LA, Soerjomataram I, et al. Gut Epub ahead of print: [please include Day Month Year]. doi:10.1136/ gutjnl-2019-319511 Colorectal cancer (CRC) is the third most commonly diagnosed cancer worldwide, with an estimated 1.8 million new cases in 2018.1 Global patterns vary widely and are strongly linked to human development index level, reflecting the adoption of western lifestyles that accompany economic transition and elevate risk. In general, CRC incidence is rising in low-income and middle-income countries but beginning to stabilise or decline in high-income countries, especially those that have implemented screening.2 However, accumulating evidence from studies Significance of this study What is already known on this subject? ►► Colorectal cancer (CRC) incidence rates in young adults (aged <50 years) are increasing in several countries, despite declining rates in older adults. The extent to which this pattern is occurring on a global scale is unknown. What are the new findings? ►► CRC incidence rates are uniquely increasing in young adults in nine high-income countries (Germany, USA, Australia, Canada, New Zealand, UK, Denmark, Slovenia and Sweden) across North America, Europe and Oceania where rates in older adults are stable or declining. Conversely, CRC declined in young adults in only three countries (Italy, Austria and Lithuania) compared with 11 countries in adults 50 and older. How might it impact on clinical practice in the foreseeable future? ►► Improving awareness of the marked increases in young-onset CRC incidence could facilitate more diligent assessment of cancer family history by primary care clinicians, as well as follow-up of symptoms in young individuals, many of whom are diagnosed at a late stage. These findings also highlight the need for research on early-life exposures in relation to colorectal carcinogenesis. of cancer registry data indicates that favourable overall trends are masking an increase in young-onset CRC in the USA,3–6 Australia7 8 and Canada.9 Although the absolute risk of CRC in adults younger than 50 years is low relative to older adults, disease trends in young age groups are a key indicator of recent changes in risk factor exposures and often foreshadow the future cancer burden.10 In addition to country-specific analyses, there are recent reports on early-onset CRC occurrence in seven high-income countries,11 in Europe12 and in 11 ‘industrialised’ countries (data through 2007).13 However, a comprehensive examination of contemporary trends on a global scale is lacking. We analysed high-quality longterm population-based data on CRC occurrence by age at diagnosis for 43 countries covering six continents. Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511    1 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer Figure 1 Age-standardised incidence rate during 2008–2012 for colorectal cancer among adults ages 20–49 years. Bar shading indicates trend in incidence rates based on 10-year average annual per cent change; red: statistically significant increase; blue: statistically significant decrease; grey: stable or insufficient number of cases for trend analysis (‡). Rate for Finland unavailable.*Rate based on data during 2008-2010.†Excludes Nunavut, Quebec, and Yukon.‡Excluded from trend analysis due to insufficient number of annual cases.¶Rate based on data during 2008-2011. Methods We obtained high-quality population-based annual incidence data for colon and rectal cancer diagnosed through 2012 from the Cancer Incidence in Five Continents (CI5plus) database of the International Association of Cancer Registries and the International Agency for Research on Cancer (IARC).14 The CI5plus database is compiled from cancer registry data worldwide using a process that ensures comparable information that meets high quality standards established by IARC. Specifically, on submission the data coding is verified, the format is standardised, and an editorial board conducts an evaluation based on three dimensions of quality: comparability, completeness and validity. (For more information about the database, see c​ i5.​iarc.​ fr/​CI5-​XI/​Default.​aspx.) The population coverage of registries included in CI5 may be national or subnational. If a country is represented by one or more registries but without national coverage, the registries are specified. National or subnational registries with cancer incidence data going back to at least 1998 were included and multiple datasets from subnational registries within a single country were combined, resulting in a total of 43 countries examined. To take advantage of the availability of 2 more contemporary incidence, we obtained additional data by contacting individual registries or accessing publicly available data online. We acquired data through 2015 from Australia (​ www.​ aihw.​ gov.​ au/); through 2016 from Finland (personal communication), New Zealand (personal communication) and the USA (​seer.​cancer.​gov/​data/); and through 2017 from Norway (personal communication) and Sweden (​sdb.​socialstyrelsen.​se/​ if_​can/​val.​aspx). Seven countries had fewer than 10 CRC cases among ages 20–49 years in any single diagnosis year and were excluded from trend analysis. Incidence was stratified by age at diagnosis, categorised as 20–49 years (‘early-onset’) or 50 years or older (‘older adults’). Cancer subsite was categorised according to the International Classification of Diseases, 10th revision as colon (code C18) or rectum (code C19-C20). Given that trends in CRC incidence are quite similar in men and women overall2 and for earlyonset disease,6 15 16 the two sexes were combined to improve stability. Primary outcome measures were average annual incidence rates during diagnosis years 2008–2012 (42 countries; data unavailable for Finland) and time-weighted average annual per cent change (AAPC) in incidence rates during the last 10 years of available data (36 countries) based on joinpoint regression analysis. This method fits joined straight lines (joinpoints) to observed annual age-standardised rates on a logarithmic scale.17 The maximum number of joinpoints is determined by the number of years available for each country/registry and was limited to four for countries with ≥24 data years. Trends are described as ‘increasing’ or ‘decreasing’ if the AAPC is statistically significantly different from zero (p<0.05) and ‘stable’ otherwise. All rates are expressed per 100 000 population and age-standardised to the 1960 Segi world standard population (as modified by Doll and Cook).18 In a sensitivity analysis, we assessed the extent to which the inclusion of appendiceal cancer (C18.1) in the CI5plus grouping for colon cancer influenced our results by calculating rates and trends exclusive of appendix for three countries for which these data were available (USA, New Zealand and Canada). Results CRC incidence during 2008–2012 Among 42 countries with high-quality population-based cancer registry data, cross-sectional age-standardised CRC incidence rates in ages 20–49 years during 2008–2012 were lowest in India (Chennai; 3.5 per 100 000 (95% CI 3.2 to 3.9)); Uganda (3.8, 95% CI 3.0 to 4.6); and Chile (3.8, 95% CI 2.5 to 5.1) and highest in Korea (12.9, 95% CI 12.6 to 13.3); Australia (11.2, 95% CI 10.9 to 11.5); the USA (10.0, 95% CI 9.8 to 10.3); and Slovakia (10.0, 95% CI 9.3 to 10.7; figure 1; online supplementary table 1). The pattern in older adults was quite similar, with rates ranging from 27.5 (95% CI 25.9 to 29.1) in India to 192.5 (95% CI 188.6 to 196.3) in Slovakia (online supplementary table 2). Among young adults, incidence was generally higher for tumours developing in the colon than in the rectum, with a more than twofold difference in rates in Iceland, Italy and Cyprus (online supplementary tables 3 and 4). Exceptions were in Slovenia, where rates were similar, and Korea, India and China, where rates were slightly higher for rectal cancer. In contrast, incidence rates in older adults were a minimum of 7% higher for colon cancer than for rectal cancer (India, 14.2 per 100 000 vs 13.3) and commonly twofold higher, particularly in high incidence countries (online supplementary tables 5 and 6). Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer Figure 2 Average annual per cent change (AAPC) in colorectal cancer incidence by age during the most recent 10 years of available data (A) countries with stable or declining trend among adults age 50 and older (B) countries with increasing trend among adults age 50 and older. AAPC reflects incidence during 2003–2012 except for Australia (2006–2015); Costa Rica (2002–2011); Finland (2007–2016); New Zealand (2007–2016); Norway (2008–2017); Slovakia (2001–2010); Sweden (2008–2017); USA (2007–2016). *AAPC is statistically significantly different from zero (p<0.05) using a two-sided test based on the permutation method. CRC incidence trends Among 36 countries with a sufficient number of annual cases, CRC incidence in adults <50 during the past 10 years was stable in 14 countries and decreased in three—Austria, Italy and Lithuania—all by about 1% annually (online supplementary table 1). Incidence in adults 50 and older likewise declined in Austria and Italy, as well as in nine additional countries (online supplementary table 2). The increasing CRC trend in adults <50 in the remaining 19 countries was unique to that age group in nine countries (figure 2A). Among these nine countries, rates in older adults declined by 1%–2.4% per year in Germany, Canada, New Zealand, Australia, and USA, and were stable in UK, Sweden, Denmark, and Slovenia. Where data were available prior to 1990, the uptick in early-onset CRC began during 1992–1996 and was preceded by declining rates except in Slovenia, where there was a continuous increase of 0.8% per year from 1983 to 2012 (figure 3; online supplementary table 1). Early-onset CRC incidence increased most rapidly in Korea (AAPC, 4.2 (95% CI 3.4 to 5.0)), where rates rose at a similar pace among adults 50 and older (figure 2B). Incidence increased in both younger and older age groups in about one-quarter of countries examined; among these, the magnitude of the AAPC for young adults was notably larger than that for older adults in Cyprus, Netherlands and Norway. In Norway, for example, the Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 AAPC was 1.9 (95% CI 1.4 to 2.5) among ages 20–49 versus 0.5 (95% CI 0.3 to 0.7) among ages 50 and older (figure 2B; online supplementary tables 1 and 2). In the Netherlands, the respective AAPCs were 2.0 (95% CI 1.6 to 2.4) versus 1.1 (95% CI 0.7 to 1.6), and the most recent linear (joinpoint) segment (2007–2012) was stable in older adults. Incidence in young adults began to increase in 1998 in Netherlands and 1996 in Norway according to joinpoint analysis, consistent with the timing of the trend in other high-income countries. Subsite-specific incidence trends Subsite-specific incidence trends varied with no clear pattern. For example, declines in early-onset CRC were confined to colon cancer in Italy and Lithuania, but to rectal cancer in Austria (online supplementary tables 3–4). In countries with increasing rates exclusively for early-onset disease, AAPCs were comparable for colon and rectal tumours in the USA, Sweden and Denmark; larger for, or confined to, colon tumours in Australia, New Zealand, Germany and UK; and larger for rectal tumours in Canada and Slovenia. Notably, rectal cancer incidence in the Netherlands increased among adults <50 years (AAPC, 1.9 (95% CI 1.4 to 2.5)) but not among older adults (AAPC, −0.1 (95% CI −0.8 to 0.7)). Importantly, the interpretation of 3 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer Figure 3 Colorectal cancer incidence trends by age, including the average annual per cent change (AAPC) during the most recent 10 years of available data, among countries with a unique increase in early-onset disease, by continent: (A) North America and Oceania (B) Europe. AAPC reflects incidence during 2003–2012 except for Australia (2006–2015); New Zealand (2007–2016); Sweden (2008–2017); USA (2007–2016). *AAPC is statistically significantly different from zero (p<0.05) using a two-sided test based on the permutation method. these subsite-specific differences is limited by the inclusion of appendiceal malignancies (C18.1) within the grouping for colon cancer (C18) in CI5 data. The AAPC for appendiceal cancer incidence in the USA during 2007–2016 was 15.5 (95% CI 11.5 to 19.7) in ages 20–49 years.19 We evaluated the extent to which the inclusion of appendiceal malignancies influenced our results 4 by calculating AAPCs for CRC and colon cancer in the absence of appendiceal cancer for three countries (USA, New Zealand and Canada) for which these data were available. In the USA, the AAPC during 2007–2016 in ages 20–49 years excluding appendix was 1.7 (95% CI 1.5 to 2.0) for CRC (vs 2.2 (95% CI 1.9 to 2.5) including appendix) and 1.3 (95% CI 1.0 to 1.7) for Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer colon cancer (vs 2.1 (95% CI 1.7 to 2.6) including appendix) (online supplementary table 7). Thus, the AAPC for colon cancer (excluding appendix) is substantially smaller than that for rectal cancer (2.1, 95% CI 1.7 to 2.5) whereas it previously appeared identical. Results were similar for New Zealand and Canada. Discussion We found that the geographic variation in CRC incidence among adults ages 20–49 mirrors that in older adults, with a threefold difference between the highest (12.9 per 100 000 in Korea) and lowest (3.5 per 100 000 in India) rates. In contrast, age-specific temporal trends were variable, with a decline limited to three countries (Austria, Italy and Lithuania) for young-onset CRC versus 11 for older adults. Conversely, increasing incidence was unique to young adults in nine high-income countries (Australia, Canada, Denmark, Germany, New Zealand, Slovenia, Sweden, UK and USA) spanning three continents, often against a backdrop of rapidly declining rates in older adults. Similarly, increasing trends in Cyprus, Netherlands and Norway were twice as steep in young adults as in older adults. Our findings are consistent with previous, mostly country-level studies of age-related differences in temporal trends of CRC.5 7–9 11 The most rapid increases in early-onset CRC occurred in countries where rates are already highest, such as Korea, which had the same pattern for older adults. Reasons for the high and escalating burden in Korea are unclear, but may be related to the rapid dietary transition that took place in the wake of remarkable economic growth following the Korean war.20 Changes in the food supply were also initiated by the importation of wheat from the USA in response to food shortages in the late 1960s, which prompted the production of many wheat-derived processed foods during the 1970s. Shortly thereafter was the introduction of fast-food restaurants especially popular among youth. The obesity epidemic may also be a factor, given that East Asia has experienced among the largest relative increases in body mass index (BMI) worldwide among both adults and children.21 Asians have disproportionately high levels of visceral adiposity compared with Caucasians,22 23 which may more strongly influence CRC risk than BMI or waist circumference.24 25 Another potential contributor is the high prevalence of early-life antibiotic use, which has been associated with increased risk of colorectal adenoma, especially in the rectum.26 A recent study found that among six high-income countries, South Korea had the highest rate of paediatric antibiotic consumption, sevenfold higher than that in Norway, which had the lowest rate.27 The adenoma detection rate among Korean individuals in their 40s has been reported at almost 30%,28 three times higher than that in Australians.29 Early-onset CRC also increased rapidly in countries where risk in older adults is declining at a similar pace, such as New Zealand, Australia, Canada and the USA. Reductions in CRC incidence among older adults in some countries are partly attributed to changing patterns in risk factors, such as reductions in smoking and widespread use of anti-inflammatory drugs.2 30 Likewise, rising incidence confined to young age groups signals changes in early life exposures that adversely influence CRC risk, particularly given the strong birth cohort effect apparent in the trend.5 9 11 Notably, eight of the nine countries with a unique rise in early-onset CRC had declining rates prior to the uptick beginning in the mid-1990s. Reductions in the prevalence of protective factors, such as physical activity (for colon cancer) and sufficient intake of dietary fibre, dairy, and fruits and vegetables, may play a role, as well as increased prevalence of obesity, smoking, Siegel RL, et al. Gut 2019;0:1–7. doi:10.1136/gutjnl-2019-319511 red and/or process meat consumption, and/or excess alcohol consumption.31 Obesity was recently found to be associated with a 20% excess risk of early-onset CRC,32 and prevalence has risen most rapidly in young adults33 and in English-speaking high-income countries,34 consistent with early-onset CRC patterns. However, increases in BMI are quite similar across Europe, despite varying CRC trends. For example, BMI increased from 24 kg/m2 in 1975 to 27 in 2014 in men in Germany, where early-onset CRC increased, as well as in Austria, Croatia, Israel and Italy, where it did not.34 BMI increases in women were smaller but also comparable. In addition, there are puzzling variations in the CRC trend by subsite,5 11 as well as by race/ethnicity and state within the USA,35 36 that suggest a role for risk factors beyond obesity. For example, obesity and a sedentary lifestyle are more strongly associated with colon tumours,37–40 yet rectal tumours appear to be driving the increase based on our findings herein and those of other studies.5 9 11 35 If this is true, the rectal epithelium may be more exposed and/or susceptible to the carcinogenic mechanisms causing the increase in disease. CRC risk is intrinsically linked to diet and its influence on gut immune response and inflammation.41 The global food supply has changed substantially in recent decades42 and evolving research is exploring the carcinogenic potential of relatively new food components. For example, associations have been uncovered between CRC and moderate consumption of sugar-sweetened beverages,43 as well as high fructose corn syrup specifically in animal studies,44 both in the absence of obesity and metabolic syndrome. An inflammatory diet, characterised by high consumption of processed foods and high-glycaemic load carbohydrates, creates an environment conducive to colonic proliferation45 and appears to increase CRC risk.46 What remains uncertain is how these dietary elements might influence early-life gut health. Importantly, the association between CRC and currently established risk factors is based almost entirely on disease occurrence in older aged cohorts.47 CRC screening programmes have mostly emerged over the past two decades and likely contributed to the declines in incidence among older adults in 11 countries. Of the 36 countries in our trend analysis, only four (Costa Rica, Cyprus, India and Philippines) lack a screening programme according to a recent global overview.48 In most countries, screening for CRC (generally with a stool test) is recommended to begin between the ages of 50 and 60 years. Exceptions are Italy, where screening begins at age 44 years, and China, Japan and Austria, where it begins at age 40. Notably, two (Austria and Italy) of the three countries where early-onset CRC declined have screened individuals beginning in their fourth decade since the early 1980s.48 Moreover, the decreasing trend among young adults in both Austria and Italy was confined to ages 40–49 years, with rates in ages 20–39 years increasing by 3% per year in Austria (data not shown). Although some of the rapid increases in early-onset CRC are reminiscent of the Korean thyroid cancer ‘epidemic’ that resulted from widespread ultrasound screening,49 overdetection of early-onset CRC is unlikely because screening before age 50 is rare in most countries, and mortality rates have also begun to rise.12 50 After an extensive evidence review, the American Cancer Society recently lowered the recommended age to begin screening from 50 to 45 because disease risk in individuals under 50 has shifted substantially51 and Cancer Intervention and Surveillance Modeling Network modelling studies found a greater benefit to burden ratio for initiation at age 45 compared with 50.52–54 The US Preventive Services Task Force, the other US entity that issues cancer screening guidelines, is currently in 5 Gut: first published as 10.1136/gutjnl-2019-319511 on 5 September 2019. Downloaded from http://gut.bmj.com/ on September 10, 2019 at Emory Univ Health Science Library. Protected by copyright. GI cancer the process of conducting an evidence review and expected to issue an updated recommendation by 2020–2021. Our study is the first to provide a comprehensive global assessment of contemporary trends in early-onset CRC based on high-quality population-based cancer incidence information. However, the interpretation of subsite-specific differences in CI5 data is limited by the inclusion of appendiceal malignancies within the grouping for colon cancer. Accumulating evidence suggests that these tumours differ from those that develop in the colon in their biology and other characteristics.55 Inclusion of appendix attenuates comparisons of the burden for colon versus rectal cancer. Additionally, although appendiceal cancer accounts for only about 10% of cases in ages <50 years (data for USA, New Zealand and Canada), incidence rates are rising rapidly in high-income countries56 57 due to changes in classification and improved detection. This likely hindered our ability to detect the steeper rise for rectal than for colon cancer that has been reported by numerous studies of early-onset CRC trends excluding appendix,5 9 11 but less often by those including appendix.12 Similarly, results from our sensitivity analyses that excluded appendix found larger increases for rectal than for colon tumours in each of the three countries with these data available. Incidence trends may also be influenced by temporal improvements in the quality of data, case capture, and specificity of coding. Other study limitations include incomplete population coverage for long-term incidence data in many countries; lack of more contemporary data (eg, since 2012) for most countries; and the absence of high-quality cancer registry data for the majority of low-income and middle-income countries. In summary, CRC incidence rates uniquely increased in young adults over the past two decades in nine high-income countries spanning three continents, often in sharp contrast to rapid declines in older adults. These patterns potentially signal changes in early-age exposures conducive to large bowel carcinogenesis and highlight an urgent need for research to explore the potentially unique aetiology of young-onset CRC. Beyond awaiting scientific discovery, clinicians have an opportunity to help mitigate premature morbidity and mortality from CRC with active documentation of familial cancer history; timely follow-up of symptoms, regardless of patient age; and screening when appropriate. Acknowledgements The authors gratefully acknowledge all cancer registries and their staff for their hard work and diligence in collecting cancer information, without which this research could not have been done. Contributors Study concept and design: RS, AJ. Analysis and interpretation of the data: RS, LT, AJ, IS. Drafting the manuscript: RS, LAT. Critical revision of the manuscript for important intellectual content: all authors. Funding The authors have not declared a specific grant for this research from any funding agency in the public, commercial or not-for-profit sectors. Competing interests None declared. Patient consent for publication Not required. Provenance and peer review Not commissioned; externally peer reviewed. Data availability statement Data are available in a public, open access repository. Data are available upon reasonable request. All data relevant to the study are included in the article or uploaded as supplementary information. References 1 Bray F, Ferlay J, Soerjomataram I, et al. Global cancer statistics 2018: GLOBOCAN estimates of incidence and mortality worldwide for 36 cancers in 185 countries. CA Cancer J Clin 2018;68:394–424. 2 Arnold M, Sierra MS, Laversanne M, et al. 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You are instructed to use the text below to answer my question. You are not allowed to use any external resource, prior knowledge, or previous training.

Summarize this document into easily executable bullet points.

Week 1, Day 1 What you will see first is the Adventure Screen. This is where you will spend a great deal of time while playing Heroes III. The main window provides you with a close view around your heroes and cities, while the world map (located in the upper-right corner of the screen) shows you a small view of the entire world. Notice that most of the world map is black – that is because until you send a hero to explore an area you won’t know what is there. Don’t worry about any of the other buttons below the World Map, these will be described in greater detail later. Your first hero, Lord Haart, should already be selected (he’s sitting on his horse, waiting for instructions). The first thing we’ll want him to do is visit the town, so place your mouse cursor over the entrance to the town (between the two flag poles). Notice how the horse icon rears up on its hind legs – this means that by traveling to that location, your hero will interact with whatever is there. Also, the name and a short description of the location appears in the Rollover Bar at the bottom of the screen (the rollover bar appears on nearly every screen in Heroes III and gives useful, context sensitive information). When you click on a location, a set of green arrows show the path your hero will take to reach the large green X. It is this X that marks your hero’s destination. Click again on the same location and your hero will move to the castle (a fast way to move is to simply double click on an intended destination – the first click selects the path, the second click sends the hero). When the hero arrives at the entrance to the town, the view will change to the Town Screen. Town Screen This is the Town Screen for the Castle town type (there are eight different town types in Heroes III, each with its own unique creatures and buildings). Most of this screen is taken up by the town view. Any structures or upgrades you build in this town will appear here. As you can see, several structures have already been constructed. Specific information about the town is displayed in the bottom-left corner of the screen, including town income (per day) and troop production (per week). To the right of the town info are two rows of boxes. The top row is for any troops that are currently in the town’s garrison, the bottom row is for any troops currently visiting a town with a hero. The first thing you will want to do is build a Fort. To do so, click on the larger of the two buildings on the left side of the town view – the Town Hall – to enter the Hall Screen. The Hall Screen is where you make all your construction decisions. Any building you can currently build is shown with its name in a green bar. Any building that you can not build, but can be built later is shown with its name in a red bar. If a building has been disabled or can never be built, its name will appear in a gray bar. Once you have completely built or upgraded a structure as high as it will go, its name will be displayed in gold. Click on the picture of the Fort. You will be shown a description of what the Fort does, as well as what resources are required to build it. Click on the Build button (in the lower left hand corner of the popup window) and the Fort will be constructed. Now that you have a Fort, click on it to view the Castle Window. This window shows you information about all seven units that can be produced by this town. Any troop-producing structures (usually referred to as Creature Generators) that are already constructed will show a number of Available units (currently the Guardhouse, Archers’ Tower, and Barracks show units available – the other structures have not been built yet). Click the Exit button (lower right) to return to the Town Screen. The round tower on the right side of the screen is your Mage Guild. It is here that heroes go to learn the spells that they will cast while adventuring. Click on the Mage Guild, then choose to buy a spell book. Since Lord Haart is a Knight, he does not begin with a spell book. All heroes must have a spell book before they can learn or cast spells. Once you agree to purchase a spell book, you are shown the Mage Guild Screen. Each of the spells the Mage Guild offers is listed on scrolls on the various shelves in the guild. Left or right clicking on any spell scroll will show you a description of that spell. When you are ready to leave, click on the Exit button (lower right). Your hero starts with troops, but it’s really just a token force, so you should buy any available troops and add them to his army. Along the hill at the back of your town are three towers. Click on the large central tower. The Recruit Pikemen window is displayed. Using the scroll bar you can select how many troops you wish to purchase, and the total cost is calculated to the right. However, the fastest way to buy troops is to use the Maximum button (the four up arrows at the bottom of the popup window) which will automatically calculate the maximum number of troops available that you can currently afford. Click the Maximum button, then click the Recruit button (bottom center). Notice how there are now Pikemen in the garrison row of your town.

System instructions: You are instructed to use the text below to answer my question. You are not allowed to use any external resource, prior knowledge, or previous training. Question: Summarize this document into easily executable bullet points. Context: Week 1, Day 1 What you will see first is the Adventure Screen. This is where you will spend a great deal of time while playing Heroes III. The main window provides you with a close view around your heroes and cities, while the world map (located in the upper-right corner of the screen) shows you a small view of the entire world. Notice that most of the world map is black – that is because until you send a hero to explore an area you won’t know what is there. Don’t worry about any of the other buttons below the World Map, these will be described in greater detail later. Your first hero, Lord Haart, should already be selected (he’s sitting on his horse, waiting for instructions). The first thing we’ll want him to do is visit the town, so place your mouse cursor over the entrance to the town (between the two flag poles). Notice how the horse icon rears up on its hind legs – this means that by traveling to that location, your hero will interact with whatever is there. Also, the name and a short description of the location appears in the Rollover Bar at the bottom of the screen (the rollover bar appears on nearly every screen in Heroes III and gives useful, context sensitive information). When you click on a location, a set of green arrows show the path your hero will take to reach the large green X. It is this X that marks your hero’s destination. Click again on the same location and your hero will move to the castle (a fast way to move is to simply double click on an intended destination – the first click selects the path, the second click sends the hero). When the hero arrives at the entrance to the town, the view will change to the Town Screen. Town Screen This is the Town Screen for the Castle town type (there are eight different town types in Heroes III, each with its own unique creatures and buildings). Most of this screen is taken up by the town view. Any structures or upgrades you build in this town will appear here. As you can see, several structures have already been constructed. Specific information about the town is displayed in the bottom-left corner of the screen, including town income (per day) and troop production (per week). To the right of the town info are two rows of boxes. The top row is for any troops that are currently in the town’s garrison, the bottom row is for any troops currently visiting a town with a hero. The first thing you will want to do is build a Fort. To do so, click on the larger of the two buildings on the left side of the town view – the Town Hall – to enter the Hall Screen. The Hall Screen is where you make all your construction decisions. Any building you can currently build is shown with its name in a green bar. Any building that you can not build, but can be built later is shown with its name in a red bar. If a building has been disabled or can never be built, its name will appear in a gray bar. Once you have completely built or upgraded a structure as high as it will go, its name will be displayed in gold. Click on the picture of the Fort. You will be shown a description of what the Fort does, as well as what resources are required to build it. Click on the Build button (in the lower left hand corner of the popup window) and the Fort will be constructed. Now that you have a Fort, click on it to view the Castle Window. This window shows you information about all seven units that can be produced by this town. Any troop-producing structures (usually referred to as Creature Generators) that are already constructed will show a number of Available units (currently the Guardhouse, Archers’ Tower, and Barracks show units available – the other structures have not been built yet). Click the Exit button (lower right) to return to the Town Screen. The round tower on the right side of the screen is your Mage Guild. It is here that heroes go to learn the spells that they will cast while adventuring. Click on the Mage Guild, then choose to buy a spell book. Since Lord Haart is a Knight, he does not begin with a spell book. All heroes must have a spell book before they can learn or cast spells. Once you agree to purchase a spell book, you are shown the Mage Guild Screen. Each of the spells the Mage Guild offers is listed on scrolls on the various shelves in the guild. Left or right clicking on any spell scroll will show you a description of that spell. When you are ready to leave, click on the Exit button (lower right). Your hero starts with troops, but it’s really just a token force, so you should buy any available troops and add them to his army. Along the hill at the back of your town are three towers. Click on the large central tower. The Recruit Pikemen window is displayed. Using the scroll bar you can select how many troops you wish to purchase, and the total cost is calculated to the right. However, the fastest way to buy troops is to use the Maximum button (the four up arrows at the bottom of the popup window) which will automatically calculate the maximum number of troops available that you can currently afford. Click the Maximum button, then click the Recruit button (bottom center). Notice how there are now Pikemen in the garrison row of your town.