Two commenters commented that the definition of picture 
identification card is vague, in particular because it does not include 
documents issued by a foreign government but does include as an example 
a foreign passport. In response to these comments, the Department has 
clarified that the definition includes a foreign government-issued 
passport or any other document issued by a foreign government or a 
political subdivision thereof only when both the person who is the 
subject of the picture identification card and the producer maintaining 
the required records are located outside the United States. The 
definition also clarifies that it includes a U.S. government-issued 
Permanent Resident Card (commonly known as a ``Green Card'') or other 
U.S. government-issued Employment Authorization Document.
    Two commenters commented that the proposed rule did not define 
qualifications for, or process for authorization of, inspectors. The 
Department declines to adopt this comment. Through 18 U.S.C. 2257 
Congress has authorized the Attorney General to inspect records, and 
the Attorney General may delegate this authority to any agency deemed 
appropriate by virtue of the Attorney General's delegation authority 
under 28 U.S.C. 510.
    One commenter commented that the inclusion in the definition of 
secondary producer of anyone who ``enters into a contract, agreement, 
or conspiracy'' to produce a sexually explicit depiction was irrational 
because such a person was not likely to have had a relationship with 
the performer and may not have had knowledge of the content of the 
depiction. The Department declines to adopt this comment. The statute 
contemplates such relationships as being covered by its requirements.
    One commenter commented that the definition of a primary producer 
as anyone who ``digitizes an image'' could be read to include anyone 
who scans or digitizes a photograph or negative. The commenter 
suggested that someone who performs that activity should be exempted 
from the record-keeping requirements in the same way that photo 
processors are exempt under Sec.  75.1(c)(4)(i). The Department adopts 
this comment and has clarified in the final rule that someone who 
solely digitizes a pre-existing photograph or negative as part of a 
commercial enterprise and has no other commercial interest in the 
production, reproduction, sale, distribution, or other transfer of the 
sexually explicit depiction is exempt from the requirements of Sec.  
75. As reflected in the phrase ``has no other commercial interest in 
the production, reproduction, sale, distribution, or other transfer of 
the sexually explicit depiction,'' this definition is intended to apply 
to businesses that are analogous to photo processors in their lack of 
commercial interest in the sexually explicit material, and who are 
separate and distinct from the on-line distributors of pornography who 
digitize the covers of videos, DVDs, etc., who are included in the 
definition of secondary producer, as discussed above.
    One commenter commented that the requirement regarding the 
placement of the statement in films and videotapes in Sec.  75.8 was 
unclear as to whether the statement was required in the ``end 
credits,'' ``end titles,'' or ``final credits'' and what constituted 
those sections of the film. The commenter also suggested that Sec.  
75.8(b) and (c) be combined more easily to describe the placement of 
the statement. The Department adopts this comment. It has combined 
Sec.  75.8(b) and (c) and clarified that the statement must appear in 
the end credits of films and videotapes that have such end credits, 
which are defined as the section of the film that lists information 
about the production, direction, distribution, names of performers, or 
any other matter that is normally understood as constituting ``end 
credits'' of a commercial film or videotape.
    One commenter commented that the definition of sell, distribute, 
redistribute, and re-release in Sec.  75.1(d) is redundant because it 
restricts the terms to their commercial meaning but then notes that the 
terms do not apply to noncommercial or educational distribution. In 
addition, the commenter comments, it provides examples of the type of 
education institutions whose distributions would not be covered. 
According to the commenter, this list is also redundant. The Department 
declines to adopt this comment. The definition's plain language is not 
redundant; rather, it is as specific as possible regarding what is 
commercial and what is noncommercial. In addition, the examples clearly 
constitute a non-exhaustive list of institutions and clarify the 
meaning of the term noncommercial.