Adjustment of Civil Monetary Penalties for Inflation, 297-298 [05-100]
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Federal Register / Vol. 70, No. 2 / Tuesday, January 4, 2005 / Rules and Regulations
DEPARTMENT OF EDUCATION
34 CFR Part 36
Adjustment of Civil Monetary Penalties
for Inflation
Department of Education.
Final regulations.
AGENCY:
ACTION:
SUMMARY: The Department of Education
(Department) issues these final
regulations to adjust the Department’s
civil monetary penalties (CMPs) for
inflation.
DATES: These regulations are effective
January 4, 2005.
FOR FURTHER INFORMATION CONTACT: Lisa
Kanter, Office of the General Counsel,
U.S. Department of Education, 400
Maryland Avenue, SW., room 6E205,
Washington, DC 20202–2241.
Telephone: (202) 401–8300.
If you use a telecommunications
device for the deaf (TDD), you may call
the Federal Information Relay Service
(FIRS) at 1 (800) 877–8339.
Individuals with disabilities may
obtain this document in an alternative
format (e.g., Braille, large print,
audiotape, or computer diskette) on
request to the contact person listed
under FOR FURTHER INFORMATION
CONTACT.
SUPPLEMENTARY INFORMATION: The
Federal Civil Penalties Adjustment Act
of 1990 (Inflation Adjustment Act) (28
U.S.C. 2461 note), as amended by the
Debt Collection Improvement Act of
1996 (DCIA) (31 U.S.C. 3701 note),
provides for the regular evaluation of
CMPs to ensure that they continue to
maintain their deterrent value. As
amended by the DCIA, the Inflation
Adjustment Act requires that each
agency issue regulations to adjust its
CMPs beginning in 1996 and at least
every 4 years thereafter. The
Department’s initial adjustment to each
CMP was published in the Federal
Register on November 18, 2002 (67 FR
69654) and became effective on the date
of publication. Although it has not been
4 years since the Department’s last
adjustments, had the Department
published adjustments in 1996 and
2000, it would now be time to adjust its
CMPs. Accordingly, the Department is
now making any necessary adjustments.
A CMP is defined in the statute as any
penalty, fine, or other sanction that is
(1) for a specific monetary amount as
provided by Federal law, or has a
maximum amount provided for by
Federal law; (2) assessed or enforced by
an agency pursuant to Federal law; and
(3) assessed or enforced pursuant to an
administrative proceeding or a civil
action in the Federal courts.
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15:29 Jan 03, 2005
Jkt 205001
The formula for the amount of a CMP
inflation adjustment is prescribed by
law and is not subject to the exercise of
discretion by the Secretary of the
Department of Education (Secretary).
The adjustment reflects the percentage
increase in the Consumer Price Index
for all urban consumers (CPI–U)
published by the Department of Labor
from June of the calendar year in which
the amount was last set or adjusted
pursuant to law, to June of the calendar
year preceding the adjustment.
Four of the Department’s CMP were
adjusted in 2002. These CMPs are (1) 20
U.S.C. 1082(g), which provides for a fine
of up to $27,500 for violations by
lenders and guaranty agencies of Title
IV–B of the Higher Education Act of
1965, as amended (HEA), which
authorizes the Federal Family Education
Loan Program; (2) 20 U.S.C.
1094(c)(3)(B), which provides for a fine
of up to $27,500 for an institution of
higher education’s violation of Title IV
of the HEA, which authorizes various
programs of student financial assistance;
(3) 31 U.S.C. 1352(c)(1) and (c)(2)(A),
which provide for a fine of $11,000 to
$110,000 for recipients of Government
grants, contracts, etc. that lobby
Congress or the Executive Branch with
respect to the award of Government
grants and contracts; and (4) 31 U.S.C.
3802(a)(1) and (a)(2), which provide for
a fine of up to $5,500 for false claims
and statements made to the
Government. For these four CMPs, not
enough inflation has occurred since
2002 to require an adjustment under the
Inflation Adjustment Act.
Two of the Department’s CMPs were
enacted as part of the Higher Education
Amendments of 1998 (Pub. L. 105–244).
These CMPs are 20 U.S.C. 1015(c)(5),
which provides for a fine of up to
$25,000 for failure by an institution of
higher education (IHE) to provide
information on the cost of higher
education to the Commissioner of
Education Statistics, and 20 U.S.C.
1027(f)(3), which provides for a fine of
up to $25,000 for failure by an IHE to
provide information to the State and the
public regarding its teacher preparation
programs. In 2002, when the
Department last adjusted its CMPs, not
enough inflation had occurred to require
an adjustment to these CMPs under the
Inflation Adjustment Act. At this time,
however, there has been more than 10
percent inflation, warranting an
adjustment for each of these CMPs. By
statute, the Department’s first
adjustment of a CMP may not exceed 10
percent of such a penalty, and,
therefore, we are adjusting these CMPs
by 10 percent.
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297
Two additional points regarding the
Department’s adjustments are worth
noting. First, the Department is using
the following CPI–U figures as measures
of inflation: 163 for June 1998; 179.9 for
June 2002; and 183.7 for June 2003.
Second, the increases to the
Department’s CMPs due to these
inflation adjustments apply only to
violations that occur after the effective
date of the adjustments.
Waiver of Proposed Rulemaking
Under the Administrative Procedure
Act (5 U.S.C. 553), the Department
generally offers interested parties the
opportunity to comment on proposed
regulations. However, these regulations
merely implement the statutory
mandate to adjust CMPs for inflation.
The regulations reflect administrative
computations performed by the
Department as prescribed by the statute
and do not establish or affect
substantive policy. Therefore, under 5
U.S.C. 553(b)(B), the Secretary has
determined that public notice and
comment are impracticable,
unnecessary, and contrary to the public
interest.
Regulatory Flexibility Act Certification
The Secretary certifies that these
regulations will not have a significant
economic impact on a substantial
number of small entities. The formula
for the amount of the inflation
adjustments is prescribed by statute and
is not subject to the exercise of
discretion by the Secretary. These CMPs
are infrequently imposed by the
Secretary, and the regulations do not
involve any special considerations that
might affect the imposition of CMPs on
small entities.
Paperwork Reduction Act of 1995
These regulations do not contain any
information collection requirements.
Assessment of Educational Impact
Based on our own review, we have
determined that these final regulations
do not require transmission of
information that any other agency or
authority of the United States gathers or
makes available.
Electronic Access to This Document
You may view this document, as well
as all other documents of this
Department published in the Federal
Register, in text or Adobe Portable
Document Format (PDF) on the Internet
at the following site: https://www.ed.gov/
news/fedregister.
To use PDF you must have Adobe
Acrobat Reader, which is available free
at this site. If you have questions about
E:\FR\FM\04JAR1.SGM
04JAR1
298
Federal Register / Vol. 70, No. 2 / Tuesday, January 4, 2005 / Rules and Regulations
using PDF, call the U.S. Government
Printing Office (GPO), toll free, at 1–
888–293–6498; or in the Washington,
DC, area at (202) 512–1530.
Note: The official version of this document
is the document published in the Federal
Register. Free Internet access to the official
edition of the Federal Register and the Code
of Federal Regulations is available on GPO
Access at: https://www.gpoaccess.gov/nara/
index.html.
List of Subjects in 34 CFR Part 36
Claims, Fraud, Penalties.
Dated: December 28, 2004.
Eugene W. Hickok,
Deputy Secretary of Education.
PART 36—ADJUSTMENT OF CIVIL
MONETARY PENALTIES FOR
INFLATION
1. The authority citation for part 36
continues to read as follows:
I
For the reasons discussed in the
preamble, the Secretary amends part 36
in title 34 of the Code of Federal
Regulations as follows:
I
Authority: 28 U.S.C. 2461 note and 31
U.S.C. 3701 note, unless otherwise noted.
2. Section 36.2 is amended by revising
Table I to read as follows:
I
§ 36.2
(Catalog of Federal Domestic Assistance
Number does not apply)
*
Penalty adjustment.
*
*
*
*
TABLE I, SECTION 36.2.—CIVIL MONETARY PENALTY INFLATION ADJUSTMENTS
New maximum (and
minimum, if applicable)
penalty amount
Statute
Description
20 U.S.C. 1015(c)(5) .................
Provides for a fine of up to $25,000 for failure by an institution of higher education
(IHE) to provide information on the cost of higher education to the Commissioner
of Education Statistics.
Provides for a fine of up to $25,000 for failure by an IHE to provide information to
the State and the public regarding its teacher-preparation programs.
Provides for a civil penalty of up to $25,000 for violations by lenders and guaranty
agencies of Title IV–B of the Higher Education Act of 1965, as amended (HEA),
which authorizes the Federal Family Education Loan Program.
Provides for a civil penalty of up to $25,000. for an institution of higher education’s
violation of Title IV of the Higher Education Act of 1965, as amended, which authorizes various programs of student financial assistance.
Provides for a civil penalty of $10,000 to $100,000 for recipients of Government
grants, contracts, etc. that lobby Congress or the Executive Branch with respect to
the award of Government grants and contracts.
Provides for a civil penalty of up to $5,000. for false claims and statements made to
the Government.
20 U.S.C. 1027(f)(3) ..................
20 U.S.C. 1082(g) .....................
20 U.S.C. 1094(c)(3)(B) ............
31 U.S.C. 1352(c)(1) and
(c)(2)(A).
31 U.S.C. 3802(a)(1) and (a)(2)
*
*
*
*
*
(VIR), Room 4035, GS Building,
Washington, DC, 20405, (202) 501–4225,
for information pertaining to status or
publication schedules. For clarification
of content, contact Mr. Ernest Woodson,
Procurement Analyst, at (202) 501–
3775. Please cite Amendment 2004–05,
GSAR case 2004–G501 (Change 13).
SUPPLEMENTARY INFORMATION:
[FR Doc. 05–100 Filed 1–3–05; 8:45 am]
BILLING CODE 4000–01–P
GENERAL SERVICES
ADMINISTRATION
48 CFR Parts 533 and 552
GSAR Amendment 2004–05; GSAR Case
2004–G501 (Change 13)
RIN 3090–AH98
General Services Administration
Acquisition Regulation; Disputes and
Appeals
General Services
Administration (GSA), Office of the
Chief Acquisition Officer.
ACTION: Final rule.
AGENCIES:
SUMMARY: The General Services
Administration (GSA) is amending the
General Services Administration
Acquisition Regulation (GSAR) to add a
clause that supplements the Disputes
clause in the Federal Acquisition
Regulation (see 48 CFR Chapter 1).
DATES: Effective Date: January 4, 2005.
FOR FURTHER INFORMATION CONTACT: Ms.
Laurieann Duarte, Regulatory Secretariat
VerDate jul<14>2003
15:29 Jan 03, 2005
Jkt 205001
A. Background
Federal Acquisition Regulation (FAR)
Subpart 33.2 (48 CFR subpart 33.2)
implements the requirements of the
Contract Disputes Act of 1978, as
amended (41 U.S.C. 601–613) (the Act),
which establishes procedures and
requirements for asserting and resolving
claims subject to the Act. It is the
Government’s policy to resolve all
contractual issues in controversy by
mutual agreement at the contracting
officer level. The Act provides for
Agencies Boards of Contract Appeals
(Boards) and the United States Court of
Federal Claims (Court) to resolve
appeals of a contracting officer’s
decision. However, the Boards and
Court do not have authority to interpret
tariffs or tariff-related matters
established through public hearings in
each jurisdiction for regulated utilities.
PO 00000
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$27,500.
$27,500.
$27,500.
$27,500.
$11,000 to $110,000.
$5,500.
The authority pertaining to these
matters lie with state public utility
commissions.
A proposed rule was published in the
Federal Register at 69 FR 40730, July 6,
2004. No comments were received from
the public.
FAR section 33.215 requires that the
clause 52.233–1, Disputes, be inserted
in all solicitations and contracts, except
those with a foreign government or
agency of that government, or an
international organization or subsidiary
body of that organization, if the agency
head determines that the application of
the Act to the contract would not be in
the public interest. GSA’s Public
Buildings Service awards contracts for
public utility services. From time-totime, disputes may arise from those
contracts that involve tariffs and tariffrelated matters. This rule provides for a
supplement to FAR 52.233–1, Disputes,
allowing for such disputes to be subject
to the jurisdiction and regulation of the
utility rate commission having
jurisdiction. This rule also provides
GSA contracting officers and
contractors, acting under a utility
service contract, with specific guidance
regarding the resolution of disputes
E:\FR\FM\04JAR1.SGM
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]]>Agencies
[Federal Register Volume 70, Number 2 (Tuesday, January 4, 2005)]
[Rules and Regulations]
[Pages 297-298]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-100]
[[Page 297]]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF EDUCATION
34 CFR Part 36
Adjustment of Civil Monetary Penalties for Inflation
AGENCY: Department of Education.
ACTION: Final regulations.
-----------------------------------------------------------------------
SUMMARY: The Department of Education (Department) issues these final
regulations to adjust the Department's civil monetary penalties (CMPs)
for inflation.
DATES: These regulations are effective January 4, 2005.
FOR FURTHER INFORMATION CONTACT: Lisa Kanter, Office of the General
Counsel, U.S. Department of Education, 400 Maryland Avenue, SW., room
6E205, Washington, DC 20202-2241. Telephone: (202) 401-8300.
If you use a telecommunications device for the deaf (TDD), you may
call the Federal Information Relay Service (FIRS) at 1 (800) 877-8339.
Individuals with disabilities may obtain this document in an
alternative format (e.g., Braille, large print, audiotape, or computer
diskette) on request to the contact person listed under FOR FURTHER
INFORMATION CONTACT.
SUPPLEMENTARY INFORMATION: The Federal Civil Penalties Adjustment Act
of 1990 (Inflation Adjustment Act) (28 U.S.C. 2461 note), as amended by
the Debt Collection Improvement Act of 1996 (DCIA) (31 U.S.C. 3701
note), provides for the regular evaluation of CMPs to ensure that they
continue to maintain their deterrent value. As amended by the DCIA, the
Inflation Adjustment Act requires that each agency issue regulations to
adjust its CMPs beginning in 1996 and at least every 4 years
thereafter. The Department's initial adjustment to each CMP was
published in the Federal Register on November 18, 2002 (67 FR 69654)
and became effective on the date of publication. Although it has not
been 4 years since the Department's last adjustments, had the
Department published adjustments in 1996 and 2000, it would now be time
to adjust its CMPs. Accordingly, the Department is now making any
necessary adjustments.
A CMP is defined in the statute as any penalty, fine, or other
sanction that is (1) for a specific monetary amount as provided by
Federal law, or has a maximum amount provided for by Federal law; (2)
assessed or enforced by an agency pursuant to Federal law; and (3)
assessed or enforced pursuant to an administrative proceeding or a
civil action in the Federal courts.
The formula for the amount of a CMP inflation adjustment is
prescribed by law and is not subject to the exercise of discretion by
the Secretary of the Department of Education (Secretary). The
adjustment reflects the percentage increase in the Consumer Price Index
for all urban consumers (CPI-U) published by the Department of Labor
from June of the calendar year in which the amount was last set or
adjusted pursuant to law, to June of the calendar year preceding the
adjustment.
Four of the Department's CMP were adjusted in 2002. These CMPs are
(1) 20 U.S.C. 1082(g), which provides for a fine of up to $27,500 for
violations by lenders and guaranty agencies of Title IV-B of the Higher
Education Act of 1965, as amended (HEA), which authorizes the Federal
Family Education Loan Program; (2) 20 U.S.C. 1094(c)(3)(B), which
provides for a fine of up to $27,500 for an institution of higher
education's violation of Title IV of the HEA, which authorizes various
programs of student financial assistance; (3) 31 U.S.C. 1352(c)(1) and
(c)(2)(A), which provide for a fine of $11,000 to $110,000 for
recipients of Government grants, contracts, etc. that lobby Congress or
the Executive Branch with respect to the award of Government grants and
contracts; and (4) 31 U.S.C. 3802(a)(1) and (a)(2), which provide for a
fine of up to $5,500 for false claims and statements made to the
Government. For these four CMPs, not enough inflation has occurred
since 2002 to require an adjustment under the Inflation Adjustment Act.
Two of the Department's CMPs were enacted as part of the Higher
Education Amendments of 1998 (Pub. L. 105-244). These CMPs are 20
U.S.C. 1015(c)(5), which provides for a fine of up to $25,000 for
failure by an institution of higher education (IHE) to provide
information on the cost of higher education to the Commissioner of
Education Statistics, and 20 U.S.C. 1027(f)(3), which provides for a
fine of up to $25,000 for failure by an IHE to provide information to
the State and the public regarding its teacher preparation programs. In
2002, when the Department last adjusted its CMPs, not enough inflation
had occurred to require an adjustment to these CMPs under the Inflation
Adjustment Act. At this time, however, there has been more than 10
percent inflation, warranting an adjustment for each of these CMPs. By
statute, the Department's first adjustment of a CMP may not exceed 10
percent of such a penalty, and, therefore, we are adjusting these CMPs
by 10 percent.
Two additional points regarding the Department's adjustments are
worth noting. First, the Department is using the following CPI-U
figures as measures of inflation: 163 for June 1998; 179.9 for June
2002; and 183.7 for June 2003. Second, the increases to the
Department's CMPs due to these inflation adjustments apply only to
violations that occur after the effective date of the adjustments.
Waiver of Proposed Rulemaking
Under the Administrative Procedure Act (5 U.S.C. 553), the
Department generally offers interested parties the opportunity to
comment on proposed regulations. However, these regulations merely
implement the statutory mandate to adjust CMPs for inflation. The
regulations reflect administrative computations performed by the
Department as prescribed by the statute and do not establish or affect
substantive policy. Therefore, under 5 U.S.C. 553(b)(B), the Secretary
has determined that public notice and comment are impracticable,
unnecessary, and contrary to the public interest.
Regulatory Flexibility Act Certification
The Secretary certifies that these regulations will not have a
significant economic impact on a substantial number of small entities.
The formula for the amount of the inflation adjustments is prescribed
by statute and is not subject to the exercise of discretion by the
Secretary. These CMPs are infrequently imposed by the Secretary, and
the regulations do not involve any special considerations that might
affect the imposition of CMPs on small entities.
Paperwork Reduction Act of 1995
These regulations do not contain any information collection
requirements.
Assessment of Educational Impact
Based on our own review, we have determined that these final
regulations do not require transmission of information that any other
agency or authority of the United States gathers or makes available.
Electronic Access to This Document
You may view this document, as well as all other documents of this
Department published in the Federal Register, in text or Adobe Portable
Document Format (PDF) on the Internet at the following site: https://
www.ed.gov/news/fedregister.
To use PDF you must have Adobe Acrobat Reader, which is available
free at this site. If you have questions about
[[Page 298]]
using PDF, call the U.S. Government Printing Office (GPO), toll free,
at 1-888-293-6498; or in the Washington, DC, area at (202) 512-1530.
Note: The official version of this document is the document
published in the Federal Register. Free Internet access to the
official edition of the Federal Register and the Code of Federal
Regulations is available on GPO Access at: https://www.gpoaccess.gov/
nara/.
(Catalog of Federal Domestic Assistance Number does not apply)
List of Subjects in 34 CFR Part 36
Claims, Fraud, Penalties.
Dated: December 28, 2004.
Eugene W. Hickok,
Deputy Secretary of Education.
0
For the reasons discussed in the preamble, the Secretary amends part 36
in title 34 of the Code of Federal Regulations as follows:
PART 36--ADJUSTMENT OF CIVIL MONETARY PENALTIES FOR INFLATION
0
1. The authority citation for part 36 continues to read as follows:
Authority: 28 U.S.C. 2461 note and 31 U.S.C. 3701 note, unless
otherwise noted.
0
2. Section 36.2 is amended by revising Table I to read as follows:
Sec. 36.2 Penalty adjustment.
* * * * *
Table I, Section 36.2.--Civil Monetary Penalty Inflation Adjustments
----------------------------------------------------------------------------------------------------------------
New maximum (and minimum, if
Statute Description applicable) penalty amount
----------------------------------------------------------------------------------------------------------------
20 U.S.C. 1015(c)(5).......................... Provides for a fine of up $27,500.
to $25,000 for failure by
an institution of higher
education (IHE) to provide
information on the cost of
higher education to the
Commissioner of Education
Statistics.
20 U.S.C. 1027(f)(3).......................... Provides for a fine of up $27,500.
to $25,000 for failure by
an IHE to provide
information to the State
and the public regarding
its teacher-preparation
programs.
20 U.S.C. 1082(g)............................. Provides for a civil $27,500.
penalty of up to $25,000
for violations by lenders
and guaranty agencies of
Title IV-B of the Higher
Education Act of 1965, as
amended (HEA), which
authorizes the Federal
Family Education Loan
Program.
20 U.S.C. 1094(c)(3)(B)....................... Provides for a civil $27,500.
penalty of up to $25,000.
for an institution of
higher education's
violation of Title IV of
the Higher Education Act
of 1965, as amended, which
authorizes various
programs of student
financial assistance.
31 U.S.C. 1352(c)(1) and (c)(2)(A)............ Provides for a civil $11,000 to $110,000.
penalty of $10,000 to
$100,000 for recipients of
Government grants,
contracts, etc. that lobby
Congress or the Executive
Branch with respect to the
award of Government grants
and contracts.
31 U.S.C. 3802(a)(1) and (a)(2)............... Provides for a civil $5,500.
penalty of up to $5,000.
for false claims and
statements made to the
Government.
----------------------------------------------------------------------------------------------------------------
* * * * *
[FR Doc. 05-100 Filed 1-3-05; 8:45 am]
BILLING CODE 4000-01-P
